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Qualitative Research of Sporting Good Stores Richard Divine MKT 305 Dec. 6 th 2012 Group Eight: Alex Kozma Mike Reffitt Lauren Schneider Seth Voege Neville Wiles
Transcript
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Qualitative Research of Sporting Good Stores

Richard Divine

MKT 305

Dec. 6th

2012

Group Eight:

Alex Kozma

Mike Reffitt

Lauren Schneider

Seth Voege

Neville Wiles

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Social risks have to do with your product choice ending up in embarrassment. We came

up with some that fit in our topic of sporting good stores and then made some strategies that

would remedy the risks. One social risk was to but an unknown brand instead of the popular

brand. For this risk the stores could include the sentence ‘nothing but the latest hot styles and

brands’. We also had the risk of store image, or the fear that you may not know exactly what the

other store carries or if you go to the less expense store you will be labeled as a “discount

shopper” and have the embarrassment of having your friends think you are cheap. For this the

sporting goods stores could promote that they accept all competitors coupons. This tells the

consumer that they not only carry all the same brands as the other stores, but that their prices are

about the same, and if not they’ll make them the same.

Functional risk has to deal with the product not performing as expected. You go out and

buy a new golf club expecting it to swing a certain way, then you take it out to the fairway and it

responds nothing like expected. Sporting good stores could counter this buy allowing customers

to try the product in the store before they buy it, or allow for a thirty day money back guarantee.

There is also a fear that if you buy a product from a retail store, like Wal-Mart, that the product

will not perform as well as a product from sporting goods store, or that one specialty store will

carries the top of the line product while a different one only carries the knock off. Store that

offer any kind of sporting gear could advertise that they carry the same brands as the major

specialty stores.

Financial risks is the risk that a product will not be worth it’s cost, or the fear of being

ripped off. If you shop at a high end specialty store, there is a risk that they will add to the price

of an object because the store name added value to it. The store could simply state that this does

not and/or will not happen with them, that could always boost loyalty for the customer if they

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feel like the store is looking out for them or is on their side. We also thought of the fear a

customer might have of the product going on sale shortly after it is purchased. For this the stores

could offer, within a certain number of days, a price matching program to remove the fear of

over paying. The product could also not perform as well as the high price would make it seem it

should. For this stores could also offer a, within a certain number of days, return guarantee to

make the consumer not have a buyer’s remorse issue.

Physiological risk deals with the off chance that the product might cause physical harm to

the consumer. The sales team could take a brief safety course of the products they offer and then

inform the customer on the proper way to use the item as to avoid harm or injury to the user or to

the product, which would also build their customer relations and loyalty. If the product is faulty

and gets recalled, the store could set up an e-mail system where they could tell the customer if

that happens and also tell them about new deals of specials they are offering from time to time.

QUALITATIVE RESEARCH WORKSHEET

1. What attributes do you consider when evaluating Sporting goods stores?

Why are these important to you?

Needs Assessment: Please indicate how important each of the following attributes are to you

when evaluating sporting goods stores:

very unimportant very important Focus group

Ave.

Price 1 2 3 4 5 6 7 4.75

Selection 1 2 3 4 5 6 7 6.25

Location 1 2 3 4 5 6 7 3.75

Quality Products 1 2 3 4 5 6 7 6.25

Customer Service 1 2 3 4 5 6 7 4.25

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a) Why are these important to you?

Price:

● Price is important to me because I always want to get the best value for the price that I

pay. If I’m going to spend a lot on a certain product I expect it to perform at a certain

level. Likewise, if I buy something for cheap I will not have high expectations about that

certain product.

● Price is important because money doesn’t just grow on trees. You want what you’re

buying to be worth your money.

● Being a college student, I do not have an excess amount of money to spend on sporting

goods, so price becomes important for that reason. If it is not too expensive I would be

more willing to purchase it, but if the product is priced too low I would assume that the

equipment is not of a high quality and would be less likely to make the purchase.

Selection:

● When determining which sporting goods store I will go to, I determine what stores offer

the brand and product that I’m looking for. Selection is important to me as I play multiple

sports and look for a sporting good store that will satisfy all of my needs.

● Selection is important because of quality and price. Options are important especially If

you want a higher quality product, low quality product or if you have a high or low price

range

● The most important aspect to me is a wide selection of options. I like to read up on the

products and see which one, in my eyes, is the best or suits me the best. If a store does

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not have that many options in selection, I would most likely find another store to shop at.

