Marketing Report - Lorenzo Final v4

Marketing Plan for Lorenzo

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Lorenzo Marketing Plan

2012


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Contents

1. Terms of Reference………………………………………………………………………………..4

2. Executive Summary……………………………………………………………………………….5

3. Business Mission…………………………………………………………………………………..7

4. External Marketing Audit……………………………………………………………………….8

4.1 Macro Environment –PEST Analysis ............................................................................................... 8

4.2 Market Analysis ............................................................................................................................. 9

4.3 Competitive Analysis .................................................................................................................... 10

5. Internal Marketing Audit…………………………………………………………………………14

5.1 Operating Results ........................................................................................................................ 14

5.2 Strategic Issues Analysis .............................................................................................................. 15

5.3 Marketing Structure, Systems and Marketing Mix Effectiveness ................................................. 15

6. SWOT Analysis……………………………………………………………………………………17

7. Marketing Objectives……………………………………………………………………………...20

7.1 Strategic Thrust ............................................................................................................................ 20

7.2 Strategic Objectives ..................................................................................................................... 20

8. Core Strategy………………………………………………………………………………………21

8.1 Customization of furniture “Design with YOU in mind” ............................................................. 21

8.2 Consultation services to consumers purchasing Lorenzo furniture ............................................. 21

8.3 Loyalty Program .......................................................................................................................... 22

8.4 Distribution Channels .................................................................................................................. 22

9. Marketing Mix Decisions………………………………………………………………………….23

9.1 Product ........................................................................................................................................ 23

9.2 Promotion .................................................................................................................................... 23

9.3 Price ............................................................................................................................................. 24


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9.4 Place ............................................................................................................................................ 24

10. Organization and Implementation……………………………………………………………….25

10.1 Organization ................................................................................................................................ 25

10.2 Implementation ............................................................................................................................ 26

11. Control……………………………………………………………………………………………...29

11.1 Contingency Planning .................................................................................................................. 30

12. Conclusion………………………………………………………………………………………….30

13. References………………………………………………………………………………………….31

14. Appendix…………………………………………………………………………………………...33

14.1 Implementation Table .................................................................................................................. 33


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1. Terms of Reference

This is a 2 year marketing plan that will outline the various business objectives, core

strategies and the implementation plan. The goal of this marketing plan is to ensure that

all the business objectives and strategies are clearly defined and properly planned and

carried out.

The marketing plan will focus on the core strategies with the intention to bring Lorenzo

to the premium market by introducing high end furniture customization, introductory of

new loyalty program and the opening of the new retail chain in the heart of Singapore.


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2. Executive Summary

The main objective of this marketing plan is to look at how we can contribute to the

growth of Lorenzo, what marketing strategies would we introduce and how we can

implement it.

We believe that by targeting the high-end market, we can successfully occupy an

emerging niche that other channels of distribution have not been able to target. With the

implementation of the new marketing focus outlined in this plan, we will position our

product line as the high-quality, elegant alternative to mainstream furniture found

locally. Our ability to integrate customization in our design would provide strengths and

establish a reputation of unmatched quality.

Within this plan we shall go over the background of Lorenzo, and surely emphasis on

their mission and vision as this is a very important key to the success of this marketing

plan. We will look into the furniture industry market in Singapore, and analysis our

immediate competitors.

Then, the marketing structure and the main objectives would be discussed, which would

give a good idea of how to move forward. Now the next step would be to look into the

strategies that are recommended and find out how we can implement them most

effectively. We will analyse the strategies, identified the strength as established brand

and design capability, be aware of the weaknesses such as perception of consumer as a

very expensive brand and the lack of awareness of the brand in Singapore, try to

eliminate threats and make best use of the opportunities. All of the strategies that have

been recommended are in-line with the main mission and vision of Lorenzo. We would

bring in new ideas that would focus on long-term benefits for Lorenzo and its

consumers alike.

Now that we have planned our marketing strategy, we move on to how to work the plan.

The Implementation Plan would give us a good idea of how we can successfully utilize

our marketing strategies to attain maximum results.


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In this marketing plan for Lorenzo, we would focus on how we can get Lorenzo into a

good market position in terms of, uncompromising commitment to the quality: quality

wood, excellent leather, quality workmanship, quality design and quality of end result.

We will look at how we can ensure that we deliver maximum value to the consumers.

This is key to ensuring the longevity of Lorenzo in the furniture market.


