Introduction

Founded in Mülheim an der Ruhr, Germany in 1964, METRO Cash & Carry’s concept was
revolutionary at the time: professional customers could select their own purchases all under one
roof, pay for them in cash and take the items with them. 50 years on, METRO Cash & Carry is
now a leading international player in wholesale trade with 764 stores in 25 countries across Europe
and Asia, serving about 21 million professional customers with a broad range of products and
customized services.

METRO Cash & Carry is an international self-service wholesaler. It operates across Europe and
in some countries of Asia and Northern Africa. It is the largest sales division of the German trade
and retail giant Metro AG.

METRO Cash & Carry is different from B2C retail chains (such as Walmart, Carrefour or Tesco)
in that its business concept is targeted towards professional customers rather than end consumers.
The cash-and-carry concept is based around self-service and bulk buying. METRO Cash & Carry
serves to registered customers only. Core customer groups are hotels, restaurants, caterers, traders
and other business professionals.

METRO opened its first cash & carry wholesale center in Pakistan in 2007 & expanded to 5
wholesale centers in a short span of 18 months. In July 2012 METRO and Makro-Habib combined
their wholesale business in Pakistan marking the beginning of a long-term partnership to the
mutual benefit of both companies. The merger allowed METRO and Makro-Habib to combine
resources and gain the financial strength to lead and grow in a challenging environment and to
gain synergies targeted to generate value for our customers and suppliers alike. Today the company
is operating 9 wholesale centers in Lahore, Karachi, Islamabad & Faisalabad. METRO-Habib Cash
& Carry Pakistan is part of METRO GROUP’s sales division METRO Cash & Carry, the
international leader in self-service wholesale. The company operates more than 700 stores in 29
countries in Europe, Asia and Africa and has a workforce of over 100,000 employees. Sales in
2011 were approximately 31 billion Euro.

History

1964
The first METRO wholesale store opens in Mülheim/Ruhr, Germany.

1968

With a Makro store in the Netherlands, METRO Cash & Carry takes the first step abroad, signing
a partnership with the Dutch Steenkolen Handel Vereeniging.

1970

The first Makro store in Belgium opens its doors. By that time, 13 METRO stores have opened in
neighbouring Germany.

1971

METRO starts wholesale operations in France, Austria and Denmark, partly under the brand name
Makro.

1972

The company opens stores in Spain and Italy.

1980

The right products in the right place at the right time: METRO Cash & Carry was one of the first
wholesalers in Germany to systematically manage its inventory electronically.

1984

20 years after its formation, METRO Cash & Carry operates with more than 100 stores all over
Europe.

1990

METRO Cash & Carry enters Turkey and Portugal.

1992

1
With its market entry to Greece, METRO Cash & Carry is present in most of the member states of
the European Union.

1994

METRO Cash & Carry is one of the first international trade groups to enter Eastern Europe. The
wholesaler opens stores in Hungary and Poland.

1996

METRO Cash & Carry starts out in the fast growing markets of the Far East. The international
wholesale group is among the first foreign companies to obtain a licence for the country-wide
expansion across China. The first METRO Cash & Carry store opens in Shanghai. In the same
year, METRO Cash & Carry enters the Romanian market.

1996 also sees the birth of METRO GROUP, in which METRO Cash & Carry forms the largest
sales line. The holding company METRO AG is listed on the German stock exchange.

1997

METRO Cash & Carry enters the Czech Republic. All Makro stores are integrated into the
METRO Cash & Carry organisation.

1999

The first METRO Cash & Carry store in Bulgaria opens.

2000

The Slovakian market is added to the company’s country network.

2001

2
METRO Cash & Carry starts trading with two stores in Russia. The country is one of the most
promising Eastern European markets. By that time, the wholesale group already operates 15 stores
in China.

2002

The company keeps an eye on the Asian markets: The first stores in Japan and Vietnam open.

2003

METRO Cash & Carry enters Ukraine and India.

2004

The 40th anniversary sees the company operating over 500 wholesale stores in 27 countries.

2005

METRO Cash & Carry enters Serbia.

2007

METRO Cash & Carry opens the first store in Pakistan in Lahore. The company’s new opening in
Aalborg, Denmark, sets new standards for environment protection and energy saving with
extensive technological innovation.

2009

The company starts broadening its service portfolio, piloting a delivery service in Germany which
is now available in 29 countries. It also launches a new own brand concept including six own
brands focusing on key target groups. The company enters Kazakhstan.

2010

An innovative store format is added: city centre stores in Paris catering solely to Horeca customers.
The concept is later rolled out to Rome and Madrid.

3
2011

METRO Cash & Carry celebrates the opening of its 700th store, located in Istanbul. The company
starts selling selected product ranges online in some countries. Trader franchise programme for
small independent grocery shops kicks off in Poland under the brand “ODIDO”.

