5/2/13 BSA/310 Frequent Shopper Program Kudler Fine Foods created a frequent shopper program which gives customers incentives to continue shopping there. Their rewards are determined by how much is spent on groceries and how frequent purchases are made. “Frequent Shopper Program proves the ability to gather data for marketing programs and run promotions for the loyal customers.” (Frequent Shopper). Web based advertising would allow for major cost reduction and provide helpful and effective consumer awareness about said products. In order for Kudler Fine Foods to develop a functioning frequent shopper program, it must track and monitor consumers shopping behavior.
The school tokens are a good sales promotion because to get this sales promotion you have to buy products from the store to a certain price. This will not just be benefitting Tesco it will be benefitting the school, which you are giving the token, too whether that’s new computers, new sports equipment. These are two good ways to be able to offer customer the best value for money and another marketing objective in working directly with suppliers to make long-term business relationships based on strict quality and price
Benjamin Biddle CRJ 325 9/3/2013 The Wal-Mart film was quite disturbing. Has honestly made me re-think where exactly I do my shopping from now on. “The High Cost of Low Prices” is such a suitable title for this documentary for a number of reasons. We do not always see the repercussions of what these big businesses do to the communities they pretend to enrich and support. What Wal-Mart actually costs the community as opposed to what they give back is substantially off kilter.
Social Responsibility Company Q seems to currently have an economic attitude toward social responsibility. An economic model is based on the traditional concept of business. If the business is providing a quality good or service, showing a profit and providing jobs then it is successful. Company Q is more concerned with profits and lost revenues then maximizing a positive impact. They have shown this by closing a few stores in a higher-crime-rate area because they were losing money, by only offering a very limited amount of health-conscience and organic products because they are high margin items and by declining to donate to the local food bank because of worries over lost revenues.
Recession is two consecutive quarters of negative economy growth. During recession, there is low level of demand because people don’t have much money to spend. So they look for cheaper products that they can afford. At this time businesses confidence gets low as people aren’t demanding for their products so they would have to cut out their productions as they don’t need to make as much products. At this time they would need to provide cheaper price to attract their consumers and to increase the demand.
Focusing on one market or region at a time, WFM should roll out an incentive program for loyal consumers that offer price breaks every time they shop. In addition emailing customers with coupons, classes, demonstrations etc. would increase brand loyalty. This would increase operational excellence and efficiency by identifying exactly who WFM customers really are. This recommendation incorporates customer intimacy, focus, concentrated growth, and market
A few issues that they are facing is trying to compete with a larger chain that is opening across from the current New Sundbury store and online retailers. Skadurz Pro is not able to sell the same volume as either of their competitors so they can not offer the same discounts. The core products that are being sold are skateboard and snowboard equipment that unfortunately has a small profit margin. While the clothing items do have a higher profit margin sales are limited
Threat of new entrants: The threat of new entrants is high. The major barriers for a startup to enter the industry are the economies of scale and the distribution channels necessary to be profitable. Due to the relatively little differentiation among companies in the industry, customers tend to visit the closest and most convenient store instead of sticking to a particular one, which makes wide distribution of the business quite essential for the fast food restaurants. Threat of substitutes: The threat of substitutes is also high. Firms in the fast food industry and home meal replacements have to continuously innovate to maintain various product differentiations and high quality of food and service in order to stand out against competitors.
Grocery stores are in competition with smaller markets like Kudlers and Whole Foods. If the brand name grocery stores like Ralphs and Vons did not offer organic and specialty items, the market structure of Kudler Fine Foods would differ. This market structure positively affected Kudler because there was no barrier to entrance within the quality foods market. What negatively affects the company with this market structure is that they are compared to big companies who are able to supply some of these rare items at a more competitive price. One of the marketing strategies that ensure the company of long-term profitability is the personal relationship built with the customer base.
Buyers purchase from multiple sellers at once, such as customer stores. Risk of entry to potential competitors: This is the risk of someone new coming into the business markets. Barriers to entry Brand loyalty: This means that if you have a good brand, people will be loyal to that particular brand and always purchase products from that