Marketing Plan: Overview, Strategy, Tactics & Financials - Essay Sample

Executive Summary

The aim of writing this report is to do research on the market on the basis of mapping the channels of marketing. The channels will be used by Culver Bell company to reach its new customers in an efficient way. Another purpose of this report is to construct a market plan for a new product that will be launched later on in the year. The market plan will utilize the most recent strategies and tactics which will help the company increase its sale.

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This report entails the mission statement of the company as well as its objectives (both the corporate and marketing objectives). This has helped in breaking down the needs of the company and put them in the forefront when drafting the plan. The overall strategy to be adopted by the company is also included in the report and this in line with the general objectives of Culver Belle Company.

Marketing tactics and policies are an essential part in every company, Culver Belle being one of them. The report has therefore provided an in-depth focus on the different areas of the marketing tactics. These are the product strategy, pricing of the product, its location and the promotion of the product. The four areas are the most important factors to consider in every marketing plan. The report has highlighted how the production strategy will be used to come up with the best products, which will have a competitive advantage. The pricing strategy done in the report shows how the company will be able to price its products at a realistic price, which will benefit both the consumers and the company. The report has also focused on the location strategy because it will help Culver Belle in deciding on the best place to locate its branches. Lastly, the promotion strategy in the report will help the company in coming up with the best promotion method for its products.

The report also includes the projected budget for the promotion of the products as well as the financial projections of the products' net sales in the next three years. The report concluded by providing a contingency and control plan which will ensure that all the projections have been achieved.

Year Marketing Plan for Culver Belle Company

Introduction

The Culver Belle company is a startup company and it aims at manufacturing, distributing and assembling automotive. The company's performance in the market is dependent on several factors. These include the management strategy, diversity of its products and its relation with the customers. The company will be located in Europe, which is amongst top three regions with the highest sales regarding the car market. This means that the company will have many competitors since the market in Europe is already established. The company aims at introducing two new models within its first year of operation. These models are Marx and Teshani and they will provide a base for the company's operation. Culver Belle plans on introducing more models within the next three years, but this will depend on the performance of the two models. The purpose of this report is to provide a 3-year marketing strategy for Culver Belle. The scope of this report is within the Culver Belle Company, which is based in Europe and the overall car market in the world.

Overall Strategy, Rationale And Objectives

Mission Statement

Culver Belle seeks to ensure the creation of a thriving community, through the manufacture of automotive (Accur et al., 2003). Hence, the company aims at attaining a future long-term growth, which will be stable, and this will have to be in relation with the worldwide economy, internal stakeholders environment and the important environment.

Corporate Objectives

The corporate objective of the company is to achieve its desired profit. This can be achieved by having the products discounted to attract many customers. In addition, having effective kinds of facilities will increase profitability as well as enough size and good character of the staff. Additionally, it is essential to consider different funding sources because they are a huge part of the company's growth. There are also other essential corporate strategies like sustainability, social responsibility, stock image market, and the image of the employees (Emawati, 2015).

Marketing Objectives

The objective of Culver Belle Company is to maximize its sales with its new models. Sustaining the recent recovery in the car market will depend on the stability of the European economies. It will also depend on the likelihood of the product attracting new clients (West, 1999). The achievement of this objective will be through the launching of new models and setting them at an affordable price with the purpose of attracting customers.

The company also aims to beat its competitors by offering attractive deals. The available profit margins and sales have been experiencing pressure from all sides and this has made the companies necessitate the need to develop promotional strategies and strong pricing so as to uphold the in the market, which is unstable despite experiencing notable improvements. A robust weight on the reduction in cost and product improvement has been existent for a reasonable amount of time (Fatimah, 2019). This emphasis states that companies should set reasonable prices, which will be favorable to both the company and the customers.