2012

With annual sales of €31.6 billion and 743 locations in 29 countries, METRO Cash & Carry is the
leading international player in wholesale. The expansion in China is being accelerated with 12 new
openings in one year, a record for the wholesale company.

2013

The company opens 750th store in Chongqing, China. With annual sales of more than €2 billion,
the delivery service is one of the most successful sales concepts.

2014

METRO Cash & Carry celebrates its 50th birthday with its employees, clients and suppliers all
over the world. METRO Cash & Carry renews it commitment of being “Champion for Independent
Business”.

4P’s of METRO

1. PRODUCT

Dairy Products:

METRO offers the largest variety in Dairy section in Pakistan at the lowest prices. From UHT
Milk to Processed Milk to Pasteurized Milk, from more than 5 types of cheese, 3 types of butter,

4
3 yogurts (flavored and plain), 3 ready to drink solutions, we offer you endless options at same
place!

Fresh meat and poultry

Considering the high sensitivity of Fresh Chicken in terms of poor hygiene practices of local
market, METRO has established a well-equipped supply chain to provide safe product to its
consumers.

Fruits and vegetables

METRO promises to bring you the best available Fruits and Vegetables in the market. A strong
emphasis on quality, widest possible variety and best prices in market makes METRO the
destination for Fruits & Vegetable shoppers.

Apparel and footwear

METRO provide the best possible clothing range to their customers keeping in mind their
requirements and needs with optimum standards of men’s, ladies and children’s clothing. They
have a vast range of products in bottoms, uppers, tops, innerwear, casual/smart casual wear, ethnic
clothing, ladies unstitched range of seasonal textiles keeping in mind the trends, colors and seasons
for every segment.

Bakery

METRO bakery has a vast product range of about 140 articles, ranging from buns, bread,
croissants, cookies, pizzas and other snacks. Their chefs specialize in creating delicious treats for
all occasions, be they celebration cakes or tasty treats for day to day indulgence. They have a
variety of types and flavors for each product.

Deep Frozen & Delicatessen

The existing set of products (services) is focused around the wholesaler's market. And each store
is customized to address. Â needs of professional customers. Metro offer a wholesale price that
leaves the customer room for healthy margins and provide a one-stop-shop for the customer. In
the food range, freshness is Metro's first priority. This is guaranteed by the efficient supply-chain
and quality control management Metro have in-place. In non-food, Metro offer only products that

5
are up-to-date in terms of technology and design, and meet all safety standards. Metro product
range includes direct import of French Fries from Holland, to Frozen Fish from Vietnam. They
keep all the top brands of both local and imported frozen ready-to-serve-meals, ranging from
parathas to chicken bites to ice-cream. Nuggets, chicken wings, tempura, potato wedges,
croquettes. Metro says; you name it, we have it!

METRO is dealing with wide variety of products, Other products are:

 Beverages
 Coffee, Tea & Snacks
 Detergents
 DIY & Home Improvement
 Electronics & Appliances
 Fresh Fish
 Freshwater fish
 Seafish
 Seafood
 Grocery World
 Health & Wellness
 Home Textile/Decor/Outdoor
 Household
 Hygiene, Personal Care & Grooming
 Imports World
 Kids World
 Office & Stationery

6
 2. PRICE

Their pricing strategy varies from customer to customer. As we know that Metro do business in
two categories, Business to business and business to customer. For B to B their prices can be
negotiated because of the bulk purchases are carried out but in B to C market the prices can not be
negotiated but they are relatively low as compared to other retail stores in the particular region.
METRO cash & carry follows the pricing strategy of Mark up Pricing along with Competitor base
Pricing. Mark Up pricing strategy in such a way that they charge 3% profit on each item. The
prices are displayed inclusive and exclusive of taxes to facilitate and to create awareness among
retailers and professionals that they can get the tax credit on the resale of the items which are
purchased from METRO Cash & Carry.

METRO is also following the Competitor base pricing because it is not working in lonely system
and its products are not unique so it has not only to follow the prices which are being charged by
the competitors but try to charge lower prices as compared to competitors.

3. PLACE

Place ensures that the product is available at the right time, right place and in an effective and
efficient manner. For METRO Place decisions are important due to two aspects. First, they require
long term commitments in buildings and facilities, which means that mistakes can be difficult to
correct. Second, these decisions require large financial investments and can have a large impact
on operating costs and revenues. Poor location can result in high transportation costs, insufficient
supplies of raw materials and labor, loss of competitive advantage and financial loss.

4. PROMOTION

METRO cash and carry promotes its product not intensive marketing campaign because their
customers are just retailers and professionals so they just opt that media sources which directly hit
target market.

