ASSESSMENT TASK 2: MARKETING REPORT

Introduction
Marketing plans are a set of actions undertaken by a company that will aid in creating and
improving sales of the product. This paper is a comThis analysis will further help the company
Darwin doormats to understand the market and aid them in designing effective and creative
marketing strategies that will help the company to develop and then grow.
Executive Summary
Every successful company has its own structured marketing framework. The right
marketing plan can be achieved through a thorough understanding of the trading environment
where the products, in our case doormats can be sold. To analyse the framework elements such
as right demography, right place, right pricing have to be considered. Study of the targeted
audience will aid in designing products that will hold value for the potential buyers. Darwin
doormats can analyse in depth these elements to identify its position in the market, the
competition within the market environment, and the advantages and disadvantages of the product
that is to be launched. Through a thorough study of the prevalent trade environment, the business
firm will be able to identify its niche and work on quickly filling the gap that exists within the
market.The business firm will be able to identify and elaborately work on its unique selling price
instead of just following the market trends.The company will then be able to formulate practical
and applicable marketing strategy frameworks mixing traditional methods and modern marketing
strategies. A marketing strategy framework contains factors such as - value creation or
proposition, the company’s main desired brand image, market requirements, thorough
understanding of the targeted consumer among other things. These understandings will further
help Darwin doormats to reach their potential buyers and convert them into steady consumers of
their product. Once the company has achieved this objective the firm will then have to nurture
those customers. Darwin doormats through applying these strategies will be able to first develop
and then flourish in the market. 
Value Proposition 
The value proposition is a theory used by Darwin doormat Company to understand
clients’ needs and make arrangements to satisfy them. It is a part of the marketing approach. It is
an affirmation to clients by telling them what the company stands for and why it merits their
business. A value proposition can be projected as a statement that a company utilizes to outline
why a shopper ought to purchase a doormat from Darwin doormat. In other words, the value
proposition persuades a potential client that a doormat from Darwin doormat will include more
benefits and esteem as compared to any other company (Fotiadis, Mombeuil & Valek, 2018). 
Value proposition helps maintain the economic moat. The term economic moat was coined by
Warren Buffet. It is a competitive advantage. More the moat more will be competitions between
the companies.
The doormat industry is expanding due to customer’s slant to alter their houses and provide a
comfortable atmosphere. Darwin doormat’s value proposition conveys the reason why these
doormats are the best fit for customers. Darwin doormats will use the BxP exercise to identify
customers' needs. It contains three factors:
Brand: Since it is a new brand, Darwin doormats are at a disadvantage because individuals tend
to select brands that they have already used. So, Darwin doormats have to work harder to
convince customers to buy their doormats.
Experience: Client experience is the catalyst for making a ‘brand’. Eventually, It's not sufficient
to know why somebody would use darwin’s doormat in order to get its genuine esteem to them 
Product: Darwin doormats’ offers custom-made doormats which are unique, fancy and
comfortable (Au, 2021).   

 
Figure 1: Value Proposition
(Source: Au, 2021)

Analysis of the Macro-Environment

Macro-Environment focuses on economy, socio-cultural environment, laws and regulations to be
followed, technology and politics on a larger scale. Pestle Analysis is a  tool used to analyze the
external environment (Matovic, 2020). 
  Political Factors: Amid the covid-19 conditions, the trading system in the US has not been so
stable because of the lockdown phase which happened. Gradually, the unlocking phase is taking
place in most of the countries across the world due to which the trading system can come back to
pace. The US has a modern political system where there are two-party systems dominated by the
Democratic Party and the Republican Party. Despite this, Darwin company claims the product
used is a premium doormat with premium quality will be able to meet up the expectations of the
Government and the customers as well. Tax will be charged as per the taxation policy agreed by
the Government. 
  Economic Factors: Under the economic factors, let’s have a look at the population, economic
conditions and consumer behaviour in the US. The US has a population of approximately
331,449,281. In a country where the population is huge this product has use on a daily basis be it
for household purposes or for the workplace. In the US where there are maximum cafe shops,
despite the eye-catching ambiance, customers also see the doormat and the manner of
presentation. Thus, each and every place requires a doormat. Not only do we target the US but it
can be imported to other countries too which can help the economy have an increase during this
pandemic (Paurova & Gregova, 2020).
  Socio-cultural Factors:  By the term socio-cultural aspect we mean all factors such as the age
distribution, life expectancy, family size, distribution of income, health conditions, religion,
trends followed. Doormats have a positive aspect in this sense because they can be easily used by
all customers because they can be customized as per them. The doormats produced have
variations in price and quality for easy acceptance in the market.
Technological Factors: Customers usually search and get attracted by unique technological
advancement which has been used in a particular product because of their busy and hectic
schedule. The doormat can be customized by any letter or picture which the customer wants and
most importantly the product will be advertised on every social media because of the high
purchase rate from social media like Instagram, Facebook marketplace, and so on. Similarly, this
product will also be available on every social media for purchase with details.
Environmental Factors: The doormat is eco-friendly which will have no adverse effect on the
environment and to the customer’s health too. For the production purpose also no harm is done
to the environment. 
  Legal Factors:  Before launching the product in the market, the production has kept and has
qualified all legal laws required such as competition laws, antitrust laws, environmental
regulations, consumer protection laws, occupational health, and safety requirements.

