In
spite of the time, the internal and the external factors like those of
political instability, the energy shortage and many others like climatic
disasters etc. are majorly threatening the economic instability, although
Pakistan has been emerged with the more optimistic and the real positive growth
in the GDP rates through the past decade. The results were also in favor of
Pakistan`s GDP even at the time of the great recession in 2008 and that was
also observed that the global analysts were also remain positive for the future
growth of Pakistan
So
far all the factors explained like the income increase, urbanization, and consumer awareness clicks the core of the potentially larger market of the
goods and services in Pakistan so in that we must mention the most important
service sector the wholesale and the retail chain which eventually gained huge momentum since the past decade. Pakistan's retail market is said to have a
wide contribution in the GDP of the country with annual sales of USD 105
billion and still continuing the figure.
As
the wholesale and the retail trade market comprises more than a a third in terms of
Pakistan’s service sector proportion that constitutes more than 53% of
Pakistan`s GDP it appears that the retail trade market bears a strong role in
the country`s overall economic and GDP growth by possessing a valuable influence
over the expansion of the service sector of Pakistan.
2 Competitive Analysis of Retail Chain
in the Sukkur region
The
retail sector in the region where we are planning to operate our business is
Sukkur which is a myriad of different local, national as well as international firms which are held the market in this industry for decades
as companies in this category sell a wide range of products to the local
consumers and businesses, from the food to the apparel to the hardware,
household goods, and the products related to office procurement. As we are
planning to operate the grocery store so for that in this region we have the
perfect competitors like ICON BY GOURY, 7/11 SUPERSTORE, FAMILY MART, BIN RAEES
in which after the analysis we came to know that they some factors that are
affecting the grocery chain like Personal Income of the consumers, the
confidence level of the consumers and the demand drive through the interest
rate. Here the profitability in this market can only be generated by the
efficiency in the supply chain management with the tools of using effective
merchandising and marketing techniques.
Here
the market is divided into two main sectors the small (local Shops) sectors and
the large (Super Stores) in which both sectors are in a rush of creating a
way to generate the more strong and the efficient channeling or networking
of supply chain and the distribution, in this the large sectors are having the
advantage in the purchasing, distribution and the marketing of the grocery
products and the small local firms are competing in the effective selling of
the unique and worth full merchandising of the products in order to provide the
superior customer services that offer some unique offering and a distinctive
customer engagement experience that makes them the leaders in this market with
the productivity and the supply ratio more than the expectations.
Fast Feed Grocery Store Sukkur
3 Business Introduction
We
are planning to operate a Grocery store in Sukkur city at the location of
Military Road Sukkur which we having some key plans to be initiated
before the launch of the store the key features of our business and the store
are
The
Fast Feed Grocery store- Sukkur will be located at the core of the city
Military Road near the main crossing Bypass Sukkur. The business plan is prepared
under the joint partnership of 5 partners among the collaboration and the
financing of 3 million Pakistani rupees this amount will be used to begin the
work for the site preparation, the modification, and the purchase of the
inventory.
In
addition to this, the capital contribution from the owners will also lead to the
successful opening and the maintenance of the store throughout the year with
this a large amount of the capital investment will also allow our store to
provide more variety in the grocery products for our customers with the use of
latest technology in order to provide the customers with the full-featured grocery store. This successful operational management in the first year will
provide and lead our store with a more customer ratio for the next year with
more sufficiency at.
Objectives of Fast Feed Grocery Store
As a new startup retail store, our commitment is to provide quality products and services with a bundle of varieties and alternatives in the product selected in a cost-effective manner so that enables the store to excel in
the best serving the customers. With this, the environment is also the core
objective of our retail store in which the favorable and the most digitalize
environment will be provided to the customers for providing them the most relax
ale shopping experience for now and future with this there are also some other
objectives of our retail store that are
- A safe place to shop
- A value chain superstore
- Great Friendly staff and the
services
- Our store will be good neighbors
and will also be involved in the welfare of the community
- A separate parking area will be
allocated
- 24/7 security check will be the
core future
- Inventory turnover will be more on
the local demanded products
- Will also provide some discount
vouchers and gift hampers for the top 100 customers
- Great, friendly service
- Our shop will be good neighbors and
will be involved in the community
4 Consumer population demographics,
values, and preferences
Product preferences
fluctuate across various consumers. These preferences relate straightforwardly
to consumer demographic characteristics, for example, family type, pay, age,
and nationality. Consequently, it's difficult the measure interest that
really makes a difference to a local economy. The blend of purchasers
additionally significantly affects the local economy.
Population Threshold method:
It is a measure of
businesses in a particular area based on a simple population supported in a
community.
It provides an analysis
of market potential.
String
Area: People from
different areas visit Sukkur as Military Road is a very much famous
road.
Target market:
Age:
Baby Boomers, and Millennials and from onwards. (wide).
Income:
>30,000.
Gender:
Male, Female, Teenagers,, and Children
PREFERENCES:
Ø Share
Or Retailer Brands
Ø Quality
Of Retailer Brands:
Ø Visibility
Of Retailer Brands:
Visibility
1. Maximize
The Site Lines,
2. Tilt
Product Up: Place The Product On 15 Degree Slant
5 Site Evaluation and Location Decisions
Location is the most
important factor for the success of a retail shop.
The location is MILITARY
ROAD
WHY?
Ø High
frequency because of other retail brands such as seven eleven
Ø Close
to residential areas such as different residential societies.
Accessibility:
Ø pedestrian
flow
Ø Parking
(capacity convenience)
Ø Easily
access for staff
Ø Easily
access delivery
Ø No
such barriers (railway, river)
Ø It
should be closer to competitors so that it can capture more market.
Away from rivals farther to reduce price competition.
6
Target market:
As our retail store is
located on the military road, so following will be our target customers:
·
People live
nearby:
This
segment will be one of our target customers. These could be people of household
and others who are doing business at the military road. As they could purchase their
grocery from nearby easily under one roof.
·
Shoppers:
The other will be shoppers, those who visit military roads mostly for purchasing
purposes. Like shopping for clothes and shoes or visiting for dining. We will also
target these people to purchase groceries from our stores.
·
Passengers:
This would be very easy for a passenger to shop grocery from our store because it
will not only save their time but cost and energy as well. They could easily
shop and then pick up their Van or Bus from the bypass.
·
Sukkur IBA:
Last but not least will be managed and students of Sukkur IBA
because we will offer them a special discount if they are linked with Sukkur IBA.
But most of our focus will be on management who purchase groceries for their
homes.