They are promoting by the following ways

7
Billboards: METRO place billboards at the outside of the store.

Newspaper: METRO advertised in newspaper such as Jang and The Nation to create awareness.

Catalogues: METRO provides products and new offers catalogue not only at the stores but also
mail it to the customers and members.

Personal selling: METRO has staffs who visit restaurants and professionals to convince them and
create interest to purchase products for the use of their business.

Social Networking

Much has been made of the emergence of social networking as a modern phenomenon especially
amongst the young. However it is increasingly the case that modern legislation is preventing
suppliers from communicating with potential customers unless the customer has already agreed
(Telephone Preference Service, Corporate Telephone Preference Service, Mail Preference Service,
Data Protection Act etc). This clear Catch-22 is forcing suppliers down two, increasingly
expensive and unproductive routes.

Media advertising

Social Networking (Facebook, Twitter, LinkedIn, and Myspace etc.) offers a new route to potential
customers that is currently still open to businesses. Although these routes are not free, they are still
novel enough to attract attention and be considered as a user friendly/personal route to market.

However these routes are not without challenges of their own. The time and human resource
required creating and, even more importantly, maintaining these pages on a daily or hourly basis
is a considerable investment in its own right.

E.G. A Facebook page is free. Facebook adverts operate on a pay per click basis (similar to
Google). Although these adverts can be targeted to specific job titles the actual number of people
who will be targeted is still small as many Facebook users do not include their job title in their
profile. A combined approach of Twitter and Facebook seems to work well and have little external
cost. IE Twitter an update (Windows 7 etc.) and link it to Facebook. This gives two opportunities
to get your name out to interested parties without massive expense.

8
 PRIVATE BRANDS

 Authentic Clothing Company

Authentic offers you a wide range of of a consistent, reliable quality clothing. As this
apparel brand, Authentic serves all the customers.

 Fairline
Fairline is basic price entry brand with a product range that covers Non-Food items for
everyday needs providing reliable quality with the best possible prices.

 Fine Dreaming
Fine Dreaming is our value brand across the core needs of near-to-food requirements for
Traders. Fine Dreaming stands for high quality & fair prices.

 Fine Food/Fine Life

Fine Food/Fine Life product range encompasses a complete range of everyday use
commodities, confectionery, processed food and frozen food.

 H-Line
H-Line is a focused range of near and Non-Food products that collectively offer “solutions”
for Hotels and Guest houses. This “guest - contact” range provides our professional
customers with an all round table and hotel room related solution with a professional and
modern look. Under the H-Line brand our customers find everything to make their
customers comfortable: from the hotel room e.g. bed linen and towels to the breakfast room
e.g. cutlery and crockery.

 HoReCa Select
HORECA Select provides top quality Food and Non-Food solution driven products for
professional kitchen use. Outstanding ingredients and carefully controlled production
process ensure excellent quality and results. Developed together with their professional

9
 customers, all products of the HORECA Select range guarantee high performance at a price
considerably lower than comparable branded products.

 Tarrington House
Tarrington House encompasses a broad assortment of Non-Food products to suit your
requirements.

Home Textile: Foldable Mattress, Bed Sheets, Tableware.

Household: Laundry Baskets, Ironing Boards, Cloth Dryers, Colanders, Sieves, Pots, Pans,
Serving Articles.

Home Electric: Small Electric Appliances, Rechargeable Fans.

 Lambertazzi
Lambertazzi products are designed to give you an affordable, good looking luggages.

 Sigma
This high-performance brand is valuable for all our customers and covers everything they
need in their office. Quality, functionality and performance are the hallmarks of this brand.
Whether it is packaging or posting, working or organizing, accounting or calculating.

Different Analysis of METRO

Here we will discuss different analysis of METRO including,

1. SWOT Analysis
2. PEST Analysis
3. TWOS Analysis

10
 4. Competitor Analysis

(SWOT Analysis)
SWOT analysis is a strategic planning tool that can be used by Metro Cash and Carry managers to
do a situational analysis of the organization. It is a useful technique to map out the present
Strengths (S), Weakness (W), Opportunities (O) & Threats (T) Metro Cash and Carry is facing in
its current business environment.

The Metro Cash and Carry is one of the leading organizations in its industry. Metro Cash and
Carry maintains its prominent position in market by critically analyzing and reviewing the SWOT
analysis. SWOT analysis an immensely interactive process and requires effective coordination
among various departments within the organization such as – marketing, finance, operations,
management information systems and strategic planning.

The SWOT Analysis framework helps an organization to identify the internal strategic
factors such as -strengths and weaknesses, & external strategic factors such as - opportunities
and threats.

