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Marketing PlanMarch 12, 2105Marketing PlanProduct Description The product under consideration is a new smartphone known as Inn Joo manufactured by a Chinese firm. Inn Joo as a company was incorporated back in the year 2014 as a technical startup with an internet DNA. The internet journey started when the company joined hands with largest e-commerce companies with the Asian market. Located in United Arab Emirates Dubai, Inn Joo has become the largest company providing solutions for software development and smart devices within the Gulf Region. As the product is not well known in the United States, the marketing plan is set to evaluate how the product would enter the USA market without difficulties as the company aims to increase its global targeting of customers. With China aiming to become a global giant in the manufacturing industry, it is time to provide value to its customers by providing a local smartphone in the global arena. This will create a stiff competition among the largest and high prestige smartphone producing companies including SamSung, Apple, Microsoft, HTC, among others (Innjoo.com, 2015). Apart from the smartphones, the company also offers tablets, accessories and software development services to millions of users within the Gulf region. INN Joo is committed to providing quality and optimize software that are user-friendly. The company also listens to what the customers demand providing quality products at affordable prices. Apart from the products, the company continues to reap big in the internet journey. With the company aiming to become a global leader in the coming years, tapping in the USA market is a great opportunity to exploit their potential and improve customer experience in the smartphone use. Through innovation and creativity, Inn Joo will create a competitive environment among the blue chip companies in the smartphone business within the United States (Innjoo.com, 2015). One major competitive advantage that Inn Joo offers among its rivals within the smartphone industry is cheap labor from China. China as the world’s highest populated company enjoys cheap labor. With cheap labor and cost of production law within the Chinese industry, this means that Inn Joo smartphones can be provided at cheap prices in the market. Provided that the company offers quality and keeps pace with global leaders like Samsung, Nokia, Apple among others, the company would enjoy a high customer base especially in the middle age groups that would be attracted by a cheap product with a high quality. The Inn Joo smartphone product has also been tested in a growing market within the Emirates region that. The Emirates or the Gulf region is a rich region and success of the product in the area means that the product would be a success launch within the United States market CITATION Ker13 \l 1033 (Kerin & Hartley, 2013). The next competitive advantage that the Inn Joo smartphones are the fact that China has great innovation potential in the development of smartphones and software products. Other companies including Apple has set their manufacturing facilities within China to enjoy the innovation and creativity that Chinese technology industry provides. This would mean that an original Chinese firm tapping into the smartphone business will provide a more aggressive in growth selling more units within the United States. China’s growth in the international market also provides the Inn Joo smartphones with an opportunity for growth as more people appreciate products from China CITATION Cat13 \l 1033 (Cateora & Gilly, 2013). Goals and strategiesMarket share Inn Joo in its entry into the United States Market should be prepared for stiff competition. Companies like SamSung, Nokia, Apple among others have strengthened their market positions well and attracted a high market share. The ComScore reports in the year 2014 reported that 178 million people owned a smartphone as of November 2014. This is a 73.6 mobile market penetrations which is also a better prove that the United States is a better target market considering it is a developed country where many people accept the value of communication. Apple took the largest share of the purchase at 41.8%, followed by Samsung at 29.7%, LG at 7.6%, Motorola at 5.2%. While HTC came fifth at 3.7%. This means that Inn Joo will be looking to attract a market share of roughly 1% of the United States smartphone users. The Android smartphones had the largest share in the market as of November 2014 constituting 52.6%, followed by Apple at 41.8%, Microsoft 3.4%, Blackberry 2%, and Symbian at 0.1%. With Inn Joo utilizing Android application, there is a high potential for growth. Hence based on the analysis from ComScore, the market share goal of Inn Joo smartphone product should be 1% while on Android usage at 10% CITATION sta15 \l 1033 (statista.com, 2015). Sales forecast The sales forecast for Inn Joo should be benchmarked against