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EXCLUSIVEBRANDSOURCING RETAILER/WHOLESALER ...

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Principal Business: Organized in 1959, Family Dollar has grown to become the second largest<br />

dollar store chain (”general merchandise retail discount store”) in the US. Its store tally at the end<br />

of this period reached 7,442 stores in 45 states and DC. Its stores (ranging from 7,500 to 9,500<br />

square feet) sell mostly merchandise under $10. They are located in urban, suburban and rural<br />

areas. Some 69% of its product mix is now in consumables: household chemicals, paper products,<br />

candy, snacks and other foods, health and beauty care, hardware and auto supplies, plus pet<br />

food/supplies. Home products take 11.4%, apparel and accessories 8.8% and seasonal &<br />

electronics 10.8% of total sales.<br />

EB Identities: Family Dollar, Family Gourmet, Kidgets (diapers, formula food, apparel), Family<br />

Pet (pet food and accessories), Family Chef (cookware), Interiors by Design (home furnishings),<br />

Outdoors by Design (outdoor products).<br />

EB skus: N/A<br />

Profile: Family Dollar’s explosive growth in new stores, slowed down during the past couple of<br />

years to focus more on store upgrades and adjustments in its product assortment. During fiscal<br />

2012, however, the pace in new store openings has been recharged: 475 new stores, while 854<br />

outlets were relocated or expanded. (Plans in fiscal 2013 call for another 500 new stores). Family<br />

Dollar has changed its merchandise mix, decreasing apparel and accessories, while consumables<br />

have been emphasized. Sales in that area jumped by 16%, while its private brand sales advanced<br />

by 9% over the previous fiscal year. Private brand share of sales has risen from about 19% in<br />

fiscal 2009 to 25% in this current year. During the current year, the retailer added almost 400<br />

private brand consumable items. Overall, the company added some 1,000 new food, health, beauty<br />

and personal care items to its product assortment. Plans call for introducing new private brands in<br />

fiscal 2013. Also, coolers are now installed in 1,400 of its stores. These changes apparently work:<br />

Net income for the year jumped by 8.7% to $422.2 million.<br />

Procurement Contacts: John Scanlon, Senior Vice-President, Merchandising & Marketing;<br />

Barbara Corey, Director Private Label; Mary Rachide, Division VP/Private Brands; Robert<br />

Smmigiel, VP Mktg.; Don Hamblen, Sr. VP Customer Marketing; Tim Matz, VP, Global Sourcing<br />

Director; Trey Johnson, Sr. VP-Food; Tamy Deboer, VP, Private Brands/Merchandise Initiatives;<br />

Maryann Herskowitz, Dir. Strategy/Execution Private Brands.<br />

FAMILY MART CO., LTD.<br />

Sunshine 60 @ Building 17th Floor1-1, 3-1-1 Higashi Ikebukuro, Toshima-ku 170-6017, Tokyo,<br />

JAPAN<br />

Tel: +81 3-3989-6600<br />

Fax: N/A<br />

www.family.co.jp

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