Assignment GMDP Marketing Mnt Cfambi 2

8/9/2019 Assignment GMDP Marketing Mnt Cfambi 2

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Assignment:Marketing Plan.

Executive Summary :This is amarketing plan for anorganisation providing powerand related services to adiverse market. It aims to

achieve growth in all themarkets and product s throughthe proposed marketing mix.

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CANDIDATE NUMBER :

479

SUBJECT:

STRATEGIC MARKETING

LECTURER:

MR GADZIKWA

Question

GMDP 479 STRATEGIC MARKETING MANAGEMENT ASSIGNMENT


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You are a newly appointed marketing manager in your organization. Your MD asksyou to develop a markrting plan.how you would accomplish this task using themethod leant in class.

Answer

ContentsContents ..................................................................................................................... 3

The Challenge ............................................................................................................. 4

Mission Statement ...................................................................................................... 4

PEST Analysis ................................................................................... ............ ............ . 4

SWOT Analysis ................................................................................................... ......... 7

Objectives of Marketing ................................................................................... ........... 8

Market Segmentation ................................................................................................ 9

Marketing strategy(4Ps) ......................................................................... ............ ...... 13

Conclusion ............................................................................................ .................... 14

References ................................................................................................................ 14



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The Challenge The main product of the company is electricity, My organisation provides power forindustry and domestic use . Electricity is packed in different offerings for eachmarket segment. The other products are from areas of telecommunications and

manufacturing. These are products of a backward, forward , and horizontalintegration that was necessitated by the unavailability of certain scales of servicesrequired by the organisation. These are public data services , transport , andtransformer manufacturing and repair and new green products. Growth is requiredacross board on all product so that a balanced portfolio is established.

Mission StatementOur strategic intent is to be the leading supplier of energy and related services inthe region. In the generation of electricity and supply of energy related products,we are committed to delivering reliable services to exceed stakeholder expectationsthrough use of environmentally friendly technologies.

PEST Analysis

ItemPoliticalEnvironment

Comment

1 Government of NationalUnity

This has enabled political stability on themarket

Laws: ZERC

No laws condemning and/or limiting businessactivity

Power sector reforms have seen the formationof the Zimbabwe Electricity RegulatoryCommission (ZERC),a statutory body established in terms of theElectricity Act (Chapter 13:19) of 2002 asamended by the Electricity Amendment Act No.3 of 2003. The Commissions primary functionis to regulate the electricity supply industry(ESI) in Zimbabwe and to, among other things,create an enabling environment for competitionand thuspromote an efficient electricity supply industry.

The Commission is also the only legal authority



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44 %

the culture, education

living standards, housing trends,

attitudes to work, leisure activities,occupations, and earning capacity

education level, Above 90% literacy levels

health Improving with governance

Trends in social factorsaffect both internal andexternal factors in the

company including thedemand for a company'sproducts or services

demand and tastes are becoming moreurbanised in trends. Economic growthtranslating into disposable income

disposable income

4 Technology

R&D activity, Minimal

automation, Technology catching up with world pioneersthereby supporting introduction of sophisticated products and advancedproduction management methods

the rate of technologicalchange as well as thecurrent state of technology (i.e.communicationsinfrastructure).

Technology catching up with world pioneersthereby supporting introduction of sophisticated products and advancedproduction management methods



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SWOT AnalysisEnvironmental factors have been organised as follows : internal attributesare strengths and weaknesses and the external environment presentsopportunities and threats.

Item Topic Comment

1 Strength

Infrastructure

MonopolyShareholder support

Skills

2 Weaknesses

Old and obsolete equipment

Weak financial base

Organizational structure not driven by

strategyOutdated MIS

Computer system Procurement system

Poor conditions of service

Poor strategy implementation

3 Opportunities

High power demand

Barriers to entry

Political stability



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Numerous opportunities for partnerships

4 Threats

Lack of credit linesShortage of coal

Climate change

Global campaign against use of fossil fuelsin favour of renewable energies

Competition especially IPP

Brain Drain

Shortage of critical inputs from suppliers

Objectives of Marketing

1. Grow market penetration by 20%



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2. Increase customer loyalty by reducing permanent disconnection to less than1 %

3. Increase paying customers by 20%

4. Increase revenue by 35%

5. Enter into at least one new market segment

Market Segmentation

The market segmentation consist of four segments that is domestic , Agriculturaland rural , Industrial and Importers of power . The segments are described below asfollows:

Segment 1: Domestic Consumers

Item Topic Comment

1 Description. These are the urbanconsumers of power .

2 Percent of sales 35

3 What they want Power in small amountsper customer ,butreliable . Power from thegrid and from dieselgenerators.

They want data services

4 How they use product For lighting and otherdomestic appliances.

Access to the world wideweb and communications

5 Support requirements Repairs generally done byown servicemen.



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6 How to reach them Door to door , TV ,Newspapers, At revenuecollection points

7 Price sensitivity Generally understands thecost drivers in industry

Segment 2

. Segment 2: Rural and Agricultural Consumers

Item Topic Comment

1 Description. These are located in thefarms and rural places


3 What they want Power in small amountsper customer . Power fromthe grid and from diesel

generators.

