Marketing Plan Report: True Health Fitness Gym in Werribee, Australia

This report presents a detailed marketing plan for True Health Fitness gym, focusing on its operations in Werribee, Australia. It begins with an introduction outlining the gym's services, vision, and mission, followed by an analysis of its target market, which includes residents aged 15-45 interested in maintaining an active lifestyle. The report covers key marketing objectives, such as increasing membership and developing new products like protein shake bottles and sports duffle bags. A comprehensive market overview includes market size, potential, structure, trends, and a SWOT analysis to assess strengths, weaknesses, opportunities, and threats. The report also profiles competitors, analyzes market segmentation based on customer needs, characteristics, and behaviors, and outlines marketing mix strategies. Furthermore, it includes a marketing action program, a control program to monitor performance, and financial considerations, providing a complete overview of the gym's marketing approach.

School of Vocational Business Education
Assessment Record and Cover Sheet
Assessment information
Unit(s) of competency: National code: BSBMKG502/ BSBMKG419
National title: Establish and adjust the marketing mix /
Analyse consumer behaviour
Qualification: National code: BSB50215
National title: Diploma of Business
RMIT Program:
Course Code:
C5358
MKTG7886C / MKTG7976C
Assessment Duration and/or
due date
See Canvas
Student to Complete:
Student Name:
Student Number:
Student Declaration:
I declare that in submitting all work for this assessment I have read, understood and agree to the
content and expectations of the Assessment Declaration (See Canvas/RMIT Website).

Marketing Plan
Report to Senior Management
1.Title Page
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Contents
1. Title Page..................................................................................................................................................2
2. My Business..............................................................................................................................................4
Type:......................................................................................................................... 4
Vision:........................................................................................................................ 4
Mission:..................................................................................................................... 4
Business owner(s):........................................................................................................ 4
Products or Services:..................................................................................................... 4
3. Marketing Objectives...............................................................................................................................5
Product(s) Development:................................................................................................ 5
Product Distribution:..................................................................................................... 5
Product Pricing:............................................................................................................ 5
Product Promotion:....................................................................................................... 5
Customer Service Levels:................................................................................................. 5
4. Market Overview......................................................................................................................................6
Target Market:............................................................................................................. 6
Market Size:................................................................................................................ 6
Market Potential:.......................................................................................................... 6
Market Structure:......................................................................................................... 6
Market Trends:............................................................................................................. 6
Sources of Information:.................................................................................................. 6
SWOT Analysis:............................................................................................................ 7
5. Competitors..............................................................................................................................................8
Competitor profile:........................................................................................................ 8
Direct Competitors:....................................................................................................... 8
Indirect Competitors:..................................................................................................... 8
Market Share:.............................................................................................................. 8
Strategic Alliances:........................................................................................................ 8
6. Market Segmentation..............................................................................................................................9
Customer Needs:.......................................................................................................... 9
Customer Characteristics:............................................................................................... 9
Customer Behaviour:..................................................................................................... 9
7. Marketing Mix Strategies.......................................................................................................................10
Levels and Types:........................................................................................................ 10
8. Marketing Action Program.....................................................................................................................11
Product or Service:...................................................................................................... 11
Marketing Communication:........................................................................................... 11
Marketing Procedures:................................................................................................. 11
Organisational Structures:............................................................................................. 11
Marketing Objectives Due:............................................................................................ 11
9. Control Program.....................................................................................................................................12
Monitor Marketing Mix Against Performance:....................................................................12
Marketing Budget....................................................................................................... 12
Profit-And-Loss Summary:............................................................................................. 12
Contingencies:........................................................................................................... 12
10. Report..................................................................................................................................................14
Product Development:................................................................................................. 14
The Consumer:........................................................................................................... 14
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Introduction
The report is prepared to discuss about the marketing plan for the health and
fitness club named True Health Fitness gym in Australia. It is one of the major health
and fitness clubs that has provided the best quality health and fitness services at
convenient prices and managed affordable gym memberships as well to facilitate
better management of health and wellbeing for the consumers who are heath
conscious in Werribee (Fitness.org.au 2018). The topic will illustrate about the
marketing objectives to be achieved along with the analysis of market conditions,
company strengths, weaknesses, competitors and how the organization will segment
its market as well.
2. My Business
Type:
True health fitness is a gym, which comes under the health and fitness clubs industry. True health
fitness is a franchise that provides affordable gym memberships, martial arts classes and massages
to average health-conscious consumers in Werribee.
