Final+Essay

The number of e-businesses in the past two or three years have grown tremendously. The amount of subscription services for women, such as Julep Maven and Glymm is also substantial. The difference is, the market does not offer many services for men to chose from. Since Kingpin is still in its development stages, and has not officially launched yet, our group chose to do an online marketing campaign for them.
 * //The company we chose for this assignment was Kingpin, a subscription-based online delivery service specifically for men. //**

The idea for Kingpin began a few months ago by two fourth year students from University of Waterloo. Since then, they have worked up their business plan and strategies, and have created a Facebook page and a domain: [|www.joinkingpin.com] . Although it has not been launched yet, Kingpin has already won several entrepreneurship competitions for being one of the most creative startup ideas.
 * ABOUT THE COMPANY **

An online subscription service for busy men, to deliver all the essential items such as toothpaste, toilet paper, razors and condoms on a month-to-month basis. The subscription has a set recommended schedule for delivery, but can be set to "deliver now" if the item runs out, or "postpone" if it's not needed. For busy men, running out of essential items such as toothpaste and soap can be frustrating and annoying. Going to the store to buy these items again and again is a waste of time. Kingpin will bring those items to their door, so they can spend their time doing other things. Their mission is to be one of the first successful online subscription services for men and to eventually expand their market outside of North America, and their offices out of Canada.
 * MISSION STATEMENT **

The target of the company are 20-30 year old men, especially those that are not yet married. They should have a steady income of $50,000 or higher. For example, they are looking at the pool of careers from the following: //lawyers, business men, doctors, accountants, engineers, etc// . Services will be offered to those in the US as well as Canada. According to the US Census, that corresponds to 5.5 million men in America. <span style="font-family: Georgia,serif; font-size: 9.5pt;">The reason they are targeting men, is because men have less interest in going out and routinely buying products than women do. As well, they do not have as much brand preference, so Kingpin would not have to stock on 10 different brands of shampoo to suit everyone's needs. They are also targeting men with a higher salary, because those men are dedicated to their work and have little time outside of their personal lives to go out and shop for the essential goods. Since they are so busy, and make a fair amount of income, they are willing to sacrifice the money for more time. Bachelors, especially, will find it more statisfying to pay slightly more for the goods if it means they are able to save some time. <span style="font-family: Georgia,serif; font-size: 9.5pt;">The group of GenY and GenX men are targeted because they spend a lot of their time online. The average age of these generations is 27 years old. Research also shows that 81% of GenY men use Facebook everyday, which would make online advertising one of the easiest form of ways to target them. The GenY men are also interested in blogs, with some of the favorites being TechCrunch, Gizmodo, EnGadget, Huffington Post, and Gawke.
 * <span style="font-family: Georgia,serif; font-size: 17pt;">TARGET MARKET/MARKET RESEARCH **

<span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">Kingpin sells toiletries and essentials for men such as shampoo, deodorant, multi-vitamins and condoms, and offers an automated delivery service for these goods. Customers select products they would like to purchase and upon subscription choose frequency of delivery cycle (every month, 2 months, etc). Due to changes that people undergo in their usage patterns, Kingpin also offers the option for users to delay shipments to the next month or ship now to have them delivered sooner. <span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">Subscriptions would charge customers a fixed price per month depending on what products they ordered. Cost is dependent on supply and delivery costs for Kingpin plus premium charges for use of the service. <span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">Currently, Kingpin plans to ship goods within Canada and the US only. Customers purchase goods through online transactions and subscription. The creation of a mobile app would make it easier for individuals to track these transactions. <span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">Promotion is already being done through Facebook and Youtube, but we believe we can implement the use of other social media such as Twitter. We also plan to address other marketing strategies such as affiliate marketing, banner ads, email, the use of Google Adwords and Analytics and mobile app creation. Kingpin has a domain, however their website has not officially launched yet. We have designed a layout that we feel best allows for social media integration (link to Facebook, Twitter and blog), referrals, and a clear Call to Action to sign up.
 * __<span style="font-family: Georgia,serif; font-size: 17pt;">THE FOUR Ps __**
 * <span style="font-family: Georgia,serif; font-size: 15.5pt;">PRODUCTS & SERVICE **
 * <span style="font-family: Georgia,serif; font-size: 15.5pt;">PRICE **
 * <span style="font-family: Georgia,serif; font-size: 15.5pt;">PLACEMENT & DISTRIBUTION **
 * <span style="font-family: Georgia,serif; font-size: 15.5pt;">PROMOTION **