Location:

● Location isn’t as important to me as most of the sporting equipment I look to purchase is

high quality and I will go wherever I have to in search for the product that I want. Being

able to purchase products online has made the location of an actual store less important to

me over the years.

● Location is not that important to me. I am most likely going to go to the store I prefer

rather than one that is closest.

● Location is not that important, if a store has exactly what I am looking for I would of

course make it to their location. But sometimes a stores location discourages me from

going there. MC Spots for example is in a location I do not like and after Dicks opened I

have not been back just because of where it is at.

Quality Products:

● I’m a very competitive person and look to have the highest quality top of the line product

that is in the industry at the time. Quality products is a huge factor in my purchase

decision, as I will only go to stores that I know provide the highest quality product for my

particular sport.

● Quality of product is important because I want something I buy to last, especially if it’s

expensive. For sporting goods, a lot of the time the products may be subject to wear and

tear so it is important to have a product you can count on.

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● This category for me is included in the selection of products they offer, I also do research

before I buy and even though the product might not be the “best” offered, sometimes it is

the best for my needs, so this variable is constantly changing and is determined on

situation.

Customer Service:

● Customer service isn’t too important to me as most of the sports equipment I buy I’m

very knowledgeable within that particular category. However, when I’m purchasing

equipment that I’m not familiar with I look for assistance within that particular category.

● Customer service is important because a lot of the time I ask an employee for help of

their opinion. The staff is important. They are the ones who make suggestions to you

and help pick out which product is best for you. It is important to have a friendly staff,

and not a pushy staff.

● There is a healthy middle ground in this area for me, and for many people I talk to, in this

category. If the sales associate is too pushy and the frequency of being asked if I need

assistance is too often, I would feel annoyed and be less likely to buy. If for any reason I

do need help and no one is to be found, the same outcome would happen. Also the

attitude of the sales associate is a factor, sometimes I get the feeling that me asking a

question is a burden to the employee and that makes me feel like I’m wasting their time

or not worth it, and in turn makes me second guess my decision.

2. Use the worksheet on the back to discuss/write-up your likes and dislikes regarding

the main sporting goods stores competitors in Mt. Pleasant:

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I’m an avid golfer and am going into the industry and having Dick’s sporting goods within the

Mt. Pleasant area hasn’t helped me from a customer perspective. However, being able to

compare prices from Dick’s to our golf shop or to what I know I can get certain clubs for has

been interesting. Dunham’s is a discount store and I like them for the fact of getting certain

sporting goods at a discount price. However, I don’t go to Dunham’s for high quality products

that I’m looking for in the sports that I play. MC sporting goods is a good store when it’s in a

convenient area. I personally haven’t been to the one in Mt. Pleasant, but I do know that I can

find a high quality product at a reasonable price if I choose to go there. Having Dick’s sporting

goods by my apartment is great, as I go there first when looking for particular sporting

equipment

3. Discuss what problems are you are having as a consumer in this category, and what

suggestions for new ideas you might have that would increase your satisfaction with

individual competitors or the market as a whole

PROBLEMS:

● Some problems that I’m having in this category are the convenience factor and price. I

can go online and find the certain product that I want from home and get it at a lower

price.

● Employees sometimes are overly pushy about me buying a products if I showed a slight

interest in it.

● Hard to find sports team (NHL, NFL, MLB) jerseys, shirts, gear, and memorabilia for

other teams besides Michigan and Detroit teams.

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● right sizes

● Fitting rooms/issues with trying things and having to find an employee

Customers did have some concerns.

Solutions to problems:

- A solution to the first problem addressed by our focus groups would be to offer same

competitor or advertised prices that a customer has found online. This would only be OK if the

customer brought in an advertisement or presented proof of an online price which the store

doesn’t offer.

- When dealing with overly pushy employees a possible solution would be to train employees to

gage the level of interest from a customer. Employees of sporting goods stores would be

educated in properly satisfying customer needs and identifying the type of customer. A rule of

thumb could be customers who are interested in a highly involved product, like expensive home

gym equipment (treadmill), would be more likely to want more help and education. Another

solution is to provide online FAQ’s and a place to provide advice or for customers to ask

questions ahead of time so that when they arrive at a store they know exactly what they want and

if they want to buy it.

