Jinga Mihai

Date of birth: 14.10.1997

Business Academy Aarhus

Study course: AP Degree
in Marketing Management
2016-2018
Tutor: Morten Østergaard

Total number of
characters: 85,955
Table of Contents
1. Introduction ................................................................................................................................. 3
2. Problem statement .................................................................................................................... 3
3. Delimitation ................................................................................................................................. 4
4. Methodology ............................................................................................................................... 4
5. Internal analysis ......................................................................................................................... 5
5.1 Porters Value Chain. ......................................................................................................... 6
The procurement process: .............................................................................................................. 6
Operations: .................................................................................................................................. 6
The Outbound logistics ........................................................................................................... 7
5.2 Financial analysis ................................................................................................................... 8
5.3 Marketing and sales: ............................................................................................................. 9
5.4 Customer Service: .................................................................................................................. 9
6 External Analysis...................................................................................................................... 10
6.1 Macroenvironment .......................................................................................................... 10
Political Factors Affecting MOOND’s E-Commerce Business ...................................... 10
Economic Factors Important to MOOND. ......................................................................... 10
Social/Sociocultural Factors Influencing MOOND .......................................................... 11
Technological Factors in MOOND’s Business ................................................................. 11
Ecological/Environmental Factors ...................................................................................... 12
6.2 MOOND’s PESTEL/PESTLE Analysis – Recommendations .................................... 13
7 Microenvironment ............................................................................................................... 13
7.1 Market share and potential. .......................................................................................... 13
7.2 Porters 5 Forces ................................................................................................................ 15
7.3 Industry Rivalry ................................................................................................................. 17
7.4 Competition analysis ...................................................................................................... 18
7.5 Customer analysis............................................................................................................ 21
8 SWOT&TOWS analysis ............................................................................................................. 23
8.1 Conclusion on opportunities and threats (OT) ........................................................... 23
9. Marketing objectives ................................................................................................................. 26
10. STP............................................................................................................................................ 29
10.1 Behavioural Segmentation ........................................................................................ 29
Profile: ............................................................................................................................................ 31
10.2. Targeting ............................................................................................................................ 32

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 10.3. Positioning.......................................................................................................................... 33
11. Marketing Mix/4 P’s ................................................................................................................ 35
11.1 Product.................................................................................................................................. 35
11.2 Place....................................................................................................................................... 37
Traffic ........................................................................................................................................ 39
Conversion ................................................................................................................................. 39
11.3 Price ....................................................................................................................................... 40
11.4 Promotion ............................................................................................................................ 40
12. Budget and Implementation plan ................................................................................................... 43
13. Recommendations .......................................................................................................................... 46
14. Conclusion ....................................................................................................................................... 46
15. References: ..................................................................................................................................... 47
16. Appendices ...................................................................................................................................... 48
Appendix 1 ........................................................................................................................................ 48
Appendix 2 ........................................................................................................................................ 50
Appendix 3 ........................................................................................................................................ 51
Appendix 4 ........................................................................................................................................ 53
Appendix 6 ........................................................................................................................................ 54
Appendix 7 ........................................................................................................................................ 54
Appendix 7 ........................................................................................................................................ 56

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 1. Introduction
Have you ever had bones pain? I guess anyone at least once in a life experienced
groin, or hamstring pain, especially in 21 century when standing still for hours on a
chair is a habit, but sport and stretching activities unfortunately are not.
MOOND is a fresh medical equipment for sports brand located in Romania, a start-
up launched in 2016 which gradually grew month after month. Currently it is
distributing its health support products on the USA market, to different sport
practitioners and people who suffer of hamstring, groin pain or different inguinal
injuries.

Groin support is the main investment in which the company is concentrating its
marketing efforts, a compression sleeve helping regenerate and heat groin inguinal
area.
The company is sourcing its stock from China, working with trading companies or
manufactures and together designing the packaging and other to the absolute
product.
Being at the beginning of its business journey, scarce of resources and brand
awareness were 2 of the main problems arisen.
The brand is currently operating its activities online, on a third-party seller platform,
the giant Amazon.com.
Amazon is one of the largest internet retailing companies in the world, which has
become an icon of the internet business or electronic commerce. It is the largest
retail outlet you can access as an online seller, with over 304 million active
accounts, or in other words prospects.
But Is this the most profitable business model for the Romanian brand to attain its
maximum potential? Due to the lack of sufficient invested time and knowledge in
the company development, after almost 2 years of activities, the brand arrived at a
stuck point regard profit margin and opportunities.

2. Problem statement
So arise the problem formulation. The primary effort of this paper is focused on
increasing the company position on the American market. Therefore, the main
question this project answer to is the following:
How to strengthen MOOND’ position on the online American health market?
The following sub-questions will be tackled throughout the project to find a
solution for the problem formulation.

 How can MOOND improve the advertising strategy for better results?

 In which new products should the company further invest?

 What are the “key elements” for being successful on the fast-growing online
market?

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  What are the main competitors, their competitive advantage and how can be
surpassed?

3. Delimitation
Mastermind strategy involves launching several products, but due to the limited
time and space, the focus will be on improving the strategy of the current product
and furthermore, launching one new relevant and profitable product.
MOOND is the reference to the sub-brand of the same company which is
demanding attention now to fasten it’s marketing evolution and increase margin.
The market screening it is limited to America, being the most profitable, accessible
and pertinent market , even though the company has the opportunity to globally
expand through Amazon, USA will be the only assessed market in this paper.
Further expansion is out of question in the foreseeable short term period.
Being in an early stage, financial analysis is limited, as well as the company
historical.
With the aim to realistically illustrate in which new products should the company
further invest, the customer analysis, STP and 4 P’s part will be assessed based on
the shoulder brace. Altogether, suggestions will be made for MOOND throughout
the report to strengthen its position on the American health market, including an
adequate action plan and detailed recommendations sections along the paper.
The macro and microenvironment analysis for the 2 product are very similar,
namely the market attractiveness, competition and customer journey, excepting the
need arousal and value perceived in regard,
*Recommendations and suggestions were made all along the paper, and not mainly
limited to the implementation section.

4. Methodology
To answer the research question, a thorough specific marketing plan will be
conducted.
Firstly, an overview picture of the company’s mission, vision, operations,
procurement process, inbound ,outbound logistics and business model, in terms of
marketing and services, will be displayed.
Next, an insight of the USA’ online market and the company current position is
researched, pursuing firstly an internal and external analysis, where it will be
investigated any strategic issues and opportunities for MOOND.
External analysis is examined using PESTEL model, strictly on the factors that affect
the company outside environment and its activities. Porter five forces will be
included for assessing the American market and the level of competition on the
niche.

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 Major theories used in further evaluations are: Porter five forces, competitive
analysis model, customer decision-making process. Business review will be
summed up in a SWOT model and matched in a TOWS overview., followed by a
conclusion on opportunities and threats to provide specific solutions to the matter.
Further mentioned suggestions are designed based on conducted analysis in
accordance to the company’s present situation and capability profile.
Both primary and secondary data will be collected for the project basis. Desk
research will be tackled using existing annual reports, articles and reliable websites.
For the qualitative research, data will be gathered through online interviews with
American customers, from reviews and questionnaires to be interpreted and with
the CEO for company information.

For better answering the problem statement, a new product launch strategy will be
provided, starting with the marketing objectives chapter, the focus of assessments
and recommendations will be made for the new product in matter. STP part will
segment customers, offer a targeting strategy and position , followed by marketing
mix, will discover more in depth recommendations for increasing MOOND
competitive edge. Product, place, traffic and conversion, everything will be
concluded and estimated budgeted in the implementation section and conclusion.

5. Internal analysis
The internal audit focuses on those areas that are under the control of the
marketing management. Below it will be described in more details.
Based on a personal interview with the CEO(see appendix 7), the following
evaluations are made.
The company’s vision:

The company primary goal is to alleviate the body bones and muscles pain ,
answering the question “What is the main cause of the pain” keeping your muscles
warm and speed up the recovery process with the flexible supports made of
therapeutic breathable neoprene. “For a better world!”

MOOND primary mission is to (which also defines the boundaries

of the environmental scan, “where are we heading?”
First question compulsory to be answered is “Where are we now?”. A current
company situation is exposed, to be analysed in the light of the external
environment, in order to identify key strategic issues, problem areas and
opportunities.

MOOND’s internal environment is simple and the organizational structure is formed

by a sponsor and an entrepreneur that are taking care of the business through
Amazon business commander platform and skype for sourcing management.
Different reports and tools as Microsoft Excel that allows to check the products in
terms of quality, stock amount, product price and any advertising activities related
are also used.

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 5.1 Porters Value Chain.
Porter value chain will be used in order to illustrate the logistic process, how the
groin support is created, designed and shipped to the arrival in the MOOND
warehouses. A detailed analysis will be provided to understand the entire product
journey, from the supplier to the end consumer.

Fig 1. MOOND value chain

The procurement process:

For the inbound logistics, MOOND’s journey starts from Shijiazhuang Orpheus
medical equipment co. LTD factory, where the product is being produced and
packed in its final form in the ultimate delivery to the MOOND Warehouse in
Huston, USA. The products must have passed several Quality Check’s randomly
chosen by the QC inspector before they are packed in standard export cartons with
no more than 27 pcs/ carton.
After this is being done, the products are moved to the 1st tier factory’s warehouse
waiting to be picked up and shipped by a chosen way of shipment, as air freight
company like: DHL, TNT, TMS or International China Air Mail. The companies have
standard or express time of deliveries. MOOND usually uses DHL or FedEx through
a RPI (remote pick-up), the express shipping can be delivered in 6 days with
shipment cost of 6$ per kg or the standard shipping where the costs are
significantly lower, around 4.5 $ per kg and it can be delivered in maximum of 10
days from the package acceptance.
The production management is tracked online, usually through skype.

