Principles of Marketing: Gymshark Marketing Plan Report

This report presents a comprehensive marketing plan for Gymshark, a leading fitness apparel brand. It begins with an executive summary highlighting the company's strong online presence and rapid growth. The report delves into environmental and competitor analyses, including PESTLE and Porter's Five Forces frameworks, to assess external factors and competitive dynamics. Internal issues and a SWOT analysis are also included to evaluate Gymshark's strengths, weaknesses, opportunities, and threats. The report defines SMART objectives, followed by a detailed examination of Gymshark's segmentation, targeting, and positioning strategies. The marketing mix (product, price, place, and promotion) is then analyzed to understand how Gymshark influences customer behavior. The report concludes with an overview of Gymshark's marketing strategies and recommendations for future growth. The report provides a detailed analysis of the Gymshark's marketing plan, focusing on its strategies for online presence, market share, and customer engagement.

Marketing Plan of
Gymshark
2019
Student’s Name
5/17/2019

Marketing Plan 1
Executive Summary
A marketing plan is the strategic document that helps the company to analyse its competitive
position and allocate the resources to enhance the operations of the business. It is analysed
that Gymshark has a strong online presence and delivers its product to 177 countries. The
company has been recognized as the fastest growing company by effectively implementation
of the strategies and satisfying the changing needs of the customers. The report will highlight
the marketing plan of the company and will reflect upon the strengths of the company. It will
describe the opportunities that lie in the market and the analysis of the competitors. It will
also cover the segmenting, positioning and targeting done by the company and the use of
marketing mix for expanding of the share.

Marketing Plan 2
Contents
Introduction................................................................................................................................2
Environmental and competitor analysis.....................................................................................2
PESTLE Analysis...................................................................................................................2
Porter’s five force analysis.....................................................................................................3
Internal issues faced by Gymshark........................................................................................4
SWOT analysis...........................................................................................................................5
Smart Objective..........................................................................................................................6
Segmenting, targeting and positioning of Gymshark.................................................................7
Marketing Mix of Gymshark.....................................................................................................9
Conclusion................................................................................................................................11

Marketing Plan 3
Introduction
A marketing plan is a strategic document that helps the company to allocate its resources and
helps in enhancing the performance of the company. It focuses on understanding the needs
and wants of the target market. It boosts sales by increasing the customer base. It will help in
developing coordination among the activities and control the future uncertainties (Retail
Insight, 2018). The marketing plan is necessary for Gymshark because it will help in
analyzing the opportunities in the external market and increase the customer base by
providing innovative products and services in comparison to its competitors. It will provide
strategies to increase the market share by analyzing the opportunities that lie in the external
market. It will help in directing the actions of the members and achieve efficiency in
operations (Gilliland, 2019).
Environmental and competitor analysis
PESTLE Analysis
The PESTLE analysis will describe the uncontrollable factors that affect the performance of
the company.
Political factor
Brexit majorly affects the importing and the exporting of the goods from abroad. The
fluctuations in the power of the currency and customer duties and tariffs majorly affect the
sales of Gymshark (Baker, 2016).
Economic factors
The strength of the economy affects the sale of the leisure items of Gymshark.
Social factors

Marketing Plan 4
The increasing awareness of social media has helped in making the brand popular. The
changing lifestyles and health awareness have impacted the sales of the company. The
company uses famous you tubers and bloggers to influence the customers (Haemers, 2016).
Technological factor
Increasing use of social media platforms and changes in the technology affects the
performance because the company needs to focus on the technology adopted by its
competitors (Kauppinen and Pavlova, 2017).
Legal factors
The safety standards of suppliers, fair labor laws and hygiene are considered important
factors that affect the functioning of the company. The patents of the competitors and
intellectual property also affect the business (Baker, 2016)
Environmental factor
The environmental factors influence the operations of Gymshark. It develops the need to use
organic products for weaving and colouring of the products. It develops the need to use the
environment-friendly packaging and control the waste disposal of the company (Haemers,
2016).
Porter’s five force analysis
Porter’s five force analysis will help in competitive analysis and improve the market position
of Gymshark. (Luttgens and Diener, 2016)
Competitive Rivalry
The intensity of competition is high because the market is dominated by Nike and Adidas. In
addition to it the famous brands like ASOS, H&M, Boohoo, Primark, Ted Baker, Topshop,

