Five-Year Marketing Plan

JK Watches

Company Description/ Executive Summary

JK Watches is a newly created watch company in Baltimore, Maryland. We offer

watches that are customized based on the customer’s order. The watches include a picture of a

loved one, a favorite artist, a pet, etc. The photo is engraved, and a message can be added to the

front or back of it. The main colors of the watches which are advertised are solid black, sand

brown black/blue camouflage and green/brown camouflage. We provide watches that cater to

fitness and adventure; they will consist of plastic straps and a plastic top.

Strategics Focus and Plan

Mission Statement

The mission of JK Watches is to create custom watches that help one to explore the

memorable moments and teach the lesson that lost time can never be found again.

Goals

The objective of our company is to provide high quality, custom made watches to adults

and children. We want each customer to feel important and know that they can depend on us.

According to the survey provided by American Express, “ seven in ten Americans are willing to

spend up to seventeen percent more with a brand”. Poor customer service is the reason for buyers

to switch to brands that provide excellent service. The goal is to vet our new clients, by fulfilling

their orders in a professional manner. We want to grow in the industry within the next two years

and become one of the top 10 custom watch companies. Another goal is to become a distributor

for other watch companies.

Achieving an attractive profit margin or reaching a specific tangible objective such as enough

money to buy our equipment will be our financial goals. Every business goal is to make profit or

earn more revenue including income from sales, interest on investment and rent on business

property. Our goal is to obtain at least 2-5 percent from our sale.

Core Competencies and Sustainable Competitive Advantage

Although there are sustainable competitive advantages such as cost efficiency, being

tailored to athletic and physical demand, and fast production, there are still competencies that are

a concern for the business. For example, being an up and coming inexpensive brand, there will

be competitors such as Fit,Timex, BingoFit, and Casio. Also, there is not much of an application

to science technology; this is basically the artificial intelligent features that are presented in other

new watch brands. Furthermore, luxury watch companies such as Rolex, have watches in the

physical and fitness category as well, which may attract the luxury watch buyers. To set these

core competencies into sustainable competitive advantage, Jk watches will work closely with

some suppliers and distributors to build relationships and advance through the market.

Situation Analysis

Strengths Weaknesses
 ● Our business has strong customer service: ● Lack of capacity for international expansion

Skilled and professional employees ● Lack of product variety online.

● We have highly efficient, low-cost ● Ineffective inventory management

manufacturing ● Lack of different styles of watches online.

● Leadership in product innovation

Opportunities Threats

● The increase in our competitors prices makes ● Competitors are expanding into new

our product more affordable locations

● JK Watches appeals to the older generation, ● Usage of technologies such as smart

therefore the ageing U.S. population watches

represents a viable market ● Change in the economy can affect buying

● Work with organizations that provide watches habits.

to their employees (ex: U.S. Army) ● Weak Supply chain

Consumer/Social Economic Technological Competitive

● Social attitudes, ● Source of raw ● As technology is ● Distinctive name

behaviors and materials costs constantly changing and packaging in

 trends can impact ● Economic trends, JK Watches keeps up its markets.

an organization and growth rates, in order to stay ● Direct

target market. industry growth, relevant. competitors that

● The Attitudes and seasonal factors, ● Access to technology offer similar

share of beliefs international rates, growth in watch products such as

about a range of labor costs, and companies such as Timex, BingoFit,

factors including consumer disposable smart watches and Casio

money,customer income.

services,religion,

population growth,

demographics and

lifestyle trends.

Regulatory

● Trademark issues ( usage of slogans, symbols, or inventive catchphrase).

● JK watches must obtain Business legal mandates set by state, federal, or international governments.

Jk watches company is a small business with a collection of watch designs and a unique

appearance. It is a new company that is obsessed with creating a momental design to tell a story

to a loved one. The products are high quality and manufactured using raw materials. These

products are highly reliable and durable as well. Jk watches targets a variety of users such as

adults, children, youth, and family households. It provides customization where the customers
can create and customize their style. Limitation of capacity for international expansion can

affect Jk watches. A weak supply chain can impact the business to a huge extent. It can delay the

product to the customers. The growth of watches in the industry representing a viable market.

Having an opportunity to expand throughout other countries by collaborating with other

organizations can help the market sales.

JK watches weakness is facing tough competition from its competitors in terms of price

level, the availability of financial resources,and ineffective inventory management. Threats

include fixing up the rates for the watches , as the customers will be particular with the price.

Economic slowdown, variety taxation, and hefty duties.

Industry Analysis

According to global watches market size was valued at USD 50.1 Billion in 2018. Some

smart and fitness watches are cost effective, user-friendly, and have excellent battery life, which

is attractive to customers. Demand for these watches is witnessing high growth due to the

launch of new innovative products by renowned companies including Apple, Fitbit Inc., and

Samsung. According to Grand View research, “Fitness watch is the fastest growing segment

with a CAGR of 13.7% from 2019 to 2025. The growth is attributed to the rising popularity

of these products among the fitness oriented people as they help in accessing the body

activities including cycling, daily steps, swimming laps, heart rate, and sleeping pattern.

These features are attracting customers who want to keep a track of their daily activities,

including the number of required steps, calories intake, and heart rate.

Competitor Analysis

The sports watch market in 2019 is reported to be approximately 18.6 million and on the

track to reach 25 million by the year 2025 according to the information in Statista.com.

Statisticbrain.com states that about 9.2 billion luxury watches are sold each year. There are
various watch types from Sports, diver, and military watches to luxury, analog, and

chronometer watches. Luxury and sport watches are the top two but luxury watches are

highly more popular than the other watch types , which may be a disadvantage for JK

watches at the end state.

