- A leading Russian retailer with prolonged period of negative like-for-like.
- Declining footfall and market share accelerated by a program of store closures and the set up of an autonomously run online business in direct competition with the ‘bricks-and-mortar’ stores.
- Competitors invested in superior omni-channel offers to attract younger affluent customers to their stores and other channels.
- New owners seek to stop the decline, control costs, and improve the brand perception and consumer proposition in order to turn the business to growth and make it attractive for acquisition.
- An initial review of the overall retail operation was done and plans created for strategy development and business turnaround.
- The consultant was appointed to the Board of Directors to steer and advise on the company’s revitalisation program.
- Commercial infrastructure reviewed to assess suitability for category and space management decision purposes.
- A full store audit was planned to establish the ‘As Is’ for space in all categories in all stores to create an accurate space database.
- Revitalisation pilots were planned for 3 stores to test new store layouts, improved ingress, and more impactful promotions space linked to a structured schedule of promotional events and activities.
- Plans were put in place to evaluate and improve the return on space leading to a set of Space Rules for the pilot and other stores as part of the process of right-sizing the existing store portfolio.
- Key members of the Sales Department were upskilled and equipped with western style processes enabling them to efficiently manage space, construct customer focused ranges, and improve product availability and visibility through better merchandising.
- ‘Destination Categories’ were identified with a plan for implementation.
- Merchandising principles were reviewed to establish simple best practice rules and guidelines for training and implementation.
- New promotional space established in pilot stores supported by a 2 week schedule of tactical activity leading to increased theatre and improved customer perception of range assortment and price competitiveness.
- Business owners were successful in attracting new capital through a merger with an emerging regional retailer looking to expand its geographical and omni-channel business.