Marketing Plan 5
Whistles, and Superdry have brought fashionable sportswear. The increase in the athleisure
market has increased the competition for the company (Juhlin and Soini, 2018).
Bargaining power of the suppliers
The power of the suppliers is low due to the large availability of suppliers which in turn leads
to the easy replacement of the suppliers (Mansoor, 2017).
Bargaining power of customers
The power of customers is high because the customers can easily switch over other brands by
comparing the prices of other brands. However, it creates the emerging need for Gymshark to
develop innovative product and retain the customers (Luttgens and Diener, 2016).
The threat of new entrants
The threat of new entrants is high because of the increasing influence of social media through
bloggers and Youtubers. Many gym specific retailers are entering the online retail sector and
require huge financial and human capital to enter the market (Retail Insight, 2018).
Threat of substitution
The threat of substitution is high because more choices are available to the customers. Many
online retailers provide fashionable products which are similar in prices to their competitors
(Luttgens and Diener, 2016).
Internal issues faced by Gymshark
Gymshark implements tighter control over its structure. The top management controls all the
actions which in turn restricts the freedom of the workers and affects the functioning of the
operations. It also faces the inability of the workers to compete with the changing

Marketing Plan 6
technologies. The company faces issues of structural complexity and lack of skills among the
workers (Worpress.com, 2018).
SWOT analysis
This framework helps in analyzing the strengths and weakness of the company and the
opportunities and threats that lie in the external environment.
Strengths
Gymshark is recognized as the fastest growing company in the United Kingdom. It has strong
brand influence and uses social media influencers for promotion of the brand. The company
provides affordable products and directly serves to the customers who in turn create close
interaction between customers and the company. It has built a strong relationship with its
customers (Bull et al, 2016).
Weakness
Gymshark is an exclusive online store that is highly dependent upon the mobile application.
The delivered cost is high which is considered as a drawback for the company. Gymshark has
to invest a huge amount in the R&D department for the development of the innovative
product (Marketing Week, 2018).
Opportunities
The government is promoting a healthy lifestyle which in turn creates awareness among the
adults to be healthy and provides the opportunity to expand the business. The athleisure
nature has created an opportunity for the Gymshark to expand its business and attract
youngsters. The youngsters believe in buying stylish sportswear apparel which creates turn
bound for the company and provides the opportunity to expand its customer base. The

Marketing Plan 7
increase in the use of wearable technology provides the opportunity to expand the business in
new emerging market and development of the brick and mortar store (Bull et al, 2016).
Threats
The increasing competition and availability of the substitutes create a major threat for the
company. The uncertainties in the economy are also considered as a major threat to the
company (Gram, 2017).
Smart Objective
Objective 1:
Specific The objective of the company is to expand
its market share through increased online
presence.
Measurable The objective will be achieved by optimizing
the rank in search engine option and
developing paying ads for increasing brand
awareness.
Achievable The objective will be achieved by spending
30 % of the profit on social media channels.
Relevant The objective is relevant because of the
increasing use of social media between the
age group 16-25(Kauppinen and Pavlova,
2017).
Time-bound The objective will be achieved within 1 year.
Objective 2:
Specific To develop innovative products for the
athleisure market and target more

Marketing Plan 8
youngsters in the US market.
Measurable The objective will be achieved by
understanding the changing needs of the
customers and spending enough timed and
money in the R&D department.
Achievable The objective will be achieved by spending
20% of the income of the company.
Relevant The objective is relevant because the
customers are getting attracted towards
fashionable sports apparel.
Time-bound The time frame for the objective is 3-5
months.
Objective 3:
Specific To create a brick and mortar model for
creating loyal customers for the brand.
Measurable
The objective will be achieved by analyzing
the competitors and developing the physical
store at the most convenient place.
Achievable The objective requires a huge investment of
money.
Relevant
The objective is relevant because the
company has been growing at a fast pace and
is increasing its customer base (Juhlin and
Soini, 2018).
Time-bound The time bound for the achievement of the
objective will require 3 years.

Marketing Plan 9
Segmenting, targeting and positioning of Gymshark
This tool is used to analyze the buyers in the market and is divided in accordance with the
range of variables which determine the market characteristics.
Segmentation
Gymshark uses demographic segmentation as a marketing strategy. It segments its product
based on the gender, income, income, occupation and family size of the customers. The
company targets the age group of 16-25 who are fitness addicted. The company focuses on
customers who are getting health conscious and develops stylish sports apparel to satisfy the
customers of the athleisure market (Lavendaire, 2019)
The company also uses psychographic segmentation and targets millenials because the
millenials connect emotions to the product. They understand the changing lifestyles and
needs of the customer and produce the goods for the customers who revolve around fitness.
The company is also understanding the needs of the athleisure market and making
fashionable sports apparels (Lavendaire, 2019)
Targeting
Gymshark targets the niche market and designs affordable clothes for the gym goers. The
main target customers are the millenials who are fitness conscious. The company has also
entered in designing the clothes for the athleisure market. The clothes are designed for
customers who want to look good at the gym. The company uses focused targeting and sells
directly to the customers for developing close relations with the customers (Tuten and
Solomon, 2017).
The youngsters are the main target because they provide value to the company and
understand the emotion behind the development of the products. It designs the product for

