1. SING IS KING – MUSIC IN DIVERSITY
BMM 7034 – Marketing Management (Weekend MBA) March 2009
MARKETING PLAN:
THE SING IS KING, A NEWLY FORMED
MUSIC BAND
Table of Contents
1.0 Executive Summary …………………………………………………. 2
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2. SING IS KING – MUSIC IN DIVERSITY
BMM 7034 – Marketing Management (Weekend MBA) March 2009
1.1 Objectives ………………………………………………… 3
2.0 Situation Analysis ………………………………………………………… 3
2.1 Market Summary ………………………………………………….. 4
2.1.1 Market Demographics ..…………………………………. 5
2.1.2 Market Needs ………..…………………………………… 6
2.1.3 Market Trends .....……………………….……………….. 7
2.1.4 Market Growth ……..…………………………………….. 8
2.2 SWOT Analysis …………………………………………………… 9
2.2.1 Strengths …………………………………………………. 9
2.2.2 Weaknesses ………………………………………………. 9
2.2.3 Opportunities …………………………………………….. 9
2.2.4 Threats ……………………………………………………
10
2.3 Competition ………………………………………………………... 10
2.4 Product Offering and Services ……………………………………… 11
2.5 Keys to Success …………………………………………………….. 13
2.6 Critical Issues ……………………………………………………….. 13
3.0 Marketing Strategy ……………………………………………………….. 14
3.1 Mission …………………………………………………………….. 14
3.2 Marketing Objectives ……………………………………………….. 14
3.3 Financial Objectives ………………………………………………… 15
3.4 Target Markets ……………………………………………………… 15
3.5 Positioning …………………………………………………………. 16
3.6 Strategies …………………………………………………………… 17
3.7 Marketing Mix …………………………………………………….. 19
3.8 Marketing Research ……………………………………………….. 20
4.0 Financial Plan …………………………………………………………….. 21
4.1 Break Even Analysis ……………………………………………… 21
4.2 Sales Forecast …………………………………………………….. 22
4.3 Expense Forecast ………………………………………………….. 23
5.0 Controls …………………………………………………………………… 23
5.1 Implementation ……………………………………………………. 24
5.2 Marketing Organization …………………………………………… 24
5.3 Contingency Planning ……………………………………………. 24
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3. SING IS KING – MUSIC IN DIVERSITY
BMM 7034 – Marketing Management (Weekend MBA) March 2009
1.0 Executive Summary
B.R.S.S Communication Sdn.Bhd, a public relations agency was established in 2004 in
the heart of Kuala Lumpur with the concept of SOHO (Small office / Home office). Their
USP is - Mini Office Delivering Maxi Results. B.R.S.S Communication is the PR
consultant for Sing is King (SIK) a musical group newly formed to market the untapped
North Indian music to the Malaysian music listeners. Their start up band requires a good
public relations firm that knows the market well, specializes in image creation, good
rapport, network and PR skills. While there are many PR firms in Selangor, but none are
able to meet the market-specific needs of the band and people at large compared to
B.R.S.S Communication Sdn Bhd. Since the band is a new customer to BRSS
Communication, service was free of charge for marketing plan and other services at the
first stage of project. Costs borne by the band were to external parties.
Sing is King’s office is in Kuala Lumpur. The band is a group of students from
Multimedia University who are looking for a platform to launch their music. The team
consists of five talented teenagers who can sing, play various instruments and compose
music and lyrics. Roger Hassan – the lead singer, Mike Mahalinggam – Dholak player,
Ram Singh – sitar player, Jerry Lim - flute and Kalsom Aslam – drum with a touch of
digital technology to enhance Indian music further. SIK came together to market their
professionally synthesized North Indian music to Malaysian listeners and one day to
promote their songs internationally.
At present there are no North Indian songs composed locally. The songs that are available
are from India. SIK has a huge task ahead which is to convince the public and record
companies that their music is suitable and will be well received once launched. SIK
hopes that as they promote their music, it will also boost the image of Malaysia as a
multifaceted country bursting with talent and rich in culture.
