Marketing for Services Industry

As we aim on being the best fitness services provider in the market, we realize that we need to improve our diversity of our services, so we are preparing to build up the “California B GYM” Service in the foreseeable future. B Gym Service The Baby Gym Service was spread since late ass’s In U. S. , and It was established In Hong Kong In ass’s. The Baby Gym service can help the children participants strengthen their physical skills, building self-esteem, improve social skills, learning to love the feeling of achievement, etc, through the interaction in participating the hysterical playgroup with compassionate coaches.

Our B Gym service will target on the kids who age from 6 months to 5 years old. We hope our new services can encourage the existing members to join with the kids and keep their membership. Moreover, we want to attract the new potential members to join our fitness service with their kids. Our fitness center Is not only aiming on providing fitness services, but also, we want to maintain the relationship between families. 2. SOOT Analysis of California B GYM Strength Weakness 0 Professional Support from California Fitness management and marketing team; D

High customer loyalty from California Fitness; 0 Invite a new “indulger”; 0 Strong financial support from California Fitness; Negative “word-of-mouth” to the brand of California Fitness due to the argument of service contract; 0 Extra financial burden from salary competition of employing foreign professional trainers Opportunity Threat C] Establishment of Kale Take Stadium; Q Government health policy; Q Hong Kong families average Income Increase; CLC Change in family structure 0 Statutory Minimum Wage Ordinance; 0 Inflation rate increase due to the depreciation of Hong Kong dollars; 0 Direct Competitors ) External factors: Political Factor 0 Hong Kong Government establishing a World-class Stadium in Kaki Take where is part of the major sport development policies; (Opportunity) 0 Government held series of promotion to encourage family participating outdoor activities with their children (Please refer to Appendix II); (Opportunity) 0 Statutory Minimum Wage Ordinance raise the operation cost of B Gym; (Threat) Economic Factor 0 Hong Songs economy is benefit from Mainland China and therefore the average family income increase; (Opportunity) 0 The inflation rate of Hong Kong grows rapidly due to the depreciation of Hong Kong Dollars relative to the foreign currencies; (Threat) Social Factor 0 The birthrate in Hong Kong decrease and the change in family structure over a few decades. More parents are more willing to spend on their children’s health related products and services; (Opportunity) Technology Factor 0 The advancement of information technology changed the habit of families. They prefer online searching the health-related topics and sharing their experience about their children through the online forum as well as their personal blob; (Opportunity) Competition Factor 0 Besides of the several famous baby gym in Hong Kong, e. G.

The Little Gym, My Kiddy Gym, there are many small-scale playgroups in the recent years which provide similar service with competitive price. (Threat) b) Internal Factors: Management 0 California Fitness is a famous fitness club in Asia, which is a subsidiary of 24 Hour Fitness, a well-known fitness club in U. S. A. Their management team provides Marketing 0 Meanwhile, the marketing team provides California B Gym more consultation about the marketing plan. For example, they can help to design and introduce some special promotion packages for the family members with using both California Fitness and B Gym Service; (Strength) California Fitness invites Mr..

Archie Jean (FAA) as an indulger who gives an active, positive and healthy image to the public; (Strength) 0 The high loyalty of California Fitness members brings stable source of customers to California B Gym; (Strength) 0 The argument of service contact with customers as well as the media reports about the customers’ complaints which causing negative word-of-mouth of California Fitness and may give negative perception to the pre- users; (Weakness) 0 Solution: Our Human Resources Team provides training to the frontline staff and therefore, staff can improve their knowledge and quality of service. The management of California B Gym can also encourage their staff to contribute new ideas via the empowerment method.

Finance / Accounting 0 The new B Gym service has a higher flexibility of financial support with mother Company. Meanwhile, the location of B Gym will be established at the targeted branches of California Fitness where have an advantage of saving extra rental cost compare with their competitors nearby; (Strength) 0 The lack of local experienced trainers for B Gym causing extra financial pressure to employ foreign trainers and at the same time, B Gym would have to face the “Headhunt” from their competitors; (Weakness) Management Information Systems 0 B Gym have an advantage of sharing the archive of California Fitness which can easily access to the targeted customers via the MIS.

