Running Header 1APPLICATION DEVELOPMENT METHODS2.docx
Marketing Plan for Core Principle Tutoring Startup
1. Core Principle
Class 120
by
Elia Canales Marketing Planning & Analysis John “Jack: Schibrowsky
2. 1
TABLE OF CONTENTS
Executive Summary ……………………………………………………………………..........................................2
Situation Analysis………………………………………………………………………………………………………...3
Industry Analysis………………………………………………………………………………………..........3
Internal Analysis…………………………………………………………………………………………........8
Customer Analysis……………………………………………………………………………………………17
Competitor Analysis………………………………………………………………………………………...24
Macro Analysis…………………………………………………………………………………………………37
SWOT………………………………………………………………………………………………………………………....40
Strategy Overview………………………………………………………………………………………………………41
Goals &Objectives………………………………………………………………………………………………………42
Target Market…………………………………………………………………………………………………………….43
Positioning Plan…………………………………………………………………………………………………………45
Promotional Strategy…………………………………………………………………………………………………48
Other Issues……………………………………………………………………………………………………………….52
Summary…………………………………………………………………………………………………………………....53
Works Cited……………………………………………………………………………………………………………….54
Appendix……………………………………………………………………………………………………………………57
3. 2
EXECUTIVE SUMMARY
Core Principle is a brand new company coming out to education business. In order for their business to thrive they need to narrow their focus and place a lot of attention to the one’s that will bring a greater return to their business while still not neglecting the smaller segment. My strategy involves Core Principle to go heavily after performance based funding schools, division one athletic departments and helicopter parent. Core Principle needs a establish brand credibility through partnering universities to increase their customer base. They need to target the top ten division 1 spending schools and they need to be heavily involved in social media and blogging to attract the helicopter parents. Through continuous content marketing and building brand awareness Core Principle can achieve their goals to sell more than 40,000 units.
4. 3
INDUSTRIES Core Principle can fit into the three different industries which include:
TUTORING
We are looking at the tutoring and driving industry, we focus on the submarket of industry is tutoring and exam preparation
Tutoring is 45 % of the entire industry
Accounts for 45-50% of the industry revenue and establishments
Total revenue for the 45.5 % of the industry is 4.095 billion dollars
Current size of the industry is at a matured stage
EXAM PREPARATION
This industry comprises establishments primarily engaged in offering educational courses and services, not elsewhere classified(31)
Sub industries include: educational services, educational service (Non Dergree granting; continuing), and tutoring schools.
UNIVERSITY TESTING & EDUCATIONAL SUPPORT
Structure of the testing and educational industry is procedures and activities include college selection service, education consultants, educational support systems, and education testing services.
Sub industries of testing and educational support include 60% in the educational testing services
Industry revenue is 9.9 billion dollars is estimated from the 60% of the industry
Sales Growth Profit Exam Preparation 5,120 2.2% 644,700,000 Tutoring 4,140 -0.8% 270,000,000 Educational Support 9,900 1.8% 720,000,000
Table 1. Shows sales(millions), growth ,historical growth and profit(millions), of all 3 industries.
The educational support system has an annual growth of 1.8% and its historical growth is 3.06%
Tutoring industry growth is -0.8% and its historical growth is 3.06%
The Exam preparation Industry’s growth is 2.2% and is historical growth is 3.36%
5. 4
EXPECTED FUTURE GROWTH
Table 2. Shows industry growth
The Expected grow of exam preparation industry is 3.36%
The Expected grow of tutoring industry is 1.8%
The Expected grow of educational support industry is 3.06%
TRENDS
Institutions raising the GPA: Many universities are implementing higher standards for their students by raising GPA which calls for an increase in the academic success industry this is where Core Principle
More Online learning
Over 6.7 million students were taking at least one online course during the fall 2011 term, an increase of 570,000 students over the previous year.
Increase of online education methods will important to Core Priciple’s product; “Online education has become an integral part of many colleges and universities, according to the study, with 65.5 percent of all chief academic officers reporting that "online education is critical to the long-term strategy". (5)
The increase of mobile use in learning
People age 18-44 are more likely to own a smart phone (13)
Annual growth of the Smart phone app industry is estimated to grow from 2009-2014 49.8% (17)
47% of Organizations are using mobile devices to support formal learning (32), Core principle’s class 120 product could benefit from this increase. (33)
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Exam Preparation
Tutoring
Educational Support
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ISSUES
Performance base funding
American public universities receive a per student budget on attending students; other countries like UK receive funding when students pass(16)
America on the verge of adopting a new performance based funding policy (16)
Great Britain’s national mean is 80% while the U.S falls back at 75%, U.S is spending large amount of money but achieving medium results (16)
“Pennsylvania’s public colleges have experienced a 10 percent increase in overall graduation rates and a 15 percent increase in retention rates,” since adoption of new performance based funding (24)
Education is expected to grow
Enrollment is projected to increase; “Between 2011 and 2021, part-time undergraduate enrollment is projected to increase by 15 percent while full-time (11 percent, from 11.4 to 12.6 million students). (28)
Data Privacy Concerns
The increase use of software has raised parents concern with the privacy of the students records, Core principle needs to build credibility with parent in order to gain trust with stunt data
But a whole lot of parents don't trust the government to keep data secure, or don't trust corporations not to abuse access to information about how individual minds work.(34)
BEST PRACTICES Through the practices of big industry leader Core Principle can improve in the Testing and Educational Assistance industry with examples of:
Tutor.com
Best Practices can be applied from a major player in the in the industry is Tutor.com (12) which claims to increase student retention rate as well as success rates.
Best practices for companies entering the industry would have to contain items like online tutoring whichTutor.com provides with their “Tutor.com To Go™ for iPad, iPhone & iPod Touch” (8)
Personalized retention programs that they have partnered with higher education institutions to include which include features like
1. 24/7 access
2. Comprehensive monthly reports that provide predictive insight on challenges student face and why they seek help.
3. Customizable solutions; higher education institution have availability to choose from 25 academic subjects to include one-on-one tutoring.
