Construction work consists of practical, theoretical, and applied stages to formulate a clean project. In the theoretical stage, internet sources and first-hand information is utilized to gather information. After that, descriptive emails are used to interview targeted project managers, companies, and design professionals. The formulation process leads the ideology in materialization because if it passes all the stages, it is fit to start producing the hybrid trunking system. The marketing plan will conclude and review the effective matrix to be followed by the new product.
The product aims to replace the already existing trunking systems in the market. Many companies have developed the product, but it has not been perfected. The company’s scope is to build trust with customers and ensure the product gets a long-term supply. The brand of hybrid trunking system will contain amalgamated plastic and metal components. Other trunking systems are aluminum-made trunking, plastic-made trunking, or PVC trunking system. All the available trunks are made of materials that do not meet the current market structure. Technological advancements make plastic trunks to be unsuitable in places such as skyscrapers and underground installations. The plastics wear out easily, while the Aluminum can electrocute people. The PVC trucks wear out faster hence making the hybrid trunking system seem durable.
In the current century, people are looking for durable products that can withstand the global effects. Value for money is the main spectrum, and no company has ever thought of advancing their trunking system materials (Segijn & Ooijen, 2020). The product will be channeled to many competitive businesses and stocked with versatile products. Customers will place their orders, and the delivery agreement will ensure the elimination of middlemen to enable the product price to stagnate. Once an order has been made, the logistics department will quantify the product and deliver it to the user.
The product targets builders and construction companies because it is used in their area of specialization. Project managers will be contacted using a sampling strategy to advise their contractors on the available hybrid trunking system. Every office, hospital, and hospitality vicinities need a trunking system. Some have changed their trunking products, but they have not seen any change. To make such organizations believe in the new product, some hybrid trunks will be given at a lower price. The offer will last for the first 6 months to gain public trust. Since the product is new globally, the company will form partnerships with cable companies and internet providers. Whenever they install power or internet in buildings, they use the hybrid trunking system for sealing purposes.
PESTEL analysis is used to examine key macro-level components that can impact the business and its activities. The results of PESTEL analysis can be used to make a SWOT analysis to identify the strengths, weaknesses, opportunities, and threats that a hybrid trunking system will have in the business environment (Key & Czaplewski, 2017). The analysis aims to understand the bigger picture that the product has in the business environment.
The political structure of a country determines the extent that the government intervenes in an economy. The interventions include foreign trade policies, political stability, labor, and environmental laws, tax policy, and trade restrictions (Key & Czaplewski, 2017). Political factors affect the business environment and forms of adaptability in terms of legislation. The US is a competitive nation with a strong political structure. The hybrid product stands a better chance of thriving and going beyond borders. American has trade agreements and consortiums with almost every country in the world (Christina et al., 2019).
The partnership formed by the political leaders makes the product penetrate more and trade easily in the international spectrum. The freedom of trade agreements makes it easier for the company to have international customers and easy clearance from foreign countries.
The law proposals of the US provide an enabling environment for a new product to be launched. The stability in the country makes a remarkable field for the hybrid trunking system as a product to pose competition with other PVC and plastic trunking companies. Since it falls under the electro-technical industry, the parliamentary term insinuates that such companies should be given tax holidays more so if they are new (Key & Czaplewski, 2017). The tax holiday plays a crucial role in strengthening the ties that the product can form. Being a new product, the US encourages such innovative ideas to be registered, and new entrants will be charged because of cloning. The cloning taxations discourage new companies, both local and international, from destabilizing the hybrid trunking system company from facing unfavorable competition.
Factors such as interest and exchange rates, economic growth, inflation, disposable income, and government interest rates determine a company’s chances to survive. The American GDP has been on the rise since the 2008 economic recession. Manu international companies have invested in the US, and local companies have been able to thrive. With the unique hybrid trunking product, the company will thrive and become a bigger company within a decade. The construction industry has experienced uplift, and this is where the hybrid trunks come in handy. Other partnering countries in Europe, Spain, Portugal, and many parts of the African continent have increased the rate they import construction commodities. The existing trunking products are highly demanded. The hybrid trunking products will take over the demand once it has been released.
