- The students will write a 10-15 page paper and will include all the relevant information using proper grammar and sentence construction.
- Student will demonstrate proper usage of APA format both for referencing as well in in-text citation.
- The students will create a PowerPoint presentation to present their findings.
- Each team will create the “mock digital tool(s)” to showcase how the retailer can use this new tool in their marketing strategy.
Download PPT here –> Recommerce
TRADE IN TO TRADE UP!
Do you have old electronics or products that you want to get rid of? Recommerce may be your answer. Recommerce is a trade-in option retailers are offering for electronics and other products. You can trade in anything from old phones to old gaming consoles and get money or store credit for these items. Recommerce is a perfect system for consumers because electronics are constantly improving, and consumers always want the latest and greatest. Also, who wouldn’t want to get money back for old and used items? The trade-in concept is not new to many consumers, because car trade-ins and clothing trade-ins already exist, so this is an easy tool to use (Thau, 2010).
Retailers also benefit from Recommerce because it, increases store traffic, boosts sales, enhance shopper loyalty, and gives the company an eco-friendly image (Thau, 2010). For instance, if a customer were to trade in electronics to walmart.com, he or she will be rewarded with a pre-paid Wal-Mart gift card. This gift card ensures the customer is purchasing from Wal-Mart. Retailers believe if consumers receive a gift card for $100, then the consumers are willing to spend around $200 (Thau, 2010).
Recommerce is a new trend that is quickly becoming popular with environmentally conscious consumers and businesses (“Recommerce &,” 2012). As always, consumers want the most of out their purchases, so they are starting to consider the resale value of products before making the actual purchase (“Recommerce,” 2011). A few sites participating in Recommerce include: Amazon, eBay, and Gazelle. The way it works is pretty much the same on all of the sites: 1) You select the specific model of your device. 2) You tell them the condition it is in. 3) They make you an offer based on the condition and the demand for the product. After you accept the offer, you can then: 4) Choose your method of payment. The method of payment can include a check, money paid to your PayPal, or a gift card (store credit).
Upon receipt of the item, the retailers will verify the condition of the item to determine the correct value of the used device (or product). The value may go down, if you exaggerated a bit, or – in some cases – it can go up! All personal information is then removed from the device to protect the customer (Thau, 2010).
Here is a video that briefly explains how the Amazon trade-in program works:
An intro to Amazon’s Trade-In Program:
Here are some snap shots of the popular recommerce site, Gazelle:
Select your device:
Then determine its condition:
Consumers can now trade in their old products in order to get the money they need to buy the next greatest thing! This is called “Nextism.” This is the desire that consumers posses to always have the newest gadget that they believe will deliver exciting experiences and make their lives better (“Recommerce,” 2011). Today’s consumers expect the “best of the best,” no matter what they are buying (“Recommerce,” 2011). They want instant gratification and to experience as many things as possible. These hyper-stimulated consumers are convinced that always having a higher-quality, newly-designed, more feature-rich device will give them a better experience and in turn a more interesting and “better” life (“Recommerce,” 2011).
So, consumers are always wanting these new experiences, right? Well, with many consumers these days having to make with less, it can be hard to come up with the wherewithal to afford the products that promise these experiences. In turn, this makes the practice of exchanging or selling these old or seldom-used items a great excuse for making a new purchase of what you do want, only now it is without guilt, because you gave up something in order to get it. This also encourages consumers to buy the hot, high-quality brands’ products, because they know they will be able to get a decent amount of their money back after they are done with it. To them, it is an investment. Basically, excusumption is where the cash-strapped consumer is turned into a creative, frugal consumer who will seek out the best solutions to save money (“Recommerce,” 2011).
As opposed to “blogosphere” – the statusphere is where you are in the realm of “status” – the things you wear and the devices you use decide your position in society (“Recommerce,” 2011). Many people (probably too many) subscribe to this point of view, and judgement is passed upon each one of us. Whoever has the fastest, shiniest, biggest (or thinnest/smallest) product is the envy of all others (“Statusphere,” 2010). This can be good though, as it extends to other aspects of a person such as their skills, connectedness (prowess with social media), or eco-credentials (how environmentally sound the person’s choices are) (“Statusphere,” 2010). And recommerce gives these high-flyers the means to be able to afford the things that will help them stand out and be noticed.
