BUSI 2231 (04)
* Executive summary
Kiai Marketing Group (Kiai), which is founded by Roger Mills who are a student at the University of Western Ontario (Western), London, Ontario, is a newly small firm aimed at providing innovative marketing solutions to London business. With the development of the technology, the university class now has changed a lot than before. Laptop replaced paper and pen as to become a common tool for taking notes and searching information during the university class. Mills has founded that a majority of Western’s 30,000 students used laptops in the classroom and around campus. Based on these potential advertising media, our firm’s product is to take advantage of the blank backing of laptop lids which were unused advertising space by using a laptop skin that is designed by Mills. Our firm’s goal is reaching a profit of $5,000 for the first year, let 80% students know Kiai and 50% students putting ads in their laptop lids.
* Current marketing situation
As the 10th largest city in Canada and the 6th largest city in Ontario, the population in London is over 430,000. What is more, for the reason of its location and is also a major hub for health care in Southwestern Ontario and home to both the University of Western Ontario (Western) and Fanshawe College, it attracted a large amount of students around the world. In other words, the more students in London, the more laptops here, the more advertising we can put on the laptop lips. Additionally, the local small business in London got the extremely supporting by the municipal and provincial governments. This will really benefit for our group which is direct targeting of students at Western. In fact, our product is a creative product that is unprecedented. The market is always attracted by the new things, also, our product can make profits both for the advertiser and the students.
Our product is pretty easy to produce and got from our customers. We’ve already contacted with a small, one-person operation in downtown, London to produce a laminate material, it can easily be applied and removed from laptop lids by using a white adhesive backing. Not only is it convenient for students to put it on their laptop lids, but help the advertiser to save the costs.
There are a lot of advertising media in London, some of them are outside of the university such as the London Free Press. It is the London’s major daily newspaper which attracted almost 226,000 readers each weekday, 250,000 on Saturdays and 140,000 on Sundays. Although it has numerous readers and the pricing information of it is confidential, the cost of posting advertising on it is so high that is not suitable for business targeting for students. Because the power of university students’ consumption is not very high, the product that sold to them would not be so expensive, so it is not cost-effective for a firm that targeting university students by advertising on London Free Press. Some of the competitors are around the university such as Western news, The Gazette, Orientation Week Packages and Immobile Poster Campaigns. The similarity of these media is they are easier to reach out the students. However, the price of advertising is not cheap. The price in the Western News is ranged from $31.64 for a two-inch-wide advertisement to $497.20 for a full half page. Advertising in the Gazatte for one week ranged from $120.40 for one 16th of a page to $1,430 for a full page. A cost for “Welcome to Western” and placed business’s logo on the 5,000 laundry bags given to first-year students is $3,000. The cost of immobile poster campaigns in the Western is $110 per month due to the number of frames and specific locations. Compared to these traditional advertising media, not only does our product is creative, but we also save costs. Generally, university students are...