The main directions of improving the assortment of a trading enterprise. Directions for improving the assortment. Factors affecting the formation of the assortment
The authors propose directions for improving the assortment policy of small and medium-sized enterprises for the production of clothing based on taking into account a group of factors of individual consumption style. Such factors, according to which it is advisable to segment consumers, include: consumers' perception of fashion, lifestyle, degree of satisfaction with an individual wardrobe, structure and assortment of a client's wardrobe. The two most promising directions- the use of the capsule approach as the basis for the formation of the assortment and the detailing of consumer groups according to the color type of appearance. The capsule is an actual artistic system for wardrobe organization, as it allows the consumer to reduce the time spent on selecting and harmonizing wardrobe elements with a high aesthetic quality of the result. The authors' research suggests that the use of criteria for the color type of a person's appearance in the formation of the color palette of the collection series assortment matrix enterprise is essential, along with fashion offerings and psychological preferences of consumers.
appearance color type
wardrobe
consumer preferences
life style
range
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3. Klochko I.L., Falko L.Yu., Starkova G.P. An innovative approach to the formation of the assortment policy of small and medium-sized businesses in the service sector / I.L. Klochko // Modern problems of science and education. - 2012. - No. 6. URL: http://www..05.14).
4. Falko L.Yu. Individual style in clothes. [Electronic resource]. - Access mode: http://abc.vvsu.ru/Books/l_individ (date of access: 14.05.14).
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Introduction
Today, for the majority of enterprises of small business structures for the production of clothing, the most important and relevant problem is the formation of the assortment. For small businesses in the competitive fashion industry, failing to meet this challenge can be disastrous. The vector of the "assortment policy" of the enterprise is determined in the process of finding the answer to two key questions: what to produce and in what quantity?
In foreign and domestic science there is no single definition of the concept of "assortment policy". At the same time, a number of requirements for a set of measures to form the assortment of manufacturing enterprises can be identified:
Maximizing the use of the firm's available resources to ensure economic efficiency from production activities businesses to increase profits.
Actions to manage the product range of an enterprise (a system of measures to determine a set of product groups, the process of forming an optimal assortment structure, determining the range of production and sale of goods) should be purposeful and targeted.
Assortment policy should be formed taking into account consumer preferences and requirements of society as a whole.
The goals in the formation of the assortment policy can be:
Preservation of the existing specialization of production;
Updating the assortment matrix;
Retention of qualified personnel with low demand for products;
Preservation and development of relations with traditional consumers of products;
Release of products with high potential demand in the future;
Diversification of production with penetration into new markets;
Development of the service sector.
Purpose of the study
The need to find ways to improve the structure of the assortment of enterprises for the production of clothing is due to the instability of the assortment matrix due to the influence of random factors and the introduction of operational control over the competitiveness and commercial efficiency of goods of the specification of the model range of the product line.
Research methods
Used in work systems approach, which made it possible to consider structural and elementary connections in the integrated interaction between the manufacturer - the seller - the consumer at the stage of pre-project research of new clothing models from the standpoint of demand and competitiveness. Data obtained through the use of group survey methods and peer review, identified additional factors of influence on the definition of the assortment structure, namely, the need to detail consumer groups according to the color type of appearance.
Research results
To date, there is also no single algorithm for the development of assortment policy, however, in the most general case, the assortment formation scheme, taking into account the analysis of the marketing field, is shown in Figure 1.
A feature of the formation of the assortment is the cyclicity and continuity of the process. The continuity of the assortment development process is due to objective market conditions established by market participants. Important here are the preferences of consumers, which are changing under the influence of the development of consumer culture, new trends, as well as scientific and technological progress.
The cyclical formation of the assortment provides, on the one hand, the improvement of existing products that will best satisfy the preferences of consumers, and on the other hand, the creation of new products to meet existing or emerging demand.
Figure 1 - Formation of the assortment policy of the enterprise
Most of the stages of the considered assortment formation sequence represent a number of tasks and difficulties that the company's management faces.
1. Consumer analysis. The company needs to decide on the target audience for which the product will be produced. An important task at this stage is consumer segmentation, which is the process of dividing the market into more small groups, in each of which consumers are characterized by common preferences, react in the same way to the same stimuli and show the same type of behavioral reactions. Consumer analysis is a key step in the formation of the assortment and is usually based on data obtained from studying the portrait of the consumer of the target segment. Various methods are used to establish needs: focus groups, questionnaires, observation, interviews, however, for a small company, such methods may simply be “out of reach”. Currently, Internet surveys are widely used, which can be used, among other things, to analyze the preferences of buyers. This method of consumer analysis is characterized by relatively low cost and speed of collecting and analyzing information.
2. The next important stage is the evaluation of analogue products, which is an analysis of competitors. Difficulties at this stage arise due to the lack of information about the products of small competitors-manufacturers who are not so widely represented on the market, but at the same time claim their market share. The development of Internet technologies has formed a new requirement, namely, the presence of an information page, both in a separate account and in in social networks. A possible solution to the problem of monitoring competitors-manufacturers is to study the products of competitors through electronic catalogs of manufacturers' Internet resources.
3. The development of product specifications should take into account the results of the previous analysis of consumers and analogues for the production of their own product. This is a technically complex process that involves systematizing the information received and highlighting the unique characteristics of your product, for which a SWOT analysis can be used. SWOT analysis allows you to evaluate the advantages and disadvantages of the product, as well as the opportunities and difficulties for its promotion. In addition, SWOT analysis can be used to assess the existing strategy for promoting the company's products and develop areas for its further improvement.
4. The determination of production volumes is based on the totality of all available resources of the company, which is closely related to potential demand. At this stage, it is necessary to resolve the issue of the shares of production of each type of goods with a division into consumer segments, firstly, in order to prevent a situation of overproduction, and secondly, to satisfy the existing demand. It should be noted that in the dominant consumer market, with unsatisfied demand, the company loses its potential customers, who can go to competitors. As a rule, at operating enterprises this issue is resolved on the basis of available information on sales in the past period. However, this approach is not always effective. An important tool here can serve as an analysis of market conditions, macroeconomic forecasts and the general market situation.
Among the identified stages, the starting and most important stage is the stage of consumer analysis. However, many enterprises neglect it, which, as a rule, is due to the lack of opportunities for small enterprises to conduct high-quality and in-depth analysis. In this regard, the results of the study presented in this article may be relevant for decision-making when forming an assortment by small businesses.
One of the possible ways to improve the assortment is to use manufacturing enterprises in its work of the algorithm, the formation of the wardrobe by the consumer, taking into account the factors that exist within the segmented group. These factors include the consumer's lifestyle, the degree of predilection for fashion, individual preferences, pricing policy, etc. (picture 2)
Figure 2 - Features of the formation of a rational wardrobe by the consumer
As a rule, a rational wardrobe is formed by the consumer intuitively, but under the influence of these factors. The assortment, correctly presented by the manufacturer and offered to the buyer by the seller, stimulates the consumer to purchase those products that will fully satisfy the growing demands, and also helps to reduce the cost of buying the necessary clothes for all occasions. However, despite in-depth market research, the manufacturer does not always take into account the wishes of the consumer and launches model lines based on an analysis of fashion trends or on the basis of a subjective-personal approach of the company's employees, which leads to negative consequences. In this regard, mobile monitoring of the needs of buyers is necessary through the prism of their lifestyle and individualization of requests.
To determine the structure of the most important pictures of consumers' lives and the degree of consumer satisfaction with the state of their wardrobe for various life situations, a study was conducted, the respondents of which were women in the age group 30+ of different professions, one social status from various regions. The results are presented in Figure 3.
Figure 3 - The structure of consumer life pictures and the significance of each picture for women's wardrobe (age category 30+)
The clothes for work (25%) and evening events (16%) have the greatest importance in the wardrobe of the women surveyed. The data obtained indicate that most of the time for women of this age group is devoted to work. Evening events allow you to change not only the situation, but provide an opportunity to change the image. Such an assessment of their lifestyle and dissatisfaction with the business and evening capsules of their wardrobe is typical for “innovators” respondents who are prone to making a quick purchase decision and characterize themselves as consumers who follow fashion and fashion trends. Therefore, it is important for the manufacturer to constantly replenish the market with precisely those collections in which there is an urgent need, especially if the implementation does not require additional material costs, for example, for a PR campaign or expensive advertising.
Another stage in the formation of the assortment policy of the enterprise should be the development of a collection line with the introduction of interchangeable or universal products. The creation and sale of universal wardrobe elements helps the buyer to create various looks at no additional cost, which, in turn, has a positive effect on the company's image, and also helps to turn the buyer into a brand follower.
It is worth noting that in Russian stores more and more often there are ready-made capsules for filling an individual wardrobe, which contain all the necessary elements, including accessories. This is the so-called "capsule wardrobe". The capsule is characterized by the presence in its composition of functionally interchangeable elements (5-8 products) with a given purpose and style, including color, solution. For the buyer, in this case, decide the seller and the manufacturer. The manufacturer and the seller in a close integrated chain of trade and production relations have their advantages: the buyer does not purchase a separate product, but the whole set at once, which significantly increases sales and, as a result, profit. In turn, the buyer saves time, which he can allocate for personal needs.
Using the capsule approach as the basis for the formation of the assortment, it is necessary to introduce another important factor, namely, the specification of consumer groups according to the color type of appearance. When choosing style solutions in clothing, one cannot but reckon with objective natural data. As you know, each person has a unique, only his inherent appearance - habitus. In the practice of designing clothes individual characteristics are taken into account so far only at the level of taking into account the dimensional variability of the parameters of the figure. However, the color type of personality (an individual combination of the color of a person's hair, eyes and skin) as important feature habit should be taken into account when forming the assortment policy of the enterprise. In the near future, it is obviously possible that not only individual capsules, but also entire collections for customers of a certain color type will appear in the assortment of enterprises. It is possible that some businesses will find it economically feasible to specialize in clothing for certain color types.
The use of such a criterion in the segmentation of consumers has become appropriate due to the growing popularity of the theories of “seasons / seasons” and “color directions”, which offer a classification of consumers depending on the color features of their appearance. As the main color types of appearance, there can be four "seasons": "spring", "summer", "autumn" and "winter" or six color directions: cold, warm, saturated, light, clear, soft. The theory of seasons proceeds from the fact that each type especially suits the colors of a certain season: intense, contrasting and cold colors of winter or muted, as if hazy colors of summer, or warm, clear colors of spring, or luminous, but earthy - autumn. The theory of color directions proposes to use as classification features the main characteristics of color that are inherent in the palette of a person's appearance. Such a theory is often illustrated by the Munsell color model.
Russian men and women are traditionally referred to as the "summer" color type, while there is no official statistical information on the predominance of one or another color type in Russia. However, the data of several studies on the implementation of services for determining the color type of appearance in the VSUES image studio and tailoring for individual orders of a small business in Vladivostok show that in terms of color design, a large proportion of orders were made for clients of the “summer” color type of appearance (Figure 4 ).
Figure 4 - The structure of orders depending on the color type of the appearance of consumers
On the example of a small enterprise, the hypothesis about the predominance of the "summer" color type of appearance among the Russian population is confirmed. Of greatest interest is the situation when large enterprises in large quantities they produce products in small batches for the least popular color type, which is due to the emergence of fashion trends mainly abroad.
Based on the study, it is proposed to form an assortment of a small clothing manufacturing enterprise using the concept of a capsule wardrobe, which is based on consumer segmentation by color type of appearance. In addition, when developing the assortment, it is proposed to take into account the needs of customers, distributing large shares in the total assortment for business clothes and evening events.
conclusions
The formation of the assortment of an enterprise is a difficult, but extremely important task, since the absence of an assortment policy leads to instability in the structure of the assortment due to the influence of random factors, loss of control over the competitiveness and commercial effectiveness of goods. The difficulty of assortment management lies not only in the difficulty of combining and coordinating all types of economic activity enterprises, from the purchase of raw materials to advertising and sales of manufactured products, but also in the production of the “right” product that will be in demand by buyers.
In the formation of an effective assortment policy of small and medium-sized enterprises for the production of clothing at the present stage, the following key factors should be taken into account:
Segmentation of consumers depending on their perception of fashion and lifestyle;
The degree of satisfaction with the individual wardrobe within the consumer group;
Capsule structure of the client's wardrobe;
The presence in the consumer's wardrobe of universal products that are connected between the main capsules;
The color type of a person's appearance as one of the criteria for determining the color palette of the collection line of the assortment matrix of the enterprise.
Reviewers:
Starkova G.P., Doctor of Technical Sciences, Professor, Deputy First Vice-Rector for Research of Vladivostok state university economy and service, Vladivostok.
Sheromova I.A., Doctor of Technical Sciences, Professor of the Department of Service Technologies, Vladivostok State University of Economics and Service, Vladivostok.
