MKT FPX 5410 Assessment 1 Marketing Mix Project for Spokin’ Wheels

Student Name

Capella University

MKT-FPX5410 Digital Marketing

Prof. Name:

Date

Optimizing the Marketing Strategy for Spokin’ Wheels: A Comprehensive Analysis

Introduction

Spokin’ Wheels is a local bicycle shop with two distinct locations: its original store, established several years ago, and a newer location that opened just a few months back. The shop specializes in selling both new and used bicycles, providing repair services, and offering a variety of bicycle accessories and clothing. Additionally, Spokin’ Wheels organizes weekly group rides every Sunday morning. To enhance the business’s marketing efforts, one partner will focus on internal customer-facing processes, while the other will define the marketing mix. Given the service-oriented nature of the business, an approach rooted in service marketing is most effective. According to Kar (2019), “The 7 P framework is one of the most popular frameworks for deciding a marketing strategy, right from strategy formulation to actual implementation.” The 7 P’s—product, price, place, promotion, people, physical evidence, and process—will guide this analysis. Additionally, the 5 S’s of digital marketing—sell, speak, serve, save, and sizzle—will be integrated into the marketing strategy to leverage the digital landscape effectively.

Product

A product is defined as either a tangible item for consumer purchase or a service provided to meet customer needs. Spokin’ Wheels offers both tangible products and essential services. To enhance the value of our offerings, integrating “digital value” and building a strong online reputation are crucial. While purchasing a bicycle typically requires physical presence, the complexity of our products presents opportunities for a robust online presence. This digital presence can educate and guide customers, potentially facilitating a Research Online, Purchase Offline (ROPO) approach (Caffery & Smith, 2017, p. 66). To optimize Spokin’ Wheels’ online presence, questions such as how we can assist our customers, what needs we can address online, and how to enhance their online experience should be considered. Implementing QR codes can also add value by connecting customers to additional online information, benefits, and experiences (Caffery & Smith, 2017, p. 66). By focusing on specific products, Spokin’ Wheels can leverage the online platform to highlight its strengths and enhance its value proposition in the cycling industry.

Price

The global reach of the internet has intensified competition, making transparent pricing essential. Online buyers have numerous options, which compels sellers to adopt strategic pricing approaches. Tools like cookies—session cookies, persistent cookies, third-party cookies, and HTTP cookies—can track consumer behavior and aid in pricing strategies (Geeks, 2019). While cookies can provide insights into pricing preferences, it is important to remember that quality and service often outweigh the lowest price. Highlighting the value-added services provided by Spokin’ Wheels can justify the price and strengthen customer relationships. Additionally, offering rental or leasing options for bicycles can attract customers who prefer lower upfront costs while generating additional revenue through interest. Monthly subscriptions or rental options for cycles can provide flexibility and increase sales for Spokin’ Wheels.

Place

The “place” in marketing refers to the location where products are purchased, distributed, or consumed (Caffery & Smith, 2017, p. 78). Establishing a robust online presence is as vital as maintaining a physical store, as it allows reaching broader markets beyond the immediate area. Social media platforms are instrumental in building this presence. For instance, maintaining a Facebook business profile can increase visibility through followers and engagement. Encouraging customers to check-in or tag Spokin’ Wheels on their social media can amplify brand awareness. Running online contests and promoting reviews on platforms like Google or Yelp can further enhance visibility. Distribution also plays a role; selecting a reputable distributor for online orders and shipping accessories or apparel can boost Spokin’ Wheels’ online reputation and efficiency (Caffery & Smith, 2017, p. 81).

Promotion

Promotion is closely linked to the concept of place, as both involve enhancing brand visibility. Online promotions can range from simple pop-up ads to engaging social media campaigns. For example, Wendy’s has gained notoriety for its witty Twitter interactions, demonstrating how creative promotions can boost brand engagement. Various promotional tools, including online communication channels, can be utilized to extend reach and effectiveness (Caffery & Smith, 2017, p. 81). However, challenges such as integration, creativity, and resourcing must be managed to ensure successful promotion. Consistent messaging across platforms and engaging content that encourages sharing are crucial for effective promotion.

People

In the service industry, the success of Spokin’ Wheels heavily relies on its staff. Ensuring that sales, customer support, and service staff are well-trained and motivated is essential for providing excellent service. According to the text, happy and fulfilled staff contribute positively to customer interactions. Customer service should be a priority, both online and offline. Implementing real-time chat options, an easily accessible FAQ section, and virtual assistants can enhance customer support. These tools facilitate immediate assistance and streamline inquiries, improving overall customer satisfaction (Caffery & Smith, 2017, p. 90).

