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- QUESTION
Final Project and Web Discussion Report – Instructions and Submission
Introduction
The Marketing Plan and Web Discussion Report is a comprehensive, two-part project that provides you with an opportunity to review and apply the marketing concepts, terminology, and approaches you learned in this course.
The parts of the project include:
Part A: Marketing Plan (worth 25% of the final mark)
Part B: Web Discussion Report (worth 5% of the final mark)
In the Marketing Plan you will develop a plan for a consumer product in an existing and established organization that you select but which your Open Learning Faculty Member must approve. In the Web Discussion Report you will reflect and comment on three of the online discussions in which you participated during the course. You will also provide a summary of your learning and growth through your initiation of and participation in the course discussions.
Part A: Marketing Plan (100 marks)
You learned about various aspects of the marketing through your reading, activities, discussions, and assignments in the course. Now it is time to bring it all together and develop a Marketing Plan for a consumer product.
Think about some consumer products you are interested in learning more about and analyzing from a marketing perspective. Choose one of these consumer products, ensuring it is from a well-established organization that has direct competitors. This many not be an organization for which you currently work.
Contact your Open Learning Faculty Member by email and briefly explain:
A. The reasons why you would like to use this consumer product and organization
B. The product market on which you want to focus
C. The information sources available on which to base your analysis
Your Open Learning Faculty Member must approve these choices so that multiple learners are not working on the same consumer product, organization, and product market, and so that she or he is confident that you will be able to successfully complete the Marketing Plan.
Suggested Time: 15 to 20 hours
Length: 12 to 15 pages (6000 to 7500 words) not including the Appendices
Final Mark: Part A of the assignment is worth 25% of your final mark. Together with Part B, the Final Project is worth 30% of your final mark.
Assessment: Your submission will be assessed on the following criteria:
• Comprehensiveness of the Marketing Plan
• Depth of analysis and strategic insight
• Extent of the rationale provided for recommendations made
• Use of course marketing concepts, terms, and information
We recommend that you write a draft of your Marketing Plan, then edit it to make it more succinct. Also, be sure to properly cite the sources used in your Marketing Plan.
Prepare and present the Marketing Plan in a formal manner suitable for business. Ensure it does not contain any grammar, spelling, punctuation, and/or formatting errors. Make sure it includes an Executive Summary, a Table of Contents, and an Appendix as per the assignment criteria and a list of references and resources used in the preparation of the plan.
IMPORTANT
In developing the Marketing Plan, it is critical to emphasize the justification for each action recommended. Grading is weighted heavily in favour of assignments that refer back to and/or reference course materials, including the concepts, terms, and information, as well as any other outside sources. It is important to demonstrate your knowledge and understanding of the course materials in the reasoning and application used in the Final Project.
Marketing Plan
Executive Summary
A. Identify the key marketing decision(s) that need to be made or issues(s) that need to be addressed for the consumer product.
B. Name your target market audience and summarize the rationale for your choice.
C. Summarize your positioning and marketing mix recommendation and your rationale for each.
D. Sum up your overall recommendation(s) and the expected outcome of implementing your Marketing Plan.
Part 1: Current Situation (10 marks)
A. SWOT Analysis (5 points)
o Conduct a SWOT Analysis of the consumer product and its organization considering both the internal and external environments and include a marketing mix implication for each factor.
o Include the detailed SWOT Analysis as an Appendix to the Marketing Plan.
B. Five Most Important SWOT Factors (5 points)
o Identify what you believe are the 5 most important factors in the SWOT Analysis.
o Explain why you think each of these 5 factors is particularly important to understand from a marketing perspective.
Part 2: Target Market Segmentation (15 marks)
A. Select a segmentation approach and justify why your approach is appropriate, from a marketing perspective, given your consumer product, organization, and the marketplace. (5 points)
B. Develop detailed and summary profiles for 3 viable target market segments. Include a summary of each profile in the body of the Marketing Plan and include the detailed profiles as an appendix to your Marketing Plan. (5 points)
C. Evaluate and select 1 of the 3 target market segments as your primary target audience. Explain, from a marketing perspective, why you chose this segment over the other segments. (5 points)
Part 3: Marketing Objectives (5 marks)
