Strategic Communication and Market Analysis: Dubizzle in USA

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This report examines the strategic communication and market entry plan for Dubizzle, a UAE-based online classifieds platform, to launch in the United States. The report begins with an executive summary highlighting the importance of strategic communication in conveying information to customers through various media channels. It then delves into the introduction, research, strategy, creativity, media plan, and evaluation aspects. The research section includes a PESTLE analysis of the US market, considering political, economic, social, technological, environmental, and legal factors. Porter's Five Forces model is also used to analyze the competitive landscape. The strategy section recommends a Greenfield market entry approach, where Dubizzle will establish its operations from scratch in the US market. The report also discusses creative communication campaigns, such as online content marketing and word-of-mouth advertising, to promote Dubizzle's services. Overall, the report provides a comprehensive strategic plan for Dubizzle's successful launch and market penetration in the United States.
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Management
Opening UAE brand in USA
4/12/2019
Student’s Name
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Management 1
Executive summary
From this report, it is observed that communication is that source which is used to
push information to the ultimate customers through various media channels. In concern to
Dubbizle, market analysis is done through Pestle analysis and porters five force, hence results
states that are if dubbizle is open in United States of America, the economic condition are
well defined, in technological aspect, America is well- advanced. Moreover, various
communication form are applied for Dubbizle such as online marketing, media marketing
which will be the most effective marketing techniques which will help Dubbizle to be
launched in America.
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Management 2
Contents
Introduction....................................................................................................................6
Research..........................................................................................................................7
Strategy...........................................................................................................................9
Creativity......................................................................................................................11
Media plan....................................................................................................................12
Evaluation.....................................................................................................................15
Conclusion....................................................................................................................16
References....................................................................................................................18
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Management 3
Introduction
Strategic communication is the purposeful usage of communication by all the types of
business and organisation in order to fulfil the set objectives and mission. According to the
Paul (2011), strategic communication helps in creating and formulating the clear set goals and
understanding the certain set of customers’ attitude, behaviours choices and preferences or
perceptions, which helps the company to achieve the set mission and goals. For formulating
the strategic communication, certain set of ideas, planning and research is important to do. All
these are set by considering the audience preferences and choices and help to position
organisation communication goals with its structural goals (Chopra, 2016).
Hence, in very basic terms strategic communication is an infusion of set plans by an
organisation and agenda and the master plan, which helps the business to involve in
promoting the brand for the organisation. Communication is that source which is used to push
information to the ultimate customers through various media channels. Hence, it is the fusion
of pushing and delivering the ultimate information to the customers and the large masses
(Smith, & Zook, 2011). Other than this, strategic communication also considered as the new
method of outreaching an planned information to ultimate customers but for that more of
professionalism is required and along with that consistency and coordination is also required
for enhancing the strategic positioning and competitiveness of the organisation (Dubizzle,
2019).
(Source: (Dubizzle, 2019)
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Management 4
In terms of Dubbizle online selling brand, which is the community content website.
This company was founded in 2005 and is based in Dubai, UAE. This company provides their
classifieds majorly in all items which are – baby items, books, cameras, clothing’s,
accessories, movies, electronics, sports equipment and home appliance and jewellery. Other
than this company, also provide general information about properties for sale and rent,
construction, consulting, education, hospitality and much more (Dubizzle, 2019).
Research
If a company is thinking of making a new market research then Dubizzle has to firstly
measure the market condition of America which includes the political, legal, environmental,
social, technological and economic. Moreover, if we talk about the GDP aspect it is nominal
in nature and it is one of the largest economies in the world. Lastly, America has great
reputation for its infrastructure and in technological aspect.
Political market analysis-
In terms of political concern, America is the world’s second largest democratic
country. In America, fair and transparent decisions are taken into considerations. There is
stable climate in terms of political aspect but certain challenges are to be faced by
organisation in terms of political regulations (Raff, Ryan, & Stähler, 2012). It having a stable
political environment along with the advanced infrastructure, technological aspect, and had a
great destination for foreign direct investment. America demand in terms of settling up for the
business is high as china India, UAE, south Africa and many other tries for the foreign direct
investment (Amer, et al, 2013).
Economic market analysis-
Economic aspect of USA in terms of GDP is nominal and due to this it is considered
as the most finest and the largest economy in the world. This country possess many larger
companies such as Coca-Cola, google, Apple and Facebook. However, recession in 2009 has
majorly affect the economic conditions of America. With the change in time, unemployment
fell, income level improved, availability of labour is easily and carries out business activities
easily. Hence, after facing recession aspect there was a fast recovery and thus become a world
leader, and gain economic superpower (Bateman, et al, 2011).
Social market analysis-
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Management 5
In social aspect, America is one of the most populous with the population of around
326 million. This is the most diverse country, which have Africans, Asians, Indians, and
Latino, Native American ancestry. Even in education in terms, it is best in world. Along with
this, population also having a liberal mindset, which highlights that American, are socially
having a broader mindset and hence, if a company thinks of shifting to USA another company
will easily adjust in social aspect of America.
