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Transcript of Rowen Bedeau Managing Marketing Assignment-A
Rowen Bedeau-Student Id (2096042) IATR Henley Management College-Managing Marketing Correctional Education Programme-CEP
Page 1 of 40
Managing Marketing In the
The CORRECTIONAL EDUCATION PROGRAMME DEPARTMENT
TRINIDAD AND TOBAGO PRISON SERVICE WORD COUNT: 5946
(EXCLUDING APPENDICES)
Rowen Bedeau-Student Id (2096042) IATR Henley Management College-Managing Marketing Correctional Education Programme-CEP
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Table of Contents A. Executive Summary...……………………………………………………………………....3B. The Assignment…………………………………………………………….………………4
B.1. Structure of the assignment……………………………………………………………4B.2. Learning Objectives for the assignment……………………………………………….4B.3. Assignment research methodology…………………………………………………….4
Part 1- Where We Are1.1Introduction …………………………………………………………………………..…...6 1.1.1. Brief outline of CEP…………………………………………………...………........…6 1.1.2. The Organisation……………………………………………………………..……..…9 1.1.3. VMOST Analysis………………………………………………..…………….……....9 1.1.4. CEP’s Core Values………………………………………………………..………..….9 1.1.5. Conclusion………………………………………………………………..……………9 1.2 Marketing Audit………..……………………………….………..…………………….…9 1.2.1 The Business Environment……………………………………………………………..9 1.2.2 Macro Environmental Scan……………………………………………………………10 1.2.3 Micro Environmental Scan…………………………………………………………….11 1.2.4 Market size……………………………………………………………..…………...…14 1.2.5 Customer Analysis…………………………….…………………………………...….14 1.2.6 Segmentation………………………………….………………………………….……16 1.2.7 Competitor Analysis…………………………………………………………….……..16 1.2.8 Company Analysis……………………………………………………………….…….17 1.2.9 Collaborator Analysis……………………………………………………………..……18 1.2.10 CEP Internal Audit…………………………..……………………………………....…18 1.2.11 Marketing System Audit……………………………………………………………….22 1.2.12 Conclusion SWOT Analysis……………………………………………………….…..23
Part 2- Where We Want To Be2.1 Marketing Assumptions, Risk and Forecast………………………..…………………...25 2.1.1 CEP’s Marketing Objectives………………………………………..…………………25 2.1.2 Segmentation, targeting and positioning……………………………………………….27 2.1.3 Positioning statement…………………………………………………………………..29 2.1.4 Internal marketing initiatives………………………………………..…………………29 2.1.5 Competitive role in the marketing place……………………………………………….29 2.1.6 Marketing mix strategies………………………………………………………………30 2.1.7 Beyond the marketing mix……………………………………….……………………31
Part 3- How Do We Get There3.1 Promotional Campaign.......................................................................................................34 3.1.1 Communications Objectives………………………………………………………..…34 3.1.2 Budgeting and Justification for Implementation……………………….……………...35 3.1.3 Implementation…………………………………………………….…………………..36 3.1.4 Monitoring, Control and Evaluations…………………………………………….……38 3.1.5 Contingency Plan………………………………………………………………………39 3.1.6 Conclusion…………………………………………………………………………..…39 Bibliography…………………………………………………………………………………...40
Rowen Bedeau-Student Id (2096042) IATR Henley Management College-Managing Marketing Correctional Education Programme-CEP
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A. Executive Summary This assignment in managing marketing will set up a marketing plan for the Correctional
Education Programme (CEP) of the Trinidad and Tobago Prison Service, a division of the
Ministry of National Security. This will be initiated through a situational analysis that
describes the present state and by defining the future marketing strategy, focusing on
relevant segments and a proper marketing mix for them. Finally the future strategy will
be transformed into a tactical marketing programme.
Part one (1) reviews the business strategy context with specific emphasis on the
organisation’s role, structure, vision, mission, objectives and core values. It also
examines the internal and external environment in which operates within with a view on
developing a SWOT on its findings.
Part two (2) examines the assumptions, risk, objectives and strategies to be considered in
the development of the marketing plan.
Part three (3) identifies the marketing programme required to market ’s products and
services together with a contingency plan which will be applied in the event that the
desired objectives are not realized through the implementation of the ’s chosen initiatives.
Rowen Bedeau-Student Id (2096042) IATR Henley Management College-Managing Marketing Correctional Education Programme-CEP
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B. The Assignment
Select one of your organisation’s product, services or a business unit then, with reference
to the Managing Marketing study materials and associated readings, present your
recommendations for an integrated marketing plan for the future development of your
chosen product or service.
B.1 Structure of the assignment
Figure 1: Assignment Structure
B.2 Learning Objectives for the Assignment
At the conclusion of this assignment report, one will be able to recognize the need to
analyze markets and to articulate the strategic direction of their organization to seek an
advantage. Though the organization under review is a not for profit (nfp), it does pose
some challenges in equating it to the corporate ones. It will bring a better appreciation for
the identification of customer needs through the application of segmentation, targeting
and positioning for organization similar to these.
B.3 Research Methodology
In developing CEP’s integrated marketing plan a survey questionnaire was used to solicit
customer information and formal interviews were conducted with the staff (civilian
volunteer, contract, inmate and officer).
Rowen Bedeau-Student Id (2096042) IATR Henley Management College-Managing Marketing Correctional Education Programme-CEP
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PART 1: WHERE WE ARE NOW
Rowen Bedeau-Student Id (2096042) IATR Henley Management College-Managing Marketing Correctional Education Programme-CEP
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1.1 Introduction to CEP
1.1.1. Brief outline of CEP A Cabinet appointed Task Force was set up in 2000 and proposed that the Prison Service
of Trinidad and Tobago should commit itself to the effective rehabilitation and
reintegration services. It was suggested that in order to so they must adopt a Reintegrative
Penal Policy, utilizing a shared responsibility model of rehabilitation. These approaches
features a correctional intervention process that ensures that inmates (customers) are
methodically assessed in relation to their needs, personality, competences and risks, and
assigned to habilitative activities in a planned and coherent manner. This intervention
strategy maps out a direction for the Trinidad and Tobago Prison Service development
and transformation.
