Reflecting on Marketing stretegies and plans(1) PDF

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Reflecting on AutoNiche’s Marketing strategy and Plan for Financial Year 2020-2021 Marketing is basically the activities involved in the process of promoting the buying or selling of products or services. Marketing includes the process of advertising, selling as well as the delivery of products to different customers. The promotional activities may include the use of celebrities, graphic designs and memorable packaging, advertisement theough social media channels, and others. My weekly review will involve the study of Auto Niche Car repair company’s Marketing strategy and plans case study. Auto Niche Auto Car Repair Company was formed in 2009 by Emily Chung, who graduated with a degree in Business and psychology from Waterloo University ("Home - Markham Auto Repair", 2020 p5).. Emily Chung inspiration was generally in the sense that her company could be able to produce cars which made women drivers very comfortable feel comfortable with car repairs. Canada was majoring in the production and sale of Automobiles which concentrated on male dominance. This was confirmed when a year later after Chung started her company over 90% of her customers are men, Chung’s Company was a servicing outlet for vehicles. She found out that men saw her servicing company as safer place to get their cars serviced. By the year 2019, Auto niche Company achieved annual revenue amounting to $555,000 for the year ending in 2019. Emily Chung classified her customers into four groups, depending on how they communicated with her, the controller, the supporter, the analyzer, and the promoter. She has been able to teach her workers a wide variety of her lead tech in recent years, with increase in the number of male customers in her company, she changed her company mission from concentrating of female friendly car service to family friendly. Her company concentrated on providing diagnostic, repair as well as maintenance services. Chung was innovative enough by offering maintenance services at reduced costs for repeat customers, making it an effective way to attract and retain customers. The Understanding of Auto niche’s Customer segregation strategy helped me understand that studying the behavioral patterns of Customers is very effective in the determination of pricing as well as tapping into new markets. For Emily Chung, the company had started out as a female car repair shop, but she later studied the behavior of male customers, who she was freer with than the females, as well as the fact that they visited the shop frequently for car repairs. She converted her shop to a male friendly repair shop since they were more profit yielding. Additionally, Chung studied her customer’s buyer behavior and found out there were those customers who were frequent visitors for car repairs and those who only showed up once in a while. She studied that most of her Ford customers only showed up when the One Drive Auto repair shop, which was two blocks away and Auto niche’s Key rival was closed or was full. She had to find a way to attract these new Ford Customers permanently as well as retaining the frequent visitors to her shop. Therefore, she provided free tire repair services as well as half the price for every third visit to Auto Niche. She also had to adopt lucrative deals for repeat customers to retain them. The study of customer behavior is extremely important in establishing what’s best for the business. Chung’s Understanding of what customers want by studying their behavior helped me understand that to maintain the competitive advantage in a flocked market, innovative customer attraction and retention strategies are needed.

However, Due to the COVID pandemic, sales drastically reduced and the company had to restructure their marketing plan. For Emily Chung, the Ansoff Matrix strategy structure was key to her medium term and long-term success. Using the Ansoff Matrix section of Market Penetration, Auto Niche Strategy would concentrate on 

Decreasing prices for service repair to attract more customers. With the Emergence of COVID 2021 would be expected to be a tough financial year for everyone. Therefore, to retain the customers, the company planned to reduce the price of service maintenance per vehicle from 700 CAD to 450 CAD per year. Reducing the price for maintenance was very crucial since it would play a huge part is sympathizing with the customer’s financial situation. Before the year 2020 ended, the company had net sales comparable with FY 2018 overtaking the One Drive repair shop for the first time ever. Following Auto niche’s case study, I understand that Pricing is a very powerful tool to penetrate the market. The company as able to tap into more customers by reducing price per vehicle maintenance costs.

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Under the Ansoff Matrix Product Development, Auto niche hoped to develop new skills to give them a competitive edge in the market. This move would involve extensive research and development in the development of the company’s skill to increase the product range under which the company could handle. This occurs when the companies have a strong understanding of the market situation that they are in and that they are able to provide viable solutions to the problems they face. The result was a diversified skillset to handle more advanced machines like the Ford Ranger Raptor and the Land Rover Discovery models. To adjust to a diverse and a more competitive environment, product diversification is key. This is so as to increase the company’s or business market share by offering more products to a wide variety of people. Increased Customers translates to increased sales.

Promotion Strategy. Emily Chung, the primary owner of the company, expected that most of the clients who drive Toyota and Ford will switch to Auto niche due to the exclusive computerized specialized services that the company will be offering. The company had also stated that beginning January 5th 2021, it would give discounts to Toyota and Ford Customers for a period of 4 months. This is additional to the strategy that had been pre-existent, where child seat inspections are offered free to regular customers, as well as discounts to customers who visit more than twice per year. This strategy translated to an increase in Ford Car repairs by 11 within the first 6 months and 7 for Toyota. Price discounts as well as free or substandized high quality aftersales services are key to attracting new customers. The general idea is that the more attractive the service provided, the more likelihood of more customers to buy the new product or service....