Marketing Management To Sustain a Competitive Market.

Question: Discuss about the Marketing Management To Sustain a Competitive Market. Answer: Introduction: This report involves the management of marketing strategies and approaches to sustain a competitive market. Marketing management involves different approaches that facilitate effective distribution of the products as well as the service to the consumers. In this study focus, has given in the PXG Golf Clubs. This company deals with the golf accessories and required to adopt the attributes for the successful management of the marketing criteria. There are established brands such as Nike and Adidas that have already established their product in this regard hence, it is quite appropriate to adopt a strategic marketing vision for the PXG Golf Clubs so that they can anchor their business successfully. This report has evaluated the background of PXG Golf Clubs to involve an appropriate marketing analysis with the help of SWOT analysis that too shed light on the strength, weakness, opportunity and threats for the organization during their marketing of the products. Segmentation of the products is crucial for any organization as it actually helps to reach the brand to the targeted audience. Moreover, dimensions of an opposite marketing mix have also been incorporated to understand the actual scenario of the demand and supply for the company. A tool like PESTLE has also been used to get an idea about the objectives of the company to firm the base of the organization in the market. Apart from that, marketing strategies have been presented that includes the 4Ps approaches to place the product successfully and reach the people. This report has included an overall view on the marketing management for PXG Golf Clubs to obtain a successful business plan and reach the maximum valid audience. Current market situation: Barrett and Weinstein (2015), mentioned that reviewing the background of an organization always helps to have the essence of the present situation of a company as well as future prospects of the firm. PXG stands for Parsons Xtreme Golf Clubs that was put in the function by Bob Parson in the year of 2014. Bob is himself a golfer and marked his own brand of golf clubs due to the unsatisfactory outcome from golf clubs of other company (Pxg.com. 2016)Earlier the situation was not in favor of this company; it was difficult to get a place where there are already established brands like Nike, Taylor made (powered by Adidas). Reports have stated that several critical views were given prior to the launch of the products; such the company will be a complete failure in this regard. Hence, few components have been discussed below to help PXG golf clubs for sustaining of the business. Market segmentation of the products: Market segmentation of the products is essential as the preferences of the products can vary for the different class of the population. Segmentation of the products allows the company to customize their products according to the demand of the market (Huang and Sarigll 2014) Surveying on the market is the ultimate criteria for the proper segmentation of the products. The golf market has been increasing for the past 20 years resulting in more opportunity for such companies (Mullin, Hardy and Sutton 2014). There are several innovative ideas such as allowing low and mid budget daily fee for the interested people with a moderate financial background. This has made the sports accessible to more people. However, there are also options for the high rate of daily fees for people with higher income and corporate sectors. All these approaches have opened this classic sport to the mass that has in turn extended the market for the products of PXG Golf Clubs. P XG currently deals with the high-end Irons for an only particular class of the audience. They can capture the maximum of the market if they focus on the segmentation as discussed before. Competition in the market: There few competitors in the golf industry such as Nike, Golfsmith and Adidas, who have already set up their benchmark in this arena of service. This has made the situation tough for the PXG to gear over the already existing recognition of those branded products. However, as Nike has taken off their hand from the business of the golf clubs vast opportunity has been created for the PXG. Moreover, Golfsmith has been facing the bankruptcy situation one more competitors have got off the field. Armstrong et al. (2014) suggested that when a company leaves the market it also leaves its residual clients free for the other company; thus, PXG must grab this scope by drawing all the golfers towards its products. To implement this strategy they maintain the quality of their products up to the expectation level of the clients. Distribution of the products: Distribution of the products requires placing the products correctly among the audience so that they can easily get an idea about the products and qualities of the products. Promotion plays a major part for the promotion of any product (Slack 2015). PXG requires coordinating with the distributors along with the advertising of their products sufficiently. SWOT Analysis: SWOT analysis one of the marketing tool that actually helps to assess the current condition of an organization while making an assumption on the future prospect of the business for the concerned company (Kotler et al. 2015) Here, SWOT analysis has been included to acquire both the positive and negative aspects of the PXG as well as it will also provide the challenges present in this sector that can affect the growth of the company, moreover there are some scope described here to understand the measures that can