Unit 2 Venture Plan Summative
Market Analysis & Marketing Plan
Market Analysis is a very crucial part of your venture plan. You will be using your knowledge obtain through class to help create a successful venture. In this section you will be expected to complete the following:
- Primary Research – You will need to create a survey and conduct the
survey to help support your venture Part A & B
- Secondary Research – Part A & C
- Identify your Target Market – Part A & B
- Complete a Competitive Analysis – Part D
- Identify your expected Market Share – Part E
- SWOT Analysis – Part F
Part A
1. Using data supplied by Statistics Canada (www.statscan.ca) or other sources,
determine the following about your market segments:
a. Population
b. Income
c. Education
d. Family characteristics
NOTE: try and use the most up to date information.
2. Create and conduct a Marketing Research Survey – 10 –15 questions include:
Demographics
Psychographics – Consumer buying habits
Geographic
3. Choose the segment(s) whose needs your product or service is most likely to meet and develop a profile of this segment. THIS IS YOUR TARGET MARKET.
Part B
Research the types of products or services your target market customers are likely to buy and explain how this relates to your venture. This is where you use research to prove what your customers want and what your customers need.
For example: if you’re opening a restaurant your
research might include:
? How often people eat out
? What types of foods are popular today
? Why people go to restaurants
? What your customers want in a restaurant
? What your customers need in a restaurant
Part C
Conduct research to find out trends that suggest that this is the right time to
introduce your product or service.
For example: if research shows that a major trend is that people are eating
healthier, opening yet another fast food restaurant may not be successful.
Helpful Websites for Marketing Research
Canadian Fitness and Lifestyle Institute
http://www.cflri.ca/cflri/pa/surveys/2001survey/2001_on.html
Retail Trends
http://www.btmny.com/reports/research/comment/cs1200.pdf
Marketing to the Masses
http://www.harrisinteractive.com/news/newsletters/sportainment/HI_SportTainme
ntNews2001Vol1_iss6.pdf
Statistics Canada
www.statcan.ca
Entrepreneur.com
www.entreprenuer.com
Statistics Canada Business Data
http://commerce.statcan.ca/english/commerce
Molly Maid
http://www.mollymaid.com/news/sbi01.html
A list of links to numerous companies
http://www.mcgrawhill.ca/school/booksites/exploring+business+for+the+21st+cen
tury/student+resources/_chapters/web+index.php
Canada Business Magazine
www.canadabusiness.com
Canadian Market Statistics
http://www.trendexna.com/trendex_canada.htm
Canadian Market Research Sources
http://www.gdsourcing.com/works/conmarket.htm
Part D
Conduct research to find out who your competitors are. Competitors can be divided into two groups:
Direct Competition: Businesses that offer the same products or services
For example: Harveys is a direct competitor with McDonalds– they both
offer the same types of food for roughly the same price that is prepared quickly
Indirect Competition: Businesses that offer similar products or services
Subway is an indirect competitor of McDonalds-Subway offers subs not burgers and fries however their subs are prepared quickly and are in the same price range as the food at McDonalds.
From your research, you should be able to describe:
; The name and location of your competitors
; How long they have been in business
; The products and services they offer
; The prices they charge
; Their service philosophy
; Their total sales for the previous year
; Their Mission and Vision Statement
; The strengths and weaknesses of your
competitors
; How successful your competitors are (attempt to estimate how much of
the market they own)
NOTE THIS MAY BE BEST DONE IN A CHART FORMAT. For each of you major direct(pick 5-6 direct competitors) and indirect competition(pick 3-4 indirect competitors.
(Name of Competitor or Indirect Competitor)
Information
Location of Company
How long have they been in business
Product & services they offer
Prices for product and services
Their philosophy – business model
Their mission statement
Their vision statement
Total sales
Strengths & Weaknesses
Their market share
Part E
Conducting Market Share Expectations – See notes below for help
What is Market Share?
; The percent of the market that you think you can “steal” away from the competition
based on the strengths of your product/service
How do we determine Market Share?
; There are two different ways to estimate market share. One is in terms of the number of
people who will buy your product/service and the other is in terms of the percent of sales
you can “steal” from the competition
; You need to choose which situation is better for you!
Total Number of People Method:
; You’ve estimated the total number of people in your market and determined how
successful your competition is.
