E-Marketing of AV Direct: A Comprehensive Marketing Report

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This report provides a comprehensive analysis of AV Direct's e-marketing strategy. It begins with a situation analysis, including a company description, history, industry overview, and competitive landscape. The report then delves into PEST and SWOT analyses to assess the political, economic, social, technological, strengths, weaknesses, opportunities, and threats affecting the company. Following this, the report outlines marketing objectives, strategies, and a creative approach discussion, including design and message considerations. A media plan is proposed, along with research into media costs and a budget template. Finally, presentation ideas and references are included to complete the analysis and recommendations for AV Direct's e-marketing efforts. The report emphasizes the importance of a strong online presence and B2B marketing strategies for the company's success in the hospitality industry.
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Running head: E-MARKETING OF AV DIRECT
E marketing of AV Direct
Name of the student
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E MARKETING OF AV DIRECT
Table of Contents
Task 1:.............................................................................................................................................2
Situation analysis:........................................................................................................................2
PEST Analysis:............................................................................................................................4
SWOT analysis:...........................................................................................................................7
Competitive Strategy:..................................................................................................................9
Positioning:..................................................................................................................................9
Unique selling point:..................................................................................................................10
Opportunities:............................................................................................................................11
Summary and findings:..............................................................................................................11
Task 2:...........................................................................................................................................12
Objectives:.................................................................................................................................12
Task 3:...........................................................................................................................................13
Strategy:.....................................................................................................................................13
Summary:...................................................................................................................................16
Task 4:...........................................................................................................................................17
Creative approach discussion:...................................................................................................17
Design Message:........................................................................................................................17
Create media plan:.....................................................................................................................17
Research Media costs:...............................................................................................................18
Budget template:........................................................................................................................18
Presentation ideas:.....................................................................................................................19
References and Bibliography:........................................................................................................20
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Task 1:
Situation analysis:
Company Description:
AV Direct, an Ireland based company, has supplied over 8000 products, which can be
divided into different categories, for instance, catering, chemicals, hospitality, janitorial,
industrial packaging and packaging disposables. Some examples of products that the country
provides under those different categories are cookware, kitchenware, skincare, crockery and
bubble wrap. The company also provides services like cleaning, washroom, sanitary and floor-
care (www.avdirect.ie. 2018). However, recently, the company is conducting a brand analysis on
Utopia and Genware. It also offers discounts on its entire products and services and this discount
varies from customer to customer. Their chief customers are different business entities, who
provide hospitality facilities.
History:
The company, which was initially formed as a Packaging Company in 1995 to perform a
part time business, has expanded gradually. In 1998, the company started its full time business
and with rapid growth, the company has gradually expanded its firm size over the year and in
2012, the company has built its own showroom with some accommodations (Committed to
excellent service 2018). The company supplies its products in each part of Ireland while their
products have been earned huge demand from some counties, like Louth, Cavan, Dublin and
Monaghan.
Industry:
The company operates its business under hospitality industry, where it is known as the
supplier of hospitality, chemicals, packaging disposables and catering products. AV Direct offers
wholesale services to other industries through their business-to-business (B2B) operations.
Hence, their chief customers are schools, hotels, restaurants, hospitals and some public sectors,
which provide amenities in Ireland. As the major concern of this company is to supply Utopia
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and Genware, where these brands supply tableware, glassware, and other materials related to
catering, AV Direct tries to serve those items in different hotels, pubs and restaurants.
Competition:
Ireland has some well-known hotels, restaurants and pubs like The Winding Stair,
O’Neills at Dublin, which in turn have helped the county to boost up various companies that
supply products, related to hospitality. Therefore, the AV Direct has strong competitors like
Nisbets, Hugh Jordan, Easy Equipment and Brennan Catering Supplies and Galgorm Group,
which supply similar products, for instance, different brands of catering equipments like Utopia
and Genware, which have higher demand in market. Thus, to compete in the market, the
company needs to apply some critical success factors to make a proper business plan. The
principle tool of this company is to maintain customer’s satisfaction through serving products
with best qualities along with best services from the company, which needs to be incorporated in
their business plan.
