3D Fitness: Comprehensive Integrated Marketing Communications Report

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This report presents an integrated marketing communications (IMC) plan for 3D Fitness, a new fitness center chain. It begins with an executive summary and table of contents, followed by an introduction to the sports and fitness industry and the business venture of 3D Fitness. A SWOT analysis identifies the company's strengths, weaknesses, opportunities, and threats. The report then evaluates the target market, segmenting it geographically, demographically, psychographically, and behaviorally. It outlines IMC objectives, including communications and sales goals, and details the creative approach, message strategy, and advertising appeals. The report considers various IMC options such as direct marketing, sales promotion, personal selling, public relations, and advertising across different media. It also includes a proposed IMC budget and concludes with a summary of the key findings and recommendations. The report includes references to support the analysis and recommendations.
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Running head: INTEGRATED MARKETING COMMUNICATIONS
INTEGRATED MARKETING COMMUNICATIONS
Name of the student
Name of the University
Author note
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INTEGRATED MARKETING COMMUNICATIONS
Executive Summary
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Table of Contents
Introduction................................................................................................................................4
Discussion..................................................................................................................................5
SWOT Analysis.....................................................................................................................5
Strengths......................................................................................................................6
Weaknesses..................................................................................................................7
Opportunities...............................................................................................................7
Threats.........................................................................................................................8
Evaluation of Target Market..................................................................................................8
Determination of IMC Objectives........................................................................................10
Communications Objectives............................................................................................11
Sales Objectives...............................................................................................................12
Approach of setting Objectives of IMC...............................................................................12
Creative approach/ Message strategy...................................................................................12
Message Strategy.............................................................................................................13
Advertising Appeal..........................................................................................................13
Advertising Execution Styles...........................................................................................14
IMC options considered.......................................................................................................14
Direct Marketing..............................................................................................................15
Sales Promotion...............................................................................................................15
Personal selling................................................................................................................16
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Public Relations...............................................................................................................16
Advertising.......................................................................................................................17
Television.........................................................................................................................17
Newspaper........................................................................................................................17
Magazine..........................................................................................................................18
Outdoor/ Transportation...................................................................................................18
Internet.............................................................................................................................19
Social media.....................................................................................................................19
YouTube...........................................................................................................................20
IMC budget..........................................................................................................................20
Conclusion................................................................................................................................23
References................................................................................................................................24
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Introduction
Sports and fitness has emerged to be a booming business owing to the global trend
among individuals becoming health conscious (Chekhovska, 2017). In this aspect, a business
venture in this industry may prove to be successful owing to the vast potential customer base.
3D Fitness is a new chain of fitness centers owned by the sports and fitness enthusiasts
Naomi Gibbs and Nigel Ratcliffe. Ratcliffe completed his undergraduate degree in exercise
science and sports from UK after which he had become active in international triathlon
events. He also had the experience of working as a personal trainer. Gibbs belongs from a
middle class family; and has completed her Bachelor’s degree in Commerce from Sydney.
Naomi is also observed to be a sports enthusiast having represented New South Wales in
women’s soccer at the state level. After having worked in a fitness center during her years of
study, she was additionally offered an administrative position. For this purpose, she has work
experience in administrative and managerial roles in various fitness centers. Ratcliffe and
Gibbs met at an international triathlon event in Sydney, and owing to their shared interest in
fitness and sports, decided upon the venture of 3D Fitness.
The core of the business plan consisted of the gym facilities established in five
locations, along with associated facilities like fitness cafes, beauty and health salons. The
primary location for the fitness centers have been strategically chosen so as to the
requirements of the target market. The first location was chosen to be near the Sydney CBD
for the busy city based workers. The locations of the other five centers were chosen to be
based north, south, east and west in the suburban areas, namely Chatswood, Hurstville, Bondi
Junction and Parramatta. The fitness café were planned to be established alongside the fitness
centers for the purpose of creating a social space for individuals to bond with each other after
working out at the gyms. A variety of products would be made available in the café including
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light meals and other alternatives for quick nutrition boost after the sessions of exercise. The
health and beauty salons would provide the third dimension to the business plan, which
would provide therapeutic massages and other services.
