Prince Sports Case Study
They also have to take in to consideration how these changes are going to affect the products and customers they currently have. In 2012 Prince Sports filed for bankruptcy protection due to an increasing decline in sales which resulted from a few different factors, but mainly due to their lack of remaining true to their older products.
A mall problem they faced was their advancement in technology. While It was vital and helped them greatly with staying ahead for certain markets, it also hurt them because of the way in which they handled everything that came before their advancements.
Rather than offering their previous products, they simply made it appear as if customers had to evolve with the company. Not every customer is going to want to use the new technology they introduce and some are more comfortable with what they are used to. While they have tried to keep their young customers in mind, they cannot forget those who have helped them stay In business for so long (Benefit & Gleason 2012). As discussed above, Prince Sports needs to also manage to stay ahead of the curve with technology especially since the competition is rising as interest in tennis grows.
With filing for bankruptcy protection and the constant need to advance, they have to strike a unique balance between past, present and future (Benefit & Gleason, 2012). Essentially, past and present can be combined and then sub-segmented because it is the past customers who are also present customers that they need to watch along with current customers. The same can be said for trends and products. They have witnessed what a mistake It Is to ignore their past progress and simply focus on what is next. While it is important to spend a great deal of time working towards advancement, especially in a market hat is rising.
However, it is very difficult to ignore what brought about all of these changes and what has been working (Kerri, Hartley & Rudderless, 2013).
Another challenge that they may face Includes economic changes. Since, Prince Sports markets their product Internationally, they need to pay attention to the economies of all the countries they distribute to. Significant changes in an economy can greatly change their customer base and needs resulting in new marketing tactics having to be put in place (Benefit & Gleason, 2012).
Prince Sports can stay ahead of the hangers they possibly face if they keep in mind when Linda Glasses said “It’s learning, it’s studying, It’s talking to people who understand where the market Is going” (Peg. 241). In order to stay ahead and take on any challenges that come their way, they need to employ research moments Tanat can Nell teen solve tenet problems Ana come up with new ideas for marketing their products.
Besides using the Five-Step marketing approach, there are specific aspects they should pay close attention to.
As a part of step three, they need to collect data, both primary and secondary. Most importantly, they need to pay extra attention to the data pertaining to the younger generations. With the rising interest in tennis and the increasing accessibility of information, it will be important to know where they relate to the product and marketing. They need to make sure that the data they collect for their research is appropriate and relevant (Kerri et al, 2013).
When looking in to ways to market their products and keep up with trends, it would be best for Prince to consider segmenting.
Looking at what appears to be their different markets, the most important segments for them to focus on are as follows: * Pro-Athletes European * The Youth * Past and Current Customers respectively * Future Customers It would be worth the extra investment of time for Prince to pay close attention to pro-athletes. Their opinions should be accounted for separately because they are a separate sector of customers that Prince Sports supplies for. They are also an important way of advertising, especially if they want to attract a younger customer base.
Knowing that tennis is on the rise, maintaining a positive relationship with athletes is vital. Prince sports also needs to consider the difference in cultures between America and Europe.
More importantly, the difference between the countries within Europe. Watching this segment allows them to consider different prices, marketing tools, which tennis pros may be more liked there and lastly, it allows for them to consider what may be worth introducing in certain areas based on how it works in other areas (Kerri et al 2013; Rudderless 2013).
Another place where Prince can improve their marketing is with the youth, specifically school athletes. Tennis is a sport offered in many schools and Prince has a goldmine of youth that they can target. They can do so by donating promotional posters to schools, hosting vents at schools, donating products to schools, and offering summer camps with tennis pros.
With the pros that they sponsor, Prince has the opportunity to try and use them for further promotions with a summer camp.
By offering the summer camp they can allow students the chance to experience lessons and workshops while also teaching them about the products they are using and what is best for them. The camps can be offered to both privileged and unprivileged children, with applications and scholarships being offered to attend. Also, by offering the camp they extend to offering services as a product (Godson, 2011). While looking for advancement, Prince Sports cannot forget social media. At the moment, it offers an outlet for Prince Sports that they use to stay connected to the growing number of potential customers, especially younger ones.
With the ever growing dynamic of users who work the internet, this is a way to reach a wide-array of potential customers. Social media especially allows them to connect with the younger generation, which has been growing interest in tennis (Rudderless, 2013). In addition to the advertising they accuses, teen could also consoler placing ads Walton games or APS. IT teen Tuna that the cost was worth it, they could also consider creating a game phones (Godson, 2011). However, social media is not the only way in which they can try to stay ahead.
Another way would be to try and sponsor a video game on a gaming console like Nineteen’s WI. They can promote their product and the sport. In addition, they can also consider circulating television ads. They could place ads that focus on the product and awareness. By doing this they could use some of the star power they have acquired over their years in business. Or, they can offer shorter more cost- efficient ads that display what is being offered in select areas during a promotional period (Godson, 2011; Kerri et al, 2013).
Lastly, their constant desire for innovation is needed. They Just need to keep a healthy balance and remember to not forget the products and customers that came before. They cannot rely on Just sitting on the products they currently have and they cannot rely on constantly rotating their inventory with new high-tech products. One way they can attempt to manage this balance is by investing more time to listen to their customers. With the proper research techniques used, they could analyze the wants and needs of their customers and the market of potential customers.
They can do so by collecting both primary and secondary data. Through surveys, social media, panels, internal and external data, they can analyze their findings and come to a proper conclusion as to what would be the best course of action (Kerri et al, 2013). Furthermore, Prince Sports has a relatively good step up on competition even though they have filed for bankruptcy protection. While financially they have experienced setbacks, their markets are seeing rises and they have the resources to dig in to them and create a more secure niche for themselves.
With their history and continuing desire to push ahead, they have the motivation needed to get through the difficult time they have experienced. Most importantly, is that they keep in mind what set them in to that situation even though the interest Just in the U.
S. Grew by 43% (Rudderless, 2013). If they manage to find a balance while focusing on the segments listed and also remembering to not solely focus on the future, then they have a good chance at continuing their dominance in the market. References Benefit, D. & Gleason, S. “Prince Sports Files for Bankruptcy’.
(1 May 2012) The Wall Street Journal.