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Become the designer of your own shoes
| By: Aishath Fazleena
Fathimath Suha 12108
Nasiha Khalid 8195
Zihuna Faiz 13185
Soul Shoe is an international company which focuses on to provide the customers with customizes shoes. Over the years Soul Shoe has expanded its business by opening various branches of Soul Shoes I different countries. The company has developed marketing objectives to achieve long term and short term goals. In order to identify the market needs and trends a sample survey was done and furthermore the 2006 census report of Maldives was referred. Moreover through the research the competitor analysis was done. Major internal and external factors affecting Soul Shoe‟s is identified through strengths, weaknesses, opportunities and threats. After the consideration of these aspects in the segment the company has identified its target market as professional women in Male` by using niche marketing. Soul Shoe positioned its new product on the basis of uniqueness and its competitive advantage which is offering customer with customizes shoes. Soul Shoes had developed the product by designing the marketing mix—product, price, place, and promotion. Plan also includes of a estimated budget of the sales promotion.
Customers can choose from flats. Dubai. it became a competitive advantage for the company. which is the capital city of Maldives (the central point of shopping in the country).Chapter 1:Company Background Soul Shoe is an international company established in Singapore during the year 2000. Each shoe has customization options and most of the styles will allow customers to control many of the options that will be mentioned in Chapter 4 of this marketing plan. the business will thereforeface the challenge of introducing a whole new concept in the shoe market of Maldives. focusing to provide customers with tailor made shoes. When customers visit Soul Shoe‟s outlet. . the company decided to expand its branches in SriLanka and India. But with so many customization options. The shoes have already been designed. and can be ordered as shown in the product catalogue. heels. After analyzing the Maldivian market Soul Shoe has decided to establish its branch in Male‟ Maldives. Today the company has annual sales of about $170 million and has grown to 10 branches located in different countries like Sri Lanka. India. etc. they will be able to select the type of shoe which they are looking for. The styles and colors available will be always updated to provide customers with the biggest variety and make sure that they are beautiful and modern in style. Malaysia. several different styles will be shown (there will be a lot of styles in each category). After nearly five years of successful business in Singapore. wedges. There will be loads of models and colors to choose from in our product catalogue and technically. Whatever type the individual choose. Products offered by the company will include wide range of good quality modern style shoes for customers to choose from. the shoes the individual customer personalizes can be nearly as unique as if it had been designed by the customer herself.Soul Shoe is a totally unique shoe business in the Maldivian market. customers are not really designing the shoes. Since the product we offer is greatly accepted by the customers and there are still comparatively few companies who engaged in this business. etc.
With our unique selling point the company will be able to become the leading company in the footwear industry of Maldives. .Mission “Our mission is to provide good quality custom made ladies shoes. fabric color. Customers can choose their desired heel. from our wide range catalogue.” All our shoes are handmade and carefully crafted that requires expert skills of experienced shoemaker. embellishment and then our craftsmen hand make shoes for the desired design. All our craftsmen are from abroad with more than 8 years experience in the shoe making industry. Vision “To become the leading company in the footwear industry of Maldives” Soul Shoe aims to gradually capture the market share of Male` and then expand the business in the atolls of Maldives. designed by the customers themselves. toe.
Marketing Objective •Our first objective is to spend 12 percent of sales revenue between 2011 and 2012 on promotion of the new product. 1 2 3 4 •The second objective is to achieve a 10 percent return during 2011 with the payback on new investments of longer than four years. • The last objective is to gain 15 percent of market share between 2011 and 2012 by increasing promotional expenditures by 14 percent. They always seek for new fashions and most of the shops try to provide new brands of shoes to their customers. there is a high level of competition on the shoe market. •Next objective is to obtain customer satisfaction ratings of at least 25 percent by the end of 2011 and to retain at least 20 percent of our 2011 customers as repeat purchases in 2012. Chapter 2:Situational analysis Market summary Market needs was identified through quantitative research done through a sample size of 200 potential customers in Male. . Therefore. The research done by the company indicates that the majority of the professional women‟s in male‟ are fashion oriented and their expectations are very high. The population of this sample was taken through the Census report which shows that there are about 5000 professional.