Discussion
SWOT Analysis
SWOT analysis is considered to be a strategizing technique used to determine the
strengths, weaknesses, opportunities and threats of an organization. Such an evaluation can
aid the organization to analyze the various aspects of project planning and business
competition (Gürel & Tat, 2017). The identification of the external and internal forces
working upon the organization are also essential to determine the extent to which the targets
and objectives of the venture will be met. The following section will therefore provide a
SWOT analysis of 3D Fitness, in order to identify the key areas of strengths and opportunities
that can be built upon and the weakness and threats that the organization must tackle in order
to ensure its success in the market.
Strengths Weaknesses
Advanced equipment and facilities
available at fitness centers
Provisions of customizable packages
for the clients
Wide range of items available at the
fitness café
Highly trained staff at the fitness
center and health-beauty salon
Healthy and clean and secure
environment
Affordability of the clients
pertaining to prices for services
Flexibility of promotion and pricing
Customer turnover rate
Unpopularity due to poor brand
identity
Lack of customer satisfaction
pertaining to long term packages
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Facilities like changing rooms,
toilets, showers and lockers in the
fitness centers
Child minding services available for
clients with children
Facilities of membership and free
trials
Flexible operating hours
Opportunities Threats
Increasing health consciousness
among individuals
Long term fitness packages for
clients
Use of advanced equipment to gain a
competitive edge in the market
Provision of training by popular
personalities in the field of fitness
and sports
Potential of sponsorships from
various fitness and sports events
Potential partnerships in the similar
field
Promotion of brand through
advertisement and other marketing
strategies
Possibility of a slow-down in
economy
Brand loyalty of the clients towards
other established competitors
Change in the preferences of the
clients
High prices due to costliness of
rental services
Language barrier among the staff
and the clients in fitness centers in
regions with high Asian population
From the above provided table, the following deductions can be made regarding the
strengths, weaknesses, opportunities and threats for 3D Fitness:
Strengths – Strengths refer to the internal resources and attributes that bring about a
successful outcome for a business venture of an organization (Stavroulakis &
Papadimitriou, 2017). The various strengths that could be observed in the case of 3D
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Fitness includes the use of advanced technology and facilities available at the fitness
centers in the urban and suburban areas. Such facilities include the use of gym
equipment and machinery of the highest quality provided by the recognized brand
Healthstream. Furthermore, the fitness centers and other facilities of 3D Fitness is
made accessible to the customers through strategic planning of locations. Other
provisions of the business plan include additional facilities for the customers, which
are offered at affordable prices. 3D Fitness aims to provide three-dimensional services
to the customers and for this purpose, they also intend to provide for the requirements
of clients with children. The flexible operating hours and highly trained staff also add
to the benefits given to the clients.
Weaknesses – The analysis of the weaknesses faced by a business venture helps in
the evaluation of the internal resources and attributes that prevent its successful
outcome. The evaluation of the weaknesses in the planning and strategizing of the
activities undertaken by 3D Fitness is essential to determine the key areas which need
improvement. The weaknesses of the venture includes factors pertaining to poor brand
identity and lack of customer satisfaction in long-term fitness packages. As 3D
Fitness is a new entrant in the sports and fitness industry of Australia, they must
strategize means for promoting their brand efficiently so as to gain a competitive
advantage.
Opportunities – Opportunities refer to the external factors and resources that can be
capitalized by the organization so as to gain an advantage from them (Phadermrod,
Crowder & Wills, 2019). The trend of increasing health consciousness among
individuals is a major identifiable opportunity for 3D Fitness. Moreover, the provision
of various facilities to the customers including long-term fitness packages and scope
of bonding among the clients of the fitness centers. Other opportunities for the
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business venture also include efficient means of promotion and creation of popular
brand identity by providing the services of popular and highly skilled trainers. Such
brand identity may further prompt sponsorships from several organizations in the field
of sports and fitness. The various facilities provided by the venture will not only help
in gaining customers but also induce brand loyalty among them.
