Executive Summary

SportsArt Fitness specialises in the production of high-end cardio and strength products,

with a strong emphasis on cost efficiency (for both the customer and itself) and being

environmentally friendly. They focus on manufacturing systems that benefit both the

consumer and the environment. A recent example of this is the launch of their new state of

the art Green System, which was launched at The IHRSA Show last March.

This revolutionary new system can save gyms who implement the system on savings of up

to £3000 per year. It’s a simple and cost effective system to use. Each bike or machine is

hooked up to a power inverter, which then sends stored energy back to the power grid. All

the user has to do is simply exercise, which generates the energy that can be easily

converted, stored and reused.

We, M.O.D., have been hired by SportsArt Fitness to come up with a marketing plan that is

focused on the Irish market.

We at M.O.D. pride ourselves on creative, exciting, attention grabbing marketing plans that

generate product awareness and entice new customers to buy into a particular type of

product or brand.

We, my colleagues and I, would like to take this opportunity to thank the executives of

SportsArt Fitness for giving us the opportunity to prepare a marketing plan for the Irish

market. We look forward to working closely with you over the coming weeks.

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SWOT ANALYSIS

Strengths:At present, SportArt Fitness has the only system of its kind in the market (The Green

System). People in general are now more environmentally friendly and focused on cost

savings. A company with a green image, and one which is associated with quality and cost

effectiveness, is a big attraction to a consumer. There is great potential for SportArt Fitness

to establish itself, flourish and grow within the current Irish market. This is a huge advantage

to the company, as it has no direct competitors operating within the market. It’s important to

develop the brand image as soon as possible.

Weaknesses:SportsArt Fitness isn’t an established brand or company within the Irish market. This

means that it is more difficult to attract customers, as the company is unknown. In

order to establish itself and attract customers, SportsArt Fitness will have to spend

heavily on advertising and its marketing approach. So initially, costs will remain high

while the company establishes itself as a brand that is easily identifiable and one that

can be trusted (reputation).

Opportunities:Because it has no legitimate competitors to compete with, this opens up a world of

opportunities. SportsArt Fitness has unquestionable potential. It is an attractive

company and brand to its target market (gyms and gym members). This allows for

the possibility of maximising profits, developing customer loyalty and dominating the

market share.

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Threats:At present, there are no direct threats to the company. It possesses a unique selling point (USP), in that no other company operating in the market can provide or sell an exact copy of the product to its target market. But if they don’t act fast, a rival competitor could enter the market. That’s why it’s so important to create product awareness, a brand image and customer loyalty before a rival enters the market or other companies looks to compete in that particular market. An intense marketing scheme and advertising approach will help solve this potential threat to the company.

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It’s only real threat is that it’s in such a good position, that it could become complacent and lose out on its undeniable potential.

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Market Background:Whilst reviewing the market for gyms in Ireland we focused mainly in the Dublin area. Our

findings were particularly interesting as none of the other gyms offer any services which

relate to environmentally friendly facilities or products.

It is clear that green energy is in a higher demand at the moment than it has been in the

past, this is due to fossil fuels and other alternative sources of energy becoming obsolete

(P24, Sustainable energy Ireland 2008) (figure1.0)

Typically, some people tend to believe that green products are slow, un-trust worthy and too

much hassle to keep up with our busy, fast paced lives. However, we are here to change

that and give green products a whole new rep.

This is a massive niche in the market which we believe we can take full advantage of and

quite possibly be the first gym in the country to change not only the way people think about

the gym, but to also completely change their perception of green products within Ireland.

At the current moment we can see that the green generation is slowly creeping in now that

fuel is costing more substantial rates as the years pass and so is electricity and lighting, this

is the main reason wind turbines have been implemented in various locations throughout the

country and also, the European Commission proposed a new directive on the promotion of

the use of energy from renewable sources on the 23rd January 2008 which contained

targets for each EU member state. Ireland’s target for 2020 is for 16% of gross final energy

consumption (GFC) to come from renewable sources. (P25, Sustainable energy Ireland

2008).

This means that if we can be the ones to begin this trend in Ireland and set a firm foot in the

market, we can take hold of the Majority market share and prevail over future competitors

who aim to rival us.

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Product:

Our company manufactures the pinnacle of high end sports equipment which relates to cardiovascular and strength training which operates under a ‘green’ behaviour. These machines include ellipticals, treadmills, cycles and a wide range of weight lifting machines which are used to increase strength, power, stamina and build body mass.

Our uniquely designed range operates in a green manner by attaching an inverter to our products which harnesses human-generated power from exercise and feeds it back into the power grid as useable energy. This energy can be used for anything from lighting to powering other machines and systems. The power converter we use is reasonably small, roughly the size of a stereo receiver and has a regular 240VAC plug which will be wired securely to the grid for safety purposes.

Each of these pods can generate up to 2000 watts per hour of use. Therefore, meaning that a typical health club in Ireland could save over €3696.00 per year on electricity bills alone. Given the current economic climate in Ireland at the moment I can assure you, this saving will be greatly sought after and appreciated by local health clubs.

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Distribution: IRELAND

BERNARD DELANEY,Managing Director,

Expert Leisure Supplies Ltd.

Unit P10,

Greenogue Business Park,

Rathcoole,Co. Dublin.

Mob: +353 (0)87 2290508

Ph: +353 (0)1 4019774

Website: www.expertleisure.ie

E-mail: bernard@expertleisure.ie

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Objectives and Issues

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Appendix:

Renewable Contribution to Gross energy

Figure 1.0 Renewable contribution to Gross Energy(ktoe) Shares%

1990 1995 2000 2005 2006 2007 1990 2007

Hydro 60 61 73 54 62 57 35.8 15.5

Wind 0 1 21 96 139 168 0.0 34.8

Solid

Biomass

105 89 113 180 183 184 62.9 45.0

Landfill Gas 0 0 24 25 25 24 0.0 2.3

Biogas 2 3 4 9 7 10 1.4 1.4

Biofuels 0 0 0 1 3 22 0.0 0.6

Solar 0 0 0 0 1 1 0.0 0.6

Geothermal 0 0 0 0 1 2 0.0 0.3

Total 168 155 235 367 422 468

Share of

TFC

2.3 1.9 2.0 2.7 3.1 3.1

Statistics from SEI (Sustainable Energy Ireland)

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References:Martin Howley, Dr Brian Ó Gallachóir & Emer Dennehy (2008). Energy in Ireland. Ireland:

sustainable energy ireland. 24.

http://www.sportsartfitness.co.uk/ 27/11/12 19:43

http://green.sportsartamerica.com/greenMission.aspx 27/11/12 19:44

Gyms : http://www.educogymdublin.com/ 27/11/2012 19:20

List of Dublin gyms http://www.gymdublin.com/m1.html 27/11/2012 19:26

http://www.westwood.ie/ 27/11/2012 19:33

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