The shared attitudes and the population effects enable the company to understand the motives behind the customers. Cultural attitudes determine the variables of the marketing perspective, and people within the US trust their products (Segijn & Ooijen, 2020). Many construction companies within the US are given various tenders because contractors trust their population in terms of experience. The project managers’ use locally produced products which means that the hybrid trunking product will be accepted easily. Globally, many contractors believe in products manufactured in the U because they meet minimum required standards. Based on this fact, the hybrid trunking product will have better market analysis because it is produced in the US. Secondly, the product is unique since it is durable, anti-rust, and does not conduct electricity like the aluminum trunking system.
Based on the market analysis, many people prefer a quality product that ranges from similar products in terms of price. A hybrid trunking system will be cheaper compared to PVC and aluminum trunking products. Given that the product is more durable than PVC and electricity resistant than Aluminum, it will be regarded as a quality deal. The price and quality ratio is important when a new product is launched.
A company is distinctly scrutinized based on three main technological factors. These are product durability, distribution modes, and media communication to the targeted audience (Lasi & Salim, 2020). Technological advancements in the US will enable hybrid trunks to fit into smaller spaces. Many companies will rethink replacing their old trunking systems with new innovative ones because of the technological advancements. Functional upgrades with quality raw materials will make the product design look sophisticated.
Furthermore, quality products from the organizations can be customized to fit in the contractors’ type of color or organizational logo. Customization will enable the buyers to go for a hybrid trunking system that will save their time and funds for painting after installation. The delivery technique will be based on the quantity bought, distance to the destination, and urgency.
Ethical business outlook and sustainable sourcing in the distribution chain can grow consumer demands for the new product. Any form of pollution sets the government on high alert about a specific company because of global initiatives to reduce greenhouse effects (Lasi & Salim, 2020). Consumers are aware of the effects of pollution, and the new product will certainly be processed under close monitoring by green technology (Christina et al., 2019).
The industry will manufacture and design it using solar power and wind energy. All the gases emitted during the manufacturing process will be filtered before being released into the environment. The construction industry is becoming more efficient in terms of using long-lasting and convertible products. Since the product can be customized according to the building design, many contractors will find it better to order a pre-fitting product to reduce the rate of material loss during the cutting and fitting process. It will save the finances that go to waste due to product wastage. The existing companies manufacture products that are the same in length hence making the fitting process wasteful.
Future constructions need raw materials that are durable, sustainable, and recyclable. The hybrid trunking system products will synchronize with futuristic ideologies and fit in the ecological design for the wellbeing of the construction industries. The life cycle of other similar products is around 10 years. The new product has eternity because the combination of plastic and Aluminum results in anti-rust products.
The potential customers, once the product has been launched, are the people within the construction business. The same person can be the initiator, user and play a role as an influencer. Multiple people can possess the role, and the brand can have a chain of users. The customers with purchasing power can pass the publicity through people who visit the construction site (Payne et al., 2017). The good thing with the hybrid trunking system products is that most are installed where most people can view them. Many clients that visit the vicinity can see the product and seek guidance on where to get it. The roles played by different people in various organizations will improve the outlook of the product. Customer penetration is dependent on getting the right people to get interested in the product. Everyone is a potential customer because they need a roof over their head. Homes and offices need the product to seal their internet cables and wiring network.
Marketing Channel Analysis
The company will use newsletters for customer magazines, online tutorials on using the product, and run television adverts. The positivity will be enhanced when the company’s reputation takes course (Santosh & Patil, 2020). The suppliers and partnerships with cable companies will channel the distribution of the product. Advertisements will enable the company to increase its visibility within the US. The diversity of online ads will enlighten the market channels of wholesalers and create awareness of the company’s products overseas (Payne et al., 2017). Since it is a new product, the organization can use direct marketing to influence targeted clients to purchase the hybrid trunking systems.
Distribution channel analysis
Distributing goods to multiple channels with several systems depend on the stock situations, branding strategy, and logistics use. The company will distribute the new products when an order is placed. Depending on the location of the person or organization ordered, the logistic product means will be chosen based on locality and geographical orientation. For instance, if the person is overseas and the hybrid trunking systems are needed urgently, the company will use a cargo flight. If the project manager is within the pickups and trailers can reach, then it will be the means used to transport the products.
