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TABLE OF CONTENTS I EXECUTIVE SUMMARY2 II COMPANY’S MISSION STATEMENT3 III PRODUCT DESCRIPTION4 IV MARKETING PLAN5 1. 0 SITUATIONAL ANALYSIS5 2. 0 OBJECTIVES15 3. 0 SELECTION AND MEASUREMENT OF TARGET MARKETS16 4. 0 STRATEGIC MARKETING MIX29 5. 0 IMPLEMENTATIONS AND EVALUATIONS35 V APPENDIX37 VI REFERENCES39 I Executive Summary We plan to introduce ‘Monogamy’, an adult board game which both enhances a couple understanding of each other, as well as turn up the heat in the bedroom, under the internationally renowned manufacturer of condoms ??? Durex.
As a market leader, the brand enjoys a unique market position and a stellar reputation which lends the image of reliability and excellence to the product that we are launching. This will reduce the initial marketing costs involved. The current market is still in an infancy stage with the lack of any clearly defined and organized competition. There is also a lack of awareness of about such a product. After the initial market research, we selected the demographic age groups of the twenties and thirties to direct a concentrated marketing plan as they are the easiest to reach and most likely to adopt the game due to a more open mindset.
Adopting a marketing concept, we seek to achieve awareness among the potential market within the implementation period of the marketing plan as well as a modest sales volume target of 14 500 units. Our objective is not to just make sales, but also encourage a more open society. ‘Monogamy’ will be launched at an initial price of $69. 90. We have decided to bypass wholesalers in our distribution, and go directly to retailers and consumers. The product will be advertised on selected publications as well as at various physical promotions.
Throughout the twelve month period, we will maintain checks of sales and market analysis at bimonthly intervals. In addition, a survey and observational analysis will be conducted at the end of the implementation period to obtain soft data on the changes in the attitudes and mindsets of our potential market. II Company’s Mission Statement “Here at Durex, we believe in offering adults around the world the confidence and freedom to enjoy better sex.
Challenging tradition, we believe in constantly evolving with times to offer total fulfillment ??? mentally, emotionally and physically” III Product Description The product our company is launching is named Monogamy. It is an adult board game that is designed for couples to have a fun and loving time together. The name of the game has already spoken for the objective of the game in itself. It aids couples in creating the honeymoon period again ??? to put the spark back into the relationship, enhances understanding of one’s partner and even turn up the heat in the bedroom.
Unlike other board games on the market which focus purely or mainly on physical fun and pleasure, the game promises, and delivers, an entertaining and enjoyable time for couples along with increased emotional intimacy IV Marketing Plan 1. 0 Situational Analysis 1. 1. 0Internal Resources of firm To succeed in the business world, one has to know oneself as well as one’s competitors. Through a thorough analysis, we have summarized our strengths and weaknesses as follows: 1. 1. 1Strengths and Weaknesses Strengths: 1)Strong market position Durex enjoys a unique position as the key leader and manufacturer in the market for protection.
The prestige and hence power of the brand, along with the positive current positioning, places us in the enviable situation of an edge over our competitors in terms of the relative ease of marketing as well as a symbol of reliability and excellence that Durex have come to stand for over the years. ???Relative ease of marketing Durex is a well established company (Registered in 1935). By marketing our products under Durex, we will be able to draw attention and interest to our products with relative ease as we will not have to educate the targeted market segment on both the brand and the product. Symbol of reliability and excellence In line with Durex motto of ‘durability, reliability and excellence’, our targeted market segments know that they can trust Durex to deliver ??? thus lending credibility to any product that is launched under Durex. 2)Nature of product In the market of intimate board games, we are seeing an overwhelming majority of kinky board games ??? games that are mostly focused on the physical aspect of a relationship. Our product offers in addition to the former, enhanced emotional intimacy.
