Professional Communication Phase 5 DB - Essay Example

The present summary presents the marketing proposal to launch the second version of the SmartFit software in our partner health club facilities. Ourfirst version, which is now in used in over 170 clubs in the United States and Canada, is known by personal trainers as one of the preferred fitness software for real-time appointments scheduling, client fitness performance tracking, and as a communication tool for staff and members of the facility via the wireless PDA devices that deliver SmartFit.

Even though that first version was organized around a service based model, company executives have decided to use a slightly different business model for the release of SmartFit 2.0 which is tailored toward the general membership of the partner fitness club.SmartFit 2.0 also delivered via a wireless device, will bring a suite of entertainment features to the user in addition to the performance tracking. Users of SmartFit 2.0 will be able to listen to streaming music from the Universal Music catalog, audio books, and pre-recorded fitness routines created by the leading Personal Trainers in North America.

At the release of the client version, the beta testers (a focus group of selected clients at a partner facility) suggested to offer a three-month free promotion for all new signed up members to any partner facility as a part of our marketing strategy. New members would thereby benefit of the promotion for ninety days followed by an increase in membership fees to reflect the inclusion of SmartFit 2.0 in the monthly membership fee. For current members willing to upgrade to this new level of membership, we would offer one month free and a 10 percent discount on the new membership fee for a period of twelve months.

Our company executives believe that in offering this promotion, we are positioning SmartFit 2.0 to be as much of a success as the Personal training version. The pricing strategy has been studied carefully during the development of the platform, and extensively compared with similar client applications in the local and national market. For answering to the diverse demographics that exits at fitness facilities, our managers decided on using a service pricing model, as well as a per-use model.

The service fee model described earlier is designed for the first adopters of the technology and those who can benefit from it by becoming a new member at a partner facility. The per-use service model is made to allow people who may decide to use the wireless features of SmartFit 2.0 in a less regular fashion. The price per-use is then billed to their account which is due at the end of every month of use. This is ideal for temporary users, business travelers, and guests. Based on the predictions presented by the membership retention managers, such a tool could not only enhanced membership retention but should also entail clients to participate more often in activities in the facility and therefore assist in increasing our service revenue considerably in the three to six month period following the release of the software application (IHRSA 2007).

The sales strategy of our marketing plan is to rely on an educated sales force. Personal trainers and fitness instructors were selected to be the sales agents for SmartFit 2.0. As users of SmartFit themselves, they can outline the advantages of the application and create enthusiasm in potential customers better that any other staff in the health facility. The promotion and sale of SmartFit 2.0 will also be incentive based for the sales people who will each receive a per sale affiliate fee for signing up new clients onto the application.

The overall marketing strategy will be altered accordingly to our preliminary results in the pilot facilities described in the full marketing plan.ReferenceInternational Health Racquet & Sportsclub Association (IHRSA). (2007). Industry reports Retrieved June, 2007. http://www.ihrsa.org