carrefour diana

• Low salesSales

• Seeking to sell lower-cost products but face difficulties due to few economies of scaleCosts

• Few / negativeProfits

• Emerging markets, seeking to penetrate marketCustomers

• Weak competitionCompetitors

All store formats: Introduction stage Characteristics:

All store formats: Introduction stage

Marketing Objectives

Create awareness Brand positioning

All store formats: Introduction stage

• Less assortment of products• Reduced store size• Testing of store layout

Product

• Few services offeredService

Strategies:

• Low costPrice

Distribution

• Testing of marketing policies

Advertising/Sales

promotion

Strategies:

• Rapidly rising salesSales

• Lower-cost products due to economies of scaleCosts

• Rising profitsProfits

• Growing penetration in emerging marketsCustomers

• Growing number (eg. When Carrefour first entered the Chinese market in 1995, Walmart followed suit and opened its first supermarket in 1996 in Shenzhen.)

Competitors

All store formats: Growth stageCharacteristics:

All store formats– Growth stage


Maximise market share Build a strong brand• Brand sponsorship- Carrefour create its own store

brand

Hypermarkets & Supermarkets – Growth stage

• Greater assortment of products (introduction of store brands)

• Larger store size• Improved store layout (more spacious)

Product

• More services offered• In 1960, launched self-service hypermarkets throughout France• In 1999, Carrefour launched Spectrum 24R wireless local

network infrastructure in its stores in Asia. This system helped improve both productivity and inventory management.

• -Eg. In China: free delivery for large appliances, free parking, goods exhangeable within 15 days

• -Provide information to customers through information desks, websites, catalogs

Service

Strategies:

• Focus on good-value pricingPrice

Distribution

• Marketing campaigns emphasizing on low-cost, high quality goods• Use of slogans (Eg. France, 1988-2003 : "I have a positive outlook

with Carrefour“ France campaign: “Consuming better”)

Advertising/Sales

promotion

Strategies:

• Peak salesSales

• Lower-cost products due to economies of scale and greater channel efficiencyCosts

• High profitsProfits

• Full penetration (millions of customers shop at Carrefour hypermarkets everyday in France)Customers

• Stable number, beginning to decline as Carrefour acquire smaller retailersCompetitors

Hypermarkets & Supermarkets – Maturity stage

Characteristics:



•Maximise profit while defending market share

Brand development- Increase brand equity- Create competitive

advantage


• For both its store brand and national brands that it stocks, Carrefour can:• Add new product lines, widening its product mix• Lengthen its product line• Deepen its product mix

Product

• Internal marketing: conducted employee satisfaction surveys, improved work environment, training

• customer satisfaction survey• Greater range of services such as ATM terminals,

facilities for the handicapped

Service

Strategies:

• Good-value pricing• Value-added pricingPrice

• One of Carrefour’s main advantages in Asia is its ability• to integrate fully into the local context. In every country,• the Group takes up the position of a local player. To• achieve this, it develops close and long-term relations• with local suppliers

Distribution

• Introduced the loyalty program, enable additional price reductions (strenghten brand loyalty, give better insight into consumer’s habits)

Advertising/Sales

promotion

Strategies:

• Declining salesSales

• Competitors offering even lower cost productsCosts

• Declining profitsProfits

• Loss of customers as Carrefour no longer understands customers’ changing needsCustomers

• Loss of competitive advantage to competitors. Rapid growth of competitorsCompetitors

Hypermarkets & Supermarkets – Decline stage

Characteristics:



•Increase profit, gain back the market share that it has lost

•Reinvention

- eg. Carrefour Planet

Brand development- Increase brand equity- Create competitive

advantage


• Carrefour Planet• “a retail space organized to surprise shoppers. A big central

aisle offers different specialist areas identified by simple colorful signage, designed to offer a new shopping experience focused on easy shopping, novelty and pleasure.”

• New ideas: a salmon smokery, a sushi bar, cookery courses• A frozen food department is near checkouts allowing

customers to finish their shopping here and pay for their goods before things start to defrost.

• A media section that leverages partnerships with Apple

Product

• Childcare area• A Beauty offers services like a nail bar, rapid make-up and

hair styling• Free clothes alteration service provided

Service

Strategies:

• Good-value pricing• Value-added pricingPrice

Distribution

• Another innovation is a space devoted to events at the entrance to the store. Renewed every two weeks, the space hosts major promotional events highlighting the prices in the store

Advertising/Sales

promotion

Strategies:

• Low salesSales





Hard-discount: Growth stageCharacteristics:

• Low salesProduct

• Seeking to sell lower-cost products but face difficulties due to few economies of scaleService

• Few / negativePrice

• Emerging markets, seeking to penetrate marketDistribution

• Weak competitionAdvertising/ Sales promotion

Hard-discount: Growth stageStrategies:

• Low salesSales





Hard-discount: Maturity stageCharacteristics:

• Low salesProduct

• Seeking to sell lower-cost products but face difficulties due to few economies of scaleService

• Few / negativePrice

• Emerging markets, seeking to penetrate marketDistribution

• Weak competitionAdvertising/ Sales promotion

Hard-discount: Maturity stageStrategies:

carrefour diana

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