Marketing Management

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 Table of Contents
Introduction................................................................................................................................3

Competitive environment...........................................................................................................3

Environmental scanning.............................................................................................................4

Demand forecast.........................................................................................................................6

Assessment of the market segmentation-Targeting-positioning statement................................7

Brand position of the product and service..................................................................................8

Identification of the market leaders and niche market product lines.........................................8

Customer adaptation process......................................................................................................9

Analysis of the process of mitigating the demand and capacity issues......................................9

Pricing strategy decisions...........................................................................................................9

Integrated marketing communication mix...............................................................................10

Conclusion................................................................................................................................10

References................................................................................................................................11

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Introduction

Marketing management can be recognised as one of the disciplinary aspects that focuses on
some of the practical applications of the marketing orientations, practices and different
operational methods so that the intended group of customers can be attracted within the
timeframe (Panchenko et al. 2020). In this research, the “Unique Washing Machine” will be
placed in the market spectrum. This is an electronic washing machine that is capable of
automatically detecting the type of cloths that are placed in the machine for washing and
activating the mode which is appropriate for that particular product. The product is highly
convenient and affordable for the customers and it can also provide eligible support to the
users through solar power. This research will analyse the competitive environment and
environmental scanning regarding the product. At the same time, a demand forecast will also
be prepared so that a proper segmentation-targeting and positioning of the business will be
developed.

Competitive environment

The Australian home-electric accessories and goods market is highly advanced in terms of
technology. At the same time, there are several well-maintained product distribution channels
are available that are divided into several segments such as; supermarkets, hypermarkets,
online and offline stores along speciality stores as well. Some competitors that can challenge
the profitability of the “Unique Washing Machine” Company can be; Miele, BOSCH, Haier,
Simpson and Fisher & Paykel. In this case Miele is underpinned by the German Engineering
and manufactures premium quality household electronics. On the other hand, BOSCH
Australia is also one of the manufacturer of household equipment and accessories, and
washing machine is one of their main stream product line. These two organisations can be
recognised as indirect competitors of Australian electronic market. Whereas, Simpson and
Fisher & Paykel is completely based in Australia and home appliances are their core product
line. Therefore, they can be considered as direct competitors of the business. The situation
can be analysed by using the competitive theory which suggests that business desiucions are
needed to be made after evaluating their competitive positions. At the same time the current
strategies and market dynamics are needed to be evaluated before taking the decisions as
well. Some information regarding the competitors of “Unique Washing Machine” are
mentioned as below:

Miele BOSCH Haier Simpson Fisher &

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 Paykel

Miele is a BOSCH have Haier can be The Simpson is Fisher and

German-owned its headquarters recognised as based in Paykel are one
company that at Clayton, one of 5star Adelaide, of the highly
produces Victoria. rated electronic Australia and competitive
electronic BOSCH have goods operates with business
goods and home highly manufacturers in the brand- organisations
appliances at advanced Australia. The named and electric
the premium technologies for company Electrolux goods
quality home manufactures Australia manufacturing
(Bressanelliet appliances. The 6.5Kg of fully- Group. The organisations of
al. 2020). The series 8 automatic top- appliances of Australia that
company is washing loading washing Simpson are manufactures
highly trusted machine by machines. Model made in advanced and
across the BOSCH is HWM65707NZP Australia and high-quality
electronic currently at the by Haier is one are also products. 7.5Kg
market of dominating of the highly distributed in WashSmart Tod
Australia. In the position acceptable items the retail load washing
year 2021, (Bressanelliet manufactured by market of machine
Miele has al. 2020). In the the organisation Europe, China WA7560E1 is
earned more current year, the in recent times and South-East one of the high-
than AUD$ 297 company have (strongtie, 2021). Asia. As per the quality items
million in earned annual report of that is
revenue AUD$80.2 2020-21 the manufactured
(growjo, 2021). million. The company have by the
It operates in company earned organisation in
Australia by the manufactures AUS$1.44 recent times
name Miele some fully billion in (fisherpaykel,
Australia PTY automated revenue 2021).
Limited and has washing (growjo, 2021).
approximately machines and
450 staff. advanced
electronic

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 machines.

Table 1: Comparison of the competitors of “Unique Washing Machine” in Australia

(Source: As developed by the researcher)

Environmental scanning

In order to conduct the environmental scanning, the application of the PESTLE Framework
will be ensured in regard to the industrial segment where "Unique Washing Machine”
operates. The PESTLE analysis is prepared as below:

Aspects of Description
PESTLE analysis

Political The trading market of Australia is connected and observed by

different organisations such as; the OCED, G2O, World Trade
Organisation, Commonwealth of Nations and different others. At the
same time, the country have good political connections with other
nations, such as; New Zealand and USA. Therefore, the political
networks and stability of trading industry of Australia can assist the
consumer electronic market to expand their trading spectrums in
different international regions.

