Planeamiento y Dirección en Marketing

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- Marketing Area

Analyzing the marketing area of ​​the company we have to start from 4ps based on the qualities of the product, price, promotion and place.

Analyzing the product we can realize that the Ito Yokado group was a chain of Japanese supermarket stores 7/11 and other retail stores of great impact in Japan being able to generate many sales in a short time this was something fundamental for the growth of the company, On the issue of price we can say that they were focused on their customers think many more that the company had low prices in the market but also wanted to be noted as a major company in the market and generated great brand value, In promotion we can analyze that the company was very aware advertising on television was one of its main means of promotion that had the company and that had to focus on this means to continue attracting people; Analyzing the place we can say that the company remodeled its facilities so as to have a good brand image with the customer improving the presentation systems this was a key factor to generate a coupling with the customer.

- Finance Area

Analyzing the area of finance we can see that the company found that its margins were very low and had to do something to be able to change that situation because if they wanted to continue growing they should raise their margins and so they made a reform plan that was a way Important to be able to raise its margins and so the company can continue to grow in the market, having an analysis was a key decision of the company to gain more market.

- Sales Area

Analyzing the area of sales we can realize that it was important since the volume of sales was over the billions of yen, we can analyze that the company had a strong sales force that year since its sales were high and could grow each Day more, they had 3304 stores and a net profit of 189 billion yen on sales of 599.1 billion yen that means that the company was doing its work well in sales and that they had to continue down that road, The sales control was monitored by store executives who had extensive sales monitoring this was also an important aspect since the area was very tidy and also very efficient.

- Problem

Inefficiency in the Japanese distribution system

- Possible Solutions:

- Perform an internal analysis of the company to know the best way to do pricing and identify whether the problem is internal or external.

- Persuade the market through environmental sustainability or any problem that affects the geographic environment where the supermarkets are located.

- Improve the merchandising and marketing Strategy’s to pull more customers.

- Create their own, distribution channel.

- Analysis of possible solutions

- Today, many companies do not know how to set prices in relation to the market, focus on internal costs and seek to reduce costs of production, advertising, maintenance or personnel. However, they do not analyze how the market is moldable and the different strategies that can be use to obtain greater profitability without altering the processes of the company. The willingness to pay of the client is uncertain, however, persuading the purchase through new products, better promotions or discounting a few cents to a good is a reality that many companies handle as they know the weaknesses of their target and at the same time, they know that changes in the product or price could increase the profit margin. It should be emphasized that for the pricing, outside the basic knowledge of the market, the reason or reason for its behavior must be known. The owner of supermarkets, Ito Yokado, should analyze the indicators of his company and the environment. It is important to identify which attributes are most valued by the consumer and how they vary in their environment.

- The Japanese market is recognized for the high knowledge and technological development as well as the production of all kinds of products at a lower cost. However, this has also affected the environment and few companies actually do something for society. Being a supermarket chain with a diversity of products, it could be strengthened to help low-income sectors with donations of products or annual activities that help them to have a positive image vis-à-vis the public. Although it is a short-term expense, in the long term it should be considered as an investment since quantitatively the results will not be very high, however, there will be a higher mark-to-market ratio. Between 1964 – 1970, Tokyo was the center of the Olympic Games and this brought with it an increase in GDP, therefore the market had increased its purchasing power. Those who bought certain products in more economical places, were already in the possibility of making their purchases in bigger places. This type of event is the ideal opportunity to attract new customers and at the same time, present itself as a sustainable supermarket chain, aware of its environment and willing to always give the best to its customers.

- By giving the Empowerment and see how good it has being in the environment of ITO YOKADO, Mr Suzuki should focus on the Marketing and merchandising strategies to increase this revenues by doing degustation’s of products, banners on the point of sell. In the other hand, get the seller information to manage this marketing campaigns. This would work in any of the Distributions points that the corporation got with specified materials for each retail, however, this marketing promotions should be specified in each Retail, because as we know the demand in each of this its very different, but, giving the same message to the customers, quality and confidence.

- As many other companies in the world, creating their own distribution channel to deliver the product to each retail, with this, it should decrease cost and increase the decision power in this channel and Ito yokado could better coordinate their product distribution and the timing of the delivery of products. They also could make their trucks part of the marketing strategy by adding the logo of the company with any slogan to create brand awareness.

- Solution

By improving the merchandising and marketing strategys to pull more customers would be the best option for Ito Yokado because of the RP plan that has worked very well, it could increase its development