Marketing plan

Anonymous
timer Asked: Dec 15th, 2018
account_balance_wallet $35

Question description

I have posted the situation analysis paper that the marketing plan should be based off, i also added our previous grade and how he graded us. please make sure to follow the check list as this is the last chance i have to pass this class

Marketing Plan for Amazon Team Number: Z01 Team Members TEAM MEMBER 1 TEAM MEMBER 2 TEAM MEMBER 3 TEAM MEMBER 4 TEAM MEMBER 5 TEAM MEMBER 6 Table of Contents Executive Summary 1 Company 4 Company Description 4 Mission and Goals 5 Amazon SWOT Analysis 6 Amazon’s Strengths 6 Amazon’s Weakness 7 Amazon’s Opportunities 8 Amazon’s Threats 9 (Competitor) Walmart SWOT Analysis 10 Walmart’s Strengths 10 Walmart’s Weakness 11 Walmart’s Opportunities 11 Walmart’s Threats 12 (Competitor) Ebay SWOT Analysis 12 Ebay’s Strengths 13 Ebay’s Weakness 14 Ebay’s Opportunities 14 Ebay’s Threats 14 Customer Analysis 15 Segmentation 15 Customer Wants and Needs 15 Current Market & Target Market Educated Opinion New Product 16 16 17 Perceptual Map 18 Product Specifications: 19 Pricing 21 Promotion 22 Strategies with Advertisement 23 Strategies with Direct Marketing 24 Place (Distribution) Strategy 25 Financial Data and Projection 26 Organization 27 Implementation Plan 28 Amazon Analysis Exhibits Amazon Analysis Reference Executive Summary Amazon.com is an online retail giant that offers different products and services at the best price. Amazon started in 1995 by Jeff Bezos. It was initially an online book retailer that offered large categories of books at discount price. Today, Amazon is one of world’s largest online retailer that holds about 94 warehouses in the U.S alone. The mission of Amazon is “to be earth's most customer centric company, and to build a place where people can come to find and discover anything they might want to buy online” (Farfan, 2016). Additionally, the company’s goal is to become the best place to buy and find products and services online. Amazon’s strength is provide products and services at a lower cost than its competitors. Additionally, the company offers the highest quality products that are directly from reliable manufacturers. More importantly, it offers Amazon Prime, a loyalty yearly subscription that offers faster shipping, which makes it convenient for their customers to receive the products in a timely manner, and the ability to handle returns or exchanges sufficiently. While Amazon Prime is highlighted as the company’s strength, it is also its weakness. While Amazon holds a broad market of Generation X and Millennials, its most loyal consumer base has been Baby Boomers. Additionally, Amazon’s online shoppers can be segmented into different age groups with overlapping needs and wants. Statistically, Amazon’s customers need and want technology-oriented products. While Amazon’s current market is the technological market, its target market is to fulfill the market gap which delivers to younger generations and parents. The gap that we have discovered could be filled with Amazon Bear, a child’s toy that will educate and entertain children while parents are busy doing other things. Amazon Bear is a computationally-enhanced toys whose software is operable with smartphone or tablet. This new product is designed to be both for educational and entertainment purposes. Amazon Bear’s features can be found in most of other popular electronic i devices in the market. Some of its highlighted specifications include Bluetooth, built-in wireless speakers, playing eBooks as well as children’s favorite stories, and functioning as nanny cameras for parents. Amazon is expected to market Amazon Bear through advertising and direct marketing to create direct communication and customers’ awareness. With advertising, we will implement online ads, TV commercials, social media, and event sponsorship. On Amazon’s homepage, Amazon Bear is introduced through a special video, which will encourage pre-orders. Additionally, coupons will be issued to create incentives to buy. On TV commercials, Amazon Bear will be featured by major cartoon and family network channels. Moreover, social media such as Facebook and Instagram will create messages of Amazon Bear features and interaction between the product and customers. More importantly, Amazon Bear will be physically displayed at selective events so that customers can test the product themselves and give their feedbacks. With direct marketing, Amazon will send mass emails and letters that offer coupons to both prime and nonprime customers so that they can start pre-ordering. Amazon will primarily use direct distribution channels to market Amazon Bear. The reason Amazon Bear should be directly sold customers is because it generates higher profit margins and receives more accurate feedback from customers. More importantly, Amazon will organize Build-A-Bear Workshop brick and mortar stores to help target young children, who want to customize their own stuffed animals. Additional to distribution strategy, Amazon Bear will be distributed to selective toy stores such as Toys R Us, Target, and Wal-Mart. Amazon Bear’s total sales forecast is $3.5 – 4 million for first year. Though the return on sales will be low in the first year at 3.57%, this is necessary for penetration pricing; economies of scales will increase unit sales over time and therefore help generate more profit in the year 2021, which is at 7.07%. Amazon Bear need to reach 2.6 million units in sales in order to break-even with the fixed of cost $60 million. ii Company Description Jeff Bezos started Amazon.com with the ambition that he’ll enter the market as the first online book retailer (Annual Reports and Proxies, 2016). Amazon.com started from offering large categories of books at discounted prices (Bloomberg Business, 2015). Out of this major success, Amazon has arisen as an online retail giant that has expanded into different products and services that maintain offering the best prices. With an emphasis for growth, Amazon grew into the world’s largest online retailer that holds about 94 warehouses in the U.S. alone (Amazon Fulfillment Center Locations, 2016). Amazon is a publicly traded company that holds a market cap of $236.42 billion. (Amazon.com, Inc., 2016). This success comes from being very consumer oriented, and being innovative “on behalf of customers.” Net sales reached $107 billion for 2015, a 20% growth since 2014, by offering their own lines of products like Amazon Echo, Amazon Pantry, and Fire TV (Annual Reports and Proxies, 2016). The foundation that started every innovation for Amazon.com was from this principle: “start with the customer and work backwards” (BBC documentaries, 2014). To support their mission, Amazon has more than 222,000 employees in the U.S. alone, with sellers, just in California, that exceed 465,000 (Amazon, 2016). Mission and Goals Amazon.com has had a clear focus and a solitary mission since it began. Founder Jeff Bezos has publicly referred to its mission statement, over its 18-year history, as the guiding force behind his leadership decisions. It can be concluded that the success of Amazon.com as the top internet retailing company in the world is due, at least in part, to their unwavering commitment to this mission, and the daily execution of it. The mission and vision of Amazon.com is: “to be earth's Page 1 of 25 most customer centric company; to build a place where people can come to find and discover anything they might want to buy online” (Farfan, 2016). Amazon’s goal and objective is to become the best place to buy, find, and discover any product or service online. Amazon.com wants to continue to enhance and broaden its brand, customer base, and electronic commerce expertise, with the goal of being customers' preferred online shopping destination, around the world. Amazon has used many different strategies in order to fulfill this goal. The company has expanded Amazon Fresh to Los Angeles and San Francisco, after testing the service in Seattle for five years. The company has also partnered with favorite local merchants to provide the same convenient home delivery on a great selection of prepared foods. Amazon’s SWOT Analysis Pros Strengths Internal Products and Services at a Offering High Quality Customer Relationship Opportunities External Variety of Products and Vertical and Horizontal New Business Model and Cons Weaknesses Low Operating Profit Margin Patent Infringement Lawsuits Threats Brick-and-mortar & E-Commerce Regulation Amazon’s Strengths Products and Services at a Lower Cost: Amazon offers a wide selection of products. A search of the site reveals tons of listings in any particular item in the different product categories, like music, books, electronics, health and beauty, automotive, grocery and clothing. This strategy has helped the company become one of the largest internet-based retailer around the globe. The company offers its products through various categories through its e-commerce. The online Page 2 of 25 format helps the company rotate its inventory quickly, reducing its management costs, and enables the company to offer comparatively low prices (Amazon 2016). Through this method, the company brings in valued customers, and it is the main reason why the company has grown at such a significant rate (Barr, 2016). Offering High Quality Products: Amazon also offers the highest quality products that are straight from reliable manufacturers. Any inconsistencies to products, and Amazon will close and investigate it, which makes them the most trustworthy retailer on the web. Another huge advantage Amazon has is the fact that they have a variety of warehouses in each one of the markets that they operate in. Most of these warehouses are spread around in each country so that the goods can be delivered faster with a much lower cost (Rey, 2013). Customer Relationship Management (CRM) and Information Technology: The company offers faster delivery options which makes it convenient for its customers to receive products in a timely manner. The company also has a very advanced in Customer Relationship Management (CRM) and Information Technology (IT) which supports its business strategy. Amazon has a system that records and interprets customer buyer behavior, which helps offer its customers specialized products that would best meet their needs. Amazon is also very good with how it handles customer issues; such as returns or exchanges. Amazon’s Weaknesses Low Operating Profit Margin: Amazon’s strategy of offering low cost and fast delivery to attract more customers could potentially hurt its bottom line. The company reported its most profitable quarter during 2015 but its profit margin was still lower than Wall Street’s expectation. The low profit margin disappointed investors and Amazon’s shares went down by more than 13 percent (Saito & Nair, 2016). Although the company dominated the online retail Page 3 of 25 market during the past holiday season, its profit margin was still low due to its increasing operating costs. Amazon’s shipping costs have risen steadily over the years. Amazon Prime membership, which offers free one to two-day shipping, has driven up overall shipping costs. To offset some of the high shipping costs, Amazon recently increased the Prime annual membership fee from $79 to $99. Although the new fee includes eBook perks and free access to 40,000 movies and TV episodes, prime users have complained about the increased overnight shipping costs, along with new limitations on two-day shipping orders over $25 (Kelleher, 2014). While the increased fee might not drive away many Amazon loyalists, it may discourage potential new customers. If Amazon is not able to control its shipping costs, their prices may not stay low. Patent Infringement Lawsuits: In the recent years, Amazon has been involved in several lawsuits related to patent infringement, product liability, environmental, antitrust and others. In 2013, Online News Link, Adaptix and Cellular Communications Equipment, and Personalized Media Communications filed complaints against Amazon and AWS alleging patent infringement. In 2014, Kaavo, Spansion, SimpleAir, and Smartflash Technologies also filed complaints against the company. Although the company strongly defends its position in all cases, the time and money spent defending these cases could potentially jeopardize its financial stability and could hurt its reputation (Amazon.com, Inc., 2014). Amazon’s Opportunity Variety of Products and Options offered: As e-commerce businesses have increased over the past few years, Amazon has met the need of a large number of customers who use their smart phones, tablets, and other internet-accessible devices to shop online. By developing new products, including Kindle Scout, Amazon Fire TV