Research Paper: Marketing Plan: Mobile App

Pages: 20 (5353 words)  ·  Bibliography Sources: 12  ·  Level: Master's  ·  Topic: Business  ·  Buy This Paper

SAMPLE EXCERPT:

[. . .] This mobile applications package is the first application of its kind developed by Smartek Inc. Therefore, it is also a big risk that users hesitate to buy it from Smartek.

There also exist a number of technological barriers pertaining to this mobile applications package. These barriers include screen size, display resolution, memory usage, and delivery processfor the smart phones, tablets, personal digital assistants, and smart gadgets. Therefore, the company will be able to target very limited number of customers that have smart gadgets compatible with this specific applications package.

2.3 Competitive Analysis

Since this mobile applications package is compatible with only Android operating systems; there will be a stiff competition from similar mobile applications that run on Symbian, java, iOS (Apple), Windows Phone operating systems, and BlackBerry operating systems. At the same time, it will compete with similar Android applications available on Google Play.

Michael Porter's Five Forces Model

In the light of Michael Porter's Five Forces Model, it can be said that the competitive position of this mobile applications package is low to moderate. Reason being, Smartek Inc. is not a well-recognized brand in the local mobile applications development industry. Therefore, it will have to work harder than its top competitors to attract potential customers from the market. The analysis of competitive environment using Five Forces Model is discussed below:

a. Rivalry among Existing Competitors:

Smartek's mobile app only supports Android operating systems. There are thousands of similar individual applications and app packages on Google Play which will act as the direct competitors of Smartek's mobile app. The existing rivalry among these competitors is quite strong due to their high demand among general smart gadgets users. Therefore, it will be quite difficult for this mobile app to develop itself in the presence of such a stiff competition.

b. Threats from the New Entrants:

In addition to the existing rivals, the company will also have to compete with new mobile applications developers that have introduced alarms, personal notes taker, financial calculators, etc. For smart phones, personal digital assistants, tablets, and other smart gadgets. These developers have also entered the industry at the same time when Smartek introduced this mobile application. Competing with these new and existing competitors with this mobile application will become a big challenge for Smartek Inc.

c. Threat from the Substitute Products:

The substitutes for this mobile app include all those applications, software, or programs that satisfy the same needs of the general users. The consumers have an easy reach to these substitute products. Moreover, they are available at very competitive prices on different app stores and most of them also meet the quality standards often desired by the consumers. Therefore, they will serve as the biggest threat for the company for this particular mobile app.

d. Bargaining Power of Suppliers:

The suppliers for Smartek include IT services companies, hosts, application developers, hardware and software vendors, etc. All these suppliers require attractive commission for their services in order to allow the companies to make long-term relationships with them. Smartek has to keep in view this strong bargaining power while developing and marketing this product over the Internet.

e. Bargaining Power of Customers:

Like suppliers in the mobile applications development industry, the consumers also enjoy a very strong bargaining power against mobile application developers and IT companies associated with this business. Reason being, there are only few brands that provide the most reliable, competitive, and top quality applications. Therefore, consumers prefer to buy applications that are either developed by top market leaders or choose only free trial versions for their smart gadgets for small brands.

2.4 Product Offering

The application will be largely useful for business enthusiasts, professionals, and students. The features will help them save their precious time, synchronize their information altogether and access it easily whenever needed, and do calculations on their smart gadgets.

The company will offer the trial version of this product absolutely free and charge a very reasonable price for the full version. The application will use very limited memory to be stored and run. Unlike many other similar applications, this mobile app package will be free from third party advertisements which will further reduce its memory usage in the smart gadgets.

The 'anywhere, anytime' feature of this mobile application package will also provide greater convenience to its users. The applications available in the package do not require any Internet connection; all they need to have with them is their smart phone. They can set alarm, take notes, set appointment schedule, and do calculations. However, they will need to have internet connection if the meetings or appointments are to be synchronized according to external events.

This mobile app package will be compatible with low-power handheld devices like smart phones, tablets, gadgets, or personal digital assistants that run Android operating system. Therefore, it will enjoy a quite large target market as compared to Apple's App Store or BlackBerry's App World.

2.5 Keys to Success

Smartek performs customer satisfaction surveys to keep itself updated with the changing preferences, tastes, and increasing expectations of its customers; especially in the potential segments. It integrates its cultural values at the heart of its everyday business operations. It puts into practice the values-based managing practices in order to satisfy the customers, employees, and all the stakeholders that are directly or indirectly affected by its operations and performance (Homburg, Sabine, Harley,2009).

The keys to success for this particular mobile app package include high sales volume, attractive profit margins, large customer base, and visibility over the Internet platform, and positive customer reviews after they use its free trial version (McDonald, 2011). Moreover, the company will also need positive reviews from the major digital magazines, business analysts, and mobile technology experts in order to attract more and more customers to buy this product package for their smart gadgets.

2.6 Critical Issues

One of the major critical issues for the company is the intensity of competition in the market. The existing as well as new mobile app developers are offering similar products at very competitive prices. Therefore, it will be harder for the company to compete in a fast paced environment with this new application package. Secondly, the macro environmental factors like political and legal forces; economic forces; social and demographical forces; technological forces; and the most importantly, Globalization and international competition will create the most critical issues for the company's operations and financial performance in the industry.

First of all, it will have to adhere to the local laws and regulations that govern mobile app development industry. Secondly, it will take an economic impact from the industry patterns, consumer behavior, inflationary pressures, unemployment levels, etc. which are an integral part of its macro environment. Similarly, technological barriers and environmental protection issues may become serious threats for its business operations at any point in time.

3.0 Marketing Strategies

This section presents some important marketing strategies which Smartek can use to promote its mobile app effectively. For example, the marketing objectives will define the areas on which the company should focus in the short and long run. Similarly, the marketing mix will help it in designing the product, place, promotion, and pricing strategies which it can follow to present its mobile app in the most competitive way. The marketing budget will give it an anticipation of the costs to be incurred on the promotion and advertisement efforts for this mobile application.

Smartek believes that only marketing department is not responsible for its products' success or failure; it requires coordination and mutual efforts of all the employees in the organization. Full support from the leadership is also ensured in a view to keep them directed towards one goal. Smartek clearly defines its target market. It does not make its segmentation with respect to profitability; rather on demographical and number of customers. It makes the segmentation of every target market according to consumption patterns and income levels. In this way, it keeps the marketing campaigns focused on what to communicate, and which category or segment to be target. It discovers what a customer actually wants in every product.

3.1 Mission

Smartek is a purely profit-motive organization with an aim to continuously strengthen its customer base and market position with the passage of time. However, the mission statement for this specific mobile app and the overall product category entails its concern for the primary stakeholders; by proving reliable and high quality mobile app to the customers, attractive compensation and growth opportunities to the employees, and contribution to the existing mobile app development industry through superior products and services. The company also wants to become the most reliable, competitive, and fastest-growing business entity in the long run. The strategic objectives of the company are largely focused on gaining high market share in a short period of time, strengthening customer base, and giving superior financial performance and attractive returns to the investors.

3.2 Marketing Objectives

Smartek Inc. aligns its marketing strategies with its overall organizational objectives. It wants to become the best mobile applications development brand in… [END OF PREVIEW]

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Marketing Plan: Mobile App.  (2013, November 9).  Retrieved August 26, 2019, from https://www.essaytown.com/subjects/paper/marketing-plan-mobile-app/9337413

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"Marketing Plan: Mobile App."  Essaytown.com.  November 9, 2013.  Accessed August 26, 2019.
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