If we put aside that American Greetings, Clinton’s largest supplier forced Clintons Card into administration, Clinton’s had an out-dated business model and was burdened with debt. It was too little too late, with Clintons move into digital greetings; they were under pressure from online suppers of personalised greetings cards; Supermarkets held over 30% while Clinton’s only 17% market share.
Clinton’s could solve the problem of giving a gift or the problem of how saying thank you in innovative ways, developing local business partnership and links to local festivals, this could spur growth opportunities,. Here IBM recognise that sales is just one aspect of the customer experience/relationship. http://ibm.co/KSRjfQ.
Clinton’s needed to think out of the box about what they could offer that no other business could, to use their national reach and their global buying power to offer local. They could have engaged their local staff and developed partnerships with designs schools to develop their products range.
Clintons did not change their business model to offer what potential customers wanted in the way they wanted, 74% of the population use the Internet, more customers’ shop/research online http://bit.ly/n2TIC1.
Founded in the 1968, Clintons did not adapt quickly enough to the changing demographics, social marketing and channels of distribution. Customers shop online for low prices, convenience, easy to compare, free shipping and time saving, http://bit.ly/xDEZB7. As a customer I want convenience, I would have to go to several shops to get a gift, card and packaging. Why could I not buy it all from Clinton’s; a card, some flowers or jewellery, a gadget, a entertainer, a singing greeting card for example and either pick up the gift from one of the many shops or have it shipped direct anywhere in the world for free? Clintons would not have to hold the stock for all these items but they would have to change their business model and make alliances with other businesses.
There is something to be learnt from constantly reviewing your business model, constantly seeking feedback from customers, constantly reviewing your competition and looking for ways to lead and not follow.
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Janice B Gordon: The Problem Solver Business Growth Consultant, Mentor, Speaker and Author. Business Evolution – Creating Growth in a Rapidly Changing World will give you the guidance you need to evolve you and your business and exceed your customers wants and needs.