Customer base is one of the most important determinants of any business. The success of a business is dependent on the number as well as the loyalty of customers. If customers are satisfied with the quality of products and services offered, they tend to engage in direct marketing by talking to their friends and people around them about it. For gym business, the ultimate goal of any company would be to offer world class services guaranteeing its customers fitness and healthy living. SAS is one of the worlds best places to work at. Analysis shows one of the services offered to employees at the work environment is gym, (Gitman & McDaniel, 2008). Due to the quality of services offered at the company gym, most employees are said to have quit other commercial places and stuck to the services at SAS. The company has opened up to registered members to access the company gym to have access to the services. How employees and the public talk about the services at the company gym has marketed SAS.
Information is very essential for the success of any business. Like any other business, Gym Company needs to have the right information and at the same time avail required information to clients and prospective clients to remain competitive. It is important to know the competitors in the market, what services and products are being offered by the competitor. Such information helps a gym business determine what to offer if it has to remain ahead. Knowing services offered by a competitor helps a business identify unique areas to venture and differentiate it. Information on customer expectations is a big asset to a gym business. The expectations of customers can dramatically change depending on the economic conditions. Therefore, it is important to know what matters to customers presently, what costs are customers willing to incur the service at, how flexible are the services and are they the latest on the market. This information can guide a local gym company in revising its sales and marketing strategies accordingly. It is important for the business keep up with developments in its field, invest in new technology and follow customer trends. Keeping customers information helps in looking after them since they are the competitors target market.
Technology is not one of the things one can easily think about when gym is mentioned. With the ever advancing information technologies, any business is bound to embrace the changes to keep up with the fierce competition. Currently, it can be shocking to see the number of people whose eyes are glued to their smartphones when in the gym room. There are apps for almost everything in fitness and the gym industry is utilizing such technologies, (Lauren & Clark, 2011). Apps keep evolving and it is now possible to do simple things like ordering your shake using apps on phone while one is working out. With dreams of expansion, one of the challenges gym business is likely to encounter is standardizing quality. Without relying on quality instructors far away, choreographed routines and videos can be shared to via a web portal for efficiency and cut costs at the same time. Technology comes in handy when it comes to communication between instructors and a local gym and other centers like headquarters of the business has plans to expand in future.
Tech is leading the way in development of high-tech equipments installed at gym centers today. Fitness equipment today come with sound video and integrated television screens, From time to time gym equipment have advanced from simple treadmills to high-tech machinery. The technologies have played a big role in franchising to standardize and customize climbing gym designs. Gym facilities are today being designed using CAD Pro program and Google sketch up. Wearable tech is another big thin in the gym industry. With increasing tracking tech, it is much easier to follow clients progress and help them achieve specific personal goals. Wearable devices enable clients to communicate with the gym equipment and have platform that can track and merge all data. These technology advancements have made huge impact in the gym industry and everyone thinking of the business much dance to the tune of it. Installation of the latest equipment and apps will attract high-tech customers. Customers needs today are very different from yesterdays ones, therefore, staying ahead technologically significantly determines the quality of services a gym business can offer to its customers.
Porters five forces model
New entrants threat
Gym industry is one of the businesses yielding very high returns in this generation. Compared to the past, todays lifestyle has less physical activities and people need fitness. The number of gym centers coming up day by day is ever increasing posing a business threat to any new ventures. The existing and established centers will act as barriers to new entrants to the market. This calls for uniqueness in quality of service and proper strategies for every start-up centers.
Instead of going to the gym, there are options for people to get fit and live healthy. Many herbal products have been developed to reduce weight and live healthy. Such products can be seen as substitutes for gym centers. With the advent of internet, there are numerous work-out guides on YouTube and other sites and blogs that can be used to train, (Cotta, 2011). Though discipline is required to reach success, quite a good number of individuals have resorted to self-gym sessions in the comfort of their homes. To enter the market and succeed, it calls for a lot of effort and commitment to offer better services so that people can have a reason to join gyms instead of resorting to watching videos and train on their own.
