Yeti Card & Gifts (Yeti) is an established retail business that offers a wide range of cards and gifts. Yeti’s motto, “Fun Function & Funky,” is what it stands for. Yeti opened in 2012 as a gift shop specializing Asian decor and gifts. Yeti quickly out-grew its original space and is now located in the Wigman Hospital/Physicians & Surgeons South Building, open Monday through Saturday 10 am – 6 pm. Yeti is currently finishing tenant improvements on their second location, a space in University Heights. The grand opening is planned for July 4,
The Market
Yeti has managed to successfully appeal to two distinct market segments in a way that no other retail gift/card store has been possible. Yeti’’s first target group is university students. This group is identified by their younger age, higher disposable income relative their household income. For many students, the years at university is the first time they are living away from home and away from their parent’s often watchful and restrictive eyes. Students love to make use of their disposable income to the fullest extent, sometimes even exceeding their financial capabilities. This market segment is home to more than 38,833 potential customers.
Yeti is also very successful in appealing specifically to the University faculty and staff as well Wigman Hospital staff and greater Cleveland Heights/University Heights residents. This segment is an older, more mature market relative. They seek a friendly, safe environment that combines youthful excitement with a touch of nostalgia. This market has potential customers of over 191,590.
Competitive
Yeti’s competitive advantage is their ability serve two market segments simultaneously, something that no other gift/card shop can do. Yeti has achieved this feat by using two competitive advantages. The first element is a wide product selection that appeals to both target markets. Yeti’s second motto, “/Risque Not Raunchy ”, captures this idea very well. Although some products may be a little too outrageous or offensive for their intended purpose, they are all within the realm of acceptable taste. This creates an environment that is not only unique but comfortable for everyone. Yeti can serve two distinct customer groups with its wide product range. However, a wide product range is not enough to satisfy all customer segments. Their second competitive advantage is the excellent level of customer support that goes along with the large product selection. Customers are treated with great care and feel at home in the store. Each Yeti employee has been trained to provide a friendly, warm, and welcoming environment for customers. The sales staff recognize that it is their job to provide the customer with whatever type of assistance they may need. The customer will leave the shop feeling that Yeti is there for them.
Yeti Cards & Gifts have been open almost two years. They have proven to be able meet the needs and wants of two different customer segments. Dan and Ishada Gordon, husband and wives of Ishada Gordon lead the Yeti company. They each bring a wealth in experience and skills. Yeti is currently in preparation for the grand opening at their second location. The company’s overall growth looks very promising. Sales forecasts indicate revenue of $169,000 for Year 3 and $180,000 for Year 4 with net profit of 5.96% and 7.59% respectively.
1.1 Mission
Yeti Cards & Gifts’ goal is to offer new and exciting products in a friendly environment for staff and customers. Our number one priority is customer service.
#8220Fun, Functional and Funky, that’s Yeti.
1.2 Keys to Success
The keys to success are:
- You can offer items with a unique quality-value ratio that aren’t available anywhere else. This is important for maintaining the niche markets discussed in the Executive Summary.
- Advertise and promote in areas where our target customers will find out about our store.
- We must constantly review our inventory and sales. If necessary, we will adjust our inventory levels.
1.3 Objectives
Yeti has 2 objectives for the organisation. These goals are lofty but can be achieved. Through tracking and developing goals
To achieve the organizational goals, everyone will be pushed to their full potential.
- Increase visibility and sales potential by opening a second location in University Heights.
- In Year 4, open a third store