Physical Evidence

Physical evidence refers to the tangible aspects of a business that reassure customers about its legitimacy. In a physical store, this includes the building, staff, and branding materials. Online, physical evidence manifests through a well-designed, secure website with high-quality content and mobile accessibility. Ensuring the website features up-to-date inventory, accurate pricing, and visible security measures—such as refund policies and third-party endorsements—can build trust with customers and enhance Spokin’ Wheels’ online presence (Caffery & Smith, 2017).

Process

Effective processes are vital for the smooth operation of a business. For Spokin’ Wheels, implementing clear and efficient online purchasing and delivery processes is crucial. A user-friendly website and streamlined ordering system can prevent customer frustration and potential abandonment. Additionally, having processes for customer follow-up and feedback can improve service quality and foster customer loyalty. Accurate and well-enforced processes can provide a competitive edge and enhance overall business success (Smith & Zook, 2011).

Five S’s of Digital Marketing

With the rise of digital platforms, Spokin’ Wheels can leverage the Five S’s of Digital Marketing—sell, speak, serve, save, and sizzle—to enhance its marketing strategy (Prideaux, 2017).

Sell: To boost sales, Spokin’ Wheels should develop a strong online presence through a well-maintained website and multiple social media channels. Implementing a multichannel selling approach can integrate online research with offline purchases, aiming for a minimum of 20% online sales by the second quarter.
Speak: Adding value through effective communication is crucial. Utilizing a mix of paid, earned, and owned media can enhance brand awareness and customer engagement. A monthly newsletter can be an effective way to keep customers informed and involved.
Serve: Enhancing customer service through virtual assistants, real-time chat, and active social media engagement can improve customer experience and satisfaction.
Save: The digital landscape offers opportunities to reduce costs, such as transitioning to paperless operations and utilizing cost-effective digital tools.
Sizzle: Creating compelling and engaging content can attract and retain customers, boosting brand visibility and appeal.

Moving the company completely paperless will be a goal of Spokin’ Wheels to achieve by the end of the fiscal year, and the process will begin by digitizing all current records.

Another strategy for cost savings is to establish a robust and proactive customer support team through virtual chat platforms. As noted in the literature, major companies like FedEx, Dell, and Cisco have transitioned their customer service to fully online platforms, resulting in annual savings in the multimillion-dollar range. Although Spokin’ Wheels may not operate at the same volume as these corporations, it would be beneficial for us to follow their lead and aim for at least 85% of our customer support to be entirely digital. Given that we operate two physical stores, we must still allocate some resources for in-person customer support.

Sizzle: Extend the brand online

To create a “sizzle” in the online space, Spokin’ Wheels must innovate in the content we share. Customers seek a connection with their online experiences, and the more we can personalize these interactions, the greater our success will be. Virtual reality is increasingly popular and presents an excellent opportunity for our brand. With scheduled weekly rides for groups of cyclists, we could mount a camera on a rider’s helmet, allowing those unable to join the physical ride to experience it online in real-time. Additionally, we could consider developing an app in the future that enables customers to track their personal statistics and engage in friendly competition, all while promoting Spokin’ Wheels.

Conclusion

Overall, Spokin’ Wheels has a significant opportunity for growth in the digital realm. While many may not view a bicycle shop as an online business, the digital landscape offers limitless possibilities for brand promotion, sales, community engagement, and customer support. By keeping our ideas innovative and achievable, we can ensure that Spokin’ Wheels is recognized locally at our physical locations while also making a substantial impact with a creative online presence.

References

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Bullock, L. (2019, October 25). Setting goals for your digital marketing. Retrieved April 13, 2020, from https://www.smartinsights.com/goal-setting-evaluation/goals-kpis/goals-for-your-digital-marketing/

Byrne, S. (2020, February 27). Council post: How digital marketing can help your local business grow. Retrieved April 13, 2020, from https://www.forbes.com/sites/forbesagencycouncil/2020/02/27/how-digital-marketing-can-help-your-local-business-grow/#1013f58115d7

Chaffey, D., & Smith, P. R. (2017). Digital marketing excellence: Planning, optimizing and integrating online marketing. Retrieved from https://ebookcentral-proquest-com.library.capella.edu

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