Basics of Marketing
MN & A – 2
Source - http://www.mplans.com/used_sports_gear_retail_marketing_plan/executive_summary_fc.php
Used Sports Gear Retail Marketing Plan
Nine Lives Outdoor Gear Consignment Shop
Nine Lives--An Outdoor Clothing & Gear Consignment Store is a business in Eugene, Oregon. Nine Lives will be run by Jim Gearboy, a veteran of the outdoor industry. Jim is very familiar with the outdoor community in Eugene and has leveraged his regionally-specific industry insights into a niche store that has no direct competition but incredible demand. Through the use of a selection of used goods not replicated in the entire city, superior personal customer attention, and reasonable prices, Nine Lives will capitalize on this incredible opportunity. Jim has secured a location that offers very good foot traffic and easy accessibility. Jim will efficiently lay out the store to increase sales and give the customers the upmost in attention. This attention to detail, combined with Jim's passion and knowledge will make this store profitable quickly.
Nine Lives is a start-up company. Marketing is critical to its success and future profitability. The store offers an extensive selection of used outdoor gear and clothing in a consignment arrangement. Nine Lives also has a limited selection of manufacturers closeouts. The basic market need is reasonably priced outdoor clothing and gear. Nine Lives is meeting this market need by offering primarily used items, discounted off the normal retail prices. Market Summary
Nine Lives possess good information about the market and knows a great deal about the common attributes of our most prized and loyal customers. Nine Lives will leverage this information to better understand who is served, their specific needs, and how Nine Lives can better communicate with them.
| Participants w/limited resources
| Bargain hunters
| Market Needs
Nine Lives is providing its customers a wide selection of used outdoor gear and clothing at reasonable prices through a consignment-style arrangement as well as closeouts purchased from manufacturers and distributors. * Selection: A wide range of different clothing and gear options. * Accessibility: The store is open for extended hours and is easy to browse. * Customer service: The patron will be impressed with the level of attention that they receive. * Competitive pricing: All items will be discounted relative to new retail prices. Market Trends
The market trend for outdoor gear and clothing is the ability to purchase products at discount prices. One way the trend has played out is the business model of selling closeout and last year model items. This trend has occurred in the last few years and it is a variant of the T.J. Maxx type business model where items are sold at discount prices. Examples of this business model in the outdoor industry are the websites of sierratradingpost.com or rei-outlet.com. These sites only sell discounted, new, outdoor gear. Nine Lives is different in that the bulk of their merchandise is used. This matters less as outdoor gear is typically based on utility instead of fashion.
In 1999, the outdoor gear industry achieved over $9 billion in sales. This market growth can be attributed to several factors: * The recent health conscious trend in America that has fueled outdoor activities. * The increased popularity of outdoor activities among young people who recognize it as an inexpensive way to entertain themselves. * The increased...
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