Principles and Practices of Marketing for Gym Group
Verified
Added on Ā 2023/06/12
|11
|3823
|344
AI Summary
This report discusses the marketing mix elements, strategic decisions, and relevant theories used by Gym Group to evaluate the effectiveness of its marketing efforts. It also evaluates the changes in sales and customer satisfaction to track their progress.
Contribute Materials
Your contribution can guide someoneās learning journey. Share your
documents today.
Principles and Practices of Marketing
Secure Best Marks with AI Grader
Need help grading? Try our AI Grader for instant feedback on your assignments.
Contents INTRODUCTION...........................................................................................................................3 MAIN BODY...................................................................................................................................3 Marketing mix elements.........................................................................................................3 Reflects strategic decisions and relevant taught theories in its marketing efforts..................5 Evaluate the effectiveness of its marketing efforts.................................................................9 CONCLUSION..............................................................................................................................11 REFERENCES..............................................................................................................................12 Books and Journals...............................................................................................................12
INTRODUCTION Marketing is one of the important function of management. Each and every company needs effective marketing in order to enhance the sales of the company. There is need of following the marketing principles as they help the company to grow the business. The marketing management plays a key role in the enhancing the sales of the business organisation(Palmatier and Crecelius, 2019). This report is based on Gym Group. The company was founded by John Treharne in 2007. It provides 24*7 services in UK. The owner had long and successful history in the gym business. The first gym was opened in Hounslow 2008, after three years gym group showed great growth with receiving awards and recognition in UK market. In this report there is discussion related to marketing mix of the company as it helps them enhance marketing strategy. The strategic decisions and important theories in marketing are also mentioned in the report. The effectiveness of marketing efforts done by the company is also mentioned in the report. MAIN BODY Marketing mix elements Marketing mix refers to the tactics that help to promote the brand. It is a combination of important elements that makes the business enterprise successful. This is a tool that help brands to estimate what elements should be used to reach marketing goals and objectives. By carefully combining the marketing strategies business can ensure they have visible demand in product or service (Hopkins and et.al., 2020). The business organisation must take proper care of the combination of product, price, place, promotion, people, process and physical evidence. All these are necessary for the growth of the company and to set effective brand image. The use of all the elements of marketing mix is discussed below: ProductāIt refers to the object which business sell to their customers. It can be physical product or a service in which business deals.Product refers to the services and items the business is providing to target audience. The product of company depends on what the company do and on its main operations. In relation to The Gym group, the product is the service the group is providing in more than 200 locations in UK with gyms loads of high specs kit, timetable packed with free exercise classes and team of skilled personal trainers. The company is working in service industry and since last years they are working to enhance their quality of services that are provided to the customers.
Priceā The strategy of pricing should always match the quality and value of products which consumer easily get ready to pay. Price includes overhead costs, manufacturing costs, marketing costs and discounts.Price refers to how much service the service or product will cost. The price factors depend on many reasons like on competitors, demand, cost to produce and consumer preference (Bonaparte, 2019). In conditions of The Gym group it has 24/7 gym providing top quality gyms and expert advice at affordable rates.To compete in the market, they sometimes give discounts on their products also which assist in sales. Placeā This refers where you sell your products and services. Place always do not refer to the physical location, many firms operate through online websites, social media, telemarketing and catalogue. Place plays important role in marketing of product and service that's why finding best place is very crucial for any firm.Place also refers to from where the product or service is being provided. The components focused while choosing a place through what channels customer will find the product or service and from where it will be sold. In case of The Gym group, the company started its operations from London UK from 2007. It has now around 160 gyms with more than 6,60,000 members across all UK, branches dispersed in places like Birmingham, Kings heath, Beverly etc. THE GYM group has a large chain present of fitness centres all over UK. It helps them to reach more customers and serve their needs and wants effectively. The GYM group provides digital services to join and provide membership to the customers which is a type of promotion digitally. Promotion:Promotion refers to the planned advertising to reach company target market. A company might use campaign and other methods such as social media, advertisement, hoarding to reach more customers. The promotion components are used to establish a good promotion are the promotional message sent to target audience, medium through the promotional message is sent (DeLon and Vander Schee, 2020). The Gym group is actively participated in its promotional strategies to get recognized. The company use discount codes for students to target more young customers. The business is actively present in Facebook, Instagram and twitter to promote the brand. People-It refers to the persons who are involved in managing, marketing, designing and includes all the members of staff. The Gym Group invest huge amount on its human resource because manual operations are carried out by them. They launched training and development programs for their employees. They also provide life insurance, health insurance and various
