MRKT20052 Marketing Plan

MRKT20052  Marketing Plan

Executive Summary

The major purpose of this report was to prepare a marketing plan for Vollebak Startup Company that will launch its new product i.e. Solar Charged Jacket in Australia in the year 2020.

Before launching its products the company has to focus on PESTLE analysis, SWOT analysis, competitor analysis so that it may get knowledge about the Australian market. Based on analysis it has been found that Australian economic growth is favorable for this business.

It has been depicted that political stability, as well as trade agreements, are favorable for the Vollebak that will launch its solar-charged jacket in Australia in 2020. The findings also demonstrate that by using modernizing technology the company can easily manufacture good quality products and this will be quite beneficial for the product that it will launch in Australia. The promotional activity social media site like Facebook has been adopted by the company.

Introduction

The main objective of this study is to develop the marketing plan for the selected business and the product that will be introduced into the Australian market early in 2020.  In this way, the chosen business is Vollebakand the innovative product will be Solar Charged Jacket and Part running jacket.

Under this study, the situation and the customer analysis is included along with the problem statement. In addition, this study also discusses the objectives and the marketing mix strategy which are essential to analyze the market. Apart from this, campaign evaluation, budget and the fine conclusion are also outlined in this presented marketing plan.

Company Background

Vollebak is the UK based company who manufacturer the sportswear including the apparel and the accessories. It is newly startup that has employed around 11 – 50 employees at its retail store (Vollebak, 2019).

In a similar manner, it is also found that the company has won the best invention award of TIME Magazine in 2018and it also has been called the magical by Fast Company. Similarly, the company has the aim to perform for outdoor clothing in order to compare with Tesla and elBulli in the context of its radical commitment (Vollebak, 2019).

At the same time, Vollebak is also popular for its sports gear such as the solar-charged jacket that is made from the highly responsive material. With the help of this marketing plan, this innovative product will be introduced in Australia.

Situation and Customer Analysis including Problem Statement

Situation analysis (SWOT, PESTEL, Competitor Analysis)

Pestle analysis

Political

It is the factor that will impact the Vollebak going to introduce solar-charged jacket in the year 2020. This factor will support Vollebak from the government nation. The redefined import duties are imposed by the nation. It also imposes tariff barriers that are quite effective for clothing brands.

It has been depicted that political stability, as well as trade agreements, are favorable for the Volleybak that will launch its solar-charged jacket in Australia in 2020 (David, 2018).

Economic

This is another factor that will impact Vollebak that will introduce the solar-charged jacket in Australia. The economic conditions are examined that indicate Australian people purchasing power is increasing.

The living standard is also enhanced which will be quite beneficial for this business (Market and Research Report, 2019). There will be a strong demand for clothing that will be quite favorable for Vollebak. Due to an increase in the growth of the economy of Australia, there is the minimization of the unemployment level that leads to more buying power of customers.

Social

This factor also impacts Vollebak if there is a proper analysis of social trend then it can be observed that the Australian people would prefer eco-friendly products. The clothing demand is high as people have a common taste (OECD, 2018).

Technological

Technology also plays an essential role in Vollebak as it is one of the most essential parts of the clothing industry. By using modernizing technology the company can easily manufacture good quality products and this will be quite beneficial for the product that it will launch in Australia. It can also use an online shopping website that will provide an opportunity for customers (Sheth, 2019).

Environmental

The change in climate and weather will also impact the business to a great extent. Thus, Australia has a favorable climate for wearing outfits that will be launched by Vollebak. Hence, due to changes in climate, there may be a severe impact on the business of the company.

Legal

This factor will impact the business to a great extent. Some different laws and regulations have to be followed by Vollebak going to launch its product in Australia. The company will have to follow the Australian laws of trade (Islam and Mamun, 2017). If these acts get favorable then it will improve the distribution of the new product in Australia.

SWOT analysis

Strength

It is the startup company that has targeted a large number of population in the market of Australia. The company will focus on providing the products at a reasonable rate so that all the people can easily afford it to purchase.

