Uncontrollable Variables The competitive environment is the main uncontrollable variable as the proximity of several flower shops, including one within our shopping center, are within a mile of this location. The flower industry is booming and thus we need to learn how to coexist within their environment. As Edible Arrangements does not yet poses a threat within this industry, no direct frontal assaults has been experienced within competitors’’ advertising or promotional campaigns. Their advertising has actually been beneficial for us during peak seasons such as Valentine’s Day, Professional Administrative Day, and Mother’s Day as search engines will sometimes show Edible Arrangements alongside 1-800 Flowers when looking for gifts for these …show more content…
According to the Department of Numbers, Chicago’s average household income is $53,657 and Norridge is approximately $58,000. Although the store is physically located in Norridge, IL, it is worthy to note that the surrounding Chicagoland area plays a major role in the success of this company as well. The Norridge location is limited to delivering to certain Chicago zip codes, located within 5 miles as well as nearby suburbs. Thus it was just as important to look at the surrounding area as well as Norridge when deciding on the target market. (Chicago-Naperville-Joliet Illinois Household Income, September 2015 – accessed 04/29/2016). As noted in the demographics section above, Norridge has a somewhat mature population with a median age of 47 and the majority of the households are occupied by families headed by educated …show more content…
The internal database shows a unique customer base of approximately 20,000. Further analysis indicates that over 60% of these customers are from outside of the target area and about 50% of these customers are repeat buyers. The conversion rate of making a recipient a customer is less than 20% and thus there appears to be an opportunity to grow this market segment. The best marketing research method to turn recipients into customers is to conduct follow-up calls asking about their experience with the arrangements and to immediately address any issues, discuss promotions for upcoming holidays, and ask for the sale. The product is normally well received and thus makes a positive impression on most recipients. The gap of turning recipients into customers should be further investigated and a follow-up phone call appears to be the best method to accomplish