FROM CONVENIENCE STORE TO COMMUNITY SERVICE CENTRE:

THE TRANSFORMATION OF TAIWAN 7-ELEVEN

Group presentation:Bùi Vân Anh – 1304000001Lê Thị Mai Anh - 1304000003

Hoàng Thị Kim Huệ –1304000029 Lại Thị Mến - 1304000056

OUTLINE Background- summary case study Answering 6 questions1. Bottom line mentality2. CPR emergency and voting site services3. 2 new services4. Promotion mix5. Solutions for customer satisfaction6. 5 lessons learned Application

I. BACKGROUND1. History- 7-Eleven, Inc., is the world’s largest operator, franchisor

and licensor of convenience stores.- 1972 : Founded in Dalas, Texas, when an employee of

Southland Ice Company, Joe C. Thompson, started selling milk, eggs and bread from an ice house.

-1980, 7-Eleven opened its first store in Taiwan. President Convenience Stores Corporate (PCSC) owns the “7-eleven” brand in Taiwan.

-The local franchisee of 7-Eleven reformatted almost all aspects of store chain, including its positioning, location, layout, product offering,…

In 1990, 7-Eleven became a giant in

the Taiwanese convenience store

industry with revenue of US$ 0.36 billion per

year.

2. The journey of transformation- In the mid-1990s, the convenience store market in

Taiwan reach the saturation stage.- Taiwan 7-Eleven tried to provide additional services:*Core business: convenience store – selling lots of

products.*Supplementary services:+ Payment : set up ATMs in stores, introduction of icash.

+ Order – taking: 7-eleven employed a well designed point-of-sale (POS) system

+ Information: ibon

+ Billing

+ Safe – keeping: increase distribution sites, deliveries were also categorized into four groups according to storage temperature.

Obstacles during the transformation journey:-Choosing the right strategic partners-Dealing with franchise resistance- Technical challenges - HR issue- Dealing with legal issues- Promoting new services.

Answer the

Questions

QUESTION 1

Advantages and disadvantages of fostering

this “bottom line mentality

-Motivating employees--> Making employess to complete company goal--> Increasing competitiveness between employees- Increasing creation, enthusiasm, conscientious- Increasing profit

-causes employee social undermining--> employees want their co-worker to fail.--> employees want others bad to make them better

QUESTION 2:

Advantages and disadvantages of offering

CPR emergency and

Voting site services

Advantages

Disadvantages

Increasing the burden on the existing shop

assistants

Increasing customers

waiting time

Increasing cost for new

equipment

QUESTION 3

Can 7-Eleven stores generate more convinience

for the customers?2 new services may offer in the next

two years and justify the suggestions

QUESTION 4

As over 80% of 7-Eleven stores are franchised, communicating with franchisees has become crucial. However, this communication strategy may differ from

communicating with customers. Suggest an effective marketing communication mix for 7- Eleven in Taiwan if it has decided to introduce voting site services.

Advertising

Personal sellings

Direct marketin

g

Sales promotio

n

Public relations

Promotion mix

Website( 7- Election)

Personal meetingTelemarketing

Direct mailsEmail

-Royalty rebateShare cost of promotion

PR agency

QUESTION 5

The success of 7-Eleven has set high expectations among its customers. While it has created a good brand, based on the disconfirmation model,

as expectations rise it will be harder for 7-Eleven to satisfy its customers. Discuss how 7-Eleven may address this issue.

Connect-ingCaringCreativ

e

3 C

Connectingwebsite

Everyday reward card

www.7elevencares.com

Caring Rich protein

Lunch

Creative

Distribution network

Secure payment

Internet marketing

QUESTION 6: What are the five most important lessons that we can learn from the success of 7-Eleven in Taiwan?

1. Choose partnerships carefully. 2. Product - convenient to the target customer – they already go to 7-113. Franchise-expend business to other countries when the business is very cohesive to the life style.4. Understand where the host countryis, who the residents are and what really need. 5. Combining financial services

7-ELEVEN

Analysis: market customer culture

Trend + strategy + differentiate to suit with each country

7 eleven in the world

In America 7 eleven

In taiwan

In Japan

10/2005, Seven-Eleven company moved from a corporation to a fully private company in Japan, with Seven-Eleven Japan's name.

1991, nearly 40% of the system store operations 7-Eleven Japan Ito-Yokado as the Company acquired the majority system from Southland Corporation (USA)

50000 stores for 130 million people

1. Quickly capture

consumer trends

2. Provide strategic products

3. Hold a leadership role

during the development

Suceess of 7-eleven japan

Story of Japan 7-11 success

Seven eleven In viet nam 2017???

CompetitorsIn viet nam