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3. Business Mission

Integrated lifestyle furniture group, Lorenzo International Limited, is the manufacturer

and retailer of leather upholstery sofas and wood based furniture for the mid to high-end

consumer markets. Reputed for contemporary style, Lorenzo’s products are renowned

for their luxurious comfort, fine workmanship and exquisite quality. Lorenzo’s

comprehensive and integrated in-house capability gives it the edge in the competitive

furniture industry. Designing and producing its own prototypes, undertaking production

and marketing as well as distributing and retailing its products, have allowed the

company to maximize its profit margins while ensuring better control over its costs.

Lorenzo upholds its vision to be an integrated lifestyle furniture brand driven by passion

in the design, manufacture, assembly, wholesaling and retails of conceptualized

furniture exuding elegance and luxury.

Most of the Group’s products are sold under its “LORENZO” brand and categorized

into two collections, Dante - the classic leather collection, and ENZO - the wood-based

collection. Apart from retailing its own products, the Group exports its “LORENZO”

branded products around the world. The Group also acts as an original design

manufacturer to design and manufacture leather sofas under its customers’ own brands,

and as an original equipment manufacturer to manufacture furniture based on

customers’ designs. It has operations and retail outlets in Taiwan, Malaysia, The

People’s Republic of China, Brunei, Morocco and Myanmar and also exported to more

than 50 countries worldwide.


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4. External Marketing Audit

4.1 Macro Environment –PEST Analysis

This analysis provides an assessment on the macro environment conditions to identify

the issues affecting the furniture industry in Singapore. Four factors in this analysis are

political, economic, social-cultural and technological, which can be viewed as important

due to certain critical information that can affect this plan. The details are summarised

in Table 1.

Table 1- Macro Environment Analysis


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Table 1- Macro Environment Analysis (cont.)

4.2 Market Analysis

Singapore’s furniture industry has come a long way in its four-decade history. Since its

inception, local furniture companies have transformed from small workshops offering

basic furniture-making capabilities, to highly evolved business enterprises that have

today, built up strong global positioning through the development of customer-driven,

innovative, creative design-motivated furnishing competencies.

Singapore players have earned a strong reputation based on their foresight and ability to

anticipate as well as adapt to rapidly changing trends and market conditions. To enhance

its competitiveness and to capitalize on Singapore’s strategic location in Asia, many

furniture companies have factories in neighboring countries to leverage on the

competitive production costs and abundant raw materials while maintaining Singapore

as their headquarters for knowledge-driven activities such as marketing, design,

research and development. Many companies have also spread their wings far and wide,

setting up commercial presence in traditional European, American and Japanese

markets as well as non-traditional markets and regions such as Africa, Eastern Europe,

South America and even the Middle East. Neighboring Malaysia, Vietnam and

Indonesia are some of the obvious choices for setting up manufacturing operations.


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Regionalization has not only enabled the local industry to survive, but has also allowed

the players to carve a niche for themselves in the international arena.

The industry is constantly evolving, and presently strives to produce furniture pieces

that project an image that would appeal to a variety of lifestyles. The income of the

consumer, economic factors, adjusting lifestyles, and the increase in people who can

afford quality furniture are all instrumental in furniture demand. The need for local

companies to invest in branding has become essential as the market size grew with

increased competition illustrated in Exhibit 1.

Exhibit 1- Market Size

4.3 Competitive Analysis

The furniture industry is fragmented in nature, comprising of many small and

unorganized players. However, due to growing demand and initial stage of organized

sector growth, the intense competition of rivalry is visible. In view of this market

scenario, customers are able to experience a wide variety and new range of product

substitutes. Both retailers and customers are not in a position to bargain much with the

due to availability and imports. Although 90% share of the industry remains with the


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unorganized sector, industry has witnesses a rapid growth in the organized segment. The

industry is not vulnerable to new players even with factors like increasing demand,

comparatively low capital investments and easier imports, the industry is in a mature

stage and the barrier to entry is high due to the conditions of rivalry. To sum up, there is

an increasing demand but limited number of dominant players. Exhibit 2 shows the

framework of competitive analysis and Table 2 are the analysis findings and

conclusions.

Exhibit 2 – 5 Forces, Competitive Analysis Framework


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Table 2 – Analysis Findings and Conclusions


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Table 2 – Analysis Findings and Conclusions (cont.)


