Identify and Evaluate Marketing Opportunities

This report discusses the process of identifying and evaluating marketing opportunities, with a focus on Virgin Australia Airlines. It includes a SWOT analysis, situation analysis, target markets, and business opportunities. The report also covers financial and marketing objectives.

Running head: IDENTIFY AND EVALUATE MARKETING OPPORTUNITIES
IDENTIFY AND EVALUATE MARKETING OPPORTUNITIES
Name of the Student
Name of the University
Author Note

1IDENTIFY AND EVALUATE MARKETING OPPORTUNITIES
ASSESSMENT 1
Q1. Identify and outline five examples of legislation and regulations that apply to the
marketing industry in Australia.
The five examples legislation and regulations that apply to the marketing industry in
Australia are (Forsyth 2017):
1. Consumer Rights and Product Requirements: It is the primary requirement for
the marketing industry, where there is necessity to know about the rights of the customers as
well as the legal obligations. The Competition and Consumer Act 2010 includes the fixation
of price, advertising issues and anticompetitive product. Australian Consumer Law (ACL)
helps to regulate the corruption related to the marketing industry in Australia.
2. Codes of Practice – The business must comply with one or more codes of conduct,
codes of practice or codes of ethics. These are the voluntary guidelines which are made by a
company or a business industry to specify the ways of behaviour.
3. Trademarks, Patents and Intellectual Property – It is very much required in the
marketing industry to safeguard the products, ideas, business identities or designs legally.
4. Environment – The marketing industry also have to be aware about the
surroundings of the marketplace where they ae performing their business operations.
5. Privacy – The Privacy Act 1988 (Privacy Act) helps to regulate the personal
information gathered. Anti-Spam legislation is also in the place to avoid of sending the
unsolicited electronic messages.
Q2. Identify two relevant Codes of Practice for the marketing industry and outline the
purpose of the Code and its key components.

2IDENTIFY AND EVALUATE MARKETING OPPORTUNITIES
Codes of Practice helps to set out the standards of conduct in any kind of industry.
Normally, the Codes of Practice in the marketing industry of Australia are made with the
consultation with the representatives from the marketing industry as well as with the society.
They can be rather voluntary or mandatory:
Voluntary Codes - It can be termed as the design of industry self-regulation. These
kind of codes can be promoted by an association from the marketing industry or can be
formed a partnership with the government agencies. They are usually flexible and can be
changed quickly according to the changes in the needs and wants of the customers.
Mandatory Codes – These codes helps to provide a minimum or basis standard of
protection to the customers. They are recommended under the fair trading laws which can be
enforced.
Q3. Explain each of following terms in relation to marketing opportunities: market
penetration, market development, product development and diversification.
Market penetration – It can be termed as a marketing strategy which is used by the
marketing companies in order to increase the sales growth of the enterprise of the existing
products or services of the company to the existing market of that company on order to get
more market share. It can also be termed of selling the product or service in a particular
market by a particular company. It plays a vital role in the strategy of the business growth of
the organization.
Market development – It can be termed as a growth strategy which helps to identify
as well as develop new segments in for the current products and services. The non-buying
customers are targeted in the present targeted segment. It also targets fresh customers in fresh
targeted segments. A market development strategy encompasses of expansion of the potential
market through fresh users or fresh uses.

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Product development – It involves the modification or changes of an existing
product or service or its presentation, or the formation of a brand new product that will satisfy
a newly targeted market or may be market niche. It includes brand new features and
characteristics that can offer new or additional benefits to the end customers.
Diversification – It is a corporate strategy used by the marketing companies which
will help them to enter a new market where the business does not operate currently. It also
includes of preparing a new product or service for the existing or new market. It is a growth
strategy that involves the addition of products or services in the core businesses of the
marketing companies.
Q4. Explain each of the phases of the product life cycle.
There are five phases in the product life cycle. They are (Stark 2015):
1. Introduction Stage – In this stage, the product developed according to the needs
and wants of the customers, and introduced in the market by starting the commercial
production of the product or service.
2. Growth Stage – In this stage there is a huge expansion in the sales of that product
or service as the aggregate effect of the promotional expenditure which helps the acc4eptance
of the product or the service in the marketplace as well as increasing in the reputation of that
product or service.
3. Maturity Stage – In this stage the growth rate of the product or the market
declines, though there is an increase in the volume of the sales. Here the product or the
service tends to lose some potential buyers in the market. The marketing companies have to
spend a good amount of money in the promotion of the sales of that product or service.

