Product Launch Plan -Team-Mkt 571

Altadena Computer: Product Launch Plan Team X MKT 571 Altadena Computer: Product Launch Plan Product Description Product Positioning Targeting Market Needs In 2009 approximately 870,000 full-time students were attending Canadian universities. The highest percentage increase of enrollment for undergraduates was in British Columbia (6. 4%) and the highest percentage increase of enrollment for graduate students was in Prince Edward Island (38. 1%) (AUCC. ) With so many students, Altadena Computers has a large base to target and market their special brand of customized laptops. Because of to the economic downturn the prediction in Canada reflects more people returning to college to increase their job marketability. In 2009, an increase of 4. 1% in undergraduate programs and an increase of 7. 2% in graduate programs validate the predictions. Altadena aims to provide quality merchandise that lasts longer than a few years, replacing the laptop will not be a concern for the student. Altadena employees rely on the students to guide them in designing the perfect laptop. Channel Strategy Market Potential Below is data collected by World Bank of Internet user percentages for United Kingdom and Canada. The trend of Internet use has significantly increased, doubling in the past decade. In 1990, domestic and international Internet usage was merely nonexistent and has steadily progressed past the year 2000. In 2007, Canada’s Internet usage inclined to 72. 8% while the United Kingdom ascended at 71. 7% and is steadily increasing into 2008. {draw:frame} Case # 1 – Domestic Location – Canada In 2007 Canada’s population reached 33. 0 million. Using the population data, Altadena Computers can estimate potential buyers within Canada. Internet percentages will be valuable in determining the average annual consumption and a measureable selling price of $950 per laptop. This price may be considered an expensive pecuniary; however, Altadena Computers must realistically visualize price and profits of the investment. At a selling price of $950 per laptop, customer base of 3,300,000, and an annual consumption of 10 percent of Internet users, 7. 28%, Altadena Computer’s market potential is calculated at $228,228,000. Case #2 – International Location – (United Kingdom) SWOT Analysis (Canada & England) SWOT Analysis (Canada & England) Threats and opportunities are equally justifiable. Yes, Altadena Computers may be a new player in the game but that does not determine a disqualification for Altadena Computers. This only symbolizes a significant role on behalf of Altadena Computers to orchestrate diligence and effective market strategies to compete with existing and forthcoming competition. Currently, management anticipates threats because of increasing competition, transportation costs, pecuniary regulations enforced by the government, and demographic shifts in the market. However, as there are threats, opportunities also exist. Altadena Computers does more than provide college students with cost effective, premium service laptops, Altadena Computers is providing essential tools and contributing to society’s development. Consider Canadian Internet usage in 2008. According to the Publications section of the World Fact Book, â€Å"Internet usage in 2008 was 25. 086 million users from a population of 33. 487 million residents. † Most Internet users are â€Å"educated† meaning they have at least an undergraduate degree. Therefore, it is imperative that Altadena Computers provide this service to college students because laptops are in high demand for students. Competition In a market of such magnitude, competition is expected to be fierce and strong. Dell, Hewitt Packard, Wal-Mart, MicroCenter, and Fry’s are some of the few dominant competitors in the industry. With the exception of Dell Computers, conveniences these businesses present are their ability to showcase products and provide instant gratification. Customers can assess the product and leave with their merchandise. Although instant gratification is necessary for some consumers, not all customers require their product instantly. Some would prefer to build their laptop necessities and incur offering provided by Altadena Computers. The logic here is not to dismiss the competition; for the possibility of that occurring is relatively short lived. Altadena Computers is a new and emerging business in the industry. Many lessons can be learned that can be applied that were previously encountered by the competition. Marketing Objectives and Strategy Pricing Market Communication: Canada and England Communication in marketing channels can serve as the process by which influential information is conveyed, shared decision making is encouraged, programs are created, power is put into effect and commitment and loyalty are built. Communication is the bond that holds together channels of distribution. Marketing communication builds awareness of a business, its products and the business’s position through customer interaction materials such as brochures, press releases, web sites and other forms of direct, indirect and interactive marketing. Marketing communication represents the â€Å"voice† of the brand and is one way to establish a dialogue and build relationships with consumers (Kotler & Keller, 2007, p. 279). Altadena Computer Company must have an in-depth understanding of the company’s target audience and the process of buying, selling, and communicating to customers. Marketing communications are the means by which firms attempt to inform, persuade, and remind consumers—directly or indirectly—about the products and brands they sell (Kotler & Keller, 2007, p. 279). The marketing communication mix consists of six major modes of communication (Kotler & Keller, 2007, p. 279): Sales Promotion is short-term incentives to encourage trial or purchase of a product or service. Public relations and Publicity are programs promoting or protecting company or product image. Direct marketing is the use of mail, telephone, fax, e-mail, or solicit response or dialogue from specific customers and prospects. Personal selling is face-to-face interactions with prospective purchasers for the purpose of making presentations, answering questions and procuring orders. Publicity: Canada and England Distribution Strategy: Domestic and International A distribution strategy describes how a business will generate and persuade demand for a product or service. Distribution Strategy involves shifting products for point of formation to points of utilization by the end user, in a cost-effective method. Distribution strategy will identify how a business will manage the brand. Distribution strategies come is various forms: (1) manufacturer ? consumer, (2) manufacturer? retailer? consumer, or (3) manufacturer? wholesaler? etailer? consumers. The process can involve longer channels including agents and brokers Types of Distribution Channels Canada and England Distribution Strategy The primary distribution for Altadena Computer domestic and international customer will be manufacturer to customer. The customer will have access live assistance to make orders and ask questions, through the Altadena Computer website or with a customer service representative that has the knowledge and ability to service Altadena Computer customers. Altadena Computers Distribution Strategy Altadena Computers must take advantage of the distribution opportunities. For example, gaining permission from domestic and international educational institutions to place brochures in the building were students have access to the information. Another distribution opportunity is setting up a demonstration area at domestic and international universities and colleges to provide information and a glimpse at the product to the potential customer. Customers preferring to buy online will have to fulfill orders and allow Altadena Computers to sell directly to customers. Customers can also engage in another distribution strategy with Altadena Computers specialized customer service representatives to close deals. Altadena Computers distribution program will focus on the needs of the customer. Financial Information Market Research Conclusion References Association of Universities and Colleges of Canada (2009. ) Retrieved March 7, 2010 from http://www. aucc. ca/publications/media/2009/enrolment_10_22_e. html https://www. cia. gov/library/publications/the-world-factbook/geos/ca. html https://www. cia. gov/library/publications/the-world-factbook/geos/uk. html Common Wealth (2009) United kingdom. opulation. Retrieved 3-7-2010 http://www. thecommonwealth. org/YearbookHomeInternal/139560/ Kotler, P. & Keller, K. (2007). A Framework for Marketing Management (3rd ed. ) New Jersey: Pearson-Prentice Hall. Kotler, P. and Keller, K. L. (2006) Marketing management (12th Ed. ) New Jersey: Pearson- Prentiss Hall. Statistics Canada (2009) Population and demography. Re trieved 3-7-2010 http://www41. statcan. gc. ca/2008/3867/ceb3867_000-eng. htm World Bank, World Development Indicators (2010) Internet_ users as percentage of _ population. Retrieved 3-7-2010 http://www. google. com/publicdata