Market Analysis

Presentation
Present by Wai Man Lee
Overview of the business f King Edward VII
College
Introduction
• Established in 2010, King Edward VII College is a Registered Training
Organization (RTO) that provides training to students in business and
management.
• RTO is to provide high quality training services to satisfy students’
needs and to meet vocational and educational standards.
Introduction cont…
Kind Edward College is:
• to be a leader in vocational education and training
• to establish and maintain high quality infrastructure supporting clients
and staff
• to be well led, high performing, profitable and accountable
• to develop our people and resources
Introduction cont…
• This new business plan reflects our approach to the coming years. We
commenced operations in 2015 with relatively low student numbers
which then increased significantly.
• We do not expect these numbers to increase over the period 2018-
2020 as we are limited by capacity in our Melbourne and Sydney
Campuses and it will take some time to build up student numbers at
the new campuses.
Introduction cont…
• We have two broad segments to its target market, consisting of
people wishing to gain entry to the industry, as well as people already
working in business and management who want to formalize or
develop their skills. Building effective leadership and management
skills of managers has been identified as particularly important. We
also intend to capitalism on market needs for delivery of blended, as
well as online courses.
Information sources

• Technology development
technology is rapidly changing every industry across the blobs, and education is
no exception. In this era, self-paced and personalised learning is what the
digital native denegation want, and it can help employers too. Online learning
has the power to open courses and career paths to a wider audience. Concepts
such as artificial intelligence and gamification, whereby aspects from gaming,
such as point scoring and token collecting are integrated into assessments, offer
engaging educational experiences. While technology can replace classroom
experiences to some extent, it’s not a replacement for face-to-face learning.
Face-to-face experiences are important to develop communication and work-
based skills, and so they must evolve rather than be eradicated.
Information sources cont…

• Demography trends
demographics change can influence the underlying growth rate of the
economy, structural productivity, living standards, savings rates,
consumption, and investment. It can influence the long-run
unemployment rate and equilibrium interest rate, housing market
trends, and the demand for financial assets. We are operate our
campuses in the CBD of Sydney and Melbourne in order to promote the
college to more people.
Information sources cont…

• Economic trend
global economic trends refer to current issues of the global economy
that are shaping our future, in the next three months as well as in the
next three, five years. Global economic trends are not a prediction of
what is going to happen. It is a statement about what is currently
happening
Information sources cont…

• Government regulations and legislation

marketing legislation is an organic part of the great body of law relating
to all economic activity. Federal, state and local laws affecting
marketing may be classified as those governing the conditions of entry
int and exit from business, those facilitating the pursuit of legitimate
business interests, those intended to preserve competition in markets,
and those intended to establish the plane of competition in markets.
The purpose of regulation is to protect both consumers and businesses.
Businesses favor some regulation while chafing under others.
Information sources cont…

• Environmental trends
there are some forces at work in the marketing world. These forces
make up a company’s external marketing environment: political and
regulatory; economic; competitive; technological; and social and
cultural. These factors and changes in them present both threats and
opportunities that require shifts in marketing plans. To spot trends and
other signals that conditions may be in flux, marketers must continually
monitor the environment in which their companies operate. To get a
better idea of how they affect a firm’s marketing activities.
Information sources cont…