Threats – Threats for an organization involve the external factors that have the
capability of disrupting the success of its business activities (Phadermrod, Crowder &
Wills, 2019). The competitive nature of the sports and fitness industry stands as a
major threat to the success of the venture of 3D Fitness. This further entails the
presence of major competitors in the market in addition to the threat of new entrants.
Owing to the fact that 3D Fitness is a new entrant in the market, they might not be
able to gain a loyal customer base initially. Moreover, the facilities provided by the
existing popular and established competitors in the market may attract the majority of
the customers. To overcome the challenge of such threats, 3D Fitness must strategize
means of efficient promotion and branding in order to ensure their success.
Evaluation of Target Market
Target market refers to the particular group of consumers towards whom the products
and services offered by an organization is aimed at (Dolnicar, Grün & Leisch, 2018). The
concept of target market thus entails within its purview the segmentation of such groups to
devise efficient means of allocating effort and resources. The concept of market segmentation
involves the division of the consumer base for a business organization or its market in order
to evaluate the groups of potential customers on the basis of shared characteristics (Camilleri,
2018). Such shared characteristics may include the aspects of geography, demography,
psychography and behaviors of the customers (Deepak & Jeyakumar, 2019). The significance
of the process of market segmentation for a business organization lies in its ability to
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determine what kind of strategies or business decisions must be undertaken to meet the needs
of such target group of customers. Identification of the high yielding segments of customers
also provides the scope of growth in business and profitability for the organization. In the
competitive environment of the sports and fitness industry it is therefore essential for 3D
Fitness to identify its target market in order to ensure the optimization of performance and
profitability.
Geographic
Suburban and urban areas
Demographic
Male and female individuals within the age
group of 18 to 45, with middle to high
income
Psychographic
Health conscious and active individuals
Behavioral
Individuals with optimistic and pro-active
attitude having an interest towards a healthy
lifestyle
Table 1: Market Segmentation of 3D Fitness
The above given table shows the market segmentation of the business venture of 3D
Fitness. According to the table, the geographic segmentation of the business presents that the
services provided caters to the needs of the individuals living in urban and suburban areas.
For this purpose, the various locations of the fitness centers and adjoining fitness cafes and
health and beauty salons where chosen to be either in the urban areas or the adjoining
suburban areas. The business venture has also considered the aspect of transportation and
connectivity in selecting its areas of operations. This is mainly due the locational advantage,
which the venture will provide to increase the frequency of footfalls in the venue.
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The main target demography of the fitness centers is by Gender where both female
and male are facilitated. In this aspect, the facilities provided by 3D Fitness caters to the
needs of individuals between the age group of 18 and 45. This means that the venture can
provide its services to a wide range of individuals and has further scope of increasing its
customer base through the help of promotions. Another parameter of the segment is the
income levels of the customers of the 3D Fitness facilities. As per the table, the facilities cater
to the interests of the individuals with middle and high income levels. The high quality of
services provided and technology used in the facilities requires costing them at high prices,
which can be afforded by people with high per capita disposable income (Dale & Plunkett,
2017).
The psychographic segmentation shows that the facilities provided by 3D Fitness
targets the customers with health consciousness and the desire to remain active and fit.
Similarly, the behavioral segmentation also shows that the behaviors of the target segment of
3D Fitness is that with an interest towards a healthy lifestyle. The attitude of the customers is
optimistic and proactive in nature.
Determination of IMC Objectives
The primary objective of Integrated Marketing Communications is to integrate the
various means of communication between a business organization and its customers
(Blakeman, 2018). Such means and channels may include advertising, social media, sales
promotions and the like (Andrews & Shimp, 2017). The purpose of Integrated Marketing
Communications is to build the awareness and attention among the customers. This is turn
further facilitates in the generation of interest among the customers regarding the products or
services provided by the business organization. The goal of such an interest is to increase the
demand for the service and product and build a larger customer base through increased sales
(Harmeling, Moffett, Arnold & Carlson, 2017). The objectives of Integrated Marketing
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Communications can be therefore divided into two broad segments, namely communications
objectives and sales objectives.
