Read and complete the case study titled “Wish You Wood Toy Store” that is on page 129 at the end of chapter 4. Read the entire case study and answer the 2 questions that immediately follow it. Submission Details: Please review the sample case study that is attached. This is the work of a previous student that scored fairly well on this assignment. Please do not copy this case study but use it as a guide to understand my expectations for this case.
Case Study: Wish You Wood Toy Store
Introduction:
Wish You Wood is a small, independently owned toy store located in a suburban area. The store specializes in selling high-quality wooden toys that are ethically sourced and eco-friendly.
Key Issues:
1. Increasing Competition:
Wish You Wood faces the challenge of increasing competition from online retailers and large chain stores that offer a wide variety of toys at competitive prices. This poses a threat to the store’s profitability and market share.
2. Declining Foot Traffic:
The store has experienced a decline in foot traffic, resulting in lower sales and customer interactions. This is primarily due to the convenience of online shopping and the lack of effective marketing strategies to attract customers to the physical store.
Analysis:
1. Increasing Competition:
The rise of e-commerce and the entry of big players in the toy industry have created a highly competitive market. Online retailers like Amazon offer convenience and a vast selection of toys, making it difficult for Wish You Wood to compete solely on product offerings or pricing. Large chain stores benefit from economies of scale, enabling them to offer lower prices while still maintaining profitability.
To address this issue, Wish You Wood needs to differentiate itself from its competitors. The store’s focus on ethically sourced and eco-friendly wooden toys is a unique selling point that can resonate with environmentally conscious consumers. By emphasizing the quality and sustainability of their products, Wish You Wood can attract customers who value these attributes and are willing to pay a premium price. Additionally, the store can collaborate with local artisans and promote their handmade wooden toys, creating a sense of exclusivity and supporting the local community.
2. Declining Foot Traffic:
The shift towards online shopping has significantly impacted the foot traffic in brick-and-mortar stores. Wish You Wood needs to invest in effective marketing strategies to increase customer awareness and drive traffic to the physical store.
Firstly, the store should establish a strong online presence through an attractive and user-friendly website. This will enable customers to browse and purchase products online while also providing information about the store, its values, and the unique advantages of shopping in person. The website can also include an option for customers to reserve items online for pick-up in-store, thereby encouraging physical visits.
Secondly, Wish You Wood can leverage social media platforms to engage with its target audience and build a community. By regularly posting content related to wooden toys, sustainability, and educational play, the store can position itself as a knowledgeable and trustworthy source. Offering discounts or exclusive promotions to social media followers can also incentivize customers to visit the store.
Finally, the store should consider hosting in-store events and workshops to attract families and foster a sense of community. These events can include toy demonstrations, storytelling sessions, or craft activities involving wooden toys. By providing an interactive and engaging experience, Wish You Wood can differentiate itself from online competitors and create memorable experiences for customers.
Overall, Wish You Wood needs to adapt to the changing retail landscape by capitalizing on its unique selling points, enhancing the online and in-store experiences, and investing in targeted marketing strategies to increase foot traffic and maintain its competitive advantage.