                             Figure 2: Forces in the Micro-Environment Analysis

(Source: Paurova & Gregova, 2020)

Identifying the Target Market 

The term Target Market represents a group of individuals who share common beliefs,
likes or similarities of interests towards a product that is both economically beneficial for them
and eco-friendly for the betterment. Not only based on their preferences, the target market is
formed but also based on individual’s expectations these days. The target audience is formed
which is an important element of the target market during this digital media era. 
Strategies using the theory of segmenting - segmentation of consumers, targeting - determining
and focussing on consumer group and positioning can be used to develop a structured framework
for marketing. 
Segmentation: Market Segmentation has various categories like geographic, demographic,
psychographic, behaviour, media and benefit segmentation. The Darwin doormat Company uses
Benefit Segmentation because the company provides various benefits to the customer which
differentiates it from other doormats. As suggested and pointed out previously the usage of a
doormat is common for both workplace and household. The high range of the product can hinder
the demand and supply but to maintain the perfect equilibrium the usage for premium and classy
look.
Target Audience: The target audience for Darwin company is both residential and commercial.
Since the demand for doormats has increased with the technological advancement of purchasing
and choice the supply also gradually increases. For premium doormats manufactured by Darwin
Company, the target audience is fixed because of the high usage of doormats in daily life
(Sukma, Lubis & Utami, 2019). The Darwin company aims for a positive upwards slope for both
demand and pricing. Plus the company aims at manufacturing eco-friendly doormats so that it
does not hinder the environment around. The Darwin company also aims to fulfil all the demands
of its consumer and customize according to their preference. 
Positioning: It is important to understand what practically works in the market. Each product has
various brands which attract the consumers, each product has various competitors in the market
so consumers prefer to have a view of benefits and how the product is differentiated.

     Figure 3: Target Market 

(Source: Sukma, Lubis & Utami, 2019)

Identifying the Positioning Strategy 

Each product has various brands which attract the consumers, besides those each product
has various competitors in the market so consumers prefer to have a view of benefits and how
the product is differentiated.
The Darwin doormats Company is a new company in this competitive market where there are
various doormat sellers offering variation in price and explaining their high demand and supply
chain. Being a new start-up company, the Darwin company has various strategies like being
available digitally for easy access and customization (Fayvishenko, 2018). In the era of
technological advancement and social media era where everything is portrayed in media with
various choices and personalisation, the company decides to sell personalization products too.
The Darwin company has variations in the price and a price skimming tool is used for the benefit
of the company. The company aims for high demand and promises to fulfil all the necessary
demands with a huge supply chain.

       Figure 4: Demand and Cost Scale

(Source: Fayvishenko, 2018)
                    
                                                
                                                   
