Group Member: Alan Hsu

Arthur LamDavid Lai

Louis WongWei Chung Ma

ContentIntroductionMarket ResearchSWOT AnalysisMarket Segmentation, Targeting, PositioningImplementation of the marketing plan

Product, Pricing, Place, PromotionAdditional components of services marketing

Relationship MarketingContingency plan

Market ResearchCompetitors

Target customersMulti-brandingUse of information technology

Market Research: Target customersTarget customer of the competitors:

High-income group Not exist

Multinational Taste, Citysuper, Log-on

General public Parknshop, Welcome, China Resources Vanguard

Market Research: Multi-brandingCompetitors with multi-brands

Taste + ParknshopLog-on + Citysuper

Market Research: Use of I.T.Supermarket exists in the market have their

own homepagesImplementation of the element of relationship

marketingAllow different kinds of paymentProvide customers with an online-shopping

platform

SWOT Analysis: StrengthStrengths

Clear market segmentation e.g. Multinational/ General/ High Income

Multinational bulk purchase/ specific/ convenience

Using of IT enhances efficiencyNo competitor highly specialized in the market

of multinational / high-income group market

SWOT Analysis: WeaknessesWeaknesses:

Supermarket target in multinational / high income may not be popular

Cost maybe higher (e.g. explore fee)Lower degree of specialization

SWOT Analysis: OpportunitiesOpportunities:

Huge profits from exploring a new marketFreshness to customers with our entry to this

oligopoly market

SWOT Analysis: ThreatsThreats:

Market saturated (General market)Financial crisis will have destructive impact on

“Sky”

Market SegmentationDemographic segmentation

Income

Psychographic SegmentationLifestyle

Targeting marketWE WANT TO TARGET AT EACH AND EVERY SINGLE MARKET!!!!!!

Positioning: ObjectivesBe attending to each and every customersBe a multi-branded supermarket Be keeping abreast with the trend of E-

commerce

SKY: PositioningBe a peerless high-classed supermarketBe excelled in terms of product quality

Earth: PositioningBe a supermarket specialized in selling

diversified, multinational productsBe able to let foreigners in Hong Kong buy

products from their hometowns

Human: PositioningBe a conventional supermarketBe an complement for “SKY” and “Earth”

Implementation of the marketing plan: ProductFor physical product:

Convenience goodsShopping goods

SKY selling high-quality products For example, Wagyu beef

Earth selling multinational products

Implementation of the marketing plan: ProductFor augmented products:

Implementation of information technology Online-shopping Self-servicing payment

Cooking service Restaurant stick to each supermarket outlet

Some dishes are not offered High degree of customized service

Implementation of the marketing plan: Place

Exclusive

Selective

Intensive

Implementation of the marketing plan: Place

SKY:Districts where high-income groups are

gathered E.g, IFC, Elements

Implementation of the marketing plan: PlaceEarth:

Districts where foreigners are gathered E.g. Tsimshatsui, Causeway bay, Admiralty

Human:Wide coverage

Implementation of the marketing plan: Pricing

Skimming Skimming Penetrative

Buyer-based Cost-basedCompetitor-

based

Implementation of the marketing plan: PricingSky: Buyer-based pricing

Reason: No close substitute. Buyers’ price sensitivity is low.

Benefit: High mark-up.

Implementation of the marketing plan: PricingEarth: Cost-based pricing

Reason: No strong competitor existing in the market. Hard to define the income level of target customers.

Benefit: Price reasonable to buyers.

Implementation of the marketing plan: PricingHuman: Competitor-based

Reason: Intense competition. Customers are price-sensitive.

Benefit: Easier to get into the market.

PromotionAdvertising

Target Means Timing

High Income

group

Newspaper -

Normal income group

Television 1800-2000

People with a desire for multinational goods

Television 2000-2200

Additional component of services marking

Process Physical

Evidence

People

MIS order Wooden design Experienced Chief

MIS order Simple interior design

Multi-national chief

MIS order Different styles of design

-

Relationship MarketingRebate Programme:

- $5 cash coupon rebated on every $100 purchase

- Retain customers in a long run

Delivery service:

- guaranteed delivery within 24 hours to door

Relationship MarketingDiscount programme (joint with credit card)

- offer 10% / 5% discount for certain credit card holders

e.g. i) A.E. Platinum & Centurion card holders in SKY

ii) HSBC, Hang Seng Bank for Human & Earth

Relationship MarketingFeedback System:

- install a machine with buttons of “Satisfaction” and “Dissatisfaction” in front of each cashier

- fill out questionnaire, and get cash coupons as complements

RecommendationsJan 10’

- launch of Earth and Human- enough time to prepare

- to make sure all I.T. system is workable

- to see any possible modification can be applied to SKY.

RecommendationsSept 10’

- launch of SKY- to allow time for economic recovery- to allow time for resources allocation

Contingency PlanCooked food outlet to restaurants

Shut down some outlets of Earth and SKY, and turn the remaining outlets to Human.

Sell the whole business to potential buyers

THE END