Woot.com - Selling to Geeks
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ICMR HOME | Case Studies Collection
Case Details:
Case Code : MKTG223
Case Length : 15 Pages
Period : 2007-2008
Pub Date : 2009
Teaching Note :Not Available
Organization : Woot, Inc.
Industry : Online retailing,
Electronics
Themes: Business Models /
Strategic Marketing /
Online Consumer Behavior
Countries : US
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Please note:
This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
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Excerpts
Developing A Unique Business Model
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In 1994, Rutledge, a college dropout, started a distribution company called Synapse Micro Inc. (Synapse) in Dallas, Texas. The company took on the task of selling computer components like motherboards, video cards, etc...
Facets of the Business Model - 'One Day, One Deal'
Customers had to register at the site before they could begin making purchases from Woot. Payments could be made through various credit cards, and through Paypal. After an order was processed, the customer was sent a brief email...
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All about the 'Woot'
Even though it had started out selling computer components, Woot began offering electronic gadgets and other items like dog bowls, blenders, vacuum cleaners, watches, etc. over time. According to an article in New York Times, around 25% of the products sold through Woot had been refurbished, some were becoming obsolete, and others were surplus.
About Woot, Ryan Block, Founder and Editor-At-Large for consumer electronics blogs, Engadget said, "They're not really the place to go to get your cutting-edge product, but they are a really good place to find deals. They fill that niche really well."
Excerpts Contd...>>
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