iClassic Marketing and Decisions Report

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Market Objectives

This analysis takes into account all the objectives that were to be achieved according to the marketing plan. The organisation was able to achieve its marketing objectives for every segment. The sales level per segment can be analysed as shown in the table below

Sales, k unitsPlanned FiguresActual FiguresDifference
Households441311.4129.6
High-End Households8467.316.7
Companies197149.847.2
High-End Companies7873.44.6
Total sales in units800601.9198.1

Our product performed very well in all the segments except for the household segment. Our planned units were 441, but we only managed to sell 311.4. This therefore indicates that our product is not doing well in the segment since U-Phone X offers similar features at lower prices with a higher warranty. U-Phone X is priced at $ 201 while iClassic is priced at $ 240. Our warranty is 24 months while U-Phone X offers a warranty of 36 moths.

Market Share

The difference between planned and actual market share for our product as shown in the statement of the company indicates that our marketing strategy is not effective in the household segment. A difference of 4.7% reveals our market share is below the competitor’s level in the market. The competitor also offered low prices and extended warranty to the customers.

Financial Objectives

Households$105,840$74,736$31,104
High-End Households$20,160$16,152$4,008
Companies$47,280$35,952$11,328
High-End Companies$18,720$17,616$1,104
Total sales in dollar$192,000$144,456$47,544

From the table, it is evident that the organisation has been able to attain the expected level of sales for each segment. Increased spending in promotion and distribution channel enabled our product to perform well. However, our sales level in the low-end segment was not very promising since we outmatched the competitors.

Status of Things as Planned

From the figures shown above, it is evident that the organisation was able to increase the unit sales for each segment and especially in the low end segments. The sales levels in the segments were increased due to investment in product promotion. The company was able to achieve its financial objectives as indicated in the marketing plan. The sales levels in the low-end household and companies segments were relatively higher as compared with the ones in the high-end segments.

The organisation could not overcome the market share of the competitors in these segments due to slow response to improve the distribution channels. For example, U-phone and ONE “WAVE outmatched our performance in the distribution channel. The two organisations recorded sales by distribution of 356.5 and 400.8 if compared to our sales of 247.3

Decisions to Be Changed

Based on the figures of the competitors, it will be important to change some decisions, should an opportunity arise to redo round 5. These decisions will be aimed at improving the performance in market share and sales in the distribution channels. The decisions will be focused at improving the level of market share in the low-end household and companies segment.

Such decisions will include improving the level of compactness, which stands at 80 while that of U-phone and ONE “WAVE” is 85 and 100 respectively. We will also improve the battery life, which is currently at 75 and 77 and 130 for U-phone and for ONE “WAVE”. Changes will also be made to improve the level of sales by distribution channel.

Personal Reflection

Developing the marketing plan has given me new insights and enhanced my knowledge in marketing. I have learnt that in marketing plan, the objectives of the plan play an important role in improving the performance of a product in the market.

The objectives can only be achieved if the organisation adopts better competitive strategies aimed at improving product features, price, distribution, promotion, and environmental issues. I have also learnt that marketing revolves around competition in order to improve profitability and success of a company.

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Reference

IvyPanda. (2019, June 15). iClassic Marketing and Decisions. https://ivypanda.com/essays/iclassic-decision-analysis/

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"iClassic Marketing and Decisions." IvyPanda, 15 June 2019, ivypanda.com/essays/iclassic-decision-analysis/.

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IvyPanda. (2019) 'iClassic Marketing and Decisions'. 15 June.

References

IvyPanda. 2019. "iClassic Marketing and Decisions." June 15, 2019. https://ivypanda.com/essays/iclassic-decision-analysis/.

1. IvyPanda. "iClassic Marketing and Decisions." June 15, 2019. https://ivypanda.com/essays/iclassic-decision-analysis/.


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