...JOHN A. QUELCH CAROLE CARLSON Reed Supermarkets: A New Wave of Competitors At 4:30 p.m. on December 6, 2010, Meredith Collins, VP of Marketing for Reed Supermarkets, walked down the sidewalk of the 10-store strip mall that housed Reed’s Westgate Plaza branch in Columbus, Ohio. Collins didn’t shop; instead she took mental notes about store traffic, first at the Reed store and then at an indirect but increasingly worrisome kind of competitor—a dollar store. The Reed was predictably well lit and inviting, and Collins could see three registers open and two or three customers in line at each. “Not too bad” she thought, “but not what I would hope for at this time of day, this close to the holidays.” She’d felt the same way at two other Reeds she’d visited that day . Collins walked on to the Dollar General (DG). A fairly steady stream of shoppers entered DG’s doors, their progress slowed by families exiting with plastic bags jammed full. When Collins looked inside, she noticed workers filling what was obviously a new freezer case—the first freezer she had seen in a dollar store that day. This DG was doing just as well, to judge from this glimpse, as the Family Dollar she’d walked past half an hour earlier at North Valley—but no better than the Aldi store she had visited in the morning. That Aldi trip was interesting: a bright and spotless mini- supermarket, run by a giant firm from Germany that carried one-tenth the food items that a Reed did and sold virtually no brand names, only...
Words: 6658 - Pages: 27
...Reed Supermarkets Growth Action Plan Prepared By: Vishal This document explores the Industry of Supermarkets, Industry players and Competition and outlines the Growth Action Plan for 2011 to be driven by Meredith Collins, VP of Marketing, Reed. Reed Supermarkets Growth Action Plan 2011 Action Plan for Reed’s Growth 2011 Background: Meredith Collins, VP of Marketing, Reed, needs a plan for 2011 to execute to grow its current market share from 14% to 16%. Margins for error are negligible as competition has intensified in every segment and current economic conditions aren’t looking good. Recommendations for Growth: Stop the dollar special for each week: 1st step is to stop the dollar special promotion immediately. This is not consistent with the brand equity and positioning built over the years. It’s resulting in net operating loss of 76% on each discounted item and overall decreased the net operating profit for 2010 to 0.4% only (details in justification). Moreover, this promotional activity is polluting the message for regular consumers, considering that some of the dollar stores are located nearby. Increase Sales Target: To increase the current market share to 16%, sales target is set to 775Mn for 2011. It’s an increase of 95Mn. from 2010, on the assumption that total market size (4.74Bn) remains same. Focus and Maintain current Target Segment and Increase the Wallet Share: Continue focusing on the current target segment of affluent and older customers with smaller...
Words: 3275 - Pages: 14
...Reed Supermarkets – Action Plan Prepared by : Rishi Ranjan Reed Supermarket – Case Analysis Problem Statement : Meridith Collins, VP of marketing of Reed Supermarkets, is asked to increase the current market share of 14%(2010) to 16% by 2011.The following constraints are evident : 1. The market is fragmented with multiple players. 2. The operating margin is merely 2.1%, no scope of any error. 3. No investment plan for increasing the no. Of stores. Options available: 1. Increase margin/increase revenue – It will increase profitability. 2. Introduce Niche products – Healthy food items, organic products. 3. Increase operating efficiency – It will lower the operating cost. 4. Loyalty programs – It will help in retaining the customers. 5. Introduce mid-range products – It will attract non-affluent consumers. 6. Make tie-ups with corporate houses/ partners – It will add to the consumer base that may remain loyal. 7. Convert to Dollar store/ open dollar stores as a separate brand – New brand. 8. Introduce private labels – New range of products. Recommendations: 1. Closure of Dollar Special service – As per the given data, the Dollar special products were being offered at a price 44% lower than the average price which was not generating money at all. Infact it was creating a loss of 80%.Also this Dollar scheme had hit the image of Reed (Quality product seller). 2. Reed customers were older and affluent players, so Reed should extend its services further to create...
