In this proposal, we discuss the marketing plan of our Peak Performance sportswear company. We start with an explanation of how and why we created our company the way we did, including our mission and goals. The plan moves into an in-depth analysis of our target market and how we intend to position our company for this target market. Also included is a SWOT analysis, a description of our product development goals, pricing strategies, and what the online shopping experience is like with us. We then explain how our promotion strategies work and how we evaluate marketing success at Peak Performance. The plan concludes with a look at our limitations. Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an Original Essay About Us Peak Performance is an innovative online retail company founded in 2010 that specializes in comfortable workout apparel for all body shapes. Because the company celebrates the individuality and uniqueness of every human being, we created a clothing line based on body shape and size. Using BMI statistics, Peak Performance developed an alternative sizing system for its clothing line to accommodate people of different shapes and sizes. Peak Performance's sizing system is different from other traditional clothing retailers. The sizes, based on the shape of the body, correspond to colors instead of the traditional ones: “small, medium, large, x-large”. Female body shapes include: green bean, carrot orange, peanut beige, pear yellow, and apple red (depicted in Figure 1 below). With both men's and women's sizing, as the size increases, the shade of each "size color" becomes darker. Figure 1 Male body types include: eggplant purple, leek green, beet red, and parsnip yellow (depicted in Figure 2 below). We provide informational charts and videos about body proportions (body size and shape measurements) and corresponding color on our website to help new customers navigate our sizing system. Figure 2Peak Performance is an environmentally conscious company that uses recycled materials to create its products. Through innovative technology, Peak Performance has invented and patented a new breathable material called polyethrinite. This material is perfect for workout clothes because it is lightweight, flexible and does not shrink. Polyethrinite is also highly desirable because it is a low-cost material, costing only $0.06 per square meter. This material is made and transformed into the exclusive training shirts that Peak Performance creates just three miles from our headquarters, making our deliveries extremely efficient. To create polyethrinite, Peak Performance organizes collection drives across America to collect used cotton and polyester T-shirts, which are transformed into polyethrinite through Rev's chemical technology. To increase incentives for donations, Peak Performance partnered with Yellowstone National Park, Yosemite National Park, and Bryce Canyon National Park. They offer free three-day admission to the parks, as well as three-day, three-night lodging for groups who donate over 2,000 used t-shirts to Peak Performance with each trip. Each group must be made up of fewer than ten people and trips cannot last more than eight days. Vision At Peak Performance, our vision is to see more Americans become active in their daily lives and feel more comfortable with their bodiesthrough the clothes they wear. We are also committed to recycling and keeping the earth green. Through innovative processes, we've created a recycled material that's great for both comfort and the environment. Mission Statement “Peak Performance's mission is to care for athletes and everyday people looking to get fit by providing comfortable, sensible sportswear and for the environment by giving new life to used products through recycling.” Goals starting from current year1. Sales of one million shirts by the end of the year2. Increase sales by 10% every year3. Average 50,000 page clicks per week on the web page4. Reach three million people every year through social media5 . Reach an additional 500,000 people each year through advertising6. Receive an A+ rating from the Better Business Bureau every year. Market Segmentation In order to identify our target markets and match marketable benefits to each group, the entire market has been segmented into. smaller groups based on geography, generation demographics and self-perception, gender and ethnicity, income, and the psychographics of health or environmentally friendly social trends. Target Markets Geography Peak Performance is an American online retailer operating exclusively in the United States. Because all materials and products are made and sold in America, feelings of patriotism drive supporters of the American companies we serve to purchase our products. We also donate a portion of our sales to maintain national parks, so even adventurers who take pride in their local area are encouraged to purchase our products while supporting an environmental cause. Generation and self-perception Our target, generational cohort is millennials or generation Y, both men and women, aged between 18 and 30. We found that the negative stigma that millennials are “entitled” gave us the ability to motivate them to have a positive impact on society. Through studying other companies that donate money to social causes (like Love Your Melon, Toms, etc.), our research has shown us that 68% of sales come from millennials. It seems that millennials are eager to break negatively associated stereotypes by supporting companies that make social change. Peak Performance also specifically targets those who are sensitive to their body type by emphasizing the lack of traditional size names: small, medium and large. – which often trigger negative reactions. This includes people whose body shapes fall within minorities and are often not sold by traditional retailers, giving Peak Performance the ability to target a market segment that is currently underserved. Gender and Ethnicity While lines with male body shapes are geared towards men and lines as female body shapes are geared towards women, both lines offer the flexibility to switch between them. This means that if a person has a more vegetal figure (traditionally associated with men) than a fruit figure (traditionally associated with women), they can choose items that best fit their body type without worrying about the traditional size differences between the two. genres. Our company also extends beyond ethnic boundaries by producing a range of clothing styles that cater to different ethnic groups across America. Income Our target market is also people with a medium level income. When creating our outfit we decided that we wanted our clothes to be expensive enough