MARGARET LAU, GENERAL MANAGER OF DCH FOOD MART

OPERATION EFFICIENCY IN NEW RETAIL

Agenda

01 What is New Retail

02 What is the key for transformation

03 P.E.A.C.E

04 Best Practice Sharing

New Retail …redefined a seamless integration for retailing

What is New Retail

Offline

Online

“O” “TO” “O”

New Retail

SCM &

Logistics

Engage and interact with customers

Customer

Synchronize the product range and pricing whenever, whatever and wherever

Communication

Hire new employee which is adapting and responding to change

People

To transform, we have to…

The History of Retail

1910s

1930s

1960s

1990s

2016

1st Supermarket

It was developed with the concept of

inexpensive food market

1st Chain Supermarket

Walmart Carrefour

New Retail

Jack Ma, announced e-commerce will be

replaced by the concept of New Retail

E-commerce

One of the largest e-commerce, Amazon, was found in 1994

1st Convenience Store

It is a small retail business which drives

convenience

Transformation Identify the purpose of transformation

Figure out the appropriate solution

❓

What is the root cause for this symptom?

Persistent cough, wheezing with white or pink blood-tinged phlegm

❓

Offline VS Online

Lower Advertising Spending

Higher Advertising Spending

Bricks and Mortar • Physical billboard • Most of them are well-known brand

Click and Collect • Virtual environment • Take times to get familiar with your brand

Online Retail contributed 2.5% to total Retail Sales in Hong Kong.

Source: Euromonitor

How to let customer know you exist and you are trustworthy?

Customer Experience

85% 85% of consumers want a unified experience across both online and offline.

However, as it stands, only 30% are actually getting one. 30%

You need to meet customer expectation at all level and multi-channel is the way to achieve this.

Source: https://www.statementagency.com

What’s next?

Source: https://lst.1688.com/

阿里巴巴旗下零售通，以「新零售」模式營運的「天貓小店」，宣佈在中國已經有超過100萬家零售小店應用一站式B2B進貨平台，佔到中國市場的6之1。

Unmanned Store

Hema Store

Alibaba L.S.T.零售通

Pinduoduo 拼多多

BIG DATA

PEACE How to drive operation efficiency?

PEACE stands for…

Purpose

Execution

Acting as

Role Model

Efficiency

Communication

Purpose and Problem Solving

Online Digital

Self checkout

Unmanned Store

Hire new employee so that the company will be adaptive for change

Efficient checkout

Execution Are you a driver?

Recruit an outside consultancy to ensure the transformation execute smoothly e.g. GS1 helps DCH FM to review the Supply Chain Management and Food Traceability

Acting as Role Model Exclusive Redemption Program ---P助與粉紅兔兔 大昌食品好戲派 : 餓戰

Management should accept new idea for New Retail transformation

Communication

Common sense is not common !

Still need further reform!

2017 2018

Efficiency

No matter what measurable KPI, allow failure throughout the process

3-year Plan

5-year Plan

Lean Startup

It's about what we can learn from the businesses to improve virtually everything we do

Key Performance Indicator

Continuous Deployment Process

01

02

Joined Forces

(星島日報報道) 長和（001）旗下的百佳，在內地將會夥拍生鮮式超市永輝超市和騰訊（700）發展超級市場業務，各方簽署投資協議，在中國境內設立一家中外合資經營企業，並以「百佳永輝」的新品牌，進軍新式零售業。其中，永輝超市、百佳中國出資股權的價值分別為6.22億元（人民幣．下同）及5.02億元，分別佔比50%、40%；騰訊則投入現金1.25億元，佔比10%，涉及資金合共12.49億元（約14.36億港元）。 公告指出，新公司董事局由6位董事組成。其中，永輝超市、百佳中國及騰訊各委派3名、2名及1名董事，董事局設一位董事長，由永輝超市委派的董事擔任。新成立的合資公司旗下所有店鋪均使用「百佳永輝」品牌。

Source: http://std.stheadline.com

永輝百佳夥騰訊搞超市

Thank you