You are to adopt the role of consultants and complete the marketing project for your group's client. You are to apply relevant services marketing and management theories and concepts learnt in class in the analysis of the service provider client (and its competitors), and make recommendations for improvement/s to its service delivery (and improving the service experience from the customer’s perspective). Your report will discuss your investigation and analysis.
Task: Write an executive summary about 400words & 100+words for conclusion.
For conclusion:Bring your report to a conclusion and repeat what your recommendations and how these will achieve your marketing objectives
This criterion is linked to a learning outcom
MKTG1053 Service Quality, Semester 1, 2021 Marketing Plan for 1receipt Peter Budd - Thursday 2.30PM Group Number 55 Student ID David Giammario s3707282 Amanda Zixuan Ng s3790712 Mikaella Valenzuela s3539860 Son Binh Tran s3600580 Zei Kei Chin s3835720 Word Count: 2042/3127 Table of Contents Executive Summary3 Introduction4 Background/History of 1Receipt4 Current use 7Ps of 1Receipt4 Marketing Objectives6 Segmentation, Targeting and Positioning8 Perceptual Map 10 Service Product Concepts10 Service Blueprint/Processes11 Communication Plan 12 Summary and Conclusion 14 References 15 Appendix16 Executive Summary The purpose of this report is to investigate and analyse the current market position and introduce improvements for service delivery of 1receipt - a smartphone app manages digital receipts. The report outlines what the company has achieved to this point and includes our recommendations for the implementation of a marketing plan for the next 12 months in an attempt to improve customer’s service experience. Background/History of 1receipt 1receipt was founded in 2017 by a group of young individuals headed by Shahryar Faraji who identified a gap in the market for a transition to paperless receipts. According to ABC, The highest rate of clearing trees is Queensland, they found that between 2015 to 2016 about 395,000 hectares of native land and forests were cleared; this was roughly the size of Melbourne (triple j, 2018). Shahryar aims to create a sustainable environment with the help of technology. However, based on our Business News Australia, we could not find Shahryar in the Australia’s Top 100 Young Entrepreneurs list. In addition, the app collects loyalty points by scanning unique barcodes at participating stores (1receipt, 2021). The competitors of 1receipt are an identical app called Receet, Rewards from Woolworths that also keeps track of your receipts. Criticisms about 1receipt are that most thermal paper (receipt paper) in Australia is FSC certified which doesn't “kill trees'' but cannot be recycled so that could be a new angle for their promotion video. Current 7Ps of 1receipt Product For consumers, the service product is a phone application available via the Apple App store and Google Play - a relatively simple interface that requires participants to sign up before using the app. For retailers the subscription includes a Pyramid based barcode scanner that scans the unique barcode provided by customers when they purchase. As this is a subscription, retailers don’t own the equipment unless they purchase it. Price Type Pricing Consumers Free (First few months free) Retailers (Small to medium with 1 to 2 checkout stations) $89 per month Retailers (Large Organisation with 3 Checkout stations) $38 per month People 1receipt offers demonstration service for interested customers to sign up to the system, this is conducted in store by Mr. Faraji. This is a face to face type of interaction in the sales process, once the device is installed, it's relatively autonomous. 1receipt currently has a small team of 4 employees. Furthermore there are a range of experience advisors that help guide 1receipt team in the right direction; · Dr. Amir Faraji; CEO of Otared, 25+ years experience in engineering and management, RMIT University lecturer. · Sayeh Bahrololoumi; Senior Electrical Engineer at EnerSys Australia, 25+ years experience in engineering and management. · Renee Lu; Back-end Developer. · Rahul Bhate; Front-end Developer. Promotion 1receipt has an online social media presence as shown in the table below. These social media pages are used to share marketing information regarding sustainability of 1receipt. It averages 3 posts per week. Website Mainly promotes the application and post weekly blogs about sustainability Social Media · Facebook (240 Likes, 20/05/2021) · Instagram (800 Followers, 20/05/2021) · Twitter (20 followers, 20/05/2021) · LinkedIn Deals Reseller program that lets you use it for 30 days free Partnerships IGA Supermarket Stores centered around Melbourne Physical Evidence In terms of retailers there are currently 2 IGA Stores that have implemented the 1receipt barcode scanner in their stores. Meanwhile, 2 more IGA stores are expected to arrive shortly. Place According to Do & Vu (2020), place is the whereabouts of the service product offering. The headquarters of 1receipt is located in Queens Rd, Melbourne, this is where the software is being developed. Process The processes are split into two categories: Retailers register online beginning with a demonstration of the hardware.The hardware is installed on premises and corresponding software is downloaded from 1receipt’s database. Customers can download the app and register an account with 1receipt. The app is opened when making a purchase, the Barcode is readily available on the homepage to scan at the participating store to digitally download the receipt. Marketing Objectives Company objectives for 12 months (2021 - 2022) · Acquiring 1,000+ retailers · Acquiring 10,000+ shoppers New SMART objectives for 2021 - 2022: · Acquire 20 retailers · Acquire 1,000 shoppers · Increase followers on social platforms by 10% per month Specific The goal for the next 12 months is to sign up 20 retailers to the pyramid program and keep the