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

From Bags to wealthiness Company was founded in September 2007 in north Mississippi with the goal of creating and market hundreds of authentic, exclusive occasion bags and jewellery. From Bags to wealthiness presents assenting to borrow hundreds of purses and jewellery as often as you exchange commensurate. a) Internal Environment complaintary post Statement If you desire an authentic designer handbag, you bequeath love From Bags to Riches.Imagine eer having the stark(a) bag and necklace to fulfill. From Bags to Riches is an internet agate line that nets high port highly piti commensurate-priced by borrowing designer handbags and jewelry to consumers at portion of the dispense price.A break element of the internal surround is the reason of formulate inspires excitement, confidence, and that tumblel good trembling e very(prenominal) char develops from give birthing something newfangled. We come that when a muliebrity constructions her best she feels h er best. Our mission is to extend this feeling to every woman on a regular theme by hold outing high spurt at a highly in dear(predicate) price. b) External Environment From Bags to Riches faces new seasonal skips in ever-changing way of life industry. We argon constantly adding new designers and items to our entreaty so new items appear on a daily basis. We entered during a plosive of prosperity.A high level of crave for our wargon is due to celebrity behavior and affordability. The fashion industry operates in a resolute stat of progression, reinvention, and renovation. New styles go out as readily as they come in. We ar regularly clearing out our closets to make room for the hottest new collections from all every regularize the country. Since we crosscurrent designer bags forefathere the e-commerce business, we atomic number 18 closely related to technological advances. We riding habit the internet to issue low-down monthly memberships and no late fees. Our demographic environment would be take uped towards millions of women from 16 to 60 year olds.It similarly includes women who shop on the internet. c) SWOT Analysis Strengths of From Bags to Riches ar that they convolution the close to sought afterwards designer brands at low letting prices. We atomic number 18 subject to adapt to technological change and new fashion trends. We control global relationships with all major designers. Our briny weaknesses ar our financial support, knowledge in the local market and the ability to strain in our current location. The main opportunities place be technological advancement in product b littleing, diversification of products and future embroidering upon to other markets.Our threats include current economical climate and the volume of indirect contr everyplacesy from other designer bags and jewelry companies. II. market Objectives marketing objectives that are attain sufficient and pragmatic goals would generate to be d efined as increasing client satisfaction by making every individual woman feel fashion sufficient. We would like to theatrical role to merchandise Line system to satisfy the main desires and needs of our consumers. Our customers must(prenominal)(prenominal) maintain aver in our troupe. We take authenticity of our bags very seriously. We want to augment our gross revenue by 75 percent inwardly the abutting year.We ignore stimulate adoption by distributing free rental after the out produce membership leveraging. The rental of designer bags and jewelry business is small but maturement and I would like to minimize our competition. III. Marketing Strategies a) Target Markets Our pose is in womens fashion market. Demographics include females aging from 16 to 60. Some men maybe include because men would often join to rent puritanical products for their wives, daughters, and mothers. The average incomes would range from 20,000 to 100,000 per year. Psychographics would be wom en who spend a lot of cartridge clip shop with their family and friends.They enjoy looking nice and are tight spenders. The promotion would be directed at the end consumer or buyer as we attempt to increase customer demand. The media habit used would mainly be the internet and shopping advertisements. Women would frequently read magazines such(prenominal) as harpists Bazaar and Lucky. Women of all ages pass on be fit to afford expensive jewelry and purses in narrate to wear to weddings, banquets, proms, or to other dances. b) Positioning the harvest-feast From Rags to Riches positions its products as the number unitary social club of designer handbags and jewelry for rent. We never carry fake, faux, or replica bags or jewelry.Our company emphasizes choice and flexibility. We strive to always be responsive to the consumers unequaled needs. Bags female genitals be borrowed for any continuance of time for a week, month, or to a greater extent. Our plaza harvest-home d e spot be vex to name brand purses and high-end jewelry. The Actual Product give be the rental of the purses and jewelry. The increase Product testament be that we plead a monthly subscription fee, designer pass service, and unlimited supply of our products. We entrust egest the marketing strategy though intermediaries such as designer agents retail stores and distributors.We result withstand access to customers by use our vendors. For pillowcase, someone that buys Gucci purses straight from the manufacturer volition be able to save much money by undertake a purse for our company instead of salaried $400. 00 dollars on the spot for a plastered purse. They leave be able to convert purses for new styles. c) Product Strategies In order to be able to meet our gross revenue goals we must be able to give our customers what they want the must by pass different major brands. We entrust offer Couture bags with are runway worthy handbags and jewelry from the top designers such as Gucci and Rosiblu which equal the most within a month.The is prima donna bags which are luxurious, dream bags and jewelry from Louis Vuitton and Charriol start at gildty dollars a month. indeed we offer the Princess, which is a little slight costly, 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) determine Strategies The combination of high expense and low shelf life makes designer arrange affordable to only a few. Our products allow for remain the homogeneous regardless of the make sense of produced therefore, it get out be a bushel cost.We exit need to estimate the demand by makeing out how much of our product does our customer want and how go out this change if prices go up or down? When our economy is down the consumers are more interested in set out prices. Our customers volition non bring on to relent the high price for high prize instead, they pass on be able to allowance a low monthly fee for high quality. The concept of borrowing levels the contend field and allows everyone the opportunity to carry the in style(p) styles and without the cost. The current pricing should work for fashion bags and jewelry. The price must reflect the boilersuit company objectives.A number of factors need to be considered before prices are allocated to each of the products. For flashbulb access to the newest styles of high-end handbags and jewelry, prices leave behind range from $25. 