Executive Summary
Dream Silks Sportswear Company has been in business for two and a half years now. This period has made the company grow and become a force to compete in the top notch with other enterprises in the industry. Below is the marketing plan for the business created by its founders to ensure it secures funding for continuous and consistent growth. It further seeks to update employees on the status of the company as it stands and give a directive on a new product it plans to launch into the market. Despite the recent launching of the enterprise, it has seen massive growth and has gained great fame in the industry. The company is now launching a new product in the sports industry. It calls “Jersey Fitter’s”, and it is one that will take the sporting world by storm. The product is designed to curb numerous challenges faced by sportsmen during adverse weather conditions. It describes what has been missing. The company will strive to penetrate in the market through the opportunities and make Jersey fitters an authentic brand.
Product Description
A jersey fitter is a fabric designed to act as an additive to jerseys. It can be looked at as another cloth only that it has special features. It is fabric that players are supposed to wear before their jerseys to curb various challenges posed due to weather transitions. The fitters are made of cotton and linen with a topping of light patching of fur. It is further compressed with air packers to make it as light and slim as possible and at the same time, being thick enough to provide warmth. The fitters come in different shapes, sizes, as well as cuts. In fact, the whole kit is a compartment of pieces that have been joined to make up the entire outfit. A fitter is to be worn inside the jersey similar to a vest. It has the main body that describes the chest all way down to the middle section. The other parts comprise the sleeves and a collar attachment. There are various designs to enable fitting of the very many types of jerseys in the market. It is also well to acknowledge the lining along the fitter that ensures it hardly overstretches and cause discomfort.
Goals and Mission
Non-Financial Goals
- To bring in a new product into an existing market of and for many sportsmen.
- The product targets to reduce the adverse effects of weather in sports. It seeks to create an arena where matches can be played well to completion without having to bring them to halts because of pending weather indifferences.
- It further aims to improve the comfort of a player in a given jersey and enable them to participate with ease and safety.
- The product aims at becoming a global product making sales in every nation and sports club. It targets becoming the new face of team shirts and wear.
Financial Goals
- The product seeks to control at least 65% of the sportswear industry by the end of two years. This industry is a global economy at a value of $25 billion a year (Bruce, Daly, & Towers, 2004). Controlling the significant share of the market ensures that the product brings in enough revenue to improve on the brand itself and the company as a whole.
- The principal objective of jersey fitters is to have a royalty on every company that manufactures jerseys. Royalties will maintain both the company and the brand of the product itself.
Situational Analysis
Human beings can withstand a temperature variation in the range of 4 degrees of their internal bodies (Padulo, D’Ottavio, Smith, & Annino, 2012). At this temperature, humans function well and show no sign of mental impairment and fatigue. Soccer players are usually subjected to extreme conditions of weather. The temperature under which the game is played always affects the end performance of the players.
A regulation of the body temperature is dependent on a balance between overcooling and overheating. The average body temperature of a person is 370 (Padulo et al., 2012). Playing soccer, just like many physical intensive activities, increases heat in a body; hence, it needs to be removed. Soccer players have jerseys that fit them and leave less room for cooling or warming up during different weather conditions (Pathack & Rawat). Fitters offer the missing link or rather the solution to this problem. They have all the necessary means of adjusting the body temperature for any person to fit the surrounding. The air packages through convection cool down an overheated body just as the linings do so by conduction. The thickness of the fitters assists players to become warm during cool periods. They do so by maintaining the heat produced by a player and preventing the cold from reaching him or her.
The product will become a masterpiece because no other competitor in the market has such. Fitters on every jersey imply that Dream Silks Sportswear will have command of the industry.
Marketing Strategy
The marketing strategy helps a startup business sell the merchandise as a new product in the market. Moreover, a lot of advertising will be done as well as use of penetration pricing.
Action Plan
The new product requires public awareness. It is a suitable and good commodity that has not gained enough recognition. To sell the fitters, the company will begin by having large advertisements and sales promotions to amass an audience. The sales personnel will be doubled up, and sales trainers introduced to assist product penetration into the market. All cost-effective advertisements will be used, the main one being social media.
Financial Analysis
It is expected that the first year after inception of fitters into the market the company will see a return on revenue of $16 million. The second year will mark a significant breakthrough that will pave the way for more success in the future.