4IDENTIFY AND EVALUATE MARKETING OPPORTUNITIES
4. Saturation Stage – In this stage of the product life cycle, the volume of the sales of
the product or the service stops to grow. There is only one kind of demand in the market, and
that is the replacement demand.
5. Decline Stage – At the final stage, the volume of sales starts to shift down. The
competitors have entered by that tome in the marketplace with imitations as well as
substitutes. The product distinctiveness also starts to diminish. As a result, the sale of the
product or the service also starts to decline.
Q5. Explain the purpose of the marketing mix and each of its components.
Marketing mix can be termed as one of the most important marketing requirements in
the marketing plan of a company. It involves to the four areas of decision making which can
be termed as the four Ps, which helps to satisfy the needs and demands of the customers
present in the marketplace. They marketing mixes are:
1. Product – It is one of the four Ps which helps to create value to the customers.
Products can be termed as the most important and helps to earn profit to the companies. No
other Ps will exist if there is no existence of product. They help to attract the eyeballs of the
customer, which is one of the way to increase the profit of the company.
2. Price – It can be termed as the capturing value of a product or a service by the
customers. It is determined by the extent of willingness of the customers to pay and acquire
that product or service and helps to assess whether the company can earn profit at that
moment or not. It also depends on the marketplace where the product or services going to be
sold.
3. Place – It helps to deliver the value proposition and involves all the activities
needed to reach the product or the service to the right customers who wants to acquire it.
These activities are known as the supply chain management, and the effectiveness of an

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efficient and effective of supply chain helps to minimize the cost and maximize the profit, as
well as satisfying the level of services required by the consumers.
4. Promotion – In one word, it can be said that promotion is the communication of
the value proposition. Promotion helps to advertise the product or the service through
different modes of promotion like radio, television and newspaper. It is the communication
made by the marketing companies which helps to persuade, inform and remind the potential
buyers about a product or a service to influence the opinion of the consumers.
Q6. Explain why the marketing mix is important in bringing a product or services to
the market.
Marketing mix plays a vital role in the marketplace. It directly affects the decision of
a consumer whether they will but a product or service or not. It also helps to satisfy the basic
requirements of the customers according to their needs and wants. The concept of marketing
mix helps to manufacture a product or a service, setting a value of it and promoting that
product or service into the marketplace and setting up of a place where the product or the
service will be sold. It helps to strategize the plans and procedures in a structured way which
will help the marketing companies to run their business operations in an efficient and
effective way.
Q7. Outline four key steps in the marketing process.
The four key steps in the marketing process are:
1. Discovery – In this step, the company needs to know about the happenings in and
around the atmosphere of the business operations in the marketplace. It includes the
researches about the target market, about the basic requirements of the customer towards a
product or a service, and also the competitive analysis.

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2. Strategy – In this step, the company evaluates all the data gathered in the first step
and formulating the strategies accordingly, which will be the roadmap for the company to
taste the success in the marketplace. This will help the companies to properly plan about the
product or the service which they are going to be launched in the market. It includes the
overall marketing strategy as well as the campaign strategies for a particular firm.
3. Implementation – This can be termed as the most important step in the marketing
process. It means to put the strategies formulated in the previous step into actions in an
efficient and effective way to earn revenue for the company. The proper implementation of
the strategies will help to determine whether the product or the service will compete in the
market, or will it earn profit for the company or not.
4. Measurement - In this final stage, the company measures the performances of the
business organization who has sold the product or the service in the market. Refinement of
the strategies might be needed in this stage, if the company faces some stiff competition or
suffering from loss in the marketplace. This stage evaluates the performance of a company
whether the company is able to meet its aim and objectives or not.
Q8. Describe four statistical methods and/or forecasting techniques that can be used to
evaluate marketing opportunities.
The four statistical methods that can be used to evaluate marketing opportunities are:
1. Factor Analysis – This method can be used to organize the strongest dimensions
underlying of a broader set of variables which are interrelated. This analysis can be trimmed
to a few number of variables like dozens, which can be said to be more practical as well as
actionable.
2. Cluster Analysis – This method is used in the time of grouping a set of data
objects together into some homogeneous groups like cluster. These can be helpful to

