Gymshark Marketing Report

This report analyzes the marketing strategies of Gymshark, a UK-based sportswear brand. It examines external factors, internal issues, SWOT analysis, SMART objectives, STP strategy, and the 4P's marketing mix. The report provides a comprehensive overview of Gymshark's marketing approach and its potential for future growth.

MARKETING

Executive summary
The suitable marketing measures which are been carried out by the organisation will help
in improving the quality of services and thus will lead to setting up of the operations that will
help in enhancing the performance of the organisation. The report has covered suitable Pestle
analysis, Porter's 5 force model and internal issues were discussed with assessment of SWOT
factors. Suitable STP model and marketing mix was applied which helped in developing suitable
understanding about promotional measures of an enterprise. All these measures effectively
helped in improving the quality of services and effectiveness of the promotional services which
are been carried out by the selected sportswear organisation.

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
1 External analysis using PESTLE, Porter 5 force model and internal issue..............................1
2 SWOT of GymShark.................................................................................................................4
3 Clear marketing objectives based on the SWOT following SMART criteria .........................5
4 Marketing strategy for Gymshark on segmentation, targeting and positioning .......................5
5 Marketing mix 4 P's..................................................................................................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Marketing is an activity that includes promoting of a good or service manufactured by a
business enterprise to gain good amount of revenue. It plays a very deep and crucial role in the
setting up of growth measures and raising their sales which will help in proper planning of the
operations which will help in proper rise of action plans and other activities which will help in
improving the meeting up of the business objectives and activities. The present report will cover
the marketing measures which are been presented in context of UK based sportswear brand,
Gymshark. The report will cover the details about the external competitive factors and internal
issues with a SWOT. Also, the clear market objectives are been set with reference to SMART
objectives. Other than this, suitable STP measures are evaluated along with inclusion of details
related to 4P’s of marketing mix.
MAIN BODY
1 External analysis using PESTLE, Porter 5 force model and internal issue
The sportswear industry is relatively very competitive and prone to external factors.
Analysing this external factors will help in carrying out of operations which will help in proper
planning of the services which assist in carrying out of services and thus, lead to setting up of
effective strategies and action plans (Armstrong and et.al., 2014.).
Pestle Analysis
The PESTLE analysis is as follows:
Political: This component of external environment we generally don’t see. This will help
in proper planning of the operations which will help in improving the sales and setting up of the
business operations of GymShark. The interest rates, business policies and trade laws are certain
factors which impacts the overall performance of organisation. Besides this, the import and
export operations are been managed (Pike and Page, 2014). A supportive political measures will
help in rise in performance of the organisation and marketing measures while a negative political
condition will have an adverse impact on the promotional activities of the organisation.
Economic: The fluctuation in inflation rates, GDP and currency rate are few of the major
factors that impacts the setting up of the operations and carrying up of services and development
of effective and suitable sportswear by GymShark. Placing done the prices of products as per
economic viability of a nation is also major factor that is been taken in consideration by the
organisation (Šimberová, 2014). The growing GDP will offer a positive opportunity to carry out
1

their promotional measures on international level while the lack of funding may lead to failure of
their venture.
Social: As GymShark prefer to go for the direct marketing approach in the real time as
well as through the social media marketing measures which will help in developing a
connectivity with their customers. Besides this, the awareness related to health and social care
services that will help in proper growth of sales. A positive social image of the chosen enterprise
supports the organisation to have an opportunity to carry out their promotional activities. On the
other hand, if the brand image is negative, the promotional measures will turn out to be
inadequate.
Technological: Latest innovation and effective use of social media platform is used that
will help in improving the sales and identifying the needs and demands of their customers in an
effective way. This will help in proper planning of the services that supports a good rise in
carrying out of their business marketing and sales operations (Gupta and et.al., 2015). However,
a technical glitch can impact the execution of the marketing measures of the firm.
Legal: GymShark is required to look after the trade laws and employment acts in order to
carry out their promotional activities. Besides this, trade policies of various unions are also
required to be monitored. Effective implementation of the legal firms and the regulation will
make its easy to carry out their promotional activities and other operations which will help in
improving quality of services. On the other hand, adverse legal framework will influence the
sales and may cause the downfall of marketing measures within the firm.
Environmental: GymShark is required to look after that the dyes and other materials
which are used for manufacturing of their products and services are required to be monitored.
Proper following and management of environment factors will act as a catalyst in promotional
activities. On the other hand, failing to meet any sort of environmental factors will lead to
disdaining of product promotional measures.
Porter's 5 force model
The Porter 5 Force model of the chosen organisation is as follows:
 Threat of new entrants: As the awareness related to health and personal care is
increasing, many new entrants are entering within the marketplace this will impact the
sales and setting up of the operations that will impact the sales of the organisation which
will impact the sales and setting up of operations in an effective way. As many new
2

