Identify and Evaluate Marketing Opportunities

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 Table of Contents
Assessment Event 1 ........................................................................................................................ 3
1. Answer to Question No. 1 ....................................................................................................... 3
2. Answer to Question No.2 ........................................................................................................ 3
3. Answer to Question No.3 ....................................................................................................... 5
Assessment Event 2 ........................................................................................................................ 7
Task 1: Recognizing the Opportunities of Marketing..................................................................... 7
1. Introduction .......................................................................................................................... 7
1.1 Analyzing Market Information ..................................................................................... 7
1.2 Analyzing New Potentials in Market............................................................................ 8
1.3 Exploring Entrepreneurial Approaches ...................................................................... 10
Task 2: Studying the Marketing Opportunities ............................................................................. 10
2.1 Relationship between Marketing opportunities, Capabilities and Organizational Goals ... 10
2.2 Evaluating Opportunities to Determine Business and Customer Base Impact ................... 11
2.3 Return on Investment Determination .................................................................................. 12
2.4 Potential Competitors.......................................................................................................... 13
2.5 Evaluating Marketing Opportunities and Ranking ............................................................. 13
Task 3: Evaluating Changes in Current Operations ...................................................................... 15
3.1 Identifying Document Changes and Required Resources for Current Operations 400 ...... 15
3.2 Communicating Capabilities of Changes to Present Operations ........................................ 15
3.3 Recently Report Documents on Marketing Opportunities and Required Changes ............ 17
Conclusion ................................................................................................................................ 18
References ..................................................................................................................................... 19

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Assessment Event 1

1. Answer to Question No. 1

Relevant legislation and regulatory factors are excessively significant for doing business. The
key legislation and ethical necessities are:

I. Product Requirement: Product requirement and consumer rights are responsible for
refunds, contract validation, marketing, warranty policies and other issues such as
price-fixing and competitive conductance of product life cycle (Sovacool, Axsen and
Sorrell, 2018). It should provide relevant information regarding pricing strategy,
telemarketing, handling of goods and unsolicited bill generation among peers.
II. Practices of Codes: Every industry must meet the terms with one or more codes of
practice and codes of morals for successful compliance. The purpose of the codes is
to maintain suitable standards and consumer self-assurance (Zhang, 2018). In every
organization there are five most common codes of practice are to be seen such as
registration, qualification, dealing with personnel, laws correlated health and safety
issues in a workplace, insurance and confidentiality.
III. Patents Related to Trade Marking and Intellectual Property: For every enterprise it is
of utmost priority to legally protect the ideas, designs, products, technology for
creating a niche business identity.
IV. Environmental Requirements: Taking care of the environment is very significant
including taking concern regarding natural welfare of plants, water bodies and
reducing the carbon footprint.
V. Creating Privacy: For any business it becomes very critical to keep all the important
data that are pertinent to the business personal, safe, and secured (Zhang, 2018). For
any business to succeed the privacy of the employees or the members related to the
organization should be kept confidential. No information should filter to the public
audience.

2. Answer to Question No.2

The principles of marketing and marketing mix can be demonstrated by various factors and
attributes for the industry specific business (Pomering, 2017). Taking the health and fitness

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industry as an example, the four basic marketing mix strategy principles known as the 4P is
explained in the table below:

4P Marketing Mix Explanation Specific examples based on the

industry
Product The selling attributes of a product In health and fitness industry, treadmill is
such as the products advantage over mainly used by the peoples who prefer to
competition and benefits of the jog indoors. An advance treadmill which
product along with the features provides advantages like a higher speed
specific to the customer preference. range, high payload capacity, increased
inclination angle and larger running
surface is more preferable to the
customers.
Price Each and every business what to the A large number of health supplements are
provide the consumers with the best present in the market but only a handful
value for money proposition as in that of those products are selling in the correct
case the product seems more viable quantity which provides an excellent
(Scheuerer et al., 2017). The price price-to-product ratio. For a product to
strategy is very critical for be successful, attractive pricing of the
establishment of any product taking product is becoming a tool for filling up
into fact the profit margins of the the sales target.
enterprise.
Promotion A hefty amount of work is needed to Handbills, newspaper advertisements,
be done for making customers aware online marketing, product display outlets
of the products that are available are some of tools that an organization
(Fujihira et al., 2015). Promotional uses in health and fitness industry to
tricks are used to support the cause, make promotions regarding their
ensuring the customers can find the products. A large number of health
products that the brand sells. products and fitness products can be seen
in online marketing websites suggesting
the cause.