Under the proposed plan, the company needs to build a proper budget statement, which in
turn, can help AV Direct to take further business decision. Lack of proper budget statement can
adversely affect this specified company to adopt any new business strategy. Thus, it is essential
for this business company to maintain proper budget with the help of some efficient budget
planners for long-term profitability, competitiveness and sustainability.
To develop business in domestic markets, the company should increase its resources to
maintain customer’s satisfaction through quick service and on time delivery. As the company is
operating in the market for 20 years, it can adopt competitive advantage and economies of scale
to sustain over there. By providing on-time delivery facility, the company can capture a large
share of market through huge numbers of customers. Hence, the company, trough purchasing
more delivery vans, hiring more skilled laborers and warehouses, can increase its services in the
market, which in turn, can help the company to compete with others. As the chief business of this
company is to deliver various products to other companies, those factors are main resource of
AV Direct.
As the chief customers of this company are other business organizations, it is beneficial
for AV Direct to provide proper training to their employees for maintaining good customer
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E MARKETING OF AV DIRECT
relations with others, as they can understand the changing trend of this business. Proper market
analysis is essential for a business entity to utilize its business strategy accordingly, which can
help further the company to sustain in the market. Thus, to attain a proper target, the company
can conduct market analysis by providing proper training.
At present, it becomes beneficial for an organization to expand its business through using
internet. customers, especially large business organizations use internet connections to purchase
products according to their requirement of business (Ekanem and Abiade 2018). Customers can
easily access all products at a time and can purchase products instantly. Hence, the demand of e
marketing is increasing day by day. Thus, to increase the demand for their products in market,
AV Direct needs to launch its personal website, where other business entities can purchase their
required products.
PEST Analysis:
PEST (political, economical, social and technological) factors of each country can greatly
control the business activity, which, in turn, can help the company to build necessary business
strategies based on its present situations (Ho 2014). AD Direct can also be controlled by these
PEST factors of Ireland.
Political factors:
The government of Ireland has not imposed any political restrictions on AV Direct and
this further helps the company to operate their business independently. However, the company
has not received any supports of funds for the government. While BREXIT has affected various
business organizations negatively in U.K, the specified company has not suffered much because
of its different operational area in the Republic of Ireland (Bergin et al.2016).
Economical factors:
National income of Ireland is increasing rapidly as it is chiefly based on IT sectors
though it has three world heritage sites, which attract tourists all over the world. Instead of a
huge amount of public debt, its strong banking sector and efficient governmental activities have
helped the country to recover from this phase (Sierzchula, Bakker, Maat and van Wee 2014).
Moreover, the country has influenced other multinational companies to operate their business in
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this country due to low level of corporate taxes and higher amount of skilled workers. Hence,
these strong economical activities have helped the AV Direct to operate its work efficiently,
which further helps the company to earn more revenues. Strong economical environment
influences a country positively. Higher GDP helps the citizen of this country to leave a lavish
life, which in turn has helped hotel industries to expand its business.
Figure 1: GDP Growth trend of Ireland for the last five years
Source: (Tradingeconomics.com 2018)
The above diagram has depicted the increasing trend of Ireland’s GDP from with it can
be stated that the economic condition is strong and beneficial for any business organization.
Social factors:
The country, along with ancient people with different cultures like Gaelic Culture,
Americanization and Anglicization, has experienced diversity that have great influenced this
sector. Religion has played a vital part in the country’s cultural life since ancient periods. As a
consequent, the Irish pubs have become successful all over the world, since the 20th century by
offering its unique cultural characteristics (Bloom et al. 2017). The dishes of Ireland have also
become popular worldwide especially the “New Irish Cuisine” has earned huge popularity. Thus,
the demand of catering products is huge in Ireland. Food habits among people of Ireland are also
changing along with an increasing market of food service with almost 330000 individual outlets
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(Irish food & drink by Bord Bia 2018). This market includes various hotels, coffee shops, pubs,
work place catering and restaurants and so on. In this city, most of the people utilize quick food
services from different restaurants, pubs and coffee shops. Hence, this increasing trend of
consuming quick and healthier foods has great influence on AV Direct as the market demand of
Utopia and Genware remain high. On the other side, restaurants are adopting new recipes with
international standard and the demand of those foods is increasing rapidly. With new recipes of
foods and drinks, catering services are experiencing some new trends including stylish
equipments of tableware and other products for serving food and drinks. As people are becoming
more health conscious, they are staring consume healthy foods and drinks and consequently,
demand for those items related appliances are increasing. Hence, Utopia and Genware are trying
to serve different types of those appliances with safety quality.
