Stan Company - E-Print Product Marketing Plan - Case Study Example

Stan Company E-print Product Marketing Plan Name: Institution: Date: Executive Summary This marketing report offers an e-print product marketing strategy for the Stan Limited Company in the Australian market. Based on its already existing TV shows and movies streaming product bundle success, the analysis argues that a diversification of its product base to include the e-print products will enhance market penetration and revenue gains. A situational analysis establishes favourable buying behavior, a variety gap, and a need to increase competitiveness due to the risk of future competition challenge. Based on the analysis, the report recommends that the product will be supplied on a similar pricing model to the existing organisational products on a monthly subscription supplied through the organisational portal and website to optimize its use and reduce new IT infrastructure development. Moreover, the analysis advocates for the use of both the social media and search engine popup adverts as well as the blue ocean and customer reviews process evaluation strategies. Table of Contents Executive Summary 2 Table of Contents 3 1.0 Introduction and Industry Background 5 2.0 Situational Analysis 6 2.1 Primary Data Findings 6 2.1.1 Distribution Infrastructure 6 2.1.2 Consumer Buying Behaviour 7 2.2 Secondary Data Findings 8 2.2.1 Market Mix Elements 9 2.2.2 Industry Analysis 9 3.0 Marketing Plan 10 3.1 Marketing Objectives 11 3.2 Marketing Mix Strategies 11 3.2.1 Price 11 3.2.2 Place 12 3.2.3 Product 12 3.2.4 Promotion 13 3.3 Marketing Strategies Evaluation 13 4.0 Conclusion 13 References 15 1.0 Introduction and Industry Background Stan Australian Company is a rapidly growing Australian online streaming venture. The organisation provides a wide range of content streaming ranging from popular TV shows to popular movies as their content is released into the market. The venture has over the last two years expanded its operations and subscription base due to the adopted cost leadership approach. On its part, the organisation charges a subscription fee of $10 per month for the consumer access to unlimited streaming of a wide variety of their TV show and movies among other audiovisual contents Hopewell, 2015). The organisation operates in the drastically growing and changing online media platform. Traditionally, information dissemination was limited to the mainstream media that included the large TV corporation stations and the radio and the print media respectively. However, the emergence of the online media revolutionized the media industry. On one hand, the industry allowed for increased media content, availability, bridging the traditional geographical gaps in the market that confined media stations and content to specific locations in the global market. Moreover, it enhanced increased global market consumer base, by providing unlimited access to the global market base. This report develops a critical focus of the online media industry providing a strategic marketing plan and strategies for the development of a new e-print content for the Stan Company limited in the future. 2.0 Situational Analysis A situational analysis involves an evaluation of the existing market environment that form the external industry factors that influence the development and eventual success of a product brand in the market. In this marketing report, the analysis involves and evaluation of both the primary and secondary data involving the e-print content and especially involving e-newspapers and e-books in the market. 2.1 Primary Data Findings Primary data is the original data collected from the consumer base in the market, evaluating their reactions and views on a specific product slated for marketing and supply in the market. In this case, the analysis, primary data evaluated the existing e-print products including the e-newspapers and e-books distribution system, as well as the consumer buying behaviour of the products. The evaluation of the two primary market factors aimed at developing a feasibility test and evaluation of the viability of the proposed new product market. 2.1.1 Distribution Infrastructure A product distribution infrastructure is described as the channels and routes through which an organisational product is transferred from the organisation to the consumer base. Besides the physical features quality, a good distribution infrastructure allows for the products on time delivery at the right quality. Based on this understanding, an evaluation of the e-print products establishes that the market mainly relies on the primary publisher websites that sell their brand products creating a limitation on product diversity. Moreover, the available alternatives, especially for the e-books provide the for the renting or purchase single products. Therefore, the existing distribution system does not provide an opportunity for wholesome subscription of e-books on a monthly basis and for the newspapers; the subscriptions are limited to managing and newspapers produced by a given media house, reducing the element of variety of news to the consumers. The existing distribution gap in the market offers an additional market gap and opportunity through which the proposed product could fit in by offering the remedy of variety as well as online, reading of such products without the need to rent or purchase a given book. This primary data analysis on the Australian e-print industry demonstrates that the industry existing gaps offer the opportunity for the Stan Company to develop and introduce the proposed e-products in the market. 