Michael Kors Smart Smartwatch is a product of an American Fashion wear house, Michael Kors Holdings Limited. The Brand is named after the Company’s chief executive officer Michael David Kors. The Company which was founded in 1981 is a reputable organization specialized in men and women ready to wear fragrance, footwear, Jewelry, Smartwatches, and accessories. Michael Kors Smartwatch is one of the most popular brands from Michael Holdings Limited. The Fashion Smartwatches are made in collaboration with fossil Group with which Michael Kor Holdings Limited has signed a licensing agreement. Michael Kors Smartwatch presents a luxurious brand whose pricing reflects its quality and value. Michael Kors Smartwatch which is designed for both men and women share some unique features such as leather straps, stainless steel, and water resistance. This report presents a marketing plan for Michael Kors Smart Smartwatch. Its main objective is to evaluate and analyze the brands marketing strategies, target market and how these strategies can be effectively used to reach the targeted market. The plan presents an analysis of Michael Kors Smartwatch, which is open of the most sought-after designer product in various parts of the world. The plan begins with an overview of the product followed by a description of the marketing mix which includes promotion, place, price, and product. It also identifies the targeted market and analyzes the marketing messages and strategies that will be used to attract the market. The market analysis part is divided into primary and secondary markets identified by their specific attributes. The plan concludes with an identification and explanation of the type of purchasing decision for the product.
The product element of the marketing mix specifies the particular needs intended to be satisfied by a particular product, the sizes, and shapes of a product, its associated features, use, its name, differentiation and prices(Chávez et al., 2017). The concept of marketing is grounded in the product. The specific features of a product make it more desirable and easy to sell. The product can, therefore, be viewed as the most important aspect of the marketing plan. Without the product element, other marketing mix elements would be of no use(Schreyer, Schmidt and Torgler, 2017). Michael Kors Smart Smartwatch is designed with a deep understanding of the needs of the targeted market. It does not only satisfy the needs that can be satisfied by other existing Smart watches but comes in unique designs and shapes. It is also made up of unique materials that make it more desirable than competing brands. Michael Smart Smartwatches, therefore, presents additional benefits to those offered by competing brands. The Smartwatch is made in either chronograph or analog, with a durable leather strap, water resistance ability and stainless steel feature. The Smartwatch is designed using mother of pearl and Swarovski crystals. It comes in silver or black design with yellow gold rose gold or gunmetal. The unique design and characteristics of makes Michael Kors smart Smartwatch better placed than the competing brands (John et al., 2017). Its unique attributes communicate the product’s value proposition to its potential customers.
For a product to meet its intended purposes, it must be priced in a way that the targeted market will be willing to purchase. The money spent on a product should be equal to the value gotten from the product (Crawford, Brennan and Parker, 2017). This fact makes consumers very sensitive to prices. This fact should, therefore, be taken into account when making pricing decisions. In addition, the pricing should be within the range of products offered by competing brands. The price of a product is one of the aspects that create demand. If the targeted consumers feel that the set prices of products are worth it, they are likely to buy the product. In the event that they perceive the value to be lower than the price, they are unlikely to buy. All these aspects need to be taken into consideration when setting the price of a product (Parsons, Maclaran and Chatzidakis, 2017). For Michael Kors Smartwatch, 2nd-degree price discrimination strategy will be adopted. Under this strategy, different prices will be charged depending on the quantities of the product bought. The recommended retail price will be $199 for each Smartwatch. This price represents the value of the luxurious Smartwatch
Place refers to the physical locations where users or consumers of a product can get it conveniently. The place component of the marketing mix creates values for products by moving them from the producer to the consumer. This component is also concerned with aspects such as where users and consumers can get their product and how they can get it (Constantinides and Fountain, 2008). This is where other players such as the wholesalers and retailers come in. This component of the marketing mix makes it possible for the producing organization to earn from their product. It specifies the distribution channels to be used, the stores where the product will be stocked and other locations where the targeted users can get it (Onkvisit and Shaw, 2008). The product will be distributed through direct and indirect distribution strategies. It will be moved from the producer to the consumer without any intermediaries or move from the producer to the Producer, to the wholesaler, retailer then finally to the consumer. The product will be available in major stores around the world. Consumers can also make their orders from the Company’s websites and have their orders delivered to their physical locations. The consumers can also buy the product from Amazon stores. The proposition value for the new product is communicated by the fact that it will be availed in global chains such as Amazon (Pansari and Kumar, 2017).
