Feasibility of Developing Credit Card which Is Attached to the Bracelet - Example

Executive Summary The report analyzes the feasibility of developing credit card which is attached to the bracelet and can be swiped when goods are purchased. The card has its own unique properties and won’t be lost easily and also provide an opportunity for the parents to keep a track of their children and the shopping they have incurred. It is analyzed that the acceptance of the product will be high due to a need of developing such a product and will provide a ready market to deal with. This is facilitated by the fact that the demand for such products which are technologically advanced is increasing and will look at attracting people towards it. In addition to it the pricing cues has been decided and identified in a manner which ensures easy acceptability. Identifying the correct marketing mix and looking at the correct market size and target customer will provide an opportunity through which the product will become acceptable. Thus on the whole positive signals are found and increase the likelihood of the product being acceptable which will be better understood when a prototype of the same is tested in the market. Table of Contents Introduction 3 Industry Structure 3 Key Success Factor of the Industry 4 Target Market 5 Competitor Analysis 6 Targeted Niche Market 7 Product Information 8 Marketing Mix 9 Feasibility of the product 10 Conclusion 11 References 12 Introduction Organizations for their long tern sustenance need to develop products and services which are based on customer requirements so that the chances of being successful through the acceptance of the product or services increase. Understanding the customer wants and developing products and services accordingly will ensure long term growth of the business. The report thereby looks at analyzing the manner in which a new products which is credit card attached to the bracelet can be swiped while purchasing goods and making payments and also keeping a track of the different movements which is taking place. This will thereby reduce the chances of the card being lost and will also ensure that children don’t have to carry excess money with them. The main reason which has led towards the development of this idea is the growing demand for a product which will help to monitor payments and at the same time ensure safety of the person involved. To identify the same the potential of the market has been identified followed by industry so that the demand for such tools can be identified. The report then looks to find out the targeted customers, the pricing strategy, the competitors present in the market, and other aspect of the marketing mix which will increase the chances of the products being acceptable in the market. Industry Structure The industry for automated products which helps to simplify life is increasing at a rapid pace and is estimated to continue with the same pace in the future. This has also led towards ensuring that more and more people are provided employment and the sector is growing at a pace which will outweigh the cost associated with it. The growth in the Australian credit care industry can be seen from the increased spending per child being made in Australia. The per child spending pattern has grown to $486 in 2010 from $401 in 2009 showing an increase in 20% which has been due to the availability of different form of equipments which has helped to simplify life. The different products which are available not only attract the younger generation but seems to have an impact on the grown ones also. The future thereby depicts a positive signal which will tend to increase the use of credit card bracelet as easy purchase and ease of carrying out different operations will have a positive impact on the overall performance (Chawla, 2003). This has been aided the addition of new and better products which are suited as per the needs and requirements of the customers and has thereby helped to improve productivity and ensure better growth rates. Key Success Factor of Industry The different forces and factors which can be attributed towards the success of the industry is as The change in the perception of customer towards gadgets which helps to simplify life and provides an opportunity through which the different environmental factors can be controlled The availability of different gadgets which helps to fulfill the different needs and requirements of the customer helps to attract people and ensures they are satisfied. Since, each tool is different and helps to serve different purpose it has thereby intensified the demand for such products The pricing mechanism which has been adopted is such that it helps to fulfill the need of different customers and customer base. This ensures that every section of the society is able to find a product according to their requirements and fitting their budget Target Market The product different from other credit cards which are available in the market as it looks to concentrate on providing additional features and facilities through which differentiation can be ensured. The overall objective of the organization is to attract and develop a niche market which will look at targeting the correct customer base so that the business is able to grow in the correct direction (Drummond and Ensor, 2001) Final User: The organization look at attracting and retaining people especially children and their parents by proving credit cards attached to bracelets so that it doesn’t get lost. It will also provide an opportunity for the parents to track their children and reduce the risk of having excess liquid cash with the children. This will thereby monitor the expenses as every penny spent through the credit card will be notified to the parents and will thereby help to control the manner different expenditure takes place. Group: To have better penetration the credit cards will also be available for a group of customers who will be linked together. This will ensure that a lot many customers are able to enjoy the same benefits and will also help to penetrate deeper and attract groups who are looking