RMM18 Website - Runcit Media

Transcription

RUNCIT MALAYSIA MAGAZINE ISSUE 18
PAGE 1 OF 43
TINJAUAN RUNCIT
BE PROACTIVE!
We have discussed the issue of the economic downturn in the last two issues.
Although most of us are affected, signs of recovery are clearly showing now.
Therefore, we thought it is time to share an interesting topic to give you some ideas
on how to evolve and modernise for better business.
This round, our Rencana Runcit discusses the “Small Format Stores” phenomenon,
an emerging trend that is taking the retail world by storm. Find out what it is, the
factors that had contributed to its success and how you can adopt and adapt the
concept to your business. We hope you like the fun and colourful way in which we
chose to present the article too.
We are also happy to present two interesting Kategori Runcit on Biscuits and Toothbrush. Not only do the
articles provide you more information and tips to drive sales of the two categories, it also introduces the main
players of each category: Munchy’s and Jordan. Learn more about the companies and their great products
that are popular with consumers.
In addition to that, we are pleased to feature a few companies with their own interesting ways to give back to
consumers for supporting them. We have Southern Lion Sdn Bhd with its Lion Dental Health Programme
and SHOKUBUTSU’s 11th Birthday Celebration, Spritzer Bhd’s 20th Anniversary and its “No 1 Photo Moment”
Contest as well as Gentle Supreme Sdn Bhd’s MI SEDAAP and DAIA contests. Read on to find out how you
can work with them to gain more consumers’ support for their brands as well as your shop.
Do not forget to check out the Urusniaga, Wang, Operasi and Kedai Runcit columns too as they contain a lot
of useful tip that you will surely appreciate. For those of you who are concern about your cholesterol level, our
Gaya Hidup article should be able to give you some helpful pointers. We hope you will benefit from the articles
we provide this issue. On behalf of the whole RUNCIT MALAYSIA team, I wish all our Muslim readers
Selamat Hari Raya Aidilfitri and Maaf Zahir Batin. Hope this delightful month will bring in more success to your
business!
William Khoo
Executive Director
Infovantage Sdn Bhd
william.khoo@runcit.com.my
PAGE 2 OF 43
TINJAUAN RUNCIT
PAGE 3 OF 43
RENCANA RUNCIT
SMALL FORMAT STORES
The new breed of stores that are creating big
impact in the retail world.
PAGE 4 OF 43
RENCANA RUNCIT
“How do we compete with
hypermarkets and supermarkets?
Their prices are so cheap.”
– Aminah, Kedai Runcit Wawasan,
Taiping, Perak.
“My shop is just a few kilometers
away from a hypermarket. My
shoppers have been visiting it
more often now.”
– Raju, Berjaya Mini Market,
Subang Jaya, Selangor.
“The modern trade is so advanced. I don’t have the means to keep up with it.”
– Ah Lek, Pasar Mini Win, Kuantan, Pahang.
The above are examples of the many similar questions we received from you. Clearly, the rapid growth of the
modern trade in the country worries you. In fact, it does pose a real threat to your business should you not
take any counteractive measure. And modern retailers are not planning to stop expanding just yet.
With the changing lifestyle and consumer behaviours, they are constantly looking for other ways to tap on
consumers’ every need and want. However, if you think modern trade is all about “big box” retailing, think
again. Today, they are growing small, forming a new breed of modern trade channel known as the Small
Format Stores (SFS).
Lying in the middle ground between huge hypermarkets, supermarkets and tiny provision shops, SFS are
usually franchises of bigger retailers like Tesco and Carrefour. They are run by modern-minded operators who
are familiar with the needs of their neighbourhood. Well-managed, convenient and efficient, these stores
provide customised services to cater to the changing needs of consumers, who are becoming more affluent,
more discerning in where they shop and place importance on the overall shopping experience.
In recent years, SFS has vastly grown in popularity worldwide. In Latin America, for example, the convenience
store retailer Oxxo has established around 4,000 SFS in Mexico alone. The same goes in the United States,
where big names like Wal-Mart and Publix are experimenting with the concept. The trend is also catching on
in Malaysia with the birth of smaller versions of the bigger retailers like Carrefour Express by Carrefour and
Pasaraya Maxvalu of Aeon Jusco. Let us now find out more about SFS, the factors that have led to its
success and how you can adapt it for the success of your business.
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RENCANA RUNCIT
THE CHANGING CONSUMERS
Social changes leading to the birth of SFS.
Consumers are no longer the same. Everything that involves their daily activities, shopping and
consumption habits has been altered due to their present circumstances like demanding work and life
commitments and rising prices of goods. The following are a few scenarios that demonstrate how
consumers are changing today.
“I don’t have much time for shopping.”
Fatimah, 43, is a stay-at-home mother of
four school-going children. Wanting to help
her husband provides for the family, she
takes up a part time ‘work from home’ job.
Juggling between house chores, taking care
of her children and the new job, she ends up
with very limited time for shopping. She
wants a shop where she can buy what she
needs as quickly as possible.
“I don’t want to travel just to shop.”
Ali, 28, is a mechanic who lives in the
suburb. He used to love going to
hypermarkets in town on the weekends, not
only for shopping but also for entertainment.
However, the excitement is wearing down,
even more so with the economic downturn.
Ali now hesitates to travel the distance just
to spend more time and money.
“I want to curb my spending, so I don’t want to
be tempted by too many promotions.”
Letchumi, 32, is a government officer who has a lot
of credit card debts. Realising the situation that she
is in, she is becoming more cautious in spending.
She stops buying the ‘luxuries’ and avoids stores
that throw a lot of promotions that could lure her into
using her ‘plastic’. She even utilises shopping lists to
avoid overspending.
PAGE 6 OF 43
RENCANA RUNCIT
“Shopping is difficult because my working hour
is not fixed.”
Selva, 24, is a fresh graduate who just landed a job
as a management trainee in a multinational
company. Having too much to learn and do, he ends
up coming home late almost everyday. Because the
neighbourhood shops are closed early, it is hard for
him to even buy a new bottle of shampoo.
“I want my family to eat good quality foods but I
need them at good prices.”
Rokiah, 61, is a retiree who spends her time taking
care of her granddaughter. With high awareness and
family history of chronic diseases, she wants to
make sure that the granddaughter stays healthy by
eating only fresh and good quality foods. However,
such products are more expensive and Rokiah
cannot get them in the neighbourhood shops.
“I’d like more information and services when I
shop.”
Lai, 38, is a successful businesswoman who has
very limited personal time. Therefore, even when she
goes for grocery shopping, she wants to make sure
that the trip is worth his time. She likes going to
shops that are clean, well-organised and provide
personalised services.
“I can’t afford to buy in bulk for my family’s daily
usage, what more in this economic downturn.”
Ah Fook, 49, is a father of six who owns a small
bookshop. Since business is slowing down due to
the downturn, he finds it hard to make ends meet.
Instead of making big purchases of necessity items
every month, Ah Fook now gets his wife to buy in
smaller portions at the neighbourhood store. At least,
he gets to keep more cash in his pocket in case of
emergencies.
PAGE 7 OF 43
RENCANA RUNCIT
UNIVERSAL CHARACTERISTICS OF SFS
How SFS cater to modern consumers.
Consumers are changing, and the changes are very likely to stay if not to
evolve even more. Keeping true to this fact, the retail industry jumps quickly into
action by taking a lot of initiatives to continuously meet consumers’ needs and
expectations. One of the most significant initiatives that can be seen is the
emergence of SFS. Read on to find out more about the universal characteristics
of SFS that are tailored to match the changes in consumers.
Range from Busy consumers want shopping (especially for the necessities)
only 2,000 to to be quick and easy. The size of SFS helps consumers to
4,000 sq feet in easily navigate through the aisles and avoid them from having
size.
to wait in long checkout lines.
Mainly stock Since there is limited shelf space, SFS usually focus on
high frequency necessities that are frequently purchased by consumers eg 7 –
food, grocery 8 times a month. This makes shopping easier and help
and household consumers refrain themselves from buying the items they don’t
items.
really need.
Placed in
strategic
locations, not
just in city
centres.
Since most modern trade outlets are built in city centres, not
all consumers are able to visit them frequently especially those
who live in suburban areas and come from lower-income
group as it requires travelling. SFS are strategically built to
reach out to more consumers regardless of their locations and
income brackets.
Many are open Demanding work commitments cause more consumers to
24 hours a day. work late thus making it hard for them to shop in outlets that
are closed early. SFS that are open all day provide them the
means to shop late at night or early in the morning.
Offer basic and Most consumers believe that products sold in modern trade
fresh goods at are much cheaper and of better quality. SFS cater to this
reasonable perception by helping consumers get more value from
prices.
purchases of basic necessities like staples.
PAGE 8 OF 43
RENCANA RUNCIT
Clean, well-lit
and
well-arranged
layouts.
Consumers appreciate good store layouts that make shopping
convenient and enjoyable even during top-up and quick trips. SFS
emphasise on proper store layouts to provide consumers the
pleasant shopping experience they usually get in modern trade
outlets.
Sell products in The economic pressure on consumers cause them to keep more
the right
cash in their pockets. Therefore, most consumers especially from
quantities for the lower income group are not keen on big monthly purchases
daily use.
especially for the necessities. Most SFS stock products in smaller
quantities that are suitable for daily use ie becoming consumers’
pantries.