Findings show that the Malaysian music rank third in the Asian market in terms of music
industry profits. Recently YAB Dato' Seri Abdullah bin Haji Ahmad Badawi, Malaysia’s
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4. SING IS KING – MUSIC IN DIVERSITY
BMM 7034 – Marketing Management (Weekend MBA) March 2009
current prime minister lauded Sing is King during Melaka Cultural Road Show, a
Malaysian cultural event held last month and encouraged more local singers to come
forth and showcase their talent. The government has reserved 900 billion to encourage
the Malaysian Music industry. This will serve also Malaysian tag line of ‘Belilah
Barangan Buatan Malaysia’ and indirectly be an added feature to ‘Visit Malaysia’
campaign.
SIK will start with various marketing efforts and these efforts will allow SIK to achieve
higher margins, and maintain a close relationship with the fans and customers, which is
essential for producing musicals that have a true market demand. By the end of the year,
SIK will have developed relationships with different range of listeners and become one of
the top bands in Malaysia.
1.1Objectives of Sing Is King
SIK is entering its first year of operation and the team wishes to achieve following
goals by 2009.
i. To have North Indian music spread throughout the globe by 2009.
ii. To boost the image of Malaysians as world class musicians in the global
music industry.
iii. To foster an understanding and appreciation for the power of Indian music
and the rich cultural message that comes along with the music.
iv. To indirectly unite people and transform the barriers of different cultures
and believes.
2.0Situation Analysis
Sing is King (SIK) is in its first year of operation. Malaysia is a multiracial country where
different cultures and religion are easily accepted and live in harmony with one another.
There is a craze for North Indian songs like Hindi and Punjabi. Even before Malaysia
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5. SING IS KING – MUSIC IN DIVERSITY
BMM 7034 – Marketing Management (Weekend MBA) March 2009
obtained independence, North Indian music was a craze among locals who did not
understand the language. Malays and Chinese too listen to the music and enjoy dance.
Plus music is part of Asian culture. Music compliments our ceremony and religious
functions. There is a need for music when there is birth, death, marriage, engagement,
graduation party, birthday party, restaurants and even during praise and worship in a
temple or a church.
Also findings show that music can bring people together in peace and harmony. Although
our country has developed with time, modernization cannot replace the age-old rich
heritage and spiritual values that Malaysians are famously known for. However with the
present emphasis to globalization, Malaysians have lost touch slightly with our identity.
Cultural music can bring back the roots, communicate the identity and build a mutual
national pride.
2.1 Market Summary
SIK is in an exciting endeavour to step into a first-of-its-kind genre songs within the local
music industry. The encouraging popularity and interest received for North Indian music
will be the success factor. Whilst that, the information will be used to understand music
trend, type of music demand and the best method of communication secure a market.
Target Markets
Target Market will be people from all races and ages, especially the age group of 15-65,
below 15 and 65 and above.
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6. SING IS KING – MUSIC IN DIVERSITY
BMM 7034 – Marketing Management (Weekend MBA) March 2009
Table 2.1 : Target Market Forecast
Potential Customers Growth 2008 2009 2010 2011 2012 CAGR
13 – 65 years of age 15% 19, 142,500 21,056,750 23,162,425 25, 478,668 28,026,535 15%
Above 65 years of age 10% 387,500 426,250 468,875 515,763 567,339 10%
Below 13 years of age 12% 6,820,000 7,843,000 9,019,450 10,372,368 11,928,223 12%
Total 10.48% 31,000,000 34,211,600 37,784,350 41,761,474 46,191,633 35 %
2.1.1 Market Demographics
The profile of Sing is King’s customer consists of the following geographic,
demographic, and behavior factors:
Geographics
The target is the state of Malaysia with a population of 27.73 million and a radius of
329,847 km2 1
Demographics
• Both male and female.
• Ages 13-65. This age range draws off a combination of professionals, family
members and young locals within the country. Sixty three percent of Malaysian
population falls within this age bracket2
• Both urban and rural areas.
1
Department of Statistics Malaysia
2
2 department of statistics Malaysia
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BMM 7034 – Marketing Management (Weekend MBA) March 2009
• There are 99 record distributors making 20 million profit yearly all over Malaysia.
• Individuals with a yearly annual income of more than RM 12, 000.
• There are 100 Record companies in Malaysia and all are worth billions of dollars of
contract.
Behavior Factors and Psychographic data
• Malaysians follow cultural and religious practices closely. Outskirts of Klang Valley
observe them more.
