I

CASE STUDY
on
“CASPER”

Course Title: Marketing Management (MM)

Course Code: BBA 333

Submitted to

Md. Afsarul Islam

Assistant Professor
Department of Business Administration
Metropolitan University, Sylhet

Submitted by

BBA-55th Batch
Group: Team GULOK DHADA
Protyasha Deb Toma 213-116-002
Shahanaj Aktar 213-116-003
Tamanna Khanom Shova 213-116-005
AFM Sabidul Islam 213-116-007
Sanjida Akther 213-116-021
Tanvir Mahmud Khan Taj 213-116-028
Department of Business Administration
Metropolitan University, Sylhet
Date of Submission: 23rd May 2024
 II

Table of
Contents
CASPER’s INTRODUCTION.......................................................................................... III

A GLIMPSE OF CASPER’S PRODUCTS ..................................................................... IV

ANSWER OF REQUIREMENT QUESTION.1 ............................................................. VI

ANSWER OF REQUIREMENT QUESTION.2 ............................................................. VII

ANSWER OF REQUIREMENT QUESTION.3 .............................................................VIII

CONCLUSION……… ..................................................................................................... X

REFERENCES. ................................................................................................................ XI
 III

INTRODUCTION:
Casper, founded in 2013 by Philip Krim, Neil Parikh, T. Luke Sherwin, Jeff Chapin, and Gabriel
Flateman, is a pioneering American e-commerce company based in New York City. The company
was created to revolutionize the mattress industry with a mission to provide high-quality,
affordable mattresses through a convenient online shopping experience. Guided by the motto "The
Best Bed, for Better Sleep," Casper strives to enhance overall well-being through exceptional sleep
products.

Casper’s vision is to become the world’s most beloved and innovative sleep brand. The company
emerged as an alternative to traditional "Big Mattress" brands like Serta, Simmons, Tempur-Pedic,
and Sealy, which were known for high prices and a cumbersome in-store purchasing process.
Inspired by Warby Parker’s direct-to-consumer model, Casper offered mattresses at a fraction of
the price, designed to be the "One Perfect Mattress for Everyone." These mattresses featured
resilient foam that could be compressed for easy delivery, simplifying the buying experience.

Casper’s innovative approach included a 100-night free trial with hassle-free returns, earning rapid
customer trust and loyalty. Early marketing efforts focused on word-of-mouth and playful outdoor
advertising, contributing to over $600 million in revenue within three years. As the company
expanded, it diversified its product line to include various mattress types, pillows, sheets, and bed
frames, and partnered with major retailers like Nordstrom, Target, and Amazon.

Casper also embraced digital marketing, using targeted ads, sponsoring popular podcasts, and
engaging with customers on social media. To counter increased competition, Casper opened
physical retail locations and planned to expand to over 200 stores by 2021. By continually
innovating and expanding its product line and retail presence, Casper aims to maintain its position
as a leader in the mattress industry.
 IV

A glimpse of Casper’s Products

V
 VI

Answers of Requirement Questions of the CASE STUDY on “Casper”

Q. 1. What makes Casper’s products desirable to consumers? What are the specific product
attributes that are particularly valued by consumers?

Casper's products are desirable to consumers for several reasons:

• Affordable Pricing: Casper offers its mattresses at about one-third the price of traditional
"Big Mattress" brands. This affordability makes Casper an attractive option for price-
sensitive consumers.
• Convenience: The direct-to-consumer sales model eliminates the need for in-store
purchases, providing a hassle-free online shopping experience. This approach streamlines
the buying process and removes the discomfort often associated with in-store mattress
shopping.
• Risk-Free Trial: Casper offers a 100-night free trial with free returns and full refunds.
This risk-free approach builds consumer confidence and ensures satisfaction, encouraging
potential customers to try the product without fear of commitment.
• Customer Experience: Casper prioritizes a superior shopping experience, from easy
online ordering to seamless returns. This focus on customer satisfaction enhances trust and
loyalty, contributing to positive word-of-mouth and repeat business.

Specific Product Attributes Valued by Consumers

Casper's specific product attributes that are particularly valued by consumers include:
✓ Quality and Comfort: The Casper mattress is designed with resilient foam that provides
a balance of comfort and support. The aim to create the "One Perfect Mattress for
Everyone" ensures broad appeal and satisfaction across different consumer preferences.
✓ Innovative Delivery: Casper's mattresses are compressed and shipped in a manageable
box size via UPS. This innovative delivery method not only simplifies logistics but also
adds to the overall convenience for the consumer, making the setup process easy and
straightforward.
 VII

✓ Simple Decision-Making: By offering a streamlined product lineup initially focused on a

single, well-designed mattress, Casper simplifies the decision-making process for
consumers. This reduces the confusion often associated with choosing from a vast array of
options.
✓ Engaging Marketing: Casper's playful and lighthearted advertising, combined with its
strategic use of digital platforms and social media, creates a strong, positive brand image.
This engaging marketing approach helps build emotional connections with consumers,
enhancing brand desirability.

