Morris K Goodwill Case Study

Topics: Marketing, Goodwill Industries, Consumer theory Pages: 5 (967 words) Published: April 22, 2015
Goodwill Case Study
University of Maryland University College
Marketing Principles 310

Keisha V. Morris
November 9, 2014

Founded in 1902, by Rev. J. Edgar Helms, Mr. Helms described the vision of Goodwill Industries as “a provider of employment, training and rehabilitation for people of limited employability, and a source of temporary assistance for individuals whose resources were depleted.”1 Since that time Goodwill industries has strived to maintain Mr. Helms’ vision and provide a service to all people and work towards banishing poverty and exploitation. There are three main types of Goodwill customers. The first type of customer is part of the critical mass of shoppers, the early adopter and the late adopter. The early adopter makes the decision to shop at the Goodwill stores often and look for the ‘ultimate bargain’, the ‘ultimate treasure hunt’ and current trends. The early adopter wants to be the first to have availability to new merchandise and has no issues with searching for and shopping for used goods and looks forward to the experience Goodwill offers. Then, there is the late adopter who is a recurring shopper at Good will stores, but does not shop as often as the early adopter. The late adopter does not mind locating and purchasing items that are not on trend. Both the early and late adopters are considered part of the critical mass. The critical mass consumers are the consumers which help to maintain the concept, venture, mission and sustainability of Goodwill services. The last consumer is the consumer that really doesn’t care about the experience, what Goodwill offers or the mission and just wants a good deal and to purchase durable products. Each of these customer types is looking for a bargain or trend when shopping. The early adopter finds it most important to locate the newest on trend items. The late adopter finds the value offered most important. Last, but not least, the consumer that really does not care finds most important the deal and the durability of the products. Goodwill’s value proposition is “used merchandise at deeply discounted prices”2 and maintains the value proposition for all customer groups. Providing value to Goodwill customers is of top priority. There are measures, such as lateral moves of merchandise between stores, in place in order to provide every customer with the same price points, perception level and experience. There are four types of factors that affect consumer behavior when buying. These factors are cultural, social, personal and psychological and they all affect the behavior of consumers when making the decision to shop at Goodwill. The cultural factor is based on the neighborhood which the Goodwill resides. The items are most likely to sell based on the culture of that neighborhood and what the consumers to that area gravitate to because of familiarity. The social factor is where people see different products differently because of their knowledge and/or experiences within their demographic. The personal factor is the consumer that times their shopping experience in order to get to the best goods first. The last is the psychological factor, this factor is how buyers perceive an items’ value and how the life of the item can be extended. This, I believe, is the factor that most strongly affects consumers’ purchase decisions. Most consumers view Goodwill, and any other retailer offering second-hand items, as unpleasing, dingy and dirty. Once an item is ‘used’ most consumers see no use for that item and/or just do not like purchasing and using second-hand products. Goodwill strives to change that perception that many consumers have towards their products. There are factors in the marketing environment that contribute to consumer perception and lack of business for Goodwill and significantly impacts performance, such as the economy and technology. When the economy is not positive and is moving slow...

Cited: Goodwill Industries International, Inc. “Our History”,, Web 9 Nov 2014
Goodwill, “Understanding Consumer and Business Buyer Behavior”, Web 9 Nov 2014
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