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Placement Placing the organization in a right Special merchandise, mobile outlets are
place where it can have a larger some of the common techniques that a
access to the customers is of utmost brand takes to make their product reach
priority (Bennie et al., 2017). A to larger audience. In the health and
product cannot sell if the products are fitness industry, spreading the outlets,
far from reach of the possible buyers. health centers and creating door-to-door
product delivery are very common.

3. Answer to Question No.3

Collecting data and analyzing it ensures that the organization knows where it is heading and how
the business is turning out to be either profitable or not. Various techniques like qualitative
techniques and time series analysis are implemented. Every organization looks to ensure profits
for future development of the company and the brand of products that it sells. In that case the
statistical analysis is very essential (Pulker, Scott and Pollard, 2018). Doing various kinds of
surveys and taking customers and staffs feedbacks helps to project a stat that proves to be
beneficial.

Forecasting, a technique, is mainly used based on the data of the statistical analysis and describes
where the company is heading and whether the objectives of the company are being fulfilled
(Fujihira et al., 2015). In the health and fitness industry, forecasting can be done by focusing of
many principles such as understanding the uncertainty for the future consumer sentiments,
evaluating and dismissing the products that are not fit for the market, holding strong opinions in
a weekly manner, looking at current product development rather than looking at sustained
products for the future, understanding the right time to forecast and look for the optimal product
life-cycle issues. For example:

I. In the future the consumers may lean towards activities like outdoor jogging, yoga
etc. where the usefulness of certain products like treadmill may be affected.
II. If a product, say for example a steroid induced supplement which is not being
accepted by the consumers, should be discontinued (Kennedy, 2016).
III. A product can be viable today, not be viable after a few days and can again be viable
in a later date. In such case, forecasting should be done in a weekly manner,
especially in the fitness industry where the product indecision is very sustainable.

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IV. Continuous development of products ensures that the features of the merchandise
stays extended (Kennedy, 2016). Technological advancements have made the job
easier for the industries in health and fitness to develop such products.
V. Optimal time should be taken to ensure the steps of research and development
progress in an evenly approach. Stats should be carefully examined before creating a
new object. Making a successful product by taking a long time in development is
much more profitable, rather than making a failed product.

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Assessment Event 2

Task 1: Recognizing the Opportunities of Marketing

1. Introduction
Emu Fitness is a private firm, which operates in Sydney, Australia. It is one of the minor
operating health club chains in the city. Emu Fitness has almost 15 active health clubs and more
than 7000 active health club members. Emu is not a large player in the health and fitness industry
and faces tough competition from bigger players in the field. The industry of health and fitness is
an energetic and lively industry that plays a vital role in the economy of Australia. The fitness
industry provides employment for around 35,000 individuals in the country. The base operation
of Emu Fitness is in North Sydney where it has its Head Office and a health club. The firm
operates from 6am to 10pm, 7 days a week. The evaluation of the internal strengths and
analyzing the current market opportunities can help Emu Fitness by a huge margin.

1.1 Analyzing Market Information

The market of Australia has a great potential for the health and business industry thus Emu
Fitness has a great opportunity to establish themselves as a larger player and grow the business
across Australia. The market in Australia is carving for products that are driven by innovation
that suite the lifestyle of peoples there (Austin and Garnett, 2018). The market in Australia
always leans towards a quality product where the brand takes the responsibility of the well being
of the customers with added care and responsibility. The health and fitness industry in Australia
generates revenue of approximately 2.2 billion dollars signifying the scope of growth for Emu
Fitness.

Analysis of the market means to learn and understand about the macro facts such as-

I. High Level of Contest from Established Players is a big concern for a company like
Emu Fitness. The fitness sector in Australia is such that every day a new firm
emerges to take a pie of the profitability in the sector. It is seen that the newer entrant
companies take an inferior amount of fees for the fitness training for achieving a
greater appeal.