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5. Internal Marketing Audit

5.1 Operating Results

Lorenzo recorded a net profit of S$4.4 million for the financial year of 2010. Their

gross margin also grew from the past 40.2% to 44.9% on change in revenue mix,

favoring a higher margin retail segment. Its operating profit also increases a 68% from

its past year results. Base on product segment, their wood based furniture has grown to

S$37.2 million during the financial year, contributing to the 44.7% of revenue. Their

retail segment has also gain traction, an increase of 12.6% to S$64.3 million,

contributing 77% of the group’s total revenue in the financial year 2010 shown in

Exhibit 3.

Lorenzo group has also a vast reach to the international market. Key markets like

Malaysia, Singapore and Taiwan remain strong during the financial year 2010. Malaysia

remains as the Group’s largest market, accounting for 51.1% or S$42.5 million.

Singapore contributed 15.4% of revenue and recorded S$12.8 million. Contribution

from Taiwan grew from 11% from S$9.4 million in FY 2009 to S$11.9 million in

financial year 2010. Revenue contributed by other region came up to S$14.8 million,

representing the Group’s export regions.

Exhibit 3 – Lorenzo’s Revenue


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5.2 Strategic Issues Analysis

The group aims to strengthen its presence in high-performing regional markets and

expand into emerging markets like Thailand, Indonesia, China and Singapore. Lorenzo

will continue to focus on consolidating its LRD stores for its growth plans in China and

new geographical markets. Lastly, the group aims to move away from the 60-40 ration

of leather sofas and wood-based furniture toward a more balanced 50-50 mix.

5.3 Marketing Structure, Systems and Marketing Mix Effectiveness

Lorenzo carry out the following marketing and sales activities in order to expand their

distribution network to new geographical regions and to increase market penetration to

their exiting geographical regions shown in Exhibit 4 and details explained in Table 3.

Exhibit 4 – Marketing Flow


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Table 3 – Lorenzo Marketing Activities

These marketing activities are key driver for the current achievements as Lorenzo have

created a learning curve for future marketing initiatives. Hence future marketing plan

shall focus on improvement of activities along these channels with minimum deviation.


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6. SWOT Analysis

The strength, weakness, opportunity and threat (SWOT) analysis is to evaluate the

Lorenzo current strategic position and the detail findings are presented in Table 4.

Table 4 – SWOT Analysis


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Table 4 – SWOT Analysis (cont.)


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7. Marketing Objectives

7.1 Strategic Thrust

The upcoming 2 years plan shall focus training and converting sales representative to

professional consultants on existing product and new premium products to create

service differentiation. There shall be a tie-in will improved incentive system. Since

Lorenzo is very much established in the furniture industry, the aim is to increase the

market share and gain new customers with the introduction of new membership

program, ultimate lead to improvement in brand equity.

7.2 Strategic Objectives

The strategic objectives should be specific, measureable, achievable, and realistic and

time specific. Therefore at the end of the 2 years, the result is to enhance service and

widen customer pool by 3%. Focus strategy on marketing to affluent professionals and

home owners with the launch of ‘Prestige’ loyalty program and the opening of one

boutique showroom in the heart of the city.


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8. Core Strategy

8.1 Customization of furniture “Design with YOU in mind”

Customers simply can't find what they want in their local furniture design showrooms.

70% of them require new furniture designs to blend with their existing furnishings.

Some have specific size and/or material requirements. Customers just desire a more

superior product than what is offered locally, and still others want something truly

original.

Today, people are more aware of the importance of space, and how to make the best use

of it. From recent research, the floor area is smaller by 30% compared to the past.

Finding the right furniture to fit one’s home, and utilizing the space effectively, has

proven to be a difficult task for most.

With this marketing plan people would be able to build their homes, exactly the way

they like it, with maximum utilization of space and their preferences. Customization of

furniture seems to be a trend that continues to develop and evolve. While some

manufacturers have provided this service for many years, the growing demand has made

more manufacturers take notice. This is one of the methods we will use to differentiate

our products from our immediate competitors.

8.2 Consultation services to consumers purchasing Lorenzo furniture

To enhance our service to the customers, this marketing plan aims to offer one-on-one

furniture consultations. Professional sales consultants shall provide on-site consultation

with brochures, furniture samples and furniture on display (in our showroom). This shall

ultimately translate to convenience, better understanding on options offered and

relationship, making the customers’ decision-making process easier. This process

consists of working closely with our customers, adding values to the customisation

strategy. For example, many customers may want maximum utilization of space, but

may not have the expertise to do so. This is where our professional consultants step in,

and help the customer make the right choices, based on their requirements.


