Fulvio-Mason_O_s1301590_MS4105_A2

MS4105: Marketing Plan

Name: Olivia Fulvio-Mason
Company Name: Rise Music
Company Mission Statement: Our shops maintain the
spirit of a classic indie record shop with knowledgeable
and friendly staff and an extensive range of music on
vinyl (Montgomery, 2014)
Brand Name: Rise Music Cheltenham

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Executive Summary of the Plan
Throughout the plan we have developed the sales of Rise Cheltenhams
records. We explored the target market and catered to it through the use of loyalty
cards, potentially relocating, the introduction of cassette tapes, social media and
student discounts. Our main aim is to develop brand loyalty from the target market by
successfully implementing marketing ploys and creating financial prosperity for Rise.
In this plan we highlight potential difficulties of applying our ideas to Rise
Cheltenham but ultimately the potential for success is recognisable.

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Part 1: Current Situation
1. Current Situation of the Brand and its industry
Brand Profile
Live acts, vintage clothes, and vinyl are just part of what makes Rise Record
Store unique (Gloucestershire Echo, 2014) and this is an integral concept to the
brands profile. Rise competes within the music industry online and in store in three
branches located in Bristol, Cheltenham and Worcester. We have chosen to base our
marketing plan on vinyl sales in Rise Cheltenham because The year-to-date sales
figure reflects year-on-year growth of over 100%, doubling vinyls market share
(BPI, 2013), demonstrating its growing appeal amongst the music loving community.
Whilst we were unable to source the market share for Rise specifically, we discovered
that independents [] accounted for more than 50% of total vinyl sales (Topping,
2013) therefore indicating the strength of the market, as vinyl is a growing trend.
Rise offers a medium to high price range in store and online, with the
occasional seasonal sale. The Cheltenham store is located in the Beechwood
Shopping Centre, offering convenience to customers who are out to buy multiple
products. As Every customer is a multichannel customer (Morgan, 2014) Rise use
social media, mailing lists and their website to make Rise Cheltenhams presence
known locally, with the potential to appeal regionally.

Brand Image
Rise possess a strong brand image of which the foundations are a healthy
range of vinyl records as a Unique Selling Point. Furthermore, Rise is now a hugely
popular destination for Cheltenham music-lovers (Gloucestershire Echo, 2014)
proving a strong interest in the brand locally. Multiple visits to the store demonstrated

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validity to the statement that the team here is amazing and [they] want to create an
experience here, (Gloucestershire Echo, 2014). The general consensus of the stores
environment offers a comfortable and warm atmosphere to enjoy their variety of
products.

Target Customer Profile

Rises target customer profiles are as follows: young people aged 16 - 25;
older male customers; online shoppers and collectors. We have chosen to further
explore the 16 -25 target market as The young have always been a prime target for
marketers because of their capacity to spend (Jobber, 2010, p.131) making them the
most appealing segment to tailor our market plan towards. Consumer purchases are
influenced strongly by cultural, social, personal, and psychological characteristics
(Armstrong and Kotler, 2013, p.157), reflecting that as a collective the market has an
affinity with culture spanning from the 1960s to the 1990s. Moreover, the market is
overwhelmingly occupied by independent music lovers and students with time for

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hobbies. Whilst students are not the most financially stable to fund a potentially
expensive interest, consumers capture social approval from their peers by meeting
social norms related visible, distinctive and socially desirable consumption behaviors
(Fisher and Price, 1992, p.483). Thus, their need to exhibit their self-identity fuels
their need to consume a product like vinyl that reflects their lifestyle choices.

Competitor Profile
Rises main competition in the market locally and online would be
Amazon, HMV, Urban Outfitters, Discogs and Vinyl Vault. Whilst charity shops are
not-for-profit organisations, and therefore would not take away any market share, they
sell vinyl records at extremely low prices and can be classed as competition for this
reason. Discogs are an international brand, much like Amazon, but with the sole
purpose of selling records, and yet Amazon has 12.3% market share (Fact, 2014).
Creator of the popular site, Bezoss vision was that Amazon.com would not just be a
bookseller but at the centre of e-shopping (Morrison, 2006, p.7) and now vinyl sales
at Amazon are up 745 percent from five years ago (Sandoval, 2013). In contrast,
Vinyl Vault operates in the premium price range, offering a range of old, collectible
records to its consumers. More modern High Street names HMV and Urban Outfitters
are much easier for the majority of consumers to access, and as a result of this Urban
Outfitters has 8.1% market share (Fact, 2014). Urban Outfitters is a concern for
Rise as it aims for the same target segment through its shop design and product range.
Whilst Urban Outfitters would be most likely be Rises largest threat they lack a
premises in Cheltenham and therefore Rise are able to prosper.

