1. Why Would I Buy?
A Lesson on Observation of Various Saipan Businesses
By Kanae Quinn
A Course on Creativity
Assignment #2
2. Saipan, a US territory, is a tiny island located in the Northern Mariana
Islands. The only industry is tourism which attracts approximately 350,000
visitors per year primarily from Japan, Korea, Russia & Guam. There are only
40,000 residents so many of the stores cater specifically to tourists. I
realized that as a resident, I viewed these stores differently than as a tourist.
Certain elements were more important in determining my desire to patron
the store.
Less likely More likely Less likely More likely
to patron to patron to patron to patron
3. Loco Boutique
Women’s Swimwear
Target Market: Tourist ~ chain store based in Hawaii
• Location, in strip mall, within walking distance to hotels
• Japanese swimsuit contest video on display
• Neat racks of clothes with techno music in the background
• Unfriendly sales person who appeared to be older than the types of suits sold
• INSIGHT: This store sells swimsuits for tourists and the sales person didn’t pay
attention to me as I was not her target customer. As such, I will not buy
anything there in the future. Her unpleasant attitude changed my future
purchase decision.
• HIDDEN OPPORTUNITIES: Local residents would be more inclined to purchase
items if the store advertised, offered off season or local discounts, hired a
friendly local sales person or offered “Buy 1 get ½ Off 2nd on certain
merchandise.
4. The Athlete’s Foot
Sports shoes, clothing, gear
Target Market: Tourist & Resident ~ chain store from USA
3 signs posted in English on the door ~ intended for residents. Signage
in Japanese, Chinese, Korean would have targeted tourists.
Cramped clothing racks, not in organized system of color or function
Backlit shoe display was too dim and didn’t feature the shoes well
Two salespeople never approached me
INSIGHT: Overall messy store. Didn’t appear to be up to franchise
standards. Salespeople were there to collect paychecks, not to sell.
HIDDEN OPPORTUNITIES: Owners should refer to franchise standards
to remodel store to be brighter, more inviting like bottom right image.
5. All Star Sporting Goods
Sports & Athletics clothes & gear
Target Market: Tourist & Resident
Located in the back of Athlete’s Foot. Didn’t realize that it was a separate
store as there is no outside signage.
It’s even messier and disorganized than the Athlete’s Foot. There was junk on
tables, walls and even a Sauna Suit priced at $39 (vs. $18.77 @ Walmart)
INSIGHT: It looked more like a garage sale with lots of equipment, even a
$1800 pool table in the back. There is nothing special about the store.
HIDDEN OPPORTUNITIES: This store was truly hidden as I didn’t know it
existed as a separate entity. They need signage on the front of the building as
well as in Athlete’s Foot with an arrow showing customers that there’s a big
store in the rear. The layout of the store was awful. It needs someone to re-
organize: feature new items in front with sale items in back. They could add a
flat screen TV to show some major sports to attract customers.
6. Joeten Hafadai Shopping Center
Grocery Store plus Souvenir Shop
Target Market: Tourist & Resident
This store connects to Athlete’s Foot & All Star Sports through an awkward
side entrance, not visible from the front.
This is Saipan’s version of a Kmart with souvenirs for tourists, groceries,
limited clothing, toiletries, detergent, greeting cards, small bakery.
The aroma from the roast chicken wafted through the air. It made me want to
shop for food.
INSIGHT: There’s nothing special about the store but because they sell
essential items with decent prices, they will continue to retain customers.
HIDDEN OPPORTUNITIES: Needs facelift to modernize the look with updated
displays, signage. They have a good Asian food section where they can hire
staff to offer cooking demonstrations to customers using a mixture of
local/Asian ingredients to appeal to all markets.
7. National Office Supply
Office Supply, Holiday Decorations, Cleaning Supplies
Target Market: Resident
This store is the largest office supply store on island and offers much
more than just paper, pens and folders.
Aisles are way too narrow and there’s a section of office furniture that
customers can’t get to because it’s blocked by boxes and more
furniture which poses an OSHA hazard.