Technological market analysis-
In terms of technological aspect, America, is one if the well-known leader in terms of
science and technology. They are lot of companies such as google, Facebook, Apple and
many other who are best with their technological aspect all around the world. Along with this,
it proves that America is always forefront for adapting and applying various technologies,
which helps many companies in reduction of their cost and earn profits out of it. A single
time investment in technologies gives a lot more success in profits. Hence, this proves that the
rate of technological innovations and changes are extremely at faster pace in America
(Noori, , Kucukvar, & Tatari, 2015).
Environmental market analysis-
In terms of environmental analysis, America, has a diverse geography, climate and
wildlife. Thus, which help in managing the driving force in order to draw attention of millions
of tourist for visit. But in terms of climate, USA faces the toughest climate conditions in the
world. In addition, due to this they lively, financially, and technologically faces the major
losses and so does the companies. There are many climate tragic incidents has happened and
as majorly affected the entire America at much greater pace which mainly cause the damages’
in terms of financial losses, apart from it, these disaster and climate change causes disruption
to everyday’s life.
Legal market analysis-
The last part of Pestle analysis id the legal aspect which states that America has its
owned government structure and having a set legal scheme. All the business who are settled
in America are under the regulatory environment of the state. The main concept of America is
to consider all the national and foreigners equally without arising any legal issues. Hence, this
proves that America offers the strong legal system in order to generate the effective system
and to protect the intellectual property rights.
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Management 6
Another method for research the market is porters’ five-force model-
Threat of new entrant
There can be a threat of new entrant
in big industries
Strong distribution networks are
required for entering in a new market
Advanced technology is required
Patents limits new competition
Customers are loyal to their existing
brands
High switching cost of the customers
Threat of substitute
Substitute can be of lower quality
Substitute can have poor or lower
performances
Substantial products differentiation
High cost of switching to substitutes
(Levine, & Zahradnik, 2012)
Bargaining power of buyer
Lower buyers price sensitivity
Limited buyers information
availability
Low dependency on distribution
Larger base of audience
Bargaining power of supplier
Larger number of substitute inputs
Higher competition among suppliers
Diverse distribution channel
Low cost of switching cost
Competitive rivalry
Large industry size
Fast industry growth rate
Relatively there are few competitors
Exit barriers are lower in rate
Strategy
In terms of making a new market entry in the new country there are many things that
are need to be considered such as the target market, whether technologies survive, there are
not, what is the social, political and legal environment there. Hence, accordingly the company
set their market entry strategies. In terms of Dillizle Company if they are thinking of
expansion they have to look for US market, cost effectiveness and profitability in order to
launch and gain success (Gruner, Homburg, & Lukas, 2014).
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Management 7
For open a newly venture of Dillizle in America the company should apply Greenfield
market entry strategy. As Greenfield, market entry strategy is applied when a company is
thinking of establishing the wholly new venture in an international market or foreign country
by constructing all the companies’ facilities and amenities right from beginning (Drogendijk,
& Andersson, 2013).
In this, company starts their operation right from the zero in the foreign market. In this
entire process the firm or organisation builds and develop their operation without acquisition
target and with the higher cost in the foreign market. Moreover, it also requires purchasing of
the local property and local workers and staff members where the firm is thinking for
settlement (Rossum, 2017). Hence, this shows that Dillizle in America for settlement needs a
lot of finance. As every start up business initially needs more of investment along with this
they should also work over acquiring the local property and local staff of their so that
workings which was planned by the company should be taken into consideration over time
(Paniagua, MasTur, & Sapena, 2015).
In general many firms prefer Greenfield rather than acquisition as it is the simplest
form of starting up the own venture, own operations rather than long established one. In this
the biggest advantage to the while adopting Greenfield entry mode, company will be able to
maintain its tighter control over each operations and the risk of losing the technological
competencies to a competitor will be at nil position. Hence, due to the zero negative effect the
company has more options along with more opportunities to grow in the local market. Hence,
this shows that if the Dillizle is adopting the Greenfield method, there will be more
opportunities to grow. Moreover, the company will apply the tighter control over the
misleading operations and will practice to use and apply every upcoming opportunities which
will benefit the company to grow and sustain for the longer period in an foreign country (cult
branding, 2015).
Lastly, if we overall consider the process of Greenfield as a new entry mode it is one
of the costly processes, which begins right from the scratch. As Company has to make a lot
efforts right from the beginning in order to be successfully placed and settled. Hence, this
highlights that if any company is adopting Greenfield method a major aspect is a heavy
investment done by the firm in order to build up a new plant but this entire process is very
slow but in term, of returns it benefits the firm. Lastly, as soon as the firm steps market faces
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Management 8
competition with the well-established firms but with new ideas and concept, company
survives (Ang, Benischke, & Doh, 2015).
Creativity
It is naturally that breaking into a international market is difficult for every company. As
in this assignment, Dillizle a UAE based company is thinking of settling into America. One of
the creative ad campaign through which company can communicate and interact with people
about the company , about the services which company will provide their, benefits are
mentioned by an use of creative communication campaign (Im, Montoya,& Workman Jr,
2013). Likewise,
Dillizle can opt for Online content marketing campaign, which would strive to
produce measurable results in proportion to the resources, committed to them.