Stick, Amazon Fire Phone, and various shipping options, Amazon is targeting consumer products in addition to its traditional service. Page 4 of 25 Kindle Scout is a reader-powered publishing platform, to more authors and readers across the world. Amazon Fire TV Stick, a device that helps TV connect to Media Applications instantly, has been competing mainly with Apple TV and Google Chromecast. Amazon Fire Phone is also striving to enter the smartphone market, with its two major competitors - Apple and Samsung. Amazon also has been offering its users Amazon Prime, which allows access to one or two-day free shipping. In order to do this, Amazon has acquired large storage houses and lockers at different places where goods are stored. Vertical and Horizontal Integration: Amazon is also testing their drones for short-range delivery method. This reveals the company’s desire to acquire its own shipping facility in the short future. Amazon even collaborates with many big companies, and has announced a deal with the British Library during 2004. The benefit is that customers can search for rare or antique books (Amazon SWOT). This library’s catalogue of published works has details of more than 2.5 million books. This acquisition to Amazon will be supplementing the company’s core growth and assure horizontal integration. According to callisto.ggsrv.com, during 2015, Amazon had acquired Elemental Technologies, Inc., which is a major provider of software-defined video solutions for multiscreen content. This vital company “has over 700 media franchise customers and serves some of the world’s most popular over-the-top TV (OTT) applications. Also, through the acquisition of Twitch Interactive, Inc., a provider of video game streaming, Amazon attempts to integrate more users into new kinds of operations. Furthermore, Amazon “acquired comiXology, which revolutionized the digital comics reading experience, with their immersive Guided View technology” (Amazon Financial and Strategic Analysis Review). Page 5 of 25 Amazon’s Threats Brick-and-mortar & E-Commerce: Due to Amazon's size, in which it operates, its domain of competition is very large. On the retail side of Amazon, it has to compete with many big Brickand-Mortar stores with the likes of Wal-Mart, Target, Best Buy, and others. Amazon has normally done well against these competitors, but with the better use of logistics to keep overhead down, and price matching of Amazon’s products, the threat of Brick-and-Mortar stores cannot be understated. While amazon was one of the early online stores, similar new online stores has risen like Overstock.com. One of the world's largest E-Commerce site is Alibaba, with a market cap of 246.02 Billion, it is only second to that of Amazon, which has entered into the U.S. marketplace (Macauley, 2015). Regulation: Amazon has lost its regulatory advantages, where consumers did not have to pay sales tax on their products. States like California have closed this loophole, and have leveled the playing ground with traditional brick-and-mortars. With amazon being a technical innovator, some of the new technologies that might give it a competitive advantage can run into regulatory problems, like using drones for delivery (Lifsher, 2012). Wal-Mart SWOT Analysis Pros Cons Strengths Weaknesses Internal Largest retailer in the world Employment policy & poor customer service Cost Leadership Litigations affecting reputation Opportunities External Growth in internet retail Private label strategy Threats Increasing labor and health care costs Competitive Pressures Page 6 of 25 Wal-Mart Stores, Inc. is the largest retail in the world. The company’s operations consist of three segments: Walmart U.S., Walmart International, and Sam’s Club. Wal-Mart stores offer groceries, entertainment, hardlines, health and wellness, apparel and home goods. Wal-Mart’s Strengths Largest retailer in the world/Cost leadership: Wal-Mart has a strong presence in the U.S. and in 26 other countries. The company has also expanded its global e-commerce presence. In the fiscal year 2015, the company reported revenues of $485,651 million and had an operating income of $27,147 million. Furthermore, during the fiscal year 2015, the Company and its subsidiaries employed 2.2 million employees and reported revenues of $485,651 million. Being the largest retailer in the world, gives the company market power over suppliers and competitors. This competitive advantage generates positive economic returns and allows the company to offer cheaper prices (Wal-Mart Stores, Inc., 2016). Wal-Mart’s Weaknesses Employment Policy /Litigations: Wal-Mart relationship with its employees is not the most ideal. For years Wal-Mart employees have complained about low wages, poor working conditions, and no guarantee of sufficient work hours. All these complains lead to high employee turnover, understaffed stores, and poor customer service. Wal-Mart has faced several charges and lawsuits with respect to labor relations. Between 2005 and 2015 the company settled over 70 state and federal wage-and hour lawsuits. These settlements caused the company large amounts of money, have tarnished its reputation, and may put the company in a competitive disadvantage because skilled workers would prefer to work for the competitors. Wal-Mart’s Opportunities Page 7 of 25 Growth in Internet Retail: According to the US Department of Commerce, online retail sales in the US increased from $169.3 billion in 2010 to $297.4 billion in 2014. Total retail sales only grew by 3.6% while e-commerce accounted for 6.4% of retail sales in 2014 (Wal-Mart Stores, Inc., 2016). With the increasing and stabilizing internet presence of Walmart.com, the company can partake into the internet buying trend, and increase its digital net profits and market share. Private labels: Wal-Mart offers a large selection of private label products under various brand names. Private labels are cheaper than national brands so they attract customers who are looking for quality and low price. The increasing acceptance of private labels will help the company increase sales and improve its profit margin. Also, since these brands are only sold at Wal-Mart, it differentiates the company giving it a competitive advantage. Wal-Mart’s Threats Increasing labor and healthcare costs: The labor costs in the US have risen due to increased healthcare and wages costs. With 2.2 million employees, the increase in payroll expenses could negatively impact the company’s profitability. Competitive Pressures: Wal-Mart faces non-traditional competition from online retailers like Amazon. The number of consumers who purchase online continues to grow because shoppers are constantly looking for better deals and more choices. As the price war between online retailers and brick and mortar stores intensify, retailers must change their marketing strategy to remain competitive. Ultimately, intense competition could weaken Wal-Mart’s competitiveness and lead to loss in their market share (Wal-Mart Stores, Inc., 2016). Page 8 of 25 EBay SWOT Analysis EBay, Inc. is an international online marketplace with a global customer base of 233 million. It is a multibillion business operating in 150 countries. There are millions of items listed on EBay across multiple categories, from antiques, books, computers, toys, to even sports. It is estimated that the current revenue of EBay is $8.59 billion with profits of $2.60 billion (EBay SEC Filings, 2015). Pros Cons Strengths Weaknesses Internal World’s Largest Online Auction Website Controlling Fake / Illegal Activities Power of Customer Relationship Penetrating Some Foreign Markets Opportunities External Continued International Expansion Growth in Mobile Shopping Threats Increased Online Trading Sites Exchange Rates EBay’s Strengths World's largest online auction website/Power of customer relationship: Since the mid 90’s, EBay has been growing at a very significant rate. It is estimated that they now have 233 million registered users in more than 150 different countries. EBay currently is at the top of the ranks as the most successful online auction industry. In the United States, about one-third of the population is already registered with the site. EBay’s number one goal is to establish a strong relationship with the customers by keeping them engaged. They are figuring out new ways to accomplish that, such as coming up with a Feedback Forum, which allows customers to provide feedback on every item they have purchased. EBay takes pride in making sure all of their Page 9 of 25 customers are happy, and will go to great lengths to make sure that everything stays intact (Welcome to Our Next Chapter, n.d.). EBay’s Weaknesses Controlling illegal auctions / Penetrating Some Foreign Markets: There are numerous auctions in eBay who have the intention of scamming their buyers. A good example would be scammers trying to sell packaging boxes, with a fake product, and claiming it to be the real one. Over the years, EBay has taken many precautions to prevent illegal activity on their site. Unfortunately, EBay has no real way to measure the extent of illegality on their site. Penetration in foreign markets is crucial to the success of online auctions. EBay has done an outstanding job of penetration in foreign markets. However, they have been unsuccessful in taking over one of the most important foreign markets, like Japan. If EBay is not able to gain ground in growing online markets, it could hurt its foreign market standing (Johnson, n.d.). EBay’s Opportunities Continued International Expansion/Growing Number of Mobile Shoppers: As internet use continues to grow throughout the world, eBay must take every opportunity to enter desirable international markets. Another thing to consider is the new market which is developing in countries such as China and India. This would allow EBay to further their marketing strategy in different situations, and allow buyers and sellers from different countries to develop their own market. EBay also has a strong payment system using PayPal, which is widely used by many online retailers and online shoppers. The growing number of mobile shoppers will ultimately benefit both eBay and PayPal (Kucera, 2013). EBay’s Threats Page 10 of 25 Increasing Number of Online Trading Sites/Exchange rates: When an industry is attractive, new competitors will always try to enter and gain market share. EBay already has many competitors like Amazon.com, ePier and uBid. To sustain a competitive advantage above their competitors, eBay must continue to grow and evolve in the online auction industry. EBay also receives income from foreign operations. The profits which are sent back to the U.S. needs to be converted and may be affected by the exchange rates. Customer Analysis Amazon.com holds a huge broad market of various costumers, most of who fall within the Generation X era, then trailing Millennials. Surprisingly, it’s most loyal consumer base have been from Baby Boomers. Baby Boomers alone have more prime buyers than non-prime buyers. A CBS News report even states that Amazon’s shoppers are “older, wealthier, better-educated...” Segmentation Online shoppers can be segmented into different age groups with overlapping needs and wants. The younger generations like that of Generation X and Y spend more time shopping online according to business Insider. (Refer to Exhibit 1) “45% of millennials spend more than an hour a day looking at retail-oriented websites” (Krueger, 2013). Millennials also spend the most amount of money per Internet user, followed closely by Generation X. Customer's Wants and Needs Millennials take a different approach to satisfy their wants and needs. They heavily use technology, and are influenced by it. By looking at the statistics, “52% of millennials were more likely to make impulse purchases than any other generation,” and 46 % of millennials said buying technology is a category that gives them great pleasure. (Israel Diamonds Oct. 2014) “60% of millennials say that it is convenient to have a smartphone or tablet to research or Page 11 of 25 purchase a product or service on the go” (American Millennials: Deciphering the Enigma Generation, 2016). 