Communications Objectives – Communications based objectives of Integrated Marketing
Communications can be describes as means through which the business organization chooses
to make the customers aware about the products and services that are provided by it (Finne &
Grönroos, 2017). Such communication provides the incentive and interest for the consumers
to gain useful information about the product features and nature of services before they
purchase them. There are several stages that the customer may undergo in this process of
communication that may be described as cognitive, affective and conative. The cognitive
stage involves the process of gaining knowledge; affective stage involves the response of the
consumers to such knowledge; and the conative stage involves the actions taken by the
consumers as a result of the knowledge acquired (Haugtvedt, Herr & Kardes, 2018). The
business venture of 3D Fitness may undertake a process of communication based strategy to
make the customers and clients on Australia aware about the services provided by them. Such
awareness can be brought about through promotions and advertisements. The venture intends
to reach out to a mass of 20,000 individuals within the first twelve months of its launch and
then gradually increase their customer base. The following objectives can be made for 3D
Fitness within the first twelve months of its operations:
Using advertising tools like thorough fitness and sports magazines, radio, magazines
and television to reach out to the majority of the 20,000 target customers.
Communicating the benefits of the services provided by the facilities of 3D Fitness to
the target customers through effective means of communication.
Creating an optimistic feeling and favorable attitude among the target customers
regarding the features and quality of equipment used in the facilities through
promotion via social media platforms.
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Utilizing the brand value of the popular personalities from the field of fitness and
sports associated with the venture in order to attract larger base of customers.
Providing trial services to customers so as to obtain their positive response and use the
feedback to gain trust and loyalty among larger masses.
Sales Objectives – Sales based objectives of Integrated Marketing Communications refer to
the means adopted by a business organization to promote its products and services among the
customers for maximized sales (Datta, Ailawadi & Van Heerde, 2017). 3D Fitness aims to
target 30,000 clients within the first year of its operation including 3,500 memberships in the
suburban centers and 6,000 memberships in the urban centers. For this purpose, the
organization must engage in advertising and promoting their brand in an effective manner so
that larger number of individuals are interested in the membership offers provided by them.
However, such advertising tools may have a carryover effect due to which the customers may
not purchase the services right after seeing the advertisements (Chan, Narasimhan & Yoon,
2017). However, the creation of awareness and provision of information may eventually
generate positive outcomes, thereby increasing the potential of the venture to maximize sales.
Approach of setting Objectives of IMC
To understand and analyze the Integrated Market Communication, this section will
use the smart model to analyze the situation (Kim, Lee, Mun & Johnson, 2017). The
components of the SMART Model are:
i) Specific: The initial and primary objective has to be specific (Panov & Yakovlev,
2017). This means that the goal or the aspiration of the 3D Fitness Centre must be
highly focused so that it can attract maximum footfalls towards the organization.
As it is also providing added service namely fitness café and health and beauty
salon, shall help to attract the higher income groups. Therefore, as the service,
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being provided is highly dependent on the physical evidence, which is limited in
nature it will help to attract the higher income groups, and higher prices can be
charged for the same services.
ii) Measurable: Secondly, the objectives of the organization must be measurable.
This means that the final goals of the organization must be accountable and the
process to achieve those goals must be quantifiable. For this particular
organization i.e. 3D fitness studio, the objective is to gain maximum customers to
occupy the accommodation to the maximum. For, fulfilling the purpose, mass
advertisement has to be used so that it can create awareness about the organization
and importance of a healthy lifestyle.
iii) Achievable: Thirdly, the goal of the company has to be achievable. This means
that the objectives of the company must contain the resources so that the preset
goals of the company can be achieved (Landers, Bauer & Callan, 2017).
Therefore, in this case the resources required are infrastructure- the location, land,
building, equipment, air conditioning facility for the gym; same goes for the
restaurant where the infrastructure shall slightly change. For the salon, the size of
the venue shall decrease.
iv) Realistic: Fourthly, the objectives of the company must be realistic in nature. This
means the targets of the company concerned in the project can be fulfilled. The
human resource employed by the 3D studio must be set higher than the actual
estimation but must be realistic so that they do not lure away from the company.
v) Time Bounded: Lastly, the company’s goals must be set and a deadline must be
assigned so that it can be achieved within a limited period. For setting up the three
dimensional fitness studio, there are two types of cost involved, the fixed cost and
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the variable cost. So, therefore to recover the total cost a proper structure must be
attained so that the company reaches break even in the optimum time.
