Marketing Report on Pure Gym

Assignment Questions (CASE) Pure gym, a lean gym operator, is the UK’s largest health and fitness provider. In 2015 the company acquired LA Fitness and has a total of 930,000 members across its 176 gym sites in the UK. Pure Gym focuses on creating good gym work out experiences, removing extras such as saunas and steam rooms and introducing affordable membership with no contractual commitment (Hardy, 2017) The gym offers 21st century consumers flexibility through its pay-as-you-go model. Memberships are sold solely online, making it easy and accessible for customers to access subscriptions at the press of a button. Continuously focused on innovating, Pure Gym experiments with virtual fitness classes, which can be made available to users on demand, or on a timetabled basis. In 2016 Pure Gym expanded significantly, opening sites in shopping centres and retail parks across the UK. Expansion remains a priority for the business, with plans to open an additional 20 – 25 sites by the end of 2017 and up to 300 gym sites in total by 2020 (Kilgannon, 2017). Scenario As a newly joined marketing assistant of the Pure Gym marketing team, you have been asked by the director to write a report addressing the following task areas: (Word counts below are indicative) Task 1: Marketing orientation (LO1) a. Describe the selling and marketing orientation concepts (150 words) b. Pure Gym uses the marketing orientation approach in business. Explain the benefits of this approach versus other concepts. Please provide examples of how Pure Gym demonstrates they are taking a marketing orientation approach. (200 words) Task 2: Marketing environments (LO2, 3) a. Describe marketing environment analysis and discuss why it is important for Pure Gym prior to setting a marketing strategy (150 words) b. Using secondary research identify two (2) macro environmental factors that impact Pure Gym’s marketing decisions. Discuss whether these factors create marketing opportunities or threats for Pure Gym (150 words) c. Discuss two (2) factors in Pure Gym’s micro environment that should be monitored (150 words) d. Using secondary research identify and explain two (2) internal environmental factors that could be considered as strengths in Pure Gym’s operation, from a marketing perspective (150 words) Task 3: Marketing strategies (LO3) The Marketing Director has announced a new objective for the company: To launch six (6) youth gyms for 13-19 year olds in London, by April 2018 a. Discuss the importance of market segmentation in planning a marketing strategy for Pure Gym (200 words) Task 4: Marketing mix (LO1) a) Using the 7ps, Identify and describe Pure Gym’s current marketing mix ensuring you provide detailed descriptions (350 words) b) Propose a revised marketing mix (covering all the 7ps) for the launch of the six (6) youth gyms in London. Memberships will be available to buy from the Pure Gym website (think about the areas of the mix that will need to be changed and explain the reasons for each change) (350 words) LEARNING OUTCOMES At the end of this module students will be expected to be able to: 1. Identify and explain the marketing concept, the marketing mix and the components of the marketing communications mix. 2. Explain the relationship between the marketing environment, its impact upon organisational decision making and consumer behaviour. 3. Discuss the factors that determine competitive advantage within organisations 4. Explain key theories, concepts and models underpinning business communication to create effective communications.