promotion, distribution and branding strategies. In the following section, we analyze the situation that Tivo is faced with and follow it up with the logical sequence that helped us arrive at the above recommendations. Company Analysis Calyx and Corolla is a new company in the fresh flowers market. They have pioneered the concept of selling fresh flowers by mail. In its short lifetime, C&C has established strong relationships with many large growers, who cut flowers when ordered, thereby increasing
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A Case Analysis of Calyx and Corolla This analysis focuses on the case study of Calyx & Corolla, a mail order flower company. Calyx & Corolla is a relatively new company that utilizes a different distribution channel than conventional companies for fresh flowers. Calyx & Corolla mails flowers direct from the growers to the customers via Federal Express and eliminates the middleman (Appendix A). This permits Calyx & Corolla to provide fresher, longer-lasting flowers to consumers.
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Calyx & Corolla 1. Gap in market structure 2. Strengths/Weaknesses 3. Strengths and weaknesses of Calyx and Corolla versus a conventional retailer? 4. Markets/Benefits (recall class discussion) 5. What are they missing out on? Are they under-marketing? 6. Is Database Marketing the same as Direct Mail? How is database marketing different from conventional mass marketing? 7. What should Calyx & Corolla (C&C) do? Market Structure 1. Why does the gap in the market for C&C arise? 2
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Calyx and Corolla Case Report Introduction Calyx & Corolla was a new entrant into the $8 billion flower industry in the United States in 1991. Through the use of overnight air freight (Fed Ex), information technology, an 800 number, and a catalog, Calyx & Corolla was able to bypass three layers of distribution and provide fresh flowers directly from growers to consumers. As a result of their efficient distribution system, Calyx and Corolla changed the way flowers were distributed to consumers
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Calyx & Corolla Calyx & Corolla, a brainchild of Ruth Owades, was a phenomenal success owing to an innovative concept involving a direct delivery of plants and flowers from growers to consumers, eliminating all middlemen such as florists, shopping malls and other distributors. While Ruth Owades’ model has worked beautifully, it is imperative to adopt new approaches to building and leading organizations to be in-sync with changing times and stay competitive. Calyx & Corolla’s year-long
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reaches this segment. To reach this segment, Calyx should advertise through print media outlets whose readership values Calyx’s unique offering, namely flower longevity and freshness, and continue to pursue in-store promotion opportunities with select home décor retailers and upscale department stores. Problem Analysis Segmenting the market by looking solely at the demographic and geographic characteristics of its existing customers has led Calyx to believe that it can expand its customer base
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15.566 Information Technology Calyx and Corolla Case Questions Leslie Prince Rudolph 2/25/98 15.561A and 15.566 Example Case Writeup for Calyx and Corolla #1 – Value Added Chain The value-added chain for typical florists can be depicted as follows: Customers call in order growers distributors wholesalers florists consumers The distributors are typically located in the growing regions. The wholesalers are geographically dispersed. Most flowers are ordered directly
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How? Advantages to Firm Advantages to Customer Value Creation C&C launched a unique flower delivery system by buying flowers directly from growers, convincing them to retail, and shipping directly to customers via Fedex. C&C’s top management nurtured one to one relationships with 30 geographically dispersed growers with onsite account support for administrative tasks (e.g. stringent packaging, top-notch handwriting) Top management team comprised of veterans in flower industry (Owades)
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Calyx & Corolla: Case Analysis Calyx & Corolla is a newly founded venture in the fresh flowers selling business. With two and a half years’ experiences and practices, it has consummated over 150,000 transactions, yielding revenues in excess of $10 million and successfully pioneered the concept of selling fresh flowers by mail. However, the managers of the company, Fran Wilson and Ann Lee, are reassessing the firm’s long-term growth strategy. Although the business achieved a huge success
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INTRODUCTION Calyx & Corolla (C&C) is a mail-order flower company that entered the U.S. flower industry in 1989 and had consummated 150,000 transactions with revenues exceeding $10 million in 1991. It differentiates from the rest of the industry in a way where a unique distribution approach was adopted. By partnering with express shipping company FedEx, C&C was able to deliver its flowers to the customers directly from growers, bypassing distributors, wholesalers and retailers in the typical
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