Creative approach/ Message strategy
The 3D fitness center can be taken to be a business center which is situated in Sydney
and as the opportunity is a comparatively new one, the brand awareness of the firm is very
low. Hence, it needs to be the overall focus of the 3D to ensure that it is successfully able to
come up with a strategic plan which will enable them firm to undertake various opportunities
like the establishment of a persuasive brand message which would enable them to interact
with the various customers (Kotler et a., 2017). The creativity plan of the organization will be
discussed on the basis of the message strategy, the appeal, the execution style and the overall
style which can be adopted by the firm.
Message Strategy
The message strategy is one of the most critical types of strategy which can be
adopted by the firm in order to ensure that the organization is successfully able to
communicate effectively with the target audience. The various message strategies which the
organization is exposed to can be stated to be the unique selling proposition, the brand
image , the resonance and affectivity, generic, pre emptive and the drama. Hence, in regard
to the job of the 3D fitness, the message strategy which has been chosen is the
communication through the Brand Image. The message strategy which is utilized to sell the
products to the different customers is generally understood to be based on a strong and
memorable identity so that through the procedure of advertising, the firm is able to
communicate effectively with the different customers who are present (Deepak & Jeyakumar,
2019). The brand image of the organization needs to be such that it is successfully able to
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fulfill the different needs of the different customers and persuade the different customers to
undertake the various initiatives regarding their health. Moreover, the 3D fitness also plans to
give free membership to the guests for a period of 1 week. The customers are provided an
opportunity to see to it that they can experience the service and choose to opt for it if
possible. Providing with these opportunities would assist in seeing to it that, the brand image
of the organization can be uplifted accordingly.
Advertising Appeal
The advertising appeal can be referred to as the manner in which the organization is
able to make use of the medium of advertising in order to ensure that the business is
successfully able to attract a large number of customers. In relation to this, the purpose of the
Advertising appeal of the 3D fitness needs to be such gar it is successfully able to influence
the decision making of the different customers towards the services of the 3D fitness. The
two primary categories of the advertising appeals can be taken to be the informational appeals
and the transformational appeals. The appeal which shall be applicable to the 3D fitness can
be understood to be the informational appeal. The informational appeal can be used by the
organization in order to see to it that the utilitarian needs of the business can be met with and
additionally all the crucial information regarding a company can be provided to the customers
during the advertisement campaigns (Atwal & Williams, 2017). Moreover, by providing the
right data to the customers, the 3D fitness will be able to save the time of customers who will
be able to access the information by the advertisement itself and take their decisions based on
the same.
Advertising Execution Styles
It becomes integral for a business to ensure that it is able to come up with an
execution style which ensures that the organizational objectives are achieved successfully.
The executional techniques need to be such that, it does not act as a burden on the
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organization but at the same time is able to assist the firm in ensuring long term success. The
straight sell execution style can be adopted by the firm which can include a straight forward
presentation by the employee by revealing all relevant services of the fitness center. In this
way, the information will be clear for them (Atwal & Williams, 2017). Moreover, the use of
television advertisement can also be undertaken in order to ensure that, the emotional connect
can be made with the different customers and that this relationship can then be used to
develop unique opportunities for the firm.
IMC options considered
Hence, having discussed the various approaches which can be used by the 3D Fitness,
the particular section of the paper will be discussing the various aspects such as the tools of
event marketing, public relations, personal selling among others in order to ensure that the
firm is successfully able to meet the needs of the customers and attract them to the IMC Plan.
Direct Marketing
The first IMC tool which can be adopted by the firm can be taken to be the tool of
Direct Marketing. In this technique, the company plans to communicate with the different
end users directly. The various means to communicate with the different end users directly
can be stated to be the use of various tools like the emails, mobile messages, catalogues and
other means (De Mooij, 2019). Hence, keeping the use of these tools in mind, the business
will be communicating with the different customers using the medium of the emails and
messages which will help them to establish a direct communication link with the different
customers and in line of this, they will also be able to ensure that their message can reach the
different customers directly and can be viewed by them personally. The direct marketing
leaves a scope of personalization for the firm and its related operations. With respect to this,
the existing customers can be informed about the overall happenings of the gym and the
potential customers can be contacted with the help of various offers and plans which will help
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them to join the firm (Atwal & Williams, 2017). The disadvantages which may be used by
the firm in this scenario can be understood to be related to the spamming of messages and
unaddressed mails.