Customers always have a bargaining power for products and services offered by several providers. Gym industry being high profile business, there are many providers of the services and all have different costs and charges. The difference gives the clients an opportunity to bargain to reach agreeable terms. Before setting up a local gym, it is important to do proper research to come up with customer friendly charges to beat competitors when it comes to pricing.
Since there are existing gym centers everywhere, it is definite that there are some that have installed and implemented systems and equipment that you want to also. There are vendors and other suppliers that the centers have procured the equipment and facilities from. The vendors have different quality and that reflects in the prices. They have bargaining power while offering the materials; therefore, doing market research is important to reduce the bargaining power of the suppliers.
Competitive intensity is one of the major determinants in business success. It is important to have a competitive advantage through quality, marketing, and innovation. Competitive strategies should be powerful to keep the business ahead of competitors. The degree of transparency in the company is also a potential factor o staying ahead of rivals.
Supply chain management, enterprise resource planning
and customer relationship management
Supply chain management (SCM) enhances customer service by ensuring right and products are delivered timely to the business. The products must also be available in locations expected by clients. SCM also ensure that customers receive quality after-sale customer support. The SCM decreases use of large assets such as warehouse and transportation thereby significantly reducing business expenses. Cash flow is bound to increase when products delivery is expedited and profits of the business will increase. Enterprise Resource Planning (ERP) integrates information regarding business resources to help to meet customer requirements and enhance performance, (Bangniyel, 2013).
The main advantage of ERP include increase flexibility, normalization of business procedures, integration of data and facilities, reducing employee numbers, computerization of processes and strengthening globalization system to solve problems. Customer Relationship Management (CRM) is an element of the SCM process. It has relationship management practices, creates long-term relationships and develops customers satisfaction. Suitable suppliers are designated to meet customer needs. CRM helps obtain customer information and database, therefore, a company is able to increase its performance by destroying useless data, increase flow of services to customers as well as creating long-term relationships with its clients.
Database management system and data warehouse
Database Management System (DBMS) is used in creation, reading, updating and deleting data in a database. The system acts as an interface between end users and the database to ensure data is organized, consistent and accessible. On the other hand, data warehouse puts emphasizes capturing data from diverse sources for access and useful analysis but unlike DBMS, it does not start from end user who need specialized access, sometimes to local access. Both can be used to store client information about clients.
Five agent-based models
Organizational behavior is one of the models and studies how behavior within organizations is affected by organizational behavior. Secondly, team work refers to a combined force of a group of people especially when there is effect and efficiency. Thirdly, supply chain optimization involves application of tools and processes to ensure optimal operations in manufacturing and distribution supply chain environments. Fourthly, consumer behavior involves studies about people or organizations and processes used in selecting, securing, use and disposal of products and services to satisfy their needs and impacts the processes have on the consumer and the society. Finally, social network is a dedicated application or website that enables users to communicate through sharing information.
The Single Brand A brand can create its e-commerce site. Any organization can do this.
Marketplace This can be a eShopping mall having many brands with multiple categories.
Vertical marketplace A eShopping mall specialized in one products e.g shoes
Community marketplace This is built around a community or lifestyle.
Flash Sell marketplace This concentrates on fashion, it implements concepts of creating demand for buying at specific at times and in limited supply.
Crossover Major distribution chains have their own e-commerce site .Personalization Online nature of sites aloe personalization e.g having your name at the back of your gadget.
Immaterial going real making electronic version real e.g turning digital photos to photo albums
Social commerce - E.g Coca-cola. Some companies do partial offers on social media.
System Development Life-Circle (SDLC)
SDLC is a conceptual model that is used in project management. It describes all stages involved when developing information system, (Lewis, 2008). The model helps to track progress of a project. It creates system documentation that ensures system requirements are tracked to the stated requirements. Intermediate products can be reviewed to see if user needs and standards are met consistently. The model can be used when developing database systems, ERP, CRM and SCM.
Business continuity plan is the plan to return to business after an incidence. Phases of the plan include; identifying risks the business faces; analyzing risks the business is facing; designing strategy; planning development and execution; test strategy to see if it will succeed. I recommend thorough research as to why the same business should be considered instead of trying a different one after failing.
Technologies such as Bluetooth, WiFi, ce...
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