Group Market Analysis
As a marketing person, we are going to introduce a website which offers online shopping and purchasing all type of accessories and medical facilities for all people especially those who are disabled or old people. We try to offer all the products which they want for their regular need and not easy for them to go outside for purchasing all required products. With products we also offer the services, so we can provide maximum facilities to all those who have no one in their homes for purchasing or bring products for them.
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In our new online business, we try to focus on all those customers who are not easily come to market for shopping because of their busy routine, or due to their old age or due to their disability. We offer all type of household grocery, clothes, shoes, vegetables, fruits and with this all type of medical facilities in case of an emergency as we appoint qualified doctors which are ready to provide their services at 24 hours.
Different selling propositions make our site different from others as we offer very sufficient prices of high-quality products, we provide all the products on time and in minimum duration and with this, we offer full support to customers by giving the return or change policy in short period of time. So we try to provide or offer maximum facilities to our customers and they can enjoy long-term facilities when they become regular customers. (Smith, 2003)
Environmental or Situational Analysis
When we have to start any new business, we must consider the environmental analysis as it provides the information related to the market and overall interest of customers regarding different products. First to study the external environment which includes different trends of culture, social and technology and the demand for different products according to requirements.
Cultural trends; cultural trend show a vast impact on the society and culture develop any sort of differences in the overall taste and demand of products. Some trends are given below Mobile tech gets practical; consumer wants more mobile technology and social media. They use tablets and smartphones for saving money and time during shopping seasons. Demand for daily deals; people don’t want to pay the full price of products so they must bargain on all daily deals and business has to face some loss due to these deals. Need for the treat; in sometimes, food considers as luxury and affordable items as they want to treat themselves with the awareness of obesity.
In every type of tough budget, food is considering the most satisfying product in the overall items. Evolving roles of men; before some years, men only focus to earn money for their families but now they no issue if their wives also earn money for them self. No more average family; people living style is going to change with their demands and they want to spend their lives with their own willingness and style. Happiness inequality on the rise; people are not happy with their level of income and they cannot live a happy life. The level of inequality and unfairness is growing and rampant fastly. (Lesonsky, 2018)
Social trends; some social trends related to the online business and their productivity and growth depend on these situations like deal aggregator, international, retail base social network, social networking, daily deals and flash sales, video, less flash more function, pick up depots, mobile apps and in-store pick up all are consider as trends in the society that affect the business online in a positive manner. (Heller, 2012)
Technology trends; technology is going to change to the trend of market and customers which is going to focus now on making online brands equity and image. Some key factors are given below; behavioral analytics, Dynamic pricing strategies, smartphone shopping, artificial intelligence, cross-channel purchases and high supply chain efficiency. These are all positively affect the online business and give maximum support to the retailer, supplier and also to customers. (Neal, 20I8)
Demand For Product
Different trends also affect the market demand for different products. Because the demand for the product depends on the likeness, taste, and requirement of products. So different rends also affect the demand for products and it is also important for the market to take detail knowledge about the taste and demand of its customers so the production of different goods.
The competitive environment is very important to study and observe before starting any business, as in every business; there is a large number of competitors in the market that is also selling and producing the same product which you want to sell in the market and earning a reasonable market share. So what is the new and attractive specification of your product which attracts the customers and gives you an opportunity to earn the profit?
Some specific attributes must adopt by your product like targeting some specific age factors or offer new and discounted offers to customers or produce the same product with the high quality which helps in selling and improve its profitability. Actually different things are very important in the market which makes a good competitive environment and all the competitors earn their profit share according to the specialty related to their products. (Edmondson, 2018)
Differentiate The Product
The product which you are going to offer must have some specific attributes which make them different from others. Attribute include color, functionality, size, features, and components that affect the accept the product in the market in the presence of many different competitors.