Bibliographic link
Shkuropatskaya V.K., Klochko I.L., Falko L.Yu. WAYS OF IMPROVEMENT OF THE RANGE OF SMALL AND MEDIUM ENTERPRISES FOR THE PRODUCTION OF CLOTHES // Modern problems of science and education. - 2014. - No. 3.;URL: http://science-education.ru/ru/article/view?id=13663 (date of access: 01/05/2020). We bring to your attention the journals published by the publishing house "Academy of Natural History"
From an economic point of view, the range of goods sold is one of the main factors determining the degree of balance between supply and demand for specific products. The problem of assortment management, the achievement of its rationality is becoming increasingly relevant.
The product assortment management process is designed to ensure the continuity of decisions and measures to form a rational assortment, maintain the competitiveness of goods at the required level, find optimal niches (segments) for goods, develop and implement product strategies.
The lack of a clear management process leads to the instability of the assortment structure due to random temporal factors.
Decisions made by managers in such cases are often based on intuition, rather than on sound calculation that takes into account long-term interests.
The main purpose of the study of the thesis was to study the range of products sold by the store of household appliances "Tair" LLC in Simferopol.
The relevance of the study is due to the fact that the indicated enterprise had problems with the assortment of goods offered to consumers. Based on the analysis of the competitiveness of LLC "Tair", it was revealed that the store under study loses to its closest competitor "Comfy" in such an important indicator as the rationality of the assortment.
In general, the assortment of the Tair LLC store meets the main requirements: accessibility, location, breadth of coverage of goods, quality of service. Due to the shortage of retail space, it is difficult for this enterprise to expand the trade assortment; insufficient area for displaying goods has a great influence on the assortment policy. Over a long period of time, an optimal assortment has been formed that satisfies the basic needs that this market puts forward.
The stability of the assortment is the most desirable condition for the manufacturer and seller. Therefore, marketing activities should be aimed at maintaining this state through reminiscent advertising, the formation of an assortment in the main account of goods that are in steady demand.
The renewal of the assortment should be preceded by marketing activities to develop a new product, taking into account the identified needs, as well as advertising support before it enters the market. For a new product, a pricing strategy and distribution channels must be defined.
Analysis of the turnover structure shows that the assortment in the store of Tair LLC is constantly changing and replenished with new products. Due to the assortment, the turnover also increases.
Assortment optimization will not lead to tangible results if it is not considered in the context of solving other tasks related to the assortment. It doesn't make sense to choose the hottest items and set a price that will turn off consumers, or put them in a place where they won't be seen. Working with the assortment should be based on a simple principle - consumer preferences.
The work on assortment optimization includes several stages:
General analysis of the source material;
Identification of "black holes" - commodity items or activities that divert resources commercial enterprise;
Selection of key positions for the formation of the assortment;
Planning activities to improve the structure of the proposed range and optimize the placement of goods.
Optimization of the assortment is associated with the gradual withdrawal from the sale of brands and types that are not in demand or not profitable enough.
The rationality of the assortment is the ability of a set of goods to most fully satisfy the really justified needs of different segments of consumers.
The lack of rationality of the assortment of a trading enterprise has led to the need to learn how to manage the assortment, rationalize this process in order to help meet the various needs of customers and receive the planned profit.
The analysis of the assortment of refrigerators, carried out in the second section, makes it possible to determine the main directions for improving the assortment policy of Tair LLC.
One of the weaknesses of the organization is the lack of experience in marketing research of the market and its main segments. It seems necessary to create a system for planning and managing the assortment and quality of goods, which would be included as an organic part in the integrated system for managing the commercial activities of Tair LLC.
Thus, the planning of the range of goods, including refrigerators in Tair LLC, should be carried out on the basis of the following marketing research:
Determining the current and prospective needs of the population;
Studying the requirements of consumers to the range and quality of goods;
Studying the motivation of purchases and patterns of behavior of buyers in the household appliances market;
Market segmentation and consumer typology research;
Study of consumer characteristics and competitiveness of goods from various manufacturers;
Studying quality standards;
Study of commodity stocks;
Investigation of defective products rejected during the implementation process;
Studying the market reaction to new product;
Analysis of information on the quality and range of goods sold, received from consumers through "feedback".
To date, the most diverse range of refrigerators of Tair LLC falls on two-chamber refrigerators. This is due to the fact that the category of goods in this group currently enjoys most in demand. But, despite this, not all types of this group are equally implemented. Therefore, one of the ways to find the most favorable ratio of the intra-group assortment by type is to carry out a thorough analysis of the sale of goods based on customer surveys.
Using the system of additional orders from supplier firms has a number of advantages, namely, that it allows the parties not to take risks by ordering a large number of goods in the basic assortment, but to additionally order what is consistently sold in the trading floors.
When selling products, Tair LLC should conduct customer surveys more often in order to study the demand for goods and, on the basis of this, identify the possibility of expanding the range. The survey should be conducted in the form of a questionnaire.
For buyers of Tair LLC, the following additional types service: the possibility of returning a product that did not fit within 14 days or replacing it with a new product.
In order to gain a foothold in the market of the city of Simferopol, one should, first of all, try to maintain product prices at a competitive level, that is, a little lower than those of competitors, since for most people and companies at the moment this is the main factor in making a decision to make a purchase.
It would be expedient for Tair LLC to use a pricing strategy. There are so-called price lines, which reflect the range of prices, where each price corresponds to a certain level of product quality. The price range can be defined as low, medium and high. A limited number of specific prices are then set.
Pricing makes it easier for customers to choose one of many homogeneous products offered. Consumers can then decide for themselves what level of quality or price suits them and make a purchase within the proposed price line.
In order to more fully study the need for refrigerators in the market, it is possible to advise the store to send monthly information leaflets to consumers in the city of Simferopol (ARC) indicating the proposed types to receive applications and requests for them, in order to provide information, thereby stimulating sales of products. It can also be recommended to conduct this study in the trading floors directly by sales assistants. The data obtained will give an idea of the demand for refrigerators, contribute to the possibility of optimizing the range of goods and reduce the implementation time. It is also advisable to constantly monitor the state of affairs of the main competitors of the company: to conduct a constant analysis of the assortment offered by competitors, the price level, which will allow Tair LLC to choose the right pricing policy for its products.
When forming the assortment of goods in LLC "Tair", it is necessary to adhere to the principle of ensuring the optimal width, depth, as well as the stability and renewal of the assortment. This will ensure maximum sales from each square meter of retail space, as well as the availability of an extremely wide range of goods, taking into account the objectively existing restrictions: the size of the retail space, the state of trade and technical equipment, financial capabilities, etc.
Based on the analysis of the management system of Tair LLC, it should be noted that it does not fully meet the needs and goals of the organization (too small a list of goods sold, poor coverage of possible sales markets, as well as a small increase in sales and services), as a result of which the structure subject to improvement.
LLC "Tair" as well as other stores declares itself through advertising in order to attract a potential buyer. But the company does not have a qualified specialist who can competently analyze the market, develop a strategy for conducting advertising events, analyze the effectiveness of advertising, etc. Therefore, the deputy director and senior manager are engaged in advertising activities in the store. These employees do not have sufficient professional training, so advertising campaigns conducted by the company are ineffective.
To solve these problems, I propose to keep a marketer in the staffing table. The introduction of the position of a marketer will entail a number of changes in the activities of the enterprise, both structural and financial. Job Responsibilities marketer are presented in Appendix B.
The introduction of a marketer into the staff will allow to relieve the senior manager and the supply and sales manager, as a result of which they will be freed from unnecessary work and will be able to perform their direct duties more efficiently without being distracted by additional tasks.
And the marketer will collect all the information about ongoing promotions, evaluate their effectiveness and, based on the needs and requirements of the company, develop his own more effective marketing policy.
Thanks to the active involvement of various advertising media, Tair LLC can significantly increase sales of products. In addition to the positive effect advertising impact can be attributed to the best awareness of potential consumers about the activities of LLC "Tair", to orient in the prices of the goods offered. Tair LLC needs to actively cooperate with advertising agencies cities and hold various presentations new products, this will increase the turnover, and at the same time get additional profit.
In order to study the demand of buyers, Tahir LLC must actively use a set of events held on the trading floor aimed at increasing sales volumes (merchandising from English merchandising - the art of trading). Statistics show that a successful exposition of goods on the trading floor gives an increase in turnover of 12 - 18%. Therefore, merchandising began to be actively used not only in working with goods of impulse demand, but also in the trade in goods of other groups.
Merchandising is based on the psychology of the buyer's behavior in a confined space and consists in carrying out a set of works: on the placement of goods; display of goods; registration of points of sale; creating an effective stock of goods.
When placing goods in the trading floors of Tair LLC, it is necessary to take into account not only psychological features behavior of buyers, but also the specifics of goods, the rules of product neighborhood, as well as the need to assign permanent locations to product groups.
Merchandising will maximize profits from the sale of goods that are in steady demand, reduce the time spent by the buyer on the search the right goods and making decisions about planned purchases, stimulate impulse purchases and thereby increase the overall sales of the retailer.
In order to improve the display of goods, window dressing of Tair LLC stores and the sale of goods, it is necessary to improve lighting due to additional lamps on the equipment;
Improving the assortment policy in Tair LLC also consists in the supply of high quality goods, and this work is mainly assigned to the specialists of the supply and supply department who work directly with the suppliers of goods. To do this, it is necessary to strengthen the enforcement measures for the supply of substandard goods with the application of penalties. In addition, 100% sorting should be carried out for all groups of goods. It is also necessary to organize training with the involvement of specialists on this issue and ensure normative documentation on quality issues, this work should be constantly improved and perceived as an integral part of the process of buying and selling goods.
There is also a need for well-coordinated work between industrial organizations (manufacturers of products) and Tair LLC, while strict control over the timing of goods receipt is needed.
To improve the range of goods in Tair LLC, it is necessary to carry out work in the following areas:
Seek due attention from industrial organizations to issues relating to the renewal of obsolete designs and models;
Expansion of the range of goods not produced on the territory of Ukraine;
Study innovative activities, order new products that have appeared on the household appliances market;
Monitor the competitive environment and assess the competitiveness of its assortment policy;
Monitor the target market and sales volume using the product life cycle;
Periodically analyze consumer preferences for the company's products;
Systematically gets acquainted with the catalogs of new products and attends press conferences on the release of new products;
Create a database on the range of products sold, competitors, consumers;
Wider use of the sales promotion system for consumers.
Develop a system for selecting goods directly at the manufacturer;
Establish strict control over the availability of the required assortment at manufacturing enterprises and in the halls of Tair LLC through additional checks by commodity experts;
Work out the system for submitting and executing applications in warehouses and sections (filing applications for warehouses once a week);
Establish work with goods that are not in demand (replacement of goods at enterprises by way of a return);
Timely file claims against manufacturers of products for the supply of low-quality goods.
Chapter 1 Fundamentals of the formation of the assortment policy of the enterprise
The concept of assortment policy
Methods of formation of assortment policy
Criteria for determining the assortment policy
Chapter 2 Analysis of the assortment policy of CJSC "Alexandria"
2.1 Technical and economic characteristics of the enterprise
2.2 Analysis of the product range
2.3 Characteristics of the process of managing the product range
Chapter 3 Development of an effective assortment policy of CJSC "Alexandria"
3.1 Improving the process of developing assortment policy
3.2. Proposals to improve the structure of the assortment policy of CJSC "Alexandria"
3.3 Calculation of economic efficiency from the proposed measures
Chapter 4 Safety and Environment
4.1 Studying the state of labor safety at the enterprise
4.2 Fire audit of raw material warehouse
Chapter 5 Information Technology
5.1 Creating and editing various types of charts in Excel
5.2 Editing a chart
5.3 Formatting chart types
5.4 Formatting chart elements
Conclusion
Applications
Introduction
In modern conditions of a market economy in Russia, the range of various goods has increased many times, a significant part of which is represented by products of insufficient quality and does not meet modern world requirements. Mistakes in choosing a product, ignorance of its properties, characteristics, storage conditions, transportation, incorrect assessment of its quality can result in major losses and losses for the manufacturer.
Market success is now the main criterion for evaluating the activities of domestic enterprises, and their market opportunities are predetermined by a properly developed and consistently implemented assortment policy. It is on the basis of studying the market and the prospects for its development that the enterprise receives the initial information for solving issues related to the formation of the assortment, its management and improvement.
To solve the problems of assortment policy at any economic level, a strategic approach is needed. This means that any decision in this area should be made not only from the point of view of current interests, but also taking into account how it "works" for the ultimate goals. Such an approach requires concentration of efforts on the main directions.
Job published
Faculty of Economics and Management
COURSE WORK
Analysis of the formation of the assortment of goods and its optimization on the example trading network"Magnet"
annotation
The topic of this course work is "Analysis of the formation of an assortment of goods at retail enterprises and its optimization on the example of an enterprise."
The work contains 68 pages, 19 graphics, 16 tables, 15 references, 8 applications.
The theoretical part contains information about the product range, classification of the range of goods and services of a retail enterprise; on the indicators of the assortment and the factors influencing them, as well as on the principles, stages of forming the assortment and monitoring its condition in retail trade organizations.
