CMI132 Principles Of Marketing 2 : 1:2

Name : Team 5
Team Members : Farai Bakari [R235576J]
Loreen Rwodzi [R231762J]
Shylet Masawi [R233983Q]
Maria Zuze [R236700T]
Munashe Nyuruka [R235747M]
 Table of Contents
1.1 Situation Analysis

1.1.2 SWOT Analysis

1.2 Marketing Objectives

1.3 Marketing Strategy

1.3.1 Product
1.3.2 Price
1.3.3 Place
1.3.4 Promotion

1.4 Implementation / Action

1.5 Evaluation

1.6 Budget
Marketing Plan for Hutano Nation
1.1 Situation Analysis.
Internal and External Analysis [S.W.O.T]
STRENGTHS
1. High-quality and diverse fitness equipment
2. Skilled and knowledgeable fitness trainers
3. Flexible membership plans and pricing
4. Strong social media presence

WEAKNESSES
1. Limited business hours on weekdays
2. Limited locations
3. Heavy reliance on memberships

OPPORTUNITIES
1. Increasing demand for health and fitness products and services
2. Growing trend towards fitness as a lifestyle
3. Increasing awareness of the benefits of exercise and healthy living
4. Expansion of the fitness industry globally

THREATS
1. Stiff competition from well-established players
2. Economic instability and recession
3. Increased costs due to inflation and changing tax laws
4. Lack of brand recognition Hutano Nation Internal and External Analysis
Internal Analysis
Strengths
Hutano Nation's commitment to providing high-quality and diverse fitness equipment sets it
apart from other fitness facilities. The investment in modern and well-maintained equipment not
only enhances the overall experience for members but also attracts fitness enthusiasts who
prioritize working out with the latest equipment. According to Beller (2020), the availability of
diverse equipment selection is crucial in catering to the needs of a wide range of individuals,
from beginners to experienced users. This inclusivity ensures that Hutano Nation can
accommodate individuals at different fitness levels and with varying workout preferences. For
instance, beginners may prefer using cardio machines such as treadmills or ellipticals, while
experienced users may gravitate towards strength training equipment like free weights or
resistance machines.
Weaknesses
Hutano Nation's skilled and knowledgeable fitness trainers play a crucial role in creating a
positive customer experience and differentiating the facility from its competitors. The trainers at
Hutano Nation are not only experienced but also possess in-depth knowledge in fitness and
nutrition, allowing them to provide comprehensive guidance to members. According to Chetham
(2019), having qualified fitness trainers is essential in helping members achieve their fitness
goals. Hutano Nation's trainers are equipped with the expertise to design personalized workout
plans tailored to individual needs and abilities. They understand the importance of proper form
and technique, ensuring that members perform exercises

External Analysis
Oppotunities
1.Growing interest in fitness and wellness: The increased awareness of the benefits of regular
exercise and healthy lifestyles presents an opportunity for Hutano Nation to attract more
customers. This is mainly due to the rising health concerns linked with sedentary lifestyles,
obesity, and chronic diseases.
2. Technological advancements: The use of technology in the fitness industry is on the rise,
presenting an opportunity for Hutano Nation to adopt new technologies such as wearable
devices, fitness apps, and virtual reality to improve customer experiences and engagement.
3. Partnerships with other players in the industry: Partnering with other players in the industry
such as nutritionists, physiotherapists, and sports medicine professionals can help Hutano Nation
offer a broader range of services and create a comprehensive wellness solution for customers.
4. Expansion to new markets: Hutano Nation can exploit new markets by targeting different age
groups, demographics, and geographical locations. This can be done by expanding to new
regions or introducing new fitness concepts such as yoga or Pilates.
Threats
1. Competition: The fitness industry is highly competitive, with many players offering similar
services and products. This makes it challenging for Hutano Nation to attract and retain
customers.
2. Economic downturns: The fitness industry is heavily dependent on disposable income, which
means that during an economic downturn, people may reduce their spending on fitness services.
3. Government regulations: Government policies and regulations such as taxation, licensing, and
permits can affect the operations and profitability of Hutano Nation.