Paraphrase This Document
Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
other policies which retain their employees(Kotler and et.al., 2019).By taking proper care of the employees a company is able to enhance their business effectively. The employees are the important part who carry on the work properly. Since last 3 years, the Gym group only hire certified trainers who help to satisfy their customers better than before. The company works on positioning their brand effectively. The company has transformed their website recently and that has enhanced their memberships. There is need of work according to the situation and bring innovation in order to keep the customers engaged in the market. They have promised to provide low-cost fitness brand. This helped the brand to capture good market share. By working on the quality of services the company is ready to beat all the competition that is present in the market. The best strategy used by the brand makes them successful and create effective picture of brand in the mind of customers. Reflects strategic decisions and relevant taught theories in its marketing efforts. Strategic decisions are the decisions that are concerned with whole environment in which business operates. It includes use of all the resources and people so that the success of company is attained. The following are the strategic decisions taken by The Gym group are as follows: Effective communication: In order to stay effective in the market and enhance their presence in the market. The use of better communication channels helps The Gym group to connectwiththecustomers.Theuseofbestmarketingstrategyalsorequiresgood communication (Swanson and Davis, 2020). Effective communication by The Gym Group helps to maintain effective relations with the customers. Transparency is essential: The Gym group believes that there is requirement of honesty in transparency in order to relate with the customers. It is seen that after covid-19 there are certain problems being observed by the customers. The gym group provide them transparent information and build trust so that the customers are loyal for the organisation. The keep on posting regular post on social media that also helps them to build loyalty of the customers and enhance marketing strategy. Adaptable and flexible:This is one of the major reason of success being observed in gym group. There is so much risk that the businesses have to overcome. By adopting new technology and giving better solution to the clients the gym group is able to carry on their business operations in effective manner (Morgan and et.al., 2019). They work on keeping your customers healthy and safe in every situation and this helps them to create good brand image in the minds.
Share Reviews and Success Stories: There is need of sharing the success stories with the customers in fitness industry. The gym group shares their review of customers that help to attract more customers. It makes customers relate with each other and the story makes them emotional. This is strategy help the Gym group to their customer base and create good emotional relations with them. The customers are also able to trust the company by getting successful stories of others. Effective user experience: The customers are sensitive and needs to get best services. By enhancing their customers journey Gym group is able to enhance the users experience. User friendly website of the company helps them to satisfy their needs and wants. The use of better digital presence will enhance the trust of the customers. All the strategic decisions taken by the Gym group helps them to carry on their activities properly. The use of right tools and techniques are necessary for the company and their success. There is need of connecting with the customers as they will help them to enhance the brand image of the business. The importantmarketingtheoriesare discussed below: STP Segmentation: It is the process of dividing the target market into specified groups. There is need of customers that vary from one another. Each and every group required better products to satisfy their needs. With this organisation must identify the target group of customers and then focus on their needs and wants (Bala and Verma, 2018). Segmentation helps to communicate the message effectively with the customers. It also helps to attain competitive edge and determine the best customers that will enhance the sales of the company there are different segmentation such as demographic, behavioural, psychographic, geographic, etc. The Gym group understands that there is need of knowing about the needs and wants of the right customers set. The characteristics of the customers are different from one another. Targeting: It can be defined as the process of selecting best group of customers. The Gym group targets the customers that are health conscious, sports centred people. The analyse the requirement of the customers on regular basis in order to satisfy them effectively. By selecting best set of customers they are able to retain them in the organisation. Positioning: It is one of the important strategy that helps to make the brand successful. It is the strategy of creating effective brand image in the mind of the customers. By creating good
