Case Study on Click Frenzy

Topics: Retailing, Online shopping, Sales Pages: 8 (2422 words) Published: January 23, 2013
E-business Marketing Case Study on Click Frenzy

Student number: 42363330
Student name: Yuanyuan Ma

table of content

While our lives are influenced by developed technique, increasing retailers find that online retailing websites become more welcome. The online sales offer retailers not only numerous potential clients but also multiple products supporters. Few retailers even transfer their attention from physical marts to the retailing websites. However, excessive needs continue challenging those websites in various fields, such as customers’ service, quality of goods and technical capability.

This assignment discusses a case about Click Frenzy, which underwent heavy clashes in online sales activity. The report may consider from organizers’ view, participating retailers’ view and the customers’ view respectively. Furthermore, Click Frenzy’s E–business models will be analysed and few private recommendation probably be suggested in the end. As the case just happened for few weeks, the justification and identification are subjective with development of the event.

What is Click Frenzy?
Click Frenzy occurred in November 2012, which was expected to be “the sale stops a nation”, crushed disappointedly within moment after the whole sales event began (Nicholson 2012, para. 2). The heavy crush forced shoppers turn to websites of those participating retailers, thus most of those retailers such as Myer and Target collapsed under numerous visiting in following few hours after launching (Nicholson 2012, para. 2).

What was worse, as efficient publicity, Click Frenzy’ fail attracted strong attention from mass media. And some impacted participating retailers and clients announced that they might ask for refund because a barrel of money as advertising fees had been received by Click Frenzy which failed in its guarantees eventually (Nicholson 2012, para. 2).

How and why did this idea originate?
It is obvious that Mr. Arnott, who is the director of Click Frenzy, tried to make a case like the previous successful sales called as Cyber Monday held by in U.S before. Indeed, Click Frenzy is the Australian version of Cyber Monday, which collected a number of products that support shoppers searching through as brands, categories and functions (Kidman 2012, para. 1). The organizers initially planned this sales event as they proposed to elevate brand recognition by drawing plenty of shoppers in the event. With considerable confidence, Click Frenzy organizers hoped to create a new record on Australian online sales and even expected that at least ten million clients would enjoy shopping there (Kidman 2012, para. 1). The experts even seemed Click Frenzy as a signal that sluggish retailing industry in Australia could be promoted by it. What retailers were involved and what were their motivations? Majority of well-known retailers in Australia participated in Click Frenzy sales, such as Myer, Westfield, Target and Dick Smith, all prepared heavy discounted commodities to the sales event, ranged from 20 to 80 percent. Then other brands like Clinique, Saba, Priceline, Bras N Things and The Iconic, which hold that people usually have strong needs on shopping during Christmas holiday period, also participated into this sale ceremony for stimulate the shoppers in advance (Nicholson 2012, para. 4). The determination of retailers to expand sales volumes could be proved by alluring discounts. In case of Big Pond Music: the company spokesman declared that any albums in its download categories would be sold in half prices (Nicholson 2012, para. 4). Using the e-business models discussed in the first 2 weeks, what types of model do you think click frenzy fits best? The e-business model of Click Frenzy academically called B2B2C, which combined B2B and B2C could be identified a collaboration process theoretically creates mutually beneficial service and...
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