MKT421 Wk 3 Marketing Plan Phase II
MKT421 Wk 3 Marketing Plan Phase II
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Date Created: 11/12/15
Abstract Pet Palace is going to introduce a new product in the market, called Allergy BeGone. It will dramatically reduce the chances of having allergies from pets. This product will allow people to have pets that have given up hope because of the allergy problem. Now they can have the pet of their choice without any health concern. This is a unique product and has shown great results in the testing phases. Regardless of that, a comprehensive marketing campaign will ensure its success in the market. Marketing Plan: Phase II This paper will focus on the marketing plan of Allergy BeGone. Different angles of marketing will come under discussion so that we can decide the best way to market our product. This product is not only for current pet owners or the people who have allergies but for all future pet owners as well. For correct identification of the target market, a study will be conducted, findings of which will be used in next steps. Market competition will also be judged because it will be a critical part of marketing strategy. Pet Palace rightly thinks that they have a winner product that can change the life of millions but they also understand that it may not yield excellent sales and profit figures without proper marketing effort. They realize that the time and effort in identifying key factors is not a big deal and will give healthy return in near future. The desired information will be regarding specific target market, consumer behavior and market competition stats. This paper will focus on how Pet Palace will find about these variables. Segmentation Criteria Affecting the Target Market More than 300 million people constitute the American consumer market. These people spend above $12 trillion on goods and services every year and this makes is one the most tempting markets in the world. Consumer market around the globe is of 6.6 billion people and they spend an estimated $65 trillion on goods and services annually (Armstrong & Kotler, 2009). Target market identification is the very first step in this critical planning practice and it is to be done before we place our product. Normal exercise is too timeconsuming as it involves surveys, mail responses and even telephonic interviews to know what type people will be out target and in which part of the country. No such information is needed in our case as our target market in neither religion dependent nor color or demographic dependent. Our target market is simply, pet owners. They are found in every demographic that is why our target market is colossal. It is common perception that people do not know what stimulates their purchases but this thinking also does not apply in Allergy BeGone. Our target market is specific and our task is as easy as one, two and three. Our wish is simple, creating a simple ad, telling people about our stores that sell Allergy BeGone exclusively and satisfy the need of pet owners or allergic customers. Simple advertisement campaign will create awareness in the animal loving community and it will spread further through word of mouth. We will also send discount coupons and special offers in mails. In addition, veterinary clinics can avail special discount on bulk purchase of our product. With all these activities, our product will soon be popular. This hype and the unique properties of our product will force people to try it. We are expecting that any person who tries it once will definitely start buying it. People have pets so that they can be loved but they get allergies in return, and exclusive distribution of Allergy BeGone at Pet Palace will be main points in the campaign. Pet Palace owns only store now but soon Allergy BeGone will be such a hit that Pet Palace will be able to open multiple outlets. Pet Palace knows and understands that it needs to market its product to both current and future pet owners and it will not be an easy job. However, if Pet Palace makes changes to their marketing mix according to consumer feedback, then the product is bound to succeed. Buyers and Consumers of the New Product Allergy BeGone will be produced and sold solely by Pet Palace that is why we do not need to target the organizational buyers. Focus will be on direct consumers. Veterinary clinics will have secondary importance for Allergy BeGone but special packages will be announced for them as well, so that they can be attracted too. Asthma and Allergy Foundation of America (2010) claims that around 0 million people in the United States suffer from differetn forms of allergies. 