Developing a Marketing Plan - Example

Assignment Workshop 1 Name Course Instructor Date Executive summary This is a marketing plan for Ms Price that has been prepared to secure additional funding and to demonstrate the current status and the company’s direction. Although Ms Price was initiated two years ago, the business has experienced greater than projected demand for its products. The business is intending to extend its product line and to and new merchandise lines. In addition Ms Price plans to explore more opportunities through online sales. The marketing environment has been extraordinarily receptive to the business’s high quality footwear. Ms Price will have unmatched, extensive assortment of footwear. In general, the size of Ms Price’s selection is cost exorbitant because of diverse sizes that have to be stocked per fashion and style. Contents Contents 3 1.0 Introduction 4 1.1 Ms Price’s Mission and Goals 4 2.0 Situation Analysis 5 2.1 Market Summary 5 2.1.1 Market Demographics 6 2.2 Market Needs 6 2.3 Market Trends 7 2.4 Market Growth 8 3.0 SWOT Analysis 8 4.0 Competition and Buying Patterns 9 4.1 Product Offering 10 4.2.1Marketing Objectives 11 4.2.2 Financial Objectives 11 5.0Target Markets 11 5.1 Marketing Mix 11 6.0 Conclusion & Recommendations 12 7.0 References 14 1.0 Introduction Ms Price footwear is being held by small vending stores that specialize in footwear. Most of the stores are concentrated in within the city centre. The high quality footwear with trendy colors and unique message in the packages has made Ms Price to have a following among consumers of the middle age (18-35years). Footwear sales at Ms Price have triple in the last business year alone, and Ms Price is currently working to expand its marketing capabilities. Ms Price has a unique business model that allows that business to have an extensive selection at the cost of stocking a single size per style. This model has been made possible by special relationship the business have had with the wholesalers. This makes it possible for a customer to receive the needed size in two days. The business has also availed rush overnight sales at additional cost. While most people would not like a store where a person purchases a shoe before trying it, women stylish footwear vary a greatly. When it comes to fancy, trendy shoes priorities come on aesthetic than fit. Most women prefer high heeled shoes; clearly, these shoes are far much uncomfortable but look so nice and to them that is what that counts. This marketing plan outlines how Ms Price intends to bring in new products, enter into new markets, and expand its distribution. 1.1 Ms Price’s Mission and Goals The mission of Ms Price is to be a leading marketer of official and official footwear for consumers who interested in outdoors. Ms Price wants to inspire women to get outdoors more often and enjoy their shopping while at it. The business also aims at designing programs for environment preservation. In the course of the next three years the business seeks to achieve the following goals. Obtaining finance to expand to manufacturing capabilities, introduce new products and increase distribution. Increase revenue by approximately 50% Enter new geographic markets And develop a successful internet site and maintain strong relationships with retailers. 2.0 Situation Analysis Ms Price is entering their third year of operation. In this case a comprehensive marketing plan is essential to arrive at effectiveness and to guarantee future success. Ms Price offers an unprecedented selection of current footwear fashions. 2.1 Market Summary Ms Price has captured quality information on footwear market and knows a great deal on the common attributes of the most prized clientele. Ms Price will leverage this information to know better who is supposed to be served, clientele specific needs, and how Ms Price can communicate better with them. 2.1.1 Market Demographics The profile for Ms Price’s customers comprise of the following demographic, geographic and behavioral factors. Geographic The immediate geographic target by Ms Price is the city which has a population of 3,000,000 people. a. A 50 mile radius targets the product b. The total target population is over 50,000. Demographics a. 55% of the clients are professional and 45 are housewives. b. Age range 18 – 45. c. The housewives’ income range from $50,000 to $140,000 d. The professionals earn over $45,000 themselves. Behavior Factors a. Tend to eat out occasionally b. Fashion conscious c. Always conscious of the various fashion trends d. Subscribe to several fashion oriented women magazines 2.2 Market Needs Ms Price is striving to present the market with a variety of fashionable footwear with unprecedented selection. At present, women travel to Westgate mall in order to get close to Ms Price selection. Ms Price seeks to fulfill the under mentioned benefits that are fundamental to customers. a. Accessibility: Ms Price is centrally located with long business hours designed in order to meet the needs of all its customers b. Selection: it is the widest selection of women footwear in the town c. Competitive services: the patrons are always pleased with the attention they get d. Competitive prices: all products are priced to compete with other footwear ventures in town. 2.3 Market Trends Women fashionable footwear market trend lean towards wider collection of widespread design elements. For the last two years, there has been a creation of several design differences from the base design. Such that a base design emerges and the there come many spurs with a common element but with a few distinctive features. This is good for the clients since it makes them feel distinctive, however, it is tough to sellers because it widens on their operating cost inform of inventory. This trend has been ideal for Ms Price because the establishment has a business model that allows for stock a variety different of styles. 2.4 Market Growth Women’s footwear market is strong steady and ever growing. It is hardly affected by economic downturns. According to market analysis women tend to spend on footwear despite the consequences of economic climate. 