Economic The Australian Economy holds the 13 th position across the globe. As
per the US department of state, the Australian Consumer electronic
Market is valued at $300 billion. Although, due to the continuously
increasing boundaries in between the telecommunication and
computer industries the value reach up to $2 trillion in the upcoming
times. As per the ibisworld (2022) the domestic appliance retail
market of Australia is worth AUD$15 billion as of the financial year
of 2020.

Social Australia is a multi-cultural nation and the youth population is higher

in the societies. In Australia, people are attracted to advanced and
innovative items and electronic goods that can ensure the growth of
“Unique Washing Machine” within the Australian market places.

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 Technological The research has mentioned that more than 20% of the innovation-
active businesses in Australia have decided to collaborate with each
other (abs.gov.au, 2022). 55% of the businesses of Australia are
trying to use cloud-computing technology and the internet security
issues have also been reduced by 8%. Digital inverter technology is
one of the modern technologies that is being installed in washing
machines by Australian companies. Addiotnally, the semi and full-
automatic technology of modern home appliances can assist the new
entrants like; “Unique Washing Machine” can assist the company to
attract new generation of customers. However, at initial stage selling
highly advanced washing machines can increase the price ranges to
some extent that might reduce the acceptability. In such case the
company need to strategically develop their business operations for
grabbing the intended market spectrum.

Legal The Competition and consumer act 2010, The Corporation Act 2001
are some of the most prominent and essential legislations that are
needed to be obeyed by Australian retail and other companies.

Environmental The “Environment Protection and Biodiversity Conservation Act

1999” is one of the core environmental laws for Australian business
organisations. Currently, organisations are innovating themselves for
becoming more sustainable and eco-friendly.

Table 2: Development of PESTLE analysis

(Source: As developed by the author)

Demand forecast

As mentioned by Statista (2022) it is evident that the front load capacity of the products for
consumer electronic goods in Australia has the highest capacity in comparison to the top load
type capacity. Therefore, it is evident that the capacity of producing and distributing
consumer goods and products in the Australian market has the ability to fulfil the needs of
customers.

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 Figure 1: Distribution capacity of the washing machine and home electronic goods
market of Australia for the year ended 2021

(Source: Statista 2022)

In this case, the application of the Trend projection model can be proven efficient for
analysing the demand forecast of the market. The Trend projection model can be recognised
as the technique through which estimated future demand of the items can be easily
understood. Statista (2022) have mentioned that the overall revenue growth of the Australian
Consumer Goods market is projected at AUD$13529 million by the end of 2022. At the same
time, the revenue of the industry is also expected to reach an annual growth rate of 7.99
(CAGR 2022-2025). Such a growth rate can also assist in meeting the projected sales volume
of AUD$17036 million by the end of 2025. For the electronic consumer goods manufacturers
with the nation.

Assessment of the market segmentation-Targeting-positioning statement

In this section, a market segmentation, targeting and positioning statement of "Unique

Washing Machine” will be provided. The analysis is provided as below:

Segmentation The organisation uses the premium market segmentation of

the Australian Consumer Market. The company will focus on
middle to high social classes who have annual earnings of
AUD$70,000 to AUD$80,000 at an annual rate. The offline

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 outlets and online product delivery of the washing machines
of Unique Washing Machine will be provided in all
metropolitan areas of Australia.

Targeting Middle to higher earning classes will be targeted by Unique

Washing Machine Company. The major section of the
targeted customer segment will be households and domestic
families. Married, Unmarried, nuclear, independent families
will be targeted by the organisation.

Positioning The Unique Washing Machine will have its position in the
consumer electronic goods market of Australia. The company
will manufacture highly advanced washing machines that can
fulfil different criteria of the consumer. The highly capable
washing machine can also be powered by solar charges as
well.

