Marketing Assignment - Customer & Company Analysis
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This marketing assignment analyzes the customer behavior of First Class Trading Corporation and the relationship analysis of public and private schools with the company. It also includes the company analysis of customer relationship management, industry network, and ARA analysis.
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Running head: MARKETING ASSIGNMENT Marketing Assignment Name of the Student Name of the University Author Note
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1MARKETING ASSIGNMENT Table of Contents 1. Customer Analysis.......................................................................................................................2 1.1 Buyer Behavior Analysis.......................................................................................................2 1.2 Relationship Analysis............................................................................................................4 2. Company Analysis.......................................................................................................................7 2.1 Customer Relationship Management.....................................................................................7 2.2 Industry Network...................................................................................................................8 2.3 ARA Analysis........................................................................................................................9 References......................................................................................................................................10
2MARKETING ASSIGNMENT 1. Customer Analysis This section of the project tries to analyze the two broad sections of the customers, which the First Class Trading Corporation tries to cater to. Given that the company mainly deals with the provision of fully equipped knapsacks, with school supplies included in it to the schools and to the parents, the two prime types of customers of the company are the public schools and the private schools, mostly in Montreal, Quebec. Both of these schools having different levels, depending upon the age of the students, the company mainly targeted the elementary sections, as they are the ones needing a properly organized and well equipped school bag the most (Solomon et al. 2014). The primary differences between these two types of customers of the company are discussed in the following section. 1.1 Buyer Behavior Analysis Based on the Decision-making Units, the process of buying, the buying criteria and the influences behind the buying behavior of the school bags provided by the First Class Trading Corporation, the differences between the overall buying behavior of the private schools and the public schools be discussed in the following section. This can be shown in the following table within the framework of the Buyer Behavior Analysis (Schneeweiss 2012).
3MARKETING ASSIGNMENT Private SchoolsPublic Schools Recognition of Problems DMU-Directorsofprivateelementary schools, teachers and parent-teacher groups of the private elementary schools Influences- Teachers, parents and students, expectations of the parents regarding the quality and types of school packs DMU- Overall the Director General of the Lester B. Pearson School Board (depending upon the decisions of the commissioners of the school board) Influences-Principalsofindividual schools,parentsofthestudents, expectations of the parents regarding the quality of products their children are using Description of need DMU-Directorsprimarily,butalso includes the teachers, also the parents Influences- Good quality, well equipped school bags with all necessary stationary itemspresentinorganizedways, customization and inclusion of individual names if possible DMU- Individual school principals Influences- Expectations of good quality and wholesome package of products for theirchildren,whichabidebythe conventional standards Product Descriptions DMU- Teachers Criteria-Determinethequalityofthe productaccordingtochecklistandthe durability of the product Influences- Standardized requirements of the students which the teacher perceived to be necessary DMU- Principals Criteria-Determinethestandardofthe product and their utilities Influences- The perceptions of the parents of the students regarding the need of the same Searching Suppliers DMU- Director of each school Influences- Market, competitors, goodwill of the company among parents DMU-Principalsatindividualschool levels Influences- Parents and their perceptions Selectionof Suppliers DMU- Director of each school Criteria-Costeffectivenessandquality, customer services post sales DMU- DG after approval from each of the school’s principals Criteria-Qualityandperceptionsofthe parents Submission of Proposals DMU- Directory body of each schoolDMU- DG
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4MARKETING ASSIGNMENT Influences- Teachers, parents, potential of the proposals, performances post supply, other competitors Influences-Parentsgroup,principalsof each school, commissioners in the board Order Placement Process DMU- Directors of the schools Criteria- Contract based on specific time periods (Back to school period especially) Influences-Performanceassessment, teachers, parents DMU- Director General Criteria- Approval from individual public school’s principles Influences- Parents and students Reviewof Performance DMU- Users and teachers Criteria- Quality, quantity and post sales performance DMU- Users and parents Criteria-Quality,performanceofthe equipments with respect to other similar products in market and cost effectiveness The product of the company were not fully approved by the principles of the individual public schools as they were the ones who were to be held responsible by the parents in case of any complains or dissatisfaction from the product, by the parents of the students. However, the directors of many of the private elementary schools had enthusiastically incorporated the idea of the product (Yadete 2012). The facility of customization being available in case of school bags and the facility of different sizes according to age also increases its appeal to the teachers and the parents. The parents do not need to go anywhere to buy the stationeries separately and can get them from school itself at once (Hutt and Speh 2012). These have facilitated the increase in demand for the product of the concerned company among the private schools and the parents of the students. 1.2 Relationship Analysis The relationship of the two segments of potential customers (public and private schools) and the concerned company can be explained and compared with the help of the Relationship
