Retail strategy Essay Example | Topics and Well Written Essays - 2750 words

Retail strategy - Essay ExampleThe five changes include, Infrastructure, innovation, Knowledge and trust relationships between the supplier, retailer, and the customer. To validate the reason for a critical paygrade on Dawsons statement is simply to say that the g classing retail industry with a powerful attraction for minor retailers proves to be death trap. This is mainly because of the increase competition and the changing conditions in the economy and consumer behaviour. However, the business of retail proves to be threatening for manufacturers creating brands and trying to sustain brand image and brand loyalty as they squeezed by the so- called retailer. In a book by Lars Thomassen, et., al (2006, pg. 1) Retailization begins by sayingWe have moved from the age of the brand to the age of the retailer - a shift that has led many brands to a near chronic state of perpetual stress and confusion. This is backed with info were the book reports that four major retail chains in the h ave 75 percent of the grocery store market, and one pound in every eight spent is in the retail heavyweight Tesco. Well this overpowering omnipotence of the retail industry had led to fierce competition with individual retailers or minor retail stores crushed to close down.There is constant fight and struggle to keep up profit margins and stay abreast of competition, which makes Dawsons statement true. ... Below is a table that reflects the diminishing share in the grocery sales of individual retailers in this competition over the recent years. The table will talk volumes of the struggle the giant retailers and medium sized establishments are undergoing. The data reported is from the Competition Commission organization in the report of Overview of UK grocery retailers The table is a factual of the share in UKs grocery sales for the various retailers in the country. The Verdict data series used in the table and provides relative sales shares of all the retailers and that of small retailers represented as others. Grocery sales share of UK grocery retailers.200220032004200520062007Tesco20.222.423.825.426.827.6Asda12.312.913.313.413.714.1Sainsbury12.812.512.612.813.413.8Morrisons3.84.210.39.69.79.9Safeway8.27.82.4000Somerfield chain2.92.833.74.13.9M&S3.33.43.43.53.63.8CGL2.83.232.92.83.8Waitrose2.52.62.833.23.3Iceland1.71.61.51.41.41.5Aldi0.911.11.31.41.5Lidl1.11.111.11.21.3Netto0.50.60.60.60.60.6Kwik save21.81.61.30.70Others24.922.119.62017.414.9Total100100100100100100Source Verdict UK Grocery retailers 2008, February 2008.( Overview of UK grocery sales )The row mentioned Others is emboldened to throw light on their diminishing share of business in the grocery sector and ultimately leading to their destruction. Find a graphic representation below.Looking closely at the figures of the larger retailers, the Year on Year sales numbers increase only at an extremely peripheral pace and retailers like Safeway have their numbers freezed