Page 83 - Marketing Management

60 PART 1 UNDERSTANDING MARKETING MANAGEMENT

Sample Marketing Plan Pegasus Sports International*

1.0 Executive Summary 2.0 Situation Analysis
Pegasus Sports International is a start-up aftermarket inline skat- Pegasus is entering its first year of operation. Its products have been
ing accessory manufacturer. In addition to the aftermarket well received, and marketing will be key to the development of brand
products, Pegasus is developing SkateTours, a service that takes and product awareness as well as the growth of the customer base.
clients out, in conjunction with a local skate shop, and provides Pegasus International offers several different aftermarket skating
them with an afternoon of skating using inline skates and some of accessories, serving the growing inline skating industry.
Pegasus’ other accessories such as SkateSails. The aftermarket
skate accessory market has been largely ignored. Although there
are several major manufacturers of the skates themselves, the 2.1 Market Summary
accessory market has not been addressed. This provides
Pegasus possesses good information about the market and
Pegasus with an extraordinary opportunity for market growth.
knows a great deal about the common attributes of the most
Skating is a booming sport. Currently, most of the skating is recre-
prized customer. This information will be leveraged to better
ational. There are, however, a growing number of skating
understand who is served, what their specific needs are, and how
competitions, including team-oriented competitions such as
Pegasus can better communicate with them.
skate hockey as well as individual competitions such as speed
skate racing. Pegasus will work to grow these markets and
Target Markets
develop the skate transportation market, a more utilitarian use of
■ Recreational
skating. Several of Pegasus’ currently developed products have
patents pending, and local market research indicates that there is ■ Fitness
great demand for these products. Pegasus will achieve fast, sig- ■ Speed
nificant market penetration through a solid business model,
■ Hockey
long-range planning, and a strong management team that is able
to execute this exciting opportunity. The three principals on the ■ Extreme
management team have over 30 years of combined personal and
industry experience. This extensive experience provides Pegasus 2.1.1 Market Demographics
with the empirical information as well as the passion to provide
the skating market with much-needed aftermarket products. The profile for the typical Pegasus customer consists of the
Pegasus will sell its products initially through its Web site. This following geographic, demographic, and behavior factors:
“Dell” direct-to-the-consumer approach will allow Pegasus to
Geographics
achieve higher margins and maintain a close relationship with the
customers, which is essential for producing products that have a ■ Pegasus has no set geographic target area. By leveraging the
true market demand. By the end of the year, Pegasus will have expansive reach of the Internet and multiple delivery services,
also developed relationships with different skate shops and will Pegasus can serve both domestic and international customers.
begin to sell some of its products through retailers. ■ The total targeted population is 31 million users.

TABLE 2.1 Target Market Forecast

Target Market Forecast
Potential Customers Growth 2011 2012 2013 2014 2015 CAGR*

Recreational 10% 19,142,500 21,056,750 23,162,425 25,478,668 28,026,535 10.00%
Fitness 15% 6,820,000 7,843,000 9,019,450 10,372,368 11,928,223 15.00%
Speed 10% 387,500 426,250 468,875 515,763 567,339 10.00%
Hockey 6% 2,480,000 2,628,800 2,786,528 2,953,720 3,130,943 6.00%
Extreme 4% 2,170,000 2,256,800 2,347,072 2,440,955 2,538,593 4.00%
Total 10.48% 31,000,000 34,211,600 37,784,350 41,761,474 46,191,633 10.48%
*Compound Annual Growth Rate

Source: Adapted from a sample plan provided by and copyrighted by Palo Alto Software, Inc. Find more complete sample marketing plans at www.mplans.com. Reprinted by permission of Palo Alto Software.