Words: 619 - Pages: 3
...players • Meredith Collins, VP of Marketing for Reed Supermarket • Dollar stores are increasing competitorThe Dollar General (DG), , Family dollar, Aldi poses threat due to its remarkable low price, • Jack Morrissey, CEO of Reed Supermarket • Other supermarkets like Wal-Mart, Costco • Higher-end customers • Food manufacturers—aldi, trader joe’s, sell mostly private label merchandise Limited selection stores a) The main problem or two key problems. • Declining shares in the past in the Columbus, Ohio market—the fight for market share is very intense due to large supermarkets, small regional chains, independents that include lower priced TopVal, mid-range Galaxy (owned by Supervalu), and top-range Delfina, three Whole Foods Market—Wal-Mart Supercenters, four Target Superstores, and one regional chain, Five Warehouse outlets—three Costco and two Sam’s, low-end channels like drug stores and gas stations (COMPETITORS) • Unite States’ consumer price index is flat—customer are not loyal, they have become savvy customers who shop at different stores for a best deal, Warehouse has attract consumer bulk buying shoppers, the growth of private label foods, American consumers has become health conscious—benefiting whole food stores, Trader Joe and others like Reed, • The perceive customer believe that Reed’s products are expensive—and price is indeed higher, main problem pg 6 • Dollar special campaign might tarnish the image of Reed because it is too close to dollar store offerings...
Words: 726 - Pages: 3
...• Meredith Collins, VP of Marketing for Reed Supermarket • Dollar stores are increasing competitor→The Dollar General (DG), , Family dollar, Aldi poses threat due to its remarkable low price, • Jack Morrissey, CEO of Reed Supermarket • Other supermarkets like Wal-Mart, Costco • Higher-end customers • Food manufacturers—aldi, trader joe’s, sell mostly private label merchandise Limited selection stores a) The main problem or two key problems. • Declining shares in the past in the Columbus, Ohio market—the fight for market share is very intense due to large supermarkets, small regional chains, independents that include lower priced TopVal, mid-range Galaxy (owned by Supervalu), and top-range Delfina, three Whole Foods Market—Wal-Mart Supercenters, four Target Superstores, and one regional chain, Five Warehouse outlets—three Costco and two Sam’s, low-end channels like drug stores and gas stations (COMPETITORS) • Unite States’ consumer price index is flat—customer are not loyal, they have become savvy customers who shop at different stores for a best deal, Warehouse has attract consumer bulk buying shoppers, the growth of private label foods, American consumers has become health conscious—benefiting whole food stores, Trader Joe and others like Reed, • The perceive customer believe that Reed’s products are expensive—and price is indeed higher, main problem pg 6 • Dollar special campaign might tarnish the image of Reed because it is too close to dollar store offerings...
Words: 725 - Pages: 3
...spending on clothing increased by 12.5% between 2006 and 2010, which was slightly below the rate at which overall consumer expenditure increased (12.9%). In 2010, it was estimated that the clothing retailing market was worth £41.9bn, which was the highest value seen over the review period. Key Note believes that supermarkets have increased their share of the clothing market, now accounting for around 25% of the total market. Supermarket retailers have witnessed a large increase in sales since the recession, as consumers became more cautious about unnecessary spending, and turn to cheaper alternatives available in the supermarkets. There has also been a decline in specialist companies operating within the clothing retailing industry, with figures from National Statistics indicating that, in 2010, there were 11,800 shops, compared to 12,700 in 2009; this represents a 7.1% decrease over the course of that year. This phenomenon is visible in many UK cities, where an increase in empty high-street shops is apparent. Many independent shops were forced to exit the market after the recession, as they could not compete with the larger well-known retailers and supermarkets. The cost of clothing is expected to rise, shaping the industry over the forthcoming years. On the 4th January 2011, VAT increased to 20%, while the rising cost of cotton will continue to increase the retail price of garments. Other issues, such as the weak pound affecting imports and the costs of...
Words: 819 - Pages: 4
...Group Interim Report Group Name Date submitted Client’s name Executive summary of the changes you are proposing with a rationale for the changes. Portfolio 1 Portfolio 2 SOURCE ----------------------- 27/10/2013 Group 20: Girls’ Power David King Markowitz portfolio theory (MPT) is a theory on how risk-averse investors can construct portfolios to optimize or maximize expected return based on a given level of market risk, emphasizing that risk is an inherent part of higher reward. According to Markowitz portfolio theory, investors attempt to maximize portfolio expected return by analyzing risk, return, correlation and diversification...
Words: 1613 - Pages: 7
...Privacy policies, code of ethics, insider trading policies. All the policies are consistent with each other. They all want their employees and board members to act ethically. They want their nonpublic information to stay private and prohibit insider information trading. vi. II. Corporate Governance a. Board of Directors i. Mostly External members. Jay Hoag- Technology Crossover Ventures. Timothy Haley- Redpoint Ventures. Ann Mather- MGM holdings Inc. Leslie Kilgore- Linkedln Corporation. Richard Barton- Zillow, Inc. A. Battle- Aspen Institute. Reed Hastings- Chair of board ii. Significant shares on the board are only held by Leslie Kilgore. Reed Hastings and Jay Hoag hold 0. iii. Publically traded iv. Richard Barton-2002 A. Battle-2005 Timothy Haley- 1998 Reed Hastings- 1998 Jay Hoag -1999 Leslie Kilgore- 2000 Ann Mather- 2010 b. Top Management i. Reed Hastings is the Founder and CEO. David Wells is the CFO. ii. Reed Hastings has been the CEO since 1998. He...
