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7 SWOT Analysis 10
Porters 5 Force Analysis
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8 Marketing Strategies 12-17
The product was originally introduced by the Carlay Company of Chicago. A U.S. trademark
was registered in 1946 claiming first use in commerce was in 1937. The Carlay
Company later became a division of Campana Corporation of Batavia, Illinois. Then
Campana bought Allied Laboratories of Kansas City in 1956. Thereafter, Campana was
bought by Dow Chemical and its president, Irving Willard Crull was briefly president of Dow
(less than six months) and he engineered the sale of Campana to Purex in the 1960s. He again
become president of Campana while serving as a vice president of Purex, which allowed
Campana to function as a separate division.
The Fitness and Fitness Product Manufacturing industry has experienced impressive growth
figures in the past five years, as Americans became more health conscious and disposable
income levels recovered from the recession. Additionally, as the number of adults aged 65
and over increased, demand for age-related vitamins and supplements expanded. Over the
next five years, the industry is anticipated to benefit from the same trends that have
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supported its growth in the past. As discretionary income continues to strengthen, more
consumers will trade up to premium, all-natural and organic products, helping lift industry
revenue. New products and formats will also appeal to customers, boosting revenue
FDA regulates dietary supplements under a different set of regulations than those covering
"conventional" foods and drug products.
Under the Dietary Supplement Health and Education Act of 1994, manufacturers and
distributors of dietary supplements and dietary ingredients are prohibited from marketing
products that are adulterated or misbranded. That means that these firms are responsible for
evaluating the safety and labelling of their products before marketing to ensure that they meet
all the requirements of DSHEA and FDA regulations. Although dietary supplement
manufacturers must register their facilities with FDA,* they are not required to get FDA
approval before producing or selling dietary supplements. Manufacturers and distributors
must make sure that all claims and information on the product label and in other labeling are
truthful and not misleading.
In spite of a very strong USP, Ayds could no more cease the negative publicity. Sales being
dropped to a mere 50% and management facing internal problems just added to the despair.
The following factors made the company DEP CORPORATION discontinue the
revolutionary product.
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3. SERVICE, PRODUCT.
Whatever a person sees in his American dream, we have captured those sentiments here.
Every fitness centre consists of a well-equipped gym. It will have all the machinery and equipment
required for body building, weight loss, cardio vascular training, regular fitness etc. The gym will be
managed by certified trainers who will assist the users when required. The members can also pay a
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personal trainers fee and get coached by the trainers throughout their session. The users will be
charged a month fees and will have the option to avail quarterly and annual subscription on a
subsidized rate. The monthly fees 100 dollars and an annual fee of 1000 dollars. The rates will vary
according to the location of the gym and users under the age of 23 and over the age of 50 will get 25%
discount. The users will also get access to a locker facility.
Special classes like kickboxing, TRX, zumba, yoga, self defense etc. will be conducted as per a fixed
schedule. The classes will be conducted in various rooms of the centre with the required equipment.
The users of such coaching will be charged as per the program they choose. (E.g. Kickboxing $125/
month)
There will be specific weight loss and weight gain programs which will involve diet counselling,
physical training, monitoring, etc. The program will be conducted by certified professionals. The rates
will be as per the goals required by the members. The program will be available at a 50% discount for
specific disease patients as they will be given a different type of training as per the condition they
suffer from.
We will conduct highly specialized programs for patients with specific diseases like cancer,
HIV/AIDS, arthritis, Alzheimers, Parkinsons disease, paralysis, etc. These programs will be
conducted by qualified medical fitness experts, counsellors and with consultation from the patients
doctors. These programs will be conducted with special care and the participants will be assisted in
every way. This fitness program will be conducted as per the regulations of the Expanded and
Improved Medicare for All Act. We will give the members the facility of medical insurance and
sponsorship for such treatment. Aids patients will be given free treatment.
We will also enable the selling of gym equipment in whole sale which can be set up at home. There
will be a shop in the ground floor of all our facilities which will sell various gym equipment, parts and
other such items required for fitness. We will also sell supplementation like medically certified
proteins, mass gainers, and other such diet and health supplementation. The members of our gym will
get special discount on the purchase of any product from the shop.
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4. Unique Selling Proposition
A holistic approach to the fitness related needs and wants of the average American. No
service serves better.
The American market will be divided into smaller divisions based on urban and countryside
population along with the density of working population. In smaller states like Mississippi,
Louisiana, New Mexico etc., we will launch a smaller scale model.
The infrastructure will also depend on number of consumers, the means these consumers
have, their consumption behavior, awareness levels and the availability of marketing.
This segmentation will be based on age, life cycle, working trends and income. In bigger
states with higher per capita income and complicated life cycles, like Massachusetts, New
Jersey, New York, we will introduce the full-fledged fitness center that fulfills all the fitness
and healthcare needs of the American.
In states like Louisiana and New Mexico where the life cycle is not as complicated, we will
launch a half model, that will have gym, equipment shop, nutritional center and muscle
toning and firming center for the obese.
