BSBMKG501: Marketing Opportunities Analysis and Evaluation Report

This report, prepared for the BSBMKG501 unit, focuses on identifying and evaluating marketing opportunities for Emu Fitness. It begins by outlining relevant legislation, including competition, consumer, privacy, employment, advertising, and intellectual property laws, and explores their impact on marketing activities. The report then analyzes the marketing mix elements (product, price, place, promotion) and their relevance in the fitness industry, followed by an examination of various forecasting techniques, such as buyer surveys, sales data analysis, and time series forecasting. The core of the report centers on identifying marketing opportunities, analyzing the macro environment, and researching potential new markets, including the viability of leveraging social media and other digital platforms. It evaluates the size, competition, customer interest, external costs, and risks associated with these opportunities. The report also covers entrepreneurial approaches, analyzing the fit between marketing opportunities and organizational goals, determining ROI, identifying competitors, and evaluating the required changes to current operations. The report concludes with a comprehensive analysis of the opportunities and recommendations for Emu Fitness.

BSBMKG501 Identify
and Evaluate
Marketing
Opportunities

Table of Contents
Assessment Event 1.........................................................................................................................1
Question 1...............................................................................................................................1
Question 2...............................................................................................................................2
Question 3...............................................................................................................................3
Task 1: Identify marketing opportunities.........................................................................................4
1.1 Analyse information on market........................................................................................4
1.2 Research potential new markets.......................................................................................6
1.3 Explore entrepreneurial approaches for their potential business application...................7
TASK 2: Investigate Marketing Opportunities................................................................................8
2.1 Analyse fit between marketing opportunities and organizational goals and capabilities.8
2.2 Evaluate opportunity to determine impact on business and customer base.....................9
2.3 Determine probable return on investment........................................................................9
2.4 Determine potential competitors....................................................................................10
2.5 Describe and rank marketing opportunities....................................................................10
TASK 3: Evaluate required changes to current operations............................................................11
3.1 Identify and document changes and resources required for current operations.............11
REFERENCES..............................................................................................................................15

Assessment Event 1
Question 1
Competition law Section 45 competition act ensures that different organisations are
conducting their business operations in ethical way as per according to
guidelines and measures set by the Australian Competition and
Consumer Commission (ACCC).
Consumer laws The Australian Consumer Law Act (ACL) a uniform legislation for
consumer protection and guarantees rights of customers when
purchasing services and products by offering many consumers redress
options.
Privacy law The privacy act 1998, enforced to duly promote as well protect
information of customers by ensuring safety of their personal data in
order to protect their privacy (Harris and Pomeranz, 2020). In this,
Office of the Australian Information Commissioner (OAIC) embedded
certain guidelines in order to utilize data in ethical and legal way.
Employment and labour law Employment and labour law 2020, ensure protection of workers or
employees in order to provide them safe and secure workplace
environment with many legislations covered in it like, employee benefit
security, workplace safety and health, work hours and more that are
necessary to be abide by organisations (Bhattacharjee and Pahari, 2020).
Advertising law The Australian Association of National Advertisers (AANA) set out
code of ethics with detailed guidelines that facilitate organisation to
engage in advertising and promoting functions in fair manner.
Negligence of this resulted into many legal obligations as well as
penalties.
Trademarks, patents, intellectual
property:
These assure protection of business identity, idea, design or product
legally.
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ADMA (Australian Direct marketing
Code of Practice):
This code is enforced to duly set code of conduct and standards for
business marketers in order to lower down risk related to breaching of
any regulatory provision in order to duly promote culture of best
practice. It enhances customers trust as well as their commitment in
advertising and marketing industry. Along with this, it reduces risk of
non-compliance.
Australian eMarketing Code of
Practice:
It is set in order to ensure use of e-marketing in a responsible manner,
handling of complaints, keeping records of consent in order to
effectively monitor industry compliance in an effective manner.
Question 2
Product Now a day, consumers preferences are dynamically
changing and their purchasing behaviour is becoming very
selective. This facilitates entities to more emphasis upon
innovation in their services and products in order to attract
customer’s attention towards organisational offerings.
Product development allows fitness industry to widen their
area in order to ensure more bases of customers as well as
profitability.