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differentiate as well as finding the similarities between the clusters or groups in the market
segmentation of the marketplace of a product or a service.
3. Conjoint Analysis – This method is used when the aim is to differentiate the
process of respondents of the market researches perceive and evaluation of various variables
that are part of a service or a product. In some cases, this analysis helps in revealing the
insights that are even unknown to respondents themselves.
4. Discriminant Analysis – This method is used for predicting the membership in a
group based on the characteristics of other variables which are measured. In this analysis, the
advertising and marketing campaign can be designed to influence this awareness.
Q9. Describe a method that can be used for forecasting market growth rate.
There are many methods which can be used to forecast the market growth rate.
Among all these, one such method which can be used is Time Series Forecasting Technique.
This technique observes the sales pattern of the marketing industry. This technique can be
used to measure the rate of sales growth in the past and deduce it to the future. It is most
useful in a stable marketplace, as a marketplace which either fluctuates or frequently gets
disorganized, will not allow to lend itself properly to this method.
Q10. Define the term return on investment and explain how it is calculated.
Return on investment can be termed as a measurement of performance which is used
to evaluate the efficiency of the investments or comparing the efficiency of a bunch of
different investments. It is calculated on the benefit or return of an investment which is
divided by the total cost of investment. The result or the outcome is expressed as a ratio or
percentage. It can also be said as a ratio between the cost of investment and the net profit
earned by the company. A high return on investment it is favorable for the company. It

8IDENTIFY AND EVALUATE MARKETING OPPORTUNITIES
actually helps to evaluate the efficiency of the investment made as well as to compare the
efficiencies of many other investments (Millar and Hall 2013).

9IDENTIFY AND EVALUATE MARKETING OPPORTUNITIES
Assessment 2

10IDENTIFY AND EVALUATE MARKETING OPPORTUNITIES
Executive Summary
In this report, the aim of the discussion will be to identify and evaluate the marketing
opportunities of Virgin Australia Airlines, and to access the marketing plan of the company.
It will include the business goals, target customers, marketing or the branding strategy, sales
forecasts and marketing budget which will help to provide sufficient information in order to
be able to compete in the marketplace.

11IDENTIFY AND EVALUATE MARKETING OPPORTUNITIES
Table of Contents
Introduction..............................................................................................................................12
SWOT Analysis.......................................................................................................................12
Strengths...............................................................................................................................12
Weaknesses..........................................................................................................................13
Opportunities........................................................................................................................13
Threats..................................................................................................................................13
Situation Analysis....................................................................................................................14
Target Markets.....................................................................................................................14
Existing Market................................................................................................................14
Potential Market...............................................................................................................14
Business or Marketing Opportunities.......................................................................................15
Financial Objective..................................................................................................................16
Marketing Objectives...............................................................................................................16
Current Marketing Strategies...................................................................................................17
Conclusion................................................................................................................................18
Assessment 3............................................................................................................................19
Introduction..............................................................................................................................21
Marketing Opportunities..........................................................................................................21
Conclusion................................................................................................................................22

12IDENTIFY AND EVALUATE MARKETING OPPORTUNITIES

13IDENTIFY AND EVALUATE MARKETING OPPORTUNITIES
Introduction
In this report, the aim of the discussion will be to identify and evaluate the marketing
opportunities of Virgin Australia Airlines, and to access the marketing plan of the company.
It will include the business goals, target customers, marketing or the branding strategy, sales
forecasts and marketing budget which will help to provide sufficient information in order to
be able to compete in the marketplace. Virgin Australia Airlines Pty Ltd., usually known as
the Virgin Australia, is one of the largest airlines company from Australia, and the largest
airline in terms of the fleet size. It started the journey on 31st August 2000. The headquarters
of the company is in Bowen Hills, Brisbane and Richard Branson is the co-founder of the
company. The fleet size of the company is near to 100 and the number of destinations where
the airlines fly is almost 57.
SWOT Analysis
Strengths
1. Higher growth rate – The organization has focused on delivering the aims of the
company as well as to provide the sustainable returns to the stakeholders of the company.
2. Lower labor costs – Virgin Australia enjoys a favorable position when it comes to
the topic of labor cost, which is very low as compared to its competitors.
3. Domestic market – The regional business of the company has become profitable,
and the local marketplace has grown at a rapid rate. The cheaper fuel price is also allowing
the growth of the company in domestic demand in the market.

14IDENTIFY AND EVALUATE MARKETING OPPORTUNITIES
Weaknesses
1. Productivity – The productivity of the airlines company has reduced in the recent
time as the service provided by the organization has become more focused to a specific group
of people.
2. Future profits – There is no certainty of the company about earning of the profits
in future and at what amount the profit will grow, as it is considered as one of the cheapest
aviation service provider company in Australia.
Opportunities
1. New products and services – The loyalty as well as the satisfaction of the
customers can be increased by introduction of brand new services, which will be new to the
industry.
2. Growing demand – There is an ever growing demand in the aviation industry and
this will help the company to accept this opportunity and increase the market share as well as
expand the business.
3. Growing economy – The economy of Australia is ever growing and this will help
the company to have a consistent growth in the business operations.
Threats
1. Changing price – The organization has to face and control the unpredictability of
the changes in price, which will affect the financial statement of the organization as well as
the revenue. This is a major threat to the company.
2. Growing competition – The company of Virgin Australia is not core in the
international business of aviation industry, and the business is unprofitable in terms of
international context.

