Marketability of CSR's 'IT7x2' Bluetooth Stereo Headphones in Australia (Research Paper Sample)

Marketability of CSR's 'IT7x2' Bluetooth Stereo Headphones in Australia Name: Course: Tutor: University: Date: EXECUTIVE SUMMARY This report assesses the marketability of CSR Bluetooth Stereo headphones in Australia. The report focuses on assessing the influence that various environmental factors, both macro and micro, will have on the marketing of this product. In this regard, the report establishes that political provisions regarding investments in consumer goods are likely to vary depending on the prevailing government and this means marketing of Bluetooth headphones in Australia will follow a strategy that that’s flexible to address not only the political changes but also social, technological, and economic factors. Competitor analysis indicates strong competition in the Australian headphones market with products such as Beats by Dre and Monster possessing a leading market share. With the introduction of CSR headphones the companies are expected to adopt more strategized marketing strategies to weaken CSR’s competition. These responses will be monitored and appropriate measured such as high level of differentiation will be adopted. Bluetooth headphones specifically targets Australian youth as it the section of the population. An effective marketing mix based on the 4P’s framework has been created for use in the target market. The Bluetooth headphones will be positioned on premium features and user basis. Major electronics outlets in Australia such as JB Hi-FI and Harvey Norman will be used for the distribution of the products. Promotions will make intensive use of web technologies such as social median networks and other internet marketing channels as the target market can easily be reached through these media. Table of Contents  TOC \o "1-3" \h \z \u  HYPERLINK \l "_Toc376725585"
1.0. Introduction  PAGEREF _Toc376725585 \h
4  HYPERLINK \l "_Toc376725586"
2.0. Environmental Analysis  PAGEREF _Toc376725586 \h
4  HYPERLINK \l "_Toc376725587"
2.1.0. Macro-environmental analysis  PAGEREF _Toc376725587 \h
4  HYPERLINK \l "_Toc376725588"
2.1.1. Political environment  PAGEREF _Toc376725588 \h
4  HYPERLINK \l "_Toc376725589"
2.2.2. Economic environment  PAGEREF _Toc376725589 \h
5  HYPERLINK \l "_Toc376725590"
2.1.3. Social environment  PAGEREF _Toc376725590 \h
5  HYPERLINK \l "_Toc376725591"
2.1.4. Technological environment  PAGEREF _Toc376725591 \h
6  HYPERLINK \l "_Toc376725592"
2.1.5. Environmental factors  PAGEREF _Toc376725592 \h
7  HYPERLINK \l "_Toc376725593"
2.1.6. Legal environment  PAGEREF _Toc376725593 \h
7  HYPERLINK \l "_Toc376725594"
2.2.0. Micro-environmental Analysis  PAGEREF _Toc376725594 \h
8  HYPERLINK \l "_Toc376725595"
2.2.1. S.W.O.T analysis table  PAGEREF _Toc376725595 \h
9  HYPERLINK \l "_Toc376725596"
3.0. Consumer Behavior Analysis  PAGEREF _Toc376725596 \h
9  HYPERLINK \l "_Toc376725597"
3.1.0. Potential Consumer Behavior  PAGEREF _Toc376725597 \h
10  HYPERLINK \l "_Toc376725598"
3.2.0. Potential Influencing factors  PAGEREF _Toc376725598 \h
10  HYPERLINK \l "_Toc376725599"
3.3.0. Potential Risks  PAGEREF _Toc376725599 \h
11  HYPERLINK \l "_Toc376725600"
4.0. Segmentation, targeting and positioning  PAGEREF _Toc376725600 \h
12  HYPERLINK \l "_Toc376725601"
4.1.0. Market segments of the market  PAGEREF _Toc376725601 \h
12  HYPERLINK \l "_Toc376725602"
4.3.0. Target market  PAGEREF _Toc376725602 \h
12  HYPERLINK \l "_Toc376725603"
4.4.0. Positioning  PAGEREF _Toc376725603 \h
13  HYPERLINK \l "_Toc376725604"
5.0. Critical analysis of the 4Ps  PAGEREF _Toc376725604 \h
14  HYPERLINK \l "_Toc376725605"
5.1.0. Product  PAGEREF _Toc376725605 \h
14  HYPERLINK \l "_Toc376725606"
5.2.0. Place  PAGEREF _Toc376725606 \h
15  HYPERLINK \l "_Toc376725607"
5.3.0. Price  PAGEREF _Toc376725607 \h
15  HYPERLINK \l "_Toc376725608"
5.4.0. Promotion  PAGEREF _Toc376725608 \h
16  HYPERLINK \l "_Toc376725609"
6.0. Recommendations  PAGEREF _Toc376725609 \h
16  HYPERLINK \l "_Toc376725610"
Reference List  PAGEREF _Toc376725610 \h
18  Marketability of CSR's 'IT7x2' Bluetooth Stereo Headphones in Australia 1.0. Introduction The marketability of any product in any market is dependent on many internal and external factors. Effective marketability also depends on a company’s effectiveness in other marketing activities such as market segmentation, consumer behavior analysis, target marketing, and product positioning (Burton, Parker, & Lawley, 2012). This report assesses the marketability of CSR's 'IT7x2' Bluetooth Stereo Headphones in the Australian market. The product’s most fundamental feature is that it incorporates functionalities that allow the user to control music without having to touch the mobile device (CSR plc, 2013). The product also features Bluetooth made with aptx technology, aimed at providing enhanced quality of wireless audio. 