- A solution to the problem of limited NFL, MBA, NFL, etc gear and memorabilia that is

typically only Detroit sports teams would be in-store ordering of all sports team gear. If a

customer walks into a sporting goods store he or she may or may not know the selection of teams

available. There could be an in-store help desk with a computer so fans could order the team and

product of their choice. To make sure that the customer is happy, generic product types would be

available for customers to try on, feel like the fabric and become more informed as to what he or

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she is purchasing. These products would be ordered through the store and delivered to the

customers address.

- The issue of availability of sizes can be dealt with by improving the supply chain and inventory

management to insure that the right products and sizes are stocked and available. Also, store

websites could provide a database of items/sizes available at different stores in a customer’s area.

If a size isn’t available then a customer can order it offline or have it delivered to the location of

his or her choice. This wouldn’t affect in-store sales because people still want to try clothes on to

see how they look and feel and make sure the item is what he or she wants. This would minimize

a customer’s risk because if there is something specific he or she is looking for then that person

will know if the store has exactly what they are looking for. Many people research items before

they go shopping and this would also provide the opportunity for customers to browse other

products available at a store and the sizes and availability.

- Many products people purchase at a sporting goods store require the customer to purchase a

specific size or style. When shopping, many people like to try things on and make sure that what

they see on the rack feels good on their back. Our focus groups indicated that sometimes they

feel awkward when trying things on at a sporting goods store because the fitting rooms are not

like a typical retail store fitting room. Fitting rooms are often in awkward places, in the middle of

an apparel section and an employee is required to open the door of the fitting room. Sometimes

these employees are nowhere to be found leaving the shopper to search for help, to hope what

they have fits or not make the purchase at all. To combat this problem sporting goods stores

could create more welcoming fitting room environments. Fitting rooms would be divided by

gender and an employee would be designated to oversee the fitting room. This doesn’t even have

to be the employee’s only task, but someone would be available to assist shoppers in a location

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that is very close to the fitting rooms. Sometimes people are intimidated when trying clothes on

and afraid to ask for different sizes or go back and retry a different style or size. The fitting room

wall could contain information for finding the best “fit” for certain products. Compared to other

bra purchases finding a sports bra that fits is relatively simple. Finding the right sports bra for

different levels of activity can be relatively difficult when the shopper isn’t using the sports bra

for the activity it may be intended for. Having some literature in the fitting room or some kind of

guide that isn’t an employee would be beneficial.

NEW IDEAS:

● Quality products were a very important aspect according to the respondent survey’s. A

new idea would be to introduce a higher quality line of products at these sporting goods

stores. For example, Dunham’s could offer an exclusive line of Nike running shorts. A

similar idea would be to advertise the store’s higher quality products over discounts. This

would help potential customers become familiar with the quality of products available at

each sporting goods store.

● The focus group results determined that product selection was an important factor when

deciding what sporting goods store to shop at. A new idea would be to improve the

display of certain products or items so that when people walk into a store they can easily

see what is available.

● Price seemed to influence the focus groups depending on the product he or she was

interested in. A new idea would be to price match products that other stores in the area

offer. If another store doesn’t carry the same item then the customer wouldn’t be able to

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price match and the sporting goods stores could compete more on product selection and

variety than price.

● New ideas for sporting goods stores such as Dick’s Sporting Goods, MC Sporting Goods,

and Dunham’s is offering a discount on expensive merchandise. We believe that if

somebody finds the same product cheaper online they should match or beat that price if

they come into the store with proof of a retailer selling the same product at a lower price.

Summary of Exhibit 1:

After reviewing our findings of our focus group that completed our exhibit one survey we

were able to analyze the results. We had our focus group determine how important specific

attributes are to them when deciding which sporting goods store to go to. They rated each

attribute on importance on a scale of one to seven. Then they were asked why each attribute is

either important or not important to them when making a purchase decision. The attributes that

we had them rate on an importance scale were price, selection, location, quality products, and

customer service.

After analyzing what our focus group said about each specific attribute and the problems

and new ideas they had for the sporting goods stores in Mt. Pleasant, we were able to improve

our understanding of the issues most relevant to our target market. After averaging out the

importance of each attribute we found that our focus group prefers selection (6.25) and quality

products (6.25) over anything else when making their sporting goods purchase decision.

Location (3.25) was the least of our focus groups worries when deciding which sporting good

store to go to.

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Price is an interesting attribute for our focus group when it comes to purchasing a new

product. All the members of our focus group said that if they pay a high price for a product they

want it to perform at a high level and have durability as well. If a product is priced too low the

target market might think it isn’t durable enough and decide not to purchase because of that.

