P3 – Plan marketing for a micro start-up business that is relevant to customer needs a) Marketing definition and opportunity
At East Side we understand that we cannot sell to the whole market, but by knowing the size and trends in the market we will be able to assess future opportunities and predict future sales patterns. The people who will buy from us include middle class – professional people, these individuals can be either high earners or those on a budget. b) Proposed target marketing segments
Professional people/middle class
£18,000 and above
c) Demand for product
The reasons for demand of our products include:
The area is just developing due to the construction of the London Luton Airport. It will benefit from the boost in tourist – those self-catering tourist who will require our services and due to our strategic location consumers must shop as there are no other routes to and from the Airport. d) Competition
There are many rivals offering similar products and services, in an effort to attract customers and be different our consumers will be able to shop in spacious air conditioned comfort. * Leaflets will also be place in the weekly newspaper.
* Flyers will also be distributed and interested parties can make an order through the contact details on the flyer. * Our sales team covers every village and town.
* We are open 24/7 and do home deliveries to our customers * Loyalty cards which offer benefits to loyal customers
Also a unique feature of East side is the meat department which is the walk-in refrigerated cooler. It is an experience like no other. Customers can stroll through isles of the largest selections of bulk meats, fresh cut meats and provisions; a customer can always be assured to find their favourite cuts. A customer can select a bulk item and have it custom cut by our experienced butcher at no additional charge.
e) How success will be measured
To ensure that our marketing efforts were successful, East Side will check performance in:
* Stock turnover – this will enable us to identify which items or services are slow to sell and which are very popular and to review the product mix effectively.
* Customer satisfaction – if customers are happy this in turn will generate more sales, we will review all complaints and comments and their views on our prices and other improvements they may want us to make.
* Sales levels – a monthly analysis will help our business to identify patterns in sales and show when we need to take action to boost sales.
* The amount of new customers who visit the business
f) Other external influences
All VAT (Value Added Tax) will be paid over to the Government. This can create cash flow problem for the business, because all VAT is payable on all sales, including credit sales, which means that the business has to pay over VAT before the money is actually collected from the customer.
If the business fails to pay the VAT, then eventually the Government will send authorities to insist on payments or face legal actions.
Expiry Dates: All expired products will be removed from the shelves and will be disposed of according to local and international guidelines. Expired goods on the shelves can ruin the reputation of the business and drive away customers. It can also be dangerous to our health.
* People eating healthier will affect what you stock. There has been an increase in more healthful products being marketed by the major food companies than ever before.
* Pricing will be stable and somewhat boring compared to prior year price swings.
* Private label will continue to gain market share compared to branded products.
P4 – Plan a costed promotional activity for a micro start-up business that is appropriate for customer groups a) Coordinating with the rest of...
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