Given the demand, and the unavailability of such games in Singapore’s market, our product enjoys the distinction of being different and unique. Weaknesses: 1)Luxury item Under Maslow’s order of importance, our product is deemed to less important as it is not a necessity to survive, but rather a self-actualization need, hence the targeted market segment will be less willing to purchase the product. Moreover, the relative high cost of the product prevents people from buying it on a whim. 2)Product positioning
As the adult board games on the market are largely kinky ones with little or no focus on relationship building, though our product differs in nature, it stands the danger of being associated with such games and deemed as ‘just another kinky board game’, resulting in our game being portrayed less then favorably. 3)Lack of awareness and knowledge about product The product is still in the introduction stage of the product life cycle due to the lack of any focused marketing campaign previously. Thus, the existence of such games in the market is relatively unknown. Consequently, unfamiliarity breeds misconceptions easily which are already rife. . 2. 0External and non-marketing forces 1. 2. 1PEST Analysis 1. 2. 1. 1Political and Legal Environment 1)Strict local laws The quantity of legislative red tape governing the advertising creates an exceptionally challenging environment to market the product due to the limited number of ways in which the product can be advertised and brought to the attention of the targeted market segments. 2)Governmental support Tasked with solving social and demographical challenges such as the rising divorce rate, as well as a low birth rate leading to an ageing population, the government stance on relationship building products leans towards a ositive attitude which in Singapore’s society, that is, our ‘nanny state’, matters a lot. 1. 2. 1. 2Economic Environment 1)Expansionary phase of economic cycle Economy is currently in the expansionary phase of the economic cycle; people feel safe to spend as they believe (rightly) the economy is growing, and hence are more likely to spend on luxury items 2)Vast majority of population subsisting above the poverty line Similar to the development of a civilization, when the people’s basic needs are met, only then will they have the time, energy and resources to spend on the arts and culture.
Our society have progressed to the stage, where the vast majority do not live on a hand to mouth existence and have the excess cash to spend on luxury goods such as our product. 1. 2. 1. 3Social and Cultural Environment 1)Conservative social climate As a traditional Confucianism based society, people are hesitant and reluctant to adopt anything that are deemed provocative for fear of contempt and ridicule by their social groups. The rejection of such a game as outrageous is a very real possibility. 2)Entrenched mindset
Though a modern society, the concept of usage of props and other external aids in relationship building is still in its infancy. We are faced with people who do not recognize the need for such a product and have to challenge their mindset for the successful marketing of our product. 3)Career minded population The advent of higher education has seen a steady incline towards late marriages. Even in a marriage, the copious levels of stress that each individual has to cope with at work leaves little room for intimacy.
Consequently, there is a growing need and demand for a novel intermediary that will allow couples to shift from ‘work mode’ to a more relaxed atmosphere, fertile for a relationship to grow and fester. 1. 2. 1. 4Technological Environment 1)Ease of reaching targeted market segments With the fetters that local laws put on traditional advertising channels, the internet is a easier way to reach our targeted audience. Moreover, it provides an alternative, more convenient method of purchase over the internet instead of the traditional shop fronts. )Anonymity The internet allows the ‘shy’ population to perform their market research and purchases online in privacy, emboldening the otherwise conservative society with anonymity. 1. 3. 0Potential Markets Due to the nature of our product, our potential markets consist of dating or married couples. At this juncture, we have subdivided our potential markets by the demographic factor of age groups. Couples at different age groups are at different points in life where they have different needs which our product can fulfill regardless.
From the twenties, freshly in love, to the fifties, enjoying their golden years together, our product is the vector to a renewed and refreshed relationship. 1. 3. 1Market Summary 1. 3. 1. 1Needs of Market Today’s hectic corporate environment has created more than high shrink bills; it has also produced people who are too occupied in their work, and busy, to adjust back to personal life effectively and totally. More than ever, is there a need and demand for an intermediary to aid people in shifting their focus from work problems to family life, as well as a vector for quality time together.
