Blue nile

Nataly Rendón
Camila santos
Juan Felipe rojas
Carlos Andrés Vásquez
Tatiana Andrade
Angie farfan
 HISTORY
 Founded in 1999, Blue Nile has grown to become the largest online retailer of
certified diamonds and fine jewerly.
 Blue Line is a publicly traded company listed on the NASDAQ under the symbol
NILE.
 The company has been awarded the Bizrate.com Circle of Excellence Platinum
Award.
 Every order is shipped free, guaranteed and returnable within 30 days, so you
can be sure you made the right decision.
Has developed into the largest online
retailer of diamond engagement rings.
Operates completely store front-free
wothout in-person consultation services.
All sales on line or by phone and sales
include both engagement (70%) and non-
engagement (30%) categories.
MISSION

Take the mystery out of your purchase by

offering only the finest quality loose diamonds
and jewerly available, along with expert
guidance and education. Our jewerly is crafted
with superior materials and inspected against
exceptional quality standards. We´re confident
that you won´t find a better diamond or piece
of jewerly for the price.
 VISSION
Educate its costumer base so that
customers can make an informed,
confident decision no matter what event
they are celebrating. It wants to make
the entire diamond-buying-process easy
and hassle-free. Blue Nile is working to
become ¨the Tittany for the next
generation¨.
QUALITY OF A HIGHER MARK
- Exceeding Quality Expectations: Over 100.000
certified diamonds, exquisite materials, and skilled
craftsmanship. From initial design to the final
workmanship, Blue Nile stands behind every item.

- Diamond Best Price Guarantee: With diamond

proces typically 20% to 40% lower than our
competitors, you will receive the best and lowest
price available.

- Free, Fast, Insured Delivery: Every Blue Nile order

includes free shipping and is insured to your door.
 STRATEGIC DIRECTION

 Competitors with brick and mortar locations are then left to decide whether they should
sell their product online at a lower cost than a costumer would fine in-store in order to
compete.
 Keep the consumer in mind and establish relationships with costumers during a very
important time in their lives.
 Capture market share and emerge after the recession in a strong competitive position.
 SWOT ANALYSIS
STRENGTHS WEAKNESSES

Leverages a few unique systems and services that are hard for the competition Blue Nile faces is tied to issued of internet fraud and online security in
imiate today´s environment

¨Build your own¨fuctionality online differentiates it from competitors by Traditions risk becoming outdated or out of fashion. The cultures are
allowing the costumer to personally different in the world

These on-the-go technologies are an opportunity for Blue Nile to reach busy
costumers who don´t have time to drope by a jewerly
Online retailers include Amazon, Overstock.com and Bidz.com, wich are
well-known for their discounting, creating tremendous competition for
It has a more diversified product range than its competitors because it does not Blur Line
have to hold inventory in stock.

Blue Nile is poised to capitalize on its web-only strategy

OPPORTUNITIES THREATS

Distribution channel and supply chain help to keep Blue Nile in the market Barriers to entry in the jewelry industry are high as the following are
needed: capital, strong supplier relationships and reputation

The average age of first-time newlyweds is increasing in the United States Online interactive customer service approach creates a barrier to entry as
the information technology

Blue Nile will have more segments to cater to and a broader reach
The diamond trade is complex with regards to politics and legal issues

Blue Nile wants to expand internationally as it sees great potential in the global
marketplace Obsolescing contract negotiations with foreign governments all have
potential deterious impact on the jewerly industry
Monitor online purchasing rates globally, and expand to those countries
accordingly.
 ANALYSIS
 High revenue and earnings growth on a historical basis.
 Strong recovery form financial crisis
 Outstanding cash flow
 The company is successful in growing cash because its uses for it are minimal
such as improving the website and maintaining facilities and warehouse.
 The company reports that more than 20% of its shoppers are using the mobile
site.
 Gross profit margin
 ANALYSIS
- Blue Nile`s marketing strenghts include: It´s use of technology to
enhance customer experience.

- Blue Nile App - has also developed it´s own mobile site. - 20% of its
shopper are using the mobile site.

- Build confidence: Offering a 30 day money back guarantee, Orders

being shipped fully insured to the customer and providing grading
reports for all certified diamonds.
- Completely dependent on online transactions.
- Increase advertising in Magazines, T.V., Radio, Consider Opening
stores
OPERATIONS AND
LOGISTICS
 The company looks to leverage its sourcing power to offer exclusive jewels to leverage
its sourcing power to offer exclusive jewels to exclude competition and retain high
selling prices, while maximizing profitability through implementation of Just In Time
manufacturing tactics to minimize inventory costs.

 Customization.

 Blue Nile partners with FedEx- Best in class shipment tracking functions

 Turn orders from its supplier, receives the stone, finishes the good, enters de product
into inventory and ships to the customer.

 Does not have to maintain high inventory carrying costs for the diamonds.

 Negotiating directly with diamond suppliers and cutters.

HUMAN RESOURCES AND ETHICS

Blue Nile employs 193 full - time workers, with 26 of

these full - time positions listed at the executive
level.