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Product cover image for FlowerAura: Resolving The Growth Conundrum

FlowerAura: Resolving The Growth Conundrum

Jaydeep Mukherjee

Product #:W32211
Supplier:MDI/Ivey
Discipline:Marketing
Setting:India, 2022
Details:Case (PDF) • 10 pages • 2023-03-22

Subjects:

Customer lifetime valueMarket researchSales and marketingMarketing

Industries:

Goods, trade, and consumer services

Geography:

AsiaIndia
Your Price:$10.54

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FlowerAura.com (FA)—established in 2010 in Gurgaon, India—was an online-first gifting company. FA offered door-to-door delivery of flowers, cakes, and gift items, along with personalized messages, across two hundred cities in India. In early 2022, the co-founder and chief executive officer of FA needed to revitalize the FA brand to drive sales and margins. He debated whether to (a) adopt a more aggressive sales initiative, which would elicit strong competitive retaliation, or (b) build the FA brand, which could increase the gross margins without a competitive response. The bottom line was that he had to make the best decision for his company in the short and long term.

Learning Objectives

By working through the case and assignment questions, students will have the opportunity to do the following: • Discern the complexity involved in marketing a product and service with two stakeholders experiencing information asymmetry. • Understand the relevance of tangible products, services, and intangible experiences in consumer decision-making. • Understand the challenges encountered in budget allocation for two very different marketing initiatives—sales promotion and brand building. • Make simple calculations, such as customer lifetime value and impact on revenue, using case facts and some reasonable assumptions.
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Case Study: FlowerAura: Resolving The Growth Conundrum (English version) | Ivey Publishing