• Social and cultural factors

it is important to know what consumers want right now.
Information sources cont…

• Existing and potential competitors

company needs to monitor the activities of two groups of competitors:
the markers of competing brands and the markers of substitute
products.
Statistical analysis
• There has been a steady increase in students from Middle-Eastern
countries. Marketing that focused on these countries could have the
potential to increase student enrolments.
• The college has no Australian students. This could infer that the
College should do marketing at all for Australian students and
concentrate that investment on international students. Or it could be
taken as an indicator that not enough marketing has been directed at
Australian students, and that is potentially a large market for the
College.
Statistical analysis cont…
• The top seven student origin countries are the same as those for Australia as a
whole. This means that the College is already attracting a similar demographic
of students as the other Colleges in Australia.
• There is a slightly decrease in student in Brazil, South Korea and Pakistan.
Whole countries are developing countries and all those are needed help from
wealthier counties. College can do more promote to those countries and attract
them to get to know more about the business and marketing at the global area.
• The overall students number is steady increased. People from different places
are want to know more the marketing these day. College should maintain the
quality of teaching and improve the teaching performance to maintain the
number of the student to increase the student enrolment.
Quantitative interpretation
Quantitative interpretation cont…
Quantitative interpretation cont…
Qualitative analysis
• There has been a steady increase in students from Middle-Eastern
countries. Marketing that focused on these countries could have the
potential to increase student enrolments..
• The top seven student origin countries are the same as those for
Australia as a whole. This means that the College is already attracting
a similar demographic of students as the other Colleges in Australia.
Qualitative analysis cont…
• There is a slightly decrease in student in Brazil, South Korea and
Pakistan. Whole countries are developing countries and all those are
needed help from wealthier counties. College can do more promote
to those countries and attract them to get to know more about the
business and marketing at the global area.
• The overall students number is steady increased. People from
different places are want to know more the marketing these day.
College should maintain the quality of teaching and improve the
teaching performance to maintain the number of the student to
increase the student enrolment.
Competitor analysis
Australian College of Training and Assessment
Address: 32 Terminus St, Liverpool NSW 2170 Syd

• ACTA College is registered by ASQA (Australian Skills Quality Authority) to

deliver training and assessment leading to the following Nationally
recognised Qualifications and Units of Competency. It is one of the
registered training organizations. All of the trainer have many years of
experience working in the industry and are experts about training others to
do the same. They share their extensive experience, which makes training
more relevant, interesting and effectively supports students to develop their
cherrymodels: knowledge and skills.
Competitor analysis
Australian College of Training and Assessment cont…

• Courses offered:
First aid
Prepare to work safety in the construction industry
Cert III in Telecommuications Technology
Cert III in painting and decorating
Cert III in Light Vehicle Mechanical Technology
Cert IV in Building and construction
 
• Opportunities:
potential for offshore delivery
current portfolio of courses popular in target markets
 
• Threats:
lack of business and finance courses
high level of competition
Competitor analysis
TAFE NSW Sydney Instit (Petersham campuses)
Contact: 131601
 
TAFE NSW is the leading provider of vocational education and training in Australia. Each year,
more than 430,000 students enrol in our courses and training. We aim to skill the workforce for
the future through high quality, personalised education and training.
 
• Services offered:
provide education services to meet the skills needs of individuals and the workforces
consult with industry and the community to ensure that our services remain relevant
provide disadvantaged groups with access to education and other specialised services
help students progress on to other studies at TAFE NSW, UNI or other training providers.
Competitor analysis
TAFE NSW Sydney Instit (Petersham campuses) cont…

• Support:
accessibility and disability services
aboriginal student support
library services
personal counselling
careers counselling
learning support
financial help
international students
Competitor analysis
TAFE NSW Sydney Instit (Petersham campuses) cont…

• Opportunities:
highest level of practical training
high quality, job- ready workforce
adapting the courses and facilities to suit local community and industry
needs
largest online education provider in Australia
 
• Threats:
high tuition fees
Competitor analysis
Australian Trade Training College Ltd
Address: 294 Scarborough Road, Scarborough QLD 4020

• Australian Trade Training College has over 30 years of experience and

will make sure you are qualified to succeed in your desired career.
Whether you are learning your trade under a car bonnet or a house
frame, learning core skills behind a computer or conducting a ‘test
and tag’, the training meets national industry requirements.
Competitor analysis
Australian Trade Training College Ltd cont…

• Course catalog:
automotive
beauty
building and Construction
business
electrotechnology
engineering
furniture and Cabinet making
hairdressing
hospitality and cookery
plumbing
telecommunications
Competitor analysis
Australian Trade Training College Ltd cont…