A. Develop 3 marketing objectives to be achieved by your Marketing Plan for your target audience.
Part 4: Product Positioning (10 marks)
A. Recommend a positioning strategy for your consumer product, the target audience, and the marketplace. (3 points)
B. Illustrate the intended positioning strategy with a positioning map. (2 points)
C. Explain what allows this consumer product and organization to defend this positioning strategy and/or what competencies need to be developed, enhanced, or maintained to support this positioning. (5 points)
Part 5: Marketing Mix (20 marks)
Develop a comprehensive set of marketing mix (4Ps) decisions for this consumer product providing a rationale for your recommendations based on your analysis of the consumer product, the target market audience, and the marketplace. Your rationale should include statements that indicate why you think your approach is appropriate for achieving your marketing objectives. When developing your marketing mix decisions, discuss the following:
A. Product: Objectives, product concept (core, actual, augmented), product line strategy, service strategy, brand name and branding strategy, and packaging and labelling. (5 points)
B. Price: Objectives, price policy and points’ strategy, tactics, and terms and conditions. (5 points)
C. Distribution: Objectives, channel strategy, channel management strategy, and CRM. (5 points)
D. Communication: Objectives, positioning, key message, communication mix strategy, creative strategy, and budget allocation tactics. (5 points)
Part 6: Implementation Plan (10 marks)
Provide recommendations for how your Marketing Plan should be executed. The recommendations should include a discussion of each of the following items:
A. Implementation schedule (what will be done, by whom, when, with what resources) (2 points)
B. Measurement and evaluation (how will you determine if your marketing strategy is working or not) (2 points)
C. Implementation tactics (how will you minimize and/or address weaknesses and threats identified in your SWOT Analysis) (2 points)
D. Contingency plan (what you will you do if your plan does not perform as expected) (2 points)
E. Research plan (what information is needed before the marketing strategy and decisions can be executed) (2 points)
Part 7: Financial Projections and Implications (10 marks)
If you do not have access to the information to do this correctly, then, where necessary, make assumptions, label them as assumptions, and demonstrate that you know how to do the financial statement and break-even analysis.
A. Prepare a projected (pro-forma) income statement for at 2 years that indicates detailed marketing expenses and include it in an appendix at the end of the Marketing Plan. (5 points)
B. Prepare projected (pro-forma) break-even analysis for at 2 years and include it in an appendix at the end of the Marketing Plan. (2 points)
C. Discuss the financial implications of the statement and break-even analysis with respect to your Marketing Plan and include it in the body of the Marketing Plan. (3 points)
Part 8: Overall Recommendation (15 marks)
A. Recommend whether or not your Marketing Plan should be executed and explain why. (5 points)
B. Support this recommendation through the use of your SWOT Analysis. (5 points)
C. Back up your recommendation through the use of the course marketing concepts, terms, and information. (5 points)
Part 9: Report Structure and Presentation (5 marks)
Remember, you will be judged on the structure, clarity, presentation, and quality of your work. Prepare and present your assignments in a formal manner suitable for business.
To ensure the quality of your written work, refer to the Assignment and Final Project Structure section under the Assignments Overview tab of your course.
Part B: Web Discussion Report (100 marks)
Suggested Time: 2 hours
Length: 2 to 4 pages (1000–2000 words)
Final Grade: Part B of the assignment is worth 5% of your final mark. Together with Part A, the Final Project is worth 30% of your final mark.
Assessment: Your submission will be assessed on the following criteria:
A. Participation in the 11 discussions in the course
B. Comprehensiveness of your summary of the major aspects of the discussions
C. Depth of marketing analysis and insight
The Web Discussion Report requires you to look back at your initiation of and participation in the online discussions and reflect on your learning experience. Revisit 3 of the discussions that were most interesting to you.
Respond to the following questions:
A. Review your posting to 3 discussions and review the postings of other course participants. For each of these discussions, reflect, analyze, and discuss 2 conclusions you drew from each of the 3 discussions, and why. (60 points)
B. Did the readings and the activities in the course influence your understanding and perspective on marketing? Is yes, how? If no, why not? (20 points)
C. How did your ideas and views with respect to marketing shift as you progressed through the course? (20 points)
Assessment Criteria
The Final Project and Web Discussion Report will be evaluated using the following performance criteria:
Content —Address all points of information as outlined in the criteria and content for the Web Discussion Report and Final Project. Incorporate specific references to readings, theories, ideas, and feedback that assisted you in rethinking your experiences and increasing your awareness of your marketing skills.
Knowledge —Demonstrate your knowledge, understanding, skills and perspectives on the course’s learning materials by applying them in the Web Discussion Report and Final Project. Link theory and practice by applying what you learned from the readings, reflections, and practical application of your new marketing skills and from discussions with your fellow students.
Theory & Practice —Demonstrate the connections between the work of others (course materials, readings, activities, and discussions) and actual organizational principles, practices, and processes. Go beyond general descriptions. Be thoughtful and critical in your analyses, conclusions, and recommendations.
Critical Thinking —Use reflective, logical, and rational thinking to gather, combine, process, interpret, and analyze the information to develop a reasonable conclusion. Provide examples to support your comments and observations. Be specific and concrete. Tell a complete story. Avoid generalizations. Support a statement with a specific example that demonstrates your understanding and skill.
Completion Guidelines
Submit your Final Project and Web Discussion Report here. You can submit these as one Microsoft Word document or as two Microsoft Word Documents. Be sure to name your Final Project and Web Discussion as: MKTG 2431_Lastname_FinalProject_CourseCompletionDate and MKTG 2431_Lastname_WebReport_CourseCompletionDate or as MKTG 2431_Lastname_FinalProject&WebReport_CourseCompletionDate.
Reminders before submitting assignment:
• Did you put your name, student number, and your course completion date on the cover page of the document?
• Did you submit all parts of the assignment in one Word document to your Open Learning Faculty Member?
• Did you complete all the required elements?