Selection is one of the most important attributes of our focus group

Our focus group said that they could not care less about location as they have a particular

product that they want and will go to whichever store carries that product regardless of where it’s

located at. Respondents pointed out that locations is becoming less important because of online

shopping. Online you can shop and learn about different products as well as see which store is

carrying the best price. The locations of some stores in town is unappealing (such as MC

Sports), but if a customer has a favorite store that meets the majority of their needs they will

shop there and continue to shop there.

Selection of products is important because, with selection you can choose how much

quality you want as well as how much you would like to pay for your product. Selection helps

decide what store you will shop at based on what brands they carry. Having a wide selection is

important. Having wide selection allows for customers to make decisions on what products will

best suit them, and meet their needs. By having a wide selection customers can do research on

the different products these sporting goods carry.

The quality of the products was an important thing to our respondents and is a huge factor

in purchase decision. They want the top of the line equipment when they buy. Many of our

respondents only would shop at Dick’s because that store is thought to have the best and most up

to date products. The respondents believe that the higher the quality of the product, the better it

will perform and the longer it will last before wearing down or breaking. Being able to count on

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the equipment you buy and have faith that it will last you gives customers a peace of mind and

no buyers remorse. The ‘quality’ of the product differs between the respondents we interviewed,

some instead of buying what everyone believed to be the best product, performed some research

of their own and instead bought the product that worked for their situation the best, thus giving

that product the best quality for that customer.

Customer service was not ranked high on our respondents attributes list. For the most

part the people we interviewed claimed that when they are making a sporting goods purchase

they do research beforehand and know what they are there to buy, not wanting the aid of an

employee. Only a few of the respondents admitted they sought the help of a customer service

representative. There was a common viewpoint of a middle ground between a nonexistent sales

associate and one who is too pushy. The respondents felt that if no one was there to answer their

questions they felt discouraged to buy, but the same feeling came from an associate being too

pushy. If a sales associate is reluctant to answer a question the customer felt they were not worth

the time to answer it and did not make the purchase because they did not feel worthy of the

product and makes the customer second guess their purchase decision.

The focus group group all agreed on the fact that they prefer going to Dick’s Sporting

Goods over their two competitors MC Sport’s and Dunham’s here in Mt. Pleasant. They all liked

the selection and quality products at Dick’s and at the same time they liked the discount products

at Dunham’s. There weren’t too many dislikes for the sporting goods stores in Mt. Pleasant,

however many didn’t believe that Dunham’s had quality products which correlated with their

cheaper prices. The convenience of having each of the three sporting goods stores in a good

location was another attribute that the focus group liked.

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Customers did have some concerns and problems which we found in the focus group.

Convenience was a problem for customers. While shopping at a sporting goods store, there are a

lot of options making it hard to make a decision quickly or on the spot. Now, there is the option

to shop online where you can do more research on products as well as finding products for a

cheaper price. Another issue while shopping is employees. Sometimes, if you ask an employee

about a product or ask to try something on they will try and sell it to you. The employee can

become overly pushy since you showed an interest. Another issue was sporting goods stores not

selling certain sports teams (NFL, MLB, NHL) apparel. Depending on the store, it is extremely

easy to find Detroit Lions jerseys or a Detroit Tigers Sweatshirt. Others stores it is harder. It is

also very difficult to find these items for teams outside of the state of Michigan. Such as a New

York Jets jersey. Females in the focus group found it difficult to find the right sizes. For

example one brand’s small may be another’s medium. If you purchase the wrong size it is then a

hassle to have to go back to the store to return the item. Finally, another problem was trying

clothes on. A few people from the focus group stated it was annoying to have to find an

employee to unlock the dressing rooms every time they wanted to try an item on.

Competitor

Things I like about…

(be specific as possible)

Things I dislike about …

(be specific as possible)

Dick’s

Sporting

Goods

● There is a variety of options for

the majority of athletes.

● Large selection of Women’s

● Poor customer service

● High prices

● Walls in the middle blocking

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gym clothes

● More brand names (Northface,

Spyder, Nike, Under Armor)

● Guns (can purchase rifles and

shotguns)

● Shoe selection

● More employees on duty

● Putting green

view

● More employees bugging you

● Busy/crowded in comparison

MC Sports ● Ski and Snowboards

● Store layout after update

● Smaller store/easy to find items

and shop

● Shoe selection

● Has CMU apparel

● On campus

● No sleds

● No guns

● Not as prestigious/stuck in the

middle

● Bleak outlook in consumers’

minds

● On Mission

Dunham’s ● They sell rollerblades

● Low prices

● Seasonal

● Guns/Hunting

● Has CMU apparel

● cheap equipment (softballs

warped after one practice)

● Unorganized

● Tight spaces

● Warehouse feel

● Location

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During our focus group we found that each store had both positive and negative aspects.

