Answer

Company Background 

            Strike Bowling Pty, Ltd. was incorporated in 2003 and runs bowling lounges and bars in Australia. The company’s service facilities include Karaoke rooms, video games, arcade simulators, laser tags, theme nights and pool tables (Strike Bowling Bar Australia, 2018). The firm also offers both corporate and private parties for kids as DJ and presentation services. Based in Brisbane, Australia, Strike Bowling Pty, Ltd. the largest privately held bowling chain in the country. It operates in different locations in Vitoria, New South Wales, and Queensland.

2.0 Selected Service Offering

            The service offering selection I am targeting with my marketing plan is the Kids’ party offering. I am proposing a change in the packaging of the kids’ parties. Currently, the kid’s parties target children below the age of 18 and they comprise of different entertainment and leisure activities. There are three packages a customer can choose from. The packages include Rollin Around; Pew Pew; Double Zap ‘N’ Bowl and Triple Zap Pack. The packages range from $29 to $37 depending on the components which include the party and other leisure activities. The company includes the party fees for drinks and food in the service packaging which may affect its objective of satisfying its customers.

3.0 Analysis

3.1 SWOT Analysis

Like any other business enterprise, Strike Bowling Pty Ltd has strengths, weaknesses, opportunities, and threats that determine its competitive position as discussed below.

3.1.1 Strengths

Strengths outline what the company excels in that separates it from the rival establishments. The firm’s strengths include:

1. Diversity in its packaging. The company diversifies its service offerings in every location to remain unique and satisfy every customer’s need. For example, in Strike Glen Waverley, in addition to private parties, the location offers fully equipped kitchen, cocktail bar, private karaoke rooms, pool tables, next generation escape rooms and eight bowling tables.
2. High-quality services. The firm offers high-quality services in its unique locations. This enables it to meet the expectations of its customers thus increasing the retention rate.

• Stable tracking of and addressing customer complaints and suggestion. Strike Bowling Pty, Ltd has managed to track and resolve customer complaints and suggestions to improve their service delivery. For instance, many customers were asking for online payment during the booking process, and currently, the company has established a platform where the customer can pay half of their package costs.

3.1.2 Weaknesses

1. Difficulties in creating brand equity. The company is not performing at its optimum level because of the challenges associated with premium value generation from its brand.
2. The firm also has a weakness of struggling to stay on the cutting edge in the Australian leisure and entertainment industry through innovation.

• Limited price flexibility. Bowling companies offer the same services packaged differently thus there is no flexibility in pricing.

3.1.3 Opportunities

7. Operating in a high growth industry. Australian leisure and entertainment industry is one of the growing sectors in the country with an expected annual growth of about 7.5 percent in the next five years. This implies that the company has the opportunity for stable growth.
8. Increase in revenue. As customers are becoming more concerned about their health issues, many customers are likely to participate in the consumption of leisure services.

• Ability to expand. Due to the expected continued growth of the industry, the company is likely to expand its locations to other cities in the country.

3.1.4 Threats

1. Poor pricing strategy. The company is likely to weaken its competitive advantage due to its weak pricing strategy and unfavorable service packaging. For example, it charges $27 to $37 on kids’ parties including leisure activities while close rivals are conducting kids ‘parties for free and charging the activities separately.
2. Competition from other larger companies within the industry. The enterprise is likely to face competition for the customer base from companies such as Zone Bowling.

• Changes in government regulations. Entertainment industry attracts regular changes in regulations, and this might affect the business.

3.2 PEST Analysis

            This analysis identifies external factors that are likely to affect the operations of Strike Bowling Pty Ltd. Such factors include:

3.2.1 Political and Legal Factors

            These are external factors resulting from the role of government in the leisure and entertainment industry that may impact the business (Gupta, 2013). Such factors include changes in regulations regarding operations of bowling companies or changes in tax rates. These factors can affect the business either positively or negatively.

3.2.2 Economic Factors

            As earlier stated, the Australian leisure and entertainment industry is expected to grow by approximately 7.2 percent annually. This growth is likely to contribute to the company’s growth and scalability.

3.2.3 Socio-cultural Factors

            The consumer attitude and buying patterns are expected to increase as a result of their increasing concerns over their health and leisure activities.

3.2.4 Technological Factors

            Technological changes within the industry are like to affect the business of Strike Bowling Pty, Ltd. Balling is currently part sport and part entertainment; therefore the introduction of technology devices such as the 3D score grid majorly determines the company’s packaging, prices, and sales.

3.3 Competitive Analysis

            The two main competitor packaging services are from Zone Bowling Australia and King Pin Bowling Australia. The two companies offer the same services as Strike Bowling Pty Ltd, in this case, Kids’ parties.  The two competitors have a superior service packaging since they managed to exclude the party fees from the general package and made it free while charging the other activates. According to Erickson and Johansson (2014), this makes the packaging more appealing and attractive to customers.