Goodwill Industries - Marketing to a Variety of Customer Types - Essay Example

? Goodwill Industries – Marketing to a variety types Introduction The paper puts into perspective various critical issues regarding the market in which Goodwill operates. The factors that will be illuminated in the subsequent paragraphs include goodwill customer types, value offered, and factors affecting consumer behavior. The other factors that are discussed include the effect consumer behavior on Goodwill’s Marketing Strategies and tactics as well as the changes that have affected the marketing environment. Goodwill customer types Goodwill has three types of customers, which are dependent on the various product lines within which the business operates. The first line is the retail training; the company trains people of various selling skills. The first bunch of customers refers to those seeking training on retail skills such as selling skills, marketing skills, and stores management (Rodger, 2009). Those who receive training from the company become well-equipped and can be absorbed as sales people or can start their own successful small-scale retail outlets. The other line of business in which Goodwill operates is referred to as retail business. The company has stocked variety household products such as clothes, furniture, and other home appliances. The company, therefore, has a lot of shoppers who visit the retail outlets of the company to buy assorted products. The other type of business line that the company operates in is the recycling business. The company buys second hand household products such as furniture, clothes, and electronics, and engages in value addition before reselling them at a profit to consumer. Goodwill’s value proposition Good will values its customers and as such; it is committed to building a strong brand that accords the company's customer loyalty. The company has three customer groups, and each group has unique value proposition. In the line of retail training, the company offers its client an innovative training on various critical retail factors such as selling skills, and retail management skills. On the other hand, the shoppers who buy goodwill’s product are guaranteed a variety of quality products, which ranges from furniture, clothes, and assorted home appliances at affordable price. On the other hand, the company assures its customers, who bring it second hand products, fair prices. This reflects value of the goods that the customers have brought to the company. Factors affecting consumer’s buying behavior There are four critical factors, which affects consumers’ buying behavior. These factors include social factors, psychological factors, cultural factors, and personal factors. With regard to social factors, the company is aware of existence of social class in the society. Each society comprises of the upper social class, middle social class, and lower social class. The company strategically segments the market based on the social classes and make tailor-made products that appeal to these social classes (Rodger, 2009). For instance, the company has high-ended retail outlets that target the upper and the middle social class. Such retail outlets stock sophisticated goods such as expensive jewelry, bracelets, and expensive clothing. The other factor, which is cultural, also affects the consumer behavior. There are consumers who are conservative and others who are liberal. Notably, the management of Goodwill Company is aware of this factor and stocks goods that appeals to this unique group of customers. It is not a surprise to find traditional attires in some of Goodwill’s outlets. On the other hand, the company targets the liberal group of customers, by stocking various trendy outfits, which appeal to the 21st centuary generation. Most customers buying behaviors are affected by their own personal attributes. The management of Goodwill makes sure that it manufactures and stocks goods, which appeals to this unique personal preference and tastes of customers. The facility stocks goods with a variety of colors, shapes, and prices to appeal to unique personal preferences of the consumer. For instance, it is possible to find that a particular customer likes a particular color and; therefore, they purchase any blue product in order to satisfy their preference to a particular color. Finally, the other factor that affects the consumers’ behavior is a psychological factor. The psychological factor plays a big role in influencing consumers’ behavior. Consumers may be attracted to buy a particular product because they have seen a public figure with the same product. The management usually tries to remain relevant by ensuring that they stock products that are consistent with consumers’ psychological needs. Changes in the marketing environment There are a myriad of environmental factors, which affects the performance of any business, and the situation at Goodwill Company is no exception. The most predominant environmental factor that affects the performance of Goodwill Company is referred to as an economic downturn. Economic downturn is a bad economic trend, which as characterized by a low purchasing power on the side of the households. Rodger (2009) maintains that, unlike many companies that are frequently hit by low business performance during economic downturn. Goodwill registers remarkable business performance in this period. This can be explained in the context of the purchases of second hand household products that are bought from households during harsh economic times. During harsh economic times, the households grapple with financial hurdles; they sell products such as furniture, and electronics to Goodwill Company to earn extra cash that enables them to eke out a living during harsh economic times. The company is, therefore, able to stock many products, which they repair and add value on before they are resold at a profit. Impact on Goodwill Marketing strategies and tactics Goodwill has an elaborate marketing strategy and tactics that explain its remarkable business performance. In fact, it is estimated that the company registers up to $3 million in sales revenues. The huge sale revenues show that the various marketing approaches of the company are bearing fruit. The company has several marketing strategies that vary from online marketing, direct marketing and other promotional strategies. The digitalized marketing platform is largely credited for attracting more consumers to buy company products. The company has an attractive website as well as social media profiles, which are used to popularize its various products and services (Rodger, 2009). Conclusion Goodwill Company has been in the industry since the year 1902. The company operates several product lines, which varies from retail outlet to retail training. The company is a force to reckon with in the market judging by its high revenue base, which stands at $3 billion on average. This success can be attributed to effective marketing research on issues of consumers’ behavior as well as effective marketing strategies discussed throughout this paper. Reference Rodger, J. A. (2009). Reengineering comes to the nonprofit sector: A case study of Goodwill Industries of the Laurel Highlands Incorporated. Knowledge and Process Management, 6 (1), 9-16 Read More