Words: 1194 - Pages: 5
...University of Surrey | Consumer Behaviour | Factors influencing students’ choices of branded grocery products when grocery shopping’ | | Thomas Partridge (6166777) | 4/22/2013 | A focus groups, face-to-face interviews, and in-store observation of a shopping will be used to investigate the factors affecting purchasing behaviour of students. A Comparison of the strengths and weaknesses of each of the three data collection methods. Suggestion of ways in which marketing managers could use your findings on shopping/purchase determinants to improve business performance | Contents 1. Introduction 2. Fieldwork Results 2.1. Price 2.2. Quality 2.3. Discounts 2.4. Personal Preference and taste 2.5. Brand Reputation 2.6. Other peoples reviews 3. Analysis of data Collection Method 3.1. Advantage and disadvantages of collection methods 3.2. Summary of the three research methods 4. Practical implications of findings 5. Appendix A. Focus Group B. Interview 1 C. Interview 2 D. Observational shop 1 E. Observational shop 2 1. Introduction Within this report explores the factors influencing students choices of branded grocery products when grocery shopping through a three types of data collection methods, which are a Focus Group, two Face-to-face- interviews and two observational shops. After analysing the findings the advantages and disadvantages of the research methods are discussed...
Words: 13815 - Pages: 56
...Reed Hastings is the founder and CEO of NetFlix. Hastings has traveled a long way from selling vacuum cleaners door-to-door, which was his first job after graduating from H.S. in 1978. Hastings went to Bowdoin College where he majored in Mathematics and he graduated in 1983. After graduation, Hastings backpacked along Africa in the Peace Corps where he taught high school math to children. Upon his return from the Peace Corps, Hastings chose to go back to school to receive his master’s degree in computer science from Stanford University. After attending Stanford, Hastings worked for a software company where he invented a tool for debugging software. In 1991, Hastings left the company to pursue his own business endeavor, which was a start-up organization called Pure Software. The purpose of this company was to provide products which would help individuals troubleshoot software. The company was a huge success and was rapidly growing; in 1996 the company merged with another software company and became Pure Atria. Hastings asked to be appointed as Chief Technical Officer, but left shortly after the company was merged. In 1997, Hastings founded Netflix and launched the subscription service in 1999. Netflix was invented when Hastings had a $40 late-fee when he lost Apollo 13 while renting it. Netflix has grown a lot since then; it is a large company known for their innovative practices. The company grew to one million subscribers in less than four years, and reached...
Words: 347 - Pages: 2
...Project Proposal The proposed organizations for this project are Netflix and Blockbuster. This research project will demonstrate why the two companies changed to stay in competition. Additionally, this research project will demonstrate how technology obligates organizations to change their business model. Blockbuster opened their first store in 1985 in Dallas, Texas and expanded to operate 6,500 video rental stores (Blockbuster, n.d.). The organization was a competitor in the small video rental stores by providing a wider selection of movies and game rentals. Because of the positive, public acceptance Blockbuster expanded quickly and opened stores across the nation, London and Canada (Blockbuster, n.d.). Netflix was founded in 1997 in Scotts Valle, California. The organization website was launched in April 14, 1998 providing to the public online-per-rental model. Netflix introduced the monthly subscription concept in September, 1999. In February, 2007 Netflix introduced the video-on-demand via the Internet. At the present time Netflix provide services in Canada, Latin America, the Caribbean and Europe. Netflix is recognized to be one of the most successful dot-com ventures (Funding Universe, 2011). ORGANIZATIONAL CHANGES Blockbuster was purchased by Dish Network after filing for bankruptcy in late September 2010. The company has closed a large number of stores at it works to create an online video-streaming outlet (Merced, 2010). Blockbuster’s edge over...
Words: 2065 - Pages: 9
...Table of Content Page Introduction Company Information 1 Paper Outline 1 Introduction of Qwikster – The Spinoff of Netflix 4 – 6 Implications 6 Commentary 7 Netflix’s Cancellation of Qwikster 7 Conclusion 8 References 9 INTRODUCTION Company Information Netflix Inc., established in 1997 and headquartered in Los Gatos, California offers internet subscription service, streaming television shows and movies. Subscribers of Netflix can watch unlimited television shows and movies streamed over...