The health and fitness club is basically a well known gym that delivers best quality
health and fitness services and aims at targeting the people in the Weribee area aged
between 15 to 45 years. The health conscious customers are also targeted because
they are mostly concerned with the purchase if products that can fulfil their needs
and preferences and at the same time, facilitate their health and wellbeing (Lovelock
and Patterson 2015). The company thus has a vision to become one of the leading
health and fitness clubs and mission statement revolves around the delivery of
healthy living options a reasonable prices for the customers in Australia. Few of the
products and services delivered by the company are massage therapy items, t-shirts,
sweat suits, active wear items, martial art items, etc.
Vision:
We aim to become the leading franchise in the health & fitness clubs industry.
Mission:
Provide exceptional healthy living options for customers at competitive rates.
Business owner(s):
Products or Services:
List what products or services you will bring to market
Product/Service Description Price
Martial arts Martial arts are traditions of combat Adult:
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practices, which can be used for self-defence. $55/month,
$8.39 including
GST
Child:
$35/month,
$5.34 including
GST
Massage therapy
Massage therapy is the manipulation of soft
body tissues to enhance a person’s health
and well-being.
$40/session,
$6.10 including
GST
T-shirts True health fitness merchandise with the logo
printed on the t-shirt.
$15 each, $1.36
including GST
Sweat suits True health fitness logo printed on the sweat
suit.
$40 each, $3.64
including GST
Child care We will take care of your children while you
workout. Free
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3. Marketing Objectives
As every organizations aim to enhance brand name and image and increase the
customer base, the same is the marketing objective for True Health Fitness gym in
Australia. The major business marketing objectives are to increase the membership
by 1 percent along with the development of sports duffle bags and introducing ne and
healthy protein shake bottles for the members as well. The production distribution
objective include display of products at the front desk to make customers aware
while the pricing is also considered as a major goal that can influence the buying
behaviours of consumers with ease and efficiency. The main objectives include:
 Increase membership by 10%
 Develop a sports duffle bag and a protein shake bottle for the members.
Product(s) Development:
Goal/Objective Description By when
Protein shake bottle Shaker with gym’s logo. January 2019
Sports duffle bag A bag to keep all your belongings in the
same place. January 2019
Product Distribution:
Goal/Objective Description By when
Protein shake bottle Display the product at the front desk. January 2019
Sports duffle bag Display the product at the front desk. January 2019
Product Pricing:
Goal/Objective Description By when
Protein shake bottle $15 January 2019
Sports duffle bag $39.95 January 2019
Product Promotion:
Goal/Objective Description By when
Protein shake bottle Promote through true health fitness’s
website/social media platforms.
December 2018
Sports duffle bag Promote through true health fitness’s
website/social media platforms. December 2018
Customer Service Levels:
Goal/Objective Description By when
Protein shake bottle Provide exceptional customer service. January 2019
Sports duffle bag Provide exceptional customer service. January 2019
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4. Market Overview
Based on various market conditions such as the varied needs and preferences of the
customers and supply of products, it is important for the organization to determine
the target market, assess the size of market and understand its potential and then
deliver the products and services accordingly.
Target Market:
The target market for true health fitness is residents in the Werribee area aged between 15 to 45
who are interested in maintaining an active lifestyle but may not be able to afford expensive
memberships.
Market Size:
We believe this is a good target market area because large amounts of people aged between 15-
45 reside in the area of Werribee. Approximately 23,000 people in Werribee are in that age range.
Market Potential:
Every gym member needs a protein shake bottle to intake protein as it refuels the muscles
depending on whether they take it during or after the workout. The duffle bag is also a handy
product for the members as it carries all the belongings that are needed for the gym, instead of
carrying the items in our pockets which can slip out and could get lost. These two products are
almost essential for gym members and therefore I can definitely say that the market potential
exists.
Market Structure:
The structure of market is defined as the characteristics and features of the organisation that the
company needs to focus on. These include the various aspects that are responsible for influencing
the competition and pricing. It also includes managing the market share to ensure that the
company stays ahead of the competition. Based on the market structure, the characteristics are
understood and the prices are set to make sure that the clients are influenced and sales revenue
increase (García-Fernández et al. 2018).
Market Trends:
The targeted market segment comprises of individuals aged between 15 to 45 years of age and
especially those who are conscious about their health. There have been increased demands for
the protein shakes and sports duffle bags, which has further enabled the organisation to
accumulate greater share in the foreign markets (Shank and Lyberger 2014).
Sources of Information:
Summarise where you obtain market information (Assessment Question 1).
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SWOT Analysis:
List each of your businesses Strengths, Weaknesses, Opportunities or Threats (SWOT).
