Use the same product and organization you identified in your Week 3 Strategy and Positioning Analysis.
Develop a 2,100-word analysis that includes:
• Describe how your marketing efforts and marketing mix will change with each phase in the product life cycle
• Explain how the packaging you will use for your product or service will add value.
• Analyze the appropriate pricing strategy for your product or service and the price you will set at launch.
• Evaluate the channels of distribution you will use to sell your product along with a description of how each channel partner will add value.
Include at least four sources of research that support your analysis; at least one must be the textbook, one from the University of Phoenix library, and one piece of secondary research.
Format your assignment consistent with APA guidelines
FedEx helicopters parcel delivery
Student Name
Course/Number
Due Date
Faculty Name
Title of Paper
FedEx helicopters parcel delivery
Overview of Organization
Federal Express Inc is usually a global organization known to offer package delivery service. From the begging, the organization has proved great aptitude for its marketing strategies, leading to massive growth has one of the largest organizations in the United States. This factor has usually been facilitated by the organization mission that is to grow the global business through helping logistics needs of their customers via offering excellent and value in all of their business operations (Rushton, A., & Walker, S. 2007). Federal express Inc is an organization with the ability to delivery logistics services in more than 220 countries globally, covering all areas in North America and Europe.
Currently, the organization is usually offering a variety of services that have a similar goal in packages mind move from the source to the receiver. Ground shipping is normally the most means of transport used by the organization due to its affordability whereby they use rail and trucks to send their packages. For the individuals who want their packages to be delivered quickly, the organization uses air freight which is much more expensive unlike other means of transport. The organization ensures that they offer appropriate services based on the services quality, cost, reliability, and speed, in various services to satisfy the customer's needs. In order for the organization to remain competitive in the market, a new service is normally being proposed in order to create a competitive gap against its competitors in order to achieve its goals and remain the leading logistics organization globally and in future.
Description of Product/Service
It is essential to make sure that the new service developed is of worth to the stakeholders and clients while matching the global standards for competition factor. The new service proposed will usually involve and use a remote functioned flying helicopter to distribute parcels to the homes of customers directly. This service is being facilitated by the advancement in helicopter aviation system, representing the next generation of parcels carriage technology. The new service will be utilized to deliver services to urban areas that are densely populated, to increase the packages delivery speed.
An example of the densely urban area that the service will be offered is in San Francisco especially to customers who purchase their products from Oakland. FedEx new helicopter delivery service will be able to transport these products to the doorstep of clients in a matter of minutes or hours, unlike truck delivery that takes several days. The organization will be the first to introduce this helicopter delivery service on value chain top its customers, a factor that is improving the competition strategy for the organization towards the achievement of the future and target objectives for the organization.
SWOT Analysis
It is greatly important for the organization to conduct SWOT analysis, especially when introducing a new product into the market. SWOT analysis is utilized to plan the strength, weaknesses, opportunities and threats that the business will face as they launch the new product. FedEx organization SWOT analysis is essential since it will facilitate achievement of helicopter delivery service to its clients through a suitable understanding of its internal and external standpoints position towards its objectives.
Strength
Strength is usually the internal parts of the business that are having benefits in the competitive environment. FedEx is an organization with well- valued brand image. The organization logo and slogan "we heart longi1stic" are usually well recognized by the majority of clients and business professionals offering a great advantage. Since the helicopter delivery service is a newly introduce business strategy in the market, there will be a strong product picture that will be portrayed to the customer leading to a great market influence to customers from that start (Hill, C. W. L., & Jones, G. R. 2014). The existing supply chain system by the organization is strength since there are varieties of resources available that will facilitate the helicopter fleets towards the achievement of the business objectives. There will easiness of FedEx corporate to adopt the service design through customer's feedback, a factor that is of great importance to the new business strategy. Through evolvement of technology, FedEx will be able to improve its businesses towards domination of logistic business globally.
Weaknesses
Weakness is normally the opposite of strength. Simply, weakness is known to be the sections of the business that are composed of different disadvantages towards the achievement of the target objectives relative to the competitors. The main interior weakness FedEx organization has based on the new proposed business is covering technology associated with that of competitors. Some organizations search as Facebook, Google, and amazon have started designing drones based services for their clients located in the United States. At the moment, FedEx has not yet begun to advance the technology resources required in making helicopter parcel delivery reality. The corporate to achieve the new proposed project, there will be substantial invest required especially in conducting research, development of the project and testing before it is introduced to the wide clients. Through pushing this new technology to the clients, there is the possibility of gaining poor feedback from customers, an issue that might affect the brand image negatively.
Opportunities
Opportunities are the external environment factors that the corporate can adventure to improve its competitive advantage. Development in urban logistic demand is one of the opportunities that FedEx corporate has in its new helicopter parcel delivery externally, posing great advantages. The majority of the young professionals currently are deciding to reside in urban areas different to the neighborhood (Hill, C. W. L., & Jones, G. R. 2014). As the population in urban increases, it will be essential for goods transfer means that will involve less physical storage or trucks delivery. Considering the factors, FedEx has a great opportunity in the market to offer in pioneering new packages from a delivery that will be more efficient and faster than traditional approaches. Although the project will take much time to be adopted in the market, there are many clients who will be willing to pay a great premium to be involved in the system. As the business strategy will be growing, the organization will be able to balance its assets in order to achieve the market demand.