Sales Promotion
The sales promotion is a technique whereby the firm is successfully able to
communicate with the different customers with certain discounts and offers. For instance
sales agent for the 3D Fitness may contact the customers and inform them about the offer
relating to the discount on the membership fees or Buy 1 get 1 free offer. The sales promotion
offers generally exist for limited time frame and takes place only during the sales promotion
time. It tends to influence the different customers to purchase the product and additionally
also helps them to avail the discounted services.
Personal selling
The personal selling is a 1:1 selling proposition whereby the seller attempts to assist
the different buyers to engage in the purchase of the services as well as the products of the
business. The personal selling can be understood to be an interactive technique of ensuring
that a relationship is built with the 3D firm and that they are being able to join the firm and
avail the amenities. The two ways communication which takes place with the help of the
Personal selling thereby assists the different customers to get their queries cleared and
additionally, it leaves a greater scope for the purpose of Personalisation. Additionally, the
personal selling as a technique whereby the deals can be cracked in a faster manner and
persuasion helps in engaging higher sales volumes (Atwal & Williams, 2017).
Public Relations
The Public relations can be understood to be another technique which the 3D Fitness
can make use of in order to ensure that, it is able to manage the overall image of the firm in
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the eyes of the audience and thereby improve the brand image of the organization as well.
The Public relations activity will assist in helping the 3D fitness to ensure that it is able to
build reputation for itself and increase the trust level. Various programs can be adopted as a
part of the Public relations program and these can be taken to be the press releases,
association with a fitness celebrity, interview and others. Hence, keeping in mind these
means, the plan which has been device for the 3D Fitness can be contributed to making use of
various conferences and an association with some fitness celebrity. This will ensure that the
firm is being able to attract the different customers in the right manner and be successfully
able to engage in uplifting the brand image with the help of these means. However, a
drawback of this aspect is that, it may not be the most cost effective method as the association
with the celebrity and the conferences will be quite expensive. Moreover, in case the gym is
not being able to manage the operations, there lies a risk of inconsistent communications.
Advertising
The advertising forms one of the most essential IMC tools and techniques as it assists
in ensuring that the customers can be rightfully targeted in the best manner and in addition to
this, the firm is able to attend to the needs of the target market. The advertising as a medium
can be taken to be very cost effective in nature and assists in ensuring that, the firm is able to
reach out to the different customers in the right manner. The different means of advertising
which will be explored in this section can be understood to be the magazine advertising, the
Television advertising, the outdoor advertising and others.
Television
The television stands as the most appropriate advertising medium which assists in
combining motion, color, and images as well astounds to develop interesting appeals. There
are a large number of people in Sydney who have an access to the different televisions and
watch it regularly. This reflects that the television has a higher reach in the market (Haider et
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al., 2019). With respect to this, the 3D Fitness can successfully use the TV advertising and
appeal to the audience regarding the importance of a fit and a healthy life and along with this,
be also successfully able to gain a large customers base. In regard to this, it has to be
understood that there exists certain limitations like the costly price of advertising and the
reduced viewership by the designated target audience.
Newspaper
The newspaper advertising acts as one of the most important means of advertising
whereby the firm would be required to use the medium of print media to advertise their
goods. There are various popular newspapers in Sydney like the Sydney Herald which has a
very high viewership and in line with this, the medium of newspaper advertising will serve as
a relevant mean to see to it that the firm is being able to advertise its resources adequately
and in line with this, the newspaper advertisement can be placed in a manner such that, the
readers who are interested in their fitness will be able to ensure that they can engage in
overall flexibility of the design, the content and the overall placement of the design. It assists
in ensuring that, the overall popularity of the 3D Fitness is able to increase to a great extent.
