BSBMKG506 Task I Market Research Proposal

By Eduardo Dominguez

Market Research Proposal for D.A. Garden Supplies

Dear David & Alison:
I would like to thank you beforehand for having approached our company. Our
company can help you understand the root causes of what is impeding your
business to grow as expected. Market research is focus on understanding the
relationship between a target market and the given product to supply that target
market. Hence, we will gather information based on what you have provided to us
and analyze the variables in place. This should help us determine the obstacle(s) to
your business’ development and as a result we will be able to provide you with
sound feedback –that is, with our feedback, you should be able to adjust accordingly
to obtain the desired results for your business.
The research your business requires (based on the information you have provided),
will not require much depth. That is, we will look at your internal data (sales reports,
customers’ feedback, trading hours, etc.) and we will analyze the variables you’ve
mentioned (we seem to be of importance) in the past three years. Hence, we have
opted for a Causal Research Method –given your target markets (which are a
combination of markets) and given the numbers you have provided, we strongly
believe there is a correlation between variables –cause and effect.
We will define what management is lacking; understand the research obstacles; find
the cause of the management’s weaknesses; and provide with a hypothesis.
This is how our work will look like:
Methodology –Causal
Data: Internal and some external resources
Data collection: internal quantitative and external observation
End goal is to determine what caused for your profits to drop by 5% in your biggest
trade
Lastly I would like to mention that all information is secured and will not be
disclosed. Our practices are legally bound (by the Government of New South Wales)
and ethical in nature aiming to benefit our clients within legal and ethical
boundaries.

however.A. That is. Pricing Fortunately. and the Bunning’s.A. we will help you understand how to allocate your hours better in order to improve your market share. having Bunning’s close to you means there will be certain items on which your business will not be able to compete simply because . These are: the coffee shop on the business strip. your customer base does not seem to be driven by price in three of your trades. Your business seems to employ people that may not necessarily be needed at the times currently employed. Consumer trends Given the data provided and from analyzing the consumer patterns from observation and some surveys. The solution is restructure your business management structure so that is focused on your target market and act accordingly. there seem to be two main competitors for two different markets. hours can (and should) be improved. However. there are four different trades that your business is targeting without focusing on one or two in particular. Garden Supplies Market Research Plan At a glance: Management Our review indicates that D. nevertheless. This is a consequence of lacking focus on addressing your business’ competition and lacking understanding on what they are doing. Competition D.A Garden Supplies is lacking organization. Eduardo Dominguez BSBMKG506 Task II Market Research Plan By Eduardo Dominguez D. Garden Supplies is involved in four different businesses. From our point of view.Sincerely yours. we cannot see an actual trend from going from one coffee shop to another. Place Thanks to the history of your business (and your customer service) your customer base does not seem to be afflicted by your location. The solution we offer is to gain a better understanding of what they are doing right and what your business can (feasibly) do in order to increase your market share with the competition.

of size –they can buy more and gain marginally on volume whereas your business would spend too much money on stocking inventory that your business cannot actually afford. IV. Promotion The best promotion you have used over the past years has been building rapport. We can help you make them work better for you. II. Causal Research methodology . The Plan I. we propose that little advertising might be advantageous. that is at your location and your competition’s location observing. may take a few days to a few weeks –depending on how quickly you choose to allocate your resources to your new trading hours given the gained understanding on your competition for the same (or similar) markets. Addressing the main issue Lacking focus on a given trade. applying surveys. however. your case is very clear and as a result we will be brief and effective. We will need six to eight weeks of two market researchers working full time (Monday to Friday) an average of 38 to 40 hours. Our requirements In order to provide the soundest advice we will require time and resources to do a proper research of the market(s) in question. should you follow our advice. the only promotion used so far has been “word to mouth.” However. if downsizing will not suit your business (as we believe you might not want to downsize) the next best option is to understand your competition and trading hours. and testing. This allows us to infer that your products and services are good enough. the implementation. getting to know your customers. This will not require much time on your part. The objective The objective of our market research plan is to provide you with awareness so that you may be able to increase revenue over the coming months. Most of the time though will be spent at our offices once they have gathered enough information that leads them to a conclusion. III. They will be working on-site. Nevertheless. which leads to your customers spreading the word –in other words. Products & services It is our understanding that you have a customer base that remains loyal (and growing).

Implementation To sum up. any data of promotional activity. Week 48* • Having all the data gathered we will then analyse it and draw conclusions as to what points out to be the cause for the drop in your sales. We will. Lastly we will meet with you and present you our findingd and provide our advice . and do online research adhering to ethical and legal standards. apply non-intrusive surveys. That is. VI.Gathering data from internal and some external resources Data analysis from internal quantitative and external observation End goal is to determine what caused for your profits to drop by 5% in your biggest trade and provide you with awareness so that you may be able to increase revenue and regain some of your market share. Week 1 • Our researchers look at all documentation provided from your business and meet with you to find out whatever information that may not be documented. All of this information will be transcribed for our analysis. Documentation To make our research as effective as possible. V. Each is paid a rate of $40 AUD per hour. We will build scenarios for you and present them to you as part of our research . we will need your help and for that we will need for you to provide us the best snapshots of your business. we will need six to eight weeks of two full-time researchers working on your case. or changes made to your trade will be beneficial as well. then. Given that your competitors are not likely to talk to us openly. look up as much infrmation as possible from them. we will be observant. compile all the information provided and analyze it in a timeline. whatever reports you may use in order to track your business ability to create revenue and profit over the past three years (to date) will be beneficial. Week 23 • We will then do research on your competitors. We will compare your date against the data we may be able to draw (ethically and legally) from your competitors and draw a conclusion –which we will provide to you.

6 9am .6 pm 9hrs Breakfast Open earlier Opprotunity Cost Analysis Garden Nursery Supplies Separate from Customer Café service Unknown Train staff Dave & Alison's Current Trading Hours Wednes Thursd Saturda Tuesday day ay Friday y 9am .5pm 5pm 10hrs 10hrs 10hrs Monday 12am 12am 24hrs Landscaping Employ better staff Hiring a new person Sunday 10am 6pm 8hrs Saturd ay Sund ay NA - NA - Saturd ay Sund ay NA - NA - Hours Friday 7am 5pm 10hrs Bunning's Onlne Store Operatin Hours Wednes Thursda Saturda Tuesday day y Friday y 12am 12am 12am 12am 12am 12am 12am 12am 12am 12am 24hrs 24hrs 24hrs 24hrs 24hrs Sunday 12am 12am 24hrs .3pm 3pm 3pm 8hrs 8hrs 8hrs 8hrs Monday 7am 5pm 10hrs Bunning's On-Site Trading Wednesd Thursda Tuesday ay y 7am 7am 5pm 7am .6 9am 9am 8am pm pm 9pm 9pm 6pm 9hrs 9hrs 12hrs 12hrs 10hrs Monday 7am 3pm 8hrs Café Competition Trading Hours Wednesd Thursda Tuesday ay y Friday 7am 7am 7am 3pm 7am .Keep in mind that we already have a fairly good idea on what needs to be done to get your business back on track from the following data we have summarized as follows: Please note look at the differences we have spotted Café Opportun ity Cost Monday 9am .

Dave & Alison's Profitability by trade Nursery Garden Supply Landscaping 15% 10% 41% 34% Café .