BSBMKG502 Establish and Adjust the Marketing Mix: A Report on BBQFun

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BSBMKG502 Establish and Adjust the Marketing Mix

Table of Contents
Introduction......................................................................................................................................3
Task 1: Evaluate and determine the marketing mix........................................................................4
Identify the key characteristics of the business’s products and services and their significance to
the market........................................................................................................................................4
Consider the impact of at least two changes to pricing on resulting consumer demand. Prepare to
briefly explain in your report your methods and calculations. Prepare to explain the impact on,
for example, profitability or other business goals...........................................................................4
Analyze the importance of the following elements to marketing outcomes:..................................4
Identify the business’s potential customer base and keys to success in reaching them...................5
Identify the components of the marketing mix, including information on how each element of the
marketing mix has been used, their significance to each other and their relevance to the customer
base..................................................................................................................................................5
Identify external environmental factors and assess their potential impact on the marketing mix...5
Identify consumer priorities, needs and preferences and the way they impact the marketing mix. 6
Evaluate products or services against marketing objectives, target market characteristics and
desired positioning. Prepare to explain and justify your evaluation................................................6
Assess the marketing mix in relation to the organizational, strategic and operational marketing
objectives and complete the following:...........................................................................................7
Select the most appropriate mix and prepare to explain your assessment...................................7
Consider the integrated effect of each component of the marketing mix on each other.............7
Identify specific objectives, for example, financial objectives, customer satisfaction objectives
or operational efficiency objectives.............................................................................................8
Identify at least two pieces of legislation, codes of practice, or organizational policy relevant to
implementing your recommended marketing mix...........................................................................8
Task 2: Monitor and adjust the marketing mix................................................................................9

Evaluating the performance of marketing mix against objectives...................................................9
Proposed changes with impact on planning...................................................................................10
Changes to budget..........................................................................................................................11
Conclusion.....................................................................................................................................13
References......................................................................................................................................14

Introduction
The marketing mix is helpful for an organization to influence their customers and manage their
purchase attribute. This is a combination of different factors that can be controlled easily by
senior management so that they can maximize their user’s satisfaction level (Changand Taylor,
2016). Sometimes, the company has to modify their existing marketing mix elements as per the
changes like technological changes, environmental change etc. Along with this, management
needs focusing on their marketing objectives as well while changes and alter the marketing mix
of a company. This report is focused on BBQFun, an outdoor lifestyle range of retail products.
Their products are of high quality and align with customer’s satisfaction. This report will be
focused on marketing mix of BBQFun with its key characteristics. It will be included and
determine a suitable market for business to which products and services rendered. Moreover, a
monitor and adjustment of the marketing mix will be undertaken to manage the marketing
objectives of a company.

Task 1: Evaluate and determine the marketing mix
Identify the key characteristics of the business’s products and services and their
significance to the market.
BBQfun is engaged in the retailing industry offering imported and local lifestyle products. These
products are not only of high quality but also superior to the products of competitor firms. The
products are customer friendly and provide customer service of expertise level. The company
provides a credit offer being effectively supported by the top-tier bank. Major of the company
products are imported and backed up with a guarantee of a minimum of three years. These
products possess significance to the market in many ways. The products of BBQfun make sure
that an integrated approach is utilized for delivering a high level of customer satisfaction. Each
category of the product portfolio provides a wide range of products by BBQfun.
Consider the impact of at least two changes to pricing on resulting consumer demand.
Prepare to briefly explain in your report your methods and calculations. Prepare to explain
the impact on, for example, profitability or other business goals.
BBQfun has adopted the pricing method of competitive pricing for setting up the price value of
the products and services. Competitive pricing involves the pricing of similar high-quality
lifestyle products considering the pricing strategies of other competitor companies (Hosken, et.
al., 2018). The key pricing variables that can affect the customer demand are comprised of
changes in the rates of import duty and changes in the prices of the competitor companies. Both
the situations may adversely affect the customer demand when the import duty and competitor
prices will increase significantly. These will make the products more expensive that can lead to a
decrease in customer demand.
Analyze the importance of the following elements to marketing outcomes:
The promotional methods: For BBQfun, promotional methods are significant for getting
effective marketing outcomes. It helps in enhancing brand awareness and attracting customers
for increasing the sales and profitability level.