that we could make a profit, be able to donate enough funds to ourcause and give our items the appeal of being high quality simply because they are more expensive than low cost retailers like Walmart. We do not consider our prices premium as the cost of selling is not significantly higher than the cost of creating each item; however, our product prices are consistently slightly higher than those of our competitors. Since our store is completely online, we also need to reach people who have the means to access our store to make online purchases. Psychographics and Social Trends Customers who want to be healthier and are looking to "get fit" but don't know where to start are a primary target market for Peak Performance. When researching post-purchase feelings after purchasing workout equipment, we found that 88% of consumers feel no regrets about purchasing workout equipment and 52% of consumers feel that the new purchases will motivate them to make a change in their lifestyle. This has shown us that customers feel psychologically rewarded after purchasing workout clothing. Therefore, our product meets both functional and psychological needs. Fashionable activewear also helps consumers feel more confident about entering a gym and training facility. A recent study by the American Psychology Association found that people who wore workout clothes they found attractive were 32 percent more likely to join the gym and would stay at the gym twice as long as if they were not dressed in something they felt. he was attractive. This shows us that psychological views about physical self-image play an important role in convincing people to exercise. Our company also caters to those who are already focused on health and wellness issues. We found that in the last five years, gym memberships have doubled compared to 2012, Sam's Club grocery store has seen a 42% increase in produce sales, and Vitamin Shoppe has seen a 60% increase in vitamin sales. While these findings are not necessarily conclusive in showing that Americans are more health conscious today than in the past, they certainly appear to support this claim. We also followed various studies from the US Centers for Disease Control and Prevention and found that rates of obesity, hypertension and type 2 diabetes have doubled over the past decade, making healthy living even more necessary. follows eco-friendly social trends and caters to those who care about the environment. Our manufacturing process recycles used cotton and polyester T-shirts into new activewear, and we donate a portion of our profits to national parks for their maintenance. Those who donate can enjoy free three-day entry and overnight accommodation in these national parks while wearing their new eco-friendly activewear during their stay. Positioning To better understand our target market we conducted research on some of our competitors. Most notable are REI, Duluth, and Tentree. Tentree is the company we've done the most research on because, like Peak Performance, Tentree donates a portion of sales to an environmental cause, specifically to plant trees around the world. By taking a deeper look at these outdoor clothing companies, we were able to see what their demographics are, how they typically price clothing, and what they do for sales promotion. We might as wellsee how our customers would rank us compared to these companies and create a comparison chart to see where we stand compared to our competitors. As an entrepreneurial company, Peak Performance found it necessary to understand our competition so we know where we stand in comparison to them. We differentiate ourselves from our largest competitor, Tentree, because both shipping and returns are free to the consumer and our products are recycled. We leverage these differences in our marketing campaign to demonstrate that we are a premium value, eco-friendly retailer. Customer Excellence: Peak Performance is committed to making customers its top priority. To make the customer experience the best it can be, we start with employee experiences. We know that a happy employee makes a happy customer, so we continually strive to put our employees first. Every employee is treated with the same respect and compassion we want our customers to be treated with, and we see it pay off every day. Maintaining positive relationships with customers is essential. We want repeat and loyal customers to come back and do business with us because they are more than satisfied with our service. To facilitate these relationships, we have employees ready to answer concerns and questions 24/7 via an online chat or by phone at 555-555-3429. We also have sizing experts ready to help customers figure out what their "product size" is so they don't have to worry about sending products back. In the event that an item does not fit properly or has been packaged incorrectly, Peak Performance offers free returns for any customer. This encourages new shoppers to try our products due to the low risk associated with purchasing and encourages loyal customers to continue shopping with us and trying new item styles and colors. We also offer a loyalty program to all customers who sign up with an email address to receive promotional materials from us at special prices, which would not otherwise be available to customers. Our program also rewards customers who fill their closets with our products with one free t-shirt for every seven t-shirts purchased. These t-shirts have special branding on the front that we only use for these free t-shirts, marking the customer with a sort of badge of honor for shopping with us. We develop new designs for each “level” the customer reaches (e.g. first design as the eighth t-shirt, second design as the sixteenth t-shirt, etc.). This program benefits our customers because they receive a free t-shirt and it also benefits Peak Performance because we receive free advertising from the t-shirts we give away. With every special edition Peak Performance T-shirt we give away, a handwritten thank you note accompanies the packaging. We think this is a special way to show our appreciation to our customers. It also limits the amount of post-purchase anxiety our customers will have because they feel good about the donation their purchase creates to help maintain our national parks. While we create our shirts from recycled shirts, we also want to thank all the people who donate recycled shirts to our company. Each T-shirt donor receives a handwritten note thanking them for their donation to a worthy cause. We also offer them a 20% discount on their next purchase to encourage them to shop with us again. Peak Performance understands that customers want their products as quickly as