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Marketing Plan Jason Stone MGMT 530

Final Marketing Plan

Jason Stone

MGMT530 – Marketing Strategies

May 5, 2012

Instructor Deb Stockman

Southwestern College Professional Studies

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I. Executive Summary

After a raise in motorcycle theft a cross the Korean Peninsula, there has been an increasing

concern to prevent the theft among the very large population of “American Style Motorcycle”

riders. One of which was my motorcycle, this is why I have researched products and developed

a comprehensive Motorcycle Theft Prevention System and I have teamed up with Bison Custom

Choppers to market and install this system. The owners of Bison Choppers and I have entered

into a limited partnership to promote and

sell my Theft Prevention System for

motorcycles beginning in the local

Gyeonggi-Do Province area with plans

of expanding a cross Korea with a major

focus in the area around military bases

throughout Korea.

Currently Bison Choppers has been

in business for more than 20 years

providing high quality Custom

Choppers; currently, they fabricate fenders, tanks, handlebars, and frames. The only things they

need to order are the wheels and motors their choppers typically feature the Harley-Davidson Big

V-Twin.

In addition to their cycle repair shop for which they provide repairs in timely manner causing

them to develop an impressive track record thus earning their motto “Customers First” and

supporting the Riders Motto “Shiny Side Up”.

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II. Situational Analysis

A. The Internal Environment

a. Earn Profit

Expected profit will be marginal initially while we expand on the services that

Bison currently provides. Once we establish our expanded services we can

expect to profit between 30 to 40% on each sale.

b. Prove Quality Service

We will continue to provide the same Top-Notch service that Bison Chopper

is known for they putting the customer’s needs first while ensuring a satisfied

customer.

c. Professional Appearance

Bison Choppers is located in a large warehouse that is kept clean and though

our mechanics are dressed like bikers so are the customers so the appearance

of Bison’s business is fitting and professional. We do not expect anything to

change with this new endeavor.

B. The Customer Environment

a. Treat all people as equals

Our customers are Korean, American and other nationalities that speak a

variety of languages, which is challenging nevertheless Bison has handled this

problem in the past with class.

b. Treat their needs as ours

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Our customers have their priorities whether it is price, delivery time, or a

combination of the two; Bison has always handled our customers’ needs and

we will continue.

c. Treat their bikes as ours, with care

Bison has a large warehouse where all customer bikes are stored until they are

picked up. Bikes and Choppers are not finished until they have been detailed.

C. The External Environment

a. Competition

Currently in this area there is no competition; additionally, Bison is the only

custom bike shop within 2-hours so providing we continue to prove a high

quality product to our customers their will not be any competition.

b. Economic Growth and Stability

The economy is always going to be a concern; however, being located

between 8 major military bases and providing the United States military stays

in Korea as they have for more than 60 years the economy should remain

stable.

c. Technological Advancements

This may be the largest concern because if motorcycle manufacturers install

more advanced anti-theft measurers on their motorcycles from the factor this

may actually be some competition.

d. Legal and Regulatory Issues

Opposed to the United States, Korea does not have any. In fact, they treat

motorcycles the same as they treat scooters; therefore, the only restrictions on

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two-wheeled transportation is that they are forbidden from traveling on toll-

roads.

III. SWOT Analysis

A. Strengths

a. A great working environment

b. A great costumer base

c. An outstanding partnership with Bison Choppers

d. An inexpensive product to protect an expensive hobby

e. Large Customer Base

B. Weaknesses

a. If the economy falls so will my business.

b. If military/government jobs are lost in Korea my business will lose profit.

c. Crime and theft are low in Korea, but on the rise.

C. Opportunity

a. I could expand to other Custom Motorcycle Shop in Korea.

b. An expanding number of Koreans are embracing American Motorcycles.

c. When I leave Korea I can use my lessons learned from here in Korea.

d. In some places in the U.S. crime is high--means more sales.

D. Threats

a. The economy

b. The job market

c. More advanced Theft Prevention on factory bikes

d. A lower crime rate

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e. Competitors

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E. The SWOT Matrix

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F. Developing Competitive Advantages

a. Korea is a unique marketing environment in that the Rider Culture or rather

motorcycle culture has developed slowly.

b. For generations the Korean people have used scooters as a sensible mode of

transportation inside the cities.

c. Big V-Twin power is quietly taking over the countryside.

d. An increasing number of Local Nationals are riding bigger ‘American Style

Motorcycles’.

e. A large amount of Americans are riding as a convenient way of seeing the

beautiful Korean Country-side.

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f. Motorcycle Theft is on the Raise

G. Developing a Strategy Focus

a. Marketing Strategy will be focused where the riders are:

i. Market at rallies

ii. Market it with Custom Chopper Shops

iii. Advertise w/Harley-Davidson Shops

iv. Promote where the Riders GO

v. Advertise with the Local Clubs

IV. Marketing Goals and Objectives

A. Super products for super customers

a. The best products are available and for our customers we must ensure only the

highest quality products or our customers will go elsewhere.

b. With so many products available on the Internet our customers will find other

options if the convenience of our shop and/or the quality of the product fail.

B. Sell and install a quality product

a. Our products will be available for purchase such as caliper locks, which do

not require any special installation tools.

b. However, alarms and GPS tracking units do require additional installation

support.

