Context Analysis and Promotional Objectives of Fitness First

Context Analysis and
Promotional
Objectives of Fitness
First

Word Count: 500

William Hanrahan
Student Number: 060953199
6-Feb-08

Context Analysis and Promotional Objectives of Fitness First
    Student Number: 060953199
    William Hanrahan

    Promotional Objectives
    With the background information I have given in this assignment, I have created a
    key objective for Fitness First:

    ‘Increase the number of members aged 15 – 19 by 30% before January
                                 2010’
    It’s a behavioural objective, Fitness First should use more personal selling to develop
    new accounts, this will increase the amount of trials and encourage other members
    to rejoin the club and be made aware of other promotions.
    Prospects are open to offers and promotions of all kinds and the biggest job is to
    publicise them most efficiently.

    Overview of Stages Involved
    To achieve its objectives, Fitness First will employ a pull strategy, with most
    prospects aged between 15- 19 age group, Fitness First could look to become more
    relevant to this group who already perceive them as a young, fresh brand by
    increasing their a presence in schools, colleges and universities. Specifically focusing
    on internet and Face To Face Marketing in order to increase brand awareness.
    The adverts will show the benefits of healthy lifestyles, demonstrated by athletic
    models on golden beaches, giving the consumer the idea about getting in shape for
    summer, having a beach body and that it isn’t too early to start.

    Contextual Analysis - Customer Context
    Population trends by socio economic group are an important influence on ability
    and prosperity to spend on fitness club membership. Consumers from the AB and C1
    socio economic groups are the most likely to use health and fitness clubs regularly.
    Most are light TV viewers so this medium isn’t an effective target, Newspapers and
    Radio is likely to be more effective. This group has most free leisure time and most
    disposable income to spend on visiting a fitness club; they are better informed and
    concerned about healthy eating and benefits of exercise.

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Context Analysis and Promotional Objectives of Fitness First
    Student Number: 060953199
    William Hanrahan

    Prospects include a third of all adults and this may be the best compromise for the
    marketing plan target. This will also reinforce current member’s beliefs and help
    create loyalty. Prospects aspire to use a fitness club at some point in the future. Two
    thirds are lapsed users and may consider doing so again. Prospects include those
    within the 15- 19 year old age group with financial commitments acting as a barrier.

    Business Context
    Fitness first clubs target the affordable fitness sector of the market, they don’t
    feature the facilities associated at the premium end of the market such as a
    swimming pool or restaurant, and this is reflected by competitive pricing including
    off-peak membership and low joining fees. Mintel categorise the standard user of a
    club like Fitness First to shop in Marks and Spencer’s or Sainsbury’s, I find this
    interesting as recently I was approached by a sales rep from Fitness First in
    Sainsbury’s offering free week trials. This is an effective way of influencing prospects
    to join and in my eyes, it improves their reputation, it makes the public more of
    aware of the Fitness First brand.
    Increased competition between operators has encouraged lower levels of loyalty
    among members by offering incentives to attract members. Fitness first could look
    to see if they can reward loyalty for extended membership.

    Internal Context
    Fitness First is the largest club operator in the UK in terms of number of sales and
    number of members. In the UK, the company has continued its steady expansion
    while focusing more attention on improving performance and profitability. The
    culture at fitness first is stated on their website ‘Every single Fitness First member
    counts’. They put their success down to their ‘biggest assets’, the management, staff,
    instructors and trainers. They mention that in return Fitness First gym has created a
    business that supports its gym and employees and talents of everyone and rewards
    outstanding performance.

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Context Analysis and Promotional Objectives of Fitness First
    Student Number: 060953199
    William Hanrahan

    External Context
    PEST analysis is an effective way to analyse external impacts on the product. This
    requires examining political, economic, social, technological environments

    Political
    Government policy has potential to influence the market, specific initiatives could
    benefit the industry but there’s also a broader push on the part of the government
    to try and promote healthy eating and exercise, possibly resulting in more people
    seeking gym membership.

    Economic
    Factors such as utilities prices and wage rates will affect numerous aspects of the
    company, Fitness clubs costs will rise and members may need to prioritise their
    spending as cuts are made on their disposable income, especially in the prospect
    group.

    Social
    Lifestyle factors such as growth in convenience foods and home entertainment have
    resulted in more sedimentary lifestyles, consumption levels of alcohol are rising
    which will effect gym participation and subscription. In today’s celebrity culture
    there’s lots of pressure to look better and have better bodies; this has influenced the
    levels of people who want to improve themselves.

    Technological
    It’s important that the Fitness Club have up to date machines to compete with
    others and satisfy the needs of the members. Fitness first use technology to target
    the public in an effective way, text messages with special offers and online free trial
    vouchers.

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Context Analysis and Promotional Objectives of Fitness First
    Student Number: 060953199
    William Hanrahan

    Opportunities
    Prospects said they’d be encouraged to join a health club with a doctor’s
    recommendation, there’s an opportunity to get GP’s to play a more active role in
    the market.
    Women aged 65+ gym membership is high compared Men 65+, I suggest an
    opportunity for Fitness First would be concentrating on a joint membership scheme
    and encouraging Women to get their partners to join them.

    Threats
    There is a potential threat from the new format of ‘No Frills’ gyms, they are basic,
    low cost and can have low membership, and it’s also possible other activities are
    competing with gyms for example the Indoor Ski runs
    Another threat is that from the high street stores, as cost of machines come down,
    people can buy equipment to use at home.

    Bibliography of sources used
    Fill, C. (2005) Marketing Communications. 4th Edition. Prentice Hall
    Fitness First Website (www.fitnessfirst.co.uk)
    Mintel. (April 2005) Health and Fitness Clubs. 2nd Edition.

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