1.1.2. The Organisation With regards to marketing, the core business of CEP is the core business of the Prison
Service. It is the central coordinating body with the responsibility of marketing all plans,
incentives and schemes with respect to corrective programmes.
The organization consists of 26 employees (see organisational structure, figure 12 page
31) superintendents of each Prison are excluded in the staffing but included within the
organisational structure. CEP operates within a framework of both internal (I) and
external stakeholders (E) (see figure 2).
Programmes offered to the (customers) are designed to change the philosophy of the
Prison from one of retributive to restorative holding on strongly to the newly formed
core values (see core values on page 9). In that context the department has analysed the
need for change and has broken the programme offerings into five distinct categories,
which are the tactical arms of CEP’s VMOST.
Rowen Bedeau-Student Id (2096042) IATR Henley Management College-Managing Marketing Correctional Education Programme-CEP
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Table 1: CEP’s VMOST
Vision CEP will be regarded as a model of outstanding Correctional Administration and as the best value provider of efficient and humane correctional services and programmes in the Caribbean.
Mission To function within the Judicial System, communicating effectively and accurately
in assisting in the dispensation of justice. To promote the rehabilitation of
probationers, offenders, victims and dysfunctional families through education,
research and advocacy. To plan and implement projects and programmes which
would prevent or at least to minimize those at risk of re-offending.
Objectives � Increase the provision of accreditation treatment and training
programmes by 50% by 2008
� Increase constructive regimes by 25%
� Reduce re-offending
Strategies Provide opportunities and constructive regimes, which addresses offending
behaviour in and out of prison, the creation of citizens that can contribute to the
holistic development of the nation
Tactics The tactics employed are carried out using the five (5) departments.
Culture- A structured syllabus of activities was developed so as to encourage participation and from both unique populations of the Prisons; the participants and the non-participants.
Education- The tactics employed here is clearly outlined in the business model. Each programme is geared towards quality delivery, customer satisfaction, and equal opportunity.
Life-skills: - In keeping with the department’s mission statement, the focus of this unit is on the holistic development of the customer and they are basically two (2) areas, society life-skills and work community life-skills.
Religion: - This aspect of the programmes ensures the spiritual approach is included and helps to maintain control and foster a spirit of integrity. The availability of all denominations possible is crucial in maintaining the objectives of its vision. Sports: - Programmes offered here are geared towards fostering teamwork and tolerance.
Rowen Bedeau-Student Id (2096042) IATR Henley Management College-Managing Marketing Correctional Education Programme-CEP
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Figure 2: Stakeholder Map of CEP
Business Model of CEP: The business model of CEP is based on a SIPOC diagram.
Figure 3: Business of CEP Supplier Input Processes Output
Customers
All Stakeholders
Request for quality programmes
Quality programmes
Receipt of programmes
Rowen Bedeau-Student Id (2096042) IATR Henley Management College-Managing Marketing Correctional Education Programme-CEP
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1.1.3. VMOST Analysis Since the incorporation of CEP in August 4, 2000, the department has created its own
VMOST end ensuring alignment to the Prison Services’ VMOST and the parent ministry,
the Ministry of National Security. The objectives are SMART1 because it deals with the
specific nature of the customer, measurable because progress can be monitored. It is
agreeable because of the mission and its sync with that of the parent ministry. It is
relevant because it deals with the specific nature of the customer one of the key
stakeholders. Time-bound due to the fact that the customers are incarcerated for a specific
period. The VMOST structure for the Correctional Education Programme Department is
in alignment with the VMOST of the Trinidad and Tobago Prison Service and further the
parent ministry, the Ministry of National Security2.
1.1.4. CEP’s Core Values Based on the VMOST analysis CEP has developed its core values with a strong customer
focus in mind. The core values are the acronym HEIGHTS.
H Humanity; E Equality; I Integrity; G Gusto; H Humanity;
T Tolerance; S Hospitality 1.1.5. Conclusion In order to achieve these objectives as stated above it is obvious that a marketing
approach must be taken. No longer can the Prison Service coerce its customers into
structured/unstructured programmes. The customers are evolving and with the strong
awareness of their external environment and its ongoing dynamism. They are now
demanding quality delivery for their time incarcerated, they must be convinced.
1.2 Marketing Audit
1.2.1 The Business Environment Through an analysis of the external frameworks (macro environment forces) and
microenvironment factors in which CEP operates in, it is possible to assess the future
1 SMART- Specific, Measurable, Achievable, Relevant, and Time-Bound 2
Mission of the Ministry of National Security is “To create an environment which ensures public safety and security through the
maintenance of law and order and the commitment of all available resources to the protection of life and property?
Rowen Bedeau-Student Id (2096042) IATR Henley Management College-Managing Marketing Correctional Education Programme-CEP
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marketing opportunities in order to enhance revenues (customer enrollment into
programmes), and also to assess threats that may be a hindrance for the successful roll out
of new marketing activities. 1.2.2 Macro Environmental Scan A PESTL analysis indicates the macroeconomic factors of importance to CEP. The key
drivers of change identified in the PESTLE analysis outlined in red in the table below.
Table 2: PESTL Analysis of CEP external environment
Influ
ence
ondi
visio
n
Impa
cton
Dep
artm
ent
Scor
eA
*B
Driver of Change A B A*B
Opportunity Threat
P- The Government’s drive for achieving Vision 2020.
