Lancer Gallery Analysis
Jenny Lapushner
Marketing Strategy
Case 1: Lancer Gallery
Article Summary:
Lancer Gallery LLC is a company that has specialized itself has as a reputable dealer in authentic artifacts from Southwestern United States, South American and African. Their reputation over the past several decades increasingly grew amongst the public through various pieces they placed for sale, as they were carefully verified for authenticity. Eventually, Lancer Gallery was able to expand their product lines to include replicas that were created by craftspeople who crafted them similarly to the original. Despite, the new product line, replicas contributed to a small portion of the business. Financially, Lancer’s gross sales are roughly $35 million, with a constant rate increase of 20 percent annually over the past 10 years.
Lancer has expressed to face supply and demand challenges - as they were expanding sales with specialty dealers and exclusive department stores, they lacked inventory because obtaining product for South America was difficult, and politics in Africa was contributing to limiting supply. In addition to the aforementioned reasons of supply challenges, Lancer encounters the increase of competitive threats in the marketplace and regulatory restrictions on exportation of certain artifacts.
The competitive threat has forced Lancer to add 3 new buyers to their team to hunt for the best pieces in a fight against 11 major competitors, putting them in a new position of in which they have lost their bargaining edge. They deal with competitors on many fronts, according to the firm’s National Sales Manager. They handle competition from the retail level and have to tackle selling againg inauthentic products.
Lancer was contacted in 2010 by a mass-merchandise store chain with the possibility of carrying its full line of authentic goods. The contract was outlined as follows: 1. Goods would be purchased at 10 % below the company’s existing prices 2. The initial
Marketing Strategy
Case 1: Lancer Gallery
Article Summary:
Lancer Gallery LLC is a company that has specialized itself has as a reputable dealer in authentic artifacts from Southwestern United States, South American and African. Their reputation over the past several decades increasingly grew amongst the public through various pieces they placed for sale, as they were carefully verified for authenticity. Eventually, Lancer Gallery was able to expand their product lines to include replicas that were created by craftspeople who crafted them similarly to the original. Despite, the new product line, replicas contributed to a small portion of the business. Financially, Lancer’s gross sales are roughly $35 million, with a constant rate increase of 20 percent annually over the past 10 years.
Lancer has expressed to face supply and demand challenges - as they were expanding sales with specialty dealers and exclusive department stores, they lacked inventory because obtaining product for South America was difficult, and politics in Africa was contributing to limiting supply. In addition to the aforementioned reasons of supply challenges, Lancer encounters the increase of competitive threats in the marketplace and regulatory restrictions on exportation of certain artifacts.
The competitive threat has forced Lancer to add 3 new buyers to their team to hunt for the best pieces in a fight against 11 major competitors, putting them in a new position of in which they have lost their bargaining edge. They deal with competitors on many fronts, according to the firm’s National Sales Manager. They handle competition from the retail level and have to tackle selling againg inauthentic products.
Lancer was contacted in 2010 by a mass-merchandise store chain with the possibility of carrying its full line of authentic goods. The contract was outlined as follows: 1. Goods would be purchased at 10 % below the company’s existing prices 2. The initial