EThames Graduate Institution (ET) is today's and dynamic ADVANCED SCHOOLING institution offering students a total range of high quality UK known qualifications. Our profession focused level programs provide students with the data and skills necessary to ensure a soft move from the classroom to the place of work. Our objective is to build up each student's abilities fully in order to create excellent professional and enterprising people for business, industry and professional opportunities. (Thames, 2011)
EThames Graduate Institution is Europe's most significant Higher Education establishment offering world reputed higher educational certification. The EThames Graduate College students come from different countries throughout the world. The EThames Graduate School's central business is its different review areas such as business, fund, computing, health and social care, British and other training programs.
2012 Olympics game titles will be in London and great deal of international destinations will comes to the institution. Also you will see higher demand for the professional programs which are centering relative fields centering the event. It is therefore necessary to have proper advertising campaign to capture the opportunity. I have discussed the situational evaluation, online marketing strategy, implications for the ET due to the expecting mega event of the Olympic 2012.
Situational Analysis
As determined by the marketing audit and summarized in the SWOT research within the key market in which ET works has been significantly influenced by the recent go up in competitive pressure. A strong long-term plan must now be created to deliver competitive benefits and change the downward sales tendency. The situations market is reactive, overly busy and heavily affected by changes in the exterior business environment; thus a 2-3 time plan is considered a long-term one. The Olympic 2012 event can make lot of influences to the business enterprise within few months.
1. 1 PESTEL Analysis
Political
Forecast cuts in public areas spending
Changes in Federal government attitudes to exterior meetings
Planned climb in VAT to 20% January 2011
Impact of 2012 Olympics London / 2014 Glasgow Commonwealth Games / 2018 World Cup
Increased globalization and associated appointment requirements (both physical and exclusive). UK is within 24th place in world globalization rankings
High unemployment rate (7. 8% / 2. 47 million) resulting in less training and development
Economic
Increasing use of exterior preferred companies to make bookings, somewhat than diplomas direct
Event budgets forecast to stay at lower levels than pre-recession
Luxury / additional spend forecast to remain low
Quantity of delegates forecast to stay flat
Increasing commercial awareness in clients (haggling, negotiation, individualized pricing)
Increased reluctance never to commit until last minute
Forecast cuts in public spending
Legal
Market segment legislation (e. g. ABPI rules) restricting location.
Planned go up in VAT to 20% January 2011
Events industry remains unregulated
ET operate in old buildings signifying significant investment is required to meet changes in availability regulations
Technical
Rise in video conferencing (Webinars)
Rise in exclusive events2
Increase in individual produced content (venue reviews, interpersonal networking sites)
Reliance on websites / se's for location selection, rather than printed directories and magazines
Increasing reliance on AV tools - thus high effect on event if fails / non-compatible
High rate of scientific development - locations have to be adaptive to these requirements
Increasing demand in some areas (e. g. online learning) to work with ethical locations (CSR)
Rise in customer support expectations
Increasing commercial understanding in purchasers (haggling, negotiation)
Increase in end user produced content (location reviews, social networking sites)
Demand for conferences to become more objective and measurable
Increasing demand for venues to demonstrate sustainability / renewable / ethical credentials (BS8901standard)
Increasing variety in customer preferences and requirements (dietary / social requirements)
Environmental
Increasing demand for locations to demonstrate sustainability / renewable / ethical credentials (BS8901standard)
Public sector travel cuts (e. g. Environment Firm)
Carbon cost of business travel under scrutiny
Rise in demand for locally sourced produce
1. 2 Distinctive competencies (DCs)
ET currently has 5 Distinct Competencies. They are key internal talents which have no major countering weakness.
Stability - ET is part of the wider ET providing root financial stability. Staff also has usage of a broad pool of specialist 'in-house' resources16 providing advantage over self-employed competitors.
Power - ET shows a posture of power as highest value added member and so an potential to meet changing customer demands (e. g. AV / Catering) by negotiating ideal deals with students.
Customer Service - ET have an outstanding Customer Service record and are no 1 educational middle in the UK18, putting them at a definite advantage to fight the surge in competition.
Flexibility - The 7S and 7P models19 demonstrate ETs flexible approach to product and costs. Customer facing staff is adaptive and in a position to meet changing customer requirements with ease.
Product - ET offer an upper-middle end service predicated on proven customer service and added value, rather than price exclusively.
1. 3 Critical success factors (CSFs)
Analysis of the opportunities and threats within the micro and macro surroundings show the group's main market segments present 5 critical factors for future success.
Price - There is certainly strong demand for cost effective events with personal pricing and competitor matching. This is forecast to continue in the mid-long term future.
AV - College student needs for the latest in reliable convention technology (both physical and electronic) are forecast to develop, as will their reliance on it to deliver their occasions (virtual audio system / delegates etc).
