Final Business Model and Strategic Plan
stacey123m
week_2_paper.docxRunning head: INNOVATION IN BUSINESS 1
INNOVATION IN BUSINESS 7
Innovation in business
Jerry Seigle
Fredric Hibbler
For any kind of business the implementation of a small business innovation research (SBRI) programs is very key to business success since it enables the business to remain at the competitive edge. The innovation program in a business stimulates technological innovation among small private sector businesses as the same time providing the government with cost-effective new technical yet scientific solutions to various challenging mission problems (Committee for Capitalizing on Science, Technology, and Innovation, 2009). At the state level, such innovation are likely to aid the USA in stimulation its economy through encouraging small businesses to market innovate technologies in the private sector.
Our company has been serving various consumers with fruit bouquets to numerous consumers nationally and internationally for the last one decade. Currently we would wish to expand our business in an innovative manner through the inclusion of handcrafted fruit arrangements in addition to gourmet chocolate dipped fruits to a number of fetes and occasions such as birthdays, anniversaries, graduation, get well also congratulations to business events besides client gifts. The new division will be offering the purchasing operations of bouquets through means of customers ordering them online or by phone. This will be in line to our aim of achieving the company’s mission of being the creator and global leader in the fruit bouquet category. In this spirit, we are planning to lead all marketing, advertising, sales promotion, e-commerce, customer insights, and store design also customer loyalty programs for the various franchising chains located globally. If this is achieved in our business, then for sure we could have made milestones in customer relationship management.
The best kind of business model that can be applicable for our enterprise’s new division to achieve the foresaid mission is the manufacturer model that is popularly referred to as the direct model. The basic idea behind this is that it creates its product which in turn reaches the consumers directly and thus a compress distribution chain is foreseen. This kind of model is thus hailed for its efficiency, improved kind of consumers’ service as well as a better understanding of the customers preferences. Closely enter-twined with this model will be the use of ERP system as part of our management information system. The main function of an ERP in this new division is basically helping in top-management planning especially by aiding in strategic planning in the financial planning and business imperatives; help in sales planning through marketing plans; utilized in production planning through capacity planning (John, 2012). Our company is striving to attain profitability through the efficient and economical usage of various resources as well as labor. Through a financial roadmap, there is a proper allocation of resources so that business objectives are achieved as well as our mission.
In the urge of maintaining customer relationship, we will be measuring their satisfaction and expectations. Various metrics are used in trying to measure customer satisfaction also expectations in commercial and industrial enterprises in a bid to gauge the viability of the business. Through continuous measurements, the degree to which a product meets or exceeds the customer’s expectations about the product is well evaluated. The basic understanding on how customer expectations about the product and how they are formed are derived from here. It is also good to carry out continuous measurements since customers may hold many different types of expectations in the form of ideal, normative, experience-based and minimum tolerable expectations depending on the situations surrounding them ( Ferrell & Michael, 2012). Additionally, there is a connection that cp-exists between expectations and alternatives in a wide spread variety of market products makes serving customers in this kind of highly commoditized markets so challenging.
In contrast to reengineering, the new division’s management will use the idea of continuous improvement as it seeks for ways of improving the various business processes at the company level as well as adding value to a number of products and services. In the process of continuous change will definitely result into customer satisfaction and loyalty apart from ensuring that long term profitability for the company. In fact, my level of approach will be a little bit different form manufacturing companies which employ continual product changes and improvements such that my approach will be stemming from blue ocean strategy to acquire the desire market segmentation.
Another implement will be a customer database. A part from the bio-data that will be contained in the database, there will be also inclusion that will depict the customers preferences and the frequency of visits they come to buy from the organization. I will be using the internet to connect to customers apart from putting busloads of efforts in the creation of a 360-degree, holistic view of each and every customer. I will be collecting customer information at every point where I shall contact a customer-sales, loyalty programs, surveys, direct mail advertisings, sales promotions (contests and sweepstakes, not forgetting various forms of affiliate programs pertained to fruit and chocolates merchandising). From this type of information, I will use it in the creation of customized communications together with product offerings for each of the approximately 40 million customers that will be in our database.
