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CONTENTI - IntroductionII - The background of the market Market share Competitors Consumers Special time SegmentationIII – Unique Selling PointsIV – Threats and OpportunitiesV – Recommendations
Introduction. Small family supermarket chainFounded in 1847 by Edwin J Booth. Specificity : regional supermarkets (North England) local products. 26 stores located in the north of England. Headquarters in Preston. £250 millions in 2009 (+5,4%). 3000 employees. Edwin Booths philosophy : “Sell the best goods available, in attractive stores, staffed with first class assistants”.
COMPETITORS The “Big 4” Tesco – ASDA – Morrison’s – Sainsbury’s 47% of British shopper’s spending on food in supermarkets Other “ethical supermarkets” The higher the rating the more ethical the brand. BRAND RATING Co-op supermarkets 7 Booths supermarkets 6.5 Farmfoods supermarkets 6.5 Budgens supermarkets 6 Londis supermarkets 6 Mark & Spencer supermarkets 5.5http://www.ethicalconsumer.org/FreeBuyersGuides/miscellaneous/supermarkets.aspx
CONSUMERS ETHICAL CONSUMERS Since 2006, BOOTHS focus on a green issue comfortable standard living consumers price of products environment-conscious consumers local products (less transport, focus on local activity)
SEGMENTATIONWhere it is bought• Location: Far from the city centre Suburbs
SEGMENTATION• Purchase frequency: daily weekly monthly• Booths open every day
UNIQUE SELLING POINTSo Fresh productso Typical north English productso Products and brands which directly come from other countries Meats 80% of the fresh meat is regionally sourced.CheeseLocal, national and continental with over90 varieties to choose from.
STRENGHTS STRENGHTSo High quality producto Wide product range in foods and drinkso Big car parko Comfortable buying atmosphereo Good market segmentationo Strong regional supplierso A very strong label position
WEAKNESSES WEAKNESSES o Price - very high o Location - far away from city centre o Lack of promotion - less advertising o Limited choice of non-food products, such as household ware
OPPORTUNITIES OPPORTUNITIESo Government and people preoccupations concerning fresh products Booths USP : high quality products and organic foodo Brand identity Brand image in customers’ heads Booths refers to quality
THREATS 4 BIG THREATS o Strong competition from other supermarkets from other types (One Stop, small stores, etc …) o Material price . Product from global . New products ? . Requirement from global . More export
THREATSo Global marketingo Local economy . High unemployment rate . Economic crisis . Financial windstorm, debt crisis . GDP
RECOMMENDATIONS RECOMMENDATIONS FOR BOOTHS . Product . Price . Promotion . Place . Service
RECOMMENDATIONSProduct strategy maintain the product advantages high quality; complete varieties extend the private lable product keep the product sourcing & inventory
RECOMMENDATIONS Price strategydiscount pricing quality eg: dozen cheaper than odd sale festival eg: Christmas studentpsycological pricing break even point sales buy one get one free oddment eg: £1.96 is much cheaper than £2
RECOMMENDATIONSPromotion strategyadvertisingpublic & social relations
RECOMMENDATIONSPlace strategy open more convenient store location choice eg: near the shopping center
RECOMMENDATIONSService smiling service after-sales service eg: online-shopping; delivery weak peoples facilities & service