45% of millennials spend more than an hour a day looking at retail-oriented websites” (Krueger, 2013). Both Generation X and Y have kids, who like their parents are also technology oriented. With the primary child-bearing ages of 20 to 34 years of age, there are common needs that come with having children. One of these is the constant need of attention and someone to interact with, which is very important part of their social development skills. With the advancement of technology integration, these needs can be met. Kids will finally be able to learn a wide variety of skills just from engaging with these devices. Current Market and Target Market The current market that Amazon is consistently growing in is the technological market, while also expanding its inherited broad customer base that comes from being the largest online retailer. More specifically, since Amazon serves a broad market and holds a large brand recognition, it provides them opportunities to enter established markets to compete in, such as the tech industry. An example would be Amazon Echo that is meant to compete with Bluetooth speakers, or their Fire line meant to compete with tablets. Additionally, Amazon has always served the needs of readers by offering books in many versions from renting to buying full kindle copies. An article in Publishers Weekly mentions how Amazon has been a big winner for obtaining former Barnes & Noble’s customers, which can be credited to the rise of eBooks and their technological investments in that area. Since brand recognition has brought them many loyal customers, and one such area that they can strategize in would be choosing a target market. Educated opinion In our educated opinion younger generations are the target market strategy that Amazon can strive for, in order to fill their market gap. Amazon needs to start brand recognition earlier, in Page 12 of 25 order to build loyalty customers sooner. The sooner customers become loyal, there is a better probability of gaining new Amazon Prime members. To do this, Amazon needs to create a product that meets both parents and children needs. After product introduction, Amazon can begin building variety, and entering new markets in that industry. New Product Looking at all the factors of potential markets, and market segmentations, in combination with leveraging amazon's already existing services and devices, we believe to best meet the gap is a child's toy. This will instill brand recognition very early for younger generations, where it will be used to benefit parents too, by making their lives easier. The “Amazon Bear” will continue Amazon’s business strategy of branding devices that will connect to people’s lives. The bear would be a complimentary item to go along with amazon’s already existing products like the Amazon Kindle, Echo, and Fire line. The increasing technological lifestyles of consumers in this generation are pushing manufacturers to develop smart and engaging electronic toys. As an example, App integrated toys that can be controlled by smartphones and tablets are now emerging on to the market. When the parent buys the product from the Amazon store and opens the box, it includes very easy and detailed instructions on how to download the “R We There Yet?” which can be downloaded from their smartphone or kindle devices. After they download the required app, they can then use a button that is in the app to sync the phone with the bear (Refer to Exhibit 2). After the phone is synced to the bear, the parent can have the option of typing in the starting point and destination of the trip they are taking. Once they are finished, the bear will sync and recognize the commands via Bluetooth, and then it will proceed on to say certain things to the child once Page 13 of 25 its paw is pressed. The first thing that the bear will say is how long it will take to get to the certain destination, which will prevent the child from asking the parents (refer to Exhibit 3). The AI technology of Amazon bear will come from a modified version of Amazon Echo with using Amazon's cloud servers. The synergy of using existing resources will not only make the product easy to use due the familiarity, but it will also be a gateway to selling more products and amazon services. The bear will be able to download books via a 4g modem like what already exists in Amazon’s Kindle that uses a large library. It will also be connected to the Amazon app store that will include games and music that the parents can buy, download, and sync. This way the bear will never run out of things to say as long as the parents are updating it. Perceptual map Page 14 of 25 Product Within the past decade, computationally-enhanced toys have become a staple of children's environments. In large part, this is due to the small size, robust operation, and low cost of embedded computing that enables electronic devices to be included within toys of all descriptions. The software app lets you operate your bear using a smartphone or tablet. Product Specifications: Embedded Bluetooth receiver Built in microphone and speaker Connects with smart phone or tablet Use as portable wireless speaker Extended battery life Auto On/Off to save power Soft fabric with creative design Use as Bluetooth speaker phone Plays, songs, music, lullabies and your baby's favorite music USB charging with rechargeable battery LED status indication Plays your baby's favorite stories and eBooks Kindle - The Amazon bear is situated between an educational and entertainment item for the kids with the potential to be only one of the other at the discretion of the parent. Of the toy bears on Page 15 of 25 the market, none of them have near the technological capabilities or depth that the Amazon Bear provides Software - Most of the function of the bear will come with Android OS that runs other amazon products along with its connection with the cloud. While the parts of the bear do not cost a lot of money, due to the perceived value being more compared to the price of the product. The main value of the product comes from being connected with the amazon ecosystem. Camera - The camera can be used with different apps and games along with it functioning as a nanny cam for the parent to log into and check in with the child. Microphone - The microphone will be integrated within, and will take information such as commands and vital information for running programs. The Amazon Bear will appeal to its target market through its ability to connect with parents and children through interaction and convenience. As more and more parents work longer hours, especially as women make their way through the corporate environment, and up the corporate ladder; less time is given to kids. This is apparent with Amazon Pantry, where parents don’t go out to the store to buy groceries. The Amazon Bear takes advantage of this by filling the “generational time gap” with entertainment for the kids, and a way for the parents to monitor the kids at the same time. Because of the product working and connecting within the Amazon portfolio we expect to see a positive benefit to the rest of Amazon’s products like that of increase sales, and value of other Amazon products. Page 16 of 25 Pricing The pricing strategy of the Amazon bear, like many other amazon products, will be penetration pricing and bundling pricing. Being that this item like other amazon products is not a necessitous item, the market will be price sensitive. Much of the value to Amazon comes from the bear’s connection with its other Amazon products, and the potential to bring in revenue with it being a complementary good. In order to keep the production cost low, and the end retail price competitive the Amazon bear will be manufactured in China along with the current line of Amazon products such Kindle and Amazon Echo. The Amazon Bear is an enhanced teddy bear which has the ability to talk and transfer information electronically. Using penetration and bundle pricing, we will sell the product at $99. This type of pricing is consistent with Amazon selling strategy of penetration pricing for their other products. Furthermore, Amazon bear has the option to be connected to the Kindle and be controlled by it. This gives Amazon the advantage of bundle sale and bundle pricing which helps with increase revenue. It will assist Amazon in selling their other products such as Kindle and Amazon Prime. Although the $99 is cheap enough to penetrate in the market, it is also high enough to cover the cost of producing the product. We have estimated the cost of producing the product by pricing each part of it as the following: 1. Microphone: $15 2. Camera: $12 3. Teddy Bear: $15 Page 17 of 25 4. Software: Included in Amazon prime subscription. (Free) 5. CPU and motherboard: $15 6. Promotion: $20 7. Fixed cost: $15 The sum of the costs for all the variable parts including the promotion and fixed cost, will be $92. Therefore, selling the Amazon Bear at $99 will cover the cost and result in $7 profit per unit. The return on sales will be very low for the first year at a rate of 4.04%, which will be necessary for penetration pricing. As unit sales increases over time so will the return on sales due to economies of scale. Promotion In order to reach our targeted consumers for the Amazon Bear, the most beneficial marketing mix would be through advertising and direct marketing. Since the Amazon Bear will be the first major multi-utility product for parents and kids, it will require great awareness and direct communication in order to successfully market it. By using advertising first, it will allow the Amazon Bear to be marketed to the mass market in order to create the exposure that it needs since it is a specialty good. This will allow the product to be reached to a large number of people in order to compensate for the hesitation that will arise from its initial launch. The purpose of advertising, in this case, would ultimately be to appealing to early adopters. With direct marketing, the Amazon Bear will be better able to become more personalized into the consumer’s family. Through communication and creating a positive message that both Page 18 of 25 parents and their kids can mutually enjoy, the Amazon Bear will be effective in receiving a better outlook and impression. This element is ideal since the product would need to ensure that its reaching the correct audience while having the flexibility to market to other specific groups when available. Strategies with Advertisement Online Ads: Through Amazon’s very own website, it can design a special video on the homepage that will help introduce the product and encourage pre-orders. The company can then put its effort in displaying the product link in the first page of the search engines in order to help guide customers directly to the product. Online coupons can also be issued through social media to create incentives. This element can be taken immediately and it's expected to reach the general public. The cost would be very low. Commercials TV/Online: Amazon can communicate about the product and its features to parents and children in all major cartoon and family network channels. Commercials can even extend online through Hulu.com and even in Amazon’s Prime video services to stimulate public awareness. Kindle or associated apps can also begin having pop-ups about the product to obtain interest. Under this promotional element, it emphasizes a targeted approach either to parents and kids or Amazon / online users, which will take a month to develop commercials. Mixing Online with traditional TV commercials will help keep the marketing cost down, but still providing the visual advantages that come with commercials. Social Media: Since Amazon already has social media accounts aimed at students, the same concept and strategy can apply for kids and parents. Twitter, for example, can significantly provide advantageous about the product, to get immediate response by using hashtags. Instagram can begin creating a message of friendship and thoughtfulness by posting pictures of kids Page 19 of 25 enjoying the product or happy parents interacting with their children while using the bear. Facebook can then be the main source of information, feedback, and advertisement by interacting with customers and creating interest through likes. This will reach the target market through its abilities of tagging and sharing interests, and can be done immediately. Social media like other online promotions make the marketing budget dollar go farther. Event Sponsorship: Since the Amazon Bear is meant to build a connection, Amazon can hold charity events and host school events that benefit children and parents. This can lead to a buzz in the news that can help spark its launch. Not only will this allow a positive message about the product, but it allows people to actually physically see and test it. This is the best approach to reach the target market, but it is also the longest due to planning events ahead of time. Strategies with Direct Marketing Electronic mail: Amazon can begin sending mass emails or letters that offer coupons to both prime and nonprime customers in order for people to take advantage of it before its launch to encourage pre-orders. Similar to catalogs, coupons will reach the target market, but will be shorter to implement since it's a simple coupon. Due to having such a large customer base amazon will be able