Best-One: Report on Creating a Range of Own Brand Products for Retail

This report provides a comprehensive analysis of Best-One, a UK-based independent grocery store, focusing on its retail marketing strategies for creating its own brand product range. The report begins with an introduction to retail marketing and its importance in enhancing brand image and market share. It then presents a company overview of Best-One, including its market position, core competencies, and target customers. The report delves into strategic options for product development, including primary sourcing, buying, and supply chain management. It explores the importance of effective targeting strategies, such as concentrated, undifferentiated, and differentiated targeting. The report also discusses the marketing mix (product, price, place, and promotion) and its role in achieving organizational objectives. Furthermore, it emphasizes the significance of new product development, outlining key steps such as setting activities, product design, implementation, and monitoring. The report concludes with recommendations for Best-One to improve its market position and enhance its product range.

Creating A Range Of Own Brand
Product
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TABLE OF CONTENTS
INTRODUCTION................................................................................................................................3
COMPANY OVERVIEW.....................................................................................................................3
Market position................................................................................................................................3
Targeting..........................................................................................................................................4
Strategic options..............................................................................................................................5
MANAGEMENT REPORT.................................................................................................................6
Primary sources................................................................................................................................6
Buying..............................................................................................................................................7
Supply chain....................................................................................................................................8
Issues ...............................................................................................................................................8
RECOMMENDATIONS......................................................................................................................9
CONCLUSION..................................................................................................................................10
REFERENCES...................................................................................................................................11
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INTRODUCTION
In order to impact the market share and enhances the brand image of enterprise and their new
products it is essential for business to focus on retail marketing of their product range. Retail marketing
is consider as the procedure through which the independent retailer encourage and create awareness of
their new product range in the market in order to generate the volume of sales. Furthermore, it also
plays significant role sin promoting and marketing their products and services in the contemporary
scenario. Product launch and marketing decisions must be made as per the consideration of brand
image (Kotler, 2004). In this respect, it is also necessary for the management of retail firm to concern
about name, sign, symbol and design in order to have better creation and launch of new product.
In order to have better understanding about the concern topic, learning will focus on the work
culture of Best-One one of the convenient store in UK that focuses on selling grocery item in the
market. Furthermore, the report will also focus on providing detailed information about the current
market position of company in this competitive market, organisational core competencies, target
customers, etc. It will also have key spot light on diverse concepts that can assist in creating a range of
own brand products. Classification of concepts can be as primary sourcing, buying, supply chain,
merchandising and market issues. It will assist project manager to meet goals in an effective manner
and design activities as per the business needs.
COMPANY OVERVIEW
In order to have better creation and launch of new product, it is necessary for project manager
to understand the nature of organisation. In this support, Best-One one of the convenient independent
store based in UK. The grocery retailer has around 600 stores within the UK region and is consider as
an efective segment of Bestway group. Organisation key motive is to offer best products in terms of
quality and value at very low prices as compared to other competitors in the market (Babić, 2011).
Company provides an excellent mix of diverse retail products such as fresh food, grocery, clothing,
leisure and entertainment products. The retail store also deals in serving fresh bread, ready to eat
meals, beers, wines, fresh vegetable fruits, frozen items etc. to the customers of UK. Furthermore, the
independent retailer also focuses on delivering the range of 1500 chilled and frozen items to the
customers (Best-one, 2016).
Company retail stores are well located in the middle of the UK market and it has great positive impact
on the all aspects of business as well as local community. Other than this, Best-one is considered as one
of leading independent retail chains in UK which has optimistic presence in towns, cities and retail
parks in all across the UK. Sometimes, management of Best-One faces few critical marketing issues
due to its misleading advertising. Few of its suppliers were also spotted to involve in illegal
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employment practices which also impacts the brand image of company in a negative manner (Goi,
2009). Moreover, organisation is committed to provide better values and work quality to its strategic
partners as well as customers in order to gain competitive advantage.
Market position
As per the economic report of UK, it has been spotted that retail sector of UK is having some
rapid changes in its operations and it has boosted business opportunities for the management of Best-
One. Statistical report indicates that market share of Best-One is high and it is considered as a one of
the largest retail organisation within UK that provides number of retail products to the target
customers. In support of this, it can be said that introduction in the product range Best-one is
continuously having advancement in its sales and improving its market share in the retail sector
(Ballou, 2007). It is also beneficial for its parent firm as it increases profit margin ratio for the better
success. Other than this, it has also been spotted that competitors of Best-one have lost their market
share which is also advantageous for this business firm. Trading conditions in UK market are
challenging and competitive so management of the independent retailer is continuously looking
forward to improve performance (Bowersox, 2002).