Company Analysis

JK Watches is focused on great customer service, low cost manufacturing and product

innovation. Our employees are skilled and professional and satisfy every customer's needs.

We empathize and build trust with our customers to help them tell their story. Low-cost

manufacturing is an advantage for JK Watches, we create highly efficient watches for a

lower cost than our competitors. JK watches is also a leader in product innovation. We

enhance the quality of our watches and continuously create a variety of styles.

Customer Analysis

JK Watches target customers are adults, children and family households. Our

watches are affordable and purchased by the lower class and middle class. Our customers

value creativity and expressing themselves. The family households that purchase JK

Watches, depend on us to create a watch for their family that represents a memory they

never want to forget. Many adults and children purchase JK Watches with a picture of their

favorite artist, loved one or pet.

Market-Product Focus

Marketing and product Objectives

Jk watches marketing intent is to grow and focus on the revenue driven by

marketing. The goal is to increase the probability of sales and lead quality of our products.

We also want to increase customer lifetime value, and reduce the percentage of lost deals or
sales. Improving awareness and demand around new products by aging new audiences to

our company.

Current Market: We grow our market by offering a variety of colors and designs for the

watches that we sell. We engage more consumers by email, face-to-face communication and

social media.

New Market: Five years from now, JK Watches will expand to many retail stores beyond

Target and Walmart. We will also expand the style of watches offered.

JK Services: Our service will include adding new styles and reaching our sales goal each

month.

New Product: Jk watches will be expanded at a retail level. The goal is to sell 1000 units

of the new product within the first 30 days of launching .

Target Markets

The primary target market for JK watches is households with one or more people, as

well as average low and middle class workers with an income above 35,000 per year. These

households consist of people who enjoy adventurous lifestyles and socializing.

Point of Difference:

● Waterproof- Most watches are water resistant but not waterproof. This will be an

advantage for the JK Watch Brand.

● Earth Friendly- The JK Watch Brand relies on renewable energy unlike watches such

as the fitbit.

● Practically Weightless-

Positioning: The JK Watch brand is more than just watches, it is a lifestyle. There is a

story behind each watch for every customer. Our customers feel proud and confident when

wearing the JK Watch brand. They are wearing a brand that represents a story of

importance to them.
 Marketing Program:

Product Strategy:

Our company name, design and symbols are unique and different from our competitors. It

is unique because many stories are told behind each watch. The packaging for JK Watches is

a black box with the company’s name and logo on the top.

Price Strategy:

The set price for JK Watches is $25 and up. We want our product to be affordable

because our company is new and we expect it to grow. Our set price is also based on our

competitors prices. We avoid pricing or watches too high. They are priced lower than our

competitors prices. (Ex: Many watch companies charge twice the price for custom watches but

JK Watches will only charge $10 more.)

Promotion Strategy:

JK Watches uses social media for promotion. The social media that we use includes

instagram, facebook and twitter. We post videos and pictures with descriptions of our

product to engage the customers. We also do sales promotions throughout the year which

helps us build our platform. Other forms of promotion that we use are direct mail and

business cards. We give business cards to the community with our logo, product

information and contact information. This allows us to gain new and long-term customers.

Place (Distribution) Strategy:

Our products are sold in stores and online. We use a direct channel as our place strategy

because we care about the customers preferences. It allows us to communicate with our

customers and meet their needs. This strategy also helps gain growth in our sales.
 Implementation Plan

Introducing JK watches to other companies in the market is a complex task and

requires strategies such as performance measurement, organizational goals, strategic

plans and creative promotional activities to gain customer awareness. There were 30

million Apple watches and 5.6 million FitBits sold last year, therefore it would behoove

JK watches to sell in the millions from 2020 to 2025.

Promotional Strategies Plan

Awareness/ Relations Liking/preference conviction/purchases

Public relations Sponsorships and Consumer Sales

● Push strategy special events promotion
● Earned and paid ● Specialty product at ● Offer coupons/
media, utilize owned events reduce price
● Key influencers ● Increase ● Offer free shipping
● Campaign that sponsorships of online
focuses on local events
institutional Direct Marketing
advertising ● Direct mail
● JK will help support ● Email marketing
a positive self image Personal Selling
to customers ● Continue building
through creativity long- term customer
● Media/Advertising relationships
● Multi- channel ● Reward the sales
advertising force
including
digital/mobile and
local print

Five year Implementation plan

Year1 (2020) year2(2021) year 3(2022) Year 4 (2023) Year 5 (2024)

Hire agency to Identify prospective Continue paid Identify our new Continue
create campaign to locations to open media, support targets for the innovation new
help sale new locations of local events, stores products &
and promote designs
new stores

End of 2020--Paid Continue product Sell at least Sell products in Continue to

advertising line development 1400 watches more retail stores expand the
initiative to push than Target stores which our
more institutional products will be
messaging sold in

Introduce JK Identify high quality Appeal to Sell at least 1600 More options for
watches to athletics partner online watches online purchases
customers such as ( FIT, Apple) marketing

Marketing Marketing target: Marketing Marketing Marketing

target: $25k $30k target : $35k target : $40k target :$45k

Evaluation

There are annually set sale targets for JK watches. Every sale that JK watches earns

will be verified by checking for the appropriate similarities between the set sale and the end

goals.
 Citations

Gordon, Kyle. “Topic: Fitness & Activity Tracker.” Www.statista.com,

www.statista.com/topics/4393/fitness-and-activity-tracker/.

“Watch Industry Statistics.” FH, www.fhs.swiss/eng/statistics.html.

“Watches Market Trends: Industry Growth Analysis Report, 2019-2025.”

Watches Market Trends | Industry Growth Analysis Report, 2019-2025,

www.grandviewresearch.com/industry-analysis/watches-market.