Sample Marketing Report Paper on GoPro

Marketing Report: GoPro

  1. Introduction: Marketing Report for HERO4

1.1 Company background

GoPro is a tech firm that deals with a wide array of electronics that includes a camera, mobile apps, and video editing software (Gopro, 2017). Woodman established it 2004 with the aimof fulfilling the desire of producing affordable cameras with the capability to over exemplary service. As of 2016, the industry engaged at least 1483 employees with an asset base of over $1.10 billion.

1.2 Product Background

The brand associated with the company is the hero cameras that were first introduced in 2004, before the modification of the line of the products to HERO4 in 2014 (Hagebeuker& Marketing, 2007). The device can edit video in a record 10 seconds,and their production is responsible for the growth of the revenue of GoPro for the past few years.

Figure 1: Hero4

The product has a unique, stylish outlook that captures the attention of the consumers (Halper, Helbing, & Strothotte, 2001). It is small, which makes it portable, and exudes exemplary camera capabilities that include adjusting videos in 10 second. The resolution capability of the device is up to 4K at 30fps. The product has higher rating for performance, and consumers laud the pricing at averagely $500.The product is categorized as a camcorder that fits under the classification of video camera (Thoeni, Giacomini, Murtagh, & Kniest, 2014, Lessard & Kessler, 2010). The players in the industry producing similar devices include ION and sonny.

1.3 Market Issues

The challenges in marketing the brand are that few people acknowledge its unique features (Ruotsalainen, Bancroft, Lachapelle, G., Kuusniemi, & Chen, 2012). The mode of pricing the commodity as a cheaper product makes it hard to entice a vast majority of travellers, who solicit for high-end devices for photography activities.

Figure 2: HERO4 market shares

In a bid to overcome the difficulties, to facilitate effective penetration of the market, the manufacturers ought to communicate to potential consumers about the benefits of embracing HERO4 for video editing. The manufacturers also ought to segment the market, besides investing in high-end gadgets to fulfil the needs of all market niches. According to Lee, Kim, Lee, Kim, Kim, and Yi (2017), the firm faces stiff competition from ION and Sonny. The sales for 2015 indicate a revenue rise of 72%. The trend is an affirmation that flagship brand as hero4 is propelling the company to success.

2. Buyer Behaviour Analysis

2.1 Target Market

The target market for HERO4 is consumers aged 24-39 that comprise mostly of females earning more than 3k a month. The groups of females constitute about 209,600 of shoppers seeking to use the device for image documentation purposes (Woodman, 2012). A typical task includes capture of memorable scenery during travel. The younger generation comprises a significant section of the clientele.

Age Group: 24-39 (female)   Total number of women aged 24-39 : 451,000   209,600 of them earn S$3000 per/month more.  $560 X 209,600= $ 117,376,000  

Figure 3 Sample of the approach to segmenting and expectation in sales

  • Target market profile

2.2.1 Demographics

The exploitation of demographics in profiling the groups is critical in improving the position of the brand in the market. HERO4 manufactures can segment the group using age, with preferences of women between the ages of 24 to 29, accounting for 451,000 of the shoppers varying from the consideration of those earning above 3k of the same group. The consideration of the relationship status of the females should also feature since the 140,000 singles and 69,600 married couples can exploit the device differently. An exemption for the married can feature for those with kids who account for 55,000 potential shoppers.

The same should apply to the location of female shoppers with the preferences of those in downtown varying from the desires of the in the CBD. The education levels have with minimal consideration of the preferences of other groups. However, the consideration of the shopping places of the female clients and their personalities has to influence the segmenting process. The group demand details capability such as the improvement in video editing features that augment the outlook of shootings by the gender. The colours of the devices and the aesthetic appeal in offer presents the group the opportunity to enjoy the camera.

 The company has to consider the earning in pricing, while altering the features of the devices based on behaviours. People engaged in travel and outdoor activities can constitute a different segment from those working in occupations that involve minimal travel (Graves, et al., 2015). The attitude of the shoppers regarding brand loyalty is also a consideration in market segmentation. The campaigns can consider user status and the benefits sought from HERO4 devices.

  • Psychographic

The company has to consider the desires of those intending to use the camera for leisure-cum-work purposes. A significant section may demand to capture memorable events regardless of the setting (Prideaux & Coghlan, 2010). Some may intend to use the devices while on travels as in the case of media personalities. Women would especially be interested in buying this camera because of their attraction to the detail in the design. Additionally, they would be interested because of its small size, which makes it extremely portable

  • Behavioural

Luring more consumers to purchase the products requires capturing the needs of different markets, and such demands segmentation based on behaviour. The firm can choose to categorize shoppers as stylish or lovers of technological inventions (Nair, et al., 2015). The company can position HERO4 as a sophisticated device for the high-end markets, then use low price strategy in enticing the consumers. The consideration of female shoppers as critical section of the market is a critical elements as the group bases decision on perception. The younger females prefer trendy devices.

