It Is Not Easy For A Physical Retail Store To Build Low-Priced Goods.
WAL-MART's own brand products just bypass this obstacle, they purchase goods through the global procurement channel to the factory, not only the procurement cost is low, the product type is different, is not restricted by the domestic price system.
Even if some products belong to the same type of salable goods in China, they will not conflict with the distributor system due to their different specifications and packaging.
Because of this, this ensures the price advantage of Sam's member stores.
However, Sam's club stores do not mean only low prices. Their goal is to search the best products in the world while ensuring the quality of sales.
"Sam shop in Wuhan has introduced the cold storage which is successfully operated in the US for the first time in China, that is, the cold storage is directly connected with the shelf, so that the whole process of cold chain control is realized, and the freshness and quality of the products are guaranteed to the maximum extent."
But according to Wen Ande, the new equipment did not change the investment of a Sam member store. The total investment of Wuhan store was almost unchanged.
This is mainly due to the continuous excavation of new methods by Sam's member stores, thereby reducing the cost of operating costs.
At Sam store in Wuhan, unlike general supermarkets, they sell different kinds of vegetables, fruits, fish and so on. The apples of Sam's members are packaged in a hard plastic box, and even fish, pork, vegetables and other products are pre packaged and sold.
In order to facilitate consumers' choice, most supermarkets sell and display fresh produce, but it leads to high loss and low gross profit.
The above retail veteran believes that the pre packaging of Sam's member stores has greatly reduced wastage and improved the chance of selling goods.
"The annual sales of general supermarket stores are around 200 million yuan, but the annual sales volume of a Sam member store is close to US $200 million, which is almost the output of 5- 6 stores in general stores.
This is perhaps the most important form of expansion for WAL-MART in the future.
"We
business
One of the key points of success is to make full use of WAL-MART's global sourcing resources to search for good sellers in the world.
Wen Ande said.
"This will be the best nut product we can find in China."
Verma Sam, the chief purchasing officer of the Turkey member store, said with a canister of a canister, "the almond kernel was produced in the United States and hazelnut from Turkey. After being selected, graded and packaged, it was shipped to China."
Meng Feifan, chief purchasing officer of Sam's member store, introduced members' superior products nuts, which are imported from the world's best place through the resource sharing of WAL-MART global sourcing.
Also loved by Sam.
Own brand
Salmon, a member of the best quality products, comes from the world's best producer of Chile or Norway. After 13 major processes, such as splitting, removing bone and peeling, according to the unified high standard, the professional factories strictly put the shelves on the shelves after they are packed. Before cooking, they do not need extra processing by members, which is convenient and time saving, making the product the top three of the best seller of its own brand.
Meng extraordinary
It is precisely this global sourcing advantage that enables Sam to achieve strict screening of factors such as origin, suppliers, quality, price and so on, so as to protect the interests of members.
At present, Wuhan Sam has selected over 4000 kinds of high-quality single products, of which the proportion of imported commodities exceeds 30%.
In this regard, Wen Ande said, Sam has been concerned about what the best selling products in the world are, we will introduce them.
Through this WAL-MART global procurement system, there are also 100% high-quality fruit juice products made from all kinds of imported fruits, which are made from China, which are originally made in China. They only supply overseas markets with high quality multipurpose blankets. The British original imported milk and 100% fresh milk ingredients are the best ingredients of pure milk.
The opening of Sam store in Wuhan has increased the total number of Sam stores in China to 11, which are located in 9 cities such as Beijing, Shanghai, Guangzhou, Shenzhen, Dalian, Fuzhou, Hangzhou, Suzhou, Wuhan and so on. Sam is full of confidence in the future development of the Chinese market. After that, Sam will also open a new store in the province and plan to open 7 Sam member stores in the next two to three years.
According to 18 years to set up 11 stores and 3 years to open 7 stores, Sam member store is equivalent to 3 more years to add more than 60% Sam member stores.
In addition to the traditional store business, Sam China team is exploring new ways of multi-channel service members.
At the end of 2010, Sam member online store took the lead in Shenzhen. Sam, Wuhan, was the first member to open online and store simultaneously.
At present, the products of normal temperature products have been covered by all the cities that have already opened Sam's member stores.
Up to now, Sam has gradually launched the fresh, refrigerated and frozen food online shopping service in Shenzhen, Guangzhou, Shanghai, Suzhou, Beijing and other cities, and the service will continue to be promoted in more areas.
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