Price In order to enhance overall sales and profitability
organisations in required to offer their services and
products to customers of every income group. It allows
them to gain maximum number of customers and market
holding capacity. In terms with fitness industry, by
providing their products and services to customers of every
income group facilitate more income generation sources.
Place It helps in bringing increase in overall revenue. Within
this, organisation expands their total business services area
by launching them in new geographical area in which they
are not currently offering their services. It enhances
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consumer base along with opportunities for entity.
Promotion A procedure to enhance overall sales within certain market
segment by targeting consumers. This assist in increasing
total volume of sales by making alteration in promotion
methods in order to attract large base of consumers.
Question 3
Buyer survey This method allows marketers with the opportunity of identifying
buyer’s expectations towards products and services that further
facilitate changes for more growth and development.
Sales data It facilitates marketers within fitness industry to analyse their past
records, trends in order to further determine future demand. This
facilitate them to plan for future by evaluating past records.
Time Series Forecasting Techniques This method duly forecast patterns in sales. In this with the assistance
of tend analysis, entity in fitness industry can measure the rate of
growth of sales in the past and guess it to the future.
Survey and Judgement Forecasting
Techniques
There are number of measures in these forecasting techniques like
channel and consumer survey, sales force composite, executive option
and expert opinion through which respective entity in fitness industry
can forecast sales of potential products.
Response Models This method of forecasting allow respective organisation in
fitness industry to undertake forecasting based upon consumers past
responses for marketing techniques (Adeola, Muogboh and Fatoki,
2020). With the help of this they can effectively estimate the manner
in which consumer respond towards a product or service along with
their price sensitivity.
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Correlates Techniques It is a special form of forecasting method in this, sales forecasts on the
trend patterns of related variables in being undertaken.
Market Tests In this method, organisation brings their new product or service in
small segment of market among customers as to duly identify respond
of larger market. In this, entity can evaluate the extent at which their
marketing plan can influence sales.
Business Intelligence Tools With the assistance of this tool fitness industry marketers
can effectively able to undertake knowledge related to
preferences of consumers. In addition to this, respective
organisation in this industrial segment by taking use of
customer relationship management tool can gather
essential and relevant information related to needs and
wants of customers in order to make significant changes in
their services and products to fulfil their sales goals and
objectives.
Leading Indicators This method provide aid to entity operating their business operations
in fitness industry to effectively evaluate current prevailing trend in
fitness industry related to customers perceptions towards their health
(Ferrell and Ferrell, 2020). It is one of the most effective long range
forecasting method in which entity can effectively calculate their
growth based on changes. With the assistance of this method, entity in
fitness industry can predict customer’s needs and wants, future sales
and any other changes in industry.
Task 1: Identify marketing opportunities
1.1 Analyse information on market
The macro environment within the bounds of which an organisation carries out its business
operations, tends to place a significant impact over its functionality (Temchenko, Astafieva and
Bondarchuk, 2020). In this relation, it has been acknowledged that Emu Fitness is a renowned
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health club chain functioning within Australia. This brand is identifying some of the macro facts
in order to identify the marketing opportunities along with the rationale for opting for the same.
Macro Facts Marketing
Opportunities
Rationale
Strong and
developed
economy of
Australia
Capitalise on
marketing and
communication
channels
The Developed economic conditions of Australia
provide assistance to the Emu Fitness pertinent to the
country in tapping the different kinds of marketing and
communication channels so as to gain the attention of
customers in market place.
Changing
needs and
wants of
consumers
Carry market
research and
identify latest
customer needs
By carrying out in depth and constant market research,
Emu Fitness will be able to gain knowledge of the
needs and wants of customers prevailing within the
bounds of market place. This will help the organisation
in crafting an effective and efficient marketing strategy
that can yield great benefits to the company in the
upcoming future.
Compliance
with Work
Health and
Safety Act
2011 and
Work Health
and Safety
Regulations
2011
Marketing
keeping the
“abidance to the
law” aspect at the
core
By strongly abiding by the health and safety
legislations and codes and marketing about the same in
public, Emu Fitness can build its strong and ethical
brand image in front of the customers persuading them
to take an experience of the service package of the
fitness centre.
Technological
ly developed
nation
Leverage social
media and other
digital platforms
As Australia is a technologically developed country,
Emu Fitness can leverage technological initiatives like
social media marketing and digital marketing in order
to capture the attention of large audience base.