  • Degree of problem solving

The market has so various action cameras that prompt consumers to seek information objectively before making a decision. The approach is referred to as as extended problem solving since the purchase behaviour is pegged on the knowledge of innovations. It involves a higher risk in the evaluation process, unlike the case of the limited problem-solving approach whereby a consumer purchases a known commodity such as a T-shirt or a book. In making the decision about which camera to use, the average consumer will consider and evaluate the GoPro and other action cameras’ online and offline reviews as well as the recommendations before making a decision.

As noted, the extended problem-solving device or commodity describes the one that fulfils an additional demand of the consumers. In the case of the camera, it serves the basic function in addition to exuding video editing capabilities. The compatibilities with other technologies also give it an edge in providing extensional services. For that reason, the action camera carves a niche for itself as the ultimate innovation that facilitates capture of exciting images. It has lenses that ensure detailed capture of images and such augur well with the needs of female shoppers. The portability of the device and the different features courtesy of innovativeness such as the slot for fixing a carrying strap makes the device an extended problem-solving gadget. However, the marketers should capitalize on the ability through the provision of information about the camera to consumers through the relevant sources to facilitate objective decision-making.

The key influence in the decision to purchase the commodity is the improvement of experiences from the utilization of HERO4 camera. Their outlook of the devices is an affirmation that it serves in photography and video editing activities. The manufacturers aim at making the cameras affordable to the reach of many. Through commercialization activities, the company that produces HERO4 can lure consumers to develop the urge to experiment with the brand (Simonson &Nowlis, 2000).

The experiences attained after the decision are the solutions to the use of the device. The expectation is that many will capture satisfactory images with the camera. The fact that the cameras reduce problems associated with photography will influence the subsequent actions such as loyalty and decision to refer others to embrace the same brand. The attitude of the person in classifying the outlook of the device features as the internal factor in influencing the decision.

2.2.5 Need/problem recognition

The identification of the need to use a camera in the documentation of images is the problem identified in the production of the device. In line with Maslow’s hierarchy of needs, the concern relates to the quest for a device with performance that exceeds the capability of existing camcorders. The ascertainment of the goal requires the collection of information about the device. The consumers purchasing the device on numerous occasions have fulfilled their physiological needs and are only seeking to satisfy concerns, which are getting the best out of photography.

2.2.6. Information search

The consumers can learn about the camera through media campaigns and referrals from persons with experience of using the device. The marketers can link with shoppers through social media platforms and direct communication channels such as display stores. During the process, the consumers compare the capability of the device in relation to existing technologies. Information obtained from peers and referrals can influence the decision.

2.2.7. Evaluation of alternatives

The step that follows is the examination of the ideal option from the alternatives. The consumers compare based on knowledge shared and preference of specific features of the devices. The categorization of the device in term of performance and pricing influences most of the decision in the stage (Shearer, Gilbert, & Hero, 2013). The consumers can approach the decision objectively by analysing the expectation and financial resources available for the purchase. The reputation of the brand and the expected satisfaction from the purchase influences its selection.

2.2.8. Purchase decision

The purchase of HERO4 follows an intuitive consultation in which the consumer weighs the benefits of the action. HERO4 has features that make it exemplary in capturing digitals images. Its compatibility with other technologies and pricing makes it the preferable choice (Senecal & Nantel, 2004). The management can use loyalty cards or membership programs in creating a sense of belonging that entices shoppers to solicit more information about the brand when making purchases. The management can decide to run raffles for shoppers for the possibility of attaining additional products for use with the device such as camera bags.

2.2.9. Post purchase evaluation

The satisfaction of the consumer will emanate from the experiences when they utilize the components of the device (Woodman, 2011). The response from peers and simplicity of the features such as ease of operating them dictate satisfaction levels. The quality of pictures captured by the camera and video editing capabilities will inference satisfaction (Lin, 2016). Consumers will also consider sound capabilities of the recordings made by HERO4.

The divestment as the last stage is critical in decision-making on the mode of promoting future innovation (Woodman, 2011). The users of HERO4 can opt to issue the device as a gift to loved ones, thus precipitating shared experience with potential shoppers.

2.5 Three Key Influences

2.3. Internal 

2.3.1 Personality

The critical issue for consideration before the decision to purchase is the impression created in the minds of the consumers after comparing their expectation with the others in the society. Through social comparison, the shoppers can opt for HERO4 on presumption that they will attain similar benefits as those utilizing the same device. The desire of the shopper to blend with the rest of the consumer plays an integral role. They seek information with the desire to attain the best in the market. The sense of acceptance as a user able to choose the best device fulfils the need.

