Principles of Marketing MRKT 3611
College of Economics and Political Science
Sultan Qaboos Univeristy
Fall 2020
Group Project (Marketing Plan) Declaration
Date: 9th December 2020
Course Code and Title: Principles of Marketing MRKT 3611/ Section: 30
Project Title: Marketing Plan for Amwaj Perfume
Team Leader Name: Manar Ali Said Al Balushi
Instructor Name: Dr. Marwa Al Hinai
| Student ID
(in the ascending order) |
Full Name | Signature |
I (We) hereby confirm and certify that all answers supplied in this assessment are my (our) own work based on my (our) own efforts and personal research and study. If any attempt of plagiarism or academic misconduct was reported or traced by the instructor, I (we) understand that I (we) will face SQU C-15-1 regulations on Student Academic Misconduct Penalties.
I (We) declare that this assignment is all my (our) own work and the sources of information and material which I/we have used, including the Internet sources, have been fully identified and properly acknowledged through citations and references, as required by the referencing style of American Psychological Association.
I (We) confirm that this assignment, or parts of it, has not been previously submitted for evaluation elsewhere.
I (We) agree that, if necessary, investigations can be made regarding the authenticity of this assignment.
I (We) have read and understood the SQU’s policy on academic misconduct and plagiarism.
Executive Summary
In this report, we do a marketing plan for Amwaj perfume company. The report includes the current marketing situation for the company which includes environmental analysis. Then we talk about marketing strategy. Also, we discuss the marketing activity which contains the marketing programme (4 P’s). we make this marketing plan to help the company upgrade their products to meet the customer’s needs. Moreover, to recognize the target market.
Introduction
A marketing plan refers to setting up several objectives for marketing activities and determining and scheduling the activities that will be necessary to achieve these goals and objectives. It is concerned with meeting the marketing objectives and these objectives might be long term or short term. These activities need to be adjusted, considering the preferences and tastes of the customers. Therefore, a marketing plan encompasses the commitment of designs of programs and resources for a certain period that can be looked into. This has nothing to do with the range or term. This research consists of information about a marketing plan that will give an in-depth analysis of the marketing plan for spree fashion and watches (Wood, 2011).
The owner sayyid Hamoud had the big dream of restoring the great Arabian art of perfumes in the region. The Amwaj perfume company is a luxury company that was established in 2016 in Oman. It was established by the Sultan of Omani. The company mostly uses traditional ingredients such as incense, agarwood, spices, rose, and musk. The developers of the scents in Amwaj company are perfumers that come from the significant flavor and fragrances companies. The company was started in 2016 and developed a website in 2016. The company however closed its operations in 2017 because of low sales. The owners of the business were not sure how to handle the situation. It is therefore essential that the business, plan and implement a rebranding and reposition strategy. The name of the business needed to be changed so this changed business name can be identified and it can attract a wide range of target clients who may come from a different cultural background (Turin, 2010). Previously, the business got the capital for start-up from a private investor. The business should think of getting financial assistance from the same source during the process of repositioning. It is essential to change the name of the company, plan, and implement a repositioning strategy to help the business become successful.
Current marketing situation:
Half of the individuals who purchase our products (branded fashion and watches) are between the age of forty years and eighteen years of age. This age group buys more perfumes per capita than those of the older age group. This makes part of our main market segment. The procurements are more likely to be by the clients in the Midwest and the northeast part of the country. A lot of the purchases are expected to be by an impulse which requires a solid point of purchase support. The marketplace is so full of competition from other brands and designers. The business has a good understanding of the manufacture of high quality, innovative, and freshly smelling perfumes that will allow us to give the clients value in branded perfumes. We will also improve our distribution to other outlets for branded designer perfumes in the country (Mitchell, 2006).
Environmental analysis
The environmental analysis will be internal and external (microenvironment, macroenvironment). Amwaj perfume company is implementing a repositioning and rebranding strategy that will enable us to capitalize on the current and potential opportunities in business. The internal environment and the external analysis will assist the business to identify the essential threats and opportunities of the business.