10 10 100 CEP can develop strategic plans with relevant KPIs
Competitors can do the same
P- The upcoming general elections 4 7 28
If ruling part wins, initiatives continue
New government focus on anti-crime can stymie progress
E- Higher demand for productivity 6 9 54
Good marketing incentive for job placement
Frustrations can develop if customers cannot get enrolled
E-Low unemployment level of 5.46% 4 8 32
Numerous opportunities for sustainable employment
No threat
S-Government’s commitment to providing a safer society
9 9 81 Focus on restorative programme can attract support
No threat
S-Government granting of free tertiary education 5 8 40
To increase accreditation, a marketing incentive.
More of the citizenry becomes eligible competition for space increases.
T- Advancement in broadband and its ease of availability
3 5 15 Online distance education can be provided
No threat
L- The UN standard minimum rules of the treatment of inmates 7 9 63
CEP can establish itself as market leader due to provision of programmes and its availability
Any untowards incidents can damage reputation.
L- The establishment of a parole board 9 10 90
Marketing of programmes will have a greater benefit
Improper monitoring and evaluation for determination
Rowen Bedeau-Student Id (2096042) IATR Henley Management College-Managing Marketing Correctional Education Programme-CEP
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Political: The Government’s drive for achieving Vision 2020- This driver is a unique one as it
allows the department to restructure, monitor and evaluate its strategic plans with the
emphasis on change.
Legal: The Establishment of a Parole Board- This driver is a unique one as it conforms to
international standards; it presents a lot of opportunities for the department, the Prison
service and the government and the reputation of the country. A parole system would
mean that the institution’s population could be reduced; the effectiveness of the life-skills
section can become fully functional as parolees are sanctioned. The threat is minimal and
could only occur if monitoring systems fail. It can also be used as a marketing strategy as
the customers can be rewarded for enrollment and successful completion of programmes. 1.2.3 Micro Environmental Scan After the formation of the task force report, CEP was formed and it became the absolute
market leader of the facilitation of rehabilitative programmes. As the market leader, the
organisation is changing the focus from a department just dealing with simple non
accredited, unstandardized programmes to an industry dealing with accredited, structured
programmes with a strategic vision as mentioned in the VMOST.
The micro-environment is used to describe the factors in the external environment
influencing competition in the industry and the more narrow issues to be aware of in
daily operations addressing opportunities and threats. Where changes or fluctuations in
the PESTL-environment may have a direct impact on the entire industry, the factors in
the micro-environment must be monitored as they may have an instant impact on our
daily business environment. The perspective of CEP is mainly a customers` perspective
where one of the main ideas in the department’s concept is to manage as many of the
customers` peripheral duties (work) as possible so they can concentrate on their core
activity (meaningful participation in programmes).The target market of the department is
the non-participant of programmes.
Rowen Bedeau-Student Id (2096042) IATR Henley Management College-Managing Marketing Correctional Education Programme-CEP
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Determining the threats
Porter’s 5-forces is used to determine whether there are immediate or future threats to
consider in relation to the future marketing strategy.
Bargaining Power of Supplier – Here the power is high, suppliers of raw material is
short listed to three (3) with little price variation, to counteract that some items (e.g.
consumables) can be sourced from the general stores of the Prison. Government funding
is not always on time and so the supplier raises their cost price in an attempt to recover
expenditure; in severe cases supply is withheld until some form of contractual
arrangements can be made to guarantee payment.
There is another case where the supplier a Non-Governmental Organisation (NGO) is
also a stakeholder; there is now a shift with them now having high interest high power.
These agencies also compete for funding allocated in the transformational vote for
provision of services.
Bargaining power of customer- Here the power is low, the department is a government
agency and equating it to a cash business is a bit tough. The main customer here is the
inmate, in a stakeholder analysis he has a high interest and little power. CEP is a provider
of specialized services tailored to the needs of the targeted customer, there is really little
or no bargaining here.
Competitive Rivalry- Here the threat is high because of the nature of the business CEP
provides. There are a lot of external agencies that do the same business. As stated before
NGO’s are now competing for allocated funding in the transformation vote, using their
bargaining powers as suppliers they build a case showing mutually assured benefits.
Threat of substitutes- High threat level. The Non Governmental Organisations, other
providers of similar services is direct threats. In two of the tactical areas; education and
life-skills, the presence of Faith Based Organisations (FBO’s) poses some concerns. They
put up good cases to the Ministry of National Security on how they can provide similar
services at little or no cost. The problem with that type of arrangement is that, they are
Rowen Bedeau-Student Id (2096042) IATR Henley Management College-Managing Marketing Correctional Education Programme-CEP
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not accredited and follow no regulatory authority for provision of such, quality is
sufficed. The VMOST is scarified in order to cut on cost.
Threat of New Entrants- Very low-level threat. The Prison has a distinct advantage and
that is security. It is costly in terms of manpower resources to send inmates for services
provided by another entry.
Life Cycle Analysis of CEP
Programmes offered by CEP to its customers are products. To consider what stage the
department has reached in terms of its lifecycle analysis, one has to equate products
offered to those on the external markets. Benchmarking and quality control are tools that
can be considered in assessing its stage. In terms of accreditation of programmes, all
programmes are in their growth stage because of programmatic accreditation. CEP as an
institution is in its growth stage according to the indicators of institutional accreditation.
Figure 4: Life Cycle Analysis of Programmes in CEP
The characteristics regarding the growth stage is the number of customers (inmates)
trying the product offerings and the entry of competitors trying to fight for a share of the
growing undifferentiated market. CEP encounters a fast growing competition from
Rowen Bedeau-Student Id (2096042) IATR Henley Management College-Managing Marketing Correctional Education Programme-CEP
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especially NGOs, where some Unique Selling Propositions are similar to those offered by
other accredited institutions to mention a few.