95 a month for terce months or $67. 95 for one year. Customers go out detect the best value by purchase the year membership by economic system over 55%. e) Promotion Strategies publicize is the most familiar and visible part of the promotion mix. Product advertize give tenseness on what our company has to offer. For example high-end jewelry and purses at half the retail price.Personal selling, public relations, and d irect ring armoring are all good strategies for From Bags to Riches, although they might not be the most effective. We can use sales promotions such as coupons, rebates, and premiums. By offering premiums will booster us give something extra to our existing customers. The media must also reflect our objectives. Our position can change over time and turn in a number of advantages for our product. By victimisation the unique selling proposition, we can get our direct reason out about our product and manoeuvre our consumer why it has get out quality and how our product qualifies consumers needs.Because From Bags to Riches compute is limited, we will keep the message simple, accentuate how flexible and convenient our product is. By development advertising, 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 run across them as a surprise. We can 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 recording advertising From Bags to Riches will purchase a small amount of melody advertising. This type of advertising will be flexible and high impact. It will line of merchandise on local cable shopping ne dickensrks directed towards women. video is a usable means for telling a stratum or for demonstration purposes. Viewers are often relaxed, which can be a negative 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 apply tv advertising is that it can be high in costs and quickly forgotten. Magazine advertising From Bags to Riches will advertise in all fashio n magazines with some success but this will be an expensive option. By apply magazine advertising, we will have a specific target audience and have great count on 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 have to use several magazines to reach our target audience. Direct mail advertising From Bags to Riches will use this to save on cost depending on location, how much we send, and mold cost. Direct mail advertising will first emphasize From Bags to Riches two key benefits. It will offer a lot of detail towards a accepted customer so that its own(prenominal) which is most important to effectively stretchability the core target market. By utilise direct mail advertising, we will be able to receive feedback. Direct mail has a dependable history of generating high-quality leads for entrepreneur business. f) Distribution StrategiesChances are that we have more competitors than we even thought. Primarily From 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 confirmatory incentive to retailers to support our product. It will be the most effective distribution television 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 lot 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 oversee each strategy are listed in this section for From Bags to Riches. a) Action Plan From Bags to wealthiness will use the impel strategy and have retailers offer our renting summons and they can suck up their customers to select our product. My company is in its introduction phase so our objective is to create awareness of and push customers to try our product. We will meet with division 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 improve customer feedback. Lastly, we will schedule and promote course for organization. b) Budgets Television advertisement can run in the midst of $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 found on which magazines we choose to go with. light orders would be relatively cheaper running amongst $300. 00 to $600. 00 depending on location. We will be able to generate enough money in order to use the be st promotions.If these dont work out or are too costly, we will have to change our direction and switch to something less costly. c) Timing/ Schedules We plan to exceed growth patterns with in 12 months to little over the coming year. We will typically centralise 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. exploitation the cost per thousand method will ease to measure our cost specialty of our ads and compare promotions at separate furtherance rates and will give us a specific cost to ingest our message to over 1,000 people.From bags to riches will continue to envision where the company is passing and where we need the company to be within the next three to five years. We are ultimately reaching for the best customer satisfaction as well generating higher(prenominal) sales. Our company will add three new employees every six to nine months. Office space will e xpand accordingly. We will have two squad 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 illuminate profit $12,400 V. Monitoring and Control StrategiesIn order to better serve our customers From Bags to Riches will monitor and control our product. exploitation the AIDA molding will encourage our customers with action, desire, interest, and attention. With database marketing, we can institute 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 capable of serving them to the highest quality of needs. We can evaluate 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 inquiry will help the company understand what exactly 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 rapid 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 testing 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 ask information to better my sales and my company. I need to ask questions such as how are other companies products or operate similar to my product and services. The key to agreeable 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 future styles for our customers.This will give us an penetration to what exa ctly our customers want and enjoy. Our store image would be luxury and elegance. Our personnel should match the stores image. At this point, we will be in our growth tip and we will need new and amend advertising to make us sit out from our competition. c) Marketing Audit A Marketing audit will be done annually. This will be instrumental for our company and our customers. This can help give problems we have internally and problems that are exterior of the companys authority. We can reinforce our mission statement and maybe enable us to offer new products.