Microenvironment:
Company
Amwaj is one of the most famous brands of luxury fragrance that was founded in 1983. The company is situated in Oman and is now operated by one of the Omani SABCO group named Oman Perfumery LLC. The organization was founded in the region of Sultan Qaboos bin Said in the demand of the Sultan. Therefore, the company is known as a luxury brand, and upper-class families and Sultans of Oman and other countries can purchase the perfumes due to their high prices. Initially, the organization only introduced perfumes for the upper-class people of Oman. But later, the organization was expanded on a national and international basis, which showed that the organization had spread its business all over the world. Later the organization has also introduced various other materials for the luxury of people such as home, bath, and leader goods. Now the range of material has been increased in the organization, and people are now getting more benefits from the organization due to the large variety of items. All the items provided by the organization are known for their distinct quality and efficiency, due to which people have great trust in the organization. Now the people are very much satisfied with the organization, and it has been determined from the research that the Sultans of Oman and other countries only relied on this brand due to efficient quality. Now the competition has also been increased in the market as many organizations have started their business in the competition of Amwaj. But there is not the only organization that is taking competitive advantages as compared to the Amwaj. Thus, it is clear from the research that the organization is one of the most famous and well-known brands of all kinds of luxury items (Ghouse, 2019).
Suppliers
The suppliers of Amwaj are known for their marketing strategies and have been distributed all over the world. The organization has made collaborated with various companies to supply or distribute the products in Oman. Also, in other countries so that more customers can get attracted to the products. The organization has implemented various marketing strategies such as the suppliers of the products and services have marketed their products in the social media application as use of social media applications such as Instagram, YouTube, and WhatsApp have been increased. People of all age groups are using these applications. Therefore, it is not difficult for the organization to target a specific age group of people. The suppliers of the organization have also made collaborated with Amazon. Because it is considered one of the most significant online services all over the world (Naber, 2012). The people believe the Amazon which showed that the suppliers of the organization are well efficient and play an essential role in the progress of the organization. The organization has also expanded its business and provide its products to different suppliers. So, the organization can get more competitive advantages as compared to the other organizations present in the market. The organization is already getting competitive advantages in the native region. Therefore, the suppliers have been contracted to other parts of the world, to increase the loyalty of customers in other parts of the world. Now the organization has more than 21 branches all over the world to supply the products throughout the world, especially in developed countries, because the products are expensive and cannot be afforded by people living in developing countries. Thus, it is clear from the research that Amwaj is working in both physical and online systems so that more customers can be attracted and the rate of productivity as well as the profitability of the organization, can be increased.
Marketing Intermediaries
There are various numbers of organizations that are not involved in the selling of products or services directly to customers instead of. For this reason, they make collaborate with the marketing intermediates so that they can use different techniques to enhance the rate of sales in the market. The marketing intermediates are involved in the implementation of different necessary techniques to get the customers and to sell the products to them. Thus, there is not any link between the Amwaj and final users as marketing intermediates link these two groups. The marketing intermediates are also known as a middle person, and some of the examples of marketing intermediates are retail, wholesalers, agents, and brokers (Buckley, 2011). These people enter the market by making an efficient commitment with the organization whose products they are marketing. Thus, the organizations sign a long-term contract with the marketing intermediates. So, the products can be supplied to the final users efficiently and easily. The channel that is used by marketing intermediates for the supply of products to the customers or end-users, is named as the channel of distribution of marketing channel. Thus, for this purpose, Amwaj has also made collaboration with the marketing agents or marketing intermediates for long term purpose so that more benefits can be taken from the business. The primary purpose and goal of the organization are to expand the business and attract more customers. So, the rate of sales can be increased, and more benefits can be taken from the business. The organization uses raw materials and applied different techniques on the raw material and convert them into finished products according to the needs and preferences of the customers (Notta, 2015). Thus, after making finished products, the organization supplied the products and goods to the marketing intermediates, and they use different distribution channels to deliver the products to the customers. The customers are the main target of the organization and the organization and its marketing intermediates use different techniques to target the customers. The organization uses different methods to take feedback from the customers. So, the products and services can be according to the demand, needs, and preferences of the customers. Thus, it has been found that the organization is dealing with different suppliers and marketing intermediates so that the products can be delivered to the customers in expand places too.