Table 3: Product targeting-segmenting and positioning

(Source: As developed by the author)

Brand position of the product and service

The product category of Unique Washing Machine is positioned as a producer of advanced

home-based high-quality items, mostly the advanced Washing Machines. The positioning
statement of the brand is “Partnership in the homemaking and simplifying the daily tasks at
the households such as; washing clothes". In reference to the brand positioning theory it can
be mentioned that the brand need to share proepr information about their characteristics of
their items for having a significant position in the market. Advanced and dynamic features of
the products can assists the customers to connect with the item and make more efficient
purchasing decisions as well (Heinberg et al. 2020). The brand also tends to become one of
the dominating and highly acceptable brands across Australia and penetrate the market
demands in a significant manner. At the same time, the brand also tends to become one of the
highly reliable brands for Australian Households. It seems that the Unique Washing Machine
have the ability to charge its batteries and can run for more than 7 to 8 hours each day. The
electronic mode of the product can also provide an equal level of convenience to the users
even on cloudy and cold days with perfect wash and cleaning support.

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Identification of the market leaders and niche market product lines

Some of the largest and dominating washing machine manufacturers of Australia are;
Electrolux, AEG, Simpson, Kelvintor and Fisher & Paykel. Among the market leaders of the
Australian consumer electronic goods market, Electrolux uses a three-step model for ensuring
sustainable business growth. Electrolux also ensures the production of some best-in-class
items for fulfilling the customer needs within the time frame. At the same time, Simpson’s
only uses aggressive marketing and positioning strategy for holding their leadership position
in Australia. Simpson’s also uses the Capital allocation strategy for aggregating their cash
flows and having the credit facilities within the market spectrum.

ibisworld (2021) have mentioned that consumer goods retailing is one of the significant niche
markets of the Australian consumer retail electronic goods market that are being targeted by
the market leaders. Although, statistics have reflected that in the year 2021-22 Covid 19 have
decreased the revenue from niche market by 1.6% (ibisworld, 2021). It is evident that the
niche market of Australian electronic consumer goods is the major player in the industry.
Besides that, for customer electronic goods, Simpson manufacturers tablets, laptops and
different other elements. In terms of, Electrolux the company manufactures kitchen products,
Homecare & SDAs along with the different types of homecare accessories as well. The front-
load washing machines and energy-efficient kitchen products of Electrolux are also highly
efficient for fulfilling customer needs. Besides that, Kelvintoir’s 7Kg semi-automatic
washing machine, 190 litres direct cool single door refrigerator and highly automatic items
are some of the highly accepted products of the organisation. It is evident that, the product
ranges that are being offered by the above mentioned brands have the capability of becoming
market leaders in future times. Although, continuous innovation and addition of new features
are required so that more attention of the customers can be gained.

Customer adaptation process

In order to assist the customers to adopt the products and learn about their usability and
application in regular life, they are needed to be provided with its using terms. In this case,
“Unique Washing Machine” can post several reviews of the products on the social media
platforms such as; YouTube or Facebook (Cheung, Pires and Rosenberger, 2020). For
instance, conducting paid promotions via YouTube Channels can assist the organisation to
attract potential consumers across Australia.

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Apart from that, the adaptation of the products can assist Unique Washing Machine to easily
discover the long-term application and enhance the market positioning in a significant
manner. On the other hand, having a mere knowledge about usability can increase the selling
proposition and revenue stream of the organisation as well. As the technology of solar
charging and automatic cleaning is new early adopters will be the prime customers and
slowly it will be acquired by some late majorities. At same time, the price drops will also
assists the brand to attract more customers from different social scales and divisions. It is
projected after the social media post and paid promotion it is expected that within 2 months
changes in the sales can be observed. It is also expected that within 8 months complete
adoption of the products can be ensured.

Analysis of the process of mitigating the demand and capacity issues

The management of Unique Washing Machine needs to stay completely transparent with their
customers. At the same time for dealing with the demand and supply based issues throughout
the year alternative sources of supply is needed to be identified and the inventory policies are
also needed to be updated in a frequent manner. At the same time, it is essential for
individuals to align the demand and supply in a significant manner. Local electronic and
home appliance retailers will be targeted from the Australian Consumer electronic market,
such as; JB Hifi, Harvey Norman and others. On the other hand, products can be sold through
Amazon Inc and shopping malls along with local electronic stores can also be used for the
distribution of items.

Pricing strategy decisions

As Unique Washing Machine is intending to propose a new product line to the audiences the
use of price skimming strategy can be used. This strategy can assist the business to penetrate
their market and assist in staying highly competitive at the same time. At the same time,
through skimming the prices higher return against the investments can be received and an
efficient brand image can also be prepared at the same time within the market segments (Ali
and Anwar, 2021).