• Mobile listener who love music and listen while they travel
• Work or home listener
• Loyal music listeners. These are people who are avid music listeners and purchase
new music once hit the market.
2.1.2 Market Needs
Sing is King is providing a wide range of high quality music and services. Most music
artists are unapproachable because they have the star aura. The band will be approachable
while music quality will be retained.
• Selection: wide range of North Indian music suitable for different situation, rhythm
and age.
• Professionalism: SIK will be very customer oriented and very professional in their
service to others. They will also be approachable to fans, customers and business
partners making working with them a pleasant experience.
• Quality: CDs, records, cassettes etc will be of genuine and listeners will be
guaranteed a good listening experience. The songs composed will be worth every cent
that they are paying
• Convenience: Music will be available at most music stores in every state. Songs are
available on the net. Since the singers are not able to be at every location, they can be
easily contacted via snail mail, email correspondences, telephone and fax etc.
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8. SING IS KING – MUSIC IN DIVERSITY
BMM 7034 – Marketing Management (Weekend MBA) March 2009
• Competitive Pricing: CDs and cassettes will be reasonable and slightly lower. There
will one goody giveaway with purchase made on a single receipt for example free
wall posters, button badges etc with the purchase of cassettes, CDs and VCDs which
gives a good deal to the listeners.
2.1.3 Market Trends
The market trend for the music industry in Malaysia has always been on the surge.
Opportunities are made available via platforms like “Malaysian Idol”, “One in a
Million”, “Akademi Fantasia”, “So You Think You Can Dance”, etc for young people to
come up in the entertainment world.
The entertainment industry in Malaysia is competitive for several reasons such as:
-The current economy that is not doing well, people have turned to various other options
to survive.
-The entertainment world brings an annual profit of RM 300 billion a year
-There is a good reception for music and singers in Malaysia. The good demand has
increased competitors.
-Majority of music lovers are from 15 years to 65 years. This age bracket makes up 80%
of Malaysian population. Entertainment Company finds Malaysia a lucrative testing
market location.
Music today has a commercial value both in the local and international market. As music
becomes more and more commercial than ever before and with the market going global,
where Asian artists are touring and performing abroad, people are becoming interested
and aware of the value of music in the community. Both non-traditional and traditional
music shows are selling out to audiences like hot cakes in Malaysia.
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BMM 7034 – Marketing Management (Weekend MBA) March 2009
2.1.4 Market Growth
In 2008, the music industry had revenues exceeding 300 billion Ringgit Malaysia. The
industry is forecasted to grow at 10% for the next several years. One major reason for this
growth is the increasing lifestyle of people. Music is considered as an attitude and a
fashion statement today. Everyone catches up with the latest on music. Its evident with
the marketing strategies associated with music like ringtones, streaming music,
downloadable MP3s, live shows etc. Then there are other consumers who like to return to
their heritage and culture and like to be associated with their identity or prefer ethnic
music. Also, since March 2008 Malaysians are becoming increasingly aware of their
culture and identity.
Sing is King will take advantage of the present market in Malaysia and try to create fan
growth in their listeners by at least 20% by aggressive marketing campaigns and tours
beyond home country and then outside of the state, and so on.
Target Market Growth
10.00%
8.00%
6.00%
4.00%
2.00%
0.00% _________
< 15 yrs 15 - 659yrs 26
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10. SING IS KING – MUSIC IN DIVERSITY
BMM 7034 – Marketing Management (Weekend MBA) March 2009
2.2 SWOT Analysis
The following SWOT analysis captures the key strength and weaknesses within the
company, and describes the opportunities and threats facing Sing is King.
2.2.1 Strengths
• Excellent band members who are customer attentive. They also have an in-depth
experience and insight of the industry to position themselves.
• Strong professional and personal relationships within the music industry and a wide
group of supporters.
• Music members have good music composing expertise, style, creative skills and an eye
for art.
• The desire to develop a customer friendly business.
2.2.2 Weaknesses
• The lack of brand equity as a result of the newness of the band.
• The initial difficulties to create brand awareness for a new product.
• A limited marketing budget unlike some music giants in terms of money.
• Limited employees
2.2.3 Opportunities
• No direct competitors as there aren’t any one else releasing North Indian songs.