Figure 2: Sales trends of Irish foods based
Source: (Academic.mintel.com 2018)
Ireland’s foodservice market has experienced a sharp increase since 2011, because of
higher wages, immigration and growth of business sectors and low level of unemployment
(Academic.mintel.com 2018). Therefore, demand for foods has increased in different areas, for
instance, quick service restaurants (QSR), full service restaurants (FSR), hotels and other
commercial places.
Technological factors:
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Being a developed country, the technological sector of Ireland is strong enough to
conduct a business efficiently. As AV Direct operates their business with other companies under
hospitality sectors, it is essential for this company to apply various technological instruments to
provide facilities to its customers (Foroudi et al. 2018). For which, the company can launch a
website and mobile apps, where customers can easily find out their required products at any time
and can also buy products, based on product descriptions with customer’s review. Presently, B2B
marketing has switched its strategy towards digital era. With the assistant of expanding social
platforms and new technologies, this form of marketing is becoming complicated and
sophisticated as each business entity expects to obtain their required information and can access
it at any time. Some chief skills required for B2B activities are brief content, leadership thought
and video references.
SWOT analysis:
To compete in market, it is essential for a company to analyze some external and internal
factors, viz., strength, weakness, opportunities and threats (SWOT) to understand its position in
market (Ervural et al. D2017). Through this analysis, the company can take various steps to
overcome its weakness and threats and to sustain in the market. Moreover, by utilizing
opportunities, the company can sustain in the market and this is applicable for the AV Direct, as
well.
Strengths:
AV Direct produces products that are eco-friendly. By providing biodegradable products
and implementing recycling policies and disposing of packaging, the specified company
does not spread any negative externalities. Hence, it may not be affected from the
governmental policies regarding environment.
AV Direct follows different acts regarding the supply of their products, for instance, the
Safety Health & Welfare at Work Regulations 2007, the Safety, Health & Welfare Act
2005 and governmental regulations related to safety o health (www.avdirect.ie 2018).
The company has a strong base of customers, especially in local areas.
AV Direct maintains its goodwill in market through focusing on the consumer’s
satisfactions by providing best services, business advices and good relationships. By
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incorporating more delivery vans and skilled workers, the company is improving its
services.
The company has owned showrooms in near Dublin, Ireland from where other business
organizations can easily buy their required products.
Weakness:
AV Direct does not maintain any website or other mobile apps from where customers
can purchase products easily from anywhere and at any time.
As hospitality industry is very large in Ireland, the specified has some strong
competitors and consequently, it cannot enjoy the leading position in the market.
Presently, the company has limited number of sales team for which, it cannot cover a
large market at the same tome. Moreover, the company is operating only in domestic
markets.
The chief focus of this company is to please its customers, without considering the
quality of the products.
Demand for homemade crafts is increasing significantly in some places, as consumers
prefer those more compare to normal appliances, packages and tableware. For those
products, the demand for chemicals, janitorial and packaging has decreased
significantly.
Opportunity:
AV Direct can increase its sales of products in upcoming years through website,
which in turn, can help the company to enhance its customer base.
By increasing team-members, the company can enhance its market share by
covering a large portion of the Ireland’s market.
By building more showroom near hotels, restaurants and pubs, the company can
enhance its demand
By following the changing trend of business and products, the company can
enhance its business.
Threats:
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The biggest threats of AV Direct is its competitors in market, who are supplying same
products
As customers are tending to use hand-made products related to foods for healthy and
safety issues, it can decrease the demand for chemical products.
Other international companies are also entering into the market with higher quality of
products and reasonable prices.
Being a family oriented company, the investment capacity of the concerned company is
limited.