Be it newly weds, or couples who have been together for decades, a breath of fresh air is always welcomed. There will always be a call for novel ideas, products and services. Due to generally conservative nature of our Asian society, any products that touches on sensitive issues; sexuality and emotions, the market prefers it to be sublime rather than outright provocative. The fast ???food / convenience mentality of our society requires products to be multi-functional; enhancing sexual and emotional wellbeing and to the point. 1. 3. 1. 2Market Trends
The market for such adult novelty toys and board games is still in its infancy here in Singapore. Very few people are aware of the existence of such novelty board games beyond the usual kinky material, and out of this fraction, only a diminutive handful are well acquainted with it. Knowledge of such novelty board games is not widely available, and people generally shy away from making purchases of the unfamiliar. While we are seeing an increasing lean towards a more open and accepting society due to increased western influences, the actual uptake; purchases made of such novelty toys and games is still relatively small and slow.
Nevertheless, demand for such items are gradually increasing, albeit slowly. 1. 3. 1. 3 Market Growth According to the Boston Consulting Group’s Share-Growth Matrix, novelty board games can be classified as a ‘question mark’. As the market is relatively young, we are likely to experience high growth with increasing adoption by people. Whether we are to enjoy a large market share will left to be seen as we have yet to enter this market, but with appropriate product positioning, we are likely to enjoy preferential treatment by our target customers over competitors due to the strong market position our brand enjoys.
In addition, our product is still in its introduction stage despite it having been in existence for a certain period of time due to the lack of large-scale marketing locally. The innovators are still hesitant to pick it up ??? let alone the early majority of the target market. Thus we expect to see an increasing growth in sale, with profits only starting to turn in after the early majority starts adopting our product, when our marketing plan is put into action. 1. 4. 0Competitors We consider our competitors all physical products that help to enhance a couple’s relationship, whether is it through a physical, mental or emotional state.
Firstly, we examine the direct competitors ??? that is to say the board and card games that create opportunities to draw couples closer through ‘get-to-know-you-better’ games. Such games are a dime a dozen, so we will most probably be confronted with issues of how to differentiate our game from the rest. In addition, couples may prefer card games as it is more convenient and portable. On the other end of spectrum, couples may also prefer games that include a wider range of props to add to the atmosphere and mood.
Next, we also considered the threat of substitute products such as vibrators and various sex toys. The straight forwardness of such objects to improve the physical relationship directly rather than indirectly improving sexual intimacy through enhanced emotional connection may be seen as an advantage by the target consumers. Hence, this group of competitors cannot be overlooked in our marketing plan. 1. 5. 0SWOT Analysis Strengths: ???Durex a market leader in the protection industry hence by using a brand extension strategy; -Instant recognition and faster acceptance Reduced advertising costs associated with launch of new brand ???Product emphasis on relationship building rather than physical pleasure; different from majority of similar products in the market; occupies a niche Weakness: ???Product is considered as a luxury item- low on consumers’ priority ???Product positioning; negative association with similar kinky products on the market ??? tainted image ???Lack of awareness and knowledge about product, thus, time and effort have to be spent to educate the target market segment on the product, it being an unsought product Opportunities: Market is still young, with a lot of untapped potential; by entering it as a forerunner ??? we stand to become the market leader ???Government is promoting romance and formation of the basic family unit which is in line with the product aim ???Advent of new technologies ??? the internet offers consumers an anonymous means to obtain more information about a sensitive product as well as make purchases ???Economy is in expansionary phase with majority of the population living above the poverty line ??? people are willing to spend on unsought productsThreats: A generally conservative society with entrenched traditional mindsets may cause the game to be rejected directly at the onset as preposterous and unnecessary ???Legal red tape abound for the advertising of products which are sexually suggestive decreases outreach methods as well as increase overall marketing costs ???Large variety of ‘get-to-know-you-better’ games exist in the market ??? difficulty in differentiating our product ???Convenience and straightforwardness of sex toys may lead to a preference of the former over our product . 0 Objectives 2. 1. 0 Marketing Objectives 1. Sales target of 1million sale dollars in a twelve month period; sales target volume of 14 500 units of the game 2. Net profit of 500 000 dollars 3. Encourage growth of market for adult novelty games by increasing awareness and encouraging a more open society 2. 2. 0 Relationship between Mission Statement and marketing objectives Our company’s mission statement is to offer total fulfillment on all aspects of a relationship.