So the competitive environment analysis depends on industry analysis, competitive analysis, and competitor analysis. As with all these analyses including porter five force models, we can consider all the related parts of products and their selling criteria which affect others. The growth of business in the overall industry set the future of products and then the prices and demand in the industry also clarify with the analysis of previous and current situations. (Competitive Environmental Analysis, 20I8)
SWOT Analysis of Contemporary Marketing
The basic objective of SWOT analysis is to check all our weakness and strengths. Consider all the opportunities which can provide quick advantages and all type of threats which can be faced . in the e-commerce industry this type of analysis is very important and must conduct in short intervals. Those who deal in e-commerce have to handle their business with the comparison of other online seller and retailers. Because prices are affected due to other competitors and dynamic pricing disturb the overall profitability estimates. Market going to change very speedily and with the passage of time, new and advanced technologies and methods going to introduce in the market which gives more variety in the e-commerce business. (KAPLAN, 2013)So the SWOT analysis is having a great importance in the E-commerce business.
the strength of e-commerce is different from other business as it provides 24/7 services to its customers. It provides fast and effective services with the comparison shopping. It is a global business which provides its product all over the world. All product reach to the customer directly at lower prices. It has affordable prices. E-business can be started with lower investment. Its all the financial transactions occur with the help of electronic fund transfer which is very fast. And it faces lox staff cost.
with different strengths, there is also some weak points of Commerce, that are, no direct interaction happens with the customers. There are very limited customers who want to buy on the internet. Some customers want to search the market first and then buy the product according to their need. Due to global business, transfer cost sometimes becomes high as compared to product cost.
there are also some opportunities for the E-commerce business that is, big companies are working at a very high level of making their path smooth and they spend all the cost on developing the market. But due to busy routine or some other reasons, some people feel easy to buy through the internet instead of going to the market. And the users of e-commerce are going to increase with the passage of time.
threat also present in this field as some online websites are fake and dishonesty is common in this regard. So the confidence of customers going to be damage and faith on the entire internet market going to disturb due to such actions. (Winn, 2018)
Segmentation and Target Market Strategies
The meaning of market segmentation is to develop a process that categorizing the customers and evaluating in target marketing efforts. In every business, segmentation is very important to provide accurate product to the required customer. Mass marketing or target demographic is helping tool to improve the efforts of the market and offer the best product. Now people have more and more options for goods and services and they can get the product according to individual taste. So the product personalization is going to increase and market segmentation is considered as an independent tool for getting awareness of all new brands and their loyalty. Four different ways are given to segment the market in different dimensions; Behavior, demographic, geographic and psychographic. (Bigcommerce .com, 2003 )
Different marketing strategies are to help e-commerce business in various ways which provide maximum support and help in moving in the great competitive environment and provide a better support related to its working and earning its income;
- Optimize your web layout
- Produce original content
- Social media marketing
- Content marketing
- Search engine optimization
- Email marketing
- Pay per click marketing
- Optimize your marketing efforts for mobile devices
- Launch stores in multiple platforms
- Target wearable and VR technology
These all are helping in promoting and running the business in more better and advanced ways. (Qureshi, 2016)
For better growth and attain more opportunities we also having further e-commerce marketing strategies that are:
- Outline financial projects
- Compose an executive summary
- Deploy a referral strategy
- Identify your goals and objectives
- Detail a strategy for increasing orders
- Craft a mission statement and value proposition
- Explore joint venture and partnership
- Target the right customer and market
- Construct a conversion strategy
- Conduct a situational analysis
- Inventory existing marketing strategy
- Develop a pricing and positioning strategy
- Create a cross-channel promotion plan
- Optimize your distribution and fulfillment plan
Marketing Mix and its Objectives
The marketing mix is a process of tactical and controllable marketing tools that every company use to generate the positive response from the market. It includes all those important things that accompany want to enhance its product ‘demand. It also helps in marketing planning and its execution related to every company. (Kozenkow, 2018)
To handle all the marketing mix, there are four PS which provide full information related to the company they are:
The product of any organization must be able to get the best ever reputation in terms of greeting the high ratings in the sale. The product if not be able to get the high scale of rating then it cannot be able to get the best place among the competitors present in the market.