4. Technological disruptions: The emergence of new technologies and online fitness apps can
disrupt traditional fitness services, causing a decline in membership and revenues.
1.2 Hutano Nation Marketing Objectives
Based on the situation analysis, the primary objective is to increase the number of memberships
by 20% over the next year by enhancing brand awareness and customer retention.
 Increase customer satisfaction scores by 10%
 Launch of new group exercise classes by the end of the year
 Increase social media following by 15% Hutano Nation

Increase social media following by 15%

In order to achieve this objective, the company can focus on creating engaging and relevant
content on their social media platforms. They can consider posting regular updates about the
gym's facilities, classes, and special offers. Additionally, they can leverage user-generated
content by encouraging members to share their fitness journey and experiences at the gym on
social media. By using hashtags and tagging the gym's official account, this can increase the
visibility and reach of the gym on social media platforms.
Another strategy to increase social media following is by running targeted advertising campaigns
on platforms like Facebook and Instagram. This can help the gym reach a wider audience and
attract potential members who might be interested in their services. Through effective targeting
based on demographics and interests, the gym can increase their chances of attracting individuals
who are more likely to engage with their social media accounts and eventually join the gym.
Furthermore, the gym can collaborate with influencers or fitness enthusiasts who have a strong
social media presence. By partnering with them for campaigns or offering them special discounts
and privileges at the gym, the gym can tap into their follower base, generating more exposure
and potential followers for their social media accounts.

Launch of new group exercise classes by the end of the year

One way to successfully launch new group exercise classes is by conducting market research to
identify the current trends and interests of the target market. Surveying the existing members or
conducting focus groups can provide valuable insights into the types of classes and activities that
would attract and retain members. This research can help the gym introduce new classes that
align with popular fitness trends or fill gaps in the current class offerings. Another strategy is to
promote the new group exercise classes within the gym and through various marketing channels.
This includes creating attractive and informative posters or flyers to display in the gym, sending
out targeted email campaigns to current members, and utilizing social media platforms to spread
the word about the new classes. Additionally, the gym can offer special introductory discounts or
packages to encourage members to try out the new classes and experience their benefits
firsthand.
It is important for the gym to closely monitor the performance and feedback of the new group
exercise classes. Regularly collecting feedback from participants can help the gym make
necessary adjustments to ensure the classes meet members' expectations and preferences. This
can be done through surveys, focus groups, or even through social media polls or comments. By
continuously evaluating and improving these classes, the gym can increase member satisfaction
and participation.

Increase customer service scores by 10%

To achieve this objective, the gym can start by implementing a robust and efficient feedback
system. This can be in the form of post-workout surveys, where members can rate their
experiences and provide suggestions for improvement. The gym should ensure that these surveys
are easily accessible and that members feel encouraged to provide honest feedback.
Another strategy to increase customer satisfaction is by focusing on staff training and
development. By providing regular training sessions to employees, the gym can equip them with
the necessary skills and knowledge to deliver excellent customer service. Staff members should
be trained to promptly address member concerns or issues and to create a friendly and
welcoming environment within the gym. The gym can also consider offering rewards or
incentives to members who consistently provide positive feedback or refer new members to the
gym. This not only encourages customer loyalty but also creates a positive atmosphere where
members feel valued and appreciated.
Lastly, addressing any recurring issues or complaints brought up by members is essential for
increasing customer satisfaction. By actively listening to members' feedback and taking steps to
address and resolve their concerns, the gym can demonstrate their commitment to improving the
member experience
1.3 Marketing Strategy Overview
The marketing mix will be used to develop a comprehensive marketing strategy to achieve the
objectives.
Product: Hutano Nation offers a wide range of fitness equipment, group exercise classes, and
personal training services. The company will introduce new group exercise classes to appeal to a
broader audience.
Price: Hutano Nation offers flexible membership plans at competitive prices. The company will
introduce discounted membership plans to attract new customers.
Place: Hutano Nation has two existing locations. The company will explore opening new
locations to increase accessibility.
Promotion: The company will develop a comprehensive digital marketing campaign to enhance
brand awareness and increase social media following. A referral program will be introduced to
incentivize current members to bring in new customers. The company will also focus on
providing exceptional customer service to increase customer satisfaction scores.