Moreover, brand image of Best-One is strong in the market as compared to diverse competitors
and company is effectively presenting its products and services in the market with an assistance of
promotion techniques. As the Best-One is consider as one of the convenient retail store in UK that
serve different segment customers. It also provides a great level of assistance to the customers’ needs
by offering high quality of retail products in the market. Company promotes benefits of its products
and services in order to attract more and more customers (Slater, 2007). In other aspect, it can be said
that Best-One independent retailer holds impressive position in the market and provides a wide range
of services to its target customers. Further, organisation is well known for bringing modifications in the
products and services as per the change in requirement and taste of its target market. It is also one of
key reasons that company is effectively meeting the needs of customers and it has direct positive
impact on the organisational success (De Pelsmacker, 2007). This kind of positive aspect also
influences the customer perception and motivate them to purchase products of the firm as compared
with other key competitors such as Tesco, Sainsbury, etc. Moreover, it also renders a great support to
organisation and facilitates in dealing with competitors in the market. It also allows business firm to
bring some differentiation in their products so that business can have impressive success. Another
positive impact on the business is related to the improvement in productivity, profitability and market
share (Kenning, 2008). It also provides better strength to customer base which is one of the ultimate
objectives of business firm.
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In the present scenario, with the increasing demand of chilled ready made meals the
independent grocery retailer has focused on offering the items that will further support them in
enhancing their market share. Competitors of Best-One retailer such as Tesco, Sainsbury, Asda etc.
deals in chilled products but they have distinct position from the other grocery retailer as they serve
more location, the opening hours of retailer is also quite long as compare to other stores and
supermarket etc. that distinct their market position from their competitors.
Targeting
In order to gain success, it is necessary for business firm to focus on effective targeting of its
products so that business can have impressive success. In order to deliver the range of chilled ready
made meals and foods management of independent retailer must focus on creating the brand of their
products.
Customers group
Best-One independent retailer will focus on the customers group that are single and bachelor as
the ready made food are preferred by those customers group that are independent and not prefer to
cook the meal and food. Furthermore, while offering the ready made meals the independent retailer
also focuses on targeting the working individuals or working couples as the chilled ready meals are
preferred by the working class individuals. In addition to this, Best-one retailer must also focus on
different targeting strategies such as concentrated, undifferentiated and differentiates targeting strategy.
The project manager must select the appropriate targeting strategy in order to target the specific
customer group.
In this support, to attract more and more customers, business organisation is currently focusing
on various promotional tools such as online media, tv, etc (Karjalainen, 2009). Company is currently
focused on the effective promotion of various benefits of lifestyle in order to create better awareness
among customers. Sometimes, company also faces issues due to improper aliment of standards which
also leads business to the key barriers and impacts business operations. Organisation is presenting
themselves as a retail business firm that provides retail products at low cost as compared to other
competitors present in the market.
Strategic options
Moreover, project manager is also focused towards the effective selection of marketing mix
such as product, price, place and promotion. In order to gain success, management of Best-one is
considering various principles of marketing. These principles assist business firm in the effective
creation of its new product range. Marketing mix is considered as a key business tool which is mostly
used by marketers in order to determine the key aspects of product which company offers to its target
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market (Pynes, 2008). With the Increasing demand of freeze and chilled ready meals Best-one retailer
focuses on offering the chilled products and meals to the customers. The products range must be varied
as per the needs and requirement of customers. Furthermore, the frozen food and chilled ready meals is
the increasing demand in the market that is mainly preferred by the customers.
Other than this, pricing of its products is low as compared to other competitors that operate in
same UK market. Marketing mix also provides competitive advantage to business firm in order to meet
the organisational objectives. Number of discounts are also provided by the management during
festivals such as Christmas because it also provides better support to activities which can attract more
and more customers. Best-one grocery stores are also well located within UK and it provides better
assistance and convenience to the customers (Pahl-Wostl, 2007). Target customers can easily access the
chilled ready made meals and food products of by visiting its retail grocery store. Improved level of
convenience within store also attracts more customers and improves the sales of firm. Moreover,
promotion means the techniques which create awareness among customers about the product in order
to meet the organisational goals. In this, company is focusing on various communication tools in order
to convey message effectively and improve its market share.
Other than this, new product development is an accomplished procedure which assist in
bringing new product to the market. In other aspect, it can be said that new product development is all
about to transform market opportunities into product so that better values can be provided to customers
by selling it. Product can be tangible and services can be intangible, so management needs to
understand this aspect effectively in order to have better development of new product (Huang, 2012). It
is also considered as a strategic option which business firm adopts to overcome weakness and adds on
strength to business through using unique features of new product. In this process, it is necessary for
the management of Best-one grocery store to focus on key steps of new product development such as
set activities, product design, implementation and monitoring.
