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em [20] ' CASE STUDY ACKERMANS' Ackermans serves most South African urban centres through its national chain of over 300 stores. The stores are in
em [20] ' CASE STUDY ACKERMANS' Ackermans serves most South African urban centres through its national chain of over 300 stores. The stores are in easily accessible locations, are supported by public transport and are near other essential shopping and customer services. In other countries, there are 17 stores in Namibia, nine in Botswana and two each in Lesotho and Swaziland. Store layout is designed for customer comfort with wide aisles and vibrant, fun merchandising. Goods are easy to nd and are clearly priced. Depth of stock ensures ongoing availability to customers. Radio ACK is an interactive inhouse radio station broadcasting from the Support Centre to all stores, adding to customer excitement. It is a very targeted marketing tool. Ackermans is a value retailer selling everyday, contemporary casual wear at unbeatable prices, meeting its promise to customers to give \"just what you need\". It offers an exciting range of coordinated mainstream fashion in clothing, footwear, homeware and accessories that appeal to the mass middle market of value-seeking consumers. They are mostly women with children wanting to give their families the very best within their means. Not only does Ackermans stock a comprehensive range of everyday basics, but shoppers will nd an assortment of more stylish items at leading price points, including well-known national and international brands. To further add to customer excitement shoppers can take advantage of star deals, which are the season's \"must-have" items at best prices and star quality. Ackermans has steadily grown its market share and is also the leading brand in certain categories of its target market. Ackermans offers the largest babywear brand in Southern Africa. Its highly successful range of infant wear and accessories appeals to consumers across the income spectrum, offering mothers everything they need for themselves and their babies under one roof. Ackermans also recognises that school uniforms as an essential commodity have to be kept affordable. It has instituted a policy of either maintaining or lowering prices yeareon-year to keep them within the reach of all Southern African families. This has resulted in the chain being ranked the number one destination for school wear within its target market. An added benefit to customers is that items are not priced according to size but kept at constant prices for defined age groups. Jay Jays, a subsidiary of Ackermans, is the hottest and most exciting youth retail alternative to hit South Africa. It is a fast-fashion business selling the same type of products in the middle market segment in high volumes and at low prices in the South African market. Originating in Australia and with stores throughout New Zealand, Jay Jays opened their first store in South Africa in April 2006 in Northgate Shopping Centre in Gauteng and now has 62 stores nationally and growing. They are targeting the high school and university shoppers who don't want to blow their budget. The chain offers consumers ve payment options. Customers can choose to use cash, layby or credit facilities. Ackermans also offers consumers purchasing through buy-aid schemes. Another option is the A-PLUS credit card, which offers /- up to 55 days' interest~free credit. The APLUS club offers the following ' ' additional benets to its members: Lifestyle Family Club magazine every second month regular competitions and lucky draws 24hour legal assistance Home assist - assisting with home emergencies Family Care Plan (death benefits) personal health advisor Team Line (advice on studies and peer pressure) trauma counselling funeral advice HIV protection/treatment service 0.0.0.0... In Touch is the cell phone services division of the business, which enables customers to stay connected by offering handsets and airtime at discounted prices. Currently, 70% of Ackermans' management staff at store and service level are black women, reflecting very closely the demographics of the chain's shoppers. Career growth is actively encouraged through life skills and technical training to create an ever better, more motivated, skilled and productive staff. Ackermans has developed its own highly sophisticated information system modelled on world-class examples. It draws on the expertise of the top international retail service providers, linking suppliers to stores to shoppers and ensuring the delivery of the right merchandise to the right shops at the right time. Trading in today's environment requires tough decisions and management competencies. In this regard Ackermans maintains: a very competitive price positioning a stringent quality focus that ensures outstanding value a close understanding of customer needs through regular research a strong fashion identity through its in-house brands, as well as its international hang ten young adult casual wear label . a high level of consumer interest by sourcing worldwide exciting ranges sold at great value prices. 0 consumer comfort through its new generation of colourfully merchandised stores . strong consumer interest through its interactive live radio station . high visibility through tenancy in popular shopping centres and through localised and national advertising o strategic alliances with suppliers in an effort to contain costs throughout the supply chain, to maintain inventory levels tailored to the consumer proles of each store, and to ensure justin-time deliveries . support of local manufacturers . high levels of staff productivity through selfvdevelopment and life skills courses and incentive schemes for all staff Source: Lazenby, LAA. ed\". 2014. Strategic management. A. South African perspective. Pretoria: Van Schaik. - . - 1.1. 1-2. In terms of assessing the internal capabilities of an organisations, identify the strengths of Ackermans. Using a value chain approach, and citing examples from the case study, determine which primary activities really add value to Ackermans. M (a) Q (12) e M
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