brand image in the mind of customers it will have direct impact on their sales. The Gym group keep on advertising the brand with new and innovative ideas. This keeps the customers remember their name and brand (Kumar, Paul and Unnithan, 2020). They also worked on positioning their presence online so that they are able to capture more customers. By providing affordable plans to the clients they are able to enhance their presence in market. Ansoff matrix This matrix was developed by H. Igor Ansoff, published in Harvard Business Review in 1957. This tool helps marketers to analyse the market environment for future growths and opportunities. This matrix also known as market / product expansion in which various options available like entering new markets or developing new products. The detailed Ansoff of Gym group can be described as: Market penetration strategy āThis is the first and foremost strategy which is safest from all other strategies. Inthis strategy, firms use their existing products in existing market to increase their market share(Deepak and Jeyakumar, 2019). This can be done by acquire more customers, by decreasing prices, by promoting and by using different techniques of marketing. In case of The Gym group, they use loyalty points to increase their market share which help them in gaining loyal customers. They also give special offers to their customers which results in increase of sales. The Gym group makes sure that their quality of services justifies their prices which customers get agree to pay easily. Product development strategy āThis is the second strategy and slightly riskier than first one.In this strategy, firms offer new products in its existing market. This can be done by producing new variants or different segment of same products or by expanding their product lines. Firms can do research and development which helps them in understanding market situations. Firms can upgrade their technologies or they can take rights from other businesses to sell their products under their brand name. The Gym group have added many services that are now provided by professionals under their brand name. This help in generating more revenues in comparison to earlier. Market development strategyā This is the third strategy and it is equally risky as comparison to product development strategy. In this strategy, firms offer their existing products or services in new market(Hopkins and et.al., 2021). Firms can expand their reach within the domestic market or in the international market as well. They can acquire the potential customers in new
Secure Best Marks with AI Grader
Need help grading? Try our AI Grader for instant feedback on your assignments.
geographical areas. The Gym group started its operations in UK and has the opportunity to expand their operations in different markets. Diversification strategyā This is the last strategy of Ansoff which is riskier than other strategies. In this, firms offer new products and services in the new markets. This strategy mainly used by new firms or start-ups. This is slightly risky because it involves in depth research of products and markets. Evaluate the effectiveness of its marketing efforts. Marketing can be defined as the process of persuading the customers towards the brand. It helps to enhance the sales of the company. By using the principles of marketing and effective theories a company's able to achieve goals and objectives. The marketing manager of the company must have effective communication skills so that they are able to convince the customers (Hanson and Kalyanam, 2020). The key role is played by the marketing department of the company as they are supporter for the sales department in the business organisation. All the marketing efforts done must be checked on regular basis so that the effectiveness can be evaluated. There is proper analysis done by the Gym group as it helps to know the performance on continuous basis. They are able to take necessary actions for improvement by using the following parameters to check their performance. They are mentioned below: Changes in sales: The end goal of marketing department is to enhance the sales and profitability of the company. The Gym group check their progress by reviewing their changes in sales figures. This helps them to track their long term progress and monitor the delays. The increase in sales make them more confident and motivated towards the work. Return on investment:It is one of the major concern that comes on the marketing department of the company. Every company trust the marketing department to enhance the return on investment(Grewal and et.al., 2020). All the work is done by the marketing department in such a manner that they are able to enhance the overall profitability on the money that is invested. The same is being used by the gym group to check their progress. Keep on checking the return on the money invested that helps them to know how much they are marketing department is really working. Monitor progress:The marketing department of the company sets business objectives. It is a good way to monitor the progress of these strategies formulated by the business. The gym group regularly conducts evaluation of their goals so that they are able to know how much near
they have gone. It helps them to monitor the progress of the marketing department and know about their effectiveness or effectiveness while achieving the goals and objectives. By regularly tracking the performance there able to take corrective measures on the same time that will help them to attain success. Customer response and reactions: It is also another way to check the effectiveness of the marketing done by a company. The response of customers can be checked in various ways but help the complete to know about their progress. Online surveys done by Jim group and customer service feedback taken helps the update to know about the response from the customers(Appel and et.al., 2020). The good and positive feedback from the customers motivate the gym group to perform better. On the other side the negative feedback is taken effectively and the actions that will help to remove the challenge are taken instantly. It is necessary to keep track on the response and reaction of the customers in order to provide quality service to them and make them loyal towards the business. Comparison with competitors:The actions and strategies of the company competitors help to know about the success or failure. if the actions taken by the company of successful than the competitors and the sale is rising better than the marketing is effective. On the other hand, if the actions taken by competitors are better than the company then the marketing department is not working effectively and there is need of improvement(Mothersbaugh and et.al., 2020). It is analysed that the Gym group regularly keep on checking the actions of competitors and are able to attend advantage over other competitors. All the issues that are faced by competitors must also be analysed so that the company is able to take preventive measures before wards and attain success. Allthesetechniqueshelpthecompanytochecktheirprogress.Theuseofkey performance indicators makes them successful. The corrective measures by the company help them to enhance their sales.
