Marketing strategies of Houzit Samples †MyAssignmenthelp.com

Question: Discuss about the Marketing strategies of Houzit. Answer: Introduction Marketing strategies particularly known as a plan of action which has been designed by the company for promoting and selling its products and services in the market. Moreover, these strategies must be designed and alter as per the changing environmental condition in order to stay aligned with the latest trend [[1]]. Furthermore, they are made by the company to do marketing of their products and services in an effective manner. Moreover, the present report describes themarketing strategies of Houzit which is a chain of home wares stores in Brisbane which is headquartered in Milton. It specializes in bathroom fittings, bedroom fittings and decorative items. Furthermore, the report describes the organizational overview and its objectives. Along with that, it also focuses on identifying the available opportunities by doing the environmental and risk analysis. At last, the tactics have been suggested for implementing these strategies in the market [[2]]. Swot Analysis SWOT analysis of Houzit has been done by its marketing manager in order to scan the organization internally and externally. Strength Weaknesses Staff is excellent, skilled and knowledgeable in terms of home-wares. Retail space is huge and has bright lightening, functional as well as commercial urban district ([3]). Customer loyalty is high. High number of offerings and in different varieties which exceeds the offering of competitors in terms of quality, accessibility and range. Marketing budget is limited due which brand awareness cannot be done in a proper manner. Struggle for continuity in funding for the growing long-term repayments plans which have been taken by the customers. Opportunities Threats Market is growing in a high growth area. Target market can be grown by creating awareness about the brand among potential customers. Sales opportunities can be increased other than the target area. Competition is high from the local independent retailers. High competition from national chains which are establishing in Brisbane market. A crunch in economy reducing purchasing power of the customer on home-wares. Marketing Objectives In a general term, these are goals which have been set by a business during the promotion of its products and services to the potential customers ([4]). Few marketing objectives which have been set by Houzit for the current year is as follows: To increase its sales from $15 million per year to $20 million per year in the coming 3 years. To enhance its loyal customers list from 10,000 to 15,000 customers. To establish a brand recognition program in Brisbane in order to create awareness among target market so that at least 1 in 3 people recognizes the brand Houzit. Strategies It is considered as the action plan which is designed by the marketer for promoting and selling its products and services to the target market ([5]). These strategies are made based upon the opportunities which the company has in its hand. Two major opportunities have been outlined for Houzit and they are as follows: Company can grow themselves in a growing market where they have significant number of target market who is not aware about the offer of Houzit. This can be achieved by merger and acquisition with the other popular brand of home-wares. Sales could be increased outside the target area in Brisbane. This could be grabbed by franchising the brand so that it sales get increased. In order to create strategies, company has to understand its marketing mix elements which will help the firm in building effective strategies and it is as follows: Product: The Company must include more home-ware products in its product line in order to cater more and more customers. Decorative lights, home furnishing items like sofas, dining table, stylish doors and windows, etc. Price: Not only high pricing but moderate priced products should also be included in order to serve the middle class customer as well. Place: In order to grow in the high growth market and increase its sales, company should also start selling its products online. Moreover, by opening more retail outlets using the option of franchising and merger and acquisition, these opportunities could be grabbed. Promotion: Heavy promotion using social media marketing and digital ads, company can promote its products. Moreover, doing sales promotion like festive offer discounts, referral program, etc. sales can be increased ([6]). Moreover, by analyzing risk and gap analysis, these strategies could be designed in a more effective manner. Risk analysis: By analyzing the SWOT analysis, it has been identified that the company has skilled staff, huge retail space, high customer loyalty and huge assorted offerings so it can do the franchising which will give significant results ([7]). However, it has limited budget for marketing which may hinder the promotion for brand recognition. Furthermore, competition from local independent retailer and national chain for home-ware is very high and this could lower down the sales of the company. On the contrary, company has good customer base which will help in retaining its identity. Implemnetation After devising marketing strategies, marketing manager is required to implement these strategies for achieving the marketing objectives for Houzit. There are some of the tactics have been mentioned for implementing the strategies ([8]). Scheduling: The Company makes the schedule regarding all the marketing activities. Activities Weeks Market Research 18-20 weeks Product or service development (Franchising agreement and merger acquisition agreement) 25-30 weeks Promotional program 10-15 weeks After sales services 1-2 weeks Budgeting: It has been allocated to carry out all the marketing activities. Expense Amount Franchising and Merger acquisition cost $25,00,000 Promotion cost $3,00,000 Stationary $25,000 Total $28,25,000 Roles and responsibilities: Marketing manager: His duty is to do market research and develop strategies and find out ways to implement those strategies ([9]). CEO: To approve the budget. Legal officer: To make the agreement and take approvals for franchisee and merger acquisition. Monitoring process: This is a typical monitoring process of Houzit for developing and implementing strategies: Bibliography https://www.inc.com/murray-newlands/15-marketing-strategies-that-inspire-strategic-thinkers.html https://houzit.com.w3snoop.com/ https://www.mymoneycoach.ca/budgeting/what-is-a-budget-planning-forecasting/ https://articles.bplans.com/how-to-perform-swot-analysis/ Ferrell, O.C. and Hartline, M., 2012.Marketing strategy, text and cases. Nelson Education. How to develop a marketing strategy. 2010. [Online]. Available through https://www.smarta.com/advice/sales-and-marketing/advertising-and-marketing/how-to-develop-a-marketing-strategy/. [Accessed on 12th October, 2017]. Baker, M.J., 2014.Marketing strategy and management. Palgrave Macmillan. Varadarajan, R., 2010. Strategic marketing and marketing strategy: domain, definition, fundamental issues and foundational premises.Journal of the Academy of Marketing Science,38(2), pp.119-140. 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