the top selling firms in the USA. Smartphone sales in the United States have been on the rise over the past decade, and Inn Joo should be positive of acquiring a considerable market share. In the year, 2013 sales worth $39 billion were made, $41 billion in the year 2014 and $51.3 billion estimated in the year 2015. With the market growing and consumers asking for a variety, Inn Joo should target sales of roughly $1 billion in the USA. This should be accompanied by aggressive marketing as well as proper pricing so as to attract large number of buyers in their portfolio CITATION inn15 \l 1033 (innjoo.com, 2015). Projected Growth With estimated users of smartphones growing every year, Inn Joo should be positive for growth within USA. As a developed economy, the users within the market appreciates the concept of innovation highly, hence Inn Joo as a company should highly focus bringing new user experience that will see the company develop a high market share with time. With the company doing great within the Gulf region, Inn Joo projected growth in the coming years should be at 5% every year for its launch in the year 2015. This will see the company boost its sales and tap into other markets CITATION sta15 \l 1033 (statista.com, 2015). Target Market The target market for the Inn Joo product is the United States with an estimated population of 320 million making it the world’s third populous country. However to launch Inn Joo within the United States Market, it is important to focus the target market within the highest populated cities within the region. With 81% of the United States population living in the cities and suburbs, this urban rate predicts a good growth of the Inn Joo smartphone product. The most populous states in the USA includes Texas and California while the most populous city is New York. This means that the best target market for the launch of the product would be in New York. With a high population, there is a high likelihood that residents in the area have different tastes and preferences. The area is also a great market for marketing and with a very high middle age income group within the city, the Inn Joo product will attract quite a portion of the users of the smartphone industry. New York City based on the latest data statistics has an estimated population density of 8.4 million accounting for 40% of New York state. The city is a good target market based on the fact that it has the highest source of modern migration with people from Jamaica, China, Dominican Republic, Mexico, Guyana, Trinidad and Tobago, Haiti, Ecuador, Russia, El Salvador and Colombia residing in the city. The city is a metropolitan and is the home to Jewish community outside Israel. The city is also the home of 15% of Korean Americans and quarter of the Indian Americans. Following these demographics, New York City is the best target market for Inn Joo smartphones. With an estimated population of 1 million from Asia, they would be very positive in purchasing Inn Joo on the fact that it comes from their origins. Other communities living in the city would be attracted to the product from the comments and feedbacks they receive from their neighbors. In summary, New York City is the best hub for the Inn Joo product as the city is high populated offering a very high opportunity for growth. If the product is accepted in the metropolitan city, this will give a good picture that the product is good and user-friendly attracting more buyers in the portfolio. The selling of smartphones is not gender based hence Inn Joo should be attractive to all users within the smartphone industry in the city. The estimated size of the market in terms of sales should be $0.5 billion in the first year of sale with the remaining amount tapping other markets in the USA. One major risk that Inn Joo faces is stiff competition from the high-value companies within the smartphone industry in the USA. This includes Apple, Samsung, HTC, Microsoft among others. The United States culture is also on hand as Americans appreciate products that are home made meaning the foreign company must convince the users on the use of the new product in the market. There is also the risk that the company growth might be hindered by financial constraints where the company does not use the right strategies in marketing the product. All the same, Inn Joo should be positive that launch in USA will be a success CITATION inn15 \l 1033 (innjoo.com, 2015). References BIBLIOGRAPHY Cateora, P., & Gilly, M. (2013). International marketing (16th ed.). New York: McGraw-Hill Irwin.innjoo.com. (2015). Innjoo.com. Retrieved from About us: http://www.innjoo.com/en/About/article#about_usKerin, R., & Hartley, S. (2013). Marketing. New York, NY: McGraw-Hill/Irwin.statista.com. (2015, ). Number of smartphone users in the USA. Retrieved from statista.com: http://www.statista.com/statistics/201182/forecast-of-smartphone-users-in-the-us/
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