The second chapter of the work analyzes the effectiveness of commercial activities in the formation of the assortment of goods of retail enterprises, including the organizational and economic nature of the enterprise, analysis of the marketing activities of the Magnit chain of stores and analysis of the formation of the assortment of goods of the Magnit chain of stores.
In the third chapter of this work, recommendations and measures are given to improve the assortment of goods of the Magnit chain of stores, namely: to improve the assortment, to use new types of advertising media, to use advertising and multimedia technologies on the trading floor.
Introduction
1 Theoretical foundations for the formation of the assortment of goods of a retail enterprise
1. 1 The concept of product range, classification of the range of goods and services of a retail enterprise
Conclusion
Annex A
Annex B
Annex B
Annex D
Annex D
Annex E
Annex G
Appendix I
Introduction
The last fifteen years have been revolutionary for retail in Russia. The era of distribution has evolved into an era of competitive as well as government-free retail business. Trade at that time underwent very serious structural changes and, due to its impact on the standard of living of the population and its scale, it began to play a crucial role in the country's economy.
In Russia, the production of consumer goods is increasing every year. The retail turnover of both cooperative and state trade is also growing.
An increase in product consumption, as well as an increase in turnover, makes it necessary to study consumer demand. Its study should first of all "obey" the task of more fully satisfying the various requests of buyers. This problem is solved by improving the performance of the range.
Currently, in a market economy, the range of all kinds of goods has increased many times over. A significant part of the assortment consists of goods of insufficient quality, as well as products that do not meet modern world requirements.
Incorrect assessment of product quality, ignorance of the properties of the product, its characteristics, as well as errors in its selection can lead to big losses and losses, both for large entrepreneurs and for ordinary buyers. To prevent the situations described above, it is necessary to have a basic understanding of merchandising various groups goods.
The main criterion by which we can evaluate whether the activity of a domestic enterprise is successful is market success. Market opportunities depend largely on a correctly developed and consistently implemented commodity policy.
Thanks to the study of the market, as well as the prospects for its development, an enterprise can obtain the information it needs, which will later serve to solve some issues directly related to improvement, management, as well as the formation of a range of goods and services.
The strategic approach, in our time, is a necessary concept for solving the problems of commodity policy. Any decision an enterprise needs to make, not only looking at current interests, but also analyzing how this decision will “work” in the future. This approach requires some effort.
The topic of our course work is "Analysis of the formation of an assortment of goods at retail enterprises and its optimization on the example of an enterprise."
In this course work, we will focus on the formation of the assortment on the example of the Magnit chain of stores.
The range of goods, services, as well as such indicators as completeness, breadth, structure, stability, renewal, greatly influence the demand of buyers and determine whether the operation of a given enterprise is effective.
Based on this, we can say that the chosen topic is quite relevant in the current conditions of a market economy.
The purpose of this course work is: the development of measures and recommendations for improving the range of goods in retail outlets.
The objectives of the course work are:
1) to study the concept of "product assortment, its indicators and factors influencing them;
2) to study the classification of the range of goods and services of the retail enterprise "Magnit"
1 Theoretical foundations of the analysis of the formation of the assortment of goods of a retail enterprise
1. 1 The concept of the product range, classification of the range of goods and services of a retail enterprise
A set of goods that are presented on the market, as well as classified using a sign of consumer destination or industrial origin, is called an assortment.
The assortment may reflect the differences that exist between services and goods. The assortment is a logical distribution of any set formed according to various characteristics into categories of various levels or into separate links. In addition to the assortment of goods, there is also an assortment of services, an assortment of ideas, etc.
The word "assortment" is a word of French origin. Each author interprets it differently. For example, the meaning of the word assortment according to Efremova: an assortment is a set of different varieties and types of goods in a trade establishment or a set of products on production organization. The meaning of the word assortment according to Ozhegov: assortment is the presence, selection of any goods, objects or their varieties. The meaning of the word assortment according to Sysoeva: the assortment is a list of goods sold in a store, compiled by varieties, types, types, sizes and trademarks. The meaning of the word assortment according to Snigereva: an assortment is a set of goods that are combined according to one or more characteristics. The meaning of the word assortment according to Vinogradova: the assortment is a reflection of the intersectoral and sectoral proportions that are part of the product offer.
The assortment can more fully characterize the results of the organization's activities, as well as industries that produce consumer goods, and trade in the organization of the production of these goods, and it must be considered as one of the most important factors that determine such concepts as the degree of balance between supply and demand for a certain commodity market.
A product range is a set of products that are combined or combined according to a certain feature or set of features, these can be: color, type, size, and so on.
Depending on consumer goods, two types of assortment of goods can be distinguished: commercial and industrial.
The production range of goods is a list of goods that are produced by certain enterprises that are united either by industries or agriculture.
The trade assortment is a list of goods that have been selected for sale in retail stores. This assortment includes many different items, as well as varieties of products that are produced directly by organizations of various industries, as well as agriculture.
The share of all kinds of goods in the structure of the assortment of a trading enterprise is determined by the specialization of the company, its consumer demand, material and technical base, and other factors. For this reason, it is believed that the trade assortment is a set of goods that are formed according to certain characteristics and are designed to satisfy demand at a certain point in time.
Providing the right level of customer service, as well as growth economic indicators The activities of a trading company largely depend on the correct formation of the assortment.
Marketing approaches aimed at forming the assortment policy of a retail trade organization should be based on the preferences of consumers, and they also need to ensure a sufficient level of profitability of the company, which has the opportunity to choose from a wide range of products offered by both the manufacturer and small and large wholesalers.
Assortment policy is the formation of an assortment of goods depending on the financial condition of the organization, its strategic goals, as well as on the needs of the market. Assortment policy usually pursues long-term goals.
The formation of an assortment policy and its implementation are necessary in order to manage the amount of profit, determine the conditions for the break-even operation of the company, and also in order to predict one's own investments in business development.
The formation of assortment policy and its implementation begin to be of particular importance when there is freedom to choose a certain activity. Assortment policy implies the availability of information on price dynamics, on the characteristics of goods, market segments, on the level of foreign economic relations with foreign countries, macroeconomic trends. All these factors are necessary to determine the conditions for break-even management of the mass of profits and break-even work with such a goal as tax optimization, forecasting possible investments own funds for business development.
Operational analysis, which is a break-even analysis, is one of the tools with which you can solve this problem. This analysis is based on actions that are aimed at determining intermediate indicators that allow you to gradually separate the sales revenue and the company's costs from each other.
The next step is to remove the semi-fixed costs as well.
This indicator is called the "profitability threshold" - this is the revenue that provides full coverage of all costs. There is zero profit here.
The ability to find the threshold of profitability of the entire enterprise and a particular type of goods and services exists as part of the implementation of operational analysis. It is the ability of each product to "responsible" for financial condition formed the basis for the formation of the assortment policy of the enterprise.
The signs of the classification of the assortment are such factors as the location of goods in trade or industry, the breadth of coverage of goods, as well as the degree of satisfaction of needs, and so on.
It is necessary to distinguish between the trade assortment, the assortment of goods and the product nomenclature. In a broad sense, the nomenclature is understood as a list of terms, names or categories that are used in any branch of technology or science, and so on.
The classification of the product range is as follows:
1) at the location of the goods:
a) the industrial assortment is a set of goods that are produced by the manufacturer according to his production capabilities;
b) the trade assortment is a set of goods formed by trading enterprises, taking into account their consumer demand, specialization and material and technical base;
c) the range of services is a set of services offered to consumers. According to the degree of detail, this type of assortment, like the assortment of goods, is divided into three types: specific, group and intraspecific.
2) by breadth of coverage of goods:
a) a simple assortment is a set of goods represented by a small number of species, groups, and also names that satisfy a limited number of needs;
b) a complex assortment is a set of goods represented by a significant number of types, groups, varieties and names of goods that differ in design, source materials, as well as other features and satisfy all kinds of human needs;
c) an expanded assortment is a set of goods, including a large number of types, subgroups, varieties, as well as names that belong to a group of homogeneous, but differ in certain individual characteristics;
d) a mixed assortment is a set different types, groups, names, which are distinguished by a wide variety of functional purposes.
3) according to the degree of satisfaction of needs:
a) a rational assortment is a set of goods that most fully satisfy realistically justified needs, ensuring the maximum quality of life at a certain level of development of science and technology;
b) the optimal assortment is a set of products that meet real needs with the maximum beneficial effect for the consumer at the lowest cost for the development of production, design and bringing to the consumer.
4) as of a particular point in time:
a) the real assortment is a set of goods available in a particular firm of the seller or manufacturer;
b) the forecast assortment is a set of goods that will need to satisfy the expected needs.
5) by the nature of the needs met:
a) the main assortment is a set of goods focused on the usual needs of the main consumer groups;
6) the accompanying assortment is a set of goods that performs auxiliary functions and is not related to the main ones for this enterprise.
b) according to the structure of the assortment:
a) the group assortment of goods consists of a list of product groups, which are formulated on the basis of the homogeneity of the raw materials from which they were made, also according to the method of production and consumer purpose;
b) the group assortment consists of a list of individual large-aggregated types of services: healthcare, education, housing and communal services, preschool institutions, communications, transport, domestic services and so on;
c) within the group assortment is a set of homogeneous goods that are united by a common feature and satisfy similar needs. This is the detailing of the group assortment;
d) the specific assortment of goods is a set of goods of various names and types that satisfy similar needs;
e) the specific range of services is a detail
large-aggregated types of services;
f) an intraspecific assortment of goods is an assortment that includes varieties of goods within certain types;
g) the intraspecific assortment of services consists of a list of specific works performed within the framework of a certain type of service.
1. 2 Range indicators and factors influencing them
The range of any enterprise, any retail or wholesale store can be characterized by a system of indicators. This approach is necessary for the implementation of the assortment management process on a scientific basis, namely, to organize its formation, plan, and also regulate the assortment, stimulate sales and motivate sellers.
Let's list these indicators.
Range breadth is the number of product groups and subgroups that are included in the store's assortment. In the turnover of their specific gravity in stocks, the assortment structure of department stores, as well as specialized stores, is distinguished.
The depth of the assortment is the number of types and varieties, as well as the names of these goods within certain groups and subgroups in the assortment of the store.
The depth and breadth of the assortment is necessary in order to shape the offer and the distribution of the degree of risk. This is shown in table 1.
Table 1 - Trade assortment alternatives by breadth and depth
With a wide range of products, customers get the impression of a variety of numerous products. This is what attracts various categories of consumers. With such an assortment, the enterprise can better adapt to constant changes. market demand. However, it is difficult to manage this, as products that are in low demand can go unnoticed.
Simplicity is the main advantage of a narrow range.
Both the breadth and depth of the assortment should be chosen taking into account the goals and objectives set by the retailer.
On average, the Russian consumer purchases about 150 products, however, he wants to choose these products from a large number of different related products and hopes that new, better products will appear. If the store has all product groups, then the impression of abundance is created, but this does not guarantee high sales.
The depth of the trading range may be redundant. Sometimes the abundance of items in one product group can complicate the decision to purchase.
The stability of the assortment also belongs to the indicators of the assortment.
A stable assortment of products in the store leads to a reduction in the time spent by customers on searching for products, helps with the standardization of all trade and technological processes and operations. Stability can be determined by the following formula:
Ku \u003d 1 - On / n * a,
where Ku is the coefficient of a stable assortment of goods in a certain period;
O1, O2, ... On - the number of varieties of goods that are not on sale at the time of checks;
a - the number of varieties of goods, which is provided for by the developed assortment list; n is the number of checks.
The optimal value of the coefficient of stability of the assortment of goods in the store during the quarter should not be lower than:
0.90 for supermarkets and grocery stores;
0.80 department stores;
0.75 shoe and clothing stores;
0, 85 haberdashery, household and sporting goods stores.
This indicator can be called conditional, given that in many stores with a product range of several thousand items, it is often simply impossible to check the number of out-of-stock items.
Another indicator of the range is its length. Due to the fact that the place on the shelves of the store is limited, it is always necessary to maintain the optimal amount of goods. The assortment is considered short if the profit increases with the addition of new commodity units. The assortment is considered too long if, when removing trade items, the profit increases.
Until now, there are no standards that would regulate the indicators of the assortment (except for the stability indicator), i.e., the indicators do not reflect how successful the assortment is, but only characterizes its actual structure. Therefore, when forming the assortment, the experience of other companies is often used.
The structure of the assortment is the ratio of types, groups and varieties, as well as subgroups of goods that make up the assortment of the store. The structure is characterized by depth as well as breadth. It is of decisive importance in the process of organizing its formation in a particular store.
There are two concepts of macro- and microstructure of the assortment of goods both at the enterprise and in the store.
The macrostructure is the ratio between groups of goods directly in the general assortment. Microstructure is the ratio of species as well as varieties within each commodity group.
To maintain the product range in accordance with the demand of the population important role play such concepts as the stability of the assortment of goods in the store and its completeness.
