Marketing Strategy and Planning
- 1. Market Planning & Strategy April Van Rivers
- 2. Executive Summary Knock-Out Personal Training is a company that specializes in customized one on one training for individuals who desire a directional approach to exercise and motivation of having a personal trainer. Knock-Out Personal Training is about appealing to the values of people who feel that it is worth it to have personalized training and not waste a dime on something that they may or may not use. The objective of launching this service is to give customers an alternative option to establishing their desired look. An option that they will not regret in the long-run. Customers who sign up for our services benefit from no long term contract commitments; you get what you pay for. If you miss a day and give 24 hours notice you can still use it. This policy is for the benefit of the customer; in order to achieve guaranteed results we sell nothing less than 4 sessions and require an initial contract agreement to pay. There aren’t any membership fees or long contract commitments; the sessions are completely tailored to the goals and physical conditions of clients. This marketing plan is expected to be established within a 3-month time frame and a promotional campaign is expected to take off in May of this year to create brand awareness to the residents of Cape Coral, FL.
- 3. Vision Statement To become the leading Personal Training Studio in Cape Coral, FL and expand throughout the entire Lee County by 2013 To appeal to all ages through community involvement, programs, and outreach for health awareness To operate as a fully environmental sustainable business by 2010 To expand product offerings and services to our consumers base through the use of suppliers and marketing
- 4. Mission Statement At Knock-Out Personal Training, our mission is to provide men and women ages 25 and up(1) with exceptional fitness training, customized workouts, need evaluations, and result-driven motivation (2). To accomplish this, we will keep current with latest studies and research involving health and fitness and monitor client’s progress and eating habits with the BioEx System (4). We also offer our clients the ability to pay by sessions without long-term contract commitments. Our clients pay for what they use without having to worry about wasting money on membership fees (7). Our commitment is to operate with a sound business structure to increase our shareholders value by generating profits that will increase the return on investments(5). We aim to operate in conjunction with sustainable environmental practices by providing a safe and economically conscious place of working for our employees and basic operations(6). Our goal is to offer superior training to our employees that will equip them to be able to reach their full potential and maximize their opportunity for vertical growth(9). As we proactively seek for ways to contour our training techniques and product offerings to the needs and wants of our customers, we aim to uphold ethical standards for our employees, suppliers, community, and planet(8).
- 5. SWOT Analysis Strengths: Consumer Relationships The only Personal Training Studio in Cape Coral, FL Strong influence on dietary consumption by clients Untapped market potential Growing demand for personal training Opportunities Growing interest among consumers Vertical Expansion and diversity Development of Lee County Awareness in community Weaknesses Financial position Awareness in community Market share Staffing and scheduling Threats Government regulations Gyms – competitors New service advances Economic conditions
- 6. Evaluation of SWOT Analysis Strengths – Each personal trainer has its set of clients. Client adapt to the training techniques and motivation of one trainer. This is the first of its kind in this area due to an emerging niche of this concept. Opportunities - As the concept of having a personal training facility expands throughout Cape Coral, FL the likelihood of growing into the rest of Lee County, Florida, and ultimately nationwide increases. Lee County is in a development stage where it is adding new attractions and drawing people to the area. Cape Coral is also developing and acquiring a prestigious reputation. Weaknesses – New company, much development needs to take place to obtain the desired market share. New trainers need to be hired to prevent scheduling conflicts. Threats – Gyms offer personal training and many people are “locked in” and may want to try a personal training facility but do not want to pay cancellation fees. Gyms may try to offer a spot just for personal training to give the feel of privacy to their clients. Many people are out of work and cannot afford personal training or they may want to put this money towards a debt
- 7. Situational Analysis Market Size – Cape Coral, FL 2006: 151,389 (+48.0% change) (CapeCoral.net) Males: 49,584 (48.5%) – Females: 52,702 (51.5%) Demographics - (CapeCoral.net) Median resident age: 41.6 years Florida median age: 38.7 years Estimated median household income in 2005: $46,933 (it was $43,410 in 2000) Cape Coral $46,933 Florida: $42,433 Positioning - Knock-Out PT specializes in custom and unique training techniques and is positioned in the Health & Fitness and Personal Training Categories
- 8. Situational Analysis Cont’d Product Demand – As marketing and advertising efforts increase, the demand for this service will increase as a steady rate. Currently there is a high demand for personal training that takes place in a gym setting. This company is in a setting of its own, providing an added benefit to consumers. Market Needs – Variety, guarantees, motivation, commitment, privacy, and excitement Market Trends – Health and fitness awareness have increased substantially as it is known to be directly linked with longevity of life. Many people chose to have gym memberships and others chose to have personal trainers for privacy and motivation. Personal Training is more associated with higher class markets that will pay extra for individual attention and customized workouts. Target Market – Men and women between the ages of 30-60 in the Cape Coral, FL area with median household incomes of $70,000 and up. He or she is generally a business owner, apart of top management, homemaker, or retired. He or she may have children and grandchildren. Note: This market expands seasonally with emphasis on the winter season when “snowbirds” (commuters from cooler regions in the US) are most prevalent.
- 9. Perceptual Map Curves Fitness 2000 Gold's Gym Forever Fit Ladies Workout Express Custom Workouts Standard Workouts Private Facility Public Facility The Omni Club LA Fitness
- 10. Competition Competitor Threats While Knock-Out Personal Training is the only facility of its kind in the Cape Coral area, many gyms try to diversify their services by offering personal training. The Omni Club actually offers a private section for women only to workout; however personal training is not a part of this section. Instead, gyms are separating personal training from general workouts to give customers more privacy and attention. Because of this factor, the current competitors are also substitutes. Potential Entrants Just recently a new company called Forever Fit came to the Fort Myers area which isn’t too far from Cape Coral. As the concept of having a personal training facility increases and as the area of Lee County increase, there will be more personal training facilities entering into the industry. Buyers Buyers in this industry are skeptical of new companies. It generally takes a while for buyers to become interested. Suppliers Unless a company in this industry is going to develop or supply products, this wouldn’t be a a factor for personal training.
- 11. Sales Growth: PLC The years 2,3 and 4 are projections based on the fact that the company has only been in business for a little less than a year. These projections were forecasted using the monthly sales of the company. The monthly sales of the company shows a low but steady increase in sales. Years 2,3, and 4 are expected sales contingent on a successful marketing plan and steady increasing growth in customers and employees. Decline 4 Years Maturity 3 Years Growth 2 Years Introduction 1 Year
Editor's Notes
- #6: We are the only Personal Training Studio in the area. This is a new but growing niche for this area. Many gyms exist that provide personal training services but none of them only specialize in this. Dietary consumption is in reference to meal plans and supplements that clients often ask about. When knowing that a products is supported by their personal trainer, clients tend to buy it. This is due to the trust factor that they have in their personal trainer. This statement is a mere observation.
- #11: These are observations from professional experience working with and developing this company.