2.1.2 Consumer Buying Behaviour A consumer buying behavior is described as the nature and process through which consumer purchase and re-purchases the product (Bruwer, Saliba & Miller, 2011). In this case, an evaluation of a consumer buying behavior evaluates the existing economic, social, cultural and ethical issues in the society that affect and enhance the purchase or failure to purchase a given product in the market. On one hand, a review of the Australian Society demonstrated growing literacy levels as well as increased IT literacy. This implies that the Australian society is gradually embracing and adopting the use of IT based products in the market. Thus, based on this understanding, the analysis established that the e-print media and circulation of e-books and newspapers will gain future market dominance over the traditional print media (Bruwer, Saliba & Miller, 2011). In addition, an evaluation of the market social and ethical issues, established that the market, besides having a high affinity for entertainment, valued information and credible information sources. As such, a survey of the common sources of information established that the consumer base relied on the reputable brand names in the industry and shunned off the blogs and other internet sites as sources of entertainment rather than actual information sources. Therefore, this social perception implies the existence of an industry gap in the market. In this case, the market base is yet to acquire a wide variety of credible information sources besides the mainstream organisations through which they can acquire a large and varied assortment of e-books and e-newspapers. Finally, a cultural influence on the buying behavior of the Australian Society demonstrated that the population has minimal impulse buying, and a majority of the societal purchases were planned and budgeted for. Thus, this illustrates that providing an e-print option for acquiring e-newspapers and books on a monthly subscription option would increase the subscription base as it will fit in the consumer culture for planned purchases rather than availing different products at different prices. As such, the consumer behavior elements analysis demonstrates that the Australian readership-industry is a viable opportunity and market base through which the proposed product could be successfully introduced in the future. 2.2 Secondary Data Findings A secondary data analysis involves a review of the existing literature in the market relevant to the proposed market product. This analysis section evaluates the existing market reviews on the e-print industry, the existing business competitors as well as other industry ad market factors influencing and likely to influence the product market base both in the present and in the future. 2.2.1 Market Mix Elements Currently, the e-print products are supplied through individual, organisational platforms in the Australian market. Under this place mix element, organisations avail their brand in the market. Thus, the market is highly fragmented in that consumers have to search for different organisational websites such as the newspaper media houses to read and access the different newspapers in the Australian and the global market. This strategy spills over to the use of individual products and organisations subscriptions. As such, in order to access two different newspapers, the consumer base is required to subscribe and sign up accounts with each of the newspaper media houses (Nielesen, 2009). Similarly, the e-book market is characterised by the use of specific publishing houses as the online portals for the products selling. However, unlike the newspapers, the e-books are supplied on a purchase or rent basis. Thus, the pricing model for the e-books is on a product line basis where each product is priced differently. Finally, an evaluation of the promotion element illustrates that the organisations mainly use institutional promotional approaches where the existing products, both supplied online and offline are branded and marketed as a bundled package to the Australian consumer base. 2.2.2 Industry Analysis In order to develop a suitable marketing plan and strategies for the proposed e-print products, product, it is imperative to evaluate the existing and expected industry changes. This is achieved through the use of the porters five forces model of the key influential industry factors such as competition, buyers bargaining power and the threat of new entrants into the market. An evaluation of the existing literature on the e-printing sector in the online media platform illustrates that the level of competition is bound to increase in the future, In this case, the analysis illustrates that with the industry being on its growth stage, it is expected to earn high-profit margins, a factor likely to attract additional investors to the industry (Nielesen, 2009). This will add onto the existing industry competition from other players in the e-print industry such as Amazon and eBay. Moreover, the analysis reveals that the buyers bargaining power will gradually increase with a rising competition level and suppliers in the market. Therefore, in order to retain industry and market competitiveness organisations should develop sustainable competitive edges for the venture. Finally, an industry analysis reveals that with increasing technology development and infrastructure diversity the threat of new entrants into the market will increase in the future. It leads to the need for organisations to develop suitable market sustainability edges to remain influential and productive and profitable in the long run period. 3.0 Marketing Plan Based on the above situational analysis, this analysis section develops a strategic marketing plan for the Stan e-print product. In this case, the marketing plan offers the key marketing strategies, the marketing mix strategies, as well as the marketing performance and success evaluation, approaches respectively. 3.1 Marketing Objectives A marketing objective refers to the core justification for the development and marketing of a product into the market. On one hand, the product consumer segment is the entire Australian consumer base, interested in learning for leisure, as well as students requiring ease access to books and other learning materials. The marketing plan aims at establishing and positioning the Stan Company Limited as a market leader in the e-print products market niche. 3.2 Marketing Mix Strategies The marketing mix elements are the fundamental aspects that support the development of a marketing plan and strategic approach in the industry. This section offers an analysis of the various strategies each of the marketing elements will apply to ensure and support the realisation of the listed marketing mix objectives. 