Essay Case Analysis

1892 Words8 Pages
Module Title: Cases in Marketing
Banner Code: 07 15824
Lecturer: Inci Toral
Assignment Title: Case Study: Target the Right Market
Word Count: 1246
ID number: 1291160, 1207270, 1249898, 1228189 and 1259957

An essay Submitted to
Graduate Diploma in Business Administration Year 2, 2013

Birmingham, United Kingdom
11th, March 2013

This report explores case study of SparkPlace that was originally influenced by the case of HubSpot: Inbound Marketing and Web 2.0 (Steenburgh, 2009), an online-marketing software company. Due to the limited resources available to this company, it wants to target two available markets: small businesses with no more than 20 employees and medium-size businesses with 20 to 100 employees.
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Based on the case study, there are both advantages and limitations of these two markets. Medium Marys’ are more valuable and experienced than small Sams’ because they stay longer and are willing to pay higher monthly fees. On the other hand, small Sams’ are easier to bring on board and their cost of sales is less than $1000 compared to $5000 for medium Marys’. Therefore, Sparkplace should target both markets so that they are able to spread their risk, cost and cover all possible areas to generate high profits and build strong relationships in the future. In their earlier stages, Sparkplace could evaluate the effects of targeting both markets and subsequently select the suitable and appropriate market.

The same situation has occurred in P&G (Procter and Gamble), which is an American multinational consumer good company. When the company decided to launch laundry products, they do not know which market to target. Different groups of people may have different kinds of requirements. For example, children need soft composition to reduce the stimulation. Therefore, P&G has decided to provide wide range of products to meet different consumers’ expectations. For instance, the company has developed the fairy non-bio product for babies in order to protect the babies’ skin and so on.

In order to deal with the issues, 60 percent of Sparkplace’s resources should be allocated into Marys’ and the other

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