Virgin Megastore Essay Example

Virgin Megastore Essay Introduction:- Virgin is a huge mega store which has a lot of branches around all over the world. Virgin Megastore is a global leader in retail entertainment with over 14 stores throughout the Middle East. Since its establishment in the UAE in 2001, Virgin Megastore set an unbounded target of expanding its Middle East Territories as well as its product selection lines to fulfill to growing trends that are eminent for the region. A one-stop shop for all your entertainment needs, not just music, not only movies. Virgin Megastore offers a wide range of products, including CDs, DVDs, books, electronics, mobile phones, multimedia, games, accessories, merchandise computers and a whole lot more Virgin Megastore has created a whole new dimension in entertainment by catering to local cultures through events, activities and support of local artists in each market it enters. Virgin Megastore is truly a global brand with local flavor. With its unique shopping experience, Virgin Megastore is an innovative entertainment destination for the young and young at heart. As active sponsors of major entertainment events in the Middle East, Virgin Megastores support and partnership is not only innovative and interactive, but highly compelling too. And theres a good reason for that weve got the right mix of the target group coming into our premises every single day. So be it concert tickets or pop-idol merchandise, Virgin Megastore is the place to get it all. Virgin Group Brand Values * Fun = enjoyment and humor, not offensive and incompetent * Value for Money = Simple, not cheap Quality = Attention to detail, not expensive for the sake of it * Innovation = challenging convention, not different for the sake of being different * Competitive Challenge = responding to consumer needs, not being irrelevant * Brilliant Customer Service = empowered, not unprofessional people Marketing strategy and Marketing mix:- The strategic plan defines the companys overall mission and objectives. The goal of virgin mega stores is to create value for customers and build pr ofitable customer relationships. Virgin mega stores goal focuses on the satisfaction of the customer not on the profit itself. We will write a custom essay sample on Virgin Megastore specifically for you for only $16.38 $13.9/page Order now We will write a custom essay sample on Virgin Megastore specifically for you FOR ONLY $16.38 $13.9/page Hire Writer We will write a custom essay sample on Virgin Megastore specifically for you FOR ONLY $16.38 $13.9/page Hire Writer Virgin follows Market-Oriented Definition by which virgin brings inspiration and innovation to everyone deal with virgin. Next comes marketing strategy by which Virgin mega store hopes to create customer value and achieve profitable relationships. Guided by marketing strategy the company (Virgin mega stores) designs an integrated marketing mix made up of the factors under its control such as (product, price, place and promotion. To find the best marketing strategy and mix the company engages in marketing analysis, planning, implementation and control. In order to make all customers satisfy Virgin mega stores had first to understand the needs and wants of the customers so Virgin made careful customer analysis. There are too many different kinds of customers with too many different needs. 1) Marketing segmentation:- The market for virgin mega store consist of too many different types of customers such as (children, teenagers, young people or youth, even people above 60 years old no matter female or male, etc†¦Ã¢â‚¬ ¦. ), and too different types of product such as (Music CDs, DVD movies, books, play station games, Cameras, computers, TVS, mobile phones, T-shirts and Gifts, Games, etc†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. and the market contain also too many different needs. Virgin mega stores divided the market into groups according to the ages of the buyers or customers as the young people almost look for music CDs, DVDs movies, Teen agers especially boys are looking forward to getting the newest versions of play stations and the most recent Play Station games but for the adults or the grown up or even the elderly people they almost look for several kinds of books not only the newest one but they sometimes they look for very old books. Virgin had to understand the needs and wants of each age to deal will the customer and build strong relationships. Now Virgin deal with all ages and all genders, Virgin mega store is also working on understanding the customer needs, and wants through the customers income. Virgin mega store is serving the people who have well income which we could say rich people and middle class people. Market segment: For virgin mega store we could say that the market segment is the variety of products and serves in one place. 2) Market Targeting:- Involves evaluating each market segments attractiveness and selecting one or more segments to enter. Virgin mega store choose to serve several related segments as it targets college students, educated people, teens, and kids with the same upscale, high standard of living. 3) Market Differentiation and Positioning:- Generally after a company has decided which market segments to enter, it must decide how it will differentiate its market offering for each targeted segment and what positions it wants to occupy in those segments. A products position is the place the product occupies relative to competitors products in consumers minds. Virgin mega stores after choosing and targeting the segments it begins to make position to its products to it begins to make special offers in order to be different from the other competitors such offers are the prices of the products. Virgin Mega store offer discounts on the electronics amp; it has special delivery rules which insures to the customers peace of minds. Virgin mega stores also offer a unique and a comfortable service which is that Virgin has a lot of different products collected in the same store which make the process of buying needed stuffs easier and that will save much time for everyone. Virgin also gets a good place which it has little competitors and a lot of fans. In Egypt Virgin found little competitors. Virgin Mega stores offers more benefits to justify the prices , this is the customer value that provides competitive advantages upon which to build the position. In general effective positioning begins with differentiation . Differentiating the companys market offering so that it gives consumers more value. Once the company has chosen a desired position, it must take strong steps to deliver and communicate that position to target consumers. The companys entire marketing program should support the chosen positioning strategy. Marketing Mix: The marketing mix consists of everything the firm can do to influence the demand for its product. The many possibilities can be collected