• Did you use concepts, information, and terminology learned in this course?
• Did you support your statements with specific examples?
• Did you cite references, using correct referencing format?
• Did you ensure that there are no spelling mistakes?
• Is your report grammatically correct, clear, and well organized?
Note
Reference all quotations appropriately using the APA style (author, date, title, publisher, page number) and when needed provide website URLs or references. Visit the TRU Library and access “How do I…?” for further information about how to cite resources.
Subject | Report Writing | Pages | 25 | Style | APA |
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Answer
Executive Summary
IPad is the best tablet designed by Apple Incorporation. The gadget is an outstanding piece of technology established to offer unique and differentiated experience to users. One major outstanding feature of this device is its screen, implying that the user cannot be distracted. Besides doing exemplary work in terms of innovation, Apple has paid attention to the user convenience in this tablet. The tablet also makes it possible for users to multitask. Nonetheless, despite the amazing features of the recent launched model of iPad, close competitors of Apple have released quality tablets as well. Consumers have also complaint about the short lifespan of the iPad batteries. Therefore the key issues or marketing decisions that should be made is to launch a customized iPad that has a long life battery.
The major competitive advantage of Apple Incorporation is that it has well recognized brands across the world. In particular, the firm owns an operating system for androids enabling it to remain competitive as competitors neither copy nor design similar products. Nonetheless, owning such an operating system implies that the company can be reluctant to innovate and design quality products for its potential customers and thus is likely to experience a decrease in its market value. Therefore, the second marketing decision is for the company to remain innovative and incorporate innovative features of iPad that matches customer needs.
The target audience will be business students, technology enthusiasts, as well as, college and university students. However, the primary target audience will be college and university students. The ability of iPad to offer functionalities for taking and editing notes makes it appropriate for college and university students. It functionalities also enables these target customers to regularly use social media platforms to interact and download learning materials. Through iPad, students can communicate with their peers, access learning materials, and keep such materials organized. The device is portable and can be carried easily by customers. Because of these exceptional features, the customers are ready to pay for premium prices, making iPad the best alternative. Ipad has been positioned as the most suitable device that allows customers to take and view photos, experience web surfing, listen to music, read and edit documents and watch movies among others. IPad will use multi approach distribution channels. In particular, it will use digital and traditional distribution networks to ensure that the product reaches to the potential customers. Its communication mix will encompass use of social media platforms, company’s website, billboards, fliers, and traditional communication channels such as TV among others. The goal of the communication mix will be to increase brand awareness by informing customers about the benefits that they are likely to get from the gadget.
In overall, it is expected that implementing this marketing plan will increase brand awareness of iPad and increase its sales by a greater proportion. Similarly, effective implementation of the marketing plan will increase Apple’s marketing share and make it remain one of the leading designer and manufacturer of quality tablets. The company should however design innovative lifelong batteries and customized functionalities of iPad.
Table of Contents
Five Most Important SWOT Factors. 6
Part 2: Target Market Segmentation. 7
Segmentation Approach and Segmentation. 7
Summary of Target Market Profile. 8
Corporate Employees/ Business People. 8
University and College Students. 9
Part 3: Marketing Objectives. 10
Part 4: Product Positioning. 10
Recommend a Positioning Strategy. 10
Defending the Recommended Positioning Strategy. 11
Communication Mix Strategy. 17
Part 6: Implementation Plan. 18
Measurement and Evaluation. 19
Part 7: Financial Projections and Implications. 22
- Projected income statement for at 2 years for iPad. 22
- Projected break-even analysis for at 2 years. 22
- Financial implications. 22
Part 8: Overall Recommendation. 23
Appendix 2: Assumed Income Statement. 30
Appendix 3: Assumed Break Even Analysis. 31
Part 1: Current Situation
SWOT Analysis
(Comprehensive SWOT Analysis is included in the Appendix section)
Internal Environment
Company
Since its inception in 1976, Apple Incorporation has expanded to become one of the leading brands in the world. The incorporation designs, manufactures and sells consumer electronics. One of its major brands is iPad. The success of Apple Incorporation was surprised millions of people since the firm has reduced the market dominance of various successful brands within the consumer electronics market. Thus, the organization has attained unrivaled market dominance in certain electronic consumer market segments. For instance, the firm enjoys a strong brand loyalty for its iPad products in various regions across the world. Although Apple products resemble other products in the market, the company has innovative marketing strategy that makes its products superior than other brands. Because of this superiority, the company has been producing questionable products. Reports indicate that the company has thrived by redesigning the existing products as opposed to inventing new products. This has resulted in low quality products.
Five Most Important SWOT Factors
- Ipad is a quality and easy to use product and this makes it different from other phones given that has PDAs that recognize finger gestures. This makes it appropriate for business owners and students who want quality but easy to use devices for their daily lives.
- Ipad is portable, making it more efficient for employees, business owners and learners to take notes, send message, and edit their documents with ease.
- Ipad is costly and can only be purchased by a given group of people making potential customers to opt for similar products offered by the competitors.