4. Mobile access for students. (9)
7. 6
Kaplan Inc.
Graham Holdings estimated market share is 3.4% (2 ). Kaplan Inc. named No. 3) among the ten most innovative education companies (22)
Provides a wide range of services to prepare students for test. From graduate admissions to college admissions preparation.
Best practices include
1. Physical facilities where they are located inside the university
2. Their services range from classroom setting to the SAT Classroom Anywhere® which provides online live classroom interaction with instructor.
3. Make education more affordable, they are outcomes focused, personalized, global, and accessible from basically anywhere. (22)
Oracle
Oracle provides the application of their cloud computing that allows universities, colleges and school districts to use their technology to store data.
Best Practices include
1. Helps provide a consolidated repository data to better report across system.
2. Helps provide students which items such as records and transcripts easier. (19) Oracle’s database enables customers to transform their enterprises and improve operational effectiveness. Oracle’s MySQL is the most popular open source data base which delivers cost effective, reliable high performance database.(25)
Pearson
A leader in the educational support industry Pearson who dominates 12.1% of the testing and educational support industry.
Pearson provides an array products such as eTexbooks, online blended course through their custom curricular programs their data analytics & adaptive services which provides the Pearson learning studios, Mylab & Mastering, and Courseconnect.
Best Practices include
1. “Significant position in education domain” (22)
2. Employ personalized adaptive learning to students (35)
3. “supports top line growth” (22)
8. 7
Blackboard Inc.
Blackboard Inc. provides wide range of solutions for the educational support industry such as support for admission and enrollment, and teaching & learning and student experiences, through software like the Mosaic by Blackboard
Best Practices
o Faster connectivity with advisor
o Their Blackboard Connect™ platform allows student to remain connected with their advisors faculty via text, social media message, or recorded voice. (21)
o Facilitates students and faculty instant access to campus life and services right from their mobile phone.
SUCCESS REQUIREMENTS
As internet evolution to the Web 2.0 this will become a driving force to the evolution of new products (18) which means an optimized software platform.
Awareness of government policies in regards to higher educational funding
Establish high reputation and strong relationship with higher education organizations(1)
Increase attention to parents specially the “helicopter” parents parent are becoming “advocates” for their students looking to ensure that colleges meet their obligation (25)
Optimization of research and development (1)
Ability to adopt new changing technologies (1)
Trackable results to establish credibility
9. 8
Internal Analysis
BRIEF HISTORY OF CORE PRINCIPLE
Core Principle, Inc. Incorporated August 23, 2013 in Indiana (317) 520-9633 5255 Winthrop Avenue #100 Indianapolis, IN 46220
Core Principles was established 2013 in order to maintain student success by retention. As a result, they established Core Principles, Class 120. Class 120 incorporates geo-location software that notifies parents, students and faculty members when the student is absent. Core Principles is in the process of conducting market research to explore target market and further product development. With private investor support, they are planning a product launch fall of 2014. Headquarters are located in Indianapolis, Indiana.
INTERNAL INFORMATION
MISSION STATEMENT According to Core Principals their mission statement is
“Core Principle will provide innovative and practical products and services that support measurable improvement in student success rates at all types of post-secondary institutions and for all types of students.”
VISION STATEMENT According to Core Principles their vision statement is
“Core Principle will become an industry leader in an emerging market for innovative technology-based student success tools in post-secondary education, with the goal of utilizing the Class120 technology.”
CORPORATE CULTURE Core Principle‘s culture is that of a strong start up company. Core principle is task oriented, deliverable driven and they believe whole-heartedly in their product. They manage to make huge impacts with a small team and their tightly knit circle of dedicated and knowledgeable individuals who are ambitious and driven by results. They are passionate in their field of student success. They share the focus of improving student attendance, in the knowledge that this will transmit to higher grades and student success.
WILLINGNESS TO ADAPT TO CHANGE Core Principle has redirected their focus to become for student driven. An example of their ability to adapt to change is by their delayed of the September 2013 launch, They were delayed and had to move their website launch date to March 2014, this establishes their flexibility and the willingness to adapt to change.
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WHAT IS IMPORTANT FOR CORE PRINCIPLES In the state of Nevada alone, there are 133,885 students enrolled in college, in their undergraduate years (School Enrollment, 2008-2012) (1). Keeping these students in class through the quality of their product is a main precedence of Core Principle. From the year 2012-2013, tuition is stated to be approximately $22,000 dollars (Average Cost of College Tuition, 2013) (2), for a four year institution. To Core Principles improving student class attendance is critical which ties in to the quality of their product.
Core Principle is improving attendance by using GEO-fencing software to increase student attendance.
Core principle is focusing on their fall 2014 product launch which will debut the quality of their product
RESOURCES
HUMAN RESOURCES Currently working with a small team Core Principle has the best of the best when it comes to talent and entrepreneurial spirit. Below are listed the Human Power that drives Core Principles.
