When researching I found out that it opened in 1924 as a joint venture between Horace Saks & Co. and Bernard Gimbel of Gimbel Bros. Saks is made to target upscale costumers, it was the first specialty store to expand across the nation. One of the main primary age groups is women 35-55 with plenty of disposable income. (About 80% of the costumers are women) Saks headquarters is in New York City along with there flagship store. Nearly 20% of the entires chains annual revenue. There main competitors are Barneys, Neiman Marcus, and Bloomingdale's. Saks has 98 stores located in the United States which include the Off 5th locations which are the Saks outlets. Saks stores are usually only located in or right outside a major city with high income areas.
Target Markets in Retail Stores
For our third blog we were supposed to due some research on target markets for retail stores as well as take the VAL survey. The VAL link says they divide the consumers up into 8 different segments which has to do with where they shop. The 8 segments are Innovators, Thinkers, Achievers, experience rs, Believers, Strivers, and Makers. It states that the primary motivation is that Consumers buy products and services and seek experiences that fulfill their characteristic preferences and give shape, substance, and satisfaction to their lives. When I took the quiz my primary was experiencer and my secondary was innovator. I guess the primary is true I am an experiencer I get bored easily and I always want to try new things. I am the same way with my buying habits I dont just shop at one store I like to change up my purchasing styles. The target person we did on tuesday was a earthy crunchy consumer middle aged women, which was a good target store for REI.
Failed Retailers
For our forth blog we were supposed to close one of the retailers that failed. I chose Circuit City. Their biggest competitors were Best Buy and Walmart. I think one of the biggest problems with Circuit city was they didn't offer as good service as Best Buy and the prices weren't as good as walmarts so they got pushed out. In my experience I would go and there would be nobody to help me with my questions or to go to the back and grab items from that back. While at best buy as soon as you walk in there are people waiting at the door waiting to help you and direct your needs. While with Walmart they have less expensive prices and have alot other items than electronics so it brings in more customer traffic.
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