Operations:
The main raw material that is used in the fabrication process of the groin support is
called Neoprene, a synthetic rubber that has a balanced combination of properties
that allows the material to be breathable, water resistant, better burning endurance
than other rubber fabrics and it displays an outstanding physical toughness. The
Neoprene comes as solid rubber or a latex form that is more elastic. Shijiazhuang
Orpheus medical equipment co. LTD is not fabricating the Neoprene, but it also
source it from its suppliers and transforms it into the final product. From the
elastic form to the final product, the company has 6 steps that are necessary to be
to deliver the groin support into the final product, these steps are:
Handling the raw material order and processing in it in thin layers.
Cut out the layers regarding to the products specification and size requirements.
Sew the product in its final form.

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 Examine the product trough QC tests.
Packaging the product as required.
Store it in the warehouse ready for delivery.

Thus, it can develop the product to comply to the Order qualifiers and eventually
become an Order winner among the other existing offers.

The Outbound logistics

FBA service, Fulfilment by Amazon, is an incredible opportunity the giant is
offering. For a small fee, which represents roughly 30% of the listing price, Amazon
takes care of everything regarding the outbound logistics, including inventory
management, distribution management and customer support in regard. The
result? Less time invested in operations and, more time to invest in administrating
the business , analysis and development of better marketing strategies and tactics.

FBA eligible products earn the Prime badge. Once the listing gets Prime status, it is
visible to MOOND’s most loyal customers who choose Prime products for its fast-
delivery options.
Another benefit is that FBA products are highlighted as Fulfilled by Amazon.
Buyers favor products fulfilled directly by Amazon due to the superior delivery
promise and trust. Logistics efficiency is achieved as the delivery service the
customers experience and logistics costs are optimised
Keeping materials and items in inventories does not represent a big cost for the
first couple of months, which should be more than enough for a healthy business to
recycle the stocks.
Low cost or Differentiation?
MOOND encounters big problems regarding the financial part. With unsatisfactory
sales margin , it seeks to find out what is the main motive that affects the product
sales velocity? The Value chain indicates that the supply chain is clear and simple,
and the company have to decide whether it will invest more time and resources in
finding out methods or practices that can increase the products quality and price.
For instance, it could try negotiating with the supplier for cheaper raw materials
which will make the product low-priced.
Another option could be buying a greater quantity as bulk and stock them into
Amazon warehouses, which will decrease the price-per-stack, but increase the risk
of storing them to much, usually after 6 months, which will lead to increasing
deposit fee. This demand therefore a solid marketing plan.
Core competences
A core competence of MOOND which can be mentioned, it is its special product
package, that is made in a round futuristic design, with contrast colors that confer
the product protection with some style and giving a sense of quality. The package is
not included into the listing photos, despite some of competitors do, and it give

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MOOND a sense of uniqueness in its product range. Being at its fresh start on the
Amazon selling platform MOOND aimed to be a bit different and
Here it was involved the entrepreneurs vision to have offer something unique from
the beginning, as package and items, something that in their perspective can
differentiate MOOND from another seller’s groin supports.
Romanian community in which the CEO grew can also be plotted as a core
competence, in terms of know-how, insights, forecasting and preventing possible
issues that may arise on MOON internal/external activities. Last, being in a
community (facebook groups etc.) truly enhance each individual capabilities to find
new solutions and discover new strategies by sharing and caring.

5.2 Financial analysis

According to the CEO financial statements, an estimated income statement is
drawn.

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*Numbers are an estimated indicator.
After a year in business, the marketing costs were lower thanks to the market
understanding and know-how gained.

5.3 Marketing and sales:

The marketing and sales department is not well defined, the 2 entrepreneurs are
taking care of all the marketing and sales activities.
Being only on the Amazon selling channel, all the major advertising is monitorized
through Amazon Seller Centre where the product is displayed and structures several
types of advertising that includes major , Key Word Search Optimization based on
the product target audience, Give Away promotions. FB ads and Google Advert are
used to increase the traffic by targeting a wide range of people, as the product can
fit the a wide range of . Other Amazon tools like #Best Seller Rank or Buy box, or
add to card box, that are used to influence the customers buying behaviour towards
the best product in its range.

5.4 Customer Service:

MOOND, doesn’t have a 24/h customer service number , and all the issues
regarding the product and delivery are fulfilled by AMAZON call centre.
The seller has the liability to full refund customers money back if the product
doesn’t meet the description or qualification the groin support is described by, and
the only cost the customer has to pay is the shipping cost of the product back to
AMAZON Warehouse.
MOOND keeps in contact with the customers only through email and Amazon
reviews.

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6 External Analysis
External environment represents the out of control environment, where the
company must obey the existing policy, facts and regulations. It defines the
boundaries of the environmental scan and helps decisions regarding which strategic
issues and opportunities are important.

6.1 Macroenvironment
Political Factors Affecting MOOND’s E-Commerce Business
Using Amazon as the only distribution channel and an important promotion
channel, MOOND business is deeply affected by the state of the USA PEST
environment,.
While the threats may not be the same before the e-retailers as the physical
retailers, still there are several political hurdles before them. There are several risk
factors affecting the e-businesses.
MOOND operates alongside political influence. This aspect of the PEST Analysis
model focuses on governmental activity and effects on businesses and their remote
or macro-environment. In MOOND’s case, the following political external factors are
important in the development of the e-commerce industry:

1. Political stability of developed countries (opportunity)

2. Governmental support for e-commerce (opportunity & threat)
3. Increasing governmental efforts on cyber-security (opportunity)
MOOND benefits from political stability. This condition creates an opportunity for
the company to expand or diversify its business in developed countries through
AMAZON. For example selling not only in the central states but also in the north
part.
On the other hand, overall governmental support for e-commerce is also an
opportunity. The company could continue expanding in markets with such
governmental support. However, this external factor also threatens the company
because of rising competition. For example, with governmental support, Chinese
online retail firms are expanding their operations. Nonetheless, government present
improved business conditions through efforts in fighting cybercrime. This aspect of
the PEST analysis of MOOND shows major opportunities that the company should
exploit to increase its resilience in the remote or macro-environment of the e-
commerce industry.(PANMORE.COM)

Economic Factors Important to MOOND.

MOOND’s performance depends on the situation of the economies where it
operates its online retail business. The effects of economic trends and changes on
the remote or macro-environment are considered in this aspect of the PESTEL
Analysis model. The following economic external factors are significant:
1. Economic stability of most developed markets (opportunity)

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 2. Increasing disposable income in developing countries (opportunity)
3. Potential economic recession of China (threat)
The economic stability of most developed countries increases the likelihood of
success for MOOND in these markets. Such a condition minimizes economic issues
in the remote or macro-environment, thereby minimizing risks to the company’s
online retail business expansion. MOOND has also growth opportunities in
developing countries. For example, the increasing disposable income in developing
markets could boost the company’s financial performance. However, the potential
economic recession of China threatens MOOND’s business. The Chinese market is
one of the biggest markets that the company is also affected by, at an operational
level. Based on the external factors in this aspect of the PESTEL/PESTLE analysis of
MOOND, opportunities for growth in developing countries must be included in
strategy formulation. .(PANMORE.COM)

Social/Sociocultural Factors Influencing MOOND

Social conditions determine MOOND’s performance as a leading online retailer. This
aspect of the PESTEL/PESTLE Analysis model identifies the impact of sociocultural
changes or trends on the firm’s remote or macro-environment. MOOND must
consider the following sociocultural external factors:
1. Increasing wealth disparity (threat)
2. Increasing consumerism in developing countries (opportunity)
3. Increasing online buying habits (opportunity)
The increasing wealth disparity refers to the increasing gap between the rich and
the poor in many countries. This condition threatens MOOND in terms of the
potential stagnation of disposable income levels and the corresponding stagnation
of the remote or macro-environment of online retail business. A higher disposal
income level is more favourable in increasing potential revenues of the e-commerce
company. Nonetheless, an increasing degree of consumerism creates opportunities
for MOOND. For example, higher consumerism in developing markets increases
MOOND growth potential as the company looks to expand its global online retail
operations in these locations. In relation, the company stands to benefit from
increasing online buying habits, as more people around the world gain access to the
Internet. The external factors in this aspect of the PESTEL/PESTLE analysis of
MOOND indicate the benefits of focusing on market penetration and expansion in
developing countries. .(PANMORE.COM)

Technological Factors in MOOND’s Business

Technological advancement directly affects MOOND, considering the centrality of
technology in its e-commerce business. The consequences of technologies and
related trends on the remote or macro-environment are covered in this aspect of the
PESTEL/PESTLE Analysis model. The technological external factors important in
MOOND’s business are as follows:
1. Rapid technological obsolescence (threat & opportunity)
2. Increasing IT efficiency (opportunity)

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 3. Increasing cybercrime (threat)
MOOND faces the threat of rapid technological obsolescence, which imposes
pressure on the company to continuously develop its technological assets. However,
this condition is also an opportunity in optimizing the business. For example, the
firm’s continued heavy investment in information technology could boost its
competitive advantage and protect its business from new entrants in the e-
commerce industry. MOOND also has opportunities to further improve its
performance based on the rapid increase of IT efficiency. For instance, new
technologies can maximize online retail productivity and minimize operational
costs. However, the company also faces the constant threat of cybercrime. This
external factor threatens consumer experience as well as the integrity of MOOND’s
business. Thus, significant investment in appropriate technological measures is
critical to the company’s long-term survival despite technology-related issues in the
firm’s remote or macro-environment. Based on this aspect of the PESTEL/PESTLE
Analysis, MOOND needs to emphasize continuous improvement of its technologies.
.