Strengths of METRO

As one of the leading organizations in its industry, Metro Cash and Carry has numerous strengths
that help it to thrive in the market place. These strengths not only help it to protect the market share
in existing markets but also help in penetrating new markets.

Strengths of METRO are,

 Highly skilled workforce through successful training and learning programs. Metro Cash
and Carry is investing huge resources in training and development of its employees
resulting in a workforce that is not only highly skilled but also motivated to achieve more.

 Reliable suppliers – It has a strong base of reliable supplier of raw material thus enabling
the company to overcome any supply chain bottlenecks.

11
  Strong Brand Portfolio – Over the years Metro Cash and Carry has invested in building a
strong brand portfolio. The SWOT analysis of Metro Cash and Carry just underlines this
fact. This brand portfolio can be extremely useful if the organization wants to expand into
new product categories.

 Superb Performance in New Markets – Metro Cash and Carry has built expertise at entering
new markets and making success of them. The expansion has helped the organization to
build new revenue stream and diversify the economic cycle risk in the markets it operates
in.

 Strong dealer community – It has built a culture among distributor & dealers where the
dealers not only promote company’s products but also invest in training the sales team to
explain to the customer how he/she can extract the maximum benefits out of the products.

 Strong Free Cash Flow – Metro Cash and Carry has strong free cash flows that provide
resources in the hand of the company to expand into new projects.

 Successful track record of developing new products – product innovation.

 Automation of activities brought consistency of quality to Metro Cash and Carry products
and has enabled the company to scale up and scale down based on the demand conditions
in the market.

Weaknesses of METRO

Weakness are the areas where Metro Cash and Carry can improve upon. Strategy is about making
choices and weakness are the areas where an organization can improve using SWOT analysis and
build on its competitive advantage and strategic positioning.

Weaknesses of METRO are,

 Limited success outside core business – Even though Metro Cash and Carry is one of the
leading organizations in its industry it has faced challenges in moving to other product
segments with its present culture.

 The profitability ratio and Net Contribution % of Metro Cash and Carry are below the
industry average.

12
  Days inventory is high compare to the competitors – making the company raise more
capital to invest in the channel. This can impact the long-term growth of Metro Cash and
Carry

 Not very good at product demand forecasting leading to higher rate of missed opportunities
compare to its competitors. One of the reasons why the days inventory is high compare to
its competitors is that Metro Cash and Carry is not very good at demand forecasting thus
end up keeping higher inventory both in-house and in channel.

 There are gaps in the product range sold by the company. This lack of choice can give a
new competitor a foothold in the market.

 Need more investment in new technologies. Given the scale of expansion and different
geographies the company is planning to expand into, Metro Cash and Carry needs to put
more money in technology to integrate the processes across the board. Right now, the
investment in technologies is not at par with the vision of the company.

 Organization structure is only compatible with present business model thus limiting
expansion in adjacent product segments

Opportunities for METRO

Like every firm has opportunities to grow further in a new market, metro have also opportunities
to grow further and increase its market share and worth.

Opportunities for METRO are,

 Economic uptick and increase in customer spending, after years of recession and slow
growth rate in the industry, is an opportunity for Metro Cash and Carry to capture new
customers and increase its market share.

 New environmental policies – The new opportunities will create a level playing field for
all the players in the industry. It represents a great opportunity for Metro Cash and Carry
to drive home its advantage in new technology and gain market share in the new product
category.

13
  New customers from online channel – Over the past few years the company has invested
vast sum of money into the online platform. This investment has opened new sales channel
for Metro Cash and Carry. In the next few years the company can leverage this opportunity
by knowing its customer better and serving their needs using big data analytics.

 The new taxation policy can significantly impact the way of doing business and can open
new opportunity for established players such as Metro Cash and Carry to increase its
profitability.

 Decreasing cost of transportation because of lower shipping prices can also bring down the
cost of Metro Cash and Carry’s products thus providing an opportunity to the company -
either to boost its profitability or pass on the benefits to the customers to gain market share.

 Lower inflation rate – The low inflation rate brings more stability in the market, enable
credit at lower interest rate to the customers of Metro Cash and Carry.

 The market development will lead to dilution of competitor’s advantage and enable Metro
Cash and Carry to increase its competitiveness compare to the other competitors.

 Government green drive also opens an opportunity for procurement of Metro Cash and
Carry products by the state as well as federal government contractors

Threats METRO Facing

Lot of external factors affect company to grow smoothly in a market and those factors are threats
for a company

Threats that METRO facing are,

 Rising pay level especially movements such as $15 an hour and increasing prices in the
China can lead to serious pressure on profitability of Metro Cash and Carry

 Liability laws in different countries are different and Metro Cash and Carry may be
exposed to various liability claims given change in policies in those markets.