Threats
Threats are defined as external environment sections that competitors have the better power of control. Amazon.com is the greatest threat to the FedEx to its new proposed business strategy since it is a step ahead in various operations progress. Amazon is an organization that operates globally with various warehouses, a factor that makes the corporate to have great potential in controlling its logistics and overtake by different services that are accessible through traditional shipping corporate. When other organization that operates through online gets involved in the business, bargaining power will be introduced to clients making FedEx be affected leading to profitability erosion. This makes it essential for FedEx to be an initial innovator of the service in the market before getting involved in a competition where players might be unstable.
Competitive Analysis
Currently, FedEx organization has various advantages and disadvantages in the introduction of the new helicopter delivery services. The main advantage for FedEx organization in designing the business is that there is concrete plan on how the helicopter delivery system will be achieved through designing various strategies and offering enough resources and finances for the process (Hooley, G. J., Piercy, N., & Nicoulaud, B. 2008). Through the advantage, the organization is likely to achieve the target goal although there are various competitors in the market who might start the project before FedEx. Some of the strategies that the organization has designed to achieve the competitive factor in the new market is the target market.
Targeting urban is essential for the service since there are many individuals who live there especially young professionals who desire good, efficient and faster services like helicopter delivery of their products. Through quality and efficient services offering, the majority of customers will be interested in the services, especially due to the affordability of the services through the negotiable price of delivery. Besides these advantages for FedEx on its new product service, competition is the main challenge likely to be faced.
The main and potential competitor for the helicopter delivery service is usually Amazon. Amazon is a logistic organization with various warehouses globally, posing a great threat to FedEx corporate towards its new proposed project. The existing resources for these organizations are normally strong, posing a great threat to market penetration through its unique position for market penetration. Amazon is usually the main rival that can execute the project bring about great challenge top FedEx (Plunkett, J. W. 2009). This factor is considered due to the variety of warehouses the organization has globally and it can dominate the helicopter delivery services faster unlike FedEx. Considering the research, development and head start strategies for Amazon, there is a possibility for them to start helicopter delivery services before FedEx, which is a factor that can harm the project execution, making it essential for FedEx corporate to act faster towards implementing the project.
Some of the organizations that might venture into the business in future are google, through improvement of their drone delivery service to helicopter delivery service. This organization as well has great potential for creating competition into the service market through improving the utilized technology by bringing about new and innovated strategies. Google has enough resources that can help in facilitating these achievements towards improving their competitiveness in the market. Considering these two organizations, it is greatly important for the FedEx corporate to facilitate its plans towards the creation of helicopter service delivery to avoid much of competition especially in marketing and pricing of the service.
Target Market Segments
Before the new helicopter parcel delivery service is designed, it is essential to examine the target customers and the competitor's effort. Conducting a research in order to understand the possible users of the service is of great importance since it facilitates in the target market of the new service. The demographic section will usually be limited since the target market for the service is densely urban zones, begging with United States cities like Austin, Phoenix, Oakland, New York, and San Francisco. The traits of demographics target consumer will have various traits that include central to a higher class, aged 24 to 56, Huge-income-level, and employed professionals (Hooley, G. J., Piercy, N., & Nicoulaud, B. 2008). In most scenarios, the service is designed to serve professional who requires their products quickly in order to perform their duties and mostly in emergencies.
An example is hospital delivery or doctor's material delivery. A healthcare organization might require a certain material for health operation that is needed quickly, making the organization to propose helicopter delivery, unlike truck delivery that in various cases they get stuck in traffic jam leading the product to be late. Through helicopter delivery service, the products will be delivered fast and efficient, leading to faster delivery of physical product more effectively. The service cost will usually be high for most of the customers making the service to be consumed by people with high net salaries and large corporate.
The main importance of psychographics is to help sector the target clients in larger detail through scrutinizing specific behaviors of purchase and individual habit lifestyle. The desire to own a technology that is advanced in various operations is one of the essential psychographic attributes to the target consumers (Plunkett, J. W. 2009). These consumer individuals are regarded as innovators due to the uniqueness of simply technology. It is essential for FedEx corporate to modify its marketing strategies effort in order to highlight the service nature that is advanced to gain psychographic behaviors.
The main target consumer for the service is usually individuals with impulsivity and with a high level of productivity. The use of helicopter delivery service is normally expensive more than utilizing carrier services that are established in urban areas. Besides the cost, it will normally be efficient, faster and easier to utilize, unlike any other form parcel delivery service that can be offered. The individuals who are in great need of their products and services to arrive at them will utilize helicopter service due to the product demand desire. There are different organizations that require this form of business, making it essential for FedEx corporate to start the service for market domination.
Positioning statement
Helicopter parcel service delivery is a new business strategy that will solve various challenges faced by many individuals in logistic sector. Considering that packages will be delivered by helicopter to individuals doorstep, satisfactory will be achieved to customers (Ferrell, O. C., & Hartline, M. D. 2008). High-earning individuals and professional who resides in heavily populated areas are the target market for the service, a service that will be introduced to them through advertisement on magazines, social media, and magazine among other marketing materials towards target market rich out. There are different individuals who desire their products to be delivered faster and easily, a factor that solves various requirements for the customers. Through the new and unique helicopter service delivery and utilization of technology, the organization will remain competitive in the market, a factor that makes the corporate different and competitive in the market.
Conclusion
Parcel service delivery is an operation that is of great importance, making it essential for FedEx to design various innovative and positive businesses to remain competitive in the market. Helicopter delivery service is a new proposed service by FedEx corporate in order to facilitate faster and efficient delivery, making it essential for the service to be greatly boosted towards the achievement of the goals. The service is expected to dominate the market and improve the organization competitive advantage towards the main goals achievement and future advancement of the new business market.