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21 Dec 2015, 10:13
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"A recent survey commissioned by the market research department of XY Gen Stores indicated a high level of recognition among consumers of the brand and the nature of the apparel sold in XY Gen Stores. However, the survey also indicated that approximately 60% of those surveyed that recognized the name of XY Gen Stores had never shopped at one of the company's stores. Because of this result, XY Gen Stores executives should launch a significant rebranding and marketing campaign to change the company's image and thereby bring new consumers into the stores. "
My essay below:-
The argument makes a case for launching a significant rebranding and marketing campaign to change the company's image and so bring new customers to the company's stores. However, there are significant flaws in this argument due to some broad assumptions made by the argument.
The argument assumes that brand recognition is the primary reason that a consumer will shop at XY Gen Stores.
There are a multitude of reasons that a consumer would shop at any store, and brand recognition is only one of those reasons.
It is possible that XY Gen Store is a premium brand with premium prices, and so is not affordable to a vast majority of the consumers.
This would explain why the percentage of shoppers is a fraction of those who recognise the brand.
This brings into question another assumption that the argument makes.
The 60% that recognised the name of XY Gen Stores but did not shop at the company's stores might not even be a part of the company's typical customer base.
The market research department needs to specify the typical demographics of the store visitors and also the demographics of those surveyed.
Only if there is sufficient overlap between the two, does this assumption hold up.
Further, the argument does not draw any parallels to the industry segment in which XY Gen Stores operates.
It is possible that for the company's industry, a 40% conversion from brand recognition to store consumers is much higher then average.
In such a scenario, there would be no reason to carry out any rebranding to change the company's image.
The argument could be strengthened by addressing the following assumptions.
First, it needs to show a correlation between brand recognition and consumers in the store. Secondly, it needs to identify the demographics of the people surveyed and compare it to the typical consumer demographics. Thirdly, it also needs to compare the results of the survey to the industry standard.
However, the way it stands, the argument is untenable.
My essay below:-
The argument makes a case for launching a significant rebranding and marketing campaign to change the company's image and so bring new customers to the company's stores. However, there are significant flaws in this argument due to some broad assumptions made by the argument.
The argument assumes that brand recognition is the primary reason that a consumer will shop at XY Gen Stores.
There are a multitude of reasons that a consumer would shop at any store, and brand recognition is only one of those reasons.
It is possible that XY Gen Store is a premium brand with premium prices, and so is not affordable to a vast majority of the consumers.
This would explain why the percentage of shoppers is a fraction of those who recognise the brand.
This brings into question another assumption that the argument makes.
The 60% that recognised the name of XY Gen Stores but did not shop at the company's stores might not even be a part of the company's typical customer base.
The market research department needs to specify the typical demographics of the store visitors and also the demographics of those surveyed.
Only if there is sufficient overlap between the two, does this assumption hold up.
Further, the argument does not draw any parallels to the industry segment in which XY Gen Stores operates.
It is possible that for the company's industry, a 40% conversion from brand recognition to store consumers is much higher then average.
In such a scenario, there would be no reason to carry out any rebranding to change the company's image.
The argument could be strengthened by addressing the following assumptions.
First, it needs to show a correlation between brand recognition and consumers in the store. Secondly, it needs to identify the demographics of the people surveyed and compare it to the typical consumer demographics. Thirdly, it also needs to compare the results of the survey to the industry standard.
However, the way it stands, the argument is untenable.
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