Emphasise The size of standard modern trade outlets hinders consumers from
personalised getting personalised services like explanation on products that
and customised helps in influencing their purchases. Most SFS pay more attention
services.
to such services as well as other ancillaries like home delivery,
laundry, food reheating etc.
Use up-to-date
technology to
operate the
business.
Modern retailers invest in SFS to ensure that they mirror their
bigger counterparts ie hypermarkets and supermarkets. Most SFS
utilise modern technology like bar coding & security system,
inventory and cash management software etc to increase efficiency,
making it more convenient for consumers.
PAGE 9 OF 43
RENCANA RUNCIT
SFS AROUND THE WORLD
The small format stores concept is becoming a global phenomenon. The following are information on some of
the key players and the countries they operate in.
Europe
Sainsbury’s Local (United Kingdom)
Sainsbury's Local offers customers 1,500 of Sainsbury's Supermarkets most popular products, as
well as convenience store innovations such as in-store baked bread, a hot food counter and an
ATM facility.
Aldi (Germany)
Aldi, which started in Germany, now has over 5,000 stores worldwide. Stores dedicate their shelf
space to the most frequently purchased grocery and household items. The products mostly
comprise those of their own in-house label.
South America
Super EKI (Argentina)
Super EKI is a discount store chain that started in 1996 and sells basic staples and key grocery
items. Super EKI currently has 150 stores spread across Buenos Aires and Santa Fe.
Oxxo (Mexico)
Oxxo is a convenience store chain that boasts over 5,500 stores across Latin America and is the
largest chain of its kind in Mexico. Store layouts follow a pattern similar to convenience stores
such as 7-Eleven.
United States
Tesco Fresh & Easy Neighborhood Market
At roughly 10,000 sq ft, UK-based Tesco’s Fresh & Easy Neighborhood Markets in the United
States gives customers a faster, easier shopping experience. In addition to prepared meals and
fresh produce, Fresh & Easy offers brand products and household items. Each store employs
approximately 20 to 30 people.
Marketside
Wal-Mart’s Marketside, the US retailing giant’s first small format concept store, comprise outlets
that stock 5,000 to 10,000 items such as fresh produce, bread and basic necessities like
toothpaste.
Asia
Bharti Retail (India)
Bharti Retail aims to serve all regular shopping requirements of average Indian household,
including all food & grocery categories, fresh fruits & vegetables, meat, poultry & dairy products,
FMCG and processed foods.
NTUC FairPrice (Singapore)
The leading supermarket retailer in Singapore, with a retail network of over 225 stores. Besides
its flagship FairPrice supermarkets, the FairPrice Group also has various store formats targeting
different market segments eg FairPrice Xpress, FairPrice Homemart, FairPrice Xtra and
FairPrice Fines.
PAGE 10 OF 43
RENCANA RUNCIT
Malaysia
Carrefour Express
Carrefour, Malaysia’s smallest hypermarket chain (in terms of outlets)
opened its first Carrefour Express in March 2008. Described as a fusion
between hypermarket and convenience store, the stores that are only
about 1,000 sq m in size carry almost 4,000 items.
Pasaraya MaxValu
Aeon Jusco’s Pasaraya
MaxValu (formerly known as
D’Hati) provides maximum value to consumers in terms of quality,
prices, product freshness & assortment and customer service.
Stores are situated at densely populated neighbourhoods.
Speedmart 99
A provision retail chain, Speedmart 99 offers a range of in-demand,
essential and fast-moving consumer goods. The brand focuses on a
strategy of top-up shopping and quick trips.
MyMydin
Local hypermarket operator
Mydin Mohamed Holdings Bhd (Mydin) currently has nine MyMydin
mini markets and plans to open 50 more via franchising over the
next two years. The mini markets costing between RM500,000 and
RM1million each depending on the size, will all be located in the
Klang Valley.
PAGE 11 OF 43
RENCANA RUNCIT
CONCLUSION
CAN’T BEAT
THEM? JOIN
THEM!
Now that you have understood the SFS concept, it is time to take the necessary actions. Do not just wait and
watch in despair as more and more such outlets are built around you. Interested in modernising and evolving
your business as per this concept? Here are some ideas that you can implement.

Understand Your Shoppers
The key to the success of SFS is a good understanding of consumers ie their needs, wants, changes etc.
Observe and talk to your shoppers to find out how you can serve them better. They may need better
range & assortment, cheaper price, higher quality or maybe just a friendlier service from you.

Get A New Look
If you have never changed the look of your shop ever since you started business 15 years ago, perhaps it
is time to do so. Do own research on contractors and suppliers that can give you the best prices for
renovations and new appliances for the shop (eg shelves, lightings, computer etc).

Update Your System
Find out more about recent technologies that can be applied to your business and do not be afraid to
spend a bit. For example, try bar coding system which is more effective than the traditional way.

Start Doing More
Expand your business by exploring into more areas. Stand out among your competitions by offering other
services than just selling products. Home delivery, ready-to-eat dishes, internet and laundry services are
some good examples of services that you can provide.

Brush Up The Skills
Read up more on business and management skills. Attend workshops and talks that can help you
improve the way you run your business. Then, make use of the knowledge to train your staff to be more
efficient and helpful to your shoppers.

Promote Your Shop
Let people know about your shop and services. You may opt for the common leaflets or better yet, have
your own website that will surely give you more exposure. You can easily get one constructed at
reasonable rates nowadays.
Freda Abd Manan & Kumar Sivagurunathan – Runcit Malaysia
PAGE 12 OF 43
KATEGORI RUNCIT
BISCUIT TALES NOW AND THEN
Long gone are those days when biscuits were mainly sold in huge metal tins in night markets and
traditional shops. The biscuit industry has evolved along with technology.
Remember the good old days when we used to enjoy our biscuits with hot kopi or teh o? Biscuits were then
sold mainly in neighbourhood shops and night markets. The retailer would scoop the biscuits with bare hands,
chuck a handful in a plastic bag and weigh it. Sometimes we twitched but we still bought them for the love of
biscuits.
Alternatively, we bought biscuits from the bai roti who would come on his bike every morning and evening,
selling many kinds of bread and snacks including biscuits. Compare biscuits then and now, the evolution of
the biscuit industry is happening right before us.
Consumers used to have it easy when it comes to biscuits. The formats and flavours were limited. Biscuits
came in either air tight metal containers, big-sized plastic packaging or plastic bags tied with raffia string and
the three common flavours: chocolate, vanilla or strawberry.
However, the biscuit industry has evolved majorly over the years. Along with changes in consumers’ taste and
preference, the industry players responded by coming up with different categories of biscuits. As can be seen
in the “Biscuit Category” diagram, consumers are now free to choose the kinds of biscuits to munch on. The
same goes with flavours. Just to name a few, today consumers can enjoy cheese, coffee, fruit, seaweed and
even wasabi-flavoured biscuits. In addition, modern biscuits come in different pack sizes and packaging to
meet consumers’ different needs and wants.
Another interesting point to note is the reversal in the roles of the retail channels. If loose biscuits could only
be bought in grocery shops and night markets before, they are now more easily found at the titbits sections of
hypermarkets and supermarkets. It seems that what was once made famous by the British is now dominated
locally. The biscuit industry grew even bigger when local players such as MUNCHY’S, Kraft, Julie’s and Hup
Seng dominated the market.
CRUNCH BITES
•
•
•
•
•
10,000 years ago – The first biscuits
were produced in China.
Baked twice – The meaning of the Latin
word from which “biscuit” came from.
Great Britain – The country that started
industrialisation of biscuits.
World War I – Soldiers had biscuits as
daily food because it lasted longer when
kept in tin containers.
Apicius – The Roman chef who created
the first biscuit recipe made of thick
wheat flour paste and served with honey
and pepper.
PAGE 13 OF 43
KATEGORI RUNCIT
THE BISCUIT TREE
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BRAND OWNERS
MUNCHWORLD MARKETING SDN BHD
Address
: Centro Building
23rd Floor, 8, Jalan Batu Tiga Lama,
41300 Klang, Selangor Darul Ehsan.
Tel
: (03) 3344 7888
Main Brands : MUZIC, LEXUS, MINI, LITE CRACKERS AND CAPTAIN MUNCH
Website
: www.munchys.com
KRAFT MALAYSIA SDN BHD
Address
: Unit 701-704, Level 7, Uptown 1,
No. 1, Jalan SS 21/58, Damansara Uptown,
47400 Petaling Jaya, Selangor Darul Ehsan.
Tel
: (03) 7727 1888
Main Brands: JACOB’S, TIGER
Website
: www.kraft.com
PERFECT FOOD MANUFACTURING (M) SDN BHD
Address
: AG 6876, Alor Gajah Industrial Estate,
78000 Alor Gajah, Melaka.
Tel
: (06) 5561 401
Main Brands : JULIE’S ASSORTED BISCUITS, JULIE’S LOVE LETTERS, JULIE’S SANDWICH BISCUITS, WAFERICO
Website
: www.perfect-food.com
HUP SENG PERUSAHAAN MAKANAN (M) SDN BHD
Address
: 14, Jalan Kilang, Kawasan Perindustrian Tongkang Pecah, 83010 Batu Pahat, Johor.