possible. Just as the consumer can purchase our products 24 hours a day, we package the24 hour orders: This way all our products are shipped as quickly as possible. While other companies' products ship in 5-8 business days, we ship products the day they are ordered. Since Rev is located so close to us, we see no reason why our shipping process can't be efficient. SWOT Analysis Internal Strengths and Weaknesses As an apparel company valued at $225 billion in 2012, Peak Performance has carefully evaluated its internal strengths and weaknesses. One of the company's greatest strengths is selling directly from our business to our online customers. Without intermediaries, we have the power to ensure the product reaches the customer, from simple order to on-time delivery. Our product and store are accessible virtually everywhere. Second, by selling exclusively in the United States, we are able to avoid tariffs, quotas and exchange rates. Additionally, being headquartered in the Western United States is an advantage for us because we support three regional national parks. Many of our customers know the parks well and enjoy purchasing from us because they want their local parks to remain in excellent condition. We also have ongoing research and development to improve our product and increase the value of our product and our company. While our online retail will be strong, not having a store where customers can physically try our products and services could potentially reduce our sales numbers. and gross profit due to the number of consumers who do not yet shop online or prefer a traditional retail store. Additionally, although we offer a wide range of athletic apparel, our reliance primarily on the production and sale of T-shirts could pose a risk if sales decline. External Opportunities and Threats By analyzing the external environment, we assessed opportunities and threats on a larger scale. With the constant change of social trends such as fashion, the demand for new products with new materials and designs remains. The market for online clothing sales is growing and is expected to grow by 10% every year over the next ten years. As the population is estimated to increase by five million people per year, we expect the amount of clothing required to increase. As the population grows, it may become more difficult to transport, which will also contribute to the growth of online clothing sales. This aligns our online position with the future of the market. The United States is increasingly becoming a society focused on athletics and exercise, and as that is changing, so is the demand for performance apparel. Unlike our competitors, our goal is to become a revolutionary brand that fits athletes and everyday people looking to exercise more. That's why our shape-based sizing system is popular in US culture. Although we are starting in the United States, the opportunity to expand into any area of ​​the global market remains an option for the future. However, our company will have a small market share because we are a small, non-global company. We will face strong competition from domestic and international competing brands, such as Tentree. Securing the brand and producing materials to have stock so that customers receive the products as soon as possible will and is also a risk. ProductAt Peak Performance, we create breathable, stylish activewear for all body types. We are best known forOur quality athletic shirts, available in long-sleeve, short-sleeve and sleeveless, so athletes can stay at their peak performance. We have sizes for both male and female body types, with crossover between the two because we understand the unique dimensions of humans. We also have twenty different colors that also vary in style. All our products are made from our innovative, recycled and eco-friendly polyethrinite material. Polyetrinite is breathable and comfortable. We often read customer reviews thanking us for selling such quality material. Polyetrinite is perfect for exercise due to its ventilated nature. Customers feel confident when training with polyetrinite because it does not become heavy when wet and does not retain body heat. Research and Development As Peak Performance works to remain innovative with its products, we continually strive to stay ahead of our customers' ever-changing needs. Since many of our clients are busy parents training for physical challenges, they are sometimes forced to train in the rain, snow, or even at night. For this reason we are developing shirts that contain reflective material so that athletes wearing our brands are visible to cars and are safer. When our customers' needs change, our products change too. We work to ensure the safety and satisfaction of our customers. For almost a year we have been testing this concept and every day we are taking steps to ensure that our shirts are infused with reflective material. We worked on this design with NCAA Division One cross country athletes and gathered their input to incorporate it into the designs. The product is still in development, and unlike regular reflective clothing, we are working towards it being ten times more reflective than any material on the current market. After market testing, we see that there is a possibility for us to be at the top of the reflective gear market within the next six months. We hope to launch the final developed product in the next year, and when it hits the market, we expect our T-shirts to become the best-selling reflective items. Price: Pricing Strategy Peak Performance is a value-based company that continually develops top of the line, cutting-edge products to give our customers the greatest value. We set our prices so we can run our business efficiently, make a profit, and be able to donate a sufficient amount of funds to national parks. We first look at the prices of competitors, particularly Tentree, knowing that our t-shirt prices compete with theirs, so we set our prices to be slightly higher to give our products the perception of the higher price quality associated with higher prices. Additional discounts, sales promotions and price deductions are offered alongside our regular prices, which range from $15 to $50. Location: Partners, Supply Chain Members and Delivery We currently work with our corporate partner Rev, the manufacturers of our polyethrinite. Rev is offering us a great deal on their fabric because, compared to other retailers that Rev sells to, Peak Performance is the leader in polyetherhinite sales. This helped us develop a trusting, mutual relationship with Rev and opened up opportunities to contract with them. We plan to contract with them in January 2018. We also work with our second corporate partner, Bill's