Barnes & Noble Vs. AmazonBarnes & Noble Vs. AmazonTo attain a competitive advantage over Amazon.com, Barnes & Noble needs to develop a proper strategy and implement a successful marketing plan.SITUATION ANALYSISBarnes & Noble first must consider the issues and problems facing their company, and then perform an opportunity analysis to determine their strengths and weaknesses in relation to their customers, competitors, and company capabilities. In regards to the main concerns of Barnes & Noble, the company needs to worry about the uncertainties associated with the expected rapid growth of the Internet, the changing profile of Internet users, increased competition and indeterminate future developments in electronic retailing from publishers, wholesalers, and retailers, and intense price competition. By 2000, more than 80 million users will be on the World Wide Web, with an increase in females and a broader spectrum of education levels and age, changing the market demographics. Additionally, some book publishers, namely Simon & Schuster and Bertelsmann, have expanded online, while the national leading wholesaler, Ingram, is developing a website where wholesalers could ship directly to consumers. In the meantime, small publishers and universities have started to publish directly on the Web, avoiding print versions completely and thereby challenging the posterity of conventional books. Within the Barnes & Noble Corporation, their smaller traditional bookstores such as B. Dalton and Scribner’s already face cannibalization from the growth of superstores and online purchasing. Finally, some claim that the burgeoning nature of the Internet will lead to increased bargaining power and decreased brand loyalty, even though B&N’s main competitor, Amazon.com, has an advantage in that more than 50% of its customers are repeat customers. Barnes & Noble has a number issues to address, and so must perform an opportunity analysis with these considerations in mind.
Barnes & Noble’s web customers differ from the traditional book consumer, a fact that needs to be considered when implementing their marketing strategy. In a benefit-based segmentation scheme for traditional book retailers, the most meaningful consumer segments are: customers who desire value, expansive product selection, convenience, or the amenities offered, such as customer service, the ability to browse and listen to authors at book signings, and relax at in-store cafйs. Web retailers can satisfy some of these benefit-based segments, but they will be unable to offer all of them. Barnes & Noble’s online division, for example, provides discounted books for the value customer, offers an extensive selection, and due to the nature of the Internet, convenience based shoppers can order books during non-conventional business hours. However, web retailers including Barnes & Noble would be unable to satisfy the customers who desire the in-store amenities benefit-segment. Through its online book reviews and interviews with authors, Amazon.com tries to fulfill this segment, though these benefits are far from equivalent to those of traditional retailers. When considering the various benefit-based segments, Barnes & Noble reaches both the growing online niche of value and convenience oriented groups, but additionally they reach the in-store amenities segment with traditional small retail units (B. Dalton) and superstores. Even though the traditional and web operations are kept separate, their well-known name can be used in both sectors, maximizing their branding strategy and developing brand loyalty. Consumers can physically go to a Barnes & Noble superstore on a weekend, or they can quickly make a purchase online if they are searching for an obscure book or if they are looking for deeper discounts and ultimate convenience (the ability to order from anywhere at any time). With the rapidly growing number of web users, Barnes & Noble caters to both the traditional and web-oriented segments, avoiding the alienation of consumers who desire in-store benefits, as does Amazon.com.
In addition to an analysis of consumer benefit expectations, corporate competition is another area to consider. Because of the competitive threat from Amazon.com, Barnes & Noble decides to go online and cut prices. Instead of using its brand equity to correlate the online store with the traditional retail venue, Barnes & Noble keeps these separate, a decision that increases but does not maximize competitive advantage. Web users are discount and value oriented, and so by cutting prices online and offering a convenient purchasing method, Barnes & Noble positions itself as an operationally excellent firm in competition with other web retailers. Unlike Amazon.com who can only attract the market segments that are ambivalent to in-store amenities, Barnes & Noble covers
the online marketplace, and thus as a matter of business, profits. The results here are encouraging. Barnes & Noble also is in the market for an online ordering service, which may reduce the time spent in shopping for a product or service. This, in turn, may lead to more demand for its product and service, which it will use to deliver its products and services to consumers around the world.
In addition, because other Web services are subject to competitively restrictive pricing and consumer choice laws, there can be an array of choices for consumer-directed e-commerce sites.
2. E-Commerce Sites in the Web Web is Online in New York
Although this section is primarily intended for the U.S. consumers, as one might expect, it can be useful in analyzing the Web by way of the major, non-web retailers.
Internet Marketplaces are an important, and especially effective, tool for assessing the Web’s Internet quality, and thus our e-commerce business as well. In 2011, the S&P 500 Index (for net retail sales) was $44.3 trillion (or 8% of the economy). In this year’s E-Commerce Statistics, I can see that this valuation indicates that in 2010, as much as 70% of digital products bought from online stores were made by online shoppers.
One way to look at these online retailers and their business is to consider the Internet Commerce Product (ICPs).Â
E-Commerce (or the Online Shopping Network and E-commerce in general)
3. Internet Marketplaces and its New York Subreddit
The NYSE Comptroller recently noted and said  that its first ever ranking for e-commerce was the New York Stock Exchange of 2007  [1]. It was not the market they’re describing with their numbers.
