MARKETING
In a industry in which site selection
("location, location, location") and
operational considerations have usually
dominated, marketing has often been given lip
service at best. Yet, today, with a wide variety
of store types--from island marketers to
superstores and convenience center--fundamental
marketing planning and analysis have never been
more important.
Store program development (planning your store
from the inside out, rather than filling a
pre-determined box) is the most essential
component of marketing and competitive
positioning. Program development involves the
preliminary synthesis and planning of labor,
hours of operation, merchandising, layout,
equipment, fast foods, gasoline equipment and
pay systems, plus pricing, margin and volume
strategies.
Whether you are planning a single store or
repositioning an entire chain, marketing
decisions should relate to the search for a
niche. A store's uniqueness is based on how it
is perceived by its customers and that
perception is the day-to-day reality of your
operation. Your "share of mind" may be
more important than your share of market.
Understanding and, if necessary, modifying
consumer perceptions must be based on research,
marketing, and program development. We can help
you design and execute simple,
self-administered, actionable surveys.
MERCHANDISING
Too often, particularly with gasoline-companies,
merchandising decisions are based on vendor
recommendations of controlled by shrink
concerns, margin guidelines and inventory
limitations. But individual store merchandising
should reflect the market served by the store,
the competitive environment, and the needs of
your customer base.
While average margin is, of course, critical to profitability,
individual product and category margins must be
measured against turnover and inventory cost.
More significant, product mix (and merchandising
by location in the store) creates the vitality
to encourage desired customer traffic patterns.
The two major changes in convenience stores in
the past decade are gasoline retailing and fast
food programs; however, placing a pump on the
corner of your site and putting coffee and
fountain drink machines in the corner of your
store are hardly imaginative commitments to
these trends.
Merchandising decisions should be the process
which analyzes risks, opportunities, competition
and operational considerations. And, most
important, your store's merchandising program
cannot remain static. It must become a movable
feast--changeable, opportunistic and subject to
frequent review.
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