Ecological/Environmental Factors
Even though MOOND is an online retail business, its operations are subject to the
influence of the conditions of the natural environment. This aspect of the
PESTEL/PESTLE Analysis model presents how the company’s remote or macro-
environment relates with ecological changes. MOOND considers the following
ecological external factors in its strategic formulation:
1. Rising interest in environmental programs (opportunity)
2. Rising emphasis on business sustainability (opportunity)
3. Increasing popularity of low-carbon lifestyles (opportunity)
MOOND has opportunities to improve its environmental impact in response to the
rising interest in environmental programs. For example, based on this external
factor, an improvement in MOOND’s corporate social responsibility strategy could
significantly contribute to satisfying such interest. In relation, there are major
opportunities in business sustainability. For instance, the company could implement
higher sustainability standards to further enhance its strong brand image as an e-
commerce organization Moreover, the increasing popularity of low-carbon lifestyles
provides opportunities for MOOND to boost its corporate image. The company
could implement extensive energy-saving policies in its operations for this purpose.
This aspect of the PESTEL/PESTLE analysis of MOOND shows the significance of a
comprehensive corporate social responsibility strategy to increase the company’s
competence in its remote or macro-environment. .(PANMORE.COM)
Currently there are roughly 200,000 physical therapists employed across the United
States and employment of physical therapists is projected to grow 34% from 2014
to 2024, much faster than the average for all occupations. (Thegoodbody.com)

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This growth, experts believe, will come from ageing baby boomers, who are staying
active later in life.
Similarly, to physical therapy, a career as a Chiropractor is said to be growing faster
than many other occupations, with a smaller growth of 17% growth predicted from
2014 to 2024.

6.2 MOOND’s PESTEL/PESTLE Analysis – Recommendations

This PESTEL/PESTLE Analysis of MOOND identifies key issues that are critical to the
company’s long-term success. A recommendation is for the company to expand its
operations in developing markets, which present rapid economic development and
high e-commerce growth potential. Also, the company must address IT security
issues by continuing and enhancing its current strategies for IT security and
integrity.

Such issues affect consumer confidence and the stability of the firm’s remote or
macro-environment. In addition, based on the external factors in this PESTEL/PESTLE
analysis, it is recommended that MOOND must boost its brand strength through a
corporate social responsibility strategy that addresses current issues linking
business and the natural environment.

7 Microenvironment
7.1 Market share and potential.
E-commerce in the United States - Statistics & Facts

Online shopping is a thriving market. Retail e-commerce sales worldwide are

forecast to nearly double between 2016 and 2020. During an April 2017 survey, 40
percent of internet users in the United States stated that they purchased items
online at several times per month, and 20 percent said they bought items or
services online on a weekly basis. Not only the volume of online sales shows

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optimistic figures and projections, but also web and mobile-influenced offline
sales are forecast to increase in the coming years. Internet-savvy buyers are
determined to spend time researching products online and reading online reviews
in order to get the best deal possible. At times they do their research online and
end up buying offline. Around 42 percent of U.S. consumers had searched and
purchased products or services online, while 14 percent prefer searching online
and buying in store. (Statista,2018)

Fig. 2. Monthly visitors

The e-commerce market in the United States has been constantly evolving over the
past decade. Retail e-commerce sales in the United States are projected to grow at
a fast pace in the coming years, going from 322.17 billion U.S. dollars in 2016
to just over 485 billion US dollars in 2021. Amazon is by far the most popular e-
retailer in the United States. Amazon also ranks ahead of the pack in terms of U.S.
e-retail sales - in 2016, the company generated over 46.66 billion U.S. dollars via e-
commerce sales of physical goods in the United States. It also has the most popular
mobile shopping apps in the country in terms of reach and monthly users.
(Statista.com,2018)

The availability of coupons and discounts is one of the main factors that influence
internet users to buy items online rather than go to physical stores. Suggestions
from friends and family and ads from a brand could also drive their decision to
shop online. Potential buyers may also turn to their social media platforms for
reviews, advice, recommendations. (Statista,2018)
These types of feedback on social media can directly influence purchasing
decisions. Online discounts and coupons are also popular purchase influence
factors, with Groupon and Coupons.com leading the pack.

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All above mentioned indicates a high level of market capacity and by taking
advantage of the fast-growing industry and of the ease of the distribution and
promotion Amazon channel offers, the company could continuously and
strategically grow. (Statista,2018)

Fig 3. E-commerce spending evolution

7.2 Porters 5 Forces

Bargaining power of Suppliers.
MOOND had its product designed and produced by a Chinese medical equipment
company that promoted its services on the well-known Alibaba.com site.
Alibaba.com is the world’s largest B2B, B2C and C2C trading platform for small
financial entities, that operates a diverse array of businesses around the world in
numerous sectors. (Alibaba.com, 2017)
The company’s main supplier is Shijiazhuang Orpheus medical equipment co. LTD,
even though MOOND carried negotiations with other product specific
manufacturers, that could deliver the same quality and price. The rivalry among the
suppliers is high, due to the big number of same product manufacturers and this
gives an opportunity for MOOND to negotiate a cheaper price on the product on a
certain number of pcs ordered. The power of bargaining is high, and it creates an
excellent environment for small businesses to choose from a wide range of
manufacturers with similar offers, allowing them to negotiate the price. Therefore
the bargaining power of suppliers is low.

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Bargaining power of Buyers
The bargaining power of buyers tends to be at a high rate, due to the raging prices,
multitude of offers and advertisements bombardment , most of the competitors
going on a personal pricing strategy, depending on their package variety or quality.
Even with a close range of prices, the buyers can easly shift towards another seller,
if he is eye-caught by the listing, or if it has augmented value through bonuses,
user manuals etc. There are many factors that influence a customer buying
decision, which will be further discussed in chapter ()
The consumers loyalty is low, as the market is filled with alternatives of groin
recovering products, most of them not having an actual pattern of buying from a
unique seller, the product can be purchased from different stores and sellers as
Walmart, etc, from here coming the importance of maintaining the customer
relationship in good terms.

4.1.8 Threat of Substitutes

MOOND is a medical purpose company that can help people to relief the pain on
the inguinal area, not having to endure muscles or even bones pain due to sport
injuries, aging or simply muscle tension. Even if it is helping sciatica nerve pain,
there are other substitutes that can offer the same result.
For example, there are pain relief creams, fitness and wellness centres that can
offer guidance in recovering exercises, by giving useful advice and training on how
to walk, to train, to maintain. These programs are usually reliable, and it can
influence the customers buying decision on whether should they go for a pain relief
support or taking care of their health by themselves. Another substitute can be the
advanced medical procedures and equipment that are applied in sessions and
deliver good results by attending physiotherapy or kinesiotherapy medicine
programs. The high availability of substitutes and the low costs of the offering, can
only further increase the power of substitutes against MOOND.

The substitute threat is medium, as other solution to the same problem are offered
in different manners and possibilities, but their influence is not vey significant as
the medical or recovering centeres are not a direct competitor on the same market
niche, Amazon’s medical category.
4.1.9 Threat of New entrants
The online business differs from model to model, and it can have different
difficulties depending on the chosen product and niche. (Jobb, D.& Chad, F.E 2016,
p. 708), MOOND is experiencing the high threat of new entrants due to several
external factors:

 Low cost of brand and product development. (Hundreds of suppliers that are
competing on the same niche with alike offers)

 Low switching costs (MOOND’s customers can easily choose another product
without losing money.)

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  Medium market knowledge required, most of the online vendors enter the
market after attending an Amazon Set up course, having a solid know-how
about the business methods. (panmore.com, 2017)

Considering the above aspects regarding entering the Amazon online business, it
results that the threat of new entrants is high.

7.3 Industry Rivalry

MOOND faces eager rivals in the Health product niche. Usually, small companies are
competing aggressively , and they exert a strong competitive advantage, due to the
high availability of substitutes and a low entering barriers. Low switching costs link
to low barriers as for the consumer to easily transfer themselves from one company
to another. The low entrance is making the environment more challenging, as only
the players with a solid marketing plan can survive on the market and not lose gain
loses due to unsold stock, as weak sellers are experiencing usually, because an
inefficient management and marketing strategy. (Amazon Seller Central, 2017).
Being aware of these important external factors that affect the seller’s micro
environment, competitive arena should be an important strategic key factor, a high
priority in ensuring the company’s long-term capability maintenance.
MOOND is exposed to various external factors, The Porters Five forces analysis
shows the intensity of these factors and how they affect MOOND’s immediate
environment. The following forces and intensities resulted from the analysis are:

 Low Bargaining Power of Supplier.

 High Bargaining Power of Buyers.

 Medium Threat of Substitutes.

 High Threat of New Entrants.

 High Rivalry.

Concluding on this external analysis, it can be stated that the e-commerce

environment is very competitive, and the competitors need a well developed product
sustained by a good promotional approach, in order to enter and maintain in the
market. For example, MOOND can start improving its brand image, by focusing
more on diversifying the product portfolio and make it more attractive by
considering customers feedback, enhanced launching techniques, empirical tactics
from competitions and market analysis.
A cross-selling strategy is also appropriate, by enriching a same niche product
variety.

17
 Enhancing the amazon brand page ease of being find among the competitors and
rising the conversion rate, will increase MOOND’s competitiveness and its potential
for a long-term achievement on the online retail industry market.
In-depth investigations and recommendations, altogether with an budgeted action
plan will be provided later on.

7.4 Competition analysis

The analysis of how industry structure affects the long-run profitability has shown
the need to understand and monitor competitors. Their actions can spoil an
attractive industry and their weaknesses can be a target for exploitation.