Tel
: (07) 4151 211
Main Brands : HUP SENG CREAM CRACKERS
Website
: www.hupseng.com
HWA TAI INDUSTRIES BERHAD
Address
: No 8, Jalan 1/1, Taman Industri Selesa Jaya, 43300 Balakong, Selangor Darul Ehsan.
Tel
: (03) 8961 0900
Main Brands : LUXURY
Website
: www.hwatai.com
Freda Abd Manan & Wong Wen Dee – Runcit Malaysia
PAGE 14 OF 43
SAHABAT RUNCIT
NO 1 HOMEGROWN BISCUIT BRAND
MUNCHY’S success proves that local brands are not inferior.
encourage them to always be happy. This is why, in
2005, we revamped our positioning to ‘colouring
moments with cheeky fun’. This applies to not
only our products but also our factory and our
people.
C.K. Tan
Group Chief Executive Officer
Munchy Food Industries Sdn Bhd
Munchworld Marketing Sdn Bhd
www.munchys.com
Bright-coloured packaging. Fun and cheeky
messages. Who would not think of MUNCHY’S
when it comes to these? MUNCHY’S has gone a
long way from its humble beginning as a company
that only produced wafers. Today, it is the No 1
Homegrown Biscuit Brand (Nielsen Retail Index
Corporate Value Share, June 2006 - July 2008,
excluding Sabah & Sarawak) specialising in wafers,
wafer sticks and biscuits. RUNCIT MALAYSIA
spoke to the group’s Chief Executive Officer, C.K.
Tan about the journey that has taken the company
to its admirable position today.
R U N C I T M A L AY S I A ( R M ) : H o w d i d t h e
MUNCHY’S business come about?
C.K. Tan (CK): My two elder brothers, S.K. Tan and
L.K. Tan founded the company in 1991. Believe it or
not, we started business with just a secondhand
wafer machine worth only RM80,000 in a small
factory in Batu Pahat. Then in 1992, we received an
offer to produce chocolate-coated wafers. That was
when my brothers bought the most advanced
machine and started producing wafers with modern
technology. I joined the company in 1994.
Subsequently, my two younger brothers hopped on
board. In 1996, we moved our factory to the current
Batu Pahat site and imported the largest wafer line
in Asia.
RM: What were some of the challenges faced in
the early years of MUNCHY’S?
CK: When we started, wafers only had about 1%
market share. Although there was room for growth,
developing a niche market was a real challenge.
The mid 1990s financial crisis did not help either. In
1996, our turnover was only about RM12million.
Thankfully, we had a very committed team that had
worked together to support and rapidly grow the
business. By the time the crisis ended in 1999, our
turnover summed up to over RM53million.
RM: What is the idea behind the colourful and
fun image of MUNCHY’S?
CK: Our founders always liked vibrant and cheerful
colours because it represents the enjoyment of life.
Our target consumers have always been the young
people and those ‘young at heart’. We want to
RM: The Nielsen Company recently named
MUNCHY’S the No 1 Homegrown Biscuit Brand.
What had contributed to this success?
CK: We are overwhelmed by this achievement but
recognition is not the only thing that matters. Our
focus is more in defining our products and creating
our own niche. We always challenge ourselves to
do better. We invest a lot in people too. We have
invited a number of highly talented and capable
individuals from multinational corporations to join
us. The merge of the new and old staff has brought
the company to the next level. We also continue to
let technology and quality drive our success. We
have spent over RM200 million since 1996 in our
top-of-line factory and warehousing facilities. In the
last 2 to 3 years, we invested RM50 million to
double our manufacturing capabilites to upwards of
5,000 tons per month. Our factory is now
recognised as the most advanced biscuit factory in
the country. We never compromise our quality.
Every MUNCHY’S product goes through stringent
manufacturing process. Apart from being a wellknown homegrown brand, we are also targeting to
be more recognised internationally. Today, our
products are exported to approximately 60 countries
worldwide.
RM: How important is the traditional trade to
MUNCHY’S business?
CK: The traditional trade has high potential due to
its size and reach. This is the reason why we
recently appointed 20 distribution partners to help
us increase penetration into this channel. We are
also creating many new products that are skewed
towards it. For example, CAPTAIN MUNCH is
specially developed for traditional trade consumers.
Although the traditional trade only contributes about
38% of our business at the moment, we believe it
will grow tremendously within a year.
RM: What is your advice to traditional retailers
to keep on striving for success?
CK: In business, being optimistic is key. Retailers
need to focus more on doing what’s best for their
business than worrying about the competitions. I do
not agree that imported brands are more superior,
their set ups is better or that they have better
people than us. Make the best use of your
resources and never settle for less.
PAGE 15 OF 43
SAHABAT RUNCIT
BITE THESE!
The following are some awards and recognitions received by MUNCHY’S to date.
o
o
o
o
o
o
o
o
ISO 9001:2000 (2003)
Brand Equity Award (2003)
Superbrands Status (2003/2004/2005/2008/2009)
HACCP (Hazard Analysis Critical Control Point) Certification (2004)
HALAL certification by JAKIM (since 1998)
Malaysia Book of Records 2006 “ Largest Wafer Manufacturer” (2005)
Taste of Malaysia Award from Tesco, London (2007)
The BrandLaureate Award:
• Product Branding (Confectionery Category) – Biscuits and Wafers
(2006-2007,2007-2008,2008-2009)
• Brand Specialty in terms of Brand Strategy (2008)
COLOURING MOMENTS WITH CHEEKY FUN
K.K. Sim, General Manager – Distribution, Sales &
Marketing of Munchworld Marketing Sdn Bhd explains
why there’s MUNCHY’S for every place and time.
K.K. Sim
General Manager – Distribution, Sales & Marketing
Munchworld Marketing Sdn Bhd
www.munchys.com
Meeting everyone’s expectations – this is what we aim for when creating our products. Since our inception in
1991, we have been striving to create MUNCHY’S reputation as a brand that is able to meet every
demand, be it satisfying hunger, snacking or just having plain good times. We strongly believe that in order for
consumers to continue purchasing our brands, they must be tasty, have good quality and come in interesting
packaging at affordable price points.
We place great focus in brand building. Over the last few years, we have taken many initiatives to ensure
that consumers adopt a strong liking towards our brands. By changing our logo from a single M to a ‘universe’,
we emphasise that our sub-brands like MUZIC, LEXUS and MINI come under one motherbrand, MUNCHY’S.
We also invest a lot in sponsorships and corporate social responsibilities programmes.
There is no doubt that the traditional trade is an important channel to MUNCHY’S because it allows us to
reach a wider scope of the market. We are now tailoring our marketing efforts to focus more on creating better
representation of our brands in this channel. We work closely with our distributors to ensure that we provide
the support and help needed by retailers to drive the sales of our brands. In addition, we do a lot of strategic
promotions and come up with specific SKUs for the traditional trade.
PAGE 16 OF 43
SAHABAT RUNCIT
BRAND FACTS
First ‘MINI’ in Southeast Asia
Handy and easy-to-eat, MUNCHY’S MINI is the first sandwich biscuit of its kind in South East Asia to
combine diminutive size and great taste. Produced in a revolutionary way to maintain consistent
quality in taste and texture, despite the size and manufacturing speed, MUNCHY’S MINI demonstrates
a milestone in the company’s manufacturing process. Whether one is stuck in evening rush hour
traffic, in need of a quick nibble at home until lunchtime or hanging out with friends, there’s a
MUNCHY’S MINI to the rescue. Small in size and big on fun, MUNCHY’S MINI is available in three
variants: Cheese Cream, Chocolate Cream and Peanut Butter Cream. MUNCHY’S MINI truly reflects
that ‘Life’s more fun with MUNCHY’S’.
Fun & Energizing CAPTAIN MUNCH
MUNCHY’S CAPTAIN MUNCH reinforces the brand’s commitment to providing more great-tasting
snacks that help consumers strike a healthy balance in their daily lives. Enriched with Energy Plus that
contains Vitamins B1, B2, B3, B6 and B12, MUNCHY’S CAPTAIN MUNCH isn’t just an easy treat to
grab between meals – it is also an important source of vitamin and nutrition. MUNCHY’S CAPTAIN
MUNCH is the healthy snack solution for kids, teens and adults on-the-go. Consumers can take a
quick break from their busy schedules to enjoy a delicious and healthy snack that’ll rejuvenate them
before moving on to the next activity. Busy mums too now have the perfect nutritious and tasty quickfix snack for their children. MUNCHY’S CAPTAIN MUNCH comes in two flavors: Milk and Chocolate,
in 75g and 200g handy pack sizes.
LEXUS Satisfies Hungry Moments
LEXUS, the hero product of MUNCHY’S is a perfect filling snack at work or at home. With Vitamin
A, D3, E, B1, B2, B3, B5, B6, B12, Iron, Calcium and Folic Acid, MUNCHY’S LEXUS is the healthiest
of its range. Unlike any other crackers, MUNCHY’S LEXUS does not have an oily surface, contains
zero preservatives and is sprinkled with real vegetable parsley. MUNCHY’S LEXUS caters to everyone’s taste with three interesting flavours: chocolate, peanut butter and cheese. The specially formulated cream is rich in taste and smooth & creamy in texture. The crackers are automatically produced
and packed in individual sachets to maintain freshness and hygiene. MUNCHY’S LEXUS sachets
come in a one-of-a-kind box that opens up to form a placement tray. It comes in four pack sizes:
32.5g, 118.75g, 190g and 285g.