1.2.4 Market size The present market consists of one thousand six hundred and seventy-seven (1677)
inmates that make up the non-participatory group. The current enrollment in programmes
on all stations is seven hundred and seventy-five (775). The market size was further
analysed using the following
• Overall market share- CEP enjoys the facts that there are no direct external pull
factors that will take customers outside the prison’s compounds.
• Segment share that in the specific, targeted segment-The non-participatory targeted
customers makes up a 68% of the prison’s convicted population.
• Relative share -in relation to the market leaders- There are no market leaders in this
industry.
Market share analysis
CEP Sales may still be increasing as shown in figure 6 in an expanding market, while
share is actually decreasing due to competition from the two main competitor groups
(NGOs and FBOs). Where such market share is tracked, there may be a number of
aspects which will be followed:
• Overall market share CEP has a market share of 2452 customers and the endless
possibilities of programme combinations offered.
• Segment share - that is the specific targeted segment which is the non-participants
of programmes which represents a total of 1677 targeted customers.
• Relative share in relation to the market leaders, CEP enjoys the current position as
market leader.
1.2.5 Customer Analysis CEP uses Customer analysis to develop a scheme for market segmentation, breaking
down the market into various constituent groups of customers, which are called customer
segments or market segments. CEP management work to develop detailed profiles of
Rowen Bedeau-Student Id (2096042) IATR Henley Management College-Managing Marketing Correctional Education Programme-CEP
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each segment, focusing on any number of variables that may differ among the segments:
demographic, psychographic, geographic, behavioral, needs-benefit, and other factors
may all be examined. They attempt to track these segments' perceptions of the various
products in the market using tools such as perceptual mapping. The introduction of an
Inmate Information System (IIS) was developed by the CEP department which is a
comprehensive database that tracks from inmate interest to enrollment in programmes.
Table 3: Customer Analysis
Who are the customers? Participants of the rehabilitative programmes
What are their key characteristics? They are all inmates who are convicted
What differentiates them from other
members of the population?
They are convicted and committed others are
committed and not convicted.
What are their needs and wants? Rehabilitative programmes that can enable
them some decent sustainable living after
incarceration.
What do they expect the `product' to do? They expect to be certified. Earn life time
value.
What are their special requirements and
perceptions?
Response from the members of the citizenry of
Trinidad and Tobago will be more acceptable.
What do they think of the organization
and its products or services?
They dislike the organisation but like the
product offerings.
What are their attitudes? One of caution.
What are their buying intentions? To enroll in as much programmes possible.
Customer Loyalty
An analysis of customer loyalty was done using the Customer Loyalty matrix below
(figure 5) to determine loyalty. Enhancing loyalty in target customers can lead to
sustainable and profitable sales growth.
Rowen Bedeau-Student Id (2096042) IATR Henley Management College-Managing Marketing Correctional Education Programme-CEP
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Figure 5: Customer Loyalty Matrix H
igh
Mercenary
o Customers enrolled in religious programmes held by FBOs. They switch from programme to programme.
Loyal/Apostle
o Customers that have acquired certification through examinations. They normally advocate on behalf of the programmes for CEP.
Satis
fact
ion
Low
Defector/Terrorist
o First-timers, those with behavioural problems. They are usually enrolled in Life-Skills programmes.
Hostage
o Those with behavioural problems, hold authorities to ransom because of rules and regulations. They are normally those serving a life-time sentence.
Low High
Loyalty Source: Adapted from Jones and Sasser (1995)
1.2.6 Segmentation Analyzing customer intelligence, using a combination of secondary and primary research,
from CEP’s database and conducted surveys, revealed that 93% of customers are male,
unskilled and literate.
1.2.7 Competitor Analysis Competitor analysis is done by CEP marketing department that builds detailed profiles of
each competitor in the market, focusing especially on their relative competitive strengths
and weaknesses using a SWOT analysis. There are two distinct groups of competitors for
CEP. Table 4 below shows how the competitors are analysed.
Table 4: CEP’s Competitor Analysis
Competitors Areas of Analysis Faith Based Organisation
(FBO)
Non-Governmental Organizations
(NGO)
Cost Structure The economic cost (opportunity cost) here is high. Variable cost are low due to nature of the firm, funding is a subsidee.
The economic cost (opportunity cost) here is high. Variable cost are low due to nature of the firm, funding is a subsidee.
Sources of Profit Donations from the private Donations from the private
Rowen Bedeau-Student Id (2096042) IATR Henley Management College-Managing Marketing Correctional Education Programme-CEP
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Competitors Areas of Analysis Faith Based Organisation
(FBO)
Non-Governmental Organizations
(NGO)
sector here is high, well over
TT$3.5, 000,000.00 per annum.
sector here is high, well over
TT$ 7,000,000.00 per annum.
Resources and
Competencies
These organisations possess
personnel that are willing but not
that much competent to deliver.
More qualified and competent
personnel than the FBOs
Positioning The organisation can make
themselves specialized by
becoming small and flexible.
Operating on low cost low
quality. Unique benefits for
after-care services. Appeal to
emotional side of customers
The organisation can make
themselves specialized by
becoming small and flexible.
Operating on low cost,
medium quality. Unique
benefits for after-care
services. Appeal to emotional
side of customers.
Product
Differentiation
Tend to follow niche marketing Tend to follow niche
marketing
Degree of Vertical
Integration
No degree of vertical integration. Ability to vertically integrate
by networking.
Historical response to historical development
Acceptance to change Understands change but slow to accept.
1.2.8 Company Analysis CEP marketers focus on understanding the company's cost structure and cost position
relative to competitors (see table 4), as well as working to identify their core
competencies and other competitively distinct department resources. The company may
also conduct periodic brand audits to assess the strength of its brands and sources of
brand equity.
