Use of company branding in the marketing mixIntroduction.The JB HI-FI company brand has established itself as a leader amongst Australian home entertainment retail stores. Their philosophy has always been to provide Australians with the cheapest prices and biggest range. As a value player in the entertainment electronics retail market, JB HI-FI has continued its’ marketing theme of “Cheapest Prices Always”. Having grown from ten retail outlets in 1999, JB HI-FI now has 141 stores (Australia: 131 NZ: 10) with $2.731 billion of sales for the year ended 30 June 2010. JB Hi Fi is Australia’s largest home entertainment discount destination store. For over thirty years their philosophy has always been to provide Australians with the cheapest
JB HI-FI retails the same big brand products as its’ major competitors and has not waived from its deliberate low end branding. The selection process for each new retail outlet is based on occupancy costs, demographics, and local competition. Stand alone locations must be in high traffic areas, good visibility with easy access and ample parking. Branding is particularly important to destination stores as they rely solely on customer awareness of their existence. Shopping centre locations have the added benefit of high volumes of consumer floor traffic through their door. This creates sales of impulse purchases such as music, movies and video games while also lowering advertising costs.Organic growth occurs with regular purchases of soft or small products such as music, movies and games at discounted pricing creates consumer loyalty, these loyal consumers return to JB HI-FI when making larger more expensive purchases such as televisions sound systems, technology and communication products. PromotionWhen entering a JB HI-FI store don’t expect to find sales consultant’s in neatly dressed uniforms or perfectly lined shelves, what you will find is people who know what their selling. No uniforms, casual upbeat attitudes and expert product knowledge. They are living the demographic lifestyle they are selling.