Moreover, this method is one of the well-known strategic marketing approaches,
which majorly focuses on creating, generating and helps in distributing valuable,
relevant, and consistent content to attract and retain the target audience and ultimately
earns profits through customers actions (Heinonen, 2011).
Other way of communicating about the services is the word of mouth advertising,
which helps in exposing what the customers buy, how he/ she felt before and after
purchase, and what the company worth of. Hence, through sharing of information
about the company online and offline provides the company the consistency that the
selection of the right target audience and made it for the user to spread information or
the word for them.
Other way of communicating to large target market audience can be sponsorship,
although the company need a good finance for organizing an event, activity, product,
and services in order to target the large audience, and the companies set objectives. In
return the company will gain many advantages such as brand exposure and publicity,
will gain more of opportunities to entertain customers and more of employees, gets
more association between the brand and events, there will be improved community
relations and lastly it helps in promoting the brand at the event at large.
Another source of communicating creatively is social media aspect as they aspect
includes the most social ways to communicate with the target audience. It includes
Facebook, instagram and many other social sites, which will helps in targeting the
larger audience and through they, can communicate about their company and the
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Management 9
services, which they provide. Along with these, they can also apply the discounting
theme in order to attract more of audience not at initials (Erdoğmuş, & Cicek, 2012).
Another communication marketing strategy is adoption of Guerrilla marketing in
which the company do not need to invest much as with the low budget method with
involvement of lot of creativity, company can target the big crowd of people and
communicate about the brands, services, products and much more (Nufer, 2013).
Ambush marketing is also one of the creative ways to communicate with the larger
audience. In this, the company and the advertiser apply the marketing strategies to
associate with the specific event and brands without paying sponsorship fees. In this,
the company will be able to leverage their brand equity (Dickson,Naylor, & Phelps,
2015).
Lastly, one of the creative communication aspects is search engine optimization; it is
one of the methodologies of strategies, techniques and tactics, which are used to
increase the amount of visitors to a website by obtaining a high-ranking placement in
the search page of the search engine. Through this company will got to know about
their number of searches and about adopting various other techniques for better
communicating with the target audience (Entrepreneur, 2019).
Media plan
Media plan is that technique which helps the company to assure that the brand can be
seen in different channels for their promotions, which are helpful in marketing, targeting and
promotional undertaking of the business. In media plan there are numerous ways through the
company can make their company to be known by their target audience. As target audience or
the ultimate customers can be easily got to know about the newer company as company
nowadays firstly communicate to people and their customers through social Medias and by
revealing it through television commercials and advertisements (Sajid, 2016). So while
initiating, Dubbizle will firstly invest on social media as mentioned in media plan, though its
online websites, and various other social media tools such as Facebook, Instagram and
twitter, Dubbizle will make people aware by their company, their workings, and applying and
contacting all are mentioned through social media (McDonald, & Wilson, 2016).
Another tool of communicating, is sponsorship in which Dubbizle, by making use of
events and activities, company will make people aware about the doings and about the
company in which the top marketing experts makes an efforts to make and attract people
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Management 10
through delivering face to face information to their ultimate customers. It is one of the well-
known techniques, which a new venture can apply to make people aware about the company
doings and performance.
In recent times, new venture are adopting ambush marketing and search engine
optimization marketing. These two types of marketing also help the company to attract target
audience. In ambush company tries to indulge in those sponsorships which are of low cost or
no cost and them people got to know about the company, what the company is all about?,
what the company does, what are their target market?, who are approach, how to approach, all
these question are solved through face to face interactions in sponsorship events. Another
marketing technique, which is widely used, is search engine optimization, which will be used
by Dubbizle when people will get to know about the company. Then for the further
information or for applying and knowing customers are making use of search engines to
know more about the company (Ledford, 2015).
Lastly, the company also applies traditional Methods of media in order to contact with
the target audience. Such as making use of newspapers, videos, visuals, YouTube channels,
televisions, radio, personal selling, word of mouth communication and lastly making use of
guerrilla marketing technique in order to capture the larger customers base (Saravanakumar,
& SuganthaLakshmi, 2012).
Promotional Year
201
9
Months
January (in
weeks)
February (In
weeks)
March (In
weeks)
April (In
weeks)
Media 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4
Social media
Online website
Facebook
Instagram
Twitter
Sponsorship
Events
Activities
Ambush Marketing
Organising sponsorship
Search engine
optimization
Google
Yahoo
Chrome
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Management 11
Videos
YouTube
Television
Advertisements
Audio
Radio
Traditional media
Newspapers
word of mouth
Personal selling
Guerrilla media
Marketing
Budget
Particulars Amount in $'000
Social media
Facebook- 1000
Instagram- 500
Website- 2500
4000
Sponsorship
Events- 3000
Activities- 2000
5000
Ambush marketing 2000
Search engine optimization
Google- 4000
Yahoo- 2000
Chrome- 1000
7000
video 1000
Audio – radio stations 500
Traditional media- newspapers, classified
advertisements
2000
Word of mouth 3000
Guerrilla marketing 5000
Total 29500
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