1.3.1 Product
Hutano Nation offers a wide range of fitness equipment, group exercise classes, and personal
training services. The company will introduce new group exercise classes to appeal to a broader
audience. To develop a comprehensive marketing strategy for the product, Hutano Nation will
focus on enhancing its range of group exercise classes. Hutano Nation already offers a variety of
classes such as yoga, Zumba, and spinning, but in order to attract a broader audience, new
classes targeting different fitness interests and demographic groups will be introduced. For
example, Hutano Nation could consider adding high-intensity interval training (HIIT) classes for
individuals looking to burn calories efficiently, or specialized classes for older adults that focus
on flexibility and joint health. By diversifying the group exercise class offerings, Hutano Nation
can increase its appeal to a wider range of customers and attract those who may have different
fitness preferences or goals. This will help the company expand its customer base and generate
more revenue

1.3.2 Price
Hutano Nation offers flexible membership plans at competitive prices. The company will
introduce discounted membership plans to attract new customers. To develop an effective pricing
strategy, Hutano Nation will introduce discounted membership plans to entice new customers.
By offering these discounted plans, Hutano Nation can incentivize potential customers who may
be hesitant to commit to a full-priced membership. This strategy serves as a tool to lower the
barrier of entry and increase the likelihood of new customer acquisition. The inclusion of
discounted membership plans aligns with Hutano Nation's objective of attracting new customers
and expanding its market share. By providing options at competitive prices, the company can
position itself as an affordable fitness solution and gain a competitive advantage over other
fitness centers in its target market

1.3.3 Place
Hutano Nation has two existing locations. The company will explore opening new locations to
increase accessibility. In terms of place, Hutano Nation currently operates two locations, but to
increase accessibility and reach a wider customer base, the company will explore the possibility
of opening new locations. This expansion plan will involve conducting market research to
identify areas with a high demand for fitness centers and a relatively low number of competitors.
By opening new locations, Hutano Nation can eliminate geographic barriers, making it more
convenient for potential customers to access their services. This expansion strategy aligns with
the objective of increasing market share and customer accessibility, ultimately resulting in higher
revenue and business growth

1.3.4 Promotion
The company will develop a comprehensive digital marketing campaign to enhance brand
awareness and increase social media following. A referral program will be introduced to
incentivize current members to bring in new customers. The company will also focus on
providing exceptional customer service to increase customer satisfaction scores. To effectively
promote its offerings, Hutano Nation will develop a comprehensive digital marketing campaign.
This campaign may include social media advertising, search engine optimization (SEO), content
marketing, and email marketing. By utilizing various digital channels, Hutano Nation can
enhance brand awareness and reach a larger target audience. Additionally, Hutano Nation will
introduce a referral program to incentivize current members to bring in new customers. This
program could offer rewards or discounts for successful referrals, encouraging members to
actively promote Hutano Nation to their friends, family, or colleagues. This strategy takes
advantage of the power of word-of-mouth marketing and can lead to organic growth in the
customer base

1.4 Implementation
The company will implement the marketing strategy by:
1. Launching new group exercise classes by the end of the year
2. Introducing discounted membership plans to attract new customers
3. Developing a comprehensive digital marketing campaign to enhance brand awareness
and increase social media following
4. Starting a referral program to incentivize current members to bring in new customers

Implementation In-depth
Launching new group exercise classes by the end of the year.
Hutano Nation plans to introduce new group exercise classes by the end of the year to appeal to
a broader audience. To implement this plan, Hutano Nation will conduct market research to
identify new class offerings that align with its target market's interests and preferences. The
company could partner with fitness experts and instructors to create engaging, innovative class
concepts that differentiate its offerings from competitors. To successfully launch these new
classes, Hutano Nation will need to invest in marketing efforts that target its existing members
and potential new customers. Promotional materials could be displayed in the gym, posted on
social media, and sent via email newsletters. Instructors could also promote the new classes
during existing class sessions.