2.0. Environmental Analysis 2.1.0. Macro-environmental analysis This section gives an analysis of the various environmental factors that would affect the marketability of CSR’s IT7x2 Bluetooth Stereo Headphones in Australia. 2.1.1. Political environment Trade provisions in Australia are highly influenced by the prevailing government meaning that such provisions can vary from time to time thus affecting the imports and exports of consumer goods (Ensor, 2013). For example, Australia currently has ‘investor-state’ provisions for dispute settlement (Martin, 2013). The provisions allow international companies to sue a sovereign government. The labor government, which had been previously in power, usually rejected such provisions (Martin, 2013). Such trading provisions, having links to the country’s politics, thus have important influence on how importers of consumer goods operate in Australia (Martin, 2013). If the government introduces a legislation based on an obscure investment treaty, for instance, the company can sue the government if feels an adverse impact in the marketing of its Bluetooth headphones. But this is only under the current provisions which are subject to change based on the government in power. 2.2.2. Economic environment There are various economic factors about Australia that would facilitate marketing of Bluetooth stereo headphones. In per capita terms, Australians are ranked as the wealthiest people in the world. The mean wealth per adult in Australia exceeds US$400,000 (Main, 2013). This indicates that Australians have high levels of disposable income that they can use in purchasing premium products. It is easy for the company to create sales for its products in such environment (Main, 2013). The country continues to experience magnificent growth attributable to good trade ties with Americas, Asia, and Europe (Ensor, 2013). This has already resulted in strong FDI inflows that have reached $56.95 billion in 2012 compared to $45.53 in 2007 (MarketLine, 2013). This indicates the potential of the consumers’ per capita income to increase in the future and therefore an opportunity for growth in sales of CSR headphones. 2.1.3. Social environment Overall, the acceptance of technology products in Australia is high (Moses, 2011); and such environment would be favorable for the introduction of Bluetooth headphones. Such acceptance has been particularly higher among the technology-savvy youthful population (Scroggie, 2012). ABS (2012) statistics show that technology acceptance and use among Australians is high with 83% of the population having access to a computer and the internet. 93 percent of children under the age of 15 had knowledge and access to IT devices (MarketLine, 2013). Many individuals possess sophisticated technological mobile devices such as Smartphones, Tablets, and range of portable devices (Moses, 2011). This indicates positive perceptions and attitudes towards technology products which would facilitate marketing of the stereo headphones to Australia tech-savvy individuals. 2.1.4. Technological environment According to ABS (2012) in a four year period between 2005 and 2009 the proportion of Australian population that had access to IT devices increased from 81% to 91% and those with a web presence from 30%-42% showing a very high IT adoption rate. According to a report by ACMA (2012) Australians are becoming quite dependent on IT for communication, entertainment and for banking and financial transactions with 3 in every 4 people possessing one form of a technology device. With over 22.05 million internet subscribers and 30.2 million people with access to mobile devices and services (ACMA, 2012), internet marketing and mobile marketing of stereo devices would be easier. Using these technological channels, the messages about the product would be conveniently delivered to many potential buyers thus improving the chances of successful marketing campaign. 2.1.5. Environmental factors Given that electronic devices contribute to e-waste, such devices have attracted the enactment of several legislations with the aim of reducing e-waste (Hester & Harrison, 2009). The passage of the Product Stewardship Act 2011 is meant to reduce environmental and other impacts of products (Tay, 2011. This will stimulate recycling. The marketing of CSR headphones should expect to be bound by this regulation. 2.1.6. Legal environment In Australia, importers, individuals or companies are not required to have an import licence and this significantly facilitates importation of consumer goods (Australian Customs Service, 2013). From time to time, importers are needed to acquire special permits for clearance of commodities (Australian Customs Service, 2013). Some of the Australian authorities that issue such permits also publish pamphlets/brochures about their focus areas. This greatly facilitates the activities of importers. In add...