In this situation, competitor analysis seeks to answer 4 key questions:

1. Who are our competitors
2. What are their strengths and weaknesses
3. What are their strategies?
4. What are their response patterns?
MOOND has numerous competitors on the market, in this analysis it will be showed
different range of competitors from different online selling channels that challenge
the MOOND’s product. Other close substitutes that are not present on the same
online retail channel and are making part from an external environment are:
medical equipment or wellness products and services, they advertise their products
online on their websites and they solve the same problem. For MOOND to identify
its closest competitors, the writer will use the web app chrome extension Jungle
Scout, (https://www.junglescout.com/).
Jungle scout is a powerful application used as an extension for Amazon activities,
that is specialized on the quantitative measurement, gathering all the competitors
listed and showing statistics and information about.(BSR or Best Seller Rank,
estimated monthly sales, brand names, competitive information and other
measurement that include number of reviews and customer rating trough the key
word search). The main key word that MOOND is using to be ranked on Amazon is
“Groin support for men”, a long-tail keyword, as the male represent the biggest
customer share.
Amazon will be the only channel tackled to be researched as it’s the main selling
channel for MOOND. The secondary search will be on online e-commerce channels
where similar products are sold and the last channel will be medical or fitness sites
that are selling product tangentially related to MOOND. The competitors will be
categorized using a simple method that will reflect the Primary, Secondary as the
1st, 2nd and competitive risk.

Using Jungle Scout, a list will be drawn to analyse the direct competitors of MOOND
that have the same product and are targeting the same audience.
It can be seen from the outcome that the list of competitors is long, but for the top
strategic results, only the first 3 will be taken into consideration as the strategic aim

18
is to rank among the first places, which guarantee MOOND constant impressions, or
number of audience appearances, that consequently lead to increasing revenue,
Primary
The first competitor with the lower rank in the niche is the brand Bodymate,
With a price of 19.99 $ ,an estimated revenue of about 24,968 dollars per
month, ranking on spot number 1,299 it is having 678 reviews and 4.2 general
rating score. Looking at a first look on its listing page, first we see the 6 photos,
showing the product in a alike design, having a similar material made of, black
colour neoprene with a blue BodyMate logo. Next it can be noticed the product
features in the next photo, how-to-use instructions displaying the worn product ,not
only for man but also for women . The images are in high quality resolution. The
first photo is on a white background displaying in zoom only the product and the
mannequin, followed by eye-catching real-life situations set-ups.
In the end, an explanatory video is reinforcing the solution to the groin and thigh
hamstring pain problem , showing it in action and using models and presenters
elder, but also young, to psychologically inoculate the idea of “Bodymate groin
support is the answer to your problem”.
Looking forward, the title, number of reviews, stars and answered questions can be
seen, then information about the stock availability and the bullet points description.
The competitor is using an clear, reader-friendly text structure, pointing the core
competences of the product and using the main keywords for increasing the
chance to be searched and found by the customer.(more details in Place section )
The most visible and competitive advantage of Bodymate is the accurate reflected
and explained product photos, giving the product professional overview picture,
transmitting trustworthy and seriousness. Another feature that allows the product
to go up in rank is the five-star customers review achieved for having a high quality
product and a high customer response in issue.
Ticking the first position and beneficiating of the best viewability among the
competitors, Bodymate is a serious competitor that uses important and useful
strategies and tactics to maintain its position and have a good sales revenue and
stock liquidity.
Going to the bottom the last feature seen is the product description, a brand
identity trigger and a closer manner of interacting with the viewer. Symmetrically,
chromatically, the product is again presented and promoted for a better customer
understanding and emotional connection. The 2nd competitor brand name is Vive,
exhibiting again a very similar version of the groin support, at a price of 14.99$ this
time, 5$ less than MOOND pricing strategy. The competitive strategy used is cost
leadership, that involves the achievement of the lowest cost position in industry.
Even if seeing the same listing elements in the same order, the strategy used is
different, the photos are less expressive, 2 photos representing the same scene
with lower quality models and product photo promotion tactics, differencing in less
expressive and eye-catching angles.

19
Nevertheless, Vive is using a coupon code promotion strategy for attracting traffic
and increase the organic sales, ranking on position 2,579 with an estimated
revenue at almost 3 times less than Bodymate, 9,758.
The 3rd brand on top, Roxofit, offers a product pricing 31$, 10$ more expensive
than MOOND. They use the blue colour for the product, seeking differentiation
strategy , medical information on the matter and pictures showing the target
audience concerned , the sport-lovers .
Their competitive advantage stands in the superior quality of the fabric that
offers high level of comfort and softness, helping in the same time to “relieve pain
resulting from groin pull, thigh injury, sciatica, sacroiliac joint dysfunction, or
related conditions”. (Roxofit,2018)
The product description is very explicit, the only negative part that it can be
observed is the low-quality product photos that need an improvement
Secondary
After a thorough desk research on other channels, similar products were found at
Alibaba,com, Aliexpress.com and Ebay.com the price ranging from 3 to 6 dollars.
The main reason for this is the low price, no patent or brand registry to guarantee
exclusiveness and a brand identity that the customer can relate to. Thus, the
customer psychological acquisition cost is higher, the lack of an American
trustworthy company perception.

Here the quality can be questioned, as it is not clear what material are used in th
fabrication process, or if its FBA certified. These online retail channels can supply
different sellers that are reselling as well, and are responsible with own inventory,
product packaging and delivery. One of the competitive advantages MOOND has
over these merchants are that they are selling in bulk, on big quantities of 100+
pieces, for cost optimisation reasons.
The second weak point is the long waiting time of the delivery, which is a crucial
aspect for the American anxious buyer, which expect the product to be delivered
within the few days since the order is placed.
The fierce competition is though on the 1st tier zone, as they compete directly on
the same platform and beneficiate from the same online environment and target
audience, taking advantage of the Amazon clients potential.
In order for MOOND to gain a competitive advantage of their strengths and
weaknesses, the key suggestions are in improving the listing quality, by high
quality representative eye-catching photos that promote the product and sustain
the brand identity through expressive, clear and reliable description and product
summary and key words search optimisation , using the right keywords in the
description such as GROIN INJURY SUPPORT, UNIVERSAL SIZE, TIGH PAIN RELIEF, etc.
A coupon code of 10% could also increase the conversion rate, by offering not only
quality advantage, but also a discount in order to gain the customer attention. In
depth recommendations will be tackled on the marketing mix section.

20
7.5 Customer analysis
MOOND is working now only on the B2C sector, with a target group consisting of
sportsmen, elders, or simply groin-problems people, both male and female, aging
18-60, living in USA.`
In order to meet the target audience and obtain an overall picture about MOOND
customers profile and buying behaviour, a survey has been conducted to show the
customers preferences in regard to a favourite searching channel or online platform
biases, where they purchase the products, when they do it and how is the customer
buying journey looking like. The survey was distributed through various channels.
(see appendix 8).
Consumer Behaviour and decision making process
Who buys

The initiator of the process of considering the purchase is obviously, the person in
need. As the influencer, we can consider a therapist or doctor, a coach or family.
Decier, buyer and user are usually the same person, excepting If the shoulder
brace is given as a gift, during the season or holyday period.

How do they buy

The series of steps the customer may pass through before choose a brand are
showed in the stages which form the consumer decision-making process. (Fig. 10)

Post-
Information Evaluation of
Problem awareness Purchase purchase
search alternatives
evaluation

Fig. 10 (OWN MADE)

The need recognition phase occurs when the shoulder pain arise or the need of a
supported heated shoulder. Here the customer journey starts, and based on the
analysis almost half of Americans search online for acquiring a solution to the
issue.
Need stimulation tactic is highly advised at this point, for example using advertise
that stress the difference between having and not having a pain support in the area.

Information search

21
After the problem recognition is sufficiently strong, the consumer-decision-making-
process is moving to the next stage. First, the customer will seek an internal answer
to the problem, reflecting whether it does know any groin support or such that can
ease the pain. Here it is essentially to be in the mind of customer, either by
previously advertisements that lasts in memory, or by tracking the customer search
keywords, most common on google and amazon based on the questionnaire , and
target advertise MOOND solution.
Customers won t go usually by first-sight purchase, and will consider a number of
groin supports alternatives before. A key determinant of the extend to which
consumers evaluate a brand is their level of involvement.( Jober,2018), the degree
of perceived relevance and personal importance. 20$ spent is not a high
involvement process, so most of the times MOOND customers will choose quite
unconsciously, by simple evaluation, to reduce time and effort , so the perceived
cost in regard to the buying process.
As it is known that the satisfaction is perceived value- perceived cost, MOOND
could try to influence at this point by having stand-out listing and relevant involving
photos and description and by providing a good deal of information about the
positive consequences of buying. This concept lead to the attitude towards the
brand. Value for money, durability and comfort of the product may be a first-sight
attributes that could boost the customer trust and tendency towards MOOND groin
support.
All in all, the most effective way is to attempt to stay top-of-mind awareness
through advertising to gain trial, which according to the Ehrenberg and Goodhart
principle, will lead to repeat purchase.

After deciding upon a brand choice, purchase happens and post-purchase

evaluation begins. The quality of the product, packaging and service influence the
customer brand perception.

Facebook Groups and Instagram profiles gathered the answers of 64 Respondents.

22
Fig. 4 Source: Jobber, 2013

8 SWOT&TOWS analysis
Based on previous analysis, SWOT analysis will be conducted to sum up both external
and internal factors affecting MOOND. Assessing SWOT analysis will contribute to
adjust the company’s promotion and overall strategy in the most effective way. When
evaluating strengths and weaknesses, only those resources that would be valued by
the customer will be included.(Piercy,2008). Opportunities and threats are listed as
anticipated trends or events outside the business environment, that have impacts on
its performance.

8.1 Conclusion on opportunities and threats (OT)

Concluding on analysing the external environment, The USA online sales market is a
very profitable environment for MOOND. The expected growth in the e-commerce
traffic for the following years will have a productive impact on MOOND’s sales
forecasts if the company maintain a high position on the Amazon seller rank. Due to
high number of suppliers, a good opportunity appear as to negotiate the price on the
product manufacturing, with the negotiating advantage of a low supplier power .