In support of above statement, it can be said that management needs to set various activities
which can identify the current market conditions and market needs in order to have effective
development of product. It is essential for management to design its new product as per the outcomes
and needs of market audit (Wise, 2005). Other than this, product must be designed and developed as
per the consideration of key requirements so that product can easily meet the key needs of customers.
This kind of product development will also provide better customer satisfaction and assist in proper
planning of marketing activities.
Moreover, implementation must be conducted according to all the standards that have been
decided by the development panel and management. It is necessary for management to ensure that all
legal aspects are considered as the critical elements in product development process. It will boost
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effectiveness of product development process (Warren and Malcolm, 2002). At last, promotion,
advertisement and monitoring are also critical aspects for the business firm. In order to have effective
monitoring, company can focus on feedback system in which customers can provide response in the
respect of new product. It will provide information about the success ratio of new product in the
competitive market and about the customer behaviour towards brand.
MANAGEMENT REPORT
It has been spotted that creation and launching of wide range of product require an improved
focus on diverse operational activities. It assists in the effective identification of key issues and designs
better strategies which can lead business to impressive success. Classification of factors can be as
primary sources, buying, supply chain, merchandising and in-store issues (McDonald. 2012). With an
improved focus on these factors, management of Best-one can attain competitive advantage and lead
business firm to next level of success.
Primary sourcing
Primary sourcing here refers to the inbound logistic that is being focuses by the grocery retailer
in order to create opportunity. The primary sources through which independent retailer make purchases
of raw material include acquiring of raw material and ingredients at the warehouse from the different
suppliers, internal handling of the raw material or ingredients and further distribution to the stores and
thus, finally the chilled ready made food product is placed in the shelves of grocery retailer.
Buying
Business organisation needs high ratio of raw material purchase in order to meet the
organisational objective. In this respect, management of Best-one purchases its raw materials from
diverse suppliers which operate in same market (Warren and Malcolm, 2002). It is necessary for
management to ensure that goods must be acquired at very low cost so that operation cost can also be
reduced in an effective manner. In this process, it is also essential for management to focus on few
steps such as need recognition, information search, alternative evaluation and decision.
In support of above statement, it can be said that management needs to identify key
requirements of the production process and then make decisions regarding purchase of raw materials. It
is also essential to ensure that all members are well known about the key needs of organisation so that
purchase decision can be made in an effective manner. Moreover, management will also have
investigation for diverse suppliers which can provide various kinds of resources for the effective
development of ready to eat meal (Wise, 2005). As, the grocery retailer focus on developing and
offering chilled ready to eat meals and foods thus, they requires quality ingredients so that their ready
made meals may have required nutrients. Furthermore, management will also focus on the effective
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evaluation of diverse alternative approaches which can provide resources in an easy manner and low
cost. After evaluation of all the suppliers, management needs to select supplier in an appropriate
manner as per the market needs as well as organisational needs. Other than this, in last stage buying
decision will made by the management (Huang, 2012). In this, it is necessary for management to
ensure that all tools are properly adopted and purchase decision should be made effectively.
Supply chain
It is a systematic process which helps the Best-one grocery retailer to manage their flow of
products within organisation. It provides effective allocation of resources in every division in order to
reduce the wastage of material. In other aspect, it is also considered as an efficient distribution system
that provides proper management of inventories so that production process can be improved (Pahl-
Wostl, 2007). In order to have effective production of chilled ready to eat meal, it is also necessary for
the management to focus on effective supply chain process so that its production process can be
improved in a better way. Supply chain management is one of critical aspects for every business
organisation as it provides number of benefits.
With an improved focus on supply chain management, Best-one grocery retailer can easily
reduce inventory cost. An effective distribution system is essential in order to cut down the cost of
inventories as it also avoids bulk purchase of raw material. Effective management of resources is also
beneficial for the improvement in financial resources (Pynes, 2008). Moreover, management can also
have efficient manufacturing plan which can increase organisational productivity. With an assistance of
supply chain management system, independent retail store can easily provide inventories at diverse
levels of production without any delay. It is beneficial for the long term manufacturing projects as it
facilitates in effective management of distribution. It will also facilitate business firm to make sure that
manufacturing process of ready to eat meal will not face any kind of resource shortage and should
accomplish in desired time period (West Hampstead's small stores fight to survive as latest retail giant
moves in, 2010).