INSIGHT: Due to its low prices and minimal competition on island, this
store gets by because it sells so much stuff from candy, luggage,
toothpaste, batteries, toys.
HIDDEN OPPORTUNITIES: Needs aisle content signage and friendly,
helpful staff. They should advertise their weekly specials using social
media.
8. Spicy Thai Noodle Place
Authentic Thai Cuisine
Target Market: Tourist & Resident
One of three Thai restaurants in a mile radius, but located most
conveniently for tourists.
Large garden is underutilized for outdoor dining due to weather
and limited seating.
INSIGHT: Great, inexpensive, quality Thai food surpasses cheap
décor, plastic bowls, handwritten menu, mediocre service and
“hole in the wall” atmosphere.
HIDDEN OPPORTUNITIES: Offer Thai cooking classes for tourists &
residents (like Bali). Create social media page to upload lunch
buffet information and advertise catering / outdoor banquets.
9. Sweet Escape
Coffee & Cupcakes
Target Market: Resident
Features tasty, homemade cupcakes in a variety of flavors. Also serves coffee,
floats, shakes, ice cream and made-to-order gourmet caramel apples.
Indoor setting is similar to a stateside coffee shop feel with nice décor,
background soft jazz music, aromatic coffee smell. This is the nicest shop out
of the seven.
INSIGHT: Need to expand to tourist market to grow business. Create
“cupcakes to go” with Saipan packaging with a mix of 4 flavors that can be
sold at hotel gift shops. Offer promo to patrons of Thai House (another Thai
restaurant) which is located nearby.
HIDDEN OPPORTUNITIES: Offer catering menu on coffee tables. Create
“Happy Hour” for parents/kids after school pricing. Use social media to
introduce new flavors & obtain customer feedback. Use gorgeous outdoor
garden as venue for birthday parties/ baby showers.
10. My Stores - in order of patronage
• Joeten Hafadai Shopping for weekly groceries
1
• National Office Supply for variety of goods from paper, ink, decorations
2
• Spicy Thai Noodle Place for great Thai food (once a month)
3
• Sweet Escape for tasty cupcakes (once a month) as gifts or eat in with friends
4
• The Athlete’s Foot – never purchased anything but may someday buy a gift
5
• All Star Sporting Goods – never purchased anything but may buy golf gear someday
6
• Loco Boutique – never purchased anything but won’t return due to rude sales person
7
11. Tourist’s Stores - in order of patronage
• Joeten Hafadai Shopping for large selection of souvenirs, food, toiletries
1
• Loco Boutique for swimwear in Asian sizes, perfect for the beach and pool
2
• The Athlete’s Foot – American brands like Nike, Crocs, Reebok at reasonable prices
3
• Spicy Thai – convenient, good Thai cuisine within walking distance to hotels
4
• All Star Sporting Goods – large range of golf supplies for tourists
5
• Sweet Escapes – great coffee shop, but poor location and no tourist ads
6
• National Office Supply – too far for tourists offering unnecessary merchandise
7
12. Purchasing choices are reflected not only by an individual’s tastes,
but function & location play an integral role. I choose to regularly
buy from certain stores because they offer a basic staple I need or
want. The tourist’s main draw is to purchase something she desires,
located in a place that is easily accessible.
The décor, ambience, pricing were secondary factors. The tourist
and I happen to choose the Joeten Hafadai Shopping Center as our
primary store because it caters to both residents and visitors,
offering groceries and souvenirs in one convenient location. If
Joeten were located a mile south or north, it would not be
frequented by the tourists.
Our second choices vastly differ as an expensive swimsuit ranks
low on my needs list, especially since the salesperson was
unfriendly. To a Japanese visitor, the salesperson may have been
much warmer and offered to assist with sizes and styles. A swimsuit
is something that is useful when visiting a tropical island, especially
with the favorable dollar-yen exchange rate. As a businessperson, I
know that this particular store’s sales are quite good so their large
inventory and styles are attractive.