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Exploratory Report

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2014 – 2015 MKTG 3010 C
Exploratory Research Report

Team Dynasty

Group Members:
Chen Ming, Lau Man Yan, Leung Chui Ying, Liu Kwan Ho , Ng Pui Sin,
Yu Lubin
1) Business problem and research objective
According to a marketing research report released by Experian Hong Kong in 2011, Groupon is the leading group buying company in Hong Kong with market share of 62%. It surpasses the second group buying company Beecrazy which only has market share of 13%. Facing the dominance of Groupon in the market, Beecrazy hopes to find effective strategies to help itself improve and gain more market share.
Our research aims to discover what consumers care most when choosing group buying company and reveal the business problems of Beecrazy. We will research on four aspects – payment methods, credibility of group purchase platform, platform for sharing, and diversity and abundance of deals. From the research results, we hope to help mangers of Beecrazy to make good marketing and management decisions.
2) Secondary data analysis
2.1. Credibility of Beecrazy
Beecrazy’s customers sometimes fail to redeem their deals. According to Headline Daily in July this year, Beecrazy received increasing complaints from its customers. Majority of the complaints were about failing to receive products after buying the discount vouchers online. Some affected customers even reported their dissatisfying experience to the Police. Also, according to Hong Kong Economic Times in 2012, one design of Dior’s necklaces sold on Beecrazy’s website is described as “never seen before” by Dior’s head office in Paris. The authenticity of luxurious goods sold there is skeptical. Even worse, Applydaily in Jan this year revealed that Beecrazy cheated customers by providing them a much cheaper neck cream after buying vouchers for Estee Launter face cream.
From the above incidents, we discover

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