Extended Marketing Mix of Convenience Store
Background of the Study Convenience stores are in demand all over the world for its unique commercial properties. They are usually open 24 hours a day, seven days a week, carrying a limited life of high turnover convenience products and are conveniently located for quick in and out shopping. These stores provide “fill-in” purchases for consumer needs. Engaging into this kind of business with the right location, pricing strategy, inventory of products, and pleasant customer approach, it can generate high profit margin that can cover up expenses upon entering the business. As today’s fast technological advancements, convenience stores faced both an opportunities and threats in its industry. Management of different stores decided to terminate a full strategic plan in order them to stand still in the succeeding years as the competition of convenience stores become tighter. According to Smith (2007) the Southland Ice Company is credited with the birth of the convenience stores in May 1927 on the corner of 12th and Edgefield Streets in the Oak Cliff Section of Dallas, Texas. “Uncle Johnny” Jefferson Green, who ran the Southland Ice Dock in Oak Cliff, realized that customers sometimes needed to buy things such as bread, milk and eggs after the local grocery stores were closed. Unlike the local grocery stores, his store was already open 16 hours a day, seven days a week so he decided to stock a few of those staple items. The idea turned out to be very convenient to customers. National Association of Convenience Store (NACS) reported last July 2009 that the world’s highest convenience store density is in Taiwan. The number of convenience stores in Taiwan has continued to increase in recent years. As of 2009, the total number of convenience stores in Taiwan has surpassed 9,000, maintaining Taiwan’s position as the world’s most competitive market for convenience stores. In line with The Japan Franchise Association, as of August 2009, there are 42,325 convenience stores