Tiffany & Co. (www.themarketingresearch.com) is the internationally renowned retailer, designer, manufacturer, and distributor of fine jewelry, timepieces, sterling silverware, china, crystal, stationery, fragrances, and accessories. Founded in 1837 by Charles Lewis Tiffany, there were 184 Tiffany & Co. stores and boutiques that served customers in the United States and international markets in 2009. Tiffany’s main growth strategies consist of expanding its channels’ of distribution in important markets around the world, complementing its existing product offerings with an active product development program, enhancing customer awareness of its product designs, quality, and value, and providing levels of customer service that guarantee a great shopping experience. Tiffany & Company’s revenues exceeded $2.94 billion in 2008. Tiffany is slowly and subtly embracing the middle class, a potential danger fOJ one of retail’s most exclusive names. Oves the past decade, the luxury jewelry retailer has nearly tripled its stores in the United States and changed its promotions to highlight more lower-price wares. It currently has 70 U.S. locations and another I14 overseas. Tiffany’s new S,!lOO-square-foot format will allow it 10 also expand into smaller markets and double up in bigger towns. In the process of reaching out to embrace more markets, Tiffany may be driving away some of its core customers. Although Tiffany has a long way to go before it is fully accessible, the Tiffany Heart Tag silver bracelet has become quite a popular item among many, including Reese Witherspoon and her entourage in Legally Blonde, Mr. James E. Quinn. president. is wondering what the psychographic profile of Tiffany’s core customers is and what the company should do to maintain and build upon the loyalty of its core customers. This is critical to success in the future.
The Marketing Research Decision
- What data should be collected and how should they be analyzed to determine the psychographic profile of Tiffany’s core customers?
- Discuss the role of the type of research you recommend enabling James E. Quinn to maintain and build upon the loyalty of Tiffany’s core customers.
The Marketing Management Decision
- What new strategies should James E. Quinn formulate to target the core customers?
- Discuss how the marketing management decision action that you recommend to James E. Quinn is influenced by the data analysis that you suggested earlier and by the likely findings.