Leadership role: John (Jeff) Whorley: A Tennessee native Jeff has displayed leadership through his various life experiences for instance becoming a nominee for the 4th congressional district in his state. Jeff displayed authority and educational skills when he was an Executive VP for Sallie Mae. After resining in the year 2007 Jeff remained in the educational field as he became the President of StudentAid.com, and co-authored a book called “Getting into College,” with extensive knowledge and background in the educational field Jeff is more than skilled to lead Core Principles. (4)
Figure 1. Image of John (Jeff) Whorley
Key Personnel: Joe Montgomery: Currently the head of product and Marketing at Core Principle. Joe has extensive brand management expertise as he was a former Digital and Social Strategist for ACS Advertising, and a Partner consultant for Brass Born as well as Brand Manager of Gannett. This and specialized skills like digital marketing, business development, online marketing make Joe more than qualified to advance Core Principles.(5)
Figure 2. Image of Joe Montgomery
Other personnel
Jim Whorley, J.D. and General Counsel
Lisa Whorley , CPA and CFO
Stacy Anne Hoehle , J.D. and Head of Business Development
Rachel Key Administrative Assistant
Jacquelyn Halpern Design Consultant
Mark Lloyd, MBA and Finance Consultant
David Reed, Ph.D. and Senior Technology Consultant
Cebronica Scott, MA and Conference, as well as Special Events Consultant
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Partner Firms
Smith Amundsen LLC (Legal)
Bose Mckinney & Evans LLC(Legal)
Code Monkey (Product & Design Development)
Milestone Advisors (Financial)
FINANCIAL RESOURCES Core Principle has had financial backing of one million dollars from both CEO and his spouse. CEO Jeff is currently working raise their budget to two million dollars more, to increase product development and marketing efforts they are interested in pursuing crowd funding.
PATENTS
Class120 Software – Patent Description: System and Method for Monitoring Class Attendance, Technical Field. [0001] The present disclosure relates generally to a system and method for supporting, monitoring, and summarizing class attendance, such as college class attendance, and more specifically to electronically reporting a class attendance status for a student to an interested party.
Intellectual Property Class120 Software – Trademark Description: Computer software for monitoring and summarizing attendance of students or others, and for providing e-mail and/or text message notification alerts via the Internet and/or cellular telephone to parents, employers, or other third parties in cases of non-attendance; as well as class attendance monitoring, summaries, and schedule reminders for students.
GOALS Core Principle has a number of goals all which include
Acquire 100-200 sign ups at college orientations
Utilize the Class 120 technology in 100 institutions
Provide an upgraded version of geo with different levels in different institutions.
Future Goals
The company plans to be at 40,000 users
Fall 2016- 2017
Complete tesing in 30-40 Univertities
Summer 2014
Product Launch including Class 120 and GEO version.
Fall 2014
Website Launch of Core Principle’s Class 120
March 2014
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KEY MILE STONES Core Principles plans to achieve these key milestones to make their Class 120 product a success which includes:
10,000 which will be Core Principle’s breakeven point
20,000 users where they will remain a comfortable small sized company
Above 40,000 users they will be a big business with a possibility of being bought out.
CURRENT MARKETING ACTIVITIES Maintaining a small budget Core Principle utilizes their marketing efforts to full capacity by employing these marketing activities:
Promotional Strategies They intend to build relationship with schools nearby by to increase sales of both professor version and GEO mapping
2014 Winter/Spring Pilot Program
Middle Tennessee State University
University of Nevada – Las Vegas
Sewanee, The University of the South
Capital University
Core Principle plans to identify top athlete software companies and collaborate up with them.
Core Principles plans to perform direct to consumer selling.
Targeting institutions that are within the range of their organization
Core Principle plans to person a guerilla marketing strategy
Promotional Tools The tools that core principle has utilized so far in regards to their promotion are as follows.
Core Principle has currently establishing beta testing around 30 schools.
The Core Principle website.
Core Principle is partnering up with Crimson Hexagon to analyze tweets from students.
Core Principle has used surveys in various schools and is testing their pilot programs at various universities.
Core Principle’s user friendly convenient mobile application
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Message The message that Core Principle is trying to imply is that better attendance provides better grades and this will translate to future success. And attendance is a true measure of good grades.
Students
“Based on our surveys of college students, the average student who graduates may miss as much as a semester or more of scheduled classes. Even for the students who do graduate, those missed classes mean less learning and a lower GPA.” (3)
“There is no magic formula for success in college, but research shows that there is a single most important thing you can do: go to class.”(6)
Success of a student depends on attendance
High correlation with GPA /grades and attendance
Parents
To make sure your child attends at least one more class a week, which will add up to 120 more classes over the next four years in college.
Core Principle’s message includes that attendance as the best predictor of academic success.
Colleges
“Over 80% of Division I scholarship athletes graduate, proving colleges understand the importance of keeping student-athletes in class and on track.”(6)
A recent college focus group from Flagship University predicted that students on Class Geo would attend 240 more classes over their 4 years in college. (3)
Class 120 will help students focus on going to class. (3)
Figure 1. The “Simple Math” image from Core Principle’s Class 120 Website
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SPECIFIC PRODUCTS Core Principle’s Class 120 products as of now include only a range of two which include:
1. Class120 GEO: is an application-based platform that can provide notification of class attendance to parents of college students by using pinning technology “geo-location”. Available for two mobile platforms Android and Apple. Comes in three packages.
2. Class 120: An attendance tracking program supports athletic department device with attendance and sends the rooster to the appropriate department. (Packages not yet available)
ATTRIBUTES
Core Principle’s Class 120 Geo Attributes
Class 120 software sends notification when the students phone is not detected in the class
Class 120 software provides levels of encouragement or recommendations if a student has missed class.
Class 120 uses skyhook for the android cellular system.
Geo mapping software which is becomes smarter over time.
Class 120 includes is the usage over Wi-Fi as well as network coverage.
Class120 geo app will look to identify if the student’s smartphone is at the classroom location
Their mobile application, which is featured in the three main cellular platforms from either Apple’s App Store or Google Play Store.
1. Apple
2. Android
3. Windows (Currently working on this plat form)
Ability to check attendance history through the website & by class
Core Principle’s Class 120 Attributes
Allow teacher/faculty to take attendance via their smart phone.
Ability to forward information to appropriate departments in the school.
Email and SMS message alert to/student/faculty / parent when student misses class.
Class 120 Geo
Basic
Standard
Gold
Class 120 Basic
N/A
N/A
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PRICES
Class 120: Price not yet established
Class 120 GEO:
Figure 4. The Price for the Basic, Standard, Gold packages
SUCCESSES So far Core principles successes include:
Core Principle’s geo fencing software
Core Principle currently has 306 geo-mapped schools
2014 Winter/Spring Pilot Program
Core principle’s is currently performing beta testing on their product.