Competitors
The competitors of the organization are also trying their level best to enhance their business in all the best the world. It has been determined that various numbers of competitors have been entered the market but cannot become able to get competitive advantages as compared to the Amwaj. The organization used distinct formulas and high-quality raw materials for the production of products and services according to the demand of customers; therefore, the organization can get more competitive advantages. Gucci Bloom is considered a significant competitor of the organization because the organization is also providing unique fragrances to attract more customers.
Public (stakeholder)
There is a public (stakeholder) that have actual and potential interest and impact on our company. They help us to achieve our objectives, such as the financial public, government public, media public, internal public, the general public, and the local public. For example, the financial public influences our company to obtain funds from the bank and stockholders. Also, management must take government development into account. So, we have a lawyer for our company to help us if we face any issue. Moreover, the media public, such as newspapers, magazines, blogs, and TV stations, helps us to advertise our company and make it known in the community faster and wider. Besides, the internal public include workers, managers, volunteers, and the board of directors, each of them impact our company.
Customers
The customers are the main preferences of the organization, which showed that the organization made products according to the needs and preferences of the customers. Most of the organization’s customers belong to different cultures; therefore, the organization has made such perfumes that are according to the customer’s nature and religion (Mogos, 2015).
Macroenvironment:
Demographic Analysis
The organization has made collaboration with the retailers and suppliers of the most populated customers area so that the customers can be targeted there, and the organization can get more benefits from the increase in sales. The major branches of the organization are located nearest to the Palace of Kings of Oman. So, that they can become attracted toward the product and take seriously to purchase the products regularly.
Economic Analysis
Oman is considered as one of the developed countries with efficient, economic stability. Therefore, the organization is dealing with the most expensive raw materials for the manufacturing of perfumes according to the needs and preferences of the customers. The organization was founded by the King of Oman, which showed that the organization is very much stable based on the economy. The country with which the organization is dealing are also developed countries. Therefore, the economic condition of the organization is better as compared to the other organizations present in the market.
Natural Analysis
All the products and services of the organization are made up of natural products. So, fragrances can become more efficient and attractive to customers. Natural materials such as flowers and related things are used for the manufacturing of final products.
Technological Analysis
The organization is using distinct technology to attract more customers and to penetrate the market. The technology used for manufacturing purposes within the organization is automated. It is well enough to make the most attractive and efficient products for the customers. So, they can become satisfied with the products and services. The technology being used in the organization is expensive, and the purpose of the technology is to make products that can attract more customers and can make them satisfied.
Political Analysis
The politics have a significant impact on the business of the organization. Because the products and services provided by the organization are costly and only upper-class people can purchase the products. When the political situation of the country becomes destroyed, the rate of sales is also decreased. As a result, productivity, as well as the profitability of the organization, becomes decreased. Thus, it has been found that the political situation of the country played an important role in the success of the organization.
Cultural Analysis
The customers of the organization majorly belong to Muslim society. Therefore, the organization has to follow the guidelines used by the Muslims for the fragrances. Therefore, the organization only used natural material for the production of perfumes instead of alcohol and other related products to enhance the fragrance of the products.
SWOT analysis:
Swot analysis is known as one of the very important tools used for strategic marketing that assist businesses to identify the critical threat factors and the primary external business opportunities for the company. Swot analysis is a strategic marketing tool that also assists the business to identify its weaknesses and strengths internally. The swot analysis tool is also known as the environmental analysis tool. This section of the marketing plan will outline the weaknesses, strengths, threats, and external opportunities of spree fashion and watches.
Strengths
The company has exclusive perfume designs.
The innovation of methods in products that provide the potential for new designs.