The completeness of the assortment is the correspondence of the actual availability of products in the store, which is approved according to the assortment list.
The completeness of the assortment of goods is characterized by the coefficient of completeness and is calculated by the formula:
Kp \u003d Rf / Rn,
where Kp - the coefficient of completeness of the assortment of the store on a specific date;
Rf - the actual number of varieties of goods at the time of verification;
Рн - the number of varieties of goods, which is provided for by the mandatory assortment list.
For the most objective assessment of the product range, its completeness must be determined for separate periods based on data obtained from several checks of the store's assortment. To do this, calculate the stability coefficient of the assortment according to the following formula:
Bush \u003d P1 + P2 + Pz + ... + Pn / Pn * n,
where Kust is the coefficient of stability of the assortment of goods in the store for the period (month, quarter, year);
P1, P2, Ps, Pn - the actual number of varieties of goods at the time of individual checks;
Рн is the number of varieties of goods provided for by the assortment list;
n is the number of checks.
Thus, the stability or in other words the stability of the assortment is the uninterrupted availability of goods for sale by their varieties, as well as by their types, which were declared in the assortment list.
The renewal of the assortment is the replenishment of the assortment the latest species products in accordance with the assortment policy of the company. Renewal of the store assortment should be up to 10% per year.
A special place among the indicators that characterize the state of the range, is the indicator of its profitability.
The profitability of the trading assortment is an assortment set that, in its entirety, ensures that business entities receive a pre-planned size net profit, namely, a certain excess of income over expenses for the sale of goods and tax and non-tax payments.
It should be noted that a positive assessment of the state of the assortment of an enterprise or a store according to all the above indicators ensures, in many respects, from the economic side, the expedient commercial activity of the enterprise on retail market.
The indicators characterizing the assortment of a particular enterprise or store are influenced by many factors.
The study of the influence of the above factors is carried out in the process of market research by marketing specialists, as well as specialists from the commercial department of a trading company. All factors are usually divided into general specific ones.
General factors do not depend on the specific conditions of the firm. General factors are divided into:
1) social. These include the social composition of the population, the level of culture, the social security of the population, the nature of labor activity;
2) economic. These include the development of the production of goods, the level of income of the population and the sources of their formation, the development of the economy of the area of activity, the price of goods, and more;
3) demographic. These include the age and sex composition, the number and structure of families, the occupational composition of the population, and more;
4) national household. These include the national composition of the population, traditions, mores and customs;
5) natural and climatic. These include geographical location (cities, villages), climate, natural resources, and more.
Specific factors reflect the specific operating conditions of the firm.
Taken into account when determining the breadth of the range:
1) the role of this store in the system trade service;
2) the presence of other stores in the area of activity and their specialization;
3) type and capacity of the firm;
4) characteristics of the segments;
5) transport links.
Taken into account when determining the depth of the assortment:
1) income level by segments;
2) the specifics of demand within the segments;
3) the size of the sales area and characteristics, equipment parameters.
Also, such a factor as demand also has its influence. But first, the commercial apparatus needs to decide on which segments this trade organization will work. Such work is carried out by specialists of the marketing department, as well as by specialists of merchants in the process marketing research based on results comprehensive research retailers in a particular region.
That is why it is necessary, when forming the assortment of goods in the retail market, to have reliable information about the structure of demand, its volume, the dynamics of its development, the features and nature of demand for individual goods and for different customer groups.
It is also necessary to periodically monitor the environment of the enterprise, as well as its organization of trade. This is necessary in order to make timely changes or some adjustments in the process of forming the assortment of a particular enterprise or retail or wholesale store.
1. 3 Principles, stages of assortment formation and control over its condition in retail trade organizations
The formation of the assortment is the process of selecting groups, types, and varieties of goods.
The formation of the assortment of the store must be consistent with strategic goals firms, as well as its assortment policy.
When forming an assortment in retail various factors must be taken into account. This:
1) the volume, structure and content of the demand of target consumers;
2) assortment profile of the store;
3) profitability of the enterprise and individual product groups;
4) the material and technical base of the enterprise, its provision with storage facilities and equipment;
The commercial service of the retail trade organization, after summarizing information about the factors influencing the trade assortment, forms the assortment taking into account the main provisions that have the same meaning and content, i.e., taking into account the principles of building the trade assortment. These principles are depicted in Table 2.
Table 2 - Principles of formation of the trading range
The formation of the assortment is carried out in several stages:
1) it is necessary to determine the assortment profile, as well as the direction of the store specialization in accordance with the pre-selected commercial strategy in the retail market, while taking into account the specialization of the existing retail network in the area and the assortment strategy of competitors;
2) it is necessary to establish the structure of the assortment in the store. At this stage, it is necessary to determine the quantitative ratio of individual groups of goods. Also here there is a linkage of data with the planned indicators of the store and the profitability of groups and subgroups of goods;
3) it is necessary to determine the distribution of individual groups, as well as subgroups of goods in the amount of consumer complexes and micro-complexes;
4) it is necessary to carry out the selection of an intra-group assortment according to distinctive features, linking it to a specific retail space, profitability of goods.
In cooperative trade, a group assortment of products by shops is established at the first stage. this work should usually be carried out by distributing the range of products among all retailers that are located in the zone of activity of the district consumer society.
The distribution of the product range among trade organizations in cooperative trade is carried out according to the principles of the assortment policy, that is, the assortment of everyday products most often has a concentration in the stores "Universam", "Products", "Consumer Goods", as well as in specialized stores selling food products , and non-food products of a complex assortment are concentrated in department stores and specialized stores.
The establishment of a group assortment of products for various types of firms makes it possible to determine the role and place of each type and the general system of trade services for the population.
At the second stage of assortment formation, calculations of the group assortment structure for each specific trading company should be made, that is, the quantitative ratios of individual product groups are determined. The structure of the group assortment is established, taking into account the standard size of the store, its location, planned indicators and other factors.
Based on the foregoing, the stages of formation of the trade assortment can be represented in the form of Figure 1.
An important task is the development of an ordered assortment structure. In order to determine the optimal ratio of different groups of goods that are included in certain categories, it is necessary to use the BCG matrix and ABC analysis.
Phases life cycle goods should be included in the structure of the trade assortment. Assortment analysis using the BCG matrix is carried out by placing products that are at different stages of the life cycle in one of the four fields of the matrix. They are shown in Figure 2.
Product - "questions" occupy a small share of the market. They must achieve high sales growth rates. This product is in the phase of introduction to the market, because of this, marketing efforts are required. The further fate of this product is predicted on the basis of experienced sales. A product - a "question" is able to become a product - a "star" or it can cease to be in demand and turn into a product - a "dog", or immediately leave the market.
Figure 1 - Stages of formation of the trading range
The success of this product depends on whether it will be bought again. "Stars" are the products of the store, which significantly outperform the products of the competitor store in terms of sales and have a market that is growing at the fastest pace. Star products require a lot of marketing effort. Since the task of the retail trade company is to maximize profits, two options can be applied to the strategy for goods - "stars".
The first option is to use the cream skimming strategy if there are no similar products from competing firms. In the second option, the company seeks to increase sales of products in order to keep up with the pace of market growth and maximize turnover.
Figure 2 - Matrix "Growth - market share" (BCG)
Over time, goods - "stars" go into the category of "cash cows". Cash cows occupy a relatively large market share with a low growth rate. Such products are in the maturity phase or in the saturation phase. These products are known to customers, are in demand, and therefore do not require significant marketing efforts. Many “cash cow” products can move into the next phase of their life cycle over time. In this case, they will turn into goods - "dogs", occupying a small share of the market.
A classic tool aimed at studying the structure of the assortment is "ABC analysis". This method is used to analyze the effectiveness of the introduction of different assortment groups and compare the effectiveness of individual products within the same assortment group. If, when analyzing the depth of a sales assortment that contains 20 items of goods, the first four provide 80% of sales, the next four provide 10%, and all the rest account for the remaining 10%, then this is a fairly typical picture that characterizes assortment blocks A, B and C. But the use of this model has a contradiction: if a retailer introduces into the trade assortment only products that account for the largest share of costs and profits, that is, blocks A and B, then there will be a restriction of the customer’s freedom of choice, and this may in turn lead to lower overall profits. Retailers draw customer attention to products through merchandising and service elements, but a narrow assortment can have a negative impact on overall sales.
Application mathematical methods analysis of the trading range occurs using standardized programs. There are also standardized computer programs simplex methods. They help to analyze the value of individual positions, which are aimed at forming the optimal sales assortment that gives the retailer the greatest profit. This analysis carried out in order to optimize the depth of the trading range. By using expert analysis receive data on the profit that was received from the sale of each product. If you know what total profit the company plans to receive from the sale of a certain assortment group, it is necessary to introduce upper and lower allowable limits on the desired profit. It is necessary to assess how much the exclusion of individual commodity units from the general assortment list will affect the overall profit. In general, the possibility of using mathematical methods in the management of the trade assortment is the subject of a special study.
In the process of monitoring the state of the assortment, it must be borne in mind that control cannot be an end in itself. The strategic task of control is the timely regulation of the assortment in full accordance with the demand of customers in order to increase the volume and speed of sales, to establish a stable image for trade. To do this, it is necessary to develop and install in trade effective system management, which would include constant internal control and regulate the assortment. To do this, a system of motivation for sales personnel is being developed. Effective in this direction is the work of operational managers of the trading floor.
2 Analysis of the effectiveness of commercial activities in the formation of the assortment of goods of retail enterprises
2. 1 Organizational and economic nature of the Magnit chain of stores
Organizational and economic characteristics of enterprises is a description of a particular enterprise, its type of activity, for example, in which segment of which market this company operates, what it produces, what equipment is used, and also which company supplies it, capacities, if there are plants or divisions, what they are and the like, also when they were opened, built, form of ownership, participants or shareholders of companies, name, as well as a description of the goods that this enterprise produces, the size of the authorized capital, the value of shares and their number, and so on.
As an object of study in this course work, the chain of stores "Magnit" is chosen.
This company is growing rapidly. All this happens thanks to the professionalism of employees, an active marketing strategy, as well as the expansion of the range, which constantly increases the share in the Russian market in general, as well as in the market of the city of Omsk and the Omsk region. The company pays special attention to product promotion programs, using all the tools necessary for this, which include: outdoor advertising, newspapers, magazines, PR events. In its activities, Magnit focuses on the interests of its consumers, company employees, partners, and, of course, society.
Values of the Magnit chain of stores:
1) honesty;
2) frankness;
3) devotion to the cause of the company;
4) focus on the development and growth of personnel within the company;
5) continuous improvement of professionalism;
6) improving the level of service for customers;
7) providing exceptionally high-quality products.
at the moment it was a closed joint-stock company "Magnit", on January 10, 2006 the company name was completely changed to open Joint-Stock Company"Magnet". Society is currently entity acting on the basis of the charter, as well as the legislation of the Russian Federation.
Making profit is the main goal of an open joint stock company.
TS "Magnit" is:
Market leader in quantity shopping facilities and territories of their coverage in Russia;
The average traffic per day is more than 10 million people.
The target audience:
About 50% of consumers believe that their family income is average;
A large number of clients of the TS "Magnit" are people whose age is 25-45 years;
A third of regular customers drive their own car;
In almost half of the families that are regular customers there is a car.
Open Joint Stock Company "Magnit" carries out activities for:
Renting out real estate;
Wholesale trade in dairy products;
Wholesale trade in meat, which includes poultry meat, meat products and canned food;
Wholesale trade in soft drinks;
Wholesale of edible oils and fats;
Wholesale trade in alcoholic beverages, not including beer;
Wholesale trade in sugar;
Wholesale trade in beer;
Wholesale trade in confectionery;
Wholesale trade in fish and seafood;
Wholesale trade in tea, coffee, cocoa and spices;
Wholesale trade in flour confectionery;
Wholesale of prepared foodstuffs;
Wholesale trade in flour and pasta;
Wholesale trade in salt;
Wholesale trade in cereals;
Wholesale of cleaning products;
Wholesale of toilet and laundry soap;
Wholesale trade in cosmetics and perfumery products, not including soap;
Other retail trade in non-specialized stores;
Retail trade in non-specialized stores, mainly food, beverages, and tobacco products;
Coordinating the activities of subsidiaries;
Implementation of all types of foreign economic activity;
Other types of activities that do not contradict the law.
TS "Magnit" is one of the leading retail chains, which are engaged in food trade in Russia.
TS "Magnit" works to improve the well-being of its consumers by offering them quality products at affordable prices for everyday demand. The trading network is focused on clients with different income levels. It is because of this that the chain of stores operates in 4 formats: a hypermarket, a convenience store, a cosmetics store, and Magnit Family.
TS "Magnit" is the leader in terms of the number of stores and the area where these food stores are located. On 31. 12. 2012 There were 6884 stores, including: 126 hypermarkets, 6046 convenience stores, 692 Magnit Cosmetic stores, and 20 Magnit Family stores.
