BSBMKG401B

PROFILE THE MARKET

ASSESSMENT 1










Siwaporn Upachar
BIC02565



Profiling the Market Marketing Strategy

BASSTHEQUE NIGHTCLUB (MELBOURNE CBD, 3000)

Part 1 Segmenting the Market

The concept and management of Basstheque Nightclub has been well received, and
has been offered key placement at the center of Melbournes CBD. The Center's
planners having met the Nightclub's management and have reviewed the concept.
They have indicated that the Nightclub is "exactly" what they were looking for and
wish to place it nearby the iconic Melbourne Central.
The Nightclub will be a 10,000 square foot unit, which will also house the company's
corporate business office. The dance club and bar will accommodate 750 people.
With Melbournes rapidly growing population, with an increasing plethora of
international visitors and students, the variety of the Nightclub from across the
country would create mass appeal for all of the Nightclub's customers. The store will
be equipped with state- of-the-art audio and video systems like none other found in
Melbourne. It will serve the need for a true nightclub in Melbournes CBD. The
general appearance will be clean, open, and pleasing to the customer, with a concept
of a Russian palace interior. The demographics are favorable, with minimal
competition from other dance- themed venues and bars.







Part 2 Identify your target market
We see the Nightclub as appealing to three major market segments. Fortunately, the
long, late night hours of operation help the Nightclub lend itself to multiple segment
appeal. Our market segmentation scheme allows some room for estimates and
nonspecific definitions.
College Students: The closeness Basstheque to various colleges and universities will
help the resort attract students in and around the Metropolis area. The students will
utilize the facility to hang out, spend vacation times and spring break time between
semesters. The unique dance and other international themes will attract both
Australians and international students towards these entertainments. The market
segmentation of these student category between ages between 18 - 26 is one of the
most important customer segments of Basstheque Nightclub. Most of this target
market will be single male and female students, who will be interested in exploring
new night life entertainment during their young age.

Single Young Business Professionals - The second category of target market is
young business professionals in and around our area between 25 and 40. This area has
a lot of industries, including many financial centers, IT, health, and so on. These
corporations have lots of young executives, who have enough money to spend on high
quality night entertainment. Currently these professionals are spending their time in
small night clubs and bars for parties and get-togethers. With the availability of multi-
themed entertainment like Basstheque, they will spend a major portion of their
income for these entertainments.

Tourists/Vacationers - Melbourne is considered one of the best places to live and
visit in the world, and thus attracts many visitors from other states and also for the
international tourists. This category of people will be interested in getting a unique
experience by spending more money. Basstheque provides multilevel dance, hip-hop,
and pop entertainment with awide variety of entertainment and restaurant themes in
its facility. The tourists can be easily attracted to the facility by creating vacation
packages with various airline agencies and local tourist help brokers. The age
category can range between 25 - 40 for tourists.
Target Market Segment Strategy
Our strategy is based on serving our niche markets exceptionally well. The nightclub
enthusiast, the tourist and business traveler, the local nightclub crowd, the local
service industry as well as groups going out together, can all enjoy the Nightclub
experience.
The marketing strategy is essential to the main strategy:
2. Emphasize exceptional service.
3. Create awareness of the Nightclub's unique features.
4. Focus on our target markets. We must charge appropriately for the high-end,
high-quality service and food that we offer. Our revenue structure has to
match our cost structure, so the wages we pay and the training we provide to
assure superior quality and service must be balanced by the fees we charge.
Part of the superior experience we offer is the simplicity of the menu items.
While being unique, they are relatively inexpensive and easy to prepare. While
a premium is appropriate for the experience, the pricing has to be balanced in
accordance with what we are serving. All menu items will be moderately
priced. We expect an average guest expenditure of $12.50 for beverages and
$7.50 for the percentage of our guests who choose to take advantage of our
food menu. Our target customer spends more than the industry average for
moderately priced establishments. This is due to our creating an atmosphere
that encourages longer stays and more spending, while still allowing adequate
table turns due to extended hours of appeal.