Analysis
Strengths Weaknesses
 The products and services delivered
are aimed at people who are health
conscious
 State of art facilities including a
spacious gym and quality trainers who
can provide suggestions about the
right product
 Capital intensive allows for adequate
capital source management
 God location of the fitness club in
Australia and skilled trainers
 The financial management is poor
and lacked certain actions needed to
be undertaken for successful
business functions
 High competition in the marketplace
 Lack of training for the trainers,
which often results in degraded
business performance
 Opportunities Threats
 The increased demands for fitness and
healthy lifestyles have created positive
mindsets among the clients to make
purchases
 Growing concerns about health has
increased likelihood for usage of
fitness items and this creates scopes
for the company to improve revenue
prospects
 Scope for global expansion in business
 Threat of substitute products and
services
 Threat of competition
 Threat of new entrants such as active
wear sports items by other
companies
Activity
SWOT weakness/ threat Activity to address weakness/threat Completion date
Poor training
provided to the
trainers
It was found that the clients were sometimes
unsatisfied with the kinds of services delivered
and the reason had been the lack of skills and
knowledge of trainers
10.11.18
Competitive
marketplace
There are times when other companies fared
much well due to higher growth and sales
revenue
12.11.18
Poor management of
financial aspects
The profit and loss statements, balance sheet
and cash flow statement were analysed to
determine the financial condition
15.11.18
Poor customers’
services
The customers’ complaints were ignored and
responses had not been considered to make
necessary changes
20.11.18
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5. Competitors
Competitor profile:
Competitor
Name
Established
date
Size Market
share (%)
Value offered to
customers
Strengths Weaknesses
Genesis
Health and
Fitness
Melbourne
2010 Large 8
percen
t
Fitness
products
Good quality
products and
services
Lack of proper
customers’
services
Genesis
Health
and
Fitness
Mayfield
2008 Large
7
percen
t
Healthy
lifestyle
products
Proper
customers’
services
delivered
Absence of
skilled and
knowledgeable
workers
Fitness First
Australia 2016 Small
12
percen
t
Gym facilities
High quality
gym
instruments
available
High price of
products and
services
Centennial
health club 2012 Mediu
m
7
percen
t
Active wear
items
Good trainers
available
Poor
customers’
services
Flow
Athletic 2010 Small
5
percen
t
Gymnasium Skilled staffs
and workers
Lack of
products and
services’
variety
Itrain
fitness club 2011 Mediu
m
11
percen
t
Sports good
and fitness
instruments
Great pricing
for the
products and
services
Not enough
trainers
available to
guide the
clients and
make them
work properly
Direct Competitors
Genesis Health and Fitness Mayfield and Centennial health club are direct competitors.
Indirect Competitors:
Flow Athletic, Itrain fitness club and Fitness First Australia are the indirect competitors
Market Share:
The total market share of these health and fitness clubs account for nearly 50 percent within the
health and fitness industry of Australia (Fitness.org.au 2018)
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Strategic Alliances:
Being a large and reputed health and fitness club within the health and fitness industry, the
company has strategically partnered with few smaller gymnasiums and fitness centres to increase
the range of products and make those easily accessible to the customers for increasing the sales
revenue and profit level (Sparvero, Warner and Tingle 2016).
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6. Market Segmentation
The targeted customers in different market segments are from the age of 15 years to 45 years. The
market segmentation allows for identification of different kinds of customers and their behaviours
and needs, which are needed to be assessed for influencing their buying behaviours (Grant
2017).
Customer Needs:
This is for your ideal customer.
Customer Characteristics:
Custome
r
Age Gender Ethnicity Education Location Lifestyle Values Interests
Alex 35 Male Australia
n
Graduat
e
Sydney Aristocr
atic
lifestyle
He is
honest
Interes
t in
physic
al
activiti
es
Ruth 30 Male Australia
n
Post
graduat
e
Sydney
Middle
class
Keeping
good
health
and
remain
fit
Interes
t in
good
quality
fitness
produc
ts
Diego 25 Male African Graduat
e Victoria
Upper
middle
class
Leading
simple
life
Runnin
g and
sweati
ng it
out
George 22 Male America
n Indian
Graduat
e
Melbou
rne
Lower
income
Respect
for
elders
Love
for
sports
Pamela 17 Female Asian
Post
graduat
e
Melbou
rne
Rich
lifestyle
Helpful Sports
activiti
es
Kristin
e 26 Female Australia
n
Post
graduat
e
Victoria
Middle
class
Highly
commu
nicative
Keepin
g body
fit and
beautif
ul
Customer Behaviour:
The ideal customers here are the health conscious customers who live on a strict diet
and maintain daily physical activities to remain healthy and safe. The health and
fitness club, being one of the dominant fitness clubs in Australia has mainly targeted
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