C. Top-notch customer service

a. This continues the motto that our parent company lives by “Customer First”

and everything else will work.

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b. Bison Custom Choppers has an outstanding service record and they are known

for having only the best products and the best service.

c. Most of their advertisement is through word of mouth.

V. Marketing Strategy

A. Target Market

a. Primary Target Market

i. American Style Motorcycle owners, they have invested big money

in their rides and will be more than willing to pay money to protect

their investment.

ii. Selling simple protection devices like Caliper Locks and Audible

Alarms.

iii. Safe guarding against theft without inconvenience or effect to the

functionality of the motorcycles.

iv. Customers require high quality product to compliment their high

quality motorcycles.

b. Secondary Target Market

i. Private party properties other than just to protect motorcycles.

ii. Commercial properties with a focus on safe guarding their

businesses.

iii. Audible alarms and CCTV systems with recording devices along

with possible monitoring systems.

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iv. Customers require high quality product to promote our company

motto and our desirer to promote ourselves by ‘Word of Mouth’

advertising.

B. Product Strategy

a. Bike Alarms

i. Audible Alarms

ii. Caliper Locks

iii. CCTVs

b. GPS Retrieval Aids

i. I-Trail GPS Tracker

ii. Track-King

iii. GPS Tracker

C. Pricing Strategy

a. Bike Alarms

i. Locals Buys

ii. Purchased in bulk from US companies

iii. CCTV use local vendors

b. GPS Retrieval Aids

i. From $250 - $300

D. Distribution/Supply Chain Strategy

a. Internet US Products

b. Internet international Products

c. Local Sources

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E. Integrated Marketing Communication (Promotion) Strategy

a. Brochures and fliers can educate customers about our products and we can

leave them in locations where the riders gather.

b. Radio advertisement on local radio stations

c. Sales booths at motorcycle rallies

d. Advertising banners at local parades

VI. Marketing Implementation

A. Structural Issues

a. Bison Chopper’s current location has the perfect location and all the required

equipment and tools.

b. Mr. O and Mr. Lim have a skilled crew of employees.

c. We do need mock-up displays of the products that we are going to offer.

d. They currently have telephones, computers and a credit/debt card machine,

which is not a typical item for an industrially shop of this nature.

e.

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B. Tactical Marketing Activities

Specific Tactical Activities Person/Department

Responsible

Required Budget Completion Date

Product Activities

1. Create Facebook and Twitter Sites

2. Create Product Display

3. Systems CCTV (catalog)

Mr. Stone

Mr. Lim

Mr. O

Free

$2000

Free

1 June 2012

1 June 2012

1 June 2012

Pricing Activities

1. Minor Prevention System $300

2. New Choppers w/complete systems $2K

3. Complete Systems including CCTV $5K

Mr. Stone

Mr. Lim

Mr. O

$200/per job

$1500/per job

$4K/per job

(As needed up to

a 2-weeks lead-

time for installs.)

Distribution/Supply Chain Activities

1. Internet US Products

2. Internet international Products

3. Local Sources

Mr. Stone

Mr. Lim

Mr. O/ Contractors

$200/per job

$1500/per job

$4K/per job

1 June 2012

1 July 2012

November 2012

IMC Promotion Activities

1. Brochures and fliers gather

2. Radio advertisement on local radio

3. Sales booths at motorcycle rallies

Mr. Stone

Mr. O

Owners/Customer

$200

Minor

$350

1 May 2012

Monthly (May –

September)

May, June, July

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VII. Evaluation and Controls

A. Formal and Informal Controls

a. All items will be purchase either over the telephone or on the internet;

however, at least in the begin we will sub-contract out our CCTV camera

installation as Bison Chopper is not equipped to do on the road installations.

We will need to evaluate whether we want to involve ourselves in CCTV

installation and to what degree.

b. Either way our relationship with our vendors and any sub-contractors we use

is paramount to ensuring our customers receive the top-notch quality service

and care for, which Bison Choppers is known.

c. Advertising further on Social Media is a short-term goal to enhance our

awareness with potential new customers.

d. Our visibility for our return customers, which is a strong customer base due to

Bison Chopper’s amazing record for producing top quality Choppers.

e. The repair work that Bison routinely completes gives additional opportunities

for Theft Prevention System installs.

B. Implementation schedule and Timeline

a. Since the raise in motorcycle theft has riders across the Korean Peninsula

looking for additional insurance.

b. The low over-head because Bison Choppers has welcome this Theft

Prevention System into their facility.

c. Profit inside the first 6-months is almost a lock.

d. The current back orders will cover materials expenses for the first year.

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e. The initial investment will pay off providing our customers continue to

receive the top-notch service for which Bison is known for a cross South

Korea.

C. Marketing Audits

a. Because of our international customer base, Mr. O will maintain the majority

of control for the Theft Prevention System as he has for Bison.

b. As for products purchased from the United States Mr. Stone will maintain the

majority of control for US purchased items.

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Documents

eportfolio-jstone.weebly.comeportfolio-jstone.weebly.com/uploads/2/4/7/9/... · Web viewCurrently Bison Choppers has been in business for more than 20 years providing high quality