Assessment 1 BSBMKG609
BSBMKG609 Develop a Marketing Plan
Assessment 1 Template
Houzit is a chain of homewares stores in Brisbane that specialise in bathroom fittings, bedroom fittings, mirrors and decorative items. They currently have 15 stores spread across the greater Brisbane area, with all stores being managed and coordinated from their head office in Milton.
You have recently been appointed as the marketing manager and must now review the organisation and devise marketing strategies that will move Houzit towards its strategic goals.
The CEO has also asked you to consider some marketing opportunities that may assist Houzit in reaching its goals, and provide him with brief summary evaluating two alternatives, including the benefits and risks associated with each option, and making a recommendation for the opportunity most likely to produce results.
2. Organisational Overview
A Strategic direction
The strategic organisational objectives of Houzit are:
B Current Size, Capabilities, Resources of the organisation
There are currently 15 stores in the Brisbane greater Brisbane area. Each store has the following specifications:
Houzit is a very capable company that has been able to become successful because of its market analysis and market strategy. Houzit understands the markets that are attracted to the Houzit products such as:
These people are the people that Houzit target their marketing to and therefore, the brand has a very good reputation towards these people.
Houzit has a lot of customers and its profitability across all stores is satisfactory, however the cash flow of the company is one of the major problems. With all the repayment plans, it is difficult to get immediate cash to grow the company. With the lack of current cash, the company also finds it hard to pay for suppliers, rent and other current expenses.
C Performance Gaps
To increase the amount of sales, it is important to understand that the cash is not immediately collected because a lot of the sales are over a long term contract. This will mean that in 3 years time, the amount of cash that is made from the sales, may not be the full amount that was promised in the contracts. However as time goes on, the company will be generating larger amounts of income every year.......
With more marketing and successful customer service and public relations, the company can easily, reach the objective of 15,000 loyal customers within a short amount of time such as 2 years.
With a lot of marketing, the Houzit brand may became recognisable within 18 months, however it is important that Houzit keeps its reputation high and has a positive image on the Brisbane market. many companies can gain high brand recognition however they are recognised as a bad company, meaning that the recognition is not effective.
a.Identify two marketing opportunities (choose from Joint Venture, Franchising, Strategic Alliances, Merger or Acquisition) which meet the objectives and evaluate the risks and benefits of each opportunity.
Joint venturing is the best method because it involves sharing ownership and control with the other local companies. These companies have more experience in the new market and can help the Houzit company to grow. In some issues, local companies can do it better than international company such as how to distribute products to local people or some political policies. To be successful in business, better to have strong commitment with local companies that can support our business.
These are the options:
b.Recommend the opportunity that best addresses organisational objectives
Exporting is a very safe and very common strategy that many exporting businesses take, however joint venture would be much more suitable for Houzit, until Houzit feels comfortable enough to make own decisions and support itself in the market.
4. Develop a marketing mix strategy that fits within the capabilities and resources of the organisation
Low price for good quality products.
The products should have a lot of varieties to attract more customers. Customers like to have a lot of choices, unique styles and designs, and good quality that can last a life time.
The stores should be located in convenient and easily accessible locations. There are already 15 stores located around the Brisbane area, but there will be more over the country.
The promotion will be the most significant part to ensure that customers are attracted to the customers and get more people to visit the stores.
5. Describe how your strategies align with the strategic direction of the organisation, and give justifications for your selection
This improved and increased advertising will improve all parts of the strategic organisational objectives.
Increased Sales: with advertising, people will have a positive image to Houzit and will come more often for their housing needs.
Loyalty Customers: Advertising will make customers feel that the Houzit company is successful and a strong company. They will feel…...
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