Also, MOOND can take advantage of its competition’s weaknesses and start
advertising more the product’s advantages. It can start to be active on social media,
where there are no sign-up fees and it can addres6s through catchy and useful
content advertisements for keeping audience’s attention without additional costs.
As a threat, having a low entry barrier, the level of competitivity may raise,

23
supersaturating the market with the same product and obligating the sellers to
lower the price and contribute more to the products quality or design and making
the business less profitable.
Another problem that can affect the future sales, stands in the secondary market
competition (fitness and wellness centres) that can reduce the number of people
that are looking for a groin support on Amazon by lowering service prices.
Unethical online business, as copycats, threaten with similar products but worse
listings and it may damage the consumer’s confidence in online shoping and
might lead to choosing to reorient and buy from a physical shop.
Concluding on the OT, MOOND has good chances to maintain and grow its position
on the market in the light of the external environment if it will take its opportunities
into consideration, by enhancing its negotiation strategy with other suppliers may
create a good price environment around the product, starting to sell it keeping the
same quality standard and create a better competitive advantage for itself by cost
effectiveness. The growing Economic forecast is an advantage, due to the increase in
consumer expenditure on health and medical equipment which will lead in higher
sales rate.

Strengths Weaknesses

Quality of fabrication materials Low rank and level of awareness

A reliable supplier with innovative product Ineffective promotion strategy

Efficient delivery system through New company on the market

Amazon platform handles the
products storage, packing and
delivering(FBA) compared to some
competitors who does not offer this. Only one product sold

A good price range for its

offerings.

Opportunities Threats

Growin market, e-commerce spendings Low entry barrier, rising competition

Increasing social media ad power
Extending product portofolio for
competitive advantage and increased
market share and revenue
Invest more on CSR
Fig 5. SWOT overview
Copycats, unethics competitors
Increasing cybercrime
China recension could affect sourcing.
prices and customer spendings.

24
 External Opportunities
(O)
-Growing market
-Economic growth
-Create awareness throgh
social media.
-New product launch
Internal Strengths (S) SO (Maxi-Maxi)
Good quality product Strategy
Eye catching packaging Advertise the benefits
Healthy supplier of the product, for
relationship convincing the customer
Low average price about the high value
comparing with other offered at a competitive
sellers. price
Positive actual reviews Select an appropriate
price strategy for a better
market penetration.
Use the low supplier
power to decrease the
products price on
manufacturing.
Internal Weaknesses (W) WO (Mini-Maxi)
Low rank sales position Strategy
Poor marketing Support Economic
activities and strategy. growth that can trigger
Low social media high-end customers who
presence are looking for good
Weak advertising plan quality products
Poor product portofolio Increase sales rank by
better advertising on
Facebook, Twitter and
Instagram.
Create a video advert
with a new product and
advertise it better.
Fig. 6 TOWS overview
25
External Threats (T)
-DIY Fitness or wellness
programs that can affect
long term sales.
-Low entry barrier on
market
-Decent competition.
-Dishonest,business
sellers
-Cyber attacks
ST (Maxi-Mini)
Strategy
Better promote the
easet of online shopping
Create competitive
advantage through
product expansion
Protect the business
through brand registry
and trademark.
.
WT (Mini-Mini)
Strategy
Upgrade the webpage
with free fitness DIY
programs that would help
the customer achieve
better results while
wearing the groin support
Increase Social Media
presence and make
customers aware of online
copycats by reporting.
9. Marketing objectives
The results of the marketing audit and SWOT analysis, and also the corporate
objective, lead to the need of developing a marketing plan that involves deciding on
which markets to target and specific objective for the individual product

In this strategy, it will be included the most important areas where the product has
its most impact and where currently has a lack of performance. Considering the
internal and external analysis, a strategy will be drawn in a table to show and give
solutions to maximize the underperformance of MOOND

Dare/opportunity Optimal solution

Recent on the market, low product
awareness in customer’s and media’s Launch social online campaigns to
eyes encourage social dialog among the
opinion formers of medical or fitness
centres.
Improve KW search engine
optimisation on the Amazon platform
and google.
Invest more on the descriptive part of
the selling page.
Invest time in creating useful social
media content to reach new consumers.

Rise in economic growth and in

consumerism Present the product features in a
selective manner to increase the user
product understanding.
Supply professionally well explained
photos with the product and its use in
action.
Supply certificates in order to increase
the consumers trust in the product

Low sales rank on the main platform of

selling Amazon Gain useful product testimonials by
giving away a number of MOOND
products to USA customers, in return of
an accurate product review.
Create discounts campaigns and
coupons to increase sales velocity and
achieve better rank and first positions
on the first pages.

Fig. 7 Marketing opportunities recommendations

The recommended strategic objective is, being an early-stage company, to build its
position on the market, by exploiting competitors weaknesses and firm’s strengths
and resources, as described above. The aim is to win the marketing share through

26
innovative application of the marketing mix, mainly sugested by launching new
products.

The strategic thrust objective it is delimited into two, market penetration or

expansion , thus selling existing products in existing market. This thrust the
company has stops at the point the groin support reaches its maximum product
potential on the market.

As a following, product development it is recommended, also on the same market

but by expanding the product portfolio. In order to illustrate the last, and better
understand the amazon selling process and its business model , an adequate outline
will be provided for a product launch purpose.

Here are the major steps in start selling on Amazon:

The process is divided into 4 modules.

First module is about setting up the business platform and seek a product opportunity
on Amazon.com, as follows:

 Set up a Payoneer account(link in appendix), for payments receiving, as

Amazon will not pay directly into a bank account outside of US, but they
will allow you to use a third party service.
 Set up Seller Central account.( https://sellercentral.amazon.com/ )
 Build a primary products list.
 Add a competing products to the list.
 Narrow down the list to the three best product opportunities.

The first step in starting selling on Amazon is to create a seller account. The
advantages of a seller account are: “Having Amazon handle customer service,
shipping, and fulfilment with Fulfilment by Amazon service for Amazon.com orders”
(Amazon,2018)

The next step is finding the right product.

Top Level categories are important, because the BSR (best-seller rank) of a
product is tied to the top level categories, not the sub-categories. When you
start choosing a product, it will look for the BSR in the top level categories
to help ensure that the sales velocity for the product will be high enough.
Keep in mind hat this DOES mean more competition, because there is a high
demand.

Consider this when choosing a product: Selling a higher-priced product can

make your profit margins larger, but the inventory will cost more.

27
For the fresh brands, it is advised to consider Avoid selling products that raise
your costs up front, while you are just getting started . Start with a product
with a maximum weight of 3lbs. Generally speaking, the smaller, the better.

The number of reviews that primary and competing products have are a good
indicator of how competitive those products are. Read the following, to get
an understanding of what the number of reviews indicates:

●1 to 100 reviews: Low competition

●101 to500 reviews: Moderate competition
●501 to 1,000 reviews: High competition
●1,001+: Ultra-high competition These numbers are a general rule of
thumb. It is not necessary to beat the #1 product in order to make a
profit

Fig. 8 Amazon product search outline(Amazon setup,2017).

Red column should be avoided, yellow is little risky and green category is
recommended as not so competitive but profitable.

Having the above in mind, the product selection process is all about sticking
to the recommendations, patience, mindset and a brand vision while searching
through the categories and products.

After thorough researches, one of the most suitable and also profitable
products for MOOND to launch in order to increase its revenue and brand
awareness, is the shoulder brace(see appendix 6). Thinking not only in terms
of market profitability and return of investment, but also in the brand concept

28
 of a sports medical equipment company, the shoulder support is matching all
the amazon course criteria and the company mission, vision, strategic thrust
and objectives.

10.STP
Segmentation Targeting Positioning

Figure 9. STP model.(Own made)

Taking in consideration the market situation, opportunities and threats analysed
and the SWOT analysis, all will be summed up and further will be recommended
what segment of customers to serve, how adequate target the audience and which
position should MOOND adopt in order to achive its marketing strategies and firm’s
potential.
To explore the ways of segmenting the market, the customers will be categoized by
three broad segmentation criteria, as following:

10.1 Behavioural Segmentation

The first step in the segmentation process is to identify various customer segments
within various customer profiles.
The clients of medical or wellness apparels might seek different benefits from the
products ranged in the niche. Looking into the medical purpose products it shows
that many of its range consumers may wish an improved heated area in the
shoulder spot during activities or physically demanding jobs or they recover from
multiple accident injuries.
Microenvironment, Customers

“According to the American Academy of Orthopaedic Surgeons (AAOS), there has

been a five-fold increase in the number of serious shoulder and elbow injuries
among youth baseball and softball players since 2000. Most shoulder injuries
involve injury to the muscles, ligaments and tendons rather than the bones of the
shoulder.

(uoanj.com,2018)
“Because of the increased risk to the shoulder and elbow in adolescent athletes, the
American Academy of Pediatrics recommend that all athletes involved in overhead
sports should be engaged in a well-supervised exercise program to improve upper
extremity motion, strengthen the supporting musculature and develop the
endurance of the shoulder” (uoanj.com,2018)

29
“Shoulder problems can develop slowly in athletes who are involved with intensive
training or activity. They most commonly occur with baseball pitchers and catchers,
but they are also frequently seen in athletes who are involved in overhead sports,
like softball, volleyball, swimming and some track and field events”
“When throwing a baseball, the arm moves through the arc of motion at an
incredibly high speed and with incredible torque. The rotator cuff and biceps
muscles are tested as they attempt to decelerate the arm. When they become
fatigued or weakened, they cannot control the arm. This can cause injury to the
muscles, capsule and cartilage of the shoulder.

Rotator cuff injuries are probably the most common shoulder injury in older people.
Statistics show that as much as 25 percent of people over age 50 have some sort of
rotator cuff issue.

Shoulder problems affect men, women and children of any race and ethnic
background” (Pheonixsholderandknee.com,2018)

It can be approved that the target group is very diversified, from base/softball teen
players to elder 50+ that have rotator cuff problems.