Shops of the TS "Magnit" are available in 1605 settlements RF. TS Magnit stores open both in large cities and in small ones.
With the help of a powerful logistics system, fast delivery of goods to the stores of the distribution network is possible. In order to ensure that the storage of products, as well as their delivery, are of high quality, the company has a distribution network, which includes 18 distribution centers. Own vehicle fleet, numbering about four and a half thousand vehicles, allows timely delivery of goods to the stores of the distribution network.
TS "Magnit" is one of the leading retail companies in terms of sales in Russia. Revenue for 2012 amounted to 448, 661.13 million rubles.
In addition, TS Magnit is one of the largest employers in Russia. Today, the number of employees is more than 180 thousand people. TC "Magnit" was awarded the title of "Best Employer of the Year" several times.
Organizational structure management consists of establishing a vertical of power. In addition, it implies the establishment of power by the company's management over the company. The organizational structure of the TS "Magnit" is linear-functional. In which the board of directors exercises leadership over all employees of the trading network. Figure 3 shows a diagram of the organizational structure of TS "Magnit".
Figure 3 - Organizational structure of TS "Magnit"
The development strategy is:
Open approximately 50 hypermarkets and at least 500 convenience stores each year;
Expand the network, develop it in underdeveloped regions, as well as increase the number of outlets in Siberia and the Urals;
Improve logistics processes for the most effective management traffic flows;
Develop our own imports, increase the share of direct supplies of fresh fruits and vegetables;
Develop a multi-format business model to meet the needs of customers with different income levels.
Each company maintains annual or quarterly reports. There are various forms of reporting. For example:
Form No. 1 - balance sheet;
Form No. 2 - income statement.
These documents were used for the analysis financial position TS "Magnet".
In Form 1, we can see how indicators such as short-term and long-term assets, short-term and long-term liabilities, and capital change every year.
Form No. 2 presents such indicators as revenue, cost, profit, expenses, and so on. Thanks to these indicators, it is possible to analyze whether the company's activities are profitable or unprofitable in the reporting or previous period. These indicators for the past 3 years are shown in more detail in Table 3.
The main factors of profit growth are an increase in sales proceeds, as well as a decrease in the cost of goods that are sold in accordance with the terms of supply contracts. Revenue is affected by the volume of goods sold and their prices. If the first factor will depend on the firm, then the second factor will depend on many circumstances.
Based on the table below, we can conclude that the income of TS "Magnit" in the form of revenue for the past 3 reporting periods has increased. In 2010, the revenue amounted to 2810.6 thousand rubles, and in 2012 it almost doubled compared to 2010. In addition to the income of the partnership, the profit for the year also increased. In 2010, it amounted to 409.4 thousand rubles, but after 2 years, it increased 4 times. In addition, the gross profit also increased. In the third reporting period, its size was 4947.2. The dynamics of these indicators is shown in Figure 4.
Table 3 - Dynamics of profit formation indicators for 2010-2012
Figure 4 - Dynamics of indicators for 3 reporting periods in the TS "Magnit"
In addition to growth in revenue and profits, in any enterprise, costs are constantly growing.
The amount of expenses associated with the sale, disposal and other write-off of property, plant and equipment and other assets other than Money, goods, products.
In TS Magnit, these are selling expenses, administrative expenses, income tax expenses, as well as the cost of goods and services sold.
Selling expenses, which determine the cost, include the cost of goods used in production natural resources, basic and auxiliary materials, raw materials, energy, fuel, labor resources, fixed assets and other operating and non-production costs.
Administrative expenses are expenses that are not classified as either production or distribution costs.
Income tax expenses - the total amount of current and deferred expenses (savings) on income tax, taken into account when calculating the net profit (loss) of the reporting period.
Cost - all costs (costs) incurred by the enterprise for the production and sale (sale) of products or services.
Table 4 - Costs of TS "Magnit"
The dynamics of expenses is clearly shown in Figure 5.
The main task of analyzing the formation, as well as the distribution of profits, is to identify trends, as well as the proportions that have developed, in the distribution of profits for the reporting year compared to the previous year. Based on the results of the analysis, recommendations will be developed aimed at changing the proportions in the distribution of profits and its most rational use.
Figure 5 - Dynamics of expenses in the TS "Magnit"
With the help of Figure 5, we can visually see the increase in costs every year. The highest cost indicator is the cost of implementation. In 2012, it amounted to 2814.8 thousand rubles. the next largest indicator is administrative expenses. Compared to the implementation costs in 2012, the amount of administrative costs in the same reporting period is 30 times less than the first. The smallest amount of money is deducted for income tax expenses. The cost price increased sharply in the third reporting period and reached 495.6 thousand rubles.
TS "Magnit" carries out retail trade through a network of its own stores. The company strives to ensure that only competent, responsible, as well as benevolent employees are included in its composition. The Magnit chain of stores not only works with the best suppliers and gives preference to local manufacturers, but also successfully develops own production.
2. 2 Analysis of the marketing and commercial activities of the Magnit chain of stores
The marketing environment of an enterprise is a collection that includes actors and forces that operate outside the firm and influence the firm's ability to establish and maintain successful relationships with consumers.
Management within an enterprise, as well as enterprise management as a market entity, are two steps in the management hierarchy. They are in close connection with each other. At the same time, the connection is reflected in the dialectical unity of the internal and external environment enterprises.
The external environment of an enterprise is something that is given. The internal environment of the enterprise is a reaction to the external environment.
The composition of the external environment includes all factors that have a direct impact on the activities of the company. The external environment is a combination of factors, which include economic, demographic, political, natural, cultural and technical factors. This is shown in Figure 6.
Figure 6- Internal and external environment of the company The potential of the company, as well as its capabilities, characterizes the internal environment.
The adaptation of the enterprise to the constant change in external conditions, despite the fact that there are internal opportunities - this is the essence of the marketing management of the company.
Part internal environment Marketing includes characteristics and elements that are within the firm itself. This:
1) qualification of personnel and its composition;
2) financial possibilities;
3) leadership skills and competence;
4) use of technology;
5) the image of the enterprise;
6) experience of the firm in the market.
Characterization of marketing opportunities is one of the most important parts of the internal environment.
The internal environment of the TS "Magnit":
1) qualification of personnel and its composition:
Periodically, specialists undergo professional retraining.
2) financial opportunities:
Revenue for 2012 amounted to 448, 661.13 million rubles.
3) experience of the company in the market:
The company exists and develops for almost 20 years.
External environment of the TS "Magnit":
The market for TS "Magnit" is the main external environment. It consists of competitors and customers, products, so the company has adopted certain principles:
1) provide services that meet the needs and expectations of the market;
2) focus on dialogues with the customer;
3) it is necessary to constantly study competitors;
4) it is necessary to constantly adapt to changing environment.
Potential customer needs:
1) quality of service;
2) the quality of the goods;
3) decent and understanding treatment of employees;
4) reasonable prices.
After considering the external as well as the internal environment of the firm, it is necessary to draw up a SWOT analysis that will help to identify both strengths and weak sides firms. It is presented in table 5.
Today, marketing requires much more than just creating a product that satisfies all the needs of the client, appropriately pricing the offer, and making it available to target consumers. Enterprises communicate with their consumers and customers, or rather do not lose touch with them. At the same time, everything in the content of all communications of a certain company should not be anything superfluous and accidental, because otherwise, the company may face the risk of reducing profits due to the high costs of communication, due to the damage that has been caused to the image of the company.
Table 5- SWOT Analysis of TS "Magnit"
|
Possibilities |
||
|
Adding new products; Sufficient fame, as well as high qualification of the company's personnel; Quality control, unsuccessful behavior of competitive enterprises can make it possible to keep up with the growth of the market. |
Government policy, increased competition, inflation and tax increases may affect the implementation of the strategy; Fame can add competitive advantage; Changing customer tastes. |
|
|
Non-participation of personnel in decision-making; Reduce the price level, taxes and duties, while maintaining the average price level. This will allow you to receive extra income. |
The emergence of new competitors and high prices will worsen the competitive position; Unfavorable state policy; Non-participation of personnel in decision-making. |
Since the trading network operates in a market with strong competition, for it the best option is a combined strategy that aims to realize its own advantages and is aimed at deep penetration and geographical development of the market.
PEST-analysis is a useful tool for understanding the position of the enterprise, the market, and the potential of the company. PEST-analysis can help the head of the enterprise to analyze the position of the external environment of the company, and also help to highlight the most important factors. Table 6 shows the PEST-analysis of TS "Magnit".
Currently, enterprises interested in making a profit, a special place in the organization of activities is given to marketing. The marketing department of TS "Magnit" provides for a certain set of measures, the purpose of which is to increase the profitability of this enterprise.
Table 6 - PEST Analysis of TS "Magnit"
|
Politico legal |
Economic |
socially cultural |
Technological factors |
|
1) labor legislation; 2) tax system; state regulation |
1) the cost of production; 2) inflation rate; 3) exchange rate; 4) the unemployment rate. |
1) demographic changes; 2) changes in lifestyle; 3) change in taste and preference of customers; 4) social mobility of consumers; 5) level of education. |
1) the emergence of new products; 2) the latest technology; 3) automation of quality control; 4) progressive technological methods of processing. |
The complex of marketing communications consists of four main means of influence:
2) propaganda;
3) sales promotion;
4) personal selling.
Each element has its own specific communication techniques.
It is necessary to consider each of the main means of influence included in the complex of marketing communications, using the example of Magnit stores.
The first one is advertising. This chain of stores actively uses it in its communication policy. There are various means by which Magnit distributes advertising. These include both print media and outdoor advertising.
1) the formation of a certain level of knowledge about the products offered by the consumer;
2) formation of an image of a network of these stores;
3) formation of a favorable attitude towards the Magnit network;
4) encouragement of the consumer to re-apply to this network;
5) encouraging customers to purchase those goods offered by the Magnit chain of stores;
6) promotion of sales, both of the supplied goods and goods of own production;
7) acceleration of network turnover;
8) the desire to make this client permanent.
TS "Magnit" uses various means of advertising distribution, such as: outdoor advertising, print media.
Outdoor advertising plays a huge role in the sales promotion process. At present, the streets of the city have become a battlefield, a fierce battle is being waged for the attention of every passer-by. The winner of this battle can only come out if the approach to the development, as well as the design of the advertising poster, is modern and creative enough. This information is shown in Figure 7.
Advertising posters of the TS "Magnit" are quite memorable, concise, easily perceived, and also designed for target audience. Their design and applied colors attract the eyes of passers-by, which constantly affects the attendance of the stores of this chain.
Customers who enter the TS Magnit store will certainly see advertising information posted on the glass doors in the lobbies. This type placement of advertising will be 100% noticed, as it will be visible both when entering and exiting the retail chain store. This is shown in Figure 8.
Stickers will also be 100% noticed by all customers of the store, both those who leave and those who enter the store. This type of advertising will always be relevant. This is shown in Figure 9.
Outdoor advertising is one of the most effective ways to attract the attention of customers, and is also a way to convey new information. Due to the location of hypermarkets of TS "Magnit" not far from major city highways, the coverage radius increases many times over. This is shown in Figure 10.
City format is the second most popular advertising medium after outdoor advertising. Since there is a backlight inside, this carrier can be used both during the day and at night. Thus, you can attract more attention from potential consumers. This is shown in Figure 11.
Figure 11 - City format TS "Magnit"
Stella is usually located at the entrance to the hypermarkets of the TS "Magnit". This is a large massive advertising construction on a metal pole, which rises 16 m above the ground. This advertising medium attracts a lot of attention. This is shown in Figure 12.
Figure 12 - Stella TS "Magnit"
"Indoor Video" is a new promising advertising format. It involuntarily attracts the attention of the client. Plasma panels are located in places with the highest traffic. This is shown in Figure 13.
Figure 13 - "Indoor Video" in the TS "Magnit"
Also, a company needs a website to be successful. TS Magnit has such a site. It is presented in Appendix G.
With the help of this site, it is possible to obtain information for both buyers and partners, learn about their own production of the network, you can find out what vacancies are currently presented, and there is also the opportunity to leave your own feedback about this network.
Propaganda acts as the second means included in the complex of marketing communications. According to Philip Kotler, propaganda is the promotion of sales, which is non-personal, for any product or service, as well as social movement, which is based on the dissemination of commercially important information about them, both in print and electronic media.
To date, the purpose of PR activities is to establish two-way, mutual communication, which is aimed at identifying common ideas and common interests. It is not the firm's responsibility to maintain relations with the press. If the public is interested in the activities of TS "Magnit", then in this case, maintaining relations with the press is a necessary part of the company's successful policy and acts as a constituent element of the entire list of the organization's responsibilities. The media will constantly post material and messages about this chain of stores. It will be possible to significantly reduce the likelihood of distortions, as well as inaccuracies in reports, only when assistance is also provided to the press itself. In addition, these relationships are also used for advertising purposes. The main means of communication of TS "Magnit", like any other organization, with its customers is the printed word. In this regard, the "own face" in the system of the printed word plays the role of one of the most powerful means of marketing communication. TS "Magnit" has developed its own form style, which residents of both the city of Omsk and other cities of the Russian Federation, in which TC Magnit stores are also located, will easily recognize at a glance. Their own style lies in a special emblem, in the form, as well as the type of font that was used to write the name of this organization, and also the colors of this emblem have a special meaning here, since their combination attracts the eyes of a passer-by. The emblem of this organization is shown in Figure 14.
