Theodore Furniture Case Analysis

Allison Carr’s business strategy is in line with the target market. This is because Carr’s target market comprises the blue collar workers; the lower middle class with income between $25,000 and $55,000 and lower class with family income between $15,000 and $35,000. With this target market Theodore Furniture business strategy focuses on customers with many buying habits. The market niche for blue collar customers appeals to quality conscious consumers looking for value in their purchases. This business strategy fits the target group needs well, hence the eclectic mix of customers encompasses a whole new customer segment as opposed to the traditional target market.

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The salespeople do not view Carr’s target market and business strategy in the same way. However the salespeople should understand that advising and helping customers to make decisions is only a part of the process that is required to be commercially successful in the furniture market.  The salespeople must be trained to deliver and support the products to the target market. Sales increase when the resolution to the customer’s problem is met with appropriately priced solutions.

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To achieve better sales and increase the number of return customers Carr must ensure that the salespeople actively engage customers in the shopping experience. In addition, Carr should ensure that the salespeople educate the customers since the service level offered by Theodore Furniture is low and the nuisance of transportation and self-assembly is inevitable. To understand the concept and increase the sales the salespeople must take an active part in the business strategy.

The salespeople must supply customers with all possible materials such as measuring tape, paper and pencils needed to complete their shopping when they enter the store. Carr should go beyond that and ensure that the floor has showrooms displaying Theodore’s furniture with multiple accessories that will accentuate the style. With this approach customers do not have to be bothered with salespeople who work on commission. For those customers who feel that they should be assisted when buying furniture, the store must offer assembly services and home delivery options.

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In conclusion, Carr should note that as the target market looks for ways to cut personal spending, her business strategy should position the furniture store to be a rational choice for home furnishings for cost conscious customer. Offering convenient sales support experience would fit well with Theodore’s customers because it would allow them to enjoy ease of shopping and time saving services.

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