The company has experience in distribution channels for designer perfumes in the region.
Production of high-quality products.
The company has very effective customer service.
Strong online and PR marketing activities.
The business has unique promotional strategies (Helms, 2010).
Weaknesses
The business lacks proper brand awareness among targeted customers and clients.
The business has limited access to an efficient supply chain network.
The business has low start-up capital for the business.
The company does not have any experience in the distribution of their pieces to the retail stores.
The business does not any proper experience in marketing perfume products.
Opportunities
There is a high and growing demand for the branded and fashion designer perfumes.
There is a high demand for the online clients and consumers.
There are a growing and high demand for products economically and at reduced prices.
The fashion market is a fast-growing market compared to our current sales.
The demand for fashion designer perfume products by the clients and consumers creates the demand for innovative goods.
Threats
There is a very high competition in the market.
There is an economic slowdown.
Concentrated market shares.
There is a possibility of entries of new markets and new business with similar products.
Strategic Goal
The main purpose of the business is producing high consumer quality, and beautiful fragrance designer perfumes basing on high skills in the manufacturing of very good products. The marketing plan is based on providing the customers with, unique and high-quality products at affordable prices. The products will be presented in a variety of designs for both women and men. The movement and castings have other potential implications not mentioned in this plan.
Ansoff’s Matrix:
Market Penetration
The products and services of the organization have been penetrated all over Oman. The organization has also penetrated its market in foreign countries to get more benefits. Now the organization is supplying its products at both national and international level so that the growth, as well as sales rate, can be increased efficiently.
Market Development
The organization has also introduced its products in a new market such as in foreign countries so that the organization can attract more customers. The first branch of the organization was started in Oman but now there are more than 21 branches of the organization all over the world (Hussain, 2013).
Product Development
The organization is launching new products in the market so that more customers can get attracted to the organization. Initially, the organization was only dealing with perfumes and fragrances but now new products such as home accessories have been introduced to attract more customers so that the productivity, as well as the profitability of the organization, can be increased efficiently
Diversification
The organization has also introduced its new products in the new market with the help of social media application so that more people can get attracted and can buy products of the organization to increase the sales in the new market
Marketing strategy:
The business will work on introducing a new product and perfume designs regularly, the innovative bottle designs and perfumes, the use of pricing penetration, extensive and wide advertising, and expanding our distribution channels are to help the business increase sales and revenues thus increasing the growth rate generally for the company. The business will directly compete with many other businesses for branded and designer perfumes.
Market Segmentation and Targeting
The table below shows the market segment by the age of consumers.
| GE | Percentage of buyers | Population percentage for over 17 | The purchase index (relative) |
| 18-24 | 20% | 14% | 1.56 |
| 25-34 | 35 | 20 | 1.84 |
| 35-54 | 36 | 41 | 0.98 |
| 55+ | 14 | 30 | 0.55 |
The people under the age of thirty-five buy slightly above fifty percent of all our branded and designer perfumes, as indicated in the above table. One of the highest buying prevalence is those individuals from thirty-four and twenty-five years who buy seventy-four percent more products per capita than the other average consumers. The behaviors in purchases are estimated to vary among the different gender and age segment. The young ladies of below twenty-five are estimated to be intense purchasers. This age group is more likely to be so conscious in their styling, how they smell, and the fragrance of the perfume. The ladies in the age group of thirty-four and twenty-five will be the second most significant segment. They are estimated to buy more designer perfumes than any other gender or age segment.
