Case Study
Project #1
Short Case #1: Bed Bath & Beyond’s (BB&B) Plan for Growth
1. Explain how Bed Bath & Beyond practices the retailing concept. The retailing concept is comprised of customer orientation, coordinated effort, value-driven, and goal orientation. With a multitude of open stores the consumer becomes aware of the convenience in location, excellent store atmosphere, and an assortment of merchandise. BB&B’s customer orientation, customers can walk around the store without feeling pressured because they aren’t just looking around to purchase a specific product, they are there to seek a pleasant shopping experience.
2. Evaluate Bed Bath & Beyond’s growth plans. BB&B has three sources of growth: organic growth (getting more sales from the same space), opening new stores, and acquisitions. Same store sales growth is essential for any retailer’s growth plans. This involves increasing sales at locations, remodeling existing stores, and being open more than one year. BB&B’s new stores range in size from 30,000 to 80,000 square feet. This enables BB&B to pursue a number of real estate opportunities. Acquisitions enable BB&B to quickly grow, to diversify, and to reduce dependency on a given format. BB&B long-term goal is to operate 1,300 stores because now they are being able to operate in large business centers.
3. How can Bed Bath & Beyond increase the overall quality of its customer service?
Bed Bath & Beyond can increase its overall quality of customer service by:
• Developing and implementing customer service training programs
• Increasing its employee empowerment
• Training employees to do multiple tasks to reduce checkout lines
• Employing mystery shoppers to monitor customer service levels
• Rewarding excellence in customer service
• Offering service recovery programs
• Hiring employees who enjoy customer contact
4. Explain the concept of value from the perspective of a Bed Bath & Beyond customer. A Bed Bath & Beyond customer receives
Short Case #1: Bed Bath & Beyond’s (BB&B) Plan for Growth
1. Explain how Bed Bath & Beyond practices the retailing concept. The retailing concept is comprised of customer orientation, coordinated effort, value-driven, and goal orientation. With a multitude of open stores the consumer becomes aware of the convenience in location, excellent store atmosphere, and an assortment of merchandise. BB&B’s customer orientation, customers can walk around the store without feeling pressured because they aren’t just looking around to purchase a specific product, they are there to seek a pleasant shopping experience.
2. Evaluate Bed Bath & Beyond’s growth plans. BB&B has three sources of growth: organic growth (getting more sales from the same space), opening new stores, and acquisitions. Same store sales growth is essential for any retailer’s growth plans. This involves increasing sales at locations, remodeling existing stores, and being open more than one year. BB&B’s new stores range in size from 30,000 to 80,000 square feet. This enables BB&B to pursue a number of real estate opportunities. Acquisitions enable BB&B to quickly grow, to diversify, and to reduce dependency on a given format. BB&B long-term goal is to operate 1,300 stores because now they are being able to operate in large business centers.
3. How can Bed Bath & Beyond increase the overall quality of its customer service?
Bed Bath & Beyond can increase its overall quality of customer service by:
• Developing and implementing customer service training programs
• Increasing its employee empowerment
• Training employees to do multiple tasks to reduce checkout lines
• Employing mystery shoppers to monitor customer service levels
• Rewarding excellence in customer service
• Offering service recovery programs
• Hiring employees who enjoy customer contact
4. Explain the concept of value from the perspective of a Bed Bath & Beyond customer. A Bed Bath & Beyond customer receives