3.2.1 Price The situational analysis of the pricing strategy in the market establishes that the market currently applies the product line base pricing system where each product is priced on its own. Moreover, the analysis establishes that although the approach allows for the market niche development for the respective products, it denies the consumer a variety opportunity (Lamb, Hair & McDaniel, 2012). Therefore, the organisational pricing strategy will follow its current TV shows and movie streaming monthly subscription system. As such, through monthly subscriptions, the organisational e-print product consumers will acquire access to read and access online all the available organisational products. 3.2.2 Place The place marketing mix element involves the process and avenues through which an organisational avails and delivers its products to the consumer base. The e-print product will be provided through the organisational online shop a portal. In this case, similar to the existing products supply model, the consumers will sign up for an e-print products online account through which they can access the different e-print products availed by the venture. In this case, the choice of the already existing online system and platform is based on the high costs of developing a new IT infrastructure. Therefore, the organisation will reduce its product launch and operational costs (Lamb, Hair & McDaniel, 2012). This strategic reduction on the operational costs will serve as a competitive edge trough which the organisations will execute cost effectiveness to a low for the charging of low monthly subscription costs similar to the audio-visual products cost that is $10 per month. In addition, the organisational platform has developed reputable and credible brand image in the Australian market. Therefore, this will ensure that the culture and social perception for acquiring information from credible sources will boost its acceptance in the society as an alternative source of vital news and credible information in the Australian market. 3.2.3 Product The product supplied will fall into two categories, namely the e-newspapers and the e-books categories respectively. In this case, the key product augmentation will be the provision of variety at affordable product costs. In this case, unlike the already existing e-print products online centres that supply individual products clustered on the publisher basis, the organisational product base will be hedged on a variety provision. As such, products from different publishers and media houses will be availed on the organisational platform, creating a value for money for the respective consumers. 3.2.4 Promotion The e-print products will be promoted through the online platform and the social media. On the latter, the organisation will develop social media accounts on the popular social media sites such as Facebook and Twitter, through which consumer involvement and feedbacks will be generated the form. On the other hand, it will partner with the existing search engine such as Google, Bing and Ask to generate search engine related content popup windows for the Australian consumer base. 3.3 Marketing Strategies Evaluation In order to examine the success and performance levels of the developed strategic marketing plan, the organisation will adopt two strategic evaluation approaches. On one hand, it will employ the blue ocean strategy. The strategy allows for the development of internal annual targets and goals for the product sales and consumer base. In this case, every ending year, the set targets will be evaluated against the attained levels to establish variances and causes for such variances. Moreover, it will use consumer reviews and feedbacks on the online platform as well as on the social media as a means of evaluating the extent to which the products and marketing approach has fitted into the consumer needs and wants (Kim & Mauborgne, 2015). Consequently, this would allow for readjustments and change of the respective marketing mix elements, strategies as the market situation and needs evolve in the future. 4.0 Conclusion In summary, the marketing plan offers a summarized review of the proposed e-print product marketing strategy and process. On one hand, an evaluation of the online media industry illustrates that the industry is at its growth stage and thus expected to expand and increase profitability gains in the future. A situational analysis of the industry through a porters five forces model demonstrates the risk of increasing buyers bargaining power, the threat of new entrants and, competition rise in the future. Moreover, an evaluation of the existing distribution system illustrates huge gaps in variety provision. Moreover, a consumer buying behavior analysis establishes a growing preference for IT-based products, thus increasing the product’s demand potential. Finally, a marketing strategy analysis offers a subscription pricing, online portal, search engine based marketing, and variety provision strategies respectively. Finally, the report establishes that the success and performance evaluation will be based on consumer reviews and the blue ocean strategies respectively. References Bruwer, J., Saliba, A., & Miller, B. (2011). Consumer behaviour and sensory preference differences: Implications for wine product marketing. The Journal of Consumer Marketing, 28(1), 5-18 Hopewell, L., (2015). Meet Stan: Australia's Most Ambitious Streaming Service Yet, Gizmodo. Retrieved from http://www.gizmodo.com.au/2014/11/meet-stan-australias-most-ambitious-streaming-service-yet/ Kim, W. C., & Mauborgne, R. (2015). Blue ocean strategy: How to create uncontested market space and make the competition irrelevant. Boston: Harvard Business School Lamb, C. W., Hair, J. F., & McDaniel, C. D. (2012). Essentials of marketing. Mason, Ohio: South-Western Cengage Learning Nielsen, (2015) The Future is Bright for Online Media. Author. Retrieved from http://www.nielsen.com/us/en/insights/news/2009/the-future-is-bright-for-online-media.html Read More