Marketing Strategy for Tribute Ltd

This assignment analyzes the effectiveness of different marketing strategies for Tribute Ltd, a company specializing in music and events related to the legendary musician, Jimi Hendrix. The report emphasizes the importance of nostalgia marketing to attract senior citizen audiences through live concerts, merchandise sales, and online platforms. It also recommends utilizing retail outlets and venues where Hendrix previously performed to maximize product reach.

Case study
1

Table of Contents
INTRODUCTION................................................................................................................................3
TASK 1.................................................................................................................................................3
Critical evaluation of the senior citizen music market, explaining nostalgia marketing and role of
internet..............................................................................................................................................3
TASK 2.................................................................................................................................................4
(A). Spreadsheet with the formula....................................................................................................4
(B) Graphs representing ‘% of total’ and ‘% of total profits’...........................................................5
TASK 3.................................................................................................................................................5
(A). Analysis of the results from the combined data set and assessing the interest of customers in
music.................................................................................................................................................5
(B). Meaning of biasness and assessing its implication for the conducted survey...........................8
(C) Methods to improve data collection...........................................................................................9
TASK 4.................................................................................................................................................9
(A). Median age group to buy and listen to the preferences of new age group................................9
(B). Cross tabulation.........................................................................................................................9
(C) Interns survey results in terms of suitability............................................................................10
(D) Best test to find out a meaningful data.....................................................................................10
TASK 5...............................................................................................................................................10
REFERENCES...................................................................................................................................12
APPENDIX........................................................................................................................................13
2

INTRODUCTION
In the British economy, music industry depicts a rapid and fast growing because people love
listening music and songs to satisfy their entertainment requirement. Looking to the recent
published reports, the total contribution of the music industry has been reported to 4.1 GBP million.
Composers, lycricts, song writetrs, music players and others make the biggest contribution to the
total revenues of the music sector worth 2 & 2.7 million. The current project assignment
emphasizes upon a small business unit operating in the music world, named Tribute Ltd. The
company aims at boosting the tribute work and looking to recently recruit Jonnie who plays music,
write songs and compos music. Company has approached him as a tribute artist of the famous and
popular singer, named Hendrix. In the earlier time, he was awarded with the many prizes in the
music world for the best music songs written and outstanding performance. The research report
aims at identifying and examining the desires and expectations of the British senior citizens towards
music. It will examine the usefulness of nostalgia marketing for the promotional plans of the Tribute
Ltd whether it will be helpful or not to drive crowd to the business. Moreover, secondary data
regarding sales and profitability will be analyzed to devise plans for the effective logistic &
distribution channel. Apart from this, distinctive statistical techniques will be utilized for the
purpose of making rationalized & informed business decisions.
TASK 1
Critical evaluation of the senior citizen music market, explaining nostalgia marketing and role of
internet
Now-a-days, marketing plays a great role in driving high customer base through attracting
and motivating them to come and demand the business offerings. Looking to the music world, in the
today’s period, music companies make use of the nostalgia marketing practices where they pays
larger focus to the previous memories that embark an strong memorable image in everyone’s mind,
thus, it can be used by Tribute Ltd to encourage people by reminding Hendrix’s outstanding played
through Jonnie’s music performance, songs and guitar play (Rutter, 2016). With this, senior citizens
can be highly attracted towards the business because senior aged people beloved the Hendrix’s
music. Thus, it can be said that by incorporating and applying the nostalgia marketing under the
promotional strategy, Tribute Ltd can drive crowded audience to the firm, which in turn, maximize
its sales, profitability and competitive benefits to a substantial extent. Senior citizens will consider
Jonnie’s music acts as a tribute to the iconic and phenomenal music player, Hendrix and will be
desire to watch his play, listen his songs and live performance (Nostalgia marketing, 2016). It will
3

remind people and energize them by the outdated memories of Hendrix and encourage them to buy
Jonnis’s CDs, music, guitar and so on.
In the technological era, online-operations like website marketing, e-mail marketing, social-
media marketing and others gains a considerable importance in the music industry. It is because, it
provides flexibility to the customer, where, they can order online and receive the goods offered at
their home (Cloonan, 2016). Thus, it is considered advisable to the Tribute ltd to design official
website where senior citizens can update themselves about the performance of the Jonnie and watch
his performance, guitar played, live music performance & others through a multi-channel i.e.
facebook, Youtube and others. Statistical reports also evident the significance of internet in the
marketing operations for the music industry, as per this, about half of the revenues of the industry
comes from the online operations and it is continuously growing which clearly shows the rising
interest among the senior citizens towards online buying (UK Music industry, 2016).
TASK 2
(A). Spreadsheet with the formula
As per the case, presently, Jonnie offers his music to the consumers in a CD format which
require a cost of 2GBP/CD. However, under the distribution channel, it use multi channels such as
complimentary, web order, mail, retail, Brighton pubs, general and site of live concerts. Here, % of
total, estimated profit and % of total profit has ben computed using following formulas:
% of total: Number of CDs sold by Tribute Ltd through independent channel/Total CDs sold
Estimated return/profit = (Units sold*price/CD) – (2GBP * units sold)
% of total profitability = Estimated profitability at independent location/Total profitability
Calculations made in Appendix 1
4