Agencies - Brokers are an evergrowing selection approach to choice for students.
Green qualifications - Customer inclination for environmental sustainability is rising, with industry starting to identify which venues are compliant.
Customer Service - students have a continued requirement of reliable, personalized customer support.
1. 4 Benefits of marketing planning
It is progressively important in today's speedily changing business environment that companies plan their marketing effectively. Corresponding to Kotler (2002) "appear planning helps the business to anticipate and respond quickly to environmental changes, also to put together better for quick developments". ET 's core markets are fast paced and significantly competitive, so that it is vital they have a clear plan in location to combat the climb in competitive pressure by meeting customer needs and wishes more effectively than rivals.
1) To understanding their business environment:
Marketing planning allows ET to totally understand their complicated business environment both internally and externally. The first recognition of key market changes and threats (such as the go up in competitive pressure or demand for environmental credentials) allows ET to change its strategy and marketing mix accordingly.
Analysis of the exterior environment ensures ET understand who their customers are, the factors impacting on their purchase decisions and have the ability to foresee their needs and would like.
2) To set objectives and present direction:
ET's aim hierarchy shows the group's marketing targets stemming from the organization objectives, which in turn stem from the Board strategic plan. Regarding to Dibb (2007) a marketing target is "a declaration of what is to be completed through marketing activities - the results expected from marketing efforts. "ET' activities remain outside the main focus of the ET, so reliable marketing planning is vital to ensure relevant objectives are set.
3) To develop a strategy with the capacity of delivering the targets set:
ET will only meet their aims with an obvious strategy; described by Kotler (2002) as "the marketing logic where the business dreams to achieve its marketing objectives". A planning distance was determined between growth purpose and forecast, so a clear market penetration progress strategy was implemented to bridge it. Without this strategy, the venues may lose focus (e. g. diversifying in to the 'rooms by the hour' business); the marketing aims wouldn't normally be met, resulting in the corporate targets being overlooked.
4) To select the right sets of customers to talk to:
According to Jobber (2007) market segmentation is "the recognition of individuals or organizations with similar characteristics which may have significant implications for the determination of marketing strategy".
By breaking the market into customer sections of a similar type, ET can gain greater understanding of its customers, meet their needs and wishes more effectively and communicate in ways they are more likely to respond to.
5) To develop tactics and an idea of action
Finally, marketing planning offers a comprehensive tactical plan, giving direction to each one of the 7Ps of the marketing blend. By setting an in depth, measurable plan encompassing all elements, ET can combine expertise from both marketing and the business into one organizational work. This work will ensure staffs are totally trained, resources are deployed in the right areas, the brand is developed and steady across the real estate and the product matches market requirements (such as BS8901 accreditation).
Marketing Plan
In order to battle the go up in competitive pressure and plug the look gap, ET needed to develop a technique for growth by making alterations to either its product-set (Educational options) or learner bottom. As ET only matched some of the market's, a lower-risk Market Penetration strategy was encouraged, described by Dibb (2006) as "a strategy of increasing sales in current marketplaces with current products". It had been clear from the marketing audit that there were areas of the existing market that ET were not interesting with effectively (e. g. event booking brokers) which there is still potential for development without costly development of a new product, expansion into a new market or complete diversification.
`
2. 1 Progress Strategy
To ensure the expecting expansion in 2012 ET must create a clear progress strategy. The Growth Strategy Examination within shows the full ET product profile and the strategies for growth currently used across the organisation. Within the medium-long term, ET must take up a clear Market penetration expansion strategy. The group's only match against some of the market's from Asian students; this coupled with the current go up in competitive pressure mean that a low risk strategy is advised. If ET already matched up all the market's likely requirements, this may be leveraged to build up a fresh product or develop into a new market to attain competitive advantage. It's important that within the Market Penetration strategy, tweaks are made to the prevailing product offering to match the remarkable.
Eg:
Market Penetration - Re-targeting to providers / local students and id of different customer segments with buying probable (High demanded educational training).
Market development - Start of new ET in other all provinces with the same mix (tiered lecture theater, city centre location, 5* learner service etc)
Product development - Start of 'self-study workshops by the hour' product according to diploma requirements and personalized going to lecturers.
Diversification - Unveiling a management consultancy company under the ET name.
2. 2 Competitive Strategy
In order to safeguard its growth strategy and ensure efforts cannot easily be duplicated by opponents, a competitive strategy was recognized where ET could focus, identified by Kotler (2002) as "a technique that firmly positions the business against competitors and provides the best possible strategic gain. "
It had not been suitable to look at a cost leadership strategy as per common classes in London whose low event specific overheads permit them to accomplish cost authority and undercut ET on basic price. This approach is not attainable without putting ET's 5* scholar Service vulnerable.
