Cradle 2 Cradle Furniture is an LLC located in Dallas, Texas that renovates and resells quality used furniture to reduce waste. Its mission is to create a second life for furniture. Goals include breaking even within 18 months, maintaining steady profits and growth, and reducing landfill dumping of furniture by 50% within 5 years. The target market is environmentally-conscious consumers. Services include pickup/delivery and limited warranties. Promotional strategies include advertising, PR, sales, and events. Competition includes local resale stores.
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For the Copywriting class in the Master in Visual and Digital Media at IE School of Human Science and Technology our group, under the name of our own creative agency, developed a transmedia customer acquisition campaign for IKEA. After thoroughly analysing the market and defining the target audience we designed an activation campaign including online as well as offline initiatives to get Spanish people from the ages of 20 to 55 who currently believe IKEA products to always be the same to visit IKEA stores more frequently by changing their perception of the brand and mobilizing them.
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This case on how IKEA used the anti branding idea 'for the many people'. This presentation will let you know a brief history of IKEA, the world's most famous brand in furniture retailing industry. You will know how a business grow the biggest. You also know how the idea 'Democratic Design' works at IKEA.
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Bharat Bhushan & Company is a trusted manufacturer, exporter and supplier of Furniture, Wallpapers, Frames, Bathroom Fittings and Modular Kitchens. Our range includes Wooden Bed, Glass Wardrobes, LCD TV Stands and others.
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Service Operations Management-IKEA,SERVICE CONCEPT,SERVICE CHARACTERISTICS AND SERVICE DELIVERY CHARACTERISTICS,SERVICE PACKAGE,SERVICE BLUEPRINT,SERVICE TRANSACTION ANALYSIS
Single-source provider of retail environments and point-of-purchase materials. Streamline your processes and experience an integrated solution, all while improving your ROI. Experience the value of the KDM Advantage: speed to market, extraordinary responsiveness, diverse capabilities and custom solutions.
Speed to Market: The KDM Advantage
Explore Sheep Mats strategy for entering new markets including Salon Mats and Medical Bedside Mats. Evaluate U.S. anti-fatigue floor mat industry trends.
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2. Company Info
• Cradle 2 Cradle Furniture
• Operate as an LLC
• Registered with U.S. Small Business
Administration
• Legal Name:
– Cradle 2 Cradle Furniture, LLC.
3. Mission Statement
“Cradle 2 Cradle Furniture’s mission is to create a
second life for quality furniture through
renovation. The objective is to reduce waste and
create opportunity”
4. Specific Goals & Objectives
• Break even 18 months after opening
• Maintain steady increase in profits after
– To be able to pay more for customer donations with
each passing year
• Steady flow of consumers weekly
– Promotions, advertising strategies
• Maintain innovativeness with its employees
5. Specific Goals & Objectives
• Speedy turnaround time
– Minimum of 3 weeks when creating new designs
• Within 5 years
– Gain and keep trust of surrounding communities
– Steady growth in company’s promotional strategies
• Being recognized in industry magazines
• Main Goal:
– To minimize dumping of furniture by 50%
• Reduce carbon footprints
7. Products/Services/Customer Service
Offered
• Incentives for clients who choose our services
• Purchase merchandise directly from owner
• Pickup and delivery options
8. Products/Services/Customer Service
Offered
• In house customer services department:
– Inform customers of wear-ability of products
– Inform customers what products are currently
offered
– Limited warranty – 1-3 years
– Billing and account information
9. SWOT Analysis
STRENGTHS OPPORTUNITIES
Pickup and delivery of items To be the leader in this type of category
The slow economy picking up creating an
Refurbishing services
increase in inventory
Sustainable/Ecofriendly Partnering with habitat for humanity
Selling in the World Trade Center
Skilled professionals in renovations
Expand into more incentives
Customizable – COM options available Job opportunities and quality training
WEAKNESSES THREATS
To renovate at a reasonable price across the Unstable economy
board Delivery company for new furniture takes
Not having enough inventory for continuous your old
flow of customers Craigslist or consignment stores yield more
Consumers’ lack of confidence profits
Limited floor space and selection of Discount stores offering designer items
fabrics/leathers Inability to attract young customers with
No drop-off zone higher standards on current trends
10. Nature of Merchandise
• Cradle 2 Cradle “Yes Pile” Acquisitions
Lightly used
In good or perfect condition
Refurbished work if needed
Furniture Merchandise (Sets or Single assortment)
Bedroom Sets
Living room
Dining Room
Bar furniture
Office furniture
Sofas, chairs
Accessories
• Note: Due to the U.S. Consumer Product Safety Commission’s Laws and
Regulations Cradle 2 Cradle will remain from selling any used children
furniture, or any used furniture intended for children
11. Assortment and Brands Carried
Cradle 2 Cradle carries a varied selection of brands, including an eclectic collection of
home furnishings and décor ,guaranteeing products of quality and excellent condition.
Cradle 2 Cradle will house high-end items at great discounts.
• Accessories
• Antiques
• Art Work
• Bar furniture
• Bedroom furniture
• Bunk Beds
• Chairs
• Collectable Glassware
• Dining Room Sets
• Dressers
• End Tables
• Lamps
• Living room furniture
• Office furniture
• Sofas
• Tables
• Window Treatments
12. Quality and Pricing
• Level of Quality
• Cradle 2 Cradle management developed a checklist in which
the associates will inspect the merchandise previous to making
the purchase, therefore guaranteeing the quality of the gently
used assortment. This process supports the Cradle 2 Cradle
pricing strategy.
• To guarantee a pleasurable consumer experience Cradle 2
Cradle will provide quality products and committed employees
catering to clients’ needs. Utilitarian and hedonic experience
will be captured through the services and products provided.