(B) Graphs representing ‘% of total’ and ‘% of total profits’
Complimentary
General
Mail Order
Web order
Concert performance
Retail
Brighton Pubs
-10.00%
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
% of total
% of total profit
Analysis & interpretation: Above column graph presents that Tribute Ltd gained largest
amount of sales as well as return to 51.44% and 42.43% from the CDs offered at retail shops. It
indicates that maximum number of senior citizens has buying preference to purchase music
CDs from the retail outlets. However, at the Brighton pubs, total sales was reported lowest to
1.51% at a return of 1.66%. In contrast, although, at the complimentary, because CDs were
given to the citizens free of cost, therefore, Tribute Ltd suffered 0.75% loss. On the other hand,
after retail outlets, majority of the consumer bought CDs from the places where live concerts
has been performed by Jonnie because data reported total sales & return of 28.79% and 39.57%
at these places. Other channels that are mail ordering, website ordering and general figured out
the sales of 3.49%, 4.67% & 7.38% whilst, % of total return were computed to 3.84%, 5.13%
and 8.12% respectively. Thus, from the outcome, it is considered better to advice Tribute Ltd to
use retail and concert performance sites to maximize sales.
TASK 3
(A). Analysis of the results from the combined data set and assessing the interest of customers in
music
It is on referring to the information displayed in appendix 2 where the given situation of
Tribute has showed a field observatory technique to observe two distinct set of audience at two
different places that is a theatre and shopping mall (D'Rozario, 2016). It was done with the help of
primary data collection where the reviewer tried to identify the opinions, familiarities, feelings and
interest of the individuals towards Jonnie’s live performance by not asking any queries to them.
5

The above data represented 41 individuals enjoyed 2 minutes performance given by Jonnie's
in the mall. Whereas, in theatre, there existed nearly 19 people who duly approached Jonnie after
attending his performance. Consequently, there were total 60 audiences found out of 156 who were
duly fascinated from such live concerts.
6

Analysis & Interpretations: The above chart has illustrated a consolidated data of both the places
where Brighton mall represented more individuals aged 61-75 years with an analogous ratio of
elderly audience in the theatre. It specified more interest of elderly aged people in such live music
concerts.
7

Analysis and interpretation: Above are the combined results of both the places where in Brighton
mall, there were 38% males in comparison to 62% females. Wherein the theatre, there were 42%
males found in association of 58% females. Lastly, on integrating this data, there existed total 39%
of males with a dual presence of 61% females.
(B). Meaning of biasness and assessing its implication for the conducted survey
Biasness is a distorted assessment of obtained facts and findings that resultantly leads to
generate unsuitable consequences. It is hereby with reference to the current case of Tribute, a field
observatory method was depicted at two distinct places with a distinct set of behaviour by the
performer named Jonnie (Lawler, 2014). It was together in support of distinct observatory
measures that in turn indicated biasness. In addition to which, a divergent duration was accepted to
monitor that resulted in more mass of audience in the theatre in comparison to mall.
8

(C) Methods to improve data collection
Field observation method is referred to be the best measurable tool for Tribute Ltd with
similar nature of the chosen locations and at a similar span of time to avoid any sort of biased
outcomes at the end.
TASK 4
(A). Median age group to buy and listen to the preferences of new age group
Median table created in Appendix 3.
The above illustrated pie chart has is with a clear representation of both purchase and
listening preferences of people young at heart and senior citizens. It is where the young aged
audiences largely preferred to buy CD’s and music albums from retail stores by not giving
preference to mails and smartphones. With a similar context to which, the older group have largely
preferred an active existence of retail outlets for purchasing CD’s and music albums in comparison
to mails and smartphones (Strong and Greig, 2014).
The listening choices of both of these groups have depicted a very desirable consent of
young audiences to listen songs in radios and CDs with a less approval of listening cassettes and
live performances. Contrary to which, the elder citizens are more preferred to listen to radios and
cassettes with fewer approval to live performances and CD's where they have entirely disagreed to
the concept of online music. On thus combining this data, it has been found that both CD’s and
radios are mostly preferred by both set of audiences.
(B). Cross tabulation
It is on referring to the illustrated data of appendix 4 that reflected a calculative cross
tabulation method, no deviance was found in the buying preferences of senior citizens and
audiences classified under young at heart.
9