What we tried to do was to focus in on these aspects and gather specific examples if at all

possible. These examples help us not only to understand buying behavior but also to make sense

the quantitative data that we gathered from the survey.

Dicks was the overwhelming favorite amongst the group for varying reasons. We heard

from several of our respondents that a main reason for going to Dick’s Sporting Goods was for

the high quality products. According to the people surveyed they felt that the products lasted

longer than from either MC’s or Dunham’s. The group also said that Dick’s had more brand

names such as Northface, Spyder, Nike, and Underarmour. One female from our focus group

said that Dick’s has a much wider selection of women’s clothing. She said that it is easier to find

trendy apparel. For both genders Dick’s was found to have the widest selection for all equipment

in their respective sport. In addition to sporting goods Dick’s also has an extensive shoe selection

ranging from basketball to running as well as cleats. Dick’s hunting section is unparalleled by

either of its competitors. They have a wide variety shotguns, rifles, ammunition and blinds.

Dick’s also has amenities such as a putting green to attract the golfing market segment. This

allows the customer to test out several putters before making a purchase decision. Many people

in our focus group spoke very highly of the customer service they receive there. There is always

a sales associate available whenever they needed help finding a particular product or section.

While many people enjoyed the customer service at Dick’s there were several that found

it annoying. They felt hassled and almost to the point of being pressured to buy from the

associates. The general consensus was that due to the high quality of the merchandise the prices

are considered to be the highest of the three stores. Many college students are strapped for cash

and cannot always afford the top of the line equipment. Some of these students said that if Dick’s

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also carried a lower priced option they would be more apt to shop there. The display walls in the

middle of the store are tall and block the back section of the store from view, it makes it harder

to initially find what section of the store you are looking for and gives it a slight claustrophobic

feeling. Due to the store’s immense popularity it is always busy and can be a pain to battle the

crowd. For some people the size of the store is overwhelming especially when they are only

looking for a single item.

Two summers ago MC’s Sports remodeled their venue most likely in response to the

news that Dick’s would be opening a new store in Mt. Pleasant. MC’s wanted to place

themselves in the market as a distributor of high quality sporting goods but with a small store

atmosphere. This is a tall order as our focus group pointed out. Since Dick’s is a top 100 retailer

in the United States MC’s will always have a small time feel to it. To several of the people we

surveyed this is a good thing. They prefer to have a small store atmosphere where any item they

need is easily found. According to one respondent not only does MC’s have an extensive ski and

snowboard section, but they also employ specialists who have extensive knowledge of the

equipment. For students who live on campus MC’s is much more accessible than either of the

alternatives in town.

Even though MC’s is easier to get to for on-campus students, for many others it is a pain

to have it located on Mission which discourages them from shopping there. One of our

respondents had a very negative perspective towards MC’s because one winter when looking to

buy a sled in the store, there was none to be found. This shows how important selection can be to

a store. One bad experience can drastically change loyalty. MC Sports also does not sell guns or

ammunition in a town where the school systems close for opening day of hunting season. That

means they are missing out on a key local demographic. To many consumers they are viewed as

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the not nearly as prestigious version of Dick’s. The type of people who were likely to shop there

before Dick’s opened are now likely to switch to DIck’s. This may cause an almost self

reinforcing effect onto their clientele. If they see people switching stores they will think that the

store has a bleak outlook and will then in turn, switch stores themselves.

Members of the focus group did not have as many positive things to say as they did for

Dicks Sporting Goods and MC Sports. One thing we consistently found from the focus group

was that Dunham’s is portrayed to have the lowest prices compared to MC sports and Dicks

Sporting Goods. Dunham’s seems to be associated with having the lowest prices of the three

stores. We agreed that if we ever want a cheap product, that Dunham’s is the place to shop at.

