Edimax Sportswear is a private limited company that specializes in designing and developing sportswear products such as footwear and apparels. The firm was established in 2004 in the UK and it has established eight outlets in its local market. An experienced workforce of over 400 employees facilitates its operations. Edimax is focused on attaining competitive advantage by pursuing business excellence strategies. One of the areas that the firm has invested a substantial amount of resources relates to attaining the three dimensions of sustainability, which include economic, social, and environmental dimensions. The firm intends to succeed in providing customers with sportswear products that satisfy and exceed their product requirement.We will write a custom Edimax Sportswear: Marketing Plan specifically for you
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As one of the industry players in the sportswear industry, Edimax’s management team appreciates that the firm will be subject to various environmental forces. Subsequently, the firm has invested in a comprehensive situational analysis by considering the elements of the 5C framework and the PESTLE model.
Political and legal environments
The UK government is committed to stimulating the country’s economic growth. Thus, the government is encouraging investors and entrepreneurs to venture into different economic sectors. One of the strategies used by the UK government to stimulate entrepreneurship entails significant reduction on the degree of political risk. The prevailing political stability will enable Edimax to implement its growth strategies by expanding into new domestic markets. Furthermore, the UK government has implemented an effective legal system that protects domestic and foreign investors. An example of the legal elements relates to patenting new inventions and protection of trademark. These legal aspects are critical in providing organizations with an opportunity to invest in new product development. Therefore, Edimax will invest in new and continuous product development.
The global sportswear industry is subject to economic changes. Thus, Edimax’s capacity to maximize its profitability will be subject to global economic changes such as the recent global economic recession and the sovereign debt crisis in the Euro Zone. Therefore, the occurrence of economic downturns might increase Edimax’s cost of production and profitability. Despite these changes, the industry is gaining from the gradual economic recovery due to governments’ investment in diverse economic stimulus packages (Lacobucci, 2014). Moreover, the high rate of economic integration has led to the elimination of trade barriers, which presents an opportunity for firms to enter new markets, hence maximizing their profitability.
The global sportswear industry is experiencing remarkable growth due to the increment in sports enthusiasts who purchase sportswear products as a sign of support for their favorite teams and sports personalities. Additionally, sportswear products are gaining market share amongst diverse consumer groups. This trend has arisen from the development of positive perception regarding sportswear. Kurtz and Boone (2009) emphasize that consumers have recognized the comfort and fashion associated with sportswear.
The need for organizations to attain operational efficiency has led to the increased technological innovation. For example, investment in Information Communication Technology [ICT] has improved organizations’ marketing efficiency. Currently, firms can market their products efficiently in the global market through online technologies. The high rate of technological innovations indicates that sportswear firms must adjust their operations by integrating new technologies.
Firms are increasingly being pressurized to adhere to ethical business practices, for example, investing in environmental protection strategies. This trend has arisen from the identification of unethical operational practices as one of the major causes of climate change (Lipsey, 2006). Thus, Edimax will be required to observe environmental aspects in its operation.Get your
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The high profitability potential in the sportswear industry has led to an increment in the intensity of competition. Currently, major multinational companies such as Nike, Callaway Golf Company, Reebok, Adidas, and Amer Sports dominate the industry (Lamb, Hair & McDaniel, 2012). Furthermore, new investors are entering the industry, hence leading to an increment in the degree of concentration. Despite the intensity of competition, the industry players can exploit the profitability potential by adopting effecting operational and marketing strategies.
- Edimax has developed substantial market reputation due to its investment in corporate social responsibility.
- The firm has established a strong human capital base, which enhances execution of diverse function activities such as designing, production, and marketing.
- The adoption of product diversification has remarkably improved the firm’s profit maximization potential.
- Edimax has adopted a comprehensive distribution channel.
- Edimax has not adequately penetrated the global market.
- The firm’s level of brand recognition is lower as compared to competing brands.
- The firm’s financial capacity is lower as compared to its competitors.
- The firm’s direct and indirect distribution strategy may compromise the firm’s distribution chain.
- Development of positive attitude amongst consumers towards sportswear might increase the firm’s profitability.
- The prevailing global economic recovery will lead to increment in the consumers’ purchasing power.
- The firm can improve its global reputation by investing in sustainable operation dimensions such as environmental protection and energy conservation.
- The adoption of emerging technologies presents an opportunity for Edimax to improve its competitiveness and market position.
