Marketing Simulation Part C- Initial Marketing Strategy - see Course Schedule for due dates

Value: 55 marks; 10% of final course grade

Your team performance will be assessed in a progressive evaluation of your companys progress in terms of customer satisfaction, decisions made and profitability you have achieved over 12 rounds of play. You are expected to submit TWO reports to your Instructor, describing your Initial marketing strategy after the first 3 rounds and revised strategy after the last 9 rounds describing the progress you have made since your previous report including the challenges you are facing.

Initial Marketing Strategy must be completed by the due date. This report will be submitted by the team in the appropriate D2L folder. If this part of the project is not completed by the date required, and/or does not meet the competencies, and/or is not fully completed, marks will be deducted (50% of your final grade) from Part D of the Simulation Team Project.

NOTE: Use course concepts and terminology to demonstrate how your team applied course information throughout the game.

Before you start the simulation

1. Based on your tutorial and practice simulation experience, define your business VISION, MISSION, and marketing OBJECTIVES (make sure your objectives are SMART- specific, measurable, achievable, realistic, and time-bound) (10 marks)

After the simulation starts:

Based on your performance in the first 3 round of the game, develop a report that answers the following questions:

2. Identify and evaluate opportunities for your new Backpack company using Growth Strategies and segmentation, targeting and positioning strategy. (20 marks)

What growth strategy do you plan to pursue for your company (there are three primary growth strategies available- market penetration, market development and product development. The simulation will not allow you to diversify into new products)

The segmentation, targeting and positioning process involves a series of steps which include the identification of the market segment you will target to achieve the marketing objectives you have identified in step 1. The market segments have been established in the simulation and consist of (university students, school children, urban commuters, luxury trend followers, outdoor enthusiasts) Evaluate the market segment you find the most attractive and want to target. Provide solid rationale as to why you are targeting a specific market. Which targeting strategy are you using- mass marketing, differentiated strategy, niche strategy or micromarketing strategy?

Identify and develop a positioning strategy for your backpack. A positioning statement consists of the target market, offering name or brand, product category and unique points of difference/benefits.

3. Implement the marketing mix (the marketing mix consists of your product, pricing strategy, distribution strategy and the promotional channels you will utilize to communicate with your chosen market). Be sure you explain the rationale for your decisions. (20 marks)

Describe your product (convenience, shopping, specialty, unsought), product benefits and identify what product elements are important considering your target market?

Explain your pricing strategy- provide an analysis of your pricing strategy using the 5 Cs of pricing (competition, costs, company objectives, customers, channel members) Explain the pricing objective of your company (profit oriented, sales oriented, competitor oriented and customer oriented)

Identify what distribution channels you plan to utilize to get your backpack to your identified target market? Are you using a direct, indirect or a multi-channel distribution approach? What level of distribution intensity do your channels provide (intensive, exclusive, or selective distribution)

The last element of the marketing mix consists of promotion referred as Integrated Marketing Communications (IMC) in your textbook. IMC consists of advertising, personal selling, sales promotion, public relations, direct marketing, digital, social, and mobile media. An Integrated marketing Communication plan consists ofseveral steps- Identify your target audience you want to reach? What objectives doyou hope to accomplish with your IMC campaign? What budget will you allocate to achieve your objectives? Evaluate the options available in the simulation and select your media vehicles. The simulation allows for advertising, direct marketing,digital and social media) Make sure to provide a strong rationale of your chosen IMC strategy.