CONCLUSION From the above report, it is concluded that marketing plays a vital role in success of a company. The main aim of marketing department is to enhance awareness regarding the brand andattractthecustomerstowardsthecompany.Themarketingdepartmentworks complementary with the sales department in order to get higher revenues and profitability. In this report, there is discussion related to the marketing mix that helps the company to reach the customers successfully and make them highly satisfied. Strategic decisions are necessary for the growth of company and the one taken by company are mentioned in the report. Afterwards, the theories of marketing that are necessary for a company are also evaluated. In the end there is discussion related to the techniques that help to evaluate the effectiveness of marketing.
Paraphrase This Document
Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
REFERENCES Books and Journals Appel and et.al., 2020. The future of social media in marketing.Journal of the Academy of Marketing Science,48(1), pp.79-95. Bala, M. and Verma, D., 2018. A critical review of digital marketing.M. Bala, D. Verma (2018). A Critical Review of Digital Marketing. International Journal of Management, IT & Engineering,8(10), pp.321-339. Bonaparte, Y.L., 2019. Sustainable outcomes of an experiential learning project in a principles of marketing course.Journal of Global Scholars of Marketing Science,29(1), pp.7-14. Deepak, R.K.A. and Jeyakumar, S., 2019.Marketing management. Educreation Publishing. DeLong, D.F. and Vander Schee, B.A., 2020. Team Role clarification: Improving student group performanceinprinciplesofmarketing.In2020MMAConference:AVirtual Experience Proceedings(pp. 51-52). Grewal, D and et.al., 2020. The future of technology and marketing: A multidisciplinary perspective.Journal of the Academy of Marketing Science,48(1), pp.1-8. Hanson, W.A. and Kalyanam, K., 2020.Internet marketing and e-commerce.(Student ed.). Thomson/South-Western. Hopkins, C and et.al., 2020. Self-efficacy, locus of control and engagement as determinants of grades in a principles of marketing class.Marketing Education Review,30(4), pp.236- 251. Hopkins,C.Dandet.al.,2021.ChangingPerceptionsofMarketingEthicsandSocial ResponsibilityinPrinciplesofMarketing.JournalofMarketingEducation,43(2), pp.244-259. Kotler, P and et.al., 2019.Marketing Management: 4th European Edition. Pearson UK. Kumar, A., Paul, J. and Unnithan, A.B., 2020. āMasstigeāmarketing: A review, synthesis and research agenda.Journal of Business Research,113, pp.384-398. Morgan, N.A and et.al., 2019. Research in marketing strategy.Journal of the Academy of Marketing Science,47(1), pp.4-29. Mothersbaugh, D.L and et.al., 2020.Consumer behavior: Building marketing strategy. New York, NY, USA: McGraw-Hill Education. Palmatier, R.W. and Crecelius, A.T., 2019. The āfirst principlesā of marketing strategy.Ams Review,9(1), pp.5-26. Swanson,S.R.andDavis,J.C.,2020.GENZ'sConceptionofMarketing.Journalfor Advancement of Marketing Education,28(1), pp.26-35.