We will serve over 10,000 students by the second year of launching with over 7,500 being retained as continuous users.
The business will launch with the consumer in mind. These will include all the students who need tutoring services. The best customers will not just use the tutoring service once but due to the quality and dedication of the tutors, they will use the service throughout their education lifetime. Customer retention will increase customers’ lifetime value and grow business revenue (Bray, 2011). Lead generation will be necessary to obtain the 10,000 students who we hope that most of them will be loyal and refer to more students hence turning them to our brand ambassadors.
| INTERNAL | external | |
| POSITIVE | Strengths Retaining customers will ensure a continuous flow of income.The first consumers will become the businesses brand ambassadors | Opportunities If the business launches successfully then we will capture markets within the first consumers base through referrals.If there is more need for students to use tutoring services, then there exists a wide market. |
| NEGATIVE | Weaknesses Lack of a strong base to start.Numerous tutoring organizations already offering services hence hard to obtain first consumers | Threats If a new organization launches with more resources, then the market share would drastically shrink.If the lead generation is not successful, then the business will face financial issues. |
Table 1:Macro Marketing Challenge 1 SWOT Analysis
Rationale
Strengths
If we can successfully launch the business and obtain the first 1000 customers, the business will be well-positioned to take up the challenges of the industry. Due to the efficiency of the tutors, it will be guaranteed that every new student will introduce an approximate of three others who may require our tailored services hence leading to fast market development. If the need for students to use online tutoring services increases, the organization will stand to gain more market share. This is based on the market waves and student preferences that are susceptible to change over time.
Weaknesses
There is a lack of a strong base to start the business. The business has a huge challenge with attaining the finances and influence required for market entry which is already near saturation (Hof, 2014). There are numerous organizations in the market such as chegg.com who have already established trust with the target market hence making it hard for other smaller businesses to catch up.
Threats
We will position the business in the top 50 tutoring businesses by the first year through continuous online marketing strategies.
Rationale
Positioning is critical for the Adventure Tutoring Company; we will strive on obtaining an online market leads to guarantee that we wet ourselves apart from the competition based on the quality and effectiveness of the services provides. Using the online marketing systems such as Google and social media with increasing the consumer base to a global scale hence more chances for international students to choose our brand. There are thousands of tutoring service providers available today hence for the business to be more effective in market entry, it should be among the top providers (Hof, 2014). This will ensure further service development and pricing and deliver the required tools that will be used to win more students from the already established businesses
| INTERNAL | external | |
| POSITIVE | Strengths Strong product performance and unmatched quality management systemAvailability of online analytics to determine the percentage reach of different promotional strategies.Research on the established organization and their weaknesses | Opportunities If the market continues to grow, then we may obtain enough students to position the business at the top 50.If the competitors do not eliminate the gaps in the market, there is an opportunity to grab a huge market segment |
| NEGATIVE | Weaknesses The pricing strategy is hard to establishQuality tutors who are available are hard to find | Threats If the competitors innovate and develop better tutoring services, then the market opportunity will close |
Table 2:Macro Marketing Challenge 2 SWOT Analysis
Rationale
Strengths
Opportunities
Weaknesses
Threats
We will launch an online tutor training program within the first year of the business launch to boost quality delivery of service.
| INTERNAL | external | |
| POSITIVE | Strengths It is cost effectiveFlexible and innovativeFriendly utilization interface | Opportunities If more tutors are required for training, then the platform will employ a scalable approachIf the business is well established, then the training platform will be adapted for the future. |
| NEGATIVE | Weaknesses Post training is requiredHigh speed internet required for successful training using the online platform. | Threats If the security of the training is compromised the Adventure Tutoring Company can lose a competitive advantage.If the hidden costs outweigh the budget of the training system, then the organization may operate at a loss. |
Table 3:Macro Marketing Challenge 3 SWOT Analysis
Rationale
Strengths
Opportunities
Scalable technology is critical for the development of the training system, this is based on projections of the number of tutors that will be employed by the business and their increase with the increase of students (Safarzyńska, 2011). All the tutors will be trained continuously hence the training content will increase over time hence the opportunity to use scalable technology such as cloud computing. If the business is well established, the training system will be established for future tutors. Future tutors will not have to go through new training but rather will use the training material available unless there is a change in the system or technology.
Weaknesses
Post-training will be required for all the tutors which may be hard to achieve through an online platform. Having online tests is questionable where the tutors may bypass the process hence reducing the quality of their services which may lead to a lower rating for the business. The tutors may also not take the requirements of the training seriously, this can be a huge blow considering the investment in the system. High-speed internet is also required to facilitate the training program, having less internet will lead to the system crash or inaccessibility of the contents to some of the tutors. High-speed internet can be costly for a startup organization.
Threats
The compromise of the system security can lead to the leakage of data to the competition who can tailor their content to provide similar services, this can lead to the loss of the competitive advantage that the business was established and operates. Loss of the data can also lead to huge costs in terms of time and revenue in establishing similar training. Hidden costs for the training systems can outweigh the budget allocated, the business is a startup hence the revenue is limited, and expansion of a budget can be adverse to the business (Ventura & Jang, 2010). The hidden costs include data recovery, backup systems and problem-solving. The training system needs to be tailored to suit the requirements of the business hence issues will arise during the process, solving these can lead to the extension of deadlines and costs.