- IPad faces strong competition from other brands offered by the competitors. This lowers its sales and profitability because the company is forced to spend much time to market and promote the product not forgetting offering lower prices to match those offered by the competitors.
- Different versions of iPad have different prices and this can possibly break or make purchases.
Part 2: Target Market Segmentation
Segmentation Approach and Segmentation
Apple Incorporation should use demographic segmentation approach to reach out to its customers. The reasoning is that iPad can be purchased by a particular group of people due to its high cost. Moreover, iPad is usually segmented by consumer and business income levels and resources because it is priced relatively higher than its competitors. Through demographic segmentation, Apple Incorporation would be able to establish the specific age levels of consumers who prefer purchasing iPads. Reports indicate that the age levels of the company’s customer vary from college and university students to employees and business owners aged 55 years and above (Jun & Park, 2013). By using demographic segmentation approach, Apple Incorporation will be able to collect personal information about the age levels of its customers thus tailor its product design and specification towards the identified age levels. Apple Incorporation should also use demographic segmentation approach to segment particular iPad models it offers based on gender as such models come in different colors. The models are both feminine and masculine colors that customers can choose from.
Summary of Target Market Profile
Technology Enthusiasts
These are buyers who prefer buying innovative products introduced in the market. These customers may or may not be loyal to a given brand. Regarding iPad, a good number of these customers might have bought the latest model of iPad when the product was launched. These buyers should be handled as trend settlers within the market. Most of them are not sensitive to price and prefer paying premium prices for better features. This category of customers can be targeted effectively through online marketing. These are the type of customers who often submit online orders when new models of iPad are launched so that they can become the first persons to use the product. These customers pay attention to features that are distinct and which the incorporation claims as its USP. More importantly, they are the first group of customers to pen down reviews regarding the product. Principally, positioning of this group of customers should be in terms of distinct features that come along with the most recent iPad model. These customers will be ready and willing to pay for premium prices to get quality features. Thus, top quality versions can be targeted for this group of customers.
Corporate Employees/ Business People
Business owners are intrigued by iPad. Reports indicate that iPad has a business quality that is critical. The device helps business persons to complete work effectively and to communicate with customers easily. More importantly, through iPad, business owners are able to send their documents easily. One central feature of business owners is that they focus on business applications and the customer service. Moreover, they focus on business continuity and expect an immediate customer service when using iPad. They also consider features such as insurance or extended warranty. These buyers are not price sensitive but prefer long term association with the brand. Therefore, positioning should concentrate on customer service experience of the product and unique business features associated with the product.
University and College Students
This is another category of customers usually targeted by iPad models. These customers are in the age bracket of 18-23 years. They can use iPad to take notes. Further, they lack the option of writing down notes in the classroom. Therefore, iPad would enable them to easily take notes, edit and retrieve such information when they need them. The customers regularly use social media platforms to interact and download learning materials. Therefore, through iPad, they will be able to communicate with their peers, access learning materials, and keep such materials organized. More importantly, iPad is quite portable, making it easy to be carried to and from learning institutions with ease.
Primary Target Audience
University and college students will be the primary target audience. Given that most of the programs and features of iPad were copied from iPhone and iPod, it implies that university and college students are familiar with the capabilities of the device and have the benefit of mobile computing as well. Moreover, university and college students of all denominations and ages are all music lovers. Therefore, iPad will be appropriate for them as they will be able to access different music they want. More importantly, the device will act as a learning tool for professionals and students with addition to hundreds of applications available. The variety of applications that iPad has could attract customers who love reading, sharing pictures and photographs, staying connected through forums, emails, social media, virtual meetings and iPad’s facetime among others. Moreover, because of various applications available, iPad becomes a business tool, educational tool, recreational tool, as well as, communication tool, all of which form reasons for creation of iPad.
Part 3: Marketing Objectives
The key marketing objectives include;
Positioning iPad as a premium brand
Increase market share and brand value of iPad
Invest in research and development to establish new product and technologies.
Part 4: Product Positioning
Recommend a Positioning Strategy
To position itself, Apple Incorporation should market to high income bracket upper families, as well as, those in lower end socioeconomic spectrum. Reaching out to customers from low economic backgrounds will enable the organization to earn myriad of benefits as opposed to incurring the opportunity cost of a decline in the profit margins or potential sales. Moreover, marketing to customers of various incomes backgrounds makes iPad as a high quality and affordable product when it comes to tablets. IPad must be positioned in a way that it competes with other tablets within consumer electronic to stay in front. This is essential, particularly important due to the fact that operating system
Apple incorporation must formulate ways to tactically compete with other consumer tablets to remain competitive. This is very important given that the operating system that iPod uses trails behind Microsoft Windows with regards to market share. This impact is increased as Apple Incorporation sells its licenses to other companies across the world that manufacturer tablet. This act makes iPad to face stiff competition from American companies, as well as, from smaller international organizations that focus on consumer electronics. Therefore, to avoid iPad being cannibalized, the proposed approach advocates for trusted collaboration that can ensure that iPad remain ahead of other tablets in the market.