5MARKETING ASSIGNMENT Analysis Model, which takes into account six parameters of analysis of the same (Brennan 2014). This can be elaborated with the help of the following table: Relationship Components Analysis of the needs of the customer sPerformanceoftheFirstClass Trading Corporation TrustPrivateSchools-Mediumtrustlevel needed PublicSchools-Highleveloftrust required as they fall under the government supervision Thecompanysucceededtoearnthe trust of many of the private elementary schools and the parents of the students in these schools. It lagged behind to win the trust of the principles of individual public goods as they were skeptic and scared of being targeted by parents in case of any dissatisfaction. CommitmentPrivateSchools-Highcommitment required to stay above the competitors. Public Schools-High commitments for long run are required. The company commits through quality and conveniences, which they provide to the teachers and parents regarding uniformity and customization, balance. Theyarealsopartnersindifferent curricularactivitiesandsponsorsof events in their client schools. CommunicationHighandresponsivecommunication levels are expected The company provides one to one as wellasonestoptelephonic communicationandgrievance management solutions to the clients Longterm Relationship Highly based on the post sales behavior and facilities of the company Private schools- Parents can spread the reputation hugely to other potential clients by their word of mouth The marketing team of the company is robustandinnovativeandkeepson implementingchangesand modificationsintheirproductlines, suitingthedemandsoftheirclients, whichincludesizeandcontent variationsoftheschoolbagsthey supply CustomerStrongrelationshipcanbebuiltbyThe company has a strong support team
6MARKETING ASSIGNMENT Serviceproviding personalized customer service pre and post sales which keeps on taking feedback and suggestionsfromtheteachersatthe begin of each session regarding what changesandinclusionsarerequired. Standardization and customizations are done maintaining a balance Mutual BenefitsPublic Schools- Increased convenience if thecompanyhavecomparativecost advantage and superior quality PrivateSchools-Conveniencetothe teachers as well as the parents due to the uniformityandorganizedpresenceof required amenities for the students in the school bags The company has not been able to gain the public school market considerably buthasbeenextensivesuccessfulin establishingrelationshipofmutual benefitswiththeprivateschoolsby increasingtheconvenienceofthe parents,students,theircost effectivenessandbyparticipatingin othercurricularandextra-curricular activities of their partner schools Type of Relationship established: Private Schools- Advocate and Partner-The schools by establishing a long term relationship, involves the company in their other curricular activities. The company sponsors several activities and also has the provision to take old and used school bags from the school and donating the same to the underprivileged, thereby adding to the social value (Möller 2013). Their name spreads through word of mouth of their clients. Gap-The public schools have not still trusted the company fully, thereby leaving scopes in future for the company.
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7MARKETING ASSIGNMENT 2. Company Analysis 2.1 Customer Relationship Management Customer Portfolio Intimacy with the customer Developmentof Network CustomerLifecycle Management Value Proposition Development Current Customers- Private elementary schoolsinthe company’sarea of operation Potential customers- Moreschools andespecially public elementary schools Portfolio Management- Parentgroups andschool directorybody alongwiththe teachers can be simultaneously managedand opinionsfrom themcanbe implemented for Onetoone communication channelwiththe customers Understanding their demandsand incorporate changes Activewebsites andevents organization Thecompanyhas alreadyan increasingnetwork withmanyprivate schoolsandthe teacherparent bodiesaswellas with their suppliers likeCrayolaand mediatorslike CorporateExpress andothers(Nag, HanandYao 2014).Itseeksto buildlong-term relationshipwith moreprivateand publicschoolsin these areas. The company aims to builduplongterm andrecurring businesseswithits clientsby consistently improvisingand producingaccording tothechanging needsofthe customers with time Thecompany providessuper quality products to theirclients.They alsoreusethe goods by collecting theusedbags, refilling,and providingthemto the underprivileged people. TheK12andthe similar kinds can be differentiatedwith respect to sizes and differenttypesof contentsaccording to the needs of their clients
8MARKETING ASSIGNMENT successfuland longterm relationships 2.2 Industry Network FirstClassTrading Supplier Network Schoolsupplyproducerslike Hilroy, Crayole, Staedtler Corporate Express Lateral Network Competitors-Bigbox, discountstoreslikeWal Mart and Bureau en Gros, drug stores like Jean Coutu andPharmaprix,school bookstores Lateral Network Currentpartners- Boardsofseveral privateschools,parent andteachers committees,suppliers providingthe intermediate supplies to thecompany, supermarketsselling their products Potentialpartners- Publicschools,more privateschoolsand Demand side network Private schools in adjoining areas buyingtheirK12andsimilar modelsandindividualsparents buyingtheircustomizable products from designated outlets
9MARKETING ASSIGNMENT 2.3 ARA Analysis ARA Analysis Key ActorThekeyactorsintheoperationalframeworkoftheFirstClassTrading Corporation, apart from the company employees involve the private elementary school’s directory boards, the teachers and the parents committees, whose decisions and perceptions are significant for the operational framework and also for the profit prospects of the company. Key ActivitiesThe company primarily engages in designing and providing customized and organized school bags to the students, with all the necessary commodities like diaries, pencils, erasers, planners and others in it. This helps the students and the parents in the aspects of cost effectiveness as well as in terms of less wastage of time for the purpose of finding each of the commodities separately. Key ResourcesThe company obtains its supplies of school stationeries from the relevant producers like Crayola and Hilroy through Corporate Express.It also has the provision to pick up the used bags from the client schools and use them for the benefit of the underprivileged children, thereby contributing positively to the society.
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