MKT353e Retail Management 3
Feb 25,22MKT353e Retail Management 3
Question:
Section A
Don Don Donki store opening at Orchard Central
Famed Japanese discount store Don Quijote opened its first store in Orchard Central mall on 1 December 2017. The store, which operates round the clock, is called Don Don Donki because a Don Quijote restaurant already exists here in Dempsey Road. However, the double-storey 1,397 sqm Singapore outlet have the same range and eclectic mix of products as its outlets in Japan.
The brand is known for offering a wide variety of made- and designed-in-Japan products, everything from toilet paper to second-hand Rolex watches, under one roof, often at low prices.
Founded in 1978 by current chairman Takao Yasuda, the brand now has 368 stores in Japan, Hawaii and the United States and rang in close to 828.8 billion yen (S$10 billion) in annual sales for the fiscal year which ended on 30 June 2017.
Aiming for an everything-under-one-roof type concept, the brand is also known to give autonomy for product selection and pricing to individual stores, meaning that stores in different areas often sell items that are best suited to the needs of its customers.
The store here is in partnership with Hokkaido Marche, which also opened its hybrid restaurant and food court concept next to the discount store.
Hokkaido Marche offers eight self-service style outlets with a night market concept for dinner hours. Together, the two brands plan to market Japanese food, products and restaurants to local consumers at pocket-friendly prices.
The seeds for the Singapore store were sown when founder and chairman of Don Quijote Takao Yasuda moved here in 2015 and found how expensive items were in Singapore.
“Back then, I was semi-retired but when I moved to Singapore, it was surprising to see the price difference between Singapore and Japan,” he said in a press conference. “What costs one dollar in Japan is sometimes two or three dollars here.”
So, when he was approached by Hokkaido Marche to partner and open their concepts in Singapore, he agreed immediately.
For Mr Yasuda, the decision to open in Singapore is a strategic one. For one thing, he said that the items here are about 20 per cent more expensive than identical ones the chain sells in Japan, due to higher costs, but are still priced lower compared with competitors here.
Don Don Donki’s current product selection of about 30,000 items was curated for Singapore and spans a wide array of products including fresh vegetables and meats, groceries and beverages, party goods, costumes, clothing, make-up and household products. A third of the product selection is from Hokkaido.
The move to open a store here is also a strategic one as Mr Yasuda has plans to expand into Southeast Asia. Singapore, he said, serves as an important regional headquarters for the business. There are also plans to expand here, he said.
There are already plans to open a second store in 100am mall in Tanjong Pagar by June 2018 and, hopefully, have at least 10 stores in Singapore in the next four to five years.
Question 1
Although there are Singaporeans who are familiar with the Don Quijote retail stores in Japan, the majority of local consumers are not familiar with it, especially not when it is under a different name as Don Don Donki.
Examine any four (4) factors that could help define the retail image of Don Don Donki in Singapore market.
Question 2
Discuss the strategic aspects of retail promotion in the context of Don Don Donki.
Question 3
Due to the popularity and prevalence of online shopping websites, many retailers are having increasing difficulties attracting traffic and getting shoppers to spend more time in their stores.
While Don Don Donki has a web portal for online shopping, it is also equally important to promote and attract traffic into the stores. Discuss any four (4) ways that could encourage customers to spend more time shopping at Don Don Donki store.
Question 4
This question requires you to conduct a literature search. First login to your SUSS Student Portal and access the Library E-resources.
Using any of the databases listed, select any two (2) articles (research paper, trade journal article, newspaper / magazine article) related to innovation in the marketing and distribution of fast-moving consumer goods (FMCG).
- Based on these two (2)articles you have selected, develop a table with the following information:
| S/No. | Name of database | Title of | Title of | Date | Author(s) |
| Publications | Article | (year/volume) |
- Choose any one of these articles selected above and summarise the innovation in the marketing and distribution of fast-moving consumer goods (FMCG).
Section B
Prepare a video recording of the presentation of at least 3 minutes but not exceeding 6 minutes covering Q1, Q2, and Q3. There are two methods for ECA video assignment submission; either Record Media or Upload Media. For Upload Media, please note that your file size should be no more than 500MB and the format is in .mp4.
Section C
Prepare a set of PowerPoint slides (maximum of 10 slides) upon which the video presentation is based. Please note that the PowerPoint must be converted to PDF before submission to Canvas.
Answer:
Introduction
Retail business development
Student name:
Student ID
Module name:
Table of Contents
Question 1. 3
Question 2. 3
Question 3. 4
Question 4. 5
Reference. 6
Question 1
Don Don Donki is a new retail store that will be open in Orchard Central in Singapore. The retail store will offer a wide range of products to the customers ranging from clothing, vegetables, grocery items, meat, costumes, and party goods to make-up. But the company will ahvee to apply certain marketing techniques to define its retail image. Some of the most effective techniques are:
- Don Don Donki can use its social media platform to promote its brand. This technique will help Don Don Donki to reach out to a lot more people in Singapore who are not familiar with the brand. The company can do promotions on Facebook, Instagram and various other social media platforms (Zhu & Gao, 2019).
