Marketing Plan Project: From Bags to Riches Danette Faulkner Dr. Neil Southern Marketing

From Bags to wealthiness Company was founded in phratry 2007 in north Mississippi with the goal of creating and merchandise hundreds of sure, exclusive ca usance bags and jewelry. From Bags to Riches gives access to take hundreds of purses and jewelry as often as you like. a) cozy milieu Mission Statement If you desire an authentic power handbag, you go forth love From Bags to Riches.Imagine forever having the meliorate bag and necklace to match. From Bags to Riches is an net business that makes gritty-pitched way highly make adequate by acceptance designer handbags and jewelry to consumers at portion of the sell price.A separate element of the internal environment is the precedent of agency inspires excitement, confidence, and that feel good vibe both fair sex gets from take anywhereing something peeled. We know that when a woman looks her vanquish she feels her best. Our commission is to extend this feeling to any woman on a regular founding by su pporting high fashion at a highly afford equal to(p) price. b) External Environment From Bags to Riches faces new seasonal worker trends in changing fashion industry. We be constantly contributeing new designers and items to our accretion so new items appear on a daily basis. We entered during a period of prosperity.A high aim of demand for our merchandise is due to celebrity fashion and affordability. The fashion industry operates in a pertinacious stat of progression, reinvention, and renovation. New styles go divulge as promptly as they come in. We argon regularly elucidation come on our closets to make room for the hottest new collections from wholly over the country. Since we rent designer bags through the e-commerce business, we atomic number 18 closely re new- dod to technological advances. We handling the internet to issue low periodical ranks and no late fees. Our demographic environment would be send bulgeed towards millions of women from 16 to 60 year old s.It also includes women who shop on the internet. c) SWOT abbreviation Strengths of From Bags to Riches be that they offer the almost sought after designer brands at low rental prices. We ar able to conform to technological change and new fashion trends. We spend a penny global relationships with all study designers. Our important weaknesses ar our financial support, knowledge in the local market place and the ability to expand in our current location. The briny opportunities identified are technological advancement in product ordering, diversification of products and future expansion to another(prenominal) markets.Our threats include current economic climate and the mickle of in transmit competition from other designer bags and jewelry companies. II. market Objectives Marketing objects that are attainable and graphic goals would dedicate to be defined as add customer satisfaction by making either individual woman feel fashionable. We would like to phthisis to product Line strategy to satisfy the main desires and pauperisms of our consumers. Our customers must maintain trust in our give wayy. We take authenticity of our bags very seriously. We deprivation to increase our gross revenue by 75 percent indoors the next year.We drive out stimulate adoption by distri to a greater extentovering free rental after the first rank purchase. The rental of designer bags and jewelry business is sensitive but growing and I would like to denigrate our competition. III. Marketing Strategies a) Target Markets Our target is in womens fashion market. Demographics include females aging from 16 to 60. whatever men perchance included beca theatrical role men would often join to rent nice products for their wives, daughters, and mothers. The average incomes would mold from 20,000 to 100,000 per year. Psychographics would be women who spend a lot of measure obtain with their family and friends.They enjoy looking nice and are tight spenders. The packaging would be directed at the end consumer or buyer as we movement to increase customer demand. The media habit mathematical functiond would in the first place be the internet and obtain advertisements. Women would frequently articulate magazines such(prenominal) as Harpers funfair and Lucky. Women of all ages give be able to afford expensive jewelry and purses in order to wear to weddings, banquets, proms, or to other dances. b) Positioning the harvest From Rags to Riches positions its products as the number one club of designer handbags and jewelry for rent. We never broaden fake, faux, or imitation bags or jewelry.Our guild emphasizes choice and flexibility. We strive to always be responsive to the consumers unique pick ups. Bags merchant ship be borrowed for any length of time for a week, month, or more. Our Core Product lead be access to name brand purses and high-end jewelry. The Actual Product give be the rental of the purses and jewelry. The Augmented P roduct go out be that we offer a monthly subscription fee, designer recommendation wait on, and unlimited supply of our products. We pull up stakes communicate the marketing strategy though intermediaries such as designer agents retail stores and distributors.We forgeting get down access to customers by employ our vendors. For example, someone that buys Gucci purses straight off from the manufacturer bequeath be able to economize more money by rental a purse for our company instead of paying $400. 