Promotion is a term used to refer to the process of creating awareness about the existence of a given brand, product or service (Sicilia and Palazón, 2008). Promotion is also used to persuade the targeted market to buy the product. This communication may include elements such as advertising, personal selling, sales promotion publicity and direct marketing (Louis and Lombart, 2010). This kind of communication is important in generating inbound traffic for a product.
For Michael Kors Smartwatch, both traditional and contemporary strategies of marketing will be used. These strategies will include television, print, and outdoor advertising.CSR Programs will also be used in the promotion and creating awareness about Michael Kors Smartwatch. To supplement these strategies, YouTube promotion videos will also be used. These will be specifically designed to inform targeted users on the benefits that come with the designer watch and why they should choose it over any other available in the market (Sheth, 2017). These videos will be uploaded on the mother organization’s YouTube Channel. Due to the stylish nature of this watch and the fact that it is likely to be a preferred gift for many during specific months of the year such as Christmas, valentines and Yew Year, promotional schemes will also be used. Finally, promotional techniques such as events sponsorships will be used.
Organizations operate in diverse markets made up of different categories of potential consumers. A primary target market represents a class of consumers who are likely to associate more with a certain product (Andrews and Shimp, 2017). This, however, does not mean that the primary target market should always be the largest market segment. While the primary market represents the people who are likely to buy a product immediately, secondary market represents the people who are likely to buy by the influence of the primary market or in the future.
The profitability of a brand is dependent on this market. Some of the attributes of this market include similar behaviors and characteristics. They are also more likely to buy now and account for the highest number of sales (Sahaf, 2008). The primary target for this product is expected to be the high income earners who are not yet rich. This class represents a population that values a luxurious life but which can afford things such as designer watches which fall within their budget range. In simple terms, this class of consumers includes a class of high-income earners who cannot be defined as rich yet. Their spending habit is considered to be lower than that of the class of people who can be referred to as rich. The increasing popularity of this class of consumers makes Michael Kors Smartwatch watch a viable product. The high-income earners who are not yet rich are a strategic primary market because the Smartwatch represents a specific class that would want to show off with a worth brand without putting too much pressure in their pocket.
Satisfaction of the needs an organization’s potential customers besides its primary target market is likely to be an uphill task. These markets will be classified according to the specific needs and want of these different populations. Segmentation will be used to achieve this objective. It is the process through organizations or marketers divide their market into different consumers segments sharing similar characteristics. This process will come after the primary target market has been identified. It will also be important in ensuring the profitability of the Michael Kors smartwatch. Segmentation ensures a more accurate targeting of consumers.
Under demographic segmentation, a market is segmented according to the level of education, income levels, ethnicity, family size, gender, religion, race, and age. Demographic segmentation will be used for Michael Kors smartwatches. The main reason for this decision is the fact that the buying patterns displayed by consumers including the types of products they tend to buy more and the amount of money spent on such purchases are to a large extent determined demographic factors (Young et al,2010). It is expected that the new product will be popular among educated middle-income earners, people with smaller families belong to the youth or young adult bracket. These will also come from genders, different ethnicities, and religions.