to reach a lot of people. The cost of this will be very low. Direct Kiosks / Tables: One way that Amazon can be successful, is to directly have the product available at places where parents or kids go to. From here, Amazon can have their sales team target and provide information to interested customers that pass by. This approach to direct marketing is the best, but will take a month or two to develop and coordinate with the sales team to find the best places to do target sales, and get permission from those locations. Bundling: In order to increase revenues, Amazon can consider bundling Amazon Bear with other associated product line. The idea of bundling is to attract more consumers with a Page 20 of 25 combination of two or more products with lower sale price. More importantly, consumer feedbacks must be carefully treated in order to have an effective strategy of bundling. Amazon Bear can be bundled with Amazon Echo -- a hands-free speaker that plays music, news, weather, and others by voice command (Amazon, 2016) -- as parents may choose to purchase the Echo for their own use. Additionally, the primary consumers children can have Amazon Echo amplify the content from Amazon Bear. However, it is important that consumers have positive feedbacks to the bundle offering, meaning an increase in revenues. The feedbacks can help identify if the pricing of the bundle is effective, or if the associated product is a good choice to bundle with Amazon Bear. By integrating different promotional and advertising strategies through different mediums, Amazon solidifies reaching its target audience and increase its sales force. Online ads reach out to online users. Commercial TV shows reach out to a TV audience, and electronic mail reaches out to all Amazon customers. Furthermore, bundling will help to increase the sales and revenue by lowering the initial cost to the consumer, putting out more Amazon products into the hands of the consumers, who in return will consume more of Amazon’s electronic offerings and products. Place (Distribution) Strategy Amazon will primarily use a direct distribution channel to make the Amazon Bear available to customers. The bear will be sold directly to the consumer instead of using traditional layered distribution systems that uses wholesalers to sell to retailers. This distribution method will generate higher profit margins because Amazon will not need to share the profits with intermediaries. Additionally, distribution via internet is convenient for customers because the product will be available 24 hours a day. Direct selling will also help Amazon develop a stronger customer relationship. Customers will provide accurate and instant feedback about their Page 21 of 25 satisfaction or dissatisfaction with the product. Customer feedback will be instrumental in continuous product improvement as well as new product development. The selective distribution strategy will also be an effective way to increase market coverage while still controlling and reducing costs. Since the Amazon Bear is an educational and an interactive toy, Amazon will distribute the bear to Build-A-Bear Workshop brick and mortar stores. Build-A-Bear operates the only stores which have a teddy bear themed environment. Build-A-Bear targets young children who come to the store to make their own personalized and customized stuffed animal (Build-A-Bear Workshop, 2013). By purchasing the Amazon Bear through Build-A-Bear, children will be able to customize their new friend who will talk and interact with them during long trips, bedtime, and while their working parents are away from home. Amazon and Build-A Bear will both benefit from this cross promotional venture. Amazon's benefit will be from having a location where people can touch, and see the bear in person in many more locations that what amazon has now. Build-A-Bear Workshop will also benefit from increased sales due to having a computerized bear instead of just a traditional stuffed animal. According to Industry estimates, the retail toys sales in the United States have decreased due to the growing popularity of mobile devices used by children (Build-A-Bear Workshop, 2013). The bear will also be distributed to selective toy stores like Toys R Us, Target, and Wal-Mart. Financial Data and Projections Given that total Kindle Fires that were sold between 2007-2013 were 43.7 million (6.24 million per year), we estimate that the Amazon Bear’s total sales will project to be 3.5-4 million for the first year (Team, 2014). This projection is conservative because of it being an initial launch. As the product makes its way into the market like that of its brother product the kindle, demand will Page 22 of 25 increase as it goes through the introduction, growth, and finally at its end of the financial projection at maturity stage. (Exhibit 4) While the Return on sales will be very low for the first year 2017 at 4.04% it will be necessary for penetration pricing, and as unit sales increase over time so will the Return on sales due to economies of scale. The return on sales will reach 7.07% in the year 2021. Doing a Break-even analysis Amazon would need to produce 2.6 million units to cover the fix cost of 60 million. (Exhibit 5) Currently, Amazon’s financing option only allows Amazon cardholders, 12-month special financing with no interest when a purchase is $599 or more is made. As Amazon Bear is $99, financing option could be 5-month with no interest. Organization Amazon’s organizational structure is comprised of the board of directors and the CEO and founder Jeffrey Bezos. The CEO oversees the Senior VP Chief Financial Officer, the Chief Technology Officer, the Senior VP Human Resources Officer, and the following divisions: Business Development, Web Services, National and International Consumer Business, Legal department, Secretary, and Accounting. The North America Retail Division oversees the following departments: Seller Services, Operations, Toys, Sports, Home Improvement, Amazon Publishing, Music and Video. In the North America Retail Division, under the toy department, we will add the Amazon Bear business unit. Under Jeffrey A. Wilke, we will add a new position who is in charge of the toy department. We recommend the creation of an executive level position reporting to toy department manager who will oversee the development process of this new product. He or she will have other direct reports who will be responsible for the implementation, marketing, distribution, forecasting, and the training of this new product. Page 23 of 25 Implementation Plan To implement our product properly, Amazon will need to focus developing its product image to the public in order to gain pre-orders from year 2017. This initial year in sales is critical in order to have orders to fill for the next year, 2018, when the Amazon Bear is being prepared to ship out. This year also includes physical sales in terms of having online orders. Year 3, 2019, will be concentrating in expanding the markets through different outlets and distributors, with the main focus in carrying out sales and driving demand for our product. The following year, 2020, will consist of analyzing how successful the Amazon Bear has been, and making reports and future forecasts. The product will be revised in the 5th year, 2021, in order to maintain its sales and to keep its position in a competitive market. Page 24 of 25 Year Year 1 2017 Year 2 2018 Year 3 2019 Year 4 2020 Year 5 2021 Phase Development Preparing Expanding Monitoring Product Revision Goals: Pre-Orders Fulfill/Sales Sales Sales Sales Gantt chart in the appendixes Page 25 of 25 Amazon Analysis Exhibits Exhibit 1 Exhibit 2 Amazon Analysis Exhibits (Continued) Exhibit 3 Exhibit 4 2021 Sales Sales in Units 2020 2019 2018 2017 $386,100,000 $371,250,000 $346,500,000 $321,750,000 $297,000,000 3,900,000 3,750,000 3,500,000 3,250,000 3,000,000 Cost of Goods Sold Variable 300,300,000 288,750,000 269,500,000 250,250,000 231,000,000 Fixed 58,500,000 58,500,000 58,500,000 Gross Profit $27,300,000 $24,000,000 $18,500,000 $13,000,000 $7,500,000 Return on sales Break Even 58,500,000 58,500,000 7.07% 6.46% 5.34% 4.04% 4.04% 2,659,091 2,659,091 2,659,091 2,659,091 2,659,091 {Variable cost($77) + Fixed cost(15) = Total cost $92} Break-even units = Fixed cost / (sales price($99) - variable cost(87)) = 2,659,091 Exhibit 5 Exhibit 6 Works Cited (2016, March 10). Retrieved from Amazon: https://www.amazon.com/p/feature/nsog9ct4onemec9?ref_=aa_navb_2&pf_rd_r=Z9J89 WEXWJFG17SEXK8D&pf_rd_p=080b8880-0ea4-492d-af02-31ca585375b3 Amazon Fulfillment Center Locations. (2016, March 10). Retrieved from trustfile: https://trustfile.avalara.com/resources/amazon-warehouse-locations/ Amazon.com, Inc. (2016, March 10). Retrieved from Google: https://www.google.com/finance?q=NASDAQ:AMZN American Millennials: Deciphering the Enigma Generation. (2016, March 11). Retrieved from Barkley: http://barkley.s3.amazonaws.com/barkleyus/AmericanMillennials.pdf Annual Reports and Proxies. (2016, March 10). Retrieved from Amazon: http://phx.corporateir.net/phoenix.zhtml?c=97664&p=irol-reportsAnnual Barr, J. (2016, January 13). New – Scheduled Reserved Instances. Retrieved from Amazon: https://aws.amazon.com/blogs/aws/category/price-reduction/ BBCdocumentaries2014. (2014, April 22). Amazon's Retail Revolution Business Boomers BBC Full documentary 2014. Retrieved from Youtube: https://www.youtube.com/watch?v=6UhrIEUjtwI Bloomberg Business. (2015, January 26). Jeff Bezos Revealed: Building Amazon One Box at a Time. Retrieved from Youtube: https://www.youtube.com/watch?v=tfAhTtBlb2Q ELECTRONIC DELIVERY OF ANNUAL REPORTS AND PROXY MATERIALS. (n.d.). Retrieved March 11, 2016, from Investors: https://investors.ebayinc.com/annuals.cfm Farfan, B. (2016, March 10). Company Mission Statements - Complete List of World’s Largest Retail Missions. Retrieved from About Money: http://retailindustry.about.com/od/retailbestpractices/ig/Company-MissionStatements/Amazon-com-Mission-Statement.htm Johnson, R. (n.d.). How Bad of a Problem Is Ebay Fraud? Retrieved March 11, 2016, from SiteJabber: www.sitejabber.com/blog/2010/08/20/how-bad-of-a-problem-is-ebay-fraud/ Kelleher, K. (2014, March 25). Amazon's core "strength" may actually be its biggest weakness. Retrieved from Pando: https://pando.com/2014/03/25/amazons-core-strength-mayactually-be-its-biggest-weakness Krueger, R. (2013, May 16). Tech-Savvy Gen Yers Still Flock to Stores, Challenging Retailers to Keep Up with the Quickly Changing Preferences of these Young Consumers, Says New ULI Report. Retrieved from Urban Land Institute: http://uli.org/pressrelease/generationyretail/ Kucera, D. (2013, May 22). EBay Focuses on $195 Billion Global Emerging Markets Push. Retrieved from Bloomberg: www.bloomberg.com/news/articles/2013-05-23/ebayfocuses-on-195-billion-global-emerging-markets-push Lifsher, M. (2012 , September 15). Free ride is over -- Amazon.com collecting California sales tax. Retrieved from L.A. Times: http://articles.latimes.com/2012/sep/15/business/la-fimo-amazon-collecting-ca-sales-tax-20120915 Macauley, R. (2015, November 10). Alibaba vs. Amazon: How the world’s two online shopping giants stack up. Retrieved from qz: http://qz.com/545687/alibaba-vs-amazon-how-theworlds-two-online-shopping-giants-stack-up/ Rey, J. D. (2013, November 19). Amazon Expanding Its Own Private Label Offering to Supermarket Goods. Retrieved from All Things D: allthingsd.com/20131119/amazonexpanding-its-own-private-label-offering-to-supermarket-goods/ Saito, M., & Nair, A. S. (2016, Jan 29). Amazon shares plunge as record profit still misses estimates. Retrieved from Reuters: http://www.reuters.com/article/us-amazon-resultsidUSKCN0V62U6 United States Securities and Exchange Commission (Form 10-K). (2015, January 31). Retrieved from SEC: https://www.sec.gov/Archives/edgar/data/104169/000010416915000011/wmtform10kx13115.htm Wal-Mart Stores, Inc. (2016, March 11). Retrieved from Marketline: http://store.marketline.com/Product/wal_mart_stores_inc?productid=8046847E-B3254AF0-BC79-48100850E764 Welcome to Our Next Chapter. (n.d.). Retrieved March 11, 2016, from Ebayinc: https://www.ebayinc.com/our-company/