With lower prices, comes lower quality. Dunham’s also carries lower quality goods or cheap

equipment. This is a problem if you want a product or equipment to last a long period of time. If

you need something to last a limited (short) amount of time, it is nice to have the option to shop

at Dunham’s and get what you need at a lower price. This is a disadvantage because customers

may choose to shop at Dicks and MC Sports because they carry higher quality goods. People

we talked to liked Dunham’s because they carried Central Michigan University apparel. They

also carry merchandise such as rollerblades and a variety of seasonal items such as sleds. During

the winter season you can find a wide variety of snow equipment, sleds, and outdoor toys. In the

summer you can find items such as inner-tubes, boating equipment, and life jackets. Many of

these items they do not carry the same merchandise throughout the whole year. Dunham’s also

sells guns and hunting wear.

A major reason people in the focus group dislike Dunham’s is because of their stores.

Compared to Dicks Sporting Goods, and MC Sports Dunham’s is not nearly as nice. They felt

that Dunham’s is unorganized, messy, had a warehouse feel, and also had tight spaces.

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Dunham’s does not seem to be kept up as nicely as other stores, and is not as modern as the

Dicks and MC Sports in town. The location of the (Mount Pleasant) store was also an issue.

One person said the store was in a “shady location”. It doesn’t have the most convenient

location, nor does the store or its area look the nicest. Like we said earlier, they are not known

for carrying the highest quality products. Instead of selling Nike merchandise, they may sell

Reebok merchandise or even off brand equipment or merchandise. At Dunham’s it is much

harder find more name brand appeal or equipment.

2. Survey: Written Analysis

The following analysis uses survey results scale 1-7:

1. Awareness:

DSG 6.06

MC Sports 4.92

Dunham's 5.26

According to the survey results respondents were most familiar with Dick’s Sporting Goods

(average 6.06) and least familiar with MC Sports (4.92). The degree of familiarity between MC

Sports and Dunham’s (5.26) wasn’t substantial with only a .34 differential between the two

competitors.

2. Needs Assessment:

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Price 5.89

Selection 6.09

Location 4.66

Quality

products 6.15

Customer

service 5.13

Of the attributes tested in our survey the respondent’s preferred quality products (6.15) and

selection (6.09) over the other three attributes. Location (4.66) with the lowest average indicates

that this is the least important attribute. Customer Service (5.13) was the second least important

attribute to our survey respondents. This likely means that when our respondents are shopping at

sporting goods stores are more interested in brand names and type of products then customer

service.

3. Perceived Performance

Price

DSG 2.40

MC Sports 3.87

Dunham's 4.34

- Price: According to our survey results the respondents perceived Dick’s (2.40) to have very

high prices compared to Dunham’s (4.34) and MC Sport’s (3.87), which were perceived to be

relatively less expensive.

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Selection

DSG 6.60

MC Sports 4.68

Dunham's 4.72

- Selection: Selection was the second most important attribute to survey respondents. According

to our survey results respondents perceived Dick’s to have the largest selection with an average

of 6.60. Compared to MC Sports (4.68) and Dunham’s (4.72) with only .04 differences between

the two.

Location

DSG 5.77

MC Sports 5.09

Dunham's 4.72

- Location: Location was the least important attribute and when comparing competitor’s

averages we see that respondents perceived Dick’s (5.77) to have the most convenient location

and MC Sports (5.09) and Dunham’s (4.72) to have less convenient locations. This may be

attributed to the fact that both MC Sports and Dunham’s are located off Mission Rd. and are

surrounded by a lot of other businesses and heavy traffic making it inconvenient to the consumer.

Quality products

DSG 6.47

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MC Sports 5.09

Dunham's 4.74

- Quality products: According to our survey results this was the most important attribute.

Between competitors in the sporting goods category our results indicated that Dick’s (6.47) was

perceived to have the highest quality products. Where Dunham’s (4.74) was perceived to have

the lowest quality products. The surveyed proved that quality products goes hand in hand with

price as Dick’s was viewed to have the highest price of products as well as the highest quality

products. Furthermore, Dunham’s was viewed to have the lowest price of products and the

survey shows they have the lowest perceived quality products as well.

Customer service

DSG 5.74

MC Sports 4.87

Dunham's 4.74

- Customer service: This was the least important attribute according to our survey results.

Dick’s was perceived to have the highest quality service. This could mean that that our

respondents believe the staff at Dick’s to be the most knowledgeable and helpful. MC Sports

(4.87) and Dunham’s (4.74) were perceived to have average quality customer service.