The newspaper designs will assist the firm in seeing to it that the different customers are able
to avail the offers which are largely available (Haider et al., 2019). However, a disadvantage
of this form of advertising can be stated to be the fact that the newspaper quality impacts the
effect of the advertisement and additionally, the newspaper advertisements usually have a
short life span which may then limit the operations of the organization and thereby not be
able to attract the required attention.
Magazine
The next medium which can be rightfully adopted by the firm can be taken to be the
magazines. The magazines tend to grow rapidly in order to serve the informational,
educational as well as the entertainment needs of the users and in line with this, it is
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important to note that, the 3D Fitness will be required to advertise for its products on various
fitness magazines so that the viewers who are undergoing the plans to join the gym may be
successfully able to check the advertisement in the magazine and be successfully able to
engage in an association with the Fitness company (Armstrong et al., 2018). An advantage of
this magazine advertisement medium can be taken to be the fact that they have a larger shelf
life than that of a newspaper and with respect to this; they will be able to appeal the audience
in a better manner. Moreover, a drawback for the 3D Fitness can be understood to be the fact
that, it requires huge resource to advertise on the magazine and this may affect the overall
investment plans of the firm.
Outdoor/ Transportation
The out of home advertisement technique will be adopted by the 3D Fitness as it will
assist them in ensuring that the advertisement is placed on a public domain and will be able to
reach wider markets. In addition to this, it becomes crucial to understand that, most of the
people who live in Sydney will be travelling with the help of various public transport
facilities and hence, the 3D fitness will be successfully able to gain the attention of the
various customers by placing their advertisements in that domain. Using this as a medium,
the 3D Fitness will be ensuring that it is successfully able to gain the overall attention of all
the customers present with means like magazines, television, newspaper and the
transportation advertisement as well. An advantage of this medium of advertising can be
taken to be the fact that it provides extensive creativity with the help of colors, large prints as
well as related elements which are very eye catching and have the overall ability to attract the
different customers in the right manner (Chaffey & Ellis-Chadwick, 2019). However, in the
outdoor advertisement, the certain drawbacks which may be faced by the firm can be
contributed to the fact that, although it may reach out to the different customers easily
however, they may not get adequate time to ponder over the advertisement because they
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might be rushing to get back to work or home. This then decreases efficiency of the various
advertisements.
Internet
The internet can be taken to be another advertisement mean which can be adopted by
the various organizations in order to reach out to the designated target audience. Under the
Internet, the different means can be stated to be the Social media and YouTube,
Social media
The social media can be essentially described as an application or a platform like the
Twitter, Facebook, Instagram and twitter which may assist the different individuals in sharing
the different ideas as well as related information. In addition to this, it should have the ability
to assist in connecting to the different customers (De Mooij, 2018). There are various
businesses which make use of the medium of the social media in order to interact and connect
to the different customers. The medium of social media can not only be used as a medium of
advertisement but also a medium of the interaction with the customers and a platform, with
the help of which they will be able to get into a successful interaction with the different
customers who are present. An advantage of this social media strategy can be understood to
be the fact that the social media is very creative in nature, of low cost and high speed and of a
good network which will help the 3D fitness to reach various avenues. The disadvantages of
the social media can be taken to the privacy regulations which are present in order to protect
the different customers which may be taken as a spam act (Tuten & Solomon, 2017).
Moreover, the extent to which the firm is successful in the long run cannot be measured
adequately using the social media. However, the disadvantages of the social media dos not
outweigh the use of social media in the business and with respect to this; it can be rightfully
used by the 3D Fitness.
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YouTube
The YouTube can be considered to me a platform whereby a registered user can
advertise or upload videos which can be shared by him and instead be viewed by a large
number of users worldwide (Kotle et a., 2018). Hence, this can be taken to be an appropriate
medium which the 3D fitness can make use of in order to ensure that it is being able to attract
a larger audience. Hence, under this social media marketing strategy, the 3D Fitness would be
required to spend around $10000 for 500000 views and be able to display the advertisements
of the firm in between the popular videos. The advantage of this strategy can be stated to be
worldwide access and popularity.