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3. Increasing cost of raw material – The base cost has increased of the organization
and this has resulted from the conversion and the rise of the market has gradually added up
the costs (Huang and Sarigöllü 2014).
Situation Analysis
Target Markets
Existing Market
The major target market of Virgin Australia is the domestic recreation market as it is a
low-cost carrier and the leisure or recreation market is likely to be more price elastic than the
business customers of the marketplace. Still, the company has introduced a number of
strategies to attract the eyeballs of the business travelers, like velocity frequent flyer
programme, the relaunch of some lounges at the prime airports, web check-in, flexible fares
for the passengers of government as well as business classes, completion of the fresh code-
share technology and an application program interface facility which will be used for
corporate accounts (Whyte and Lohmann 2015).
Potential Market
Apart from targeting the leisure or recreation market, Virgin Australia could consider
the young families, business people and students as their new targeted as well as potential
customers. The emergence of Australia as the tourism and business destination has provided
the opportunity to the domestic airlines the room to grow and given energy to the domestic
air passengers to use their flight to move from one place to another. Virgin Airlines must take
this advantage to increase their market share in the airlines industry, which is one of the
competitive sector in the global market. Apart from this, Australia can be stated as the third
most popular destination for study in the English-speaking world, with more than 200,000
students from around the world visit the country in order to pursue different courses across all

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education sectors in Australia. In this case, Virgin Airlines can capitalize on this situation and
can come up with some products and services which will specially tailored towards the
segment of students (Dunn 2013).
Business or Marketing Opportunities
The domestic airlines industry in Australia has reached the maturity period and there
is powerful rivalry among the major players in the Australian marketplace. According to the
analysis of the internal as well as external factors, Virgin Airlines could adopt the strategies
or opportunities to achieve the aim and objectives of the company. The opportunities are
(Lohmann and Spasojevic 2018):
1. Market Penetration – This is a growth strategy or opportunity in which the
business tends to focus on the selling the existing services and the products into the existing
marketplace. Virgin Airlines, at first, has to maintain as well as to increase the market share
to achieve its aim and objectives. This can be accomplished by the company through a
combination of advertising, competitive pricing strategies, promotional activities and
dedicating additional resources to personal selling. An aggressive and stronger promotional
campaign will help Virgin Airline with a pricing strategy to restructure the market as well as
driving out the competitors.
2. Market Development – Market improvement strategy means to deploy the current
services into the new markets where the organization want to sell its services or products. The
suitable way to achieve this kind of marketing strategy is to launch the existing services into
the new market segments or into new geographical area.
3. Diversification – Through this marketing opportunity, Virgin Airlines can attract
more customers to avail their services as well as retain their old customers as well. They need
to diversify their services or products which they are selling, like starting some new routes, or

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providing some hopping points in the journey from the starting point of a flight and reaching
to its destination.
Financial Objective
The financial objective of Virgin Australia will be to earn an annual rate of return on
sales over the next five years of at least 33% before paying the taxes and the interests.
According to the forecast of the company will be the expectation to earn a profit after-tax of
$125 million in the next year with an operating cash flow of $2000 million.
Marketing Objectives
Virgin Australia can use the SMART objective to understand in a better way that
where the role of the organization will fit and what particular activities of the company will
be to sustain in the competitive market of aviation industry. SMART objectives aims at the
outcomes rather than focusing on the activities and helps to allow to measure the rate of
success. SMART stands for Specific, Measurable, Achievable, realistic and Timely (Sokolov-
Mladenović et al 2016).
Specific – To set the marketing objectives in an effective and efficient way, Virgin
Australia need to consider the people who needs to be involved in the organization to meet
the set objectives, and what should be the objectives of the company which needs to be
achieved. They need to set each of their marketing objectives within a time frame. The
strategies need to be structured in a proper way so that the customers can be benefitted in a
better way so that they can attract more people to board their airlines as well as retain their
old and previous customers.
Measurable – The company need to use the measurement metrics to determine the
amount of objectives set within the time frame and what amount of set objectives are left to
do. Virgin Australia, as discussed earlier, want to earn a profit after-tax of $125 million in the