MP GRADING CHECK LIST Group Y03: Grade: 31 This paper has no product; looks like a weak research report on the 4Ps Executive Summary (5%) 2 2% Two-page executive summary is given at the beginning of the report 3 3% Summarizes the whole document (Situation Analysis + Marketing Plan) CLEARLY AND CONCISELY Situation Analysis (25%) 12 25% SA GRADE 63 REVISED situation analysis shows improvement in understanding and expression of course concepts and use of survey information. SA NOTES: Situation analysis is missing.; granted partial credit to help with the grade. Product (10%) 0 4% Clearly describes Points of difference of the new/revised product or service 0 4% Clearly states unique product quality, attributes and the benefits to the target market 0 2% Branding and impact on other products in the portfolio are clearly explained & are thoroughly thought out Price (10%) 0 4% Recommends a pricing strategy (cost-based, based on customer-perceived value, etc.) fits with strategies? 0 2% Recommends a specific price (Preferably, should be clear it is price to the next channel level OR end consumer’s price) 0 4% Shows price is consistent with company brand equity & product’s positioning Promotion (20%) 0 5% 0 10% 0 5% Chooses a combination of promo mix elements and explains WHY they are appropriate. Gives detailed information about the message conveyed via EACH ELEMENT CHOSEN and describes strategy Clearly describes how the promotion mix is integrated: all elements reinforcing each other (shows consistency & complementarity) Place (Distribution) (5%) 0 3% Describes distribution strategy and shows its consistency with target market 0 2% Shows understanding of place concepts as related to client’s situation Implementation Plan (4%) 0 3% Provides time lines, main tasks and Gantt chart 0 2% Evaluation (How you will you assess the success of your proposed plan) Organization (1%) 0 1% Provides existing org chart and any recommended Changes (Clearly discusses any new position(s), Business Units etc.) Format of the Paper (10%) 2 2% Does not exceed 32 pages 2 2% Reference section is provided and properly executed 1 2% Pages have numbers in correct format (Page X of Y format) 2 2% Appropriate 12 point font size, double-spaced, one-inch margins 2 2% Appropriate tone is used; spelling and grammar are correct Citations given where required (otherwise = plagiarism!) Overall Quality (10%) 5 10% Ability to justify their conclusions with evidence from resources and connect that to course material; organization, flow and symmetry from section to section. 5
Running head: KIMBERLY CLARK CORPORATION Kimberly-Clark Corporation Institution Affiliation Group (Y03) Group Members: Magdah Al Sinaidi, Azzan Al Subhi, Yasser Al Mageni, Tariq Al-KHaifi, Fuad Al Balushi, Bushr Al Hinai Class: MKT 304-13541 Due: October 19. 2018 KIMBERLY-CLARK CORPORATION Table of Content Executive Summary……………………………………………………….3 Company Description …………………………………………………… 4 Mission and Goals ……………………………………………...……… 5 SWOT analysis ………………………………………………..………….6 SWOT description ………………………………………………………7 Competitor Analysis ………………………………………………..……8 First Competitor ……………………………………………………….…9 Second Competitor ………………………………………………..…..…9 Opinion On market Gaps …………………………………….…………10 Customer analysis ………………………………………………………..10 Industry Segment …………………………………………………...........10 Needs and Wants of the Customers ……………………………………11 Marketing and product Objectives ………………………………………13 Current markets and Target market ………………………………….…14 New products and service ………………………………….………15, 16 Market Positioning …………………………………………….………17 Summary ……………………………………………………………….28 Reference page……………………………………………………….,,,,19 Table of Appendices Appendix I: Gross Domestic product………………………………… 20 Appendix II: Customer Analysis………………………………………21 2 KIMBERLY-CLARK CORPORATION 3 Executive Summary Kimberly Clark Corporation has been in the market for the last century. It was founded in 1872; 146 years ago. It is an American Multinational personal care company that specializes in various products. The firm has been able to establish a close relationship with clients from all classes and connect business to their immediate goals. The firm relies on the set programs to grow it markets diversity. Most of the work done by the team build is through media directions and formal clients recommendations (Mazur, 2017). With such a positive reputation in the world, the firm has been able to establish and market share in the paper production. Some of the items manufactured by the firm include Kleenex facial tissue, Andrex toilet paper, Kimwipes, disposable diapers, and Kotex feminine. Also, the firm produces baby wipes and Huggies diapers. Across the globe, the firm has gained a reputation in its services and the quality of the products. The company headquarters in Irving Texas, United States. More than 40,000 employees are directly engaged with day to day operations of the firm. With over 20 subsidiaries across the United States, it has enabled the workers to create a positive impact in the society and had allowed the firm to grow it operation across Houston and Irvin Texas. In the 1950s the firm expanded it operation to international level. Such a move was achieved by opening a plant in Mexico, Germany, and the United Kingdom. The firm launched several other subsidiaries in many other foreign locations. After successful and reputable public relations in the market, the firm formed Midwest Express Airlines from one of its corporate flight sectors. The team works closely with clients to provide a holistic approach in their operation. The members use the Turkey operations to provide better services in the market. KIMBERLY-CLARK CORPORATION 4 The firm has been able to generate more than US$18 billion in revenue for the last one year. It also has an operating income of US$3.3 billion. Mostly the firm targets Supermarkets, wholesalers, retailers and other small companies. Also, private health sectors and the financial institutions are some of the major clients for sale of its products. Every day is a new opportunity for the firm and it members to elevate the success from one level to another. One of the primary functions of the company is the produce the papers for various purposes depending on customer preference. The company focuses on setting suitable strategies for other firms in different sectors to grow their business. Company Description Kimberly-Clark Corporation is a decentralized business where many of the decision made is carried out horizontally. The firm was started with only $30,000, solely for making newsprint from lags of linen and cotton. The communication channels used have established set goals to be achieved by the firm. The firm is a multinational company and its Headquarters in Texas, the United States with over 40,000 workers both fulltime and casual workers. In the paper manufacturing and airline industry, the firm is ranked among the top 100 companies that have contributed to the success and better health to many communities and individuals. Due to the quality of the products sold by the firm, it is correct to say the firm is the best in the market. Major clients are the wholesalers, online traders such as Amazon, eBay, and Alibaba, Wal-Mart, and other supermarkets contribute to the revenue generation of the firm. As a registered public company the firm has been able to establish it reputation in the market by serving its clients well. Kimberly- Clark has acquired many other small companies in the same line of work. Such activities have helped the firm to gain market share and promote KIMBERLY-CLARK CORPORATION 5 growth in its operation. Due to its stable financial position the firm has been able to create several subsidiaries across the United States. On the other hand, customers have been able to receive adequate services and immediate feedback regarding the product and the designs they wish to use in their business. Basing the facts with the customer opinion and the recommendations issued it is right to say that KimberlyClark is the best leader in household and personal products in the United States. Affordable services and quality product distinguish them from the rest in the market. Regardless of the success, the firm has been able to gain revenue as well as serve the clients at affordable prices, and the costs are economic friendly. Further, the firm has been able to offer numerous sponsorship deals and scholarships to the marginalized community across the United States. Using such activities the firm has been able to contribute back to the society and conserve the environment through its antipollution campaigns. Mission and Goals The company mission is to lead the world in essentials for a better life. The goal is to do whatever it takes to make a significant impact on clients. This can be achieved by questioning the status quo and jumping through hoops to make the ordinary extraordinary. For many years the top management has focused on quality and growing the business to more significant levels by supporting the clients to reach their targets. Some of the specific set goals include area based the Specific, measurable, achievable, realistic and timeliness. The firm targets to serve more than one billion direct customers in three years across the globe. By increasing the client’s number, revenue and profits will increase. In the next three years, the firm is targeting $23.4 billion Revenue. With such margins, the firm can grow its products production level and improve the health of millions. By the end of the year KIMBERLY-CLARK CORPORATION 6 2019, the firm will increase workers by 4000 with a twenty-four-hour operation. The firm targets to advertise through social media (Facebook, Instagram, Twitter, and YouTube), Television and Newspapers. SWOT Analysis The best way to improve resource allocation and service delivery is by understanding the strengths, weaknesses, opportunities and threats facing the company. To achieve this analysis one is expected to follow the internal and external environmental factors affecting the firm for Kimberly Clark Company the management has been able to set and highly the SWOT analysis that has been reviewed and used for the decision-making process. Growth and success of the business rely on the primary project carried out using the strengths and the opportunities (Aikens, 2014). Internal Factors Strengths weaknesses Company is Financially Strong. Large Cannot Keep Funds and manage them capital base. effectively Large Market base Decentralization structure makes the decision difficult to make Strong marketing team Does not Serve small retailers Experience in the household and No exclusivity personal products Mode of payment reduces fraud and Brand loyalty is limited to the services losses Leverage on Social media and Google Banks’ lending rate is limited due to high KIMBERLY-CLARK CORPORATION 7 interests External Factors Opportunities Threats High industry growth; population and Increase in unemployment in interest rates economic growth Can move to future person to person Political changes and interference payments Economic stability Foreign Taxation and legalization policies Favorable Foreign market policies Competition from other small retailers Many untapped niches Many niches available for new entrants Vendor Relationships, like Microsoft Rapid changing technological environment Continuous training for workers Consumer taste and preference changes Quality Service delivery SWOT description Strengths: the firm has been in the business for many years hence the company has been able to establish a robust financial position. With such funds available over $3 billion working capital the company can be able to reach to a significant niche in the market. Also, the firm has a strong marketing team that is focusing on delivering the best quality products in the market. Additionally, there is a mode of payment used has helped the management to minimize fraud and losses hence giving the business maximum returns. Lastly, the firm carries out continuous training and development program for it workers to ensure they are equipped with skills and techniques to serve in the market. KIMBERLY-CLARK CORPORATION 8 Weaknesses: every firm in the business has experience weaknesses which are internal and are controllable by the management. Some of the significant issues affecting the firm include lack of adequate financial control, failure to serve small retailers, lack of exclusivity in service delivery and lending rates by banks. Again, due to its decentralized form, branding and final decision making limits the progress and quick decision making. Each regional manager makes their own final decisions based on their current market situation in their country of operation. Opportunities: The market offers various possibilities for the firm, some of them include economic stability; the Gross domestic product has been growing every year, the boom period and the standardized economy has been useful to the success of the firm. Secondly, there are many untapped niches that the firm can venture into. Some states like New Orleans, Illinois and Chicago provide viable market niches for the firm. Also, the firm boasts a strong relationship with large vendors such as Microsoft which has given the firm an opportunity to grow it operations by leveraging on the company marketing systems. Threats: Assessing loans from a financial institution