14
  As the company is operating in numerous countries it is exposed to currency fluctuations
especially given the volatile political climate in number of markets across the world.

 No regular supply of innovative products – Over the years the company has developed
numerous products but those are often response to the development by other players.
Secondly the supply of new products is not regular thus leading to high and low swings in
the sales number over period of time.

 Intense competition – Stable profitability has increased the number of players in the
industry over last two years which has put downward pressure on not only profitability but
also on overall sales.

 The company can face lawsuits in various markets given - different laws and continuous
fluctuations regarding product standards in those markets.

 Shortage of skilled workforce in certain global market represents a threat to steady growth
of profits for Metro Cash and Carry in those markets.

 Rising raw material can pose a threat to the Metro Cash and Carry profitability.

(PEST Analysis)
PEST analysis (political, economic, socio-cultural and technological) describes a framework of
macro-environmental factors used in the environmental scanning component of strategic
management.

Political Environment

The following are the factors regarding the Pakistani government which influences the workings
of METRO Cash and Carry.

15
The political instability is the major factor of low foreign investment in the Pakistan. Same is the
case with METRO. The management always keep in mind the threat of change in government.
They analysed several times before entering this country and before doing further expansion in
this market.

Inauguration of Lahore branch was conducted by former Prime Minister Shaukat Aziz and the new
government can create certain problems for METRO.

The tax rebates and certain other favours given by the previous government can be set a side by
the change in the government.

The ineffective control of every government regarding the prices of products and inflation creates
certain problems because customers’ demands product at the same and low price while in such
conditions prices changes rapidly.

Any political activity regarding labour and political matters strikes creates hurdles in the way of
the Metro’s success.

Economic Environment

Economical changes of Pakistan effects METRO Cash and Carry in such a way that the interest
rates charged by banks can not only restrict the spending power of customers but also in the fund
raising for the company. Interest Rate is about 14.5% on deposits and 17% on loans.

The rapid growth in inflation rate is the major factor influencing the spending power of buyer.
Inflation rate in Pakistan is about 9.3% yarely while inflation rate of 3rd quarter was 21.5%
approximately.

Devaluation of money and increasing exchange rate discouraging the investors to invest in
Pakistan’s market.

Policies of state bank can be influenced by the existing political party and government and every
person either business or a separate citizen entity holder has to follow these rules govern by the
State bank.

Switching cost matters a lot in the buying decision behaviour of customer. The switching cost can
be higher in terms of time and the distance competitively the other specialized whole sale markets.

16
Unfair distribution of wealth is the key factor of purchasing and also the major characteristic of
third world countries. A person’s spending only shifts from necessaries to luxuries with the
increase in money it does not increase his spending.

Socio-Cultural Environment

First of all, society and the culture of Pakistan and its markets is not as much adapting to change.
They do not easily accept the new arrivals in any field of the product or services. So, METRO
Cash and Carry for cash kind of product still there is not a huge market. Although departmental
store concept is already good here but it will take time to understand and develop the kind of
shopping culture.

The habit of Pakistanis is to buy goods from the nearest market on the day to day basis and needs.
They do not purchase the whole month grocery and other things. Secondly, they prefer to buy on
credit. And to pay in instalments.

Technological Environment

METRO Cash and Carry, a huge departmental store chain more than in 29 countries is already
using the up date and high-tech mechanism for the shifting of products and for other purposes.
They have not too much threat of any technological changes. Customer’s card is already in use
along with the entry with that card, precautionary measures like cameras are installed for safety
reasons.

They have not any proper or main manufacturing which requires machines so their use of machines
is just the cranes and folk lifters and such that machineries. The companies intend to organize
farmer operating grading, sorting and packaging center to enhance quality and shelf-life.

(TWOS Analysis)
The Strength-Weaknesses-Opportunities-Strength (TWOS) analysis helps managers of
METRO to develop four types of strategies,

17
  SO (strengths-opportunities) Strategies

 WO (weaknesses-opportunities) Strategies

 ST (strengths-threats) Strategies

 WT (weaknesses-threats) Strategies

Strength and Opportunity

 The rise in population has opened up more markets which metro can target to increase in
their market share
 They can take advantage to technological advances to manage their operations more
efficiently
 Utilize managerial competencies for aggressive marketing strategy to attain competitive
advantage

Weakness and Opportunity

 They should focus more on advertisement
 By using new technology, they can create a strategic fit between sales and inventory
 Failing to conduct further market research into new market can give an advantage to
competitors

Strength and Threats

 Metro need to make sure they need to maintain their good reputation and customer loyalty
by meeting consumer demand

18
  Metro should sponsor different events to enhance their brand image in market

Weaknesses and Threats

 Develop good partnership with internet consumer to increase their sale
 They should keep on innovating their products
 They should spend more money on their R & D

(COMPETITOR ANALYSIS)

There is one major competitor in Pakistan’s whole sale industry and that is Makro.