A competitive strategy of differentiation had not been well suited for ET because of the high costs included and likely high diploma failure rate scheduled to lack of enough students. The group already has costly overheads in ongoing maintenance because of its historic buildings, which makes it unviable to constantly spend money on first to market NPD.
The chosen competitive technique to focus on area of interest groupings for whom high quality facilities, excellent college student service and stability are essential is the right one as it utilizes ET well and has high potential for repeat and referral business; attaining the sales development needed to load the planning difference.
2. 3 Marketing Mix Elements
Service
The main product is not unique as the capital has a huge selection of diplomas which fulfill the same basic college student need, thus classing it as a carbon copy. However there are numerous elements in the extra product portfolio that happen to be unique; riverside location and views, tiered lecture theater for 500 friends and college student service credentials will be the key ones to be leveraged. In order to satisfy the newly selected target segments, must develop its supplementary product to load the gap. The diploma must change its attitude towards environmental policy and get started an investment program to be able to attain the sustainable coaching standards
Price
Of the three rates strategies available (skimming, intermediate and penetration), ET Place presently functions an intermediate rates strategy. I recommend that this remains in the medium long run. The diploma holds some USPs such as 'best in category' customer service, high lecture theatre capacities and its panoramic. However some features (workshop places & video-conferencing facilities) are not unique within the London market. It has a medium break-even point40 within the perfectly elastic market and looks to communicate a posture of quality and stability. One of the venue's main USPs is the added value services it offers (such as 1st course customer support), which would be jeopardize by a price penetration strategy.
Promotions
The promotional aims to both new customer teams43 is to advise and differentiate; educating them about the place, its product and service capabilities and key differentiating factors (such as university student service brilliance). However, as recognized in the merchandise Lifecycle model, ET London is in the maturity level thus the goals for the prevailing groups is to remind and persuade them to use ET again or reconsider a past decision never to.
Push - partner with third party intermediary brokers, industry publications and websites to create business (and knowing of) ET London.
Pull - communicate directly with target customer communities via a marketing campaign to see, differentiate and drive enquiries straight to the diploma.
Profile - increase knowing of ET London and the wider ET Diplomas group to both major and secondary concentrate on teams and the broader industry
Place
In order to reach and wthhold the chosen target sections, ET London must change elements of its place (circulation) strategy. Evaluation of the exterior environment48 shows that buyers are progressively more enlisting agents to place their bookings, so the diploma must differ from a primary to Dual center place strategy, allowing clients to place bookings directly or through their nominated company. Backed by the promotional tactics, staff will aim for agents specifically with preferred fee rates, tailored charges and ensure the product of choice when coming up with booking decisions. Few conflicts exist as nearly all students using real estate agents do so as they have no buying alternative due to their company plan.
The venue's syndication intensity should remain selective to be able to build brand loyalty, stress the high degrees of quality and service and support their new centered competitive strategy. Unlike mass market / cost control competitors whose major aim is to secure a high quantity of small diplomas, ET should look to build trust-based human relationships with students to secure their high-value events on an ongoing basis, thus a selective circulation intensity is advised.
2. 4 Controls
Based upon ET's existing 'all we can find the money for' budget composition, I would recommend a 'percentage of sales forecast' way is implemented at 3. 5%. But not ideal, it'll ensure marketing budget bids in the short-term are natural and increase proportionately as the permanent objectives become understood.
In addition to the action plan, a series of 'targets' and 'budgets' run in parallel to the execution schedule. The goals will inspire and encourage personnel to achieve an optimistic outcome in small, manageable chunks, but also allow ET to screen progress against targets and identify dangers in early stages so corrective methods can be studied.
The specific budgets set give a framework for personnel to work within on specific activities, ensuring the entire budget is not exceeded and profitability taken care of. Finally, this set of smaller budgets allow the ET Marketing Director to delegate responsibilities to co-workers, whilst keeping overall budget control.
Main Barriers and how to Implement
3. 1 Barriers in Internal Audits
Internal
Interviews - Geographic spread supposed some interviews were presented by phone or email making it hard to learn reactions and ask supplemental questions appropriately. HR was also not prepared to be interviewed for purposes of the audit.
Confidentiality - Access to staff performance records was not awarded so mystery shopper recordings and sales personnel observations69 were 2 techniques used to ascertain wide-ranging conclusions, alongside the figures provided by their managers.
Accuracy / reliability of information - Staff had been documenting financial and enquiry data inconsistently (e. g. interior business levels); both season on 12 months and from location to venue. Something change supposed that customer information (beyond sales results) for 2012 is also unavailable.
