Marketing Strategy and Plan Net Population

Question: Discuss about theMarketing Strategy and Planfor Net Population. Answer: Introduction The net population of the place Brighton is near about 36,667 along with having around 15,119 houses. On the other hand, the average number of people in each household is 2.6. However, three types of strategies are there to increase the number of visitors and to meet the desired revenue margin for the company Royale Brother. ABS 2011, 2011 Census QuickStats, ABS, viewed 29 September 2016, https://www.censusdata.abs.gov.au/census_services/getproduct/census/2011/quickstat/205650911?opendocumentnavpos=220. The initial strategy for rectifying the turnover of Royale Brother is to distribute flyer all over Brighton through e-mail. As there are more than 15,119 houses in Brighton having 2.6 people average, the awareness program through distributing flyer will be done by mailing the flyers to 30% of the suburban houses. According to the expectation, among the 30% of the houses, near about members of 12% of the household will read the mail with utter interest while it could not be determined properly whether the rest of houses will read them or not. Most importantly, as per the assumption, only 3% of that 12% will react to the main interest of the mail and will prosperously visit the restaurant to taste the burgers. From that number of people it can be estimated that a net profit of near about $939.25 can be acquired per month. It is because, each burger cost $17.5. Nevertheless, the awareness or the promotion campaign will cost almost $165 as the design of the premium flyer will be customized and expected to be delivered in 48 hours. The printing cost for 10,000 flyers will amount to $338 and it has been decided that initially only 4,536 flyers will be printed. Therefore, the cost will be $153.5. However, the distribution price for the target houses will be $38 each and as according to the plan, near about 4,576 flyers will be sent to the mailboxes. Therefore, the total cost for distribution would be $190. On the other hand, the marketing cost will be considering the estimate rate - $508.5 and fortunately the supposed revenue of first six month would be $939.25*6 that is equal to $5,635.5. ABS 2011, 2011 Census QuickStats, ABS, viewed 29 September 2016, https://www.censusdata.abs.gov.au/census_services/getproduct/census/2011/quickstat/205650911?opendocumentnavpos=220. Bell Print 2016, A5 FLYER DEISGN, Bell Print, viewed 29 September 2016, https://bellprint.com.au/graphic-designs/flyer-design/a5-flyer-deisgn.html. Bell Print 2016, FLYER DISTRIBUTION MELBOURNE, Bell Print, viewed 29 September 2016, https://bellprint.com.au/flyer-distribution/flyer-distribution-melbourne.html. Bell Print 2016, FLYER PRINTING, Bell Print, viewed 29 September 2016, https://bellprint.com.au/flyer-printing/flyer-printing.html. George Dixon 2015, what % is a good response rate for targeted flyers?,Mosaic HUM, viewed 29 September 2016, https://www.mosaichub.com/answers/question/what-is-a-good-response-for-targeted-flyers. The next strategic policy is to enhance the number of customers to raise profit scale by inviting the audience who will pass by the restaurant. There is a popular shopping centre near the restaurant; hence, a footpath signal will be convenient. The sign will help to attract the eyes of local people who are the daily shoppers and it can be expected that the sign will work well to convince the mind of the people. The message on the sign will give a direction to the location of the restaurant along with showing a delicious image of burger with a catchy tag line. Consequently, it is well assumable that most of the shoppers will take interest to try the food. The total cost for printing and designing the sign along with installation will be probably $479. Additionally, the restaurant has to pay around $389 to get the trading permit on yearly basis. Therefore, the total cost for marketing stands for $868. It is significant to note that almost 3,667 inhabitants are found potential shoppers of that local shopping centre which is 10% of the entire population of Brighton. At the initial stage it has been decided to target only 6% shoppers to understand whether the footpath sign is working or not. Finally, it has been planned to attract 3% of the shoppers to try the cuisine of the restaurant. As the cost per burger is $17.5 and if 3% or 7 shoppers will try the food, then perday the profit will be $122.5 and monthly it will turn out to be $3,721.55. Therefore, in coming six month the estimated profit will be probably $22,329.3. Bell Print 2016, A1 POSTER DESIGN, Bell Print, viewed 29 September 2016, https://bellprint.com.au/graphic-designs/poster-design/a1-poster-design.html. Officeworks 2016, Outdoor Poster Stands, Officeworks, viewed 29 September 2016, https://www.officeworks.com.au/shop/officeworks/Print-And-Copy/Outdoor-Poster-Stands. Bayside 2016,Footpath trading, Bayside, viewed 29 September 2016, https://www.bayside.vic.gov.au/living_in_bayside/business_in_bayside_footpath_trading.htm. ABS 2011, 2011 Census QuickStats, ABS, viewed 29 September 2016, https://www.censusdata.abs.gov.au/census_services/getproduct/census/2011/quickstat/205650911?opendocumentnavpos=220. The final strategy is to enhance the number of the customers who already have visited the restaurant for fine dining on a frequent basis. The plan is to increase the volume of loyalty among the existing ones. The company is expecting that by providing loyalty card to the existing customers, there is probability that those consumers will come twice per month. The loyalty card has been decided to give 2% discount. Additionally, the company has decided to select 1000 permanent consumers to give them the opportunity to become prime customers and to enjoy more discount offers. This will be called loyalty program, with the help of which the company is expecting that the customers will visit more than twice a month. The consumers will supposedly spend an amount of $35000 for twice visiting the restaurant, while being prime customers they will visit more. Therefore, the revenue will elevate up to $52000 per month. By having 2% discount along with being engaged into the loyalty program, the p ermanent customers will visit more than two times a month. With every third visit, $0.35 will be given as discount for each visit; therefore, the total amount of discount will be $350. Between the year 2006 to 2007, operating revenue excluding tax has been $368.3 and the profit margin has been 3.8%, therefore net profit used to be $1,995 as margin profit. If the discount will be added then such a profit will turn down to $1,645. The expense rate for the loyalty program will be estimated based on the rate of printing card and designing it. Around $60 will cost for each card and the price of the changing system will be $3000, therefore total marketing will cost $3,060. ABS 2011, 2011 Census QuickStats, ABS, viewed 29 September 2016, https://www.censusdata.abs.gov.au/census_services/getproduct/census/2011/quickstat/205650911?opendocumentnavpos=220. Vistaprint 2016, Loyalty Cards, Vistaprint, viewed 29 September 2016, https://www.vistaprint.com.au/loyalty-cards.aspx?couponAutoload=1expiredCouponCode=t7xkrd95rnz4GP=9%2f26%2f2016+8%3a48%3a52+AMGPS=4094388110GNF=1. ABS 2011, 2011 CAFES AND RESTAURANTS, ABS, viewed 29 September 2016, https://www.abs.gov.au/ausstats/abs@.nsf/Latestproducts/8655.0Main%20Features32006-07?opendocumenttabname=Summaryprodno=8655.0issue=2006-07num=view=#SUMMARY%20OF%20OPERATIONS. Conclusion The second strategy has been selected, as it will be the apt way to raise the number of the customers. Moreover, footpath signs are also helpful to attract other passing by people instead of the shoppers. The fortunate part about this is fee for trading permit is valid on yearly basis, which will help the restaurant to promote and gain more benefits. Therefore, $868 is required for the plan. As per the plan, 6% of the shoppers are expected to be influences among which 3% will visit the restaurant per day. Thus, the estimated revenue will be $122.5 each day and will turn to $3,721.55 on each month. The promotion plan will be conducted for six months according to which the expected revenue will be $21,461.6 excluding tax.