Introducing discounted membership plans to attract new customers

To attract new customers, Hutano Nation will introduce discounted membership plans aimed at
lowering the barrier of entry to its services. Implementation of this plan requires revising the
existing pricing structure and developing a set of discounted plans that are attractive to potential
customers. To promote the new pricing plans, Hutano Nation will need to invest in digital
marketing efforts such as social media advertising or search engine optimization. The
promotional activities could highlight the benefits of joining at a discounted rate and feature
testimonials from existing customers who have already experienced positive results with Hutano
Nation's fitness programs
Developing a comprehensive digital marketing campaign to enhance brand awareness and
increase social media following
To enhance brand awareness and increase social media following, Hutano Nation will develop a
digital marketing campaign. This may include social media marketing, search engine
optimization, content marketing, email marketing, and other digital promotional strategies. The
digital marketing campaign will be focused on promoting Hutano Nation's fitness services,
highlighting the unique benefits it offers, and targeting its ideal customer segments. The
company will need to develop high-quality content, such as blog articles, videos, and
infographics, that educate and engage customers. Additionally, Hutano Nation can partner with
social media influencers, industry publications, and online communities to further promote its
content and enhance its reach.
Starting a referral program to incentivize current members to bring in new customers
To increase membership numbers and reduce churn, Hutano Nation will implement a referral
program to incentivize existing customers to bring in new ones. The company may develop a
rewards system that offers discounts, special classes, or free gym passes to customers who
successfully refer new members. To promote the referral program, Hutano Nation can leverage
its digital marketing campaigns and social media presence to encourage participation and drive
engagement. Additionally, staff members can regularly remind members of the referral program
and incentivize them to participate

1.5 Evaluation
To increase customer satisfaction scores, Hutano Nation will focus on improving its customer
service by investing in staff training. Many customers value staff members' knowledge,
expertise, and ability to provide personalized advice.
Taking an approach that emphasizes empathetic service and knowledge can set Hutano Nation
apart from competitors. Staff members will be trained on key communication best practices,
including active listening and effective problem resolution. Additionally, staff members will be
trained to proactively engage with customers and help them achieve their fitness goals.
1. Regular monitoring of membership numbers and referral program success

This involves keeping track of the number of members who sign up for the loyalty program
regularly and analyzing how effective the referral program is at attracting new customers.
This information can be used to determine how well the marketing strategy is working and
whether adjustments need to be made. For instance, if the referral program is not generating
enough new customers, it may be necessary to increase incentives or improve the program's
design. Monitoring of membership numbers and referral program success is in line with the
evaluation of the loyalty program's effectiveness, which is a crucial aspect of the overarching
marketing strategy
2. Regular social media analytics to track growth and engagement

Social media analytics can provide valuable insights into the performance of the marketing
strategy on various social media platforms, including engagement rates, shares, likes, and
comments. Regular monitoring of these indicators can help marketing teams determine
which content is resonating with their target audience, allowing them to adjust their strategy.
Social media analytics align with the evaluation of digital marketing metrics, which is a vital
component of marketing strategy appraisal.
3. Customer satisfaction surveys to evaluate progress towards objectives

Customer satisfaction surveys are a critical method of determining how customers view the
business's product/service offerings and how close the business is to achieving its marketing
objectives. Regularly conducting customer satisfaction surveys can help identify areas of
opportunity and improvement to enhance customers' overall experience and loyalty. These
surveys can be employed to ascertain if objectives around customer satisfaction have been
met.

4. Adjusting the marketing mix as necessary to address any issues or opportunities that
arise

Based on the findings from the monitoring of membership numbers, referral program
success, social media analytics, and customer satisfaction surveys, marketing teams can
adjust the marketing mix as required. The marketing mix is the combination of product,
price, promotion, and place that marketers use to meet consumer needs. If the marketing mix
strategy is not achieving the desired results, marketing teams can modify these factors to
address any issues or opportunities that arise in the market.

Conclusion
Evaluating and controlling the marketing strategy is a critical aspect of ensuring its effectiveness
in achieving business objectives. Regular monitoring of membership numbers, referral program
success, social media analytics, and customer satisfaction surveys can provide valuable insights
into the marketing strategy's performance. Also, adjusting the marketing mix as necessary can
address any issues or opportunities that arise, which is crucial to the marketing strategy's long-
term success
Budget

The budget needed for Hutano will mostly be used to beef up the company’s social media
presence, for digital markets works done by graphics designers, promotional material,
employee training of new training exercises and free gym passes.

Actions Description Budget(US$)

Beef Social Media Employ a social media $150 x 12 months =$1.800
Presence guru who will post regular
and exciting engagements,
thus adding more eyes on
the service
Digital Marketing Works Getting a graphics designer $200
to make Fliers, Posters,
Reel and promotional
Videos to be put up in and
around the gym for brand
awareness.
Employee Training 5 trainers to be trained by $100 x 5 employees
fitness experts and = $500
instructors in new exercise
methods and innovative
dance classes
Free Gym Passes Free Gym Passes for all Varies with number of
members who effectively referrals
refer new clients
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