Healthy LITE For All Generations
MUNCHY’S LITE has its very own creamy fragrance and taste. It is the perfect choice for breakfast
and serves as a good fill-me-up snack during those hungry moments. MUNCHY’S LITE comes in four
different variants: Cream, Calcium, Vege and Sugar to suit individual liking and preference. Each
cracker is marked with its respective series and comes in fresh and toasty texture. The Cream, Vege
and Sugar variants are available in 450g while the Calcium variant comes in 380g pack size. There is
also a 150g pack size for MUNCHY’S LITE Cream Crackers.
The Perfect Bite of MUZIC
MUNCHY’S MUZIC comes in nine alternative layers of wafer and cream that are stacked together to
form a perfect bite-size cube. The wafers are made fresh to give that special crunch when eaten while
the cream is made of special ingredients, formulated to stay in shape outside and instantly melts in the
mouth inside.A special process for applying cream onto wafers is utilised to create a smooth and silky
texture of cream. Available in two different flavours: chocolate and hazelnut, MUNCHY’S MUZIC is
made of real cocoa, peanut and hazelnut paste. This healthy muncher contains no preservatives, trans
fats or artificial flavouring. MUNCHY’S MUZIC comes in two convenient pack sizes: 125g and 225g.
Freda Abd Manan – Runcit Malaysia
PAGE 17 OF 43
KATEGORI RUNCIT
KNOW YOUR TOOTHBRUSH
Tips on understanding the toothbrush
History Of The Toothbrush
In the past, there were no fancy toothbrushes like what you see in stores today. People either used
their fingers, charcoal powder, chewed sticks or rubbed their teeth with a damp cloth. From those
primitive methods, we have evolved to using the toothbrush thanks to the Chinese who invented it.
The bristles were made from the hair of wild boars or horses hair and were attached to a bamboo or
bone handle. Many centuries later, the hair was replaced with nylon. Over the centuries, toothbrushes
of various innovative designs, materials and colours began to appear in the bid to cater to the needs of
different consumers, which continues to this day.
Most consumers are willing to spend on their toothbrushes if convinced that their needs could be met. Here
are some insights to help retailers like you, better manage this product category.
1. Range
There are many ranges of toothbrushes. The adult and children ranges are quite common and can be
found in most stores. There are also sensitive and whitening ranges that are designed for specific
functions.
2.Bristles
Hard bristle toothbrushes are meant for large,
solid teeth and gums. Medium bristles cater to
people of all ages and are able to thoroughly
clean your teeth. Soft bristles suit the elderly and
children as well as for those who have
conditions, eg; sensitive teeth. Toothbrushes
should be replaced when the bristles fray or
within three months, whichever earlier.
3.Head Type
Brushing your teeth can be an uncomfortable
experience if the wrong toothbrush head type is
used. There are four common toothbrush heads.
If you have a large mouth, choose a full size
head. Use a compact head if you have a small
mouth. For those who have difficulty brushing
those hard to reach places, try using an oval or
rectangular head for maximum brushing.
4. Design
Believe it or not, toothbrushes are part of our lifestyle. Many consumers are attracted to the many
colourful designs.
5. Price
Consumers look for efficiency and practicality at reasonable prices.
6. Buying Patterns
According to TNS Worldpanel Asia, consumers only stock up on multipacks towards the ending year. This
could be due to either their dwindling stock of toothbrushes or simply a general behaviour of buying
multipacks twice a year. Nevertheless, there is a decline in sales of both single and multipack
toothbrushes. Malay consumers prefer to purchase single packs whereas the Chinese prefer multipacks.
Article in collaboration with
Wong Wen Dee – Runcit Malaysia
PAGE 18 OF 43
ADVERTORIAL RUNCIT
THE ESTABLISHED ORAL CARE SPECIALIST FROM NORWAY
JORDAN’S success is the result of a rich heritage
dating back to more than 170 years. It has
established itself as Norway’s oral care specialist.
The quality of its products has given consumers
healthy and satisfying smiles for decades. It is those
smiles that have built the corporation’s outstanding
reputation.
A pioneer in the development and marketing of
cutting-edge oral hygiene products, JORDAN’S
strengths lie in its flexibility and ability to develop
products for local markets and specific oral health
needs. JORDAN is constantly strengthening its
expertise in product development by collaborating
with research centres, universities, dentists,
designers and, most importantly, its customers.
JORDAN entered the Malaysian market in the early
1980’s. It has a factory located less than 30 minutes
from Putrajaya. It now has the capacity to produce
50 million toothbrushes a year. Locally produced
JORDAN toothbrushes are exported to more than a
100 countries in Europe, North America, Asia and
Australia.
JORDAN’S History
1837 - Established by Mr Wilhelm Jordan as a small Norwegian family business.
1920 - Became the biggest brush producer in Scandinavia.
1927 - Started toothbrush production.
1957 - Began exporting toothbrushes.
1974 - Jordan was known as the world’s second largest toothbrush manufacturer.
For orders and enquires, please contact
JORDAN REGIONAL OFFICE
Tel: (03) 7803 3060 Fax: (03) 7803 3260 Website: www.jordanfareast.com
PAGE 19 OF 43
URUSNIAGA RUNCIT
UNDERSTANDING TAXES
It saves you from paying too much or too little
Adam received a fine from the Inland Revenue Board (IRB) because he
failed to include certain items in his tax. He had no idea that they had to be
declared.
Sounds familiar? Not the best situation to be in isn’t it? Familiarise yourself
with the rules and regulations of taxes to avoid yourself from getting into
such trouble.
A Compulsory Contribution
Taxes are used by the government to fund for public services such as
education, hospitals and healthcare, roads and welfare. However, in
business, a sole proprietor like yourself should take advantage of allowable
business expenses and deductions to reduce taxable income.
Deduct It!
Do not pay taxes blindly! Understanding the workings of tax helps to avoid
you from being penalised, alert you of your deduction entitlements and
lessen your business and personal financial burdens. The following are three
types of expenses that you should look into to reduce your business tax.
Business Expenses
Mixed Overhead Expenses
Entertainment Expenses
This is also known as
operating expenses. It
involves monthly utilities that
is necessary to run your
business. These are some
examples of tax-deductible
expenses:
Small business retailers tend to
have limited sources. They
usually mix personal assets
such as motor vehicles, mobile
phones and computers into
their business usage.
These expenditures are
usually used to maintain
existing sales promotion or
revenue and increase sales.
They are generally 50%
deductible. However, there
are some expenses that can
be fully deducted such as
•
•
•
•
•
•
•
Water
Electricity
Waste removal
Telephone
Accounting fees
Rental of premises
Sales advertisements
These on a monthly basis
can cost you several
hundred or even thousands
of ringgit. Try and deduct
some of these expenses in
your tax return to lessen
your burden.
Therefore, it is important that
you clearly separate items such
as:
• Petrol
• Repair and maintenance on
vehicles
• Telephones charges.
These expenses should be
segregated according to either
business or private expenses. If
private expenses are
intentionally added in business
expenses, there will be a hefty
fine to pay.
PAGE 20 OF 43
•
•
Promotional samples of
your business products
Provision of promotional
gifts within Malaysia
which consists of
advertorial write-ups that
include
your
advertisement or your
business logo
URUSNIAGA RUNCIT
Tax Penalties
It is important to declare your taxes properly or risk being fined or even sentenced to jail! The
government can penalise you on the following circumstances:
• Fail to notify chargeability
• Late submission of return form
• Fail to comply with notice
• Fail to declare all related taxable items
• Intentional declaration of personal expenses through business expenses
The dateline for company income tax submission is the 30th of June every year. Trying to avoid paying
taxes is a serious offence! This also applies to those who intentionally try to falsify their accounts. If
you are unsure or need more information, visit the Inland Revenue Board (IRB) for further
clarifications.
Source: Inland Revenue Board
Tax is neither our friend nor our enemy. So, remember to pay
your taxes. We hope the information provided is sufficient.
Good luck!
Chow Nyuk Loong & Wong Wen Dee – Runcit Malaysia
PAGE 21 OF 43
WANG RUNCIT
MINDING YOUR DEBT
Practising good debt management is important especially in times of crisis.
Debt! What is the first thought that comes to mind? Did you perceive it as something good or bad? Regardless
of you just starting your own business or have been in it for years, it is important that you spend your cash
wisely. This will avoid being caught up in tight cash flow situation at any time.
Why Manage Debt?
•
Gain knowledge and able to decide on the right preventive measures.
•
Provide long-term financial benefit when managed properly.
•
10.3million Malaysian credit cardholders are in debt worth RM22.8billion (Source: The Star,
February 2009).
•
According to Agensi Kaunseling dan Pengurusan Kredit (AKPK), people are unable to repay their
debts mainly due to poor financial planning (22%) and failure/slowdown of business (13%).
How To Manage Debt?
•
Debts Are Not Necessarily Bad
Debts come in two forms. Good debt means able to pay off what you have borrowed. It will bring longterm benefits if managed well. Bad debt means borrowing unnecessary for vacations, clothing or
recreation purposes that you might not be able to pay off.