The introduction of the Vollebak solar-charged jacket will be quite beneficial especially for the bikers, or joggers that require high-visibility at night. It is one of the best inventions in the year 2018 by Vollebak (Chavan, 2018).

Weakness

The weakness is that as it will be a new product launched in Australia so there may or may not be a chance of a large number of sales. It would be a loss for the company. Thus, due to a small startup company in Australia, there will not be any sourcing items.

The people are also not aware of the company product so this is the weakness as there will not be a large amount of sale of the product in Australia. In Australia, there is the closure of stores on Sunday that are shopping days for many families.

Opportunity

The startup company will get the opportunity to leverage the brand name and more stores will be opened in new localities after the good sale of this particular store in Australia. Hence, it is the startup of the UK which will expand its business in Australia. It will also create a partnership with other clothing brands to provide exclusive brands.

The company will get the opportunity to provide a new product to the Australian people (Gurel, 2017). People can also order online products.

Threats

There is an increase in competition that is a threat to the company. The company will also face pressure to provide cheap price products in a competitive environment. There is a threat of change in the trend faster and faster so this can be a threat to the company. There are more flexible competitors in Australia that will be supplied with the latest trends quicker in the market.

Competitor Analysis

Competitor analysis in marketing plays an essential role as it helps in determining the strength and weaknesses of current and potential competitors. It helps provide both defensive and offensive strategic content to analyze the threats and opportunities. In terms of Vollebak, the startup company of Australia will focus on the following:

Brand awareness

The company will focus on the target market i.e. niche market those who will be familiar with the brand of competitors. Hence, whatever is required by the competitors they tend to buy and it will be a challenge for the brand that is well-known by the customers (Bocken et al., 2017). This new startup company will make aware of the customers of launching its new product in Australia through promotional activities such as social media sites like Facebook.

Costs

The company will also estimate the competitor’s cost before launching its product in the Australian market. For all the industries the cost is one of the key factors that can challenge the competitor. In terms of Vollebak, a new startup company will plan its product price at a reasonable rate so that all can easily purchase the product i.e. Solar charged jacket.

Experience of customers

The company will also evaluate the competitor’s customer experience like the service or product provided.

Intellectual property

The company will also focus on legal barriers to competition like patents, copyright, trademarks, and licenses.

Relationships

The company will also focus on building a strong relationship with the Australian customers so that they may be attracted to purchasing the product in an effective manner (Morgan, 2015). This will be beneficial for the company in an effective manner as there will be an increase in sales.

Customer Analysis (STP)

MRKT20052 Marketing Plan

(Sourced: DBS. (2016).

Segmentation

Market segmentation is the process to divide the market into different groups on the basis of different factors. In concern of the Vollebak, it is reflected that the company needs to divide the Australian market on the basis of the Psychographic Segmentation, and the demographic segmentation.

Under Psychographic Segmentation, the company will focus on the customers who are more interested in sports and who are healths conscious (DBS, 2016).  In a similar manner, as per the demographic segmentation, Vollebak also should focus on the people who are from the middle and the high segment of all age groups especially for the bikers and joggers.

Targeting

After selecting the segment, there is a need to select the targeting strategy under which companies can focus and put in their further business strategy.The company should adopt the niche market to serve its customers (Anesbury et al., 2017). It is also essential for the company to evaluate its target market on the basis of the reach-ability, size, measurability and thebehavioral variables.

Positioning

It is the final step of STP and it is also suggested to the company to position its brand as the market leader that is easy for it because the company will offer the solar-charged jacket as the innovative product for the people of Australia.Vollebak will offer the solar jackets which will be more expensive and in this way, an effective marketing mix program will be more supportive of the positing the brand within the target market of the company (Kotler et al., 2019).

Problem Statement

Based on the above analysis of the marketing plan of Vollebak going to launch a new product i.e. Solar charger jacket in Australia it will have to face various problems such as political, economic, etc. As per the discussion above, the company will have to face a competition issue as it is the new startup so it will take time to compete with the competitors.

