MRKT20052: Marketing Plan for Disrupt Sports - Report

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This report delivers a comprehensive marketing plan for Disrupt Sports, an Australian sports equipment company specializing in disruptive technology and various sports equipment, including surfing, skating, yoga, and snow sports. The analysis encompasses a PESTLE analysis, customer analysis, and a SWOT analysis to understand the external and internal environments. The report then outlines marketing objectives focused on sales, brand awareness, and customer satisfaction, followed by a detailed marketing mix strategy. The product strategy emphasizes diversification, while the pricing strategy recommends premium pricing. Place strategy suggests increasing physical stores and leveraging social media. The promotion strategy focuses on social media marketing, email marketing, price discounts, and traditional advertising. The report concludes with an evaluation of effective measures, control measures, contingencies, and a proposed marketing budget, along with references to support the analysis. This report is a marketing plan for the sports equipment company, Disrupt Sports, and is based on the provided assessment brief and solution.
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MARKETING MANAGEMENT AND DIGITAL COMMUNICATIONS
[Type the document subtitle]
9/16/2019
Student name
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MARKETING MANAGEMENT AND DIGITAL COMMUNICATIONS
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Executive summary
The key purpose of the report is to prepare a marketing plan for a sports equipment company that
is disrupt sports. The company initiated by offering product line from surfing, which has now
turned up to skate, yoga and snow sports equipment as well by the end of 2015 and 16.
Corporate tax rate, which is constant for Australia by 2006 that is 30% which reflect that be for
financial outcomes of the company will not be disturbed due to stable taxation. In Australia
western culture has been adopted, and considering the disrupt sports business which is majorly
focused over the water sports. Australia is found to be one of the technical advanced nation,
which reflect use of updated technology, Customer Segments are based on Demographic
segment, this include targeting customers from age 18 to 40. Moreover, psychographic segment
bases including targeting College going students, and business person.
The recommended product strategy would product diversification of strategy, which will be
including entering new market with new products. The pricing strategy for the disrupt sports
considering the pricing matrix; the recommended strategy will be premium pricing strategy.
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Contents
Executive summary.........................................................................................................................1
1.0 Introduction................................................................................................................................3
2.0 Situational analysis....................................................................................................................3
2.1 Pestle analysis........................................................................................................................3
2.2 Customers analysis................................................................................................................6
2.3 SWOT analysis......................................................................................................................6
2.4 Segmentation and Targeting..................................................................................................7
2.5 Positioning statement.............................................................................................................7
2.6 Problem statement.................................................................................................................8
3.0 Objective and marketing strategy 500.......................................................................................8
3.1 Marketing objectives.............................................................................................................8
3.2 Marketing Mix strategy.........................................................................................................9
Product.....................................................................................................................................9
Price.......................................................................................................................................11
Place.......................................................................................................................................11
Promotion..............................................................................................................................12
4.0 Evaluation, Budget and control 400........................................................................................13
4.1 Effective measures, control measures and contingencies....................................................13
4.2 Budget..................................................................................................................................14
Marketing Budget of disrupt sports (In million Dollars)...............................................................14
4.3 Conclusion...........................................................................................................................15
5.0 References................................................................................................................................16
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1.0 Introduction
Marketing strategy is a critical decision making as this may affect the success and failure of the
product or a company. The key purpose of the report is to prepare a marketing plan for a sports
equipment company that is disrupt sports. Disrupt sports is an Australian company working for
sports equipment production on the concept of disruptive technology and forward thinking. The
company initiated by offering product line from surfing, which has now turned up to skate, yoga
and snow sports equipment as well by the end of 2015 and 16 (Balmer & Abratt, 2016). The
company found to be working on the customization pattern as a customer can make a design
their own product and order online which they will be getting delivered to bed though. The
company reflects use of high technology and digital platform in order to reach to the customers.
However, the Company has also worked with the physical stores in Australia in Bondi Beach
which was the key initiative idea from where the customers were offered sports equipment like
water sports (disruptsports, how-it-works, 2019).
The report will discuss about the environmental analysis by using tools like festival, customer
analysis and SWOT analysis in order to understand the external and internal environment of the
company in order to further prepare marketing mix strategies which will be discussed and report
further.
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2.0 Situational analysis
2.1 Pestle analysis
For analyzing the external environment of disrupt sports. The following environmental factors
are impactful
Political environment
Some of the factors included in the political environment of Australia include political stability,
which is neither a threat not an opportunity for the company. Corporate tax rate, which is
constant for Australia by 2006 that is 30% which reflect that be for financial outcomes of the
company will not be disturbed due to stable taxation, which can be one of the opportunity for the
company (theglobaleconomy, Australia/corporate_tax_rate, 2019).