Positioning Map of iPad
e
Defending the Recommended Positioning Strategy
IPad will remain the most preferred tablet to business persons, technology enthusiasts, as well as, college and university students because the device has unique features that differentiate it from other brands offered by the competitors. Nonetheless, because of the short life span of iPad batteries Apple Incorporation should implement innovative changes to the iPad since competitors are likely to exploit this weakness and design tablets with long-life batteries. As such, Apple Incorporation should remain innovative and continuously incorporate innovative and desirable functionalities for the iPad.
Part 5: Marketing Mix
The core product is iPad that is manufactured using the thinnest, sleekest and well finished design. The product is incredibly thin that improves its portability, making it more convenient to clients. More importantly, the iPad is equipped with scratchproof materials, making it durable. Similarly, the reflective and glittering finish on iPad increases the product’s value proposition. In terms of product strategy, iPad is positioned as the most appropriate device that allows consumers to experience web surfing, capturing, and viewing pictures, listening to music, email functionalities, reading and editing documents, watching videos, and authoring functionalities. For learners, the iPad is suitable for reading electronic textbooks, it is affordable, portable, and connects easily to the internet thus allowing customers to access their documents with ease. More importantly, university and college students like being entertained, and therefore iPad is equipped with all the necessary entertainment functionalities to fulfil their needs. Similarly, for business persons and businesses, the iPad is a critical communication and business device that allows these persons to access critical business data more conveniently. With a large storage capacity, various documents and data can be kept. Moreover, its portability makes it more convenient to these customers because they travel frequently and therefore they can easily substitute their laptops that are relatively bulky as compared to the iPad.
In terms of brand name, iPad is acknowledged and respected tablet in the consumer electronic industry and most of the consumers find value in buying iPad. Moreover, iPad has been positioned as the leading brand and therefore, customers attain brand value by buying the iPad. The brand slogan for iPad is “Revolutionary and Magical Device at an affordable price”. Brand loyalty among millions of customers is another important feature that enhances value because past products including iPod and iPhone have generated considerable success to the firm. To take advantage of the value linked to iPad, Apple Incorporation has created a buzz concerning the models that are yet to be introduced to take advantage of the time strategy. For instance, customers are already expecting iPad 3 before the company makes a formal pronouncement about the launch of the product.
Despite the product strategy outlined above, iPad lacks a flash feature in the camera, an audio element and in built stand. Principally, the iPad should be designed like an expanded iPhone that can act as laptop with the same styles as Microsoft Surface. With respect to this description, customers may expect and want iPad to have these vial features that are inherent in the iPhone. Similarly, another feature of iPad that should be improved is the Apple Pencil. Concerned clients contend that the Apple Pencil denotes a safety hazard for children when it bulges out from the tablet. To rectify, the manufactures of iPad should design a suitably sized section where the Pencil can be put safely to avoid any cases of injury.
Price
Apple Incorporation has adopted a premium pricing strategy for its iPads. The company approach to pricing is quite unique. First, they analyze the markets and establish the accurate budgets of different persons in various sections of the society. Afterward, they design a product that is suitable and can fit a certain budget. All iPad models are priced in a manner that the customers will not say that they are unable to afford an Apple iPad. Similarly, the consumers must have a unique desire for the product so that they can find purchasing such a product as an achievement. Reports also indicate that Apple offers a distinct pricing strategy to the iPad (Huimin & Hernandez, 2011). Through this strategy, consumers can purchase mini iPads that exclude a retina eye scan. This provides customers with a relatively cheaper option and allows for price elasticity that will be vital for consumers and the organization. As such, the pricing strategy that Apple Incorporation uses in relation to iPads encompasses the flexibility to lower prices. Nonetheless, because of innovation, as well as, brand equity of Apple, iPad has a well-established premium pricing over other tablets within the market.
Although iPads are relatively costly for the average consumer, the products have high value. Therefore, the price of the product is just a reflection of numerous services and features that come along with the product offerings including additional storage and maintenance. For instance, when iPad was introduced in the year 2010, Apple varied the costs of the product according to available storage capacity and whether the device had Wi-Fi and 3G features (Adam & Akber, 2016). Principally, this value pricing approach has been successful and therefore should continue to be adopted. Galmarini, Symoneaux, Chollet and Zamora (2013) noted that consumers are willing to buy an iPad at $100 more once they are assured that the costly item has 64GB rather than 32GB. One critical intervention that Apple Incorporation can consider is to provide price checking tools similar to that of insurance firms. Essentially, these tools should enable consumers to compare the prices of iPad with those of tablets offered by the competitors. Although pursuing this task may risk the loyal customers of the company who want cheaper options, it will enable the customers to trust the company. Moreover, when subcontracting the production of the iPad for cost control, the firm should not ignore quality. Essentially, controlling the cost while maintaining quality control can assist the organization to lower product returns (Galmarini et al., 2013).
Distribution
Apple Incorporation uses a multichannel approach to deliver the value that it has communicated to its customers regarding the iPad. The iPad is sold in the brick and mortar store, as well as, through the company’s website and online product directories. The customers are able to decide whether they want to submit an online order or have their ordered iPad physically delivered to them. To reach customers in the international markets, Apple Incorporation can ensure that its iPads are transported to oversee countries through ship or plan. This type of distribution enables Apple Incorporation to send several iPads to customers. To easily distribute iPads to various markets across the world, Apple Incorporation can use drones.