The MIS can also help to understand the customers’ features and therefore more marketing promotion can be introduced promptly. (Strength) 3. Marketing Mix (UP) Product 1. Core service – California Fitness B gym provide core service is for every stage from 6 months to 5 years of the little gym offers a diverse line up of core season and summer session programs. The programs provide the child to filled with movement, music, leaning and relax. From week to week or form year to year program. The program is designed to facilitate ongoing skill development and maximum fun. Children progress at their own place to develop their confidence and their skill. 2.

Supplementary service-The parents held in place on a kid’s birthday party. The kids hold the camp, through activities for children to become independent and confidence. Place, Cyberspace and time 1. Place, Cyberspace – Location at transportation convenient place e. G. : Quarry Bay, Central, Hamper & TTS, as the B gym program around HACKED per course, the location should be set the commerce area and high-end level area. . Time -target customer of B gym programs is 6 months to 5 years, the gym program should be provide out of office hour of weekday, mainly program to held on Saturday and Sunday, convenient the parents to come with their kid to Join in the course. Process 1.

California Fitness staffs should be clear to tell the parents the content of course, equipment application and the course target. And the program fee should be charge clearly. 2. California Fitness is clear about that if the fitness center and the fitness equipments are not in good condition, customers’ may feel dissatisfied and irritated. In order to satisfy the expectation from the customers, as a professional fitness center provider, company has systematic maintenance system to make sure all the fitness equipment is in good condition. 3. California Fitness employs the professional B gym coach training to teach and keep the course quality and arrive the aim course.

And the coach and assistant make sure baby and kids safety in the course process. Productivity and quality 1. Conduct service questionnaire – As the company target to expand the market in fitness field (both for adult and B gym), we have to realize how the degree of attestation from the customers. We can conduct the service questionnaire. After we consolidate the statistic, we can realize the strength and weakness from our service. Moreover, we will be clear about that the customers’ expectation from our services. As the B gym is a Just started programmer for the company, we need to be clear of what is our strength and weakness in order to have solve method to make improvement. 2.

Balance between the business growth and the quality standard – For the fitness center, we are not only want to expand the new segmentation for baby yum, we also want to maintain the members growth and the quality at the same time. People Qualified services and services providers are essential in services marketing. As an outstanding services provider which need to: 1 . Recruitment requirement – Make sure the Job applicant who has the qualified qualification in the physical education base on the gym or baby gym foundation. This can be ensure the employee already has the basic physical knowledge human body and it helps to reduce the training expense. 2. Training – Organize regularly training to the staff in order to enhance their professional knowledge.

We should know that the gymnastic equipment and the As an professional services provider should ensure that the employee has the most updated information in order to fulfill the satisfactory to the customers. Promotion and Education The services provider has to promote their service by certain sources, egg: 1 . Websites – California Fitness should add the new baby gym services on the company web pages in order to let the new customers and the existing members know the company add new item of service through its advertised channel. It also can start advertise on the parental forum to enhance the shown up frequency. 2. Advertisement – Advertisement on the newspaper and advertisement: Company can also start having the advertisement on the most common channel, like newspaper and the magazine which can draw the desire from the potential customers. 3.

Educational seminar and trail class – the company can organized the education seminar which hired the professional consultant, and stress the advantage of B gym. Also, it can provide the free or special offer trail B gym to the existing members in order to attract to the potential customers. Physical Evidence California Fitness Centre is not only selling the high quality fitness equipment, but also provide high class services by the interior furnishing and supplementary services. 1. Good maintenance – Company needs to ensure that all the fitness equipments is in good condition and updated in order to fulfill the customers’ satisfaction. 2. High class Furnishing – Company will provide high class of decoration in the fitness center in order to fulfill the customer’s satisfaction.

Normally, most of the Physical fitness center is in luxury dcore, besides of this, some centers has more spacious and luxury furnishing in centers in order to provide comfortable fitness environment to the services purchasers. Furthermore, the fitness center can also provide certain entertainment source, egg: television programmer, music, 3. Membership structure – different standard of membership level may charge different charges. For the premium membership can be provided more supplementary services, egg: one to one couching class, private locker, towels, etc. Price and other user outlay It is not easy for customers to examine the satisfactory level by services. Sometime, customers Judge the service quality by the price. 1 . Set different prices – Company should set different prices from different membership levels in order to target efferent customers.

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