
Our recommendations
SAVE
The idea of the SAVE analysis is that it is a much more customer relationship oriented product mix model that the 4 P’s (Tahir Ahmar W., 2012) and then this one is much more relevant to use than any other because, in our case, Belgian inhabitants aren’t involved in book sharing yet and some campaigns, partnerships or communication strategies are needed to spread BWB’ positioning in Belgium and so make its business model appealing.
SOLUTION
To make BetterWorldBooks’ activities relevant in Europe, these activities must fill a need for the consumers in the best way that is possible.
Furthermore, it is much better to give a solution which is differentiated and especially adapted or original – it can help - to our targeted segments (Kotler, 2012).
BetterWorldBooks is targeting students, who tend to have financial difficulties, and adults who want to find books that are difficult to find.
The books that would be proposed would be more restricted in physical stores than on the website: physical stores would propose very popular sorts of books, such as adventure, fantastic, science fiction, essays, educational, artistic books, comics and some others too but fewer choice.
The key factor of the service is that BWB represents a really ambitious objective: bringing literacy all around the world, through a book distribution policy, which is one of the differentiation strategies of BWB amongst its competitors.
Then, this service responds to many problems:
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First of all, the book collecting system is a very good way to help people to make space in their residency and it is becoming more and more relevant now because Brussels is a very attractive city in Belgium and people don’t read as much books as before and so they wouldn’t be so reluctant to get rid of these ones.Another very interesting fact to take into account is that people tend to move much more and don’t live in a very stable place, especially concerning Generation Y but also the next generation (Knobler, Mahmoud, Lemon & al., 2006) so it makes BWB collecting system even more relevant.
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After this, the second-hand books selling is also responding to a problem: books are still very interesting to buy and it can be very expensive to have all that anyone may need, especially for students who have a very limited budget for all their activities, then it is a great solution to propose cheap second-hands books, which are in a good estate, thanks to a selection after collecting.This selling system is also very interesting to people who want to find books that aren’t very easy to find because they aren’t published or printable anymore, this problem concerns more the segment of relatively aged people with a good level of education (Abebooks, 2004)...
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… and last but not least, the collecting system is an alternative way to replace the throwing of lots of books in trash cans: indeed, these books end up in landfills and it isn’t an optimal way at all to use natural resources in a proper way; nevertheless, BWB’ business model is one of the best way to help people to recycle these wasted books.
-> The main idea about this approach is to make this possible for BWB to grab a foothold in Europe.
To target better the students and give them an incentive to donate their books, BWB must do some partnerships with universities and also with the government to promote a network amongst students.
This network would be very interesting because it would allow students to get rid of books that they aren’t reading much more and then new students would benefit from those books for a very low amount of money, it is of course very hard to implement such a cooperative system but it is one of the best ways to diffuse knowledge amongst students, this is why it would be interesting for universities.
Then there are two problems with this idea: students are reluctant to share their books for free so BWB must buy it for a very low price though and then BWB must have book estimators in its Belgian staff; the other problem is that most student would be likely to benefit from the sharing action of the other students and so there would be a high risk of free riding effect and so the promotion must be very efficient, for instance through lobbying and then some public medias and universities would speak about BWB’ opportunities for students and other people, this is the main idea of the sharing economy that must be more widely spread in Belgium (see the ‘education’ part of this analysis for further information).
About the website attractiveness, it is very important to insist on the fact that there is a much large selection of books in the website, it is a critical factor for people older than 45 years old, who are more likely to look for books that are difficult to find in another way than in the second-hands market (Abebooks, 2004).
So it would be very convenient to demand to sellers in physical stores to kindly insist on the fact that if people are looking for precise books, they would have more chances to find them in the website than in stores that can only store the most popular kinds of books (adventure, children books, comics, books about historic events or artists, educational, and some others).
