Marketing Plan for 2025

Marcus Parks, Oleksandr Surkov, Igor Ivanenko, Roman Margulis, Olena Vidaiko

Report Plan

Action and Budget Plan for 2025

Tactics – Implementing Marketing StrategyImplementing Marketing Mix Contingency Plan

Marketing StrategyGap Analysis Business Goals and

Objectives STP Analysis and Strategy Portfolio Analysis Growth Strategy

Situation Analysis and Marketing SummaryMarketing Environment Market Share and Product Life

Cycle Historic Growth Rate and Sales Critical Success Factors

Company Overview and Product Definition

“We exist to competently supply world-class MP3 players to our valued customers”

Requiem is a Consumer Electronics Corporation

Since 2016

Leader on the Canadian market of MP3 players

Product portfolio: Sonic2, Sonic7, Runner, Energy

SWOT AnalysisInternal

Strengths Weaknesses Largest product portfolio on the market (4 items) Technological development of products Professional management Effective use of advertising and promotional

budget The largest total market share

Late launch of the sport product “Runner” (one period later than main competitors)

Technological 1-year development gap of “Runner” High retail margin (in the past) Limited budget for advertising and promotion

Opportunities Threats

External

C Music is a part of cultural behavior of Canadians Canada is a multicultural dynamic environment – subject to quick transformation and change

Our competitors use the same segmentation as we do. Therefore, there is not a lot of room for differentiation.

DTarget markets for all 3 types of products are available: a lot of students for “Energy”, many people who enjoy sports for “Runner”

S Lifestyle of Canadians is favorable for mp3 player manufacturers – large market

TCanada is well developed technologically – provides high quality human resources and technologies

Cell phones as the main substitute products

E High incomes of Canadian population National currency devaluation affects the costs for the parts supplied from abroad

P No major restrictions or regulations are posed regarding mp3 players Lowering duties for cheep Chinese players

Sales and Market Share

2016 2017 2018 2019 2020 2021 2022 2023 20240

100000000

200000000

300000000

400000000

500000000

600000000

700000000

Historic Growth Rate and Sales

Sonic7Sonic2EnergyRunnerOverall

6%

20%

8%

9%

23%

3%

28%

4%

Market Structure Overall

Firm1MusicHappyUltra Music IncFirm4 IncReptar International Life Enjoy RequiemFirm8

Total Marketing Contribution

Product Portfolio and Targeting

Both “Sonics” are designed for mass

consumer

Target markets for “Energy” are

Generation X, Y and millennials.

Differentiated targeting strategy is used for this product.

The best strategy for “Runner” is

Concentrated, as the target audience is not

so broad.

Marketing Goals and Objectives

Increase market share to 30% in

sales by the end of 2025:

Increase product awareness rating by the end of 2025 to: •“Sonic 7” – 0.65 •“Sonic 2” – 0.30•“Energy” – 0.90•“Runner” – 0.60

Increase distribution rating by the end of 2025 to: •“Sonic 7” – 0.50 •“Sonic 2” – 0.10•“Energy” – 0.20•“Runner” – 0.50

Increase product specs rating by the end of 2025 to: •“Sonic 7” – 0.90 •“Sonic 2” – 0.70•“Energy” – 0.95•“Runner” – 0.90

Marketing MixProduct

For Standard segment, Requiem will aim to achieve the best price/benefit balance for the best quality it can offer.

Requiem’s “Runner” product team will strive for developing the product’s specs and characteristics.

Youth category will revolve around improving “Energy” design and style

PlaceSegment Price sensitivity

Sports LowStandard HighYouth Med

Promotion

The main advertising and promotional channels used for achieving awareness and promoting the company’s values will include TV, magazines, digital media, POP displays, rebates, salesforce training etc.

Price

Actual RecommendedSonic2 78 95Sonic7 95 95Runner 136 130Energy 67 60

Action and Budget Plan for 20254P Activity Decisions/Budget Responsible Review

Product Product Development (R&D) “Sonic 7” 2025 Cost Reduction Project/$1,000,000“Sonic 2” 2025 Cost Reduction Project/$1,000,000 “Energy” 2025 Spec and Cost Reduction Project/$2,000,000“Energy” 2025 Spec and Cost Reduction Project/$2,000,000 

Product management

and R&D departments

Annually

Price Product Pricing Planning “Sonic 7” – retail $78/ wholesale $50.7“Sonic 2” – retail $95/ wholesale $61.75“Energy” – retail $67/ wholesale $45.56“Runner” – retail $136/ wholesale $91.12

Product management department

Annually

Promotion

Advertising and Communications Campaign

“Sonic 7” – TV/$4,500,480; Digital media/$2,531,520“Sonic 2” – Magazines/$2,000,000“Energy” – TV/$5,500,000; Digital media/$4,500,000“Runner” – TV/$4,500,000

Department of Advertising and Communication

s

Annually

Promotional Campaign  Trade shows Salesforce training Gifts Social

MediaPOP displays Rebates

“Sonic 7” $275,000 $275,000 $1,100,000 $825,000 $1,375,000 $1,650,000“Sonic 2” $110,640 $92,200 $645,400 $184,400 $368,800 $442,560“Energy” $225,000 $225,000 $900,000 $675,000 $1,125,000 $1,350,000“Runner” $400,000 $1,000,000 $1,500,000 $500,000 $1,000,000 $600,000

    Advertising and Communication

s

Annually

Place Distribution and Wholesale “Sonic 7” – retail margin 35%“Sonic 2” – retail margin 35%“Energy” – retail margin 32%“Runner” – retail margin 33%

Sales Department

Annually

Conclusion

Requiem is the market leader and the main goal for the future periods is to maintain its leading position on the market of music players

Clear Marketing strategy and tactics are set to allow Requiem to be successful in the future and achieve its goals and objectives

Key learning outcomes of this report comprise conducting marketing audit and analysis of the environment, establishing and implementing

marketing strategy and tactics as well as presenting findings to the stakeholders

To achieve learning objectives the tools and frameworks studied during the course have been utilized

Thank you