Marketing Plan 10
both male and females and focuses on satisfying the needs of the millenials. In accordance
with the Mintel research, most Britons buy the sportswear for fashion however the company
must focus on designing fashionable products to satisfy the emerging needs of the millenials.
The turbocharged provides the opportunity to expand the market by targeting the athleisure
market (Gram, 2017).
Positioning
Brand positioning plays a major role in maximizing the sale of the company. It refers to
building the image of the brand in the minds of the customers. It describes the reason why the
consumer prefers a particular brand. The brand pricing plays a major impact on the brand
positioning of the products (RBlythe and Martin, 2019).
Gymshark designs the clothes for the customers who want to look good at the gym. It has
positioned itself as a stylish brand that designs stylish sports apparel for targeting the
customers of the athleisure market. The colors of the apparels are light and are mainly made
for the customers who are fitness addicted. The company designs clothes and accessories for
male and female and targets describe its product as fitness freak apparels (Luttgens and
Diener, 2016).
Marketing Mix of Gymshark
The marketing mix will help in influencing the buying behavior of the customers and
developing strong relations with the customers. It will describe the products offered by the
company to attract the customers and the pricing of its product. The customers will get a deep
insight into the products and the services offered by the company and will help in attracting
and retaining the customers. It will also describe the target area and promotions used by the

Marketing Plan 11
company for influencing the buying behavior of the customers (Chaffey and Ellis-Chadwick,
2019).
Product
The core product offered by the company is gym apparel. Gymshark focuses on designing
stylish sportswear for the millenials who aim to look good at the gym. It targets the athleisure
market and fulfils the changing needs of the customers. The company delivers augmented
services and inspires the customer by providing fashionable products to its customers. The
company uses organic material for developing the product and uses environment-friendly
packaging. It directly delivers the product to its customers and takes continuous feedback to
satisfy the emerging needs of the customers. It provides continuous after-sales services and
support to the customers (Chaffey and Ellis-Chadwick, 2019).
Price
The company uses the market penetration strategy in which it sets the lower prices as
compared to its competitors to attract more customers and increase the profitability of the
business. The company operates on the online platform which in turn provides the
opportunity to the customers to compare the prices and select the one that is most affordable.
The company can use economy pricing to target larger base and dominate the market. The
increase in the substitution products creates the merging needs to set the competitive
advantage and increase the market share by providing the product at affordable prices in
comparison to its competitors (Lovelock and Patterson, 2015).
Place
The company uses a direct distribution channel to distribute its product and have tighter
control over its supply chain. It does not distribute its power. The company directly serves the

Marketing Plan 12
customers to interact and develop strong relationships with the customers. The company must
use selective distribution to target the specific market and increase its customer base. The
selective distribution lies between an inclusive and exclusive distribution and increases the
market share by targeting the niche market. The company must focus on targeting the
athleisure market of the United States to satisfy the diverging needs of the millenials and
increase the market base (Luttgens and Diener, 2016).
Promotion
It is used as the major tool in influencing the buying behaviour of the customers. Gymshark
makes the huge investment in influencing its customers through sponsoring the
Instagrammers, youtubers, and bloggers who have a high fan base. The company has focused
on engaging customers through fitness influencers. The company uses brand ambassadors
and they travel the world to meet the fans and increase brand awareness. The company uses
social media content to promote and create high brand awareness. Such activities help in
expanding the market share by attracting more customers (Influencer Champions, 2019).
Conclusion
From the above report is critical to note that Gymshark is recognized as the fastest growing
company with a growth of 128% in the year 2017. The company provides the product at the
affordable prices and targets both men and women. The core target market of Gymshark is of
the age group 16-25 and designs the active designer sportswear to target the athleisure
market. The company uses various promotional techniques to increase its customer base and
has widely covered the huge market share.
It is analysed that the company directly provides its product to its customers and focuses on
engaging the customers to understand the changing needs of the customers and quickly

Marketing Plan 13
responding to their needs. The company promotes its products by using brand ambassadors
and fitness influencers to target the fitness addicted customers. The company has been the
major contributor in the US market which increased by 8% in the year 2018.
The above report highlights the strengths of the company and the increasing opportunity in
the external market. The company faces the huge competition and the market is highly
dominated by Nike and Adidas. The increasing entrance if the fashion brands have developed
the emerging needs to develop the products for the consumers who want to look good at gym.
It is analysed that most of the consumers wear sportswear just for looking fashionable. This
turbocharged creates the opportunity for the company to expand its market base and increases
profitability of the business.

Marketing Plan 14
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Marketing Plan 15
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