The stated distribution strategy that Apple uses is critical in terms of brand promotion, sales, profit margins, and market share. The distribution strategy also enables the company to build more loyalty and trust in the personal relationships between the company and customers. The connection between the company and its customers are the salespersons (Rangaswamy, 2015). To manage its distribution channels, Apple Incorporation uses training. Essentially, through empathy training and role playing, the firm trains its distributors to effectively connect to customers, understand their needs and offer important solutions.
In terms of CRM, Apple Incorporation as a technology firm, has created a unique customer relationship management system such as electronic service and making iPad more flexible to use. The company’s online service platforms such as App Stores and iTunes have improved experiences of customers by allowing clients to enjoy the services through iPad without location and time limit. Moreover, the company’s call center and app store play critical roles as essential components of their customer management approaches. The company invests its retail chain that every customer can visit the Apple Store and try various versions of iPad without undue pressure into sales. Moreover, customers are able to ask different questions they have or have their iPads fixed easily. Principally, these services are relatively convenient for customers because almost all the challenges that customers face regarding iPad can be solved in the company’s official store that indeed is trustworthy.
Communication
Objectives
The communication objective is to increase the awareness and popularity of the iPad across the world. Similarly, the goal of communication is to increase the brand strength of iPad across all markets by inspiring the potential customers to purchase iPad and enhance customer service process to improve the motivational degree of the customers.
Positioning
Apple Incorporation should conduct intensive advertising to inform customers that iPad is the most suitable device that allows customers to take and view photos, experience web surfing, listen to music, email functionalities, read and edit documents among others. Given that some customers have complaint about the battery life of iPad, Apple Incorporation should allocate significant time informing its target customers especially students that iPad is ideal for reading electronic textbooks. Moreover, it should inform such customers that the device is equipped with all the necessary entertainment functionalities that can fulfil their needs. Using aggressive marketing strategy and a dedicated marketing team, Apple Incorporation should design improved iPad model that has a lasting battery life and can enable business persons to access essential data with ease.
Key Message
The key message of Apple should to be inform college and university students, as well as, business persons and technology enthusiasts about the portability, ease to use and quality features that iPad offers.
Communication Mix Strategy
The communication mix strategy for iPad should encompass combining various communication forms to promote the device. In particular, the company should use promotional mix elements such as personal selling, sales promotion, public relations and advertising. Moreover, the company’s website contains several adverts while other advertisements are carried out through TV commercials, print media, billboards, and emails. These communication aspects increase value by promoting iPad to the customers. Messages are evidently crafted to inform customers about the iPad, convince them to buy and remind those already informed about the availability of the device. Apple Incorporation also uses marketing blogs and social networking sites to communicate with its potential customers.
Creative Strategy
The company should always strive to remain competitive in the consumer electronic market. To achieve this, it should pay attention to brand loyalty and customer satisfaction by using minimalist approach to design iPad. The company should improve online shopping through its App Store and iTunes among others.
Budget Allocation Tactics
It is expected that Apple Incorporation will set aside 2.8 million USD together with other costs particularly especially costs incurred because of the breach of personal data. A significant portion of the budget will be set for research and development, design and production of long lasting iPad batteries, intensive marketing, especially posters, TV commercials. As technology continues to advance, Apple Incorporation is striving to remain competitive and unique from its competitors within the industry and retain branded information. To achieve this, the company will set aside a significant percentage of its budget on research and development, and investing on improving its core technology of iPad such as camera sensors and processors that are expensive. The traditional promotional media such as magazines, newspapers and radio have decreased in popularity and therefore, the company should allocate significant amount of money for new marketing platforms especially social networking sites.
Part 6: Implementation Plan
Implementation Schedule
Marketing plan implementation |
Marketing team |
May 20 |
June 12 |
Establish the desired lifelong battery for iPad |
Review how the marketing campaign influences the overall performance of iPad in the tablet industry |
Marketing team |
June 12 |
June 25 |
Assess the sales information collected from the online and traditional marketing platforms. |
Measurement and Evaluation
Taking into account the scenario of iPad, it is regarded as one of the leading resourceful and innovative tablets in the current decade. As such, the marketing approaches and plan related to its launch must depict the uniqueness and modern technologic adaptability. Thus, to measure the effectiveness or failure of its marketing campaign, Apple Incorporation should evaluate its marketing activities by gauging the overall capacity to inform clients on the reasons why will choose iPad over other tablets within the market. Moreover, the company should evaluate the exchange of marketing information towards the target groups within the community to enable them firm to understand the dislikes and likes of a given segment. Apple Incorporation can also measure the success or failure of the marketing campaign by establishing the extra profit that has been accrued because of the introduction of iPad. The company should ensure that all its shareholders can generate healthy profit after the introduction of the marketing campaign.
