Case Study: The Unique Value Proposition of 1Store in Saudi Arabia

Depending on what business you are in, this is for you just to think wider and broader than your specialized area. If you are in retail, enjoy the case study’s concepts!

1Store offers a lifestyle-oriented shopping destination for young, mid-to-high income, urban Saudi singles and families, combining a distinctive range of products from five core household categories with unparalleled customer care to create the most convenient, enjoyable shopping experience.

By lifestyle-oriented, 1Store is responsive to how the target market integrates different products, namely high-tech items, into their daily lives, social interactions, and family habits. A shopping destination means a place that shoppers come not just to pick up a few specific items and leave, but to purchase desired goods across categories, attend entertaining events, and enjoy the experience of browsing.

Having a distinctive range of products means carrying some products in each category that competitors do not, including a few exclusive items only available from 1Store. Five core household categories refers to electronics and computers, video games, televisions and home cinemas, home appliances, and services. By unparalleled customer care, 1Store offers the absolute best customer service available in Saudi Arabia for all of its core categories.

The 1Store Retail Solution

1Store is a retail solution for consumers because it serves as a convenient shopping and service destination that caters for their lifestyle. It is a giant retail store that combines the size of a mass merchandiser with the variety and scope of a department store.

The following are 1Store’s current product categories:

1. Electronics and Computers

2. Televisions and Home Cinemas

3. Home Appliances

4. Home Improvement Goods

5. Gardening and Leisure Supplies

6. Toys and Games

In 1Store’s present layout, Televisions and Home Cinemas are on the first floor, with everything else on the second floor. Of these items, electronics, computers, video games, televisions, home cinemas, and home appliances are considered central to 1Store’s retail strategy. Gardening items, home improvement supplies, outdoor goods, and toys are considered value-added offerings. For example, parents might come in to buy a new refrigerator, and their child could pick out a toy on the way—a simple way to boost value for the family.

1Store carries at least 20% of the competition’s best-selling items in each department. In certain areas, like the kitchen appliances section of the Home Appliances area or the mobile section of the Electronics and Computers area, 1Store offers full product coverage. In the Home Improvement Goods section, 1Store stocks SACO’s top 2,000 best-selling items. 1Store’s Television and Home Cinema section carries about 90% of televisions sold in Saudi Arabia and the Gardening section covers about 50% of what specialized gardening stores carry. In terms of toys, 1Store also has the top 30% of toys stocked by Toys R Us.

Although 1Store has a wide range of items, the store’s user-friendly, color-coded design lets consumers easily find the items that they need.

What are you doing differently in your business to give customers the experience they desire when shopping or receiving service from you? If you were to go shopping today, which mall or shop would you use and why?

Food for thought!

To your success


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