Contingency Plans
The product is bound for success and settles for nothing less. However, if competitors develop an upper hand, the company will pump in more money on advertising. Further to that, the company is willing to begin producing jerseys that come together with the fitters. The clothes will cost less than the amount incurred when one purchases a sweater and a fitter separately.
Market Analysis
The product comes into an already existing industry. The latter has many players, the major ones being Stratsim, Fubu, and Nike. However, as earlier mentioned, the product has an upper hand because it is new and the first of its kind in the market. The industry has a market of $25 billion worth of revenue (Bruce et al., 2004). The annual growth of the market is expected to increase by 13% in the next three years.
Consumer Behavior
Sports clubs make the customer base for the fitters. Clubs and jersey manufacturing companies comprise the consumers. Fans of the respective organizations form a light portion of the client base. The product will target many consumers in these respective areas. The clients will be accessed via two appropriate means and outlets. The first will be a brand specifically for players. It will entail detail information on a player’s health conditions and preferences. The second will try to emphasize methods to maintain the fans of the various team clubs as their customers. Customization of the products will form an important part of this endeavor.
Competitive Analysis
There are countless numbers of competitors in the industry. However, the bigger players are the Stratsim, Nike, and Fubu. They control 75% of the entire market (Prasad, Kimeldorf, Meyer, & Robinson, 2004). They all have strong financial backings and command a loyal customer base. They further have the necessary experience in the industry since they have been in business for quite a long time.
SWOT Analysis
Strengths
- The product is new and fresh in the market. It provides a solution to a problem that has been in existence for a while.
- A broad base of consumers that has not been exploited.
- A considerable financial backing to enable the growth of the product.
Weaknesses
- Lack of distributive experience.
- Lack of experience in marketing of new products.
Opportunities
- A massive market.
- A market that grows at an extremely fast rate.
- Demand for products requires innovation.
Threats
- An intense competition that has dominance in the market.
- Possibility of new entries in the market.
- High chances of a buyout.
- Market strategies.
The Product
The product will be introduced in some designs. There will be brands for players, children, women, and men. Moreover, the company will customize the product according to the desires of the customers. The product targets the youth bracket to curb the biggest market niche of this line of the commodity. Customization always wins customers (Hill, 2000).
Price
The fitters will be sold at an average price of 13.7 dollars and will have a retail price of 16.1 dollars. The product has an advantage due to its quality and uniqueness and will thus allow a slightly higher price than the rest of the jerseys. The pricing strategy is aimed at ensuring a fast penetration into the market.
Distribution
The product will be sold at all sportswear shops and retail areas. The first year will see distribution made from a single point in every state. More decentralized distribution points will be introduced after the product has gained command in the consumer broadband. The company will use many distributor markups before building large wholesale distribution points.
Promotion
A team of ten will be set and established to foresee the development of the product. Members will be added to the sales and marketing team in order to reach some outlets and checkpoints. A sales and marketing trainer will be hired to improve the sales and marketing skills and ways of the existing team. The cost of promotion will be between the sales margin of $350,000 inclusive of salaries and extra expenses.
Expected Results
Dream Silks Sportswear hopes to achieve a market share of 6.5 percent with market sales of 13.6 million dollars in the first year. The same expects some technological breakthroughs with competition expected to be based on innovation and marketing strategy.
In conclusion, an investment of 1.2 million dollars will have to be made to set the new product in progress. The commodity can achieve a significant portion of market share and get its financial and marketing objectives achieved.
References
Bruce, M., Daly, L., & Towers, N. (2004). Lean or agile: a solution for supply chain management in the textiles and clothing industry? International Journal of Operations & Production Management, 24(2), 151-170.
Hill, B. K. (2000). U.S. Patent No. 6,101,645. Washington, DC: U.S. Patent and Trademark Office.
Padulo, J., D’Ottavio, F., Smith, L., & Annino, G. (2012). Kinematic analysis of soccer players in shuttle running. International Journal of Sports Medicine, 33(6), 459.
Pathak, M., & Rawat, A. Composition of selected physical fitness variables of school level football and cricket players. A Journal of Physical Education.
Prasad, M., Kimeldorf, H., Meyer, R., & Robinson, I. (2004). Consumers of the world join a market-based response to sweatshops. Labor Studies Journal, 29(3), 57-79.
Urban, G. L., Hauser, J. R., & Urban, G. L. (1993). Design and marketing of new products (Vol. 2). Englewood Cliffs, NJ: Prentice Hall.
