1. Commercial analysis of WM Morrison Supermarkets plc
According to Wm Morrison Supermarkets PLC (2015), Wm Morrison Supermarket PLC is one of the UK’s fourth largest supermarket group whose objective is to provide high quality and fresh products to customers. Morrisons is a value-led grocer and has their own manufacturing production facilities to meet the requirements of all customers which the best products. Especially, they focus on fresh food. The group is confident in their controlling over the provenance of their supply chain. To be satisfied all their customers’ demand, the group has launched a multi-channel with many convenience stores and online coverage. Obviously, Morrisons’ competitors are others three largest supermarket group …show more content…
By using vertically integrated ‘farm to fork’ business model, they manufacture more than half of the fresh food; running their own abattoirs, food production factories, farm for research and development goal and distribution network. Moreover, Morrisons aim to supply their high quality products at a low price. They launched Match & More card during the year to match their price against rivals is also a strength. This strength will move to as an external opportunity for the company. This strategy brings a closer relationship between Morrisons and customers or supplier. Morrisons launched online shopping and opened many convenient store is also an opportunity to attract old and new customers. Besides that, internal weaknesses of Morrisons is lack of non-food products, such as electronics or cloths. Their customers may choose to shop in competitors’ store. In addition, a deflation economy in the last quarter create a war of reducing price. As a result, two discounters Aldi and Lidl obtained the benefit during the period. Group like-for-like (LFL) sales performance decreased by 5.9% which is not include the sale of petrol. As the price …show more content…
Launching Match & More card attacked to rivals and brought an imperative opportunity to Morrisons. They launched ‘I’m Cheaper’ campaign cutting 1200 products by an average17%. 50% of UK households accessed online proposition. Cost savings achieved £224 million; final dividend was 9.62p and 68 stores were opened of which 57 were convenience stores. David Potts joined Morrisons as a CEO instead of Dalton Philips that was an interesting challenge. In the next 18 months, Morrisons aim to be more competitive to rivals. Based on cutting the prices on staple groceries, simplified communication in store and more impactful promotions, they are developing their’ Made by Morrisons’ programme to set a range of prices that are simpler and more competitive. They also want to improve their customer service by training staffs, expending working hour, improving technology and reorganising their stores. They try to be more active in the community; using their knowledge of customers’ tastes and needs to gain local areas more efficiently and more accurately. They plan to introduce many convenient service departments in local store. Morrisons expects to simplify and speed up by reorganising the company structure. A new ‘Fresh Look’ will be introduced to upgrade the entire estate by the end of 2018. A separate ‘back to best’ maintenance programme completed by next month to reset the physical condition of each
According to Wm Morrison Supermarkets PLC (2015), Wm Morrison Supermarket PLC is one of the UK’s fourth largest supermarket group whose objective is to provide high quality and fresh products to customers. Morrisons is a value-led grocer and has their own manufacturing production facilities to meet the requirements of all customers which the best products. Especially, they focus on fresh food. The group is confident in their controlling over the provenance of their supply chain. To be satisfied all their customers’ demand, the group has launched a multi-channel with many convenience stores and online coverage. Obviously, Morrisons’ competitors are others three largest supermarket group …show more content…
By using vertically integrated ‘farm to fork’ business model, they manufacture more than half of the fresh food; running their own abattoirs, food production factories, farm for research and development goal and distribution network. Moreover, Morrisons aim to supply their high quality products at a low price. They launched Match & More card during the year to match their price against rivals is also a strength. This strength will move to as an external opportunity for the company. This strategy brings a closer relationship between Morrisons and customers or supplier. Morrisons launched online shopping and opened many convenient store is also an opportunity to attract old and new customers. Besides that, internal weaknesses of Morrisons is lack of non-food products, such as electronics or cloths. Their customers may choose to shop in competitors’ store. In addition, a deflation economy in the last quarter create a war of reducing price. As a result, two discounters Aldi and Lidl obtained the benefit during the period. Group like-for-like (LFL) sales performance decreased by 5.9% which is not include the sale of petrol. As the price …show more content…
Launching Match & More card attacked to rivals and brought an imperative opportunity to Morrisons. They launched ‘I’m Cheaper’ campaign cutting 1200 products by an average17%. 50% of UK households accessed online proposition. Cost savings achieved £224 million; final dividend was 9.62p and 68 stores were opened of which 57 were convenience stores. David Potts joined Morrisons as a CEO instead of Dalton Philips that was an interesting challenge. In the next 18 months, Morrisons aim to be more competitive to rivals. Based on cutting the prices on staple groceries, simplified communication in store and more impactful promotions, they are developing their’ Made by Morrisons’ programme to set a range of prices that are simpler and more competitive. They also want to improve their customer service by training staffs, expending working hour, improving technology and reorganising their stores. They try to be more active in the community; using their knowledge of customers’ tastes and needs to gain local areas more efficiently and more accurately. They plan to introduce many convenient service departments in local store. Morrisons expects to simplify and speed up by reorganising the company structure. A new ‘Fresh Look’ will be introduced to upgrade the entire estate by the end of 2018. A separate ‘back to best’ maintenance programme completed by next month to reset the physical condition of each