MARKETING PLAN FOR TJ MAXX

Marketing Plan for TJ Maxx



Table of Content

1. 0 Introduction3

1.2 Products & Services3

1.3 Market Analysis5

1.4 Strategy & Implementation5

1.5 Financial Plan5

1.6 Sources & Use of Funds6

2.0 Company6

2.1 Company & Industry6

2.2 Company History to Date7

2.3 Facilities7

2.4 Key Assets8

3.0 Products or Services8

3.1 Description8

3.2 Features & Benefits9

3.3 Competition9

3.4 Competitive Advantage/Barriers to Entry11

3.5 Development11

4.0 Market Analysis12

4.1 Target Customer12

4.2 Market Size13

4.3 Trends13

4.4 SWOT Analysis14

Strengths14

Weaknesses14

Opportunities14

Threats15

5.0 Strategy & Implementation15

5.1 Philosophy15

5.2 Product Development15

5.3 Marketing Strategy16

5.4 Sales Strategy17

6.0 Management18

6.1 Organizational Structure18

7.0 Financial Plan18

7.1 Requirements18

7.2 Use of Funds19

7.3 Income Statement Projections19

7.4 Cash Flow Projections19

7.5 Balance Sheet20

7.6 Assumptions20

References21

Marketing Plan for TJ Maxx

1. 0 Introduction

TJ Maxx is an off-price retailer of apparel and home furnishings.The company operates over 2,500 stores under the brand names, TJ Maxx, Marshalls, and AJ Wright in the US, California, Winners in Canada and TK Maxx in Europe. The company operates primarily in the US. It is headquartered in Framingham, Massachusetts and employs 129,000 people as of January 2008. The company recorded revenues of $18,647.1 million during the financial year (FY) ended January 2008, an increase of 7.1% over 2007. The increase in revenues for FY2008 includes a 3% increase attributable to new stores and a 4% increase in same store sales.The operating profit of the company was $1,241.1 million during FY2008, a decrease of 1.7% compared with 2007. The net profit was $771.8 million in FY2008, an increase of 4.6% over 2007.

1.2 Company Products & Services: Review

TJ Maxx was founded in 1976 and the company opened its first store in 1977 in Worcester and Auburn, Massachusetts.TJX acquired Winners as a chain of five stores in 1990.The first HomeGoods store was set up in 1992 expanding the company's presence in the home fashions market. Two years later, the company expanded into the UK through the launch of TK Maxx. TJX acquired its biggest competitor, Marshalls in 1995, thereby controlling the two largest off-price retail chains. AJ Wright's first store opened in 1998 and soon after, the company launched TK Maxx, the European version of TJ Maxx. The company introduced the home fashions off-price concept to Canada in 2001 and acquired Bob's stores in 2003. In 2004, the company launched its e-commerce websites for TJ Maxx and HomeGoods, www.tjmaxx.com and www.homegoods.com, marking the company's entry into online sales. TJX expanded square footage by 8% and opened 157 new stores with a total of 2,381 stores during 2005. TJX exited e-commerce business by closing its tjmaxx.com and homegoods.com sites for e-commerce in 2005. As a part of its overall strategy to drive profitable growth, TJX reduced its workforce by about 250 positions, affecting corporate and divisional offices in Massachusetts, the US, Canada and the UK in 2006. The company also reduced the salary of its 12 most senior executives by 10% in 2006. In 2006, TJX's Board of Directors approved a succession plan for executive management of the company. In the same year, TJX signed an agreement with CoStar Group to access CoStar Property Professional, a retail property and retail- zoned land information ...