VALUE
Free shipping
For all orders on the BWB website, “All books are available with free shipping to any location within the US (or $3.97 worldwide) », this means the shipping is free and included in the price. However, is it not a competitive advantage compared to Amazon, because once you add the price of shipping to Amazon’s first landing page for my book, the price of a used copy of my book on Amazon or BWB is exactly the same.
The profit:
Imagine a customer with a choice between two websites to buy a book at the same price. The first will donate 8 % of the profit from the sale to a literacy organization and give at the customer’s free shipping. The second takes 100 % of the profit and the customer pays for the shipping. It’s the main difference between BWB and Amazon.
When comparing the price strategy between Amazon and BetterWorldBooks, it can be seen that BetterWorldBooks has, in average, cheaper prices than Amazon. This difference is mainly because Better World Books receives a great amount of its books through donations from more than 1,800 college campuses and partnerships with over 2,000 libraries nationwide.
For every book that Better World Books receives as a donation - with the exception of library donations that often include a financial donation to the library -, the company’s only cost is collecting the books and stocking them on the shelves, enabling a much higher margin on used book sales than traditional for-profit competitors. The increased margin on used books allows BetterWorldBooks to take a lower margin on new books, creating an online store that is price competitive with the ones of Amazon.
BetterWorldBooks demonstrates how a mission-oriented business model can change the competitive dynamic in a market. A company that donates 8 % of its profits to literacy programs is able to compete with the prices of the largest online retailer in the world. Obviously, for the expansion in Europe, and after the UK, BetterWorldBooks has to keep the same price range and has to mantain the same US business model to offer in Europe.
We can add a promotional offer, indeed, when customers donate books they could receive a discount coupon for the next purchase in the website of BWB.

ACCESS
The access to the future solution of BetterWorldBooks is also a critical aspect to consider because it must be available to as many customers as possible and this customer likes to have many ways to get BetterWorldBooks’ services, it is because of this fact that BWB must develop a multiple distribution strategy, namely online selling and also in physical stores, like in BWB’s former strategy.
The most important aspect of this business model, based on the fact that channels are bringing more possibilities for the customer, is that our team is proposing to do a multi-channels marketing, by mixing the presence of physical stores and an online website where the whole range of collected books are available.
Indeed, it may be very interesting if different channels are used for different of products segments – for example, online retailing for relatively rare books and physical stores for more popular books.
It is hard to adapt this to the second-hand books market but it must be possible to develop when a better selling database will be developed (Poirel & Bonet Fernandez, 2008).
Even though there is a risk of cannibalization between channels or, even worse, a risk of mark-up reduction due to a higher competition in the online market and a better comparison amongst selling propositions, BWB has all its interests to propose different way of selling second-hands books because it gives a real competitive advantage to BetterWorldBooks because most of their competitors aren’t doing it now (if we aren’t considering Fnac’s successful case).
In fact, BWB would propose many ways to find its products and services or to collect them; furthermore, a well-integrated clicks and mortar system, which allows to switch easily from one distribution channel to another, is a very good way to develop a strong cooperative network between customers because it would be easier to become consumer and supplier (through donations) at the same time.
This strategy is critical to develop BWB’ notoriety and brand awareness.
To present our recommendations, it is much more relevant to describe these access possibilities in a more practical way:
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Concerning physical stores, those ones would be situated in places that are related to our targeted customers, i.e. young students who are concerned about the environment, many places would be fitting to this but one would be particularly interesting: it is near Flagey Square, because it is not far from the ULB, it can be a quiet place where to buy books and there is also enough animation there to bring people in stores, the rent is also lower than what would be demanded in the center of the city (where Saint Gery’s neighborhood would do perfectly too, because it is a place where lots of young people are).
This lower price allows the company to establish itself in quite large stores; those would be in green – like BWB’ logo, to reflect the idea of ecological responsibility and calm, the personnel must also be passionate about books and friendly, it would be also possible to read a little the books to be sure about the quality, there would be many seats to make it comfortable. Other places could also be chosen to address BWB’ offer to different universities or different segments, if there is an expansion of the demand in Brussels. We advise to create a real atmosphere around the books. For example: create a bar or a food area to lunch is the same area. Always in order to traget students, we advise to add a space for washing machine.