These combined factors make Casper's products highly appealing, offering a unique blend of
affordability, quality, convenience, and customer-centric policies.

Q. 2. How should Casper compete with established companies and start-ups ramping up
their direct-to-consumer offerings? Should Casper shift some of its efforts from product
innovation to more aggressive communication and brand building?

How Should Casper Compete with Established Companies and Start-ups Ramping Up Their
Direct-to-Consumer Offerings?

Well, to effectively compete with both established companies and new start-ups in the direct-to-
consumer mattress market, Casper should leverage several strategies:

Differentiation through Innovation: Casper should continue to innovate its product

offerings, ensuring that it stays ahead in terms of comfort, technology, and design. By
maintaining a focus on developing high-quality, innovative products, Casper can
distinguish itself from competitors who may offer similar direct-to-consumer models but
lack unique product features.
Customer Experience Enhancement: Emphasizing a superior customer experience can
help Casper stand out. This includes maintaining and improving their hassle-free
purchasing process, exceptional customer service, and the 100-night risk-free trial, which
have been key to their success.
 VIII

Physical Retail Expansion: Opening physical retail locations can cater to consumers who
prefer to try products in person before buying. Casper’s plan to expand to over 200 stores
by upcoming few years, can build brand presence and loyalty.

Q. 3. Should Casper focus on extending its product line to try to offer a mattress
“For every purse and purpose”? Or should it focus on offering a single type of mattress
(In different sizes) in order to streamline innovation efforts and simplify consumer choice?

Casper should focus on extending its product line to offer a mattress "for every purse and purpose"
rather than sticking to a single type of mattress. Initially, Casper disrupted the traditional mattress
industry by offering high-quality products at a fraction of the price, simplifying the purchasing
process, and providing exceptional customer service. As the company grew, it expanded its
portfolio to capture a broader customer base.

Expanding the product line can cater to diverse consumer preferences and price points, crucial in
a competitive market. By offering a wider range of products, Casper can attract different market
segments and differentiate itself from competitors. Potential product extensions include:

➢ Medical Patients:
✓ Orthopedic Mattresses
✓ Pressure Relief Mattresses
✓ Adjustable Mattresses
➢ Children:
✓ Crib Mattresses
✓ Toddler Mattresses
✓ Eco-Friendly Mattresses
➢ Adults:
✓ Luxury Mattresses
✓ Budget-Friendly Mattresses
✓ Athlete-Specific Mattresses
 IX

➢ Seniors:
✓ Mattresses with Easy Mobility
✓ Pressure Relief Mattresses
➢ Couples:
✓ Motion Isolation Mattresses
✓ Customizable Firmness Mattresses

➢ Environmentally Conscious Consumers:

✓ Eco-Friendly Mattresses

➢ Travel and Temporary Use:

✓ Foldable Mattresses
✓ Inflatable Mattresses

Continuing to innovate within a streamlined product line could simplify consumer choice, but
extending the product line allows Casper to leverage its strong brand and address varying customer
needs. By expanding its product line, Casper can better compete with both established companies
and start-ups, ensuring it remains a versatile and appealing option for a broad spectrum of
consumers, positioning it for sustained growth and market leadership.
 X

CONCLUSION:

In conclusion, Casper's innovative approach to the mattress industry has significantly disrupted
traditional models and set new standards for customer experience. By offering high-quality
products at competitive prices and simplifying the purchasing process through a direct-to-
consumer model, Casper has successfully challenged established "Big Mattress" brands. The
company's focus on convenience, quality, and customer satisfaction has driven its rapid growth
and popularity.

As Casper moves forward, extending its product line to cater to diverse consumer needs and
preferences will be crucial for maintaining its competitive edge. By introducing specialized
mattresses for different demographics, such as medical patients, children, adults, seniors, couples,
environmentally conscious consumers, and those seeking travel and temporary use solutions,
Casper can attract a broader customer base and strengthen its market position.

Furthermore, balancing product innovation with aggressive communication and brand building
will enhance Casper's visibility and consumer loyalty in an increasingly competitive landscape.
By leveraging its strong brand reputation and continuing to adapt to market demands, Casper is
well-positioned for sustained growth and long-term success. This strategy not only aligns with its
initial disruptive model but also ensures that Casper remains a versatile and appealing option for a
wide range of consumers, solidifying its place as a market leader in the mattress industry.
 XI

REFERENCES:
• https://casper.com/
• https://en.wikipedia.org/wiki/Casper_Sleep
• https://casper.com/bundles/best-selling-bundle-one-foam.html
• https://www.sleepadvisor.org/casper-hybrid-mattress-review/
• https://edition.cnn.com/cnn-underscored/home/casper-mattress-relaunch
• https://www.google.com/search?sca_esv=8b3c2fe050857b40&sca_upv=1&sxsrf=ADLY
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