1. Global Gadgets Imports (GGI)
Marketing Plan
This group project has been created by the following students – handling the following tasks
Dreca will handle the intro and conclusion
Profiling - Damonda Packaging - Stephen Pricing - John Placement - Stephen Partnership - John Promotion – Dreca
Damonda will also handle the compilation.
MGM A-04-GroupProject 2
Stephen Carmack, Fredreca Cowan, Damonda Cummings, and John Daly
August 10, 2007
Colorado Technical University Online
Presented to
Instructor Stephanie Miclot

2. Global Gadgets Imports
(GGI)
Strategic Plan
Marketing Plan
Mission/Vision
Statement
Market Analysis
Target Customers
Characteristics and Demographics
Customer Needs and Interests
Technical Strategy
Technical Requirements Overview
E-Commerce Requirements
Company Description
Products/Services
Business Model Strategy
Competitive Capabilities&Weaknesses
Legal issues
Core Strategy/Positioning
Competitive Analysis
Industry Overview
Competitors
Opportunities,Threats and Risks
Before we are able to begin constructing a marketing campaign plan, we must first understand what a marketing plan consist of as well as what a good marketing strategy means to a company like GGI.
A marketing plan establishes the direction your business is going to take in order to promote your business, attract customers, exploit any identified opportunities and make a profit. A marketing strategy serves as the foundation of the marketing plan. The marketing plan contains a list of specific actions required to successfully implement a specific marketing strategy. A strategy is different from a tactic, while it is possible to write a tactical marketing plan without sound marketing strategy it will ultimately have no foundation.
Marketing is one of the most critical areas of a business. In beginning a new marketing campaign for GGI we must initially decide what forms of marketing we would use. There are different forms which can be broken into two main categories:
Digital promotions
Non-digital promotions
Marketing Action Plan
Online/Offline Marketing Strategy
Promotion Plan (Sales, advertising,PR) Customer Relationship Mgmt. Plan
Threats and Risks
Business Economic Model &
Market Relationship Model
BUS 3030 Team Project-Dreca, Cal, Michael

3. What is Profiling? Target Market Promotion Partnership Pricing
Placement
Packaging
The following 5 slide will address the 5 questions I am asking the focus group & why.

4. What is customer Segmentation?
A customer segment is used as a target segment for:
Web activity
activity
Promotion
Customer segmentation is the practice of dividing a customer base into groups of individuals that are similar in specific ways relevant to marketing, such as age, gender, interest and spending habits. Identifying customer groups based on demographics and attributes such as attitude and psychological profiles. A customer segment represents a group of customers based on their common characteristics.
Using segmentation allows companies to target groups effectively and assign marketing resources to best effect. Value-based segmentation, on the other hand, looks at groups of customers in terms of the revenue they generate and the costs of establishing and maintaining relationships with them.

5. Who is the target market? Who is going to buy our product?
Housewives, Newlyweds, College students
Gender: Mostly female
Age:
Marital Status: Married, single, divorced
Average Household Income: $42,500
The why:
Once you know who is going to buy your products then you will know the areas to target.
It influences customer behavior in the areas of spend, revolve, balance transfers, default etc thereby making the customers more valuable.
Segmenting by demographics is common, but not useful unless customer needs happen to align neatly with the demographic characteristics.
We need to know who needs a particular service and how can you communicate the value of the service to those users who will benefit and for whom the service was developed.

6. What data will be collected and how it will be gathered?
Customer surveys
The that has a list of the links to the products in the wish list.
Purchase history
The why:
To understand the distinct needs, buying behavior and attitudes of our customers. To plan which specifies the customer service structure that is most suitable for the service organization and the needs of the customer. It also enables cost-effective targeting of customers with product and service offerings that match their needs. To find our best prospects and new customers.
Data will be collected from the collecting data, Registration information, Demographic information, Address information Cultural information, Account information (for Business to Business stores) and from other customer information by their interests.
The that has a list of the links to the products in the wish list.

