Calyx & Corolla

Mar 5805
Problems and Methods in Marketing Management
HBS Case# 9-592-035
EMBA 11 - Team 7

Who are Calyx and Corolla's main competitors?

Conventional Gift Retailers, Online Gift Retailers

Conventional and Online Florist, Supermarket Chains
Other Direct Marketing startups (Stillwater, Floral Gift
Express)

How should Calyx and Corolla be positioned vis-a-vis the

competition?
Leverage
Direct Marketing
Efficient Distribution
Superior Pricing
Deliver
Exceed competition quality and service
Reliable freshness
Meet consumer demands

Whom should Calyx and Corolla target?

Traditional brick and mortar customers

Online/Telephonic customers
Holiday customer market
Year round floral consumer market
Corporate Customers
Specific target markets

How does Calyx and Corolla fare in terms of sustainable

competitive advantage?
Pros
Resource relationship path dependency
Brand/Reputation
Pricing
Cons
Complex and fragile system
Easily copied
Skills Maintenance
Variety challenges

How should Calyx and Corolla grow?

Current Customers
Related Products
Parallel Products
Continuity Programs
New Customers
Targeted Marketing
Unrelated Products

How fast does Calyx and Corolla need to grow?

Summary P&L Statement (000)
Current

Projected

Sales

10,259

15,163

Cost of Goods Sold

2,452

3,487

Gross Margin

7,807

11,676

Sales and Marketing

7,021

10,104

General and Admin

1,213

1,459

Net Profit (Loss)

(427)

113

Market Penetration
Name Recognition
Sustain projected growth
Improve operational efficiencies
Sales and Marketing cost