; Based on this information, estimate, per month, the percent of the market (the number
of people) you believe will buy your product or service. Be sure to back up your belief
with your research.
Percent of Sales Method:
; You’ve researched your competition and determined how successful they are.
; Take your top five competitors and determine their total sales for last year (or take an
average of the past few years).
; Based on the quality of your product or service and what you have to offer compared to
the competition, estimate how much of the market you can “steal” away from the
competition
; Your market share is expected to be fairly low for the first few years as your
product/service will not be well known
In your report, you will want to include a graph indicating how much of the market you expect to have versus your competition in years 1-3.
Part F
SWOT Analysis
Review your notes(IKEA Case Study) and PowerPoint from Class to help you with conducting your SWOT Analysis.
Include in your SWOT the proper procedure for conducting expected market Share. (See below)
1. Primary Problem
2. Secondary Problems
3. Implications of the Problem – For the Organization
4. Implications of the Problem – For the People in the Organization
5. SWOT
6. Alternative Solutions
7. Best Solution
8. Implementation of the Best Solution
Marketing Plan
Develop five marketing objectives that will help lead to your successful venture. Create a Marketing Mix Matrix Snap Shot for your venture using your detailed Marketing Mix.
Marketing Mix Matrix
Product Price
Place Promotion
Product
； What features of your product/service will you emphasize?
； Is it something customers will want or need? (Be realistic.)
； What are the features and benefits of the product/service and how does
this help with your USP
； How do you plan to make your product/service different or better than
that of your competitors?
Price
； Identify your Pricing Strategy; indicate how and why you would like to use
this strategy for your Venture. (may want to do a google look up for more
detailed description of each strategy)
； Must be attractive to customers, but also high enough to cover your costs
and make a profit.
； Must be at a level that is equal to the value of it, as perceived by the
customer. (Ex. Brand names are usually higher.)
； What is your pricing strategy and why?
； May have to adjust price as the economy changes (i.e. during a recession).
Place
； Where will the product be sold or where should the service be provided?
； How will the product/service get to the consumer?
； When should the product or service be in stock or ready?
； Must be convenient and relative to your target market.
Ex. Grocery store in a mall
Promotion
； How will customers be made aware that the product or service is available? ； Must consider various forms of promoting, such as advertising, sales
promotion, e-marketing, and personal selling.
； If you are advertising, you must consider the mediums you will use (Ex.
print, Media and Viral) and the cost of each.
1. Print Advertisement with Company Logo
You will design a company logo using Corel Draw, Photoshop, or Logo
Creator. You will then incorporate that logo design in 2 separate
advertisements (pick 2 of the following 3 options);
; Magazine Ad – select appropriate magazine for the product, target
audience, slogan, etc.
; Company flyer – 3-fold flyer, handout, or insert – includes company
background, philosophy, bios, product information, etc.
; Billboard Advertisement – desired location, target audience, slogan
Rationale – At least one paragraph that describes the design process,
from conception through to final design, and includes the meaning of your
logo and the message you are hoping it conveys.
; Submit logo/advertisement printed in colour, and save on the G
Drives of at least 2 different members of the production team. 2. MEDIA: Television Commercial & Radio
； Create one of the following based on what you may think would have
a greater reach of targeted consumers.
; Must include the following paperwork; a script and storyboard
(Storyboards are a visual that will allow the process of the
commercial to transcend to video. To be placed in apendecies)
; Selection of time, place and program you want your viewers to see
your commercial. Keeping in mind your target market/audience,
you will need to pick 3 different TV programs during which you
would want your commercial to air.
3. Viral Marketing
； This is one of the fastest tool in which small businesses can compete
with larger companies for market share and awareness.
； Create a Social networking atmosphere and viral world through tools
such as Twitter, Facebook, 10 second advertisement placement.
； There are several ways you can use this tool but must create at one to
complete the Venture plan promotion plan.
； Must decide what aspect of the product you are promoting (i.e. price,
place, or product).
； Will your product require packaging? If so, it should reflect environmental
concerns.
Remember to always be creative, use your vision and mission statement to help with your direction and how you want your consumers to perceive your Venture and company.
Branding and Logo
； Brand identity helps fit the market to the target market
； It is how the product is seem in the eyes of the consumer
； Allows the use of Colors to establish a recognizable brand
； Logo allows consumers to develop a connection to your product and
companies creating instant consumer awareness.