Course: Marketing Management Final paper: Final Marketing Plan (Parts A & B) and PowerPoint for Marketing Plan (required in the attachment) Therefore, the homework requirements are all in APA

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Contents

Executive Summary ..................................................................................................................................... 3

Current marketing situation ........................................................................................................................ 4

Market description .................................................................................................................................. 4

Benefits and product features ................................................................................................................. 5

Products review ....................................................................................................................................... 6

Competitive review ................................................................................................................................. 6

Distribution review .................................................................................................................................. 7

Strengths, weaknesses, opportunities, and threats ..................................................................................... 8

Strengths ................................................................................................................................................. 8

Weaknesses ............................................................................................................................................. 9

Opportunities .......................................................................................................................................... 9

Threats ................................................................................................................................................... 10

Conclusion ................................................................................................................................................. 11

References: ................................................................................................................................................ 12 ADOPTING PRODUCTS ONLINE

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Executive Summary

Solution Limited Company was founded in the year 2001 and has been making profits

within California State. It runs ten brick-and-mortar stores within the state whereby it sells both

fashion and sports clothing. However, the number of competitors has increased which has

reduced the company’s annual profits by 15% therefore there is a need to come up with a

strategic approach to solve the problem. The following are the main goals of the company:

a. To increase its profits by 25% within a period of two years.

b. Segment US cultural needs per region to determine strategic approach which should be used

for each segmented market.

c. To expand its operations beyond United States within the next two years.

d. To adopt online marketing strategies within the next seven months.

To achieve the three goals, one of the recommendations is that the company must engage

with its employees and all other stakeholders to determine some of the areas which needs to be

improved. A budget should also be allocated in adopting technology through online marketing

since it will allow the company to achieve the expansion goal. Several competing companies

have adopted online marketing strategies which has been key to their current success. For

Solution Company to remain competitive, it has to adopt online marketing strategies and also to

expand its operations beyond California. Clothing products goes hand-in-hand with culture

therefore there is a need to determine the cultural needs of all citizens for better marketing

activities. ADOPTING PRODUCTS ONLINE

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Current marketing situation

Solution Company currently uses a local television station to advertise its products. It

also markets its products through billboards around the state. They two methods have been

relatively cheap therefore enabling the company to save on the cost of marketing. However, an

analysis of the effectiveness of the two methods has not been done meaning that the management

lacks clear information on how effective the two methods are in promoting the product.

Market description

The company targets two types of customers: customers who love sporting activities

regardless of their age and young people who value fashion trends. For sporting products, the

company has not paid attention to people of specific age since there are several people aged over

50 years who take part in sporting activities for the sake of improving their health. The company

has also partnered with two sporting institutions within the state who uses its products in daily

basis.

The company’s sporting products department is targeting various learning institutions not

only in California but also other states whereby it will deliver sporting clothing and other

equipment to learners of all ages and body sizes. It is also targeting national sporting institutions

whereby it intends to offer them competitive prices for all sporting products. This will not only

increase its market size but also will enable the company to market its products through such

institutions. ADOPTING PRODUCTS ONLINE

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The fashion clothing department currently focuses more on youths’ fashion designs. It

intends to widen its market to capture older people since they are the most common when it

comes to making physical purchases. According to the management 10% of the customers who

were not able to find fashion products in its stores are the aged people. There is a need to widen

the market to capture the market so that to increase its marketability and sales.

The department is also focusing on online clients. Due to development in technology, a

large number of clients is no longer limited by geographical boundaries when it comes to

purchasing their preferred products. An example is a situation where a customer is willing to

travel all the way to New York from California to purchase a products which they came across

through online products. Because of this, Solution Company must be willing to go beyond local

market segmentation to capture online clients.

Benefits and product features

The first benefit is that the company shall ensure that all clients will access its products in

a more convenient way. First, the company will deliver sporting products to various institutions

within a period of 24 hours after an order has been made. This will not only save the cost of

transport to the customers but will also save on time. Customers who will order products in small

quantities will have their products delivered within a period of 48 hours through a trusted local

carrier company ( Hanson & Kalyanam, 2020).