•
Understand Interest Rates
Interest rate acts as a lender’s fee for using their
money. Different type of loans comes with various
rates and is usually based on per annum (p.a)
basis. Always double check on the terms and
conditions before agreeing to any loan.
There are two types of interest rates. Fixed interest
rates –will remain the same until your loan is fully
paid. Variable interest rates- will fluctuate from time
to time throughout loan term. It is usually pegged on
a standard market rate.
•
Identify Current Financial Situation
Analyze your financial situation at least once a
month. It will help foresee any future debt problems
should any arise.
•
Pay Bills On Time
This prevents your debts from mounting up and
paying late charges fee, especially for credit card payments. This also helps maintain or build good
relationships with suppliers. Most importantly, it will ensure continuity in your stock supply.
•
Track Your Spending
Start a debt spreadsheet or a small notebook to keep record on your spending. This will give you a
clearer picture on where your money is mostly spent.
•
Have An Emergency Fund
“Malaysians do not save enough”, commented Mohamed Akwal Sultan, CEO of Agensi Kaunseling
dan Pengurusan Kredit (AKPK). Make regular contributions to the fund as this will be handy should
there be any unexpected expenses.
PAGE 22 OF 43
WANG RUNCIT
Who Can Help?
Should you need advice or to enquire about debt management, Agensi Kaunseling dan Pengurusan
Kredit (AKPK) is a subsidiary of Bank Negara Malaysia that can provide you professional help.
AKPK can help with
• Providing free financial education on basic money management skills and tips on responsible
credit usage.
• Providing free financial counseling and advice on finance management.
• Offering free debt management services to those who have financial problems. Professional
counselors and financial service providers will help design your personal debt repayment plan.
For more information or enquiries, call AKPK toll free number 1800 88 2575 or visit their official
website, www.akpk.org.my
We hope that the information provided is sufficient as a guide to healthy debt management. All the best and
good luck!
PAGE 23 OF 43
OPERASI RUNCIT
EFFECTIVE INVENTORY TURNOVER
Effective inventory turnover is vital to any operating business as it greatly impacts cash flow
especially for small businesses.
In our last Rencana Runcit, manufacturers such as Dutch Lady and P&G
highlighted that inventory turnover is one of the challenges faced by them
due to the current economic downturn. For a traditional retailer such as
yourself, inventories are your assets. Keeping tabs on it is like a
balancing act. Controlling your inventory turnover helps to avoid
congesting your shelves with overstocked products. It could either help
grow your profit or shower you with debts.
Turning Inventory Into Cash
Your business is all about selling products. Over a period of time, you
might wind up with a gradual mounting store of items that fail to sell. To
avoid losing your assets, here are some tips on engaging in a healthy
inventory turnover.
1.Take Responsibility On Your Products
Many retailers take advantage of the trade return policy and neglect in
taking ownership of purchased goods. Taking responsibility allows both
manufacturer and retailer to take on a positive approach in eliminating or
minimizing trade returns.
2.Clean Shop, Clear Perspective
A clean shop and organised shelves will help in stock checking. With an
organised shop, retailers will be able to clearly determine what and how
much to stock.
3. Purchase The Right Quality And Quantity
Observe and communicate with your shoppers on the types of products they buy. It would help improve
your forecasting on purchasing stocks. Never overstock unless under circumstances such as price
increment of products (last batch offer), temporary shortage caused by another party (mostly
manufacturer’s) and sudden demand of shoppers due to festive seasons.
4. Keep Minimum Stock Level
Minimum stocks should be kept for slow moving products but remember to order on regular basis when
products are running low.
5. Stock Up According To Your Facilities
If you do not have chillers or fridges in your store, never stock
perishable products. If you wish to do so, stock up a small
amount that allows you to sell it all in one day.
6. Keep Proper Records
Always check on expiry dates of products at least once a week
to avoid loss. Have regular updates on your stocks to allow
you to take measures to clear them out.
7. First In, First Out
To ensure that old stocks with earlier expiry dates are sold first,
always place them in front of the shelves. Place new stocks
behind to allow for longer duration for them to leave the store
before expiration.
PAGE 24 OF 43
OPERASI RUNCIT
Removing Old Stocks
Stuck with old stocks and don’t know what to do with them? Here are a few tips that could help you
clear some shelf space.
1. Sales And Promotions
Be creative and try to sell as much of the old stocks. Bundle these items up and package them at
an attractive price. Have promotions such as “Buy One, Free One” deals.
2. Return To Manufacturer
Return unsold stocks to manufacturer based on trade returns policy. However, this is not
encouraged as it should be ideal for both manufacturer and retailer to work together and minimise
trade returns.
3. Perishable Goods
Take the effort and initiative to clear all perishable products such as vegetables, milk and other
food items that have expiry dates within the day to minimize loss. Check your stocks a few hours
before closing time. You can sell them creatively such as closing time sale, happy hour sale, half
price or stock clearance sale.
We hope these tips can help you manage your inventories even better especially in this economic crisis. All
the best and good luck!
PAGE 25 OF 43
KEDAI RUNCIT
KNOW YOUR PRODUCTS
More information, more sales!
“What is the difference between this and that? They both look the same.”
Have you been asked this question? If you hesitate or answer wrongly, the
shopper may not buy either. Prepare yourself with knowledge on products to
secure purchases of those already in your shop and attract new shoppers.
WHY SHOULD I?
•
•
•
Encourage loyalty to brands and your shop. A good explanation will
build shoppers’ trust in a product and create a good image for you as a
knowledgeable retailer.
Drive sales of certain items. Be it new, slow-selling or even hot items,
being able to explain your products will surely encourage more purchases.
Bring you closer to the suppliers/manufacturers. When finding the
information, you will know more about the company, its new products,
consumer or trade promotions and even get help on display and
merchandising.
WHICH PRODUCTS TO FOCUS ON?
•
•
•
Necessities. Shoppers will continue buying these regardless of the shape
of the economy. Find out more about the range so you can give
recommendations based on your shoppers’ needs and budgets.
New products. Have the right information on these products as shoppers need them before making trial
purchases. Failure to do say may cost your investment in the new stocks goes to waste.
Slow-selling items. Certain products may not sell well because they are not promoted enough or even
placed in wrong sections. Gain more knowledge on them so you can merchandise better and encourage
your shoppers to purchase them.
WHAT DO I NEED TO KNOW?
•
•
•
•
•
Backgrounds. This has to do with the manufacturers. Knowledge on the company’s performance and
range will definitely help you explain their products.
Uses. Be prepared to answer questions like how, where, when and why to use certain products.
Benefits. Knowing why a product is better than the other will help you drive your sales.
Performances. Explanation that is based on personal or others’ experiences is more effective compared
with those written on its packaging or leaflet.
Types. Having information on the shelf key units (SKUs) will enable you to tailor your explanations to suit
each shopper.
HOW DO I GET THE INFORMATION?
•
•
•
•
•
Ask your suppliers when they deliver stocks or bring new items. If the explanations are doubtful,
reconsider buying the products. After all, shoppers will do the same too if you can’t give them the
information they demand for.
Contact the manufacturers. Most manufacturing companies have toll-free lines and operators to answer
questions from consumers and retailers.
Visit the companies’ websites for more information on products, ingredients and even target shoppers.
Some websites also have lifestyle tips that can be used for your business or personal life.
Ask your shoppers who have tried or been buying the products that you want to drive. Make use of the
responses to help you recommend the products to others.
Try the products so you will be able to share your real experience with shoppers. This will also
encourage you to become more ethical in business.
Always remember that as a traditional retailer, you have the opportunity to give personalised service unlike
your modern trade competitors. We hope these tips will help you drive more sales in your shop. Good luck!
PAGE 26 OF 43
SAHABAT RUNCIT
APPRECIATING CONSUMERS’ SUPPORT
Since its inception over 22 years ago, Southern Lion Sdn Bhd, a joint venture between Lion of Japan and Lam
Soon (M) Bhd, has truly come a long way. Today, with continuous efforts to innovate, Southern Lion has
become a strong leader in several main categories while maintaining its commitment to environmental
protection. Much of the company’s success is owed to the strong support from consumers. In an effort to
show its appreciation, Southern Lion recently fetes consumers through various activities including Lion Dental
Health Programme, Corporate Roadshow and SHOKUBUTSU’s 11th Birthday Bash with MY FM.
LION Dental Health Programme
The Lion Dental Health (LDH) Programme was introduced in Malaysia in 1998. The programme is one of
Southern Lion’s social contribution programmes for Malaysians. It aims to create awareness on the
importance of oral care since early age.
In the beginning, the programme was conducted by staff from the LION Dental Hygiene Centre (LDHC) of
Japan. However, in 2000, the LDH programme began to be fully conducted by local staff. Every year, the
programme undergoes transformation to ensure its relevance to local identity and to take into account the
public’s habits and levels of awareness on oral care.
LDH Programme educates children on the importance of oral care through fun and exciting ways. Serious
messages are delivered through fun story-telling sessions to make it easier for children’s understanding. In
addition, the programme is often conducted in collaboration with government dental clinics around Malaysia.
Since its inception in 1998 till now, the programme has managed to reach more than 370,000 children across
Malaysia.