• Useful life – usually 8 years for furniture and depreciates 20%
annually
13. Quality and Pricing
• Accessories $18.00 to $240
• Antiques Based on appraisal
• Art Work $18.00 and $300
• Bar furniture $36 to $200
• Bedroom furniture $60 and $2000
• Bedroom Sets $100 and $2000
• Bunk Beds $40 and $100
• Chairs $40 to $80
• Upholstered Chairs $80 and $240
• Collectable Glassware $20 and $200
• Dining Room Sets $100 and $2000
• Dressers $30 and $300
• End Tables $20 to $100
• Lamps $9 and $200
• Living Room Sets $100 and $2000
• Office furniture $30 and $1500
• Sofas $40 and $800
• Tables $40 and $800
• Window Treatments $9 to $400
• Low $9.00 - $80.00
• Medium $100.00 - $400.00
• High $800.00 - $2,000.00
14. Markdowns & Markups
• Markups
– Consider Market Trend and Fair Business Practices
– Markup Policy 20%
– 200% - 400%
• Barely or not used items
• Gently used items
• All Depending on brand and condition
• Markdowns
– Markdown policy
• 20% after 8 weeks
• 30% after 12 weeks
• 50% after 20 weeks
• Other factors will be taken into consideration depending on willingness
to finish a sale (negotiating capacities)
15. Consumers right to information
Cradle 2 Cradle has the differentiation of salvaging products and find new homes for them and having
the commitment of always caring for the consumers’ right of information through labels having
registered permit numbers from the Federal Trade Commission. Also ,another service that sets Cradle
to Cradle apart from its competition is the offering of a 1 - 3 year limited warranty to any refurbished
item. Cradle 2 Cradle services and warranty are a unique services not offered by other competitors.
Texas is a Label Law State
• New and used products determined by law MUST have a manufacturer’s label
• Labeling for second hand items –
• Any item found or brought to Cradle 2 Cradle for resale purposes with a missing label
will have attached label (A) as required by law.
• Any item brought to Cradle 2Cradle that is refurbished, re-upholstered by Cradle 2
Cradle for resale purposes will have attached label (B) as required by law.
• Any item brought to Cradle 2Cradle by its owner for re-upholstered or repair or
renovation purposes Cradle 2 Cradle will attached the label (C) as required by law.
17. Location and Business Hours
• Cradle 2 Cradle is located in:
– Dallas Design District
1532 Edison Street
Dallas, Texas,
• Dallas Design District
– Ideal location for Cradle 2 Cradle
– Area patronized and supported by:
• Designers, decorators, architecture firms, antique dealers, retail industry
representative (merchandising) and buyers
• Location benefitted with the latest trends
• Important financial centers
• Cradle 2 Cradle’s schedule
– Monday – Saturday, 10:00 am to 7:00 pm
– Also catering to convenient private sessions by appointment only
18. Competition
• Revente Resale – 9 miles from Cradle 2 Cradle
5400 E. Mockingbird Ln
#113 Dallas, TX
• Pandemonium Limited – 9 minutes from Cradle
2 Cradle
2726 North Henderson Ave
Dallas, TX
19. Promotional Strategy
• Four major promotional tools
1. Advertising
2. Public Relations
3. Personal Selling
4. Sales Promotions
20. Advertising
• Essential to their success as a new
business
– Makes presence known
– Enticing consumers to visit store
• Advertising Used:
– Print
• Newspapers
• Magazines
• Direct Mail
• Brochures
• Business Cards
21. Newspaper
• Dallas Morning News
– Caters to local
community
– Sunday edition
• 26.5% Dallas Market reach
• 52 weeks/year
– Guide Daily
• April edition (Earth Day)
• December edition (gift
guide for the home)
22. Magazines
• D Home
– 70% female
– 25-54 year-olds
– Ave. household income = $355,000
• Texas Monthly
– 50/50 female/male
– Median age 46.5
– Median household income = $91,946
– 78% own a home
– Highest circulation is in DFW
• Dallas-Fort Worth Design Guide
– Annual publication of fine home
furnishings, products and services
25. Public Relations
• Personnel in charge of:
– Press releases
– Event sponsorship
– News releases
– Avenues to support
community activities
• Can raise awareness @ lower
cost
26. Personal Selling
• Business-to-Business (B2B)
– To inform and persuade possible
clients of available
services, products, and
advantages of doing business with
them
• Hotels, country clubs, office
buildings
• Events
27. Personal Selling
• Events
– Set up a booth to inform potential
consumers of their products and
services
• Earth Day
• Arts and Crafts Fair
– Feature Cradle 2 Cradle finished
items (including before and after
pictures)
– Event specific featured item
28. Sales Promotions
• Initial promos to get customer to visit store
– i.e. “buy 1 chair, get your custom
upholstery free”
• To existing customers
– Referrals
• to encourage customer to tell friends
and family
– Become specific and tailored to our
customer
29. Store Design
• Industrial and Craftsman style characteristics
– Exposed bricks, columns, ceiling beams, 20 ft ceiling
• Open Loft concept, just under 1400 sf
– Room displays, designated clearance area, consulting
space upstairs
• Contrasting wall colors with an earthy
“lemongrass” and a deep “starless night”
– Accents of stainless steel, iron, wood and concrete
elements
30.
31. Lighting
• Commercial bay lights along with recessed
lighting
• Hanging pendants over the check-out counter
for task lighting
• Windows for natural light
Lighting is low key and used to emphasize certain products, but
overall creates a comfortable environment.
32. Consultation Area
• Designated to aid
customers in the decision
making process for:
upholstery, stain, re-
designs and purchase
options
• Located upstairs to allow
for fewer distractions and
a more personal
atmosphere