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List of forums -> Main forum of the online business game "Virtonomics" -> A question about sales

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Topic created : 25.01.2017, 22:11

NAtech
Fourteen years with Virtonomics
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m:
Al Zaab Group
 
Hi everybody, I would like to ask you a question that I can't explain. Maybe you could give me some help. Well
 
I have a gas station in a city and I own 95% of market share in a product. A new competitor enters the city and offer a product wity less quality than mine (19 vs 16) and with a price about 5% over than mine. Mi branding is 5 and his branding is 0. My station works at maximum efficiency.
 
My surprise comes when suddenly, he takes 85% of the market!!!!!!
 
Is there any other factor that I should examine? I can't explain what is happening.   

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26.01.2017, 16:24

Wonson
Seven years with Virtonomics
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l:
Wondime
m:
Wondime
 
Number of visitors
Service level 
IT'S JUST BUSINESS!
 

26.01.2017, 16:50

NAtech
Fourteen years with Virtonomics
Fourteen years with Virtonomics Gold SIM Power Plants Leader The tender collider, IV-VI places Нead of state Mayor Mayor Mayor
Mayor Mayor Mayor Governor Governor United Arab Emirates retail leader Turkey retail leader Kuwait retail leader
World's retail leader
Ten years with Virtonomics
m:
Al Zaab Group
 
Wonson
Number of visitors
Service level

I suppose that if number of visitors was enought to sell 95% of the market the day before it should be Ok. About service level, how can I improve it? Quality of equipment? Training? Marketing?
 
Thanks. 
 

26.01.2017, 17:02

Last time edited : 26.01.2017, 17:06

Wonson
Seven years with Virtonomics
Jubilee Ten Bronze Ten Bronze Ten For contribution to the development of Virtonomics The tender collider, IV-VI places The tender collider, II-III places The tender collider, II-III places World Cuisines, IV-Vi places
World Cuisines, IV-Vi places World Cuisines, IV-Vi places Shagreen, VII-XV places Shagreen, VII-XV places Shagreen, VII-XV places Shagreen, IV-VI, places Shagreen, II-III places Eight years with Virtonomics
The winner of the Industry Competition Winner of the Leaders Contest in the nomination Tender mania
Four years with Virtonomics
l:
Wondime
m:
Wondime
 
Your question is not easy to answer, at least I am not qualified enough to answer this.
 
To improve service level quality of equipment is important. Also if the number of visitors exceed what employees can handle, service level will drop. This one thing is for sure, but will it lead to higher sales? I am not sure. Some people are very successful doing high amounts of advertisement, riding with the highest size available to attract many visitors at lower service levels. I am not that sales person who have experienced many different sales strategies, just answering because nobody else did. You can try various strategies to find the one that suits your style better. 
IT'S JUST BUSINESS!
 

26.01.2017, 19:17

Gorchilo
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Mathematic teacher Ladybug Jubilee Ten Bronze Ten Silver Ten The tender collider, IV-VI places World Cuisines, VII-XV places World Cuisines, IV-Vi places
Shagreen, VII-XV places The winner of the Industry Competition in the "Virtostandard of fuel" nomination The winner of the Leaders Contest in the "Fuel Rivers" nomination Winner of the Industry Competition in the 'Government procurement' nomination Winner of the Leaders Contest in the nomination Week of perfect Service Winner of the Contest for Managers in the nomination Nation's Health The winner of the Industry Competition The winner in the nomination Your Way to success of the Industry Competition
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n:
ZZZ
 
Few things can explain that .
 
1. Maybe he have larger gas station or higher qualification of workers.
2. Over advertising is very effective in start , or maybe you have low advertising (or lower then he have)
3. He have higher service level
4. He have better equipment (this can be added on first) 
 

27.01.2017, 15:19

NAtech
Fourteen years with Virtonomics
Fourteen years with Virtonomics Gold SIM Power Plants Leader The tender collider, IV-VI places Нead of state Mayor Mayor Mayor
Mayor Mayor Mayor Governor Governor United Arab Emirates retail leader Turkey retail leader Kuwait retail leader
World's retail leader
Ten years with Virtonomics
m:
Al Zaab Group
 
I have been thinking in Service Level, that can be the only possible explanation. I dont know, but I suppose that factors that can affect the service level are equipment quality, higher qualification of workers (is directly related to the equipment quality), size of the gas station and advertising. I repeat that I dont kno, it is only what I suppose.
 
