BSBMKG501: Identify and Evaluate Marketing Opportunities - BBQfun Case

This document presents a solution to a BSBMKG501 assignment focused on identifying and evaluating marketing opportunities for BBQfun, a company in the outdoor lifestyle retail sector. The analysis covers various aspects of the market, including comparative market information (Queensland overview, geographic, demographic), competitor performance (The Yard, BBQ's R Us, Outdoorz), customer requirements (selection, accessibility, customer service, pricing, payment, guarantees), legal and ethical requirements (Privacy Act, Anti-Discrimination Act, Competition and Consumer Act), market share, and market trends. The solution identifies potential marketing opportunities based on these factors, aiming to help BBQfun achieve its strategic goals of increased sales and market leadership. The document also includes tables summarizing customer survey data and the impact of various legal and ethical considerations on BBQfun's operations.

BSBMKG501 Identify and Evaluate Marketing Opportunities
Assessment Answers
Part A
Part A requires you to identify and evaluate marketing opportunities for your chosen
organization or utilizing the BBQfun case study.
1. Identify two marketing opportunities for the organisation on your chosen
organisation’s market and business needs in terms of:
a. comparative market information
Characteristic
s
Overview What does it mean for
BBQfun
Queensland
overview
○ high population growth
of 5% per year
○ new homes and
renovated homes
growing from a base of
50,000 per year
○ low unemployment of
4.7%.
o Increase in
customer base.
o With the increase
in number of
homes,
organization will
be able to increase
its market share.
o Setting up store
will help the local
people to get job.
Geographic ○ our immediate
geographic target is the
o BBQfun offers
great value
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area of Brisbane with a
population of 2,000,000
○ a 30 km geographic area
is the average store
market footprint
○ the total targeted
population is estimated at
450,000.
outdoor lifestyle
products with
quality customer
service. According
to their objectives,
organization was
intending to obtain
healthy sales of
$11 million in
2016 which was
attained
appropriately.
o Now with the
motive of
expansion of the
store in the
overseas market,
organization has
decided to target
the European
market. With
setting up the store
in European
market,
organization has
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intended to attain
healthy sales of
$20 million in the
subsequent year of
its expansion
(Sitapara, et. al.,
2017).
Demographic ○ male and female
○ ages 20–50
○ high percentage of young
professionals who work
in the central business
district
○ high percentage have
completed
undergraduate/postgradu
ate study
○ an average household
income of over $70,000.
o While conducting
the market
research for the
purpose of
expanding the
business of
BBQfun in the
overseas market,
European market
has been selected.
o This is because
European market
is new and
emerging market
in terms of
BBQfun’s
opportunities. It
has been observed
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BSBMKG501 Identify and Evaluate Marketing Opportunities
that the target
market has more
opportunity to
expand the
business of
BBQfun in
comparison with
other parts of the
globe (Cerf, et. al.,
2015).
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BSBMKG501 Identify and Evaluate Marketing Opportunities
b. competitors’ performance
Competitor Overview What does it mean for
BBQfun
The Yard o has a limited selection
but significant depth.
All Australian made.
No significant
marketing or
promotion. The price
point is high, but the
quality of products is
quite good. Not in
south east Queensland.
Considering e-
commerce options.
Considered potential
treat for entering
market through e-
commerce because of
large distribution
network
o BBQfun’s
management will be
able to develop the
marketing strategies
in order to take the
advantage of two
marketing
opportunities stated
above as well as it
will help the
organization to set up
an adequate position
in the target market
(Fleisher &
Bensoussan, 2015).
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BBQ’s R Us o Broad range of outdoor
lifestyle products
including trinkets and
furnishings. Lots of
cheap imports.
Concentrating on
established markets.
Strong in the
replacements segment.
One store in Brisbane.
Mostly in Melbourne
and Adelaide.
Considering e-
commerce options.
o With the help of
expansion in the
new markets,
organization will be
able to cope up
with its desired
objectives and it
will ultimately
boost up the sales
volume of the
organization.
Outdoorz o : Large operations of
only a few stores per
city. Mass markets
outdoor lifestyles at
good value prices. No
imported goods.
Extensive advertising.
Low to medium quality.
Strong in the
replacement segment
o Primary focus of
BBQfun in relation
with the expansion
is over those
markets which are
not yet penetrated
by any other firm
of the same
industry as well as
promoting their
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rather than new and
refurbished dwellings.
Gaining strength in
Brisbane market.
Considering e-
commerce options.
existing products in
the new market
with the objective
to diversify its
network.
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c. customer requirements
Factors What does it mean for BBQfun
● Selection – a wide
choice of options.
Helps the customers to fulfil their
requirements.
● Accessibility – the
customer needs easy
access to the store with
minimal
inconvenience.
Organization will adopt appropriate
distribution system in order to approach to
large number of audience.
● Customer service – the
customer needs expert
customer service to
help sort through
choices.
With the help of better customer service,
organization will be able to retain them for
long period of time (Armstrong, et. al.,
2015).
● Competitive pricing –
the customer needs all
products/services to be
competitively priced
relative to comparable
high-end outdoor
lifestyle options
offered by
competitors.
Adaptation of pricing strategy considering
the competition will help the organization to
attain its desired goals in terms of acquiring
leading position in the target market.
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● Flexible payment – the
customer needs easily
managed payment
plan.
This will help the organization to increase its
customer base and their revenues as well.
● Quality guarantees –
the customer requires
three year product
guarantees (as offered
by most competitors).
Delivering qualitative products is always
being a positive point for the organization
and it helps the organization to increase their
customer base along with retaining them for
a longer time period.
In the case of BBQfun’s marketing performance, we can see from the table
below suggesting its findings of survey of 500 customers as follows:
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New
builds
Renovators Replacements What does it mean
for BBQfun
Have visited
BBQfun in
previous
month
70% 70% 50% Average performance
In relevance with
expectations
Have
bought a
BBQfun
product in
previous
month
70% 65% 50% Average performance
In relevance with
expectations
Customer
service is
essential
90% 95% 60% Increase customer
satisfaction
Price is
most
important
10% 20% 95% Help the organization
to gain competitive
advantage
Australian
made is
important
80% 65% 55% Help to set up the
effective position
Will buy
online
100% 100% 100% It will help the
customers to get the
products more
conveniently
Will pay for
online
delivery if
chosen
100% 100% 100% Consumers will get
the products without
putting much efforts
Loyalty 30% 20% 10% Increase