<span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">Kingpin offers personalized service for all customers. Individuals choose what exactly their needs are and how often they would like to receive products. <span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">By utilizing different social media outlets like Twitter, Kingpin can create a conversation for customers to engage in. Also, having a Facebook page with updated content encourages potential clients to check out the service, comment and ask questions. While individuals may be hesitant to sign up for a service on their own website, they may be more inclined to view and interact with a Facebook page that can lead them to sign up later on. <span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">Affiliate marketing encourages users to share Kingpin with their social network. We believe our plan also increases the likelihood of content sharing by integrating different social media platforms and linking those to Kingpin's personal website. <span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">We are capable of proceeding along this campaign’s path with few barriers as multiple strategies are easy to set-up with little to no cost. While something like a mobile app takes time to develop and test, we were able to execute other facets like the creation of a Twitter account.
 * __<span style="font-family: Georgia,serif; font-size: 17pt;">The Fifth P - PEOPLE __**
 * <span style="font-family: Georgia,serif; font-size: 15.5pt;">PERSONALIZATION **
 * <span style="font-family: Georgia,serif; font-size: 15.5pt;">PARTICIPATION **
 * <span style="font-family: Georgia,serif; font-size: 15.5pt;">PEER-TO-PEER SHARING & COMMUNITIES **
 * <span style="font-family: Georgia,serif; font-size: 15.5pt;">PREDICTIVE MODELING **

SWOT Analysis


 * <span style="background-color: white; font-family: Georgia,serif; font-size: 17pt;">STRENGTHS **
 * //<span style="font-family: Georgia,serif; font-size: 9.5pt;">Niche Market //**<span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">: The market for dealing with a subscription-based delivery service for men is still small. There are not a lot of other companies that have thought of doing this yet. This is an advantage for Kingpin because they will have less competition and have an easy entry to the market.
 * //<span style="font-family: Georgia,serif; font-size: 9.5pt;">Unique and Profitable //**<span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">: This is a service that many men dream of having, but has never been thought of up until recently. Many men will benefit from this service and would trade in their money for time.
 * //<span style="font-family: Georgia,serif; font-size: 9.5pt;">Convenient and affordable //**<span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">: Although there is a small premium on top of the products, in order for Kingpin to make a profit, the price is still affordable for most middle-class men. The price is a small sacrifice for convenience. As well, the shipping will be less compared to if ordering from different stores for different items.
 * //<span style="font-family: Georgia,serif; font-size: 9.5pt;">Large Market //**<span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">: The number of 20-30 year old middle-class men in America is a large population. Since technology is growing, more of these men will react favorably to online marketing.
 * //<span style="font-family: Georgia,serif; font-size: 9.5pt;">Time Saver //**<span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">: The amount of time making trips to the store each week can be turned into something else -- relaxing at home, or going out to have fun! After being done with work, there's no more need for worrying about buying products that run out.


 * <span style="background-color: white; font-family: Georgia,serif; font-size: 17pt;">WEAKNESSES **


 * //<span style="font-family: Georgia,serif; font-size: 9.5pt;">Niche Market //**<span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">: Since the market is relatively new, and still small, there is not much recognition about it yet. People need to become aware of this service.
 * //<span style="font-family: Georgia,serif; font-size: 9.5pt;">Low Brand Awareness //**<span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">: Kingpin is not a strong brand as of yet, and a lot needs to be done for it to "stand out" from all the other brands out there.
 * //<span style="font-family: Georgia,serif; font-size: 9.5pt;">Not Market Leader //**<span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">: Since it is relatively new, It is not a well known brand or a leader in the current market. There are other brands out there that people are more aware of.
 * //<span style="font-family: Georgia,serif; font-size: 9.5pt;">Startup Costs //**<span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">: It may be expensive for an emerging company to spend a lot of money on certain products, without knowing how well the company will do, or which products will be more popular. Shipping will need to be factored into the costs, as well as bargaining with Canada Post for cheaper rates.