00 dollars on the spot for a certain purse. They bequeath be able to exchange purses for new styles. c) Product Strategies In order to be able to support our gross revenue goals we must be able to give our customers what they want the must by offering different major brands. We volition offer Couture bags with are runway good handbags and jewelry from the top designers such as Gucci and Rosiblu which toll the most inwardly a month.The is Diva bags which are luxurious, drea m bags and jewelry from Louis Vuitton and Charriol starting at nightclubty dollars a month. Then we offer the Princess, which is a bitty less hailly, and it includes accessories from Burberry and Coach. Last, we offer the Trendsetter fresh, trend-forward small accessories from designers such as Dooney & Burke and Cole Haan. d) Pricing Strategies The combination of high expense and low shelf life makes designer apparel affordable to only a few. Our products get out remain the same regardless of the amount of produced therefore, it result be a fixed make up.We leave behind need to estimate the demand by witnessing out how much of our product does our customer want and how give this change if prices go up or deplete? When our economy is down the consumers are more aro use of goods and services in lower prices. Our customers leave not fork over to pay the high price for high eccentric instead, they go away be able to pay a low monthly fee for high quality. The ideal of borrowing levels the playing field and allows everyone the opportunity to carry the latest styles and without the cost. The current pricing should work for fashion bags and jewelry. The price must reflect the overall company objectives.A number of factors need to be considered before prices are allocated to each of the products. For instant access to the newest styles of high-end handbags and jewelry, prices pass on track down from $25. 95 a month for three months or $67. 95 for one year. Customers will perplex the best value by purchasing the year membership by saving over 55%. e) advancement Strategies Advertising is the most familiar and visible part of the promotion mix. Product advertisement will heighten on what our company has to offer. For example high-end jewelry and purses at half the retail price.Personal change, public relations, and direct notice are all good strategies for From Bags to Riches, although they might not be the most efficacious. We provoke use sa les promotions such as coupons, rebates, and premiums. By offering premiums will help us give something extra to our live customers. The media must also reflect our objectives. Our position slew change over time and provide a number of advantages for our product. By using the unique selling proposition, we dirty dog get our direct reason out about our product and show our consumer why it has discover quality and how our product qualifies consumers needs.Because From Bags to Riches budget is limited, we will extend the message simple, emphasizing how flexible and well-off our product is. By using advertisement, we will be able to control what the message will say, when it will appear, and who is will see it. From Bags to Riches will use guerrilla marketing so that we will be able to catch them as a surprise. We fag end place small messages or coupons for our online store on the back of receipt for retail stores. If we were able to use public relations, it would be low in cost and give us high credibility.With the limited budget, ads in direct mail brochures will be small. video advertising From Bags to Riches will purchase a small amount of cable advertising. This type of advertising will be flexible and high impact. It will air on local cable shopping networks directed towards women. Television is a useful mean for telling a story or for proof purposes. Viewers are often relaxed, which can be a nix because our message needs to be easily understood. Its not like direct mail, newspaper, and magazine advertisements where you can look back over the information in order to clarify the message.The negative attributes of using television advertising is that it can be high in costs and quickly forgotten. pickup advertising From Bags to Riches will advertise in all fashion magazines with some success but this will be an expensive option. By using magazine advertising, we will oblige a specialized target audience and prevail great control quality. This will show all of the new products for each season. We will also offer discounts through the magazine subscribers. Lower television advertisements in exchange for magazine advertising can be very beneficial. This will enable us to keep the same budget, while increasing exposure.We will agree to use several magazines to reach our target audience. reign over mail advertising From Bags to Riches will use this to save on cost depending on location, how much we send, and po defend cost. Direct mail advertising will first emphasize From Bags to Riches two observe benefits. It will offer a lot of dot towards a certain customer so that its personal which is most important to effectively reaching the core target market. By using direct mail advertising, we will be able to receive feedback. Direct mail has a dependable invoice of generating high-quality leads for entrepreneur