Traditional Bookstore

Borders Bookstore!

Borders Bookstore

A Company Review

Marketing Strategy:• Mission :“to be the best-loved provider of books, music, video and

other entertainment and information products and services. To be the world leader in selection, service, innovation, ambiance, community involvement and shareholder value. Borders recognize people to be the cornerstone of the Borders experience by building internal and external relationships, one person at a time.”

• Borders strives for: leadership, a result orientation, respect, people development, a positive workplace and customer service.

• Met the mission statement by doing:– “Declare Yourself” – Intel Corporation and Borders Group – Shareholder value: sales increased by 18.3% from 2003.

Environment• Only U.S. based bookseller to expand internationally. • Social:

– Less likely to read books then watch television or play videogames.– Literacy Rates

• Technology:– Internet– Shop for Products– Borders First came into online existence in 1998.– Teamed with Amazon.com

• Legal:– Illegal Copies released on the internet through filesharing.– Copyright laws– Digital Millennium Act, 1998

Target Market:• Intellectuals of all ages

– Children– Working-class adults– “Hipsters”

• Main Target Segment: Modern Young Adults• Focuses on diversity• Events:

– Swing dance lessons– Local music performances– Poetry readings

• Allows independent authors shelf space

Product:

• Two-Fold Product:– Different Kinds of Media

• Focus: Books (heterogeneous shopping product)– Offers Largest Selection of printed and technical media.

• CDs• DVDs• Magazines

– “Borders Experience”• Coffee and Baked goods• Music and other events• Lounge and browse atmosphere

Distribution Channels:

• Stores– Media shipped to the store– Customer can come in the

store and browse entire books– Make purchase in-store

• Also trying to put storesin easy to reach areassuch as Airports

Distribution Channels:• Internet

– Teamed with Amazon.com– Customer can browse

titles, not content– Make purchases on the

internet– Have Books shipped right

to their door via FedEx– Free shipping on most book

purchases over $25.

Price:

• Often Given to them by the publishers of the book.

• Sales:– Shared markdowns and purchase volume discounts – Reduces prices on publications which are becoming

dated or when a newer edition is soon to be released.

Promotion:• Generally use a cooperative advertising method• Main method of promotion is through their individual stores• Book Location• Employees also become a large promotional tool• Press release history

People:

• Employees play integral role in marketing mix• 32,000 people employed with Borders Group world wide.• Important role in the community• Corporate Equality Index

Questions?