Price of your product has the direct contact with the public as they are going to afford them by purchasing it. The prices must be affordable to the people so that they can get the true benefits from it.
The place where it is to be advertised must be selected where you can get the most traffic to your product in terms of making it very much effective and beneficial for selling it to the people who actually need it and who actually find some uniqueness in it.
You must promote your product properly as proper advertising helps you in getting best place for your product and having the high sale of your product as well. This will not only increases your sale of the product but also makes you feel successful among the other competitors in the market where you are serving with a great competition to your rivals.
Identifying the target marketplace may be the maximum essential choice an organization makes inside the strategic making plans technique. The organization needs to first specify whom it is making an attempt to draw based on its personal strengths and weaknesses, the depth of the marketplace opposition and the ability expenses and gains. Agencies may additionally deal with the entire marketplace referred to as mass advertising and marketing or goal one or more unique segments or companies in the market awareness or multi-segmentation. Development of a valid advertising strategy is an important a part of starting a business.
The advertising method determines the use of the business enterprise’s resources and techniques to attain its precise advertising and marketing objectives primarily based on the desires and goals of its stakeholders, which includes customers, employees, traders, and opponents. The marketing approach is usually designed around three factors: choosing a goal marketplace, specifying the market strategy and growing a marketing mix. The marketing blend is the set of controllable, tactical advertising tools that an employer makes use of to provide a favored response from its target marketplace. It includes the entirety that an agency can do to persuade demand for its product. It’s also a device to help to advertise making plans and execution.
- Bigcommerce .com. ( 2003 ). What is market segmentation? Retrieved 2018, from https://www.bigcommerce.com/ecommerce-answers/what-market-segmentation/
- Competitive Environmental Analysis. (20I8). Retrieved from https://sielearning.tafensw.edu.au/MBA/bsbmgt608b/BusinessServices/LO/1207_020138_608K_01_wi/1207_020138_608K_0115_wi.htm
- Edmondson, B. (2018, May 23). How to Start an Online Business in the Health Niche. Retrieved from https://www.thebalancesmb.com/start-online-business-in-health-4128811
- Heller, L. (2012, April 20). The Future of Online Shopping: 10 Trends to Watch. Retrieved from https://www.forbes.com/sites/lauraheller/2011/04/20/the-future-of-online-shopping-10-trends-to-watch/#2b8c6d335f14
- KAPLAN, M. ( 2013, APRIL 3). SWOT Analysis for E-commerce Companies. Retrieved from https://www.practicalecommerce.com/SWOT-Analysis-for-Ecommerce-Companies
- Kozenkow, J. (2018). What Are the Three Main Objectives of a Marketing Strategy? Retrieved from https://yourbusiness.azcentral.com/three-main-objectives-marketing-strategy-7962.html
- Lesonsky, R. (2018). 6 CULTURAL TRENDS EVERY BUSINESS MUST EMBRACE TO AVOID FAILURE IN 2012. Retrieved from https://www.americanexpress.com/us/small-business/openforum/articles/6-cultural-trends-every-business-must-embrace-to-avoid-failure-in-2012/
- Neal, A. (20I8, 10 01). 6 Ways Retail Technology Is Changing the Future of Online Shopping. Retrieved from https://risnews.com/6-ways-retail-technology-changing-future-online-shopping
- Qureshi, J. A. (2016, September 30). 11 Essential Marketing Strategies for Your eCommerce Business. Retrieved from https://mouseflow.com/blog/2016/09/11-essential-marketing-strategies-for-your-ecommerce-business/
- Smith, M. (2003). What is a unique selling proposition? Retrieved 2018, from https://www.bigcommerce.com/ecommerce-answers/what-is-unique-selling-proposition/
- Walker, T. (2017, Dec 22). E-commerce Marketing Strategies: A Comprehensive Guide for Growth. Retrieved from https://www.shopify.com/enterprise/ecommerce-marketing-strategies
- Winn, M. (2018, January 30). Performing a SWOT Analysis – Your Online Business’ State of the Union. Retrieved from https://www.volusion.com/blog/performing-a-swot-analysis/