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8.3 Loyalty Program

With the objective of enhancing customer retention, Lorenzo shall implement a Loyalty

program different from competitor. The current customer loyalty system is similar to

their competitor hence a new complimentary loyalty program shall be introduced. These

new benefits to customer will consist of 2 years of membership enhancement where

members can enjoy privileges such as, priority services and express delivery,

exchanging Lorenzo’s old furniture and new of their choice. Normally, Loyalty Points

are issued with every purchase of Lorenzo furniture. Members could get to accumulate

points and receive discounted prices, extended warranties, etc. Yet this system fall short

to give customer immediate benefit and convenience. The future program shall provide

better more direct loyalty system such as immediate voucher redemption.

Lorenzo shall generate more sales at a lower cost by notifying members of specials that

based on purchasing data, they are most likely to use. Lorenzo can also communicate

this marketing information through less expensive mediums, such as mailings, e-mail or

point-of-sale discounts. Target marketing is typically more cost-effective than mass

marketing, which reaches audience much larger than most retailers’ actual customer

base.

8.4 Distribution Channels

With the objective of expanding the reach and growing revenue, the placement of 1 new

store in the heart of the city, targeted to the affluent professionals shall improve image

standing. The strategic plan is to position Lorenzo to customers who are willing to pay

for quality service and premium furniture. By placing Lorenzo in the heart of the city,

we give our consumers a positive impression, improve brand image and reputation.

Since the city centre has a huge footfall, this move will also build greater awareness of

the brand, Lorenzo.


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9. Marketing Mix Decisions

9.1 Product

Most of our products are sold under our "LORENZO" brand and categorized into two

collections, Dante - the classic leather collection, and ENZO - the wood-based

collection. Our product strategy is that we aim to roll out the ‘Cristallo Collezione’

another premium product effectively in Singapore by 2014. This will be targeted to a

market of affluent professionals and home owner with spare cash. In addition, this range

of furniture features fine quality customisation that will give customers best value for

their money and perfect fit for their home.

9.2 Promotion

Our promotional strategy is based mainly on making the right information available to

the right target market and to maintain good relationship with valued customer. This is

the foremost essential to enhance both awareness and loyalty. This introduction of new

loyalty program under the title of ‘Prestige’ shall showcase ‘Cristallo Collezione’ and

package with additional discounts and benefits for every purchase of Lorenzo products.

This shall be complimentary for existing customers and their referrals during the 3

months soft launch for 2 years. This is followed by a 1 year complimentary to new

customers with $5,000 and above purchase during this promotion period. Under the

‘Prestige’ membership, on-site home consultation service will be included for premium

choice of Lorenzo’s products specially to cater to the valued customers. This allows

them to make best value purchases as well as the desired stylish and exclusive home

design furniture. Hence this strategy builds on leveraging intimacy to achieve repeat and

upgrade purchases and through referrals as a direction to increase future market share.


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9.3 Price

Pricing is the most important in this marketing mix and the pricing strategy. Lorenzo

shall set focused positioning for future profitability. Considering the cost impact on the

product, promotion and place identified as these variable costs could erode Lorenzo

revenue. Premium value-add pricing shall be set to reflect the exclusiveness of the

product and services to be provided the next 2 years target focus on the affluent single

and home owners. Hence the value-added pricing feature is a focused strategy to

enhance branding position and anticipating the increased completion of private and

public housing in year 2013. Customers are looking for solutions and convenience

where the current change in housing size, specifications and investment are important

factors for buying decision. With the current established branding for quality,

leveraging this reputation with enhancement build on exclusiveness is the most sensible

way to improve customer satisfaction. Therefore the perception on price and value for

Lorenzo’s furniture will be set at 10% higher than current price. Estimating in the first

year, a furniture package at current price of $4,999, the price shall be set competitively

at $5,499 for additional value such as on-site service consultation and furniture

customisation.

The increase in price will have minimum effect on Lorenzo bottom-line earnings. This

is to avoid price war against other furniture retailers and distinct themselves from

competitors. Furthermore, the pricing is linked to the new membership program for

flexibility adjustment. Discounts will be provided to members with exclusive service,

treatments and benefits which other furniture retailers will be unable to imitate for its

intangible value.