for using different credit cards for different purposes. The product thereby will be sold directly to the customers and the middle men will be eliminated so that cost remains low. The process will also lead towards making certain changes and reaching every nook and corner so that better penetration becomes possible (Cook & Dave, 2004). The market for the product which is a niche market has been further segmented and is as Individual: The product which is a credit card attached to a bracelet will be directly sold to the customers especially to parents who are searching for products which will help to ease the life for their children. Since, the product will also help to monitor and find out the place where their children are the product will be directly aimed towards children so that maximum reach becomes possible Females: The product which is a credit card attached to a bracelet will be directly sold to the customers especially to females so that they don’t have to carry cash and can make payments for the different transactions that takes place. Since, females have a preference towards bracelet so it will also act as a status symbol and at the same time ease the entire process as no liquid cash has to be carried as the card will serve all the purpose Competitor Analysis The market is highly competitive due to the presence of different players especially banks who supply different form of credit cards with different offers to lure customers. The credit cards have been developed based on different functions and purposes and tend to provide cash back on different offers. This has intensified the degree of competition as the products being sold in the market have something for each section of the society. The different banks and their credit card further have been developed and designed to meet the different specific needs and requirements of the customers thereby creating a niche market for the product itself. The different returns and cost associated has been designed in such a manner that it tends to attract people and leaves very little differentiation among the different products which are available (Chen, 2003) The new product is different as despite being a credit card it is attached to the bracelet which reduces the chances of being lost. Like other traditional credit cards it will help to serve the purpose of not carrying money and swiping the card to make payments but at the same time it will help to monitor and find out the place where the children are as using the card will send a message to the parents thereby helping to keep track of their children. Further, the card is attached to the bracelet will serve as a status signal people prefer to wear bracelet so it will serve dual purpose and will help to provide an opportunity through which differentiation will be ensured form other products in the market (Doole and Lowe, 2001). This will thereby increases the chances of the products being acceptable and ensure that the degree of competition is controlled. Targeted Niche Market The new product is different as despite being a credit card it is attached to the bracelet which reduces the chances of being lost. Like other traditional credit cards it will help to serve the purpose of not carrying money and swiping the card to make payments but at the same time it will help to monitor and find out the place where the children are as using the card will send a message to the parents thereby helping to keep track of their children. Further, the card is attached to the bracelet will serve as a status signal people prefer to wear bracelet so it will serve dual purpose and will help to provide an opportunity through which differentiation will be ensured form other products in the market (Doole and Lowe, 2001). The organization based on it will look to target about 10% of the market and slowly with the passage of time will increase it so that they are able to reach deeper and penetrate better in the markets. Product Information The product which has been developed is slightly different as it looks to mould the traditional items to a new one by giving it a new shape and design. The product will help to ease life as it will provide with the ease of payment facility, tracking, monitoring the expenses, style and other purpose (Clegg & Walsh, 2004). The new product is as it is attached to the bracelet which has increased its value and ensured better opportunity to be used and not lost. This will help parents to the relieved as the children won’t have to carry cash and can easily pay off the money which they have purchased through their credit card. The card on used will notify the parents regarding the amount of purchase that has been made through the credit card and will also notify the place where their children are. This will help to exercise better control over the manner in which different activities are taking place and will multiply the opportunity through which better control will be possible. This will also act a differentiating factor from other players in the market and help to sustain the degree of competition in a better way. This will thereby increases the chances of the products being acceptable and ensure that the degree of competition is controlled. The focus of the product is also on a different section of the society as it looks to attract children and women towards their products. The product has also been designed and developed keeping in mind the changing style and design which will thereby find easy acceptability as targeting and attracting the correct base of customer will become easy. A complete manual will be provided with the credit card which will help to guide the user of the credit card regarding the manner in which the card can be used. This will be facilitated by passwords to ensure that the card is used by only authorized person and will reduce the chances of leakage (Cable & Judge, 2006). In addition to it the overall mechanism through which the bracelet becomes effective and acts as a status symbol has been given importance so that the product becomes easily accepted by the people (Duncan, 2008). The organization also