Marketing Plan for Disrupt Sports: Competitive Assessment and Digital Marketing Communication
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This report is conducted for developing the marketing plan for the disrupt sports business. It includes competitive assessment, SWOT evaluation, target audience, marketing mix strategy, campaign evaluation, and budget allocation. The report also evaluates various digital marketing communication approaches for Disrupt Sports.
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MRKT20052: Marketing Management and Digital Communications Term 2, 2019 Assessment 2:Marketing Plan <<Disrupts sports>> <<Insert your name and student number>> Submission date: <<Insert assessment submission date here>> Word count: <<Insert your word count here>> Campus (tick one): MELSYDBNEDSTOther (write): ____________
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Executive summary This report is conducted for developing the marketing plan for the disrupt sports business. in this report the competitive assessment is done for identifying the competitive position of sports equipment’s in market. SWOT evaluation is conducted for assessing the internal and external conditions in context of disrupt sports. The target will be the young people for selling the products to customers. the various approaches are adopted in the marketing plan which are related to campaign regarding social media , placement, earned media and paid media. It is effective for the business to achieve competitive advantages. The implementation of various digital marketing communication were evaluated for disrupt sports like e-mail marketing, social media management and content marketing. It is analyzed that the monitoring and controlling tool is effective for the growth and increasing the revenue and satisfying the needs of customers.
Introduction Disrupt sports is a business that deals with sports equipment. It is a sports industry that provides goods with disruptive technologies and forward-thinking. It was founded by Gary Elphick in 2014. The main aim of founder is to provide customized sports equipment.He had grown his business with his team by expanding the product line from surf to skate. Their belief is that in sports equipment every individual has different needs and does not want to buy mass-produced gears as they do not suit them. He had started with the innovative idea for living, creating and innovating the equipment(Kotler, 2006). They design the sports gear in a unique and meaningful design. They think of individuality power and with the help of sports they want to celebrate creativity. The product categories which are available for customization are Disrupt surf, disrupt skate, disrupt snow and disrupt yoga. Disrupt sports manufacture the equipment’s on-demand. Situation analysis In any business, it is necessary to analyze the situation and position of the business in the market. Situation analysis includes the analysis of 5C’s which includes the customers, company, competitors, collaborators, and climate. SWOT analysis of disrupt sports SWOT-analysishelpsinanalyzingthemarketsituationofdisruptsports.Strengthsand weaknesses include the internal environment and opportunities and threats help in analyzing the external environment. Strengths The strengths are customized equipment according to the customers’ requirements. They have an excellent sales staff carry full information and knowledge about the products. They always try to maintain good relationship customers and internal communication with the employees. Disrupt adopts successful marketing strategies for promoting the brand in market. They provide a high quality of products to customers(Wu, et al., 2010). Weaknesses
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The weaknesses of the Disrupt sports business is the competitive disadvantages which the company has in the Australia market. They have a small portfolio of sports concentrated in a few categories for customizing sports products. Disrupt sports deal in limited and only local distribution networks and require huge resources in stock to customize the products(Pope, et al., 2009). Opportunities Disrupt sports company has similar products in the market. They have an opportunity to build loyal customers. disrupt sports has an opportunity to satisfy the number of customers as per their needs. they can analyze the market condition for analyzing the growth opportunities. It is a trend in the market to purchase customized products(Wu, et al., 2010). Expansion is the option to disrupt sports. They can start the partnership and alliances with the sports companies and brands to produce the products on demand according to the needs of customers. Threats Disrupt sports business and products have a threat to competitors. It is necessary for the business to build the confidence of consumers towards sports products. Updated and new technology is a threat to the company and the economic conditions. Analyze the market conditions of different markets. It is required to analyze the needs of global customers. PESTEL Analysis of Disrupt sports Strategicmanagementisessentialforeverybusinessasitreferstoanalyzethemacro- environmentalfactorsitincludesthepolitical,economic,social,technological,legaland environmental factors. Political factors Any business revenue and profitability are affected by government policies. Policies include the rules and regulations which impact the economy, buying behavior of consumers and the laws for international trading. Disrupt sports deliver the products globally and provide free shipping all over the world. but they have to follow the rules and regulations to manage the business in
