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Shoemobile
UCBX, Marketing Research, Fall 2012
Agenda
 Background
 Secondary Research
 Objectives and Key Questions
 Research Methodology
 Findings and Interpretation
 Recommendations and Next Steps
3
4
Background and
Secondary Research
Background
 Introduce new shoe shopping concept
 Reach Downtown SF, work/living place
 Provide variety of shoe types
 Communicate schedule via social media
 Preview inventory online
5
Secondary Research
 Shoe industry overview
o Total industry revenue is about $27B
o Top 50 companies holds 75% of revenue
 Largest segment by far of this industry is
E-commerce
 New trend: pop up retail, mobile fashion
trucks
6
Objectives Key Questions
Demand for Product
and Service
Would the shoemobile concept be
accepted?
Competitive Analysis Who are the competitors?
Segmentation What are customer segments?
Place for service Where should the truck be located?
Price setting What price range would be reasonable,
competitive, and sustainable?
8
Research Methodology and
Sample Population
Research Methodology
 Mix of qualitative and quantitative analysis
o Frequency, location, behavior, thought
process, and demographic
o Included text box to gain richer data
 Online survey
9
Sample Population
Total sample size: 1,200
Sample size representation
Online Run Errands
Age
28-40
200 200
Income
$40K+
200 200
Women
Work at SF
200 200
10
11
Survey Population
Survey: Population Data
Age Population
12
Survey Demographics
13
Income Distribution
36% : 50-75K
22% : more than 100K
17% : 75-100K
14% : 40-50K
11% : Less than 39K
Occupation Distribution
14
Findings and Interpretations
Findings: Interest in Shoemobile
Findings Interpretations
1. Demand for service
 Respondents will not replace their
shopping
 Additional customized service
 Top 3 factors where they shop
 Choice 36%
 Price 33%
 Convenience 28%
 Interpretation:
 Obstacle
 Delicate aspect
 Truck Advantage
 Most important purchase factor
 75% Return-policy
 Interpretation
 Delicate aspect
 Majority of women favors
"Shoemobile" concept
 25% of respondent voice concerns
 Like the idea, but doubtful about
service and changes SO proceed
with caution!
15
Interest in Shoemobile continue
Findings Interpretations
2. Competitive Analysis
 Only 28% buy shoes online
 Online competition
 Convenience main advantage
 Try-on main disadvantage
 Mention to reviews
 Privacy and no time constraints
 LITTLE online competition
 Competitive advantage
 No shipping time
 Advantage
Advantage on stores
 Obstacle
3. Segmentation
 Age & Income do not influence
price
 Outside SF more price conscious
 Shoe-shopping is very subjective
 Obstacle
16
Interest in Shoemobile continue
Findings Interpretations
4. Place of Service
 75% Longest break 12p - 1p
 61% Shop after work
 Frequency: every 3 months
 Respondents asked for home
service
 BUT <1% Shop for shoes at lunch
 Consider DIFFERENT time-frame
 NOT a daily/weekly service
 Houses and special events as
secondary market
5. Price Setting
 Most bought: casual shoes
 74% spend <$100 on average and
56% wouldn't spend >$100
 Commuting/walking people
 Need to keep price of a shoe to less
than $100
Additional Insight From Text Box
Positive Negative
"...If you can make it a positive and
comfortable customer experience with a
good selection, I imagine you will
have a good number of repeat
customers."
"...When I go shopping, I do it whenever
time is convenient for me and not on
schedule. If I will have an appointment
with shoe-mobile, I will likely miss it."
"Interesting, if it will be convenient to
try on and I won't feel obligated to buy
it since the whole truck come to my
location."
"I think it's pretty cool, but what if you
change your mind and want to return the
shoe? For example, if the shoe doesn't go
with your outfit and you want to return?"
"I will definitely be spending more
since the products come to me."
"Interesting concept, but may depend on the
variety of brands and styles that would
be carried."
Recommendations
Recommendations
Location:
Secondary Market
 39% of respondents want
shoemobile near their home!
 Possible second location at
Belmont
20
Recommendations
 Focus first on bringing in shoes that can be sold for less than
$100 a pair
 Do a soft launch
 Incentivise customer loyalty and recommendations
 Regard yourself as a niche market
 Have a return policy
 Offer diverse offering, keep your inventory well calibrated
 Consider ways to better meet the needs of convenience
shoppers
 Consider offering to SF and within Bay Area markets
21
Conclusion: Next Steps
 Proceed with Caution!