This strategy is commonly used when an organization’s customers are located in a certain geographical area or different geographical areas. These different geographical locations are attributed to differences in the consumer preferences. Small businesses serving a wide demographic customer segment are more likely to adopt geographic segmentation. Under this segmentation attributes such as state and regional differences are used. Demographic segmentation can affect a product’s marketing mix, as well as the choice of the channel of marketing and promotion because potential customers are differentiated by their geographical location ( Solomon, et al.,2014). We believe the needs of our potential consumers from different geographical locations. Our marketing strategy will, therefore, include ensuring that we meet these divergent needs satisfactorily
Individual values, attitudes beliefs, and opinions are also an important contributor to their consumer behavior. Psychographic segmentation is the process of segmenting a market based on the above-mentioned attributes. Psychographic segmentation helps marketers to better match the needs of their different customer segments with the attributes of a product (Bamossy and Solomon, 2016). Psychographic segmentation differs from behavioral segmentation in that it considers the buying behavior of consumers including their social standing and lifestyle.
This segmentation refers to the process through which marketers consider consumers buying behavior in coming up with smaller homogeneous groups of consumers. This segmentation is based on aspects such as consumers buying patterns such as benefits sought, loyalty to a given brand, and frequency of usage. The main reason for behavioral segmentation is to ensure that consumers with similar interests are grouped together so that they can be effectively targeted (Hong and Li, 2017). It also facilitates customization of a product to meet the needs and wants of the targeted consumer segment. Some of the most successful behavioral segmentations have been on the Smartphone. Products such as those belong to Apple have their products designed for premium users while others such as Samsung and Blackberry phones are designed for android enthusiasts and business people respectively.
Consumers purchase decision is dependent on a wide range of factors. Among them is the ability and willingness to pay for the product. Consumers purchase decisions may change with time as a consequence of other factors such as influence from social media and close associates, economic factors, social factors, cultural factors, personal factors and psychological factors. The consumer purchase decision-making process is made up of several stages. The first stage in the consumer’s decision-making process is problem recognition. Here a consumer establishes a need that they would like to satisfy. After the problem has been recognized, the search process begins. This process involves searching for available alternatives that can be used to satisfy the identified need. Thirdly consumers evaluate the available alternative to identify which of these alternatives can satisfy their existing needs satisfactorily (Amesbury, Winchester, and Kennedy, 2017). This evaluation may be influenced by factors such as the price or reviews. The evaluation stage is followed by the selection stage. Here consumers evaluate their purchase with regards to their existing need. Here they seek to find out whether their purchase satisfies their want or not. The type of purchasing decision involved in this case is high. This is the product is targeted at a class of consumers who earn a high income but who cannot be considered rich. This class does not live an extravagant lifestyle. The fact that Michael Kors SmartWatch is both a luxurious and expensive product means that consumers will be highly involved when making their purchase decision.
Conclusion
In conclusion, Michael Kors Smarts presents a classic product targeted at high-income earners not yet rich yet. This is a class of people who desire to live a luxurious life without straining their budgets. The marketing of this product will, therefore, be in line with all the relevant marketing strategies and elements Michael Kors Smart Smartwatch is designed with a deep understanding of the needs of the targeted market. It does not only satisfy the needs of that can be satisfied by other existing Smart watches but comes in unique designs and shapes. It is also made up of unique materials that make it more desirable than competing brands. This product is better placed to create high demand among the targeted consumers. The price of the smartwatch will depend on the quantity bought with high quantities attracting a lower price compared to lower quantities. It will be available in major online and physical stores around the world. Print and none print promotional mediums will be used to create awareness about the existence of the product. Because of the luxurious nature of the product, it will involve a high purchasing decision.
References
Andrews, J.C., and Shimp, T.A., 2017. Advertising, promotion, and other aspects of integrated marketing communications. Nelson Education.
Amesbury, Z., Winchester, M. and Kennedy, R., 2017. Brand user profiles seldom change and seldom differ. Marketing Letters, 28(4), pp.523-535.
Bamossy, G.J., and Solomon, M.R., 2016. Consumer behavior: A European perspective. Pearson Education.
