Kingfisher Plc · LSE:KGF
Kingfisher — international pres pdf downloadasset
42 slides from Kingfisher's investor presentation, Jan 30, 2009
Slide 1: 11th Annual Retail Store Tour
11th Annual Retail Store Tour Friday 30th January 2009 International Division ( Turkey, Poland, Russia and China )
Slide 2: The world around us!
KING/SSHER The world around us !
Slide 3: Mega trends: change drivers for forming a new world
Future TIME IT / DIGITALISATION • The limited resource • On-line, wireless and accessible MEGA • 24 / 7 • Convenience and speed • Everywhere • Connected and ON TRENDS DEMOGRAPHICS WEALTH KNOWLEDGE • People getting older • Global wealth • Transparent • People living longer • Improved quality and • Ac
Slide 4: KING/SSHER
KING/SSHER
Slide 5: I want to do it my way
I WANT TO DO IT MY WAY – I WANT IT EASY – I WANT IT NOW OR WHEN I SAY SO – WHERE I WANT IT – I AM AS INFORMED AS YOU – I HAVE ACCESS TO EVERYTHING – I HAVE ENDLESS CHOICES AND OPPORTUNITIES …
Slide 6: I am in charge and I am powerful
I am in CHARGE and I am POWERFUL …
Slide 7: The future customer is an emotional and irrational human being
The future customer is an emotional and irrational human being ! ( FROM NICE, STUPID AND HUMBLE TO MEAN, SMART AND DEMANDING )
Slide 8: Good quality, good price and functionality is given
Good quality, good price and functionality is given !
Slide 9: Steve Jobs at Apple were asked
Steve Jobs at Apple were asked: “ What makes the new MAC OS X operating system so great ?” He replied: “ We made the buttons on the screen look so good you’ll want to lick them “
Slide 10: Maybe Ian Cheshire at Kingfisher will be asked
Maybe Ian Cheshire at Kingfisher will be asked: “ What makes the new HAND DRILL at B & Q so great ? ” Maybe he will reply: “ We made the drill smell as good as chocolate cookies “
Slide 11: The world is changing
The world IS changing …. our life and businesses and way of doing business will change …
Slide 12: Changes in the financial, travel, music and retail industries
The financial sector : The travel industry : - From many branches - From travel agencies - To cash machines - To travel catalogues - To phone banking - To low price airlines - To on-line banking - And virtual hotel tours - e-tickets and online check-in Towards a cash free society The music industry
Slide 13: eBay growth since 1999
Back in 1999, eBay carried 9.000 articles in 1.000 categories …. Today, ten years later, eBay has 212 million members worldwide, 19 millions items on its sites at any given time and sells for more than 20 billion dollars every year …
Slide 14: And the un-thinkable become huge successes
and the un-thinkable become huge successes …
Slide 15: Abbà Pater (Pope John Paul II)
Abbà Pater ( Pope John Paul II ) releases a techno and pop music CD - BUT … that was back in 1999 … almost ten years ago …. !!!
Slide 16: Today there is a second life
Today … there is a “second life” for individuals and businesses …
Slide 17: Second Life 3-D website
Second Life = 3-D website where users can create a “new virtual identity” that can walk, chat, fly, have sex and sell and buy virtual stuff for real money …. 9.000.000 residents ( twice as many as in Norway or Denmark ) or the same as London … Turnover on a Tuesday : $ 1.300.000 NB ! Market research
Slide 18: Create a new and better life
So if you are not satisfied with real life … If you don’t feel big enough … If your dream is to be the most successful … You simple just create a new and better life ….
Slide 19: A secret...
KING/SSHER a secret...
Slide 20: Second Life website screenshot
@ Second Life: Your World. Your Imagination. - Microsoft Internet Explorer File Edit View Favorites Tools Help a Qx- © |x) la) ® ££ Search ie Favorites @ 8-& - LE) B Address |) http:{{wuw.secondlife.camf | E}co tints » Google |G v coo By Bookmarksy Bizz blocked “Br check ~ “A Autolink y ) Auichil [e
Slide 21: Our homes are changing too!
KING/SSHER Our homes are changing too !
Slide 22: Maslow's hierarchy of needs and the home
“ THE HOME “ changes and develops with increasing consumption per capita THE INDIVIDUAL HOME (theme rooms) SELF ACTUALISATION THE DECORATIVE HOME (a place to express personality / ESTEEM NEEDS to show off) - main focus: all rooms NEED FOR LOVE THE OPEN HOME AND BELONGING (a place to socialise / toge
Slide 23: Our retail countries
Our retail countries … ( Turkey, Poland, Russia and China ) Are we in the right countries ?