Indeed, recommerce is fast becoming a popular trend in retail, with several major companies adopting a trade-in model, including: RadioShack, Best Buy, Walmart, Target, AT&T, and T-Mobile (“Recommerce,” 2011). Apparel companies are exploring this idea on a trial basis in smaller markets in other nations on products such as jeans and shoes. As mentioned above, recommerce can benefit retailers as much as it benefits the consumers. According to Gazelle’s CEO, Israel Ganot, “If you get a $100 gift card, you’re most likely to spend $200 to $300” (Thau, 2010). Ganot continues, “At the end of the day, consumers want to be smarter about how they spend money and about the way they recycle products… this is a program that’s good for the wallet and [lets consumers] feel good about the environment” (Thau, 2010). Through recommerce, retailers can showcase their “green side of the business” (Thau, 2010).
This concept isn’t really new, the idea is as simple as trading in an old car for a new car, or selling your home to buy a new one. This just hasn’t really been done like this in other industries before. It is a growing trend, and with new partnerships with brick-and-mortar companies happening all the time, a recommerce following is sure to grow. In Ganot’s words: “We feel very strongly that over the next five years, recommerce will become one of the biggest trends in retail” (Thau, 2010).
“Recommerce.” (2011, October). Trendwatching.com. Retrieved from http://trendwatching.com/trends/recommerce/
“Recommerce & Remanufacturing.” (2012, January 24). Clean Techies. Retrieved from http://blog.cleantechies.com/2012/01/24/recommerce-remanufacturing-%E2%80%93-recession-busting-cleantech/
“Statusphere.” (2010, May). Trendwatching.com. Retrieved from http://http://trendwatching.com/trends/statusphere/
Thau, Barbara. (2010, July). “Making the Leap into Recommerce”. NRF Stores. Retrieved from http://www.stores.org/stores-magazine-july-2010/making-leap-recommerce
- Identify “holes” in the current strategy that could be filled by using new digital communication methods OR if the company is already heavily into digital marketing strategy how can they improve upon what they are already doing.
- Use the information presented in class to create a new digital strategy using:
- Provide rationale for the inclusion of digital tool(s) in the new strategy.
- Create an implementation plan, media-metrics that can be utilized to analyze the digital tool, e-enabled communication mix.
- Predict how this tool can help in strengthening consumer relationships as well as relationships with the major stakeholders in the company
- Create a SWOT analysis based on the proposed strategy.
Download here —> 6-Month Plan
The Six-Month Merchandise Plan :
The Merchandise Plan is most often used to project the sales, inventory, and profit goals for a department or an entire store for each month of a six-month period. Students will complete a Six-Month Merchandise Plan to show their knowledge of the relationship between sales, inventory, markdowns, markup, purchases, and gross margin.
Learning Outcomes :
- Became more adept and knowledgeable in regards to creating a 6-Month Merchandise Plan and the formulas associated with it.
- Utilized concepts and associations between the different factors and aspects learned in this course to complete the 6-month plan.
- This was a valuable learning experience and will be helpful in my future career.
Consumer Experiences Team Project requirements :
Students will work within assigned teams to develop a hypothetical company (retail store, hotel, restaurant, spa, etc) of consumer products or services that practices experiential retailing as discussed in the course.
Learning Outcomes :
- Gained insight into the different aspects that go into planning and operating a business.
- Learned how to create a full consumer experience and how to create a unique style and brand image.
- Found out about weighing options and making decisions that will decide the path of a brand.
- Attained experience working with a group to accomplish necessary tasks, as one would in company meetings.
Hot Topics & Cool Trends Team Project requirements :
Students will work within assigned teams to give a report on, and critique, a fashion retailer and create a proposed marketing strategy for them improve their company.
The objective of this project was to learn about the elements of design and implement them when creating Polyvore sets. By putting what I learned into practice after I learned it, the elements and the concepts behind them were reinforced in my mind. Creating these sets also allows me to show my abilities to others, as well as giving me the ability to continue to grow in them, thus making myself a more well-rounded, beneficial addition to any company.
The skills I learned over the length of the course include how to effectively utilize line, shape, color, pattern, space, value, and balance. I also learned how to effectively put together sets with fashionable pieces that went together, and created the sets using the elements and skills I learned from the class. This knowledge and experience will make me more valuable to potential employers. I will be able to analyze and predict trend information, as well as integrate current online and social technologies to improve a company’s image, aid in public relations, or to better do any tasks required of me. I will also be able to develop creative layouts, and I believe that this skill helps me beyond fashion – I will be able to design layouts for websites, catalogs, magazines, and various other media.