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SDM Case

Rideau Artisanal Chandlery faces issues with its online and offline sales channels cannibalizing each other and losing a key distributor. The group recommends that Rideau adopt an omnichannel distribution approach selling lower value products online and higher value products offline. They also suggest implementing online ordering for in-store pickup to appeal to customers who prefer lower prices or experiencing scents before buying.

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Gaurav Modi
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208 views

SDM Case

Rideau Artisanal Chandlery faces issues with its online and offline sales channels cannibalizing each other and losing a key distributor. The group recommends that Rideau adopt an omnichannel distribution approach selling lower value products online and higher value products offline. They also suggest implementing online ordering for in-store pickup to appeal to customers who prefer lower prices or experiencing scents before buying.

Uploaded by

Gaurav Modi
Copyright
© © All Rights Reserved
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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Rideau Artisanal Chandlery:

Online, Offline or Bust


Group 4

Gaurav Modi : P181A17


Namrata Singh: P181A30
Niharika Grover: P181A32
Shivangi Lohiya: P181A47
Problems
• Friction between Axel and Oleg as Axel felt the online channel was
cannibalizing his traditional medium due to the difference in prices on
both the channels
• Due to online channel RAC had lost interest of Home Sense, a key
distributor
• How can RAC tap the online advertising business?
• If they completely go online, then there will be difficulty in
experiencing new scents which are critical for introducing newbies
Recommendations (1/2)
• Johanna should opt for omnichannel distribution approach i.e. online
as well as offline
• To remove the problem of cannibalization, the company can go for
selling lower value products online and higher value products offline
• Online channel will also help the company to tap those customer
segments who prefer convenience over others. This will also help the
company to remove their disparity of 80-20 principle where the 20%
of the products accounted for more than 80% of the total profit as
more number of customers will be tapped doing this
Recommendations (2/2)
• Company can also aim for O-O i.e. online to offline system where
customers can order online and pickup offline. This will help
customers to get a product at a lower cost from online channel while
experiencing the scent at the purchase counter
• As the products were majorly distributed through speciality stores, so
to increase the reach of the customers, products should be made
available at super stores and marts as well
• By creating its online presence, it would be easier for the company to
compete with the global market

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