In analysis of the database information, I will employ the use of a sophisticated type of segmentation system which will be analyzing various transactional behavioral pattern sin the form of regency, the frequency of visits also monetary. This kind of system all the same combines these measures with gift buying behaviors. The foresaid information will then be linked to every customer’s psychographic profile so as to create targeted messages for each customer segment. From here, our company will exploit varied range of metrics- be it financial, customer retention also acquisition, brand awareness, purchase intentions, as well as customer recommendations in measuring our performance over time.
In a bid to increase customer loyalty, it is in my goals to launch a Fresh Rewards, which is basically a point-based loyalty program. Under this kind of platform, our customers will earning a point for each dollar that they spend, and then afterwards get a Fresh Reward pass through emails once they accumulate a total of 200 points. There will also be higher tiered sorts of programs for the customers who may spend $400 or $800 per year. Despite the program increasing customer loyalty, this Fresh Rewards program on the same line will allow the company to gather more in-depth information from the customers. In line with marketing strategy, I will launch even a stronger social bond with customers who are located all over the global platform through launching applications for multiple smart phones also online store through Face book.
I too understand that the key to success will be the ability to integrate also leverage the massive amount of data that I will be collecting from our customers. I will also consider the old-school approach towards understanding customers. My training as a social worker has aide me in understanding the need for solid relationship with our consumers. I will be going into the field to talk with our customers. During special events such as Mother’s day and Valentine’s Day, I with other Executive shall answer phone calls; do a deliverance of products, apart from working within the company retails stores. I shall put is clear to my counterparts that our competitors are all about the sales, we will be about relationships. We are aiding our customers in connecting with vital individuals in their lives by means of sharing drinks that maybe be created also designed for specified relationships, occasions, also sentiments. This will be our difference.
In getting to our customers, I will be inclining into the use of blue Ocean Strategy that is enhanced through social networking. This incorporates systems such as 3.0 social media technologies in the form of WhatsApp, face book, Bebo alongside LinkedIn. Such systems allow members of a specified site to learn about other member skills, talent, knowledge and preferences. The blue ocean move here will be discussed in line with YouTube. Potentially a large number of viewers that take action (word of mouth marketing) is the attraction of internet campaigning. A well-placed link on a popular website, or passed from friend to friend, might generate millions of page hits very fast. Thus, the influence of You-tube has of recent caught the attention of numerous marketers. Through tapping into the You-tube facilities, that is, individuals that share common kind of identification, enterprises find it easy in mobilizing interest via what can be termed as viral-marketing techniques.
An important aspect of the blue ocean move is the sense that it rejects the basic tenet of the conventional strategy, that is, the idea that a trade-off does exist between value and cost. This thus means that the companies do create either greater value for customers at a higher cost else they create reasonable value at lower kinds of costs. Thus, strategy is a choice made between differentiations alongside a low kind of cost. Based on the information there-before, it is crystal clear that the blue ocean move posse’s advantages such as creation of uncontested market space. Secondly, they make the competition in any kind of market segmentation irrelevant since new products are created (Wolfgang, 2015). The blue ocean move is able to create yet capture new demands in the market through the coming along with new kinds of products as well as services. Another importance fact that blue ocean strategy is tied with is the fact that it breaks the value or cost trade-off. Finally, the blue ocean technology aligns the whole system of any enterprise’s activity in the pursuit of differentiation in combination with low cost.
REFERENCES
Committee for Capitalizing on Science, Technology, and Innovation: An Assessment of the Small Business Innovation Research Program , Policy and Global Affairs , National Research Council .2009.An Assessment of the Small Business Innovation Research Program at the Department of Defense. National Academies Press
Wolfgang D . 2015. The Concise Encyclopedia of Communication. John Wiley & Sons
Ralph S & George R.2009. Principles of Information Systems. Cengage Learning
John S .2012.Statistical Process Control. Routledge
Ferrell O & Michael H.2012. Marketing Strategy.Cengage Learning