• The opportunity to decrease customer acquisition costs over time as more customers are
acquired through referrals or word of mouth
• The possibility to spread overhead and direct costs as music fan base grows.
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11. SING IS KING – MUSIC IN DIVERSITY
BMM 7034 – Marketing Management (Weekend MBA) March 2009
2.2.4 Threats
• Competition from already established music bands especially Indian music bands.
• With the present economy not doing too well, it is hard to predict sales.
• Quality control may be a problem, as there are many pirated CDs and illegal music
uploads which could hamper sales.
2.3 Competition
• International and Local Commercial Music Singers and Band – English songs have a
national appeal in Malaysia. The highest albums purchased are those that top the
international charts from UK and US. EMI, Sony BMG labels, Warner Music distributors
are more concerned about making profits out of their CD sales. They promote more
commercialized artists whose names alone can sell music. Malaysian record companies
prefer mass appeal rather than niche music. Next in line are Malay songs as it caters to
locals. The New bands do not get much individual exposure due to this. The commercial
music markers will be more prominent during sales.
• Independent Music Singers and Band - Though they have less commercial appeal but
have followers of their own. They also tend to reach a broader spectrum of listeners like
Sing is King. They are basically a smaller, better behaved version of the established
singers. They are only concerned ultimately with CD sales, and achieve these goals with
less commercial means.
• Regional Music Singers and Band - This are local music bands and singers who release
songs in various languages. They are into profit making as well, but the general public
look upon them from a holistic approach. Singers are commonly expected to keep a
“healthy” image as they portray local ethnic songs like us. Once they have that holistic
image, the singers are then accepted by listeners.
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BMM 7034 – Marketing Management (Weekend MBA) March 2009
• Foreign North Indian Songs – These are songs already available in the market and
imported from India. Indian is considered to be one of the busiest entertainment industry
compared to the rest of the world. The entertainment field of India has advanced so much
today. To be at par with them is a big feet. If SIK cannot deliver their best each time, the
band will lose out on fans and listeners will look for other options in the market.
2.4 Product Offering and Services
Sing is King is a new band in Kuala Lumpur and is taking a new, unusual approach to
promote North Indian songs and create an audience as an alternative to the dominant
ones. Indian classical music and dance are known to be among the most advanced and
sophisticated art forms in the world. By mixing it with technology Sing is King is able
create mesmerizing “Sangeet” effects in a range of styles suitable for any age groups, like
Hindi pop, hip shaking Bollywood like songs, Bangras, Raas-Garba3*/ Disco and
Gujarati dandia, Bhajans, Folk songs, modern Carnatic (technology with Sitar, Shehnai,
Nadaswaram, Flute, Dholak etc) and Ghazal. This will be the competitive edge.
Operations will begin with the compilation CD and cassettes. The logo and CDs need to
be attractively packaged. The CD / cassette covers will be presented well to capture the
eye of music listeners while they browse for songs. First impression counts.
While the compilations are released, B.R.S.S. will be working with a variety of parties to
promote and create a network for SIK’s music and services. Distribution will be for free
for the first year to various outlets. Distribution of music will be the first visibility for
Sing is King. To do that, SIK needs to forge relationships and get the right people to
listen to them. B.R.S.S will work with local radio and TV stations. Being able to get on
air for the first few songs is highly important to establish a familiarity. Songs need to be
listened to a few times for listeners to begin familiar and to start liking the songs. B.R.S.S
will also liaise with various record stores, and mobile network companies to develop
relationships with them as well so that as the band become well known and when there is
3
Originated from Gujarat, India, a form of music and dance that accompanies with it
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consumer interest, SIK can then begin to sell their songs. B.R.S.S. will be working with
different clubs and stage producers to get the bands to perform live gigs and
performances. Playing live to a crowd of listeners can develop fans as well as there is a
personal feel when one is face to face with another.
As Sing is King gains popularity and familiarity, the band will become attractive for local
record companies to hire them for record label. B.R.S.S will play its role to offer
specialized and intimate PR services and promotional assistance.
Soon when the band begins to sign on with record companies, S.I.K will require a studio
CD of their own or work with studios to record further songs in volumes. At the moment
they record via CPUs and Radio. After having CDs cut, SIK will aim at record sales and
live show production. These will be SIK’s main source of revenue.