For a better understanding of the customer in a specific state or area, psychographic methods
such as personality, trait, lifestyle, values analysis and interest evaluation would be beneficial
for us to give the best service possible.
People in Ohio, Pennsylvania, North Carolina, Minnesota, Texas and Hawaii have
traditionally been associated with their culture and values to the roots.
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States like New York, California and Washington have a mix of culturally diverse people and
are headquarter states to giants like Microsoft, IBM, Google, Boeing, Starbucks Facebook
etc., so there is a larger working population looking for an hour of refuge from their busy
schedules.
II. Targeting:
The targeting strategy will be in a multi-level segmenting and targeting scenario where there
are different kinds of people living in different areas, all requiring the similar service but with
some alterations. This target marketing, leading to marketing programs will be tailored to the
needs and wants of local customer groups. The target is every American looking for a
healthier lifestyle and a social progress. Every person who wants to run away from most of
the diseases associated with lack of physical movement. People with depression and mania
problems can also find the best place to do away with every ailment.
Location Justification
Headquarters in Santa Clara County, California, near San Jose. Offices of corporates like
Cisco and Google are located in San Jose hence the highest concentration of our target
customers will be here.
Menlo Park, California employers like Facebook and SRI International hence there will be
a footfall of the techies searching for a socially active place that makes them physically and
mentally fitter.
Also, we will aim to open our fitness centres in cities like Miami, New Orleans,
Jacksonvillie, Baltimore, D.C., and other such places with the highest density of AIDS and
cancer patients. Cities like Los Angeles, Dallas, Tampa Bay and others which have many
institutions for AIDS and cancer research will also be beneficial for us to open our fitness
centre as we can work in collaboration with such institutes and show them the benefits of
fitness for patients with such acute disease.
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III. Positioning:
To be positioned as a line of fitness centres that cater the population not as any other gym or
yoga centre but as a complete refuge from reality. The however equipment remains clich but
the positioning of our brand will be done in such a way that the minds of the people find it as
a source of escapade from tension and unhealthy habits.
The fitness shop will be positioned as a store that provides with all the basic exercise
equipment for home and office purpose, at a low cost and high durability.
Product
Our fitness centre is essentially a service which aims at providing maximum fitness to all our
clients. Our fitness chain consists of gym equipment, self-defence classes, personal
training in kick boxing, Zumba, body building, yoga, injury recovery through ayurveda,
swimming etc. We also provide special fitness classes for people with various diseases
like aids, cancer, arthritis, etc as we believe that being fit is the best way to stay healthy.
We conduct a free fitness test for any person and will furnish them with all information
regarding their fitness levels, medical problems, etc.
Our certified trainers, dieticians and health counsellors will assist our clients in achieving
maximum wellbeing. We will also be displaying and selling our various health care and
cosmetic products in these fitness centres.
Price
The main objective of this fitness centre is wellbeing and not profit maximization. We will
offer out various programs in different rates. Our initial health check-up will be for free. We
will have an enrolment fee of $50. The charges will vary as per term of membership. We will
give a 1 year free program to the first 150 people who enrol and qualify for the fitness classes
for people with major diseases. We will also give 50% off for 3 years to anyone who enrols
in the self-defence classes and the fitness programs for the diseased. Since our main source of
income is from people who pay the gym subscription, purchase our supplements and pay for
personal training, we will be charging the diseased a highly discounted amount.
Place
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We will open a few fitness centres on our own in small cities. In the major cities we will open
our centre in collaboration with Viva Fit, a fitness centre who is also looking to set shop in
the USA. We will aim to open our fitness centres in cities like Miami, New Orleans,
Jacksonvillie, Baltimore, D.C., and other such places with the highest density of AIDS and
cancer patients. Cities like Los Angeles, Dallas, Tampa Bay and others which have many
institutions for AIDS and cancer research will also be beneficial for us to open our fitness
centre as we can work in collaboration with such institutes and show them the benefits of
fitness for patients with such acute disease.
Promotion
We will have print ads in hospitals; tie up with awareness campaigns for fatal diseases,
conduct surveys in offices and other places. We will have internet advertisements, and
conduct seminars
People
The target market will be to all the people who aim to be healthy and believe in natural ways
to stay fit. We will show reason for being fit to those people who suffer from fatal diseases
through medical reports which prove that being healthy reduces the occurrence of such
disease. People diagnosed or showing symptoms of it as well will be our target market. We
will look to enhance their life and provide them with a strong support system. We will make
an attempt to improve their condition through fitness. We will also be looking to capture the
youth and adults market who have a huge demand for fitness centres and activities like body
building, kickboxing, yoga.
Process
The service helpline will be a 24/7 help line. This will enable clients to find out about our
gym and enquire about our various programs. Our trainers and health councilors will assist all
our clients with proper attention. Our medical staff will keep furnishing information about the
clients well being and progress. We will have different time slots for various special classes
for people with acute diseases. We will also have various sessions on yoga, kickboxing, etc
and a 24/7 gym.