Service Business Analysis
High energy and dance themed venues have significantly impacted cities from coast
to coast in the 21
st
Century. Los Angeles' Hollywood, New York's Times Square, and
Seattle's Pioneer Square are just a few examples. Entrancing their audiences with
high-powered lights, sound, music, and interactive entertainment, these venues are
still one of the highest cash flow businesses in the world. Our localized studies have
shown that the average person will spend three to four hours per weekend in this type
of an environment and will spend an average of twenty to fifty dollars in that time
frame. The typical venue of our style is open from 8:00 P.M. to 4:00 A.M., where
from 8:00 P.M until 12:00 A.M we also serve food, and within the opening hours of
the venue, the venue can achieve gross revenues anywhere from $3,500 to $25,000,
nightly. The primary sources of revenue in a venue of this type are high volume
traffic and from entrance tickets, sold at $20 per admit, coupled with comparably
nominal spending. In addition to alcohol revenues, we will also generate substantial
revenues from food sales that can typically range from seven to ten dollars per person.
Entertainment venues in the early 21
st
Century focused on high-energy light and
sound, multiple source video screens, and participative events. This relatively simple
concept is still quite popular today. However, these concepts have greatly evolved
with society. In recent years this industry has become more sophisticated with the
availability of new technology. Larger metropolitan areas have taken this technology
to new heights with sound, lighting, video and interactive designs that create an
exciting and memorable experience. Fortunately, no one in Melbourne metropolitan
has been a pioneer in this specific segment of the industry as of the date of this report.
Additionally, the nightclub and bar industry is shifting towards a more entertainment-
oriented concept. Guests of these venues are not only offered a dynamic place to
gather and mingle, but also a place to participate in the entertainment through
interactive contests, theme nights, and other events. We intend to heavily utilize
entertainment-oriented marketing in an effort to withstand the perpetual shift in trends
and cater to as large a client base as possible.
Nightclubs and other drinking establishments rely heavily on their primary suppliers.
The primary suppliers are the various beverage distributors that provide the
establishment with both alcoholic and non-alcoholic beverages. The alcoholic
beverages (beer, wine, and liquor) are the primary sources of income in this industry.
Other beverage suppliers also play a crucial role by providing non-alcoholic
beverages. These are either served alone or mixed with alcohol.
In the area, all major brands of alcoholic beverages are available, in addition to
several regional brands of beer. Initial research shows that the major distributors in
the market have a high rating in both product availability and delivery.

Part 3 Profile your target audience
The market is segmented based on the age and lifestyle category of each group. The
market is also segmented into various categories for targeting different types of
promotions and advertisements suitable for each target market segment.

College Students: This segmentation is targeted for students of ages between 18 to
26. Students are more interested in drinks and dance and will find value in variety
of nightclub theme rooms. The "Vault" nightclub room provides the largest dance
floor, the world's largest multilevel bar with live host concerts, with international
superstar DJs taking over the decks regularly, which will definitely attract this
market. The "Ozone and Cloud Nine" themes with RNB and Hip Hop dance music,
water bars and hot tub bars will attract students to enjoy unique drink and dance
entertainment which is not available anywhere in Australia. at this time. The
"Carnival" themes will provide Techno and Trance music. The "Fat Tuesday" with
alternate music & indie music will attract students from various nationalities who
wants to listen and hangout for a good time in the nightclub.

Single Young Business Professionals: This segmentation is targeted for young
business professional between the ages of 25 and 40. The business professionals will
be interested in conducting business parties, client meetings, client entertainment and
other social activities in places of unique entertainment. Compared to students, this
segment has more potential to spend money in night life entertainment activities. This
segment of the market can be attracted with corporate promotions and targeted
corporate tie-ups for promotional dinner and entertainment activities. These business
executives will enjoy "Sin City"-themed nightclub with unique Las Vegas theme with
Ocean's 11-type movie setup. The large dance floors with rap, hip-hop and rock music
will easily attract young professionals. The business executives will be attracted to
"Fat Tuesday New Orleans" theme which hold 15 bars and conduct wild parties.
Target marketing for these market will be done through corporate promotions and
targeted advertising.