Their provisional filling of 2-3 other entities.
KEY FAILURES Here are a few of the failures that Core Principle’s failures:
Behind schedule on certain aspects
Software is weak for Apple products unlike the one they have for android devices.
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COMPETITIVE ADVANTAGES
Core competencies
Geo fencing of 306 campuses across United States.
Their experienced work force, along with their leadership of Jeff who has vast knowledge in the student financial industry.
Patent software and trademarked of Class120 software.
The convenience that their product can be implemented without infrastructure change to universities.
Student tracking with the pinning software
Unique features of core 120
Geo mapping of campuses across the united states
Provides coaching to encourage students to attend class
Message alerts through emails, messages and alerts
Pinning technology
Use of Skyhook technology for their android devices.
Why People will buy Class 120
Studies have proven that attendance is a high predictor of grades
“Class attendance appears to be a better predictor of college grades than any other known predictor of college grades—including SAT scores, HSGPA, studying, skills, and the amount of time spent studying (Credé & Kuncel, 2008; Hezlettet al., 2001). Indeed, the relationship is so strong as to suggest that dramatic improvements in average grades (and failure rates) could be achieved by efforts to increase class attendance rates among college students.” (Class 120, 2014) (3)
Provides convenience through a mobile app
An efficient and convenient way for athletic department to keep track of their athletes.
They can evoke real change.
SUMMARY OF CORE PRINCIPLE’S STRENGTHS Some of Core Principle strengths include:
Patent and trademarked smart software.
Staff with expertise and knowledge in the field.
Private ownership means they have control of decisions
Having 306 schools geo mapped
Research in social media analytics and surveys
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SUMMARY OF CORE PRINCIPLE’S WEAKNESS Core Principles has some weaknesses, which they need to overcome to make their product a success, weaknesses include:
Battery life efficiency in regards to the device
They are behind schedule in regards to their launch date.
Issues with student participation
o Student privacy act.
Their website lacks valuable features and an intuitive user experience
KEY INTERNAL SUCCESS FACTORS One way, which core principles will succeed, is if:
Acquire support from Universities and Athletic department.
Improve IT to handle the forecasted 40000 users.
Accept website and product recommendations
Expand their funding to have more flexibility
Grow within their targeted segments and expand their product line
Increase product awareness
Optimize their software platform
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CUSTOMER ANALYSIS
THE CORE PRINCIPLE CUSTOMER The Core Principle customer is composed of parents, universities and athletic departments.
CUSTOMERS OF CORE PRINCIPLES
Parents of Students ` Core Principles needs to focus on freshman parents of full time college students who still live at home and they provide some support for their tuition.
Table 1. the number of college freshman and parents contributing to their education for 2013(22)
Discussion: Core principle should sell to these customers because
There a huge increase in incoming freshman to college in fact “ 18-19 yr. old college and secondary level education enrollment increased from 48-71%” (3)
Parent contributing to students tuition see their education as an investment and would like to keep track of their investment.
First year students; freshman to sophomore retention rate for public 4 year institutions is only 64.9% (4) which shows parents that 35% of their children will not continue to their sophomore year.
Students who live at home heavily dependent on parents (2)
Parents Paying; “for full time students total average spending per full time student was equivalent to $26,900” (1)
Helicopter parents; parents showed concern in areas like academics financial and healthy regarding their kids (2)
College Students % of total market 13,262,000 Parents of Full-time Freshmen(Enrollment) 27% 3,580,740 Parents that Contribute to College Tuition 12% 1,591,440 Helicopter Parents 30% 3,978,600
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Colleges and Universities Core Principles needs to focus on public & private for profit fulltime scholarship students as well as schools participating in PBF institutions.
Table 2. PFB placed in 4 year institutions by state (23) (24)
College Students 20,642,819 4- year institution (Public & full time) 72 % 12,737,013 College Students in Private Sector 5,762,476 4- year institution (Private for profit) 31% 1,808,898 College students 20,642,819 Students with scholarships & Grants 39% 8,050,699 Performance Based Funding placed at 4 yr. institutions (States) (23) 5 Arizona Florida Mississippi Maine Pennsylvania Arizona 4 yr. institutions Public Arizona State University, Northern Arizona University of Arizona Private(for profit) (more: http://www.schoolchoices.org/colleges/in/arizona/type/asc) Florida 4yr. institutions Public Florida Agricultural and Mechanical University Florida Gulf Coast University Florida International University (more: http://www.schoolchoices.org/colleges/in/florida/type/asc) Private (for profit) (more: http://www.schoolchoices.org/colleges/in/florida/type/asc) Mississippi 4yr.institutions Public Alcorn State University University of Southern Mississippi Mississippi State University (more: http://www.schoolchoices.org/colleges/in/mississippi/type/asc Private (for profit) (more: http://www.schoolchoices.org/colleges/in/mississippi/type/asc) Maine 4yr. institutions Public University of Maine University of Southern Maine University of Maine at Farmington (more: http://www.schoolchoices.org/colleges/in/maine/type/asc) Private (for profit) (more: http://www.schoolchoices.org/colleges/in/maine/type/asc) Pennsylvania 4 yr. institutions Public Bloomsburg University of Pennsylvania Cheyney University of Pennsylvania Bloomsburg University of Pennsylvania (more: http://www.schoolchoices.org/colleges/in/pennsylvania/type/asc) Private (for profit) (more: http://www.schoolchoices.org/colleges/in/pennsylvania/type/asc)
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Discussion: Core principle should sell to these customers because
Performance base funding institutions already have an incentive to improve retention and graduation
Low income families relied on 37% of total college tuition assistance from grants & scholarships (21). Which shows a need for more attention to be placed on lower income families form Universities
Public Institutions; they had a revenue of 324 billion dollars compared to private for and non for profit. (1)
These states already implement a PBF in the state (23) so universities from these states will be more inclined to purchase class 120.
