New Works 08/03

Running head: Marketing Plan Milestone #2

1

Marketing Plan Milestone #2 2

Marketing Plan Milestone #2

Institution: New England College

Student’s name: Ruthvik Reddy Gidde

Date: 06/18/2021

The target audience intended for the product includes families or households, the owners and managers of hotels and restaurants. These are the areas in which home appliances are used where family’s needs home appliances such as kitchen appliances and laundry machines among others. Hotels and restaurants require home appliances used in preparation of different foods and drinks. Hotels also require some laundry machines such as washing machine to clean guest room beddings and other clothing. The owner of a restaurant may be the one in charge of making purchases and determining the most appropriate product brand to use when making the purchases. This involves the small scale restaurants and hotels which are operated as sole proprietorships or family business. For bigger hotels or chains of restaurants, the party in charge may be managers who evaluate different brands of home appliances in determining which brand to buy from.

The age demographic of the target audience varies depending with the reason for the purchase. This may involve individuals at the age of 18 years of age to 65 years of age. Home appliances are purchased at different times based on the reason for making purchases. For the younger individuals, it might be the first time they are purchasing the home appliances as they start families Also, the young individuals may be making purchases on the home appliances after opening a restaurant or a small hotel immediately after completing their college studies (Deepak & Jeyakumar, 2019).  This explains why part of the target audience comprises of the younger individuals of 18 years to 30 years of age. Also, there is the middle-age category which comprise of individuals between the age of 31 years and 44 years of age. This category represents people who already have families but are updating their home appliances to accommodate increase in the size of the family, replacing an appliance after break down. It may also involve managers making purchases for their restaurant or hotel enterprises. The last demographic category although with the lowest frequency is the older adult at the age of 45 years and above. This represents customers who make purchases of the home appliance products after the old ones get faulty and can no longer function well.

The average socioeconomic status of the target audience is the middle class citizens. This represents households with middle-income range of approximately & 48,000 to &140,000 annually (Jain, 2017). This represents individuals who can afford products that have a relatively affordable price, not too low and not too high. It also represents individuals who have limited disposable income after deducting their gross income all bills such as mortgage, medical covers and taxes.

There are several common traits among the target audience of the home appliance products developed. One of the traits is that the target audience associate price of the product with the brand. For instance, there is an expectation of what price they expect from LG products relative to other brands offering the product. In addition to the traits of the target audience is that they buy products based on their budget limit due to financial constraints. This makes them prefer durable products that have an affordable price.

The target audience of the LG home appliances prefers getting information from the internet and LG company site before making purchase decisions. For instance, if an individual wants to purchase a refrigerator, he or she checks for different varieties of the product and determines what qualities are used in assessing the quality or durability of the product. After creating the perfect qualities to look for the product, the potential buyer checks different varieties of the product to determine which brand offers products with the entire features at the most affordable price (Jain, 2017). The small percentage of the target audience with 50 years of age and above prefer getting information from the stores where they enquire from the sellers on the features of different products offered at the store.

It is important to research on the target audience in relation to the personal and buying characteristics before developing the product or launching the product to the market. This is because this provides a deeper understanding of what the target customers expect from the product and how to meet the expectations by integrating certain features on the product. A product that has been developed based on the personal traits of the target audience attracts customer loyalty from the customers. Based on the buying characteristics of the target audience, the organization can customize the marketing activities of the product to ensure they match the buying patterns of the product (Mooi et al, 2018).

With the emergence of the pandemic, LG should focus on reaching the target audience through mass media such as television, internet and social media marketing. This is based on the shift of majority people’s lifestyle with many of the people working from home and spending much of their time on internet, social media and watching television programs. Advertising the product through such channels increases the range of potential buyers who are made aware of the products offered (Gretzel, 2018).

References

Deepak, R. K. A., & Jeyakumar, S. (2019). Marketing management. Educreation Publishing.

Gretzel, U. (2018). Influencer marketing in travel and tourism. Advances in social media for travel, tourism and hospitality: New perspectives, practice and cases, 147-156.

Jain, R. (2017). BRAND PERSONALITY AND BRAND LOYALTY. CLEAR International Journal of Research in Commerce & Management, 8(6).

Mooi, E., Sarstedt, M., & Mooi-Reci, I. (2018). Market research. The process, data, and methods using stata.