Understanding and right application of Marketing Mix 
The strategies or plan of actions undertaken by business firms to promote their products
or further their brand’s cause and the message is defined as a marketing mix. The correct
understanding of the application mix will aid the company to work effectively on its strengths
and circumvent its disadvantages. The concept of Marketing Mix is a widely accepted and
effectively implemented economic model. A thorough and correct understanding of the
competitors existing in the market environment will enable the company to implement the right
marketing strategies. (Wahyuntari, Sutarma & Antara, 2020). The business will then be able to
create a niche for its product or services or fill any existing gap prevalent in the market
environment. The application of the right marketing mix will also ensure that the workings of the
departments within the organisation are process-oriented and structured. In the case of Darwin
doormats, the company while creating its market framework will have to keep in mind elements
such as - the product, its design or innovation, the quality, the pricing strategies, its market
placement, transportation, creative brand promotion, after-sales service, innovative technologies
among other things to generate market foothold and flourish within the trade environment. The
strategies within the marketing mix have been discussed below. 
 Figure 5: 4Ps of the marketing mix
(Source:Wahyuntari, Sutarma & Antara, 2020)
Product strategy 
The product produced by Darwin doormats must effectively satisfy probable buyers. The
product’s features and quality assurance play a significant role in converting potential customers
to steady consumers (Thabit & Raewf, 2018). For instance, if the doormat produced by Darwin
Company can be easily washed using a washing machine without thinking of consequences like
the material tearing or its colour fading will help in creating a level of trust in the customer. A
company can also have different or parallel business lines depending on the quality and features
of the products offered. The branding of the product is also a major component that can affect the
company’s business. The company instead of just selling the product to its customer can turn it
into an overall experience beginning from the product purchase and adding after-sales service to
get the necessary feedback to further develop the brand. Introducing a guarantee or return back
policy in the case of these products may also help in creating trust which can further contribute
to creating brand loyalty. The type of product or the technology utilised to make the product can
give the company an advantage to become the market leader. This would only last till the
competitor catches up to the same level of advancement or comes up with a better product than
the already existing market leader (Kareh, 2018). Manufacturing products that have a recyclable
feature will help in attracting environment-conscious buyers as well as help in managing the
merchandise’s life cycle and contribute to the environment. For instance, doormats made out of
collecting recycled materials which in itself is a very cost effective production method
(Syapsan,2019).
Pricing strategy
The pricing strategy implemented by a company plays a significant role in aiding positioning a
brand within a market environment. Darwin company can use the strategies elaborated below to
achieve the right pricing strategies (Duan, 2021).
Cost-dependent pricing: The selling price of a product generally is arrived at after covering the
relevant costs of producing the product. This cost can be further divided into fixed or variable
types of cost. It is one of the basic types of pricing strategy adopted by the companies wherein
the fixed and variable costs are calculated and then a margin of profit as decided by the company
is added.
Marginal pricing: This is another pricing method that can be applied by companies is the
marginal pricing method. For instance - if a company has excess volume capacity for a short
period of time, it calculates fixed costs like rent and takes into consideration basic variable costs
like - labour dynamics, cost of raw materials, etc This leads to less product cost price and more
margin can be kept for profit. However, this will not work continuously as a long term strategy
Target-based pricing: This type of pricing helps in achieving target return on capital investment.
This model of pricing strategy can be implemented to understand and attain long-term rates of
return. Although this strategy has some difficulties like that of cost-based strategy, if Darwin
Doormats decide to employ this model of pricing strategy it may get a comprehensive
understanding of the correct feasible price structure to flourish in trade.
Experience curve strategy: In this case as the units of production and experience in production
increase, the levels of efficiency also rises. As the task is repeated continuously, the labour
aiding the production becomes more proficient in producing the merchandise. This strategy is
one single facet of directed behaviour and may be implemented in areas where there is a
production of a single type of product.
Demand-based pricing: This is another method of pricing strategy that is applied by companies.
This strategy helps in analysing the demands within the market of the product. For instance, if
after thoroughly analysing the market structure and its factors, Darwin Doormat can foresee a
rise in demand for the product, they can apply this strategy to derive a feasible price structure
and apply the pricing strategy to create a market foothold (Kienzler & Kowalkowski2017).
The above components will aid the company to arrive at the correct price. In the context of
Darwin doormats it is recommended that the company initially use the marginal pricing method
as the cost incurred in this model will be less and the company will be able to keep larger
margins of profit. This will enable the company to launch its product and create a foothold into
the market.To achieve its targets it can implement the marketing methods elaborated below
Discounts: The company to convert its potential buyers to stable consumers of the product can
offer discounts on its price. The company may also bring in a combo offer ‘buy one get one free’
or offer a complimentary doormat once the buyer writes or gives a feedback to the company. 
Rebate to retailers/distributors: The company Darwin doormats can give introductory offers or
discounts to targeted market retailers and distributors. It could also tie-up with another major
brand to create market awareness of its products
Psychological pricing: This strategy is applicable in the industry where the consumer is price-
conscious. The right price can aid in changing the perception of the price of a customer. For
instance: Darwin doormats can apply the widely used method of writing the final selling price of
the product besides the actual price of the product.
 Figure 6: Pricing strategies
(Source: Kienzler & Kowalkowski,2017)
Promotional strategy 
Promotional strategy alludes to every activity embraced to create an item known to the
customers. The objective of the promotional strategy is to uncover to customers why they require
it and why they ought to pay a certain cost for it. It is used to create demand for the product, to
increase product approval, and to create a corporate image (Garabinovic & Papic,2018). There
are distinctive ways to market a product which include digital marketing, advertisement,
sampling, personal selling, sales promotion, public relation, and direct marketing.
Darwin doormats will use the following ways to promote their products:
Sales Promotion: Sales promotion is a promotional marketing technique where the item is
promoted utilizing short-term appealing activities. It includes coupons, discounts, trade shows, or
exhibitions. (Yasa, Giantari, Setini & Rahmayanti, 2020).  While using this strategy Darwin
doormats will create demand for their product and will increase sales. It will be harder for the
Darwin doormats to enter the market and create demand for their doormats. In such a case,
Darwin doormats will offer strategies like coupons, discounts or price penetrating to enter the
same market. For instance, darwin doormats can do an opening week sale which will occur only
once. It will include special offers and huge discounts which will be limited to just for the first
week which will lead to an increase in sales. Darwin Doormats can also do flash sales or happy
hours like ten per cent off on all products. They can also do exhibitions in their outlets with flash
sales.
Advertisement: Advertisement compliments sales promotion and can build brand recognition in
the long term.  Darwin doormats can present and promote their doormats by printing ads,
distributing fliers, televisions, or radio advertisements. 
Public relation: Public relation is one of the most important factors in promoting products.
These are not completely controlled by the company. In the event that a company tackles
customer issues or provides them with their needs, individuals will compensate with a positive
word of mouth thought.
Digital Marketing: In today’s era, digital marketing is very efficient and is one of the best
strategies to market a product. It increases engagement which may result in increase in sales.
Darwin doormats can promote their products through  social media marketing. 
As this is a new company, the above-mentioned strategies will work in favour of the darwin
doormats. By offering sales promotion they can introduce new products to the market and can
create demand for their unique and custom-made doormats. 

