STRATEGY OF EXPANDING THE RANGE OF GOODS BASED ON THE PRICES OF COMPETITORS IN THE RETAIL NETWORK

1 ŻYCZYŃSKI Norbert
Co-authors:
2 OLEJARZ Tadeusz
Institutions:
1 Rzeszow University of Technology, Department of Management Systems and Logistics, Poland, EU, n.zyczynski@prz.edu.pl
2 Rzeszow University of Technology, Department of Humanities, Poland, EU, olejarz@prz.edu.pl
Conference:
CLC 2018 - Carpathian Logistics Congress, Wellness Hotel Step, Prague, Czech Republic, EU, December 3 - 5, 2018
Proceedings:
Proceedings CLC 2018 - Carpathian Logistics Congress
Pages:
951-957
ISBN:
978-80-87294-88-8
ISSN:
2694-9318
Published:
18th April 2019
Proceedings of the conference were published in Web of Science.
Metrics:
432 views / 231 downloads
Abstract

The aim of the article is to present the possibility of using competitors prices and assortment in the process of determining the strategy of product segmentation with the support of an Retail Management System. The segmentation strategy may be based on activities such as assortment maintenance, assortment deepening, assortment reduction, assortment expansion and assortment exchange. In the surveyed company there is a constant monitoring of the product base existing in the stores of the competition. Data obtained as a result of such activities make it possible to take into account the prices of competitors when determining the price of a new product and its allocation to a given segment, as well as to analyse new products found by competitors, which seems to significantly reduce the risk associated with the introduction of new goods to the sales offer and to support maintenance. The data obtained from competitors can also be used as an aid in decisions concerning the reduction of the sales assortment. Analysis of data obtained from competitors, as a result of which the company obtains information indicating the withdrawal of a specific product from the competition offer, and in particular when such activities concern the entire assortment group related to a particular supplier, may prevent significant problems related to that supplier.

Keywords: Segmentation strategy, Product range enrichment strategy, Retail Management System

© This is an open access article distributed under the Creative Commons Attribution License which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.

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