Why Coles is considered as ” save everyday”?

Most of us are familiar with Coles Supermarket. Coles is a largest supermarket in Australia and was established in the year 1914 by G.J. Coles in Collingwood, Melbourne. Over one lakh employees are working in Coles and this brand also has an online shopping facility.

According to 7News, customers are easily attracted to the Coles products. There are many reasons behind this factor. Due to the unemployment and increasing household expenditures, Coles reduce the prices of the goods and services to meet the requirements of affluent and the ordinary consumers. Most of the residents in Australia is worried about how to manage their day to day expenses, this results in cutting down of food consumption and other basic needs. Therefore, Coles brought some of the marketing policies to lower the rate of the basic useful goods and this helps the customers to live without starving. Nowadays, society is looking for discount and offers in the products and Coles sell their own products based on food, electronics and other appliances. The consumers are more concerned about the bills that are related to the electricity, water and other sources. So in order to relax them, Coles tries to cut down the prices of the goods and make good profit.

coles

source: Google images

The role of marketing research is very important to this field of retailing.  This helps the supermarket to know the capacity of their competitors, customer behaviour in the selection of the products, maintaining the existing customers, attract future customers, recognizing modern market trends, pricing and other business conditions.

Next, coming to the role of flybuys in Coles. Flybuys is an Australian Loyalty Program regulated by Westfarmers. Flybuys helps the Coles to maximise their earnings from the customers. Coles introduce the flybuys cards to the customers, when the customers after purchasing their items, they introduce their flybuys to the checkouts and they receive points for each purchase and with that offer or discount the customer can buy his/her desired products for a low rate after getting a fixed points in their flybuys card. According to the studies, around 5.5 million people in Australia use flybuys on their daily purchase. And this helps the Coles to gain a good marketing condition in the business world. In addition to that, Coles is also doing online shopping service. There are many advantages and disadvantages of online shopping .

Advantages:

The main thing is that the consumers would be able to save their time and energy, low transportation cost, ease with the availability of product choices, it is 24 hours working so if the consumers are in need of anything they would be easily access the product they wanted. Coles provide home delivery to their customers, these can develop better customer relationships.

Disadvantages:

The major disadvantages of online shopping includes, there would be only a personal opinion rather than other’s opinion. This may sometimes leads to the confusion to the customers whether to buy the appropriate product. The other drawback is that there will be a high shipping charges for the product. Below is the video showing the importance and demerits of online shopping.

On researching the Cole’s market position Coles satisfies the marketing conditions like computing customer’s basic needs and requirements,  good improvement in sales by cutting down the product prices so that the customers would be happy to purchase the goods, improved decision making and the rise of technology helped the Coles to improve their marketing standards and to compete with other retail industries. Coles was always ready to accept different cultures , so they sell goods of different countries and different nationalities purchase and this helps the Coles group to achieve customer loyalty. There are some important marketing strategies that had helped the Coles to achieve its success in the retail business, they are namely branding, packaging and pricing of the products. Customers always look for the brand name and whatever may be the price of the product some people run behind the brand names, so this helps the firm to expand their business.  Coles largely contributes for maximising  Australia’s national economy. With the help of social networking sites and other medias like newspapers, magazines and radios the company is able to meet their marketing requirements. Coles is mainly focussed on the advanced and educated society, this will enable them to experience new trends in the products and develop according to the new marketing trends. Thus, coles is very much successful in gaining more consumers because of their correct decisions, they always have an positive effect from the external environment like customers and government.

References:

1.http://www.smh.com.au/business/retail/why-shopping-online-at-coles-is-more-expensive-than-in-stores-20160412-go45mz.html

2. http://www.ibisworld.com.au/industry/default.aspx?indid=1834

3. https://www.atarconfidence.com.au/downloads/BusinessStudies-Marketing.pdf

4. http://www.yourarticlelibrary.com/marketing/need-and-importance-of-marketing-research/32281/

Name: Edwin Peter

Username: edwinpeter12345678

Student ID: 216042487

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