Jump O Line Trampoline Offers example essay topic

Recognizing the increasing rate of obesity in both children and adults Effortless Innovations, was founded with the goal of decreasing the obesity rate of both children and adults by providing quality exercise equipment for both children and their parents that promote physical activity both indoors and outdoors. Due to the recent increase in the popularity of video games, our company is forced to compete with them in order to make our products more appealing to our target market. It is a trampoline that is surrounded by a protective covering to prevent accidental injury. The jump-o- line also has a care counter as well as a CD player featured on the side so that you can keep track of how much fat you are burning as well as have music to entertain yourself. The jump-o-line is available in different sizes the standard being 12 foot but 10 and 14 foot also available.

We would be targeting parents as well as children. The jump-o-line would be to promote parents and children exercising outdoors together. We would try to make this product as affordable as possible in order to encourage its usage by people from every economic background. One demographic factor that we are taking in to consideration is age; the group that we are targeting is children ages 8-13. We would be targeting the southern and western states because of their warmer climate, which makes our product ideal for outside fun for the entire family. Children and Parents are increasingly overweight; this would promote physical activity as well as encourage parents and children to play, interact and exercise together.

Consumers of all races as economic classes could benefit from this product. However, we would be targeting the individuals and families in the working class. The trampoline is a product that is already in existence but we believe that with a few minor changes (CD player and carbohydrate counter) the Jump-o-line will boost the popularity with children. The major competitors to the Jump-o-line are the other trampoline providers such as: 1.38" Mini Trampoline available at Goods and Deeds for $29.992. Jumping 15' Trampoline and Trampoline enclosure available at Elite Deals for $549.953. Land Trampoline 12'available at KB toys for $199.994.

Trampoline plus Enclosure Combo available at Jcpenney for $299.995. Gaiam Trampoline- Yoga Yoga Gear available at Wal-Mart for $99.95 All of the current competitors sell the idea of fun and excitement. However, the Jump-o-line offers much more and in some cases a more reasonable price. GROUP NAME believes that the Jump-o-line will take over the industry by making the trampolines in existence now unwanted and outdated. Product analysis and positioning-Jump-o-line trampoline offers a built in CD player and carbohydrate counter. The Jump-o-line is offered in 10, 12, and 14 feet.

Target market 8-13 yrs The Jump-o-line will be advertised across the United States. However, it will target the southern and western states year round because of the warmer climates. Jump-o-line will be advertised in the following locations: 1. Magazines 2. Newspapers 3.

Television commercials Jump-o-line will be sold in the following locations: 1. Toys R Us 2. KB Toys 3. K- mart 4.

Wal-Mart 5. Target Effortless Innovations plans to position the Jump-o-line in places where other trampolines are already offered. By doing this Effortless Innovations plans to draw the attention away from the other competitors by offering much more for you money. As always, we depend on newspaper advertising as our main way to reach new buyers. As we change strategies, however, we need to change the way we promote ourselves: . All advertising has to emphasize the differentiation point rather than price or straight-on price-only competition with the chains.

We " ll be developing a 'now what do you do' message to build up the target market's need for an information technology ally as opposed to the large chains reputation as box pushers without support or service behind the products... Our collaterals have to sell the company, not the product. Why work with Effortless Innovations? We must radically improve our direct mail efforts, reaching our established customers with training, support services, upgrades, and seminars...

It's time to work more closely with the local media. We could offer the local radio a regular talk show on fitness equipment for small business, as one example... We need to sell the company, and the product. We sell Effortless Equiptment, not the Jumpaline... We have to sell our service and uniqueness. The product is like the razor, and the support, training, and seminars are the razor blades.

We need customize are product to what they really need. The Yearly Total Sales chart summarizes our ambitious sales forecast. We expect sales to increase from $1.3 million last year to more than $5 million to more than 10 million in the last year of this plan. For Financial graph details see Appendix I. The important elements of the sales forecast are shown in the Total Sales by Month in Year 1 table.

The product sales increase to about $7 million total in the third year. See appendix 1.2 for graph Unit Cost Forecast Unit Sales 2005 2006 2007 Jumpaline 1,000 1,100 1,310 Business Special 1,312 1,443 1,587 Service 2,006 2,206 2,427 Product accessories 1,006 1,807 1,688 Other 1,219 1,941 1,732 Total Unit Sales 6,543 8,497 8,744 Total Unit Cost $23,784 The Exercise and Fitness Accessories market now accounts for about 61% of industry sales. Posting an increase of 9% over the previous year, the consumer market for exercise equipment generated retail sales of $55.3 billion in 2003. Today's exercise market is experiencing dynamic growth as consumers buy exercise and fitness products for the physical improvement of themselves.