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PEST Analysis

Whilst both [PEST and SWOT] tend to oversimplify the processes, they do
serve to highlight major issues (Morrison, 2006, p.30) and this is why they are
particularly helpful when forming a marketing plan for Rise Cheltenham. From this
PEST analysis, we can clearly see a number of external factors that could have an
effect on the company in the future. The sociocultural and economic environments are
incredibly positive for the business, reviving an interest in a product that was thought
to be at the end of its life cycle. This means that there is a clear market for the
product, and a relevant and lasting appeal for the foreseeable future.

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SWOT Analysis

The predominant issue highlighted by this SWOT analysis is that although

vinyl is a popular trend currently, it may well just be a trend, and not a lasting basis
for a business organisation. We need to be aware that Music, too, is increasingly
being distributed by downloading from the Internet rather than being bought at music
shops (Jobber, 2010, p.19) and therefore Rise Cheltenham needs to have other pulls
to the shop to enhance the appeal of their record collection.

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Part 2: Your Recommendations

1. Objective and Positioning
We aim to achieve the following objectives in the Rise Cheltenham store:

Gain 100 loyal customers in the 1st year of implementing plan

In order to accurately measure the loyalty of customers we aim to introduce a loyalty

card. As 1 in 5 vinyl buyers makes a record purchase at least once a week
(McGuinness, 2014) we feel as though this is a trend and observation Rise should take
advantage of.

Successful introduction of cassette tapes and cassette players

To constitute the success of the introduction of cassette tapes and players we would
measure it in monthly sales with the hope to see a growing trend in profits.

Successful introduction of trading in scheme

We would measure this in sales from our target market of younger people, as this
scheme would offer a less expensive alternative for those wanting to explore vinyl.
Additionally this would reflect on the number of loyalty cards distributed and
fulfilled.

Increased awareness of location

In order to accurately measure the awareness of the location we would introduce an

A-board and measure the success of this via conversion and foot fall weekly.

2. Strategies and Tactics

(a) Product Summary
With a typical Rise record, the core benefit is to have a record to listen to.
Above this, as an expected benefit, a consumer will receive a vinyl in playable

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condition with no scratches, which is new and fit-for-purpose. If ordered online, they
can expect a timely delivery service that is packaged appropriately to protect to vinyl
in transit, just as in store you receive the correct size plastic bag to carry the record
with ease. Furthermore, augmented benefits from the store include a 28-day returns
policy, which is vital as Customer relationship management is perhaps the most
important concept to modern marketing (Armstrong and Kotler, 2013, p.41). Rise
offers the same selection online as they do in store to their customers, and makes sure
they are able to pay with credit. Their staff are friendly and knowledgeable and brand
strategies must be communicated to staff so that they understand the company ethos
(Jobber, 2010, p.318), thus enhancing the current experience on offer so that the store
has a comfortable and fun atmosphere. These expectations would be met equally with
the introduction of a cassette range also.

(b) Summary of Price Strategy

Whilst we believe their price strategy is appropriately placed we feel as
though there is room to specifically acknowledge their student customers. Therefore
they could introduce a 10% student discount to attract more students to the shop and
encourage them to purchase.
A company can always increase customer satisfaction by lowering its
price or increasing its services (Armstrong and Kotler, 2013, p.42) and a trading in
scheme would appease both. By introducing this scheme customers can purchase less
expensive second hand records, traded in from other Rise customers. Additionally,
Rise will be expanding their variety of genres and services.

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To enable success in the introduction of the cassette players, we would launch the
range with a special offer. This would be that buying a cassette player meant a
customer would be able to purchase their first cassette tape for half the marked price.

(c) Summary of Place Strategy

In terms of the current placement of Rise Cheltenham we believe an Aboard placed outside the Beechwood Shopping Centre would be beneficial for
potential customers who may be unaware that it is hidden away in the shopping
complex. Working alongside local press the staff should also raise the shops profile
through a series of radio and newspaper interviews.
However, in the long term we can see the opportunity to expand to the
High Street. A larger store could offer new opportunities such as space for a caf
(which has proven successful in the development of the Rise Bristol store) and a
wider collection of records, displayed more attractively. The footfall would be
increased significantly and ultimately create conversion and sales.

(d) Summary of Promotion Mix

Whilst the store already has a notice board with launch dates for records
displayed for potential customers, this could be taken further with collective launch
days. Given the restrictions of the Beechwood Shopping Centre on opening times,
launch evenings would not be feasible. However, during the day they could hire a
local DJ to play the new records available that day. A sensible way to measure the
effectiveness of this promotion scheme would be to hold a launch day once a month
and compare the sales figures of the day with the figures from normal sales days
throughout the month.