Through encouraging a more open society, we believe this will increase the flow of relevant information and knowledge which will aid couples at working together to build long, lasting relationships. Moreover, the product that we are launching will increase communication between couples which is in line also with our company’s mission statement. 3. 0 Selection and Measurement of Target Markets 3. 1. 0 Outline of Market Research Conducted 3. 1. 1 Research Objectives To establish a clear direction, we defined our research objectives.
Firstly, we wanted to understand the mindset of our potential market before using the obtained data to aid us in the making the decision of which market segment to target. Secondly, to decide upon the type of marketing strategy we should employ as well as the product positioning. Lastly, for budgeting, we required an estimated sales forecast. We adopted a descriptive research method to acquire a comprehensive understanding of the attitudes of our potential market. 3. 1. 2 Research Plan The issue of lack of sufficient emotional and physical intimacy between ouples is very real, but more concrete information is needed on it. Thus, the first step was to obtain from secondary-data sources ??? that is, Durex Global Sex Survey, Statistics Singapore, AC Nielson, to name a few, actual figures on the extent of Singaporeans’ satisfaction with their own sexual and emotional relationships. Also, figures were found on the size of the potential markets. Next, observation studies were conducted, where observers were sent to various shops retailing adult novelty games to observe during peak (weekends) and non-peak (weekday afternoons) shopping hours, the consumer behavioral aspects.
Also, casual interviews were conducted with both people who displayed interest in the adult board games but did not purchase it and those who actually purchased the game. Lastly, we conducted a survey. 200 random adults were chosen from the areas around tertiary institutes in Singapore and the central business district. This is because we had already decided to concentrate on the better educated portion of the population based on analysis of the secondary data obtained previously. The survey was developed carefully to chart the attitude of the people towards our product.
The demographics of the people surveyed were also charted to distinguish the demographic groups which are more favorable towards our product. 3. 2. 0 Market Segmentation We found that the best way to segment the potential market was by demographics. Singapore has seen many drastic changes through the years from a conservative society to one that is hip and trendy due to the influence of the western society. The era when the consumer is born and raised in affects the thinking of each individual. Therefore age group plays a major part in determining the mindset and attitude of the consumer.
Psychographic segmentation is also used as the social class, life style and personality of each age group will also play a role in the buying decision of the consumer. 3. 2. 1 Twenties age group 3. 2. 1. 1 Mindset and attitudes They are born in the era whereby culture is very much affected by the western society; hence these groups of people in the 20s tend to be very open-minded. Intimate topics are discussed openly within their circle of friends and they are easily influenced by their peers hence word of mouth is a highly effective mode of marketing for this group.
Due to the high standard of education, marriage is not the main priority of this age group as their focus is on achieving more in their career and life before settling down. But they are more willing to try out new and innovative ideas that appear fun and exciting. 3. 2. 1. 2 Buying power and purchasing habits It is difficult to gauge the spending power of the people in the early 20s as a vast majority of them are still receiving a stipend from their parents while completing their tertiary education. Those in the mid to late 20s are new to the working society.
Moving from no income, to a steady income, they are predisposed to spending being unused to having an income and with little or no liabilities. However, the people within the age group may place more priority in the purchase of consumables and specialty products as they strive to climb up the social ladder. 3. 2. 2 Thirties age group 3. 2. 2. 1 Mindset and attitudes Possibly the most difficult age group to comprehend as it’s a period of transition for many, from an active individual, to an adult who has various family concerns that form their top priority.
While it may not hold true for all, we witness this shift in mentality occurring for most when they are in their early thirties. . People in the age group are also generally more focused on their relationships and willing to spend more time and effort to build on their personal relationships. Being born and raised in the era that witnesses the transition between conventional and innovative ideas, there is a mix of both the traditionalists and open-minded.
Effort has to be taken to reach out to latter within this group. 3. 2. 2. 2 Buying power and purchasing habits They have a rather strong buying power as the majority has already reached a stable period in their career commanding a significant income. Those that are in the early 30s will also be more likely to spurge on specialty and unsought products ??? haute couture, flashy cars due to their desire to remain in the social strata which they have been in, and them being able to afford it.