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1.2.9 CEP’s Collaborators Analysis
CEP collaborators are also profiled, which include various suppliers, distributors and
other channel partners, joint venture partners, and others. An analysis of complementary
products may also be performed if such products exist.
Table 5: Analysis of CEP’s collaborators
Collaboration Collaborators Contributions Suppliers Internal- Prison Service (officers)
operational shifts. Book suppliers, office suppliers NGO’s and FBO’s
Management
Consumables Consumables
Distributors Volunteer group, Inmates, peer counselling, officers.
Tutoring rehabilitative programmes.
Joint Venture Ministry of Education, Ministry of Science, Technology and Tertiary Education Ministry of National Security.
Accredited programmes, Accreditation standards. Audits
1.2.10 CEP Internal Audit Analyzing CEP’s using applicable sections of Foreman et al, 2000; Internal Marketing
Audit checklist reveals the following:
a) Innovation
b) Strategy
c) People and Relationships
d) Performance
e) Execution
f) Portfolio Analysis
• Innovation
o Management is highly responsive to customers’ suggestions for improvement,
especially in customer grievances.
o Surveys are now continuously being conducted to align the department to the
needs and expectations of customers.
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• Strategy Audit
o CEP’s main strategy at present, aims to direct the organisation away from that of
mismanaged programmes without the presence of accreditation and monitoring
and evaluation.
• People and Relationships
o Efficient and committed staff, operational and administrative staff
o Harmonious working environment. Tense at times
o Shared values: honesty, customer minded, respectful.
o Functional, flexibility amongst staff.
o Formal and informal communication via one on one meeting, internal memos,
performance evaluations, resolution of customer queries/complaints.
• Performance
The most important elements of marketing performance, which CEP normally
tracks, are: Sales analysis: CEP being non-profit organisation sales results are calculated
by the number of customers enrolled in programmes. Figures 6,7 and 8 shows customer
programme enrollment for the period 2000-2006, customer participation in programmes
for the year 2006 and customer enrollment per station for year 2006, respectively.
Programme Enrollment
167 267 315 395 499625
775
0
200
400
600
800
1000
YearProgramme Enrollment 167 267 315 395 499 625 775
2000 2001 2002 2003 2004 2005 2006
Rowen Bedeau-Student Id (2096042) IATR Henley Management College-Managing Marketing Correctional Education Programme-CEP
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Programme Participation
Participants, 775, 32%
Non-Participants, 1677, 68%
Customer Enrollmentfor 2006
POSP, 24, 3%YTC, 80, 10%
MSP, 415, 54%
WP, 50, 6%
TP, 15, 2% CCP, 97, 13%
GGP, 94, 12%
o Execution
The analysis of the present marketing mix is defined in the table 6 below.
Table 6: Present Marketing Mix
# Marketing
Mix
Participants Non-Participants
1 Product Unstructured curriculum, few
programmatic accreditations.
no product
2 Price No emphasis on cost per
customer, alignment to assessment
No emphasis
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# Marketing
Mix
Participants Non-Participants
results not adhered to
3 Place Programmes offered in the same
location
Few programmes offered at place
of habitation (yards and blocks).
No emphasis on monitoring.
4 Promotion Word of mouth and coercion by
staff.
Word of mouth
5 Process See business model, figure 3. none
6 People CEP has an adhoc method of
recruiting staff. Big emphasis on
training and development.
Inmate staff is used as peer tutors.
7 Physical
Evidence
Reports from the media houses,
testimonies from customers. No
internal reporting available.
Enrolment and programme
participation.
Portfolio Analysis
The product portfolio analysis below was used to examine the relative competitiveness of
CEP’s programme offerings. This analysis indicates that a number of technical vocational
programmes are positioned within the “Stars” quadrant. This shows that these products,
data has shown these products are like Fads, however the objective of CEP is not to just
provide this type of skill training but empowering the customer and giving them the
ability to survive without becoming recidivist.
The product/service within the “Question Mark’ quadrant indicates that the strategy has
to be changed and a new focus be taken up. The ‘Cash cows’ remains the main core of
programme offerings and programme enrolment.
Rowen Bedeau-Student Id (2096042) IATR Henley Management College-Managing Marketing Correctional Education Programme-CEP
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Figure 9 - Boston box adapted to CEP
1.2.11 Marketing Systems Audit Table 6: Marketing Systems Audit
Marketing Systems Audit Response
Marketing information systems
Is the marketing intelligence system producing accurate, sufficient and timely information about marketplace developments with respect to customers, prospects, distributors, competitors, suppliers and various publics?
No
Are departmental decision makers asking for enough marketing research, and are they using the results?
No
Is CEP employing the best methods for market measurement and sales forecasting?
No
Marketing planning systems Is the marketing planning system well conceived and effectively used? No Do marketers have decision support systems available? No Does the planning system result in acceptable sales targets and quotas? Yes
S ta rs
R e la tiv e M a rk e t S h a re
Mar
ketG
row
thR
ate
Cas
hU
sage
C a s h G e n e ra t io n
H ig h L o w
Low
Hig
h
D o g s
N a tio n a l E x a m in a t io n C o u n c il-L e v e l 1 T e c h n ic a l/V o c a t io n a l P ro g ra m m e s
M in is try o f S c ie n c e a n d T e c h n o lo g y a n d T e r t ia ry E d c a t io n - T e c h n ic a l V o c a t io n a l
P ro g ra m m e
In fo rm a t io n T e c h n o lo g y (M ic ro so f t O f f ic e U se r S p e c ia l is t L e v e l 1 )
B ib le p ro g ra m m e s
A d v a n c e d L e v e l P ro g ra m m e s
H o b b y C la sse s
D ru g R e h a b il i ta t io n P ro g ra m m e s
P r im a ry S c h o o l L e a v in g E x a m in a t io n
A rt C la sse s
C a r ib b e a n E x a m in a t io n C o u n c il
C a s h C o w s
Q u e s tio n M a rk s ?