Figure 14 - Emblem of the TS "Magnit"
Sales promotion is the third tool. Sales promotion is a marketing activity that is distinct from advertising, personal selling, and propaganda. It stimulates customer purchases and dealer efficiency, for example, exhibitions, various demonstrations. Carrying out activities aimed at sales promotion is currently gaining more and more development in the stores of the Magnit network and is an effective, as well as an inexpensive way to attract potential customers. This network uses sales promotion to:
1) increase sales in the short term;
2) to support the consumer's commitment to this particular chain of stores;
3) bring to Russian market and the market of the Omsk region any new product, this includes both goods of own production and supplied products;
4) support various promotion tools.
Also, TS "Magnit" focuses on incentives due to:
1) the possibility of personal contact with potential customers;
2) a large selection of sales promotion tools;
3) the possibility of obtaining something valuable for the buyer, as well as obtaining a large amount of information about the company;
4) opportunities to increase the likelihood of an unplanned purchase.
And finally, the last element is personal selling. According to
According to Philip Kotler, a personal sale is an oral presentation of a product that takes place during a conversation with one or more potential consumers with the aim of making a sale.
This form of trading becomes most effective at the following stages:
Formation of consumer beliefs and preferences;
The performance of such an act as an act of sale.
In the TC "Magnit" each seller knows that he is a kind of intermediary between the company and the consumer. In this case, the seller plays
the role of a source of information about the quality of products, about the wishes of customers, about which products, and why they are or are not successful, and so on. With the help of this information, the policy of this network is adjusted, as well as the system for promoting the offered goods as a whole.
Also, all sellers of the TS "Magnit" have a clear idea of the structure of the enterprise, what goals it sets for itself.
Along with this, a qualitative assessment of the seller is also carried out, namely, an assessment is given of his qualifications, the depth of knowledge about the product, the company, its customers, competitors, and so on.
It should be noted that the managers of this network are continuously working to improve the operation of the vending machine, because it is very effective in solving some marketing tasks, and also makes a huge contribution to the profit of the enterprise.
2. 3 Analysis of the formation of the assortment of goods of the Magnit chain of stores
The formation of an assortment of goods acts as the most important factor in the life of a modern trading enterprise.
Formation of the assortment of goods has an impact on sales. This makes it possible to manage the share of marginal income, as well as net profit.
The assortment matrix is an effective method of selecting from a variety of factors and elements that are of particular importance. They do this in order to achieve their goals. The main factors in the formation of the range of goods:
Determine target customers;
Determine the price range;
Create an assortment classifier;
Determine the breadth and depth of the assortment by product categories;
Determine the number of brands/suppliers represented;
Define the concepts and format of the sales division.
It is also necessary to take into account:
Time of presence of products on the market;
Analysis of this product from competitors;
Existing market trends.
The range of TC "Magnit" in this course work will be analyzed according to the product catalog "Magnit Family Hypermarket" (valid from March 13 to March 26), it is presented in Appendix E.
The breadth of the assortment is the number of species, varieties, as well as the names of homogeneous and heterogeneous groups.
The actual latitude is the actual number of species, varieties, and product names that are available.
The base latitude is the latitude that is taken as the basis for the comparison.
The latitude coefficient is the ratio of the actual number of species, varieties, as well as the names of goods of homogeneous and heterogeneous groups to the base one.
The breadth of the range of TS "Magnit" is presented in table 7.
Table 7 - The breadth of the range of TS "Magnit"
|
Name |
Actual latitude, pcs. |
Basic breadth of everything on the market, pcs. |
Latitude coefficient, % |
|
own production |
|||
|
Products |
|||
|
Cosmetics/Household |
|||
Using the breadth of the assortment, it can be concluded that the assortment of TS "Magnit" is presented above the 50% barrier compared to competitors. This enables successful competition in the market. But the expansion of assortment positions is 20 items. This enables the trading network to increase the possible supply. The completeness of the assortment is the ability of a set of goods of a homogeneous group to satisfy the same needs. The actual completeness indicator can be characterized by the actual number of species, varieties, as well as the names of goods of a homogeneous group. The basic indicator of completeness can be characterized by the regulated or planned quantity of goods of a homogeneous group. The completeness ratio is the ratio of the actual completeness indicator to the base one. The completeness of the range is presented in table 8.
Table 8 - Completeness of the range of TS "Magnit"
It is very difficult to establish the possibility that one variety can replace another. But the assortment completeness indicator shows that almost 54% of goods of own production satisfy the needs in this form, almost 68% satisfy the needs of products, and almost 64% satisfy the needs of cosmetics and household chemicals. The assortment in this case is rational, because the number of product items is large enough to satisfy any customer needs with a super large number of items. Range stability is the ability of a set of products to meet demand for the same products. A feature of such products is the presence of a steady demand for them. The stability of the assortment can be characterized by the stability coefficient. The stability coefficient is the ratio of the number of types, varieties and names of products that are in steady demand among customers to the total number of types, varieties and names of products of the same homogeneous groups. The stability of the assortment is presented in table 9.
Table 9 - Stability of the assortment of TS "Magnit"
Almost half of the presented products are in steady demand, despite the difference in customer preferences.
The product has a steady demand, in some way not only because of the taste, but also because of the "convenient" low price.
The novelty of the range is the ability of a set of products to meet changing needs through new products.
The novelty of the assortment can be characterized by two indicators. These are: the actual renewal and degree of renewal.
The renewal ratio or degree of renewal is the ratio of the number of new products to the total number of items. The assortment update is presented in Table 10.
The update does not act as one of the main directions of the retail chain's assortment policy. Quite the contrary - the emphasis is on the permanent preferences of consumers. However, TS Magnit is trying to introduce new products, which they are quite successful at.
Table 10 - Updating the range of TS "Magnit"
The idea of ABC analysis is based on the well-known Pareto principle: “A relatively small number of causes are responsible for the majority of possible outcomes”, currently better known as the “20:80 rule”. Vivid examples of this rule: “20% of products bring 80% of profit”; "20% of customers bring in 80% of sales." ABC-analysis of TS "Magnit" is presented in table 11.
Table 11 - ABC-analysis of TS "Magnit"
|
pretzel "Vyborgsky" |
||||||
|
Liver fritters |
||||||
|
Bread with bran |
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|
Butter biscuits "Kurabiye" |
||||||
|
Fried potatoes with mushrooms and onions |
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|
Salad "Vitamin" |
||||||
|
Products |
Cheese "Pigtail smoked" |
|||||
|
Coffee "Black Card" |
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|
Processed cheese "Viola" |
||||||
|
Oatmeal "Miracle" |
||||||
|
Nectar "My family" |
||||||
|
Chips "Layz" |
||||||
|
Buckwheat "Uvelka" |
||||||
|
Lecho "Pikanta" |
||||||
|
Greenfield tea |
||||||
|
Butter 72, 5% Prostokvashino |
||||||
|
Margarine "Rama" |
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|
Sour cream 25% Prostokvashino |
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|
Kvass "Russian gift" |
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|
Milk 3.5% Prostokvashino |
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|
Kefir 3, 2% Prostokvashino |
||||||
|
Shock. sweets "Swallow mail" |
||||||
|
Cottage cheese grained "101 grains + cream" |
||||||
|
Breakfast dry "Dansonia" |
|
Chocolate "Sweet" |
||||||
|
White beans "Globe" |
||||||
|
Mayonnaise "Mr. Ricco" |
||||||
|
Cosmetics |
Diapers "Haggis" |
|||||
|
Shampoo "Head and Shoulders" |
||||||
|
Oral bi toothbrush |
||||||
|
Antiperspirant Dove |
||||||
|
washing powder"Be-Max" |
||||||
|
Blend-a-honey toothpaste |
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|
Glass cleaner "Mr. Muscle" |
||||||
|
Johnson's baby bath |
||||||
|
Dishwashing liquid "Sorti" |
Thus, we can conclude that the conducted ABC analysis showed that the main share of the turnover of the store TS "Magnit" is provided by such goods as dairy products, bakery products, tea, butter, which belong to group B. Goods - cheese, coffee, pancakes belonging to group A are needed in development and additional sales promotion actions are required, for example, in the form of price cuts or assortment expansion.
You can also use the BCG matrix here. The essence of the model: the BCG matrix suggests that in order to ensure productive profitable long-term growth, a company must generate and extract cash from successful businesses in mature markets and invest in rapidly growing attractive new segments, strengthening the position of their products and services in them to generate sustainable income levels in the future. Objectives of the model: BCG analysis is used to prioritize the development of the company's assortment units, allows you to determine the directions for future investments and develop long-term strategies for the development of each assortment unit.
To develop this model, I chose products from the product group "Products". Namely: processed cheese "Viola", tea "Greenfield", milk 3.5% "Prostokvashino", chocolate "Sweet", mayonnaise "Mr. Ricco".
The data are presented in table 12 and in table 13.
Table 12 - Calculation of the market share of goods
Table 13 - Construction of the BCG matrix in terms of profit
The following conclusions can be drawn:
1) the first step of the enterprise is to decide the fate of the product "Chocolate" Sladko "". This product must be excluded from the range. If the market capacity is large, then you can try to make a "Cash Cow" out of this product. This requires product improvement programs.
2) the enterprise lacks "Stars". It is necessary to consider the possibility of product development "Mr. Ricco Mayonnaise" (strengthen competitive advantages, develop product knowledge). If it is impossible to develop the existing "Problem Children" into "Stars" - consider the creation of new products that can take this place.
3) to place the main emphasis in support on the products “Milk 3.5% Prostokvashino” and “Greenfield Tea”, as they provide the bulk of sales. The goal here will be to hold the position.
4) a low share of this product, it is necessary to increase the number of new products and developments. The existing product "Mayonnaise "Mr. Ricco"" to develop, to create competitive advantages.
3 Recommendations and measures to improve the range of goods in the Magnit chain of stores
After analyzing the activities of the TS "Magnit", some of its shortcomings can be identified:
Narrow assortment of goods;
The trading network pays little attention to the design of the trading floor.
Consider the solution to each problem separately.
Product portfolio management is one of the main activities of each company. This direction is especially important in the context of the transition to a market economy, when the client pays more attention to quality and assortment of products. A large number of different economic indicators of the company and market share depend on the efficiency of work with manufactured products. Analyzing world experience, we can conclude that the leadership in the competition will be given to the one who is most competent in managing the assortment, and also owns the methods of its implementation.
Planning and managing the product range of TS "Magnit" is an integral part of the marketing department. Even well-thought-out sales and advertising plans are not able to eliminate the consequences of mistakes made that were made much earlier, even when planning the product range.
The development of the assortment concept precedes the formation of the assortment. This is a targeted construction of an optimal product offer, the construction of an improved assortment structure, in this case, the requirements of customers should be taken as the basis, as well as the need to ensure the most efficient use of financial, technological, and other resources by the company in order to produce and sell goods at low costs. .
The assortment concept of TS "Magnit" is a system of indicators that characterize the possibilities for better development of the range of various products. These indicators include: the frequency and level of updating the assortment, the variety of types of products, the level and ratio of prices for products of this type, and more. The purpose of the assortment concept of TS "Magnit" is the company's orientation towards the production and sale of products that would be more in line with the structure, as well as the diversity of customer demand.
If it is necessary to develop a system for forming the assortment of goods of the TS "Magnit", then it will consist of the following main points:
1) determine the current and future needs of customers, analyze the ways in which certain products are used and the characteristics of customer behavior, critically evaluate the goods sold and produced by the distribution network in the same assortment from the client’s point of view;
2) evaluate existing analogues of competitors in the same areas;
3) decide which products should be added to the assortment, and which should be excluded from it due to changes in the level of competitiveness; whether to diversify products with other lines of production of the firm that are outside its established profile;
4) consider proposals for the creation of new products, improvement of existing ones, as well as new ways and areas of application of products;
5) to test the goods taking into account potential customers in order to ascertain compliance with respect to quality, style, price, name, packaging, service, etc.
Let us consider in detail each point regarding the goods of the TS "Magnit".
The first thing that a trading network, or rather its specialists, can produce is to determine the needs of its customers. This event can be carried out through marketing research. For example, when making purchases, customers will be asked to fill out a questionnaire where they will answer questions related to certain product groups: Does this product meet their needs? Does the price suit? Do you think this product is of good quality or not? This survey should be conducted at least once a month. This is due to the fact that the tastes and interests of customers are constantly changing. The company needs to constantly be aware of these changes and try to meet the needs of each client. This type of research can be carried out by students who have taken a job as a promoter, and in the summer this type of activity can be entrusted to a student trainee. The survey must be conducted within three days in one store of the TC "Magnit" from 15:00 to 20:00. The cost of this event (for three days) will include:
Printout of questionnaires;
Promoter salary.