Athletic Departments Core principle on the athletic department should focus on schools transitioning to division one and division one school Transition to Division 1 Year transitioning Northern Kentucky University 2016 University of Nebraska at Omaha 2015 Division 1 School Total Expenses # of athletes University of Wisconsin-Madison
143,884,191 1,010 The University of Texas at Austin 138,205,604
746 Ohio State University-Main Campus 122,616,951 489 University of Florida 114,024,962
661 University of Michigan-Ann Arbor 111,363,181 1,027 Louisiana State University and Agricultural & Mechanical College 109,996,922 605 The University of Tennessee 109,899,761 640 The University of Alabama 109,071,197 678 University of Oklahoma Norman Campus 106,340,398 770 Pennsylvania State University-Main Campus 100,514,997 935
Table 3. Shows the Division 1 schools and schools transitioning to Division 1
Discussion: Core Principle should focus on these customers because
There are 351 division one school which range in 49/50 states (7)
Universities spend on average 50 million dollars (25)
Schools transitioning to division one schools are more likely to want to acquire class120 in order to remain as a Division one school and comply with attendance regulations.
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Discussion: Why these customers? Core Principle needs 40,000 customers in order to be a successful business here are the reasons why I believe there are the right customers for Core Principle
A 27% increase in graduating high school senior in 12 years will create more incoming freshman students. (11)
NCAA division 1 universities will provide higher credibility for Core Principle as well as having over 126,000 students (10)
First year college student retention is only at 64% by public 4 year institutions(4)
Helicopter parents spend on average $6 billion a year on tutoring services alone. (12)
NAIA market still hold over 60,000 students alone
FRESHMAN CHARACTERISTICS
Table 4.Shows Freshman characteristics, family income and future degree aspirations(14)
64 % of freshman applied to more than 3 colleges (13)
48% of freshman maintained an average grade of A- in High school (13)
76% of freshman say they plan to live with their parents(14)
“first –year students indicating that they frequently felt overwhelmed in their high school senior years is 30% and they may be in the path to feel overwhelmed in college” (14)
13.7% of freshman are likely to go to the business field.(14)
79.4% of freshman are NOT first generation students. (14)
Freshman provide a big market because many will continue to live at home while they attend school, 18% of the income power in from the median income families. Core principle should focus on freshman, second generation college attending caucasian middle income families to sell their Class 120 product.
Bacherlor's Degree 20.4% Master's Degree 41.4% Ph.D. or Ed.D. 19.1% MD,OD,D.D.S 10.2%
Highest Planned Degree
Aquire better job 84.7% Learn more on fields of interest 82.8% Train for career 77.6%
Reason for Attending College
$25K-$50K 16.8% $50-75k 18.5% $75-100k 13.6% $100-150K 17% $150k- Above 7.8%
Estimated Parental Income
Caucasian 72.7%
African America 11.5%
Asian American 8.5%
Hispanic 12.7%
Ethnicity
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STUDENT GRADUATION RATES
Table 5.Shows number of students that fail to graduate based on the provided % and the total # in 2012(26)(only estimate)
Discussion:
46% of those who enter a U.S. college fail to graduate within six years (15)
“The 2011 graduation rate for full-time, first-time undergraduate students who began their pursuit of a bachelor's degree at a 4-year degree-granting institution in fall 2005 was 59 percent.” (16)
“Four-year public colleges, 81 percent of students enrolled full-time for the duration of their college experience graduated within six years” (17)
Many students tend to graduate after six years after they attend college, which proves that a product like Core Principle will be utilized by universities and parents as well. Although retention rates for public institutions seem to remain constant (20) graduation rates are longer than normal as the data tells us, which will be good market for Core Principle
COLLEGE COST
Table 6. shows the total percentages and resources that cover college cost (21)
Student Borrowing 18%
Parent Borrowng 9%
Grants and Schoolarships 30%
Student Income & Savings 11%
Parent Income and Saving 27%
Other 5%
How Typical Family Pays for College Institution Graduation Rates Percentages Students College Students 14,880,343 Public 4 year 59.9% 8,913,325 College Students 3,953,578 Private non-for profit 64.6% 2,554,011 College Students 1,808,898 Private for profit 15.7% 283,996
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FAMILY EXPENSES
Table 7. shows total amount of family barrowing per institution per student(6)
On average grand and tax benefit covered 63% of average full time undergrad student (6)
Parents and students borrowed funds to cover 26% of total charges(6)
Table 8. shows total amount of family barrowing by race(21)
Target Caucasian families their bowing averages more they’ll be more inclined to want to track they child’s attendance
Family Borrowing
Public 4 year
$5,200 Per student
Private for Profit
$7,800 Per Student
Private non-for Profit
$8,800 Per Student
Family Borrowing by Race for 2013
African American Families
$18,000
Hispianic Families
$21,000
Caucasian Families
$22,000
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SELLING POINTS
Core Principle will assist helicopter parents, will feel more secure on the where about of their freshman students in the university
Core Principle will assist parents who financially contribute to their children’s education parents see the importance to track their children’s attendance.
Core Principle will assist universities that have in place Performance based funding, institutions will see more benefit for the Class 120
Core Principle will assist universities who receive funding for scholarship money students being awarded that money are more appealing to keep track of because of the state money they receive
Core Principle will assist university comradery by involving professors in the student retaining efforts
Core Principle will assist university increase student retention for the institution which will translate to educational funding
Core Principle will assist Athletic departments by complying with NCAA regulations by keeping attendance.
Core Principle will assist athletic departments by providing easy low cost method of attendance tracking.