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Marketing Systems Audit Response
Marketing control systems Are control procedures adequate to ensure that the annual plan objectives are being achieved?
Yes
Does management periodically analyse the profitability of products, markets, territories and channels of distribution?
No
Are marketing costs and productivity periodically examined? No New product development systems Is the company well organised to gather, generate and screen new product ideas?
Yes
Does CEP do adequate concept research and business analysis before investing in new ideas?
No
Does the CEP carry out adequate product and market testing before launching new products?
Yes
1.2.12 Conclusion The conclusion of the marketing audits which is comprised of both an external and
internal market audits is summarized in the SWOT matrix in figure 10 below.
Figure 10: SWOT Analysis
Strengths Weakness Alignment of CEP VMOST with the VMOST of the Prison service
Physical evidence is not communicated effectively to stakeholders to accentuate influence.
Upgradeable Inmate information system Committed officer staff not established Emphasis on training Access to two sources of funding Entire market within confines of prison Effective scheduling to maximize contact hours and optimize limited carrying capacity
Opportunities Threat To offer same package to the public Presence of NGO’s and FBO’s replicating
system (market followers). Effective marketing can gain sway the public’s perception of the prison
Dependence on inmate tutoring, services can be withheld at anytime. Customers categorized as mercenary have access to media’s appetite
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PART 2: WHERE WE WANT TO BE
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2.1 Marketing Assumptions, Risk and Forecast Even if it does not seem to be a significant threat right now, one of the assumptions in the
following sections will be that there can be a change in the political directorate due to the
upcoming general elections. This assumption is made to plan for a “worst” case scenario
in the future and to evaluate what marketing initiatives can do to help prevent this.
The objectives and strategies to be presented are underpinned by the following
assumptions in Table 7:
Table 7: Marketing Assumption, Risk and Forecast
Marketing Assumptions Risk Forecast The Government’s drive for achieving
Vision 2020 will continue
Low To date the government has pursued
rigorously Vision 2020 and there are
no reasons to suggest that this will change
in the near future.
Change in Political directorate High To appease the public there may be a
reversal from re-integrative to
rehabilitative
Low unemployment level of 5.46% Low Good economic stability provides good
turnover for CEP customers.
The establishment of a parole board High This may not be well received by the
public, success depends on the marketing
strategy to the external stakeholders
Government granting of free tertiary
education
medium This can change dependant upon
economic situation.
2.1.1 CEP’s Marketing Objectives As assessed in the marketing audit, the strategy of differentiating the programme
products in CEP will enable increased sales, and ease competition from low cost
providers offering an undifferentiated product range. It is therefore assumed, that by
differentiating the programme package products to a more exclusive level and a more
narrow focus on marketing towards the high yield segments, it will be possible to
increase both turnover and revenues within the existing infrastructural capacity.
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The marketing objectives are listed below
1) Improve customer relationship management – increasing the satisfaction and
customer loyalty by December 2007.
2) To retain and increase the participant group up to 50% by September 2007.
3) To provide excellent service, second to none, all the time and every time.
Strategy to be adopted
Regarding the undifferentiated stage of the entire product portfolio in the prisons and the
objectives, the strategy will have to go from the existing standard product to a more
exclusive product portfolio regarding both content and image, as described in Mathur’s
merchandise matrix (figure 11).
Figure 11: Mathur’s Merchandising Matrix
The objective of moving from a standard undifferentiated product to a differentiated
product portfolio is the advantage of being able to charge a premium price (customer
enrollment); the exclusive product distinguishes itself from competitors’ products both
regarding content and image. This strategy is viable especially due to the limited
infrastructure and carrying capacity of CEP. CEP shall attempt a strategy of product
leadership in the examinable programme areas and seek adequate level of operational
excellence in services and customer intimacy for other programme areas.
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2.1.2 Segmentation, targeting and positioning Segmentation According to Jobber 2000 and Kotler 2003 ‘A market segment consists of group of
customers who share a similar set of wants.’ CEP has gone has analysed their customers
based on the information queried from the database and formal interviews. The data here
in the table below was not restricted to the present/current circumstances of the customers
but an overall (life outside the prison) data was collected. Reasons for adopting that
approach was in keeping with the new strategy, which is preparing them for the outside
world and sticking to its positioning statement.
This segmentation process generally showed that prospective customers were focused on
attaining certification with the aim of gaining sustainable employment. Employment
which would afford them a better way of life. The segmentation process also indicated
that all of the segments were within the high crime areas of Trinidad. Table 8 shows the
bases of segmentation for CEP customers.
.Table 8: STP Matrix
Base Variable Description Justification
Geographic Region East-West and South Trinidad
it is assumed that most customers reside in these regions
size City areas Town areas, drug use.
Density urban, suburban Population must be large enough market to be sustainable
Demographic Age 14 - 55 years assumed typical age range for customers
Sex males and females Both sexes, however more male involvement
Family lifecycle
single or young married
92% unmarried parents and are dependants themselves.
Occupation
Labourers, unskilled, functionally illiterate
Mostly school drop outs, victims of dysfunctional homes.
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Base Variable Description Justification
Psychographic Lifestyle Inactive, outdoor, unhealthy
They typically have an outdoor active lifestyle one that supports drug use.
Behavioural Purchase occasion
Not to interested in programmes Have no genuine interest
Benefits sought
Placement in other less stressed sections, qualifications.
Both functionally illiterate and unskilled want a quality product that satisfies their needs
User status/rate
Participants and non-participants
focus on both participants and non-participants
Loyalty status
loyal, brand conscious
Customers who benefited before are usually brand loyal and would not need to be persuaded to adopt new product.
