Marketing Project - Supermarket

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Marketing Project - Supermarket

• Group Member
• Alan Hsu
• Arthur Lam
• David Lai
• Louis Wong
• Wei Chung Ma

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Content

• Introduction
• Market Research
• SWOT Analysis
• Market Segmentation, Targeting, Positioning
• Implementation of the marketing plan
• Product, Pricing, Place, Promotion
• Additional components of services marketing
• Relationship Marketing
• Contingency plan

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Market Research

• Competitors
• Target customers
• Multi-branding
• Use of information technology

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Market Research Target customers

• Target customer of the competitors
• High-income group
• Not exist
• Multinational
• Taste, Citysuper, Log-on
• General public
• Parknshop, Welcome, China Resources Vanguard

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Market Research Multi-branding

• Competitors with multi-brands
• Taste Parknshop
• Log-on Citysuper

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Market Research Use of I.T.

• Supermarket exists in the market have their own
  homepages
• Implementation of the element of relationship
  marketing
• Allow different kinds of payment
• Provide customers with an online-shopping
  platform

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SWOT Analysis Strength

• Strengths
• Clear market segmentation
• e.g. Multinational/ General/ High Income
• Multinational
• bulk purchase/ specific/ convenience
• Using of IT enhances efficiency
• No competitor highly specialized in the market of
  multinational / high-income group market

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SWOT Analysis Weaknesses

• Weaknesses
• Supermarket target in multinational / high income
  may not be popular
• Cost maybe higher (e.g. explore fee)
• Lower degree of specialization

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SWOT Analysis Opportunities

• Opportunities
• Huge profits from exploring a new market
• Freshness to customers with our entry to this
  oligopoly market

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SWOT Analysis Threats

• Threats
• Market saturated (General market)
• Financial crisis will have destructive impact on
  Sky

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Market Segmentation

• Demographic segmentation
• Income
• Psychographic Segmentation
• Lifestyle

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Targeting market

• WE WANT TO TARGET AT EACH AND EVERY SINGLE
  MARKET!!!!!!

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Positioning Objectives

• Be attending to each and every customers
• Be a multi-branded supermarket
• Be keeping abreast with the trend of E-commerce

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SKY Positioning

• Be a peerless high-classed supermarket
• Be excelled in terms of product quality

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Earth Positioning

• Be a supermarket specialized in selling
  diversified, multinational products
• Be able to let foreigners in Hong Kong buy
  products from their hometowns

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Human Positioning

• Be a conventional supermarket
• Be an complement for SKY and Earth

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Implementation of the marketing plan Product

• For physical product
• Convenience goods
• Shopping goods
• SKY selling high-quality products
• For example, Wagyu beef
• Earth selling multinational products

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Implementation of the marketing plan Product

• For augmented products
• Implementation of information technology
• Online-shopping
• Self-servicing payment
• Cooking service
• Restaurant stick to each supermarket outlet
• Some dishes are not offered
• High degree of customized service

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Implementation of the marketing plan Place

Exclusive Selective Intensive
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Implementation of the marketing plan Place

• SKY
• Districts where high-income groups are gathered
• E.g, IFC, Elements

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Implementation of the marketing plan Place

• Earth
• Districts where foreigners are gathered
• E.g. Tsimshatsui, Causeway bay, Admiralty
• Human
• Wide coverage

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Implementation of the marketing plan Pricing

Skimming Skimming Penetrative
Buyer-based Cost-based Competitor-based
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Implementation of the marketing plan Pricing

• Sky Buyer-based pricing
• Reason
• No close substitute.
• Buyers price sensitivity is low.
• Benefit
• High mark-up.

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Implementation of the marketing plan Pricing

• Earth Cost-based pricing
• Reason
• No strong competitor existing in the market.
• Hard to define the income level of target
  customers.
• Benefit
• Price reasonable to buyers.

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Implementation of the marketing plan Pricing

• Human Competitor-based
• Reason
• Intense competition.
• Customers are price-sensitive.
• Benefit
• Easier to get into the market.

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Promotion

• Advertising

Target Means Timing
High Income group Newspaper -
Normal income group Television 1800-2000
People with a desire for multinational goods Television 2000-2200
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Additional component of services marking
Process Physical Evidence People
MIS order Wooden design Experienced Chief
MIS order Simple interior design Multi-national chief
MIS order Different styles of design -
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Relationship Marketing

• Rebate Programme
• - 5 cash coupon rebated on every 100
  purchase
• - Retain customers in a long run
• Delivery service
• - guaranteed delivery within 24 hours to door

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Relationship Marketing

• Discount programme (joint with credit card)
• - offer 10 / 5 discount for certain credit
  card holders
• e.g. i) A.E. Platinum Centurion card holders
  in SKY
• ii) HSBC, Hang Seng Bank for Human Earth

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Relationship Marketing

• Feedback System
• - install a machine with buttons of
  Satisfaction and Dissatisfaction in front of
  each cashier
• - fill out questionnaire, and get cash coupons
  as complements

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Recommendations

• Jan 10
• - launch of Earth and Human
• - enough time to prepare
• - to make sure all I.T. system is workable
• - to see any possible modification can be
  applied to SKY.

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Recommendations

• Sept 10
• - launch of SKY
• - to allow time for economic recovery
• - to allow time for resources allocation

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Contingency Plan

• Cooked food outlet to restaurants
• Shut down some outlets of Earth and SKY, and turn
  the remaining outlets to Human.
• Sell the whole business to potential buyers

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THE END