4. Preferences:

RANK

ORDER

Page 23: CB Final

DSG 1.23 1

MC Sports 2.30 2

Dunham's 2.47 3

- When ranking which store our respondents were most likely to visit Dick’s ranked as the

number one favorite with an average of 1.23 followed by MC Sports in second with 2.30 and the

least preferred choice in third place was Dunham’s with 2.47. These results are consistent with

the perceived performance results as Dick’s was the most preferred in each category.

5. Likely to visit store:

DSG 6.00

MC Sports 4.38

Dunham's 4.02

When evaluating what store to visit next, respondents would prefer to visit Dick’s

Sporting Goods to make their next sporting equipment purchase. Dick’s (6.00) was heavily

favored over MC Sports (4.38) and Dunham’s (4.02). The data proved that the respondents

didn’t favor or reject going to Dunham’s or MC Sports when making their next purchase

decision.

6. Three New Concepts:

Page 24: CB Final

Team Discounts 5.55

Extended Product

Warranty 5.92

Amenities 5.57

The new concepts that we created for the industry of sporting good stores include: Team

Discounts, Extended Product Warranty, and Amenities. Extended product warranty (5.92) was

the most preferred by our respondents when asked in the survey, while Team Discounts (5.55)

and Amenities (5.57) weren’t far off. Each of our new concepts our respondents would like to

see implemented, which is very promising for all of the three competitors.

Rank order concepts:

RANK

ORDER

Team

Discounts 2.15 3

Extended

Product

Warranty 1.79 1

Amenities 2.06 2

Our respondents ranked an extended product warranty first with an average of 1.79. Right

behind an extended product warranty were the other two new concepts of Team Discounts (2.15)

and Amenities (2.06). If any of the sporting good stores has the authority to extend product

warranty our survey shows that the consumer would enjoy an extended warranty.

- Direct Assessment:

Page 25: CB Final

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Page 26: CB Final

m

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Page 27: CB Final

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Page 28: CB Final

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Page 29: CB Final

od

el)

Dick’s sporting goods ranked first, MC Sport’s ranked second and Dunham’s ranked

third. Dick’s provides the best selection and quality products that are what are respondents

preferred the best overall and ranked the highest of all attributes. MC Sports and Dunham’s were

a close second and third but both were far behind dicks in the two attributes that the respondents

ranked the highest which are quality products and selections.

- Multi-attribute model: This model evaluates the average importance of each attribute with

each competitor's average attribute evaluation. Dick’s sporting goods again ranked the highest

with an average of 150.50. MC Sport’s ranked second at 131.35 and Dunham’s with 129.71.

Dick’s sporting goods is ranked first because the attributes respondents placed the most

importance on were the same attributes that Dick’s ranked significantly higher in. MC Sport’s

and Dunham’s have ranked similarly because the averages for these competitors were very

similar.

- Sum of beliefs model: Our survey results indicated that Dick’s had the highest sum of beliefs

(26.98) and MC Sport’s 23.60 and Dunham’s 23.25. This means that people believe overall that

MC and Dunham’s are about equal (0.3 difference between the two). This can be attributed to the

fact that respondents ranked Dick’s more favorable in all surveyed attributes thus, its sum of

beliefs number was the largest.

Page 30: CB Final

- Determinate Attribute:

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Page 31: CB Final

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Page 32: CB Final

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Page 33: CB Final

s

e

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vi

c

e

When determining what attribute was most responsible for determining choice we found

that selection ranked the highest (23.46) followed by price and quality products. Location and

customer service ranked closely to each other and significantly lower than the other attributes.

This measure of perceived importance and perceived differentiation means that selection is the

most important attribute for perceived performance. When it comes down to determining what

store to go to price is more important than in our other calculations because it is ranked second

when in our other evaluations price was ranked third.

Recommendations:

From our research, most respondents are most aware of Dicks Sporting Goods. They

seem to be most popular and well known to people our age. Even though our respondents are

most aware of Dicks Sporting Goods, this doesn’t mean they are not aware of the other sporting

goods competitors; MC Sports and Dunham’s. While shopping at sporting goods stores the most

important need is for quality products. The second most important need these customers are

looking for is selection of products. Location is the least important need when deciding where to

shop. We learned customers have their favorite store and are willing to travel slightly extra to

Page 34: CB Final

shop where they prefer the most. There are some customers though who travel to the closest

store because they are in a hurry, have no preference, and regularly do not shop at sporting goods

stores. Customers seem to want to shop at MC Sports because they have the lowest prices. They

choose to shop at Dicks Sporting goods because they have the largest selection, most convenient

location and carry the highest quality products. Dicks Sporting Goods also has the best customer

service.