Healthy Family, Healthy Life
In July and August 2009, Southern Lion held a Corporate Roadshow themed “Healthy Family, Healthy
Life” in Queensbay Mall, Penang, Sunway Pyramid, Kuala Lumpur and AEON Tebrau City, Johor
Bahru. The objective was to create awareness among the public on the importance of practising easy
health tips to ensure a healthy family and life. Various interesting activities like free dental check, hand
washing and product demos as well interactive games were conducted.
PAGE 27 OF 43
SAHABAT RUNCIT
Special Reward for Loyal Consumers In Conjunction with SHOKUBUTSU’s 11th Anniversary
11 years is not a long period but for SHOKUBUTSU, it is a great achievement. SHOKUBUTSU is a
liquid shower foam made with 100% plant cleansing ingredients. It is the only brand that has managed
to reach the No 1 position in total Peninsular Malaysia (TNS Consumer Panel, June 2008-2009) in
such a short period.
In conjunction with its 11th anniversary, SHOKUBUTSU’s loyal consumers were given the chance to
celebrate with local and international celebrities during the 11th Anniversary Celebration Concert that
was held in collaboration with MyFM radio in Genting Highlands on August 15, 2009.
Southern Lion Sdn Bhd
Tel: 1 800 880 133 Website: www.southernlion.com.my
PAGE 28 OF 43
SAHABAT RUNCIT
PROFIT FROM OUR CONTESTS
Gentle Supreme Sdn Bhd is the distributor company for superior household and personal
care products from the WINGS Group of Indonesia. Their brands include DAIA laundry
detergent, BOOM powder detergent, GIV beauty bath soap and MI SEDAAP instant
noodles. These products are widely available in every type of store, from provision shops to
hypermarkets.
Renowned for its dynamism and excellence, Gentle Supreme has been awarded the
Business Superbrands Award. DAIA laundry detergent received the Brand Equity Award for 5 consecutive
years (2002 – 2006) and MI SEDAAP instant noodles received it for 2 consecutive years (2007 – 2008). The
brands’ success and impressive market share are the result of earning the trust of consumers who demand
top quality products, as well as the company’s relentless efforts to mount exciting promotions as shown here.
From September 1 until November 30, 2009,
consumers will be rushing to buy DAIA products
in order to join the “Decorate DAIA & Win
Contest.” Make sure you are well stocked with
DAIA products when consumers come for them.
Contest Mechanics
To win, consumers need to collect 10 points
from cut-out DAIA barcodes on packaging.
Next, decorate DAIA’S logo creatively and
complete the slogan. After that they will send
their entries to the given address that is listed in
the contest form.
Contest forms can be obtained from leading
stores, newspapers and magazines. The
barcodes can be found in all of DAIA products
such as DAIA Powder Detergent, DAIA Bar
Detergent, DAIA Liquid Detergent, DAIA Super
Low Suds, DAIA Fabric Softener, DAIA Floor
Cleaner and DAIA Stain Killa.
This contest is separated into 3 rounds. Round
1 (01/09/09 to 30/09/09), Round 2 (01/10/09 to
31/10/09), Round 3 (01/11/09 to 30/11/09)
* Terms and conditions apply
** The prizes above are for display purpose only
PAGE 29 OF 43
SAHABAT RUNCIT
MI SEDAAP will be having a contest, which will run
from October 5, 2009 until February 4, 2010. Be sure
to stock up on MI SEDAAP instant noodles, as
consumers will want to buy the products in time to join
the Jom “Click” Bersama MI SEDAAP contest. Contest
entry form is provided inside each MI SEDAAP pack of
different flavours and can be found at all
hypermarkets, convenience stores and provision
stores.
Contest Mechanics
This contest has 4 rounds. Participants just have to
follow 4 simple steps.
1. Name one of the MI SEDAAP flavours.
2. Attached a 4R size photo of you and MI SEDAAP
(cooked or non-cook) posing in a creative way.
3. with not more than 20 words, give an interesting
caption based on your creative photo.
4. Send in your entry to the given address. Each entry
must be attached with 3 empty packs of different
flavours.
* Terms and conditions apply.
For orders and enquiries, please contact
GENTLE SUPREME SDN BHD
Tel: (03) 8023 1489; Fax: (03) 8023 7389
PAGE 30 OF 43
MEDIA RUNCIT
OUR EYES AND EARS IN THE TRADITIONAL TRADE
Runcit Media Sdn Bhd’s Useful Insights For Your Business
Since its inception in 1988, Runcit Media Sdn Bhd (RMSB) has
established itself as the traditional trade media specialist. Today, the
company is expanding its services by providing a comprehensive suite of
integrated services to help you extend your reach in this highly potential
trade channel. Apart from its Structured Ambient Media (STRAM), InStore Point of Purchase (InPOP), RUNCIT MALAYSIA magazine and
customised services, RMSB provides non-biased trade insights that
complement your sales strategies for a more effective decision-making.
The insights are gathered through two methods: Observation Check and
Feedback.
Runcit Operations Sales System (ROSS)
A customised system from Grand Flo Manage
Sales that is used by RMSB to meet the following
objectives:
•
•
Data collection for Observation Check as it
includes data capturing and analysis. The
collection process that allows for fast and
timely processing that results in reliable
information.
Critical path analysis for the automation of its
field force. ROSS enables route tracking and
KPI monitoring. It increases the team’s
efficiency as it ensures that the tasks given
are carried out.
ROSS utilises INTERMEC CN2B, a device that
has the following features:
•
•
•
•
The INTERMEC CN2B
Small (pocket-sized), ruggedized handheld
unit.
Comes with built-in WiFi and linear imaging
technology that reads 1-dimensional
barcodes.
Strong and durable (survived Drop Survival
Test from 3 feet to steel or concrete).
Completely sealed from dirt, dust and
splashing water.
PAGE 31 OF 43
MEDIA RUNCIT
OBSERVATION CHECK
Insights from the Observation Check is gathered by RMSB’s team of Field Supervisors (FS) who make
regular rounds in traditional trade outlets. The information are then compiled to form data that are ready for
clients’ use. Through ROSS, the FS collect four types of insights:
1. Product Availability
Information ranging from the frequency of SKUs or brands from one manufacturer to a comparison with
competitors can be gathered through the Observation Check.
2. Price
RMSB can also provide information on clients’ product prices. Clients will get to make comparison of
price range of different SKUs, from lowest to highest and the most common in shops.
3. Facings
Insights on facings are gathered by the FS who will go to shops and run manual check by counting the
number of facings of products.
4. Sales Offtake
Insights on sales offtake are collected through two stages. The first stage is done during stock collection
where the FS will record the number of products brought into a shop and compare it with suppliers’
invoices. A month later, the FS will conduct the second stage where they record stock closing and
compare them with records of purchases.
FEEDBACK
RMSB Insights also consist of Feedback that is gathered either by the FS through over-the-counter
interviews or through the RUNCIT MALAYSIA magazine. The feedback is collected for two purposes:
1. To be presented in the RUNCIT MALAYSIA magazine.
This is done with regard to certain industry topics or other topics concerning retailers that may also be
useful to manufacturers. The questionnaire forms may either be inserted in the magazine where retailers
can post their feedback or are handed to FS internally so they can go to selected shops and get retailers’
feedback. It will then be compiled and published in the magazine in the form of charts or articles.
2. To be given to clients upon requests.
RMSB can also provide retailers’ feedback based on clients’ requirements. It may be on topics like
retailers’ views on their promotions, campaigns or new products. The feedback will then be compiled and
presented to the respective clients.
Samples of findings from the Observation Check
Samples of feedback & survey form in RUNCIT MALAYSIA
For further enquiries, please contact:
Ms Elenie Tan
Client Service Head
Runcit Media Sdn Bhd
Suite 12.01, 12th Floor, Menara Merais, No 1, Jalan 19/3
46300 Petaling Jaya, Selangor
Tel: (03) 7957 1718; Website: www.runcit.com.my; Email: info@runcit.com.my
PAGE 32 OF 43
SAHABAT RUNCIT
EXCELLENCE IN QUALITY
Mention mineral water and consumers will think of SPRITZER. It has been Malaysia’s No.1
bottled mineral water brand for 20 years (source: The Nielsen Company, within bottled
water value % share market). It is also the only mineral water brand recognised by the US
Food & Drug Administration (FDA). This year we celebrate the 20th Anniversary of
SPRITZER brand.
Outstanding Achievements
Spritzer Berhad started in 1989 as a small set-up in Taiping, Perak. It has since expanded into becoming the
biggest water manufacturing factory in the country, covering 295 acres, surrounded by lush greenery and
away from pollution.
The company’s foundation for success is its commitment to produce quality bottled mineral water. With a
vision of being recognised and respected as the premier and best bottled mineral water producer, it adopts a
stringent process where each step is closely monitored. Its production lines are completely automated and
equipped with state-of-the-art bottling technologies. From the source to the bottle, the whole process is
untouched by hand.
In 2007, Spritzer Berhad won the Frost & Sullivan Industrial Technologies Awards for Market Leadership in
Bottled Water Markets (Malaysia and Singapore) category. It also won the 6th Asia Pacific International
Entrepreneur Excellence Award 2007 in the category of Excellence Brand and Excellence Leadership and is
the long-term partner as the official water sponsor for Olympic Council of Malaysia (OCM).
