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Situation Analysis Micro-environment Forces that are internal to and influence a company include: the company, the suppliers, market intermediaries, customers, competitors, employees and publics, all impact on the company’s ability to serve its customers, and together they are responsible for producing, distributing and promoting the company’s offering (Kotler, P 2006). These immediate players are further broken down and analysed below. The Company
The Learning Cape Initiative’s (LCI) business is to inculcate a culture of lifelong learning within and across formal and non-formal fields of society in the Western Cape Province. LCI’s primary role is to provide, promote and reinforce life-long learning as a way of life and culture and bring about significant changes and improvements in social and economic development. They run and develop support groups that encourage and inspire people to further, or even begin an education. The Suppliers
LCI provides a service and therefore do not have core suppliers to provide resources since their services are provided by themselves. The Intermediaries Since LCI are service providers, basic intermediaries are organisations that approach LCI with proposed learning initiative projects and programmes. These may be schools, colleges, other not-for-profit governmental organisations etc. The marketing of LCI has not been outsourced to an independent marketing agency but is handled by their in-house marketing department.
Financial intermediaries include the various banks, financial institutions and donors that are involved in the financial aspect of the business. The Customers Their basic intermediaries are also their customers in that LCI are not directly approached by the people that physically benefit from their services, for example, school dropouts, previously disadvantaged etc. Rather, they are approached by organisations, schools, and companies to provide their services to these above-mentioned people. The Competitors Competitors of LCI would include similar organisations providing almost identical services and more.
They include other governmental or independent learning initiatives that LCI are in direct competition with, for example, 21st Century Learning Initiative, E-Learning Initiative, Joint Learning Initiative etc. (Note these local as well as international, governmental or independent organisations are not competitors that inhibit profits since Learning Cape Initiative is a not-for-profit organisation, Instead they induce competition based on performance thereby threatening LCI’s position with government sponsorship) The Publics
Important publics most important to LCI are their financial (donors, sponsors, banks, financial institutions); media (newspapers, conferences, international festivals, website); government (department of education); citizen action groups (basic human rights activists) and other (higher education institutions, sectoral education and training authorities, organised labour, civil society, organised business, provincial development council) etc. Macro-environment When conducting a market analysis, it is essential to include macro environmental factors.
The macro environment consists of those components which are not controlled by the organisation but have considerable direct, as well as indirect influence on the market environment in which the company operates (Strydom, 2000). i. Demographic The Learning Cape initiative’s (LCI) business is to encourage a culture of lifelong learning within and across formal, non-formal and informal sectors of society within the Western Cape. As a result of this goal, the demographics of the “target market” of LCI include all citizens that reside in the Western Cape.
This broad objective and target also facilitates LCI to appeal to various groups and educational institutions in the Western Cape. ii. Economic Environment LCI’s core objective is to promote lifelong learning. By achieving this goal, LCI aims to promote economic development in South Africa, through emphasis on the Western Cape. Since 1994, when apartheid was abolished in South Africa, a socio-economic ‘gap’ arose between the races in which poverty was prevalent (Luiz 1994; Gray 2006). As a consequence of this inequality, the current poverty level and inequality with respect to education was aggravated.
The high level of poverty and poor living conditions also impacted on low education levels (Gazzard 2000). It is LCI’s objective to remove this inequality through the promotion of lifelong education. iii. Socio/ Cultural environment Through its objectives, LCI aspires to use the culture of lifelong learning to promote and create a socially developed province. In achieving these objectives, LCI needs to understand the various cultures, perceptions, and behaviours of the diverse people that live in the Western Cape.
To effectively promote the idea of lifelong learning to these various communities, LCI needs to ensure that they understand the existing mindset of the various cultures. iv. Natural Environment LCI views the landscape of the Cape as being the province’s most distinguishing feature. The natural resources of LCI are the symbols of pride for each and every citizen. LCI expands on this notion by stating that “It is the people who unlock the historical, social, cultural and economic significance of the details that make this province the place to be.
While the Cape is the door, it is the citizens who hold the key to open the door to the province. ” Political/ Legal Environment Since LCI is a Section 21 company, which is not-for-profit, it has to comply with certain Acts and regulations which are put in place by the government. These regulations often pertain to donors and legalities with regard to specific financial issues that affect not-for-profit organisations. LCI also works closely with the Department of Education to encourage students and help achieve the goal of the company. i. e. o promote lifelong learning. Swot Analysis Strengths ???In South Africa, the Cape is viewed as the leading learning region and thus may impact positively on the efforts of LCI. ???LCI is supported by the South African Government ???The results of LCI services may result in: 1. Higher-skilled employees 2. Upliftment of impoverished communities 3. Inspire the acquirement of an education thereby improving living standards socially, economically and even culturally in the short term as well as long. 4. Growth, development and improved morale amongst citizens 5.
Systematic growth, development and sustainability of South Africa 6. Business Efficiency ???LCI audits show transparency and accountability. A good reputation is very likely to gain sponsorships and donors Threats ???Other organisations obtaining or acquiring the bigger sponsorships ???New entrants of similar organisations since entry into this market is relatively easy ???Lack of student participation or interest ???Programme failures may result in despondency from organisations adopting the LCI approach Weaknesses ???An integrated learning model does not currently exist. LCI does not currently collaborate with enough institutions for it to achieve its full potential. Opportunities ???By achieving objectives, higher Education institutions will perceive LCI as a worthwhile investment and will therefore strengthen the relationship through research and/ or monitoring and evaluation. LCI can become a repository of knowledge and through this, they can give the public access to their knowledge. Marketing, Media and Communications strategy The LCI marketing strategy is divided into two distinct, yet inter-dependent sections.