Tourists & Vacationers: This market targets people who visit this area from other
parts of Australia and other countries. This market is constantly looking for better
entertainment places and will be ready to spend more time and money for these
unique entertainment resorts. The age group for this target market can vary between
20 to 40 years. Most of the tourists will be interested in all types of themes since they
will get various experiences by visiting at different nightclub themes. This target
market can be attracted by selective ad promotion through travel agencies. Tourists
can also be attracted through big billboard ads placed near airports and hotels with
promotional package advertisements.

Part 4 Develop a positioning strategy

Basstheque Nightclub will utilize the following marketing strategy to win competition
in nightlife entertainment in Australia and showcase itself as a top tier nightclub in the
world
.
Differentiation by Innovation in Entertainment - Brand Strategy
The facility provides world's best nightlife entertainment with 10 individually-
themed nightclub rooms for people with different tastes, 2 VIP Luxury rooms, 4
Restaurants on seating 300 and the other a midnight cafe type of restaurant, 1 Sports
Central Game room with over 100 TVs with various world sporting events and over
200 Gaming devices for customer entertainment.

Specialized Products & Service - Create Brand Loyalty

Large Dance floors, national and international theme-based multi-level nightclubs,
live concerts, rock, hip hop, pop, metal music and ozone music entertainment, grill,
Tuscan bay, Asian foods pavilion, etc.

Customer Incentive Programs - Repeated Customer Creation
Satisfy the wants and needs of various target market and make them select Basstheque
as one and only place for nightlife entertainment

Aggressive Marketing
Highly targeted marketing to make people visit the facility. Various consumer and
corporate promotional strategies will be used to invite customers to the resort.

Keeping Cost Down
The management will be stressing the needs to keep the administrative costs down at
the same time provide good quality products and service.

Focus on Local Market
Basstheque concentrates in Melbourne metropolitan area. The marketing will be
initially targeted toward the 4.077 million people in Melbourne. Slowly the marketing
programs will expand into other states. By concentrating in local market, the company
can use available demographic and behavioral information to create success.

Marketing Strategy

The company will use various marketing strategies and tactics to attract the target
market to visit the facility. There will be Basstheque Mobile Party Units, which are
buses carrying various themes with seating capacity for 10 to 15 people per trip
available for transportation between colleges, malls and sports venues to the mega
nightclub. This will help with promoting the nightclub and its facility to mass market
in the Melbourne metropolitan area. The main marketing strategy will be as follows.

Advertising through Basstheque Mobile Party Units
Buses carrying various themes with seating capacity of 10-15 people shuttle between
resort and malls/colleges/sports venues.


Promotional Pricing for College Students
College Students will be offered initial low price tickets for their first entry to the
resort

Media Advertisement
High quality advertisements will be shown on T.V to attract students, singles and
tourist markets

Magazine ads for the entertainment resort. Selected advertisements will be shown in
business, fashion, life style and various youth magazines explaining about the facility
and themes based entertainment of the resort.
Newspaper Ads - Ads will be placed in local and national newspapers to create a
brand image among people and also to create awareness about the new facility
Billboards - Billboard advertisement of the resort facility will be kept in major city
areas, sports venues and high ways near colleges to attract people towards the resort.
Radio Ads - Advertisement and promotions will be made through selective radio
channels and various competitions and awards will be offered to make the people visit
Basstheque Nightclub.
Banner Ads
Banners will be kept during sports venues and major school leagues to create
awareness of facility in students markets

Corporate Promotional Pricing
We will create tie-ins with various corporations to conduct business dinner and parties
in Basstheque facility at affordable price

Direct Mail Campaigning
Flyers and leaflets showing high quality pictures of various entertainment themes will
be send by direct mail to people living in the Melbourne area

Monthly/Yearly Membership Programs
Company will promote yearly and monthly membership prices, which will be lower
than regular prices to promote repeated customer visits.


Travel Agency & Hotel Chain Tie-ups and Package Pricing
Various fliers and ticketing will be made available in travel agencies and major hotels
to create awareness among tourists and attract them towards facility.