In 2008, SPRITZER mineral water was recognized by the International Taste and Quality Institute (iTQi)
Brussels, Belgium in the Superior Taste category. The company went on to also win the SMEs Recognition
Award 2008 in the SME Achievers category. One of the greatest achievements so far was winning the
Reader’s Digest Trusted Brand Awards – Platinum category for 10 consecutive years (1999 to 2008).
The Spritzer Group of Companies will continue to invest
in brand building programmes and other marketing
initiatives. It intends to defend its stronghold in
traditional trade besides expanding its modern trade
channels.
PAGE 33 OF 43
SAHABAT RUNCIT
“My No. 1 Moment” Photo Contest
“My No. 1 Moment” Photo Contest will run from October 15
until November 18, 2009, as a way to celebrate SPRITZER’S 20th Anniversary. So, be sure to stock up right away.
Contest Mechanics
1) Consumers are required to send in their “My No. 1
Moment” photo (eg: my graduation, my 1st baby,
my 1st car, my wedding & etc).
2) Submissions need to be made by email to
contest@spritzer.com.my with THREE 600ml label
codes or ONE 1500ml label code.
3) The judges will shortlist 4 of the best photos
weekly.
4) Please log on to www.spritzer.com.my for more
info
*Terms and conditions apply.
Prizes
20 x HP ProBookworth RM50,000 will be given out within
the span of 5 weeks.
For orders or enquiries, please contact
SPRITZER BERHAD
Tel: (05) 801 2663; Toll-Free Line: 1800 883 111; Fax: (05) 801 2118; Website:
www.spritzer.com.my
PAGE 34 OF 43
PAK RUNCIT
LEARN FROM YOUR MISTAKES
We are coming to the end of the year and we wish you well. While you need to end 2009
on a positive note, you also need to ensure that you have a great start for the new financial
year! It is also time to take stock of your mistakes and ensure that they are not repeated in
2010. Since the economy is picking up and is predicted to improve further during the fourth
quarter, we hope you will capitalize on this to bring in the much-needed sales!
Be mindful of your operating expenses as running a business is not only about hitting the
top line, but also to watch out for your bottom line as it determines your profitability. Having
said that, we are disappointed to note that many retailers are saddled with a lot of
unrecoverable bad debts! For those of you who are still selling on a credit basis, please stop it immediately.
Your new transaction policy for the new year should be to sell on a 100% cash basis, regardless of whether
they are your loyal shoppers or not. If you
need to extend credit, consider accepting
credit cards. At least, the payments are
assured although you may have to pay a
marginal fee to cover the merchant discount
rate.
Another area that will influence your sales is
the availability of your stocks. Stock the right
type of goods to cater for your clientele base.
We have recently encountered many outlets
with a high frequency of stock out situation. It
was then revealed that the cutback in the
inventory was primarily due to the economic
slowdown in the beginning of 2009! The sad
part is shoppers will formulate a very bad
impression on this and go elsewhere to shop.
You are not wrong to keep a low inventory.
However, when the basic things like bread
and biscuits are grossly under-stocked, you
could send out the wrong signals to shoppers.
This is very important, what more with the
continuation of the price slashing strategy by
the hypermarkets.
These two key areas, effective bad debt management and keeping the right inventory, are not to be taken
lightly. If you exercise greater caution, you will have something to cheer about at the end of the year. We hope
that you will take heed of our advice and see the marked transformation in your business.
All the best!
PAGE 35 OF 43
HALAMAN PAK RUNCIT
BAR CODING SYSTEM
What is the advantage of using bar coding system when the traditional way is faster, especially when
there are many shoppers waiting at the check-out counter. Doesn’t bar coding require extra staff and
more work?
P/M Sinda - Sungai Ara, Pulau Pinang
Bar coding system is the obvious choice when your business transactions have increased tremendously. It
helps to speed up your overall operations, besides improving the productivity and efficiency levels. As your
business grows, the number of items will also increase to enable you to cater for a wider clientele base which
makes it absolutely essential for you to have a tight control over your stocks!
You should know that most modern trade outlets are currently using this system. Contrary to your belief, it will
not slowdown the traffic at the check-out counter but helps to ease off the congestion instead. The initial setup may be tedious, as you have to ensure that all products come with a bar code. For items which are not bar
coded, you will have to make sure that the suppliers comply with this ruling. Generally, most products are bar
coded, unless the suppliers want to risk losing the sale, as modern trade outlets will reject the goods, if they
do not conform to this requirement. Some of the benefits from the bar coding system are as follows:
1. Since it is linked to the cash register, all payments can be centralized. Thus, only one person is needed to
handle the cash collections. This will help to minimize any discrepancies.
2. Every transaction is captured to give you more effective control in terms of stock holding. You can tell just
by looking at the report, when a particular item is running low to minimize your stock- out situation.
3. You can easily match the total collections in the cash register with the total transactions which will speed
up your reconciliation exercise.
4. It helps to fast track the annual stocktaking exercise and saves a lot of time in identifying and resolving
any discrepancies.
5. It also helps to minimise stock loss or shortages as corrective action can be taken immediately, without
waiting to go through the annual stocktaking exercise!
If your business is sizeable enough, this system it is undoubtedly a worthwhile investment. We hope you are
in a much better position to decide whether or not to proceed with the implementation of the bar coding
system. We wish you every success.
SELF-MADE POSTER
Is it wrong to make my own poster to drive sales? For example, if I put a picture of a celebrity next to
a DUMEX product to show that she likes it?
K/R Haji Othman Talib - Selama, Perak
To come up with your own posters to drive sales is a very ingenious idea. However, there are limitations as to
what you can do. As long as the posters are in the form of words to highlight or to announce a special offer, it
is alright, but not when the picture of a celebrity is featured, without getting the clearance to do so!
This comes under the copyright law in which a defaulter could be fined or taken to court for not complying to
requirements! When a celebrity is used in any form, be it in a poster, radio or TV commercial, the advertiser
will first have to get clearance ie a fee has to be paid. Just like the in-house music that is being played for the
listening and shopping pleasure of shoppers, it also comes under the copyright law, as long as it is for
commercial use.
It is always good to dress up your shop with posters in order to attract the crowd. You can get them from
suppliers whom we are sure, will only be too willing to assist. After all, it is for their benefit, in boosting up their
sales and enhances the display and merchandising standards of their products! Best of luck!
PAGE 36 OF 43
HALAMAN PAK RUNCIT
OWN PACKAGING LABEL
I sell snacks like peanuts and crackers that I pack by myself. Do I need to label the packs? If so, what
are the details that should be on label?
Setor Mariyam - Batu Caves, Selangor
If you strictly follow the label law, any product that is offered for sale or commercially marketed and distributed
must comply with the following:
1. The net weight of the product must be stated.
2. The description of contents must be featured, depending on the nature of the product, usually with the
ingredients and specifications.
3. The name and address of the importer/distributor/manufacturer or packer must be indicated.
To get a better idea of the above guidelines, all you need to do is examine some of the branded products that
you are currently selling. During our rounds in the trade, there are still a lot of in-house pre-packed products
that do not follow this ruling. This is considered flouting the law, if the enforcement officers happen to visit
your outlet!
In the case of peanuts and crackers which are pre-packed in small quantities and offered for sale only in your
shop, it could be exempted from this ruling. However, we would suggest that you check with the approving
authority, if such product offering is permitted on a long-term basis. In business, no matter what we do, it is
always recommended to conform and comply with the law at all times. All the best!
PAGE 37 OF 43
CAKAP-CAKAP RUNCIT
EXPANDING YOUR BUSINESS
Due to the current economic downturn, retailers took the initiatives to attract
more shoppers to their shops. This issue, we feature stories that highlight
some of the innovative steps taken by retailers to expand their business,
products and services.
Share your stories with other retailers here! Call Ms Chua Soah Sen at (03) 7957 1718 or tell our friendly
Field Supervisors (FS) about it.
MORNING MARKET
I realised that the nearest market is located about 10km from my shop.
Understanding my shoppers’ needs, I set up a small morning market in front of my
shop. Every weekday from 9am to 11am, I sell fresh vegetables in the market.
Besides that, I also have a “Special Offer Hour” that highlights certain items for an
hour from Friday to Sunday. The morning market is a
success and has attracted new shoppers despite the
presence of competing supermarkets in the same area.
Name: Pathmanathan
Name of Shop: Pasaraya Jaya Gading
Town: Kuantan, Pahang
FS: Mohd Rodi Mohd Nor
HANDPHONE BOOTH AND SNACK STALL
After visiting a shopping complex, I noticed the convenience that could be offered to
shoppers when both handphone booth and snack stall are placed together under the
same roof. This gave me the idea to set up my own handphone booth and snack
stall as there was potential demand. At my
handphone booth, I do not only sell handphones
but its accessories as well. For my snack stall, I
sell wafers and ice creams. My shoppers,
especially teenagers and children have responded
very well to these initiatives.
Name: Mohd Zuki bin Mahassan
Name of Shop: Pasaraya Pantai Johor
Town: Alor Setar, Kedah
FS: Mohd Rodi Mohd Nor
FRESH HAINANESE BREAD AND ANTIQUE PHONES
I own a Chinese Medical Hall and in this business, it is
important for me to constantly be ahead of my competitors.
