KIDDICARE CASE ANALYSIS

KIDDICARE CASE ANALYSIS

Introduction

Morrison, known to be, one of the retail giants in UK, deals mainly, in “food and grocery” market and is regularly visited by millions of customers to buy their grocery and convenient goods. Morrison is committed to provide its consumers with the contemporary propositions and the value added deals by low cost providers. Similar motive is reflected by the statement on its website, which says that's lowest possible prices and hundreds of special offers.

Kiddicare, a subsidiary of, Morrison's Supermarket Group was established in 1974, and now it is one of the largest privately owned stores that target the infants and the babies in UK. It has a current strength of around 130 employees, who are serving the customers with the best class, customer service. It is known for having the largest nursery stores comprising of almost 5000 products, in its world class outlet, on a wide area of around 65,000 square feet. As a family run business they offer one of the widest ranges of baby products, accessories and equipment stocking favourite baby brands including; Quinny, Maxi-Cosi, Britax, Graco, Maclaren, Baby Bjorn, Cosatto and Phil & Teds. They are now the UK's number one online baby shop with 400,000 customers placing an order within the last 12 months. The company reflects commitment to the customers, as a way towards the success. Kiddicare has always emphasized the major priority on enabling the customer's to choose the needed value from the diversified product line that is meant for each of the segment that is targeted by Kiddicare. Kiddicare is not only known for its diversified product portfolio, but it has also being known for being one of the convenient stores, as they operates one of the smartest supply chain, in their industry.

Discussion

Competitive Structure

The baby equipment industry is a highly fragmented industry, comprising of a wide range of suppliers, operating and endorsed, mostly in their localities. However, there are few renowned brand names that exist in this fragmented industry, which operates on a substantial scale and has established good brand equity. The major players are, Boots, Babies R Us, Mothercare and Kiddicare. Furthermore there are other indirect competitors, which are providers of the specialist baby products, operating in more the one sub sectors. The major competitors in this category are Mamas & Papas and Graco. As the industry is fragmented, the number of stores belongs to the niche markets, which are famous in their localities or in their specific sectors.

The sanitary products, comprising of diapers and nappies, are being offered by brands that operate in less fragmented environment. The major player is Procter & Gamble, with their brand “Pampers” and Kimberly Clark with their brand Huggies. Numerous grocery stores, offer their private brands of nappies and diapers. Teso and ASDA are the most active retail stores, when it comes to the private brands.

Mother Care

Market Leader

Mother care is still the major competitor, when it comes to baby nursery furniture, baby transport, ...