Low interest in dataservices

and solar energy.

4 How they use product For lighting and otherdomestic appliances.

5 Support requirements Need support from powercompany . Skills in shortsupply here

6 How to reach them Door to door , TV , , Atrevenue collection points

7 Price sensitivity Generally requiresGMDP 479 STRATEGIC MARKETING MANAGEMENT ASSIGNMENT


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subsidies for services.

Segment 3: Industrial Consumers

Item Topic Comment

1 Description. These are the largeindustries that drive theeconomy including mines.


3 What they want Power in large amountsper customer . Power fromthe grid and onlyemergency power fromdiesel generators.

High interest in reliabledata services

Heavy duty transport

Transformer repairservices.

Solar energy.

4 How they use product For manufacturing andconnecting their criticalERP services.

Solar energy for imageimprovement due tostrong environment lobby.

5 Support requirements Have capacity to supportthemselves , onlyrequiring services of thebulk supply of power orbandwidth.

6 How to reach them Trade shows , TV ,



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Newspapers, At revenuecollection points,presentations

7 Price sensitivity High sensitivity butunderstands cost driversin power industry

Segment 4:Power Exports

Item Topic Comment

1 Description. These are exports to otherutilities in the region.


3 What they want Power in large amountsper customer . Power fromthe grid

4 How they use product For augmentingdistribution power in theirown countries.

5 Support requirements Have capacity to supportthemselves , onlyrequiring services of thebulk supply of power .

6 How to reach them Trade shows ,presentations

7 Price sensitivity Willing to pay a premiumfor good service



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Marketing strategy(4Ps) The marketing mix has been developed for the five main products derived from theservices offered by company and the market segmentation done above. It is shownbelow in table.

Product Price Place Promotion

Bulk Power

Low functionalityand supportrequired . Poweris supplied inbulk and thecustomerconditions it totheir

requirements.Security of supply backedup by powerpurchaseagreements

Discountsand credit forbulk purchaseand thesecustomerspay faithfullyand need tobe

encouragedto continue.

Placement of productinternallysupportedand marketcovers bulkconsumersand importers

of power

Small budget forpromotion 5% of total and donethrough personalselling.

Small Power

Conditionedpower requiredat point of consumption .No furtherprocessing isdone to power.High qualityrequired andbranding.Warrants onsolar and DGpower of oneyear supported.

Monthlypaymentcycles andfewerdiscounts. Ahigh costcustomer dueto highrequirementsfor support

Located inrural andurban areas

Big budget forpromotion 25%of total andspend on publicrelations andadvertising.

Dataservices

Functionality ,quality andservice supporthigh

Monthlypaymentcycles andfewerdiscounts. Ahigh costcustomer dueto highrequirementsfor support

Located inurban areasand industrialareas

Big budget forpromotion 45%of total andspend on publicrelations andadvertising. Thisis a star product



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Transport


Competitionpricing sincethe product isexposed togreatestcompetition.


Big budget forpromotion 45%of total andspend on publicrelations andadvertising.

Transformerandequipmentrepair


Discountsand creditthesecustomerspay faithfullyand need tobeencouragedto continue.Customersare loyal


Small budget forpromotion 5% of total and donethrough personalselling. Contactsalready existwithin theindustry

Conclusion

Our marketing programmes design will be derived from the marketing mixspacifying the times , budgets and styles of promotion to be implemented andrelevant and relevant monitoring , control and feedback forms and methods areattached herein.

References

[1]ZERC UPHOLDING ELECTRICITY CONSUMERS RIGHTS AND OBLIGATIONS 2006By Zimbabwe Electricity Regulatory Commission

2 Abba Khan 26 June 2010 www.prezi.com

Electricity Amendment Act [Chapter 13:19] , 2003

http://www.prezi.com/http://www.prezi.com/

Documents

Assignment GMDP Marketing Mnt Cfambi 2