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  • 1. Borders
    Group C
    Andrew Roth
    Cyndi Hilsabeck
    Jeff Primos
  • 2. Overview of Presentation
    History of Borders
    4 P’s and S
    Borders Current Marketing Situation
    Social Media Tactics
    Deep Dive into Facebook
    Apps and Blogs
  • 3. History of Borders Group Inc.
    Founded in 1971 by brothers by Louis and Tom Borders
    It originally served the Academic community of Ann Arbor
    Borders opened its first large scale retail store in 1985
    In the late 1980’s and early 1990’s industry sales grew to 1.4 billion and 1992 Borders was sold to Kmart Corp and eventually spun off to form Border’s Group
    In the late 1990s and early 2000s, Stock prices were down, online businesses suffered losses, and shareholders questioned Borders Management.
  • 4. PLACE
    HQ in Ann Arbor, MI
    Employees 19,500
    Online shopping
    680 Bricks and Mortar box stores
    Specialty Stores: Borders Express, Borders Airport and Outlet Stores
    1/3 of employees to be laid off, 1/3 of underperforming stores to be closed due to Bankruptcy
  • 5. Product is King
    Core products include books, text books, eReaders, movies, music, calendars, posters, and crafts.
    To differentiate itself Border’s launched
  • 6. Price is a Problem
    Amazon has leading titles for their Kindle starting at 9.99.
    Border’s leading titles starting at $15.95
    Amazon’s Kindle has been deeply discounted to $139.00
    Barnes and Noble’s Nook is priced from $149-$199.
    Border’s The Velocity Micro Cruz is $119-$199
    Rewards Program –you can earn Border’s Bucks for achieving $150 in annual qualifying purchases.
    Upgraded Rewards Program is offered to buy into for further advantages.
    There is no comparison with their competitors. Amazon and Barnes and Noble only offer rewards if you sign up for their Visa or Mastercard.
    Borders recently entered into a partnership with JiWire.
    This is a leading location based mobile company
    This type of advertising is growing quickly
    “As Wi-Fi usage increases, particularly in lifestyle venues like Starbuck’s and large Bookstores, its changing the way brands interact with consumers”
    Border’s offers weekly deals on their website
    They are also in a major public relations campaign to ease fears about their Bankruptcy.
    Gift cards, coupons and fullfilling online orders is still taking place.
  • 10. SERVICE offers a full customer care area.
    Border’s is in Bankruptcy
    This is a result of declining annual revenues
    They have struggled to compete in the eBook business.
    The bankruptcy will result in nearly 20,000 job losses
    Borders lead the market in the 90”s
    The Birth of Amazon was the death of Borders.
  • 12. Social Media Tactics
    Borders core issue is sales
    Tactics chosen on ability to generate sales with existing customer and create new customers
    Tactics will use Facebook, apps, blogs, Twitter, and YouTube
  • 13. Tactic One
    What is the tactic
    Facebook Portal for customers to view authors pages tied in through Borders Facebook page.
    Part of a greater marketing strategy for author book signings and Borders events. Contest for fans.
    How does it work?
    Customer awareness of authors via posts on the main Borders website as well as upcoming promotions.
    Number one objective is to generate hype for authors and create a sense of community at the store.
  • 14. Tactic one cont.
    Social Media used in campaign
    Main author’s page and promotion of events
    Live tweets by author
    Video of event and winner of contest
    Ultimate goal is additional sales
    Number of likes tied in with promotion on authors page within Borders
    People trust other people’s opinions.
    Target Market
    Both current and potential customer who enjoy books.
  • 15. Tactic Two
    • What is the tactic
    • 16. Application created by Borders that allows for an author to self publish a book within the Borders community
    • 17. Contains all the tools necessary for creation, publication, social media promotion and price control.
    • 18. Additional costs for additional features.
    • 19. Objectives
    • 20. Creation of community within emerging authors at Borders
    • 21. New niche for Borders
    • 22. Social Media platforms used
    • 23. Facebook
    • 24. Twitter
    • 25. Author’s pages tied in but Borders has authority to control
    • 26. Author can separate Borders link if desired.
  • Tactic Two cont.
    Number of downloads
    Number of books published
    Revenue generated
    Cost of program
    New and changing marketplace
    Target Market
    New and existing authors who are trying to break into the marketplace.
  • 27. Tactic Three
    • What is the tactic
    • 28. Application created by Borders that allows for greater customization of Borders Facebook page by adding “Borders Community”
    • 29. Allows users to select topics of interest and go to a community created Facebook page for discussion of authors and interests
    • 30. Promotions and coupons for interest specific material
    • 31. Objectives
    • 32. Creation of community with customer specific categories of interest.
    • 33. Promotions and coupons targeted to customers with specific interests.
    • 34. Social Media platforms used
    • 35. Facebook
    Creation of an app that sits on top of Facebook
    Optional download
  • 36. Tactic Three cont.
    Number of downloads
    Customer activity on “Borders Community” pages
    Usage of coupons sent through the community.
    Target Market
    Existing Borders customers and new customers using Facebook.
  • 37. Tactic Reccomendation
    Tactic two used as recommendation
    Creates a Niche for Borders has but only to publish
    Creates community for authors and consumers
    Is focused on generating new customers for new books rather then using existing customers to generate additional sales.
  • 38. Questions
    Thank you for your time