help to expand a stable business. Strengths: Golf industry has the strong financial base as golf is sometimes marked as the sports of the wealthy peoples. Moreover, this sport holds some loyal range of the clients who can keep up with the new equipment and innovative ideas of this industry. People are getting attracted to this sport day by day; hence the market is growing for the companies like PXG. Corporate sectors are keen on investing in the golf industry; thus, there is sufficient monetary flow for this sector. Weakness: The main weakness of the golf industry is that till present day golf is recognized as the sports for the posh society; hence this sport have left less impact on the mass population to belong to the different classes (Prahalad and Ramaswamy 2013). Moreover, this sport is not so popular across the world. Elegant infrastructure is required for golf; apart from that, higher costing makes it difficult to start this business. Fewer campaigns are organized by the companies to showcase the positivity of the products as well as the events; thus, a large number of people show no interest in this sport. Opportunities: There are potentialities for the market expansion in the golf industry. The young generation is showing interest towards this sector. Availability of the sponsors can draw more people as financial support will be given to the players. Moreover, competitive markets always help to increase the level of the products and service (Limehouse, Maloney and Rotthoff 2012). Thus, PXG can always allure more players if they set the quality of the products too high. Governmental initiatives to promote this sport can also make more people interested and be aware of golf. Many countries are taking interest to host the golf tournaments as well as supporting the adequate infrastructure resulting into spreading the sports worldwide. Threats: One of the main problems in the golf industry is fluctuation in market condition of different countries. New companies always enter into the market making the market share unstable. Moreover, existing brands tend to shift in different criteria like Srixon, which only dealt with golf clubs; however, they changed the focus of their business by shifting golf ball manufacturing. The sudden slump in market and recession are few points that affect the golf industry. Corporate sectors tend to hold a share in this industry; hence, an unstable economic situation can make them turn their face off the market. Less number of campaigning and advertisement can be arrayed with the promotion of the golf industry that in turn could affect the companies like PXG negatively. Objectives to hold a place in the market: According to, Sotiriadou (2013), every company has different goals and objectives to achieve the expected result, profit margins and a stable position in the market. PXG appeared in the golf industry in 2014. From the initial stage, this company has faced tough competition with the recognized brands. As Millington and Wilson (2013), mentioned that situation gets tough for a crawling company when the entire place nave been taken by the stand tall big names. Many critics have passed their opinions by saying that this company compete with those big brands and have to wind up their business within 12 months. However, till 2014, not only the company has sustained their business smoothly, but also has been recognized as the finest golf club manufacturer. This transition would not have been possible without the adequate objectives of the business and the right goals to be achieved for holding a large share of the market. No additional efforts are not required when a firm has put all its effort to make a product of highest quality (Wilson et al. 2012); this is also true for the PXG, as they have satisfied their client by providing utmost service. Moreover, an entrance of the PXG has also shaken the market of two premium brands like Miura and Epon. Reports have also disclosed the sales volume of PXG is approximately 42 million dollars in present years, which is not compatible with the business of Taylormade. However, the founder, Bob Parson stated that the company has enhanced its business from that of the last year, also he quoted that the company will follow its objectives to complete the vision. Another important fact is the market expansion of the business that has also been handled quite successfully by PXG. This company has expanded their business in 26 countries, making it one of the giant shareholder in the golf industry. It has been believed that people outside the USA are less focused in golf industry; however, PXG has taken the initiatives to earn more profit by expanding their business worldwide. Nike has announced about their packing up of the business of golf club production while Taylor made has also on the verge of selling their business. In this context, PXG has got the opportunity to branch out their market by allowing superior products and constant service. Moreover, PXG has continuous checked their pricing of the products as it is helpful for the healthy competition. Morse (2015), mentioned that it is good when there are too many companies competing for the best position, as it will restrict the price of the products while increasing the quality of the produ ct. PXG has got the strong financial backup. Monetary flow in business affects the productivity, marketing, branding and service of an organization (Shank and Lyberger 2014). Another important strategy, PXG has adopted, is the contractual agreement with the golf professionals such as Billy Horschel and Zach Johnson. This step has influenced the profit margin of this company as people get interested in a particular product when they find their favorite player is using it (Chung, Derdenger and Srinivasan 2013). These strategies always boost the selling of the products along with adding more reliability to the products. The innovative ball speed technology is another innovation of PXG golf clubs that have provided satisfactory results making them look forward with further services from this company (PGATour. 