CONSUMER EXPERIENCE COMPANY PROFILES
Consumer Experience Company Profiles
Armon Raphiel
University of North Texas
CONSUMER EXPERIENCE COMPANY PROFILES
Utilitarian Consumer Experience
Company Introduction
With reported net sales of 419 billion dollars, Wal-Mart has established itself as the
largest retailer of America. Founded with humble beginnings in Bentonville, Arkansas during the
early sixties by Sam Walton, the mega retailer has grown to include 3,800 in America and 3,800
international stores. They have retained such a competitive edge by efficiently operating on thin
sales margins while driving down the cost of its stock and expenses. Their efficiency has grown
exponentially over the past decades, forcing larger competitors to improve and innovate or
eventually fail.
Retailing Practices
The Wal-Mart Corporation has branded itself by incorporating utilitarian ideals into its
business model. Their popular slogan, “Always Low Prices”, has been foundation for the past
decade. Upon entering the store, the customer already has expectations of they will receive from
the Wal-Mart experience. The consumer seeks to shop through an organized variety of affordable
goods without having to compromise their time, money, and unnecessary energy.
Wal-Mart has made great strides to become the one-stop shop to save the time of
everyday consumers. They have striven to be the first retail store you think of your every need
whether you want to take a family photo under thirty dollars or have your daughters ears pierced
CONSUMER EXPERIENCE COMPANY PROFILES
for a mere ten dollars. Although it has caused many businesses to fail due to inability to compete
to the massive scale behind Wal-Mart but it has become universally convenient in America.
Their utilitarian aesthetic can be seen implemented nearly everywhere in the store. Upon
entering, you are greeted by harsh fluorescent lights and white tile. They have deemed the basic
hedonic experiences secondary, aside from the indoor McDonald, when the consumers’ primary
concerns are price. Speed is also another factor implemented in the store aesthetic. Holding one
of the largest workforces in America, Wal-Mart maintains it speed by maintaining and trusting
their employees versatility, being able to work nearly anywhere in the store. The checkout kiosk
is always staffed, with employees in reserve and automated checkouts to assist the volume.
Personal Thoughts
Wal-Mart has been incredibly successful considering their scale. Their model is very
utilitarian and helps many people daily. Great location, easy shopping, low prices, and fast
checkouts all aid the consumers, who have no plans to waste time and money bouncing between
stores. They have been making attempts to appeal to different incomes apparent through select
stores offering different inventory and better visual aesthetics. Great companies powered by
great people.
CONSUMER EXPERIENCE COMPANY PROFILES
Thematic Retailing Experience
Company Introduction
Medieval Times has carved a niche in the entertainment industry as the model for familyoriented theatrical dinner experience. The company was born during the sixties when the Spanish
isle of Majorca was becoming an increasingly popular international tourist destination. The idea
of showcasing and educating about the former 11th century Spanish empire in a fun manner was
conceived and Medieval Times was born. It has grown to over eight locations across the United
States featuring over 50 impressive actors, stables of show-horses, and skilled kitchen force to
support.
Retailing Practices
In essence, Medieval Times has turned back the hands of time to create a full representation of
what life was like in the eleventh century. The unique architecture serves to improve the
aesthetic of the experience but also serve as the primary means of advertising in the surrounding
area. Once you enter the experience, you are greeted by the sight of an old Spanish court
overlooking an arena. The show involves an epic tale plot of saving the princess through well
choreographed sword fights, real jousting matches, and even crowd participation matches that
captivates the youth all too well. The dinner is also a highlight piece where the entire meal is also
historically inspired. The half chicken, which interestingly enough is literally an entire chicken
split into two, has been the centerpiece meal for years. The lack of any formal silverware only
adds to the effect. Medieval Times offers an sword shop, where authentic and replicas can be
CONSUMER EXPERIENCE COMPANY PROFILES
bought for true aficionados. A historical lesson on the torture is provided outside of the arena as
well as a dance hall and fully stocked bar for the older guest.
Personal Thoughts
Because Medieval Times is not a corporation, I was not able to analyze their financial statements
however it seems they have had a deal of considerable trouble, especially after filing for
bankruptcy seeking protection from the IRS. The company could easily raise profit margins with
proper management. Something as simple as redesigning their menus, creating new story plots,
and partnerships could all help exponentially. They only have one real amenity to offer and it can
get old quick, which translates into lower customer retention rates.
Entertainment Retailing Experience
Company Introduction
Originally founded in Arlington as Six Flags over Texas in 1961, the company was
reported in 2007 to be largest amusement park corporation in the world. Currently, they maintain
over fifteen parks including subsidiaries in Mexico City and Montreal bringing in total revenue
of approximately one billion dollars annually. They have been known for mismanagement issues
for decades due to ambitious investors however Six Flags has remained a relatively stable
venture that few aside from Walt Disney can compare to.
