Give examples of needs, wants, and demands that Build-A-Bear customers demonstrate, differentiating each of these three concepts. What are the implications of each on Build-A-Bear’s actions?
Identification of customers’ needs, wants and demands is an important strategy to any marketing department. This is because a firm will be in a position to offer products that march the customers’ needs, wants, or demand leading to their satisfaction. Maxime Clark is aware of the above fact. Through interaction with the customers in her stores, she has collected ideas on their needs and demands.
This has enabled her to produce products that guarantee customer satisfaction leading to annual increases in the store’s profits. The store does not only offer children a variety of teddy bears to choose from, but also provides them with the experience to learn and create their own customized teddy bears. The store is also composed of child-friendly assembly lines made up of various stations i.e. “choose me”, “stuff me”, “stitch me”.
This provides children with a fantasy world where they interact and satisfy their social needs. In the end, they create a need for affection and belonging based on the memory and experience they have when they visit the store. Customers want to gain knowledge on how to customize their products and express their delight or concerns on the same. The store has created an interactive website (BuildABearVille.com) where customers can access information on their products and freely express themselves. Customers demand authority over the teddy bears they purchase and the store has given them the power of customization.
Describe all facets of Build-A-Bear’s product. What is being exchanged in a Build-A-Bear transaction?
BuildABear has concentrated on continuous improvement of the quality of its products rather than explore other business ventures. The firm’s initial product was making teddy bears but this changed over time. In line with the store’s objective, it has created a fantasy world where kids are treated to an experience of a kind. Therefore, in addition to the product, the store also sells experience to the kids. This facet has enabled kids to develop an attachment to the initial product of the company. Apart from making teddy bears, the store also gives the customer a unique opportunity to make the teddy bears themselves basing on their desires.
This has created a sense of control among the store’s customers which has resulted in loyalty to the store’s products. Moreover, the extensive involvement of their customers in the personalization process through their website ( BuildABearVille.com ) has created a platform for interaction with the customers. In addition to getting a teddy bear, a customer can play games and do other activities on this site. Having fun on the store’s website is considered a new product of the store.
Which of the five marketing management concepts best describes Build-A-Bear Workshop?
BuildABear has utilized the product marketing concept. The concept dwells on the idea that customers or consumers will purchase the products that offer quality, performance, and improved features. Maxime Clark collects ideas from kids about their needs and uses these ideas to improve the company’s product. She achieves this by putting herself in the customer’s shoes, interacting with them in her stores, and communicating with them frequently through emails and her website.
The store has now created a genuine fantasy world that is child friendly and is made up of several work stations that give kids an amazing experience. As a way of improving on their product, the store has also given a chance for customers to personalize their products. The customer can improve on the store’s product or he/she can create his/her product to match his/her requirements. Creating an interactive website for the store is also seen as a way of improving the quality and performance of the product. The website improves service delivery to customers by serving millions of customers at the same time. These improvements on the store’s initial product have contributed positively to the profits of the store.
Discuss in detail the value that Build-A-Bear creates for its customers
BuildABear offers a variety of added values to its customers. Unlike their competitors, the BuildABear store designs unique products that are very marketable. They provide customers with freedom of expression by allowing them to create their products in their ways. This has been viewed as a move to empower their customers. It has enabled their customers to get a more attractive, quality, and customized product.
Their products are also priced cheaply at $ 25 as compared to their competitor’s $ 50 to $ 100. The store has also added value to its products through exploiting technology. The website (BuildABearVille.com) provides extra services to the customers who want to have fun. They can play games and do other related tasks in the store. Lastly, the store has created a healthy and vibrant relationship with its customers by listening and providing superior products to them. These values have enabled the store to stand out among its competitors.
Is Build-A-Bear likely to be successful in continuing to build customer relationships? Why or why not?
I think BuildABear will be successful by continuing to build its relationship with the customer. This is because Maxime Clark (CEO) is aware of the fact that understanding customers is important for the success of any firm. She thus devotes her energy to understanding their needs and improving on the products to satisfy the consumer’s needs.