Definition the president of Janmar Coatings, Inc and

Definition
of the problem

            Janmar Coatings, Inc is a manufacturing company that
sells high end paints within the region. The company has been involved in
selling but not in producing their own paint mixtures. Janmar Coatings
distributes paint to the southwest area and over fifty counties which includes Dallas
forth work area. Janmar Coatings, Inc shows its commitment to the Dallas Fort
Worth area, by having the company’s headquarter built in Dallas.

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            The main consideration for Janmar Coatings, Inc is where
and how they can deploy corporate marketing to various paint coating market areas.
Smaller companies are been bought by larger companies because the smaller companies
do not have enough strength to function in the area of their research and development,
especially when they are required to meet the EPA standards which are very
strict. When considering the fact that there are a couple of competitors and,
the EPA policies and restrictions are tough, the company has been faced with the
reality that they are decreasing in profits but still have the potential to
grow with the industry. Since there has been an increase in competition in this
industry, Janmar Coatings, Inc needs to decide on which marketing strategy they
need to pursue.

Alternatives

            Ronald Burns, the
president of Janmar Coatings, Inc and his executive management have been deliberating
about the situation the company finds itself and have also been considering the
alternatives they currently have. There are several alternatives that Janmar
Coatings, Inc can consider.

1.     
The vice
president of operations suggested that the company had focused solely on
the Dallas fort worth do-it-yourself, suggesting that the company should not
just focus on the area alone but on the entire marketing segment of do it
yourselfers as a whole. The vice president of operations suggested that a
reduction of 20% should be made on the cost of paint, which might make it more
possible for cost consciousness more incline to purchase their products.

2.     
The vice president of Advertising:
suggested that the enhancements of the products awareness directed towards the
Do-it-yourself group within Dallas Fort Worth. The vice suggested that the way
to increase the level of awareness for the company is buy increasing the
marketing budget up to $350,00. By increasing the budget, the vice president of
advertising projects that this budget increase will reach the target group of
the Dallas Fort Worth customers who partake in DIY projects and ultimately the
does who are in Dallas Fort Worth.

3.     
The vice president of Sales suggests that
the company should focus on the non-Dallas Fort Worth areas. The vice of sales
has called out the company in regards not been aggressive towards sales to
other non-Dallas fort worth customers and proposed that a sales representative
be hired to concentrate on new business groups for the company. The new
representative will be paid $60,000 to create awareness of the brand.

4.     
The vice president of Finance: suggests
that the since the company has been profitable with hiring a new
representative, why change what is not broken and has objected towards spending
more capital.

 

 

 

Janmar
Coating’s SWOT Analysis

 

Pros

Cons

 

Strengths

Weaknesses

Internal

·        
Some
brand awareness within the marketed areas.
·        
Has
continued to meet EPA regulations.
·        
Sales
have steadily been, amplified at a 4% percent rate per year for the past ten
years.
·        
Offers
quality paint that is correctly formulated for the geographical locations.
·        
Successful
even though there is plenty of competition.
·        
Friendly
and knowledgeable sales team who treats their customers like close friends.

·        
Brand
awareness is low compared to other retailers within the area.
·        
Their
product is the highest priced paint within their region.
·        
They
have a high cost of goods sold.
·        
Only
established five new accounts within five years.
·        
Focused
primarily on Dallas Fort Worth area.
·        
Semi
local brand competing against national brands.
 

 

Opportunities

Threats

Externals

·        
The
do it yourself market is continually increasing.
·        
Have
the ability to increase their brand awareness.
·        
They
have the capability to focus closer on non-Dallas Fort Worth areas.
·        
Already
preferred with professional painters who want to complete jobs with high
quality materials.

·        
EPA
increasing regulations.
·        
In
order to maintain EPA’s increasing regulations they will have to spend
resources towards R findings.
·        
National
corporations have been increasing within the local areas and acquiring
smaller businesses.

            The
SWOT analysis to determine which alternative should be recommended. The SWOT
analysis will reveal to use what Janmar Coating’s strengths, weaknesses,
opportunities, and threats. The SWOT analysis will further the researchers
explanation of an alternative choice in the decision-making section below.

 

 

Decision
Making

            After analyzing the
SWOT analysis, the researcher has found that none individual promoting methods
will work, or is good for the company. Considering the fact that Janmar
Coatings, Inc has an enormous potential to grow in the industry that should be
cheered from the marketing arm. The researcher took a look at the option of
price reduction but doesn’t believe that would be a wise alternative for the
company because the company had previously experience low profit margin.

            Janmar and its executives comprehend the urgency and need
to aim their products towards individuals who are cost conscious but to do it
at the expense of the company. Janmar prides itself in quality which
accompanies the reasoning behind the premium cost and price of their goods. The
researcher suggests that the company focus on the types of advertisement that
will lead to the explanation of more brand awareness. The company should set up
deliberate marketing strategies, combined with the alternatives suggested about
to deploy brand awareness toward a new target group.  Additionally, the company should employ
additional sales representatives and expand their target audience and this can
done by targeting customers they haven’t yet reached within these areas.

Implement
the choice

            The scholar
recommends that the following strategies be implemented for Jamar Coatings, Inc
to succeed.

1.      Hire
new sales representatives to help expand the business and grow Dallas fort
worth and non- Dallas fort worth areas. If the sales representatives are able
to do their job, the company should have more than 10 accounts added to the
company with a decade. The scholar suggests maintaining the representatives
they have now since they do not want to hurt customer relations. Moreover, the
representatives should push to be more belligerent in their sales tactics. Newly
hired sales representatives should be immersed into the culture of aggressively
and respectfully acquiring more customers.

2.      There
should be focus on promoting the company’s brand awareness for Dallas fort
worth and non- Dallas fort worth areas consumers. The company should use TV
Commercials, magazine ads, social media, and paper ads and in store sales to Promote
their product. Moneys should be relocated from other departments to enable the
company to invest in brand recognition growth within both of the target market
areas. These commercials will grow the image of Janmar as a high-quality paint
supplier that is well-informed and is exceptionally consumer focused. Customer
recognition of a brand is key for reliable marketing tactics.