Attitude enthusiastic, positive and indifferent
Participants-good attitude toward product and brand required for adoption. Non-participants people could be persuaded.
Targeting The segments identified were further assessed to validate their attractiveness to CEP
potential customers. The findings showed that all the segments are accessible,
identifiable, profitable, actionable and effective to CEP present resources in terms of
facilitators and infrastructure that supports the inadequate carrying capacity. As a
consequence the targeted approach that CEP will utilise is one of differentiated
marketing, making the product more exclusive and enhancing the benefits.
Positioning According to Ries and Trout (1993) “Positioning is not what you do to the product,
Positioning is what you do to the mind of the prospect”.
Programmes offered at CEP are no different from programmes offered on the outside
especially in the area of structure. However what CEP does differently is to apply the
restorative approach that will enable their customers on release to be productive citizens
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that will contribute to the continuous development of Trinidad and Tobago (see
marketing objectives) 2.1.3 Positioning statement In order to attract the target market identified, CEP’s brand positioning statement will be
as follows:
“To those waiting to make the next best step to attain a better way of life our
accredited programmes offered at CEP will do just that for you”
CEP highly trained staff is committed to your transformation by employing the best
techniques, whilst fostering an environment of integrity and equality.
2.1.4 Internal marketing initiatives A policy decision by senior management to adopt a full customer relationship focused
approach in anticipating and meeting customer needs is recommended. Staff (officer,
volunteer, contract and inmate) commitment to customer retention by introducing an
internal service marketing initiative, whereby each CEP staff member is a marketer and a
customer, in terms of internal and external information dissemination is crucial. Staff
commitment and the existing harmonious environment are conducive to this. Therefore,
in analyzing CEP’s Internal Service Quality is the only in-house aspect that may need
developing to introduce a market orientation approach to the delivery of excellent service
and customer retention.
2.1.5 Competitive role in the market place As stated before, CEP has become the absolute market leader in the Correctional
Education industry. It is also observed in the BCG matrix that programmes in the Life-
Skills and Religious areas are loosing market share at the moment, which means that the
division has to defend its market position. By making the product exclusive and
incorporating it in the entire curriculum, CEP can regain market share. 2.1.6 Marketing mix strategies
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Referring to the strategy of market penetration and the product portfolio in order to attract
the non-participants the following marketing mix is recommended using the 7P’s, taking
into consideration the participant group to retain them.
Table 9: Marketing Mix # Marketing
Mix
Participants Non-Participants
1 Product Restructured curriculum, programmatic accreditation.
Same product applies
2 Price Cost reduction (modified value chain) allowing increased programme participation per enrollee.
Programme offered in packages based on assessment and personal needs
3 Place Programmes will be offered in the same location with a new curriculum
Programmes will be offered at place of habitation (yards and blocks). Distance education style using inmates that are loyal (see table 6)
4 Promotion Posting up the new curriculum and the benefits attached
The use of the print media for building family support. The use of collaborators, NGO s and FBOs. Religious and sporting functions. Campaign launch
5 Process A more detailed curriculum with strong emphasis on contact hours
Even more emphasis on contact hours.
6 People CEP will employ the best HR practices in the areas of staff recruitment and selection, training and development.
Same applies
7 Physical
Evidence
Reports from the media houses, testimonies
Enrolment and programme participation with customer satisfaction.
2.1.7 Beyond the Marketing Mix
o Resources: CEP having a greater number of resources than their competitors will
have an easier time competing in the marketplace.
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o Financial resources- Having access to the transformational vote for corrective
activity which is directly under the “development programmes vote”
o Plant-Having adequate facilities and modern equipment to carry out and
match providers on the outside who are not in direct competition.
o Human- The CEP staffs have all gone through training such as process
mapping and management strategies, team dynamics, curriculum development
and other necessaries for proper delivery. CEP also enjoys the specialization
placed on their job descriptions, which them takes away from the overly
burdened operational activities.
o Legal- Application to marketing here is the presence of the equal opportunity
act, which enables all customers to have access to programmes. Exceptions
will be made in the area of education where one’s ability to enroll into
programme of choice depends on the evaluation assessment.
o Organisational structure- A hierarchal system which is lead by the
superintendent and managed by officers of CEP. See figure 12 below
Figure 12: Organisational Structure of CEP
o Informational knowledge- Knowledge of the customers and competitors is a
key resource.
o Relationships
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CEP’s business success, as in life, is based on the relationships they have with
people (stakeholders, see stakeholder map). Marketers must aggressively build
relationships with customers, distributors, collaborators, partners and even
competitors if they want to have success in the competitive marketplace.
There are four type of relationships the department recognizes; (1) win-win
(2) win-lose (3) lose-lose (4) lose-win (customer-vendor). Acknowledgement
of these helps determine the strategies adopted.
Small competitors, NGO’s and FBO’s usually have a harder time competing
with CEP because of their disadvantage in resource allocation.
o Offerings – These are the ongoing promotional incentives and after-care services
and favours the department offers as a bonus for its customers to improve loyalty.
o Business Models- CEP’s concept long ago of programme vs. programme in
competitive marketing especially in the area of spiritual programmes are dying.
It's slowly becoming business model vs. business model. CEP recognizes that
Business model innovation can make the competition's programme superiority
irrelevant. Business model innovation allows the management to change the game
instead of competing on a level playing field.
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PART 3: HOW ARE WE GOING TO GET THERE?