into four groups of variables known as the four Ps which are: Product, Price, Place, and promotion. a) Product: means the goods and services combination the company offers to the target market. In Virgin mega stores the products are: Books, Music, DVDs movies, T-shirtsamp; Gifts, omputers, Cameras, mobiles, Digital TVS, Play stations and electronics. Virgin mega store has a variety of products which suits for all the ages. b) Price: is the amount of money customers must pay to obtain the product. Virgin make the customer more satisfied from the price by offering discounts, trade-in allowances, and credit terms. These actions adjust prices for the current competitive situation and bring them into line with the buyers perception of the products value. c) Place: includes company activities that make the product available to target consumers. Virgin had to select its dealers carefully and supports them strongly. The dealers keep an inventory of the products, demonstrate them to potential buyers, negotiate prices, close sales, and service the products after the sales. Virgin deals with a large number of publishing houses in order to guarantee the availability of the books all over the year in order to serve all customers and satisfy all the needs. D) Promotion: means activities that communicate the merits of the product and persuade target customers to buy it. Virgin mega store spend a lot of money every year on advertising to tell the customers about the store and its many products and services and offers. Virgin tries its best to make the customer satisfied of what they get from it by making offers on the products and they try to get what lacks their store. Marketing Analysis, planning, implementation, and control:- Managing the marketing process requires the four marketing management functions, analysis, planning, implementation, and control. In general the company first develops companywide strategic plans and then translates them into marketing and others plans for each division, product, and brand. Through implementation, the company turns the plans into action. Control consists of measuring and evaluating the results of marketing activities and taking corrective action where needed. Finally, marketing analysis provides information and evaluation needed for all of the other marketing activities. a) Marketing analysis: managing the marketing function begins with a complete analysis of the companys situation. The marketer should conduct a SWOT analysis, by which it evaluates the companys overall strengths (S), weakness(W), opportunities (O), and threats (T). Strengths include internal capabilities, resources, and positive situational factors that may help the company to serve its customers and achieve the objectives. Weaknesses include internal limitations and negative situational factors that may interfere with the companys performance. Opportunities are favorable factors or trends in the external environment that the company may be able to exploit to its advantage. And threats are unfavorable external factors or trends that may be present challenges to performance. b) Marketing planning: through strategic planning , the company decides what it wants to do with each business unit . Marketing planning involves deciding on marketing strategies that will help the company attain its overall strategic objectives. The plan begins with an executive summary that quickly reviews major assessments, goals, and recommendations, the main section of the plan presented a detailed SWOT analysis of the current marketing situation as well as potential threats and opportunities. The plan next states major objectives for the brand and outlines the specifics of the marketing strategy for achieving them. c) Marketing implementation: Planning good strategies is only a start toward successful marketing. Marketing implementation is the process that turns marketing plans into marketing actions in order to accomplish strategic marketing objectives. Whereas marketing planning addresses the what and why of marketing activities , implementation addresses the who, where, when, and how. Many managers think that doing things right (implementation) is as important as or even more important than doing the right things (strategy) . d)Marketing control :Evaluating the results of marketing strategies and plans and taking corrective action to ensure that objectives are attained . Marketing control involves four steps . Management first sets specific marketing goals. IT then measures its performance in the marketplace and evaluates the causes of any differences between expected and actual performance. Finally, management takes corrective action to close the gaps between its goals and its performance. Virgin Mega Store marketing process :- Through the history of Virgin mega stores it applies the market process by a proper way. The market process steps are: Understanding the market place and the customers, Design a customer-driven the marketing strategy , Construct a marketing program that delivers superior value, Build profitable relationships and create customer delight, and finally capture value from customers to create profits and customer equity. )Understanding the market place and customers needs and wants: Virgin mega stores research the needs of the customers (children, teens , young people even the old people)they also studied all the levels of education from the students to the Doctors with high degree. The needs of those customers are between books, music, electronics , methods of entertainments and etc. ,†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ b)Design a customer-driven marketing strategy : By selecting customers to serve, Virgin choose the educated people and focuses on offering goods and services to them. Virgin also makes a unique style in order to take a unique place to the customers minds. c)Construct marketing program that delivers superior value: through the 4 Ps Virgin focuses their effort to make 1) Product : variety of products, it chooses the high quality of every category, they offer good Packaging. 2) Price : To get over the high prices problem Virgin offer discounts, payment periods, credit terms,amp; allowances. 3)Promotion: Virgin make a great effort to deliver the level of improvement of their products through TV advertisements, online advertisements, Radio advertisements. ) Place :Virgin choose city stars center in Egypt, which is a strategic place to every one as city stars is the biggest mall in Egypt and it is known abroad. d)Build Profitable relationship and create customer delight : Virgin makes sure that every customer gets what he wants immediately either if the store doesnt contain the product Virgin ordered it immediately for the customer. e) Capture the value from customer to create profits and customer equity: For Virgin the money which customers pay is not considered as a profit it is consider as a reward for doing their duties.