has been challenging due to increased interest rates. On the other hand, technology has been changing rapidly hence the firm has been forced to incur extra costs to acquire modern equipment for operation purposes. Again, the government has been imposing more legal policies and increased taxation in the industry hence affecting the growth and service delivery of the firm. Lastly, consumer taste and preference and unemployment changes have been a significant issue. Purchases in some areas has been reducing due to low income whereas some cultural and social background fail to support particular household products, and personal items, designs and images thus limiting the firm's venture into the target areas. Competitor Analysis: SWOT for Competitors KIMBERLY-CLARK CORPORATION 9 First Competitor- Essity Aktiebolag Internal Factors Strengths Weaknesses Strong capital Position Increased fraud cases Low Debt capital Rise in Workers Turnover rate Support from Financial sectors Litigation process Partnership with Pepsi Company Workers strike Best marketing and sales personnel Products not differentiated enough External Factors Opportunities Threats Make acquisition using it strong financial Increased Taxation and regulations position Continue hiring new talents Political interference Strong market share May lose talents Modern Technology production equipment’s Increase in Unemployment in the target market Second Competitor- Georgia-Pacific Company Internal Factors Strengths Weakness KIMBERLY-CLARK CORPORATION 10 Improved and modern technology equipment Limited service lines Highly reputable Staff problems Cost management Marketing deficiencies Continuous training and development of workers External Factors Opportunities Threats Government support Increased competition Large untapped niche Changes in insurance plans New technology Adverse government regulations Stable African Countries Economic slowdowns Opinion on Market Gaps In this market, various issues have led to an increased gap. Some of the most common factors include economic slowdowns; most firms fail to achieve their targets due to the increased cost of production. Price increase makes the purchase late go down hence product, and the firm cannot meet service providers. Some of the market trends affected the industry include changes in technology, legal and regulation policies, increased monitoring and employee demands for KIMBERLY-CLARK CORPORATION 11 better wages. Such an issue has been a block to the success of the industry in the paper and personal care products industry (Sukeda, 2015). Additionally, social media platforms such as Facebook, Twitter, Instagram and YouTube have been used to make a quick and less costly advertisement. Such activities have limited the firm’s ability to venture into the untapped markets. Other gaps noticed in the markets include gender issues and regional imbalance. Many states in the U.S have not enjoyed Kimberly-Clark products and services. Hence, it is important for the management to establish a suitable mechanism to meet these market trends and create solutions for future business operations (Sukeda, 2015). Customer Analysis One of the critical areas for a business marketing plan and business activities is to understand it customers. This can be carried out through a comprehensive analysis to identify their needs and wants. Customer tastes and preference keep changing. Hence it’s up to the management and the marketing team to determine the best methods to serve them better. The importance of this section is to identify the target customers, their specific needs and how the current product can satisfy their requirements. The analysis process can be classified into two major sections that are the customer behavior and the demographic profile. With a clear customer profile, the business can be able to establish the best mechanism to meet the standards and serve the customers better. The profiles help in developing and designing the product to meet the targeted population. Through such activities, a firm can raise more capital and revenue as the market share increases. Accurate results can be gained using a variety of ways to learn about the customer. For this firm, some of the clients include the business retail industry, individuals, restaurants, shops and supermarkets. KIMBERLY-CLARK CORPORATION 12 Some companies carry out surveys to talk to their clients on a one-on-one basis. This helps in gathering fast hand information that is useful in planning and design future products and services. Segments at the industry In this industry market segments are classified depending on the level of demand from different states. Customers make choices and preferences on various product tastes, designs and services received. Assessing the target market can only be achieved through segmentation. Some of the best areas for Kimberly-Clark Products are Africa and the Middles East. The audience has been segmented into groups whose members are homogenous (Park, 2018). The criteria for segmentation are Measurable; where the marketing team identifies the size of the market for final decisions involving the extent and amount of effort to be put in the segments. Secondly, the apparent method can be used to enable the observation and identify the differences. Using these criteria, the firm can characterize the part and set up adequate resources to grow the business. Thirdly, financial and robust strategy markets need to be large enough to make each section worthwhile and justify the segmentation process. Also, the additional costs when marketing and making these plans must not exceed the set limits. Lastly, a segment should be assessable since different groups will respond differently to the type of advertising and products supplied (Park, 2018). Needs and wants of the customers One of the most important factors in the success of any business is to identify the needs and wants of the customer. After undertaking market segmentation, then the marketing team should be able to identify the needs of their customers. Some of the product produced by the firm may be so appealing and attractive to the majority of the public but depending on the period or KIMBERLY-CLARK CORPORATION 13 interest; the target audience may not be in need of the same product or service. At the same time, a firm may have beautiful product care designs, but the customers do not want them. Therefore, through customer analysis, the marketing team needs to carry out in-depth study to understand the customers’ needs and wants in the market regarding what the firm is offering. Before supplying the product in the market, it is important to know who the service is meant for. Some of the issues that need to addressed are the; customer income, age range, lifestyle, past behavior and future needs and wants. To make a clear understanding of the customer needs and wants it is important to know what drives them. Is it the price or quality? Or it the information and choice made. At the same time needs and wants to differ from one customer to another in the same segment hence it is important to have a majority willing to get the product in the market (Peters, 2014). It’s time for the firm to know how the product will solve the customer needs. For instance, Kimberly-Clark offers solutions in household and personal care products. Therefore, it upon the firm to understand how it products and services received will satisfy the immediate customer needs. Marketing and Product Objectives Every organization has goals and objectives that are set to enable it to achieve particular objectives. Thus, marketing objectives are goals set by the firm when promoting a product or service to target customer in the market. The objectives should be achieved in a particular set time. For any firm that wants to raise awareness about itself and the services being offered will maximize the best strategies for achieving these objectives (Peters, 2014). KIMBERLY-CLARK CORPORATION 14 Great product and marketing objectives should help the firm to build customer loyalty and promote growth in the service and product development. The target for this strategy is to ensure the majority of the customer are aware of the new product in the market or soon to be released in the market. Further, the strategy aims to reduce consumer resistance towards buying the product. Kimberly-Clark focuses on advertising its services and product designs to the target audience. The SMART approach is used in achieving the marketing objectives. Being specific is important; goals need to be stated in a way that each member within the organization can understand and Relate to the ideas. They should be precise to meet the expected market target. Secondly, the objective should be measurable, that is, they should be able to be quantified. A unit can be used to measure each of the targets set by the firm. Monetary value can be used to identify the returns and the cost incurred in regulating the objectives (Peters, 2014). Thirdly, goals need to be achieved that is, the management should set product targets that can be obtained by retaining the set quality standards. Also, products and market objectives need to be realistic. Setting marketing objectives for the product and services the firm should be willing to face reality and analyze the possible factors which are likely to alter the plan. Lastly, objectives must be timely. Long-term goals must be broken into short-term targets that can be achieved with a specified period. Current markets and Target Market The organization has been targeting Canada, US, Mexico and United Kingdom markets for an extended period. Majority of its customers are in in the U.S. With such a significant amount of potential clients, the firm has been able to raise a tremendous amount of capital to expand its market segment. Future operations are focusing on reaching Africa, middles east, and KIMBERLY-CLARK CORPORATION 15 some other parts of Europe. The target audience in Europe is very promising for the products provided by this firm. At the same time, the firm has been analyzing the African market since the current economic growth in the African countries is increasing. Customers from these areas have indicated interest in the personal care items and some of other household toilet papers, and diapers presented by Kimberly-Clark Corporation. It is important to note that there are four types of Market segmentation that the firm has been using in identify profitable areas for its operations. They include demographic segmentation, behavioral, psychological and geographical segmentation. By identifying these key areas, the firm can establish valid strategies to reach the target audience. A target is a subset of the total market for a product or service produced by the firm. Some of the primary traits that the firm uses to identify these areas include similarities on consumer location, lifestyle, age, income and lifestyle. These customers are considered to be most likely to purchase the product or services. Kimberly-Clark marketers are the individuals who solely determine the suitable target markets for the firm. Occasionally a firm may decide to select more than one market segment in its operations. In this case, the firms identify primary and secondary targets where most of the marketing efforts are targeted. For this firm, managers are expected to clarify the immediate sectors that they wish to extend the operation depending on the number of resources the firm has. New Products and Service New products and services are not an option for any organization but are crucial for profitability purposes. Some of the strategies set up by the firm in improving diapers, and personal care products. Operation management department is focusing on establishing a simple strategy that will allow significant changes in the product distribution and labeling. Some of the KIMBERLY-CLARK CORPORATION 16 created papers have been returned for further improvement to ensure they meet the current market standards. Planned and phased out development process for new product contribute significantly to sales and revenue collections. Each product has five lifecycle stages. They include development stage; here the production departments design the service or the idea after carrying out in-depth customer and market analysis. The firm has to invest heavily in research and development programs to obtain the best ideas and designs. The second stage is the introduction level where the created product is launched into the market. Kimberly-Clark is expected to plan on the immediate services that will meet the emerging demand for the VIVA, Cottonelle, and little Swimmers. Growth stage is the third level for a new product in the market. There are few competitors during this