Metro Cash And Carry India
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METRO Cash & Carry is an international self-service wholesaler. It operates across Europe and in some countries of Asia and Northern Africa. It is the largest sales division of the German trade and retail giant Metro AG.
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Metro Cash And Carry India
- 2. TOPICS COVERED Metro Cash & Carry Mission And Vision Objectives SWOT Analysis The 4 P's
- 3. ABOUT METRO CASH & CARRY METRO Cash & Carry is an international self-service wholesaler. It operates across Europe and in some countries of Asia and Northern Africa. It is the largest sales division of the German trade and retail giant Metro AG. METRO Cash & Carry is different from B2C retail chains (such as Walmart, Carrefour or Tesco) in that its business concept is targeted towards professional customers rather than end consumers. The cash-and-carry concept is based around self-service and bulk buying. METRO Cash & Carry serves to registered customers only. Core customer groups are hotels, restaurants, caterers, traders and other business professionals. METRO Cash & Carry operates in 35 countries over 750 wholesale markets with about 150,000 employees worldwide. In financial year 2016/17 it generated sales of about €30 billion. METRO Cash & Carry is the wholesale division of METRO, a leading international specialist in wholesale and food retail. The company provides custom solutions to meet the regional and international needs of its wholesale and retail customers.
- 4. METRO CASH & CARRY IN INDIA METRO Cash & Carry entered the Indian market in 2003. The company currently operates twenty-four wholesale distribution centers including six in Bangalore, four in Hyderabad, two each in Mumbai and Delhi, and one each in Kolkata, Jaipur, Jalandhar, Amritsar, Vijayawada, Ahmedabad, Surat, Indore and Lucknow. METRO Cash & Carry India’s core customers include small retailers and kirana stores, hotels, restaurants and caterers (HoReCa), corporates, SMEs, all types of offices, companies and institutions, as well as self-employed professionals. Only business customers are allowed to purchase at METRO, all of them duly registered and provided with a customer registration card. With considerable international expertise and a nuanced understanding of the Indian market honed over the past ten years, METRO Cash & Carry India is well positioned to cater to the specific needs of all these customer segments. METRO Cash & Carry India offers close to 7,000 world-class products across a multitude of categories - such as fruits & vegetables, general grocery etc.
- 5. Mission Statement "METRO is a Cash & Carry Wholesaler for businesses and professionals. METRO provides quality products and business solutions at the lowest possible prices" Vision Statement "METRO will dominate the Cash & Carry wholesale segment globally, through our unique business formula which improves the competitiveness of our customers all over the world."
- 6. METRO CASH & CARRY OVERVIEW Metro cash & carry describe themselves as "Market Leaders" in cash & carry wholesale business. This claim is based in the approach to their core competition. The competitive advantage on which compete in the market is the low Prices with high level of Quality at a same place with convenience. METRO provides each and every thing of household use like food items, electronics, automobile parts and much more at the same place and the major factor is the low prices and they maintain the high quality level. And for this purpose they directly deal with the companies for the supply of their products so that the competitive advantage can be enhanced more.
- 7. S W T O
- 8. • METRO has the basic strength of low prices with high quality. • Serving the customers with the wide variety of products. • Covering all business solutions under one roof named METRO. • Having the strong cash and carry business background. • Best location for such kind of big store and also covering many areas. • Efficiently using the place and excellent layout. • Sufficient parking and safety and security measures ensure the quality in every sector. • Friendly and co-operative staff. • Computerized data base system which helps both customer and METRO. • Cafeteria in the building for the refreshment of customers.
- 9. • Less awareness in Pakistan regarding cash and carry business. • Although location for a big store is suitable but outside the city and not suit for all customers. • No proper transportation for customers to carry their products far away. • Limit of 3 persons on a single membership card • Restriction of shopping minimum Rs 2000 • Membership or subscription fees for cards. • Shopping from METRO is much time consuming because the travelling and in store visiting time.
- 10. • Growing market of cash and carry • Expansion in major cities. • Online shopping is much better option to save time • Contracting with major hotels and restaurants. • Proper METRO owned convenes facilities. • Up coming stores like Walmart and many others • Poor law and order situation of Pakistan • High inflation rate in Pakistan • Instability of the country
- 12. PRODUCT • Is the product the right product? • Do Metro have the portfolio of products that they need? • The existing set of products (services) is focussed around the wholesaler's market. And each store is customized to address the needs of professional customers. Metro offer a wholesale price that leaves the customer room for healthy margins and provide a one- stop-shop for the customer. In the food range, freshness is Metro's first priority. This is guaranteed by the efficient supply-chain and quality control management Metro have in-place .In non-food, Metro offer only products that are up-to-date in terms of technology and design, and meet all safety standards.
- 13. PLACE • Place ensures that the product is available at the right time, right place and in an effective and efficient manner. For METRO Place decisions are important due to two aspects. First, they require long term commitments in buildings and facilities, which means that mistakes can be difficult to correct. Second, these decisions require large financial investments and can have a large impact on operating costs and revenues. Poor location can result in high transportation costs, insufficient supplies of raw materials and labour, loss of competitive advantage and financial loss. METRO is located at the suburbs of Lahore, at Thokar Niaz Baig on Multan road which is also the entrance of the Lahore Motorway. The location is important as it covers a lot of areas such as Sahiwal, Okara, Sheikhupura and all the small localities in between.
- 14. PRICE • METRO cash & carry follows the pricing strategy of Mark up Pricing along with Competitor base Pricing. Mark Up pricing strategy in such a way that they charge 3% profit on each item. The prices are displayed inclusive and exclusive of taxes to facilitate and to create awareness among retailers and professionals that they can get the tax credit on the resale of the items which are purchased from METRO Cash & Carry. • METRO is also following the Competitor base pricing because it is not working in lonely system and its products are not unique so it has not only to follow the prices which are being charged by the competitors but try to charge lower prices as compared to competitors.
- 15. PROMOTION • METRO cash and carry is promotion its product in just two areas of Pakistan with not intensive marketing campaign because their customers are just retailers and professionals so they just opt that media sources which directly hit target market. • They are promoting by the following ways • Billboards: METRO place billboards at the outside of the store, at MM Alam road and at Mansoora. • Newspaper: METRO advertised in newspaper such as Jang and The Nation to create awareness. • Catalogues: METRO provides products and new offers catalogue not only at the stores but also mail it to the customers and members. • Personal selling: METRO has staffs who visit restaurants and professionals to convince them and create interest to purchase products for the use of their business.