Figure 7: Promotional strategies

(Source: Garabinovic & Papic,2018)
Place/Distribution strategy 
The place is one of the important factors in the marketing mix. It alludes to a location where
Darwin doormats will sell their doormats. It is vital because the area where darwin doormats will
sell their product must have target clients. There is no sense in selling doormats where there is
already an outlet of an existing company. The company can sell its doormats in a location where
they would be easily available to its clients/purchasers. These days everything is moving towards
digital platforms, it is essential for darwin doormats to put their doormats on those platforms. So
the place should not be just limited to the location of the outlet, it also refers to the location
where it is delivering its doormats. 
The following strategies are potentially best fit for Darwin format: 
Place marketing strategy makes a difference for the Darwin doormats to form choices with
respect to the adequacy of a distribution channel to the company. The distribution channel will
be used by the Darwin doormats to deliver its doormats to the end customers. There are two
types of distribution channels: Direct and Indirect channels. Direct distribution channels allow
customers to buy directly from the producer i.e, Darwin doormats. Indirect distribution channels
are when a producer uses a wholesaler or retailer to deliver its product to the client/ customers.
Indirect distribution channels can be further classified into one level and two-level distribution
channels. One level indirect distribution channel includes Producers, retailers and customers
While two-level indirect distribution channels include Producers, wholesalers, retailers, and
customers. 
With the modern-day distribution channel, when every other company including Darwin doormat
is shifting towards an online marketplace to sell their product, it is advised to use a direct
distribution channel for darwin doormat.
From the above analysis, these strategies have been identified to be the best fit for the Darwin
doormats, this will help darwin doormats to create demand for their product and increase sales. It
will determine the price of the doormats and will link the customers to the company by fulfilling
customer’s needs and desires. This will also gain the dependability and belief of the customers
toward the darwin doormats. 
Conclusion
To conclude, marketing mix is very important to promote or introduce a new product in the
market. Other factors like promoting strategy and target strategy, which will help darwin
doormats company to grow and develop. All the strategies discussed above will help darwin
doormat to get hold of the market.
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