The purchase of unsought products comes about as they have reached a stage where they have fulfilled their physiological, safety, social and esteem needs and have now shifted their focus to their self actualization needs with respect to Maslow’s Theory of Motivation. However, on the converse, those in their late 30s will be less likely to spend on specialty and unsought products due to them already having a family ??? hence their focus will be on necessities and consumables as well as their various long term liabilities such as housing and car loans. 3. 2. Forties age group 3. 2. 3. 1 Mindset and attitudes They are generally more traditional as majority in this age group belong to the baby boomers generation. Though well educated, as people in this generation enjoy the benefits of a unified educational system, they are still largely influenced by the views and ideas of their parents generation as the advent of mass media such as the television and internet was not till their formative years were over ??? that is they are largely unaffected by western culture. 3. 2. 3. 2 Buying power and purchasing habits
Most are at the acme of their career ??? greater amounts of disposable cash on hand. However, their primary priority is still the needs of the family ??? children’s education, housing loan and other long term liabilities. They are highly unlikely to make purchase of unsought and specialty products. 3. 2. 4 Fifties age group 3. 2. 4. 1 Mindset and attitudes Conservative Mentality: Generally the consumers that belong to this age group are very conservative and traditionalistic. Intimate topics are avoided and new ideas are well received nor easily accepted.
They are in essence, the ‘laggards’ in the adopter categorization. Usually, products touching on sexuality are rejected as ridiculous and preposterous by this group. Early Marriage: Majority of the people in the age group get married very early in their 20s. After the long years of marriage, the relationship has lost its spark, and without adequate effort at ensuring the relationship works, there is a tendency for the marriage to head to rocky grounds. Around 5% of the male population and 4% of the female population divorce after the age of 50 as of 2006 in Singapore. . 2. 4. 2 Buying power and purchasing habits Consumers in the age group are mainly retired or awaiting retirement. Consequently they possess a greater amount of disposable income to spend on their ‘wants’ as opposed to ‘needs’ as they have mostly finished repaying their long term liabilities and their offspring are already grown up and independent. 3. 3. 0 Assessment of size of potential markets Though Singapore is experiencing an aging population, there is still a relative large sector of the younger age groups from 20s to 30s.
Singapore’s population is also growing as more foreigners come in to work and stay. The market segmentation and subsequent marketing plan and strategy as discussed previously, and also in the later sections of this report are based on and focused upon the born and bred Singaporeans which form the vast majority of the society. 3. 3. 1 Statistics of potential market segment against total population With a total population of 3. 7 million (rounded up to the nearest 0. 1million) in the year 2006, the percentage that our target market segments form of the total population is:
Total number of people in the 20s to 30s age group= 479700 + 610900 = 1,090,600 Percentage of the target market segments out of the total population= 1,090,600 / 3,700,000 x 100% = 29. 48% 3. 4. 0 Discussion of the attractiveness of individual segments The 20s (Ages 21 to 29) Positives Negatives ???Open minded; easy to accept new ideas ???Seeks excitement/ unpredictability/ thrills in the game ???Easily influenced by friends???Limited funds ???Novelty rather than a long term interest ???Tendency to be more focused on the physical aspect of the game and less on he relationship building aspect of the game thus lending a negative image ???May not be at a suitable circumstance in life and relationship to truly appreciate the depth of the game ???More focused on career than relationships thus less likely to buy the game The 30s (Ages 30 to 39) PositivesNegatives ???More disposable cash ???Stable career for PMEBs; desire to enrich other areas of their life ??? relationships ???Luxury lifestyle ???Just married honey moon period???Not as easy to accept new things as though in the twenties The 40s (Ages 40 to 49) PositivesNegatives Most disposable cash as have paid off car education loans ???More free time with children grown up and having their own lives???Too conservative ???Not as energetic as the youngsters ???Rely on more traditional forms of advertising ??? limited ways to reach them The 50s (Ages 50 to 59) PositivesNegatives ???Just retired; a lot of time and cash???Very conservative ???Intimate topics generally avoided ???Laggards ???Family bonding over couple bonding ???Low literacy rate; reduced exposure to western culture and lifestyle 3. 5. 0 Selection of targeted segment + reasons
Based on the feedback obtained through our marketing research, we decided to target the demographic age groups of the twenties and thirties ??? that is, people from the age of twenty-one to thirty-nine. This is due to them being generally more open minded ??? having been exposed to western culture for most of their lives, thus they are able to accept ideas that are considered ‘more wild’ by the older generations more easily as they belong to the innovators and early adopters segments according to the adopter categorization.