For three days of the survey, it is necessary to print questionnaires in the amount of 100 pieces. The cost in this case will be 100 rubles. (1 rub. x 100 pieces = 100 rub.). An example of the questionnaire is given in Appendix G. The services of a promoter are also required. For one hour, his salary will be 80 rubles. The cost in this case will be 1200 rubles. (80 rubles * 5 hours = = 400 rubles and 400 rubles * 3 days = 1200 rubles). In total, for three days of this event, the costs will amount to 1300 rubles. (100 rubles + 1200 rubles = 1300 rubles). It can be concluded that it is advisable to carry out this kind of event, since a small amount of money is spent in this case. After conducting the survey, the promoter must deliver the completed questionnaires to the marketing department of the enterprise, where marketing specialists and marketing assistants will analyze the data received and be able to draw conclusions in the future. From these conclusions, it will be possible to determine the approximate needs of their consumers and take into account those points that do not suit them.
The second is an analysis of your competitors. In the city of Omsk, the main competitor of the TS "Magnit" is the chain of stores "Soseddushka". Here you can make comparative analysis. In some ways, a competitor can outperform TS Magnit, this must be taken into account, because it is these moments that can affect the competitiveness of this chain of stores. The parameters for comparison can be completely different. These can be: the price level, the quality of service, the design of the trading floor, the layout of the goods, and so on. It is also possible to conduct a comparative analysis using a survey. The methodology for conducting the survey will be similar to the methodology described in the first case, however, the questions here will be of a different nature. The costs will also be in this case 1300 rubles. An example of this questionnaire is given in Appendix I.
The third is the solution of issues related to the addition or exclusion of certain goods from the assortment of the distribution network. In this case, it is possible to create an expert group, which will consist of specialists from the marketing department.
Fourth - here it is meant to consider proposals either to create new products or to improve existing ones. For example, at the exit of a retail chain store, you can install a “Your suggestions and claims” box, where incoming customers will throw leaflets. An example is shown in Figure 15.
Figure 15 - An example of the box "Your suggestions and claims" in the shops of the TC "Magnit"
Fifth, in this case, it is possible to study existing goods or study the possibilities of own production of new products. Here it will be necessary to answer the question: “Is own production profitable for the trading network? » In this case, it is possible to test the products. To carry out such an event, it is necessary to send samples of the goods to the laboratory. A similar laboratory has existed in Ryazan for many years. Today - Federal state-financed organization"Ryazan CSM" - modern organization staffed by highly qualified specialists and equipped with the most accurate equipment. The laboratory conducts tests of food products according to the following safety indicators:
Toxic elements: lead, cadmium, arsenic, mercury, copper, iron, tin, zinc;
Mycotoxins: aflatoxin B1, aflatoxin M., zearalenone, T-
2 toxin, patulin, deoxynivalenol, ochratoxin A;
Pesticides: Hexachlorocyclohexane (alpha, beta, gamma isomers), DDT and its metabolites, 2, 4-D acid, its salts, esters, organomercury pesticides, heptachlor, hexachlorobenzene;
Antibiotics: grisin, bacitracin, tetracycline group,
levomycetin, streptomycin;
Benz(a)pyrene;
Radionuclides (cesium-137, strontium-90) are determined in food products and water;
Microbiological indicators: sanitary indicative microorganisms, conditionally pathogenic microorganisms, pathogenic microorganisms, including salmonella, spoilage microorganisms.
Melamine in milk, milk powder, milk-based baby food, egg powder, yogurt, chocolate, lactose and animal feed.
In this case, it is proposed to send samples bakery products own production. The costs are presented in table 14.
Table 14 - Costs for product testing
The total cost of the analysis was 1,187 rubles. It is also necessary to take into account the cost of transporting these samples. With a small weight of the cargo, the shipment will take about 5-7 days from the date of release vehicle. The cost will be 5600 rubles. In total, the enterprise will spend 6,787 rubles on conducting an examination of goods of its own production. (1187 rubles +5600 rubles = 6787 rubles).
Also, tasting of certain food products can act as an examination of goods. The customers of TS Magnit stores themselves will act as tasters. At the same time, each client will be given a card, where he will put a point (according to a 5-point system) for a particular indicator. An example of a card is shown in Figure 16.
Figure 16 - Card for product evaluation After that, the analysis will also be carried out, and conclusions will be drawn.
It can be concluded that the essence of the formation and management of the assortment of goods of the TS "Magnit" will be that the chain of stores offers a certain set of goods in a timely manner that would most fully satisfy the requirements of certain categories of customers.
Since TS "Magnit" has shortcomings in the use of advertising, it is necessary to apply new types of advertising media.
The concept of "advertising media" includes a wide range of different possibilities that are aimed at transmitting an advertising message from the advertiser to the consumer. Today there is great amount means of advertising, which led to the emergence of various classifications according to certain criteria, for example, the size of communication, its direction, purpose, as well as the method of disseminating information, etc.
In order for the consumer to learn about the expansion of the range, about the appearance of new products in the TS "Magnit", it is necessary to make full use of advertising tools, since this is the main way to bring this information to their consumers. If a consumer sees an advertisement for a new product on a banner or, for example, on TV, then he can go to the TS Magnit store to get it. It is thanks to advertising tools that we can learn about the arrival of a new product, and in some cases, about its price, discounts and new promotions in the store.
When planning the use of the main means of advertising distribution, a specialist in this area must accurately understand what indicators of strength, particularity and impact coverage each of these means provides. These funds are arranged in the following order: newspapers and television, radio, magazines, outdoor advertising, direct advertising.
Each of these tools has its own advantages and limitations.
The trading network "Magnit" uses various means of advertising distribution. But some of them remained untouched. Among them are such as outdoor advertising (in the form of banners), advertising on transport and inside it, Internet advertising, as well as direct advertising.
In the role of a mass means of influencing the audience of potential customers using various modes of transport, such an advertising medium as advertising on transport is indispensable. Every day, thousands of people use the services of buses and trolleybuses. Advertising on transport can be divided into three types. This:
3) posters posted at railway stations, bus stations, bus and trolleybus stops, as well as at gas stations.
Outdoor advertising, which will be distributed on the streets of the city, will quickly attract the attention of passers-by. The banner can contain both the logo of this network and information about upcoming promotions or holidays. An example is shown in Figure 17.
Figure 17 - An example of a banner of the TS "Magnit"
Considering the second type of advertising on transport, this option for presenting advertising information about the TS "Magnit" is possible, it is also shown in Appendix B. And, finally, this option for presenting advertising information about the TS "Magnit" is possible, it is shown in Figure 18.
Internet - advertising is addressed to the mass client and has the character of persuasion. In the case of the TC "Magnit" there is a place to be media advertising. It is the placement of text and graphic advertising materials on various sites that are an advertising platform. An example of presenting information about the TS "Magnit" using Internet advertising is shown in Figure 19.
The last form of all means of distribution of advertising is direct advertising. Direct advertising is aimed at a specific audience through some means. For example, distribution of booklets about a given trading network. An example of a booklet is shown in Appendix D.
The costs of the listed activities are shown in Table 15.
Table 15 - Costs of TS "Magnit"
These costs are necessary to increase the number of ad views of this network.
Each of the above means of advertising, transmitting information to a wide range of consumers, has its own specifics, and also in its own way performs the ultimate task of advertising. Therefore, a spontaneous choice of funds can lead to a decrease in the effectiveness of a promotional event.
3. 3 Recommendations for the use of advertising and multimedia technologies on the trading floor
And the last drawback is the fact that the trading network pays little attention to the design of the trading floor. Therefore, recommendations will be offered on the use of advertising and multimedia technologies in the trading floor.
At present, it is important not only what products make up the assortment of the store, but also the fact how they are presented to the client is important. To date, there are a large number of the latest technologies that bring new, positive changes to the work of stores.
Multimedia technologies are a set of modern audio, video, virtual and visual communications that are used in the process of organizing, planning and managing various activities. Multimedia technologies are widely used in promotional activities, in the organization of marketing management of means and methods for promoting goods and services, in training and leisure activities. It is possible to disseminate information about the replenishment of the assortment of TS "Magnit" not only with the help of advertising tools that are located outside the stores of the distribution network, but also to do this inside the trading floors themselves.
The Magnit chain of stores does not actively use both advertising and multimedia technologies. On the trading floor, we can place audio advertisements, as well as watch videos that will “tell” about the preparation of our own products. These videos can be broadcast on monitors that will be located at the exit from the store, or rather opposite the cash register. Standing in line and watching these videos about own goods, the consumer can easily go back and buy them.
It is also necessary to place monitors throughout the trading floor, in each department, on which buyers will also be able to watch various videos about the products of the TC "Magnit".
It is also possible to use a virtual promoter.
A virtual promoter is what is needed when conducting various kinds of promotions or exhibitions. He is
an effective form that influences the behavior of a person passing by. The virtual promoter always successfully leads the client to purchase the advertised product. Its image can be completely different, ranging from a life-size projection of a person to the image of a company or product.
At the request of the customer, this device can be equipped with an interactive system that will make it possible to recognize the approached person, and then turn on the corresponding video. The dynamic image of the interactive promoter, as well as sound accompaniment with non-standard presentation of information, does not leave indifferent either ordinary passers-by or advertising professionals. An example of a virtual promoter is provided in Appendix E.
Currently, all stores are fighting for the attention of passers-by, both directly with each other, and with thousands of different, moving advertising objects. Today, plastic figures, no matter how beautiful and perfect they are, can no longer attract as much attention as before. Interactive storefronts can help in this fight. Forbes called them one of the most promising trends.
Interactive storefronts consist of the advantages that standard video screens have, but they also have ample opportunities to engage passers-by in direct contact. This includes both testing the capabilities of the proposed product, and various pleasant games that affect the strengthening of the emotional connection with a particular product. In addition to all this, since this technology is not yet an industry standard, for most companies it plays the role of an opportunity to emphasize the understanding of current trends by the company itself, and it is also a very good informational occasion, effectively spreading through the network.
An interactive showcase will allow a company (in our case, TS Magnit) to visually show the assortment of the store and open access to it, even if the store itself is closed. An example of an interactive showcase is provided in Appendix E.
The use of new technologies in the policy of the CU "Magnit" will entail some costs. They are expressed in Table 16.
Table 16 - Costs for new technologies TS "Magnit"
Based on the information presented in Table 2, it can be calculated that the total cost of new technologies is 247,000 rubles.
The use of these technologies will lead to an increase in the number of customers of this network, and, consequently, will increase the profit of the enterprise, which will positively affect the position of the network of these stores in the Omsk market.
Conclusion
One of the most important commodity characteristics of goods is the assortment characteristic, which determines the fundamental differences between goods of different types and names. The assortment of goods is a list of goods that are united on some basis and satisfy human needs.
A distinction is made between the range of services, the range of products and the trade range:
The range of services is a set of services that are offered by the client. In terms of detail, the range of services includes three main types: group, specific and intraspecific;
The product range is the composition, the ratio of individual types of products in the goods of the company, industry, product group, taking into account their quality and grade;
In marketing, the characteristics of the assortment are: the width, depth, stability and height of the assortment.
The width of the assortment is the number of assortment groups in the totality of marketable products.
Assortment depth is the number of products in one assortment group.
The assortment height is the average price of the assortment group.
A product range is a group of products that are related to each other either due to the similarity of their scope of operation, or within the same price range.
The range of goods - according to GOST R 51303-99 is a set of goods that are combined according to any one or set of characteristics.
When writing this course work, the activity of the Magnit trading network was considered.
Such concepts as "assortment", "assortment formation" were studied. The classification of the assortment of goods and services of a retail enterprise, the indicators of the assortment and the factors affecting them, the principles, as well as the stages of forming the assortment and monitoring its condition in retail trade organizations were also considered.
The organizational and economic characteristics of the stores of this network were also analyzed. After that, it was analyzed marketing activities TS "Magnit", as well as the formation of the assortment of goods of the network of stores "Magnit"
And in the end, recommendations and measures were given to improve the range of goods at retail enterprises. Where you can include: recommendations for improving the range, the use of new types of advertising media, as well as the use of new advertising and multimedia technologies on the trading floor.
In the course of writing this course work, it was found out that the Magnit retail chain is very successful in its activities. This is confirmed by a wide range of consumers of the goods of this trading network.
The tasks set were completed and the goal achieved.
List of sources used
1 Snegireva, V. Retail store: ex. assortment by product categories / V. Snegireva. - St. Petersburg: Peter, 2007. - 416 p.: ill. - Bibliography: p. 403. - ISBN 5-469-00398-1.