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 II. Emu Fitness will have to take the factor of customer base establishment if they have
to gain a higher profit while negating the risks of the competition. They have to take
in the fact of Future proofing the company. Information states that more than 15% of
the Australian adults are members of the gym. A large number of Australian peoples
like to do their fitness exercise inside a closed premises. In that case, Emu Fitness
will have to ensure that both the present and future customers obtain what they are
looking for consequently future-proofing the company as a whole.
III. Technological advancement is one another macro fact that is very important for the
advancement of any business across the world (Bennie et al., 2017). Success in any
field requires for staying ahead of the competition. Technology brings productive
turnover. Applying technology possibly will help bring newer and more attractive
products related to fitness and health while bringing newer fitness gear into action,
increasing customer sentiments.
IV. Political facts in Australia are one very important aspect for any organization to
expand in the huge Australian market. The market in Australia is very wide and open
for all mainly in the fitness industry due to the large scale of the industry. For Emu
Fitness, political factors can prove to be an advantage in reaching to members on a
wider audience for growing their brand in Australia.
V. Environmental approach is one of the macro facts that is taken very seriously
nowadays by each and every organization. Nothing can be done today that have a
serious impact on the environment (Pomering, 2017). The peoples related to Fitness
and health care understand that environment preservation is very important. Emu
Fitness will have to appreciate the sentiments of the audience and take the brand
perspective higher by not harming the nature, while building a strong base for itself
within the fitness industry.

1.2 Analyzing New Potentials in Market

As stated earlier, the health and fitness industry in Australia is booming in a very rapid pace with
an annual growth rate of 3.5%. For the players in the health and fitness industry it was becoming
very significant for them to analyze the potentials of new and innovative products in the market.
The growth of opportunity has to understand from within, keeping in mind the level of interest of

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the potential customers that are most likely to be engrossed in engaging themselves (Uddin. and
Khan, 2018).

I. A survey was done by Emu Fitness taking more than 4000 of their members. The report
of the study stated that about 84% of the people were interested in wearable fitness
devices monitoring their health via apps. 75% of the people were interested in training
programs that was done in groups, 80% were interested in Boot camp fitness and health
holidays, 59% of the peoples in the survey stated that they were interested in customized
daily delivery of meal, 92% of the staff members wanted to engross in training and
professional development, 78% liked online coaching classes on health, 88% peoples
wanted a health store nearby and 64% wanted to get involved in Physiotherapy-Gym
culture.
II. Among the members and customers of Emu fitness, the company was given a rating of
7.9 out of 10 owing to positives like high number of classes and low cost of membership
and negatives like average attitude of staffs towards the customers. The survey suggested
the needs of the customers, and potential of the market for stuffs like fitness product
delivery, creating a fitness store and providing classes based on health and fitness.
III. Entering the newer segments of market also brings with it some risks that are related to
the external factors such as facing loses owing to disasters as a natural disaster can
hamper the business of the organization (Uddin. and Khan, 2018). For Emu Fitness, they
have to make sure that their business is not underinsured so that if any disaster do occur,
loses could be minimized.
In fitness industries, injuries are one of the concerns that can take a toll on the
organization. Treadmill injury is one such injury where the average expense mounts to a
gigantic 200,000 dollars. Making the members of the organization highly trained can be
very beneficial as it can help avoid risks.
Covering the liabilities, and avoiding risks related to cyber liability is critical from the
financial standpoint of the brand (Kennedy, 2016). Lowering the risks of liability from
the trainers is very important to avoid issues like physical injuries and inappropriate
sexual molestation.
Acts of violence and outbreaks due to diseases can also be harmful, ceasing the financial
impact while damaging the reputation of the brand.

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 1.3 Exploring Entrepreneurial Approaches
It becomes very important for Emu Fitness, to explore the possibilities of the industrial
approach. Study indicates that the medical industry is converging with the health and fitness
industry in recent era. The health and fitness projects are co-relative with the medical products in
our market today. The recent exercise in medicines for the health and fitness of an individual has
prompted the slowing down of fitness industry. The gainers are those brands who successfully
blend both the sides of the equation for the profitability of the consumers which in turn leads to
the profitability of the business (Sovacool, Axsen and Sorrell, 2018). With the flow of time
utilization of health related products such as body capsules, protein powders, pro-biotic, BCCA,
multivitamins etc. are increasing tremendously. As a result, if Emu Fitness can copes with the
manufacturers of these products and can sell these products from the fitness houses it may attract
the attention of both existing and potential service users.