They are also in essence more ‘tech savvy’ and hence easier to reach through the new media. This aspect of the target market segment is crucial as our product is of sensitive nature and people may be hesitant to make any enquires or purchases at physical retail outlets directly. Willingness to spend also factored in our decision to choose this target segment to perform concentrated marketing. People in this age group tend to have relatively less liabilities to repay hence are more willing to spend on unsought products. 3. 5. 1 Sales forecast for targeted segment
Using the primary data collected, we determined that around 2% of our target groups are highly likely to purchase the product within the introductory twelve months of its initial launch ??? that is purchases made by the ‘innovators’. With the information in hand, we were able to generate a protracted sales forecast. Total number of people in the 20s to 30s age group= 479700 + 610900 = 1,090,600 Number of people likely to purchase the product= 1,090,600 * 2% = 21,812 Forecast of volume of units sold = 21,812 Forecast of sale dollars=21,812 * $69. 90 = $1,524,658. 80 3. 6. Product Positioning and Target Market Strategy 3. 6. 1 Product Positioning We aim to position our product as an entertaining adult novelty board game which offers couples in a relationship both an entertaining and mutually satisfying time as well as an opportunity to enhance understanding of the each other. The image of the game is to be clean and healthy ??? not to be tainted by association to games with emphasis only on physical pleasures. 3. 6. 2 Target Market Strategy To create the desire image we want for our product, we developed the following two prong strategy: ) Differentiating the Product: To stand out from both the direct and indirect competitors in the market, we have to place especial emphasis on the niche our product occupies ??? providing both enhanced physical pleasure as well as an understanding of each other. This can be done through the dissemination of detailed information about the game through the mass media. b) Getting to the Right Audience: To further add to this carefully cultivated image, we have to choose the method of reaching our target market carefully.
Through well- thought through selection of modes of advertising and localities of physical promotions, we will be able to filter out the more conservative consumers, who may negatively affect our product image through the passing of misconceptions by the word-of-mouth, and reach out to our targeted market segments. The name and logo of the product also plays an important part in the projection of product image ??? thus it must be carefully thought through and presented, suggestive yet not raunchy. The current logo of a heart with horns is ideal as it at once suggests a happy and loving monogamous elationship yet hardly boring and stagnant. 4. 0 Strategic Marketing Mix 4. 1. 1Marketing Mix ??? ‘The 4 Ps’ 4. 1. 1. 1Product (As previously covered under product description ??? page 4 of the report) 4. 1. 1. 2Price Pricing is an important factor in the launch of a product. It sends a direct message to the consumers on the product positioning. Too high a price will put off customers, while too low an introductory price will reflect badly on the reputation of our brand. In consistent with our intended product positioning, we decided to price our product at $69. 90.
Through our secondary data, we have discovered, people tend to take products which are higher priced more seriously as they deem it to have a higher intrinsic value which is just the type of image we want people to have. 4. 1. 1. 3Place (Distribution) An efficient distribution channel for the product will help to spread the knowledge of the product faster to the targeted audience. The product will be distributed to the retailers directly. These retailers consist mainly of novelty shops as they already attract the interest of our target audience, hence less time and energy in reaching out to the target audience.
