Case Study Of QVC Company

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The QVC shopping network is a successful company that was launched in 1986 and has generated $7.1 billion in sales in 2007. It has expanded globally to countries like the United Kingdom and Japan and features exclusive products made by Heidi Klum and Dana Buchman. The company produces one-hour shows that specialize in one specific product and showcases demonstrations and tests to provide consumers with a clear idea of how it should be used. QVC has a flexible payment scheme, efficient customer service assistance program, and a 30-day money-back guarantee with no hidden charges. They are dedicated to their consumers and put their reputation at stake by inspecting each product manually before shipment. The company has expanded into new product categories such as food, apparel, toys, and cosmetics and has launched its own retail website, iQVC, in 1995. QVC embodies quality, value, and convenience in shopping and everyday life.

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QVC Case Study

            One of the most fascinating things in modern day shopping is that people can do it anytime, anywhere and one of the testaments to this will be the QVC shopping network. The company, which was launched in 1986, has been a solid network thru the years. In 2007, it was able to garner $7.1 billion in sales, of which about $1 billion came in as company revenues. Another amazing thing about the network is that it has not limited itself to its domestic market; rather it expanded its market to other parts of the globe such as the United Kingdom and Japan. The company also runs its network 24-hours a day, 7-days a week making sure that the shows are accessible to audiences anytime.

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            One of the things the network will be able to boast is that it is the only shopping network which features a wide variety of exclusive products made by prominent people such as Heidi Klum and Dana Buchman. Another strategy which made the network click is that it produces shows, usually one hour long, that specialize in one particular product. The product showcased is then demonstrated and tested so that consumers will have the main idea on how it will be used. Add to that the fact that these products are endorsed by celebrities and other known personalities.

            With regards to the products, another way that the company has been able to attract customers is that it has a flexible payment scheme wherein people are able to pay the items they use in instalments, as well as an efficient customer service assistance program on a specific product. There is also a safety measure in the form of a 30-day-money-back-guarantee and it offers no hidden charges such as restocking fees for any returned merchandise.

            The company is also careful about choosing their products; proposed items should pass through the company’s series of stringent tests that are carried out by its in-house Quality Assurance Lab. In most cases, the inspection is carried out manually by the firm’s employees. According to an official, “Nothing ships unless it is quality-inspected first. Since our product is going business-to-consumer, there’s no way to fix or change a product-related problem.” This shows the dedication of the company that they are willing to put their reputation at stake for the sake of its consumers. The company also tries to steer away from products such as home appliances and electronic gadgets because it offers lower margins, instead it has expanded into many new product categories such as food, apparel, toys, and cosmetics.

            With all these accomplishments under their belt, the company still has not yet given up on expanding its network. The company adds features such as an interactive service that would allow the customer to purchase items with a simple click of their remote control. In 1995, the company, although leading the home network shopping race, has launched its own retail website that served as a complement to its television home shopping channel, calling it the iQVC. It has been able to cater to 100 million households around the United States that have in-home internet connections.

            Indeed the company is able to embody their name, promoting quality, value, and convenience in shopping as well as in everyday life.


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