entrants are operating within the marketplace, the profitability share and market presence
of the organisation, which means that threat of new entrants is high.
 Threat of substitution: As many entrants will be operating within the organisation, they
offer an effective portfolio of product on a reasonable price range (Asih and Asih, 2015).
This will lead to setting up of the product that can substitute or replace a product or
service offered by GymShark. Threat of substitution is not much high.
 Bargaining power of customers: high power of customers, The bargaining practices that
is been carried out within market will impact their sales and setting up of the operations
which will lead to setting up of the operations which will help in carrying out of the
services which will impact the sales and lead to carrying out of their business operations.
As the competitor firm will be offering the similar quality of product on lower price
range, customer will tend to bargain.
 Bargaining power of suppliers: Low power of suppliers, As the organisation will look
after the proper planning of the marketing operations, the suppliers are required to look
after the proper planning of the service measures which will help in improving the quality
of services and thus will lead to influence the accessing to raw material impacting sales
and purchases that are been made by organisation from their suppliers (Wang, 2016).
 Competitive rivalry: high competitive rivalry, the organisations like Adidas and Nike,
which are market leaders in sportswear products, it will possess an effective rivalry
among the organisation that will impact on the sales and offering of the products and
services that will promote the sales of their products and hence, will lead to have a deep
influence on the profitability of sportswear enterprise.
Internal Issues:
Besides this, the organisation also faces a greater risk to the absence of the organisation
which will impact the sales and overall profitability of organisation (Sanfelice, 2014.). The
absence of suitable operations and leading to setting up of operational functionality which will
impact the market share of organisations in an effective and significant manner. All the measures
related to carrying out of the promotional operation's are been analysed by the enterprise in an
effective way.
2 SWOT of GymShark
The SWOT analysis of GymShark is as follows
3

SWOT
Strength Weakness
 Contracts with logistics companies:
GymShark look after the proper
planning of the operations within the
market by collaborating with various
logistics companies which will help in
improving their sales and meeting the
customer’s needs and demands. This
will help in improving the accessibility
of organisation.
 Launching innovative products: The
form is known to launch out innovative
products and services that help them to
gain a latest customer base.
 Strong social media presence: The
effective use of social media platforms
to promote their products and services
with the collaboration of people in real
time is an advantage that draws the
growth of organisation.
 Lack of physical space: The Gymshark
is one of the leading sportswear firm.
However, the organisation is physically
present with its dedicated store. It
impacts their connectivity with the
customers and may reduce their sales.
 Complete reliability on social media
marketing: The complete reliability of
the organisation on mere social media
platform will not be enough that will
impact the operations of the sportswear
firm (Wedel and Kannan, 2016). This
will restrict the marketing or
promotional measures which are been
taken within the firm.
Opportunity Threat
 Can opt to open a physical store:
Gymshark has the high level of
potentiality to opt for the opening of a
physical approach that will help in
enhancing their sales and improve
accessibility of their products for
customers (Lee and Kotler, 2015).
 Adopt proper marketing approaches:
Besides social media based marketing,
 High level of competition: Gymshark is
susceptible towards the high level of
competition which will impact the sales
of the organisation to a greater level.
Market leaders like Adidas and Nike
will have the higher influence in this
case.
4