stage, and the firm generates a lot of income from the sale of the service or product. Another step that is of important when creating a new commodity is the maturity stage. After introducing the product or service into the market, the firm will have to establish a strategy that will monitor the moderate sales level which may end up stopping if no action is taken. Marketing managers are expected to present further ideas on the new mechanisms to promote the product. Lastly, the declining level arises when new other product is introduced in the market which increases the level of competition. Sales fall, and profit margins decline. Market Positioning To meet the market demand and improve the marketing objective the firm plans to position itself by mapping out key areas that need immediate improvement to gauge the level of success of the new services. Some of the strategies put in place include innovation, strengthening customer relationships, smart hiring practices and acquiring competitors. Kimberly-Clark has KIMBERLY-CLARK CORPORATION 17 been targeting to improve its market share by raising the percentage it controls in the total market (Peters, 2014). High market share puts the firm at a competitive advantage. These firms receive the best prices from their suppliers; hence they can reduce the production cost. Due to the ability to buy in bulk, the firm can enjoy discounts and manage its economies of scale. Through innovation, a firm can increase market position. This can be attributed to continuous improvement and inventions in the service delivery process quality product and constant growth in modern technology that supports the firm’s mission and vision (Barrett, 2016). To prevent customers from "jumping ship", the firm is expected to strengthen the customer relationships. Companies can protect their existing market share by attracting more customers and creating a real union with the current consumers. Satisfied customers speak positively about the services and product sold by a particular firm hence it is important to ensure that the immediate buyers are happy hence more recommendation will follow suit. Lastly, Kimberly-Clark Limited targets to increase its market share by acquiring some of it small competitors in the market. This can be achieved by investing more capital and wooing more investor to fund the project. By buying a competitor affirm will be able to accomplish two significant things: existing customer base, and reduce the number of companies fighting for the market share (Barrett, 2016). Also, it can acquire new talents and trained personnel who can contribute to the growth of the company. When a company is in a growing mood the executive eyes on a good venture such new acquisitions and expansion in new markets. Summary A firm that has been in operation for the last 100 years is at a level that can guarantee great success in achieving the set goals. Kimberly-Clark Company promises to meet the KIMBERLY-CLARK CORPORATION 18 standards and promote quality in it operation. Some of the actions taken are said to be in the best interest of serving the customers. This firm has an employee capacity of more than forty thousand and is targeting four thousand new members by the end of three financial years. Again, the firm has earned a reputable share in the market due to the increased number of recommendation both in the Television and personal reviews. With such established progress in the market, the managers have been able to create viable customer analysis programs that have embarked on identifying the best target audience in the market. In addition, the firm has been able to generate more than US$18 billion in revenue for the last one year. It also has an operating income of US$3.3 billion. Some of the missions and Goals set by the firm are targeting to grow it business operation into an international level. A firm making more than one billion dollars in net income can achieve the set objectives. Some of the other targets include leveraging on its strengths and the opportunities presented by the internal and external factors to monitor and regulate the weakness and threats that may face its operations. Again, the firm will be focusing to improve its market share by addressing the market gaps. The communication sector requires each to be willing to accept changes and support the new models to promote success and improvements. KIMBERLY-CLARK CORPORATION 19 Reference Aikens, K. A., Astin, J., Pelletier, K. R., Levanovich, K., Baase, C. M., Park, Y. Y., & Bodnar, C. M. (2014). Mindfulness goes to work: Impact of an online workplace intervention. Journal of Occupational and Environmental Medicine, 56(7), 721-731. Barrett, C. B. (2016). Market analysis methods: are our enriched toolkits well suited to enlivened markets?. American journal of agricultural economics, 78(3), 825-829. Campbell, N. C., & Cunningham, M. T. (2017). Customer analysis for strategy development in industrial markets. Strategic Management Journal, 4(4), 369-380. Cohen, Anya. IBIS World. (2017, February). Sanitary Paper Product Manufacturing in the US. Dun & Bradstreet, Inc. (2017). D&B Hoovers Database. Retrieved from ENG.pdf?epslanguage=en Essity Aktiebolaget (publ). (2017). Interim Report Q2 2017. Mazur, G. H. (2017). Voice of customer analysis: a modern system of front-end QFD tools, with case studies. In Annual Quality Congress Proceedings-American Society for Quality Control (pp. 486-495). Park, H., Roh, S., Kang, E., & Kim, H. (2018). U.S. Patent Application No. 29/328,636. Peters, E. E., Peters, E. R., & Peters, D. (2014). Fractal market analysis: applying chaos theory to investment and economics (Vol. 24). John Wiley & Sons. Sukeda, H., Kaminaga, M., Oozeki, K., Fujita, K., Matsumoto, C., Nagai, N., & Suzuki, K. (2015). U.S. Patent Application No. 10/068,984. KIMBERLY-CLARK CORPORATION Appendix I Gross Domestic product 20 KIMBERLY-CLARK CORPORATION Appendix II Customer analysis 21
MARKETING PLAN CHECK LIST This checklist should help you ensure you include every area necessary for a thorough plan. Note that just inclusion of a topic will not necessarily lead to a good grade. Evaluation of each area is based on your clarity and quality of your information and your discussion of that information. SITUATION ANALYSIS REVISED 16 pages max- Situation Analysis (use the feedback from grader). YOU MUST make the appropriate corrections to your SA paper or 2x points will be deducted! PRODUCT (ADD TO WHAT YOU HAVE AT THE END OF YOUR SA PAPER) Recommended number of pages for this section:2 Points of difference of your new/revised product or service Unique product quality, attributes and benefits to target market Consider branding the potential impact on other products in the portfolio PRICING Recommended number of pages for this section:2 Pricing Strategy Specific Price for the new/revised product/service Demonstrate pricing is consistent with company brand equity & product’s positioning PROMOTION Recommended number of pages for this section:6 (Provide all the details) Choose a combination of promotion mix elements and explain WHY they are appropriate Provide detailed information about the message conveyed via EACH ELEMENT CHOSEN Describe how the promotion mix is integrated: all elements reinforcing each other (consistency & complementarity) PLACE (DISTRIBUTION) STRATEGY Recommended number of pages for this section:2 Describe your recommended distribution strategy; show its consistency with target market Demonstrate distribution is consistent with product positioning ORGANIZATION Recommended number of pages for this section:1 Existing org chart and any recommended Changes (New Position(s), Business Units etc.) IMPLEMENTATION PLAN Recommended number of pages for this section:1 Describe a time line for implementation and main tasks and evaluation method Gantt Chart showing the implementation plan (In the appendixes) MKT304 – Prof. Sean Keyani Last Revised: Thursday, September 13, 2018 MP Checklist: Page 1 of 4 MARKETING PLAN CHECK LIST EXECUTIVE SUMMARY Maximum 2 pages Two-page, double space, executive summary is given at beginning Summarizes the whole document CLEARLY AND CONCISELY FORMAT OF PAPER Does not exceed the page limits (Max 32 pages excluding cover page, table of contents, references pages and appendixes) Pages have numbers (Page X of Y format) Appropriate 12 point font size, double-spaced, one-inch margins MUST CITE ALL INFORMATION (otherwise = plagiarism = F) - Style= APA Provide a reference section at the end of the paper in correct style/format - Style= APA Edit/proofread and use correct Spelling and Grammar Use tables/charts/graphs effectively to present information (SWOT tables must be in the body of the paper; the rest of the tables/charts/graphs could be included in the appendixes) Use an appropriate tone and write clearly MKT304 – Prof. Sean Keyani Last Revised: Thursday, September 13, 2018 MP Checklist: Page 2 of 4 MARKETING PLAN CHECK LIST Be consistent with your in-text citations and your references page (APA style). I would highly recommend using the automatic “References\Citations and Bibliography – \Table of Contents” in MS Word (“Reference tools” for Macintosh computers). For web reference guidance for APA format, you may look to: http://owl.english.purdue.edu/ For library resources; please use the following links: http://library.calstate.edu/northridge/databases/subject/business-economics http://library.csun.edu/ResearchAssistance/AskUs When using web sources, remember to reference the actual source of your data or information, not the search engine you used to get to the source. GOOGLE, for instance, is NOT a source, nor is library.csun.edu. They are the vehicles you used to find your source. Any web citations should include the full URL address as well as the date you received information from that URL address. Sources should also be CREDIBLE. For instance, Wikipedia should not be used as a source in your paper – it is not a credible source for information (this doesn’t mean that you can’t use it, you just need to go to the direct source to find the credible information). MKT304 – Prof. Sean Keyani Last Revised: Thursday, September 13, 2018 MP Checklist: Page 3 of 4 MARKETING PLAN CHECK LIST Important Reminders: • Be sure to cover all the items on the SA+MP checklist. You may want to use items of the checklist as a headings/sub-headings in your paper. • Refrain from adding definitions from your textbook to “fill” the paper. Also, DO NOT include random information in the appendixes (e.g. general financial/stock information that are unrelated to topics discussed in the paper) • Your feelings, perceptions and experiences as a consumer are not necessarily facts. This is a research-based paper so, it cannot be based on what you feel or assume is true. It MUST be based on research and facts. In other words, DO NOT ASSUME because you and/or your team have a certain perception about a product, market, company, etc. all consumers will have the same perceptions as you do. • Your paper MUST have in-text citations throughout the paper and a reference page at the end of the paper. • Be sure to follow the formatting guidelines listed on page 2 of the MP checklist. • Be sure NOT to copy and paste material from internet or other teams' work(s) into your paper. Please note that you will submit this paper on Turnitin too and note that “plagiarism=F" • Your paper does not have to be 32 pages, 32 is the maximum number of pages allowed for this paper. • If you have problems within your team, I expect you to be able to resolve any conflict as adults. It is important that you focus on the goal, work together and complete the paper in time. All students in this class will have a chance to review their teammates and provide a peer evaluation to me at the end of the semester. I take peer evaluations very seriously. • Tone of the paper: you may want to assume that your group is a consulting firm creating this SA for the CEO of company you're working on. DO NOT attempt to market your hypothetical marketing firm, be sure to focus on the topics you need to cover according to the checklist. • Please refer to syllabus for important information regarding late submissions. • Each team needs to submit ONE copy of the SA paper on Turnitin and ONE copy of the paper for grading. There are two separate links for these two on Canvas and their deadlines are different. Only ONE person per team will upload the two copies of the paper into Canvas. • Files MUST be in .pdf format. • First upload, into Turnitin, must to be done by 11:00 p.m. the day before due date. • Second upload, for grading, must be done by on the due date (Please refer to syllabus for due dates) MKT304 – Prof. Sean Keyani Last Revised: Thursday, September 13, 2018 MP Checklist: Page 4 of 4

