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Retail Marketing and Logistics - Case Study Example

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Summary to case study on topic "Retail Marketing and Logistics"
Retail stores pop up every place where people live. Retailing is one of the world's biggest and growing industries. The industry ranges from a small Mom and Pop's store to the biggest retail chain companies like Wal-Mart and Target. It comprises of specialty retail shops such as The Body Shop or general merchandise stores like 7- Eleven…
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Retail Marketing and Logistics
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Download file "Retail Marketing and Logistics" to see previous pages... This paper will identify several theories and concepts on the subject of retail marketing and logistics.
The focus of the paper is on one of the biggest international retail stores - 7-Eleven. The company, 7-Eleven, has a worldwide chain of convenience store in different countries. It is a leading operator,
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franchisor and licensor of convenience stores with 34,800 stores in 17 countries. The name of the company was derived from 7am to 11pm, its operating hours during the early stages of its existence. Today, the convenience stores are open 24 hours a day, 7 days a week.
The company started its humble beginning in Dallas, Texas on 1927 when an enterprising dock employee began offering milk, bread and eggs aside from its core business of selling blocks of ice. The first store was opened during Sundays and evenings; a time when grocery stores were closed. The business idea of an entrepreneur regarding convenience retailing was widely accepted by satisfied customers and became profitable through increased sales. Ironically, the story of 7-Eleven can be considered as the story of convenience shopping because it is the company that pioneered and invested on the idea.
In 1991, two Japanese companies invested millions of dollar to finance the company in order to emerge from bankruptcy. As a result, 7-Eleven became a wholly owned subsidiary of Seven Eleven Japan Company which controls 70% of the company's stocks. The convenience stores in US and the rest of the world are mostly operated through licensees and affiliates.
The paper will tackle the current positioning strategy of the company worldwide. 7-Eleven is positioned as a convenience retail store of consumer goods with diverse products and services that provides easy access to end-consumers. It is in the marketing strategies of the company and its brand name in the market that alleviated the market leadership of the company in convenience stores industry segment.
The paper will also explore the competitive environment of global retailing industry where 7-Eleven plays as well as the different business strategies that the company employs in order to be recognised as the world's number one convenience store.
At the end, the paper provides several recommendations for the company in order to sustain its growth in the retail industry. Identified opportunities for the company includes further geographical expansions and investment in private label brands as well as natural, organic products.
Current Positioning Strategy
7-Eleven stores are positioned as low price general merchandise store that operates for consumer's convenience shopping. The convenience stores are saturated in high income and large traffic locations in order to exploit consumer spending. The strategy of the company is to become the preferred convenience store of consumers anytime anywhere.
Retail Marketing Mix - Lauterborn's 4 Cs
Consumer wants and needs
The relationship marketing strategies of 7-Eleven follows the first C of retail marketing mix. The company identifies the customer's preferences and tastes as well as its buying trend through an integrated information system and in depth analysis of data. As discussed later on the paper, the layout of 7-Eleven store is carefully evaluated and is changed several times a day in order to respond to the buying ...Download file "Retail Marketing and Logistics" to see next pagesRead More
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