Similarly, Apple Incorporation can establish the success or failure of the marketing campaign by comparing the levels of satisfaction among customers. Since, in most cases, introducing new marketing campaigns often improves customers’ awareness and satisfaction, the company should maintain required level of internal operational processes to make that customers do not experience various challenges to execute their responsibilities.
Implementation Tactics
Although few complaints have been received regarding the short lifespan of iPad batteries, producing iPads with long life batteries would further attract college and university students, technology enthusiasts, and business persons to buy the device (Son, Lee, & Kim, 2015). Essentially, increasing the quality of iPad in terms of battery lifespan would make business persons who travel regularly to increase their adoption of this product.
Similarly, offering price checking tools to customers will provide buyers with an opportunity to compare the prices of iPad with those of other tablets thus developing trust with the company. Given that knowing a product offered by the close competitor is key to any customers, ability for customers to compare the prices of close substitutes of iPad will increase the adoption rate of iPad as customers will clearly believe that the prices offered are accurate and commensurate to the quality of the product.
Contingency Plan
It is expected that there will be a growth in demand regarding iPad with long battery life. Therefore, the company should ensure that such batteries are available in its stores across the world. More importantly, the company should put measures in place to prevent duplication of such batteries by close competitors who are likely to imitate and design exact batteries at relatively lower prices. For instance, ensuring putting in place a specific model or feature that customers can use to confirm whether the battery they have purchased is indeed original and manufactured by Apple or not. Moreover, to make customers aware about the long life batteries for iPad it intends to release to the market, Apple Incorporation should take part in promotional activities such as personal selling to inform customers about the specific features they should check before buying the long life battery for the iPad.
Research Plan
Before adopting any approach, the company must conduct a preliminary research to ensure that the approaches adopted are feasible. To achieve this, the company should first formulate objectives that the approaches intend to achieve. While implementing these objectives, the company should ensure that it adheres to the legal provisions and acquire necessary permits needed to carry out the marketing campaign. In particular, the company will reach out to federal and local governments to deal with all the legal processes.
Apple Incorporation should train its marketing team that will participate in the campaign to ensure that they depict positive image of the firm. Moreover, the firm should ensure that the marketing team develops visible promotional elements such as fliers, billboards and clear websites and that all the information to be conveyed to customers are clearly written. While conducting promotional campaign, the company’s marketing team should concentrate in universities, colleges or business centers where it is easy to access the target customers who happen to be college and university students, as well s, business persons.
Part 7: Financial Projections and Implications
A. Projected income statement for at 2 years for iPad
(Check the appendix)
B. Projected break-even analysis for at 2 years
(Check the Appendix)
C. Financial implications
From the theoretical income statement prepared for 2019 and 2020, it is evident that Apple Incorporation will set aside amount of money to market and promote iPad. The company’s marketing expenses encompasses the costs involved in managing all its social networking sites, developing and reviewing information contained on its website and costs incurred in carrying out Search Engine Optimization among others. The costs involved in product promotion encompass giving out money to those designing billboards, fliers, sales agents and those involved in personal selling at various stores and market places. It is important to note that once the promotion has been carried out successfully in the first year, it will be needless to continue with it in the subsequent years as customers will already be aware of the existence of the product. The company is likely to make more net profit in the second year of its operations because during this year, the customer will have become aware of the product and will be ready to make repeat purchase.
Part 8: Overall Recommendation
- Design long life batteries and alternative charging approach
- Customize iPad
- Establish iPad outlets in several countries across the world
- Improve its corporate social responsibility
Essentially, this marketing plan need to be implemented so that new long life batteries and alternative charging approaches can be incorporated into the new version of iPad. Reviews from customers have indicated that the major problem with iPads is that they must be charged constantly as they have batteries that can hardly keep power for long (Tsai & Chang, 2013). Given that Apple Incorporation has created Research and Development Center that is comprised of skilled designers and engineers, this marketing plan should be implemented so that long life batteries and a mechanism that would charge the tablet when certain key are used in a similar manner to auto winding watches are developed. Implementing this marketing plan with respect to lifelong battery iPad will strengthen the position of iPad as the market leader in the tablet industry. Moreover important, both the battery and mechanism should be patent, implying that the company will impose a levy on any competitor who wants to incorporate the mechanism or battery to their products.
As already stated iPad lacks a flash feature in the camera, an audio element and in built stand. Therefore, the marketing plan should be implemented so that iPad should be customized like an expanded iPhone that can act as laptop with the same styles as Microsoft Surface. With respect to this description, customers may expect and want iPad to have these vial features that are inherent in the iPhone. Moreover, iPad should be customized to include Apple Pencil. Principally, Apple Pencil denotes a safety hazard for children when it bulges out from the tablet. To rectify, the manufactures of iPad should design a suitably sized section where the Pencil can be put safely to avoid any cases of injury.