Both use Newspapers, internet, pamphlets and booklets because it contains detailed introduction
about the business and its products. Both Metro and Makro are in a wholesale business

 Both Spent not much on Marketing campaigns

 Metro believes in the concept of in source while Makro outsources its food production
 They both have teams for customer service
 Metro has trained staff while Makro has just hired sales person
 Metro has proper shelf placement of products whereas Makro does not
 Metro follows the same layout all over the world and Makro does not
 Metro places its inventory in its store and warehouse, while Makro places inventory online
store it does not has any warehouse
 Metro hire logistics for transportation
 Metro focus on proper shelf placement of products while Makro has not practicing this.

Omni Channel Retailing At Metro Cash & Carry

For Your Family & Home
METRO Cash & Carry Pakistan provides a one-stop solution for all your procurement needs.

19
Fulfilling all family needs under one roof, METRO Cash & Carry strives to create a better
shopping environment for all.

METRO is the preferred shopping destination for Grocery, Crockery, Toys and Kids items and
many more ensuring the availability of all national and private brands under one roof. In order to
facilitate the families and individuals Metro serves with

 Safe, consumer friendly and pollution free environment

 Free huge parking facility
 Complete solution under one roof
 Fresh and hygienic perishable products
 Strict adherence to Quality Control
 And a passion to satisfy the consumers to the fullest.
METRO Cash & Carry offers a wide range of products under one roof covering a large spectrum
of your daily household needs ranging from grocery, fruits & vegetables, fresh meat & poultry to
electronic appliances. METRO Cash & Carry sells high quality and original products that renders
reliability and durability to its customers. METRO Cash & Carry provides products at attractive
prices so you experience the difference that we bring in optimizing your home supplies budget.

General Store & Kiryana

At METRO Cash & Carry understand your professional needs and accordingly adapt different
ranges of assortment. Its product range, services and prices are especially tailored to its traders
specific requirement. Traders will find everything they need to guarantee business success. There
is no compromise on quality, range and value for money which is METRO's trademark!
METRO Cash & Carry offers a wide range of products under one roof covering a large spectrum
of the Trader needs ranging from Grocery, Beverages, Dairy, Coffee Tea & Snacks, Sweets &
Chocolates, to Detergents & Toiletries.METRO Cash & Carry sells high quality and original
products that renders reliability and durability to its customers which in this case are the
traders.METRO Cash & Carry provides products at attractive prices so you experience the
difference that we bring in optimizing your supplies budget.

Restaurants & Caterers.

At METRO Cash & Carry understand your professional needs and accordingly adapt different
ranges of assortment. Its product range, services and prices are especially tailored to your specific
requirement. Hoteliers, restaurateurs and caterers will find everything they need to guarantee
business success. There is no compromise on quality, range and value for money which is
METRO's trademark !

20
 METRO Cash & Carry offers a wide range of products under one roof covering a large spectrum
of the HoReCa needs ranging from Fresh Meat & Poultry, Fruits & Vegetables, Fresh Fish, Dairy
& Delicatessen, Deep Frozen, Beverages, Grocery, Coffee & Tea, Tableware, Glassware,
Kitchenware, Electronics & Appliances to cleaning solutions. Fulfilling the needs of the
Restaurants & Caterers.
METRO Cash & Carry provides products at attractive wholesale prices so you experience the
difference that we bring in optimizing your supplies budget.

Industries & offices

Metro states that Coupled with our industry knowledge and expertise we are able to oer a solution
to your requirements that delivers against your business aims and objectives. Whether you're a
multi-site corporation or a sole proprietor, when you shop from METRO Cash & Carry Pakistan,
we guarantee you will -find all that you are looking for.
METRO Cash & Carry offers a wide range of products under one roof covering a large spectrum
of your daily household needs ranging from grocery, fruits & vegetables, fresh meat & poultry to
electronic appliances. METRO Cash & Carry sells high quality and original products that renders
reliability and durability to its customers.METRO Cash & Carry provides products at attractive
prices so you experience the difference that we bring in optimizing your home supplies budget.
 One Stop Solution
METRO Cash & Carry offers a wide range of products under one roof covering a large spectrum
of the Trader needs ranging from Grocery, Beverages, Dairy, Coffee Tea & Snacks, Sweets &
Chocolates, to Detergents & Toiletries.
 Transparency of Invoice
METRO Cash & Carry provides you the comfort of mind to manage your supplies budget through
a clean and transparent invoicing mechanism.
 Delivery
To make it more convenient for our customers, METRO Cash & Carry provides delivery to
customer’s door step with a minimum purchase value.
Quality & Originality: METRO Cash & Carry sells high quality and original products that
renders reliability and durability to its customers.
Attractive Prices: METRO Cash & Carry provides products at attractive prices so you experience
the difference that we bring in optimizing your supplies budget.