Through this space, students lack of time may choose their books and doing laundry (why not with a way to recover water for reuse, always in the environemental objective).
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If we speak about the collection, the place where collecting stations are is also very important to consider and there is an advantage in comparison with the physical stores: the place is much more flexible because the collecting stations aren’t as expensive as the maintenance, management and rent of physical stores and then there are many possibilities to place them in strategic places, we will quote in the center of universities and Brussels or in the boundaries of the physical stores, it would be enjoyable to induce brand awareness to Brussels inhabitants.Of course, the collecting network must be as clean as possible to reflect BWB’ idea of social responsibility, respect and sharing so every tag or similar thing on collecting stations would me systematically erased to maintain this proper image.
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Concerning BWB’ website, this one wouldn’t be very different from the one that exists in the USA and the UK, which are roughly the same, because this website is user-friendly and also very well designed and structured, the creation of another completely different concept of website may be very expensive and also take a very long time, so it would be risky to make another website for BWB’ trial in Europe, we recommend to keep it like it is to be able to launch BWB’ service as fast as possible and then being sure to implement a system that isn’t present in Brussels yet.Another very interesting aspect is that keeping the same template for the European website is a very good idea to benefit from economies of scope, which are very important to consider here.It is clear that the books would be delivered by the customer and with free shipping, which is very attractive or in a BWB store of their choice.
EDUCATION
BetterWorldBooks is famous in the US, whereas in Europe is not greatly known.
There are two kinds of communication: for customers and for shareholders. In this case, we will concentrate on the communication for customers.
We would recommend to launch a communication campaign aiming to educate our customers, specially, about the possibility to donate books and the opportunities it gives to other people, and to buy books on the website.
In order to achieve this, is necessary to improve the brand communication strategy.
At the moment, BetterWorldBooks has a very little budget for marketing and communication. The main way ocommunicating is through a digital strategy, which includes via their blog [1], Facebook [2] and Twitter[3].
Moreover, BetterWorldBooks has a newsletter to communicate with its loyal customers. This allows BetterWorldBooks to create a relationship with their customers, important for obtaining their loyalty and also, to gather data of their needs. For the communication strategy in Europe, it is important to keep this digital strategy:
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First of all, social media, as it shows a modern and innovative image of Betterworldbooks.
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Secondly, it permits to stay competitive in regards of Amazon
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Thirdly, the marketing strategy aims to "ecology" and "modern", two values important for BetterWorldBooks and its positioning. This strategy is consistent with the companys' vision and culture.
As BetterWorldBooks is an online book retailer, technology is a major aspect. The diagram below illustrates the focused investment on technological aspects for both existing and new Advancements to target various new and existing systems for becoming more efficient and hence generating more ROI (BetterWorldBooks, 2013)
When expading in Europe, BetterWorldBooks' campaign should be also followed with the development of a "mobile app". This will make customers familiarize with the company and its values. The app should include different features: search for near dropboxes and points of sales, a link to the BetterWorldBooks website and tips for books in general.
Regarding the advertising and public relations, BetterWorlBooks has to implement print campaigns to improve the notoriety of the company within people. For example, with posters in universities, in coffee shops near the university area, etc.
"Green drop boxes" are an essential way to communicate. The green is the color of BetterWorldBooks and this color is a good way to catch and attract the eyes of students or other prospects. These boxes are a good way to memorize our brand. So, we need to put boxes in strategic areas where there are a lot of traffic and is consistent with our target. For example, green boxes are put in Central Park, a very good location to attract people. In instance, we can place green boxes in near to the “quartier Latin” in Paris (a student area), in “Bois de la Cambre” in Brussels, and everywhere there are student areas, campus.