Compliance Appeal to When an entity abides by all the kinds of consumer
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with
consumer
laws
customers in an
effective manner
laws applicable to the bounds of Australia, it will instil
a sense of trust and faith within the wide base of
customers towards the brand as well as its offerings
(Crick, Crick and Chaudhry, 2020). This will make
them stay connected with the brand for a long period of
time, thereby reflecting support on their part to the
brand for its initiative to empower and protect the
interests and rights of consumers.
1.2 Research potential new markets
It is important for an organisation to assess the viability of marketing opportunities that it is
considering to opt for. This provides assistance to the corporation in eliminating those
alternatives which tend to lack feasibility in terms of application in real world scenario. In this
relation, Emu Fitness has opted for 2 marketing opportunities, namely, leveraging marketing
and communication channels along with leveraging social media and other digital platforms.
The viability of these opportunities is given underneath:-
Leveraging social media and other digital platforms
Size and growth of the opportunity: The size of the digital market is quite huge. This can be said
on the basis of the number of users making use of social media and other digital media platforms
on a daily basis across the globe (Widadie, 2020). It is identified that there are almost 3.81
billion active users of social media across the world. Especially within Australia, in the month of
January in the year 2020, the number of active social media users was 18 million. This implies
that the large size and constantly inflating growth of this market presents opportunity to Emu
Fitness to tap on it and gain fruitful outcomes.
Amount of competition: There is intense competition prevailing within the bounds of digital
market. In this regard, it can be said that in today’s world almost each and every company makes
use of digital marketing and social media marketing in order to capture the attention of large
number of individuals across the globe (Temchenko, Astafieva and Bondarchuk, 2020). This
increases risk for Emu Fitness while leveraging this marketing opportunity. Thus, entity needs to
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make sure that it makes use of right mix of digital and social media channels in order to capture
the attention of audience.
Level of interest by customers and potential customers: In the modern world, every third out of
fifth person uses digital media platforms especially the social media accounts for business or
entertainment purposes. The interest of customers and potential customers while making use of
digital platforms is quite extensive (Prashanth, 2020). This is so because this enables people to
set networking with their favourite brand and thereby gain information about the products and
services provided by them in an effectual way.
External costs of entering this market: The external cost of entering this market is gaining the
assistance of a marketing manager who is hired from external environment in order to provide
knowledge to the company regarding the way in which they can best employ the digital
platforms (Çınar, Yetimoğlu and Uğurlu, 2020). Thus the main external cost that will have to be
incurred by Emu Fitness is recruiting a professional person who has expert knowledge of digital
platforms and thereby can assist the health club brand to inflate its market reach along with
profitability in the upcoming course of time.
External risks of entering this market: The main risk associated with leveraging the respective
marketing opportunity is acknowledged to be the user privacy protection. When large number of
users makes use of digital media tools, the confidentiality and protection of their privacy is posed
to major risk due to hackers who may do stealth of their personal data and use it for mean
purposes (Risk vs. Effort in Online Marketing: What You Need to Know, 2020). Another risk is
that there is still a large base of audience which is not comfortable and at ease with making use
of digital media tools like social media platforms (Waller, 2020). Thus, it becomes difficult for
Emu Fitness to target these customers by way of this marketing opportunity.
1.3 Explore entrepreneurial approaches for their potential business application
Capitalise on marketing and communication channels: The online network allows people to
connect freely with others and offers advertisers a variety of ways to reach and interact with
buyers. Considering the different ways in which web-based life affects people and organizations
alike, in this article, writers are found everywhere where they embrace the fate of online
networks when considering related topics and problems. Drawing on academic study,
discussions with business pioneers and keynote speech, creators distinguish nine topics, sorted
by expected income (e.g. smart, intimate and long messages), which they assume will shape the
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future of online life through three points of attention: buyer, business and open negotiation.
Within each topic, the creators express their evolutionary perspective, introduce and discuss their
predictions and differentiate future study manager’s income for scholars and experts.
Carry market research and identify latest customer needs: Innovation is a fundamental
requirement for almost all societies. Be that as it may, in order to progress through progress,
organizations need to apply their energy and initiative to promote new offerings as they do. The
end of a stroke test differentiates the links between three areas of the article and a customer
association. The key area is the appropriate element and attributes. The next area is the real and
tangible benefits that a customer gets from using the item. The third area is represented by the
unique attributes or attributes of a customer that allow him to achieve these hidden advantages,
for example the practical, physical, financial, social and mental attributes.
