mindset this price is relatively low. The markup or profit margin is set high at 48.6% for the LG Pro. This is due to the product is new and cornering the market with no competition. The total cost of the product for sale to organizations will be $520.00.
Three Year Projection As the data shows within the chart and graph, The total combined projected demand amount is $795,600.00. This number is a total of 2200 LG Pro computers, 1100 for the domestic organizations and 1100 for the U.S. organizations based on the need of the organizations. The break-even number is $535,500.00, leaving us with a surplus of $266,010.00. The promotional budget is set at $134,000.00, using money wisely through advertising outlets; the projected expenses are $132,470.00.
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The team will utilize each of these components to establish the intended marketing objectives for year one, year two, and year three.
First-year Objectives
A marketing objective for the LG Pro will be to enter the market and obtain at least 10 percent of the market share within one year. LG will focus the objectives of the LG Pro during the first year on improving product awareness, creating effective marketing campaigns for advertising and making improvement to build product and brand awareness (Kaho, 2016).
Second-year Objectives
Second-year objectives for the LG Pro involve reducing production costs, making a mark in the industry, identifying new market opportunities and expanding sales into the education industry market segment, and making improvements to build customer satisfaction (Kaho, 2016).
Third-year
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Through this methodology the strategic marketing plan will have the best overall outcome while staying on the course the team has set. Some of the evaluation methods are based on time and others are based on product movement. An example of time and product based evaluations the team has determined to start with a weekly data collection of sales, both domestic and international. The data that is being collected is made up of who is purchasing more product (which companies), in those companies what departments (HR, sales, marketing, etc.), how many computers are they buying (quantity) and is there a trend (reoccurring purchases versus first time purchases). After the first two weeks have passed and a small data collection is available, this will act as a baseline. Once the baseline is established the team can identify areas that either need to be fixed or at least trends that need to be monitored. After the first quarter is met, the team will then go to bi-weekly data collection assuming all supply distributing channels, sales routes and production line quantities are all in the green. These evaluations will continue until the end of year one. After all quarters have met the established marks, to include end of year one sales, evaluations will be on a monthly time frame. This evaluation method
The consumer demand for electronics grew, leading the demand curve to shift right as shown in Figure 1. Therefore, there is an increase in total revenue(P•Q=TR) of 1% to $8.53 billion as well as abnormal profit from area a to area a+b(a x 1.12), 12% rise in earnings. Best
This was the desire of the company. It also shows that OS-367 OS-367 is not generating even 10 percent of the gross profit on the sales revenue. If management desires to maintain a profit margin of 30% based on the ABC costs. Then they would need to raise the selling price of OS-367 to at least $19.95. By doing this they would have opportunity to at least yield a gross profit of estimated
First, we will analyze the targeted customer and the proposition designed by each company to attract them. In this part, there is a description of each market target and how each company has taken advantage of each unique position in the industry.
This section is created to see the financial aspect of the marketing plan. We will consider break-even analysis, sales forecasts, expense forecast in order to meet the marketing strategy.
When Lululemon first started out they did not do a whole lot of advertising. It was mostly word of mouth and of course the bags that they gave their customers, with a lot of inspirational phrases all over it, when they purchased something from the store. They depended on the positive vibes that a person feels when they enter their establishment. “They’re selling emotion and happiness and joy and feeling good about yourself, … and when companies keep their eye on that in a more focused way, and less on the features of the product, their chances of being a successful brand just go through the roof.” (https://www.referralcandy.com/blog/lululemon-marketing-strategy/) Recently Lululemon has branched out into the global advertising world. There
Facing to more complex business environment, systematically marketing plans are important to organizations in terms of maintaining a high level of operating efficiency and achieving goals fully. According to Sally and John (1996:3), marketing plans are “the written document or blueprint for implementing and controlling an organization’s marketing activities related to a particular marketing strategy” (Sally, D., Lyndon S., & John, B., 1996: 3). A successful marketing plan is able to improve organizations’ profits and growth, uses in objective setting and monitors results (Subash Jain, Michael D. Clemes, Gregory Brush, 2008: 5)
Arcading to Sue Pulendran marketing planning technology provides for decision-making that is more comprehensive. Marketing planning is a performance paradoxical that measures strategies for the market segmentation. The most important thing about strategic marketing positioning covers the business strategic positioning choice also each business has a different marketing strategy imposed to so that they can gain a competitive advantage over other business in the same market. Skype
Strategic planning is a critical process for any successful business. It outlines the framework in which the organization operates. Therefore, each area of the process should be carefully considered and developed, with the understanding that some areas are relatively static, whereas other areas change and grow depending upon the environment. By far, the most important part of the strategic planning process is its implementation. If the process is never implemented, its development is just wasted energy.
Strategic planning is done by the highest levels of an organization that goes threw three major phases. These phases include the formulation phase, the implementation phase and the evaluation phase. () These all play a great role for making the best possible way to carry out an action. The formulation phase is when a plan is initially developing and thought about as a way to help a business. The implementation phase is when the plan that was thought of is carried out. The evaluation phase goes over the success or failure of the plan and what could be changed and what shold have been done on the first place that could have helped the plan work. In order to come up with a plan, there must be a reason for it. This is known as the m...
It is important that an organization develops a coherent promoting strategy for the launch of every individual product in its portfolio. It’s of equal importance that these methods area unit compatible and support the firm’s overall objectives.
The main objective of this report is to develop and provide a sales and marketing plan for which the company will help to generate more profit and acquire more customers to patronize the product. This report will cover the period of 2016 to 2017 which will serve as guidelines that needs to follow of the employees, managers and management team to reach the desired goals and target for the company.
When creating a marketing mix for a product, the company needs to look at the 4Ps: product, place, price and promotion (Eugene McCarthy, 1960). “When considering the 4 P’s of the GoPro, it is clear that the company’s success has been due in large to such great marketing.” (Suki Chan, 2013)[1].
To breakeven, we would have to sell 267,857 units. We plan on selling the Galaxy Note 8 at a price of $499 which is cheaper than our previous phones in the Galaxy Note line. Consumers aren’t going to purchase a new smartphone if the price is going to be in the same range of the Galaxy Note 7. So we are going to be selling the smartphone at a discount. We are using odd-even pricing for the Samsung Galaxy Note 8. It gives a sense to the consumer that they will be purchasing the Samsung Galaxy Note 8 at a bargain, instead of using the even pricing method. The cost to make the smartphone itself is around $275. There will be a picture below that will explain the details of the build of the smart phone. For the breakeven I subtracted the Total Cost from the Total Revenue. The profit for year 1 will be $1 billion dollars, I subtracted the total revenue for year 1, which was $1.06 billion and subtracted that number by the fixed cost amount of $60
The following report presents an Integrated Marketing Plan for Nokia in the UK. The plan deals with media planning, segmentation, strategic and tactic planning of IMC, evaluation and such. The main aim of this plan is to expand Nokia’s consumer base, establish Nokia’s brand values and position it among the target audience, and also communicate the brand values with customers effectively, while simultaneously influencing sales to grow. This plan is created to ensure maximum effectiveness in Nokia’s marketing approach. The main aim of this plan is to assist Nokia in their IMC activities in the UK.
... 178,852 Thousands to $218,092 Thousands in 2007 to 2008 for the advertising on internet. And by the extra operating expense, they revenue raise by $51539 Thousands compare to 2007 and 2008. If this increase yields significant results, then more funding could be proposed in future years.