Task 2: Studying the Marketing Opportunities

2.1 Relationship between Marketing opportunities, Capabilities and Organizational Goals

I. Goals of the Organization: The organization has reached the milestones by following
some clear and primary goals. The aim of Emu Fitness is to motivate and appoint people
into physical fitness and circulate drugs and alcohol awareness as provide support on
health and nutrition (Kotlar et al. , 2018). Emu Fitness works to presents innovative
fitness and lifestyle for the customers and provides new products and services in the
market for the same purpose. Emu Fitness wanted to provide a new world of good health
and fitness to the future generation. Emu Fitness has become quite large industry over the
year since the birth, today it supervise 15 various health clubs throughout the Australia.
Each has just about 1000 active members and it will keep increasing employees for the
organization in future.
II. Marketing Opportunities: In this modern age marketing and advertising has become
very easy. Fitness industries like Emu Fitness are using all the help the digital world can
offer for instance Emu Fitness can target and propose straight offers to the ideal
audiences the need through social networks like Facebook, Instragram, Twitter and even

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 emails and SMS (Kotlar et al. , 2018). Providing health insurances also works very well
to attract public attention.
III. Organization Capabilities: There are five capabilities needed to be present in a fitness
industry such as clear Business capability, Marketing capability, Good design and use,
execution and lastly good contents of marketing.
I. Business Capability: Business capability contains identifying the business
model and strategy. And principles such use of contracts and contacting
intellectual assets (Kim et al. , 2018).
II. Marketing Capability: Marketing capability analyzes and motivates customers
and defines the company position in product, place, promotion and price.
III. Design and usage: By this capability the company creates the environment to
deliver the services or products to the customers and analyzing the values of the
customers. This capability symbolizes how good the industry cooperates with the
customers.
IV. Execution: This capability is about acquiring and implementing the basic
technical knowledge and uses them in proper services to accomplish the business
goal (Kim et al., 2018).
V. Marketing Contents: Marketing contents is very helpful if the industry has not
been in much innovation for a long period of time or facing problems to acquire
new innovations than according to this capability the organization stick to better
the old techniques instead getting new ones (Kim et al., 2018).

2.2 Evaluating Opportunities to Determine Business and Customer Base Impact

I. Opportunities in Fitness Business: In the modern day the population of people
concerned with fitness and health is keep increasing and this helping the fitness industries
in almost every aspects as the quantity of customers is always helpful for the business
(Hernández., 2019). That is why business competition is also rising. In this situation right
advertising and good service is the key to a successful business. Providing the most
attractive advertises through social networks, TV commercials and internet is the right
choice as these platforms are directly connected with the lives of the customers. The
industry needs to establish new and more advance gyms filled with cutting-edge

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 technology and machinery for the workouts and also need to recruit specialist trainers,
apply yoga classes, power lifting tools to gain audiences.
II. Opportunities in Customer Base: Most of the customers of fitness industries are
athletics or Students. The majority of the customers will be living in somewhat close
proximity from the gym. Athletic team of audiences prefers to have their personal trainers
(Hernández, 2019). The 50% of customers are aged up to 20 to 35 who are in jobs. These
customers are out of school and do not have the time for regular gyms but they are more
concerned on health and fitness and willing invest money to stay healthy and active. And
other 30% of customers are in school or college age up to 16 to 20. They have time on
their hands and willing attends gyms in regular basis. They also get long terms of
vacations and can use that time for building fitness. And other 20% are older or above 35
years who are more interested to stay healthy to avid medication. Yoga classes are
primary choices for them.

2.3 Return on Investment Determination

Emu Fitness is a substantially large organization. It has approx 15 health clubs and member
count of at least 7500. The health and fitness industry stands on critical platform in Australia.
Emu fitness produces approx 2 billion dollars revenue per year and has 3.5 rate of growth in
annual basis of 2010 to 2015. It has almost 3265 of health clubs scattered throughout the country
which generates over 30,000 of opportunities regarding the employment.

The Emu fitness is supervising 15 different clubs throughout the country. It has invested total
cost of approximate over 7,000,000 dollars. And has total 1 million of annual revenue.

