Question by Todd J: Explain the “marketing strategy” differences between:?
the finish line vs. footlocker
the body shop vs. bath & body works
dillards vs. macys
american eagle vs. aeropostale
kohls vs. j c penneys
basically, i have to explain how stores that are similar market different ways and explain what kind of people are attacted to those stores. if anyone knows anything that could help me out, i would greatly appreciate it! thanks a lot!
Answer by endorphin_boy415
From a marketing perspective, I doubt there are serious differences between the marketing strategies with the companies you’ve listed.
If you were to define the target customers for these stores, you’d probably find them to be quite similar. The one notable exception, however, would be Dillard’s and Macy’s. (The typical Dillard’s customer is probably much more affluent and a bit older than the typical Macy’s customer.) Therefore the marketing strategies are probably somewhat similar.
I think a better example of similar type stores with more divergent marketing strategies would be Dania Furniture and IKEA. Both sell European style furniture and in many cases, the buyer has to assemble the pieces at home. The shopping experience for each store is quite different though. At Dania, the customer is allowed to go from one nicely appointed showroom to the other. The pace is slow and leisurely. IKEA, on the other hand, features more of a warehouse type of environment. And while IKEA also offers nicely designed displays, the environment at an IKEA store is much more fast paced, with shoppers all moving in one direction through the store. The customer profile is a bit different too. The Dania shopper is probably a bit more affluent, perhaps a bit better educated and skews a little older. The IKEA shopper is more budget conscious, younger, and probably more concerned about the environment (that’s just the vibe I get).
All this said, the marketing strategy for each store is going to be different. Dania is going to emphasize the showroom aspect of their stores and the quality of their furniture. IKEA is going to emphasize the value of its products. The look and feel of the advertising is going to be different too. Dania will be slightly more upscale and sophisticated in its approach. IKEA – speaking to a younger audience, is going to be more fun, trendy, and relaxed.
As far as your assignment goes, in order to get an accurate gauge on who shops at each, you have to take a look at several things:
PRODUCTS: Which store carries the better brand names? Which store carries the better products?
PRICING: Does one store offer lower prices? If so, what is the evidence of that? One’s ability to afford higher prices can be dictated by several factors:
Age – is the buyer “old enough” to afford more expensive products. Income – how much disposable income does the consumer have? Are they still living at home? Do they have families to support?
Occupation. Better jobs pay better money. The ability to have a better job is often dependent upon Education. So, in general, a store that sells higher priced merchandise than it’s competitor is probably trying to reach a more affluent, better educated consumer who is at an age where they have more disposable income (they either have no kids or their kids are grown and out of the house). These are just generalities, but they may give you a place to start.
ENVIRONMENT: Does one store offer a nice shopping environment? It costs money to build nice displays, and that will be reflected in the store’s pricing. What about the music that is played in the store? What does that tell you about who shops there? How about the store’s staff? Is one younger than the other? Why do you suppose that is?
If I were you, I’d focus on just one of the sets of stores you’ve identified. And, if you don’t mind my suggesting so, I might recommend that you try using my Dania vs. IKEA example, as I think the differences between the stores is a bit more apparent.
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