What The God Father Teachers A Business Owner- Study One-Topic 2

Direct competitor analysis

• What does Michael Corleone say about friends and enemies?
• Who are the enemies?
• What are the three techniques outlined in the video above for conducting a competitor analysis?

The 'enemies' are your competitors so watch them closely and you will get to know their strengths and weaknesses. You will get to know their hurdles and how they over come these & where they have an edge over your business.

Recorded Information Technique

• Annual reports
• Brochures
• Press Releases
• Websites
• presentations

Observable Information

• Ad Campaigns
• Corporate Events
• Roadshows
• Pricing Details

Opportunist Technique

• Word of Mouth
• Conversation with suppliers
• Social gatherings at parties/events

Segmentation, Targeting & Positioning-Study One-Topic Two

Segmentation, targeting and positioningLook through the Internet, magazines, newspapers, direct marketing materials, anywhere you find products being marketed. Choose a selection of different types of products and for each, try to work out the following:

• Target market/s

• Primary and secondary market segments

• Positioning in the market

Target market is pre & post natal fitness and health packages. Primary & secondary is busy mums who want to have a active life style lose weight and have healthy meal plans for the whole family. Positioning in the market, price wise is not to high only $13.99 per week for typical 12 week program. Promotion is strong on social media sites and popular fitness magazines. She is a well know Oxygen ambassador and fitness model in Australia(not so much world wide) Distribution & packaging is straight to the consumer instantly via ebook download. Competition is not to fierce in Australia with probably 5 other decent professional competitors. (For those people wondering-Michelle Bridges is a totally different target market all together)

Target market is woman "giving the modern woman the best line of products to achieve a healthy, safe, glow; a look of vitality and well being, one that enhances their inner beauty." it's hard to put an age on the market as I know many woman aged 18-50 who enjoy a lovely tanned glow. Primary & Secondary is sun smart conscientious people either gender who don't like tanning in the sun and according to Bingle this product is 'curlelty free' so it will appear to this market also. Positioning in the market price range is $12-$39 so cost effective for every one. Promotion is strong as she already has a media following due to unrelated reasons. The base had a 'pre sales' launch to gauge the success of the product band also uses many forms of social media, interviews in person and magazine interviews/articles. Not to mention her website launch. (It's all online ordering) Distribution is straight to the consumer and the packaging is sleek and simple yet chic. Competition is large in Australia & world wide with a huge number of similar products on the market. To name a few in Australia- Bondi Sands, Vani-T, Jennifer Hawkins brand, Le Tan, Hawaiian Tropic, Reef.

Naturasmooth-Study One-Topic Two

SIMULATION TITLE: Segmentation, Targeting, Positioning

SIMULATION DESCRIPTION: Natorganica is a multinational consumer goods company. It has recently acquired Naturasmooth, a beauty cream for women, which offers several health benefits at a significant cost of $300 per jar. As Marketing Manager, your task is to target Naturasmooth to appropriate market segments, and define suitable positioning statements for it.

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You earned 91 percent.

DECISION SUMMARY

You chose gender, age and skin care habits as your segmentation variables. This was a good choice because all of these variables are relevant when marketing an anti-ageing beauty cream.

As your next step, you chose to select the market segment or segments to target. This was the correct choice, since you need to identify your target market before you can position your product or create a marketing campaign.

You chose to target two market segments at once, designing separate offers for each. This was a good choice, since reaching out to more demographics can result in greater sales.

You correctly identified the market for Naturasmooth beauty cream as female.

You chose an age range of 20-34 for the primary target market. This was a fair choice since Naturasmooth contains UV protection, although this demographic may not be the one to benefit most from the product.

You decided that the primary target market would be consumers who use beauty cream every day. This was the best choice, since daily users are more likely to buy the product.

You chose daily beauty-cream users in the 35-and-up age range as an additional market. This was the best choice, since this demographic would benefit the most from the product's anti-ageing and wrinkle-reducing qualities and would be the most loyal to the product.

You chose to promote two key differences to distinguish Naturasmooth from its competitors. This was a good choice. Many marketers recommend positioning a product on more than one differentiator, due to the amount of fragmentation in the marketplace.

You chose to promote Naturasmooth as fighting acne and being anti-ageing. This was a poor fit for the target market you selected.

To position Naturasmooth relative to the competition, you chose the slogan "Go ahead and splurge. Your skin will thank you." This positioned the product as offering more for more, which was correct according to the positioning map.

You justified your chosen slogan on the grounds that Naturasmooth was more expensive but gave higher value for money. This choice was correct according to the position map, although it did not match your slogan.

This was a fun exercise, and neat how you get the feed back too :) 91% i'll take that for a Rookie!!

