Essay on Marketing Plan For Ross Stores

747 Words Apr 4th, 2016 3 Pages
Ross stores Inc. is headquartered in California and is the largest discount retail chain in the country. Ross operates under the names Ross Dress For Less and Discount D together the two brands operate a total of 1,350 stores across the United States. Ross attributes its success to being able to attract and retain quality employees and being very selective in the location of its stores. Ross has also average same sales growth at 5% a year. Same Sales is used in retail to describe sales over a certain a period of time from existing stores. It allows the investor to differentiate between sales from new stores versus sales from existing stores.

Ross is able to sell its merchandise at a lower price than its competitions by buying at the end of the buying cycle. The majority of Ross purchases are made from close outs, buy outs and pack away buys. Close outs and buy outs is when a manufacture over runs an order or order is cancelled. Pack away is purchasing apparel at the end of the season and storing it until the next season, this can only be done with merchandise that does not change from season to season.

Ross’s competitive strategy is low cost. This strategy is seen in each of Ross’s functional areas employees, real estate, marketing and operational. Ross is very selected in where they place stores. Store placement is based on potential foot traffic and other nearby retailers. None of the stores are located in what is considered prime retail space due to the…

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