Retailing Practices
CONSUMER EXPERIENCE COMPANY PROFILES
Six Flags has proved itself as a great business model of incorporating the entertainment value
into its framework. The company return-rate ratio has been relatively well compared to similar
ventures because they possess something that many retailers will never compare to. What child
can forget the thrills of rushing down their first roller coaster with their parents? The park alone
is its own form of brand equity because the emotions it invokes can’t be taken away. Focusing on
the needs of their target market, small families, has proved rather effective from ensuring that the
parents can sneak away for a drink together to ensuring that every child, no matter what age,
does not feels alienated. They reach out to families with dozens of stores that appeal to the young
with collectables and toys and also reach older generations with their favorite live artist
performing in the music hall. From oversized mascots to its subsidiary park, Hurricane Harbor,
the Six Flags Corporation has perfected entertainment retailing.
Personal Thoughts
Last year, the company just left bankruptcy protection so they must be perfect to maintain
their business. The company and how it treats its customers is fine but it could be much better
with better staff from CEO to the field workers. Engaging the customers has been a great selling
point but as the years go by, they have to innovate or be regarded as a relic of the past in terms of
getting more people in the park. Their entertainment has been perfected but it could profit leaps
and bounds with better service. Hiring better people and shortening wait times in the parking
lot/ride time could be just the small change that could boost their company.
CONSUMER EXPERIENCE COMPANY PROFILES
Value Retailing Experience
Company Introduction
Established in the last fifties, ROSS has become the second largest off-price retailer in
America behind the Marshalls and T.J. Maxx chain. Ross currently operates just under one
thousand stores internationally and 50 stores under their subsidiary store DD’s discounts
averaging over 7.9 billion dollars in sales during the 2010 fiscal year. Their current stock prices
boast at $81, double the stock seen by Neiman Marcus or JCPenny.
Retailing Practices
Ross maintains low prices by buying surpluses and overstocked goods, reselling them
well below common market. Doing this Ross has also perfected their niche market with little
advertising or heavy effort. Many people want luxury goods but by choosing to focus on a less
affluent demographic, Ross has managed to ensure their cash flow will never run short especially
during times of recession. Since the company does operate on thinner margins, the Ross stores
completely lack any form of hedonistic value seen in most retail businesses. This is made
obvious by the unsorted underwear, harsh fluorescent lights, questionable service, and the large
“loss prevention” officer constantly watching from afar. However, the experience of shopping in
Ross is still equally as important for thousands of Americans everyday. the powerful positive
emotions of getting a deal or even providing for their family is something many retailers cannot
replicate.
CONSUMER EXPERIENCE COMPANY PROFILES
Personal Thoughts
Ross has performed incredibly well due to their corporate management, however I
suspect much of the success come from better sales margins available on the overstocked goods.
In order to keep prices at a minimum, overhead cost must be neutralized, including labor cost.
Raising employee paychecks or benefits according to effort and drive should help motivate
workers. Cleaning the stores and using devices to organize them only helps improve the image of
Ross since many people avoid the company due to the overwhelming clutter that can easily turn
a customers mood negative.
Brand Extension Consumer Experience
Company Introduction
Over the last century, The Coca Cola Company has become the most recognized brand in
the world. In 2010, the company balanced a net profit of 7 billion dollars. Based in 200 countries
with over 3,500 products, 1.6 billion cans of Coca-Cola are consumed everyday. Their focus as a
bottling company revolves a great deal with the marketing of their diverse line up. With multiple
acquisitions of new companies, creating and maintaining new brand extensions is something
quite familiar to this company.
CONSUMER EXPERIENCE COMPANY PROFILES
Retailing Practices
Once of the best examples of Coca Cola pursuing a brand extension was the adoption of
Diet Coke. One may argue that this technically is not an extension, however, Diet Coke was a
response to society adopting and seeking to implement healthier lives. Created as a sugar-free
alternative soft drink, Diet Coke had a few initial issues. The new drink was a completely
different formula from the original and the debate on aspartame was still raging. Although this
could have hindered Diet Coke, Coca Cola reacted by bundling the diet version with the regular
versions until mainstream society could not tell the difference. Coke Zero, Coke Light, and Plus
are all examples Coke using the Coca-Cola name although they taste nothing in similarity. of
trying to reach a detailed target market within the drinkers
Personal Thoughts
Coca Cola has relatively strong brand awareness over the years and will continue to do
so. When a company introduces over three thousand beverages, in essence the entire company is
about brand extension because it is a worldwide company. From new products, vintage
collectables, or even apparel, I believe Coca-Cola achieved a sort of “brand nirvana”.
References
Coca Cola Investor Relations.(n.d). Fiancial Report Retieved from http://www.thecocacolacompany.com/investors/index.html
Medieval Times. (n.d). Your Expiernece. Retrived from http://www.medievaltimes.com/dallas.aspx
Ross Investor Relations. (n.d). Overview. Retrieved from http://phx.corporateir.net/phoenix.zhtml?c=64847&p=irol-irhome
Six Flags Investor Relations. (n.d). Overview. Retrieved from
http://investors.sixflags.com/phoenix.zhtml?c=61629&p=irol-irhome
Walmart Investor Relations. (n.d). Walmart Financial Report. Retreived from
http://investors.walmartstores.com/phoenix.zhtml?c=112761&p=irol-irhome