The advent of new media technology ??? internet, has made it possible to bypass the wholesaler and retailers via e-commerce. Products purchase online can be delivered directly to the customer doorstep. Fig 1 shows a flow chart of our distribution channel. 4. 1. 1. 4Promotion Advertising: WhoWhatWhenWhereWhyHow Target market of the age group of 20s -30s. Selected publication targeted at the same audience. (E. g. FHM, Maxim, Cleo, etc)During the initial product launch. Publication will be sold locally. Selecting the right publication to advertise in helps to filter out the consumers that are unlikely to accept the product.
By using the publication, consumers that are more likely to be interested in our product can gain awareness of the product. Target market of the age group of 20s ??? 30s. Possible to consist of age group from 40s ??? 50s. Internet pop-ups and banners on selected websites. (E. g. Romance Singapore, Social Development Unit, etc)From the initial launch of the product onwards. Over the cyber world of the internet. The internet growth over the years has reached almost everybody in the world. It is considered the most efficient way of spreading and collecting information.
The use on pop-ups on selected sites can bring forth the knowledge and information of the product to the target audience. Promotions: WhoWhatWhenWhereWhyHow Target group of consumers who are more open minded. Mainly in the age group of 20s – 30s. Exhibitions that are held over a period of time of at least 3 days. (E. g. Sexpo, Big Boys Toys, etc)During the period of the exhibitions that may be held at different time of the year. Exhibition hall at the city area or any major exhibition and convection hall. Patrons to these exhibitions are mainly hip and young adults looking for fun and excitement in their life.
This way it also eliminates the group that is of a more traditional mindset. By using price reduction or extra giveaways can be used to attract more consumers to the product and using of promoters to explain to them the objective of the product to help them understand. Consumers of the PMEB (Professionals, Managers, Executives, and Businessmen) level in the age group of 20s ??? 30s. Events held at bars or pubs. These events can be held by the bars or pub themselves, or can be held by other companies. (E. g. Girl Next Door competition held by FHM annually at different bars)These events are mainly held during the mid-year period.
Any well-know pubs or bars to the young PMEBs. These events are mainly also targeted at the PMEB who are looking for fun after a long day of hard work. We can also reach out to these consumers when they are relaxing and more willing to try out things that are new to them. By getting a booth or co-sponsoring the event to spread the awareness of the product. Consumers of the PMEB level in the age group of 20s ??? 30s. Road shows to promote the product. April to June period ??? the down period for festivals and celebratory eventsIn the central area where the PMEBs work.
In the hectic lifestyle of the PMEBs, we can better reach out to those that have little time for relaxation in bars and pubs. Moving to an area that is closer to them, we can better create knowledge of the product to them. Using the road shows, we can approach the consumers of the targeted group to provide them with the understanding of the product. 4. 2. 0 Financials, Budgets and Forecasts 4. 2. 1 Budget We work out a budget needed for the import of the product and the promotion as follow. The costs are also classified according to Fixed and Variable cost.
Fixed Cost Manufacturing Cost: $200,000 Storage: $18,000 Distribution: $10, 000 Road shows: $6,500 Exhibitions: $ 5,000 Magazine (FHM): $4,950 Magazine (CLEO): $5,750 Magazine (Her World): $6,010 Magazine (Maxim): $7,000 Magazine (Men’s Health): $6,500 Magazine (Female): $5,040 Internet Ad: $650 Total Fixed Cost: $275,400 Variable Cost Shipping Cost: $17,000 GST: $1,190 Total Variable Cost: $18,190 4. 2. 2 Expected Earnings and Profits To find out the expected profit, we will need to look at the amount of units to be sold to attain the breakeven.
The amount of units sold that need to achieve a breakeven point is calculated as follow: Contribution Margin= Sales Forecast ??? Variable Cost = $1,524,658. 80 – $28,190 = $1,496,468. 20 Contribution Margin per Unit= Contribution Margin / Total Forecast Sale (Vol) = $1,496,468. 20/21,812 = $68. 61 Breakeven Point in Volume= Fixed Cost/Contribution Margin per Unit = $275,400/$68. 61 = 4,014 In order to achieve a breakeven for the product, 4,014 units of the product have to be sold. Using the data from the sales forecast, we can determine the expected profit earned.