Also apart from commercially selling music, SIK will extend their services in the field of
entertainment. They will perform for a fee at Lagnageet 4, private parties and
anniversaries, concerts and events both cultural / non cultural and corporate or
community events. These functions will promote SIK’s original songs and at the same
time, by request they will also sing already established film songs, bhajans and artists
songs.
Merchandise will also be part of our offering. This is not our main source of income but
as part of promotion.
SIK’s business model shows that there will be little revenue within the first year of
production. First year revenue is being sacrificed for the building of viable music sales
for the coming years. SIK will not focus on a specific genre of North Indian sangeet as it
will be difficult to promote and capture the hearts of people from different background
and age group.
4
Live Songs for Indian Weddings
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BMM 7034 – Marketing Management (Weekend MBA) March 2009
2.5 Keys to Success
The band will pay attention to every detail of music composition. Lyrics will be
meaningful and be able to create the mood and atmosphere for listeners. Music will be
beautifully composed using the right blend of instruments and based on the message of
the song. Every effort will be taken to please listeners rather than aiming for profits
alone. SIK will keep their options open and flexible to accept suggestions to improve
their songs and services.
Today many singers are out vying for a position in the entertainment world. SIK will
passionately think out of the box to promote and reach the people of Malaysia while
raking revenues. In time to come services will flourish and extend to D.J.ing, event
management services, wedding planners, dancers, music training school etc.
Sing is King will maintain a professional and ethical work relationship with all partners.
At the same time without airy and tantrum throwing nature, SIK will market its music to
all and sundry. This will make SIK likable and approachable. Sing is King is also
hardworking and dedicated to achieve their goals within a year.
Their songs and services are sold at a reasonable price. Plus every RM 5 proceeds will be
given to charity. SIK will also sing for free for non profit organization events. This is in a
way of promotion for the band as a sensitive and down to earth entertainers. This is also a
way of gaining supporters while projecting a holistic approach to music.
2.6 Critical Issues
An artist’s greatest concern is to be accepted by fans and people. Hard work and
dedication will be the solid foundation to win the hearts of the listeners, but at the end of
the day, the audience who are the music lovers must accept and connect with the songs.
There is a need and interest among Malaysians towards North Indian music but the
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BMM 7034 – Marketing Management (Weekend MBA) March 2009
business depends largely on acceptance of a good sized listeners. We have to ensure that
the fans and followers increase or remain at a good number all the time. If fans become
disinterested or SIK’s songs become boring or monotonous this will result in a drop in
sales. It will be difficult for SIK to expand their services or help charitable organisations.
But SIK is confident with the combined experience skills, ideas, talents and goals, the
band will continuously grow and develop as good entertainers and soon emerge with a
star status. Once an entertainer consolidates the position of a celebrity, then there is no
stopping. The celebrity’s presence and name alone can sell a “product”. Until SIK
reaches that stage, its hard work all the way to reach the top ladder.
3.0 Marketing Strategy
BRSS Communication will use a combination of distribution, advertising and networking
approach to generate visibility and to communicate SIK’s message that they are a soon to
become hit in the entertainment industry simply because they have something different to
offer. BRSS Communication will target various ways to reach a mass market of
Malaysia. We have varied group of listeners ranging from music listeners who tune in to
music station from both TV, computer and radio often; mobile music listeners who
stream or listen from their iPods or handphones and lastly avid listeners who maintain a
collection of music. Our marketing strategies will aim at every avenue available to reach
the music listeners.
3.1 Mission
Sing is King’s mission is to be well received as one of the most sort-after blue-eyed
Malaysian music band providing innovative ‘never heard before’ North Indian music for
global listeners and to be one of Malaysians top award winning entertainers.
3.2 Marketing Objectives
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BMM 7034 – Marketing Management (Weekend MBA) March 2009
Sing is King hopes to maintain positive, strong growth of album sales for each quarter.
The band also hopes to achieve a wide fan base and become highly sought after and
popular in both local and later will foray into the foreign music industry
3.3 Financial Objectives
•A double-digit growth rate for the next three years
•Increase the profit margin by 1.5 % per quarter
•Reach profitability by year one.
