1. Retail strategy
• A clear and definite plan that the retailer
outlines to tap the market and build a long
term relationship with the consumer.
• Retail Mix:
• 1)Store location
• 2)Merchandising
• 3)Pricing
• 4)Marketing
2. Developing an Overall Retail Strategy
Controllable Uncontrollable
Variables: Variables:
•Store location •Consumers
•Managing business •Competition
•Merchandise •Technology
management Retail •Economic
and pricing Strategy conditions
•Communicating •Seasonality
with customer •Legal restrictions
3. Elements of retail strategies
• The target Market
• Retail format
• Sustainable competitive advantage
6. Mission statement
• Wal-Mart: To give the ordinary folk the
chance to buy same thing as rich people.
• McDonald’s: Quality,service,convenience and
value
• Shopper,s stop: To be a global retailer in India
and to maintain the NO.1 position in the
Indian market in the department store
category.
7. Situation analysis
• PEST Analysis
• SWOT Analysis
• BCG Matrix
• Porter’s five forces
8. Matrix to evaluate opportunities for
strategic investments
• Define Strategic opportunities to be evaluated
• Identify key factors determining Market
attractiveness and competitive positions
• Assign weights to each factor.
• Rate each strategic opportunity on 1-10 scale
• Multiply the weights by each factors rating
and add across factors
• Plot each opportunity on the matrix
9. Growth Strategies
• Market Penetration
Cross selling
• Market Expansion
• Retail format development
• Diversification:
Related
Unrelated
16. Benefits of Strategic
Retail Planning
Provides thorough analysis of the requirements for doing
business for different types of retailers
Outlines retailer goals
Allows retailer to determine how to differentiate itself from
competitors
Allows retailer to develop an offering that appeals to a group
of customers
Offers an analysis of the legal, economic, and competitive
environment
Provides for the coordination of the firm’s total efforts
Encourages anticipation and avoidance of crises