IMC budget
Table - Cost of advertising
The Tools to
be used
Choice of the
Media
Frequency Duration
of each
media
Cost
(AD$)
Total
(AD$)
Advertisement Television
(Channel 190)
5 spots per
day during
the
weekends
10
months
1,500 per
spot
$600,000
Newspaper
(Sydney Herald)
Every week 9 months - 3000 for
full page
- 100 for
$10,600
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INTEGRATED MARKETING COMMUNICATIONS
half-page
Magazine (Fitness
Freak Magazine)
Twice a
month
2 months 4000 for
full page
$16,000
Outdoor (Bus
panels)
20 buses 3 months 2000 per
bus
$180,000
Outdoor (Train
screen doors )
40 stations 2 months 5,000 per
station
$200,000
Outdoor
(Billboards)
50
billboards
4 months 1,800 per
billboard
$95,000
Internet
Marketing
Social media
Networks
(Facebook and
Instagram)
50 Posts in
a month
6 months 100 per
post
$25000
Digital
Presence(YouTube)
500,000
views
3 months 0.5 per
view
250,000
Direct
Advertising
Personal selling 20
salespeople
6 months 1,500 per
person
108,000
Sales
Promotion
Discount programs 50%
membership
discount
6 months 1000 per
program
$15000
Public Celebrity Sports 1 year $10000 $10000
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Relations Association athletes annually
Direct
Marketing
Emails and Mobile
Alerts
1 message
per day
3 months $1000 for
the entire
plan
$1000
Total $1510600
From the given plan, it can be rightfully understood that the budget of the firm can be
taken to be $1.5 million. As mentioned earlier, the firm has planned to make use of various
mediums like the YouTube, social media, the outdoor advertising, the magazine advertising
and the television advertising with other means in order to ensure that it is being able to gain
the attraction of a large number of customers. The highest TV commercial can be taken to be
the television as a medium with $600000 and other costs are the Internet marketing costs, the
outdoor costs and related costs among others.
Recommendations
In the initial stage, the company must focus more on the infrastructure and to
maximize the use of resources in the limited budget. In other words, the fixed cost must be
utilized to the optimum for the purpose of removal of maximum grievances which can occur
in the future. In the initial stage, the footfalls will be low. If we go by the adaptation life cycle
then the early adopters, which are low in number, will be attracted.
In the second phase, aggressive advertisement has to be used to attract maximum
number of footfalls. This is the stage when the price of the service has to be increased to
extract maximum profits. The service process must be strategically designed and more offers
must be given so that they can be retained for a long period.
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In the third stage when the number of customers are optimum, membership scheme
must be used so that they can be bound with the organization for a prolonged period. As the
main service of the company is fitness and the footfalls will be mostly attracted towards the
gym. The cream profit must be generated from the café and salon. In the café, more offers
such as discounts should be provided in an indirect way. Awareness must be provided in the
gym about the advantages of healthy food, which are available in the café.
Lastly, the salon must be promoted in such a way that the customers realize the
adverse effects of synthetic cosmetics and how it can have harmful effects on the skin
(Ghazali, Soon, Mutum & Nguyen, 2017). Thus it will promote the advantages of using
organic cosmetics and the salon must be slowly introduced which has the human resource to
multiply the effects of wellness on the skin.
Conclusion
From the above study, it can be inferred that the process advised to the organization is
structural and realistic in nature. The name 3D fitness has been selected by the owners
because multi dimensionality in the field of fitness and sports. 3D fitness centers being a new
entrant in the market may be faced with several challenges in the internal and external
environment, which has been discussed using the SWOT analysis. In addition, it has also
been found that the target market of the business venture consists of individuals belonging
from middle and high-income groups in Australia. In order to become profitable in the
market and gain a competitive advantage the venture must additionally promote its products
and services efficiently with the help of several communication and sales based marketing
tactics, which shall contribute positively to the integrated marketing communication process.
In this section, the tool, which has been used, is the SMART Model, which stated the
objectives for the venture. Several IMC options have been considered for the efficient
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INTEGRATED MARKETING COMMUNICATIONS
promotion of the brand. The recommendations provided will additionally help in ensuring the
fulfillment of the objectives and goals of the venture as envisioned by the owners.
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