3.4 Target Markets
The target market for Sing-Is-King (SIK) is within the age group of 15 to 65 and will
target all races. Although the band’s songs will be purely North Indian language and
music, it will appeal listeners from different races in Malaysia. The band’s ability to
produce beautiful Indian songs with technological effects will make listeners to stand up
and take notice of the sensational new teenage group. Plus the band is made up Malay,
Chinese and Indians. Malaysians will be able to relate to the band and is sure to arouse
curiosity to watch non-Indians playing Indian instruments with ease.
Music listeners range from avid listeners who tune in to media music station often but
may not collect songs. Mobile music listeners are another group and they are similar to
radio listeners and lastly avid listeners who maintain a collection of music by purchasing
at stores.
From the above mentioned avenues, Sing is King’s customers profile comes from two
major segments;
Local population –The local population have a huge liking towards all things Bollywood
regardless of the ethnic group they belong. Anything that comes close to a “Shah Rukh
Khan” is saleable in Malaysia. Almost 60 % of Malaysians are Malays, 30 % Chinese
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and the remaining percentages are Indians and other races. Although Indians will surely
flood the stores to try out a new music, Malays and Chinese too will be our target. If SIK
is able to capture the hearts of Bumiputeras, they are sure to bring in good moolahs. Also
within this group of population comes our customers who need entertainment for
domestic and commercial events and functions. Sing is King’s portfolio also covers
entertaining guests for functions.
Colleges and Universities – Consumers from this group are the ones who flood live
concerts and enjoy flamboyant lifestyle. They are open and susceptible to new ideas.
They seek an identity and freedom. This makes them a convenient target market. In
addition, the teenagers are within the same age group as SIK. SIK is able sell their ideas
and music to attract and create a loyal fan following. The youths are a more frequent
customer to invite artists for institutional functions. Stage shows and tours are largely
attended by the younger lot.
3.5 Positioning
BRSS Communication will position SIK as a premier local entertainment band that is
well received by all races in Malaysia in a short span of time. The focus BRSS
Communication is to put forward the uniqueness in the music of the group.
The idea is to introduce to the Malaysian community a totally “Malaysian made” band
that has the ability to produce music distinct and make them stand apart from the rest of
the 200 local musical singers.
This positioning will be achieved by leveraging SIK’s competitive edge, industry
experience and passion. Sing is King is able to deliver a variety of North Indian music
and is a musical band formed by music lovers for music lovers. BRSS is able to use its
vast experience and personal passion for the genre to develop innovate, enjoyable music
for a broad range of customers.
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The specially composed tunes and heart warming lyrics will in time, make the songs
stand out among the rest in the market. Currently, there are over 200 artists in Malaysia.
Out of which only SIK creates North Indian music.
BRSS Communication is able to take full advantage and create brand awareness as SIK
has something different to offer. If SIK is marketed properly, it is only a matter of time to
not only break even sales but the band will be one of the most profitable bands in
Malaysia and someday go into their own production company..
3.6 Strategies
The single objective BRSS is to introduce SIK as the premier entertainers within two
years. The marketing strategy will seek to create visibility and awareness of SIK and their
music, develop a fan following and work towards building customer loyalty and referrals.
The initial marketing strategy that BRSS Communications employs for Sing is King band
is to distribute and advertise songs to get as many people as possible to listen to SIKs first
composed songs. MP3s are a favorite among youngsters because it enables the flexibility
to save more files compared to the other technologies found in the market today. This
will be done through iTunes (downloadable audio files via the internet), official web site,
youtube, blog and facebook; Listeners can stream the songs for free and download for a
small fee using credit cards; Complimentary distribution to broadcast songs from a list of
commercial radio to public and private college / university radio stations and any
important Internet radio broadcasters; distribute compact discs and cassettes and ring
tones complimentarily. BRSS Communication will work closely with various radio
stations to have Sing is King’s north Indian music on air.
Along with having web sites, BRSS Communication will also submit SIK’s links to all
search engines. Through this, users can click and may stumble upon a surprising group of
performers and can in a way spread the knowledge of the band’s existence to internet
users.
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The band hopes to penetrate different types of music listeners. The iTunes caters to
“travel listeners” and listeners can downloadable on iPods and IPhones for a cheap rate.
The compact discs and cassettes cater to those who are ardent music collectors. They can
purchase them from retail music stores all over Malaysia for an affordable price with free
gifts. SIK’s songs will be sold at an introductory price to encourage listeners to try out
the refreshing North Indian songs.