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Equally, we feel the introduction of a loyalty card system would be of great
value to Rise Cheltenham to measure the effectiveness of its promotions in store, as
Loyalty cards are also a source of continuous data, providing information on
customer purchasing patterns (Jobber, 2010, p.219). By using a loyalty card that staff
members can stamp with each purchase of a new record, they can reward loyal
customers by giving them 20% off a vinyl record once they have received five stamps
on their cards. We would expect at least 100 completed cards to have been used in the
first year, to give us an indication of the amount of customers we have retained.
The stores use of social media is already impressive as they have 868
likes (Rise, 2015a) on Facebook and 2169 followers (Rise, 2015b) on Twitter (as of
19th January 2015). As The internet is of increasing importance as a promotional
tool (Jobber, 2010, p.18) the development of their accounts would be vital to engage
with the target audience of 16 25 year olds. As they already use it to advertise their
events occurring they should use the accounts to further publicise promotions, launch
days and their student discount offer.

3. Implementation and Control

When considering moving the premises to the High Street, a full analysis
of Rise Cheltenhams financial records would have to be completed. This analysis
would demonstrate whether or not the move is feasible and sustainable in terms of the
companys liquidity. Additionally, the question of property being available on the
High Street is uncertain and could potentially hinder the plan. An executive decision
would have to be made by the owners of the company to encourage this property
acquisition.

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The exploration of cassette suppliers would have to consider the quality of
the ranges on offer, and also the trustworthiness of the supplier to sustain a good
working relationship with Rise Cheltenham. This could cause difficulty and delays in
the sourcing of cassette tapes and players, and hinder the progress of making an
appealing new offering to the target market.

4. Evaluation
The overall aim is to strengthen Rises brand image by keeping in mind a
growing target market for the company. This way, Consumers gain because strong
brands act as a form of quality certification and create trust (Jobber, 2010, p.305) and
this will do nothing but enhance the reputation of Rise Cheltenham.
In order to measure the success of our marketing plan, we would want Rise
Cheltenham to carry out monthly reviews of their sales and profits in comparison to
that month the previous year. This way we will have a clear picture of the response to
each new promotion introduced and also to the new product line we would want the
company to initiate.
A key measure for us will be the success of the loyalty card scheme as It
is not enough to attract new customers; the company must also keep them and
increase the business (Kotler and Keller, 2012, p.161) and also an increase in the
number of followers the company has on its social media profiles.

Word Count: 2178

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5. References
Armstrong, G. & Kotler, P. (2013) Marketing: An Introduction, 11th edn, Essex:
Pearson

BPI (2013) Vinyl revival continues as LP sales reach highest level in more than a
decade. Available at: http://www.bpi.co.uk/home/vinyl-revival-continues-as-lp-salesreach-highest-level-in-more-than-a-decade.aspx (Accessed on 19th January 2015)

Fact (2014) Urban Outfitters sell more vinyl records than any other retailer Available
at: http://www.factmag.com/2014/09/25/urban-outfitters-sell-more-vinyl-recordsthan-any-other-retailer/ (Accessed on 19th January 2015)

Fisher, R. & Price, L. (1992) An Investigation into the Social Context of Early
Adoption Behaviour, Journal of Consumer Research, Dec 92, vol 19, issue 3, p.477
486

Gloucestershire Echo (2014) Love to shop: Cheltenham store Rise shines with live
acts, vintage clothes and vinyl, Gloucestershire Echo, 22nd August. Available at:
http://www.gloucestershireecho.co.uk/love-shop-cheltenham-store-rise-shines-liveacts-story-22801258-detail/story.html (Accessed on 19th January 2015)

Jobber, D. (2010) Principles and Practice of Marketing, 6th edn. Berkshire: McGrawHill Education

Kotler, P. & Keller, K. (2012) Marketing Management, 14th edn, Essex: Pearson

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McGuinness, Ross (2014) Strictly on the recordHow the digital generation has
saved the vinyl album, The Metro, 7th January. Available at:
http://metro.co.uk/2014/01/07/strictly-on-the-record-the-rebirth-of-the-vinyl-album4251516/ (Accessed on 19th January 2015)

Montgomery, Lawrence. (2014) About Rise. Available at: http://www.risemusic.co.uk/about.php (Accessed on 19th January 2015)

Morgan, B. (2014) Five Trends Shaping the Future of Customer Service in 2015.
Available at http://Forbes.co.uk [sourced through Zite application] (Accessed on 22nd
December 2014)

Morrison, J. (2006) The International Business Environment: Global and Local

Marketplaces in Changing World, 2nd edn, Basingstoke: Palgrave Macmillan

Topping, Alexandra (2013) Independent record stores enjoy modest revival, The
Guardian, 25th July. Available at:
www.theguardian.com/music/2013/jul/25/independent-record-stores-modest-revival
(Accessed on 19th January 2015)

Rise Music (2015a) Facebook Page Available at:

http://www.facebook.com/risecheltenham/timeline (Accessed on 19th January 2015)

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Rise Music (2015b) Twitter Page Available at:
http://www.twitter.com/risecheltenham (Accessed on 19th January 2015)

Sandoval, Greg (2013) Amazon vinyl sales up 745 percent since 2008, but it wont
save music Available at: http://www.theverge.com/2013/9/16/4736834/amazon-vinylsales-up-745-percent-since-2008-but-wont-save-music (Accessed on 19th January
2015)