Advertising and Promotion 3
Primarily, XYZ Company has designed an integrated marketing plan for a new product, the Jayde mp3 player. XYZ is a major competitor in the industry of electronic marketing and is inclined on increasing its profitability and brand equity in its respective market. The company has a mission of ensuring that its clients have the information and tools needed to succeed in the technological and electronic field. One major goal of this exercise involves increasing sales, improving the company’s brand and enlarging the market share in its respective field. Acting as the product manager for this company, endeavored to design a promotion mix plan, evaluating the effectiveness of this design, and applying effective methods of setting the budget of the project. This also involved evaluating the implications of the product as stipulated in the IMC plan.
Promotional Mix and Marketing Communications
Upon conducting an internal situation analysis, the management was able to establish the bay boomers as the main target for the product. In particular, the target market comprises people fifty-five years and above. This target market makes up about a quarter of the population in the United States and has the largest share of disposable income compared to other segments. They are busy, active, and vital , which makes them the main target market for the new Jayde mp3 player. The term active implies energetic people who engage in social working, swimming, and participating in aerobics. The gadget in this case is designed with a large screen and buttons and overall durability. These are the main qualities sought after by the baby boomer demographic. Health conscious consumers also make a part of the target market, since they want product with waterproof qualities especially when they are working out.
At XYZ, the management endeavored to employ a developed approach incorporated with goals, implementation, and research. By highlighting realistic goals, management was able to create an obtainable and measurable marketing plan and a vision coordinated with the goals and desires of the client. Undertaking extensive primary and secondary research allows better understanding of market habits and behaviors. Positioning is one way through which the target market is in relation to competitive edge. The simplicity of the Jayde mp3 player is a good product for customers who shy way from using complicated gadgets. Hence, the aspect of positioning is based on combining attribute and advantages of positioning.
Combination of positioning was carried out in terms of a given feature that offered competitive advantage by using brand benefits that appeal to the ideals of customers. Attribute positioning relates to the product through the aspect of making the design with superior materials and a unique appearance such as a large screen and buttons. Superior materials include waterproof features and high durability. Benefit positioning is a way of showing the customer how the product is designed to suit their needs. The main benefit position applied in the product appeals to functional needs. The waterproof rubber and large buttons fulfill the need of convenience by customers.
The unique points of promoting this product include the large screen and buttons. The simplicity of the Jayde mp3 makes it more user friendly compared to gadgets from other competitive companies such as the iPod. Another way of promoting this product comes through its target market, the baby boomers that have the disposable income. However, one major problem comes through Apple’s product in the form of iPod that is leading the market. Additionally, XYZ’s brand is not that strong to promote the product. A good way of promoting this brand may involve collaborating with a company in the auto industry. This is because vehicles manufactured in the current age are fitted with mp3 player adaptors.
The use of Internet will also be applied in promoting the new product. Advertising through the Internet will be achieved through the Google Adwords program. This involves displaying ads on various sites on the Internet that correspond to the preferences of the advertiser. Adwords is a means of displaying advertisements in certain sites worldwide. With millions of ads displayed on the Internet, the chances of attracting customers will be higher as well as strengthening the company’s brand.
The company already has a website, consequently, the budget for this means of communication is zero. Additionally, setting up other communication profiles such as social media bears no expenses. Social media such as Twitter, Linkdin, and Facebook will be necessary to reach the target customers. Another free method of reaching the target consumers is through writing a Blog. This activity will also be necessary in keeping the content of the company’s website fresh. Signage is also an excellent way of informing the public about the new Jayde mp3 player. Good signage will set up excitement for the company and strengthen its brand. However, this will cost a significant amount of money, since a number of billboards will have to be erected. Roughly, signage will cost the company about 800 dollars.
It will also be necessary to use independent agents to help sell the product. Finding an agent does not cost any money but uses the resource of time. Classified ads will also be necessary. These will be through the Internet and newspaper. This method of promoting the product is quite targeted and inexpensive. Methods such as community advertising will not be applied, because the company is not targeting a particular firm, but an entire demographic distributed throughout the nation.
The company will also use advertisements on the national broadcast television. Advertising through this means will launch the product brand into the minds of the consumers. Even though this is an expensive means, it is also necessary, especially for a new electronic product that people would not seek out. Additionally, advertising through the television will also be accompanied by a public relations campaign to facilitate public interest on the product. This will cost the company most in advertising with up to 2,000 dollars. Newspaper or national magazine advertising is also a necessary means of promoting the product. Print media will be an efficient method of building national credibility. This method will reach out to the public that missed the advertisements on television.
Celebrity endorsements would be the best way of promoting the new Jayde mp3. This method would give the company a competitive edge against other leading companies such as Apple. However, getting a well-known person to endorse this product has its limitations. For example, it is too costly, and the celebrity may fall from the limelight due to scandals or drug use and tarnish the company’s brand. In this case, the company saw it reasonable, to go for an ordinary model to advertise the product. This would involve taking a video of the model using the gadget, preferably a baby boomer, since they are the key target market. This video would be the one used in television commercials. It is expected to cost the company about 900 dollars.
Measuring Effectiveness of the Promotional Campaign
The success of this integrated marketing communication plan will be measured by records of awareness and success. ROMI or returns on market investments will be determined by how the volume of sales will perform in terms of brand awareness and consumer attitudes towards the Jayde mp3. Marketing this product will be based on raising consumer awareness and maximizing sales. Analyzing records will allow us to understand the progress of our marketing plan. If sales of the product are high within the first three months, then we will know that the plan was successful. Marcom efforts in the current financial period may not improve the volume of sales until a later period, hence, there is a need of using a space of three months. If the sales are be low after the initial three months, it will be need to carry out a re-evaluation exercise and determine the necessary amendments that need to be undertaken.
Brand awareness is a critical factor for XYZ Company due to the many other companies competing in the same field. The ultimate goal in this case is top of mind awareness by the consumers. Improved attitudes about the company along with brand awareness are extremely significant. Increase in sales will be an indicator that purchases intentions and attitudes by the customer has improved. Increase in sales will also indicate success in strengthening the company’s brand. If we determine that brand awareness has increased, yet the sales are still below the expected level, then another two months will be necessary to wait for sales to go up.
XYZ is a growing company in the electronic and technological industry. It partly endeavors in providing clients with necessary information and tools to foster success in a constantly growing technological and electronic market. The company prioritizes creating strong bonds with its clients by creating awareness, a good image, and growing equity for the brand and products. To oversee this objective, the company endeavored to design, manufacture, and release into the market a new product, the Jayde mp3 player. Ultimately, releasing it into the market required undertaking certain measures including drawing up and executing an integrated marketing communications plan.
This integrated marketing communications plan was designed to accomplish a number of marketing objectives. Ultimately, these objectives provide the base for other decisions that needs to be made by both the company and the clients. The goals can be measured and are to address the company’s mission statement. The main objective involves improving XYZ’s brand, increasing sales, the company’s market share in the technological and electronic field. The new Jayde mp3 product is one-step towards achieving the objectives named above. The goals are simple and involve moving the crowd from a status of unaware to that of aware. This will ultimately be facilitated by implementing new product offerings and facilitate them with successful introductions, establish new relations with clients, and use consumer friendly technology to lead the market.