Post on 28-Mar-2015
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Geospatial Applications and Research Lab (GRAC) Invited Speaker Address
David A. Bradbard & Barbara K. FullerWinthrop University
Auburn AlabamaApril 1, 2011
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Comparative Analysis of Merchandising Strategies for Best Buy Stores in Charlotte, NC
Using Geodemographic Analysis
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Best Buy Market Segments
The Focused, Active Younger Male Customer – Buzz
The Family Man – Ray
The Affluent Professional – Barry
The Suburban Soccer Mom – Jill
The Small Business Customer – BB4B
Alabama Median HH Income
Auburn Best BuyThree Mile Radius
Birmingham Best BuyThree Mile Radius
Prattville Best Buy Three Mile Radius
Hoover Best BuyThree Mile Radius
Alabaster Best BuyThree Mile Radius
Tuscaloosa Best BuyThree Mile Radius
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Best Buy Project
• Customer Segmentation– Demographic Characteristics– Psychographic/Community Tapestry Information – • Segments outlined in your Community Tapestry
Segmentation Report
– Customer Behavior Information • Retail Expenditure and Media Usage
– Team decision on market segment• Barry, Jill, Buzz, Ray or a combination and justification
for decision.
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Using Mediamark Research Inc (MRI) Data
Using data from Community Tapestry and MRI you can produce specialized reports for each trade area.
MRI conducts surveys to how individuals purchase/use various products and services. MRI provides index scores to show whether people are more or less likely to purchase/service than the average US household. A score of 110 indicates a household is 10 percent more likely to purchase/use a particular product or service.
In this project, students will look at spending characteristics in six areas: Appliances, Camera & Film, Electronics, Internet, Telephones/Services, and Video/DVD.
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Best Buy Store StrategyBased on Segmentation Data
Re-engineer the customer experience addressing the specific needs within the segment. • Preferred product assortment – based on the retail expenditure report you
should create charts (excel charts, graphs, etc.)using your index number to justify your merchandise choices
• Preferred store layout – this could provide layouts of the store, depth and breadth of merchandise assortment, and justification on placement of merchandise
• Tailored Services – Using the information from the appendix of your case on customer-centric service, outline the type, extent, and quality of customer service required for you segment. Be sure to refer to your market segment needs and differentiate their needs from the other Best Buy segments.
• How does your strategy fit within Best Buy’s overall brand strategy?
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Merchandising Options at Best Buy Stores
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Using the Marketing Strategy Report which identifies what media your market segment listens to, watches and reads,
develop a local promotion plan to reach your target audience (market segment). Discuss why you chose the specific media, why you think the ones you have chosen will be more effective than other types of media. Use the information that you obtain in your market strategies report and if feasible create charts/graphics that back up your recommendations.
Marketing Strategy for Promotion of the Store Locally
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Blakeney Mid TownCT Data for Two Best Buy Stores
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Blakeney Mid Town
Understanding Your Target Customer
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Best Buy Stores in Charlotte Area
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Competition in Mecklenburg County
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Competition in Mecklenburg County
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Competition in the Uptown Location
ESRI Community Tapestry
http://www.esri.com/library/brochures/pdfs/tapestry-segmentation.pdf
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Community Tapestry: Trendsetters
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Focus on Uptown Area: Trendsetters
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Uptown Tapestry Report
Segment 27: Metro Renters
Segment 22: MetropolitansSegment 23: Trendsetters
Segment 65: Security Set
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Community Tapestry: Green Acres
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Green Acres in Concord Mills and Kannapolis
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Concord Mills Tapestry Report
Segment 17: Green Acres
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Blakeney Store Overlay on Income
Barry - Affluent Professional Market Segment
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Blakeney Store Tapestry Segment
Segment 4: Boomburbs
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The Artist’s Collection
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The Artist’s Collection
San Francisco, CA
Charlotte, NC
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The Artist’s Collection
Madison Smith is a potential new business
owner that has proposed opening, The Artist’s
Collection, a retail store featuring a variety of
handmade goods, ranging from women’s jewelry to
one-or-a-kind pieces of art and is looking for a
location in Charlotte.
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The Artist’s CollectionSite Selection
Leasable Retail Space
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Leasable Property Reports
1) Business Proximity (Competition)2) Recent Construction Proximity3) Demographic Report4) Public Transportation
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Business Proximity(Competition)
18 Jewelry Stores
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Demographic Report
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Public TransportationReport
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Rubrics for the Artist’s Collection
Oral Presentation
• Organization• Presentation• Audience• Visuals
Written Paper
• Letter to Owner• Comparison Chart• Location Checklist• Trade Area Analysis• References• Appendix