2 Vinogradova, S. N. commercial activity: textbook / S. N. Vinogradova, O. V. Pigunova. - 2nd ed., corrected. - Minsk: Highest. school, 2006. -351 p. - (University. Students of higher educational institutions) - ISBN 985-06-1255-X.
3 Paramonova T. N., Krasyuk I. N. Marketing in retail trade: Educational and practical guide / Under the general editorship of Professor T. N. Paramonova. - M.: ID FBK-PRESS, 2004. - 224 p.
4 Sidorov D. V. Retail chains
5 Zhukova, T. N. Commercial activity: textbook. allowance / T. N. Zhukova. - St. Petersburg: Vector, 2006. - 256 p. - (The best cheat sheets). - Bibliography: p. 251-252. - ISBN 5-9684-0282-2.
7 Sysoeva, S. V. Retail store standard: development of instructions and regulations / S. V. Sysoeva. - St. Petersburg: Peter, 2007. - 176 p.: ill. - (Library of the store director). - App.: p. 145-169. - Bibliography: p. 170. -ISBN 978-5-91180-126-7.
8 Retail trade networks: strategies, economics, management: textbook. allowance / ed. A. A. Yesyutina, E. V. Karpova. - M.: KnoRus, 2007. - 424 p. - ISBN 978-5-85971-705-7.
9 The book of the store director: pract. recommendations / VV Gorlov [et al.]; ed. S. V. Sysoeva. - 2nd ed., improved. and additional - St. Petersburg: Peter, 2007. - 368 p.: ill. - Aut. listed on the back of tit. l. - Bibliography. at the end of ch. - ISBN 5-469-01306-5. - ISBN 978-5-469-01306-8.
11 Surkova, E.V. Fundamentals of marketing: tutorial/ E. V. Surkova. - Ulyanovsk: UlGTU, 2007. - 152 p. - ISBN 978-5-9795-0138-3.
12 Charter of JSC "Magnit" dated 05. 06. 2012 - Access mode: http: //www. magnit info. ru/.
13 Official website of the Magnit network. - Access mode: http: //www. magnit info. ru/.
14 Information collection methods and analysis tools Kislyak M. - Access mode: http: //www. antema. en
15 Customer behavior: data collection methods Smirnov V. - Access mode: http: //www. antema. en
Annex A
Annex B
Annex B
Figure B. 1 - An example of a booklet for the goods of the TS "Magnit"
Annex D
Figure D. 1 - Virtual Promoter
Annex D
Figure E. 1 - Interactive showcase
Annex E
Figure E. 1 - Product catalog of the hypermarket "Magnit"
Annex G
1. What influences the choice of place of purchase?
□ price of goods;
□ quality of goods;
□ quality of service;
□ close location to home or place of work;
□ recognition of the trading network;
2. How satisfied are you with the activities of TC "Magnit" (on a 5-point scale)?
3. What products do you buy most often?4. Do you have any complaints about the goods presented in the TS Magnit store? (if yes, which ones)
5. What product would you like to see on the shelves of the TC "Magnit" store?
I would like to see_.
6. Specify your gender:
□ male;
□ female.
7. Enter your age:
□ under 18;
□ 18 - 25 years old;
□ 26 - 40 years;
□ 41 - 55 years;
□ Age 56 or older.
8. Specify the type of your activity:
□ student;
□ student;
□ working;
□ pensioner;
□ other_.
Thank you for participating in the survey!
Appendix I
Please answer the following questions:
9. Where do you most frequently shop? food products?
□ on the market;
□ in chain stores;
□ in convenience stores;
10. In which of the retail chains do you shop most often?
□ "Magnet";
□ "NeighbourDushka";
□ Tape;
□ other_.
11. How satisfied are you with the activities of TC "Magnit" (on a 5-point scale)?
12. How satisfied are you with the activities of the SoseDDushka shopping center (according to a 5-point system)?13. How satisfied are you with the activities of the TC "Lenta" (on a 5-point scale)?
14. What goods and where do you buy most often?
|
How often? |
TS "Magnit" |
TS "SoseDDushka" |
TS "Lenta" |
Each product line requires its own marketing strategy. In most firms, work with each assortment group is entrusted to a separate person. To this steward a number of responsible decisions will have to be made regarding the breadth of the product range and the goods that embody it.
The product line manager must decide on the breadth of the product line. The assortment is too narrow if profits can be increased by adding new products, and too wide if profits can be increased by eliminating a number of products from it.
The breadth of the product range is partly determined by the goals that the company sets for itself. Firms trying to be seen as full-range suppliers and/or seeking to gain a large share of the market or expand it, the product range is usually wide. They are less concerned about the situation when one or another of the goods they produce does not make a profit. Firms that are primarily interested in the high profitability of their business usually have a narrower range of profitable products.
Over time, the product range expands. A firm can expand its product range in two ways: by increasing it or by saturating it.
The decision to increase the product range:
- 1. Building down. Many firms are initially located in the upper echelon of the market and subsequently gradually expand their range to cover the lower echelons. Rolling down may be aimed at deterring competitors, attacking them, or penetrating into the fastest growing market segments.
- 2. Building up. Firms operating in the lower echelons of the market may want to penetrate the higher ones. They may be attracted by the higher growth rates of the upper echelons of the market or their increased profitability. Or perhaps the company just wants to position itself as a manufacturer with an exhaustive range.
The decision to build up can be risky. Competitors in the overlying echelons not only “dug in” well in their positions, but can also go on the counterattack, starting to penetrate into the lower echelons of the market. Potential Buyers may not believe that a novice firm is able to produce high quality goods.
3. Bilateral extension. A firm operating in the middle echelon of the market may decide to increase its product range both up and down at the same time.
The decision to saturate the product range:
The expansion of the product range can also occur by adding new products within its existing framework. There are several reasons why they resort to saturation of the assortment:
- 1) the desire to obtain additional profits;
- 2) an attempt to satisfy dealers who complain about gaps in the existing assortment;
- 3) the desire to use unused production capacity;
- 4) attempts to become a leading firm with an exhaustive range;
- 5) the desire to eliminate gaps in order to prevent competitors.
Saturation of the assortment leads to a decrease in overall profits, as products begin to undermine each other's sales, and consumers become confused. When releasing new products, the company should make sure that the new product is noticeably different from the already manufactured products.
In a market economy, there is no clear opinion about what the range of goods should be in order to best meet the demand of buyers, ensure the necessary profits and solve other commercial problems. Each trading company is looking for its niche in the market, based on the prevailing market conditions. Therefore, commercial employees of consumer cooperatives must clearly understand what kind of buyers they are counting on, in what competitive environment they will work, etc. For this, it is considered possible to use the ABC analysis method widely used in a market economy.
This method allows you to determine the optimal ratio of groups and types of goods in a retail trade enterprise, taking into account the basic requirements to achieve the goal. The method provides for a multi-stage division of the entire trading range according to several criteria into three categories for each criterion. Category "A" includes goods that make up about 70% of the criterion value. Category "B" includes goods that make up about 25% of the value of the criterion, and category "C" - about 5%. Moreover, it is recommended to include in the first category about 15% of the total number of goods, in the second group 35%, and in the third 50% (Fig. 1).
Rice. 1.
Profit, retail turnover, distribution costs were chosen as evaluation criteria.
The division of the trade assortment is based on the ranking of product groups according to the selected criterion and the definition of categories "A", "B", "C" in accordance with the conditions of the ABC analysis.
The results can be analyzed in the following sequence. Arrange product groups in descending order of profit. In category "A" include product groups, which together give about 70% of profit, in category "B" - 25% of profit, in category "C" - 5% of profit. For each category, calculate the total number of assortment items included in it and determine their share in the nomenclature of the trading assortment. In accordance with this, we can conclude that the number of assortment positions in each category is sufficient.
At the same time, it should be foreseen that the trade assortment should contain not only high-yield products that bring maximum profit, but also products with lower profitability indicators, in order to achieve the maximum result in attracting customers and fully satisfying their demand. This requirement is also due to the fact that consumer cooperation is a socially oriented system and therefore must trade in essential goods and socially important goods everywhere.
When establishing the expediency of finding a product of a certain name in trade assortment, you should consider what period of the life cycle it is in.
It can be seen from the graph that retail trade receives the greatest profit in the time interval A "-A", when the assortment is dominated by goods that are in the stage of growth and maturity, however, there are new goods available that are only gaining their place in the market, and also goods, the demand for which is falling (Fig. 2).
Rice. 2.
It can be seen from the graph that retail trade receives the greatest profit in the time interval A "-A", when the assortment is dominated by goods that are in the stage of growth and maturity, however, there are new goods available that are only gaining their place in the market, and also goods for which demand is falling.
This approach should be one of the factors influencing the formation of the optimal assortment.
The presence of a product of a certain type in the assortment is desirable until the sales volume passes the so-called "break-even point".
ABC-analysis is carried out on the basis of statistical data on a trading enterprise for a year, half a year, a quarter. The organization of the necessary calculations requires commercial workers to have productive computing resources with the possibility of both tabular and graphical presentation of the results. It should be noted that ABC-analysis is a tool for improving the range of goods, and not forming it initially.
When separating all product groups, subgroups, types of goods according to the ABC analysis method, tables are compiled that characterize the degree of contribution of each type or subgroup of goods being assessed to the result of activity (criterion).
The formation of the assortment is preceded by the development of an assortment concept by the enterprise. It is a directed construction of the optimal assortment structure of the product offer, while taking as a basis, on the one hand, the consumer requirements of certain groups (market segments), and on the other hand, the need to ensure the most efficient use of raw materials, technological, financial and other resources by the enterprise in order to to sell goods at the lowest possible cost.
The assortment concept is expressed as a system of indicators characterizing the possibilities for the optimal development of the product range. These indicators include: a variety of types and varieties of manufactured goods (width and depth of the range, taking into account the typology of consumers); the level and frequency of updating the assortment; the level and ratio of prices for goods of this type and others. The purpose of assortment concepts is to orient the enterprise towards the production of goods that are most appropriate to the structure and diversity of the demand of specific customers.
Supported by organizational, financial and other measures, the assortment concept can be considered as a kind of program for managing the development of production and the sale of relevant goods. Its target part includes requirements for the optimal assortment structure, and the program part includes a system of measures to achieve it over a certain period. This program is given a complex character by the inclusion in it of issues related to the optimization of the assortment. The criteria for optimality are consumer requirements for the range and quality of goods, resource opportunities, social attitudes, culture, and others.
In order to better understand the problems that arise in the process of developing an assortment policy, one should dwell on the main factors that determine the formation of an enterprise's product range.
The main factors that determine the company's product range, the need to change, expand and narrow its product range include:
- - research and development activities in the industry, which, as a rule, have applied character and are called upon to use the already mastered theoretical knowledge for their introduction into production and for the creation of new, improved products and technological processes, taking into account the requirements of specific market segments;
- - changes taking place in the product range of competing firms selling similar products, which are also working on optimizing the product range, updating the product range;
- - changes in demand for goods sold by the company, requiring clear management of the company's activities and the development of appropriate assortment policy measures that would make it possible to resist the narrowing of the market and skillfully use the expansion of market opportunities;
- - the desire and preference of buyers to purchase a large number of products from one enterprise, which provides them with reliability, habitual business contacts, and time savings in negotiations;
- - optimal sales through the distribution network of several types of goods at the same time, which reduces distribution costs and attracts retailers;
- - development of trade on special orders of individual consumers, providing for the individual supply of goods of specified properties and characteristics.
In addition to the above, an important factor in the formation of the range is the price of goods. The ability to correctly understand and use this most important category largely determines the commercial success of the company in the market.
The main principles of pricing policy formation include:
- - ensuring the linkage of the company's pricing policy with common strategy trade management and priority goals for the development of turnover. Pricing policy should be considered as the most important component strategies for the development of a trading enterprise at individual stages of its implementation;
- - ensuring the linkage of the company's pricing policy with the consumer market conditions and the characteristics of the chosen market niche. This linkage allows us to take into account not only the conditions for the formation of prices for goods in the relevant segments of the consumer market, but also the nature of the requirements for this price. certain categories retail buyers;
- - ensuring a comprehensive approach to the established level of trade markup for goods in combination with the level of trade customer service;
- - implementation of an active pricing policy in the market (active forms of this policy are determined by factors such as independence of approaches to setting prices and trade markups, differentiation to the approach to pricing);
- - ensuring high dynamism of the pricing policy, which is ensured by the quick response of the developed pricing policy to changes in the internal conditions for the development of a trading enterprise and environmental factors, that is, the timeliness of revising its individual parameters in conjunction with the dynamics of consumer demand.
Price should be treated as a very subtle market regulation mechanism, in which the principle of the golden mean is extremely important for any seller and any product.
Thus, the process of assortment formation is complex, closely intertwined with other marketing tools, the most important of which is price policy. By forming the assortment, including or excluding certain goods from it, they thereby manage its expansion, reduction or renewal.
The above factors serve as incentives for expanding the product range of products sold by the enterprise. As part of the marketing strategy, the company must pursue an active assortment policy and plan to expand and update the product range.
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