Swot Analysis Of Aereon

Improving Total Customer Experience For

AEON Sdn Bhd’s

Title: Date of Submission:

Marketing Management 17-Jun-2015

Submitted To: Submitted By: Cardiff Metropolitan University Vinay Vyasarao

Abstract

Introduction

This report is aimed to help improve the Total Customer Experience for AEON CO. (M) BHD.

AEON is a multi-format retailer, offering a wide assortment of products. Its multi format stores include general merchandise stores, shopping centers, supermarkets, convenience stores, speciality stores, discount stores, home centers among others.

AEON has established itself as a leading chain of General Merchandise Stores (GMS) and supermarkets in Malaysia. The company runs 28 shopping centers and other

However the existing working business culture is not Customer centric or Customer driven. The business is driven with the low-price model by targeting the middle class segment.

With increasing competition within the retail sector in Malaysia, in addition to being price centric AEON has to recognize and anticipate the customers demand.

AEON’s analysis is summarized in the SWOT analysis given below: Fig.1: AEON’s SWOT Analysis

As per the SWOT analysis, Customer Service is one of the weaknesses of AEON retail stores. According to PWC, 63% of CEO’s are rallying their organisations around the ‘Customers’ as one of the top 3 investment priorities. (PWC, n.d.)

Both business buyers and customers have more choices than ever before. Today’s customers won’t hesitate to walk away from a relationship that doesn’t meet their needs.

AEON should focus on building their retail stores, offering products that meet their customer needs and, the management and the floor staff should captivate the attitude of ‘Customers First’.

Customers’ First attitude requires AEON to relook at some of their operations and listen to customers to put them back on the top of the business hierarchy, where they belong. Fig 2. Customer Focused Culture (ESTEPON,

AEON should position themselves to attract tourists to their stores by opening shopping centres/stores near to famous tourists places and display local products that are attractive to the tourists.

Teenagers are the next generation of family persons. This is the segment that should focused for future of the business for the local segment. Introducing products and additional student points will ensure loyalty which will reap rewards in the future for the company.

Newly Weds or Family starters are a segment which is looking for setting up their house from the start. This is a segment which will buy most of the furniture and house hold appliances. Currently this segment is going to stores like IKEA for making the purchase. Positioning products and cash schemes in AEON will allow part of this segment to become AEON’s loyal customers.

Online Shoppers are the neglected segment by AEON. This is an area which AEON has a very bright potential for increasing its revenue.

Individuals/Families falling into Upper middle class or High Income segments are not attracted to AEON stores due to the middle class brands in their stores. AEON should focus on creating a floor with Luxury brands that are attractive to High Income