7. How to respond to the information from the data provided?
We must put into action applications to effectively deal with the data and respond to the information it provides?
Why
Everything depend on what you found out or already knew about your our customers? We must integrate the data from various sources and developed methods of data analysis for segmentations.
This will establish effective communication among relevant business units (such as marketing and customer service) about the segmentation.
What data
by including and excluding the customers obvious concerns
by including or excluding existing customer segments.

8. What can we do to convince a user to "buy" our products?
Sales
Promotions
Press release
Discounts/Give a ways
Why
To promote is best suited to the service, product, or concept being promoted or is most suitable for the audience that you are targeting. Market research gives you insights into what drives your users, what they consider important. Promotion should tie into the needs, preferences, and decision-making
It will answer these questions:
How will you reach those who will benefit?
who reads news stories and newsletters?
Who only works online from home?
Who can never be sold, who has already been sold, and who still needs selling?
So we can meet the needs of the customers to offer them additional products and get them to a point where we’re making some return.“ Customers get what they want and subsequently buy more; the more you’re able to do for the customer, the more likely she is to pay attention to the next offer,“ and the need to have segments that lead to a more effective ways of running the business or meeting customers’ needs.
To segment customers by the products they buy. So the big spenders in one product category who start buying in a second category are justifiably miffed when they’re treated as strangers. Because if customers are segment by revenue, many companies assume that revenue is a good indicator of profit.
Segmentation strategy should begin with a profitability analysis, divvying customers into 10 deciles ranging from most to least profitable. By putting each customer in only one segment, so they won’t get bombarded with multiple, uncoordinated offers.

9. Packaging Slogans Factory pack Colors Shipping Package
The GreenWay Model Washer and Dryer from GGI save energy and water and get your clothes pure clean.
GGI can create a multiple packaging of one product, or a combination of one product and another product. One product and a sample or premium product. The packaging is done at the factory and arrives in the trade channel already in promotional form. In our case since we want to build a new washer and dryer we can provide a sample of our laundry soap and fabric softener. The dryer can contain our dryer sheets. We can advertise survivor kits that are given with the purchase of one of our leading house hold items sold.
Colors for different awareness like pink for breast cancer and for different seasons and holidays. They can have a design or package a certain product to move with the time of the economy. We can have or use a theme of safety because of the time we live in with the high alerts.
The shipping package needs to be a picture of the product i.e. the washer or the dryer warning labels and say what color the unit is inside.

10. Pricing Psychology of Consumers and Price
Too ↑ = Not worth the $
Too ↓ = Inferior & unacceptable quality
3 Factors of Price Perception
Reference prices
Price-Quality inference
Price cues
Pricing is one of the most important parts of creating a marketing strategy. If the price is set to high the consumer will consider the product to cost too much and not be worth the money. If the price is set too low it will be perceived as an inferior product or unacceptable quality. For this reason GGI needs to understand the consumer and how they perceive what a fair and just price is. One way consumer’s judge price is by using reference prices (Kotler & Keller, 2006). It has been proven that most consumers can not remember the exact price of a product however they do have a good idea as to what the product is worth by referring back to memory or a posted “regular retail price”.
Another way consumer’s judge price is by price-quality inference (Kotler & Keller, 2006). If they are spending more than expected for a product they are going to choose the more upscale brand name versus an off brand. The higher the price the better the quality, we see this often when it comes to perfumes. For a perfume to smell good many consumers feel they have to pay a lot of money for it or they won’t receive a good quality perfume.
Finally, consumers use price cues to judge price (Kotler & Keller, 2006). Consumers at times feel they are getting a deal when they see a product on sale while everything else is not. Consumers also feel they are getting a deal if the price of a product ends in 9’s rather than let’s say 4’s. If something is $29 consumers are more inclined to purchase it rather than if it was selling for $24. The reason for this is consumers believe the 9’s convey a notion of a discount or bargain (Kotler & Keller, 2006). If GGI is looking for a high price image they should avoid the 9 ending tactic.

