What is the difference between the management strategies of large supermarkets and small chain supermarkets?

In recent years, with the development of economy and the improvement of people's material level, in the field of commodity retail, according to the changes of people's consumption habits, there are two completely different formats: large supermarkets and small chain supermarkets.

? Phenomenologically, different supermarket scales, different location preferences, and different flow of people have led to different marketing strategies. My research believes that the starting point of marketing must be to fully combine the characteristics, operating costs and income structure of large and small supermarkets to make their advantages more prominent, or to make up for the shortcomings of operating costs and income structure, so as to make their advantages longer and avoid shortcomings.

Therefore, this paper first introduces the different characteristics of large and small supermarkets, explains the differences in operating costs and income structure through the characteristics, and finally expounds how they can maximize their advantages by using different marketing strategies.

First, the characteristics of large supermarkets and small supermarket chains

(a) from the region.

The single store area of a large supermarket is generally from several thousand to tens of thousands of square meters, and the area of a small supermarket chain is generally below 1000 square meters;

(B) from the perspective of personnel flow

As a part of urban complex, large supermarkets have the characteristics of concentrated crowds and long duration of peak crowds, and the number of people in stores is generally around 1000. The peak of people flow in small supermarket chains coincides with the peak time of commuting, and the flow at other times is relatively stable, and the number of people in the store is generally less than 30.

(3) From the perspective of commodity types

Judging from the types of goods, there are many kinds of goods in large supermarkets, including food and beverage, daily necessities, household appliances, clothing, cosmetics and so on. Small supermarket chains have a single category of products, which are basically fast-moving consumer goods, such as food, beverages and daily necessities.

From the point of convenience.

Large supermarkets are generally selected in urban centers, regional centers or transportation hubs, while small supermarket chains are generally selected in mature residential areas. Therefore, large supermarkets generally need to drive or take public transportation, and small supermarket chains are more convenient and can walk.

(E) From the perspective of demand elasticity

The different types and convenience of goods in large and small supermarkets lead to greater elasticity of customers' demand for large supermarkets and greater rigidity of demand for small chain supermarkets. In short, the frequency of customers going to large supermarkets is low, and the frequency of going to small supermarket chains is high.

Second, the operating costs are different.

Operating cost mainly refers to the unit cost, regardless of the size difference of large and small supermarkets. It can be roughly divided into five aspects: unit purchase cost, unit area decoration cost, unit area rental cost, employee personal cost, unit area water and electricity and property cost.

Purchase cost

? Large supermarkets and small supermarket chains have high credibility, fast commodity turnover, little difference in bargaining power and low unit procurement cost.

(2) unit renovation costs

The large supermarket was renovated at one time. Due to the large decoration area, the decoration cost per unit area can be greatly reduced through negotiation. Small supermarket chains have more flowers, and the decoration is generally exquisite, and the unit decoration cost is not obvious or even higher than that of large supermarkets.

(3) Rent cost per unit area

Large supermarkets have large areas and low rents per unit area. At the same time, some foreign retail giants often open their own stores, with a large one-time investment, but low cost in the later stage. Small supermarket chains are generally located near residential areas. With the improvement of the maturity of residential areas, the rental cost per unit area is also rising.

The cost of a single employee

In the absence of revolutionary progress in the means of production, there is no difference in productivity between the two employees, so there is little difference in the cost of a single employee.

(5) Electricity and property fees per unit area

Both are commercial formats, and there is little difference. Among the first three costs, the cost of small supermarket chains is slightly higher than that of large supermarkets, and the latter two are basically the same.

? The above characteristics of large and small supermarkets lead to the different income structure between them, which in turn leads to the different marketing strategies between them.

Third, the source of income

? (1) Profit from commodity sales

As the main business of supermarkets, commodity sales are the main source of their profits, regardless of size. The purchase price, decoration cost and facade rental cost of large supermarkets are all low, so the profit of single products is relatively high. The bargaining power of small supermarket chains is equivalent to that of large supermarkets, but the decoration cost and facade rental cost of the same grade are higher. Therefore, the commodity prices in small supermarkets are generally slightly more expensive than those in large supermarkets. The purchase price, decoration cost and facade rental cost of large supermarkets are all low, so the profit of single products is relatively high. The bargaining power of small supermarket chains is equivalent to that of large supermarkets, but the decoration cost and facade rental cost of the same grade are higher. Therefore, the commodity prices in small supermarkets are generally slightly more expensive than those in large supermarkets.

(2) Admission fee

First, merchants pay the entrance fee directly to the supermarket; Second, supermarkets and businesses share profits. Large supermarkets are more likely to charge admission fees. As big as WeChat, Alipay and other service providers develop scan code payment services, as small as various manufacturers, such as beverage and food merchants, to explore the market. On the one hand, customers are invited to taste, on the other hand, they have to pay the entrance fee to the supermarket. Small supermarkets are limited by the site area and the flow of people, and the merchants are not willing to enter, so it is difficult to collect the entrance fees of commodity merchants. Most small supermarkets are located near residential areas and can provide convenience services, so they can charge admission fees for mobile phones, bus cards, utilities and other services.

? (3) Advertising expenses

? Large supermarkets generally set up advertising spaces in conspicuous places so that merchants can put advertisements. Because large supermarkets have a large flow of people and good advertising benefits, they can attract more businesses to advertise. Small supermarkets are limited by the site area and the flow of people, and the merchants are not willing to enter, so it is difficult to charge advertising fees.