Expected Profit Earned= Contribution Margin ??? Fixed Cost = $1,496,468. 20 – $275,400 = $1,221,068. 20 5. 0 Implementations and Evaluations 5. 1. 0 Implementation timeline 5. 2. 0 Methods of control and Evaluation It is often wrongly assumed that the successful implementation of a marketing plan means the job is completed. However this is not the case. As with all real life scenarios, checks and balances has to be put in place ??? to evaluate the degree of success of the marketing plan and adjust it for improvement. To do so, we have employed the following methods: Sales Analysis As our product is in the introductory stage of the product life cycle, looking at the direct sales dollars or sales volume is not an accurate reflection upon the success of the marketing plan as we expect uptake to be slow. Therefore, we decided to compare the sales volume against the total targeted market segment to obtain the percentage of people who have purchased this game. The charting of percentage of people who have purchased the product in a 12 month period will reflect upon the success of the marketing plan in this time frame. ???Market Share Analysis
Charting the market share of the company will also indicate the degree of success of the marketing plan ???Survey and observation This is an informal qualitative analysis by which we will conduct a survey in the same localities and with the same sample size and sample mix to obtain qualitative data on the degree of awareness and acceptance by the potential market after the 12 month implementation period of the marketing plan. This is to obtain soft data on consumer mindsets, buying behaviors and attitudes to shape the marketing plan for the next 12 month. V Appendix
SURVEY Our team intends to actively promote this game in the local market, and therefore seek your aid in filling up this short survey. THE GAME: A HOT AFFAIR! ‘ What It Does: Have A HOT AFFAIR… with your partner! This hot relationship game is a fun way to keep communication going between couples and allow them to try new and exciting intimate actions. After the first few years of romance, couples tend to find that naughty lingerie and nights exploring each other’s erogenous zones can be forgotten and replaced by arguments over whose turn it is to fetch the kids.
A Hot Affair brings back the art of seduction, laughter and lust through a game so neither of you needs to be the instigator. It really does lead to the feeling that you are having an affair… but with your partner! Pleasure Points: The other great thing about the game is it can be played on a number of different levels, depending on how you both feel. If you just feel like a romantic and fun night, you can play with the first two levels; if you are both feeling horny, just shuffle the fantasy cards and go for it! With over 400 ideas at three progressive levels and 50 fantasies, the game can be enjoyed over and over! (Excerpt taken from :http://www. vitadigest. com/game-hot-affair. html) As we need to profile our customers, we seek your understanding in filling up the following questions and assure you that all information obtained are strictly confidential and will only be used for our research purposes. 1. Have you ever played adult board games before? Y/N 2. If you had chosen yes for Q1, if you have chosen no, please proceed to question 3, how often do you play them? ???More than twice a mth ???once every few mths ???a few times a yr 3. When choosing a board game, which factor do you think influences your decision the most? interest in the game itself ???level of difficulty ???pricing ???packaging ???others (pls state) 4. How interested are you in purchasing our product? ???Very interested ???somewhat interested ???neither very nor not interested ???somewhat not interested ???very not interested 5. sex: M/F 6. age range: 20-29 30-39 40-49 50 or older 7. status: single/married/divorced/separated/widowed 8. Income: Less than $2000 per month Between $2000-$5000 per month More than $5000 per month 9. Education (Highest level of qualification obtained): No education Primary N levels O levels A levels Diploma Degree Masters
Doctorate 10. Any comments or suggestions? ________________________________________________________________________________________________________________________ VI References <http://www. singstat. gov. sg/pubn/popn. html>viewed 4th Oct 2007 <http://www. outsource2india. com/kpo/perceptual-mapping. asp>viewed 4th Oct 2007 <http://www. singstat. gov. sg/stats/themes/people/marriages. pdf>viewed 18th Sep 2007 <http://www. singstat. gov. sg/pubn/popn/smd2006. pdf>viewed 10th Sep 2007 <http://www. singstat. gov. sg/pubn/reference/sif2007. pdf>viewed 06th Sep 2007