Marketing Spotlight Mini Cases #5
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Zach Moyer
Marketing Spotlight Mini Cases #5
Avon The factors that contributed to Avon’s initial market success was their ability to give women an opportunity to do something outside of the home and their unique marketing tactic. Giving women jobs outside the home in the 1950s and 1960s was a major change, as women were mostly known to be housewives that took care of the home while the men of the house made all the money. This enhanced their initial market success because it allowed for their unique marketing tactic to happen. Their tactic was to use customers that wanted to sign up as representatives of the company that would go door-to-door, host parties, and do other things to sell Avon products. Avon’s value proposition for its customers, sales force, and stakeholders is that it provides high quality products from people that you know, not a random salesperson at your door. I do not think that personal selling is extremely viable in today’s society. Personal selling has changed as social media has grown. Rather than going door-to-door and hosting parties, people just post a picture on social media and hope to get responses from people that follow them. With the growth of social media, I see people trying to sell products for larger businesses all the time with little to no success. I think that personal selling just cramps up our social media feeds and people look at it as spam and do not look into the products. Progressive Insurance Progressive has done a good job with their television commercials to attract new insurance customers over the past few years. Keeping their commercials consistent in the cast, who has now become so familiar to millions of people, to changing what is happening in each commercial to keep them entertaining and relevant has been a big factor in maintaining their relevance and bringing in new customers. Progressive’s direct marketing campaign, which revolves primarily around Flo, has resonated so well with customers because the commercials that she appears in all have some comedy in them. Flo has also been around for a long time in progressive commercials, which resonates well with consumers because when they see her face they immediately think of Progressive Insurance. These commercials also show that the product that Progressive is selling is something tangible, rather than something abstract, as insurance is normally pictured. Their use of physical “insurance packages” helps to reinforce this idea and give prospective customers a better view of how Progressive looks at insurance. Progressive, to keep ahead of their competitors in the insurance industry, can also focus on putting good ads elsewhere, like on billboards, or through sponsoring certain events, which will keep their name at the top of consumers' minds when they are looking for insurance.
Zara I do not think that Zara’s model would work for other retailers. Zara’s model allows them to imitate and produce new styles of products within weeks, whereas other companies can take up to six months to create a new design. Releasing so many new clothing styles so quickly has created a unique placement for Zara, as other companies are not able to replicate this to keep their costs low with the models that they have. Zara can ensure successful growth in the global market that maintains the same level of speed and instant fashion by creating headquarters located in different parts of the world. This would allow them to keep up with trends in different countries, as not everywhere has the same fashion choices, while also allowing them to respond to different trends quickly and independently from other locations. One of Zara's biggest competitors is H&M, who has the same concept that Zara does. In order to build, enhance, and sustain its competitive advantage over them, Zara can market their brand more,
Zach Moyer
Marketing Spotlight Mini Cases #5
though it is hard to market cheaply when new products are released so quickly. Zara’s products are already of higher quality than those of H&M, but marketing their brand more can help them to build more of a competitive advantage over them. Popeyes Popeyes’ franchise model prior to them changing in the late 2000’s, was not very good. Following their bankruptcy, there were problems between the franchisees and management, which caused a group to storm into an executive board meeting and demand change. Their lack
of new product innovation had also caused less consumers to come into their restaurants, and their lack of national advertising did not bring any attention to the company. After they changed their model and started a national advertising campaign, they saw much more success. Some of
the key benefits of franchising for Popeyes is that they are able to spread nationally and draw in customers all over the country. One major flaw of franchising in general is that it can create a disconnect between the franchisees and upper management, which was shown previously for Popeyes immediately following their bankruptcy. I do not think that Popeyes should offer franchisees to decide their individuality for their menu, as customers that travel may want specific items that could possibly be removed if they were to have control over them. However there should be some leeway in the decorating of the restaurant, as different places appreciate different things, so aligning the design of the restaurant so that it suits the customers' liking could be beneficial for the sales of an individual franchise. Uniqlo
One of the key aspects of Uniqlo’s customer value proposition is that, rather than providing the world with new, fashionable, trendy clothes, they make sure that their clothing is accessible and universal. This creates value for customers that do not necessarily follow fashion
trends and cannot afford expensive clothing because it allows them to have an affordable outlet for their clothing needs. I do not think that Uniqlo should heavily rely on outsourcing to improve their flexibility and achieve economies of scale, but they can do a little more of it while still being mostly vertically integrated. They have found success in being vertically integrated, so staying the way that has made them successful seems like the right thing to do. Doing a little bit of outsourcing may benefit the company with some production costs, but it would be time consuming for staff members to go out to other production plants to make sure that the clothes that they are producing are of Uniqlo quality.The company's culture has had a great impact on providing a superior customer experience. Making clothes affordable and universal provides customers with products that they want to buy. That and great, consistent customer service allows customers to find the products that they are looking for.
Best Buy
Some of the key aspects to Best Buy’s success is their price-match guarantee, their response to showrooming, great customer service, and improvement of the Geek Squad. Their price-match guarantee, though it may be costly to them, has helped them to gain more customers and have them return. Their response to showrooming, which was to partner with big
brands like Apple and Microsoft, has allowed them to do a little showrooming of their own, which
gives some attention to the brands that are being showcased and to Best Buy for having products that consumers want. Their great customer service is a large part of their success, providing customers with a good, easy experience every time helps to create loyal customers. The improvement of the Geek Squad has allowed them to be competitive with other companies
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35
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Related Questions
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