GymShark will also look after other
promotional measures and campaign
related to selling out of their products
and services.
3 Clear marketing objectives based on the SWOT following SMART criteria
Based on the SWOT analysis of GymShark that is been carried out above, this can be
said that the proper objectives will be carried out within the organization which will play a very
vital role in setting up of the organizational goals and improve their growth and development
measures which are carried out by sportswear manufacturing enterprise (Khan, 2014). These
objectives will be SMART in nature which will help in proper planning of the service which will
lead to setting up of the effective operational goals. The 3 operational objectives that are been
carried out by the GymShark is:
Objective 1: To open a feasible brick and mortar physical outlet store within the countries
of its operations by 2020.
Objective 2: To adopt other innovative marketing and promotional campaigning
measures by the GymShark till next financial year.
Objective 3: To improve their connectivity with their younger sports- fashion based
customers which will help in enhancing the development of high quality services and action plan
carried out by firm by end of year 2019.
All these measures will help in carrying out of the services which will help in setting up
of suitable SMART objectives which are specific in nature with measurable attributes. This will
help in carrying out by the operations which will help in setting up of the feasible and time
bounded goals that will help in growth and development of the organization.
4 Marketing strategy for Gymshark on segmentation, targeting and positioning
In advertising STP is set of framework that analysis and summarizes procedure of market
segmentation (Asih and Asih, 2015). It is one of the best tool used to find out which are buyers
within market are separate and profiled accordant to range of variables which find out market
features and characteristics.
5

Segmentation-
Marketing strategy used for Gymshark company is demographic segmentation, in this
segmentation some criteria cover which is age, family size, gender, occupation, income etc.
organization is mainly focuses on younger people in marketplace and manufacture their products
according to their needs and requirement. They are targeting those customers whose lives
revolve around fitness, company segmented based on it. Organization need to start exclusive
brick and mortal physical stores within nation, they want to target customer according to it.
Targeting-
Gymshark target group of customers based on segmentation which includes in marketing
strategy. In segmentation company focuses on younger people and target those whose age is
between 18 and 25, these target people's lives go around fitness (Gupta and et.al., 2015). As
outcome, grouping clients is refers to its characteristics is essential, information for organization
to effectively target a segment of market. Targeting include customers preference, comfort zone
and other thing which is very important to understand before selling into market. Company adopt
innovation marketing and advertising campaigning which helps to reach at target customers or
group of consumers.
Positioning map-
Brand aligning is very important strategic decision aboard brand pricing of product. In
simple words, brand pricing have influence on Gymshark positioning and market reputation.
Company fitness clothes are designed for comfortable and cool workout apparel and permit
customers for ultimate performance. They will be capable to attract customers more than the
others, it builds their position at high level and generate more revenue.
The proper setting up of the activities which are been taken in consideration by the
Sportswear service provider Enterprise which will help in carrying out of services that leads to
carrying out of promotional measures in an effective way. All these measures will lead to rise in
setting up of the goals and objectiveness of the organization (Domegan and et.al., 2016). They
need to improve connectivity with its younger sports and make effective plan for it which is
beneficial for business growth and success.
5 Marketing mix 4 P's
Marketing mix is important tool used to understand what services and products offer by
any firms and how to program for successful goods offering.These are the four key elements that
6

