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Marketing Management and Communication- myassignmenthelp.com
Question: Discuss about theMarketing Management and Digital Communication. Answer: Introduction Hublot is a luxury group of watchmakers, which was founded in the year 1980 by an Italian named Carlo Crocco. The company operates presently under a company called LVMH of France, which is a wholly owned subsidiary. The company in its initial years took three years in making the strap of the watch and made its debut in the Basel Watch Fair in the year 1980 and turned out to be a commercial success, as the sales were made in excess of $2 million within the first year (Raffaelli, 2014). The company launched its Big Bang chronograph series of watches in the year 2005 after the company had a new Chief Executive Officer (CEO) in 2004 named Jean-Claude Biver. The Big Bang series of watches was a huge success and the number of orders had increased within the first month. The watch received the 2005 Design Prize, the Geneva Watchmaking Grand Prix and other prizes as well from all over the globe (Bastian et al., 2016). Description of the watch The outer casing of the watch is 45 mm and the case is blue sapphire crystal, which is polished perfectly. The bezel of the watch also has a blue sapphire crystal with titanium screws, which are shaped as 6 H. The inner case of the watch has an anti-reflective treatment for the crystal and the dial consists of a polished and Smoked Transparent Composite Resin Skeleton along with a Blue Luminescence. The hands of the watch are finished with satin products and have a blue luminescence as well. the strap of the watch is known as the blue transparent lined straps that are structured in nature and the clasp has a titanium deployant buckle (Bashutkina, 2016). The inner working of the watch is that it has a chronograph that is self winding along with a flyback movement and column wheel. The battery can reserve its power up to 72 hours and can resist water up to 50m or 5ATM. The watch has been limited to a hundred pieces, as it targets only the higher classes of people in the society. The company tries to attract the affluent sections of people within the society so that they can afford to buy the watch and appreciate the effort that has been put in to it by the workers. It is seen that recently the demand for watches has increased to a great extent all over the world, which has helped the company in increasing its sales. The company has launched a new store in Sydney in the year 2017, as the trend of wearing luxury watches in the Australian market has increased by 17 percent. The overall increase in wearing electronic gadgets has also seen a rise of 41 percent in the financial year of 2016-17 (Sicard, 2013). Mission The mission of the company is to create the product by combining the art of fusion. This helps the company in creating the products based on current issues so that the customers can be aware of the problems. SWOT analysis Strengths The company has developed an innovative material for its products, which can resist the scratches. The material has been named as Magic gold, which has become popular on a global level. The company has more than 40 boutiques on a global scale, which has helped them in increasing the sale of its products. The company has benefitted mostly through its association with the parent company, which is a well renowned industry with respect to luxury goods. The company is known for the fusion that they create with different types of materials along with the use of precious materials in a traditional manner. The company has also been associated with major football events and was the official timekeeper of the games (Pinkhasov Nair, 2014). Weaknesses The presence of the company is not that strong when it is compared to the other watch companies that are present in different countries. Another main weakness of the company is that it does not uses extensive strategies for advertising when compared to other experts of the watch making industry (Pla, Pelletier Bertrand, 2014). Opportunities The company has tried to increase its number of stores from 2011 onwards, which has helped the customers by providing them a better and wider reach. The category of luxury watches is becoming vastly popular in the markets, as it is appealing to the customers of the developing markets in a better manner. Threats The number of fake watches bearing the same identity of the logo of the company has surrounded the market and they sell at a cheaper rate. The other luxury brands of watches offer stiff competition to Hublot due to its increased reach among the customers through better advertisements, which has helped in attracting the customers towards it and decreased the sales of Hublot (Pinkhasov Nair, 2014). Competitor analysis The Australian market consists of many exotic watch companies, which provides tough competition to Hublot. The companies such as Zenith, Rolex and Tissot have a very good presence in the market due to the use of extensive advertising campaigns, which has helped in attracting majority of the customers. The rival companies are very active on the social media platforms, which helps them in attracting the customers for increasing the sales of their products (Donze, 2014). Marketing objectives The primary marketing objectives that the company can adopt in the Australian market are as follows: Simple he company needs to set its objectives in a simple manner so that it can be achieved in an easy manner. The objectives have to be set in a manner, which will help in associating the audience with the brand. This will help in selling the product in a better manner, as the customers can understand the value and the need of the watches. The interest among the customers will rise once they can understand the aim that the company wants to set in the market. The company tries to innovate the products in a better manner so that it can provide the customers with a new type of product, which are not similar to the previous models (Bello, 2016). Measurable The company has to study the market in a better manner so that it can understand the trend that is being followed in the market, which will help in selling off the product in a better manner. The use of the sales metric system will help the company in gaining a better