Yeti Card & Gifts is a well-established retail store that offers a wide selection of cards and gifts. Yeti’s motto, “Fun Function & Funky,” is what it stands for. Yeti opened in 2012 as a gift shop specializing Asian decor and gifts. Yeti quickly outgrew its original location and now is located in the Wigman Hospital/Physicians & surgeons South Building. It’s open Monday through Saturday, 10am – 6pm. Yeti is currently finishing tenant renovations on their second space, located in University Heights. The grand opening will take place on July 4th.
Yeti has managed to successfully appeal to two distinct market segments in a way that no other retail gift/card store has been possible. University students are Yeti’s first target market segment. This segment is identified by their younger age and higher disposable income relative to their household income. For many students, the years at university is the first time they are living away from home and away from their parent’s often watchful and restrictive eyes. This is why students love to use their income to the maximum extent possible, sometimes exceeding their financial resources. This market segment is home to more than 38,833 potential customers.
Yeti is also very successful in appealing specifically to the University faculty and staff as well Wigman Hospital staff and greater Cleveland Heights/University Heights residents. This segment is an older, more mature market relative. They seek a friendly, safe environment that combines youthful excitement with a touch of nostalgia. This segment has more than 191,590 potential buyers.
Yeti’s competitive advantage is their ability serve two market segments simultaneously, something that no other gift/card shop can do. Yeti is able to do this because they have two competitive advantages. The first is a wide product portfolio that appeals to both markets. This idea is well captured by Yeti’s motto, “Risque not Raunchy”. Although some products may be a little too outrageous or offensive for their intended purpose, they are all within the realm of acceptable taste. This creates an atmosphere that has an edge, but one in which anyone would feel comfortable. This wide product span helps allow Yeti to serve two distinct sets of customers. However, a wide product range is not enough to satisfy all customer segments. Their competitive advantage is their high-quality customer service. This supports their large product range. Customers feel comfortable shopping at the store and are welcomed. Each Yeti employee has been trained to provide a friendly, warm, and welcoming environment for customers. Sales staff are aware that customers need assistance and will provide it. The customer will leave the store feeling that Yeti exists to cater to their individual needs.
Yeti Cards & Gifts, which has been in business for nearly two years now, has demonstrated that they are able to meet the needs of two distinct customer segments. The Yeti concept is being led by the husband and wife team of Dan and Ishada Gordon, both of whom bring a wealth of experience and skills to the company. Yeti is currently preparing for the grand opening of their second location and its overall growth looks quite promising. With a net profit of 5.96%, and 7.59%, the sales forecasts for Year 3 and 4 show revenue of $169,000 and $180,000 respectively.
Yeti Cards & Gifts’#8217’s goal is to bring new products to customers and staff in a fun and friendly environment. Our top priority is customer satisfaction.
“Fun, Functional, and Funky” is Yeti’s motto.
1.2 Keys to Success
Here are the keys to success
- Offer products that have a high quality/value relationship and are not widely available. This is crucial for maintaining niche markets mentioned in the Executive Summary.
- Advertise and promote in areas where our target customers will find out about our store.
- Continuously reviewing inventory and sales, and then adjusting inventory levels accordingly.
Yeti has two objectives for the organization. These objectives are ambitious, but achievable. You can track and develop your progress.
toward the goals, the organization will push everyone to perform their best.
- To increase your visibility and sales potential, open a second shop in University Heights.
- Open a third location in Year 4.