11. Pricing Method Target Audience Target-Return Pricing
Male and female years of age
Single and married households with an average household income of $42,500.00
Financial assistance will be made available
Target-Return Pricing
Price is determined based on target ROI
Going-Rate Pricing
Price is largely based on competitors price
Pricing Must be Monitored and Adjusted Throughout the Life of the Product
Before we can choose a pricing method we need to identify our target audience. As we have learned from DaMonda Cummings our target audience consists of both male and female consumers ranging in ages of years of age. The men will be interested in its energy saving features while the women will be interested in its ability to clean better. Our target audience will consist of single and married households with an average household income of $42,500. For those that need financial assistance GGI will either team up with a financial institution or provide the credit themselves. With this in mind we can now work on the pricing method.
There are six price-setting methods a company can use. For our new product line I believe that GGI should use a combination of target-return pricing and going-rate pricing. To say that one is more important than the other would be short sided, in order for GGI to survive in the competitive world of washer and dryers our pricing needs to be just right for the consumer and GGI.
Target-return pricing is used by companies that set their prices based on the targeted return on investment (Kotler & Keller, 2006). If GGI wishes to make 35% ROI for its washer and dryer units it can calculate the price once they know what their cost for production and delivery is. Let’s say GGI only wants to invest $15 million into this new product line and each unit cost on average $500 to make. They also know they will be able to make 30,000 units and must sell them all at an average price of $ The nice thing about using target-return pricing is that GGI can monitor its returns if the units are sold at different price levels.
Finally, GGI needs to sets the price of its washer and dryers based on the method going-rate pricing. Going-rate pricing occurs when companies base its price largely on their competitor’s price (Kotler & Keller, 2006). Now that GGI knows what their costs are and what upper management’s expected ROI is we can see where we lie in respect to our competitors. The range for front loading washers go anywhere from $ to $ while front load dryers cost anywhere from $ to $ As you can see our needed sale price of $ is within range for the front loaded electric dryers but for the front loaded washers our price is below the markets range. We must increase the price from $ to $ a unit. But based on the concept of greater demand when the price ends in the 9’s we will sell the dryers for $ and the washer units for $
By combining these two pricing methods we are able to increase our expected ROI from 35% to 55% and avoid having too low of a price while being perceived as having an inferior and unacceptable quality product. One thing we need to keep in mind is that pricing is a continual effort that needs to be monitored and adjusted throughout the life of the product. As the cost of production, cost of transportation, and the consumers’ perception of value changes so must our prices.

12. Placement The marketing and carrying of products to consumers
Customer service
Logistics manager
Where will the new stores be located?
Get the product to the customer
E-business
A customer-oriented corporate philosophy that integrates and manages all of the elements of the customer interface within a predetermined cost-service mix. This will put the manager in contact with the customer.
GGI needs a logistics manager to plan the flow of materials in a manufacturing organization (beginning with raw materials and ending with delivery of finished products to channel intermediaries or end customers) and coordinates the work of departments involved in the process, such as procurement, transportation, manufacturing, finance, legal, and marketing. In the more limited marketing sense, physical distribution management is concerned with the efficient movement of finished product from the end of the production line to customers. This is usually a staff position, reporting to corporate or division management, with the functional authority needed to coordinate the execution of distribution plans by functional departments so as to provide good customer service at acceptable cost
A market study will have to be done to figure out where the new stores are going to be located and how big they will be. We could also put our products in the Costco/Sam’s Club
Have some units stored at the store and set up delivery to the person home or the can do cash and carry.
Have the washer and dryer on the company web site and offer free delivery or something like that.

13. Cooperative Marketing
Co-Op Marketing increases brand awareness for Companies with a limited advertising budget
Benefits of Co-Op Marketing
Efficiency
3rd Party Endorsements
Growth Potential
Forms of Co-Op Marketing
Advertising for $$$$
Yahoo and Google
Advertising for services
Creation of pamphlets, catalogues, or trade brochures
Co-Op marketing can be very beneficial to companies who want to increase brand awareness with a limited advertising budget. According to Peter Figueredo, there are three benefits that can be associated with Co-Op advertising. The first benefit is efficiency; the only cost involved with this program is staff time for setup and/or performance marketing agency fees (Figueredo, 2006). Secondly Co-Op advertising creates third party endorsements (Figueredo, 2006). When small businesses partner up with a stronger company they can create positive brand association. Finally, the third benefit that can be associated with Co-Op advertising is growth potential. These relationships can become so successful that they have the potential to grow into larger business development deals such as brick and mortar cross-promotions, event sponsorships, co-brand advertising initiatives and many more (Figueredo, 2006).
Co-Op marketing can come in many forms, the most common form we see today is when we surf the web. Companies such as Yahoo and Google have developed relationships with other companies to place banner ads on their homepages in exchange for money or other forms of advertising. Co-Op marketing is not just based on monetary agreements but also include services such as the creation of pamphlets, catalogues or tradeshow brochures. At GGI we need to create a cooperative marketing partnership that will assist us in making our brand strategy visible as soon as possible.

