Background
Jarir Bookstore is a brand that has established itself as a supplier of stationery, creative products, and books in Arabic and English. The brand has an extensive range of products and provides online and offline shopping options. Brand-Based Comparative Approaches can be used to determine how much consumers like Jarir Bookstore products in a blind test. Marketing-based comparative Approaches can be used to track brand dynamics and reasons for consumer preference (Keller & Swaminathan, 2020). Conjoint Analysis can complement the previous approach and establish consumer behavior patterns in response to changes in the products provided by the brand.
The best solution for Jarir Bookstore would be to choose marketing-based comparative approaches because, unlike others, it takes into account the reasons for choice based on brand dynamics. Brand-based comparative approaches, on the other hand, provide only a narrow view of consumer behavior and do not promote dynamic price sensitivity (Keller & Swaminathan, 2020). Conjoint Analysis also offers a number of advantages, such as parallel evaluation of multiple brands and identification of company attributes. However, these methods are less consistent with reality, so it seems reasonable to use Marketing-Based Comparative Approaches.
Factors Affecting Brand Performance
Jarir Bookstore has a rigorous marketing strategy to reduce costs and maintain product differentiation. The key factors influencing brand effectiveness are consumer behavior, competitive environment, and industry dynamics (IPSOS, 2023). Considering these factors, any organization can choose a sound approach to managing its marketing campaign. Each of these factors determines whether the volume of products offered in the market and the quality of a particular brand are sufficient to maintain high brand value.
For Jarir Bookstore, consumer behavior is one of the most significant factors. Depending on the marketing campaign’s conduct, consumer behavior changes, leading the brand to either lose its market position or maintain and grow it (IPSOS, 2023). Jarir Bookstore’s target audience is vast, but its subcategories behave differently. The brand is tasked with simultaneously managing the moods and attitudes of many different groups, each with its own needs, so assessing their behavior enables it to take rational action.
Jarir Bookstore operates in a highly competitive and dynamic environment. The organization’s competitors are other bookstores and stores with stationery/creative materials. The highly competitive environment has forced Jarir Bookstore to focus on retaining brand value (Garrido-Vega et al., 2021). The competitive environment has enabled the brand to develop new strategies and manage its product range, thereby creating a competitive advantage (Farida & Setiawan, 2022). For a long time, the brand has been recognized as one of the strongest in the Arab region, so it can be concluded that Jarir Bookstore has adapted to the competitive environment.
Finally, the dynamics of the industry have changed significantly over the last ten years. Jarir Bookstore must follow trends and strive to get in on them, which is a significant factor in influencing their business (Jovanović, Krstić & Milanović, 2021). The business-to-business sales industry is constantly evolving, and the challenge for a brand is to assess the extent to which new trends impact the business and whether they can be followed as a whole. Choosing to eschew trends can harm a brand’s popularity, but it can maintain its authenticity and history and thus continue to attract consumers.
The Nature of the Impact on the Brand
It is found that the present consumer behavior has become more confident and economically prepared. Due to good internet traffic and the Kingdom’s support for medium-sized businesses and consumers, online shopping and delivery systems have become more present. Consumers have come to value digital ways of comparing brands and buying online. Jarir Bookstore is already catering to this feature and using online commerce to keep consumers interested in their brand (IPSOS, 2023). However, the organization should remember that the abundance of advertisements on the website and the lack of up-to-date software updates will reduce the user experience.
Currently, the industry market is quite large, so the competitive environment in which Jarir Bookstore exists is favorable for it. In a competitive environment, developing new marketing strategies and product distributions is intense, and following trends keeps the brand alive. The competition promotes dynamic brand development, and the risks of losing position for Jarir Bookstore are reduced (Farida & Setiawan, 2022).
At the same time, following the dynamics of the industry can be difficult. The present dynamics are such that retailers offer a wide range of products with similar characteristics. The industry is moving towards universality, so there is a risk of losing brand personality. Although Jarir Bookstore aims to expand its assortment and offer as many products as possible, including large appliances, these tactics may prevent it from honoring its values and mission. The brand should be discouraged that its corporate behavior is no longer relevant.
Recommendations
Given current market trends, Jarir Bookstore should adopt a unified strategy for marketing behavior and business risk mitigation. The brand objective should, in the first place, be to enhance consumers’ experience of communicating with their products through innovation (Jovanović, Krstić & Milanović, 2021). The integration of innovation positively affects brand performance because consumers get something new and thus become interested (Jovanović, Krstić & Milanović, 2021). The strategy should embrace e-commerce innovations and make shopping enjoyable and convenient (Shin & Chub, 2022). As the e-commerce market grows, promoting innovation should be at the forefront of the overall brand value strategy.
The strategy should encompass increasing brand awareness despite already existing popularity. At the same time, Jarir Bookstore has long held its position as the most stable brand, able to maintain consumer interest. However, the new strategy should consider the risks of an environment where competition is increasing due to development (Garrido-Vega et al., 2021).
The strategy must grasp the principles of increasing competitive advantage and achieving new market performance, not only by reducing prices (Farida & Setiawan, 2022). Other principles include improving product quality, distribution, and supplier relationships, and increasing product availability. Opening new stores can attract new consumers, and expanding beyond the Arab region can be considered a long-term strategy to increase brand awareness.
Finally, it is worth considering the dynamics of industries in terms of consumer power and identifying which factors most influence behavior. Šostar and Ristanović (2023) point out that consumer behavior may depend more on their parameters, so Jarir Bookstore must maintain ways to meet consumer needs. As customer basket sizes increase, the brand needs to develop a way to manage consumers’ desires. In particular, one can resort to a one-stop shopping strategy by offering promotional schemes and customized plans.
Increasing Brand Value
The proposed strategy will positively impact brand value by addressing all risk areas simultaneously. In terms of buyer power, the strategy will make the website experience comfortable, thereby satisfying consumer needs. The strategy will consider customers’ needs and wants, increase brand awareness, and position the brand as the target audience’s first choice. Integrating innovation will ensure the dynamic development of production and sales processes, creating a strong link between technology and sales. Promoting e-commerce will improve the relationship between brand connectivity and positive customer experience. The strategy has risks in the form of the unsuccessful opening of new outlets. However, these risks can be mitigated through timely gap assessments and corrections.
References
Farida, I., & Setiawan, D. (2022). Business strategies and competitive advantage: The role of performance and innovation. Journal of Open Innovation: Technology, Market, and Complexity, 8(3).
Garrido-Vega, P., Sacristian-Diaz, M., Moyano-Fuentes, J., & Alfalla-Luque, R. (2021). The role of competitive environment and strategy in the supply chain’s agility, adaptability and alignment capabilities. European Journal of Management and Business Economics, October.
IPSOS. (2023). KSA primary consumer sentiment index. Game Changers.
Jovanović, M., Krstić, B., & Milanović, S. (2021). The impact of brand value on market performance indicators of high-technology enterprises. Facta Universitatis, Series: Economics and Organization, 1(317).
Keller, K. L. & Swaminathan, V. (2020). Strategic brand management: Building, measuring, and managing brand equity (5th ed.). Pearson.
Shin, D., & Chub, H. (2022). The entry of online retailers and productivity dynamics in the retail trade sector. Economic Letters.
Šostar, M., & Ristanović, V. (2023). Assessment of influencing factors on consumer behavior using the AHP model. Sustainability, 15(13).