9.4 Place

One new boutique style showroom shall be opened at Orchard Ion in year 2014 with the

aim of enhancing image standing and increase market share through awareness. This

shall position Lorenzo to target the specific customers mentioned that are willing to pay

for premium product and services. This extends to further differentiation, changing


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customer perception with innovative concepts that brings quality service and premium

lifestyle furniture.

10. Organization and Implementation

10.1 Organization

Good implementation needs buy-in from Lorenzo’s marketing and sales team who are

to carry out the plan. The best way for such buy-in is to have them participate in the

marketing plan development and incentives tie-ins for the next 2 years. Thus the

organizational focus for the execution and success of this marketing strategy will

encourage representative participation.

Goh Ah Lee, Group Managing Director, is responsible for overall business

management. Design director, account manager and sales manager report directly to

Goh. Goh had a successful career in retail Mr. Goh has been instrumental in the

development and running of our retail operations in Singapore. Together with his fellow

directors and key executives, he is also involved in progress reviews and

implementation of workflow initiatives for the furtherance of the business

competitiveness.

Chen Wen Te, Design Director, is responsible for product design and development,

assembly, and manufacturing. He is responsible for the Group's overall creative team

and its product design development. He has been the key driver in designing our

products, showroom layout concept, corporate identity and design strategy. In addition,

he works very closely with the R & D team in developing the new products. He is also

involved in sourcing for the raw materials and OEM Manufacturers. Our workshop

manager reports directly to him. Prior to joining us in 2003, Mr. Chen was a Designer

with Gao Dian Furniture in China from 1999 to 2003. From 2001 to 2003, he was also

involved in the designing and selling of furniture in Taiwan under Feng Fan Tang

Design and Furniture Company


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Jane Lim, Account Manager and Andy Loo, Sales Manager jointly team-up and

develops marketing strategy and long-term marketing plans. Lim is strong on relations

management, and Loo is strong on management and marketing know-how.

Lorenzo design director, account and sales managers are in the process of

revolutionizing the way in which the reaches serves its customers. These departments

have been integrated with each other in order to sell and market Lorenzo's product

through Singapore market. In addition, they have plans to start the strategic marketing

activities of focused strategy. Due to the success in marketing with high-end customer

in Taiwan, it is decided the implement of this new strategy for future growth and

increased market share in Singapore. Once sales representatives are aware of the

benefits of this development, Lorenzo will soon become a part of high quality

customised furniture and excellence in service environment.

10.2 Implementation

The keys to Lorenzo's success have historically been effective market segmentation and

implementation strategies. Firstly for the past year, there was an increase in $0.3 million

injected into commission for marketing efforts. For the oncoming campaign for fiscal

years 2012 and 2013 the projected commission to increase marginally. The emphasis

will be on the ‘Prestige’ image of frontline sales team, training and development with

tie-in professional marketing trainers to motivate and improve all employees on service

delivery of branding awareness to customers and prospects. The buy-in of ‘Prestige’

shall encourage sales representative to participate in the development of marketing

strategy to convert them to professional consultant.

Key emphasis of this development will be building relationship with current customers

and future prospects. Personalized service can be benchmarked with best practices from

Insurance services where personalized consultation by appointment is the key success of

long term relationship with clients. Although cost of operation will increase by 10-15%,

the long term benefits in brand equity and capturing of larger market share locally.

Estimated 20% and 30% revenue growth in 2013 and 2014 as the outlook of home


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completion, according to report from DTZ estimates a completion of 32,359 units in

2013-2014 versus the 17,501 units in 2011-2012 (propwise.sg. 2012).

This implementation starts in conjunction with the launch of new membership,

‘Prestige’ which will be complimentary upgrade to all existing ‘Friends’ members on

the 32nd

Anniversary in October 2012, through the seasonal period of Christmas and

New Year providing extensive promotion through personalized services. Training of all

staff prior to launch starts in June 2012 and estimated cost of $100,000 which 80%

could be recovered from the Government retraining program. To broaden outreach,

part-timers (such as up-coming local furniture designers and ex-property agents) will be

selected and hired to support this operation to avoid resources being spread too thin.

Production quality and customization incorporate with new ‘Prestige’ catalogue

marketing and turn to in-house production for more specific, extensive product

descriptions.