• support and services:

learning support
disability services
career and program counselling
computer access
on-site parking
internet access
canteen
indigenous participation support
photocopy and print facilities
welfare issues and referrals  
Competitor analysis
Australian Trade Training College Ltd cont…

• opportunities:
good customer services
the courses try to cover different areas
 
• Threats;
poor quality of education
many negative feedback from previous students
Marketing performance
Over performing products and services
• In the year 2016, we had moderate amount of intakes from across various countries a
total of about 275 students. And in the year 2018, the number of student increase more
than 200 students in total. We have seen maximum number of inducts under the course
Certificate III Business Administration (from 48 to 96 in 2018). Some course like Advanced
Diploma of Accounting; Diploma of Marketing and Communication did not get even
average amount of admission as compared to other courses offered at Kind Edward VII.
• Total expense for the year 2016 was about $742,450 and we encashed sales of about
$800,000. A net margin of about $57,550 was obtained. In 2016, there was a variation in
expected profit to actual profit by 20%. This was due to lower than expected student
numbers in the first year of operation.
• Furthermore, total expense for the year 2018 was about $1,346,900 and we encashed
sales of about $1,860,000. A net margin of about $513,100 was obtained.
Marketing performance cont…
Over performing products and services cont…
• In the past three years, the number of intake has been almost doubled and
the course is gaining a wide acceptance from the industry. The certificate III
& IV program in Business Administration needs to be extensively marketed.
We would try to develop an online certified curriculum which can serve as
an extension of our classroom program. Expert faculties should be
motivated to conduct Workshops across different community centers which
can be a way of providing real time demo. We can also create an advanced
hybrid program with Bookkeeping and Accounting, which is also one of the
best courses conducted at our college. The idealization of getting premium
course with proven methodology would be our focus.
Marketing performance cont…
Under performing products and services
• In 2018, all costs increased by 10% except rent and wages. These
stayed the same as rent is subject to a lease and wages costs
increased as expected due to the need to recruit additional staff due
to increase in students.
Marketing performance cont…
under performing products and services cont…
• In the past three years, even most of the course students intake have
been increase, some of them remain the same or even decreased.
Certificate IV in Human Resources is one of the very few courses which
have terribly failed. In the initial bathed we had 24 students but the
course did not has effectiveness as promises, the remarks of the
courses was extremely bad and further admission decreased drastically
in the following year. In the year 2018, there was no single admission
for this course. We must cancel the course from our service box for the
time being and focus over the areas in which we are doing well. In this
way, we could save operational costings.
Marketing performance cont…
under performing products and services cont…
• Moreover, Diploma of Project Management is also in similar condition
as that mentioned above. A standard rule has been set that no course
would be conducted with minimum of 12 enrollments in the courses.
This ensures proper utilization of resources and could also provide the
financial team with an additional liquidity option which can be used
for marketing or developing.
Marketing performance cont…
under performing products and services cont…
• For Diploma of Human Resource Management and Certificate IV in
Project Management, we can see there is a steady decreasing trend
from year 2016 to year 2018. We might consider to cancel these
courses if students intakes keep decreasing. In this year, we will try to
put more resources on these two courses and provide extra training
to the teacher to see if we can improve the quality of the teaching to
lure more students to admin to these courses in the coming year.
Business needs forecast
• The forecasted profit loss for the year 2020 shows that the net sales would be
about $5,088,000 the
• estimated expense would be about $2,300,150. The sales have increased for
about 60% while comparing to 2018 Profit Loss report. The costing is being
increased by 20 % to that of the report which we have
generated by the end of 2018, thus all the cost is increasing by 10 % annually
apart from rent and wages and the same is being forecasted in the report. The
predicted profit is about $2,787,850 which is almost five times to that of today's
profit margin. The two years forecast provides us with a compounding
scenario where in the only constrain would be the rate of growth which must
be constant and there must be no changes in the expenses or taxation policies.