 * <span style="background-color: white; font-family: Georgia,serif; font-size: 17pt;">OPPORTUNITIES **


 * //<span style="font-family: Georgia,serif; font-size: 9.5pt;">High advertising potential //**<span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">: There is a lot that could be done for Kingpin, because it's such a unique service that not many advertising tactics have been done yet.
 * //<span style="font-family: Georgia,serif; font-size: 9.5pt;">Expanding the product line //**<span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">: Since it is new, the product line could grow and expand to include more of what people request, as well as offering partnerships with companies to get cheaper stock.
 * //<span style="font-family: Georgia,serif; font-size: 9.5pt;">Increase brand awareness //**<span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">: Through marketing and advertising, they can increase people's brand awareness significantly and eventually grow to become a market leader.
 * //<span style="font-family: Georgia,serif; font-size: 9.5pt;">Increase market //**<span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">: The market is currently small, because not many people use this service, but if Kingpin succeeds, the market could grow bigger to include other things.
 * //<span style="font-family: Georgia,serif; font-size: 9.5pt;">Mobile E-commerce //**<span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">: Eventually, people could be able to access the subscriptions not only online, but on their phones as well.


 * <span style="background-color: white; font-family: Georgia,serif; font-size: 17pt;">THREATS **


 * //<span style="font-family: Georgia,serif; font-size: 9.5pt;">Competitors //**<span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">: There are currently some other e-businesses that offer similar to what Kingpin does, but their target market is different as well as their branding. To differentiate from them, Kingpin needs unique advertising and branding.
 * //<span style="font-family: Georgia,serif; font-size: 9.5pt;">Easy entry for new competitors //**<span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">: Since there is a low barrier to entry, others could start subscription services just as easily. Kingpin needs to be a market leader before this happens.
 * //<span style="font-family: Georgia,serif; font-size: 9.5pt;">Privacy concerns //**<span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">: Since a lot of private information is given and accumulated, if any of this information is leaked or stolen, Kingpin could be in a lot of trouble. They need to secure their servers, especially if they grow a lot bigger, in order to make sure the customers feel like they are reliable.
 * //<span style="font-family: Georgia,serif; font-size: 9.5pt;">Future innovations //**<span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">: Since technology is constantly growing, there could be other things to replace this service (for example, a big company such as Walmart offering to do the same for cheaper).

<span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">Kingpin's suppliers have low bargaining power because specific brands are unimportant to their current business model and supply can be purchased from many different sources since their products would be household essentials like toiletries. While product supply is a central part of Kingpin's service, price points can be negotiated to acceptable levels more easily then with rare or luxury items. <span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">Customers do not have bargaining power because they pay a fixed price for Kingpin's subscription service. Also the structure of the service does not leave room for bargaining as the customer receives automated credit card charges for partaking in it. <span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">There is a high threat of new entrants because Kingpin’s business model is easy to replicate (and is already a common model in the market - see various subscription services like <span style="font-family: Georgia,serif; font-size: 9.5pt;">Jewelmint <span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">) and new businesses could build on the strengths of the company and provide even more personalized service with the right strategy. <span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">In the current market, threat of substitute products is relatively low. There are not many companies that cater to the niche market and serve the needs of targeted consumers that Kingpin does. While other services do exist, they are not prominent competitors at this time and customers may choose Kingpin due to their specialized service like choice of frequency in delivery cycle. <span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">Currently, Kingpin has minimal competition. While consumers could easily buy the products at numerous retail establishments, the service Kingpin provides is unique. There is competition from other e-businesses, however they do not have as much available customization as Kingpin does in terms of delivery times, and choice of products. The key for this company is building brand awareness and positioning themselves to be a market leader.
 * <span style="font-family: Georgia,serif; font-size: 17pt;">BARGAINING POWER OF SUPPLIERS **
 * <span style="font-family: Georgia,serif; font-size: 17pt;">BARGAINING POWER OF CUSTOMERS **
 * <span style="font-family: Georgia,serif; font-size: 17pt;">THREAT OF NEW ENTRANTS **
 * <span style="font-family: Georgia,serif; font-size: 17pt;">THREAT OF SUBSTITUTE PRODUCTS **
 * <span style="font-family: Georgia,serif; font-size: 17pt;">COMPETITIVE RIVALRY WITHIN THE INDUSTRY **

V. SMART Marketing Objectives

<span style="font-family: Georgia,serif; font-size: 9.5pt;">Gain at least 40 clients within the first 6 months and continue increasing at a linear rate.
 * <span style="font-family: Georgia,serif; font-size: 13.5pt;">SPECIFIC **


 * <span style="font-family: Georgia,serif; font-size: 13.5pt;">MEASURABLE **
 * <span style="font-family: Georgia,serif; font-size: 9.5pt;">Google Analytics **<span style="font-family: Georgia,serif; font-size: 9.5pt;"> tool can measure the number of visitors and the returning visitors. The number of e-mail sign ups as the indicator of success.