Words: 1519 - Pages: 7
...Characters in the Minority Georgiana and Eliza Reed are described as "feeling without judgement"(Georgiana) and "Judgement without feeling" (Eliza) - both are used to differentiate what happens when one takes one side to the extreme of both types of behaviours. In effect, Jane finds she has to fight to preserve the balance in her character between judgement and feeling - the Reed sisters therefore provide a strong example as to what happens if the balance between the two is upset. Blanche Ingram is a woman without scruples or morality, she is haughty and proud, very beautiful and priveleged too, but is nevertheless shallow and intellectually inferior. She is a warning Jane, who is soon to be faced with the temptation to give in to her passions and embrace the shallow life of a courtesan, when Rochester pleads with her to go to the continent with him after the "wedding". The more virtuous minor characters serve the same function, standing as moral or spiritual beacons to which Jane may aspire, but may not ever reach. Maria Temple - the charitable schoolteacher is both an example and a warning. She can and does serve as a role-model for Jane but is also powerless, having to answer for her independence to a wrathful Mr Brocklehurst, and having no real authority when he is on the premises. Her position is inferior and she submits too. Jane later will break this pattern at Thornfield, in her dealings with her employer, but ironically her habit of submissiveness is gained as a...
Words: 387 - Pages: 2
...Merrill Lynch The Dual Listings July 2002 EVENT DRIVEN & EQUITY ARBITRAGE SALES FOR INTERNAL USE ONLY Trades Examined: UK - Netherlands Reed Elsevier NV (REN NA) vs Reed Elsevier Plc (REL LN) Royal Dutch Petroleum (RDA NA) vs Shell Transport & Trading Co Plc (SHEL LN) Unilever NV (UNA NA) vs Unilever Plc (ULVR LN) UK - Australia BHP Billiton Ltd (BHP AU) vs BHP Billiton Plc (BLT LN) Brambles Industries Ltd (BIL AU) vs Brambles Industries Plc (BI/ LN) Rio Tinto Ltd (RIO AU) vs Rio Tinto Plc (RIO LN) Introduction: The purpose of this report is to provide a basic overview of the dual-listing environment, highlighting the nature of company structures involved, why the structures were adopted and how they work. Contents: Page 1. Frequently Asked Questions 2 2. Why do Dual Listed Companies Exist? 4 3. Dual Listing Structures 5 4. Currency Risk 6 5. Terminology 7 6. Factors Affecting Performance 8 Appendix 1: Stock Specific Data A.1 Reed Elsevier NV vs Reed Elsevier Plc 10 A.2 Royal Dutch NV vs Shell T&T Plc 12 A.3 Unilever NV vs Unilever Plc 14 A.4 BHP Billiton Ltd vs BHP Billiton Plc 16 A.5 Brambles Ind. Ltd vs Brambles Ind. Plc 18 A.6 Rio Tinto Ltd vs Rio Tinto Plc 20 Glossary of Terms 22 1. Frequently Asked Questions Q. What is a dual listed structure? Where a company is listed on two exchanges it is referred to as a...
Words: 4065 - Pages: 17
...Alyiah Johnson 20130225 10 Block The Truth about It Characters: April: Daughter of Lauren Lauren: Mother of April and Prostitute of James and Girlfriend of Jacob James: Husband of Renée and Pimp of Goldie Street Renée: Wife of James and Secret Lover of Jacob Jacob: Boyfriend of Lauren and Secret Lover of Renee Act 1 Scene 1- Lauren’s House *As the sun being to rise April is returning home from her morning run and enters the house. Her mother, Lauren, is upstairs getting a hit she doesn’t notice the time.* April: Mom? *she shouts* Where’s breakfast!? The bus will be here in 30 minutes! (Lauren get a sudden realization of the time and franticly thinks of an excuse.) Lauren: I’m busy! You’re old enough, make it yourself. *She finishes her line. April becomes frustrated and storms up the stairs to see what Laruen is doing, but Lauren hears her and slams her door shut, then she locked it* April: What are you doing?! Lauren: Don’t question me! Go get ready for school! *April goes and get dressed for school and fixes her breakfast, time goes by and the bus pulls up for April and she leaves with a slam of the front door. Lauren reaches in her purse and gets out her cell phone to make a phone call.* Scene 2- James’ House *James wakes up to a phone call* James: Hello? Lauren: Hey! I’m ready to work. You down? James: Yeah, I’m on the way. *James hangs...
Words: 1553 - Pages: 7
