This essay Marketing Fundamentals has a total of 2998 words and 17 pages.
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Programme Bsc. Business Studies and Management
Module name Marketing Fundamentals
Schedule Term August 2014
Student Reference Number (SRN) 1045555
Report/Assignment Title Asos Marketing Audit
Date of Submission
(Please attach the confirmation of any extension received) 19/12/2014
Declaration of Original Work:
I hereby declare that I have read and understood BPP’s on plagiarism and that this is my original work, researched, undertaken, completed and submitted in accordance with the requirements of BPP Business School. The word count, excluding contents table, bibliography and appendices, is 2096 words.
Student Reference Number: 1045555 Date: 19/12/2014
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BPP Business School
Marketing Environment 4
Porter’s Five Forces Model 4
Swot Analysis 5
Internal Weakness 7
External Threats 7
STAKEHOLDER ANALYSIS 8
Management Orientation 9
Marketing Mix 9
Asos Product 9
Asos Price 10
Asos Place 10
Asos Promotion 10
Corporate Social Responsibility 10
Asos is an online fashion and beauty store operating from London whilst having offices in the USA, France, Germany, Australia and China. Asos clearly aims for the young adults market, as it is said that their focus is of,” twenty something” referring to adults within that age.
The purpose of this marketing plan is an inclusive evaluation to assess the marketing strategy, fair return of the investments and ensuring that Asos meets its objectives. In simple words the audit will classify the strengths and weaknesses, empowering Asos in order to help maintain position in the market, furthermore to overcome any threats and weaknesses the organisation currently faces or is yet to face.
Porter’s Five Forces Model
This model was created by M. Porter in the year 1979.it emphasises on how the five competitive forces effect an industry. These forces help determine the industry on the level of competition and its structure. It can be understood that the stronger the competitive forces in the industry the more unprofitable it is. An Industry with low barriers for entry, having less or limited suppliers and buyers may not substitute products, hence, competitors shall be very competitive.
The threats for new entrants determines if it is easy or not to enter the market, as for a fashion industry where profits are high it can be said that barriers to enter are limited and chances are high to find increasing competitors. If new firms/brands enter the market and with greater ideas compared to Asos’s, then chances are for Asos to lose its market share. As for the suppliers power, suppliers with a stronger bargaining power tend to sell higher priced or lower quality materials. This affects the profits of firms since they have to pay more for the materials, and if Asos tries to increase its prices then the outcomes could be of having customers switching to different brands. For buyers bargaining power, if they have the power then they tend to demand lower priced product or higher quality products, which rationally does not leave Asos with too many choices but cutting down prices. Substitute products/ services can also be an effective force sometimes, as Asos does not have an outlet, competitors such as H&M, Marks & Spencer, Debenhams and many more can easily pull away customers as it offers much more than Asos, where customers can physically see the product ranges. Moreover firms that only provide online sales and services such as Zalando, JP Boden&Co etc., can effortlessly appeal customers from Asos. Bringing it down to the rival forces which is the most influential force, since it is a fashion market all the rivals compete aggressively for obtaining the market share, which again leads to resulting in lower profits.
The purpose of a Swot analysis is to help the business in developing a stronger strategy by highlighting and considering all of the business’s strengths, weaknesses, opportunities and threats it faces in the marketplace. Strengths and weaknesses are the internal factors of a business i.e., patents, brand name (reputation), location, which can be amended over time if necessary. Whereas opportunities and threats are external factors i.e., competitors, suppliers, prices etc. they exist in the market, and the effects are there which cannot be changed.
The benefits of Swot analysis are that it helps concentrate on the important factors influencing the business. It helps in the understanding of the business, highlights the weaknesses, inhibit threats, exploiting opportunities, make full use
Topics Related to Marketing Fundamentals
Strategic management, Management, Marketing, SWOT analysis, Marketing management, Porters five forces analysis, Customer relationship management, Value proposition, ASOS.com
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