looks to provide warranty and has ensured that in case the product is defective it will be replaced so that the acceptance of the product between the customers becomes acceptable. Marketing Mix The other aspect of the marketing mix is as Price: Similar to other credit cards the credit card with the bracelet will be offered at a minimum yearly charge so that all section of the society is attracted towards it. The bracelet which has been fitted with the credit card will be charged extra depending on the design, style, sleekness and other features which the customer chooses (Chrisan, 2001). This will thereby ensure better acceptability and provide an opportunity to choose from the different options which are available. The pricing which has been determined is thereby competitive compared to other credit card in the market and the customer will just have to pay for the bracelet which they are using which will also act as a status symbol. Promotion: To create awareness about the product the organization looks to use different forms of media to advertise their products. In addition to it the organization also plans to provide a trial version of the product so that the user can use it for a fixed period of time. To create awareness about the product the organization has looked towards promoting the product among families so that they understand the advantage of using the product (Chrisan, 2001). The organization also looks to use their website as a mechanism through which they will advertise about their offerings and will thereby be able to generate the required leverage through which the organization gains prominence among the people (Daniel, Charls & Joseph, 2003) Distribution: The product will be directly sold to the customers through different medium and will look at tapping the correct segment of the society. Organization looks towards selling their products directly to the customers who are in search for technologically advanced products which helps to serve their different needs. In addition to it online purchase of bracelet will be allowed. The business will also look to tie up with different banks and other institutions so that they are able to attract people towards it. This will give them a ready created distribution network and will provide an opportunity through which better reach will become possible. Feasibility of the Product The chances of the product being accepted among the people are high. This is on the background that the product which has been developed is slightly different as it looks to mould the traditional items to a new one by giving it a new shape and design. The product will help to ease life as it will provide with the ease of payment facility, tracking, monitoring the expenses, style and other purpose. The new product is different as despite being a credit card it is attached to the bracelet which reduces the chances of being lost. Like other traditional credit cards it will help to serve the purpose of not carrying money and swiping the card to make payments but at the same time it will help to monitor and find out the place where the children are as using the card will send a message to the parents thereby helping to keep track of their children. Further, the card is attached to the bracelet will serve as a status signal people prefer to wear bracelet so it will serve dual purpose and will help to provide an opportunity through which differentiation will be ensured form other products in the market. This will thereby increases the chances of the products being acceptable and ensure that the degree of competition is controlled. Further, there is a demand for such products which increases the likelihood of being accepted by the people. In addition to it the marketing strategies and other aspect associated with it has looked towards developing and creating a market which is different and will provide an opportunity through which the overall mechanism through which business works will be achieved and the product will be easily accepted by the people. Conclusion The report thereby shows the manner in which the feasibility of developing a credit card attached to the bracelet will be successful. The research shows that developing an credit card attached to the bracelet will help to satisfy the different needs and requirements of the customers and hence will be accepted by the people. The chances of the products being successful is further high as parents are looking for products which helps them to track their children at the same time provide them the privilege to be free. Thus on the whole positive signals are found and increase the likelihood of the product being acceptable which will be better understood when a prototype of the same is tested in the market. This will help to test the product and increase the chances of the product being successful in the market. The different strategy which has been adopted and the marketing fundamentals which the organization looks to adopt will ensure that it becomes successful. The overall mechanism which further look towards creating a niche market and will mould the old and traditional products into a new one. This will ensure easy acceptability as it will provide different options and solutions thereby increasing the overall effectiveness through which product acceptability becomes possible. References Cable, D. & Judge, T. (2006). Person-organization fit, job choice decisions, and organizational entry. Organizational Behavior and Human Decision Processes, 67(3), 294–311 Chrisan, P. (2001). Marketing: A Behavioral Analysis, McGraw – Hill. New York Clegg, C. & Walsh, S. (2004). Change Management: Time for a change. European Journal of Work and Organizational Psychology, 13 (2), pp. 217-239 Chen, I. (2003). Understanding Customer relationship management: people, process and technology. Business Process Management Journal, 9 (5), 672-688 Chawla, A. (2003). Marketing Management for Toy Industry. Workshop on Marketing of Educational Institute, Programme and Services Cook, D. & Dave, D. (2004). Structural element of service quality product. 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