Moreover, due to the new startup, there may less trust of customers on this brand. So, it is a challenge for the company to build up trust among the customers by providing them good quality products and services. On the other hand, based on the above analysis of SWOT it has been depicted that there will be a weakness for the company like this, due to small startup companies in Australia there will not be any sourcing items.

Objective and Marketing Mix Strategy

Company’s Objectives

In concern of Vollebak, it is quite important for it to develop the SMART objectives to be achieved so that the company can set up its business with its innovative product n Australia (Puri, 2019). In this manner, SMART objectives for Vollebak are defined below:

MRKT20052 Marketing Plan

(Sourced:Puri, F. (2019)

  • It will adopt the different marketing strategies including various discounts and offers in order to achieve increased sales by 10% within the end of 2020.
  • It will focus on its product quality and customer services to achieve profitability by 15% within two years.
  • It will also focus on increasing its number of customers up to 500 customers within 3 to 4 months.
  • It will increase its promotional activities along with storage facilities in the next 2 months.

Marketing Mix Strategy

MRKT20052 Marketing Plan

(Sourced: Ondemand CMO. (2017)

Product

This is one of the important elements of the marketing mix which enumerates the organizational outputs that are distributed to the target customers. In this manner, the company can achieve its growth by adopting the changes in its marketing mix such as by investing a sufficient amount to developing innovative products for the customers so that the number of the customer can be increased along with the increased sales.

In addition, for capturing the Australian market, Vollebak will introduce its innovative products like solar-charged jackets which are specially designed for bikers, joggers and others. This will be a new product for the Australian people and these solar charged jackets are environmentally friendly so this can also be the reason for its popularity in Australia (Ondemand CMO. (2017).

Price

It helps the company to identify the prices which are applied by the company to maximize the profits during attracting desirable share in the concern of the multinational market (Bui et al., 2017).Vollebak’s investment within the technology will be linked with the strategy in order to offer its products at the premium. In this manner, a company can adopt the value-based pricing strategy including a premium pricing strategy.

Promotion

The promotion is also known as the marketing communication mix for the companies and it includes several tactics that can be adopted by Vollebak to communicate with its target customers.In concern of the promotional tool, it is mentioned that all the companies depended on effective promotion in relation to its products such as solar-charged jackets with respect to managing the strong brand image of the company (Bellin, 2016).

It is found as the strength of the company in the SWOT analysis of the company. As the promotional tools, the company will focus on direct sales through social media channels.

Place

It is also an important element of the marketing mix strategy and it focuses on the venue at which the company will introduce, access and distribute its products.Vollebak can offer its products in the Australia market by opening a number of outlets because these outlets are more visible as compared to online channels. After offering its products at the retail stores, the company can shift its focus on the online channels (Odoom, 2016).

Evaluation, Budget, and Conclusion

Evaluation

Evaluation of market plan is required so that deviation that occurred at the time of implementation could be evaluated and right actions could be taken up easily. This is required for evaluating the changes which are required in the organization so that plan could be used effectively and development of new product with the involvement of employees.

It is necessary for the firm to evaluate the plan so that effective and adequate strategies could be developed which are required for promoting the product into the market so that it could have large number of customer.

The role of marketing plan is to explore different areas which could help in meeting with objective of having large customers by promoting the products. It would help in taken actions on time so that solutions to the problem could be made easily.

Budget

Budget plan is required to be made in advance so that allocation of finance could be made easily and all the requirements could be fulfilled on time. Budgeting makes the evacuation of finance available in the organization so that production of products could be made in an accurate manner with required funds and budget.

Activity Cost
Labor cost $10,000
Advertisement cost $30,000
Development of product cost $ 20,000
Training cost $15,000
Market research cost $5000

Conclusion

On the basis of the discussion, it can be concluded that Vollebak needs the marketing plan which will include a number of things such as situational analysis, customer analysis and the problem statement, its SMART objectives, the marketing strategy by including the evaluation, and the budget etc. These all the components are crucial for Vollebak in order to start a new business in Australia in early 2020. In this marketing plan, it is also found that the company will strictly follow all the objectives so that it can achieve its set targets within the set time duration.In the end, the company will also adopt the social media channels as its promotional tool so that its SMART objectives can be achieved more effectively.