Slide 24: Growth in general consumption
Growth in general consumption (index per capita 2002 / 2007) Romania 376 Ukraine 368 Russia 353 to (2007) : $ 4.363 per capita Lithuania 280 Turkey 270 to (2007) : $ 6.210 per capita Bulgaria 261 Brazil 240 Czech 216 Greece 196 Poland 194 to (2007) : $ 6.675 per capita Spain 186 India 181 China 180
Slide 25: How do people spend their money?
How do people spend their money? Consumption UK POLAND TURKEY RUSSIA CHINA per capita $ 27.272 $ 6.675 $ 6.210 $ 4.363 $ 882 Population 60.7 mill. 38.1 mill. 73.4 mill. 142 mill. 1315 mill. Housing (20.3%) Housing (24.0%) Housing (27.0%) Food (28.7%) Food (34.9%) Leisure (12.7 %) Food (20.6% ) Food
Slide 26: Changes and movements in consumption pattern
Changes and movements in consumption pattern (2002 – 2007) Consumption UK INDEX POLAND INDEX TURKEY INDEX RUSSIA INDEX CHINA INDEX per capita $ 27.272 164 $ 6.675 194 $ 6.210 270 $ 4.363 353 $ 882 180 Population 60.7 mill. 38.1 mill. 73.4 mill. 142 mill. 1315 mill. LEISURE INDEX 172 INDEX 194 INDEX
Slide 27: Turkey
KING//SHER Turkey
Slide 28: Turkey
Turkey Population: 73,4 million General average consumption has increased 270 % in 5 years. Among the fastest growing. Average consumption: $ 6.210 The highest proportion of consumption is Increase in consumption HOUSING (27 %) 2002 / 2007 index 270 Changes in consumption pattern are directed toward
Slide 29: Turkey
As at November 2008 / Q3 Number of Selling Employees Stores Space ( 000 m2 ) ( FTE ) Turkey 19 98 2.009 ( JV ) Strengths Weaknesses Market leader position “from small to big” / transformation Decorative profile / softer profile ( DIY / Home Improvement ) Under develop supply chain / logistic operati
Slide 30: Poland
KING//SHER Poland
Slide 31: Poland
Poland Population: 38.1 million General average consumption has increased 194% in 5 years. Average consumption: $6.675 The highest proportion of consumption is Increase in consumption HOUSING (24%) – and consumption pattern 2002 / 2007 index 194 is like Western Europe. Changes in consumption pattern
Slide 32: Poland
As at November 2008 / Q3 Number of Selling Employees Retail sales LFL Stores Space ( 000 m2 ) ( FTE ) growth growth Poland 48 370 8.372 + 20 % + 11.1 % Strengths Weaknesses Market leader position Supply chain / distribution efficiency Traditional DIY stores ( hard ) Position in Warsaw ( planning ) P
Slide 33: Russia
KING//SHER Russia
Slide 34: Russia
Russia Population: 142 million General average consumption has increased 353% in 5 years (now 2/3 of Poland) and growing. Average consumption: $4.363 The highest proportion of consumption is Increase in consumption still FOOD (29%) – but is in decline. 2002 / 2007 index 353 Changes in consumption pa
Slide 35: Russia
As at November 2008 / Q3 Number of Selling Employees Retail sales LFL Stores Space ( 000 m2 ) ( FTE ) growth growth Russia 7 63 1.605 + 91 % + 28 % Strengths Weaknesses Fast growing consumption Expansion speed / deliveries Fast growing retail sector Moscow sites / property market Fast growing DIY se
Slide 36: China
KING//SHER China
Slide 37: China
China Population: 1315 million General average consumption has increased 180% in 5 years. Average consumption: $ 882 The highest proportion of consumption is Increase in consumption FOOD (35%) 2002 / 2007 index 180 Change in consumption patterns is moving towards TRANSPORT (car / motor bike ) etc. A
Slide 38: China
As at November 2008 / Q3 Number of Selling Employees Retail sales LFL Stores Space ( 000 m2 ) ( FTE ) growth growth China 65 619 10.259 - 23 % - 27 % Strengths Weaknesses 1.3 billion consumers / growing middle class The current business model Market leader ( Property market regulation 2008 ) Brand a
Slide 39: We are established in a number of fast growing countries
We are established in a number of fast growing and interesting countries ! - How do we continue to grow and keep our market leader position ? - How do we use the scale of the Group to our advantages ? - own branding - own product design USP - product innovation - buying power and lower prices - How
Slide 40: Kjell Nordstrom & Jonas Ridderstraale
Kjell Nordstrom & Jonas Ridderstraale, Stockholm School of Economics
Slide 41: It's becoming increasingly difficult to differentiate yourself
“ It’s becoming increasingly difficult to differentiate yourself. Most of what your business does could be bought from someone else. If you have a unique idea your competitors will steal it in a couple of weeks. With 3 billion people in process of building lives and societies similar to ours – compe
Slide 42: Maybe the chocolate drill is not such a bad idea
… maybe the chocolate drill is not such a bad idea after all …