Super Stroe Chain in Pakistan

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Makro Pakistan – Customer Services Strategy

By – Sarfraz Hassan
Manager Communication ( I.T.) – Atlas Group
14th August 2010

Table of Content

* Grocery Stores in Pakistan
* Makro Pakistan – A brief history
* Market Competitive Edge
* Challenges and Target
* Strategic planning
* Action Plan
* Conclusion

Grocery Stores in Pakistan
Over the last two decade broader socio-economic changes, including growth in the urban middle class and disposable incomes have given rise to the modern retail sector in Pakistan. There has been a marked decrease in traditional ‘kiryana’ stores, an increase in general stores and the emergence of new formats such as superstores, malls and retail chains to cater to the increasingly time-compressed consumer. Long ago, it was a simpler time for inventory management: the owners knew their customers well, what products they needed and how much they would be willing to pay for them. If a customer requested something the store did not carry, it was simply added to the next purchase order. Today, the shopping experience looks much different. The proliferation of department stores, grocery store chains and big-box stores during the past two decades has ushered in dramatic changes to the retail landscape—rendering customer-centricity an increasingly elusive goal. The food and other items are need of every human. We see in Pakistan, from small shops to whole sale dealers, from corner pan shop to multi stories super stores. The progress in this regard is tremendous as new ideas and techniques are keep coming to sell the items. Recently we saw the chain of Makro and Metro giant store where you get everything under one roof. Makro Pakistan - A brief history

Makro is a part of House of Habib group. House of Habib is the business house of the Mohammedali Habib Family. Mohammedali Habib, a man of vision and exceptional leadership together with his brothers was the architect and builder of the Group which includes Habib Metropolitan Bank and Habib Insurance Co. Ltd., established in 1941 and 1942 respectively. Today, HOH employs over 10,000 people who work to provide an array of products and services in Pakistan. These activities range from automobiles (Indus Motors) to audio media, buildings to banking and computers to chemicals. Managing a network of public and private companies, the House of Habib has equity and technical collaborations with British, Japanese and Norwegian companies. House of Habib despite its conservative and traditional values places great emphasis on decentralized professional management that has resulted in a progressive and dynamic organization.

MAKRO is a Dutch chain of large-scale wholesale supermarkets having a strong presence in many countries around the world. In Pakistan, it entered the market as a joint venture between its parent company SVH and the House of Habib to launch as Makro Habib Pakistan Limited. Habib group opened Makro in 2005. Makro demonstrated a commitment to grow in Pakistan by entering the wholesale sector and with plans to invest around USD 300 mn in the next four years. Pakistan’s wholesale sector has been a grossly neglected segment of the economy; Makro pioneered into its age old customs and led the change by introducing modern and transparent rules of trade. Makro has also brought the latest technology and techniques to preserve and enhance the life of fresh farm produce. This will not only benefit the farmer but also the common man.

Each Makro Wholesale Centre provides direct employment to 200 people, and brings in countless business transactions into the documented part of the economy, which is a significant step towards complimenting Governments’ efforts. It was soon realized by Makro that more and more individual customers are coming for shopping and thus Makro enhanced its products range. Makro categorize its products in three categories:

* Dry food
* Fresh food
* Non food

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