Question
How fast they grow, ( HFTG) a small retailer of quality second-hand children's clothing, thrives on the sale of a vast inventory of children's clothing
How fast they grow, (HFTG) a small retailer of quality second-hand children's clothing, thrives on the sale of a vast inventory of children's clothing placed there on consignment. Its clientele is the result of word-of-mouth communication. The small retailer of quality second-hand children's clothing has never advertised.
"Small children grow so quickly," HFTG owner commented. "Most of the clothes we carry have hardly been worn! We're extremely picky about the condition of the clothing we stock, but we sell most items at a 60 percent discount."
Because of this, many of HFTG consigners are also customers. HFTG provides a way for people to sell their children's clothing, earn a few dollars, and buy the next larger size. According to the owner, "This keeps customers coming back."
1) Although HFGT has thrived merely through word of mouth, how could the business benefit from advertising?
2) What advertising message(s) might HFTG use? Explain.
3) Outline a pricing strategy HFTG might employ.Explain why this strategy would work. Outline a strategy that likely would NOT work and why.
4) Hypothetically, if the second-hand clothing concept were to be implemented in England or France, in what way(s) might clientele perceptions be different?
5) Could HFTG extend a range of products to another target, if so which target and why? If not, why not?
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