The channels of distribution: The distribution channels assist BBQfun in filing the gap between
the producers and potential customers. It ensures the availability of products of BBQfun at right
time, right place and in the right quantity.
Customer service level provided: Good level of customer service is vital for BBQfun as it helps
in competing effectively, increasing customer loyalty and develop a positive reputation.
Identify the business’s potential customer base and keys to success in reaching them.
The potential customer base can be seen as the urban population having young professionals and
male and female between the ages of 20-50 years. This customer base involves the population
having the average household income of more than $70,000 per year. The keys to successful
reaching the potential base are offering a wider variety of products and high-quality products.
These products require making available to the customer at reasonable and affordable prices
(Parise, et. al., 2016). Communication with them can be done using television media including
advertisement or lifestyle programs.
Identify the components of the marketing mix, including information on how each element
of the marketing mix has been used, their significance to each other and their relevance to
the customer base.
The key components of the marketing mix for BBQfun involve mainly the product, pricing,
promotion, and place. The product is a tangible or intangible good manufactured for driving the
needs or satisfying the customers. Price is the value being paid by the customers for the
attainment of specific products and services. Promotion is used for providing vital information
about the products to the customers. Distribution channels are utilized for making goods
available to the stores so that customers can avail them conveniently (Hanssens and Pauwels,
2016). All the components of the marketing mix are inter-related to each other as all the elements
are implemented together. Little change in one element makes it necessary to evaluate whether
the change is affecting other elements.

Identify external environmental factors and assess their potential impact on the marketing
mix.
Political factor: Currently, the government is focusing on developing legislative regarding
business productivity and growth. This makes a positive impact on the company. On the other
hand, the government has been encouraging the adoption of WHS legislation within the
organization and business practices being friendly with the environment and society.
Economy: It is reported that the disposable income of the people will be enhanced due to the
increasing price of the real estate market of Queensland. However, the high-interest rates and
low unemployment level will be significant issues in the economic aspect of the business
environment.
Legal Factor: The government at present has been promoting and making necessary for the
companies such as BBQfun to incorporate the legislation of WHS as well as corporate social
responsibility.
These factors are significant to be considered as the production, pricing, distribution, and
promotion are done on the basis of these factors. The companies such as BBQfun desire to play
safe from the harsh consequences by using the legal and other legislation.
Identify consumer priorities, needs and preferences and the way they impact the marketing
mix.
With the changing business environment, the priorities, preferences, and needs also keep
changing with the time. The customers are demanding for the good quality and they are willing
to pay a good price for such products. The priority of quality has been increased more than the
price consideration. The customer preferences have changed as customers are finding it more
convenient and exciting to shop for the products and services through online platforms such as
websites or online shopping apps (Chang, & Taylor, 2016). More preference has been given to
the price consideration which means that they desire to purchase expensive products only when
the quality is worth it. Apart from this, customers also prefer to achieve great customer service
while purchasing products and services.

Evaluate products or services against marketing objectives, target market characteristics
and desired positioning. Prepare to explain and justify your evaluation
The products of BBQfun are comprised of the imported and local products associated mainly
with the lifestyle. BBQfun provides service in the form of a three-year guarantee of the products.
The key marketing objectives are increasing the customer base and brand recognition. The target
market for BBQfun implies the renovators, new builds and replacements. These products and
services will be helpful in achieving the marketing objectives and for target markets as well.
Imported lifestyle products are the recent trend for the customer and it will be more fruitful when
offering with superior quality and affordable prices. Affordable prices will lead to attracting
middle and high social class people while unique designs will attract the target market
(Trigeorgis, & Reuer, 2017). The company position itself with the good quality, uniqueness and
price leader in the Queensland market. These products and services are preferred mainly by the
customers for who quality and unique are key considerations.
Assess the marketing mix in relation to the organizational, strategic and operational
marketing objectives and complete the following:
Select the most appropriate mix and prepare to explain your assessment.
The product, pricing, promotion, and place will be the key components of BBQfun’s marketing
mix. Product mix will involve the wide variety of the lifestyle products being imported and local.
Customer service will be the key element in product mix involving the three-year guarantee
along with replacement or refund policy. Price mix will be used by setting the reasonable price
for the products considering the cost, profit margin, customers' willingness to pay and competitor
pricing (Bahadir, et. al., 2015). The company will be using the pricing mix by comparing the
prices of similar products being sold by competitor companies. The promotional methods of the
company will involve basically a PR campaign along with the creation of ads on online
platforms. The product distribution will be done in BQQfun through retail stores providing good
shopping and convenience of car parking arrangements.
Consider the integrated effect of each component of the marketing mix on each other.
Mere production of goods and services by BBQfun are not enough for the company. Setting a
price that can be paid by the customer without getting a second thought is more fruitful for the

company. Promotion of products and services is vital for entering into the customers’ minds and
attracting them towards the company. When a customer is impressed with the product or service
appealing, it becomes necessary to reach the customers and making them available the products
and services of BBQfun. The role of distribution or place component starts after the products are
developed, prices are set up and the promotion has been done. The entire components share a
connection with each other considering the fact that dissatisfaction from only one element may
lead to the failure of remaining elements.
Identify specific objectives, for example, financial objectives, customer satisfaction
objectives or operational efficiency objectives.
Specific objectives