The benefit sought is shoulder pain relief, shoulder rotator cuff stabilisation for
ease of pain during sport or any activities. MOOND customer, would buy a shoulder
support at the occasion of appearing issue, after feeling pain in the shoulder area,
or during the sports activities.
This fact lead to a advice in rising in price during the sport seasons (summer and
spring) and to a profit maximisation.
Another recommendation is to concentrate the advertising budget on the
preseasons. Also the package design can be different on Christmas and adapt to
gift-wrapping.
Purchase behaviour
When the new shoulder brace is launched, a key task is to identify the innovator
segment of the market , tailoring the promotion offer and communication to be
targeted specifically at them in the first episode of the launch. They are younger,
better educated and more confident and financially affluent and they will be the first
buyers and also the first reviewers of the product. Thus it is recommended to use
attractive listing, showing youngsters using the product in a dynamic and modern
way, using muscle models, fit girls and trendy packaging, design.

Right after, early adopters are following, having similar characteristics and
together with the former can be seen as opinion leaders, so are important for
MOOND brand image.

30
For the other segments, late adopters, they filter the products accepted by the
innovators, in terms of ranking spot, number of stars and reviews, etc.
Now the price strategy can go higher by 10-20%, as it should already achieved sales
velocity and constant sales. Next, it leads to acceptance by the late majorities, the
bulk of the customers in the market, as they want to see the shoulder straps prove
themselves and appear after a brand acceptance and loyalty, represented often by
the older and less well educated member of population.(David Jober,2016)
When speaking about MOOND customer’s perceptions, attitudes and beliefs, the
core question is “what do they value the most”. To answer that question, several
product perception and beliefs were extracted from competitor analysis , by looking
at product reviews. These are the main area problems found by asking them and
gathering product impressions:
“Is not comfortable to
use”
“It does not cover
shoulder”
“not fit well ”
“instructions were
included”
“gap between the brace and the
top of my shoulder” “

“wrap around the arm was difficult to

adjust” “snugly to my arm”
“not big enough for larger
people”
“does not fit”
“not easy to put on”
“strap around the chest is
too small”
“it was impossible
t moves to my neck when
working out”
“Does not stay in place
with movements”
“cheaply made”
“difficult to put on and
adjust properly”
“The strap across the chest was uncomfortable and the brace was way too high up
on my shoulder just below my neck”

Analysing and interpreting the data. Several conclusions can be made(see

recommendation section)

Profile:

31
Age: The Facebook ad campaigns and surveys conducted by now reveal a idea that
is not 100% accurate as the survey had only 103 respondents and the Ad campaigns
where made for a short period , precise and 100% reliable data wasn’t collected but
it is a good point of reference from where it can be concluded that the average age
was 24-45 target audience that have expressed interest in the product.
Gender: Female were the biggest rate of respondents on the survey with 54% rate
of answer, and 46% male.
Income: From the survey, 54 female respondents had an average of 1.900$ monthly
income and the rest of respondents that where male acquitted ranging 1300-
2500$/month in income. MOOND product is not expensive related to other similar
products in its sector and it can be bought also by customers with a lower income.
Social Class: The rate of income and class inequality is big in USA regarding other
countries, even so MOOND doesn’t appeal to a specific social class as the product
could be purchased and used by all types of social class, race and religion.
Lifestyle: MOOND is appealing to a target group that understands the harmful
effect of struggling to recover the shoulder injuries, some need to use an ice pack
together with, or simply want improved effects from the training, having the
shoulder stabilized and heated.

10.2. Targeting

Market segmentation has a mean end: Target marketing.

Firstly the market attractiveness should be assessed, in terms of segment size,

barriers. competitive factors and PEST.
Based on previous analysis, a look will be give to the company’s most important
capabilities to compete.

Exploitable marketing assets, the market segment allows the firm to exploit its
current marketing strengths , having a good market potential indicator and
inconsistent with its competitors image( VIVE, Bodymat etc.) so a new brand name
may be created and assimilated by the market. Moreover, cost advantages of the
cheap sourcing product let the company achieve a low cost position in need, the
segment being price sensitive.

As the market pull is similar or identical with previously evaluated and concluded in
the groin support situation, the focus will be on target marketing strategies. The
only significant difference stands at the customer drive level

For the target market selection, focused marketing strategy is advised to be

practiced. This is particularly appropriate for MOOND having limited resources . The
strategy also allows to concentrate on meeting the needs of the small percentage of
customers that account for a disproportionately large share of a product, so called
heavy buyers segment.

An amazing tool to be used for targeting the audience is Google Analytics.

“Google Analytics gives you the digital analytics tools you need to analyze data from
all touchpoints in one place, for a deeper understanding of the customer
experience”

32
Fig. 10 Google analytics advantages,2018

This extraordinary tool offers vital precise stats about MOOND audience. At the
moment, the tools it is not properly exploited, and real target audience information
about demographics, interests and affinity, behaviour and engagement are not
available to be analysed and concluded into an STP strategy. This is one of the main
recommendations are suggested for MOOND to improve its conversion rate and
increase organic sales, thereby its position on the market.

Answers to the following core questions could be provided:

 Who the visitors are, according to age, gender, geographical location,
language and interest.
 What platform do they use to visit the page(Mobile, Computer). For mobile
users the buying experience is different and the content and website should
pe adapted and responsive. How long they spend in the store.
 What keywords in organic google searches drive the traffic to the store and
have the biggest impact on conversion rates.
Split tests are used to test different elements of the amazon listing and
backend/fronted keywords, comparing for instance a change in photos quality
against any rises in conversion rate or sales during that period.

Having the market divided in small segments and individual customers

characteristics understood and examined in the above section, MOOND can select
the most optimum target group that form its potential customers. This is shaped by
a group of people that would need and desire the most a shoulder brace, the core
customers for MOOND are the ones that have an active lifestyle, sufficient income
to afford ordering online, after-injury and have a good income and can acknowledge
the benefits of shoulder support. For example, based on the above findings, an
active lifestyle persons can be the baseball players ,or ,
practicing different sports, as at that age shoulder injuries often occur due to the
lack of experience and multitude of tasks undertaken.

Therefore, the best range of consumers to be targeted is broad ,but the

recommended focus should be on teen players and 50-65 elders. Within this target
group, when having to set up an Facebook Ad campaign or other types of adverts it
could be targeted .

10.3. Positioning

33
Positioning is answering the questions “where we want MOOND to compete” and
“how we wish to compete” and is the choice of a target market and a differential
advantage for the firm in question.

After setting and targeting the marketing, MOOND position on the online medical
equipment market could be enforced by several factors:

Clarity: Simple and clear promotional messages should be communicate in order to

be memorable. The differential advantage previously descrived should be also clear.

Consistency: Elders, families and sporty teens should be consistently bombarded

with messages to break through the noise of daily ads, affordable quality shoulder
brace .

Credibility: A realistic and credible message should be approached. Amazon also

ban deceiving customers by unrealistic claims such “ Nobody can compare to us ”or
“Last chance to buy”.

Competitiveness: The differential advantage should have a competitive edge,

offering value to the customer that the competition is failing to apply. For instance,
the testimonial “strap around the chest is too small” lead to the arousal of idea to
build a more flexible and wider strap, feature of one of the competitors does not
offer.

For determining the position of MOOND brand on the marketplace a perceptual

map will be used, using attributes that are important to consumers.

High price

Roxofit

Bodymate
MOOND

Lower quality listing High Quality listing

VIVE
Fig. 5 (OWN MADE)

34
From the perception map it can be understood the brands perception in terms of
price and listing quality.

MOOND should improve the listing quality in and brand strategy in order to gain
competitive advantage .

11. Marketing Mix/4 P’s

Marketing mix model will be used to asses MOOND current tactics. All of 4Ps,
product, price, place and promotion are linked and have an effect on each other
and so it is vital to analyse each of these elements with the purpose to adjust
MOOND strategy in a manner that it will strengthen the company’s position on
the USA market. Marketing mix model will be based on a previously defined

target group and findings.

The amazon start up course modules can be assigned as following:

1. Finding the product(Product, strategic thrust)

2. Sourcing and negotiating(Place, stakeholder comunications)
3. Listing the product(Promotion and page design strategy)
4. Launching the product(Price/Promotion)

11.1 Product

As it is already known, MOOND products are fabricated in China from a breathable

neoprene material used also in many other clothing or apparel industries. The
product is trademark registered, the brand/logo is protected and can’t be used or
distributed by other third parties. MOOND journey starts from Shijiazhuang Orpheus
medical equipment co. LTD factory, where the product is being produced on a special
pattern design industrial machine and packed in its final form to be ready for the
final delivery to the Amazon Warehouse in Huston, , USA.

“The product is FDA certified, as many environmental and human health issues are
influenced by the water waste or air vapours resulted from the prime material
processing. Only some minor features were improved for a better usability while
wearing it”

“The packaging was designed by a Romanian web designer, that is passionate in

designing various products packaging or brand logo’s and it comes in a tubular shape
with a round cap that it can be opened or closed easily. The colors are dominant
yellow and on the sides, it has written with black capital letters the products name
and company name for a better eye recognition. In addition to the package to increase

35
 the customers confidence in the MOOND’s product a Thank you note and a Story
behind the product was added”

(MOOND,2018)
Sales and Profits

Sales

Profits
Growth Maturity Decline

Introduction
Fig. 6, product-life-cycle

MOOND’s shoulder brace is in the still at introduction phase, thus heavy efforts will
be concentrated on advertising. The product life cycle being still to the growth stage,
there is a lot of potential to take advantage of.

Fig. 7, BCG Matrix

36
Based on the online shopping market growth and the fact that the company existing
product has a sufficient market share, but it is not a market leader it can be classified
as a Cash cow it is generating positive cash flow, the focus should be on defend the
already attained position on the existing product, and use the excess cash to support
new product development.