Chávez, P.H., Bernal, A.V., Menéndez, P.A., and Velázquez, B.B., 2017. Social media marketing on popular sugar-sweetened beverages Facebook and Twitter pages in Mexico. The FASEB Journal, 31(1 Supplement), pp.640-38.
Crawford, R., Brennan, L., and Parker, L., 2017. Introduction. In Global Advertising Practice in a Borderless World (pp. 19-29). Routledge.
Constantinides, E. and Fountain, S.J., 2008. Web 2.0: Conceptual foundations and marketing issues. Journal of direct, data and digital marketing practice, 9(3), pp.231-244.
Hong, G.H., and Li, N., 2017. Market structure and cost pass-through in retail. Review ofEconomics and Statistics, 99(1), pp.151-166.
Louis, D. and Lombart, C., 2010. Impact of brand personality on three major relational consequences (trust, attachment, and commitment to the brand). Journal of Product & Brand Management, 19(2), pp.114-130.
John, L.K., Emrich, O., Gupta, S. and Norton, M.I., 2017. Does “liking” lead to loving? The impact of joining a brand’s social network on marketing outcomes. Journal of Marketing Research, 54(1), pp.144-155.
Onkvisit, S. and Shaw, J., 2008. International marketing: strategy and theory. Routledge.
Pansari, A. and Kumar, V., 2017. Customer engagement: the construct, antecedents, and consequences. Journal of the Academy of Marketing Science, 45(3), pp.294-311.
Parsons, E., Maclaran, P. and Chatzidakis, A., 2017. Contemporary issues in marketing and consumer behavior. Routledge.
Schreyer, D., Schmidt, S.L. and Torgler, B., 2017. Game outcome uncertainty and the demand for international football games: Evidence from the German TV market. Journal of Media Economics, 30(1), pp.31-45.
Sheth, J., 2017. Revitalizing relationship marketing. Journal of Services Marketing, 31(1), pp.6-10.
Weinberg, B.D., and Pehlivan, E., 2011. Social spending: Managing the social media
mix. Business Horizons, 54(3), pp.275-282.
Sahaf, M.A., 2008. Strategic marketing: making decisions for strategic advantage. PHI Learning Pvt. Ltd.
Sicilia, M. and Palazón, M., 2008. Brand communities on the internet: A case study of Coca-Cola’s Spanish virtual community. Corporate Communications: An International Journal, 13(3), pp.255-270.
Solomon, M.R., Dahl, D.W., White, K., Zaichkowsky, J.L. and Polegato, R., 2014. Consumer behavior: Buying, having and being (Vol. 10). London: Pearson.
Young, W., Hwang, K., McDonald, S. and Oates, C.J., 2010. Sustainable consumption: green consumer behavior when purchasing products. Sustainable development, 18(1), pp.20-31.
Essay Writing Service Features
Our Experience
No matter how complex your assignment is, we can find the right professional for your specific task. Contact Essay is an essay writing company that hires only the smartest minds to help you with your projects. Our expertise allows us to provide students with high-quality academic writing, editing & proofreading services.
Free Features
Free revision policy
$10Free bibliography & reference
$8Free title page
$8Free formatting
$8How Our Essay Writing Service Works
First, you will need to complete an order form. It's not difficult but, in case there is anything you find not to be clear, you may always call us so that we can guide you through it. On the order form, you will need to include some basic information concerning your order: subject, topic, number of pages, etc. We also encourage our clients to upload any relevant information or sources that will help.
Complete the order form
Once we have all the information and instructions that we need, we select the most suitable writer for your assignment. While everything seems to be clear, the writer, who has complete knowledge of the subject, may need clarification from you. It is at that point that you would receive a call or email from us.
Writer’s assignment
As soon as the writer has finished, it will be delivered both to the website and to your email address so that you will not miss it. If your deadline is close at hand, we will place a call to you to make sure that you receive the paper on time.
Completing the order and download