Financial Objectives
 Grow the gross profit margins on a stable and regular basis.
 Increase in the economic wastage and loss by using an integrated approach for every
retail store.
 Decrease the operational expenses of every retail store every year.
 Ensure the increase of overall profitability level every year with every year (Busch, et.
al., 2016).
Customer Satisfaction objectives
 Increase the customer satisfaction rate with 10% every year.
 Minimize the number of complaints receives from dissatisfied customers within 12
months.
 Reduce employee turnover by 20% within 12 months.
Operational planning objectives
 Improve the production process within 2 years.
 To enhance the adoption of information technology for reducing wastage by 40% within
2 years.
 Manage the debts of the company in an efficient and effective manner using a financial
approach.
Identify at least two pieces of legislation, codes of practice, or organizational policy relevant
to implementing your recommended marketing mix.
The implementation of the developed marketing mix requires considering certain legislation or
code of practice or organizational policy. The key legislation for marketing mix is the Privacy
Act 1988 and Anti-discrimination Act 1991. Privacy Act 1988 is mainly associated with the
privacy of customers and other related information such as way, purpose, and disclosure of
customers' personal information. Anti-discrimination Act 1991 implies the necessity of behaving
indiscriminately with the customers, employees or suppliers (Butler-Henderson, et. al., 2018).

Task 2: Monitor and adjust the marketing mix
Introduction
The marketing mix is helpful for an organization to influence their customer perspective.
BBQFun has to improvise and monitor their marketing mix so that they can manage their
performance at the keen competitive market world. This report will be included performance
evaluation of marketing mix with objectives. There will be certain adjustment discussed with a
plan to change operations. A change in the budget will be reflected as per modifications in the
marketing mix of business.
Evaluating the performance of marketing mix against objectives
The marketing mix is an essential factor for a business through which management can easily
understand their customers and influence their purchasing behavior (Ramanathan, et. al., 2017).
Marketing mix includes different factors and elements that assist a business to accomplish their
desire marketing objectives. Marketing objectives are guiding elements for a team so that
association can incorporate them for the future. BBQFun has prepared certain marketing
objectives on which marketing mix performance evaluated. The marketing objectives of
BBQFun are described as follow:
● To increase customer loyalty list from 10,000 to 16,000.
● To manage a brand in southeast Queensland with promotion for brand recognition within
so at least some people recognize brand in a random survey in the next 18 months.
The performance of the marketing mix will be evaluated on these bases. Thus, below is an
adjusted marketing mix for BBQFun if they accomplish desire targets:
 Product: BBQFun is proving a diverse range of lifestyle products and imports them to
other countries as well. They are one of the greatest retailers in Australia with a clear
focus on customer satisfaction. It is recommended toBBQFun to increase customer
loyalty by launching some new range of goods. It will be directed to accomplish desire
marketing and financial objectives with an increase of customer loyalty from 10,000 to
16,000.

 Price: BBQFun is working on customer loyalty, satisfaction and value. These are
identified as major pillars for BBQFun on which management need to work. It is
recommended to BBQFun to cut down their prices. Currently, they are charging high
prices with the value of the three-year guarantee. They can cut down cost with same
guarantee duration which enables them to maximize customer loyalty, as well as people,
can recognize their brand for a longer duration.
 Place: BBQFun is working and focusing on Brick and Mortar system where they provide
offline and online products delivery. They are working to import goods in other countries
and facilitate offline services from two locations with a large parking facility. It is
recommended to BBQFun to design one more store in southeast Queensland for brand
recognition.
 Promotion: One of the things on which BBQFun is focusing more on advertising and
promotion. The company is using ads and inserts with Brizzy with a PR campaign of
informational articles and reviews from Brizzy. Currently, the company is not using any
social media platform as they do not find it more viable. But it is recommended to
BBQFun to use social media and print media both at the major source to the target
population.
All the suggested adjustments need to apply by BBQFun management. This will be going to
assist them in manage sales and accomplish marketing and financial objectives. They can
become popular among local community with active participation in social activities like CSR
and others. This will be resulted in them to become popular in southeast Queensland and become
popular within the next 18 months. BBQFun is doing well with objectives but they need some
improvements. Hence, all these improvements are important to consider in BBQFun to manage
their sales and become popular and retain the maximum customer and achieve a target of 16000
loyal customers.
Proposed changes with impact on planning
BBQFun has determined some changes for which contingency planning lead to an undertaking.
These changes are discussed below to manage them and initiate changes: