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Posted: October 29th, 2022
Background:
You are the manager of an e-cigarette store(an Vape shop) and you are planning to launch a “subscription”servicewhere customers can choose to receive bi-weekly or monthly refills of products from the store. And here’s what youneedto consider and do. 1. why do you think this “subscription” service is effective?
2. If this service is implemented, how will it change the store? How do we compare to our peers?
3. what makes this service attractive to customers?
4. what do you need to do to prepare for this service?
5. What are the possible problems you may encounter during the preparation or implementation phase?Howdoyouplan to solve them?
6. please list the details of each step of the process from preparation to implementation. 7. If you need to collect customers’ opinions, how do you need to do it?
8. How long will it take for the service to pay for itself since it will be free shipping? (Use the following data)
9. How long is the “trial” period for this service? Why is this time set?
10. From the above analysis, do you think this service is feasible?
Vape:
DATA:
Estimate
packs of
pods sold
(Monthly)
Profit
(Monthly)
Cost
increase
(Monthly)
Revenue
(Monthly)
premises:
Shipping
fee for each
order is $9
Without
Subscription
Service 800 $16,000 $4,800 $11,200
With
Subscription
Service 1100 $21,400.00 $7,140.00 $14,260.00
Total
Revenue
Increase $3,060.00
Introduction:
12pt, Time New Roman, double space, 5 pages
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