• Uncompromising commitment to the quality the product: quality fabric, leather

and wood, quality workmanship, quality design, quality of end result.

• Successful niche marketing: we need to find the quality-conscious customer in

the right channels, and we need to make sure that customer can find us and we respond

professionally with personal experience.

• Almost-automatic customization: we can't afford to ship fully-customized

furniture, but customization must be so easy and automatic that it makes the customer

feel better about the quality, not worse.

Customization is the greatest challenge yet it is essential to move into focus strategy and

provide the experience of personalized service to individual customers. The selection of

customized product is not for every individual, this will be made available for packages

such as living room, dining etc. This customization can include the special sizing, color

and materials of furniture to fit, feel and look wonderful in the modern confine space of

new house for a holistic approach. That is where the ‘Prestige’ consultants are trained to

provide solutions and brand awareness. This shall give buy-in of $4,499 per package

sofa, TV console, coffee table and other upholsteries, priced at 10% higher but the value

http://www.propwise.sg/singapore-property-%E2%80%93-if-the-minister-is-worried-should-we-be-too/


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provided is much greater. Therefore estimate profit for customized package is 20%. It

will be implemented in the middle of 2013, with a campaign to introduce this new offer.

The production team in Malaysia and China are to plan out the lead time for such

package. Yet the challenge of such condition will have to be managed through supply

chain efficiency. Maximum 2 weeks from order to delivery is our internal commitment

shorter lead time compared to competitors.

Finally, in 2014, to further enhance brand awareness with the successes of the initial 3

campaigns, with increased profit in the local market, One Lorenzo furniture boutique

showroom opening offering style, high end product in Orchard Ion, (2,000 sq. ft.,

approximately $500,000 per year rental). This showroom will offer holistic fine living

concept with a change in display every quarter year. Projected marketing revenue

projected $1,000,000 per year, and projected increase of profit from 15% - 35% and

increase market share by 3% and new and trendy boutique concept alongside with target

achievement of creative product and service concepts for the brand. The total budget

required for the implementation is approximately $1.5 million with contingency buffer.

Optimistic, the estimated projected increase in revenue for this plan is $4 million for the

entire plan an increase of 15% each year.

Lorenzo’s Implementation Schedule will begin the year 2012 by continuing to

strengthen service excellence. Therefore shall prepare trained sales representatives

placements internally and execute the three implementations. Refer to Appendix - 13.2

for Implementation Schedule.


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11. Control

The processes of Lorenzo management teams are committed in the planning,

implementation, and control constitute a virtuous feed forward and feedback system to

measure and monitor the overall strategy. This shall give either indication of poor

implementation for the plan or change in macro-environment forces irrelevance and

fixes shall be required to ensure no profit loss and worst case loss of customer

confidence.

The aim of Lorenzo control systems is to evaluate the results of this implementation of

marketing strategy following Table 5.

Table 5 - Controls


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11.1 Contingency Planning

Lorenzo Furniture is unique in its discovery and utilization of the high quality, lifestyle

concept home furniture feature to focus target. Therefore, it is possible that with our

success and superior design, other, well-established furniture manufacturers may release

a competitive product line. However, Lorenzo focus specifically on the high-end,

technologically integrated aspect of lifestyle home furniture. With this exclusive

concentration, Lorenzo can continue to upgrade its resources on producing the best

lifestyle home furniture solution provider available. Another possible challenge would

be the emergence of company attempt to imitate this marketing strategy. This however,

would not be quite as threatening, as flexibility of change will allow Lorenzo marketing

team to strategize further for continued success. Finally, an established furniture

company it will be best to begin marketing to our target market and broaden the referral

strategy. This would not be overly threatening because our products are inherently the

best available due to the true craftsmanship involved in design and manufacture.

12. Conclusion

This marketing plan is the result of meticulous analysis and proven marketing planning

framework. Intensive study covering on all areas required to the best ability, yet there

were information in which is not clearly available and some assumptions have to be

made for the marketing decision. The team is aware that the future is uncertain.

Nevertheless, there is a high possibility of success attributed to the optimistic outlook of

Singapore economy shall remain strong and growth is expected in the next few years as

observed with the increase demand of property. Therefore it is likely Singapore has a

good reputation for class, creativity and fashion with its multi-racial and multi- national

demographics. As the overall population has increased tremendously in the recent years,

this gave rise in different types of furniture demands to create unique, exquisitely

furnished home with high-end furniture. The team is confident with this marketing plan

and shall facilitate to success shall it be implemented.


