What can build-a-bear workshop do to generate repeat visits


Assignment

Modern consumers want good value, low prices, and convenience, but they also appreciate a great shopping experience. Build-A-Bear Workshop usually locates its more than 400 stores in malls worldwide. It generates over $450 million in annual sales by offering customers the opportunity to make their own stuffed animals, complete with clothing and accessories. In 1997, Maxine Clark came up with the idea for BuildA-Bear Workshop and opened a storefront in St. Louis. She had plenty of experience in the corporate side of retailing, having worked for Payless ShoeSource and May Department Stores. Clark left corporate America on a mission to bring the fun back to retailing. Currently, the company has sold more than 70 million furry friends. The bear-making process consists of eight steps, Choose Me, Hear Me, Stuff Me, Stitch Me, Fluff Me, Dress Me, Name Me, and Take Me Home. The stores mirror the chain's name: Customers, or builders, choose an unstuffed animal and, working with the retailer's staff, move through eight "creation stations" to build their own bear (or other animal). At the first station, the Stuffiteria, children can pick fluff from bins marked "Love," "Hugs and Kisses," "Friendship," and "Kindness." The stuffing is sent through a long, clear tube and into a stuffing machine. A sales associate holds the bear to a small tube while the builder pumps a foot peddle. In seconds, the bear takes its form. Before the stitching, builders must insert a heart. The builders follow the sales associates' instructions and rub the heart between their hands to make it warm. They then close their eyes, make a wish, and kiss the heart before putting it inside the bear. After selecting a name and having it stitched on their animal, builders take their bears to the Fluff Me station, where they brush their bears on a "bathtub" that features spigots blowing air. Finally, they move to a computer station to create a birth certificate. Bears go home in Cub Condo carrying cases, which act as mini-houses complete with windows and doors. In addition to serving as playhouses, the boxes advertise BuildA-Bear Workshop to the child's friends. "[You] could buy a bear anywhere," says Clark, Chief Executive Bear. "It's the experience that customers are looking for." The experience isn't limited to the stores themselves. The retailer's Web site, buildabear.com, embraces the same theme. Build-a-Bearville (buildabearville.com) is its online virtual world where users can play with each other and play games. The bears that they bought at the store have a unique code that allows the user to redeem gifts while playing games in Build-a-Bearville. Customers pay about $25 for the basic bear, but they can also buy music, clothing, and accessories. To keep the experience fresh, Build-A-Bear Workshop regularly introduces new and limited-edition animals. Clothes and accessories are also updated to reflect current fashion trends. Outfits for the bears complement the owner's interests and personalities with themes such as sports, colleges, hobbies, and careers. Some children and their parents hold in-store birthday parties, with music playing from the store's official CD. To ensure customers enjoy a great experience every time they visit, all sales associates attend a three-week training program at "Bear University," and the firm offers incentive programs and bonuses. The inventory in the stores changes frequently, with different bear styles arriving weekly. Build-A-Bear Workshops also feature limited-edition and seasonal merchandise, such as a Beary Businesslike Curly Teddy for Father's Day; mummy, wizard, and witch bears for Halloween; and a Sweet Hugs & Kisses Teddy for Valentine's Day

DISCUSSION QUESTIONS

1. Is the Build-A-Bear Workshop concept a fad, or does it have staying power?

2. Describe the target customer for this retailer.

3. What can Build-A-Bear Workshop do to generate repeat visits to the store?

The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.

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Microeconomics: What can build-a-bear workshop do to generate repeat visits
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