Figure 1: (Source: (theglobaleconomy, Australia/corporate_tax_rate, 2019)
Economic factors
One of the key factors included in this environment is GDP of the nation. The GDP of Australia
is constantly increasing; this reflected that the purchasing power of the customer in the nation is
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increasing which reflect opportunity for the company (theglobaleconomy,
Australia/gdp_current_local_currency, 2019).
Figure 2: 9Source: (theglobaleconomy, Australia/gdp_current_local_currency, 2019)
Social factors
In Australia western culture has been adopted, and considering the disrupt sports business which
is majorly focused over the water sports. The lifestyle reflects kids from and about 16 years are
enjoying the water sports in the nation, which is opportunity for the company to invest (Chung &
Fiore, 2017).
Technological factors
Australia is found to be one of the technical advanced nation, which reflect use of updated
technology, as disrupt sport is majorly working online, this could be one of the opportunity for
the company (Craig & Douglas, 2015)
Legal factors
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The company need to abide by various laws and regulations in order to work in the nation like
privacy and security law, health and safety law, anti-trust law. However it can be said that the
legal factors could be a threat for the company in near future (austrade.gov, 2019).
Environmental factors
These factors include issues pertaining to the environment and responsibility of the company to
words society and environment. For this the company must work to words the corporate social
responsibility and sustainability plan (abs.gov.au, 2019).
2.2 Customers analysis
The customer that will be beneficial for the company to target for disrupt sports equipment’s are
the young age people, as they are more concerned regarding their sports activity and enjoyment
with your friends and family. Moreover they will be interested in looking out for various
innovative options as equipment’s for the water sports, snow sports (Esmaeilpour, 2015).
2.3 SWOT analysis
1. Strength
Massive audience for target
Lower barriers to entry
Brand awareness in Australia
2. Weaknesses
Limited infrastructures
Lack of education
Industry regulation, for example health and safety regulations
3. Opportunities
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Income from sponsorship
Efficiency and structural play
4. Threats
Increased global competition
Busy lifestyle may decrease the interest of youth
2.4 Segmentation and Targeting
Customer Segments are based on
Demographic segment
This include targeting customers from age 18 to 40, the reason being they will be more
enthusiastic and looking for innovative option considering the sports. Other than this, the
customer segment will be interested in technologically advanced products and brands. Moreover,
the customization and personalized design would also be attracting this age group (Adam &
Kotler, 2014).
Psychographic segment
College going students, business person will be targeted ask for this event, the reason being the
sports equipment like scuba, skates and snow would be preferable considering college lifestyles
that is to enjoy with friends. However, the yoga mats which will preferable by Business persons
due to lack of mental peace and physical activity (Armstrong & Giardina, 2016).
2.5 Positioning statement
The brand positioning considering the current marketing products and activities include
personalization, innovation, creativity and power of individuality. The company is focusing to
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words the customer personal message on self-design for getting the equipment, use of digital
isolation and providing local artist and support from designer. Moreover through free
international shipping company attend to enter into global market through online mode (Chari &
Feng, 2018).
2.6 Problem statement
The problem identified for disrupt sports while introducing products in Australian market in
2019 is competition from global brands like Adidas, Deeluxe is dealing in snowboard and other
sports equipment. Moreover lack of awareness and lack of infrastructure could reflect key issue
for the company to increase business on growth of the company (Chung T. , 2015).
3.0 Objective and marketing strategy
3.1 Marketing objectives
The key marketing objectives of this marketing plan for disruptive sports while considering the
smart objective criteria, it includes
Mo1
Increase in sale of disrupt sports
The objective of the marketing plan is to increase the sale by 12% for Disrupt sports in next one
year. This will be measured through the financial report of the company prepared every year
(Harvey, 2009).
MO2
Increase in global brand awareness
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The objective through this marketing plan is to increase the brand Awareness by 40% across the
globe in next six months. This could be measured by visit of customers on social media websites
like Facebook and Twitter page of disrupt sports (Harrigan & Choudhury, 2014).
MO3
Increase in customer satisfaction
Another objective for this marketing plan is to increase in customer satisfaction in order to retain
existing customer and attract new customers by 20% in next one year. This will be measured by
the customer feedback conducted online or at store, likes, views and comments on social media
pages of the company (Feng & Chari, 2018)
3.2 Marketing Mix strategy
Product
The product strategy for the company will be product differentiation strategy, the company has
all already been working for the innovation and technical advancement by offering sports
equipment’s and local designing service along with the personalization and customization. For
the marketing plan, the recommended product strategy is to increase the number of products and
diversify the product range considering the sports activity; the company may also consider new
product development strategy like sports apparel (Doole & Lowe, 2008).
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Figure 3: (Source: (blog.oxfordcollegeofmarketing, 2019)
The key opportunity for the company includes entering into new market and introducing new
product rage. Therefore, as per the Ansoff pricing strategy matrix, the recommended product
strategy would product diversification of strategy, which will be including entering new market
with new products.
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