Services

21
Bakery

METRO has a unique in-store live baking facility, which produces one of the finest quality
products in the country. Our Bakery is HACCP International Quality Standards certified, and
operates on the ISO 22,000 Food Safety System.

METRO simply does not compromise on quality and standards, so be ensured that the product you
buy shall not disappoint you! Working with the slogan of You & METRO, they know what their
customers demand. Therefore, they make sure that they not only provide you with the best of the
products but also take care of the health and hygiene matters.

Metro Bakery has a vast product range of about 140 articles, ranging from buns, bread, croissants,
cookies, pizzas and other snacks. Metro chefs specialize in creating delicious treats for all
occasions, be they celebration cakes or tasty treats for day to day indulgence.

Delivery services

Providing utmost convenience to its customers has always been the pulse of METRO Cash &
Carry.they states that We understand that our customers are loyal to us and, therefore, we need to
facilitate our customers to the best of our possibilities.

The Delivery Services at METRO are one step ahead for customer convenience. Their Delivery
service is yet another service that sets METRO apart. To make it more convenient for our
customers, METRO Cash & Carry provides delivery to Professional Customer’s door step with a
minimum purchase value. Be it your shop or your restaurant, you can simply avail METRO's
delivery service to save your precious time.

One stop solution

METRO Cash & Carry offers a wide range of products under one roof covering a large spectrum
of your personal/business needs ranging from grocery, confectionery, fresh meat & poultry, fruits
& vegetables, household, stationery, electronics & appliances to IT & Technology.
Metro states
This is the reason why we have dedicated customer segments and sections for our customers. Our
staff is trained to provide tailored guidance to all our customers. No matter if you are a restaurant
owner, if you run a grocery store, or your merely shop for your household, our assortment meets
all your requirements.
We at METRO, truly believe in making METRO Cash & Carry the ultimate choice for shopping
experience. We are a universe for all.

22
Parking deck

METRO has a dedicated parking space for its customers. A facility that can accommodate up to
100 - 150 cars at a time. The sole purpose behind this humungous parking space is facilitating the
customers.

Stores in Pakistan are :

Airport -LHR
Ravi road -LHR
Thokar -LHR
Model town -LHR
Islamabad store
Faisalabad store
Safari -KHI
Stargate -KHI
SITE Area –KHI

Online Shopping & Promotions

Metro Cash & Carry now provides Online Shopping in Pakistan. Years of Offline Expertise is now
here to serve you Online

Metro Cash & Carry Pakistan has been serving in Pakistan with quality and genuine items for over
a decade now. Whatever you want, we have it States Metro. To ensure you get the best with the
least of hassles, last year, they launched Grocery delivery services in Lahore and Islamabad, this
year, they are back with everything else, from phones to stationery, from fashion to beauty, they
will deliver everything, everywhere.
Metro Online is here to provide online shoppers in Pakistan the same amount of commitment on
quality right at Your doorstep. They take great pride in offering the best experience of online
shopping by ensuring that you only receive genuine products. Rest assured, you will not have
anything that comes from a Grey Market, is Used, is Defective, is Damaged. They will not give
you anything that is of low quality, they will never give you anything that they wouldn’t use
themselves and they will surely never provide anything that you might want to return later.

With a number of marketplaces that sell the very same items from third party vendors with no
control on quality or originality of the product, Metro will provide you items that have been bought
directly from authorized dealers and suppliers themselves on a highly discounted rate.

23
Our Goals

‘Our moto is to dazzle you with an experience that is SUSTAINABLE, items that are
ORIGINAL, GENUINE and RELIABLE, shipping that is FASTER than light [figuratively of
course ;)] and an assortment that contains all CRUCIAL elements of all your buying needs.’

 What quality and reliability others can only test and promise you, we have proven over the
course of last 10+ years. The best experience awaits you.

 Our assortment range includes Genuine products from Multiple Categories

Small and Big Electronics for Home, Living, Kitchen

Mobile Phones, Laptops and Accessories
Fashion for Men, Women, Kids and Babies
Beauty, Makeup and Haircare
Home, Office and School Stationery
Growing E-Commerce Market in Pakistan

 In Pakistan, the online sales are soaring year on year, we know you don’t want to visit the
local stores in the hot weather. Most of Pakistan now understands the benefit and ease of
online shopping, we are here to take this up a notch.

 We aspire to be the one stop solution for all your needs, be it food, grocery, electronics or
clothing. Providing a quality experience and a solid returns policy, in no time, we aspire to
be the number one choice of Pakistan’s online shoppers.

Multiple Payment Methods

Online Payments

They have a wide range of online payment options, whether it’s just a credit or debit card or it’s
your Jazz Cash mobile account, they have you covered.

Cash on Delivery (COD)

Don’t want to pay online, pay via cash instead. They can come collect right on your doorstep.
Metro states that Your ease is our key performance indicator.

Metro cash & carry provides different promotions by metro post, web exclusive offers and top
deals.

24
 CSR Activities

Metro describes its understanding of sustainability as

We believe that society is facing unprecedented economic, environmental, social and cultural
challenges. But we are also convinced that sustainability is the key to transforming these
challenges into opportunities. We see these as both a responsibility and an opportunity to shape
our business in harmony with society’s requirements and those of our customers, employees,
investors and partners.

Our direct contacts with millions of people further reinforce the need of responsible corporate
management. Consumers, employees, investors and business partners place their trust in us all
over the world, and contribute to our business success, every day. In order to strengthen the
commitment of stakeholders to the METRO Group, we hold regular meetings with them és make
efforts to take their needs into consideration during our CSR activity.

During the last years, they entered into long-term collaboration with non-governmental
organizations. Their main partners include the Hungarian Food Bank Association and Hungarian
Red Cross, and they maintain a good relationship with several other organizations at the county
seats, which they intend to further reinforce in the future. Our environmental report describes how
they apply CSR to make their business processes more and more efficient, thus to increase the
benefit of the stakeholders.

METRO Cash & Carry has firmly embedded the principle of sustainable economic activities in its
core business. They also consider environmental and social aspects as part of all entrepreneurial
decisions and processes. Their commitment to sustainability is divided into four fields of action.

Supply chain & products

Energy and resource management
Employee and social affairs
Engagement and dialogue

For supply chain and products its includes

High-quality, Products, Animal Welfare, Local Suppliers and Producers development.

For energy and resource management its includes

Increasing Environmental Awareness, Well-designed Waste Management Policy,
Shopping bags, Reduction of Carbon Footprint– Environmental Awareness, Energy Saving
Programme, Lighting Heating, Earth Hour, Reduction of Noise Emission.

25
Policy on Anti-discrimination, Policy on Older Employees in the MetroGroup / Part-Time
Employment in Old Age Trainee Programme, Sports Day and Social Events Loyalty Programme,
Employee Satisfaction and many more are the main tasks performed by Metro for positive and
sustainable relationship with its customers.

Interview with The Metro Representative

We visited Metro Cash & Carry Thokar Naiz Baig Lahore at 27 Dec 2018. As we entered there
was a huge parking area which can accommodate a large number of cars at a time. Having shopping
carts at the entrance such that you can grab one and make your purchases. The representative of
metro was very welcoming. He gave us a tour of facility which comprised of different sections
according to the products like electronics, garment and food and non-food items. Upon asking the
main product or the revenue they generate from was the fresh food section containing fresh fish
and meat vegetables and fruits. There are large number of restaurants in Lahore that buy their daily
food stock from metro. Such that metro doesn’t only provide them but also delivers to the hotels
or restaurants making easier for respective owners. While on other hand they provide wide variety
of products there no product that you want and it’s not in the store You Name They Got It.He
further told us that the profit margins on these products vary from the categories like for the
electronics houseware food items garments etc. We noticed that there was a very symmetrical
product assortment and display as well. There was separate section for each kind of product. While
which company’s product get maximum shelf space and visibility depends on the terms and
conditions like how much the company is paying them etc.Inorder to make the shopping
experience good for the customers there are number of employees to guide you so that you can
make best and relevant purchase. Metro also give training sessions to such employees which are
held regularly after some time. Training of such empolyees and that od upper management can in
the store or at the headquarters which is located in Karachi.
Metro deals with both B to B and B to C transactions.in which the business to business buying is
much greater and also the main operation of metro. As businesses can purchase things in bulk from
metro. Metro is also providing loyalty or membership cards to both its businesses customers and
final customers on which they can avail various discounts and perks. Inventory management at
metro is mainly computerized such that the stock levels and transactions are recorded. The
software at metro can tell us about the stock levels but don’t not trigger at the time of low stock in
such case traditional approach is used. Metro makes reports and it also includes the competitive
pricing.

As per a retail strategy they don’t have one or specific. They use different types of retail strategies
at the time upon asking He said that

26
We target businesses and customers traders small retailers hotels offices universities as well like
providing there products at the canteens and cafes. We approach them in different ways.

Recommendations

Metro is doing great per the analysis of Pakistan’s market but it should extend its operation in other
cities of Pakistan. Metro is successfully working in Sindh and northern Punjab it should also start
operating in southern Punjab.

27