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Management

Retail and Channel Management – 118.331

Fall 2005


Group Project "Asper Chocolates"

Group Members:

Virginie Feroul 6835756

Clarence Jonker 6806414

Janine Mertens 6835330

Erik Roehrdanz 6835835

Stephanie Wladyka 6784754

Table of Contents

1. Description of the Type of Retailer 3
2. Location Strategy, Store Layout, and Markdown Policy 4
2.1 Location Strategy 4
2.2 Store Layout and Markdown Policy 4
3. Estimated Total Sales and Profits 8
3.1 Estimated total sales 8
3.2 Estimated total profits 10
4. Planned Inventory Levels and Stock-to-Sales Ratio 11
5. Promotional Tactics 13
6. Staffing 16
7. Store Operating Costs and Rent 17
8. Weekly Pro-Forma Income Statements 18
References 19
Appendices 20
Appendix 1. Kildonan place mall information 20
Appendix 2. Interview with Rocky Mountain and Laura Secord in St. Vital 21



1. Description of the Type of Retailer
Asper Chocolates is a retail chain of higher end chocolate stores selling a variety of chocolates, and chocolate related items. Our mission statement is:
To consistently exceed customers needs of selection, quality and superior service, in an enjoyable and comfortable environment.
All stores are located in malls, and have the same operating procedures, so for simplicity we will focus on one store located in Izzy Mall, Winnipeg.
In order to keep products consistent, we have adopted central distribution points. All chocolate items are made here, and shipped out to our different stores. Since most of our customers are individuals, their needs change on an ongoing basis and require different chocolate types. Corporate clients, who are a small percentage of our sales only order our highly standardized boxes of chocolates. This is the only product we stock in large quantities, due to the fact that corporate clients, as well as individual customers buy these products regularly. For simplicity we will focus only on individual...