Just Candles, a supply house for scented and unscented tapers and other ceremonial candles to houses of worship, restaurants, and other establishments, has experienced a downturn in business in the last two years. Upon investigation, the owner of Just Candles learns that the same candles that they sell are available from online retailers for at least 10% less. The firm will not be able to survive if customers continue purchasing from competing online retailers. Just Candles maintains a storefront for selling candles but does not provide other services or products.
-Which of the following would most likely be a value-added strategy that could boost sales for Just Candles?
A)eliminating most candle sizes to focus on only tapers
B)visiting commercial customers to give them product brochures
C)offering classes for new customers on decorating with candles
D)lowering prices on all taper candles to compete with e-retailers
E)selling to customers in the local area using a mass marketing campaign

Question

Quizplus · Accepted Answer

Offering classes for new customers on decorating with candles is a value-added strategy because it adds an extra service or benefit to customers that they cannot get online. This strategy would attract new customers who are interested in learning more about decorating with candles, and would also create a sense of community around the store. By offering a unique service that sets Just Candles apart from online retailers, customers may be more likely to choose Just Candles over competitors, even if the prices are slightly higher. The other options do not add any significant value or differentiate Just Candles from online retailers.

Just Candles, a Supply House for Scented and Unscented Tapers