GEEK SQUAD Geek Squad is a group that

provides services to install and operate electronic products for consumers.

BEST BUY

Best buy is a leading consumer electronics retailer which purchased Geek Squad for about 3 million in 2002.

Marketing Management“GEEK SQUAD”

Our groups geeks,1) Syed Faisal Bin Syed Mahmor2) Wan Nurul Al-A’La3) Saw Chin Seong4) Yeow Chun Peng5) Feng Zhi Ling

Q1. What are the key environmental factors that created opportunity for Robert Stephens to start the Geek Squad.Change of technology

◦“As long as there is innovation, there is going to be new kind of chaos”

Consumers◦ Robert Stephens saw an opportunity to

make full use of his expertise in helping with those less uneducated in the technology field.

Easy Market◦There were no competitors at the

time he formed Geek Squad in 1994.

Q2.What changes in the purchasing patterns of (a) all consumers, and (b) women made the acquisition of Geek Squad particularly important for Best Buy?

a) (i) Consumers were beginning to see service as a critical element of the purchase.

(ii) A decrease of return rates by 25%-35% of their products.

b) (i) Women are becoming more interested in personal computers and home entertainment(ii) They also expect personal services during the purchase and installation after the purchase.

Q3(a)Based on the case information and what you know about consumer electronics, conduct an environmental scan for Geek Squad to identify key trends.i. Generally, consumers just don’t

bother to read the manual books.ii. Most of the consumer value

punctuality, friendliness and explanation in simple language to solve their problem.

iii. Consumer’s mind-set to buy new electronic products but do not know how to operate them.

Q3(b) For each of the five environmental forces (social, economics, technological, competitive, and regulatory) identify trends likely to influence Geek Squad in the near future?i. Social

Trends show that women will outspend men due to increase in interest in electronically products.

ii. EconomicsTrends show that economic situation will continue to improve as price declines and median income in the U.S for women is increasing.

iii. TechnologicalTrends show that with more new advance technology in the market it creates more complicated problems.

iv. CompetitiveTrends show that competition gives more ideas and improvements in their service to distinguish themselves from the other competitors.

v. Regulatory Trends show that in respect to electronic transfer of copyrighted materials such as music and movies and software, changes is ensured to comply with relevant laws.

Q4. What promotional activities would you recommend to encourage consumers who use independent installers to switch to Geek Squad?

Recommended promotional Activities Social Networking: Twitter, Facebook, Blogs, etc

a. Engage with online consumers to determine and respond to consumer needs in real time

b. Promote discounts and promotion to the followers.

c. Promote and advertise in the advertisement column.

Online marketing campaign: Youtube, Television

a) Hire someone to answer user questions by using humor to attract consumers.

b) Educate the users and help humanize and brand a company (popularity).

Charitable Marketing: Has the ability to tell an emotional story with powerful visuals.

a) Help to change consumer’s perception and behaviors.

b) The company will be rated more highly in the categories of trust, endorsement, bending and innovation.

Others: Newspaper, Magazines,Exhibitions Radio

THE END