Australia. Every country has its own political regulations which include the import and export od the products. Economic factors Economic factors include the impact of economic forces on the success of the business. it includes the macroeconomic factors like interest rate, exchange rate, inflation rate as these affect the business and the economic cycle as it helps in analyzing the aggregate demand and investment in the economy. Economic factor in disrupt sports includes the growth rate, inflation and the economic rate(Williams, 2006). Exchange rates must be considered for delivering the products from a host country to government intervention in the services related to customers and the free market. Social factors Social factors include the behavior of consumers as consumers attracted to the product with brand awareness. It is necessary for the business to create brand awareness in the market. The reference of the customer changes with time and it is required to fulfill the needs of the customers. Market research is important to analyze the preferences of the customers. it is necessary for business to collect feedback from customers when delivering the products online to customers globally. Technological factors Technological factors include the way of producing, distributing and creating awareness of the products and services. It includes the adoption of the latest technology for producing the productsandcommunicationinfrastructure.Theanalysisofcompetitors'technologyand development helps the business is growing by adopting effective technology. It is analyzed that the technology impacts offerings the products in market(Kaura, et al., 2015. In providing the services to customers, it impacts on the value chain structure of the company. Environmental factors Environmentalfactorsincludemaintainingenvironmentalstandardsinthebusiness.itis necessary for a business to consider the weather conditions, laws for regulating pollution,
attitudes towards and supporting renewable energy. It is necessary to consider the environmental factors of recycling the products(Kotler, et al., 2015). Legal factors In Australia, the legal environment is easy for companies to expand their businesses and run the business effectively. It is necessary to disrupt sports to provide and follow the rules and laws which are related as it will help in avoiding the legal compliances within the country. Competitor’s analysis Threats of new entrants In Australia, the threats related to new entrants are relatively very high. A new entrant comes with innovative and implements new techniques for sports equipment.it creates the complexities for the disrupt sports products. The adoption of low-cost strategy by new entrants can decrease the sale of the business. it is necessary for the company to create strategies for reducing obstacles and creating effective strategies for protecting the edge of rivalry(Kotler, et al., 2006). Bargaining power of suppliers In the sports equipment industry, there are various companies that supply the equipment. it is analyzed that the suppliers reduce the margin for the leading positions. In the leading position, the suppliers can reduce the margins. It is required to adopt the practice of an effective approach in the business. Bargaining power of Buyers It is easy for buyers to Disrupt sports equipment to switch to different suppliers. It helps in creating the weaker force regarding the bargaining power of the supplier. The bargaining power of buyers is considered weak in sports retail industry(Wu, et al., 2010). The Threat of Substitute products Sports equipment is available in market and the substitutes of the sports equipment are not available in market for customers.
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Rivalry among the competitors In the sports customization industry, the competitors are coming with new and innovative products for attracting and purchasing the products. It is necessary for the business to reduce the various costs for reducing the prices of the products. Competitors are offering products at low prices. In order to grow and become a market leader, it is required to achieve a competitive position in the market(Goi, 2009). Customer analysis Disrupt sports deals in the sports equipment, the target segment of the business is the young people.Youngpeoplearemoreattractedtowatersports.Segmentation,targeting,and positioning of the business in the market Types of SegmentationSegmentation CriteriaDisruptSportstarget segment GeographicRegionAustralia DensityRural/Urban DemographicAge16-80 GenderMale and female IncomeMiddle and Low OccupationWorkers,students,and employees BehavioralBenefits soughtTime-efficientandcost- efficient people Degree of loyaltySwitchers and Hardcore loyal User StatusInvolvementinsports activities PsychographicLifestyleMoreadventuresand involvementinsportslike surfing. Social ClassEach type of society
In order to attract the customer, the targeted time and money is a significant strategy for the marketing of the Disrupt sports business. it is necessary for making and opening the outlets in other locations by analyzing the market where the water sports equipment is required by the customers. It is beneficial for the company to focus on a high amount of customers for attaining competitive advantages in the market(Rafiq and Ahmed, 2000. Problem statement The product will face the problem in the Australian market to create positioning and attract the customersasitistime-consumingfororderingandcustomizingtheproductasperthe requirement of the products. The prices are high or the customized products so the consumers will choose the product from other retailers according to their requirements(Heslop and Nadeau, 2010).It is essential to analyze the market before entering into the market for introducing the product and analyze the effective marketing strategy and promoting the product. Objectives In the marketing plan to disrupt sports, the main objectives of the business can be to adopt effective strategies. Specific: The main aim of the company is to enhance the market share of the business in Australia by 10%. Measurable: The revenue can be enhanced by the company by 20% until the end of 2020. Attainable: the aim of reaching the goal of the business on the basis of technological medium. Realistic: Disrupt sports can aim to expand the business by the sale of 5% till next year. Time-bound: Disrupt sports are planning for improving their loyal customer base by 12%. Marketing mix strategy The marketing mix includes the set of actions that helps in promoting the brand and product in the Australian market. 4 Ps, include the product, promotion, price, and place.