design and style that meets with their expectations. In addition to this the increase in the number of females entering the job market has played an important role in the competitiveness of the shoe market.Our research shows that in special occasions there is a high C1 Obtaining shoes which fits Finding comfortable shoes Finding the color combination. . The Figure 2 represents the problems that the customers face in buying shoes. This has been presented in the Figure 1below. Adaptations of western styles. It indicates that among the 200 customers who participated in the survey 75% of them agrees that they C2 C3 C4 do have a preference of wearing high heel for special Figure 1 Figure 2 The main problem that customers face in buying shoes for them as per the research is finding the color combination. fashions and growing concern by females to look more presentable in the society are greater than before. design and style that the customer wants. design & style Finding fashionable shoes demand for high heel shoes. It shows that 80 customers agree that they face difficulty in finding the color combination. There has been increase in celebrations of events such as award functions. The current market trends include the increasing awareness & information through media. talent shows and special occasion. trendy looks. And 56 of the customers agree that they have problem in obtaining shoes which fit.
. (discount range 10%-15%. they are quite known by the customers. office shoes. While some of the shops aimto provide customers with the styles of shoes that are preferred by the customers others ask for suggestions from customers and get their ideas by showing pictures of shoes that are in the market. Further. Double Six Zero Zero. Stock is renewed on average within one to two months by these shops. Most of the shops are very much focused on meeting customer needs by meeting with their requests and asks for suggestions.) targeted to both male and females. These includes shoe shops like Free Guys. Focus. casual wears. These retail shops provide shoes in a range of shoes (high heels. and 15%-20%). no promotion is given. Shoe makers.Competitor Analysis The main competitors in the market were also examined through a survey by the company. Sport One. To retain the customers they give discount. Anew. etc.The have been in the market for quite a time. i-7.
80% tend to revisit. the weakness and strengths of the company compared to competitors and it will also help the company in adopting a good strategy in order to maintain its customers and build a better relationship with them. 30% tend to revisit. out of which 80% are women Focus 145-190 Customer visiting rate is high No promotional activity 50-100 customers visiting daily.The table 1 below lists the information gathered by surveying the competitors with the use of questionnaire.seven Have a good customer base comparative to competitors Have been in business for a long time Delay of shipment Yearly promotion with 50% discount & regular customers are given 15% discount on daily basis No promotional activity 100-200 customers visiting daily. out of which 75% are women Merry Queen 125-175 Low price Unavailability of enough stock during peak time No promotional activity. out of which70% are women Sport One 185-195 Inadequate space & arrangement of items 50-95 customers visiting daily. 75% tend to revisit. From this analysis Soul Shoe will be able to compare its promotional strategies. out of which70% are women . Major competitors Price range (MRF) 145-250 Strengths Weaknesses Promotion Methods Customer visit & revisit Free Guys Good image of the shop & good customer service Delay of shipment No advertising is done Giving discounts (1015% discounts) Newspaper ads 150-300 customers visiting daily. 30% tend to revisit. 20% tend to revisit. 45% tend to revisit. out of which 60% are women 165-195 I. out of which 54% are women Shoemaker 125-195 Quality products Lack of Advertisement & promotion due to high cost Lack of Advertisement & promotion due to high cost Giving discounts (1015% discounts) 100-300 customers visiting daily. discount is given if asked or to the regular customers 50-150 customers visiting daily. out of which 70% are women Anew 100-185 Good customer service Not adequate space Giving discounts (5-10% discounts) Newspaper ads 60-100 customers visiting daily. 40% tend to revisit.
opportunities and threats.SWOT Analysis The following SWOT analysis identifies the major internal and external factors affecting Soul Shoe‟s in the form of strengths. weaknesses. Diagram1 . Each aspect has been separately highlighted in the Diagram1 and it indicates that the company‟s strengths and potential opportunities will enable to outweigh the weaknesses and threats that might be faced.