14. GGI Partnership Strategy
Product Touch Points
Home Décor & Gift Items
Banner ads on web site
Retail space on web site
11+ stores nationwide
Product packages
GreenWay Washer & Dryers
User Guides and Operation Manuals
GGI has the potential to increase brand awareness and continue to stay within their designated budget. In order for us to do so, we need to create a partnership strategy with established companies that compliment our goods and services. We will divide our strategies into two separate parts. The first part is identifying our product touch points while the second part will consist of identifying potential partners. Product touch points are important as they illustrate to the potential partners what we have to offer to the partnership agreement.
In regards to our home décor and gift items we have established a web-site for our customers to navigate through to purchase our products. This web site is a touch point we could use in the bartering process of Co-Op marketing. One of the ways we can use the web-site is to offer web space for our Co-Op partners to use. For example, we could place hyperlink banner ads on our web-site or once the customer has added an item to their virtual shopping cart we can suggest our partner’s products that compliment their purchase. We could also include our partner’s goods or services in the result window of a search that was created by the customer. As you can see there are many ways we can use the web-site as a valuable touch point for our Co-Op marketing strategy. Another touch point we can include in the agreement are the 11+ stores throughout the United States. Agreeing to sell our partners products in our store is another way for us to contribute to the partnership. Finally, we can use dead space on our packages as a way to promote our partners goods or services. This is an excellent touch point and one consumer’s come in contact with every time they purchase our products.
In regards to our new product line, GreenWay washer and dryers, our touch points also include the web site, 11+ nationwide stores, and product package but one touch point that differs from Home Décor and Gift Items would be the user guide and operational manual packets that are given along with the product. This is a touch point that every consumer will familiarize him/herself with throughout the life of the product. Including promotional leaflets, brochures, coupons and free samples is an excellent way for our partners to use this touch point.

15. GGI Partnership Strategy Cont.
Identifying Potential Partners
Home Décor & Gift Items
FurnitureProducts.com
SC Johnson (Maker of Pledge)
Scotchguard
Local Carpet & Upholstery Cleaners
GreenWay Washer & Dryers
Home Appliance Retailers (Home Depot, Lowes & Sears)
Procter & Gamble (Maker of Tide & Bounce)
Melalueca: The Wellness Company (Maker of Natural Household Cleaners)
Utility Companies (Electrical & Natural Gas)
Once we have identified our touch points we can then move forward with identifying our potential partners. It is important to know that competitors make bad cooperative marketing partners, so companies like Bed Bath and Beyond, The Home Store, Kenmore and Maytag must be avoided. GGI needs to look for partners with goods or services that compliment our products.
When it comes to home décor and gift items furniture care companies would make excellent partners. Companies such as FurnitureProducts.com, SC Johnson, Scothguard and local carpet and upholstery cleaners all have goods and services that compliment our products. By offering rebates, coupons and/or free samples consumers will associate GGI with these well known companies. In return these companies can either compensate us monetarily or use our products in commercials, ads or other marketing venues.
When it comes to our new product line, GreenWay Washer and Dryers, GGI can identify potential partners such as Home Appliance Retailers (Home Depot. Lowes, Sears, Sam’s Club & Costco), Procter and Gamble, Melalueca: The Wellness Company and/or Utility Companies. Our GreenWay Washer and Dryers are front loaded appliances that use 40% less water, require 20% less energy and have proven to clean clothes better than older washer and dryers.
One way we can partner up with Home Depot, Lowes, Sears, Sam’s Club and/or Costco is by sending each family a gift card from the store they purchased our washer and dryers from. In return these stores would include our product in their direct mail promotions, TV commercials and/or newspaper ads.
GGI has considered developing natural, non-toxic laundry detergents and dryer sheets to add to its new product line. If however they choose not to implement this strategy they have an excellent opportunity to create a Co-Op partnership with companies like Procter and Gamble and Melalueca: The Wellness Company. We can include coupons rebates and/or sample of their detergents or fabric softener sheets. In return we will receive 3rd party endorsements and monetary reimbursements.
Finally we could consider Utility Companies as potential partners. Because we want to be known for our cost saving efficiencies we can ask electrical companies, water companies and/or gas companies to include a pamphlet/brochure of our product in their monthly bill. This way we can be the first one on the consumers mind when they get that desire to decrease their bills and in return the utility companies will be look upon as a company that tries to help the consumer rather than one that doesn’t care about the rising cost of utilities.