2.3.2. External Influence

2.3.3 Reference Group 

            The process of deciding on which device to use in capturing images depends on the exposure that one gains through interactions with the group. Before the decision, the female shopper can inquire from the members about the ideal device for use. The association of the brand with activities such as travel can also make the person solicit information from related sites depicting cameras for use by travellers. In a situation whereby the marketer uses celebrities associated with travel activities, the manufacturer can influence the demand for the device among those willing to travel.

The quest for acceptance and benefits attained from the device are some of the factors that might equally influence women desiring the gadget. The appeal that HERO4 promoters create is integral in encouraging referrals among the group. For example, when targeting female shoppers who love travelling the camera manufacturer has to explore the motivation behind travel and the need of camera. As noted, many desire a device that guarantees satisfaction in capture of detailed images.

2.4. Family

The nature of one’s family such as living with the husband also affects the decision. A person in a household comprised of children might require devices that enable capture of images in groups such as taking a shot with the child using cameras with automated capabilities. A person’s income also influences the choice of the camera. Couples may require devices fulfilling specific needs of the group, unlike married persons. For that reason, marketer must acknowledge the preferences of those single willing to use the Gpro made devices based on satisfaction attained from the use of the cameras (Yim, 2010).  

  • Key issue to information processing

The manufacturers can exploit the ability to invent new devices that augment satisfaction levels of consumers as a means of promoting sales. It is important creating the perception that the devices target all types of shoppers. Doing so can enable the manufacture to target user lacking interest in sporting activities. The strategy for reaching customer ought to capitalize on perception and exposure created through commercials that create acceptance outside the context of sporting.   

3. IMC strategy

The company can exploit marketing mix tools and communication strategies in reaching potential consumers.

3.1 External Context

The dynamics in the external environment in many ways has the potency of influencing the demand of the product in the market. It is on this basis that HERO4 must exploit PESTEL in planning. The elements for inclusion are the political decisions such as policy of the government towards the activities of manufacturing firms (Woodman, 2011). The decision to implement policies that encourage merchandising of the device will always influence sales. The economic environment also plays a role. In times of inflation or recession, the advertisers must acknowledge the possibility of change in the sale of HERO4 (Schultz, 2004).

4. Social Factors

The nature of interactions in the social setting is another issue for consideration in the promotion of the brand. When people appear receptive, HERO4 marketers ought to capitalize on the opportunity, because cultural perception affects the actions of consumers. Competition from reputable brands will dictate the performance of HERO4 devices in the market.

4.1 Business Context 

HERO4 can leverage on the affordability of the product and the capability to function effectively with other technologies. When marketing, the management can use the existing networks to reach consumers in various parts of the market (Bohn &Teizer, 2009). The exploitation of the professionals representing the company is a plus for HERO4.

4.2 Customer Context

The objective in considering the context entails formulating ways for reaching the group effectively. In the case of HERO4, the company can exploit the dynamics to its advantage by relying on the IMC model. One such strategy entails experimenting with a flexible model in marketing, which considers pricing and behavioural issues such as travelling as a marketing segmentation component. This is critical in endearing the device to women (Schwarz, 2004). The company can customize the sporting devices to attract women, for instance through producing gadgets that are bright colored, small enough to fit in a hand bag, mirrors, and filters.

The subsequent approach for grasping the attention of female shoppers entails using platforms recognizable by the group in the communication of information to reach the audience. An example is a social media page. During the process, the approach to communication must also create emphasis about the product being feminine since the action is responsible for the perception that influences the demand for the merchandise (Ramsey, Bet al., 2002).

Consumer decision-makingKey learningIMC implications
Problem identificationReferrals Motivations   
Information collectionSales personsAdvertising Direct communication Media
Evaluation of optionsUnique features of the devicePrice Values attained Perception of outlook
Purchase  PlacesRaffle city Vivo city Down town/orchard CBD
After purchase evaluationEmotionsAfter sales services Advise to consumers

The lesson from the model is that consumers’ preferences vary; thus the need for caution in the segmentation of the market. However, before steering campaign activities, the emphasis on perception ought to prevail (Cazenave, Kecy, Risi&Haddock, 2014). In the case of female clientele, the HERO4 manufacturer must consider the lifestyle preferences of the group such as traveling thereby formulating devices that meet the specific needs. The platform for communication is also integral since reaching the group can prove daunting if the media exploited is inappropriate. During distribution, the emphasis on existence of different capabilities is also necessary. The goal is to ensure that the communication appeal and the device appear as attractive and capable of fulfilling needs of consumers for success in the markets.


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