how much convenient the product is. or use the purchased item. among the professional women. therefore Soul Shoe‟s aim will be to gain . readiness stage and attitude towards product.Chapter 3 Marketing Strategy The marketing strategy will identify the way that the company hopes to achieve a strong and profitable customer relationship. We are assuming that less than 25% percent of the market would be heavy users who would tend to buy shoes such as Gladiator. the differentiation point of the product. whether it is trustworthy to purchase. It shows that customers want shoes Diagram 2 that are good in quality. loyalty status. Some of the major benefits that the customers seek from the purchase of shoes are also listed in diagram 2 presented below. benefits. This has been done through evaluation of the different behavioral aspects of professional women which has been represented in the diagram below. Indicates that buyers can be grouped according to occasions on which they get the idea to buy. We have identified occasions. Segmentation When selecting the right segmentation individual‟s relationship with the product needs to be addressed. Ballet flats. and whether it is fashionable. etc. as it is quite possible that people with similar demographic and/or psychographic profiles may yet interact differently with the same product. user status. Peep toe. Pointed toe. While segmenting the target market the user rate was identified which shows that there will be fewer heavy users who will tend to purchase 2-3 shoes‟ at a time. This will involve deciding which customers to serve (segmentation and targeting) and with what value proposition (differentiation and positioning). The majority of the market will comprise of medium and light users. actually make the purchase. user rates.
we have chosen the target market as the professional females. Relying on one segment for all of the businesses of the company may lead the company to suffer/a loss if the segment turns sour. Target market Once the market has been segmented the Soul Shoe has decided to target the professional women in Male‟.This strategy is appealing since the company‟s resources are limited-company will be gaining after a large share of once niche. Diagram 3 Starting as a niche will also get the company as foothold against the competitors in the market. of consumer needs in the niche. At the same time it involves higher than normal risks. targeting its products. Soul Shoe has decided to undertake niche marketing. Since the product is a very premium product. After the consideration of these aspects in the segment the company have identified its target market using niche marketing which will allow the research and development expenditure to be more concentrated on meeting the needs of one set of customers and also managerial activities can be devoted to understand and catering for their needs.attention of the heavy users at same time attract as many light users and medium users since we might be able to make these users into heavy users in the future. In addition to this. or a larger company decides to enter the market targeting the same segment. channels and communication programs towards only the consumers we can serve best and most profitably. Soul Shoe will achieve a strong market position because of its great knowledge.the attitude or are a set of customers that are enthusiastic to use the products that are offered by Soul Shoe of the customers will also be one of the basis on which the customers are segmented. Further. Niche Marketing Soul Shoe can also market more efficiently. Niche marketing can be highly profitable. Professionals include full time working professional women‟s and they earn more than Mrf 10. 000 since they are well educated females who have a qualification . Keeping these negative outcomes in mind. customers‟ loyalty is very important for Soul Shoe‟s success since there is high competition among the retail shoe shops.
occupations and behaviors of the average group. average education level. salary. Below is a brief description of the market profile of the target market of Soul Shoes outlining the age. The census report stated that the reason for high proportion of women as professionals is as there is an overwhelming majority among teachers and health professionals (refer Appendix 1). the district. And from the total male population of 151. 459 only 5.3 percent from the total population of 147.of degree or above. Diagram 4 According to the census report of 2006 (refer Appendix 1) its shows that the total professionals working in Maldives is 14.6 percent of the men were employed as professionals during this year. 509 females living in Maldives. .
. The differentiation point in this positioning is the mention of customization of the shoes “get custom made shoes” which communicates to the target audience what the product is offering and its uniqueness. It shows that over 160. Soul Shoe is the place to get custom made shoes that let you indulge your long-deferred longing with comfort and style”.let you indulge your long-deferred longing…” in the positioning statement also will help to communicate the target audience that Soul Shoe understand how they feel and what they are looking forThis USP statement will be on our stationary and business cards and the positioning will remain constant across the target segment.150 women also visit shops to purchase shoes. they need different pairs of shoes for their entire different outfit. We targeted this group because we believe that since they work as full time.. Nearly every professional will buy shoes for the workplace and the majority of them also buy shoes for leisure. Soul Shoe is positioning its products on the key benefits that it offers relative to Benefits More The same Less Diagram5 More More for more The Same More for the same Less More for less The same for less Less for much less competing shops. Competitive advantage Soul Shoe positions its product on the customization of the shoes which is the most competitive advantage that the product has compared to the shoe products that are already in the market. Positioning The positioning statement of Soul Shoe is “To professionals whose desire is to have shoes that look good as they are.Figure 3 here represents the number of daily female customers that visits shoe shops in male‟ which were selected for our research. Our ultimate goal is to become known to the market as what the USP promotes. “. The recognition of customers insight. Diagram 5 shows the .