Reference

Anesbury, Z., Winchester, M., & Kennedy, R. (2017). Brand user profiles seldom change and seldom differ. Marketing Letters28(4), 523-535.

Bellin, H. (2016). Branding and marketing channel strategies: Some effects on channel partners. Journal of Marketing Channels23(4), 255-257.

Bocken, N. M., Miller, K., Weissbrod, I., Holgado, M., and Evans, S. (2017). Business model experimentation for circularity: Driving sustainability in a large international clothing retailer. Economics and Policy of Energy and the Environment. Retrieved from:  https://www.researchgate.net/publication/329183628_Slowing_resource_loops_in_the_clothing_industry_through_Circular_Business_Model_Experimentation

Bui, T. Q., Nguyen, H. V., & Pham, N. T. (2017). The Effects of Selected Marketing Mix Elements on Customer-Based Brand Equity: The Case of Coffee Chains in Vietnam. PRIMA: Practices & Research in Marketing8(1).

Chavan, RB. (2018). Analysis of Fashion Industry Business Environment. Retrieved from:  https://lupinepublishers.com/fashion-technology-textile-engineering/pdf/LTTFD.MS.ID.000144.pdf

David, Jo (2018). PESTEL analysis of Australia. Retrieved from: https://www.howandwhat.net/pestel-analysis-australia/

DBS. (2016). The STP Process. Retrieved from: https://mpk732t22016clusterb.wordpress.com/category/topic-4-segmentation-targeting-and-positioning/.

Gurel, E. (2017). SWOT ANALYSIS: A THEORETICAL REVIEW. Retrieved from:

https://www.researchgate.net/publication/319367788_SWOT_ANALYSIS_A_THEORETICAL_REVIEW

Islam, F.R. and Mamun, K.A. (2017).Possibilities and challenges of implementing renewable energy in the light of PESTLE & SWOT analyses for island countries.In Smart Energy Grid Design for Island Countries (pp. 1-19).Springer, Cham.

Kotler, P., Manrai, L. A., Lascu, D. N., &Manrai, A. K. (2019). Influence of country and company characteristics on international business decisions: A review, conceptual model, and propositions. International Business Review28(3), 482-498.

Market and Research Report.(2019). Australia PESTLE Analysis & Macroeconomic Trends Market Research Report. . Retrieved from: https://www.marketresearchreports.com/countries/australia

Morgan, E. (2015). ‘Plan A’: analysing business model innovation for sustainable consumption in mass-market clothes retailing. Journal of Corporate Citizenship, (57), 73-98. Retrieved from:   http://eprints.whiterose.ac.uk/85872/

Odoom, R. (2016). Brand marketing programs and consumer loyalty–evidence from mobile phone users in an emerging market. Journal of Product & Brand Management25(7), 651-662.

OECD (2018) Australia – Economic forecast summary (May 2018), available at: http://www.oecd.org/eco/outlook/australia-economic-forecast-summary.htm  (Accessed 21 July, 2018)

Ondemand CMO. (2017). DO YOU KNOW YOUR MARKETING MIX? Retrieved from: https://www.ondemandcmo.com/blog/know-marketing-mix/

Puri, F. (2019).How to Write and Use SMART Goals at Work. Retrieved from: https://www.kazoohr.com/resources/library/how-to-set-smart-goals

Sheth, S. (2019). VOLLEBAK’S SUPERIOR SOLAR-CHARGED GLOWING JACKET GIVES YOU INCREASED VISIBILITY Retrieved from: https://www.yankodesign.com/2019/05/28/vollebaks-superior-solar-charged-glowing-jacket-gives-you-increased-visibility/

Vollebak (2019).Solar Charged Jacket.Part running jacket.Part high tech toy.Winner of TIME’s Best Inventions of 2018.Retrieved from: https://www.vollebak.com/product/solar-charged-jacket/.

Vollebak. (2019). About the company. Retrieved from: https://www.vollebak.com/.

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