Other than this, quality of chilled ready to eat meal can also be improved with an assistance of
supply chain management. It has been identified that retail firm faces issues regarding the poor quality
of ready to eat meal and it has some negative impact on the business. With a systematic procurement
procedure, management can resolve number of issues regarding the poor quality of product
(Karjalainen, 2009). It also allows management to have proper testing of all the products and ensures
that market standards are well maintained. Moreover, organization can provide best quality of products
and services to consumers with the help of SMC. It boosts up satisfaction level of buyers and develops
long term relations with consumers.
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Issues
It has been spotted that there are number of issues which can be faced by the Best-one within its
store. Classification of in store issues can be as improper designing of retail store, less lobby space,
improper arrangement of products and lack of information among employees. In support of this, it can
be stated that number of retail store faces issues due to improper design as it impacts allocation of
resources. In order to create the brand image it is necessary for the management to ensure that its retail
store is properly designed so that products can be arranged in a proper way (Pynes, 2008). Less space
in lobby is also one of critical issues within the retail store. For example, the store is not having proper
space and customers are in line for billing process but due to improper space, customers are not able to
stand properly. It will impact customer perception in a negative manner. Thus, it may also results in
framing negative brand image of the independent retailer in the mind customers and they would prefer
to purchase the range of products from the convenient stores located near by their residents.
Other than this, improper arrangement of product within store is also one of key issues for
business firm as it impacts convenience factor in a negative manner. It has been identified that mostly
customers are not able to find out products as per their needs and requirements due to improper
allocation of products in the store. For instance; customer prefer to visit the grocery store because they
find variety of products under the same roof. Thus, within the improper allocation of variety of
resource and products it may results in dissatisfying the customers. Therefore, it results in negative
brand image of grocery retailer in the mind of customers. In this respect, it is necessary for Best-one
grocery retailer to ensure that all chilled ready to eat meal products are arranged properly within store
according to the need of customers (Huang, 2012). A fix area needs to be designed for the effective
allocation of products and makes sure that customers can easily spot out product in the store.
Miscommunication and lack of product information are the major issue for the management of Best-
one. It has been identified that mostly workforce do not have proper information about product which
creates barriers for them (Huang, 2012). For example, customer asks a query to executive about the
ready to eat meal but professional does not have proper information about it, so he will be unable to
answer. This situation creates miscommunication and impacts customer perception in a negative
manner.
RECOMMENDATIONS
As per the above statements, it can be said that there are number of in store issues that are faced
by Best-one and it has negative influence on the operational activities. In order to overcome these
issues, grocery retail can focus on few ways such as proper training can be provided to executives. In
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other aspect, it can be said that management can provide training to employees regarding the
communication skills so that they can easily interact with customers so that it create positive image of
their products chilled ready to eat meals among the customers. It is also necessary for management to
ensure that employees have proper knowledge about the ready to eat meal and its benefits so that they
can provide correct information to customers. In support of this, it can also be said that management of
Best-One can arrange case study practice in which employees will have opportunity to meet the goals.
Another recommendation for creating the brand image of Best-one product is focusing on the
place that is the layout and design of store outlets. It plays an essential role in attracting the customers
towards buying and purchasing their chilled ready made meals and products. Best-one must also focus
on their brick and mortar presence in different location within the UK. They should also ensure to keep
their retail store design easy to decrease the wastage and support the costs down. Moreover, opening
store in different locations Best-one mainly concentrate on various factors that is location of
independent retailer must be convenient and reachable to the customers, relevant parking space would
be accessible. Further, the independent retailer also concentrate to set up their store in the centre of area
that have good visibility and may not have high competition (Best one retail Model, 2013). Thus, to
contend the modern scenario in future Best-one retailer must also introduce online presence so that
they can supply chilled ready made meals and food services to their customers through their official
websites. Therefore, with the online existence customers can buy chilled meals and food items 24*7
days and thus, through the online presence customers can easily acquire the relevant information
regarding their products, features and prices that support in building positive brand image in the mind
of customers.
CONCLUSION
After preparing this report on Best-one one of the independent grocery retailer, it can be
concluded that presently this retailer is a market leader and market changes of UK have given
numerous opportunities to this firm to grow themselves in the UK market. Moreover, this firm has an
effective team of management who manages and makes effective marketing mix strategy. Furthermore,
this firm has planned to launch a new product that is “ready to eat meal”. For that purpose, it has
assessed the primary sources which company uses to acquire the raw material and ingredients that are
required in producing chilled ready to eat meal. Similarly, it has also assessed the buying behaviour of
firm so that quality raw material at lower cost can be acquired. It can also be inferred that supply chain
of company is highly effective and due to which, it can get raw material on time. Further, company is
also facing some issues related to stock management and store management. In order to resolve those
issues, various recommendations have been provided.
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