The announcement last Monday resulted in members of staff losing their jobs. Mr van Gorp said when they started the aim was to attract as many customers as possible away from traditional to online shopping. Douglas Brown, marketing director of Wellcome, a major adMart rival, said adMart's business strategy was wrong. People in Hong Kong liked to go to stores to look around, he said.
Determined to change this position, however, PARKnSHOP set out on a journey of fundamental change in the mid s which has seen it expand the nature and scope of its business, become a truly quality-driven organization, achieve market leadership and begin to change the very nature of food shopping in Hong Kong.
The external signs of this change have been many: But behind these visible external signs there has been a parallel change in the PARKnSHOP organization, turning a traditional retailer into a customer-focussed business with clear organizational Goals and Strategies and a quality-driven approach to process management which has achieved outstanding results.
In tandem with this development, the management team also mapped out a new process for development, implementation and monitoring of its corporate strategies.
Recognizing the need for corporate strategies to be 'owned' by the whole organization, this process involves an annual review of business results by different work groups, and an 'upwards cascade' of learnings and suggested refinements to the existing strategic approach. These learnings are then debated in a series of Workshops which in turn produce a set of refined strategies these are called Critical Success Factors for the year ahead.
Each Critical Success Factor CSF is 'owned' by one member of the senior management 'Strategy Group', and this person is responsible for pulling together cross-functional teams to 'cascade' the CSF back down the organization and to establish and implement the plans necessary to execute it effectively.
As the year progresses, CSF Teams report regularly to the Strategy Group, thus ensuring a continuous 2-way dialogue up and down the organization on each Critical Success Factor. Each year since the mids this process is repeated. Each year, following organization input, some CSFs are refined, and some dropped, to be replaced by new ones as the business situation changes.
But this focus on the key Parknshopnmarketing strategies priorities, and the cross-organizational ownership that the process brings, has played a huge role in changing the nature of its organization and in delivering Parknshopnmarketing strategies success PARKnSHOP has achieved.
A diagrammatic summary of this process is: Customer and Market Focus Alongside the change to the process of Strategic Planning outlined above, the company has also step-changed its understanding of, and focus on, its customers. This began to change in the mids as it developed a more sophisticated understanding of the segmented nature of the market in Hong Kong.
Working with external research agencies PARKnSHOP has now built up an outstanding understanding of its customers, its competitors, the market-place and its performance within it, and have put in place relatively sophisticated systems to track each of these regularly.
More importantly, it has established new systems of sharing this information internally such that individual managers have the relevant information to enable them to make data-based, customer-focussed decisions on a day-to- day basis. Typical outputs of this increasingly sophisticated understanding are seen in the development of the company's Superstores, where it is able to effectively segment its offer for international customers Stanley Plazaaffluent local customers Festival Walk a mix of affluent, budget and business customers Hopewell Centre or a typical budget housing estate customer base Hau Tak Estate.
This customer-focussed, data-driven approach is now pervasive across PARKnSHOP's business and, as Information Technology develops exponentially, provides both one of its biggest opportunities and biggest challenges for the future.
Each week, the senior management group the Strategy Group review a 'dynamic scorecard' of key business data, which includes updates on consumer attitudes, pricing and promotions, customer service performance, and detailed sales and profit data 'sliced and diced' appropriately inline with the main internal business processes.
Cost centre efficiency is also tracked and reported weekly to ensure the senior management team constantly has its 'finger on the pulse of the business'. Further down the organization, processes have been designed to ensure decision-makers have the latest customer, market-place and cost data available to them in a form relevant to the decisions they make every day.
These processes provide data that impacts every element of PARKnSHOP's business - from the product ranges in its stores, to the pricing and promotions it runs, to the service its staff provide, to the layout and design of its stores themselves.
Human Resource Focus PARKnSHOP's approach to the development of its most valuable resource - its people - has been driven by a desire to involve them both in the development of the company's strategic thinking and in the implementation of the plans that flow from it.
The company's strategies for the year ahead are presented by the management team at its Annual Conference, and feedback from the whole organization is actively sought both through quantitative surveys, and via an Employee Forum discussion group.
Every individual employee has a personal development plan and a set of performance goals for the year ahead, and these are reviewed regularly. PARKnSHOP's objective is to have everyone understanding its corporate strategic direction, seeing and being enthused by their role in delivering it, and feeling able to advance in the organization as far as their abilities and desires allow.
Keys to effective process management in its organization are: Constant focus on the customer, and the provision of quality data ensures that these attitudes work in a positive way to keep its business moving forward.
Most importantly the combination of Superstore expansion and its developments in the area of fresh food, in particular the hygiene and safety enhancements of its Fresh Check campaign have begun to change the way people shop for food in Hong Kong, with levels of customer loyalty to PARKnSHOP, and particularly to its Superstores, rising all the time.
Nowhere has the application of Quality Management processes had a bigger impact on its business than in the area of fresh food. Today, with 29 Superstores, it is an increasingly important player and, thanks to a Quality approach to this area, it is bringing new standards of hygiene and safety to an area where Hong Kong has traditionally been extremely vulnerable.
Inrecognizing the consumer desire for safer fresh food, and the hygiene problems endemic in the traditional fresh food supply chain in Hong Kong, it launched its Fresh Check campaign, a Quality-Driven programme committed to "Providing Hong Kong's consumers with fresh food whose hygiene and safety match the standards of the very best in the world".
Today, its Fresh Check campaign has made huge strides towards achieving this Goal, including:Marketing Strategy Of Parknshop. Marketing strategy is defined by David Aaker as a process that can allow an organization to concentrate its resources on the optimal opportunities with the goals of increasing sales and achieving a .
PARKnSHOP is basically one of the two largest supermarket chains in Hong Kong. This project report aims to find out “Why is a winning business”, review the business strategies, state the opportunities and problems through the internal and external analysis, and show more content.
Marketing strategies – 5P 1. Products PARKnSHOP provides over forty thousand products such as beverage, wines, grocery, snacks, confectionery, fresh food, chilled food, frozen food, personal care.
PARKnSHOP are selling almost everything what you can name and even have wet market in the superstores. PARKnSHOP also provide seasonal products. The target market is the group of consumers that a marketing strategy orients toward. Organizations use different marketing strategies to appeal to varied target markets.
Undifferentiated. Marketing strategies – 5P 1. Products PARKnSHOP provides over forty thousand products such as beverage, wines, grocery, snacks, confectionery, fresh food, chilled food, frozen food, personal care.
To get a feel of what marketing strategies would work for PARKnSHOP, regular shoppers are surveyed at 30 of the 40 superstores controlled by PARKnSHOP all Free Essays; How to Increase the market share in organic product market A Case Study of PARKnSHOP in Hong Kong. PARKnSHOP's annual process of strategy development is an inclusive one, with involvement from work groups across the organization. The company's strategies for the year ahead are presented by the management team at its Annual Conference, and feedback from the whole organization is actively sought both through quantitative . PARKnSHOP's annual process of strategy development is an inclusive one, with involvement from work groups across the organization. The company's strategies for the year ahead are presented by the management team at its Annual Conference, and feedback from the whole organization is actively sought both through quantitative surveys, and via an.
Feb 19, · New strategy delivers the goods for supermarket. Hong Kong way down the entire organisation,' ParknShop's marketing director, Andrew Brent, said.
on a new marketing strategy Author: Chris Oliver.