Our fitness is located in Cockeysville, Maryland, and provides fitness services to people of all age, level, and expertise. The main purpose of “Our Fitness” is to promote healthy lifestyles by providing knowledge on nutrition and exercising habits. “Our Fitness” is well known for it’s excellent services and aims to extend the business by providing two additional services. First, we will start fitness classes for people above 55 years old. These fitness classes are conducted to provide a comfortable environment for people above 55 to promote exercising habits and healthy lifestyles. Second, our fitness center will have our own restaurant next to the fitness center specifically designed for the members. Our fitness center’s restaurant will provide low fat, low calorie, and high protein and fiber food specially designed for promoting healthy eating habits. Strategically, Our fitness’s primary market target will consist of people over 55 and mostly retirees. Our secondary target market includes college and high school students.
a. Three ways that determined these products and/or services would be the most feasible and potentially profitable for the company to add are: 1. Placement
3. IS the profit margin large enough to make money but small enough for your “target audience” to afford? Placement
Placement or location is one of the most important factors in attracting and retaining customers. Everybody prefers easier and more convenient way to purchase products or services. Therefore, “Our Fitness” uses the placement approach to connect the products and services with the customer by making services and products more convenient and more accessible to the customers. Our fitness is located in the business area as well as densely populated residential area with three different universities and one community college. On the other hand, there are only two fitness centers in the area with very expensive membership and maintenance service fees. Overall, this fitness center will be in the center of public places. At the same time, Our fitness center’s restaurant will be only one diet concerned restaurant in the area. Therefore, using competitive advantage through the introduction of two new services will help to retain old members as well as to attract new members in the area. 2. Trends
People want to live longer and look good following healthy habits. It is very important to identify the market trends to assess the market potential. Understanding the market trends helps to respond according to customer behaviors as well as to develop sustainability. On the other hand, it also helps to analyze our competition and market potential. Different fitness centers are using different approaches to attract new members as well as to retain existing members. We have to understand that new members want new services. It is not possible to satisfy the consumers without understanding their needs. There is a fierce competition in the market to increase customer satisfaction by introducing new products/services. At the same time, there are many unsatisfied consumers who always change producers or owners because of unsatisfactory service or products. In our case, we even lost many members because of same services since last couple of years. So, we introduce our products/services as a result of customer survey and market research. Our market research and survey strategy will play a vital role to grow our target market in the future.
3.Is the profit margin large enough to make money but small enough for your “target audience” to afford? The profit margin is large enough to make money because we have young people who spend a great amount of money on food. You also have the retirees who spend a huge amount of money on good health. Also, these days people are more health conscious and follow healthy habits. Exercising and healthy eating are the main...
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