Build-A-Bear Workshop Inc Case Study

Abstract

Build-A-Bear Workshop, Inc. is an American retailer company that sells stuffed animals. It is a unique store because you make your own stuffed animal. Like some other entrepreneurial successful stories, Build-A-Bear was born because someone saw the opportunity where there was a need. When Maxine and her friend were out looking for a stuffed animal at a mall, they got frustrated because they could not find what they were looking for. Maxine's friend commented that stuffed animal were so easy to make that she wanted to make one. Maxine at that time realized that her friend's comment could lead to a potential business opportunity and started looking at possibilities. They started asking adults around, about the idea of opening a store where you could build your own stuffed animal. Every adult they surveyed could not comprehend why someone would go to a store to create their own stuffed animal were they could just go and buy it. On the other hand and to their satisfaction, every kid they asked about the idea of creating their own stuffed animal said, "Where is it?" and, "When can I do it?"

Maxine knew very well how important a teddy bear is to a kid, being herself very much attached to one, and with that idea in mind and the encouragement of the kids that were surveyed, Build-A-Bear Workshop opened its first store in 1997.

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Build-A-Bear Workshop®

Build-A-Bear main focus is to deliver innovative products so guests who visit the stores experience the "funnest" time, while making their own stuffed animal. You can easily spend an hour making, dressing and registering your teddy bear. It is well known the importance of a teddy bear in the life of children. Maxine and her friend targeted children to make their business as successfully as it is now and continue to be. They wanted to open a store where children could make their own stuffed animal but in a fun and genuine way.

They went step by step through the process of making a stuffed animal from beginning to end and integrated some fun lifelike steps along the process to make sure guests would leave the store completely satisfied. By making sure guests were pleased, they were also looking at the opportunity of "word of mouth" marketing. They were confident that happy customers will tell family and friends how great the experience of making their own stuffed animal was, increasing sales growth. Based on the information in their webpage, as of December 31, 2011, "the company operated 346 company-owned retail stores in the United States, Canada, the United Kingdom and Ireland, including 288 Build-A-Bear Workshop® stores in the United States and Canada and 58 Build-A-Bear Workshop® stores in the United Kingdom and Ireland. In addition, franchisees operated 79 Build-A-Bear Workshop® stores in other international locations. "

One of their business strategies was to create the store in a fairy teddy bear environment décor that include eight stuffed animal making stations: Choose Me, Hear Me, Stuff Me, Stitch Me, Fluff Me, Dress Me, Name Me, and Take Me Home. There are Bear Builder's associates around the store that help you through the eight stations. The experience of going through the eight

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stations to create your own stuffed animal is a memorable one when shared with family and friends. And that is what it counts at Build-A-Bear Workshop®.

At Choose Me station, guests come across a great selection of characters to choose from. They not only have bears but kitties, lions, dogs, bunnies and also time edition selections. According to their website they have more than 30 varieties of stuffed animals with a price ranging between $1 - $30. This is the first of the eight stations before your stuffed animal is created and registered.

At Hear Me station, you can personalize your character by placing a chip inside with different sounds from giggles, laugh, heartbeat effect, happy birthday bear song, oink sound, Minnie sound, to customize sounds where you can actually record your own message or song.

At Stuff Me station, is where your character comes to life, per say. With the assistance of a Build-A-Bear associate, your character is stuffed to your liking. This station is probably the most special one because you choose you choose a small satin heart -shaped pillow to put inside it. The process is that you warm it with your hands, make a wish, kiss it and put it inside your stuffed animal. A great experience even for adults (I speak from experience).

At Stitch Me station, the last stitch is completed. To make this whole experience more satisfying for customers, a barcode is inserting before the last stitch to easily track and identify it. This is a good business strategy making it basically unique and competitive advantage. The barcode helps to identify who the owner was if it ever gets lost and it is return to the store. The barcode also gives you a unique code you can use to register your friend at bearville.com, their interactive webpage.

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At Fluff Me station, you just brush him off any residual and get it ready for dressing and registering.

At Dress Me station, you go through this countless racks of clothes to dress your new friend. They have from pajamas, costumes, night gowns, to complete outfits such as ballerinas, skating, etc. This is the station where I think most customers spend most of the time while in the store. Again, the experience is very unique and very competitive advantage. It is also of great value considering that you not only take home but you can actually interact with others online.

At Name Me station, is where you registered your newborn. It asks a couple of questions like your newborn friend and date of birth to then print out a birth certificate. The information also registered the stuffed animal into their Find-A-Bear ID program.

At Take Me Home station, you finalize your Build-A-Bear experience. You will receive a birth certificate, club membership and customers reward program information. They also put your new friend in a carrying case that looks like a condo with handles to easy carrying him home.

Build-A-Bear Workshop® is very unique within the Toys and Games industry making the stuffed animal buying experience once that is very hard to compete. They are actually competitive advantage in its fields when it comes to buying a stuffed animal. Build-A Bear is very customer oriented and is always looking for ways to