Final e-Marketing Plan|
Asheenita S. King|
Table of Contents
I. Executive Summary (Assignment 8.2)
For most people, their home is the biggest financial and emotional investment they make. Before computer technology was as advanced as it is today people had to rely on the Yellow pages or the suggestion/advice of strangers, neighbors, friends, and/or family members if they wanted the perfect tool to the job themselves or to find the right contractor to do the job for them. With Home Depot home improvement retailer stores and its website has eliminated the guessing for us. HomeDepot.com gets more than 8 million visitors per week and operates more than 2,200 store locations. About 45% of its store visitors pay a visit to their website first in order to get a clear and concise experience of knowing what they are looking for and what they have to offer before going to the store. HomeDepot.com aides the consumer with localizes the closet store by the usage of the customers zip code; in addition to, giving them the most accurate price and inventory for that area. This is important because each area has its own pricing for its region it’s what they call regional pricing; where you may pay a certain price for a hammer in this state you’ll pay different elsewhere. The site also have a supply of videos, how-to-guides and consumer forums that provide answers to customers need to make informed purchases about the home projects that they want to tackle. They analyze their customers’ comments through e-mail, service center calls, and customer satisfaction surveys. They give the company the input to renovate itself to accommodate its customers’ needs of what they are looking for and plus aide in improving their sales outside the match your price offer with the competitor’s price.
II. Environmental Analysis (Assignment 2.1)
Matrices for Completing Section II of the e-Marketing Plan
Macro-Environment Factors: The Economy*
Economic Factors| Marketing Implications|
Current Size of Market in users, total units, both| Currently with 29,417,872 viewers, The Home Depot is one of the world’s largest home improvement specialty retailers with 2,250+ retail stores in all 50 states, the District of Columbia, Puerto Rico, U.S. Virgin Islands, Guam, 10 Canadian provinces and Mexico. In fiscal year 2011, The Home Depot had sales of $ 70.4 billion and earnings of $3.9 billion. Home Depot benefit from the projected growth in online sales. | Future Size of Market – 2, 5, 10 years forward| Home Depot expects the investments in technology to help deliver 4% to 7% of its overall sales through the online channel. Currently, internet retail sales comprise less than 1% of its revenue, and the company sees the Web as becoming increasingly important in influencing customer purchasing decisions. With customers relying heavily on online vs. in-store, Home Depot expects approximately retail sales of 53% rise by 2014.| Buying ability, income of users, sustainability of income| Online retail revenues for 2009 projected an increase of 4.1% from 2008 to $142.4 billion in sales. Despite the anticipated economic slowdown, online sales revenue of an estimated increase of 9.5% in 2010 and 9.2% in 2011.| Correlation of purchase behavior to economy| Stung by the deep recession and housing crisis in the U.S., the firm is beginning to regain its footing by focusing on its core Home Depot stores and exiting China. Most of Home Depot’s kitchen-category sales have seen double-digit comparable sales gains after similar declines in transactions above $900 two years ago.|
Macro-Environment Factors: Political and Legal Factors *
Regulations and Political Factors| Marketing Implications| Current Laws that restrict marketing activities| Must operate in full compliance with all applicable laws and regulations of the countries in which they operate.| Costs associated w/regulatory issues...