Business Studies Marketing Strategy – The fitness House
The Fitness House is a new gym that is being set up. In order to ensure the survival of this new business, plans must be implemented and business strategies developed. In order to set up a new business, information about the potential customer base and their demands must be recorded. Such things as what equipment to provide, what times to operate and even how much they are willing to pay. This information will be recorded from the responses of the public.
As an alternative some data could be purchased from government records if select information cannot be found, but it is likely to be easier, cheaper and possibly quicker to include most questions in with any kind of survey. One of the first things that must be carried out is market research. This is to gather an idea as to what type of survey to send out, how to word it and what information I could expect to receive back. Also it will give an idea as to what questions to ask. Methods of Research:
The following is the definition of market research: “The collection, collation and analysis of data relating to the marketing and consumption of goods and services” Market research is necessary for any new business as not only gives an idea of want the public wants for this new enterprise are, but also shows the new potential company owner a whole new world of information, among which including: – If there is a demand for this type of business in the area – Where the new business should be located
– What specific items the business should provide – And how much money people are willing to pay for the service In general, there are four main types of market research that any one business could carry out at any point in order to find out the information stated above: – Descriptive – To identify what is happening now. For example is the market increasing or decreasing, or how are our customers (potential or otherwise)? – Predictive – To identify what is likely to happen in the future.
– Explanatory – To establish why something is happening. For example why has there been a drop in sales? – And Exploratory – To investigate new possibilities. For example through product trials and test marketing. As well as initial research, marketing and advertising must be taken into account. As this business is the first step of the company, not much capital is available to promote the gym. Thus, cheaper methods must be used. (i. e: local newspapers instead of country-wide ones, or smaller posters instead of huge billboards)