Competitive Strategy:
The AV Direct needs to adopt some strategies that can help to compete with other
competitors. As, the chief customers of this company is other business entity, the trend of B2B
service is essential to understand for this company. To expand its business by increasing strong
customer base like some leading hotels, restaurants and pubs, the company needs to launch an
online portal, where it can deals with customers at any time. Moreover, presence in social media
is also important, as it gives opportunities to become well-known (O'Hare, Stewart and McColl
2018). The company has its page in Facebook though it needs to develop a customer relationship
through other social media sites, as well. By doing so, the company can understand about the
changing business strategy of catering and foods industry and according to this, AV Direct can
supply their products in market. Moreover, through this online platform, the specified company
can operate a market analyze based on the demand of their products in market compare to other
competing companies. This analysis can help the company to adopt appropriate business
strategy. The company can also adopt some strategies to maintain its customers’ loyalty by
serving products and services with comparatively lower prices along with quick delivery
services. Moreover, by providing discounts to its member customers and other gift vouchers, it
can increase its number of customers.
Positioning:
As AV Direct is a family run business, the company does not possess any strong capital
base to invest. On the other side, competitors of AV Direct, like Hugh Jordan, Nisbets and
Galgorm Group have huge capital to invest within their business. Those companies have already
possessed their own websites and have captured more market share compare to AV Direct
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(www.avdirect.ie 2018). Hence, from this perspective, the specified company is some
disadvantages. However, the company is using some exclusive products for which it earn huge
importance in the hospitality industry. For instance, the company has loyalty factors that can help
it to continue the business process with their own customers.
Unique selling point:
To measure the unique selling point, it is beneficial for the company make a SWOT
analysis, based on their competitors. This can help the company to indentify other company’s
unique selling point and also can help the specified company to makes its own unique selling
strategy in market (Keller, Daronco and Cortimiglia 2017). Moreover, USP helps to differentiate
AV Direct from its other competitors.
Strengths:
The company always tries to supply different types of products to their customers along
with some cleaning services and for this, customers can achieve various items of
products under one roof, where some competitors offer only limited items.
The company maintains some special factors of their business, like loyalty factor, which
other company do not follow seriously.
The company is trying to supply products of Utopia and Genware with a reasonable
price compare to other industries to create an easy access of their B2B transaction.
Weakness:
The company is a family oriented one and for this, it has limited amount of capital
accumulation and work force while other competing companies, with their large business
size, has huge capital accumulation.
Nisbets has their business in some other parts of the world, like Australia, Portugal and so
on while AV Direct operates their business within Ireland only (Nisbets.com 2018).
Galgorm Group offers same services, that is, cleaning, like the specified company,
through its online portal. Hence, other companies can easily access this portal and can
contact with them anytime. Moreover, Galgorm Group also has catering services
(Galgormgroup.com 2018).
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AV Direct has started its business recently while Galgorm Group is operating since 1968
and Huge Jordan is operating its business since 1947 (Hughjordan.com 2018).
Opportunities:
By observing the business strategy of its competing companies, AV Direct can easily
make its own business strategy
By launching its own online portal, the company can easily offer similar and some
unique facilities to its customers and this can help the company to attract more customers
AV Direct can analyze the market price of same products charged by other companies
and based on this the company can set its own price pattern.
Sometimes customers shift from one company to others for some reasons, like price
discrimination, service related matters and so on. AV Direct can utilize those incidence
by providing those services in their business
The company can expand its business further if it can successfully earn profit and
consequently, can capture the international market to deliver more items
Threats:
The biggest threat of AV Direct is its competing firms as they earned huge experiences
and hence have possessed a large market share with good knowledge
In Ireland, the number of family run business is very limited and they have left the
market for some reasons, like lack of capital or huge competition in market. AV Direct is
also a family run business and thus it can experience the same incidence
The company has not launched its own e-commerce site and hence, it still has limited
market share with small customer base.
AV Direct needs some popularity except which, it never can compete with its competitors
as every company is offering almost same kind of products.
Summary and findings:
The above discussion asserts that the concerned company is offering some products and
services, for instance, catering products and cleaning services, which have great demand in
Ireland. The chief customer of this company is other business entities like the, hotel, pubs and
restaurants, which provide hospitality services to their customers. Hence, to conduct a business
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