same target of acquiring 10,000 regular shoppers by aiming for 1000 downloads of the app by 2022. The second goal is to increase social media likes on our platforms such as Instagram & Facebook by 10% per month for 12 months. Measurable 1receipt’s focus on acquiring 2 stores per month for 12 months to achieve our goal of 20 by 2022. A review at the 6 month period should reveal 12 new stores added. Statistics from the Apple store to measure the download rate, the goal per month is 833 downloads for 12 months to achieve 10,000 shoppers. Regular posting on our social media accounts with relevant and visually appealing content that provokes emotion fosters interest to the business, this can be achieved by posting at least 3 times a week for the next 12 months. The current follow base of both platforms is 957, an increase of 10% per month will result in the next month being 1052 followers and subsequent months being: 12 Month Period Plan Estimated Number of Shoppers June 2021 1157 July 2021 1272 August 2021 1399 September 2021 1538 October 2021 1691 November 2021 1860 December 2021 2046 January 2022 2250 February 2022 2475 March 2022 2722 April 2022 2994 May 2022 3293 Achievable The aim of 2 stores per month. 1,000 regular shoppers can underestimate the potential customer base for 12 months as the population of Australia is 25.6 million, which equates to 0.04% of the population that needs to use the app on a regular basis. There are 17 million smartphones in circulation as of 2019 in Australia, the goal of 1,000 downloads can be achieved realistically in 12 months. An increase of 10% each month is realistic as the IT will have sufficient time to regularly post on social media accounts. Relevant The goal of attaining 20 stores correlates well with the second goal of 1,000 customers, the timing of the new goals are relevant as the economic trajectory is going up in 2021 rebounding from the COVID19 pandemic. A strong digital presence is essential in 2021 for success of the business, the current goal is modest enough to succeed and even surpass in 2021/22. Time bound A 12 month period from 2021 to 2022, the aim is to acquire 1 new store every 7 days to achieve the goal of 50. A review at the 6 month point will indicate the progress of the objectives. Segmentation, Targeting and Positioning Segmentation and Targeting 1receipt currently doesn’t have a defined segment and has described its target audience as sustainability conscious shoppers. However, it is imperative for businesses to segment the market to develop strategies to meet the demands of their target audience (Chitty, D'Allessandro, Gray & Hughes 2019). In order to identify the consumer group that 1receipt would serve best, the STP model to segment the market is used. The 1receipt target market currently is vague and doesn’t target certain segments. Sustainable or environmentally aware consumers could be anyone. The table below provides a clear target market and from there many targeted segments can be created. Demographic Male and female 18-50 years olds University students Young graduates Young professionals Double income no kids (DINKS) Young couples Middle to high income Annual income $65,000 + High school, TAFE or university graduate Young entrepreneurs (25+) Geographic Melbourne City Area Urban and suburban areas Possibly in other larger cities Psychographic Socially aware, visible achievement, young optimist, look at me Eco-conscious Busy people Spend disposable income Financially savvy Early adopters and innovators Attitude – indifferent or positive Behavioural Heavy smartphone users Social media user Technology savvy Regular shoppers at IGA Stores Disorganised Receipts not only serve as proof of purchase for consumers, but properly storing them is critical in maintaining good records for tax payers to prepare their tax claims and avoid penalties during tax time (ATO 2020). Thereby, 1Receipt’s services would benefit a large consumer demographic – from high school students, to university graduates, couples, young professionals and entrepreneurs to name a few. In order for 1receipt to focus marketing efforts, we need to tap into geographical, psychographic and behavioural characteristics to identify our desired target audience. The young professionals segment aged 21-35 years old, based in Victoria, who are eco-conscious and financially savvy shoppers, heavy smartphone users, quick to adopt technology and shops regularly at their local IGA is one consumer segment that 1receipt should target. Tech savvy millennials are early adopters and value-driven consumers that regularly use social media (Chitty et. al 2019). Not only so, they are conscious with their money and embrace innovative technology to manage their finances (Latitude 2021). Deloitte has categorised Millennial consumers into 4 different profiles, and of those, the “responsible go-getters'' perfectly summarises the targeted segment; they have a higher-than-average income, are tech-savvy and concerned with cyber security, enjoys shopping but are also financially savvy (Deloitte 2018). As such, these consumers would find value in being financially organised, environmentally conscious and enjoy the convenience that 1eceipt's app would provide, and 1receipt could utilise social media and develop marketing strategies to address those needs. Young entrepreneurs are also an important target segment. 1receipt must target young business owners who value sustainability in their practices to attract more retailers. 1receipt were focusing on targeting local IGA stores whom they are currently partnering with two stores in Victoria. IGA are independently owned local supermarkets and have a large network of franchisees with over 1400 across Australia and 330 outlets in Victoria (IGA 2020). By targeting young IGA owners, 1receipt is able to leverage on IGA’s franchisee network to reach more retailers through referral programs and to local shoppers through newsletters and blog posts via their community