10 million people among them are victoms of cat dander while remaining 40 million suffer from indoor as well as outdoor allergies. People suffering from indoor allergies will be our prime target. Pet Palace needs to know what factors are influencing the purchasing decision of customers regarding Allergy BeGone. Consumers of Pet Palace are influenced by economic needs, social pressures, emotional needs, and the purchasing circumstances economic needs, psychological variables, social influences, and the purchasing situation (Perrault, Cannon & McCarthy, 2009). Study about these factors will also help in marketing strategy of Pet Palace. Economic need is one of the top factors that influence every purchase. A customer only spends money when he sees some value in the product. This happens when a customer thinks that the product price is justified according to the benefit it is providing. Keeping this in mind, Allergy beGone should be priced in affordable range of most people. It also has to be easy to use and store. Otherwise, customer will think of it as a luxury item and will hesitate in purchasing it. Psychological influences also come into play when customer is buying something. They also experience hierarchy of needs (Perrault, Cannon & McCarthy, 2009) and same is the case with customers of Allergy BeGone. As mentioned earlier, Allergy BeGone should be priced affordably so that people do not think of it as a luxury product. This thinking of it as a necessity will minimize the psychological influences that hinder purchase. Although owning a pet does not come under hierarchy of needs but it may be thought of as an extension of social interaction. Everyone should enjoy the happiness such little thing, as pet keeping, brings. Social influence is the next factor that comes into play during a purchase. In this, the customer is affected in relevance to others. Americans are the most petobsessed nation in the whole world. Approximately 59.5% households have pets as compared to only 35% who have kids. Marketing strategy should be simple and clearcut with this huge infatuated for pets. Next comes the core point that is the reason for purchase. Customers purchase product for different reasons (Perrault, Cannon & McCarthy, 2009). Time saving, quick answer to some difficulty or ease of everyday life can force a person to buy things that he normally will not buy. Allergy BeGone will be marketed as a convenience item that is affordable as well, to cater to such market. Current Competitors and Competitive Landscape for the New Product We should have a wide view when we talk about the competitors of Allergy Be Gone. Customers do chose whatever satisfies their needs but they also start looking for a cheaper or better alternate. Keeping this in mind, our competitors can be big pharmaceutical companies and pharmacies. Grocery stores and pet stores are also included in our competitors. Anti allergy medicines produced by pharmaceutical companies may be replacement to Allergy BeGone. Drug stores may sell prescribed or over the counter drugs to counter the allergy problem that is why drug stores are also our competitors. Similarly, shampoos and cleansers that claim to reduce pet dander will also compete with our product. They are sold at grocery stores or pet stores so they will also be counted as competitors. Economic and technological factors will play a vital role in the success of Allergy BeGone. For economic factor, we need to price the product at very affordable price. Quality is also of utmost important as well. Only then will the customer think that he is getting good value for his money. Technological factors will be equally important in the success of our product. On the technological front, we need to fulfill the customer demand in a novel and easytouse style. Most important thing for Allergy beGone will be positioning it as pet friendly, superior quality affordable antiallergy product. Conclusion A proper marketing plan can help Pet Palace achieve its targets regarding Allergy be Gone. Strategies were developed by using market research approach. Segmentation criteria were discussed and how they affect the target market selection. Keeping all this in view, target market was identified. Factors influencing the purchasing behavior of people were discussed. Similarly, factors that may affect the marketing strategy also came under discussion. In the end, competition was discussed; different competitors were identified and strategy was made about how to position our product as to gain maximum exposure, and sales. References Armstrong, G., & Kotler, P. (2009). Marketing. An Introduction. (9th ed.). : Prentice Hall, Inc. A Pearson Education Company. Asthma and Allergy Foundation of America. (2010). Allergy Facts and Figures. Retrieved June 22, 2010, from http://www.aafa.org/display.cfm?id=9&sub=30 Kotler, P. & Keller, K.L. (2009). Marketing management (13th ed.). Upper Saddle River, NJ: PrenticeHall. Perrault, W.D., Cannon, J.P., & McCarthy, E.J. Jr. (2009). Basic marketing: A global managerial approach (17th ed.). New York: McGraw Hill. Weise, E. (2007). We really love — and spend on — our pets. USA Today. Retrieved June 22, 2010 from http://www.usatoday.com/life/lifestyle/20071210petsurvey_N.htm
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