This case replaces UVA-M-0837. It can be used in a variety of marketing and strategy classes to understand how (1) at a macro level, a shift in consumer and environmental factors can impact firm strategy and (2) at a micro level, an e-mail-based marketing campaign designed to address these changes can impact firm-level performance. The case puts the students in the position of CEO Robert Huth as he is preparing for a board meeting. He had taken David's Bridal from a loss in 1996 to sales of over $1 billion by 2011, but he was concerned about future growth. People were waiting longer and longer to get married and, once they decided to, were spending much less than in the past, so the industry had seen year-over-year declines since 2007. How would David's Bridal establish its brand in the minds of a new generation of brides who shopped, purchased, and decided differently than had brides in past generations?
Culture is a highly complex set of learned behaviors that function at multiple levels. Cultural challenges go beyond overcoming language differences and navigating different national legal systems. Cultural values interlock with many national systems, which influence the way business is developed and how deals are made. Managers who understand how to navigate such differences are in high demand.
Heather Day, a marketing director and brand manager, must evaluate her options for Progressive Insurance's next Snapshot product advertising campaign. Working on a limited budget, Day must select between employing television ads featuring the popular character known as Flo and continuing with the launch of advertising campaigns already in use, such as "Rate Sucker." The case places Progressive's proposed advertising campaign into a broader historical context and asks how the Snapshot product both fits into the company's current business model and affects its channel strategy. Students are presented with a myriad of exhibits that help make this authentic marketing scenario come to life.
This case is used in Darden's required EMBA first-year Marketing course. It can also be used in course modules covering Pricing or Brand Management. In the case. a financial analyst considers a presentation by an investor in J. C. Penney and the implications of the company's turnaround strategy. This case provides an alternative approach to the market positioning discussion in the two-part case, "J. C. Penney: Reinventing Fair and Square Deals (A and B)" (UVA-M-0835 and UVA-M-0836). It includes the views of the CEO of Pershing Square Capital Management, who holds more than 18% of the company's stock and believes the company is poised for a major turnaround.
The new CEO and the new president of the J. C. Penney Company, Inc. (JCP), invigorate the company with a new pricing strategy based on "Everyday Fair Prices." Is the initial market reaction an indication of likely success? This first part of a two-part case contextualizes the initiative and provides a means of exploring differentiation in an evolving market.
In this second part of a two-part case, the results of an innovative new pricing strategy for a venerated department store are reviewed and its positioning going forward is explored.