Evaluating Market Competition-Study One-Topic Two

Choose a business, either one that you currently work in or any other, and collect the following information to evaluate its competition:

Chosen Business: FarmGuide Pty Ltd- Agricultural Directory,Print Media & Online Search

Is a national publication and online search engine that gives you direct access to members of Australia's largest farming organisations.Delivered by Aus Post it insures your message gets directly to farmers and businesses related to farming across Australia. You have the flexibility to deliver your message nationally or state by state allowing you to select the distribution relevant to your business. A % of the revenue goes back to the farming organisations ensuring that they are able to continue to fight and support the issues that are important to rural Australia. Distribution is direct to consumers and exclusive data bases for businesses to connect with.

Comp 1- Yellow Pages: General directories by regions per state(print media) and online search engine(website) Mobile App, Caller direct (when you ring an operator and give them a business name etc)Marketing strategies also include advertising on the radio and TV & google positioning & sales reps.
Distribution channels are direct to the consumer, they can pick up a copy at local post office or have them delivered to home or business address. Search engine is direct to consumers.
Pricing to advertise is huge depending on what 'regions within a state' you want to target for your business-12 months in print, and then on line. So the packages add up $. Yellow pages is a huge company and has been around for 40 odd years.

Comp 2-Local Search: General directories but in certain states. Over 2 million directories delivered FREE of charge throughout 34 regional areas of Queensland, New South Wales & Northern Territory. Local Search is a market leader in connecting buyers with sellers. Print media,online search & mobile App. Marketing strategies are the same as yellow pages. Radio, TV & Google positioning sales reps. Distribution channels-Directories are delivered free to all businesses and residences within directory coverage areas.Directories are available in various IGA stores, or can be mailed on request & publications are distributed at various times throughout the year. Search engine and mobile app direct to consumers.
Pricing is slightly less $ than yellow pages for 12 month in print and online. (smaller company)


Comp 3-Fat Cow: Australia's local farming and agricultural directory.
Fatcow is an online business directory offering free and paid listings to Australian farming, agricultural, and horticultural sectors. Online search engine & Mobile App.
For site users, it provides a comprehensive central online source containing the latest product, supplier and industry news updates.(It runs editorial features) Distribution channels are direct to the consumer. Pricing is less again $ than the above two companies smaller company again and was launched in July 2006.

Evaluating Ideas-Study One-Topic Two

Watch the video above and reflect on the differences between these business idea evaluating strategies:

START WITH THE END IN MIND:
Start with a specific result in mind and then form your plan on how you will achieve this goal(working backwards from your goal)
-Follow with your market research 
-Market gap
-Resources people/connections
-Knowledge 

BIRD IN HAND PRINCIPLE:
Instead of starting with a specific goal they use oppurtunies, resources, knowledge, people that the have around them. They then add it all together to come up with a specific goal or business idea. You can start with what you have and get going today-make it happen now instead of waiting for the perfect circumstance.

What factors would you take into account when you're evaluating whether or not you will go ahead with the idea?

CAN YOU DO IT?
How much money is needed to start the business and how much money do you have.
Do you have the knowledge to start the business
Do you have the physcial resources to start the business and what percentage of those resources do you currently have.
Do you have the people and contacts to start your business

WILL YOU DO IT/
How certain are you that you WANT to start the business, and how certain are you that you CAN. You also need to have the BELIEF 
How certain are you that you WILLstart the business, and do you have the discipline to do the work that needs to be done as well as the TIME.

WILL PEOPLE BUY IT?
Pick a business idea that the market actually wants. Businesses that have a high first year in sales tend to become high growth companies. research customers interest before launching a product.

Kellogg's Case Study-Study One-Topic One

Kellogg's case study

Answer the following questions from the Kellogg's case study:

When Kellogg's introduced Crunchy Nut Bites into the market, how did it fit with their business goals?

Business goal was to provide a new flavour and texture for consumers, helping Kellogg's extend its share of the breakfast cereals market. Kellogg's is market orientated. This means that the companies focus is on the needs of its consumers.

Before Kellogg's develop a new product like Crunchy Nut Bites what needs does it seek to identify?

Looking at what products or extensions it should develop from their current product range and for whom. With new products they have a focus on the needs of their consumers. 

What three stages does Kellogg's use to identify these needs?

In all three stages primary research such as focus groups, Qualitative research and Quantitative research was involved to identify needs.

• Stage 1: Discovery
• Stage 2: Selecting the best idea
• Stage 3: Crafting the idea into a complete new product

Case Study Portakabin-Study One-Topic Two

Sunday, 7 September 2014

ACTIVITY 5

The aim is to maintain their leading position as the number 1 manufacturer of modular buildings in the U.K. To deliver the best service and products to customers. This means that they are up to date with the changing nature of their customer’s needs and responds to them in a cost effective and innovative way.

·      Deliver exactly what the customers want
·      Ensure that when their needs change they will be able to provide them with a solution
·      Continue to attract new customers
·      The business is set to ensure rapid response and a comprehensive support system/service for all it’s customers

 Portakabin is committed to ongoing and in depth market research.