However, whenever there is a bigger demand within the US, the company will set up a plant or depot to store the hybrid products to be availed whenever needed within a short time. The company will contact international logistics shipping companies to form partnerships to various destinations in Africa, Asia, and India as a pilot internationalization formality in various places such as hardware, wholesale places, and construction companies.
To understand competition systems, it is fundamental to assess market definitions, forces in the market, and dynamics of evolution. So far, no company has provided the hybrid trunking system or anything closer to customizations of the products. Elettrocanali Company supplies plastic trunking systems that are white. Whenever a building is of different color, its products are repainted. Busbar Company is another competitor, but they manufacture Aluminum and PVC trunking systems. Therefore, the hybrid product is a new venture that has no competition. All other overseas competitors produce their trunks in aluminum, plastic, or PVC materials. Such products have a shorter life span or rusty trunks. The forces of competition emanate from the bargaining power of the buyers and suppliers and substitutive technologies from new entrants. Based on the competitive analysis, a hybrid trunking system stands a better chance of making locally and internationally profits.
The marketing strategy of a new product must be done with precision. An effective marketing mix supports the product in having a strategic position amongst other competitors. The internal communication system must aim to be the biggest within the US. After that, it can move into being an international product. Since the hybrid trunking system is a new product, the organization will sell it at a lower price. Once clients trickle in and deviate from other competitors’ products, leveling the product price with others will be ideal. The main aim is to erode the market and gain more customers (Santosh & Patil, 2020). It is through public trust that the new product can get the necessary attention it deserves. People will try it out because it is cheap, only to realize that it is durable and customizable.
The structure of the hybrid product is new to the market. The product has durability, and it improves resistance because it does not rust. The body is steadier than a plastic or PVC trunking system. Therefore, it places the company at a competitive advantage over others. The color customization and design attention has been done to place it under high-profile constriction goods. As an accessory to complete every installation done after completion of the building or structure, it lowers the installation fee because it comes customized as the project manager or building contractor needs. It integrates with other paints well, and the components of the hybrid trunking system are suitable for every form of insulation.
Contractors value timely delivery of products on-site to reduce time wastage. The logistic department will ensure that whenever there is a placed order, the customer places their desired delivery time. This will enable the company to gauge the best means of transport to be used. It will also make the company look organized in terms of distribution designs. A hybrid trunking system will be posted online for ease of locating them. Online marketing strategy enables major influencers and decision-makers to compare the hybrid product with other types of trunking systems materials to place an order. The product can be influenced through search engine optimization techniques.
The production cost of the hybrid trunking system is low in the US because raw materials are easily found. The US is known for quality products at a low price; hence the organization stands a better chance of getting an international outlook once it is publicized. Gauging on competitors’ prices, hybrid trunking systems are priced lower, but the price can be hauled to achieve its market position after some pre-determined time. The lower pricing after launching is to enable the company to get the publicity it requires. Equally, the company can use different strategies to strategize its market price. For instance, the company can welcome different customers to quote the prices during negotiation to find the average market pricing that can be functional in the market.
The use of traditional marketing channels will be a complete waste of time and resources. Developing the brand or logo of the product that differentiates it from other similar products is paramount. Associating the brand logo with the country of origin will enable the product to achieve a bigger mileage whenever international consumers access it. The company can place a manual in its packaging that contractors, wholesalers, and other organizations can use to contact the company directly. Product catalog can be distributed to various wholesalers so that anyone who does not know about the new hybrid product can think of using it. The company will register t official accounts on social media because it can enable the users to understand how unique the product is. Social media can advertise the new product and provide insights to the customer on the modes of installing it through video tutorials.
Whenever a new product is launched, the company faces many hiccups. The uniqueness of a product gives it a direct link to accessing potential users. Natural growth and multimillion turnover are possessed by using new information and setting up a goal on modes of getting the right public image. It is fundamental for a company to use radical marketing strategies to publicize the hybrid product and ensure its customers get the utmost satisfaction. Customers are the only people who can rate the product as first-hand people. Therefore, the reviews posted back to the company through the online platform will attract new potential buyers.
The company must establish social media channels that help new and old customers seek guidance or insights. The customization of a hybrid trunking system is a new technique used when the architect provides the map of the structure being built. Customization enables the company to help project managers and contractors to reduce wastage of resources amounting to random cuts and fitting procedures.
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