business. f) Distribution StrategiesChances are that we have more competitors than we even thought. Primarily Fro m Bags to Riches products will be direct sales through the internet. Our customers will be experiential shoppers because we offer fast shopping and they will be entertained by the hunt. Sales promotion will be a positive incentive to retailers to support our product. It will be the most effective distribution channel because we will be able to sell directly to the end-user. We will be able to distribute our item by using the internet. We can place our URL address with advertisements on clothing, magazine, and shopping websites.We will also identify key promises made by our company. IV. Implementation Strategies The tasks required to implement and varan each strategy are listed in this office for From Bags to Riches. a) Action Plan From Bags to riches will use the push strategy and have retailers offer our rent process and they can attract their customers to select our product. My company is in its introduction phase so our objective is to create awareness of and push customers t o try our product. We will meet with department managers to promote our plan and mission statement. We must set up appropriate time to meet with jewelry and purse designers.Third, we must meet with managers to discuss new trends in clothing and accessories and how to change customer feedback. Lastly, we will schedule and promote lineage for organization. b) Budgets Television advertisement can run amidst $400. 00 to $3500. 00 depending on airtime and service station. Magazine advertisement can cost at the most $10,000. 00, which would be the most expensive based on which magazines we choose to go with. Mail orders would be relatively cheaper running between $300. 00 to $600. 00 depending on location. We will be able to draw enough money in order to use the best promotions.If these dont work out or are too costly, we will have to change our direction and switch to something less costly. c) quantify/ Schedules We plan to exceed growth patterns with in 12 months to little over th e coming year. We will typically focus on the performance of our shipment to our customers renting our jewelry and purses. We will typically focus on the mechanics of the media, mailing and promotions. development the cost per railyard method will help to measure our cost effectiveness of our ads and compare promotions at separate publicity rates and will give us a specific cost to deliver our message to over 1,000 people.From bags to riches will continue to envision where the company is going and where we need the company to be within the next three to five years. We are in the end reaching for the best customer satisfaction as well generating higher sales. Our company will add three new employees every six to nine months. Office space will expand accordingly. We will have two team leaders to every manager so that manager will have the help they need. Future results for the coming year will be Gross sales $154,000 Net make $12,400 V. Monitoring and Control StrategiesIn order to better look our customers From Bags to Riches will monitor and control our product. Using the AIDA model will encourage our customers with action, desire, interest, and attention. With database marketing, we can strain relationships and learn our customers preferences. It can also attract new customers. We need feedback and opinions from our valued customers so that we are competent of serving them to the highest quality of needs. We can gauge our strategy by measuring the consumers response to sales promotions.We will also be able to evaluate and compare sales performances by area and sales force. a) Research Using market research will help the company understand what merely the competitors are doing that we arent. We can also use online research techniques that can test our customers reactions to product ideas, which is faster than other research. We will be able to know what special products, service or pricing offers do the customers get from my competition. By using copy t esting method, we can find out if our promotional ads are working for our consumers.This will tell us whether our consumers are receiving and responding to our ads. I will be able to find out necessitate information to better my sales and my company. I need to ask questions such as how are other companies products or services similar to my product and services. The key to winning the target market is to differentiate my company by providing products, services, or solutions that my customers will find more desirable than whats offered by my competitors. b) Trend Analysis From Bags to Riches will do a seasonal trend analysis to understand the new and forthcoming styles for our customers.This will give us an insight to what exactly our customers want and enjoy. Our store image would be sumptuosity and elegance. Our personnel should match the stores image. At this point, we will be in our growth stage and we will need new and improved advertising to make us stick out from our competi tion. c) Marketing Audit A Marketing audit will be done annually. This will be right-hand for our company and our customers. This can help fix problems we have internally and problems that are outside of the companys authority. We can reinforce our mission statement and maybe enable us to offer new products.