Contemporary Retail Marketing in Emerging Economies: The Case of Ghana’s Supermarket Chains (Palgrave Studies of Marketing in Emerging Economies)

This book highlights the development of retail marketing in developing economies and presents this sector as a major area of growth and business opportunity. With a special focus on supermarket chains, the authors show that the advancement of technology and infrastructure means that there are now increased electronic capabilities for data collection, giving retailers more opportunities to pursue micro and macro-marketing strategies. The authors explain the evolution of this new era of marketing and the associated impact on all stakeholders, especially consumers. Taking the example of Ghana, which is considered a leader among African nations in the use of loyalty cards, the authors are able to set a benchmark for other emerging countries, especially those that are experiencing similar trends. The book is a valuable resource for students, researchers and foreign companies wishing to expand their knowledge of the marketing strategies employed by emerging economies in Sub-Saharan Africa. Preface 6 Contents 10 About the Authors 12 List of Figures 15 List of Tables 16 1: Introduction to Contemporary Retail Marketing in Emerging Economies: Ghana’s Supermarket Chains 18 1.1 Introduction 18 1.2 Contemporary Marketing and Practice 19 1.3 Retail Marketing 21 1.4 Emerging Market Countries and their Characteristics 26 1.5 Background and Context: Supermarket Expansion into Developing Economies 27 1.6 The Country Ghana 37 1.7 Individual Chapter Synopses 43 References 51 2: Modern Retail Marketing and Supermarket Loyalty Cards Programme 62 2.1 Introduction 62 2.2 The Retail Industry 63 2.3 Grocery Retailing in Emerging Market Countries 71 2.4 Contemporary Retail Marketing in Supermarkets 74 2.5 Contemporary Retail Marketing Mix for Supermarkets 75 2.6 Retail Communication and Promotion 78 2.7 Retail Advertising 78 2.8 Retail Promotion 80 2.9 Retail Loyalty Marketing 81 2.10 Marketing in Emerging Economies Countries’ Supermarkets 82 2.11 Relationship Marketing and Supermarket Loyalty Programmes 85 2.12 Chapter Concluding Statement 87 References 87 3: The TESCO Club Card Loyalty Programme: The Gold Standard 94 3.1 Introduction 94 3.2 Marketing in TESCO (UK) 95 3.3 Customer Relationship Management—The Case of Tesco (UK) 96 3.4 Club Card Data-Driven Loyalty Programme 98 3.5 Macro Environmental Catalyst for Tesco Loyalty Programme Success 101 3.6 Chapter Concluding Statement 102 References 102 4: The Ghanaian Supermarket Industry 105 4.1 Introduction 105 4.2 The History of Supermarkets in Ghana 106 4.3 Colonial Era 1930–1950s 107 United Africa Company (UAC) 108 G.B. Ollivant (GBO) 109 John Holt & Co 111 Compagnie Française de l’Afrique Occidentale (CFAO) 113 Société Commerciale de l’Ouest African (SCOA) 115 Paterson and Zonchonis (PZ) 117 Trading Origins in the Nineteenth Century 118 Public Offering in the 1950s 119 International Growth in the 1990s 120 Company Perspectives 121 Personal Care Focus for the New Century 121 Principal Subsidiaries 122 Principal Competitors 122 Union Trading Company (UTC) 122 Global Trading Evolution 123 4.4 The Independence era 1957–1967 125 Nestlé Ghana Limited 125 Ghana National Trading Corporation (GNTC) 126 4.5 Post- Nkrumah era 1968–1973 127 4.6 The Post Diversification Era 2000–2020 128 4.7 Major Players in Supermarkets Chains in Ghana 128 Melcom Stores 129 Palace Supermarket 130 MaxMart Limited 131 SPAR Supermarket 133 Shoprite Ghana 134 Shop n Save 135 GAME 136 4.8 Marketing in Supermarket Chains in Ghana 136 Current Trends in Marketing Practice 139 Major Trends in Marketing Practice 140 Future Marketing Practice 141 4.9 Chapter Concluding Statement 143 References 143 5: The Current Supermarket Chains Marketing Infrastructure in Ghana 145 5.1 Introduction 145 5.2 Location and Shop Floor Space 146 5.3 Internet Infrastructure for Supermarket Chains Marketing 146 5.4 Traditional Media 150 5.5 Radio Stations 150 5.6 Television Stations 153 5.7 Advertising Infrastructure 154 5.8 Ghana’s Digital Addressing System 156 5.9 Chapter Concluding Statement 158 References 159 6: The Next Generation of Supermarkets Marketing in Ghana 164 6.1 Introduction 164 6.2 The Emerging Supermarket Consumers 167 6.3 Emerging Supermarket Infrastructure 168 6.4 Retailer Consolidation and Internationalisation 169 6.5 Emerging Store Technologies and Their Impact on Grocery Retailing 171 6.6 Intelligent Technologies in Retail Marketing 173 6.7 Trends in Multi-Channel Retailing 175 6.8 The Emergence of Online Grocery Shopping 176 6.9 Customer Loyalty Programmes 178 6.10 The Use of Digital Addressing System (The GhanaPost GPS Address) 179 6.11 Grocery Retail Marketing and The Question of Customer Data in Ghana 181 6.12 Chapter Concluding Statement 185 References 186 7: Value Capture and Beneficiary Stakeholders of the Next Generation of Supermarkets Marketing 191 7.1 Introduction 191 7.2 Commercial Value of Supermarket Card-Based Databases 194 7.3 Use of Supermarket Databases by Marketing Agencies 204 7.4 Research and Pedagogical Value of Supermarket Card-Based Databases 205 7.5 Potential Beneficiary Versus Struggling Stakeholders of the Next Generation of Supermarkets Marketing 209 7.6 Chapter Concluding Statement 212 References 212 8: Challenges, Paradoxes, Dilemmas and Strategies for Success of the Next Generation of Supermarkets Marketing 218 8.1 Introduction 218 8.2 Competitive Dynamics in the Future Retail Supermarket Chains Environment 219 8.3 Retail Supermarkets Corporate Goals Versus Public Interest and Livelihood Implications 221 8.4 The Changing Consumer Buying Culture and Supermarket—Supplier Relationships 223 8.5 Developing Strategies for Success 228 8.6 Sustainability in Retailing 232 8.7 Chapter Concluding Statement 236 References 238 Index 241