Introduction
Burlington Stores is an off-price department store that offers high-quality, branded and designer products at cheaper prices. It operates more than 700 stores in 45 U.S. states, Puerto Rico and Canada. The company was founded in 1926 by Sam Zell, who opened his first store in Burlington, Iowa. In 2010 Zell became chairman of Equity Group Investments (EGI), which acquired the assets of bankrupt Mervyns Holdings LLC for $825 million.
Burlington Stores Business Model
Burlington Stores is an American off-price department store retailer with a business model based on offering high-quality, branded and designer products at cheaper prices. Burlington sells merchandise similar to that of Nordstrom Rack, TJ Maxx and Ross. It operates more than 700 stores in 45 U.S. states, Puerto Rico and Canada; employs around 28,000 people; and generates over $4 billion in annual sales as of 2017[update].
Burlington Stores is an American off-price department store retailer with a business model based on offering high-quality, branded and designer products at cheaper prices. Burlington sells merchandise similar to that of Nordstrom Rack, TJ Maxx and Ross. It operates more than 700 stores in 45 U.S. states, Puerto Rico and Canada.
In 1994, the company changed its name from “Burlington Industries” to “Burlington Coat Factory”.
Burlington Stores Pros and Cons
Pros
Cheap Prices: There is no doubt that Burlington has some of the most affordable prices in retail. They have everything from clothes to furniture, as well as a large selection of accessories and home decor items.
Customer Service Problems: Unfortunately, customer service has not been a strong point for the company over the years. Customers have complained about poor communication between management and employees, unhelpful customer representatives and long wait times when calling customer service lines.
Returns Procedures: This can be especially problematic if you are returning an item purchased online because you need to get an authorization number first before mailing back items—which can take up to five days!
Pro1: Cheap Prices
Burlington has a wide selection of merchandise, ranging from kitchenware to handbags to clothing. Customers can find just about anything they need at Burlington’s low prices. The retailer also offers many exclusive brands that are not available elsewhere, which is appealing to customers who like variety and exclusivity in their purchases.
Pro2: Shop at Home Delivery Policy
- Free shipping on all orders over $49
- Free returns and exchanges
The Shop at Home Delivery Policy is one of the most redeeming qualities of Burlington as a brand. With this policy, customers can avoid the hassle of driving to the store or waiting in line by shopping from home or work and receiving their items within days. The policy also allows customers to return or exchange items without incurring shipping costs and wait times associated with traditional brick-and-mortar stores.
Con1: Customer Service Problems
- Customers have reported that the customer service is generally poor.
- Customers have reported that returns are not processed in a timely manner.
- Customers have reported that the customer service is not helpful.
- Customers have reported that the customer service is not friendly.
While the lower prices of Burlington Stores can be appealing to customers, many have complained about problems with customer service and returns procedures.
While the lower prices of Burlington Stores can be appealing to customers, many have complained about problems with customer service and returns procedures.
While customer service is important to any business, it’s especially so for Burlington Stores because it’s an online retailer. This means that customers don’t have a physical place to go if they need help or are having problems with something.
Over time, this has led many shoppers to avoid making purchases at Burlington Stores or switch over to another company entirely due to their poor customer service record.
Conclusion
It is clear that the company’s strategy of offering high-quality products at much cheaper prices has been a success. However, Burlington still needs to work on improving its customer service and returns procedures if it wants to stay competitive in today’s retail market.
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