Product – the products of the disrupt sports include surfboards, bikes, yoga mats and fitness equipment, snowboards, and TT tables and many more other sports equipment. Customized sports equipment is available or customers to use for sports activities. Sports equipment requires the high gear products and business has a plan to have control over the environment of customers so that they can display the products to customers effectively. wide range of products in the portfolio. Price- Sports equipment is highly sensitive in prices and it is necessary for the business to consider the competitive pricing strategy to grow in the domestic and global market. In the Australian market, the prices of the disrupt sports products are slightly high in pricing strategy because of the customization of the products. It is required to change the current competitive pricing strategy with the new low-cost pricing strategy for attracting the customers(Cravens and Piercy, 2006). Place: Disrupt sports business has outlets in the Australia market and provides the service for delivering the products globally with the free shipping cost. they can plan to expand the business by opening the outlets in foreign countries with the help of adopting the strategy of the strong distribution network in the market. The use of effective supply chain will be beneficial for the company for distributing the products in Australia. Promotion: Disrupt sports business can use different promotional tools for promoting the product with the help of sales promotion, advertising, personal selling, and the latest strategy is digital marketing. It is required in business to focus on content marketing and also the contest based marketing(Hair, et al., 2008). With the implementation of 4 P’S marketing strategy effectively, the challenges which the business can face in the market can be analyzed. It is necessary to implement effective strategies in order to bring new ideas and products in market. A business must focus on the technology and the operations of the firm to have better control of the business operations. Campaign evaluation For effective marketing, it is necessary to do campaign evaluation which includes the objectives evaluation on the basis of the metrics like increase in sales, return of investments, decrease in the
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number of errors while customizing the products. Social media campaign strategy can be adopted by the company as it is a technique which includes the paid media designing, owned media designing, earned media and social listening plan.Monitoring and controlling of the campaign is necessary as the feedback and return on investment is required to analyze the market position (Australia, 2008). By gathering feedback from the customers, it can be used as a tool to gain an understanding of the real condition about the business and help in analyzing the customer response about the products. Return on investment is an effective approach as it helps in evaluating the inflow and outflow of cash. It helps in analyzing the need for the money to spend on particular areas for achieving the objectives in the market(Goi, 2009).Search engine optimization is an effective tactic that helps in depicting the content on the websites. the website must be creative and information must be available for the customers. Budget allocation For the expansion and development of the product in Australian market, it is necessary to allocate the budget efficiently to make the proper use of money and planning the costs. It is necessary to estimate the cost of the development of products and services. It is necessary to allocate the budget for promotion of the product in market. The budget is required to be allocated in online and digital marketing effectively by attracting potential customers for purchasing the sports equipment. A contingency budget is required to purchase the products for customizing sports equipment and personnel. The promotion of the product's direct marketing technique will be beneficial for the business. Conclusion In order to conclude the report, disrupt sports can expand their business easily in Australia as they provide customized products to customers for their satisfaction and comfortability as they provide the customized equipment as per their size. The objective of the business is to enhance sales in the global market. It is analyzed that the internal and external environment is efficient in the business and the issue which they can face is the increase in global competition. The target segment of the business is young people and sportspersons. They can adapt the strategy for growth and development by motivating the people to adopt the sports activities in daily life. The behavior of the customer towards the business is the high involvement behavior and customers
prefer to have highly customized products as per their requirements. With the reduction in pricing strategy they can attract more customers globally and can promote the products globally by using various promotional strategies.
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