<span style="font-family: Georgia,serif; font-size: 9.5pt;">The goal is possible to achieve when using the **social media tactic** and **Search Engine Optimization** effectively.
 * <span style="font-family: Georgia,serif; font-size: 13.5pt;">ACHIEVABLE **

<span style="font-family: Georgia,serif; font-size: 9.5pt;">Analytic tools such as **Google Analytics** and other Social media such as **Facebook, Twitter and Youtube** are available for the process of this campaign.
 * <span style="font-family: Georgia,serif; font-size: 13.5pt;">REALISTIC **

<span style="font-family: Georgia,serif; font-size: 9.5pt;">Short-term goal: Aim to gain 40 clients within 6 months. <span style="font-family: Georgia,serif; font-size: 9.5pt;"> Long-term goal: Expect to increase the number of clients and visitors in order to gain 2% market share by 2014.
 * <span style="font-family: Georgia,serif; font-size: 13.5pt;">TIME-BASED **

<span style="background-color: white; color: black; font-family: 'Lucida Grande'; font-size: 19pt; text-decoration: none;">Mobile App <span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">There are close to 10 million smartphone owners in Canada and 115 million owners in the United States ( <span style="font-family: Georgia,serif; font-size: 9.5pt;">eMarketer, 2012 <span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">). 66% of American consumers use their phone to shop and 43% have downloaded a retail app ( <span style="font-family: Georgia,serif; font-size: 9.5pt;">Digby, 2012 <span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">). Since Kingpin’s service focuses on providing busy men with household necessities and the ability to customize orders and delivery, a mobile app would increase ease of access for smartphone users and enable them to integrate Kingpin into their hectic schedules. The app would not only be a great marketing tool (an easy way to access new promotions and receive push notifications), but also serve customer needs like tracking orders on the go. This tactic would be implemented in the future after Kingpin grows its customer database because it would be useless to create an app that has little demand.

<span style="font-family: Georgia,serif; font-size: 9.5pt;">Our app design has a simple and effective interface, since it is targeted for adult men, yet maintains a sleek appearance that matches with the branding of the company. The log in screen allows for minimal error. Then once the customer logs in they would see Kingpin's current promotions right away, but would also be able to go to their shopping cart easily - the navigation is printed clearly and promotional material does not intrude on the user's experience. Customers can clearly see what is in their cart, price and the option to "buy now". Further information can be clicked on if needed, that way the page is not overloaded with text. Finally, if a user has difficulties, they can call Kingpin directly from the app.

Affiliate Marketing <span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">While affiliate marketing is already a part of Kingpin’s business model we believe it is an important strategy to discuss because it can be integrated into our marketing campaign through our mobile app design, email marketing and in our designs for their website. Based on Kingpin’s target market, which is males in their 20s and 30s who are generally affluent members of society, affiliate marketing would be a great tool not only to grow the business, but also generate a sustainable client base.

<span style="font-family: Georgia,serif; font-size: 9.5pt;">As seen in the mobile app, after customers log in they would be able to view promotions on the first page. In this space we can promote Kingpin’s affiliate marketing program. Also, when people select “more options” it could show the number of successful referrals the customer has given Kingpin to help them keep track of their rewards. Email newsletters can also encourage users to forward to friends and refer them for deals/discounts. Finally, since affiliate marketing can be a large part of client growth, the referral option must be visible on Kingpin’s website.

<span style="background-color: white; color: black; font-family: 'Lucida Grande'; font-size: 19pt; text-decoration: none;">Website <span style="background-color: white; font-family: Georgia,serif; font-size: 9.5pt;">Kingpin website's simple layout helps its clients to easily access for the sign up tools and log in button on the main page. <span style="font-family: Georgia,serif; font-size: 9.5pt;">The navigation memu bars are presented on top of the websites so the clients can access to the product page and the Frequntly Asked Question pages easily. Also, clients can go to BLOG to see the updated news and other information about Kingpin's promotions. <span style="font-family: Georgia,serif; font-size: 9.5pt;">If the clients want to find specific products or services, they can also use the search engine menu. <span style="font-family: Georgia,serif; font-size: 9.5pt;">Kingpin shows that they have Facebook page, Twitter, mobile App services and RSS or Really Simple Syndication tools. <span style="font-family: Georgia,serif; font-size: 9.5pt;">Thus, Kingpin is able to gain more clients and build strong customer relationship by using different social media tools.