? (4) booth rent

There are two kinds of booth rents in large supermarkets. One is the stalls set up in the supermarket, such as imported food, high-grade tobacco, alcohol and tea. The second is the stalls opened outside the supermarket, such as clothing and catering. Small supermarkets are mainly limited by the site area, and there are few or no booths available for rent. Small supermarkets are mainly limited by the site area, and there are few or no booths available for rent.

? (5) Other businesses.

Large supermarkets can carry out parking lot charging business, etc. Small supermarket chains can provide breakfast, working lunch, express delivery and other services.

The different external characteristics of large and small supermarkets objectively lead to different operating costs and main income sources, and the two formats have their own advantages and disadvantages. In order to give full play to their respective advantages and make up for their respective shortcomings, they have launched various different and wonderful marketing strategies.

? Fourth, marketing strategy.

? (1) low price.

? 1. Specific practices Large supermarkets have advantages over small chain supermarkets in unit commodity operating costs, so large supermarkets can adopt general low-price pricing strategies to attract customers. Over time, when its reputation of high quality and low price spreads, the increase of passenger flow will help to increase its sales.

2. The low-price strategy of large supermarkets is mainly suitable for large supermarkets, because of its operating cost advantage, there is enough profit space to give profits to customers.

3. The operating cost advantage of small supermarket chains is not obvious, and more attention should be paid to high quality rather than low price. To gain the same pricing advantage as a large supermarket, we should have a clear strategic positioning and target customer group positioning before opening. We can choose inferior standards in decoration cost and store location to strive for lower pricing opportunities. The operating cost advantage of small supermarket chains is not obvious, so we should pay more attention to high quality rather than low price. To gain the same pricing advantage as a large supermarket, we should have a clear strategic positioning and target customer group positioning before opening. We can choose inferior standards in decoration cost and store location to strive for lower pricing opportunities.

(2) Promotion

1. The specific method is to increase sales by taking more frequent and stronger discount activities. Objectively, it can give customers an intuition that supermarkets often promote sales, which can directly affect the passenger flow, thus forming a virtuous circle.

2. The basis and premise of the promotion strategy of large supermarkets is that there are many kinds of goods, large quantity of goods and large passenger flow. Therefore, the advantages of large supermarkets are more obvious.

3. Small-scale supermarket chains Small-scale supermarket chains have small passenger flow in a single store, small total commodities and few types of commodities, which have great limitations in doing promotional activities. Even the promotion, strength and scale can not compete with large supermarkets.

? (three) advertising space rental, booth rental

1. Specifically, it is to use the walls, ceilings and even underground parking lots of supermarkets as advertising spaces; Rent some booths with high rental value.

? 2. Advertising space and booth rental in large supermarkets are generally suitable for large supermarkets. First, the venue area is large, and second, the passenger flow is large, which has a strong appeal to businesses. Renting advertising space and booths can effectively increase income.

? 3. Small supermarket chains? The space of small supermarket chains is limited, and the space for advertising space and booth rental is also limited. ? The space of small supermarket chains is limited, and the space for advertising space and booth rental is also limited.

(4) Off-site activities

1. The specific method is to use weekends or holidays to recruit brand merchants at the entrance of the supermarket to do product promotion or cultural and entertainment performances.

2. The strategy of off-site activities in large supermarkets is more suitable for large supermarkets.

? 3. Small supermarket chains Small supermarkets are limited by the space and have limited development space.

? (5) Catering service

? 1. The specific method is to provide breakfast, working lunch and dinner services by using the cashier area of the supermarket.

? 2. The convenience of large supermarkets is poor, and it is difficult to provide convenient working meal service.

? 3. Small supermarket chains Small supermarket chains are close to residential areas or office buildings, so it is more convenient for small supermarket chains to provide breakfast and working meals.

? (6) Free parking and free public transportation.

1. The convenience of large supermarkets is not as good as that of small chain supermarkets. Free parking, free shuttle bus, etc. can be used to attract more passengers when the passenger flow is new or low on weekdays.

? 2. Large supermarkets will lose part of their income, but in the long run, they can effectively cultivate customers and expand other business income. Large supermarkets will lose some revenue, but in the long run, they can effectively cultivate customers and expand other business income.

? 3. Small supermarket chains Small supermarket chains have no parking lots, so it is impossible to carry out this marketing strategy.

(7) Free participation

1. The specific practice is different from that of direct franchising. Each store can join freely from different sources of funds, and supermarkets can charge joining fees or share profits.

2. Because of the large amount of funds, large supermarkets have higher requirements for the strength of free franchisees, so there are more direct chain stores in large supermarkets.

3. The opening cost of small supermarket chains is much lower than that of large supermarkets, so it is more attractive to free franchisees.

(8) collecting express delivery.

1. Specific practices With the rise of e-commerce, the average daily express delivery of residents is very large. Receiving express delivery on behalf of office workers can charge a certain percentage of the entrance fee of the express delivery company to expand the passenger flow.

Large supermarkets are generally far away from residential areas, so it is difficult to carry out this business.

3. Small supermarket chains are convenient and close to residential areas, and can carry out this business with the main purpose of bringing customers. Small supermarket chains are convenient and close to residential areas, and can carry out this business with the main purpose of bringing customers.

As two representative formats of traditional supermarkets, large supermarkets and small chain supermarkets have strong vitality and market adaptability.

Because of my limited research ability, I can only make a simple analysis of what I have seen and heard.