The shoulder brace was found as a product opportunity , it matches the corporate
resources and has the potential of creating competitive advantage.

Optimal suggestions for improving the product perceived value could be using soft
neoprene and premium-quality materials and sewing for resistant straps that
improves its overall quality, use a combination between dark blue and deep black for
its design and adding distinctive elements, could be brand-representative such a
world globe emblem, MOOND’s logo.

11.2 Place
MOOND’s primary distribution channel is the Amazon selling platform and the most
important market distribution for MOOND at this moment, future replacements will
be take in consideration if the company will have a good profit by the end of 2018
(MOOND,2017)

After the next star producg was chosen, where and how to source it?

The following step in the amazon start up outline is to choose several suppliers
from Alibaba.com, the B2B marketplace the company is working with.
The main objective at this point is to find the supplier who:

 Can provide private labelling

 Can design packaging
 Can create promotional materials and find additional bundle items
 Can assure the express shipment to USA

Having other products in the portfolio is a bonus for the perspective of further
expansion cooperation.There are 2 types of merchandises: Trading companies and
manufacturers. Usually trading companies have an add sale percentage and are
harder to create and maintain relationships with. But it is not a rule of thumb.
Several suppliers are selected and the negotiation process starts. During the
bargain, the best offer is presented to each one of the suppliers for an elegant
negotiation approach. A highly suggested recommendation for MOOND is to better
research about the Chinese business culture and psychologically communicate and
negotiate in regard.

Than, the main aim is to find the best quality offer at the best price, which also
match the product design vision. The final decision is made after seeing the
business manner of the most suitable 3 of them, asking for samples and assessing
them.

37
Checklist for sample evaluation:

 How does the product package looks like? If it is not appealing and
professional now, for sure it wont be in future also..
 First impression. How does it smell, how the product quality material feels
like? Does it resist to tests?(grabbing, stretching, dropping it)
The MOQ (minimum order quantity) is usually 500, 25-30 days
production time.
Then why shipping and selling on USA?

USA is MOOND’s only selling market, thanks to the low cultural differences
characteristic of the population and the huge market potential and share Amazon
has increasing each year, due to the high incredible ease of use and brand loyalty it
has gained through years. MOOND practically exists and operates only on Amazon
and uses Amazon’s seller central and Facebook Ads manager to create and manage
advertisements campaigns for its target groups.

According to the US Institute of medicine research centre (WebMD.com, 2015),

more than 100 million Americans suffer from chronic back pain female and male. If
excluded the unemployed population of 1.4%, that will which is not in the target
group due to low income, 30.8 % can be potential customers in purchasing MOOND.

Fig. 8, Morgan Stanley Research

The production is according to the pull principle, -production to order- as the sales
are less predictable. It is the manager skill to roughly forecast the sales velocity and
assure to avoid an out of stock situation, which would lead to significant losses of
rank and previously sales momentum created.

38
Traffic

Traffic is about driving visitors to the product page, by promotional and ad activities.
It is equally important to be the “right” visitors, the target audience which will convert
into buyers, a part of and especially higher in the beginning it is paid traffic.

Landing page

This is the page visitors from Facebook ads or other external sources sees first

Four-second test

Within the first four seconds, visitors ask themselves 2 questions:

1. “Can I see what the store is selling”?

2. “Does it look safe to entrust it with my credit card details”?

The basic layouts templates visitors expect the website to have built-in are:

 Logo in top-left corner, clicking returns the visitor to the homepage

 Clear contact info about the person behind it.
 Navigation bar with product overview
 Visible shopping cart on all pages

The text should naturally reflect the strategy for MOOND’s site , namely shoulder
brace launching , for whom is it and why should the client buy it.(more on the
promotion section)

It should be quick loading, waiting time equates wasted conversion opportunities

for MOOND.

Conversion
MOOND main objective is to convert visitors into paying customers. For that, the
company known visitors ’behaviour and traffic patterns are finally paying off the
effort and investment.

The so-called call-to-action buttons are the most effective buttons and tell visitors
what they will get by pressing them, in the company case, it is “BUY ON AMAZON”
and “PROMO-BUY 2 AND GET 30% OFF DISCOUNT ON AMAZON”

The only way to find out what works best is to run tests and split tests based on
analytics and purposes.

39
11.3 Price

The pricing strategy it is advisable to be based on full cost pricing. Afterwards, the
price is to be adjusted towards trends in the market and competitors’ pricing. The
price of MOOND’s shoulder brace should not be the highest among all the
competitors, yet it should not indicate that the product is cheap or lousy. Therefore,
price should remain at the level of 19.99$, price that reflects also the quality and
remain competitive. Later, on maturity phase, while holding the strategic thrust, a
lowering in price is recommended.

To be mentioned is that the segment is price sensitive, which means that the
market is likely to respond rapidly to change in price, which allow the company to
achieve a low cost position compared to the competitor which is advantageous.

One way to increase the pricing strategy is to look at the buy box winning rate.
“The buy box is the box on a product detail page where customer can begin the
purchasing process by adding the product in the shopping cart.”(Amazon,2018)

A way to increase the chances of winning the buy box is to price the item
competitively, by considering discounting the items.

Another suggestion to improve the sales conversion is to set automate pricing in

seller central, which automatically update the price based on the sales volume.

11.4 Promotion

Promotion. The core of any business and marketing activities.

The promotional activities starts right from creating the product listing page from
the seller central, and editing the title, bullet points and product description. The
promotional part is divided into 2 distinctive approaches. First seek indicator is the
traffic. Then, from the traffic audience how much it is the conversion rate into
final orders.

What are the key determinants of the traffic?

Traffic is being generated by the degree of discoverability of the listing. To improve

this, it is recommended to adjust the relevant keywords used on the front-end, the

visible page bullet points and description. Another suggestion is to improve the
photos quality and the background used, as to be appealing, to show the product
in use in a enthusiastic and professional manner. There are only 8 pictures allowed
, so they should be wisely chosen. In terms of ideas, the shoulder brace should be
advertised on a good-looking muscle model, showing the product main features

40
and advantages, in-use picture, instructional picture, and mood picture, relevant in
the mind of buyers. Here it could be displayed an office man wearing it under the
shirt, for busy men, etc.

Fig 9. Shoulder brace photo idea.

The aim is to make the customer’s journey to the product easier and more pleasant.

PPC(pay per click) is another tool used increase the impressions (times showed to
the audience) and the conversion rate. (see appendix 1).

Using Amazon giveaways, a powerful tactic recommended is to set a contest where

to take 50 products and offer the opportunity to 5 persons/day to win them for
free , which will increase the sales by 5 products /day. As a winning the customer
will have to like the facebook page. This particularly is an interested trick used by
many sellers in order to increase the sales velocity. The secret is that the winning
rate it is set by us, a winning rate probability percentage of 1/1000, will guarantee
a low winning rate but high sales rate, as the products are quoted as 5 sold per day
already despite if anybody wins or not. And guess what, the chances are in the
company favour. It is not unethical, as the customer it is not deceived in any way
and it is only for the purpose of launching a product until reaches the organic sales
point.

A recommended tool for PPC optimisation is KeywordInspector , an extremely

useful asset for identifying and analysing competitors keywords. In the same time,
MOOND is doing also external advertising to support the KW search by creating
different FB ads campaigns(see fig 4, fig. 5), where a video or announce is made
with a symbolic message about the product and followed by some price discounts if
purchased in that day or if you are among the first100 buyers.

41
A warranty of 90 days it is advised to be used, which will contribute to the
conversion rate by giving customers trust in the brand and product and peace of
mind even after the purchase.

Fig.10. Facebook ads outcome.

Fig.11 MOOND Facebook ad. MOOND,2018

42
It is strongly recommended for MOOND to use ManyChat as a mean to
communicate with prospects and existing customers, as a post-purchase review and
use their opinion as a mean of improvement. .

“ManyChat lets you create a Facebook Messenger bot for marketing, sales and
support. It will send messages based on user actions or a time delay.”
(ManyChat,2018).

12. Budget and Implementation plan

In the future MOOND could try other advertisement channels for both products such
as: newsletters, direct mail, blogs and video ads for social media accounts as the
other advertising means as TV, newspaper are not cost pertinent choices.

The whole website must be intuitive and programmed with responsive design i.e. to
be suitable for both desktop and mobile users. It is also crucial that the webpage is
search engine optimised for google, in order to be optimised towards such
keywords as “Sholder/Groin injury” and “Shoulder/Groin support”.

As for implementing the above strategies and tactics, the 2 entrepreneur should
cope for adopting and implementing the ideas ,strategies and tactics

Fig.12, (OWN Made) implementation

43
 Fig.13 GANTT CHART, Smartsheet.com,2018

Purchasing Shipping Amazon Net Net Margin Units to be sold

19.99$
Price/item costs/item fulfillment Profit/item to recover
Sales
price costs/item 5.900$
investment.

MOOND 4.09$ 2.50$ 3$ 10.4$ 52,03% 590 units

Shoulder
brace

Fig. 14,(OWN MADE) ROI

For the investment to be recovered, 590 units must be sold on

Amazon.com. With an actual sales of 150pcs/month, statistically the
investment should be recovered in 4 months from the launching date,
followed by anticipated profit .
Income and cost statement

44
 Sales 12836 $
Cost of goods sold 4978$

Gross Profit 7.848$

Operating expenses

Selling expenses 0

Advertising expenses 3752$

Other expenses 1000$

Total Operating expense 4752$

Total 3096$

Fig. 14, (OWN MADE), Brief income statement

Return on investment

The ROI is a common widespread metric that is used to evaluate a forecasted

profitability on investments. The ROI can be applied to any type of industry
and is a solid base from which companies can go forth.

For MOOND, the ROI will be calculated from its product release on market
01.06.2018 until 31.09.2018 for a period of 4 months of activity on Amazon.