 Perform additional research to obtain deeper
understanding of consumer segmentation
 Test product/service mix with a "soft launch"
o Utilize and leverage social media outreach
and data to create consumer awareness and
obtain consumer feedback
23

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Shoemobile marketing research project

  • 1. 1
  • 3. Agenda Background Secondary Research Objectives and Key Questions Research Methodology Findings and Interpretation Recommendations and Next Steps 3
  • 5. Background Introduce new shoe shopping concept Reach Downtown SF, work/living place Provide variety of shoe types Communicate schedule via social media Preview inventory online 5
  • 6. Secondary Research Shoe industry overview o Total industry revenue is about $27B o Top 50 companies holds 75% of revenue Largest segment by far of this industry is E-commerce New trend: pop up retail, mobile fashion trucks 6
  • 7. Objectives Key Questions Demand for Product and Service Would the shoemobile concept be accepted? Competitive Analysis Who are the competitors? Segmentation What are customer segments? Place for service Where should the truck be located? Price setting What price range would be reasonable, competitive, and sustainable?
  • 9. Research Methodology Mix of qualitative and quantitative analysis o Frequency, location, behavior, thought process, and demographic o Included text box to gain richer data Online survey 9
  • 10. Sample Population Total sample size: 1,200 Sample size representation Online Run Errands Age 28-40 200 200 Income $40K+ 200 200 Women Work at SF 200 200 10
  • 13. Survey Demographics 13 Income Distribution 36% : 50-75K 22% : more than 100K 17% : 75-100K 14% : 40-50K 11% : Less than 39K Occupation Distribution
  • 15. Findings: Interest in Shoemobile Findings Interpretations 1. Demand for service Respondents will not replace their shopping Additional customized service Top 3 factors where they shop Choice 36% Price 33% Convenience 28% Interpretation: Obstacle Delicate aspect Truck Advantage Most important purchase factor 75% Return-policy Interpretation Delicate aspect Majority of women favors "Shoemobile" concept 25% of respondent voice concerns Like the idea, but doubtful about service and changes SO proceed with caution! 15
  • 16. Interest in Shoemobile continue Findings Interpretations 2. Competitive Analysis Only 28% buy shoes online Online competition Convenience main advantage Try-on main disadvantage Mention to reviews Privacy and no time constraints LITTLE online competition Competitive advantage No shipping time Advantage Advantage on stores Obstacle 3. Segmentation Age & Income do not influence price Outside SF more price conscious Shoe-shopping is very subjective Obstacle 16
  • 17. Interest in Shoemobile continue Findings Interpretations 4. Place of Service 75% Longest break 12p - 1p 61% Shop after work Frequency: every 3 months Respondents asked for home service BUT <1% Shop for shoes at lunch Consider DIFFERENT time-frame NOT a daily/weekly service Houses and special events as secondary market 5. Price Setting Most bought: casual shoes 74% spend <$100 on average and 56% wouldn't spend >$100 Commuting/walking people Need to keep price of a shoe to less than $100
  • 18. Additional Insight From Text Box Positive Negative "...If you can make it a positive and comfortable customer experience with a good selection, I imagine you will have a good number of repeat customers." "...When I go shopping, I do it whenever time is convenient for me and not on schedule. If I will have an appointment with shoe-mobile, I will likely miss it." "Interesting, if it will be convenient to try on and I won't feel obligated to buy it since the whole truck come to my location." "I think it's pretty cool, but what if you change your mind and want to return the shoe? For example, if the shoe doesn't go with your outfit and you want to return?" "I will definitely be spending more since the products come to me." "Interesting concept, but may depend on the variety of brands and styles that would be carried."
  • 20. Recommendations Location: Secondary Market 39% of respondents want shoemobile near their home! Possible second location at Belmont 20
  • 21. Recommendations Focus first on bringing in shoes that can be sold for less than $100 a pair Do a soft launch Incentivise customer loyalty and recommendations Regard yourself as a niche market Have a return policy Offer diverse offering, keep your inventory well calibrated Consider ways to better meet the needs of convenience shoppers Consider offering to SF and within Bay Area markets 21
  • 22. Conclusion: Next Steps Proceed with Caution! Perform additional research to obtain deeper understanding of consumer segmentation Test product/service mix with a "soft launch" o Utilize and leverage social media outreach and data to create consumer awareness and obtain consumer feedback
  • 23. 23