Diagram 6: illustrates the three different level of product that Soul Shoe is going to offer to the customers which are discussed in the coming following table. price. and advertise in high-quality media. It could involve providing customized products (upscale product) and charging a higher price to cover the cost. Since Soul Shoe seizes on a "for more" position we knows we have to charge a high price. Soul Shoe provides its customer‟s stylish shoes with a unique way of selling through providing them with customize services whereby. Diagram6 The target market which is female professionals highly pursues to follow the Core benefit latest trends and be unique among their friends. This is the only way to build a consistent and believable "more for more" position. core benefit. they are able to design their own shoe. Hence the main core benefit provided by Soul Shoe to its customers is the availability of designing and customizing their own shoe with regards to their desired style. The company will therefore hire and train more service people. Chapter 3:MarketingMix Designing the marketing mix—product. Product While developing our products we are considering mainly three levels of product development. and promotion—essentially involves working out the tactical details of the positioning strategy. . 1.possible value propositions on which the company might position its products and diagram 6 is revealing the criteria on which the company have selected the proposition“more for more” to position its products. high quality distribution. actual product and augmented products. place. develop sales and advertising messages that broadcast its uniqueness. While developing the product we have considered five main product attributes.
Since our shoes are developed based on the researches conducted and further. Hence we have targeted to provide them the delivery of the order which they make. Our delivery is done within 30 days from the day the customer placed the order. we also gave a high priority to make our shoes more comfortable and soft to wear for the customers.Soul Shoe will be designed and crafted by expertise craftsmen. as a customize shoe business which provides quality shoes at an adequate value. Shoes are designed in such a condition that they are durable for a long period of time. Soul Shoe intends to provide its customers a easy and a fast way of shopping. excluding Fridays. in such a way that Product Features the shoes are durable for a long period of time. Moreover. through various researches we have identified a shoe design which is not only soft and comfortable but also health conscious. Our shoes would be having arc supports which would be reducing health hazards. the product would be a unique product which also fits to the customer‟s feet accordingly. All of the shoes offered b Soul Shoe would be having its distinctive labeling as Brand name „Soul Shoe‟. the quality of the products would be outstanding. Since Soul Shoe offers the customers to customize their own shoe design. One of our main target is to create a brand image among the customers. Soul Shoe is designed after conducting a research to find out the health hazards Design which consumers face while wearing shoes. Moreover. and moreover the leather that we offer are of high quality Packaging Once the customer places her order. as the product is crafted by experienced craftsmen whom we have hired form Quality level aboard. we design the shoes accordingly and deliver the shoes to the customer in a special bag which is environment friendly. .
Place Figure 4 represents the most preferred locations by customers .2.
Soul Shoe will be charging a price that Costs covers all the costs for producing and selling the product and we assume that it will deliver a fair rate of return for its effort and risk. Factors considered when setting the price Since the target market of Soul Shoe is selected as professional females. This requires charging a higher price. As the company is marketed as a shoe business which provides unique and customizes products. we have considered the marketing mix strategy. price plays an important role achieving the company‟s objectives at many levels. and as it requires lots of a higher cost while setting price we have considered three main factors. As price is only one of the marketing mixes tools which are essential to Marketing Mix Strategy achieve objectives. Price Since Soul Shoe is company is unique shoe business in Maldives. As. Marketing objectives which is mainly considered as higher income segment we have selected more for more value positioning. the decision regarding the quality. Description . cost sets the base of the price. marketing objectives.3. marketing mix and costs. promotion and distribution will strongly affect the price. This has been in detail defined in the table below. Since the product is positioned on non-price factor.
