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MARKETING MIX: PLACE

Objective (4):

● The objective of this product with respect to its place can be broken down into
three parts.
● Place Goal Number 1: Reach as many customers as possible (high market share).
● Place Goal Number 2: Offer consumers convenience.
● Place Goal Number 3: Control the product's image.

Strategy:

Channel of Distribution (2)

● Selective distribution will be employed for this product.


● This is when the distribution of a product is controlled and/or prevented
from excessive discounts.

Channel (2)

● A combination of direct, indirect, and specialty channels will be employed.


● This means that the product will be distributed straight from the company
warehouse and website (direct), from trusted retailers (indirect), and
through magazines (specialty).

Explanation (4)

● This strategy is the best approach based on the target


market and objectives. Selective distribution allows for a
balance between reaching a wide range of customers and
maintaining control over the product's availability.
● The combination of direct and indirect channels ensures
convenience for customers through online sales and
availability in select retail stores.
● This supports the objectives because it allows for high
market share and control over the product's image.
● This supports the target market because it provides
convenient access to the product both online and in physical
stores.

Tactics:

Location (4)
● Address 1: Walmart, Midland & Sheppard, Scarborough, Ontario.
● Address 2: Bed Bath & Beyond, Yonge Street, Toronto, Ontario.
● Address 3: Amazon.ca (online).
● Address 4: Home Hardware, Main Street, Vancouver, British Columbia.

Rationale (4)

The choice of these locations is based on the following considerations:

1. Target Market: The target market for the over-door-organiser includes


individuals living in urban and suburban areas. Midland & Sheppard and
Yonge Street are busy areas with high foot traffic, making them suitable
for physical store locations. Vancouver is known for its focus on
organisation and home improvement, making it a good fit for the product.
2. Shopping Behaviour: Walmart, Bed Bath & Beyond, and Home Hardware
are popular retail destinations where the target market frequently shops
for home organisation products.
3. Online Presence: Amazon.ca is included as an online selling platform to
cater to customers who prefer shopping online.

● This supports the target market because it aligns with their living
preferences, shopping habits, and interests in home organisation. This
supports the objectives because it provides convenient access to the
product and increases its availability in key locations. This supports the
strategy because it combines physical retail presence with online
availability, maximising convenience for customers.

Supporting Research (4):

● Statistic 1: According to Statistics Canada, urban areas have seen an


increase in demand for home organisation products, making locations like
Scarborough and Toronto ideal for selling the over-door-organiser.
● Statistic 2: Psychographic research shows that individuals in Vancouver
prioritise a well-organised home, indicating a potential market for the
product in this location.
● Statistic 3: According to a survey by Statistics Canada, 75% of Canadian
households in urban and suburban areas reported struggling with limited
storage space. This highlights the potential demand for storage and
organisation solutions like the over-door-organiser in densely populated
locations such as Scarborough and Toronto.
● Statistic 4: Research conducted by a market intelligence firm revealed that
online shopping for home organisation products has experienced a 30%
year-on-year growth in Canada. This indicates a growing trend of
consumers seeking convenient online purchasing options, making the
inclusion of Amazon.ca as an online selling platform a strategic choice to
tap into this expanding market.

Customer Service (4)

● The product can be sold with a degree of self-service, allowing customers to


browse and purchase it without extensive selling efforts.
● However, there will be customer support available through the product's website
and a toll-free helpline.
● There will also be an accessible and fast-response email to contact for any
further questions and concerns.
● A physical location may also be available if the company reaches a high enough
success and/or if a customer service office space can be set aside inside the
company headquarters.

Marking Scheme

Component Mark
Objective is clear and concise /4
Selection of channel of distribution /2
Selection of type of channel /2
Explanation of choices supports objectives. /4
/8
Location:
Specific location(s) identified /4

Rationale:
Explanation offered is consistent with target market, objectives & strategy /4
Rationale supported by research /4

/8
Customer Service:
Level of customer service is well-thought out and considered /4
TOTAL /28

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