FIELD VISIT

1 .BACKGROUND OF THE COMPANY

One of the businesses that common in Malaysia is convenience store. Convenience store or
Mini market can be defined as a store that sells food and sometimes other goods, but is not as big
as a supermarket. In Malaysia, they are usually small retail outlets that offer a variety of
everyday products and essentials.

Some popular convenience store chains in Malaysia include 7-Eleven, myNEWS.com, and
FamilyMart. These stores sell a wide range of items, including snacks, beverages, toiletries, and
even hot food items. They are known for their convenience, as they are usually open 24/7,
making them accessible to customers at any time of the day or night.

The largest chain of convenience store in Malaysia is known as 99 Speedmart. We can see this
convenient store at every place, usually at residential area. By having 1,750 outlets , this show
that 99 speedmart is the most successful convenience store in Malaysia

Founded by Lee Thiam Wah, who now known as King of mini market is born with a physical
disability but have strong passion to be successful entrepreneur. Thus, his story inspired all
Malaysian to become successful and to pursue their passion even thought there is various
obstacles in their life.

Originally, in 1987 Speedmart was sown in the form of a traditional "mom and pop" sundry
mart called Pasar Raya Hiap Hoe, in Tepi Sungai, Klang. Then, through the year, along with
transformation process in management operation the mart expand around Malaysia and become
the most successful mini market in Malaysia.

99Speedmart focused on selling daily product to meet customer need. Along with their slogan
“Near n Save” this mart has many outlets that can be access and offered wide range product at
the affordable price. Such as example, at Subang Bestari area, there are total 10 outlets in 5 km
radius.
Our company logo reflects our identity as a retail company with “99” resembling the shape of a
shopping trolley and “Speedmart” reflecting our commitment to focus on delivering quality
goods and good customer service.

Our name is a promise to our customers that we will strive for perfection and efficiency,
ensuring that our customers can shop in an environment that is accessible and welcoming.

The number 99 is selected as in the Chinese culture it represents the longevity and continuity.

The company focuses on selling only basic and daily products to meet and meet customer needs.
The company's philosophy includes providing customers with quality products. Therefore,
everything in Speedmart's 99 stores is full of groceries. There are more than 3,000 varieties of
items.

1987

The seed of 99 Speedmart was sown in the form of a traditional "mom and pop" sundry mart
called Pasar Raya Hiap Hoe by our founder, Mr. Lee Thiam Wah in Tepi Sungai, Klang.

This humble beginning has allowed Mr. Lee to gain firsthand knowledge and insights into the
sundry retail market through personal interactions with customers and suppliers.

1992-1998

The very first store that bore the name "99" opened in Klang Utama. Pasar Mini 99 represented
the very first step Mr. Lee took to realize his vision of building an integrated chain of mini-
marts.

With sheer dedication and hard work, Mr. Lee expanded Pasar Mini 99 to eight other outlets in
Klang.

2000

In line with the turn of the century, Mr.Lee seeked to rebrand pasar mini 99 by introducing an
intensive expansion strategy geared to help the chain increase market penetration and market
share. The now familiar 99 Speedmart brand was born with the opening of a new store at Batu
Belah, Klang. The change in name represents more than just a rebranding exercise. It entails the
introduction of a fresh approach in interior as well as exterior set up to enhance the visibility of
the shop and the comfort of shopping.
2. MAIN OBSERVATION FROM THE FIELD VISIT

2.1 The operation of the company

Frequent Restocking: Speedmart 99 is known for frequently restocking its shelves, ensuring that
customers can find what they need when they visit. This contributes to customer satisfaction and
loyalty.

Franchise Model: Speedmart 99 operates on a franchise model, allowing individuals to invest in

and run their own stores. This has enabled rapid expansion across Malaysia as franchisees are
motivated to make their stores successful.

Strong Branding: The brand has built a strong presence in Malaysia, becoming a recognizable
name associated with affordability and convenience.

Competitive Promotions: Speedmart 99 often runs promotions and discounts on various items,
attracting price-conscious consumers and encouraging larger purchases.

Adaptability: Speedmart 99 has shown adaptability by adjusting its product offerings to cater to
local preferences and needs. This flexibility in product selection helps them stay relevant to their
customer base.

Local Appeal: Being a Malaysian brand, Speedmart 99 has an understanding of local culture and
preferences. They can tailor their offerings and marketing strategies to resonate with the
Malaysian market.
Community Engagement: Some Speedmart 99 stores engage with their local communities by
supporting events or initiatives, creating a sense of goodwill and connection with customers.

2.2Effectiveness of the operation

Does not have a large shop which leads to less labour. However, they can still maintain a higher
productivity for their businesses.

Although they have less manpower, but this can help to decrease the overhead cost which is
ongoing expenses for operating a business. When they save the cost from that, they will pass it to
the customers which is why they can sell cheaper goods and products to their customers.