Soul Shoe is currently a pure monopolist it the market. and skim maximum revenues layer by layer from the targeted segment. Since the product is a customized product. the company has decided to set the prices in dollars although Maldivian rufiyaa also is acceptable. since Soul Shoe is an international company starting its operation of an outlet in Maldives. hence by setting a higher price competitors would be able to easily enter the market as this shoe business involves high costs. lathers. In the next page. The price list of the shoes that the company is going to introduce was set by considering the various factors that has been mentioned above. From the research conducted we found that these females are willing to purchase the product at a higher price. Thus the pricing strategy which we will be using is Market skimming pricing. Through this strategy we aim to set a high price. professional females. However. the price catalogues of different design of shoes are attached. the price will vary with the different designs. As shown in the web sites the consumers will be given the option of selecting the type of currency they want to pay from. This might be because as they are highly fashion oriented. pattern and other aspects that are added to the shoes.Pricing strategy Soul Shoe is using „more for more‟ positioning strategy that focuses on providing the most upscale product by charging a higher price. . by referring to the price catalogue customers will have some idea of the price range of the product. Apart from that.
each making relatively low value. Buyer adoption process: Before developing the communication mix we have also considered the mental process through which an individual customer passes from first hearing about an innovation to final adoption which is known as the adoption process. Promotional Mix strategy: Soul Shoe will be using pull strategy since the company intends to convey the marketing messages directly to the targeted end-user customers.The main elements that we have considered in making the communication decision are presented in the diagram 6 below. The main marketing communication objective of the product has been looked into in chapter 1 of this marketing plan. Diagram 6 Target Market: Since the target market of the Soul Shoe is the consumer market and the company does not redistribute its product to resellers. which emphases the importance of building a strong communication mix in order to achieve its communication objectives. With the aim of achieving those broad marketing objective we need to establish which promotional tools to use. The aim is to generate increased levels of awareness. . The company will be able to stimulate action by the consumers through such motivation. encourage involvement and provoke motivation within the targeted group of professional women.4. the company will be having relatively large number of buyers. Communication objectives There are a number of retail shops that offers shoes. design & develop the communication strategy. Mass media such as advertising and promotion will be used to encourage frequent purchases from this market. Promotion The promotional mix of Soul Shoe‟s product which is „customized Shoes‟ will be developed using the integrated marketing communication.
Soul Shoe will be focusing on gaining the target markets attention and generating straight forward awareness of the product. emarketing and personal selling. Advertising During the introduction stage of the life-cycle of the product. direct marketing. 1. sales promotion. Apart from advertising through television we will also be advertising using brochures and booklets that are distributed to customers of the company. pioneer advertising will be used to explain the product and the benefit associated by the product. since at the initial stage we require to generate awareness and television will provide a tremendous communication opportunity to reach a broad range of potentially large audience as a result it will have a relatively low cost per customers. motion and entertainment that has a strong chance of grabbing attention and getting the message across the customers. With the use of advertising Soul Shoe will ensure that the brand name of the product offered and benefits offered are known to the prospective customers. that is advertising. It will encourage customers to stimulate enough interest to encourage them for carrying out further investigation and possibly try the product.The use of television as a media to advertise can have a high impact since it offers a combination of sound. At the initial stage of the product there will be high expenditure on the promotional mix. The advertisement will be transmitted during late night shows which are viewed by most of the people in Male and across Maldives. This will help the company to provide the product knowledge and create a brand image among the target group of professional women. Soul shoe will be advertise through television. . color.Marketing Communication Mix The communication mix of Soul Shoe comprises of four tools. The emphasis will be to provide enough information to allow potential buyers to see how Soul Shoe‟s product might relate to them.
This is because our sales persons providing the samples will be tellingthe customers about the product. and if they have any questions. Soul Shoe is aiming to achieve this through a successful launching ceremony.Banner ads & ticker ads will be also used to place advertisements on social networks such as twitter. so the strategy encourages trial and builds awareness among the potential customers of the company. Then. We decided to use thissince this way we will be able to reach a high market as a lot of people engaged in various activities of the social networks. Although sampling is an expensive strategy.During the initial stage mostly innovators will attracted to such an offer since they are risk taker who try to adopt new innovations at an early stage. and with this they will also mention any special prices for the customized shoe product.Samples increase awareness. the samplers will be directed . Their satisfaction regarding the product will encourage others to buy the product and comments that the celebrities make regarding the product will be a huge influence on the targeted customers to purchasing the product. facebook. it will be very effective. The objective of using sales promotion is to communicate with the target market and encourage initial and repeat purchasing of Soul Shoes product. The idea for giving away samples is to get people to buy the product we offer. Through this the company will be able follow up with an email after the trail period ends. Sales promotion The use of sales promotion will bring the company‟s product and brand name to the fore. A selected number of celebrities from the film industry& professional women will be invited to the launching ceremony of the product. 2. If these customers like the product that we are offering than the long-term effect of the promotion will be positive. We then will be asking the people who received a sample what they thought of it. YouTube. whereby the selected number of potential customers from the target group will be asked to register themselves in the company‟s website. if they had any problem. Such a promotion will generate awareness and aids judgment and recognition of the shoes offered by the company.