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3.1 Promotional Campaign
According to Parasuraman et al 1985, customer expectations exist at two levels: what are
customers’ desire and what they want. Based upon informal surveys conducted, the
following was revealed:
Table 10: CEP Customers wants and needs
Wants Desires Programme enrollment Acceptance in programme signed up for
Family support Family interaction
Less Supervision Segregation from non-participants
Privileges accrued unto them Reduction in sentence/acceptance by tertiary
institution
All of the above wants and desires will be addressed in the proposed plan, to ensure that
service delivery meets the above criteria. According to Kotler (2003), “Marketers need to
assess which experiences and impressions will have the most influence at each stage of
the buying process.”
3.1.1 Communications Objectives
o Maintain demand for well-known programmes
o Introduce new and unknown programmes
o Increase demand for well-known programmes
The desired response of the design is to create awareness and desire for the full customer
focused appreciation/relationship that CEP aims to solidify with its intended audience,
while inviting all audiences into participation.
According to Kotler ‘the message should gain attention, hold interest, arouse desire and
elicit action.’
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3.1.2 Budgeting and Justification for Implementation
The budget for the marketing plan was developed using the Porter’s Value Chain so that
a more detailed activity based costing can be established.
Figure 13: Budget for CEP marketing plan using Porter’s Value Chain
Cost Benefit Analysis
This plan has a life cycle of one academic year (10 months). The pay back period was
determined for that period. Below a rough analysis was done to justify cost. No of Prisoners released by 2008 enrolled in programmes
Basic Salary(based on minimum wage)
Taxes applied on B (V.A.T) of
15%
No of Months
Total
A B C D A x C x D48 $2340.00 $351.00 10 TT$168,480.00
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3.1.3 Implementation
The following GANTT chart identifies the marketing process with their time lines clearly
established. The task owners are informed and they are on board with implementation.
The Henley MBA consultant will be tracking plan vs actual results
Figure 14: Gantt chart for Marketing Implementation Plan
The Porter’s value chain was adopted and incorporated with a Process mapping approach
which attempts to give a clearer understanding of marketing implementation as an
activity (see figure X) below.
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Figure 15: CEP Marketing Implementation Plan
Source: Own Creation Adaptation of Process mapping and Porter’s Value Chain
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3.1.4 Monitoring, Control and Evaluations
After initial implementation, monitoring is still an ongoing process, whereby the
marketing department of CEP will be responsible for the control and flow of the desired
message design, communication programmes and utilization of media mixes. The
relationship between audience awareness, exposure reach and its frequency must be
monitored through consumer feedback and advertising portfolio test on the way forward.
Initial control of the procedures and processes will be overseen by the Prison Programme
Coordinator, who determines the necessary burst of promotions according to seasonal,
cultural, customer satisfaction evaluation programmes or surveys. All findings will be
reported to the Senior Superintendent of Programmes who has the final input. Tracking
the plan against actual results will involve monthly meetings, to discuss some of the
following, see table below.
Table 11: Table of indicators
Key Performance Indicator Determination
Increase in customer awareness Word of mouth and surveys
Adoption rate Movement from non-participatory to participatory
Database expansion The actual increase of the number of customers
Number of new customers The actual increase of the number of customers
Sales increases Number of additional programmes enrolled for.
Market growth rate Reduction in non-participatory group.
Turnover rate increases Using the Benchmark Portal calculation for turnover which is the percentage derived from dividing: (Total number of customers leaving the center) / (Total number of customers at the beginning of the period). Usually, the time period is one year.
Internal service quality Less complaints lodged, customer satisfaction
Customer-loyalty rate/process Attrition rate using the loyalty matrix
Organisational image Stakeholder new interest
Availability of feedback Active participation in forums, seminars etc.
These meetings will allow CEP to evaluate actual results against forecast and, if
necessary, to adjust its strategy to arrive at focused targets while maintaining and
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enhancing organisational image, customer relationship development and increased
customer satisfaction. A four month milestone survey/census should be undertaken to
determine the ‘winback’/return rate of lost or exit customers, and the satisfaction levels of
all participating customers. This mile stone coincides with the Christmas season where
programmes are usually closed down.
3.1.5 Contingency Plan
The present marketing strategy is aimed at ensuring that the marketing objectives are met.
However, this may not be achieved because of actions by competitors and internal
problems. An entry into the Correctional Education sector by another competitor should
any of the above occur, contingency measures would be exercised to minimize loss,
protect CEP’s goodwill and help keep market share at the present level while rebuilding
is being undertaken. These contingencies are:
a) Forming Strategic Alliances: with NGOs and FBOs.
b) Forming Promotional Alliances: with collaborators to reduce advertising costs
while publicizing the product portfolio
c) Reacting to Existing Competitors Strategies: attacking challengers directly by
increased promotional activity and increasing reward/return (points of
difference) percentages in the short-term.
Contingency planning would enable CEP to continue operations in the event of a
‘political scenario’, thus the reason for allocating 10% of the marketing budget to
contingencies.
3.1.6 Conclusion
Based on the SWOT analysis in part 1 it became clear that CEP had some important
advantages in the industry, but it is also obvious that the lack of marketing experiences
and a management information system support is weaknesses and that a number of new
entrants in the industry is to be expected, which means that also present stakeholders
should be prioritized and incorporated in the marketing plan.
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The strategic goals of CEP are linked to a growth strategy and by focusing on the
exclusivity of the product offerings; there is a good chance of success, especially with the
attention paid to the two distinct groups.
The marketing plan describes concrete actions in the months of July 2007 and August
2007 that should be initiated to implement the marketing strategy and the related
marketing budget of TT$168,289.00 is assessed to be balanced compared to the action
plans specified and the present financial goals (customer enrollment) for September 2007.
BIBLIOGRAPHY:
1. Henley Management College (2005.) Managing Marketing Workbook.
2. Kotler, P., & Keller, K. L., (2006). Marketing Management 12th edition. United
States of America: Prentice Hall
3. Lancaster, G & Massingham, L (1998) Marketing Management (2nd ed.) Mc
Graw-Hill International editions.