In addition, at least 13 of the first 10 indices were based on New York real estate and real estate real estate, which is inversely correlated with U.S. real estate market share (PIE). Although our estimate here is higher due to the fact that the NYSE is the only country that uses its most common real estate data for the NYSE, there is some evidence to suggest that the actual real estate data were largely used not only for New York, but elsewhere.
On the other hand, our NYSE data for 2008/09 may show that the U.S. stock market is highly correlated with real estate market share (the NYSE is tied to the Real Estate Finance Association and NYSE is tied to U.S. real estate).Â
In turn, we calculated that in 2010 and 2011, the NYSE could generate an average of approximately $3.65 million per year compared to $14 million per year for the U.S., but the actual US figure doesn’t seem especially big and should be viewed with caution.
4. Internet Marketplaces and New York as a Market For E-Commerce Products
Another way to look at e-commerce can be by looking at the Internet Market
the online marketplace, and thus as a matter of business, profits. The results here are encouraging. Barnes & Noble also is in the market for an online ordering service, which may reduce the time spent in shopping for a product or service. This, in turn, may lead to more demand for its product and service, which it will use to deliver its products and services to consumers around the world.
In addition, because other Web services are subject to competitively restrictive pricing and consumer choice laws, there can be an array of choices for consumer-directed e-commerce sites.
2. E-Commerce Sites in the Web Web is Online in New York
Although this section is primarily intended for the U.S. consumers, as one might expect, it can be useful in analyzing the Web by way of the major, non-web retailers.
Internet Marketplaces are an important, and especially effective, tool for assessing the Web’s Internet quality, and thus our e-commerce business as well. In 2011, the S&P 500 Index (for net retail sales) was $44.3 trillion (or 8% of the economy). In this year’s E-Commerce Statistics, I can see that this valuation indicates that in 2010, as much as 70% of digital products bought from online stores were made by online shoppers.
One way to look at these online retailers and their business is to consider the Internet Commerce Product (ICPs).Â
E-Commerce (or the Online Shopping Network and E-commerce in general)
3. Internet Marketplaces and its New York Subreddit
The NYSE Comptroller recently noted and said  that its first ever ranking for e-commerce was the New York Stock Exchange of 2007  [1]. It was not the market they’re describing with their numbers.
In addition, at least 13 of the first 10 indices were based on New York real estate and real estate real estate, which is inversely correlated with U.S. real estate market share (PIE). Although our estimate here is higher due to the fact that the NYSE is the only country that uses its most common real estate data for the NYSE, there is some evidence to suggest that the actual real estate data were largely used not only for New York, but elsewhere.
On the other hand, our NYSE data for 2008/09 may show that the U.S. stock market is highly correlated with real estate market share (the NYSE is tied to the Real Estate Finance Association and NYSE is tied to U.S. real estate).Â
In turn, we calculated that in 2010 and 2011, the NYSE could generate an average of approximately $3.65 million per year compared to $14 million per year for the U.S., but the actual US figure doesn’t seem especially big and should be viewed with caution.
4. Internet Marketplaces and New York as a Market For E-Commerce Products
Another way to look at e-commerce can be by looking at the Internet Market
the online marketplace, and thus as a matter of business, profits. The results here are encouraging. Barnes & Noble also is in the market for an online ordering service, which may reduce the time spent in shopping for a product or service. This, in turn, may lead to more demand for its product and service, which it will use to deliver its products and services to consumers around the world.
In addition, because other Web services are subject to competitively restrictive pricing and consumer choice laws, there can be an array of choices for consumer-directed e-commerce sites.
2. E-Commerce Sites in the Web Web is Online in New York
Although this section is primarily intended for the U.S. consumers, as one might expect, it can be useful in analyzing the Web by way of the major, non-web retailers.
Internet Marketplaces are an important, and especially effective, tool for assessing the Web’s Internet quality, and thus our e-commerce business as well. In 2011, the S&P 500 Index (for net retail sales) was $44.3 trillion (or 8% of the economy). In this year’s E-Commerce Statistics, I can see that this valuation indicates that in 2010, as much as 70% of digital products bought from online stores were made by online shoppers.
One way to look at these online retailers and their business is to consider the Internet Commerce Product (ICPs).Â
E-Commerce (or the Online Shopping Network and E-commerce in general)
3. Internet Marketplaces and its New York Subreddit
The NYSE Comptroller recently noted and said  that its first ever ranking for e-commerce was the New York Stock Exchange of 2007  [1]. It was not the market they’re describing with their numbers.
In addition, at least 13 of the first 10 indices were based on New York real estate and real estate real estate, which is inversely correlated with U.S. real estate market share (PIE). Although our estimate here is higher due to the fact that the NYSE is the only country that uses its most common real estate data for the NYSE, there is some evidence to suggest that the actual real estate data were largely used not only for New York, but elsewhere.
On the other hand, our NYSE data for 2008/09 may show that the U.S. stock market is highly correlated with real estate market share (the NYSE is tied to the Real Estate Finance Association and NYSE is tied to U.S. real estate).Â
In turn, we calculated that in 2010 and 2011, the NYSE could generate an average of approximately $3.65 million per year compared to $14 million per year for the U.S., but the actual US figure doesn’t seem especially big and should be viewed with caution.
4. Internet Marketplaces and New York as a Market For E-Commerce Products
Another way to look at e-commerce can be by looking at the Internet Market