Customers who love fashion products will access various types of products regardless of

their age. Those ordering the products through online platforms will have a chance to try the

products and if not contented, they will be allowed to return the products for a refund as long as

they will not interfere with the quality of the product. Customers will also save on the cost of

transport since their deliveries shall be made through trusted carriers. ADOPTING PRODUCTS ONLINE

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Products review

One of the main features is customization of the company’s website according to its

products. Sporting products and fashion products shall be segmented differently which will

enable customers to gain a quick access to any of the two categories. Customers will also have a

chance to determine their preferred mode of payment. An example is they will pay after

receiving the product or before receiving a product. The method aims at ensuring that customers

make each purchase at their convenience.

Competitive review

The main competitors for sporting equipment are Adidas, Nike, and small scale retailers

in the country. The three companies have been the main competitors whereby they have been

improving the quality of their products for years. They have also been able to adopt to

technological changes and also market segmentation so that to meet the needs of their clients

from all parts of the world.

Adidas is a German multinational corporation which specializes with manufacturing,

clothing, accessories, and shoes. The company was started in the year 1924 and through

continuous improvement of its products, it has been able to go beyond the German market

through venturing in all parts of Europe and also United States. It is a major competitor to

Solution Limited due to its brand name whereby customers are willing to pay high for its latest

products.

Nike is currently the largest sporting company in the world whereby it is able to fetch a

revenue of up to $29.6 billion. Just like Adidas, the company has been able to establish its

market in all parts of the world whereby it deals with products such as footwear, various sporting

equipment, and accessories. The company’s main strength is its ability to convince clients ADOPTING PRODUCTS ONLINE

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through its adverts. The company has also sponsored several sporting clubs from various regions

around the world which has been key to its marketing.

There are other major companies such as Under Armor and small business entities which

deal with sporting products therefore there is a need for Solution limited to come up with

strategic plans for remaining competitive. The competitors are also making arrangements to

merge with major sporting institutions which has been key to building their brands.

When it comes to fashion clothing products, Zara is one of the biggest fashion retailers in

the region. Other competitors include online companies such as Amazon. There is also a stiff

competition from small scale retailers in the region. Zara’s main strategy is market segmentation

whereby it has been able to break down its market depending on cultural trends for each region.

It has set branches whereby details on customer needs and cultures are captured then shared to

the headquarters. At the headquarters, decisions are made on products design which is then

shared to the production department. This strategy has enabled Zara to continuously improve its

products and also to meet growing customer needs in all regions around the world ( Rust, 2020).

Distribution review

Solution Company is currently doing well in direct selling due to a large number of its

return clients. Direct selling enables clients to make direct enquiries on products which improves

direct communication between clients and the customer care. Clients also have a chance to try

some of the products and also to get explanations on how they are used therefore the company

will retain direct selling so that to retain the number of local clients.

Solution Company will adopt catalog direct strategy which will allow customers to

browse through the company’s products to pick products based on their preference. This will ADOPTING PRODUCTS ONLINE

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reduce the number of employees serving as customer care since clients will interact with the

website directly therefore saving on the cost of production. The strategy will also allow

customers to make direct inquiries on some products.

The company will adopt digital advertisement methods especially through social media

platforms such as Facebook and YouTube. The company’s main website will be well organized

to allow clients to make purchases within the shortest time possible. In digital marketing, both

local and international influencers will be used to capture a large number of clients both in the

local and international market ( Hoekstra & Leeflang, 2020). The company shall also focus on

various events to market its products especially during fashion shows.

Strengths, weaknesses, opportunities, and threats

Strengths

a. Solution Company has fashionable clothing and modern sporting equipment which are key to

increasing the number of customers.

b. The company is currently working with fast and efficient production systems which allows

quick production of large quantities of products especially during pick seasons.

c. The company is currently selling its products at affordable prices which allows clients to save

on cost of purchasing products especially for clients who buy large bulk of goods.

d. The company has an effective customer care support team which allows clients to make

consultation where necessary.

