Commerce 2211 - Marketing Management
Case Analysis Executive Summary Template
Case name: Aradia Fitness London
Student name: Zhanshuo Ma
Problem Statement/Issue(s) Identification:
Andrea Tierney opened Aradia fitness London (AFL) in London, Ontario, in 2005. The majority in come of the fitness club is to offering poles dancing class to local London. Tierney wants to lunch a new exercise program TRX which could help decrease attrition rates, and support poles dancing program at the same time. Tierney have a make decision in a very short period of time, which include an appropriate price point and promotion strategy to ensure success of the TRX program. Tiernry’s ultimate goal is to offer both classes as complement to one another.
I recommend Tierney to set the price for TRX program at $159.99 for 6-week program and $29 for teaser class. I also recommend Tierney to choice the promotion strategy to attract current pole dancing students and local university students by offering $129.99 for 6-week program and $19 for teaser class. And focus on local advertising by local radio spots, print advertising, yellow pages listing, and Facebook advertisements.
Rationale/Key Points of Analysis:
First of all, price. As Tierney recognized that, initial majority of TXR program students would be who are in the poles dancing class. So, set the price at $129.99 for 6-week program and $19 for teaser class is totally affordable for these students. Local university students would be another group of consumers who willing to have interest in this program. By considering they are sensitive with the price, I would recommend to set lower price for them, which same as current poles dancing students. The price of Competitor’s should be considered in setting price as well. From the case I know that, there are three competitors in London at this time, Athletic club, Good life, and Just sweet. Athletic club does not offer specific long-term training TXR program,...
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