Overall Strategy Adopted and Rationale

Culver Belle Company wants to introduce two new models into the market and maximize its overall sales and also penetrate its new models in various parts of the world. The rationale behind the introduction of these two models is to target new customers and entice them. Since this is a new company, it will need to gain trust with its new customers. Another reason behind the introduction of the new models is to keep up with other car manufacturers who are always producing new designs and models (Maida, 2015). Customers also love having a variety of products to choose from and the new models will increase the number of available products for sale. In order to achieve this rationale, the company will need a strategic approach, which will help in analyzing the market and predict the penetration of the product into the market. The best strategy to be used by the company will be the STP strategy. This strategy entails the segmentation, targeting and positioning of the products.

Segmentation

The company will incorporate different segmentation variables namely demographic segmentation, geographic segmentation, behavioral segmentation and psychographic segmentation.

Demographic Segmentation

This includes the differences in age, occupation, income, gender and family size. The unemployment rates in Europe are high and this affects the amount of disposable income for the potential customers. The income segments of the population in Europe include the low-income earners, the average earners and the financially well-off people who have a high income. All these people have their preferences, which are based on the price of the cars (Brady et al., 2012). The jobless segment cannot afford to purchase a car. Low-income earners are likely to purchase second-hand cars because they cannot afford a new one, average earners might afford buying new cars, but they will not go for the high-end models. The last segment is the financially well-off segment who have a high disposable income. This group can afford to buy any car model including the high-end ones.

Culver Belle Company will consider the differences in age, because it will help in the segmentation of customers. The age differences in Europe who are at the age of owning a car include high school and university students (this includes from age 17 to 25). The next age group is those aged between 26-35 years and these are considered as the youth in the society. Ages 36-55 makes up the next segment and the last segment is ages 56 and above (Collins, 1991). A market research on the European passenger automotive industry showed that the high school and university students cannot afford to purchase a car and this leaves the company with three age segments to consider. All the three segments have their preferences, which are affected by their age, and the company will decide on the segment to target.

In terms of family size, there are two segments to consider. The first segment comprises of small families, possibly between 2 and 4 members. Families consisting of more than 5 members make up the other segment. These two types of families will have different preferences when purchasing a car (Cooper & Hiebing, 1997). The small-sized families will have different preferences, from the large-sized families. For example, a family consisting of two or three members can purchase a 4-seater SUV and a family consisting of 7 members will need a bigger car, possibly a 7 or 8-seater.

Gender is also an essential factor to consider and this demographic consists of two sectors, the male and female. Women have different preferences from men. For example, most women will go for small-sized and medium-sized automatic SUVs while most men will be contented with larger cars and they will not mind buying the manual ones (Gilad et al., 1993). Culver Belle needs to consider the needs of these two segments and decide on which one to target.

Lastly, Culver Bell needs to segment its customers in terms of their occupation because it also affects the customers' preferences. Some people purchase cars for commercial purpose. People working in transport industry might want to purchase a car with the aim of turning it into a cab (Kay, 1993). These kind of people will want to buy a medium SUV, with a low fuel consumption rate. Another category of people are those who need cars for delivery purposes. These will need a van or a mini-bus. Lastly, people in the construction and manufacturing sectors will need heavy trucks.

Psychographic Segmentation

This segmentation splits the market into different categories based on personality characteristics of the customers, their lifestyle and social classes. A customer's personality will have an effect on their choice of car. Some people are simple and they only consider the basics of a model before buying a car while others are extra and they have wild preferences. In terms of social class, customers from the middle class will buy different cars, from those in the high class. People from the high class will go for the high-end models, which are classy while those from the middle class will want to purchase a car, which is affordable in terms of cost of purchase and that of maintenance. Lifestyle is also another segment, which will affect the products bought by the clients. People with luxurious lifestyles (not necessarily the high-class people), will purchase a luxurious car and they will want to keep up with the latest trends. On the other hand, people with simple lifestyles will buy the small sector or medium sectors cars.

Geographic Segmentation

Culver Belle will need to divide the market into different geographic units, which will make up the different segments to consider. For example, the geographic units can be in terms of the world region, the specific country, cities, population of the region, and the climate. The company will produce models, which will be acc...