401 Games As A Successful Business

836 WordsMar 30, 20174 Pages
401 Games has a wide variety of customers due to extensive amount of diverse games that are offered in their store. When analyzing 401 Games as a whole, we decided on two determining variables and one qualifying variable for the best target market. We chose buying behavior and loyalty status as our two determining variables. For our qualifying variable, we selected location. We broke buying behavior down into two categories, entertainment and competition. The entertainment segment includes board games and card games. This would target both married couples and families with children looking for fun, at home entertainment. The competition segment would include individuals who compete in different gaming tournaments like Magic. 401 Games’…show more content…
401 Games has very competitive prices for games compared to other retailers, which helps customer’s loyalty. Another big aspect of loyalty is word of mouth to recruit new customers, which 401 Games has currently. A loyal customer, not only comes back and continues to buy from the store, but is more likely to tell their friends too, thus keeping the business thriving. Next, we selected entertainment over competition for buying behavior. Although 401 Games sells magic and items for gaming competition, the best-selling items are for entertainment. According to Exhibit 1: Breakdown of Sales by Product Category, 401 Games top sellers include board games with 30% of total sales and card game sets with a total of 20% of sales, which are both in the entertainment category. They together make up $300,000 worth of revenue. Adults, couples, or families with children will be the ones purchasing good board games or card games to play on game night for entertainment, especially families with children because it is cheap family fun. Lastly, we picked individuals who prefer in-store shopping over online. At 401 Games, we hire individuals and train them to be the experts on all games. We want customers to come in and look at different games. Customers can ask our employees if they have questions, which is a benefit that is not online. Customers also have the ability to come in
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