- Edimax faces a threat from the growing intensity of competition.
- A negative change in consumer attitude towards the firm’s sportswear might affect the firm’s sales revenue adversely.
- Edimax’s long-term competitiveness might be hindered by the occurrence of economic downturn such as economic recession and sovereign debt crisis.
- Change in legal and political environments in some of the firm’s target markets might increase the political risk, hence limiting the firm’s ability to venture into new markets.
Edimax will be continuously evaluating its internal environment in order to identify potential gaps in its operation. Subsequently, the firm will implement the necessary adjustments.
Segmenting, Targeting and Positioning
In its pursuit for a high level of profitability, Edimax will segment its market based on demographic and behavioral variables. Some of the demographic variables that will be adopted include age, income, and gender. The firm will specialize in producing sportswear products that can be consumed by both genders. Moreover, the firms’ sportswear products will meet the demand of different age groups, viz. the young and the elderly. This decision is motivated by the need to maximize profitability.
In a bid to improve its likelihood of exploiting the industry’s profitability, the firm’s primary target market will be comprised of sports fans. The choice of this target group arises from the recognition of sports fans enthusiasm in purchasing sportswear as a way of supporting their teams. Conversely, the secondary market will be comprised of customers who are passionate about sportswear products.
In its quest to survive the intense competition, Edimax will position itself based on quality and comfort. Therefore, Edimax will ensure that its products are developed professionally via continuous training of employees in order to improve their designing capability. Moreover, training will enable the firm’s employees to project new designs. Subsequently, Edimax capacity to address the change in consumer tastes and preferences will improve significantly.
Edimax will invest in diverse marketing activities that will be guided by the marketing strategies as illustrated below.
The firm will compare its products to those of its competitors continuously. Furthermore, Edimax will gather market intelligence by collecting the customers’ opinions on its products. This move will promote its ability to align its products with the prevailing customer tastes and preferences through continuous and new product development. The firm will collaborate with suppliers and distributors in enhancing its marketing capacity.We will write a custom
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Edimax will adopt the penetration pricing strategy by setting the price point of its sportswear at a lower level as compared to competitors. Thus, the firm will evaluate its competitors’ pricing strategy continuously.
Edimax is focused on attaining a substantial market share; hence, it will adopt Integrated Marketing Communication [IMC]. Thus, the firm will utilize diverse techniques such as advertising, sales promotion, and public relations. Different mediums such as online, print, and conventional mediums [radio, television] will be used in the advertising process. Conversely, sales promotion will be undertaken through price discounts, while public relations will involve promotional events.
Edimax will integrate a number of performance analysis metrics in order to assess its performance.
New product adoption rate
Edimax has adopted new product development as one of the ways of attaining profit maximization. The firm will set its new product adoption rate at 65%. The adoption rate will enable the firm to assess the effectiveness with which its new products penetrate the market. Subsequently, Edimax will assess its success in new product development.
Edimax is focused on gathering market intelligence to be used in its new product development process. Therefore, the firm intends to develop a high level of customer engagement in order to gather new ideas and customer opinion. Subsequently, the firm has set 70% as its benchmark with reference to the level of customer engagement.
Edimax will adopt online marketing in creating and interacting with customers. A benchmark of 60% has been set as the desirable rate of website visitors.
Edimax is focused on enhancing the level of customer satisfaction. Subsequently, a benchmark of 70% will be the basis of assessing the growth in customer value.Not sure if you can write
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Edimax intends to achieve the following quantitative marketing objectives
- To increase the level of customer loyalty by 35% per annum
- To grow the size of its market share by 15% per annum
- To increase the level of profitability by 30% per annum
- To increase its customer base by 25% every year
Additionally, the firm has set the following qualitative objectives
- To invest in new and continuous product development
- To continuously invest in corporate social responsibility
- To create sufficient global market awareness regarding its products
- To maximize profitability by establishing new markets
Kurtz, D., & Boone, L. (2009). Contemporary business 2009 update. New York, NY: Sage.
Lacobucci, D. (2014). MM4: Marketing management. Mason, OH: Cengage Learning.
Lamb, C., Hair, J. & McDaniel, C. (2012). Essentials of marketing. Mason, OH: Cengage.
Lipsey, R. (2006). The sporting goods industry: history, practices and products. Jefferson, NC: McFarland & Company.