- Don Donn Donki can make effective use of billboards to promote their brand. The company’s posters should be pasted on the billboards in popular streets of Singapore so that people can look at the posters or the billboards and will get to know about the company. Don Don Donki can also distribute pamphlets to people where the location, offers and products of the company will be listed in brief.
- The company should find a sponsor deal that will help in the marketing and promotion of the brand. This is an effective tool that will help Don Don Donki in defining its retail image in Singapore’s market.
- The company can also promote its store in the local broadcasting channels of Singapore. Through this, the people who regularly view these local broadcasting channels will get to know about the brand.
Question 2
The retail promotion has many strategic aspects of its own. If Don Don Donki successfully applies the promotional techniques then it will be able to reach out to more people. If more people become familiar with the store then the sales of the retail store will also increase as more people will visit the store. The brand value of the retail store will also increase with effective promotions (Dean, 2019). The fact that Don Don Donki offers products at a much cheaper rate, will prove to be an effective strategy to attract more customers. Through effective promotion, Don Don Donki will be able to increase its reach and more people will become familiar with the retail store and this will effectively help Don Don Donki in its growth and sales margin. Don Don Donki needs to offer their customers faster home delivery service as there might be customers who have completely run out of their grocery or food items. Through faster home delivery they will be able to get their orders delivered faster by paying an amount for the faster delivery charges. An online website must be developed by Don Don Donki through which the customers will be able to place their orders online, pay for their orders through online payment facility and can even track their orders.
Question 3
Some of the most effective techniques that will help in encouraging people to buy products offline are:
- Customers nowadays are more driven towards purchasing items online. But due to this, the various retail stores are suffering. In order to encourage people to shop offline, they must be provided with interesting shopping facilities.
- The customers who are shopping from offline stores should be provided with exclusive offers such as buy one get one free. This offer will encourage more customers to shop offline as in many online stores this offer is not available.
- The offline stores should have high-quality products so that customers can get satisfied with their purchases (Sanaei & Sobhani, 2018). While shopping online one major problem that customers face is with the quality of the products. This problem can be solved by providing high-quality products.
- Discount coupons should be given to customers so that they can shop more at fewer prices. One major facility that online shopping has is a home delivery service, if offline retail stores adopt this facility then they will be able to gain more offline customers.
Question 4
The chosen articles on the topic are ‘Innovation in marketing research: quantitative and qualitative analysis’ and ‘Curriculum innovation for marketing analytics’. Innovation plays a huge role in enhancing the productivity of any business. Similarly, in the retail business innovation can be used to better market the products (Wilson, McCabe & Smith, 2018). Innovation can be used for better market research and for better analysing customers’ purchasing patterns (Dzwigol, 2020). Through innovation, the retail sector will be able to enhance its business operation and will also be able to serve the customers better.
Summary of the chosen article
| Article | Summary |
| Curriculum innovation for marketing analytics’ | Innovation can also be used to resource the best quality products. Innovative technologies can be used for faster home delivery services (Wilson, McCabe & Smith, 2018). Through innovation, more knowledge and information on the current market trend can be gained.
Through extensive knowledge on the retail business market of Singapore, Don Don Donki will be able to successfully grow their business in Singapore. Don Don Donki will have to use innovative marketing strategies to market the products that they offer. They will also have to provide exclusive coupons and discounts to the customers so that the customers can be encouraged to shop offline. |
References
Dean, C. (2019). Social media marketing strategies used by owners of small retail businesses (Doctoral dissertation, Walden University). Retrieved from: https://scholarworks.waldenu.edu/dissertations?utm_source=scholarworks.waldenu.edu%2Fdissertations%2F6989&utm_medium=PDF&utm_campaign=PDFCoverPages
Dzwigol, H. (2020). Innovation in marketing research: quantitative and qualitative analysis. DOI: http://doi.org/10.21272/mmi.2020.1-10
Sanaei, M. R., & Sobhani, F. M. (2018). Information technology and e-business marketing strategy. Information Technology and Management, 19(3), 185-196. DOI: https://doi.org/10.1007/s10799-018-0289-0
Wilson, E. J., McCabe, C., & Smith, R. S. (2018). Curriculum innovation for marketing analytics. Marketing Education Review, 28(1), 52-66. Retrieved from: https://www.researchgate.net/profile/Elizabeth-Wilson/publication/322319662_Curriculum_Innovation_for_Marketing_Analytics/links/5aabd2fbaca272da5d458bca/Curriculum-Innovation-for-Marketing-Analytics.pdf
Zhu, G., & Gao, X. (2019). Precision retail marketing strategy based on digital marketing model. Science Journal of Business and Management, 7(1), 33-37. DOI: 10.11648/j.sjbm.20190701.15
