Real Groovy sells a wide range of music, movies, books, and games both in stores and online. However, their market share is threatened by piracy, digital music stores, and other retail competitors. To increase sales, Real Groovy could lower prices to attract customers and gain market share from competitors. They could also better promote their wide selection and online shopping services through advertising to make customers more aware of what they offer.

1. IN-DEPTH A situational assessment by Brendan Ralph

2. Real Groovy sells a wide range of: Music Movies Books Games • Deals in second-hand goods. • Usually charges high price. • Also provides online shopping. • Is seen as a Kiwi Icon.

3. Threats to Real Groovy’s Market Share?

4. Piracy! Software Pirates are on the rise.

6. Those factors make piracy popular: A part of the market that we never knew about is gone.

7. Digital Music Stores Are also becoming popular.

8. They’re easy to get - downloaded straight to your media player… … Or mobile phone. Also very cheap, and the range of selection is huge! Why Digital Music Stores?

9. This makes digital music stores attractive - another part of the market gone.

10. Retail Competitors Still going strong

11. Why Other Competitors? • They’re all feeling the same pinch we are. Especially Sounds. • But they all have their special selling points, such as price or range of other products. • Some, such as The Warehouse, are just more well-known.

12. Directly-competing Retailers take up more of the music industry’s market.

13. What can be done? To increase our share of the pie?

14. Lower the Price

15. • Take away some of the competitor’s edge, especially because Real Groovy doesn’t focus on price currently. • Gain their sales… Why Lower the Price?

16. Depending on elasticity, higher sales revenue may even be gained from it!

17. Market What You Got Including… • Online shopping service! • Wide range, including second-hand! • Kiwi-Owned!

18. Any Form of Advertising Will do, so long as it makes people aware!

19. Real Groovy could make it to the top! There are challenges ahead, but with the right push…