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13. References

Anderson, James C., and Narus, James A. , 2004. Business Market Management:

Understanding, Creating, and Delivering Value, 2nd Edition, Pearson Education

Inc

Baker, Michael, 2008. The Strategic Marketing Plan Audit 2008, ISBN 1902433998,

pp. 27

Brassington, F and Pettitt, S, 2000. Principles of Marketing, Second Edition, Prentice

Hall, Harlow

Brooks, I and Weatherston, J. ,1997. The Business Environment. Challenges and

Changes, Prentice Hall.

Heijdra, B. J.; Ploeg, F. van der, 2002. Foundations of Modern Macroeconomics,

Oxford University Press, ISBN 0-19-877617-9

Ikea Group. "Ikea Group - SWOT Analysis." Accessed Mar 12, 2012.

http://search.proquest.com/docview/194201548?accountid=12629

Jan, Y, 2002. A three-step matrix method for strategic marketing management,

Marketing intelligence and planning, Vol. 20 (5), pp. 269-272

Kotler, P., Armstrong, G., Saunders, J. and Wong, V. (1999) Principles of Marketing,

2nd Edition, New Jersey: Prentice Hall

Lorenzo, 2010. Annual Report 2010, pp. 1-44

Lovelock, C,1994. Product plus: How product + service = competitive advantage,

McGraww Hill

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Moschis, G.P. ,1990. Consumer Socialisation, USA: Lexington Books Heath

Pearce, J. and Robinson, R, 2005. Strategic Management, 9th Edition, New York:

McGraw-Hill

Prop Wise. “DTZ estimates a completion of 32,359 units in 2013-2014 versus the

17,501 units in 2011-2012”. Assessed Mar 10, 2012.

http://www.propwise.sg/singapore-property-%E2%80%93-if-the-minister-is-

worried-should-we-be-too

Van Auken, B. ,2002.The Brand Management Checklist, Kogan Page

Singapore Furniture Industries Council. “Lorenzo Ltd.” Assessed Mar 10, 2012.

http://www.singaporefurniture.com/members_full_detail.asp?code=lorenzo

Webster, F. E., 2002. Marketing management in changing times. Marketing

Management, Vol. 11(1), pp. 18-23

http://www.singaporefurniture.com/members_full_detail.asp?code=lorenzo


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14. Appendix

14.1 Implementation Table

Milestones

Advertising Start Date End Date Budget Manager Department

‘Prestige’ Catalogue Placement 1/6/2012 1/9/2012 $60,000 Tan Ads

‘Prestige’ Membership Forms and Cards 1/6/2012 1/9/2013 $80,000 Tan Ads

Boutique Catalogue 1/6/2013 1/9/2013 $60,000 Tan Ads

Total Advertising Budget $200,000

PR Start Date End Date Budget Manager Department

‘Prestige’ and Anniversary Event - preparation

1/6/2012 3/10/2012 $10,000 Lim PR

Prestige’ and Anniversary Event 3/10/2012 30/1/2013 $20,000 Lim PR

Boutique - preparation 7/1/2012 3/9/2013 $50,000 Lim PR

Boutique Opening 3/10/2013 30/1/2013 $20,000 Lim PR

Total PR Budget $100,000

Direct Marketing Start Date End Date Budget Manager Department

Customization 3/10/2012 30/1/2014 $100,000 Loo

Sales

Operations Plan 1/9/2012 3/10/2013 $10,000 Loo Sales

Onsite Consultation Operations 3/10/2012 30/1/2014

30/11/2014 30/1/2014

$50,000 Loo Sales

New Boutique Rental 3/10/2013 3/10/2014 $500,000 Loo Sales

Total Direct Marketing Budget $660,,000

Web Development Start Date End Date Budget Manager Department

Websites 1/6/2012 2/10/2014 $50,000 Chua IT

Total Web Development Budget $50,000

Other Start Date End Date Budget Manager Department

Training 1/6/2012 1/6/2013 $100,000 Ho HR

Recruitment 1/6/2012 1/6/2013 $20,000 Ho HR

Logistics 1/6/2012 30/1/2014 $150,000 Lee Logistics

Total Other Budget $270,000

Totals $1,280,000

Marketing Report - Lorenzo Final v4

Documents

Transcript of Marketing Report - Lorenzo Final v4