1. Harry Grimshaw
Method
used
Methods used to compete
Description on how method is used to
compete
Example of how the
method is used
Range of
products
Ace sports have a wide range of
products. They compete with well
know sports-orientated shops such as
JD sports and Sports Direct by having
a wide range of products such as
sports equipment and sports clothing.
They use this method by
having a variety of
different items at the
shop.
Quality of
products
Ace sports have an extremely high
quality of product. So anyone visiting
the shop can instantly know that the
shop has a high quality of product just
because of some of the brands they
stock. Ace has brands such as Nike,
Adidas, Puma and Wilson.
Pricing
Ace sports uses the technique called
physiological pricing this means that
instead of selling something for £10
they would sell it for £9.99. This
method is used to try and make the
customer think the product is a lot
cheaper than it actually is.
Advantages
Business 2012
Disadvantages
Do you think it is
effective? Explain your
reasons
Yes because if someone
wants to buy specific
product, the likely hood
is that Ace will have it if
it’s a reasonable
product.
If they have similar
range of products to
sports direct, the
customer could be more
inclined into shopping at
ace because it isn’t a
well known shop and
could be cheap.
A customer might just
think that all the shops
are the same because
they all have a similar
product range.
Ace sports sell a Nike
sweatshirt at £30.
Customers will know
that the shop stocks
some quality products.
People may not be able
to afford expensive
quality products , so
they may want
something cheaper. It is
also expensive for the
shop to buy quality
products.
Yes because if a
customer see that a
shop has quality
products they are more
likely to go and buy from
them.
Ace might sell a Nike
branded t-shirt of
£14.99.
Some people may fall
for the trick and think
it’s cheaper and then
buy something.
Over time people will
wise up to understand
that there is no real
difference in price
because it’s usually just
1 or 2 pennies
difference.
No I do not think the
method is effective
because customers will
understand that there
isn’t a substantial
difference in the price of
something.
2. Harry Grimshaw
Promotion
Ace sports uses word of mouth
promotion and this means that the
shop advertisement is done by
customers who tell friends and then
who tell other friends.
Customer
service
Ace sports customer service isn’t
always that great because they not
always willing to help you find
something you’re looking for.
Additional
service
Ace sports has a website and you can
order thing form it.
Use of
promotion
The shops use of promotion relys on
customers telling friends about the
shop.
Methods used to compete
Jane buys some shoes
then she tells Marie
about them and then
Marie goes out and buys
a sports shirt.
Its free method of
promotion and it
requires no work from
people who wrok at the
shop. All they have to do
is hope that customers
teklll there friends about
the shop and then the
friends come and
purchase something in
the shop.
A customer may ask
There are no advantages
where the Wilson Tennis to having bad customer
rackets are and the
service.
assistant may say over
in the corner. This is not
precise and the
customer may have
wanted the shop
assistant to show them
exactly where the
Wilson Tennis rackets
are.
A customer can buy
It may be easier for
things in store or online. certain people to buy
things online rather than
in store.
Jane must tell friend
about shop in order for
the shop to be
promoted.
It’s a free method of
promotion.
Business 2012
Customers may not tell
friends about the shop
and then the shop are
left with no method of
advertisement of
promotion and this
means they will not get
any new customers.
It can be effective if a
customer tells 10 friends
about Ace sports and
then they all go buy
something there. But if
they do not tell friends
about the shop then the
shop isn’t becoming
more widely known by
the public.
It is bad that they have
poor customer service
this means they should
improve it if they want
more revenue.
This is obviously not an
effective method used
to compete with other
shops.
It costs money to start
up a website. So money
spent on the website
could be spent on other
things in store.
Peple may not tell
others about the
business.
Yes i think the website is
effective because
people may want to look
at what they sell before
going to the shop.
No it is not effective
because if customers
don’t tell friends about
the business then there
is no promotion.