Recycled Cardboard, the packaging supplier forour shipments. We contracted with them in 2016 and use their recycled boxes to support our desire to be a more Earth-conscious company. When it comes to business to business transactions in addition to our partners, we work exclusively with national parks, such as Yellowstone National Park. We do not allow other stores to sell our products because we want to remain a unique, independent online retailer and be able to control how our brand is represented. An advantage of conducting exclusively business to consumer marketing is having a direct path to our customers, who can rely entirely on us. If something goes wrong, customers know exactly where to go and who to talk to to resolve their problem. Since some of our main marketing points are free shipping and return shipping, it would be difficult to provide and guarantee if other companies sold our products. Working with fewer partners has allowed us to better manage supply chain operations and maintain close relationships with our partners. Peak Performance's supply chain begins with Rev, our polyetherhinite manufacturer. After producing the fabric, they ship it to our company building. Bill's Recycled Cardboard sends the shipping packaging to our company building where Peak Performance assembles, organizes and packages the final products. Once the product is packaged, it is held until it is ready to be shipped or is immediately shipped to the customer. Promotion We want people to know what makes our company and our product different from our competitors. With our promotions, we try to excite and educate customers about our business and our offerings. We seek to expose customers to the experience of our products and services and keep them engaged and enthusiastic. We are proud of our biggest promotion of free daily shipping and return shipping. Our primary channels of communication with customers are through our website, customer service phone line and social media. Our website is the source that contains the majority of our educational materials and allows customers to experience our products and services. Any public information about our company and our processes, our founders and CEOs, recent company events, our products and sizes, as well as any discounts or sales promotions can be found in written articles and reports, images and video clips. Our website also offers a 24/7 option to chat live with a company representative or call a representative from our customer support line with any problems, questions, comments or concerns. Facebook, Twitter, Instagram and our company blog are the most used form of communication, which we mainly use to excite and engage our customers. We excite our customers by running sales promotions or our latest designs and styles by offering rewards for engagement. We engage our customers in design contests, refer-a-friend programs, sweepstakes and giveaways and ask them to tell us what they think by responding to polls, polls, posting comments, images or stories to share with the Peak Performance community. With hourly changes and updates, we stay fresh in customers' minds as they come back to see what's new. We believe word of mouth marketing is the best and most successful form of advertising, which is why we use social media heavily to reach our consumers. With "action posts" on our varioussocial media platforms, we encourage our consumers to share, comment and post photos of themselves wearing our products. We often offer random giveaways to people who actively promote our company on social media. Our goal is for our consumers' other followers to become familiar with seeing our name on social media and for us to then become at the forefront of each customer's internal search for information. This goal eliminates the potential of our competition, because we are the first company employees that people associate workout equipment with. Our high-quality apparel adds value to the customer experience when purchasing through Peak Performance. We are working on a marketing campaign that showcases the many features our products have to offer, putting to rest any ideas our customers may have about performance, financial, social, physiological or psychological risks. This is another way our handwritten notes help us. These notes open a model for open communication with our customers, even if not through handwritten notes, allowing them to feel comfortable expressing their concerns about their purchases to us. We hope this eliminates any negative word of mouth that may occur if our customers feel their needs are not being adequately met. By being personal with our notes, we show each customer that we care about them and want them to have a good experience. Evaluate and measure goals Understanding whether we are achieving our goals is important to us as a company. We work every day to reach our goal and monitor our progress. We track all our online sales through an automated system. At the end of each year we publish our annual sales and immediately work to increase the following year's sales by 10% over the next year. Based on the annual sales goal, quarterly goals are set to monitor steady progress towards the annual goal. We monitor the website itself very closely because that is where our sales transactions take place. Every week we monitor clicks on our website to ensure we reach our goal of 50,000 clicks per week. Peak Performance also tracks the performance of social media and other advertising by tracking the number of people reached through them to evaluate their effectiveness. Ultimately, our most important goal is to maintain an A+ rating from the Better Business Bureau to assure future customers that they can trust Peak Performance, which we can confirm with award letters. ConclusionPeak Performance has goals in place for the next five years to become a leading competitor in the market. As the analysis of our market segmentation, target markets and company positioning shows, the need for our company's product exists among various groups of people, and the level of profit we are looking for can be achieved by distinguishing ourselves from our competitors. The weaknesses and opportunities that arise can be overcome and are scarce compared to the opportunities available. These opportunities for growth and excellence exist both inside and outside the company and we can make the most of these opportunities with the marketing mix and strategies we have planned and mapped. As we strive to achieve our goals, we also have the means to evaluate and measure our progress while maintaining accountability. Limitations Please note: This is just an example. Get a customized document from our writers now.