Tying the Knot Productions Capturing memories for a lifetime

Strengths Competitive prices Competitive prices Low overhead Low overhead Professional Professional

Weaknesses New business New business Low brand awareness Low brand awareness Older equipment Older equipment

Opportunities MontanaMontana – Number of marriages (2004) 6,946 – Population926,865 WyomingWyoming – Number of marriages (2004)4,740 – Population506,529

Opportunities Montana CityPopulation Percent of Montana Population Number of Marriages Absorkee1, %9 Billings96, %727 Bozeman32, %243 Laurel6, %48 Red Lodge 2, %17 Roundup1, %14 Total1058

Opportunities Wyoming CityPopulation Percentage of Wyoming Populations Number of Marriages Buffalo4, %40 Cody9, %85 Gillette22, %208 Lovell2, %22 Powell5, %49 Sheridan16, %151 Total554

Opportunities Total number of weddings in our geographic target:Total number of weddings in our geographic target: MontanaWyoming 1, = 1,613 1, = 1,613

Survey 1. Would you like your wedding filmed by a professional? Definitely_______Maybe________No________ 2. If yes, would you also like to have reception filmed? Definitely_______Maybe________No________ 3. If no, why not? ___________________________________________________________________________ ___________________________________________________________________________ ________________________________________________ 4. How much would you be willing to pay to have your wedding filmed and edited by a professional? $___________.____ $___________.____ 5. When are you planning to get married? _________________ 6. Would you like to be contacted about this service? Name_____________________________________________________________Address___________________________________________________________ Phone Number_____________________________________________________ Address_____________________________________________________

Opportunities Survey Results Number of surveys % Definitely % Maybe % No814.55% Total number of weddings being videotaped include 100% of the definite and 50% of the maybe: 1,613 * 30.91% * (.5*54.55%) = 938

Threats Competition Competition – The Video Recorder – Michael May Productions – Infocus – JW Video Services – Sunlight Photographic – Right Angle Communications

Threats Number of competitors: 6Number of competitors: 6 – Assuming equal shares of the market our goal is: 938/6 = 156 weddings per year

Sources National Vital Statistics Reports National Vital Statistics Reports Number of marriages in Montana and Wyoming Number of marriages in Montana and Wyoming City populations Quick facts from the US Census Bureau Quick facts from the US Census Bureau State populations Surveys Surveys

Tying the Knot Productions Capturing memories for a lifetime

Geographic and Demographic Dimensions Southern Montana and Northern Wyoming Southern Montana and Northern Wyoming Primarily female, 18 and older Primarily female, 18 and older Upper-lower to upper-middle class Upper-lower to upper-middle class Single, but about to be married Single, but about to be married

Behavioral Dimensions Social needs are fulfilledSocial needs are fulfilled –Love, friendship and interaction with others Benefits are situation specificBenefits are situation specific –Weddings ceremony and reception Favorable attitudeFavorable attitude –Video preserves this important event

Behavioral Dimensions One time relationship with individualsOne time relationship with individuals –Hopefully, a wedding is a one time event Ongoing relationship through referralsOngoing relationship through referrals –If customer is satisfied, they will “spread the word”

Behavioral Dimensions Heterogeneous comparison shoppingHeterogeneous comparison shopping –Consumer wants to compare for price, quality and suitability. –Consumer wants individual consultation –Advertisement needs to be in close proximity to similar products

Behavioral Dimensions Medium to high information required for extensive problem solvingMedium to high information required for extensive problem solving –Identify Problem –Gather Information –Evaluate Alternatives –Make Decision –Evaluate the Decision

Decision Making Process Identify the ProblemIdentify the Problem –Consumer needs to capture and preserve their wedding in the best way possible. Gather InformationGather Information –Consumer will gather information by word of mouth, yellow pages, newspaper, internet, bridal magazines, bridal shops.

Decision Making Process Evaluate AlternativesEvaluate Alternatives –Consumer’s alternatives are: no video (low cost), still pictures (high cost), amateur video (low cost), professional video produced by us (intermediate cost) or one of our competitors (high cost) no video (low cost), still pictures (high cost), amateur video (low cost), professional video produced by us (intermediate cost) or one of our competitors (high cost)

Decision Making Process Make DecisionMake Decision –Consumers will choose Tying the Knot Productions because they will get more for their money. Evaluate the DecisionEvaluate the Decision –Consumers will know they made the right decision because we will go above and beyond their expectations. We will know that we have succeeded if our referral system creates more business.

Tying the Knot Productions Capturing memories for a lifetime

Marketing Mix 1. Product 2. Place 3. Promotion 4. Price

Product

Means End Chain Means End Chain Product Product –Videography service Attributes Attributes –Video (DVD or VHS) –Professional –Flexible –Lower price –Guarantee

Means End Chain Physical Consequences Physical Consequences –Long lasting –Tangible –High quality –Attractive packaging

Means End Chain Psychological Consequences Psychological Consequences –Excitement of reliving the event –Less stress –Trust –Done right the first time

Means End Chain Value Value –Affordability No sacrifice No sacrifice More for your money More for your money Get everything you want Get everything you want

Perceptual Map

Brand Positioning Statement Providing affordable, professional videography.

Place

Place Objective Home-based businessHome-based business −No middlemen

Promotion

AIDA Attention Attention –Yellow pages –direct mail –fliers Interest Interest –Yellow pages –Direct mail –Website –Brochure

AIDA Desire Desire –Yellow pages –Direct mail –Brochure –Presentation Action Action –Yellow pages –Direct mail –Professional Selling

Price

Price Objective Sales oriented Sales oriented –Growth in market share By providing affordable videography service, we make it possible for more consumers to have their wedding video taped. By providing affordable videography service, we make it possible for more consumers to have their wedding video taped.

Price Strategy Penetration Penetration –Demand is elastic –Elite market- few are willing to pay high price –Sell to whole market at one low price

Price Strategy Average Competition PriceAverage Competition Price –Ceremony $500 –Reception $300 –Ceremony and reception $800

Price Discount Quantity discount Quantity discount –Ceremony $300 –Reception $250 –Ceremony and reception $450 ***Savings of $100*** ***Savings of $100*** Referral incentive Referral incentive –$25 for all referrals that use our service