3.0 SWOT Analysis The below indicated SWOT analyses indicates the major strengths and weakness in the business, it also lays down the opportunities and threats facing Ms Price. Strengths Efficient and stylish retail outlets Well trained staff who are customer attentive Extremely strong affiliation with women footwear distributers Weaknesses The strain to build brand equity Difficulty in forecasting fashion which is necessary for profitability Inability to offer instant gratification by stocking all sizes of footwear Opportunities A growing section of the market that is gradually getting attracted to Ms Price footwear An industry that appears immune to economic downturns Ability to work on inclined operating cost relative to competitors. Threats Completely misapprehend where the fashions headed Emerging of competitors with similar business model Regular delays of shipment or unavailability of advertised designs. 4.0 Competition and Buying Patterns Ms Price has two emerging competitors Turraco Inc: this is an establishment dealing with footwear store and clothing. They are stocked with elegant clothing but poor footwear selection. Their cutting cost of footwear range from $30 to $120. Westgate mall: it is a national franchise that trade on shoes alone. Westgate mall deal with both men and women footwear. This company trade on knock offs, footwear with their brand on their commodities. The store has a very wide variety of footwear of low quality but at much discounted prices of $13 to $50. An indirect competitor in the women footwear business is shoe smiths who dye the shoes. Shoes are dyed to match with a certain cloth. However, not all shoes cab be dyed and dying of shoes is not ideal. 4.1 Product Offering Ms Price trades on upscale women footwear. The general categories of footwear sold include: a. Sandals b. Loafers c. Stylish work shoes d. Dress shoes e. Canvas athletic Ms Price targets to have the biggest selection of footwear in town, barring other stores like Westgate and Turracco Inc. Ms Price footwear will accomplish this by having in stock one size per style (this has been demonstrated in the model). The store will deliver the offer within two business days and provide a rush order of one day. This functionality will be accomplished by establishing a good relationship with the wholesaler. Ms Price will also meet the client’s needs through providing an unmatched selection of ladies’ footwear. The customer will then appreciate the selection that will consent to a perfect shoe for any kind of an outfit. 4.2 Marketing Strategy Part of Ms Price marketing strategy will be founded solely on location. Ms Price is located in a modern mall that has enormous walk-through traffic. The location of the premises is not directly linked to the marketing budget because rent is classified under general overhead. The other form of market that will be analyzed later is advertisement. The plan on marketing campaign is increasing the target clientele awareness of Ms Price. 4.2.1Marketing Objectives Increase repeat clients by 8% per quarter Reduce client acquisition coast by 10% per annum Build an efficient pull campaign, to bring new clientele at an improved rate of 8% quarter. 4.2.2 Financial Objectives Reduce store operating cost by 5% per annum Experience a two digit growth rate for the next three years 5.0Target Markets Ms Price is targeting the professionals segment and the housewives segments within the broad category of the fashion conscious women with disposable income. Professionals: They are full time working women who earn more than $45,000. These types of clients buy shoes for workplace and for leisure time. Housewives: they have a lot of disposable income since they get money from their husbands. They love shoes and cloths. Their income averages on $55,000 to $120,000. This group has money and time to make purchases hence it is a very attractive segment. 5.1 Marketing Mix Ms Price marketing mix has the following approaches to customer service, adverting, pricing, distribution and promotion. Customer service: exceeding clientele expectations is Ms Price’s mission Adverting and promotion: targeted advertising in magazines and newspapers and strategic alliance will form a base for Ms Price advertising and promotion effort. Distribution: Ms Price Shoes will be distributed to or outlets. This will allow provision of a wider range of selection than any of its competitors. Pricing: Ms Price pricing is designed to be competitive to other fashion footwear distributers. 6.0 Conclusion & Recommendations During the first phases of developing the marketing plan, there were several focus groups that were established to aid on gaining insight into the most prized clientele that their decision making processes as they relate to the types of shoe they purchase. The information gained from the focus groups was very helpful to Ms Price and helped to justify the business model. Ms Price marketing strategy seeks to form a customer awareness regarding the products being offered, work towards structuring customers’ loyalty and referrals and developing a customers’ base. The message being communicated by Ms Price seek to communicate is that they are offering a variety of assorted fashionable women footwear. Women will no longer have to make orders from distant footwear outlets because the business is working towards opening several outlets in town and its suburbs in the next three years as outplayed in this marketing plan. In this marketing plan the business is recommended to initiate advertisements strategy that will capture both mid level and high level consumers within the city. The last method of communication that has been laid down is through strategic relationship. Ms Price will develop with a chosen upscale women clothing stores. It is recommended that Ms Price link with two other establishments in branding their products and footwear and clothing are instinctively linked. In many cases shoes are purchased to match with new outfit, the business should take advantage of this acquaint customers of stylish clothes store with Ms Price since their customer demographics are reasonably similar. The alliance of can include discounts when both cloths and shoes are purchased as well as display some of each company’s stock in the other’s store. This proposal will help in developing visibility on behalf of the marketing plan. 7.0 References Dibb, S. (2008). Marketing planning : a workbook for marketing managers. London: South-Western Cengage Learning. Debelak, D. (2000). Streetwise marketing plan : winning strategies for every small business. Holbrook, Mass: Adams Media. Luther, W. (2011). The marketing plan : how to prepare and implement it. New York: AMACOM. McDonald, M. (2008). Malcolm McDonald on marketing planning understanding marketing plans and strategy. London Philadelphia: Kogan Page. Wong, K. (2010). Approved marketing plans for new products and services. S.l: Iuniverse Inc. Read More