Reports indicate that Apple Incorporation has more than 357 retail outlets in over ten countries. Nonetheless, most of these stores are situated in developed nations with the highest percentage of stores located in the United States. Therefore, Apple Incorporation should follow its close rivals and create additional outlets in middle income states, as well as, developing nations. Lastly, the company should improve on its corporate social responsibility. Although Apple Incorporation currently has corporate social responsibility in place, it should further engage in corporate social responsibility. To achieve this, it should establish technological learning institutions in developing nations donate unsold stocks of iPad to schools in developing nations and design relatively cheaper models of iPads in developing countries. More importantly, it should establish learning institutions in regions so that children saved from child labour can attend.
B. Supporting with SWOT Analysis
Based on SWOT analysis, Apple Incorporation should inform customers about the benefits of iPad and designing a lifelong battery. Principally, the tablet industry is rapidly changing as major players are coming up with new models of tablets that incorporate new design and technology. Similar, the industry also comprises of customers who are sensitive to price and face high degrees of imitation in function ability and designs of the tablets. Major players within the industry are from different regions of the world, implying that it would be difficult to monitor every move or action that each player takes. Given that all the players lack adequate market share to control the sector, there is stiff competition in the industry evident by competitive pricing. Therefore, Apple Incorporation should intensive its marketing to create brand awareness and inform customers about the competitive advantages of iPad.
In addition to creating brand awareness, Apple Incorporation should reach out to customers by increasing its retail outlets, particularly in developing countries. Moreover, it needs to customize iPad so that it can be charged using other alternatives apart from plugging in to the source of power given that the major problem with the iPad is its short lifespan battery. After that, it should intensify its after sales benefits linked to iPad including discounted pricing to repeat customers, as well as, the chance to personalize and customize iPad model they want to purchase from the company.
Regarding the recommendation for intensifying corporate social responsibility, Apple Incorporation should sell iPads at discount rates in situations where they are purchased in large quantities by learning institutions. Moreover, constantly engage in product promotion particularly personal selling so that it can be engaged with communities in areas where it has operations as this will enable improve its brand.
C. Supporting with Course Concepts
Brand awareness is the key concept learned in the course. Essentially, brand awareness is critical when introducing new services or products because it propels consumer’s decisions when distinguishing between competing firms. Moreover, it promotes repeat purchase and increases sales and market share. Apple Incorporation must inform its customers about the its innovative, beautifully designed and high ergonomic iPad, which is established to match brand promise but provide them the value for their money. Similarly, the company should understand that every aspect of customer experience is critical and that all the touch points of iPad must reinforce its brand.
Based on the concept of brand awareness introduced in the course, Apple Incorporation should expand and enhance its distribution abilities by establishing several retail outlets in developing and developed countries across the world, particularly in up-market, quality shopping centers. Moreover, it should increase the accessibility of iPads trough different resellers who hardly sell tablets and this will assist the organization to reach its online stores. Apple Incorporation should also inform customers about its long life battery for iPad as this will provide prospective customers with direct experience of its brand values.
Activity |
Who? |
Start Date |
End Date |
Notes |
Carrying out regarding specific features of the product that need improvement to establish quality and features that would satisfy customer needs and requirements. |
Research and Development Department |
December 30
|
Jan 3 2020 |
Asking customers about their experience with the battery of iPad. |
Analyzing communication techniques |
Marketing teams |
Jan 10, 2020 |
April 20, 2020 |
Contacting professional who will design the key messages and obtaining all the necessary legal and economic documents. |
Training all the employees, especially the sales team to make customers aware of the improved features of iPad they should expect. |
Human resource department |
March 2, 2020 |
May 5, 2020 |
The marketing and sales team should review the necessary changes to the iPad to enable customers read and understand the impending changes to the product features. |
Formulating marketing and promotional plan |
Marketing team |
May 6, |
May 20 |
Every marketing and promotional media to be adopted must be in line with the needs and beliefs of customers. |
References
Adam, M. A., & Akber, S. N. (2016). The Impact of Brand Equity on Consumer Purchase Decision of Cell Phones. European Journal of Business and Innovation Research, 4(4), 60-133. Galmarini, M. V., Symoneaux, R., Chollet, S., & Zamora, M. C. (2013). Understanding apple consumers’ expectations in terms of likes and dislikes. Use of comment analysis in a cross-cultural study. Appetite, 62, 27-36. Huimin, M., & Hernandez, J. A. (2011). Price skimming on a successful marketing strategy: study of iPad launching as Apple’s innovative product. In Proceedings of the 8th International Conference on Innovation & Management (pp. 389-393). Japan. Jun, S., & Sung Park, S. (2013). Examining technological innovation of Apple using patent analysis. Industrial Management & Data Systems, 113(6), 890-907. Rangaswamy, E. (2015). A Study on the Critical Success Factors of iPad Focusing on the Buyer Behaviour and Involvement. Amity Global Business Review, 10. Son, I., Lee, H., & Kim, J. (2015). Preannouncement effect of innovative new product on global telecom industry: focused on iPhone. Indian Journal of Science and Technology, 8(24), 1. Tsai, P. H., & Chang, S. C. (2013). Comparing the Apple iPad and non-Apple camp tablet PCs: a multicriteria decision analysis. Technological and Economic Development of Economy, 19(sup1), S256-S284.
Appendix
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