e. The company has invested in break-and-mortar stores therefore allowing customers to

observe goods before purchasing them. ADOPTING PRODUCTS ONLINE

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Weaknesses

a. Limited investment in online marketing: this is the main challenge which faces the company

since it still depends on traditional advertising methods which limits its ability to capture

customers from other regions outside California.

b. Limited methods of product delivery: currently, the company depends on carriers to deliver

its products which is not only expensive for customers but also the company is unable to

monitor the quality of services which each customer receives. This affects the relationship

between the customers and the company.

c. Solution Company depends of foreign manufacturers: Currently, the company depends on

manufacturers from China and other regions which is expensive to import the products. To

high cost of production, the profit margin is low which limits its growth.

d. Limited capital for expansion to other regions: Solution Company lacks sufficient capital to

expand its operations outside the country. This also affects its productivity especially when

the stock has taken too much time before being sold.

Opportunities

a. Raising capital to manufacture products locally: This will allow the organization to save on

the cost pf production and also to control the quality of products since it will monitor the

production process closely ( Deepak & Jeyakumar, 2019).

b. Investing in modern online marketing strategies: Competitive companies such as Zara are

accessing information about their clients online. Solution limited can use the same strategy to

continuously improve the quality of its products which will increase the number of its return

clients. ADOPTING PRODUCTS ONLINE

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c. Investing in cost-effective transportation of products directly to clients without involving

other carrier companies:

d. The company can adopt autonomous vehicles which is not only environmental friendly but it

will also reduce the amount of delivery time for all products. The company will also save on

the cost of employing drivers since the AVs will deliver the products at a low cost ( Desai &

Vidyapeeth, 2019).

e. The company can take advantage of the growing social media platforms to make citizens

aware of their products in all parts of the world therefore enabling the company to capture a

global market. It will also enable the company to perform a better market segmentation since

it will allow the marketing team to understand the needs of all clients better.

f. The company has an opportunity to venture into other friends such as providing investing in

order clothing products such as baby cloths which have a high demand. This will enable the

company to widen the scope of its market therefore earning higher profits.

g. The company has an opportunity of automating other services such as customer care services

which will reduce the cost of paying wages therefore increasing its annual profits.

Threats

a. One of the main threats which the company is facing is uncertain economic times. An

example is the situation created by the pandemic. Solution Company currently operates

physical stores and if a pandemic occurred again, its services might be affected.

b. There are several types of competitors which includes new investors who are introducing

advanced marketing strategies. Such companies have captured a large market since therefore

lowering its profitability. ADOPTING PRODUCTS ONLINE

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c. Due to increased cost of living, several citizens have cut down their expenditure due to low

purchasing power. This has affected citizens’ focus on purchasing new products therefore

lowering the company’s profitability.

d. Cyberattacks is another threat which might affect the company especially if attackers gain

access to sensitive customer data such as personal details after online payments. This might

discourage clients from purchasing online products as they fear for their security.

e. The company faces a threat losses increase of a disaster. Currently, it lacks a disaster

recovery plan which puts its current operations at risk in case of a natural disaster such as an

earthquake which might alter with all its functions.

Conclusion

Solution Company has the potential to grow and also to enhance its profits. However,

this can only be achieved through using a strategic approach which will allow the company

to monitor its production processes, its marketability and also determine ways through which

it can save on the cost of transporting products to clients. There are several competitors in the

current market who have invested in market segmentation and also in predicting market

trends. Solution limited should focus on such methods so that to determine the most

appropriate strategy of meeting customer needs. ADOPTING PRODUCTS ONLINE

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References:

Deepak, R. K. A., & Jeyakumar, S. (2019). Marketing management . Educreation Publishing.

Desai, V., & Vidyapeeth, B. (2019). Digital marketing: A review. International Journal of

Trend in Scientific Research and Development , 5 (5), 196-200.

Hanson, W. A., & Kalyanam, K. (2020). Internet marketing and e-commerce.(Student ed.) .

Thomson/South-Western.

Hoekstra, J. C., & Leeflang, P. S. (2020). Marketing in the era of COVID-19. Italian Journal of

Marketing , 2020 (4), 249-260.

Rust, R. T. (2020). Outside-in marketing: Why, when and how?. Industrial Marketing

Management , 89 , 102-104.