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next year with an operating cash flow of $2000 million. They have to measure the revenue
earned on each quarter so that they can re-strategize their accordingly and can implement
them to earn the amount which can fulfill their expectations.
Achievable – The marketing as well as financial objectives need to be achieved by
Virgin Australia in order to sustain in the market as well as to enjoy the competitive edge
over others. Providing top class customer quality service and satisfying the basic needs and
wants of their customers can help them to achieve the marketing objectives.
Relevant – As discussed, Virgin Australia need to focus on the services provided to
their passengers who are availing their services or who will avail their services in future. If
the customers become satisfied with the services provided to them, they will automatically do
the word-of-mouth publicity which will help the company to get more passengers on their
board and which, in turn, will help them to earn decent amount of revenue.
Time-based – The marketing objectives set by the organization need to be time-
based, which will help the company to have an urgency to achieve them. It will help the
company to re-strategize some plans, if needed, and can implement them accordingly, mainly
in case of emergency situations, where the company is fearing to face some loss or less profit
as expected in their business plans and objectives.
Current Marketing Strategies
Safety Management System – Virgin Australia manages, controls and minimizes the
safety and security risks through the help of Safety Management System which was
strengthened more in the financial year of 2015. There are many kinds of risks involved in
the aviation industry which Virgin Australia needs to minimize so that the passengers can
board their flights safely and security concerns are taken with the highest priority.

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Fatigue Risk Management – This system helps to provide the framework or the
structure for the management of the company as well as for the individual’s risks involving
fatigue of the flights and the cabin crew. A number of strategies has been finalized in the
financial year of 2015 which also complements the fresh Civil Aviation Safety Authority
(CASA) regulations. Fatigue Avoidance Scheduling Tool (FAST) is a computer based
application which is also implemented by the company.
Flight Data Management – It is proactive program used by Virgin Australia to
gather and analyze the data recorded during the operations of routine flights. It helps to have
a proper view of the overall flight operations environment to secure the safety of the flights.
Safety performance – This helps to measure the safety measures taken by the
company for safeguarding the people engaged in the journey of a flight and to take necessary
steps if needed accordingly (Arblaster 2016).
Conclusion
From the above report, it can be concluded that there are many strengths and
opportunities available for the company of Virgin Airlines, through which they need to
overcome the weaknesses and threats. This will be possible with proper marketing objectives
as well as strategies, which have to be implemented properly so that the organization can run
the business operations efficiently and effectively, which will help them to earn revenue and
have a competitive edge over the others.

20IDENTIFY AND EVALUATE MARKETING OPPORTUNITIES
Assessment 3

21IDENTIFY AND EVALUATE MARKETING OPPORTUNITIES
Executive Summary
The aim of this report will be to rank each of the marketing opportunities that you have
identified from the most viable to least viable in terms of the potential contribution of each
opportunity to business growth.

22IDENTIFY AND EVALUATE MARKETING OPPORTUNITIES
Introduction
The aim of this report will be to rank each of the marketing opportunities that you
have identified from the most viable to least viable in terms of the potential contribution of
each opportunity to business growth.
Marketing Opportunities
1. Market Penetration – This will be ranked as the number one, as virgin Australia
have the opportunity to focus on the selling the existing services and the products into the
existing marketplace. They have to penetrate into the new market as well, which will help
them to attract more people globally. Virgin Airlines has to increase the market share to
achieve its aim and objectives. The company has the opportunities to advertise and promote
their activities aggressively and formulate strategies including the competitive pricing and
contributing additional resources to personal selling of their services. An aggressive and
stronger promotional campaign will help Virgin Airline with a pricing strategy to restructure
the marketplace as well as driving out the rivals.
2. Diversification – This has ranked as the number two, as by the help of this
marketing opportunity, Virgin Airlines can attract more customers to avail their services as
well as retain their old customers as well. They need to diversify their services or products
which they are selling, like starting some new routes, or providing some hopping points in the
journey from the starting point of a flight and reaching to its destination. This will help many
people around the world by diversifying their services and services, and will help the
company to gain a competitive edge over its rivals.
3. Market Development – This will be ranked as number three, as the strategy to
improve the marketplace means to deploy the present services into the fresh markets where
the organization want to sell its services or products. This is a time consuming opportunity

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for Virgin Australia but this will be the suitable way to achieve this kind of marketing
strategy is to launch the existing services into the new market segments or into new
geographical area. But for that, the internal as well as external factors need to be identified
and analyzed before setting up the business into a new geographical area (Dunn 2013).
Conclusion
From the above report, it can be concluded that there are many strengths and
opportunities available for the company of Virgin Airlines in terms of marketing
opportunities. The company need to strategize the marketing opportunities properly so that it
will help them to earn revenue and have a competitive edge over the others.

24IDENTIFY AND EVALUATE MARKETING OPPORTUNITIES
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