The Chapter 1 opener discusses Nike–a very successful sporting goods company. Recently though, Adidas has been the strongest of the “Big 3”–showing larger sales growth than Nike and Under Armour. This video and an accompanying short article “ Why Nike Is Down and Adidas Is Up .,” Fortune, June 12, 2017 provide insights. Chapter 1 introduces the concept of customer value. How might Adidas be providing more value to customers than Nike? What marketing tactics are Nike and its retailers using to fight back in the short-term?
Chapter 1 introduces the concepts of customer value the difference between the benefits a customer sees from a market offering and the costs of obtaining those benefits. As consumers place more value on experiences, some retailers are looking for ways to offer more than just the goods on the shelves. This article, “ Pizza, Parks, and Pet Spas: Shoppers Will Pay More for Retail Experiences, ” Bloomberg Businessweek, October 19, 2016) describes retailers that are delivering goods and experiences. Give three examples of experiential benefits that customers receive from retailers discussed in this article. How much more would you be willing to pay for each if it included each experience?
The website brandchannel has launched a series of short case study articles. A team of Yale MBA students evaluate a purpose-driven startup and offer some marketing strategy recommendations. In “ Hugo & Hoby – Quality, Sustainably Sourced Furniture, ” (April 27, 2016) you learn about a startup furniture maker that needs to move from making sustainably sourced furniture for friends and family to a wider market. Read this article and review the recommendations made by the team of Yale MBA students. What concepts from chapter 1 do you see demonstrated in this case study? Can you think of any other ideas for improving Hugo & Hoby’s [Continue Reading …]