Core Principle will assist athletic departments increase athlete attendance for the institution which will translate to more athletic funding
KEY SUCCESS FACTORS
Establishing relationships with universities
Provide high user experience
Establish credibility to acquire referrals
Provide easy measure for athletic departments as well as universities
Prove correlation between attendance and graduation
Establish incentive for first time buyers
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COMPETITOR ANALYSIS
DIRECT COMPETITORS FOR THE PARENT MARKET: These companies provide parents will real-time updates and GPS location of family members or students
Sprint Family Locator
GPS Tracking Pro
Life 360
DIRECT COMPETITORS FOR THE UNIVERSITY: These software include some of the same features used in Core Principle’s Class 120 and are used to track student attendance and provide a combined data set.
AccuClass
i-Attend.com
ScholarChip
DIRECT COMPETITORS FOR THE ATHLETIC DEPARTMENT are attendance-tracking tools that monitor attendance through software and will help the Athletic department manage attendance. Various features from both companies include the accurate attendance tracking and the late arrival notification.
OpenTech’s Class Track
Jolly
DIRECT COMPETITORS
AccuClass a product offered by Engineerica, which Florida corporation established in 1994, The company started as computer engineering consulting firm but quickly specialized in building attendance tracking systems for the academic market, Engineerica offers several attendance tracking systems including desktop software, client-server applications, cloud- based solutions, and Apple iOS apps. These systems include academic center management software, classroom attendance applications, conference, and event tracking systems, and more. (3)
ScholarChip ScholarChip was established in 2000 to provide advanced ASP solutions to education. ScholarChip’s solutions provide colleges & universities with economical, scalable and easy-to-implement security, attendance & financial applications, addressing the current issues of student retention, completion & budget constraints. (4)
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LESS INTENSE COMPETITORS
i-Attend.com A software product from Dotenablers LLC which offers solutions for better tracking attendees combines the technologies of RDIF and Barcodes.
Campus Track Open tech’s product which offers student tracking software for tracking student activities, college assets, managing print and copy costs. Campus track allows universities to build on their existing student ID programs to facilitate these tracking and facilities management processes.
INDIRECT COMPETITOR
GPS Tracking Pro Allows you to keep track of family friends and phones with GPS technology
Sprint Family Locator Sprint Family locator is a service provided by Sprint, which offers parents or the account holders to track anyone in their bill plan to know their where about using GPS tracking systems.
Life 360 allows families to stay connected through a mobile app that can be used by the entire family.
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ACCUCLASS
Product offering includes a variety of options for the customer.
“For classroom attendance tracking, AccuClass, the online class attendance system. Select your favorite way of recording attendance including web-connected computer, Apple device, RFID, or ID card. Instructors and educational Institutions”(2)
Provides RFID technology to track students attendance
A computer in the classroom as a sign-in station and have students sign in by swiping their student ID card in a magnetic strip reader or use a barcode reader(5)
Use time clocks mounted on the wall near the classroom entrance to capture the attendance(5)
Use an Apple device to call roll (5)
Use an Apple device and sign the students in by reading a QR barcode or swiping an ID card with a magnetic strip (5)
Competitive Position
Facilitate attendance tracking provides detailed reports all with a fully customizable way of taking attendance with different tracking methods.
Web-based software that is hosted in the Amazon cloud (6)
Real time results
Easy; There is no need for infrastructure change because of the use of software
Multiple options for recording class attendance (6)
RDIF
QR Scanner
Apple device roll call
Strengths
Cloud syncing
Variety of platforms to use
Free use for the first semester
RFID technology to track students
Online Tutoring
Over 20 years of experience in attendance tracking software
Weaknesses
Low brand equity
Weak online presence
Unappealing website
Will become time consuming for a larger class
Only compatible with iPhone Devices
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SCHOLARCHIP
Product Offering
Contactless Card
“ScholarChip provides smart card IDs for the K-12 market and also provides payment gateway and electronic signature solutions for the Higher Education institutions.”(15)
Automatically tracks credit hours and identifies students at risk for non-adherence, all in real time (7)
Allows automated real-time attendance taking.
A small device with a clear display and color-encoded LED indicator lights which detects cards at a 4 inch distance. (7)
Wall Mounted Attendance Board or a small USB device. (7)
Systems automate all aspects of school operations, financial transactions and security (7)
Competitive Position
Synchronized ID card to attendance taking and identifies and locates students throughout campus
System verifies correct class and records the correct attendance status
Contactless SmartCard ID, ScholarAttendance™ automatically tracks credit hours and identifies students at risk for non-adherence, all in real time (7)
Strengths
Integrated cloud services
Credibility from other institutions
Available on iPhone and Android devices
Very active on line presence
Smart card provides attendance, POS and e-transactions
Cloud based and Hardware based
Growing in customers base
Weaknesses
Integrate a new ID system into universities
Attendance taking can only be conducted through a card
No access from the professors end
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I-ATTEND.COM
Product Offering
“Our solution combines the proven technology of RFID and Barcode, and robust, scalable web- based application to track attendance at events, seminars, conferences or meetings of any size”(8)
Uses RFID and barcode technology to track attendance
No monthly contract and you can cancel at any time
Real time downloadable results
The use of multiple platforms
Use software to create a meeting or event and allows students to check in with their badge
Competitive Position
No long-term contract provides attendance access through barcode or RFID cards
Combining the proven technology of RFID and barcode to track attendance
Their RFID and robust and Barcode web-based application
You can use existing badges or create new
24 hour access to reports
Strengths
Customers can use existing badges
Works with either RFID or badges
Data and reports available 24/7
Monthly contract
Weaknesses
Limited information available on website
No mobile access
No pricing available on website
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CAMPUS TRACK
Product Offering
“Monitor activity, control privileges, keep a verifiable record of attendance, and create an electronic log to improve security.” (10)
tracks various activities in the university
Improves safety and security in the institution
University can use existing badge system
Tracks visitors, guest and students
Provides mobile options
Competitive Position
Student tracking software that builds upon universities existing tracking management process
Secure ID cards supported by photos, smart card technology, and biometrics tracks throughout campus, in class, anywhere on campus or checking out a piece of gym equipment(10)
Campus Track provides college and university administrators with an electronic record of activity. (10)
Intuitive interface is also customizable, you can create your own drop-down lists to meet the specific needs of your institution or set your screen for automatic check-in to speed traffic flow.(11)
Strengths
Tracks various campus activities & facilities
Build on their existing student ID programs
Compatible with other SQL systems
Free trial
No infrastructure change
Weaknesses
No pricing available on website
No specific market
No tangible product provided
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GPS TRACKING PRO
Product Offering
“ Keep Track of Your Family, Friends & Phones With GPS Technology. GPS Tracking Pro uses state-of-the-art GPS Tracker technology to quickly and accurately locate the people you care about, providing real-time location updates using GPS navigation.”(12)
Mobile application to keep track with GPS technology(12)
Provides real-time location
Provide up-to-the-minute information (12)
GPS Tracking Pro also tracks phones including mobile devices, smart phones, older devices and Androids (12)
Competitive Position
Provides real time location
Accurate GPS location
App is also a cell phone tracker
GPS Tracking Pro app will send an invite text to your loved one’s phone. Once they reply with a “yes,” their icon will appear on the app’s map. You can now track their whereabouts 24/7. (12)
Strengths
The GPS Tracking Pro app is compatible with AT&T, Verizon, Sprint or another phone carrier (12)
Ensures the most accurate, real-time reporting on the location of your family and friends (12)
Provides real-time data on location of family’s where about
User installations of 5,000,000 - 10,000,000
Free installation
High customer reviews
Weakness
Only available for android devices
Cannot be established in an University setting
Limited to the mobile application market
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SPRINT FAMILY LOCATOR
Product Offering
GPS enabled tracking feature form your smartphone, provides location
Real-time interactive satellite maps with street addresses and landmarks (13)
Automatic notifications on specific days and specific times.