Staff supply - ET Accountant was unavailable which delayed receipt of key financial data by few weeks. Turnover of personnel mid-audit was also a concern.
3. 2 Insufficient financial resources
The decrease in sales between 2009 and 2010 could see Senior Management withdraw ET Marketing spend, although the fact that the decline has stalled and an obvious strategy is in destination to close the look gap may reduce this. Furthermore, the '% of sales forecast' marketing budget methodology will reassure management that the marketing plan is results powered. There are 'account' activities within the tactical plan which senior management could see as expendable, so it will be important to focus on the collaborative aftereffect of the designed marketing blend so that individual elements aren't removed.
3. 3 Lack of staff
The new strategy is heavily relationship influenced; effective targeting of the key commercial discussion and Agency groupings in particular will only deliver results if personnel invests time to nurture romantic relationships, build trust and secure do it again business. ET does not have any pro-active sales staff, so the success of the marketing plan is pivotal on securing 1 sales person at each venue. If this is not acceptable to mature management, existing 'reactive coordination' personnel must be reprioritized to a proactive sales methodology and given key accounts to nurture from within the prospective customer segments. This calls for some retraining, but will be an opportunity for development. A significant part of the staffing change is to incentivize sales personnel with commission as per the industry standard; assisting to secure buy-in.
3. 4 Insufficient time
Although senior staff has wanted a long-term (2-3 season) marketing plan for ET, they may be prepared to see quick results (3-6 weeks). However this is improbable to happen as the plan is built around repeat business and romance building (supporting the 'concentrate' competitive strategy and product Placement). Targets must be supervised throughout the company that but the marketing aims will be became aware, it is unlikely to be before the target time of 2012. In addition, time must be dedicated to accounts management by personnel, which is problematic without the added proactive sales function. If management requires results to be shown prior to the team can be extended, key accounts must be targeted first by mature venues staff before distributing lower value companies to junior personnel.
3. 5 Insufficient skills
There are certain skills gaps which could jeopardize the implementation of the plan if not mitigated rapidly. The change from a 'reactive' to 'proactive' sales function with key bill management is a big change and one which will require interval training and ongoing mentoring for all those staff involved. In addition, the ability to leverage electricity within the resource string to secure the best discounts from exterior suppliers is a key advantage which the group is not currently utilizing scheduled to lack of personnel skills and assurance. A program of training for staff involved with such discussions will be essential. Finally, the success of the program would depend on the group preserving their 1st category customer support, thus a continuing staff training curriculum must be established.
Ethical Issues for ET's Marketing
Marketing planning allows ET to fully understand their sophisticated business environment both internally and externally. The early id of key market changes and dangers (like the climb in competitive pressure or demand for environmental credentials) allows ET to conform its strategy and marketing combine accordingly.
Analysis of the external environment ensures ET understand who their customers are, the factors influencing their purchase decisions and have the ability to predict their needs and wishes. Examination of its inside environment will identify strengths and weaknesses thus making sure systems and techniques are in location to meet those foreseen customer demands effectively.
ET must realize that they are really into the educational industry which is necessary maintain all the best practices of the industry plus they responsible to be an highly recommended organization. An important but costly element of the plan is to close the gap by acquiring BS8901 environmental accreditation for many branches, so another business case should be prepared highlighting the expenses involved and immediate benefits to the ET beyond the commercial place business.
The marketing plan poses some key changes in way for ET and appears to de-priorities certain market sections. This may meet level of resistance from both management and operational personnel initially before the new segments commence to provide results. A 'phase out' alternatively than 'immediate' approach to the change over a 6-12 month period will ease this. Furthermore, the ET Marketing Director should run a series of workshops with personnel from all over the business to explain the program in-depth, its rationale, and key effects to ensure buy-in.
Bibliography / Referencing:
2008. (Clause 19. 1). 1 July 2008
Association of the English Pharmaceutical Industry Code of Practice for the Pharmaceutical Industry,
British Meetings and Happenings Industry Survey 2010, CAT Magazines, October 2010
Dibb, S. , Simkin, L. , Take great pride in W. , Ferrell, O. , (2006) Marketing Concepts and Strategies, 5th European
edition, South European Cengage Learning
Jobber, D. , (2007) Principles and Practice of Marketing, 5th Release, McGraw Hill Education
Kotler, P. , Armstrong, G. , Saunders, J. , Wong, V. , (2002) Key points of Marketing, 3rd Western Edition,
Meetings & Incentive Travel, Olympic Opportunities: Choosing Gold. Sept 2010.
Meetings Industry Relationship. Pathfinder Report Spring and coil 2010. Northamptonshire, April 2010
Megicks, P. , Donnelly, R. , Harrison, G. , (2009) The Marketing Planning Process, Elsevier
Pearson Education Limited