The first of these aspects is the mainstream marketing strategy for promotion of the LCI services. Secondly a strategy has been put in place to spread the public awareness about life long learning. Both of these strategies focus on various aspects of learning and link directly to events, projects and programmes LCI is undertaking. Initially, the aim of these strategies is to change people’s perception and understanding of the concept of learning. The first step is to show people that “learning” means so much more then just ordinary education.
The ultimate goal is however to help people understand that learning does not stop at any point of their life. More specific suggestions and recommendations on how to adjust LCI’s marketing and communication efforts with regard to particular strategic objectives will be further discussed in marketing tactics. MARKETING TACTICS “Marketing tactics are specific actions and deeds used by businesses to achieve strategic goals or objectives and implement strategic plans. They are specific and measurable activities that keep the organization moving toward fulfilling its strategic themes and achieving its desired future”.
STRATEGIC OBJECTIVE 1: Research and develop an integrated, inter- sectoral learning model for a learning province, including developing quality, quantity and process indicators 1. Use relationship marketing to create long term sustainable relationships with Institutions of Higher Learning. LCI must facilitate open lectures and expo at various selected locations to showcase current projects and activities ??? explicitly promoting the brand while indirectly marketing these Institutions of Higher Learning by drawing potential learners to various locations. . By managing these relationships with these specific learning institutions, LCI can through collaboration with a number of Institutions for Higher Learning promote existing undergraduate and post graduate courses on the concept of life long learning by communicating to the target audience through common communication channels, including popular radio stations that appeal to the target audience or simply handing out flyers at specific locations where the target market converge. STRATEGIC OBJECTIVE 2:
Mobilize political will and build partnerships amongst social and economic sectors to participate in developing and applying the learning Cape model to their policy, planning and provision of education and training 1. Getting the buy in and support of various political parties or individual icons as well as major corporates in the economy to serve as reference groups and ambassadors for the LCI initiative. 2. Develop a media marketing campaign to constantly advertise and promote the LCI initiative while making specific reference to the backing of the LCI projects by political parties and figures in addition to large corporate role-players.
Ensure that these campaigns are streamlined and tailored to specifically address the need for LCI in various economic and social segments and contexts. 3. Make use of relationships with Institutions of Higher Learning to collaborate and approach businesses to incorporate and apply LCI principles in the general education and training of employees in the workplace. STRATEGIC OBJECTIVE 3: Promote the development, implementation and maintenance of a provincial human resource development strategy. . Make use of relationships with Institutions of Higher Education, collaborating specifically with provincial student development departments – with the specific purpose of developing a compulsory education protocol that ensures children complete a minimum level of education. 2. Utilizing LCI projects, events and initiatives to communicate directly with the target market in an attempt to express first hand, the importance of lifelong learning to society as a whole. STRATEGIC OBJECTIVE 4:
Implement projects such as the learning Cape Festival and develop guidelines and process for their sustainability 1. Use various channels of communication, including radio, television and online LCI website to advertise these projects to the target market. 2. Approach businesses for funding and support services through presenting and pitching these LCI projects as a positive Corporate Social Responsibility investment that will contribute directly to the development o f future generation and employees. . Incorporate certain education institutions that cater for all ages, into the running of the event, in doing so ensuring that the target market are constantly made aware of LCI missions, goals and values that are pushed through all marketing functions utilized within these projects. STRATEGIC OBJECTIVE 5: Identify appropriate database, store, manage and disseminate information relevant to learning activities 1.
Utilize various marketing techniques including direct mail as well as mass marketing to encourage feedback from target market in an attempt to build up a database that can be used as a marketing resource at a later stage of the lifelong learning process. STRATEGIC OBJECTIVE 6: Solicit, collect and distribute funds 1. Conduct large scale market campaigns targeted at the business community to market the LCI initiative as a CSR investment and positive contribution to society.
Collaborating with certain businesses may allow for the marketing a specific company or business as a corporate partner to LCI in return for financial funding. Marketing budget and timelines The core funding for LCI’s operational expenses is donated by office of the premier. Apart from providing coverage for operational expenses, this money is also used to facilitate and finance the highlight of LCI efforts the Learning Cape Festival. Core funding Cca. 2mil Product/service promotion budget Cca. R 40 000
Timelines: The mainstream marketing campaign that is being sponsored by this promotion budget is running consecutively throughout the year via series of small campaigns. The advertising efforts for Learning Cape Festival are being outsourced and begin one month Furthermore for each individual project independent budget and timelines is worked out in project development stages. The amount spend on marketing is direct proportionally to the amount of many donated by various sponsors. Since LCI is a non-profit organization and therefore doesn’t need to enerate profit, the money provided by different beneficiaries is either used for facilitation of the project or for promotion of the concepts that LCI is trying to promote. Throughout the year from different beneficiaries up to additional R 250 000 (2007) can be gathered to support various marketing and promotion efforts. Timeline: Once again the timeline for each individual projects is fairly unique. Marketing efforts are being undertaken to promote a project generally two weeks prior the project is taking place.
In conclusion marketing and media efforts depend largely on the amount of money received from different beneficiaries. Brand equity and in particular brand trust has somewhat moderate influence on the money received. In the initial stages LCI marketing efforts should therefore focus on reinforcement of brand equity to gain recognition at the market place. Following this brand reinforcement efforts will be specific tactics to better achieve strategic objectives discussed in Marketing tactics section.