The clients buying of the branded designer perfumes will also differ depending on the areas of regions they live or come from. This is illustrated in the table below. The relative index of the sale of the products indicates the sale is above average in some of the regions compared to other regions. The introduction of more products will most likely result in successful sales in these regions by the estimation from the information provided. The table below shows the product sales by region.
| REGION | SALES | Population in terms of percentage | Sale index |
| ENC | 21% | 16% | 1.43 |
| SA | 17 | 18 | 0.95 |
| MA | 16 | 14 | 1.16 |
| WEST | 16 | 22 | 0.72 |
| WSC | 11 | 11 | 1.00 |
| WNC | 9 | 8 | 1.15 |
| NE | 7 | 6 | 1.21 |
| ESC | 6 | 7 | 0.83 |
| MOUNT | 6 | 7 | 0.8 |
Table 2
Positioning
The organization has introduced unique products that are not available in the market so that more customers can rely on the organization to purchase that product. Thus, the organization has gained a position in the market efficiently, easily, and quickly due to the implementation of the efficient strategy. Now the organization is considered as the topmost brand present in Oman that is dealing with perfumes, fragrances, and other home-related products.
Marketing Programme:
The organization has implemented various programs and strategies to increase growth and sales efficiently. The market program of the organization is well enough to get more progress at the national as well as international level.
Product
We will introduce a certain number of different designs of the perfumes in the first year. These designs may be around twenty to thirty designs. For the perfumes, a quarter will be made of glass casings just like the traditional perfumes. These glass bottles are made for the target age group in their twenties and above. For the age group of twenty-four and below, we will design various unusual shapes and licensed characters that will fit their needs. The designer perfumes will also be designed with each of the age group in mind. The use of these strategies and others will help the company have a variety of character designs and products, making the customer have a variety to choose from. The shapes for the perfume bottles may include oval, hexagon, diamond, and trapezoid. The younger age group can have the shape of their designer perfumes made into cartoons and other animation characters. The perfume bottles will have a variety of colors and sizes so it can accommodate the preferences of everyone.
Price
The goods and products will be sold at a suggested price, starting from twenty dollars. The business believes that they have very high-quality products and advantages in their features. This encourages the price to be slightly above the other brands. This strategy in price, together with the company’s efficient production methods assist in achieving the high market share relatively for every new product entry.
Place
The business will introduce its branches in the northern part of the country within the first year of establishment and sell in the national market. With the existing distribution channels of seventy percent of the product sale, by restricting the sale of goods and products in other regions, we will limit the potential of the business. Although the business does not have its perfume shops, the distribution of their perfumes will take place in the other locations where we have our business. We will make use of our existing distributor makeups and delivery services.
Promotions
conclusion
In conclusion, the Amwaj perfume company is known for its unique products. Due to the implementation of efficient marketing strategies. The organization has some strengths, weaknesses, opportunities, and threats, but the organization is trying its best level to increase the business throughout the world. The organization is being penetrated in foreign countries too. So, the number of customers can be increased. The organization is also very serious about maintaining its position in the market. Therefore, a SWOT analysis has been conducted. There is no doubt that the organization is dealing with a lot of distributors at the same time to enhance the business in the market. The business will strive to invest and implement these suggested changes to the Amwaj perfume company and design projects. The business will also strive to attain a good percentage of the market share to enable the business to achieve its marketing and financial goals and objectives. As the business continues to operate, our market is expected to grow, and the cost of production is expected to reduce with the experience of rising the unit contribution. The biggest challenge, the business experience will be being able to track the needs, tastes, and wants of the customers and being able to meet these needs and wants. These will also allow the company to be able to be the leader in terms of innovations and being creative in their designs. The company should also listen to the complaints and reviews from their customers. This will go a long way in helping the company achieve its current goals and future goals. The customer is the center of any business and company. The customer will determine if the business will make a profit, achieve its goals, and be able to expand to other regions. We will develop ways in which the customer can communicate with the management to air their complaints and reviews. The positive reviews will help in increasing the trust and make the new customers interested in our products. We will also have sales, discounts, and giveaways to help in marketing the products of our company. These giveaways will attract a large number of participants and therefore, it can be used as a form of marketing for the products in our business. The business will also consider the current market trends to know what products to include in the business. This would be dependent on the age bracket of the customers because the different age groups have their personal styles. The twenties bracket prefers a certain style compared to the old age bracket. The twenties age group is very conscious of how they smell in public areas. If all the suggested strategies are implemented, the business would grow and achieve its current and future goals.
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