Situation Assessment and Analysis (1–3 pages) In your first assignment your team conducted a SWOT analysis for Allround. Work within your team to update your SWOT analyses based on what you know at th
Running head: PHARMASIM MARKETING PLAN- PART 2 PharmaSim Market Research MAR 3803: Marketing for Managers July 26, 2020 SWOT Analysis Strengths “Superior resources and/or skills that can be drawn on to exploit opportunities and diminish threats.” Weakness “Deficiencies in resources and/or skills that inhibit the firm’s ability to capture opportunities or that must be overcome to avoid failure or underperformance.” Opportunities “Environmental (consumer, competitors, channels, economy, technology, deregulation, etc.) states of being or trends with positive consequences. They provide a potential new basis for competitive advantage and provide a possibility of improved performance if pursued.” Threats “Environmental states of being or trends with negative consequences. They may impede the implementation of strategy, increase the risks of strategy, increase the resources required, or reduce performance expectations.” Primary Competitors The over the counter (OTC) cold and allergy market, is a extremely competitive market. Ethik Incorported and B&B Health Care is one of Allstar brand biggest competitors in the market. Ethik Incorporated has the highest earning in manufacturer sales of $396,000,000. Ethik has 3 brands on the market, Effective, End, and Extra. Effective is a nasal cold spray, End is a 4-hour cough liquid, and Extra is a 12-hour cold capsule. B&B Health Care earns $286,000,000 in manufacturer sales. B&B Health Care offers Believe, a 4-hour allergy capsule and Besthelp, a 4-hour cold capsule. Advertising plays a major role in establishing brand awareness among consumers and in helping to shape consumers’ perceptions of products. Therefore, each company differentiate Price, Product, Promotion, and place. Allstar spent $20 million on Allround’s advertising campaign, primarily for commercials aired on network television. Competitive advertising budgets for last year ranged from $1 million for the Effective brand to $16 million for Coughcure. Differentiated Allround from Competitors Our brand, Allround, differentiated from competitors by form, duration, and formulation of our product. We chose to use a liquid versus using capsules or spray, because cough medicine usually found in liquid form to help soothe throat irritation. We selected the 4-hr duration to allow consumers a shorter window of time to have this OTC medication in their system, especially if they continue to work. Our brand formulation differs from other brand due to us being only brand that offer the maximum dose of analgesic, antihistamine, decongestant, cough suppressant, and alcohol content in a 4-hour multi-liquid OTC medicine. Analgesic provides relief for aches and fever. Antihistamine reduces the secretions that cause runny nose and watery eyes. Decongestants reduces nasal congestion by shrinking the blood vessels in the nose lining to clear the passages and restore free breathing. Cough suppressants reduces the cough reflex. Provides a base for the other ingredients in some products and helps the patient rest. Based on the symptoms being reported by consumers, having a produce that treats multiple symptoms, treats most consumer symptoms and soothe the side effects of them helps keep our product in high demand over competitor products. Primary Target Market Segment Allstar is one of five OTC nighttime cold and allergy companies marketing ten medication brands. The target market of Allstar products falls in the category of over the counter (OTC) cold remedy market. The target markets are separated in two different segmentations. The demographics is the first segmentation that includes young adults, young families, mature adults, and retirees. The other way the market segments consumers is by illness; cold, cough, and allergy. Allstar has expanded the product categories in the OTC market from cold to cold and allergy. The demographic target for the pharmaceutical product is relying on the medication to provide relief for colds, coughs, and allergies. The extend 12-hour duration is more appealing to target customers that need long lasting symptom relief. By expanding the product category and adding time to the relief of symptoms will allow Allstar to target more potential consumers. References Digital Marketing Blog. 2020. Defining what is digital advertising and why you need it. Retrieved from: https://www.lyfemarketing.com/blog/what-is-digital advertising/#:~:text=Digital%20advertising%20is%20the%20process%20of%20publishi ng%20promotional,your%20business%20directly%20to%20where%20your%20audience %20is Kinnear, T. C., James, S. W., & Deighan, M. (n.d.). Pharma Sim Marketing Management Stimulation. Retrieved July 12, 2020, from https://schools.interpretive.com/fsui3/data.php?token=0https://schools.interpretive.com/fs Techopedia.com. 2020. What is social media marketing (SMM)? – Definition from Techopedia. Retrieved from https://www.techopedia.com/definition/5396/social-media-marketing-smm
Situation Assessment and Analysis (1–3 pages) In your first assignment your team conducted a SWOT analysis for Allround. Work within your team to update your SWOT analyses based on what you know at th
‘ . Industry Outlook – Year 7 Economic Outlook for the Industry Current Forecast Population Growth 0.9% 0.9% Industry Growth 4.1% Same Inflation Rate 3.8% 5.0% Distribution % Direct 64.1% % Wholesales 35.9% Cost of Sales Force Sales Rep Salary $38,092 Average Expenses $19,046 Training $12,697 Cost of Marketing Research Test Market $126,973 Consumer Survey $126,973 Operating Statistics $57,138 Sales Force $25,395 Advertising $44,441 Digital Marketing $44,441 Promotion $44,441 Channel Sales $31,743 Pricing $25,395 Shopping Habits $19,046 Shelf Space $31,743 Recommendations $25,395 Performance Summary – Year 7 Summary of Results Selected Industry Data Allround AllroundPlus Total Mfr. Suggested Retail Price $6.75 $5.46 Total Manufacturer Sales $2,554.9 Average Discount 18.6% 23.4% 19.7% Total Unit Sales 633.2 Unit Sales 66.4 24.6 91.0 Total Sales Force Spending $80.3 Manufacturer Sales $364.7 $103.0 $467.7 Total Advertising Spending $147.3 Promotion Allowance $58.4 $15.4 $73.8 Total Digital Marketing Spending $17.2 Cost of Goods Sold $92.8 $31.5 $124.3 Total Promotional Spending $82.5 Gross Margin $213.6 $56.0 $269.6 Total Net Income $618.8 Promotional Expenditures $11.0 $5.8 $16.8 Note: dollar amounts (except Manufacturer Suggested Retail Price, Stock Price, and Marketing Efficiency Index) are in millions. Advertising Expenditures $21.6 $4.8 $26.4 Unit Sales values are in millions. Digital Marketing Expenditures $2.6 $1.0 $3.6 Shelf space is shown in linear feet. Product Contribution $178.4 $44.4 $222.8 Sales Force $20.6 Administration $15.4 Fixed Costs $77.8 Net Income $109.0 Cumulative Net Income $938.2 Stock Price $36.95 Marketing Efficiency Index $1.62 Capacity Utilization 75.9% Share of Retail Sales 14.2% 4.1% 18.3% Share of Mfr. Sales 14.3% 4.0% 18.3% Share of Unit Sales 10.5% 3.9% 14.4% Average Shelf Space 1.8 1.2 Trade Rating 7.3 6.7 Brand Awareness 86.7% 54.1% Consumer Satisfaction 65.5% 49.0%