Critically Evaluating The Role Of www.dx.com

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What is it for?

According to research by Chaffey & Chadwick (2016) the role of DX.com is to be a transactional website as its main objective is to be the trading bridge between consumers and the company. The website is used to advertise the company’s latest gadgets and technology to the market as well as offering a platform to be able to sell their goods to the consumer.

Does it offer good user experience?

AIPD by Simeon (1999) outlines that effectiveness of a website is reliant on Attracting, Informing, Positioning and Delivery. DX.com attracts consumers through their brand name which is ‘Deal Extreme’. This has connotations of the best price, best deals and that the brand goes to the nth degree. Furthermore banner advertisements highlight current trends and seasons which makes the content on the webpage seem more current.

Consumers are informed through user friendliness and a simple graphical interface. The website is extremely straightforward and has the outlay of a user-friendly website. It is easy to navigate and you can use the search bar in order locate whatever you may be looking for. On the left there is a drop down section which sub-categorizes the brands offerings as well as suggestions for other products that consumers might be interested in.

Positioning of the brand is mainly distinguished through discounted pricing and a variety of goods. The brand offers technological, sometimes unbranded, goods for a fraction of the price that their branded counterparts may be priced at. They also offer branded goods for cheaper than anywhere else on the market. The brand sources from warehouses in China where they can cut out the middle man and pass the savings on to consumers. Furthermore the depth of stock they supply is endless and they have the ability to order previous products which may not be stocked anymore.

Customer support is key for DX.com as they work in the technological sector as well as the import/export so a lot of their products may come with instructions in a different language or may not work at all therefore they offer support over email and phone as well as a live assistant. Customer service is key for a technological brand as the return rate can be quite high. Also a brand like DX.com rely on word of mouth advertising especially B2B as they don’t advertise due to low margins for a lot of their portfolio of products.

Improvement?

Even though the website is easy to understand it seems cluttered in presentation which could lead to a larger bounce rate. It’s easy to search for something like a games controller however if you wanted to find a specific replacement part for it then you would have to know either the parts name or its product code which can turn daunting if you aren’t an expert. Through sub-sectioning their sections further they can index certain aspects in order to make the customer experience even smoother and increase conversion rates.

Webcredible (2017) suggest that businesses have on average ‘less than five seconds’ to attract a customer to stay on their page before they leave therefore the design of that website and it’s aesthetical feel is incredibly important in reducing bounce rates and increasing conversions. Experts ‘consider that first impression’ is vital in the image that is envisaged by consumers once they enter a site. It is important to leave a lasting impression on consumers in order to see more conversions but also to see repeat custom.

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References:

Chaffey & Chadwick, E (2016) Digital Marketing, 6th ed., Loughborough University: Pearson.

Simeon, Roblyn (1999) ‘Evaluating Domestic and International Web-Site Strategies’, Internet Research, 9(4), pp. p297-308.

Webcredible (2017) Web Design Aesthetics, Available at: https://www.webcredible.com/blog/web-design-aesthetics/ (Accessed: 31st October 2017).

Secrets of Ikea: The Socializers Case Study 2017

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Introduction: 

IKEA is a multinational group of companies that designs and sells ready-to-assemble furniture, appliances and home accessories. As the world’s largest furniture retailer, the organization employs almost 160,000 people across 365 stores in 45 countries. (Ikea Case Study, 2017)

Research Question:

What makes Ikea so successful and how could a business implement similar techniques.

Analysis:

IKEA’s holds a high percentage of market share today due to good implementation of standardized business models. This has helped them sore to the top of flat package furniture within the UK specifically  but also another 44 countries. 

In 2011 the ONS estimated world population to have reached 7 billion on 31st October 2011. The Executive Director of the United Nationals Population Fund, Dr Babatunde Osotimehin, said:- “A world of 7 billion is both a challenge and an opportunity. Globally, people are living longer healthier lives and choosing to have smaller families. But reducing inequalities and finding ways to ensure the well-being of people alive today – as well as the generations that follow – will require new ways of thinking and unprecedented global cooperation” (UN, 2011).

Since 2011 the UK has also highlighted it’s aging population (ACL. Gov, 2017). In this day and age, with an increasingly technologically witty population, Ikea aim to target the ‘Socializers’ in order to get all important feedback to help the company grow. Ikea introduced ‘The Listening Hub’ which allowed key IKEA stakeholders to view what customers were saying about the brand in a digestible and engaging way (Ikea, 2017).

Within a 3 month period in 2016 Ikea had implemented The Listening Hub. It had helped them to discover a number of insights. One Example Brought to the attention of the Digital development team by Brandwatch Vizia was the differences in the perception of the brand’s customer service across different regions (Ikea 2017). Different countries had different views on the companies customer services and they also had different methods of reporting their dismay.

In the US, customer service complaints on Facebook made up to 36/5% of the total conversation during the studied period in 2014, compared to just 5% in the UK over the same time period.

Evaluation:

Ikea is one of the biggest social influencers in the world due to the vast majority of countries they operate in but also due to the product nature. Increases in world population is a boost for the brand as there is an increased demand for more furniture but also innovation in the sense of space saving creations.

‘The Listening Hub’ has helped Ikea’s shareholders develop an understanding of customers needs and wants. It has also be a solid platform for feedback based on consumers experiences with the business. Over ’15 senior stakeholders where engaged over 5 different continents’ (Ikea, 2017) therefore it shows the effect of the feedback can effect stake/shareholder decisions in order for them to create a brand and products viable and acclaimed by their consumers.

Data collected also shows disputes between customer service satisfaction between different continents. In the UK it was recorded that only 5% of products sold received a complaint over Facebook however in the US numbers soared to over 35%. This could relate to our aging population finding it easier to use Ikea products however with nearly a 70% increase in complaints between the UK and US it is definitely something that should be searched more into.

>READ<<

Ahmed Allam

a.badr-allam1@uni.brighton.ac.uk

References

IKEA (2014) The IKEA Group – The Story of How We Work , Available at: https://www.youtube.com/watch?v=1jn2_nZrivQ (Accessed: 17th October 2017).

IKEA (2017) Case Study/ Ikea & The Socializers , Online: IKEA.

The Office for National Statistics (2012) Measuring National Well-being, Social Trends 42- Population, Online: The Office for National Statistics .

ACL.GOV (2017) Aging Population, Available at: https://www.acl.gov/aging_statistics/index.aspx (Accessed: 17th October 2017 ).

IKEA (2017) Ikea Blog, Available at: http://www.ikea.com/gb/en/this-is-ikea/ (Accessed: 17th October 2017).

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