If I check all this factors in my gas stations, I can see that in the same region, with the same size, with the same equipment quality and with the same workers qualification, I have gas station with service levels from low to elite in different cities. So in this moment, I'm afraid there is NOTHING I can do in my gas station to improve the service level. Tears 
 

27.01.2017, 16:15

Viraxje
Six years with Virtonomics
Elm Leaning Tower Portugal soccer ball Masquerade wig Jubilee Ten Triple corporate chevron Production: elite Science: bachelor
Management: bachelor Wild beehive The tender collider, VII-XV places The tender collider, IV-VI places The tender collider, II-III places The tender collider, II-III places The tender collider, the winner The tender collider, the winner
World Cuisines, IV-Vi places World Cuisines, IV-Vi places World Cuisines, IV-Vi places World Cuisines, IV-Vi places World Cuisines, II-III places World Cuisines, II-III places Shagreen, VII-XV places Shagreen, VII-XV places
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l:
Viraxje Ltd.
m:
Viraxje Industries
 
Mind linking the market in which this happened? Got me interested now 
 

27.01.2017, 17:47

NAtech
Fourteen years with Virtonomics
Fourteen years with Virtonomics Gold SIM Power Plants Leader The tender collider, IV-VI places Нead of state Mayor Mayor Mayor
Mayor Mayor Mayor Governor Governor United Arab Emirates retail leader Turkey retail leader Kuwait retail leader
World's retail leader
Ten years with Virtonomics
m:
Al Zaab Group
 
Viraxje
Mind linking the market in which this happened? Got me interested now

Have a look to Gasoline 95 in Frankfurt, for example. 
 

27.01.2017, 18:57

Last time edited : 27.01.2017, 19:00

Gorchilo
Jubilee Ten Jubilee Ten The winner of the Leaders Contest in the "Fuel Rivers" nomination Winner of the Leaders Contest in the nomination Week of perfect Service Winner of the Contest for Managers in the nomination Nation's Health Winner of the Leaders Contest in the nomination of Consumer Goods Winner of the Leaders Contest in the nomination The Standard of Virtonomics Winner of the Contest for Managers in the nomination Raw Material Base
Winner of the Contest for Managers in the nomination "Knowledge is power!" Winner of the Contest for Managers in the nomination Consumer Goods Winner of the Contest for Managers in the nomination The Standard of Virtonomics Two years with Virtonomics
One year with Virtonomics
Mathematic teacher Ladybug Jubilee Ten Bronze Ten Silver Ten The tender collider, IV-VI places World Cuisines, VII-XV places World Cuisines, IV-Vi places
Shagreen, VII-XV places The winner of the Industry Competition in the "Virtostandard of fuel" nomination The winner of the Leaders Contest in the "Fuel Rivers" nomination Winner of the Industry Competition in the 'Government procurement' nomination Winner of the Leaders Contest in the nomination Week of perfect Service Winner of the Contest for Managers in the nomination Nation's Health The winner of the Industry Competition The winner in the nomination Your Way to success of the Industry Competition
The winner of the Standard of Virtonomics nomination of the Industry Competition The best player of the qualification for the quarterly Industry Competition Winner of the Leaders Contest in the nomination of Consumer Goods Winner of the Leaders Contest in the nomination The Standard of Virtonomics Winner of the Contest for Managers in the nomination "Knowledge is power!" Winner of the Contest for Managers in the nomination The Standard of Virtonomics Two years with Virtonomics
n:
ZZZ
 
Then you over advertise in that cities where you have low service level or city is high developed
 
Let's say that same service for poor people great and for rich people is bad .. if you get my point
 
Frankfurt is good example for that Well
 
Also you can set worker qualification higher then equip request to improve service level 
 

