Prince Sports is a company that aims at improving its sales through innovation. The company has managed to substantially increase its sales over the years and intends to increase its market segment. That is possible due to the increase in the popularity of tennis. Increasing popularity of tennis provides the company with an opportunity to expand its market even though the company must be ready to compete with its rivals.
The company has a number of environment factors that are working to its advantage. Technology growth and the emergence of social media have enabled the company to reach young people as most of them use social networks on a regular basis and can be reached by an advert placed in any of the popular social networks (Kerin & Hartley, 2013). Technology has evolved enabling the company to produce better products. These products suit diverse needs of different types of tennis players. Economic element such as increase in purchasing power of its targeted market segment is an advantage to the company. More people can afford to purchase its products, thus increasing company’s sales volume. Competition among sports products manufacturers has pushed Prince Sports to the limit. In turn, it has led to the company adopting an innovative strategy to stay ahead of its rivals. The company has managed to produce high quality products that portray the innovative approach of the company (Kerin & Hartley, 2013). Prince Sports has created a unique brand in the market, which has increased the demand for its products. Regulatory factors can work to the advantage of the company as well. Since regulations that require tennis to be a compulsory sport in all institutions of learning, the demand of its products as these institutions will increase in order to meet these regulations.
Social factors can work against the success of Prince. It can happen due to the increasing tendency of people to spend their time indoors preferring to watch movies, chat with their friends and family in social networks, and play computer games. That implies that the number of people whom Prince could rely on to purchase its products will continue to decline. Computer games are very popular among young people. These are people who would spend their time playing games such as tennis and badminton just a few years ago. The economic standards of most people have not completely recovered from the effects of the global recession (Kerin & Hartley, 2013). Consequently, many people may not have enough money to cater for their daily expenses and also purchase luxury products. That affects the growth of the sales of Prince Sports products. Technology has created options for leisure activities that have substituted physical activities such as playing tennis. Social networks and video games are products of technological advancements that have reduced the amount of time people spend on engaging in physical activities. Regulations requiring products to be of certain material standards may also affect the success of Prince Sports because the company may be forced to use expensive materials in product manufacturing. That in turn will drive its prices upwards, thus affecting the demand. Price control regulations may also affect company’s success as the company may not be free to set affordable prices that will result in good profit margin (Kerin & Hartley, 2013).
Prince Sport can increase the popularity of tennis by engaging in extensive marketing of the game. That can be done by organizing tennis tournaments and then publicizing them in the media and social networks. It will increase the popularity of the sport and increase the number of people participating in the sport. People love certain sports such as basketball and American football. However, that can be changed if tennis is introduced to different schools and people are encouraged to participate in the sport (Kotler et al., 2007). Young people easily change their preferences if they are motivated and encouraged enough.
Prince Sports can reach out to recreational players by initiating tournaments targeted at them. This initiative will bring these players together and increase their love for the sport. Marketing these tournaments can be done through social media, which is a very popular and a cheap way of advertising such events. Bringing these players together can serve as an opportunity for Prince to market its products and also increase the popularity of tennis as a recreational sport (Kotler et al., 2007). Junior players can be reached through school competitions as most of them are students in high schools across the country. Rewarding the best performers by giving them Prince playing gear would be a great motivation, which can increase the popularity of Prince Sports products and the game of tennis.
Prince will need to increase its marketing activities in order to increase the demand for its products and encourage mass merchandisers to stock them. The company should also sell its products at competitive prices, which will enable it to compete with the rivals and increase the demand for its products. The company can also sell products at prices that will ensure the mass merchandisers make a good profit (Kotler et al., 2007). Such activities will encourage mass merchandise sellers to market Prince products so that they can make huge sales and make more profits. Specialty tennis shops can also be won by applying the same strategy used to encourage mass merchandisers.
Prince should identify countries where tennis is popular and is growing at a sustainable rate. That information will provide a huge and sustainable market for its products. The company should identify countries where the government is embarking on campaigns to popularize tennis. Using available data to determine the effectiveness of the campaigns, the company can decide on venturing into the market. Countries where tennis is very popular include Spain, France, Argentina, and Serbia. These are countries that Prince can introduce its products and with aggressive marketing strategy gain a substantial market share (Kerin & Hartley, 2013). Aggressive marketing through social media and print media can reach a huge audience, which can market the products effectively when coupled with adverts on television and other promotional activities.
Kerin, R., &Hartley, W. (2013).Marketing (11thed.). New York, NY: McGraw Hill.
Kotler, P., Brown, L., Adam, S., Burton, S., & Armstrong, G. (2007). Marketing (7th ed.). Frenchs Forest, N.S.W.: Pearsons Education Australia.