2016). Marketing mix strategies: As mentioned by, Khan (2014), marketing mix actually gathers the information and encompasses it for the unique selling approaches of brand or products. The measures of a marketing mix can allow four aspects such as products validity, pricing of the products, promotion of the goods to grab the attention of the people and appropriate placing of the products so that audience can easily avail it. This is also known as the 4Ps theory. An explanation has been given on these four attributes relating it to the PXG. Product: Having a clear grasp on the products make the audience aware of the actual cause behind their buying or using the product (Kunkel, Doyle and Funk 2014). PXG needs to hold a transparent policy to the customers about the standard of the products and about the materials of their golf clubs. Hence, clients can easily compare and understand the product quality with that of other brands. A company must have the knowledge about their products and the uniqueness of their service so that, it can highlight those properties in front of the audience (Selnes 2013). Price: Pricing of the products carries the significance as it values the market for a product. As PXG develops some high-end golf clubs, the company also set the price of their products at a level that prioritize the quality over the cost. Hinterhuber and Liozu (2014), mentioned the price of the products always affect the profits, demand and supply of the products as well as further marketing strategies. If a company lose its focus from the proper pricing strategy it will face loss either in terms of losing the customer due to the unaffordable products or unable to make up the production cost of the products due to too much low pricing. Place: According to, Funk, Alexandris and McDonald (2016), the main objective of placing a product is converting the potential public into the confirmed clients. Therefore, placing is critical for any organization, PXG as well. Opening a store in a distant place has not proved to be helpful for the companies. PXG can place the products such a way that can catch the eyes of the consumers easily without creating confusion. Confusion to find a store makes people irritated resulting into falling of interest in that brand or their products. Hence, PXG can locate their store in a supermall or center of the crowded place so that maximum people get attracted easily towards the brand store. Promotion: Promotion of a brand or a product is crucial to creating an impact on the public (Hoye et al. 2015). Promoting a product can be done using various means of communication. Some companies focus more on the social media marketing whereas other companies prefer to maintain a successful public relation to leaving direct impression on the customers. There are also traditional ways like advertisement on newspaper, radio and television. However, for present scenario, technological advancement can be more useful for the branding of the products. PXG can divide their promoting strategy; for an example, they can target the youth by advertising their products in social platforms, while they can also arrange campaigns and classic newspaper ads to grab the attention of the aged person. Apart from all these, hoardings, email marketing and online marketing are few common approaches used by the companies for the promotion of their products. Conclusion: Hence, from the above discussion it can be concluded that this report is valid for the understanding of the marketing criteria of the PXG. PXG has landed their business in 2014, thus, it is required to adopt appropriate strategies for the proper branding of their products. This company has many rival companies in this sector; however, adequate segmentation and distribution of their products can help in suppressing the brand value of the products of other companies. Background research of PXG has been done to get an overall review of this company and it has helped in the provision of the apt suggestion for the company. Moreover, SWOT analysis is effective to enhance the level of the understanding for PXG, so that the company can take any further approaches by revising their strength and weak points along with analyzing the potential threats and opportunities for their organization. Moreover, here objectives of the company have been described with the help of providing an insight on the PESTLE tool; it has helped to get a clear idea about the reliability of the company and its products from the different dimensional point of view. Another important aspect of this report is the inclusion of the marketing mix strategies for PXG that in turn involves the 4Ps theory and gives an account of production of their goods, pricing of the products to satisfy the target audience, placing the products to draw more audience and finally the promotion of the products to reach the maximum people. This report covers all the criteria, required to accomplish the marketing strategy for an organization. Hence, this research is contemporary to the present business scenario of the PXG and can be reviewed while conducting any further research on this regard. Reference list: Armstrong, G., Adam, S., Denize, S. and Kotler, P., 2014.Principles of marketing. Pearson Australia. 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