Cofounder CardSwap.ca sat at a table in Toronto office, from which he ran the company. CardSwap was an online service that provides consumers with the ability to convert unwanted gift cards into cash. Co-founder was convinced that his small Canadian company has created more value for their customers. In the end it was about a billion dollars of unwanted gift cards entering treatment each year. People who owned these unwanted gift cards would definitely want to use CardSwap service. CardSwap to offer a strong value proposition for consumers, while providing a healthy return through commissions on each transaction. Problems remain, however CardSwap was relatively small company and do not have access to multi-million dollar advertising budgets, which may be necessary to get the message out to customers through extensive multimedia strategy. How much the company should be prepared to spend to acquire a customer? How better could this new company to use its limited resources to communicate with customers benefits that CardSwap had to offer? "Hide
by Neil Bendle, Michael Taylor Source: Richard Ivey School of Business Foundation 12 pages. Date of publication on the site: 22 Sep, 2011. Prod. #: W11189-PDF-ENG
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