BSBMKG501 Identify and Evaluate Marketing Opportunities
d. legal and ethical requirements
Types of
legislation
What it is about: How does it impact
BBQfun
Privacy Act
1988
o The Privacy Act
1988 (Privacy Act)
regulates how personal
information is handled.
The Privacy Act
defines personal
information as:
o …information or an
opinion, whether true
or not, and whether
recorded in a material
form or not, about an
identified individual, or
an individual who is
reasonably identifiable.
o Common examples are
an individual’s name,
signature, address,
telephone number, date
of birth, medical
records, bank account
details and commentary
In relation to BBQfun,
the Privacy Act 1988
ensures that its
customers’ information
shall be kept within the
organization and not to
be shared with any other
party (ies) so that
customers would not be
….
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or opinion about a
person.
Anti-
discrimination
Act 1991
This act states that
organization should treat its
consumers and employees
both in the same manner for
acquiring the appropriate
place in the target market.
Thus, BBQfun’s
management has
decided to adopt this
legislation into their
practices for avoiding
the risk factors of
discriminatory practices
as well as to gain
desired outcomes (Cerf,
et. al., 2015).
Competition and
Consumer Act
2010
This act states that
competition practices
should be executed in fair
manner without hurting
other’s emotions and
goodwill. This will help the
consumers to choose the
most appropriate products
from the available choices
on the basis of their
requirements.
According to this
legislation, all entities
need to practice in the
fair manner in order to
attain sustainable
growth from the target
market.
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