Integrated marketing communication mix

While preparing the integrated market communication mix of the identified brand several
promotional aspects are needed to be taken into consideration. Some communication
strategies are mentioned below:

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Advertisement: Social media advertising can be used and web banners can be applied by the
organisation. However, social media influencers and You Tubers can be hired for paid
promotions. Lifestyle magazines of Australia can also be used for promoting the products.

Sales promotion: It is also essential for the organisation to offer seasonal benefits to the
customers by providing free accessories and gift vouchers. For instance, on 31 st December of
during the thanksgiving day of the year, free watches or micro woven can be provided as gifts
along with the washing machines. It can be recognised as a point-based system that can
provide benefits to the customers against a certain number of qualified purchases. The points
can be used by the customers as gift cards which can be used for future purchases of the
individuals.

Personal selling: For personal selling process use of television channels, radio and online
platforms can also be used by the brand for reaching more customers.

Direct marketing: Direct selling technique can be used by the brand for promoting the
product through shopping malls and online selling portals such as; Amazon inc and other
sales channels.

Public relations: Here email advertisement can be used directly communicating with the
potential buyers.

Internet marketing: The management can use this strategy while selling the products from
offline stores and online portals. Using attractive displays of the items at the company
website and third-party online stores can assist in attracting the customers for reaching the
intended level of selling proposition within a shorter timeframe.

Conclusion

Based on the above discussion it can be concluded that innovation in the product line is
highly essential for attracting customers and for achieving the intended level of profitability
for a business. For Unique Washing Machine Company analysis of the customer segments of
Australia closely along with the movements of industry leaders for achieving the intended
position within the timeframe is done. The marketing process is highly crucial in this case as
it can make the operational scope more advanced and error-free.

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References

abs.gov.au, 2022. Technology and innovation. [online] abs.gov.au. Available at:

<https://www.abs.gov.au/statistics/industry/technology-and-
innovation#:~:text=Characteristics%20of%20Australian%20Business,8%25%20in
%202019%2D20> [Accessed 7 February 2022].

Ali, B.J. and Anwar, G., 2021. Marketing Strategy: Pricing strategies and its influence on
consumer purchasing decision. Ali, BJ, & Anwar, G.(2021). Marketing Strategy: Pricing
strategies and its influence on consumer purchasing decision. International journal of Rural
Development, Environment and Health Research, 5(2), pp.26-39.

Bressanelli, G., Saccani, N., Perona, M. and Baccanelli, I., 2020. Towards circular economy
in the household appliance industry: An overview of cases. Resources, 9(11), p.128.

Cheung, M.L., Pires, G. and Rosenberger, P.J., 2020. The influence of perceived social media
marketing elements on consumer–brand engagement and brand knowledge. Asia Pacific
Journal of Marketing and Logistics.

fisherpaykel. 2021. Fisher & Paykel: Washing machines. Retrieved 7 February 2022, from
https://www.fisherpaykel.com/au/laundry/washing-machines/

growjo. 2021. Miele ANZ Revenue, Competitors and Alternatives. Retrieved 7 February
2022, from https://growjo.com/company/Miele_ANZ#:~:text=Estimated%20Revenue
%20%26%20Financials,(%3F)

Heinberg, M., Katsikeas, C.S., Ozkaya, H.E. and Taube, M., 2020. How nostalgic brand
positioning shapes brand equity: Differences between emerging and developed
markets. Journal of the Academy of marketing Science, 48(5), pp.869-890.

ibisworld, 2021. Consumer Goods Retailing in Australia - Market Research Report. [online]
ibisworld. Available at:
<https://www.ibisworld.com/au/industry/consumer-goods-retailing/1720/> [Accessed 7
February 2022].

ibisworld, 2022. IBISWorld - Industry Market Research, Reports, and Statistics. [online]
Ibisworld.com. Available at: <https://www.ibisworld.com/au/sector-profiles/retail-trade/>
[Accessed 7 February 2022].

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Panchenko, V., Harust, Y.V., Us, Y.O., Korobets, O.M. and Pavlyk, V.V., 2020. Energy-
efficient innovations: marketing, management and law supporting.

Statista 2022. Distribution of washing machines available on the market in Australia as of

March 2021, by type and load capacity. [online] Statista.com. Available at:
<https://www.statista.com/statistics/1229183/australia-share-of-washing-machines-by-type-
and-load-capacity/> [Accessed 7 February 2022].

statista, 2022. Electronics. [online] Statista.com. Available at:

<https://www.statista.com/outlook/dmo/ecommerce/electronics/australia> [Accessed 7
February 2022].

strongtie. 2021. Simpson Strong-Tie. Retrieved 7 February 2022, from

https://www.strongtie.com/

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