Tutor Answer

Robert__F
School: UT Austin

everything MP and SA .. and all aPlease let me know if there is anything needs to be changed or added. I will be also appreciated that you can let me know if there is any problem or you have not received the work. Please let me know if there is anything needs to be changed or added. I will be also appreciated that you can let me know if there is any problem or you have not received the work Good luck in your study and if you need any further help in your assignments, please let me know Can you please confirm if you have received the work? Once again, thanks for allowing me to help you R MESSAGE TO STUDYPOOL NO OUTLINE IS NEEDED

Running head: KIMBERLY-CLARK

1

Kimberly-Clark
Name
Course
Date

KIMBERLY-CLARK

2
Contents

Executive summary......................................................................................................................... 4
Kimberly-Clark ............................................................................................................................... 7
Situation analysis ............................................................................................................................ 8
Company Description ......................................................................................................... 8
Mission and goals ................................................................................................... 9
SWOT analysis ..................................................................................................... 10
SWOT description .................................................................................................11
Competitor Analysis: SWOT for Competitors .................................................................. 12
First Competitor- Essity Aktiebolag ..................................................................... 12
Second Competitor: Georgia-Pacific Company.................................................... 13
Third competitor: IKEA ........................................................................................ 13
Opinion on Market Gaps ............................................................................................................... 14
Customer analysis ............................................................................................................. 14
Target market ........................................................................................................ 15
Analysis of the wants and needs of potential customers....................................... 16
Marketing plan proposed for Kimberly-Clark .............................................................................. 16
Product .............................................................................................................................. 16
Points of difference and resulting positioning map .............................................. 16
Product specifications: Offering a unique product quality, attributes and benefits
to target market ......................................................................................... 18
Impact of the introduction of the new product...................................................... 19
Other critical elements of the marketing mix ................................................................... 19

KIMBERLY-CLARK

3

Analysis of the pricing strategy ........................................................................................ 20
Proposed pricing strategy...................................................................................... 20
A specific price for the new product ..................................................................... 20
The consistency of the pricing strategy with the brand equity and product's
positioning................................................................................................. 21
Promotion strategies.......................................................................................................... 21
Combination of promotion mix elements ............................................................. 21
The message conveyed through the different promotion mix elements ............... 22
Description of the promotion mix ......................................................................... 24
Secondary promotion elements ............................................................................. 25
Place distribution strategy ................................................................................................. 25
Description of the distribution and place strategies .............................................. 25
Demonstration of consistency with the product positioning................................. 25
Organization .................................................................................................................................. 26
Implementation of the marketing plan .......................................................................................... 27
Timeline ............................................................................................................................ 27
Gantt chart ......................................................................................................................... 27
References ..................................................................................................................................... 28

KIMBERLY-CLARK

4
Executive summary

Kimberly Clark Corporation has been in the market for the last century. It was founded in
1872; 146 years ago. It is an American Multinational personal care company that specializes in
various products. The firm has been able to establish a close relationship with clients from all
classes and connect business to their immediate goals. The firm relies on the set programs to
grow it markets diversity. Most of the work done by the team build is through media directions
and formal clients recommendations (Mazur, 2017). With such a positive reputation in the
world, the firm has been able to establish and market share in the paper production. Some of the
items manufactured by the firm include Kleenex facial tissue, Andrex toilet paper, Kimwipes,
disposable diapers, and Kotex feminine. Also, the firm produces baby wipes and Huggies
diapers. Across the globe, the firm has gained a reputation in its services and the quality of the
products.
The company headquarters are in Irving Texas, United States. More than 40,000
employees get directly engaged with day to day operations of the firm. With over 20 subsidiaries
across the United States, it has enabled the workers to create a positive impact in the society and
had allowed the firm to grow its operation across Houston and Irvin Texas. In the 1950s the firm
expanded its service to an international level. Such a move resulted from opening a plant in
Mexico, Germany, and the United Kingdom. The firm launched several other subsidiaries in
many other foreign locations. After successful and reputable public relations in the market, the
firm formed Midwest Express Airlines from one of its corporate flight sectors. The team works
closely with clients to provide a holistic approach in their operation. The members use the
Turkey operations to provide better services in the market.

KIMBERLY-CLARK

5

The firm has been able to generate more than US$18 billion in revenue for the last one
year. It also has an operating income of US$3.3 billion. Mostly the firm targets Supermarkets,
wholesalers, retailers, and other small companies. Also, private health sectors and the financial
institutions are some of the major clients for sale of its products. Every day is a new opportunity
for the firm and its members to elevate the success from one level to another. One of the primary
functions of the company is the produce the papers for various purposes depending on customer
preference. The company focuses on setting suitable strategies for other firms in different sectors
to grow their business.
Kimberly-Clark is a leading company operating in the paper industry. Thus far, the
company focused on the production and commercialization of products that could be
manufactured using paper as one of the essential components. These products included diapers
like Huggies, paper tissues like Kleenex, pads, liners, or adsorbent underwear like Plenitude,
paper towels like Scott, and personal protection clothes like KC-Professional. The present report
evaluates the marketing product mix for the introduction of a new product line that will
complement those already existing in the market. Such a product line focuses on paper as the
primary raw material like the rest in which the company has worked over the past 146 years.
This strategy enables the company to profit from the knowledge about the different techniques
require to manipulate, treat, and recycle paper. However, it will open a new market niche for the
company by enabling its entrance into the furniture and decoration market. The advantage of
entering such a market is that the target customers will already know the company and how it has
demonstrated its high quality of the products, ...

flag Report DMCA
Review

Anonymous
Tutor went the extra mile to help me with this essay. Citations were a bit shaky but I appreciated how well he handled APA styles and how ok he was to change them even though I didnt specify. Got a B+ which is believable and acceptable.

Similar Questions
Hot Questions
Related Tags

Brown University





1271 Tutors

California Institute of Technology




2131 Tutors

Carnegie Mellon University




982 Tutors

Columbia University





1256 Tutors

Dartmouth University





2113 Tutors

Emory University





2279 Tutors

Harvard University





599 Tutors

Massachusetts Institute of Technology



2319 Tutors

New York University





1645 Tutors

Notre Dam University





1911 Tutors

Oklahoma University





2122 Tutors

Pennsylvania State University





932 Tutors

Princeton University





1211 Tutors

Stanford University





983 Tutors

University of California





1282 Tutors

Oxford University





123 Tutors

Yale University





2325 Tutors