Physical Evidence
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Our fitness centres will have the same unique layout throughout the country. Our logo and
unique name will be the main physical evidence for people. The results people through taking
up our programs and showing progress sin their wellbeing will be the main physical evidence
for non-users.
SWOT Analysis
STRENGTHS WEAKNESSES
cosmetics manufactured
Irresistible introductory offers
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OPPURTUNITIES THREATS
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Bargaining Power
of Suppliers
Suppliers will have
limited bargaining
power as the supplier
availability in this
industry is massive
Bargaining Power
Competition of
of Consumers
Rival Industries
The consumers will
High competiton as
have a fairly high
the fitness industry bargaining powers
is vast but the
due to competitive
diseased patient
industrial rates and
fitness market is
many offers
limited. Porter's Five rpovided by us.
Force
Analysis
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Marketing Strategies
All the marketing strategies have been developed in such a way that they appeal to the
emotions and needs of the people and catch the eye while spreading the message of regular
fitness and professional healthcare. There are different strategies for different services and
products that we operate in.
1. First-A.Y.D.S.
(this strategy is for the gym and yoga centre)
The world is in a state where its almost impossible to take time out from the busy
schedule. For the fast paced American, to generate curiosity at once we will capitalise
on large urban landscape.
Instead of using billboards or signboards, we will use the urban objects to advertise
on. Escalators and in malls and airports will be used as a progress indicator. In case
of escalators, starting from the base, while going up, we will show how many
calories they would have lost if they would have taken the stairs instead of the
escalator.
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This is a lifts(elevators) will have stickers asking why wait, take the stairs instead?
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the finest basketball players. Magic Johnson shall agree to campaign for free but
expects our assistance in physical recovery of the patients in his foundation The Well
Project.
Billboard 1
YO
U
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Billboard 2
CA
N
Billboard 3
GE
T
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Billboard 4
FITTE
R
5. Exploiting Social Media.
i. Facebook with a twist.
The admins of pages like Uber Humor (uberhumor.com displays a lot more
GIFs than any other humour site) and 9Gag (needs no explanation) will be
contacted. We shall tell them that all the cover photos of major pages are
actually going waste and that money can be generated even through a cover
photo. We will convince the admins either to lend us their cover photos and
profile pictures. In their cover photos and profile pictures, we will put our
print ads and our thoughts.
ii. BLOGit : Make a video of a and make it go viral. How will we do that?
Submit it to youtubers and bloggers who will write in a very interesting way
about our startup. Video will be posted on Reddit and Hacker News too so
that the finest bloggers in the world have an open access to the technologys
use. The video will be released on a Monday because people dont sit home
and watch dental videos on weekends.
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There is a twist to it too. We will place large electronic wheels that rotate on their spot
at places like Times Square, near Empire State. To find out how much people know
about the impact of fitness and gym use, the Wheel of Time that rotates according
to the number of tweets and retweets. The wheel of time suggests people how
important it is to keep moving and take time seriously.
Revival strategies
1 Tree planting
The main idea here is to launch A.I.D.S. as a very eco-friendly place. We are planning on re
launching the company to promote usage of eco-friendly products, especially in countries like
the USA. Saplings of Ayurvedic plants will be planted to promote our image as a changed
brand.
With the help of prisoners in America, we plan on launching our strategy. The main point of
this strategy is revival and showing that, whoever makes errors in the past, can learn from
them and come out to be something better in the present. In this strategy, we plan on
encouraging prisoners in jails etc. to make a team and learn a sport on their own, during their
occupational training courses. Later, they will play a match against any local team and there
will be a prize money for it. This will even add a sense of accomplishment. Moreover, our
mantra of fitness is also spread.
3 A.Y.D.S. Album
We will make a series of albums which will contain sound tracks which can be played in
various fitness centres and other such places where fitness equipment is sold. These tracks
will serve as source for motivation to get fit and will set the tone for exercising. These albums
will be distributed in music stores and we will use these album in Shawn T(home fitness
expert) videos.
4 5k Marathon
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We will sponsor a 5 kms matrathon in various cities like Detroit, Manhattan, Boston, Miami
etc, where we will promote our USP of fitness and well being. We will give away free t shirts
which spread awareness about HIV/AIDS, Cancer, etc and also show how a healthy life style
can contain such fatal diseases. We will use the abbreviation A.Y.D.S. and explain its
meaning through such merchandising which will remove all wrong notions about what
A.Y.D.S. stands for and how its phonetic similarity with AIDS is irrelevant.
Our new logo which shows a care free person who has accomplished physical well being
through fitness. This will give hope to the target market and they will immediately associate
such fitness with our brand name and will not confuse it with AIDS.
MARKETING BUDGET
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s.no Strategy Time of application Budget allocated
Total $161500
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Business Card
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PRINT AD
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