Marketing Plan - Term Paper Example

Download file to see previous pages SWOT analysis has identified that one-stop location and the huge Victorian house with a capacity of 600 people make Creations for You a perfect place to celebrate all kinds of functions. However, lack of awareness of customers about the new startup and huge initial investments appear to be two major weaknesses of company. To compete in a highly competitive market, the company aims to target the marketing segments through an effective promotional strategy. Both the indoor and outdoor promotional tools will be used to create awareness among the people and integrated marketing communication approach will be used however; to recover these costs and other fixed and variable costs, company will adopt a captive pricing strategy. SWOT Analysis Strengths Company has a huge Victorian home in which 600 individuals can be adjusted A client one stop location where all wedding services are available Weaknesses Being a startup company, no one knows about the company therefore, significant marketing efforts need to be put to promote the company Huge initial investments and marketing costs and less profitability Opportunities Changing thinking patterns of people such as considering marriage a big one-day event in life is favorable People are willing to spend more money on their weddings and ceremonies to maintain their social image The increasing busy routines lead the people to opt for full services like this Threats Increasing competition Easy access to wholesalers and vendors facilitate people to organize such functions very easily Increasing prices and costs of products and services can increase the costs of operations of the company Pricing Creations for You aims to offer distinct services to its customers, so that the big days of celebrations may become a beautiful part of their memories. To offer exclusive and excellent services to customers, company needs to establish a premium image in the market; therefore, company is spending huge costs on marketing and promotions. Although fixed costs of the company are not very high however, variable costs will be significantly high. To achieve the marketing objectives of the company, Product-line pricing strategy will be used. There are various types of pricing methods in the product-line pricing strategy including captive pricing, bait pricing, pricing line and premium pricing (Pride & Ferrell, 2007). The valuable services of the company will be offered to customers by adopting a captive pricing strategy. Captive pricing strategy is the most suitable strategy for services of the company because the customers will be attracted by keeping the prices of basic services low whereas, the prices of other services will be kept high (Pride, Hughes, & Kapoor, 2009). For example, for a specific event the Victorian home will be available at market competitive prices. The customers will get attracted when they will see the low price of the hall however, the value of the other services that will be required to organize the entire event will be kept high for example, other than the hall charges, the per head cost, lightening cost, music system cost, floral setting or stage decoration cost etc will be offered at high prices. Therefore, captive pricing strategy will help the company to attract the customers and it will help the com ...Download file to see next pagesRead More