(C) Interns survey results in terms of suitability
In terms of the results created by the surveys conducted by the interns, there existed a huge
number of individuals who are in support of retail outlets for buying CD’s and music albums, etc.
However, very less number of individuals has preferred smartphones and mails, etc., with an
equivalent thought of elder citizens (Neville, 2015). Likewise, both live performances and retail
stores were similarly desired by both the groups whose analysis was done via cross tabulation
method. On which basis, no such variation was detected in the buying preference of audience young
at heart and older citizens.
(D) Best test to find out a meaningful data
This section is to apply the best test to obtain a significant data to ascertain any difference
among the buying preference of young age individuals who are young at heart and old citizens. In
context to which, Chi- square method is referred to be the most suitable one.
TASK 5
To: BOD of Tribute Ltd
From: Financial specialists
Date: 21th April 2017
This investigation has produced some vital data with an existent role of nostalgia marketing.
It is where this particular concept of nostalgia in marketing has showcased some fruitful
results to Tribute Ltd. It is where such type of marketing is apparent to link with an
optimistic intent of the organisation where they will assist the consumers to recall some
strong memories with the help of Hendrix’s events. Wherein, he is famously known as iconic
guitarist who together plays outstanding music. Such concept of marketing is together known
to raise the comfort of the elderly groups with a high level of excitement in them (Khamis
and Khamis, 2016). A nostalgic marketing is together marked to impulse new variety of
promotions to attract millenarian old aged audiences. It is however to purchase the collected
music of Jonnie by together attending his live performances. Similarly, it is also important
for such artists of today's modern era to endorse their songs through internet where they can
refer to use numerous platforms to drive the millenary traffic to conquer better achievements.
Despite of this fact, it has been found that the retail shops along with the concept of live
concerts plays a significant role in prioritizing the preferences of senior citizens to purchase
music and CD's from the stores. Lastly, there was no indication of differentiation in the
purchasing preferences of persons who were categorised as young at heart and aged citizens.
10

CONCLUSION
Above project report concluded that Tribute Ltd must use nostalgia marketing under
the promotional plan to remind the earlier memories of the best performance played by music
legend, Hendrix. It will be prove really the best strategy of marketing to attract larger number
of senior citizen population for the live performance, music, guitar and songs of Jonnie, and
maximize total turnover and net earnings as well. Further, firm is suggested to utilize internet to
provide flexibility to the consumer for buying the music CDs and albums. Besides this,
secondary data analysis tapped that retail outlets & venues where Jonnie has played the guitar
and music gains top buying preference among senior citizens, hence, Jonnie’s music CDs,
albums and other products must be offered through these two channels. In the end, there was no
indication of differentiation in the purchasing preferences of persons who were categorised as
young at heart and aged citizens.
11

REFERENCES
Books and Journals
Cloonan, M., 2016. Popular music and the state in the UK: culture, trade or industry?. Routledge.
D'Rozario, D., 2016. The market for'Delebs'(dead celebrities): A revenue analysis. Journal of
Customer Behaviour. 15(4). pp.395-414.
Khamis, S. and Khamis, S., 2016. The ironic marketing of heritage and nostalgia: the branding of
Bushells tea, 1983-c. 1990. Journal of Historical Research in Marketing. 8(3). pp.358-374.
Lawler, S., 2014. Heroic workers and angry young men: Nostalgic stories of class in
England. European Journal of Cultural Studies. 17(6). pp.701-720.
Neville, P., 2015. Nostalgia and Titanic commemorations in Cobh, Ireland. Irish Studies
Review. 23(3). pp.292-309.
Rutter, P., 2016. The music industry handbook. Routledge.
Strong, C. and Greig, A., 2014. “But we remember when we were young”. Volume!. 11(2). pp.192-
205.
Online
Nostalgia marketing. 2016. [Online]. Available through: <
https://www.searchenginejournal.com/nostalgia-marketing-works/134771/>. [Accessed on
21st April 2017].
UK Music industry. 2016. [Online]. Available through: < http://musically.com/2016/01/06/uk-
music-market-2015-bpi/>. [Accessed on 21st April 2017].
12

APPENDIX
13

14