With our three new concepts (team discounts, amenities, and extended product warranty)

the extended product warranty is the most promising. From our survey its shows that customs

can benefit most from having an extended product warranty. Since quality of products is the

most important attribute customers may be most interested in the extended product warranty

because they want their products to last, and get their money’s worth.

Dicks was found to be the favorite among all the sporting good stores. Their strengths

include having a wide selection of equipment and a strong equity attached to their name.

Additionally Dicks offers more in the clothing department that the other stores in shoes, womens,

and brand names such as North Face, spyder, and under Armor. People seem to like the fact that

Dick’s carries firearms and ammunition, they are one of the few stores that continue to do so.

Dick’s also has some ademidies like a putting green that catch the customers attention and even

help them to make a purchase because they can test out a product before they buy it. Some

weaknesses were store layout and high prices. Respondents also felt that Dick’s was more busy

than the other stores and that made it more crowded and less appealing. The sales

representatives at Dick’s were also thought of as a negative thing, they were seen as “in your

face” or pushy.

Page 35: CB Final

MC Sports was liked because of the store layout after the recent renovations that

happened not too long ago. It is a smaller store than Dick’s and for some that makes it easier to

find what they are looking for. MC Sports carries Central Michigan University clothing items

and other sport related items which was a positive thing that was liked along with how close their

location was to campus. Many of the people that live here in Michigan partake in winter sports.

One of MC Sports biggest strengths was that they carry winter sport equipment such as skis and

snowboards. The weaknesses of MC Sports include their location on Mission road as well as an

overall middle of the road outlook in the minds of the consumer. Also, the fact that they do not

carry as many, and as many different, things as Dick’s does was seen as a negative thing.

The biggest positive thing for Dunham’s in the eyes of the customers was the low prices.

The fact that Dunham’s store changes their products with the seasons was liked, as in they carry

sleds in the winter and tents in the spring. Dunham’s also carries certain items the other stores

do not, like rollerblades. We also found that people liked that Dunham’s has a section of their

store devoted to hunting and firearms. The negative things thought about Dunham’s were the

fact that the store felt like a warehouse and the products were of a lesser quality than those at a

competitor’s store. The store lay out felt unorganized and cluttered, some people felt that the

aisles were tight and did not give you enough room to walk around.

The following is a series of managerial recommendations, based on our research and

findings, that will help each competitor increase its market share with CMU students. Dick’s

Sporting Goods was the overall champion throughout the research process. We did find that

CMU students often found this store hard to navigate making it difficult to find what they want.

A solution to this problem would be better displayed signs in easy to read place so people could

direct themselves without any issues and avoid from asking a Dick’s employee. Products in the

Page 36: CB Final

store are organized by type and sometimes sport. If the stores had more noticiable in-store

displays customers would be able to easily recognize where he or she should go and the type of

products they would find there. For example, when looking for a water bottle at Dick’s

customers can find them scattered randomly aroudn the store. But what if a person is looking for

a specific type of water bottle, like a Nalgene or Camelback? These are not prominately

displayed and the shopper has to seek out the aisle with all the water bottles to find what they are

looking for. This isn’t good and can lead customers on a wild goose chase to find something that

is a seemingly simple purchase. Better displays in specific areas could help solve these kinds of

issues.

From our research we found that respondents had positive feelings toward MC Sport’s

with regards to the types of products that it sells. But Dick’s seems to take the cake on what

customers think and is likely because of the size of Dick’s. To improve MC Sport’s market

share the store needs to make people more aware of the types of products it offers. College

students might be surprised to find out that they can find their game-day clothing at the store.

And seasonal items provide countless promotional and advertising opportunities targeted toward

people who need specific snowboarding/ski equipment or are in the market for other seasonal

sporting goods items.

Dunham’s received the least favorable reviews and respondent averages and this was

likely because people felt like the store didn’t have what they were looking for or that finding

what they were looking for was going to be difficult due to small store size and cramped aisles.

Dunham’s could improve its market share by making customers aware of the specific items the

store sells that make it unique like a sled or rollerblades. By distinguishing itself as the only store

in town to carry a certain item, or a variety of a certain item, may bring in more customers who

Page 37: CB Final

never knew the store had what they were looking for or had something they didn’t know they

were looking for.


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