Marketing Plan of Private Country Club

Marketing Plan of Private Country Club Introduction The purpose of this report is to prepare a marketing plan for the Private Country Club in Saudi Arabia and this club has different facilities including gym, pool, spa, ballrooms, sport center, food courts, and so on.Advertising We will write a custom report sample on Marketing Plan of Private Country Club specifically for you for only $16.05 $11/page Learn More Marketing Plan SWOT Analysis of the Private Country Club Figure 1: SWOT analysis of the Private Country Club Source: Self generated Strengths This club would have a number of strong points, such as – Wide range of products and services would help the club to attract target customers within very short period; It will recruit well-trained and efficient employees; The environment of this club would be outstanding; The management of this club would try to provide services at reasonable price; Innovative ideas, location of this club, strong supply chain management, efficient human r esources, business structure, and integrity of the management would also be potential strengths of this club. Weaknesses This club would face some internal problems – It would be difficult to start business in KSA due to high operating cost for rent of the shop, remuneration of employees, taxes, legal costs, and so on; Lack of experience of some employees and top management; High price of the products and services would reduce customer base; Technological problems, and lack of budget for promotional activities are other weakness for this club; Opportunity This club would experience enormous opportunities Advertising Looking for report on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More The marketers of this club would consider different marketing strategy for different services to gain competitive advantages by drawing attention of both local and foreign customers; This club has the opportunity to open new outlet in new area to expand its business; This private club would include a small sports zone and food courts, then many parents would be interested to come here for refreshment; Threats This club has also many external threats besides potential scopes – It would be difficult for this club to develop strong brand image and loyal customer base because a number of competitors offer similar products and services in this market; The purchasing power of the customers has decreased due to global financial crisis; as a result, it would be difficult for the entrepreneurs to carry on business in such economic condition. Marketing Mix Product The country club business will mainly offer services though it will also include different products; however, the key services will include facilities like gym, pool, spa, cigar lounge, business areas, ballrooms, food courts, and sport activities. Price The country club business will set the prices of the products and services by keeping the idea about the quality and production costs of its offerings in mind; however, it will also consider the income levels of its target customers in the Kingdom of Saudi Arabia, that is, their purchasing power parity. Place At first, the placement of this club will be made at a busy city center in the capital of Saudi Arabia, that is, Riyadh; however, the owners have plan that after it turns into a profitable business, they would expand the business all over the country by placing new club buildings in different places. Promotion The business will promote itself through different media, for instance, it has plans to offer promotional packages depending on Eids, new year festivals, Christmas Eve, mothers day, fathers day, etc. for attracting more and more customers. PESTEL analysis Figure 2: PESTEL Analysis of private country clubAdvertising We will write a custom report sample on Marketing Plan of Private Country Club specifically for you for only $16.05 $11/page Learn More Source: Self-generated Political Factor The current political condition of the Kingdom of Saudi Arabia is quite stable and ideal for setting up a new business; in addition, the taxation policy of the government of Saudi Arabia is quite liberal for the corporate world. However, it is important to bear in mind that the political factors of the country are greatly related to religious and other ethical issues; as a result, it is important for this private country club business not only to comply with the rules and regulations of the country, but also to comply with its political customs and conventions. Economic Factors The economic factors of Saudi Arabia is encouraging for the new private country club as the people of this area are wealthy enough to spend money for their fitness, and for other services like gym, pool, spa, cigar lounge, business areas, ball rooms, food courts, and sport activities. The Saudi economy has based on highly expensive oil resources and so Saudi people experienced huge economic growth in recent times (for example, the people of KSA benefited from the highest oil price of $47 per barrel even during the recession); therefore, most customers have strong purchasing power; additionally, other indicators like the national GDP are impressive as well Social Factors It is important to note that Saudi Arabia is a highly conservative country that follows strict Muslim rules and regulations in the social life; however, this means that although the country club business will try to obey the Islamic traditions, it is doubtful to what extent the people of this country will take its facilities like pool, spa, ballrooms, etc. positively. Technological Factors It is notable that Saudi Arabia has improved greatly in terms of technological advancements as the success of the club highly depends on the integration of modern technologies, the entrepreneurs of this business will use advance technologies to execute promotional and other m arketing strategies; moreover, introduction of IT will develop its supply-chain, quality of services, and customer-relationship management.Advertising Looking for report on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More Environmental Factors The club will focus on environmentally friendly services and its owners will highly comply with their corporate social responsibilities to ensure environmental sustainability; at the same time, the club will efficiently dispose waste materials, and control draining and carbon emission. Legal Factors The legal system of Saudi Arabia has developed in accordance with the Islamic law and all citizens and businesses are bound to follow the rules; at the same time, the entrepreneurs of the club also need to follow the law strictly to form the business and carry out the function in accordance with it. BCG matrix of The Private Country Club: The following figure shows the position of the Private Country Club in BCG matrix- Figure 3: BCG matrix of The Private Country Club Source Self generated Stars: Many competitors in Riyadh occupy this segment due to high growth rate and high-relative market share; Question marks: The above figure demonstrates that Private Countr y Club occupies this segment as a new business; however, the management of this club would try to change its position to stars; Cash cows: this position has not matched with the position of this club; Dogs: According to the figure 2, the position of Dog indicates that it experiences both low market share and market growth; so, it should require huge investment to recover market position Porter five forces of Private Country Club The competitive position of the Private Country Club in accordance with Porter’s five forces has presented below Figure 4: Porter’s five forces for The Private Country Club Source: Self generated Bargaining power of buyer This power is high for the Private Country Club as customers can select different companies for different services, for instance, there are some food courts and sports zone in KSA, so, the demand of this club depends on so many external factors like brand image, quality, rapid services, product price, and so on. Threats of new entrants The threats from new entrants are moderate in the industry because setting up requires a large amount of fund, while newcomers lack sufficient knowledge and expertise; however, the government is business friendly, which means the newcomers get some benefits overall. Bargaining Power of Suppliers Suppliers of the company play vital role to establish and develop a business because operating costs and service quality mostly rely on this issue; however, the supplier’s power is moderate because supplying of the product particularly machinery and other necessary equipment for gym, spa, sport activities, and food courts are available all over the world. Rivalry among competitors This power is too high for this club; Threats of substitute product This power is moderate for this club because there are many clubs in KSA, but most of the clubs provide gym and sport facilities while this Private Country Club would offer more services to attract customers like food courts, b usiness areas and ballrooms would serve multi purposes.