The 2000 Exercise and Fitness Accessories Report provides industry sales, analysis of distribution and growth for the five major segments of the exercise industry: Equipment, Medical Advancements, Techniques / Proper Procedures, Supplements, and Dietary. This comprehensive study examines in detail the dynamics of specialty exercise retailer. The Exercise and Fitness Accessories market predicts the future of the market is positive for the next several years. In 2003 the top-selling segment in the fitness industry was Home Exercise Accessories, which garnered $14.9 billion in sales, a 13% increase, up from $13.2 billion in 2002.

It seems that consumers are returning to the home, craving products to enhance the quality of their exercise routines that cater to their busy stressed lives. Consumers want products that provide comfort to them. Products satisfying this consuming need, such as Jump-O-line. Five percent of the exercise vendors reported changing their target audience. There was also a movement away from the general audience and toward specific niches such as young sports-oriented audiences. There was also an expanded interest in the Teen / tween markets.

However, the majority of vendors, 81 percent, still focus their products on the age group of 18-35 years old. The teen / tween were targeted 33 percent of vendors and Despite gloomy economic predictions, 78 percent of exercise vendors expect 2006 sales to increase over 2005. It goes without saying that our slowing economy means less disposable income, which means that prices are more important to the consumer than ever. However, the Exercise & Fitness survey reveals that a majority of the vendors of social / business expect fitness prices to increase this year, hinting that the demand is big enough to carry a price hike. Jump-O-line will be patronized primarily by the 37% percent targeted customer base that lives within the 7 mile radius of the store's location. Jump-O-line will follow the industry standard in that they will service more than one demographic group but will primarily target the ages 18+ females.

There are three real sources which support research supporting Special Occasions plans. Primary research is data from Unity Marketing's 2004 Exercise and Fitness Accessories Report. Secondary research data is from the Exercise & Fitness Accessories' research department and thirdly research and analysis of demographic data of the target market from private and public reports. Marketing Mix Decisions: Promotion: The main aspect of promoting the Jump-o-line will be through advertising, specifically through television and magazines. We plan to advertise on both cable and non-cable television channels. A couple of channels that will be heavily impacted with our advertisements will be Nickelodeon and Cartoon Network, these two channels are assumed to have the highest volume of children viewers.

The more children are aware of this trampoline existed, they will most likely ask their parents to purchase it for them. Also, channels that show any kind of cartoons, or children viewing will be advertising heavily of the jump-o-line. It is also for the parents to be aware of this product and advertisements of the jump-o-line will be on those respected channels as well. The next means of promotions will be through magazine advertisements. We will try to aim at the children and adult magazines such as Nickelodeon, Sports Illustrated for Kids, magazines of this nature to increase consumer awareness. Internet advertising will also be a factor in the promotional phase of the jump-o-line, mainly internet sites that have a high volume of children visitors.

Place: One aspect of product placement will be all major stores including Wal-Mart, Target, Big K, Sears, and stores of this type. Another placing of the product will be through the internet (web). This website will also serve as a product knowledge headquarter for questions and concerns for the product. Pricing: Suggested Retail Price- $400.00, cost involve include: -Trampoline-Carb counter-Safety Net-CD / Player Product: Trampoline that consist of built-in care counter, safety net, and cd / radio player Sales Channels Selected: Kids Television Stations: -Disney channel-Cartoon Network -Nickelodeon Parents Television Stations: -ESPN-Spike TV-NBC-CBS-WB-Fox-Lifetime-Oxygen Magazines: -Sports Illustrated -Sports Illustrated Kids-Shape-Fitness-Nickelodeon-Men's Health Stores: -QVC-Sporting Goods Stores-Sharper Image-Brooke stone-Toys R Us The store will be located on U.S. 1 (Two Notch Road) between Sparkle berry and Brickyard roads, the heart of Montclair, New Jersey.

It is anchored by Ashley Rose gift Shop, a day care center, dine-in and fast food restaurants. The shopping plaza is quaint with a unique style that captures your attention when passing by. Total leas able space 2432 is square feet with 2 sets of display windows flanking two entrance doors. Display windows are in acceptable condition with partial view of displays placed in the windows.