·     This requires understanding what the existing and future customers want
·      Putting in place more product development and added value services to meet customers        needs
·      Primary & Secondary Research
·      Qualitative and Quantitative data
·      Research & Development of new product ideas and added value solutions
·      Effective strategies for marketing and sales aimed at specific market segments
·      Quality assurance and quality control procedures to ensure a high level of service & product quality
·      Assessing reliability of supplies and levels of service to ensure that materials and supplies arrive on time and to a high level of quality.
·      Using research results to develop product.

      
ACTIVITY 6

A business that has been affected by one or more threatening external influences.

Good Life Health Clubs was threatened by other health clubs such as Fenix Fitness and Fitness First as well as the new 24 hour craze of gyms that have popped up around Australia. Influences such as lower membership fees and 24-hour access to the gyms. Better training facilities and staff as well as management at Fenix Health Clubs & Fitness First not to mention locations of health clubs. Business was declining at Goodlife health clubs in the way of memberships and quality personal trainers & management/staff. In conclusion Goodlife purchased their biggest threats Fenix Fitness and a huge number of Fitness First Health Clubs Australia wide.

A business that has been affected by one or more external opportunities.
Boost juice, one of my favourite retail franchises. Creators of Boost while over in America on holiday saw a potential gap in the market back in Australia. The health craze of fresh healthy juices and smoothies was just about to take off and combined with new improved Westfield's & shopping centres popping up around Australia it was the perfect timing to set up this company. External influences from customers being more aware and active about their nutrition & life choices wanting to live a healthy lifestyle due to a massive rise in media marketing directed at weight loss and fitness. (Love her or hate her Michelle Bridges is to thank for all the media and work that she has put in over the years, and in turn many external opportunities for healthy lifestyle fitness type companies to jump on the band wagon)

Potential Of Untapped Markets-Study One-Topic One

Monday, 25 August 2014

1.3.1.1 The Primary Concerns In New Product Development
Bertrand Sosa came from Mexico to the US and saw the potential for a new market. What potential did he see? That there was a gap in the market where credit cards were out of reach for a lot of immigrants. They were used to a cash economy and not familiar with the internet or credit cards. So he & his brother created a way to close the gap in the market and make it accessible for everyone to have a debit card

How did he identify the new market? What questions did he ask? He identified that market through his own influences & upbringing. He states in the video that they were customer 1 & 2. He mentioned that they had the idea, but the process leading up to it took many years. They also identified the new market by looking at it from the customer’s point of view. Questions he asked were along the lines of should it be done? And why has it not been done before? Others have tried but are not doing it the right because the consumers that need it are not seeing it. Basically this means that they are not researching the new market the right way and correctly engaging the target market or directing the product to within reach of the targeted market.  

Reflect on how entering into a new culture helped Bertrand to generate innovative, creative ideas. What can you learn from his experience? That if you can combine a social reason with a business reason you are adding more value to a product or service. Searching out what the consumer needs are and fill that gap in the market. Creating a product that is going to benefit and help people in the long run and target your marketing around this. Use your own experiences and influences to fuel new ideas. You can use entrepreneurship to change the world by creating something meaningful on a product bases and have a significant impact on people lives. 

ACTIVITY

Marketing innovation

What advice does the consultant have for people wanting to sell their products? That the best products & services don’t need to be sold to people because the best products & services are solutions to problems and are the results all in themselves. The reasons people are buying products or services are because they want an outcome, a result or solution to a problem that they are facing or feeling. Advice given is to not try to sell the product or service but to understand what the person is wanting the product for. My interpretation is FEEL FELT FOUND. I understand how you feel, we have had other customers who have felt the same way, so what we have found is a way to help you by using this product or service. Basically the product is a means to an end for a consumer.

What is his definition of innovation?

That innovation should come first or lead on to marketing-Under the general idea of innovation being creating new things that people want. Definition of innovation is along the lines of new, better and different. He expands on  his definition with you are trying to solve a problem, delivering a result, or gets the customer the outcome that they want that was not available before. 

Entering New Markets-Study One-Topic One

Sunday, 24 August 2014

Entering New Markets

The consultant in the video above presents some ideas about what businesses need to understand when they are considering entering a new market. In your blog, reflect on his ideas. Also, do you think a business's location has an effect on where it should attempt to enter a new market?

New markets need new talent and new products which need to be planned out in a very strategic cost competitive way. Companies need to collaborate ideas to understand where the company is at and where it is heading in terms of market and how it’s going to achieve the desired results. How they are going to source the new products or services and what the company is going to bring to the new market. He states that high performing companies are very focused and looking to expand. They plan market entry based on past experiences. It’s a case of understanding what’s going on in the market so you can capture more value and hit the ground running so to speak. Understand where your competitors are going as well and ultimately do your research.

Yes the location of your business is very important when it comes to new markets. Depending on if you are providing a product or service you need to know who your existing competitors are and where they are located. Is it going to be cost effective to target a new area, what costs are involved and is there a consumer demand for your products or services.