TASK 2: Investigate Marketing Opportunities
2.1 Analyse fit between marketing opportunities and organizational goals and capabilities
Capitalise on marketing and communication channels
 Fit with organisational goals: This marketing opportunity will result in efficient
communication between different channels and networks of business process and thus
support in achieve organizational goals which are to maximise the number of leads for
fitness.
 Fit with five organizational capabilities:
1. Adoptable to change: This marketing opportunity is easily adoptable to change
with business needs.
2. Leadership: Leaders find it difficult to have equal command over various
communication channels.
3. Team work: Required strong team work and Emu fitness have great team effort
with skilful employees.
4. Better customer focus: Through this marketing opportunity; company can focus
on customers or clients efficiently.
5. Driving business decisions: This opportunity doesn’t fit here as no business
decision option is available with marketing capitalization.
Carry market research and identify latest customer needs
 Fit with organisational goals: This marketing opportunity will result in identification of
latest demand of customers regarding fitness products; it will support organization to
fulfil the goal of achieving more target customers.
 Fit with five organizational capabilities:
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1. Adoptable to change: This opportunity is based on market analyses so it is not
adaptable to change.
2. Leadership: Leaders find it difficult to have equal command over various
communication channels.
3. Team work: Required strong team work and Emu fitness have great team effort
with skilful employees.
4. Better customer focus: Through this marketing opportunity; company can focus
on customers or clients efficiently.
5. Driving business decisions: This opportunity doesn’t fit here as no business
decision option is available with marketing capitalization.
2.2 Evaluate opportunity to determine impact on business and customer base
Promotion mode can help you achieve the goals you have set for your image or business.
For example, if your business defines a monthly target for acquiring 100 new customers, a
successful advertising method can help you achieve this.
For many organizations, boundaries such as customers, sales items, sponsors are important
dimensions that reflect performance. Most presentation methods, if completed correctly, can help
you achieve your short or long hierarchical goals.
The promotion mode guarantees the brand's ubiquity as more and more people discover
your business and your items / administrations. Advertising your business the right way helps
promote business promotion.
Promoting your business properly helps improve audience engagement. It also
communicates with the public in a more secure and orderly way instead of documents, flyers,
radio or TV. Purchases can be made anywhere, anytime.
Here we discussed the impact of the advertising system on business performance and why
it is essential to create visualization methods for private companies or SMEs. We hope this
article inspires you and your organization to put together a viable advertising system for your
business! If you think we missed something, please let us know in the comments below! In case
you need an advertising master to help you draw up the best promotional approach for your
business.
2.3 Determine probable return on investment
Estimated total annual costs required to implement each marketing opportunity:
The company spends $ 500,000 on business and $ 300,000 on shows. In addition, your
organization generated 800 new customers in the last quarter of cash. If we could somehow find
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the CAC for your business, the cost to find a customer for that quarter would be $ 1K ((500K +
300K) / 800 = 1K).
Organizations should plan to locate the correct equalization for this proportion to guarantee
they're taking advantage of their monetary speculations. Preferably, it should take around one
year to recover the expense of client procurement, and your LTV:CAC ought to be 3:1 — at the
end of the day, the estimation of your clients ought to be multiple times the expense of gaining
them.
Estimation of total annual revenue for each marketing opportunity
Marketing Opportunity Estimated annual income
Capitalise on marketing and communication channels
Carry market research and identify latest customer needs
Marketing keeping the “abidance to the law” aspect at the core
Leverage social media and other digital platforms
Appeal to customers in an effective manner
$240K
$50K
$100K
$110K
$40k
Total $540K
2.4 Determine potential competitors
Capitalise on marketing and communication channels
Two potential competitors of this marketing opportunity:
First life Revenue less than $1 million This competitor has good communication
channels and have strong network.
Good life $12.9 Million Around $235 Million on marketing
capitalization.
Carry market research and identify latest customer needs
Genesis $3.9 Million Spend around $43 K on market research and provide fully customizable
services to the clients.
Jetts $101 Million Invested $1 Million dollar on surveys and interaction with customers to
get more market segment reach.
2.5 Describe and rank marketing opportunities
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