will be allied to effectively adoptive and promote brand incomparable value, and also help it
stands out form business competition (The 4P's of Marketing Mix, 2018). These tool has been
used to help Gymshark and also used to improve their position and to increase business growth
and market share.
1. Products- Product is the first element of Marketing mix tool, it can be either intangible
facilities and tangible product that fulfills the demand or need of customers. Gymshark is
fitness apparel and accessories brand, they manufacture fitness clothes and accessories
and other things for their customers, company produce leggings for women (Khan, 2014).
Women's Gymshark leggings is more comfortable than the other brands, it fits on body
like second skin. It will not be so tight that creates dreaded muffin top. Leggings should
be never look loose and bag in knees, is one of the best leggings brand that manufacture
clothes according to consumers needs and meet with clients satisfactory level.
Organization used soft material for producing clothes that does not harm the skin.
2. Price- Price is amount that clients will pay if they need to obtain service or products.
Once any company will understand and manufacture goods for targeted group of clients
the next stage is to make pricing decisions (Domegan and et.al., 2016). Gymshark set
their fitness accessories and clothes prices according to economic conditions within the
country. Organization set the best prices on each of their goods within focusing on
quality which is one of the reason attract customers towards them rather than the other
brands, it helps to improve company position in marketplace and generate high revenue.
3. Place- Place is the element of marketing mix, it includes all those activities to make
goods available to target unit of consumers. Placement strategy permit Gymshark to
identify what is the best appropriate channel for their product. Organization offer their
fitness clothes or accessories via mall. With the help of mall shops firm distribute
products and garb the attention of people that will helps to increase their profit and also
increases market share, Gymshark do not sell their goods via wholesale.
4. Promotion- Promotion of products is one of the most difficult and challenging task in
marketing mix plan. It includes various activities like television, Newspaper, social media
etc (Lee and Kotler, 2015). Gymshark promote their goods or brand via social media
which is one of the best promotional tool that helps to promote products all over the
world and maximize profitability and productivity.
7

CONCLUSION
On the basis of the evaluation process that is been carried out by the organization, this
can be said that the proper handling of the operations which are carried out will help in proper
planning of the operations which will help in proper planning of the services related to
marketing. Effective Pestle is been carried out with Porter 5 force assessment and identification
of internal issues that are been faced by the organization. Besides this, will help in carrying out
of the superior setting up of the operations which will lead to carrying out of the evaluation
process. Besides this the feasible objectives and STP strategy is explained. Also, the proper
planning of the marketing mix measures are been discussed and evaluated which will help in
suitable rise in functionality of the marketing operations.
8

REFERENCES
Books and Journals
Armstrong, G. and et.al., 2014. Principles of marketing. Pearson Australia.
Asih, S.M. and Asih, S.K., 2015. Marketing Strategy Implementation in Developing Sharia
Tourism in Indonesia. International Proceedings of Economics Development and
Research. 84. p.133.
Domegan, C. and et.al., 2016. Systems-thinking social marketing: conceptual extensions and
empirical investigations. Journal of Marketing Management. 32(11-12). pp.1123-1144.
Gupta, A. and et.al ., 2015. Clinical trial management of participant recruitment, enrollment,
engagement, and retention in the SMART study using a Marketing and Information
Technology (MARKIT) model. Contemporary clinical trials. 42. pp.185-195.
Khan, M.T., 2014. The concept of'marketing mix'and its elements (a conceptual review
paper). International journal of information, business and management. 6(2). pp.95.
Lee, N.R. and Kotler, P., 2015. Social marketing: Changing behaviors for good. Sage
Publications.
Pike, S. and Page, S.J., 2014. Destination Marketing Organizations and destination marketing: A
narrative analysis of the literature. Tourism management. 41. pp.202-227.
Sanfelice, G., 2014. Hit with one shot: assessing the drivers of target marketing
effectiveness. Knowledge and Process Management. 21(2). pp.143-148.
Šimberová, I., 2014. Company strategic marketing management–synergic approach and value
creating. Acta Universitatis Agriculturae et Silviculturae Mendelianae Brunensis. 58(6).
pp.543-552.
Wang, C.H., 2016. Integrating correspondence analysis with Grey relational model to implement
a user-driven STP product strategy for smart glasses. Journal of Intelligent
Manufacturing, 27(5). pp.1007-1016.
Wedel, M. and Kannan, P.K., 2016. Marketing analytics for data-rich environments. Journal of
Marketing. 80(6). pp.97-121.
Online
The 4P's of Marketing Mix. 2018.[Online].Available
through:<https://www.purelybranded.com/insights/the-four-ps-of-marketing/>
9

10