Therefore, I decided to offer products that my shoppers are
interested in. Every Mondays, Wednesdays and Fridays, I
would sell freshly baked Hainanese breads at reasonable
prices. Although the profit margin is low, it helped to generate
more shoppers. Apart from this, I also sell good quality and reasonable priced
antique phones which are imported from China. Both products attracted many
shoppers as very few competitors around my area offer fresh bread and quality
antique phones.
Name: Kenny Leow
Name of Shop: Pasaraya Jimatku
Town: Selayang, Selangor
FS: Low Yew Chai
PAGE 38 OF 43
CAKAP-CAKAP RUNCIT
“BUY AND WIN” CONTEST AND
MUSHROOM PLANTATION
Each year, I would have promotions in
conjunction with my shop’s annual
anniversary. This year was my shop’s 10th
year annual anniversary. I celebrated the
occasion by rewarding my shoppers with a
“Buy And Win” contest. Not only did this
increase my sales, it also attracted new
shoppers to my shop. Besides having
promotions and contests in my shop, I
also have my own grey oyster mushroom
plantation. When the mushrooms are well
grown, I harvest them. The mushrooms
are then sold at markets and to food
shops around my area.
Name: Shaharil Bin Shafie
Name of Shop: Kedai Serbaneka PE Ceria
Town: Parit Buntar Perak
FS: Seaw Sek Chuan
PRODUCING HOME BRANDS
After inheriting my father’s shop in
1999, I decided to grow the
business by selling my products on
a van. This allows me to travel
within regions and gain more
c u s t o m e r s . A y e a r l a t e r, m y
business became so successful that
I managed to buy a shop lot. Six
years later, from one shop lot, I
expanded to three shop lots.
Besides managing my shop, my
siblings and I also have a factory named ABCD Enterprise. We produce our
home brands of oil and salt. In the future, I plan on producing my own
brands of chilli and soy sauces too.
Name: Mohd Riduan Solehan Bin Abu Bakar
Shop: ABCD Enterprise
Town: Pasir Puteh, Kelantan
FS: Nor Shahrizal B. Mad Sani
PAGE 39 OF 43
WIRA RUNCIT
THE JOURNEY WELL PLANNED
Management skills, the key factor to MO-ET’s success
Name: Mohidir Bin Amin
Shop Name: MO-ET Mini Market
Started Business: 1992
Motto: “Wise decisions are made in calm situations.”
From a humble beginning as a traditional retail outlet, MO-ET mini market
has evolved over the years. Today, it has grown into an organisation that also
ventures into other businesses. Mohidir Bin Amin shares his knowledge and
key factors that have led to his success.
Not to be Left Out
Started his business in 1992, Mohidir has come a long way with 18 years of
experience. “What kick started me to open my own shop was my observation
of my surroundings. I was amazed at how the Chinese expanded their
business into something huge.” said this 35 year-old entrepreneur. Even
though he lacks knowledge of the business, he decided not to be left out as he could foresee the opportunities
and aims to make it a success.
Start of the Climb
Every successful business has its ups and downs. MO-ET mini market is no exception either. “I was quite
scared when I first started as business was quite slow but thankfully, things improved over the years.” said
Mohidir. Challenges are common in the business world. He has to overcome both business and personal
challenges. When Mohidir first started, not only did he have difficulty in stock management but also gaining
the trust of suppliers and shoppers.
Keeping consistency and commitment were other challenges faced by him. “We are talking about long term
business deals. For suppliers and shoppers, they look into issues such as your consistency and commitment
towards them,” he said. Mohidir believes that once he gains the people’s trust, then they are confident in
business dealings with him.
Management Skills Matters!
“Many people talk about vision, knowledge and passion. Only few looked into management skills. How you
manage your business affects your outcome greatly. Any country or any business, failure or success depends
on management skills,” said Mohidir.
He continued: “Manage ourselves first! We start with passion to achieve our vision. Uncontrollable passion is
dangerous and could get you into trouble such as going against business ethics. Then only can you proceed
to manage your team. It takes time and dedication to train someone to be confident in making the right
decision for the company,” he said.
Mohidir enjoys analysing case studies of global and local current issues. From there, he explores the causes
of failure and success. “Management also involves handling data or facts that you have. Understanding of
consumer habits is useful for business planning,” he quoted.
PAGE 40 OF 43
WIRA RUNCIT
Always Growing
Over the years, Mohidir has refined his business and management skills. He said that although everyone has
a vision but many failed because they set unrealistic goals to achieve it. The secret to his success is the
dedicated discipline towards himself and his work. Look towards the future and practise strong business
ethics. “Do not conform yourself with others but think out of the box. Try to cater shoppers’ needs during
good times and bad times.” he said.
Being in the business has given Mohidir a solid foundation that prepares him to venture into other business.
However, he stressed that when operating a business, one must always be sincere, honest, optimistic and
constantly improving oneself.
MO-ET Management Tips
1.
2.
3.
4.
5.
Practise teamwork.
Set realistic goals.
Incorporate management ethics as part of your daily life.
Utilise related data and facts that can assist in making decisions.
Have a strategic plan for your business for at least three years.
PAGE 41 OF 43
JALAN-JALAN RUNCIT
BATU PAHAT
Many Attractions In One Small Town
Who would have though that Batu Pahat has so
many attractive places to visit! Without wasting
any time, we took the opportunity to explore
around the town. Whenever you are here, be
sure to visit these interesting places:
• Dataran Pengaram
Siamese troops that once invaded Batu Pahat
chiselled rocks at a nearby village for fresh water.
Because of this, Batu Pahat landmark portrays a
hammer, chisel and stone.
• Pantai Minyak Beku
Look out for the famous water well near the
seaside. According to the locals, the name “Batu
Pahat” originated from this well. Don’t forget to
enjoy the sea breeze and the lighthouse view.
• Jalan Rugayah’s Night Market
Take a walk in Batu Pahat’s night market. There are a variety of stalls selling
clothes, toys, foods and even shoes.
• Jalan Pengaram
Looking for textile and gold? This is the street for you. These colonial shop
houses are famous for selling arrays of textile goods and gold.
•
Batu Pahat’s 100 year-old Tree
Be sure to get your camera ready as you go along Jalan Rahmat. A 100 year-old tree is planted in the
town’s main roundabout.
A Local Blend
After exploring Batu Pahat, we took a rest in Rengit Coffee cafe. This place is famous for its coffee. Their
coffee is planted, harvested, roasted and brew locally. According to the owner, many customers enjoy the
many varieties of coffee, other beverages and food it has to offer. Customers can even buy its freshly grind
coffee that is sold in the café itself.
Outlet Locations
• No. 6-10, Jalan Keembong, Taman Rengit, 83100 Rengit, Batu Pahat, Johor, Malaysia. Tel: (07)
424 2241, (07) 424 2188
• No. 114, Jalan Sultanah, Batu Pahat, Johor, Malaysia. Tel: (07) 433 5139
• Lot 5, Carrefour Batu Pahat. Tel: (07) 433 5132
• G 62 & 63, Batu Pahat Mall. Tel: (07) 433 5166
PAGE 42 OF 43
GAYA HIDUP
CONTROL CHOLESTEROL LEVEL
Stay Away from Heart Disease
Surely most of you have seen, read or heard of
health campaigns that encourage us to control our
cholesterol levels. Cholesterol is a substance that
helps the body produce Vitamin D & some
hormones, build cell walls and create bile salts for fat
digestion. It is produced by the liver but can also be
found in certain foods like meat, eggs and dairy
products. So why do we need to control the level,
you ask?
Good Cholesterol, Bad Cholesterol?
With Tracy Lew
Corporate Nutrition Advisor
Nestle Products Sdn Bhd
Bad cholesterol is known as Low-Density
Lipoprotein (LDL). It increases the risks of coronary
heart disease as LDL build-up may clog blood
vessels that supply blood to the heart and cause
stroke if it clogs the blood vessels that carry blood
to the brain. On the other hand, good cholesterol is called High-Density
Lipoprotein (HDL). It helps to carry cholesterol from the blood vessels to the
liver and reduce the risk of heart disease.
How To Control?
•
•
•
•
•
Reduce or better yet, quit smoking and avoid second-hand smoke.
Achieve and maintain healthy body weight.
Take foods like wholegrain bread & cereals, brown rice, vegetables, fruits, lean meats & poultry, oily fish and
reduced fat dairy products. Also, try taking vegetable protein like tofu and nuts as alternatives to meat once
in a while.
Limit cholesterol-rich foods including offal and egg yolks.
Consume plant sterol enriched foods.
Did You Know?
Plant sterols or phytosterols are naturally occurring parts of plants found in
vegetable and nuts, legumes, grains and cereals. Studies shown that an intake of
1.2g plant sterols in 30 days can lower LDL level in blood until up to 7%* as they
lessen absorption of cholesterol into the body. Consuming foods with added plant
sterols like milk (for example, Nestle OMEGA PLUS ACTICOL with added plant
sterols) everyday may lower your cholesterol level.
*Thomson AB et al Eur J Clin Nutr 2004; 58: 860-870
Article in collaboration
For more information, call Nestle Toll Free Line at 1 800 88 3433
END
PAGE 43 OF 43

RMM18 Website - Runcit Media

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