understanding about the figures of sale that the company may try to achieve in the market. This will help the company in providing a detailed report to the stakeholders so that the information can be communicated in an efficient manner within the company (Ostapenko, 2016). Attainable The company needs to establish a better distribution system so that the product can be marketed in a better way within the Australian market. The distribution system needs to be efficient so that the product can be available in the retail store of the company along with the online system so that the customers can avail both the options in purchasing the product. The watches that are provided by the company follow the trend that is present in the culture of the consumers within the Australian market. The products made by the company help the customers in developing a better taste with respect to fashion in the wristwatch category. This will help the company in increasing their sales within the market (Donze, 2014). Relevance The setting of the objective, which is of high standard, will help the company in growing in a better manner, as the company will invest a large number of resources. The amount that will be invested by the company will help them in marketing the product and distribute it accordingly within the Australian market. Time The objectives that has been set by the company needs to be achieved within the first six months so that it can create the maximum impact on the customers. This will help the company in attracting the customers towards themselves at a faster rate so that the rival companies cannot take the opportunity by providing the customers with an advantage (Sicard, 2013). Financial objectives Profit maximization objective This objective helps in growing the interest of the owners towards the retail store, which results in taking better decisions. The competition that takes place within the market helps the company in maximizing its profits by applying the various economic theories. The revenues and costs have to be calculated in a better manner so that it can help in maximizing the profit of the company. This objective will help the company in making profits within a shorter span of time (Theurillat Donze, 2017). Wealth maximization This objective will help the company in maximizing its wealth with the action that will be taken up by the senior management. The action will be based on the difference of the present value of the company in the market and the cost of value of the company. The actions that will be taken up will help the company in increasing its wealth. This objective will help the company in ensuring its survival within the market and help in the growth of the company as well. The risk of the company can be calculated in a better manner so that it can be avoided on a prior basis, which will help the company in the long run (Semens, 2016). Sales maximization The growth of the company will also depend on the marketing and sales that the company will do so that it can attract the customers. The revenue from the sales will benefit the company, as the share of the company in the market will increase that will create a positive impact on the status of the company in the Australian market. The increase in the sales of the company will help the company in earning better revenues, which will help the company in gaining some prestige in the market within the first six months (Theurillat Donze, 2017). Marketing mix strategy Product The product that will be offered by Hublot is a watch known as Big Bang Blue, which is a limited edition watch manufactured by the company. The product will be available for only a few customers, as only hundred pieces will be made for the market. Thus, it will increase the demand among the potential customers who have developed an interest in luxury watches (Sicard, 2013). Place The company has opened its retail outlet in Sydney, which is one of the marketing hubs in Australia. The presence of affluent people and a better demographic structure in the place will help in attracting the customers towards the brand. Sydney is one of the major commercial centres in Australia, as there are many multinational corporations that are operating in that place. This will help the company in selling the product in a better manner (Semens, 2016). Price The price of the product is high, as it will appeal only to the affluent section of the people in the society. The product will have a limited supply in the market and belongs to the category of luxury watches, which has an influence on the price of the product. The price will be competitive with the rival companies such as Rolex and Tissot so that it can help in attracting the customers (Bochenek Blili, 2014). Promotion The company will promote its product by using the social media platforms in an efficient manner so that it can help in grabbing the attention of the customers. The advertisements will be present in Facebook and Twitter, as most of the younger generation for whom the product is manufactured are hooked on to these sites. This will help the company in spreading awareness about the product among the target customers (Tallent, 2014). Digital Marketing communication plan The company will promote its product extensively on the social media so that it can have a wider reach in the market and the customers can be aware of the product that is available in the market. The company has also sponsored many events in the Australian market such as the Golden Snipper, Racing events and the Autumn Carnival that is held in Sydney, which has ensured the awareness of the product within the customers. These have helped the company in associating on a close manner with the target customers so that the product can be sold in an easy manner (Schaffmeister, 2015). Action plan Plan 1st Month 2nd Month 3rd Month 4th Month 5th Month 6th Month SMART Specific Measurable Attainable Relevance Time Financial objective Profit Wealth Sales (Source: Created by Author) Reference List Bashutkina, M. (2016, July). Building strong luxury brand in Swiss Watchmaking industry. In2016 Global Marketing Conference at Hong Kong(pp. 426-435). Bastian, M., O'shea, T., Solur, S. V., Spate, B. (2016).U.S. Patent No. D756,244. Washington, DC: U.S. Patent and Trademark Office. Bello, O. O. 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