Advertisements are another way of promoting products. Advertising today offers various
methods and channels to create brand awareness. BRSS Communication will advertise
the band through print media like national newspaper and entertainment / family/ youth
magazines. Research shows that Malaysians tops the list of Asians as a reading society
after Japan. For every two person, one individual will posses a magazine and newspaper.
SIK will be able to introduce themselves to readers of newspaper and magazine. BRSS
will create small advertisement logos and collaborate with other online entertainment
web sites to have small advertisement. BRSS Communication will work with publishers
and banner network groups to create short pop up / floating ads or banners ads on the
internet, tv and radio short commercials to notify music listeners of Sing is King and also
to spread the word about any promotional offers. BRSS will work with TV and Radio
Stations secure a slot with local entertainment programs on ASTRO and public TV
stations.
BRSS has secured time slots for SIK to perform in popular television reality shows
namely Malaysian Idol, One in a Million and Akademi Fantasia. SIK has also secured
contracts to perform at two upcoming celebrity award events, clubs and gigs.
SIK will especially promote “Focus Tracks”. Focus tracks are a song or specific songs
from an album that can become hit songs if promoted well. These songs need to be
played repeatedly to create a familiarization for the listeners and will convey what is
unique or compelling about the release and or artist.
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BMM 7034 – Marketing Management (Weekend MBA) March 2009
Another marketing strategy employed by BRSS Communication is to enable SIK’s songs
to be downloadable as a ring tone. By collaborating with Telecommunication Companies
i.e. Maxis, Digi and Celcom, a customer of a network service provider can download a
song from the web site for a price. The profit is then divided between the service provider
and SIK. Today’s trend is to have caller ring tones on their mobile as a means of
expressing themselves and to “favouritize” their song on their mobile.
BRSS will create merchandising materials, which will be sold or given free upon
purchase of a CD or cassettes. Merchandising includes Stickers, T-shirts, posters,
umbrella and pens.
Lastly, once SIKs albums are out in the market, BRSS Communication will strategically
plan live appearances or touring itinerary. Artists’ tour is a common strategy these days
to introduce new artists and to establish audiences or fans.
3.7 Marketing Mix
SIK’s marketing mix is compromised of the following approaches to product, price,
distribution and advertising cum promotion.
Product:
The SIK business model is based on customer-centric philosophy, where by a niche exists
in Malaysia especially when performing entertainment shows. SIK proofs to cater to that
wide market ensuring customer’s expectations are not only met but exceed what’s
perceived because SIK recognizes the idea that customer satisfaction will ensure long-
term profits.
Price:
The pricing scheme will generally be based on a per project estimate that takes into
account the number of hours required to complete the album as well as resources
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21. SING IS KING – MUSIC IN DIVERSITY
BMM 7034 – Marketing Management (Weekend MBA) March 2009
(production process, advertising, etc.) Prices will be generally lower as the band is still
infant.
Distribution:
Distribution is done through retail and personally while on tours and shows.
Advertising and Promotion:
Several different methods will be used as advertising effort. The extensive feedback
received from all research channels has led to several music design improvements.
3.8 Marketing Research
During the initial phase of the marketing plan development, several focus groups were
selected to gain insight on how to target the market, study consumer behaviour and what
causes fans to make their decision.
Over the three-month period, BRSS Communications has visited :=
•Music Stores
This is to recognize music patterns that are currently accepted and behaviour factors on
purchasing songs from a new singer.
•Streaming Music Sites
The research aims to recognize singers or bands that are popular; information will be
gathered from the listening / download hit-rate
•Clubs/Bars/Café/ Parties
This is to identify the types of songs played during peak business hours and to note the
different ways in which music lovers respond to a particular song. Spoke casually to
several dine-in customers to obtain first hand information.
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22. SING IS KING – MUSIC IN DIVERSITY
BMM 7034 – Marketing Management (Weekend MBA) March 2009
4.0 Financial Plan
This section will offer financial overview of SIK related to marketing activities. SIK will
address break even analysis, sales forecasts, expense forecast, and indicate how these
activities link in the marketing strategy.