16. Promotion
Promotion is one of the four P’s of the marketing mix. Promotion involves the gained information about the product and brand in regards to the company.
Promotion is one of the four P’s of the marketing mix. Promotion involves the gained information about the product and brand in regards to the company.
GGI marketing tactics are based on the four Ps of marketing, which include promotion, product, price and place.
• Promotion: GGI’s marketing promotion will promote our new line of housewares without creating a war of prices. Our message of the value of the customer will promote additional relationships were communication is our main focus.
• Product: Our product is the high level of quality in interaction with the customers as our services address their needs and wants. Our services promote the function of GGI as a importer of home décor and gift items, where appearances build reputations for the improvement of our packages and brand
• Pricing: The share of preference will be increased through strategizing pricing, where our marketing decisions address price as well as promotional discounts.
• Place: The marketing place, challenges GGI to make available to current and potential customers, our new products.
Because GGI has eleven locations we plan to utilize multiple avenues to help promote our business. Outlined below are some of the tactics we plan to incorporate to promote our business.
Brochures/newsletters/leaflets/flyers
websites
Posters, pictures, and display boards
Presentations
Advertising gifts
Direct mail
Phone directories
By utilizing all of the above mentioned tactics we feel that we will be able to target our audience. Because we have chose to target all age ranges and both genders we feel that by utilizing the websites will appeal to the younger audience while the brochures and newsletters will assist in other generations. Adding our name to the phone directory will be an added bonus.

17. References
American Marketing Association, retrieved on August 4, 2007 from
Business artifacts, retrieved on August 4, 2007 from
Customer Segmentation, retrieved on August 4, 2007 from
Customer Segmentation Done Right, retrieved on August 4, 2007 from
American Marketing Association, retrieved on August 4, 2007 from
Business artifacts, retrieved on August 4, 2007 from
Customer Segmentation, retrieved on August 4, 2007 from
Customer Segmentation Done Right, retrieved on August 4, 2007 from

18. References Cont.
Figueredo, P. (2006). Mutual Benefit. Target Marketing. Philadelphia: June Vol. 29, Iss. 6; pg. 29, 2pgs
Figueredo, P. (2006). Mutual Benefit, Revisited. Target Marketing. Philadelphia: Sept Vol. 29, Iss. 9; pg. 23, 2pgs
Introduction to Marketing the Library, retrieved on August 4, 2007 from
Kotler, P., & Keller, K. L. (2006). Marketing management (12th ed.). Upper Saddle River, NJ: Prentice Hall.
Figueredo, P. (2006). Mutual Benefit. Target Marketing. Philadelphia: June Vol. 29, Iss. 6; pg. 29, 2pgs
Figueredo, P. (2006). Mutual Benefit, Revisited. Target Marketing. Philadelphia: Sept Vol. 29, Iss. 9; pg. 23, 2pgs
Introduction to Marketing the Library, retrieved on August 4, 2007 from
Kotler, P., & Keller, K. L. (2006). Marketing management (12th ed.). Upper Saddle River, NJ: Prentice Hall.