Track lighting will have to be installed over display window and throughout the store front. Approximately 200 sq ft will be allotted for 1 office, storage and rest room facilities. The remaining 1016 square footage will be allotted to the store front. There will be a customer service desk that is approximately 12 x 6 sq ft in the center of the storefront.

Additional sq. footage will be allotted to the product line. The shopping center has adequate parking spaces which accommodates the businesses in the center. No shipping access. Supplies are received at the front door. 1-1/2 Years Will allow Lessee 1 month occupancy prior to start of rent payment Hanging of slat wall Painting of slat wall Signage Jump-O-line Hours of Operation are as follows: Monday - Friday 10: 00 a.m.

- 6: 00 p.m. Saturday 10: 00 a.m. - 2: 00 p.m. Sunday Closed Hours will be extended during the holidays. Extended hours will be determined by customer response. Additional days closed include: Christmas Day, New Years Day, Thanksgiving's Day, and Easter.

Jump-O-line is an equal opportunity business that will actively recruit high school / college students, personal trainers, and / or dedicated salespersons for our work force. Initial staffing will follow the schedule that follows: Jump-O-line realizes that monitoring of expenses and sales are critical to the success of any business. Therefore, records of sales as well as, a perpetual inventory will be maintained via the CAM Point of Sales Software. Additionally, the accounting and payroll activities will be maintained using the Quick Books Pro software.

Both software programs are capable of generating an array reports that will provide information regarding financial management, cost containment and status of operations. Jump-O-line is owned and operated by Barrett A. Jackson. Barrett has worked in various management positions throughout his career in the I institutional Management sector of the healthcare industry. Although new to retail Barrett has successfully managed six figure budget operations, as well as, planned and orchestrated many social events. Barrett Jackson will be responsible for managing daily operations of the store. She will complete all employee schedules, ordering of stock, conducting and maintaining inventory, hiring of prospective employees, training of newly hired employees, banking, completion of all reports, and maintaining records of orders.

Candace Smith is a graphic designer and sister to the owner. Candace has an impressive portfolio and is presently serves as a graphic designer of Public Information at Bessemer State Technical College in Bessemer Alabama. Candace earned a B.A. degree in Psychology at Alabama A&M University. She completed the Graphics and Prepress Communications Diploma program at Bessemer State Technical College with a 4.0 GPA. Her present job duties and responsibilities include the layout and design of the Jump-O-line. Candace will assist with layout and design of any fly ers / brochures and / or literature developed for Jump-O-line.

Brooke Ellis an accountant will oversee finances of the business. Salaries, consultant fees and sales representatives pay rates are as follows: Position Hourly Rate Monthly Salary Annual Salary Manager / Owner $8.00/hr $1,300.00 $15,600.00 Consultant N / A N / A $0.00 Graphic Artist N / A N / A $0.00 Sales Representatives $7.50/hr $1,300.00 $15,600.00 Total Annual Compensation: $31,200.00 In order for Jump-O-line to successfully commence operations, $92,770.00 in start-up funding will be required. The owner will contribute $20,000.00 of her own personal funds and is seeking financing for the remaining $72,770.00. The tables and graphs that follow, i. e., Sources and Uses of Funds, Cash Flow Analysis, Profit and Loss Forecasts and provide data that support the fact that this business will be both successful and prosperous. Appendices 1.11.

00$31,200.00/yr in Payroll 1.4 Table of Contents. SALES MANGEMENT PLAN 11. THE COMPANY AND ITS PRODUCTS A. The Product. MARKET SEGMENTATION. CUSTOMER PROFILE IV. INDUSTRY ANAYLSIS A. Product analysis and positioning V. PROMOTION STRATEGY VI.

SALES STRATEGY VII SALES STRATEGY. V SALES FORECAST IX THE ORGANIZATION A. Current Status & Prospects B. New Markets & Customers C. Pricing D. Principal Customer E. Market size trends F. Pricing. THE OPERATING PLAN A. Location XI. IMPROVEMENTS XII. STRATEGY & PLANS X. LABOR FORCE XIV FINANCIAL MANAGEMENT XV SALES TEAM A. Key personnel A. Compensation & ownership A. The Financial Plan XVI. APPENDIX.