4.1 Break Even Analysis
6000
4000
2000
0
-2000
-4000
-6000
-8000
RM0 RM2512 RM5025 RM7, 537 RM10, 050 $12, 562
Monthly Break-Even Points
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23. SING IS KING – MUSIC IN DIVERSITY
BMM 7034 – Marketing Management (Weekend MBA) March 2009
Break-even Analysis
Break-even point is where line intersects with 0
Table 4.1 Break Even Analysis
Break-even Analysis
Monthly Units break-even 62
Monthly Sales Break-even RM 7,760
Assumptions
Average Per-Unit Revenue RM 125, 62
Average Per-Unit Variable Cost RM 22.61
Estimated Monthly Fixed Cost RM 6, 363
4.2 Sales Forecast
SIK feels that the sales forecast figures are conservative. It will steadily increase sales as
the advertising budget allows. Although the target market (Table 2.1) listed all of the
potential customers of Malaysia divided into different age group, the sales forecast
groups customers into main category of ages between 15 – 65 years. Reducing the the
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24. SING IS KING – MUSIC IN DIVERSITY
BMM 7034 – Marketing Management (Weekend MBA) March 2009
number of categories allows the reader to quickly discern information, making the chart
more functional.
4.3 Expense Forecast
The expense forecast will be used as a tool to keep SIK on target and provide indicators
when corrections / modifications are needed for the proper implementation of the
marketing plan. The first month of operation may not have any sales activity. When
marketing activities start, the second month onwards will see some progress in sales. By
second month, there will be visibility for SIK and there will be an increasing number of
demands and request that will be turned into revenues and projects. Sales will become
steady at month six.
Table 4.2 Marketing Expense Budget
Marketing Expense Budget 2008 2009 2010
Web site Design and Hosting Costs RM 25, 000 RM 8, 000 RM10, 000
Advertisements and Promotion RM 8, 050 RM 15000 RM 20,000
Printed Material / Labels / Merchandise RM1, 725 RM2, 000 RM 3, 000
Total Sales and Marketing - Expenses RM 34, 775 RM 25,000 RM 33,000
Copyright / Publishing Costs RM 3,000 RM, 3100 RM 3,150
Percent of Sales 6.58 % 3.60 % 4,14 %
Contribution of Sales RM 398, 725 RM 544, 652 RM, 621,202
Contribution Margin RM 398,725 RM544,652 RM 621, 202
Contribution Margin / Sales 75.4% 78.40% 77.86%
5.0 Controls
The purpose of Sing is King marketing plan is to serve as a guide for BRSS to understand
the market.
The following areas will be monitored to gauge performance:
• Revenue both monthly and annually
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25. SING IS KING – MUSIC IN DIVERSITY
BMM 7034 – Marketing Management (Weekend MBA) March 2009
• Number of albums bought
• Number of feedback and comments received from fans and listeners.
• Repeat invitations to perform at live shows and functions
• New albums created
5.1 Implementation
The following milestones identify the key marketing programs efforts by BRSS
Communication. Having a PR Company to outsource work for them, SIK was able to
accomplish on time several targets.
Milestones
Milestones Plan
Milestones Start Date End Date Budget Personnel Department
BRSS
Marketing plan Communication- Research &
30/10/08 10/02/09 RM 0
completion Mr Rajganthan Training
Baskaran
BRSS
Website
12/01/09 02/04/09 RM5,000 Communication- Marketing
completion
Ms Nor Shida
BRSS
Advertising and Communication
10/01/09 31/12/09 RM20,000 Marketing
Promotion – Ms Bimeldip
Kaur
BRSS
Distribution of
01/01/09 12/12/2009 RM 0 Communication- Marketing
songs
Ms Sunita Isaacs
5.2 Marketing Organization
Marketing Department personnel from BRSS Communication, Ms Bimeldip, Ms Shida
and Ms Sunita will be responsible for the marketing activities.
5.3 Contingency Planning
Difficulties and risks:
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26. SING IS KING – MUSIC IN DIVERSITY
BMM 7034 – Marketing Management (Weekend MBA) March 2009
• There maybe small problems to generate visibility. Need to assert the services and
offering until word spreads across the country
• Inability to generate enough demand as expected
• Overly aggressive and famous competitors
Worst case risks may include:
• Determining that the business cannot sustain on an ongoing basis.
• Having to liquidate equipment or intellectual capital to cover liabilities.
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