Districts Number Associates Annual Amount of Cost

of Clubs Revenue

Central Sydney 5 1785 $1,130,500 $ 956,586

Eastern Sydney 2 3625 $2,565,220 $1,588,456

North Shore 3 2754 $2,040,002 $1,689,566

North West 2 1268 $972,332 $465,586

South Sydney 1 800 $604,996 $356,253

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 West Sydney 2 4089 $2,568,789 $1,568,486

Total 15 14321 $9,881,839 $2,528,886

2.4 Potential Competitors

As the customers quantity in fitness department is keep increasing in Australia the competition is
also raising Emu Fitness is facing new competitors each day (Amankwah-Amoah, Osabutey and
Egbetokun, 2018). The current rivals of Emu Fitness are First World Fitness, Ying Yang Life
Style etc.

I. First World Fitness: The First world Fitness is one of the largest health clubs in
Australia. The organization had cutting-edge technology and equipment facilities
including good number of specialist staffs (Havard, 2018). First World Fitness also
includes many celebrities as members and very strong communications and
infrastructures the management style is also high quality. But organization structure of
First World Fitness is very costly and do not have any permanent contractors which is an
advantage towards Emu Fitness.
II. Ying Yang Lifestyle: Ying Yang lifestyle covers almost 17% of total market share in
Australia. They focus on more family friendly approach to the customers and provide
remedial and medical services as well, they host Japanese baths for psychological and
physical stability, Health awareness and informative programs and prefers soothing
facilities. But they had fragile coverage in NSW and high cost approaches and poor
online presence (Havard, 2018).

2.5 Evaluating Marketing Opportunities and Ranking

Opportunity Fit with Market Potential $ Investment Capability of Time to
Name strategy? Size needed organisation? profit

Direct Generate All over $150/month $20000/annually Marketing 1 year

Competition value Australia
Analysis proposition

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Indirect Enhance All over 20000 1,000,000$/Year Marketing 1 year
Competition brand value Australia $/Person Capability
Analysis

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Task 3: Evaluating Changes in Current Operations

3.1 Identifying Document Changes and Required Resources for Current Operations 400
The Emu Fitness organization is a flourishing industry it severs a small part in the fitness and
sports section. The heath of people is a essential thing in Australia and on the other hand it plays
a vital role in the economics of the country. Elaborating the point, the growth of the industry has
increased is in the years. As fitness has become a vital part in everyday life of the peoples of
Australia. This organization is the one of the organization that provides the culture of fitness in
Australia. But this industry has faced a lot of challenges during the previous years despite the
challenges the industry has sound working margins because of less pay to the staff and meager
equipments and facilities (Hutson, 2013).

The factors, this kind of industries or the fitness industries are emerging cause the mindset of the
Australian peoples have changed. The healthy peoples cost low to insure, thus the insurance
companies are taking this in mind and investing on health club membership and in fitness
industry. This market segment is growing fast but not independently, side by side the revenue of
supplements is also very profitable in the fitness industry pushing the industry more forward.
The benefit of principles of business in fitness business contains the principle deals in helping
the customers to make their interest (of fitness) their main focus in the fitness industry. In this
industry the passion of the peoples helps this business to emerge in faster pace.

It makes the business more attractive by providing new equipments in the industry. Additionally
fueling up the peoples mind by advertising is one of the important weapons to be used. Adding
celebrity faces with the organization will also help in enhancing and flourishing name and fame
of the industry. Potential candidates should be involved in the industry to make the industry to
strengthen in all the terms possible. The increase in health complications and the increase in
diseases in this planet have leaded the peoples to think about fitness in there primarily (Hutson,
2013). Management has always been in account in this industry and proper management and
facilities would lead to more flourish and wellness of the industry.

3.2 Communicating Capabilities of Changes to Present Operations

Communication is one of the important set of skill required by the industry and also by the
employees of the industry. The trainers must have the required skill sets and the power of

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communication to effectively initiate the programs in the industry. Effective communication
helps the clients to understand better and allows the industry to achieve more. Communication
helps in bridging the gap between the trainers and the clients in the fitness industry. Additionally
training the trainers to build their skill set is also an important task of the industry (Bernal-Garcia
et al., 2014). If the trainers are bad at communicating or speaking with the current clients then
the business is going nowhere. There are certain psychological tricks to influence people. The
communicating skills sets or the principles of effective communication are:

I. Speaking with confidence and transparency.

II. Recognize the opportunities.
III. Confidence is the main elemental thing.
IV. Interactions with the clients must be maximized.
V. Not to be discouraged by failure.
VI. Adopting a broad mindset.
VII. The process communication should be enjoy, not the result.