Total Investment 5900$

Gain from investment 8250$

Results:
Investment Loss: 11750$

ROI -63.06%

(Fig. 15, self-made table according to ROI standard calculations, 2017)

45
13. Recommendations

 Analyse main best ranked competitors keywords to adjust itself’

 Improve listing description, title bullet points and photos innovativeness

 Take into consideration macro and micro market growing rate environment

and analysis for further delimitations and improvements

 Improve competitive advantage by enhancing the product quality, design

and promotion

 Consider the target customer profile and thrusts.

 Increase traffic by increasing SEO performance using PPC, Competitors’ and

most relevant keywords tools , call-to-action buttons which lead to better

discoverability rate and organic sales through MOOND page

 Use Facebook ads, Google analytics and social media content for traffic and

conversion rate

 Use warranty tactic for ensuring customers trust. Enhance brand image by

being consistent, clear, competitive.

14. Conclusion

All in all, MOOND has bright future ahead, seeing the macroenvironment evolution
and market growth perspectives in terms of online users, amazon customers
market and savvy evolution. As having a favourable external environment and
customer conversion opportunities, the firm’s capabilities described were enough to
cope and exploit the opportunities through its core competences and strengths, but
nevertheless significant improvements can be made at the listing, brand image and
customer knowledge level.

To strengthen MOOND position on the online American health market, MOOND has
to follow the above advised advertising strategy, creating more awareness by
generating traffic through PPC, Amazon giveaways, Facebook ads etc, and then
convert the audience through a high-quality listing, product presentation and
customer service(ManyChat). This can be pointed as key-elements to be successful
on the Amazon growing online market, and thus USA.

46
Looking at the main competitors, Vive, BodyMate and Roxofit it ca be seized the
opportunity to surpass their competitive advantage: Symmetrically, chromatically
accurate reflected and explained product photos, five-star customers reviews
achieved by having a high quality product and a high customer response rate in
issue, with least but not the last a higher(numerically lower) position in Amazon
best seller rank(BSR) are the main factors that guaranteed their success and
overcoming them will permit MOOND to also surpass the main competitors.

Hereby, the next new product the company should further invest is the shoulder
support brace, whose launch will increase overall profit on long-term perspectives,
taking into consideration the above research work.

15. References:
https://phoenixshoulderandknee.com/about-your-shoulder-pain-shoulder-pain-
statistics-and-risk-factors/
Amazon Seller Central, (2017), site access: www.amazon.com/sellercentral accessed
on 02.05.2018
Amazon.com, (2017), site access: www.amazon.com accessed on 14.05.2018

 https://www.uoanj.com/shoulder-injury-statistics-and-ways-to-reduce-the-
occurrence-of-injuries/
 Panmore.com
 Amazon.com, Inc. Form 10-K.
 Federal Trade Commission: Electronic Commerce: Selling Internationally A
Guide for Businesses.
 Gillespie, A. (2007). PESTEL analysis of the macro-environment. Foundations
of Economics, Oxford University Press, USA.
 Housing Industry Association (2011). An Introduction to PESTLE Analysis. HIA
Ltd.
 Murphey, M., & Gause, R. (1974). UCF Research Guides. Industry Analysis.
PESTLE Analysis. Business Horizons, 17(5), 27-38.
 Roper, K. (2012, November). BIM Implementation: PESTEL Drivers & Barriers
(Cross-national Analysis). In World Workplace 2012. IFMA.

47
  https://phoenixshoulderandknee.com/about-your-shoulder-pain-shoulder-
pain-statistics-and-risk-factors/

 https://www.uoanj.com/shoulder-injury-statistics-and-ways-to-reduce-the-
occurrence-of-injuries/

Thomas Lindholm Uth. 2016. Supply Chain management and marketing,

Organizing and optimization of the supply chain .1st edition. Fortattern and
Hans Reitzels Forlag, 2016
Kenneth, E.Clow , 2001 Integrated Marketing, Promotion and Marketing
Communication
Ginny Soskey, July 9th 2013, How to Tackle the Most Common B2B Sales
Objections
Everett M. Rogers, Diffusion of Innovations, 5th Edition 5th Edition
Jobber, D. & Ellis-Chadwick, F., 2016. Principles and Practice of Marketing.
8th ed. Berkshire: McGraw-Hill Education.

16. Appendices
Appendix 1

48
49
Appendix 2

50
Appendix 3

51
52
Appendix 4

53
Appendix 5

Appendix 6

Appendix 7

How often do you physically exercise?

(21) 3-4 times a week

(35) 1-2 times a week

(15) Not that often, 2 times a month

(10) Never
What sports do you practice?(Multiple choice)

(1) Soccer(55)
(2) Tennis(23)
(3) Baseball(35)
(4) Rugby(21)
(5) Swimming(44)
(6) Contact sports (Box, Karate, etc.) (18)
(7) Golf(23)
(8) Fitness(31)
(9) None(4)

54
Did you ever had a shoulder injury ?

(51) Yes

(19) No

Do you have groin pain?

(11) Yes

(20) Sometimes

(41) No

Have you ever bought online a medical or wellness equipment for your shoulder
pain?

(19) Yes

(53) No

(5) I don't trust them.

If yes, what search engine/social apps have you used?

(19) Google

(17) Amazon

(15) Walmart

(4) eBay

(2) Aliexpress

(2) YouTube
Have you ever heard about MOOND groin support?

(8) Yes

(63) No

If you would like to buy a groin support, what online stores would you use?

(61) Amazon

(11) eBay

(6) AliExpress

(20) Shopify

(21) None, only from psychical shops

55
(4) None, only at my doctor’s prescription.
On a scale 1 to 5, how important do you think a shoulder support brace is?

(20) 1 (15) 4

(13) 2 (17) 5

(32) 3

What is you gender ?

(40) Male

(31) Female

What is your age ?

(26) 18-26

(18) 27-35

(14) 36-46

(11) 47-60

(6) 60+

What is your occupation?

(42) Employed

(2) Unemployed

(12) Freelancer

(38) Student

What is your monthly income? (in $)

(0) 1-500

(11) 500-1000

(26) 1000-1500

(47) 1500+
Thank you for your time and stay tuned!

Appendix 7
Personal interview with CEO script(most relevant info were selected and translated)

56
(ME) -In order to finish the programme, I’ll need to write a paper about assessing
your company and give recommendations. Could you please give me insights about
the internal situation and business model of MOOND?
(CEO)-Yes, of course. So, MOOND primary mission statement is to “Put you faster on
your health track!”
- (CEO) The firm internal environment is quite simple and the organizational
structure is formed by a sponsor and an entrepreneur that are taking care of the
business using the Amazon business commander app and skype for sourcing
management, and different reports and tools as Microsoft Excel that allows to
check the products in terms of quality, stock amount, product price and any
advertising activities related.

(ME)-How does the procurement process looks like?

(CEO) -The procurement journey starts from Shijiazhuang Orpheus medical
equipment co. LTD factory, where the product is being produced and packed in its
final form in the ultimate delivery to the Amazon Warehouse in Huston, USA. The
products must have passed several Quality Check’s randomly chosen by the QC
inspector before they are packed in standard export cartons with no more than 27
pcs/ carton.
(ME) -What happens after that?
(CEO) - After this is being done, the products are moved to the factory’s warehouse
waiting to be picked up and shipped by a chosen way of shipment, as air freight
company like: DHL, TNT, TMS or International China Air Mail, or naval as it is
cheaper. The delivering companies have standard or express time of deliveries.
(ME) -So what do you usually use?
(CEO) -WE usually use DHL or FedEx through a RPI (remote pick-up), the express
shipping can be delivered in 6 days with shipment cost of 6$ per kg or the standard
shipping where the costs are significantly lower, around 4.5 $ per kg and it can be
delivered in maximum of 10 days from the package acceptance.
The production management is tracked online, usually through skype.
(ME) -What is the product made of? Through what processes does it has to go
through before the final product?
(CEO) -The main raw material that is used in the fabrication process of the groin
support is called Neoprene, a synthetic rubber that has a balanced combination of
properties that allows the material to be breathable, water resistant, better burning
endurance than other rubber fabrics and it displays an outstanding physical
toughness. The Neoprene comes as solid rubber or a latex form that is more elastic.
The Chinese company is not fabricating the Neoprene, but it also source it from its
suppliers and transforms it into the final product. From the elastic form to the final
product, the company has 6 steps that are necessary to be to deliver the groin
support into the final product, these steps are:
• Handling the raw material order and processing in it in thin layers.

57
• Cut out the layers regarding to the products specification and size requirements.
• Sew the product in its final form.
• Examine the product trough QC tests.

• Packaging the product as required.

• Store it in the warehouse ready for delivery
(ME) -What can you tell me about the customer service? How to you keep tracking of
your customers?

(CEO) -We don’t have a 24/h customer service number , and all the issues
regarding the product and delivery are fulfilled by AMAZON call centre.
The seller has the liability to full refund customers money back if the product
doesn’t meet the description or qualification the groin support is described by, and
the only cost the customer has to pay is the shipping cost of the product back to
AMAZON Warehouse.
MOOND keeps in contact with the customers only through email and Amazon
reviews.
(ME) – How about the marketing and sales department?
(CEO) - The marketing and sales department is not well defined, we are 2
entrepreneurs that are taking care of all the marketing and sales activities.
Being only on the Amazon selling channel, all the major advertising is monitored
through Amazon Seller Centre where the product is displayed and structures several
types of advertising that includes major , Key Word Search Optimization based on
the product target audience, Give Away promotions. FB ads and Google Advert are
used to increase the traffic by targeting a wide range of people, as the product can
fit the a wide range of . Other Amazon tools like #Best Seller Rank or Buy box, or
add to card box, are used to influence the customers buying behaviour towards the
best product in its range.
-

58