Password protected and only available for parents
Texting available to the family member you’re locating
Locate up to 4 mobile devices
Safety Checks that automatically notify you of a child's location (13)
Competitive Position
Can be used from mobile devices and desktop(13)
Benefit of using all sprint satellites for GPS
Real-time interactive satellite map
Reliability from carrier
Any Sprint phone can be located via its built-in GPS.(13)
Strengths
Easily available to sprint users
Real-time access to street addresses
Established reputation
Free trial
Weakness
Coverage not available everywhere.(13)
GPS reliability varies by environment.(13)
Available on select devices.(13)
A data transfer fee of 3¢/kb may apply (13)
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LIFE 360
Product Offering
“Life360 runs on your mobile device to allow you to view your family members on a map, communicate with them, and receive alerts when your loved ones arrive at home, school or work”.(16)
Allows family tracking with those who are in the Life 360 application
Free mobile application
Check in availability
At a glance feature to see where the members in your circle are at
Automate places
Includes private messaging feature
Includes group chat feature
Crime pins and offender pins
Premium Product offering $5 a month or $50 a year
o 24/7 live advisor with emergency roadside assistance (14)
o Unlimited places(14)
o Unlimited location look ups (14)
o Stolen protection services(14)
o Extended features (14)
Competitive Position
Availability to synchronize their locations
Provides convenient easy way to track members
Check in availability from anyone in the circle
Let’s you set your “favorite” location
Easier communication application
Availability to group all your connections into different groups
Strengths
Free and premium product offered
Available on android and IOS platform
Automates with places
Growing number of using customers
Established reputation
Weakness
Available only on mobile platform
No precise location feature available
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JOLLY TECH
Product offerings
Keeping track of tardies, absences and attendance
Management software for attendance provides IDs
Can take attendance through IDs
ID flows: tracks ID cards only
School track: student tracking software
Manages campus visits as well
Competitive Advantage
Provides alert emails to parents when there is a violation
Detailed reports
Database accesability
Offers various solutions for tracking and managing either supplies, visitors or attendance
Strengths
Established reputation through various institutions
Important client list
Various management products for the educational department
Accessible to system integration
Over 20,000 customers around the globe
Email Alerts to parents
Growing number of customer
Established company affiliations
Weakness
No mobile applications
No involvement from faculty
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MACRO ANALYSIS
ECONOMIC ISSUES
1. Increase in tuition
“Tuition has increased at a rate higher than inflation for 30 years, and the end result is higher student debt and an entire generation at a loss as to how they will pay off their loans.”(2)
IOCP: Will increase incentives for parents to buy Core Principles because investing in their education today will result in returns later.
2. Increase household income
“Real median household income for 2011 fell 1.5% to $50,054, which was 8.1% lower than in 2007.”(3)
IOCP: Academic funding demand will increase which will require students with good academic standing, which will mean better attendance that Core Principles can use.
3. “Families are seeking evidence of successful results to justify their college investment.”(3)
IOCP: The research Core Principle has provided will prove that their product will increase attendance which will correlate with passing classes and in the future success
SOCIAL ISSUES
1. Increase in enrollment
“Enrollment in postsecondary degree-granting institutions is expected to increase 15 percent between fall 2010, the last year of actual data, and fall 2021”(5)
“Between 2013 and 2020, college enrollment is projected to increase 5% for 18- to 24- year-olds”(3)
IOCP: Growing college enrollment will mean increase of Core Principle Customer base.
Table 1 shows the projected increase of undergraduate college students
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2. Increase in Incoming Freshman
“Between 2010 and 2021, first- time freshmen fall enrollment in all postsecondary degree-granting institutions is projected to increase 14%”(6)
IOCP: Incoming freshman will be a good target market for Core Principle to focus on, because they are increasing in size.
3. High School Graduates
“The number of high school graduates is projected to increase 5 percent between 2008– 09 and 2021–22.”(9) Regions with higher high school graduates:
South projected increase 11%
West projected increase 4%
IOCP: Potential customers from increasing number of high school graduates. Different regions provide a plan of who to target in the future with Core Principle’s product.