27.01.2017, 19:12

Gorchilo
Jubilee Ten Jubilee Ten The winner of the Leaders Contest in the "Fuel Rivers" nomination Winner of the Leaders Contest in the nomination Week of perfect Service Winner of the Contest for Managers in the nomination Nation's Health Winner of the Leaders Contest in the nomination of Consumer Goods Winner of the Leaders Contest in the nomination The Standard of Virtonomics Winner of the Contest for Managers in the nomination Raw Material Base
Winner of the Contest for Managers in the nomination "Knowledge is power!" Winner of the Contest for Managers in the nomination Consumer Goods Winner of the Contest for Managers in the nomination The Standard of Virtonomics Two years with Virtonomics
One year with Virtonomics
Mathematic teacher Ladybug Jubilee Ten Bronze Ten Silver Ten The tender collider, IV-VI places World Cuisines, VII-XV places World Cuisines, IV-Vi places
Shagreen, VII-XV places The winner of the Industry Competition in the "Virtostandard of fuel" nomination The winner of the Leaders Contest in the "Fuel Rivers" nomination Winner of the Industry Competition in the 'Government procurement' nomination Winner of the Leaders Contest in the nomination Week of perfect Service Winner of the Contest for Managers in the nomination Nation's Health The winner of the Industry Competition The winner in the nomination Your Way to success of the Industry Competition
The winner of the Standard of Virtonomics nomination of the Industry Competition The best player of the qualification for the quarterly Industry Competition Winner of the Leaders Contest in the nomination of Consumer Goods Winner of the Leaders Contest in the nomination The Standard of Virtonomics Winner of the Contest for Managers in the nomination "Knowledge is power!" Winner of the Contest for Managers in the nomination The Standard of Virtonomics Two years with Virtonomics
n:
ZZZ
 
If all you write in first post happen in Frankfurt you can just look your competition an see that he have 10 times higher qualification then you , 10 times more visitors, over 2 times higher popularity and 3 level higher service level so i guess that your sale will drop more .. 
 

27.01.2017, 21:49

Viraxje
Six years with Virtonomics
Elm Leaning Tower Portugal soccer ball Masquerade wig Jubilee Ten Triple corporate chevron Production: elite Science: bachelor
Management: bachelor Wild beehive The tender collider, VII-XV places The tender collider, IV-VI places The tender collider, II-III places The tender collider, II-III places The tender collider, the winner The tender collider, the winner
World Cuisines, IV-Vi places World Cuisines, IV-Vi places World Cuisines, IV-Vi places World Cuisines, IV-Vi places World Cuisines, II-III places World Cuisines, II-III places Shagreen, VII-XV places Shagreen, VII-XV places
Shagreen, VII-XV places Shagreen, IV-VI, places Shagreen, IV-VI, places Shagreen, IV-VI, places Platinum sponsor of the Contest for Tycoons Platinum sponsor of the Contest for Tycoons Platinum sponsor of the Contest for Tycoons Eight years with Virtonomics
Winner of the Contest for Managers in the nomination Nation's Health The winner in the nomination Your Way to success of the Industry Competition Winner of the Contest for Managers in the nomination The Standard of Virtonomics
l:
Viraxje Ltd.
m:
Viraxje Industries
 
The differences in sales for the frankfurt market are easy to see indeed
 
Popularity of the store & your biggest competitor
 
Luisk : 611.38
You : 281.00
 
this causes the following for # of visitors
Luisk : about 50 000
You : about 5000
 
Besides the service level is also not in your favour :
Luisk : Elite
You : Normal
 
It may be good to start with increasing the advertising expenditure of your gas station.
Also find out why your gas station does not have a higher service level (equipment wear and tear?) 
 

27.01.2017, 22:03

NAtech
Fourteen years with Virtonomics
Fourteen years with Virtonomics Gold SIM Power Plants Leader The tender collider, IV-VI places Нead of state Mayor Mayor Mayor
Mayor Mayor Mayor Governor Governor United Arab Emirates retail leader Turkey retail leader Kuwait retail leader
World's retail leader
Ten years with Virtonomics
m:
Al Zaab Group
 
Gorchilo
If all you write in first post happen in Frankfurt you can just look your competition an see that he have 10 times higher qualification then you , 10 times more visitors, over 2 times higher popularity and 3 level higher service level so i guess that your sale will drop more ..

I didn't know that things like qualification, popularity, etc. were important for service level in gas stations. In fact, I have elite service in some of them. I'm not here crying because a "big" player ruined my business, I only ask how to improve my service level in places like Frankfurt where I do exactly the same than in other cities where I have elite service level. Frankfurt is only an example, there are many other cities with the same problem.
 
If things like qualification (once your efficiency is 100%), popularity (it's a matter of politics), etc. are important for selling fuel, I'm afraid I can only cry and look for another business.
 
It's a game after all!!! 
 

List of forums -> Main forum of the online business game "Virtonomics"-> A question about sales

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