Effective communication also requires little or more guidance and practice when your are to
interact with your clients. Strengthening the communicating skill is the major point in
communicating with the clients in the best possible way. Communication is basically contains
words that convey the true meaning behind the delivered message.

The technology is a important factor for the fitness industry in this era of modernization. As we
know that nowadays the digital technology is changing the behavior and advancing them in all
ways possible they are in short of knowledge cause with one click you can connect with any part
of the world. Fitness gadgets like the fitness watches, calorie burnt, distance covered by walking
or running, sleep tracker have changed the mindset of peoples. The fitness watches can detail
you about calories burnt, steps taken , sleep tracker, heart rate tracker thus advancing the clients
with technology by specifying there fitness details.

Also online fitness plan, videos and online nutrition knowledge has advanced the clients. So the
industry should also advance their technological field and growth up technologically in this
industry (Bernal-Garcia et al., 2014). The supplement industry has joined hands with the fitness
industry to advance them in perspectives of nutrition. The pre and post workout beverages and

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drinks have taken up the market. Further the post and pre workout supplements have also taken
their place in the market and are in strong hold of the market. The fitness centers and the clubs
related to health are increasing and advancing in technology. Like the gymnasiums, yoga centers
and other health or fitness facilities has increased a lot this days giving the fitness industry a
stronghold in the market.

Fitness places in Australia provides all the facilities such as gym for weightlifting and cardio
health, classes related to (yoga, cycling, fat burning regime), martial arts, boxing and other
martial. Thus, Emu Fitness to keep emerging in Australia must provide as many possible
facilities they could to have a positives impact on the market and on the clients. The awareness
of the industry (Emu Fitness) should be expanded through proper advertisement. The social
media should be taken into to account to sever this purpose. The industry should also keep in
mind the age group of the people coming to their facility. The facility should have the different
equipment facilities for different age groups to offer facility to attract all age group peoples.

3.3 Recently Report Documents on Marketing Opportunities and Required Changes

Nowadays, fitness being the important part of the lives of people, the marketing opportunities
has increased but there also certain required changes for the betterment of the industry. Seeing
that the obesity rate is increasing in Australia, the child obesity is 22.6% and Adult obesity is
30% the marketing opportunities is on the way to increase in near future for fitness industry.
Besides, Australia is considered the fifth most obese nation in the planet. Thus if the current way
is not changed, it is statistically anticipated that 3 out of 4 Australians will fall prey to obesity in
the year 2025.

The Australian government is also encouraging the population to change and adapt to healthier
life style, this increases demands for good fitness industry and the fitness products and other
fitness facilities in the nation. This also demands from the industry of expansion of services and
products (Barnes, Ball and Desbrow, 2017). Going on to market opportunities there are not many
competitors in direct competition in current time. The Australian governments programs on
awareness regarding obesity rate, smoking death rates in the nation and other diseases due to
unhealthy lifestyle has created more marketing opportunities. The threats to be considered by the
industry (Emu fitness) and to change accordingly for the smooth run of the industry are:

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 I. The customers must be satisfied by the Emu fitness industry.
II. The maintenance of the equipments, machinery and the infrastructure should not lack in
any perspective.
III. Management behavior should be up to mark for the customer and provider satisfaction.
IV. Fast growing fitness related technology such as apps and gadgets.
V. Increase in availability of free health programs through online facilities, guiding the
people about proper and health diets in free of cost.

Conclusion
Summing up the total data gives the idea that Emu fitness is an emerging industry in Australia
considering the facilities that it has around 7,500 members at present and about 20 health clubs
in total. The industry has emerged within the previous years with annual growth rate of around
4%. Being in the health and fitness industry, Emu Fitness has to tackle the stiff competition from
similar enterprises in Australia. Analyzing the data and understanding the basic principles and
structures of marketing and laying out the strategy, Emu Fitness could prove to be profitable in
the near future.

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