One of the secret to 99 Speedmart’s success is related to their strategic location. Most of their
outlets are located near neighbourhood centers or near housing areas. 99 Speedmart promotes the
‘Near n Save’ concept to save time for their customers to get their goods and products.

2.3 Problem

Speedmart 99, like any other business, faces various challenges in its operations in Malaysia.
Some of the key challenges include:

Competition: The convenience store market in Malaysia is highly competitive, with several local
and international chains vying for market share. This competition can put pressure on pricing and
require ongoing efforts to differentiate the brand.

Inventory Management: Efficient inventory management is crucial for a convenience store.

Overstocking or understocking can lead to financial losses or customer dissatisfaction.
Consumer Preferences: Consumer preferences and shopping habits can change over time.
Speedmart 99 must stay attuned to these changes and adapt its product offerings and services
accordingly.

3. RECOMMENDATIONS

To address these challenges successfully, Speedmart 99 must employ effective strategies in areas
such as supply chain management, marketing, customer service, employee training, and financial
management. Additionally, staying agile and responsive to changing market conditions is crucial
for long-term success in the convenience store industry.

4. CONCLUSION

Overall, Speedmart 99's success can be attributed to its focus on affordability, convenience,
quality, and adaptability to local market conditions. It has effectively capitalized on the
convenience store concept to cater to the needs of Malaysian consumers.

REFLECTIVE REPORT

WHITE FLAG
As one of the largest mini mart chains in Malaysia, 99 Speedmart portrays a friendly image to
the public and customers. They always offers campaigns to help others who are in need in the
Malaysia society.

For instance, during the COVID-19 pandemic, 99 Speedmart offers the White Flag Campaign for
those in need. This is a vey good way to improve their reputation and image as a lot of people are
suffering during this pandemic.

They provide 1000 packages of necessary foods and groceries daily for those who are needing
help. This kind action is definitely a huge factor for 99 Speedmart to become successful business
as people will surely willing to trust and buy from a generous and kind mart that help others.

NO PLASTIC BEG

On the 20th of April, 99 Speedmart, represented by Ms.Ng Lee Tieng (Public Relations Director)
and several members of the management presented a mock cheque of RM500,000 to Datuk
Bandar Klang, Y.A.D Dato' Setia Diraja Dato' Abdul Ghani Bin Pateh Akhir at the MPK
building. The purpose of the donation was to rehabilitate and facilitate for the clean-up of the
Klang River in the local district.

99 Speedmart dengan kerjasama Kementerian Sumber Asli, Alam Sekitar dan Perubahan Sekitar
telah merasmikan Program Pelancaran MADANI Reusable Bag & Kempen Tanpa Beg Plastik
yang telah disempurnakan oleh YB Tuan Nik Nazmi Bin Nik Ahmad, Menteri NRECC. 99
Speedmart juga telah menerima Sijil Pengiktirafan Pencapaian Platinum GreenRE Standard yang
disampaikan oleh YBhg Datuk Haji Muztaza Bin Haji Mohamad kepada En Lee Thiam Wah,
Pengarah Urusan 99 Speed Mart Sdn Bhd. Pada majlis itu juga, 99 Speedmart telah
memperkenalkan MADANI Reusable Bag yang boleh didapati dengan harga RM2 serta faedah
seperti berikut : 1. Sekiranya rosak, pudar, koyak atau putus, boleh tukar yang baru secara
percuma di mana-mana cawangan 99 Speedmart 2. Sekiranya pelanggan pulangkan semula
MADANI Reusable Bag ini, RM2 akan dipulangkan semula kepada pengguna. Diharapkan
dengan inisiatif yang dijalankan ini dapat membantukan dalam mengurangkan pencemaran
disamping dapat menjaga alam sekitar dengan lebih bersih.
RAHMAH KEMPEN

Majlis Perasmian Kempen Jualan Rahmah 99 Speed Mart Sdn Bhd telah disempurnakan oleh
YB Datuk Seri Salahuddin Bin Ayub, Menteri Perdagangan Dalam Negeri dan Kos Sara Hidup
bertempat di PPA1M Bukit Jalil. Kempen Jualan Rahmah ini yang berlangsung selama 1 bulan
bermula 23 March sehingga 22 April 2023 menawarkan sebanyak 150 item yang terlibat
potongan harga bermula 5% ke 30% dimana semua cawangan di Semenanjung Malaysia terlibat
untuk kempen ini.

Simbolik Penyerahan Bakul Rahmah telah disempurnakan oleh YB Datuk Seri Salahuddin Bin
Ayub, Menteri Perdagangan Dalam Negeri Dan Kos Sara Hidup. 99 Speed Mart Sdn Bhd telah
menyumbangkan sebanyak 20,000 bakul rahmah dengan nilai keseluruhan RM 1 juta yang akan
disampaikan kepada golongan memerlukan melalui Yayasan Rahmah Malaysia.