product information to customers e-mail addresses. •Using direct mail we can make quick price testing. then building to larger lists. The main objectives & advantages that the company will be gaining with the use of direct marketing are presented in the diagram 7.back to our web site for more information and discounts on purchasing the regular product. we can target mailings more selectively than can with most other media . Direct Marketing Soul Shoewill be sending direct mails to its customers of will be sent information regarding sales announcements. test offers and the customers response to it. special offers. Diagram 7 Quicker response •Response time to direct mail is usually quicker as well •Build an advertising campaign with more confidence by testing small lists. More personal •Letters be personalized via mail-merging techniques. They positive comments and reactions will be used when marketing to the target market and it will be a strong marketing message that will be backed with influencer like celebrities who will have quite a number of followers. Quick to produce •Soul Shoe can prepare and mail a small promotion within days or weeks. Highly targeted •Using carefully developed lists. 3.
Educate customers on the products. Further. processes etc. The website will provide equal access opportunities and it will be quick and easy to refresh and update information. E-mail Since today there is a high demand for online marketing and a lot of people are engaged in online activities this provide a huge opportunity for Soul Shoes. it will be open for all hours with no constant staff support required. Analyze customer feedback and response 3. Provide basic product and location information 6. Online promotion will help the company to promote its product using banner ads. 5. Update product offerings frequently 4. Obtaining market information 2.4. E-marketing Website A web site will be created by Soul Shoes during the introduction stage of the product whereby the company will be able to communicate and interact with its customers. The main marketing uses of the web site are: 1. . search and acquire informationas a result of search engines. During the initial stage to attract the innovators and build awareness among them regarding the new product that launched and stimulate interest among them e-marketing techniques like emailing and company website will be used. Produce and display product catalogues. ticker ads and pop-ups. This is due to the fact that traditional consumers have shifted the way they perceive.
Through personal selling improvement . customer sales force structure will be used by Soul Shoes in which the sales people will be organized along with customers. Sales people will be given in-house training. When hiring the salespeople they will be selected by judging the skills they poses. new customers and loyal customers. While giving the compensation for the sales people. This will be done through efficient sales representatives since this is the best way to reiterate the benefits of the product the company offers. for serving current customers. customer complaints and feedback will be taken into and they will be given instruction on how to communicate and interact with customers. This will help the company to become more customer focused and build closer relationship with important customers.Personal selling Diagram7 The diagram in figure shows the main areas that Soul Shoe will be considering when selecting staffs for its outlet. The sales peoples work performance also will be supervised and evaluated by an in charge this way Soul Shoe will be able to direct and motivate them to do a better job. The sales representatives will be able tailor the communication to suit individual customer‟s needs and doubts in a two-way dialogue. First. apart from their regular salary high performance will be rewarded to encourage them for better effort. The potential and prospective customers may even after such promotion may need additional efforts to persuade them to take an action of purchasing the offerings of Soul Shoe. It is to have good management of internal customers or employees if we target to successfully promote our product to the external customers.
830 .180 Outsource: Artline design Pvt Ltd Outsource: Artline design Pvt Ltd From the company From the company 2 20 500 1500 250 400 1500 3.Chapter 4:Budgeting The following table presents the company‟s forecasted budget for its promotional mix of the new product that is going to be launched. Promotion plans Product Launching Invitation cards Decoration of the shop Free Sample Advertising media Television advertisement Banners Brouchure Conducting e-marketing Prepared by: Quantity Price ($) Total From the company From the company From the company 60 200 80 100 10000 10.650 13.