Target market selection before making decisions on

Target Market Selection
- Before making decisions on the 4Ps of marketing, you must choose your target market
- The entire marketing plan must be focused on this decision
- Be as specific as possible when describing the selected target market
Product
- Describe the product and or service that the company is selling
- How is the product/service positioned in comparison to its competitors
- What are some implications?
- Connect back to how the product will meet the needs and wants of the selected target
market
Placement
- What are the pros and cons of the placement options (distribution channels)?
- Which options are reasonable based on the amount of resources the company has?
- What are implications of your placement choice and how does it fit with selected target
market?
Price
- May require to determine the retail selling price
- Should consider the margin/markup demands for different distribution channels
- Can use trade chain but should be included in the exhibit, not within the body
- Connect the pricing strategy back to the selected target market and if it is a good fit
Promotion
- Consider the promotional alternatives to determine how to promote the product or
service
- Outline promotional choices in detail
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- How much would it cost to use each promotional alternative? (does not have to be for
each alternative, can only determine costs associated with the chosen promotional
strategy)
- Must focus on the target market and should consider how the promotional strategy fits
with the selected target market
Promotional Strategy
- Should consider the following when determining the promotional strategy:
o What message should be communicated?
o Actual message?
o Tone of message?
o Timing?
o Costs?
Marketing Math and Financial Feasibility
- You can use any of the following within the marketing report:
o Trade chain analysis
o Margins and markups
o Breakeven analysis
o Unit contribution
o Statement of earnings
- However, a sensitivity analysis is essential within the marketing report
- Play around with numbers to determine what would be beneficial and detrimental to the
company
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Business 1220E- Lecture 32- Internal and External Marketing Analysis (Gracie Barra
London) Part One
Alternatives
Target Market
- Western University Students
- Males
- Females
- Children
Promotion
- Western Gazette
- Direct mail
- LTC bus advertisements
- Other
Product
- Gym expansion
- Add new classes
- Increase number of classes
Price
- Pricing adjustments
- Gym membership pricing
Marketing Objective
- To increase enrollment and interest
- Goal of increasing enrollment by 40% within the upcoming year
o Currently, there are 100 members and thus wants to increase total members by
an additional 40
Internal Analysis
Finance:
- Only has $3000 from personal savings for marketing budget which is considered
relatively small in relation to the marketing goal of an increase of 40% in enrollment
- Fateh Belkalem has secured an $8000 interest free private investment for a potential
expansion, however would require an additional $2000, resulting in only $1000 left over
for marketing which is definitely not enough to reach goals or produce effective ads
Marketing:
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