4. First Generation College students
“Estimated that 4.5 million freshmen are classified as first generation, low income students, 89% will leave college without a degree.”(11) The 2011 UCLA study also found that: “While 42 percent of students whose parents attended college graduated within four years, only 27 percent of first-generation students graduated within four years.”(12)
IOCP: Since first generation are higly at risk to not complete college Core principle will need to educate and persuade parents of the benefits that class 120 brings.
POLITICAL ISSUES
1. Performance Base Funding (This link provides a detailed list of each states’ metrics for PBF: http://www.ncsl.org/research/education/performance-funding.aspx)
“25 states are currently transitioning to some type of performance funding”(7) Many states will ned to comply will the following metrics, but not limited to:
increase degrees, diplomas, and certificates (7)
Increase graduation rates for low-income students by one percent (7)
First to second year retention rates (7)
Student progression (7)
IOCP: Universities will be looking for solutions to increase graduation rates and retention rates, utilizing Core Principle’s products.’
Washington alone “allocated 10 million dollars in funding based on performance in fiscal year 2014” (7)
IOCP: Institutions will be looking for more funding from states, Core Principle can help institutions increase student retention and graduation.
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DEMOGRAPHICAL ISSUES
1. Increase diversity among colleges
“In 2011 the number of 18- to 24-year-old Hispanics enrolled in college reached a record 16.5% share of all college enrollments.” (3)
“The number of white high school graduates will drop significantly by 2027, while the number of Hispanic and Asian high school graduates will rise.”
IOCP: Core Principle will have to implement different marketing strategies to accommodate the growing diverse demographics.
TECHNOLOGICAL ISSUES
1. Mobile trends
“Among Americans with mobile phones, more have smartphones (56%) than feature phones (44%)”(3)
IOCP: The increase of smart phone users will be beneficial to Core Principle’s products.
2. Increase in Online Courses
“Percentage of online students rose from 2009-2010 by 10%, making it a total of approximately 6 million students who took a class online”(10)
IOCP: The increase of online courses will potentially negatively impact Core Principle because students will think it’s easier to go to classes online and not use class 120.
“34% of U.S. colleges offer a bachelor’s degree online.” (10)
IOCP: The high number of online colleges can potentially lower traditional methods of getting a bachelor’s degree which will affect Core Principles customer base.
LEGAL/REGULATORY ISSUES
(1) Privacy Issues
“FERPA gives parents certain rights with respect to their children's education records. These rights transfer to the student when he or she reaches the age of 18 or attends a school beyond the high school level”(8)
IOCP: Core Principle will need to provide incentives to students as well as parents to overcome this privacy issue.
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SWOT
Strength (Internal)
Leadership with extensive knowledge of the student success industry and several established relationships with institutions
Patented and trademarked software
Social Media research with Crimson Hexagon
A range of schools GEO mapped with their patented software (306 schools)
Partnering with various institutions to launch their pilot program
Cellphone pinning technology provided for iPhone as well as Android systems
Real time reports.
Strong position in market with their GEO technology
Weaknesses (Internal)
Unestablished credibility with universities
Behind schedule with website launch
Haven’t implemented SEO strategies
Missed initial launched dates
Limited availability of capital
Opportunities (Macro &Industry)
Performance base funding is being adopted by more institutions
Historical and current growth in the Educational support field will benefit Core Principle
The Exam preparation industry shows an increase growth of 2.2%
The increase in mobile devices for educational purposes
Institutions increasing their performance standards provides opportunity for Core Principle products
Tuition increase serves as an driver for parental purchase
Enrollment is expected to increase a total of 15% in the next 7 years
The increase of high school students will create a wider pool of freshman college students
Threats (Macro & Competitors)
Privacy issues with FERPA
Decrease in household income could hinder the parent market
Online education is growing rapidly which can change the traditional education methods
A large number of competitors with established reputation
Life 360 provides a free mobile app with tracking services.
Jolly Tech which provides similar attendance taking service
Accuclass which provides RFID technology to track attendance; or mobile aided attendance taking
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STRATEGY OVERVIEW
After reviewing the data and all the findings it has been shown that it would be beneficial for Core Principle to go after three different narrowed segments in the industry. Core principle should focus on freshman university students, helicopter parents and Division 1 athletic departments. Because of their strong position with their GEO technology, it’s better if Core Principle target these customers, Core Principle has the advantage of being a new company, where they can establish the specific message they wish to implement. The goal for Core Principle should be to push their product units, an additional goal should be to establish brand awareness and status.
The more logical strategy for Core Principle to establish should be to an establish brand recognition and product credibility by acquiring support from universities. Having their products in an established in a university can provide the awareness to their company and their product. Being a new company Core principle will have to provide an incentive to obtain universities support. Overall strategy should be aggressive marketing to a narrowed market and a discounted price or free trials for certain established universities. This strategy provides Core Principle with two advantages
1. Create brand recognition and credibility
2. Will create a wave effect if they establish their product with the right universities, and other universities will want the Class 120 product
Logical strategy for Core Principle in regards to athletic departments would be to provide the professor app to the institutions, the professor app would seem more suitable for this market because the athletic department already has this system in place for their athletics it would just be an addition and provide the needed technology to track all the athletes and provide real-time results of which students have missed what percentage of classes. Alternatively you can also provide the athletes with the GEO app this would require no assistance from faculty and would be wireless, this would work better with larger institutions where most athletes have different majors. Reasons why to implement this strategy
1. GEO app will be more convenient to athletic departments
2. Professor app will integrate technology into attendance taking measures already being implemented by athletic departments
A smaller focus should be placed on individual parents by providing internet marketing efforts, and strategically focusing those parents that are heavily involved in the child’s education, these parents will already be looking for methods to be involved in their child’s education when they begin college. An internet marketing that’s tailored to the target market will be an additional tool that core Principle can use. Reasons why establishing an internet marketing campaign and providing incentive for established universities to use this product would include would be beneficial for Core Principle:
Core Principle has a limited number of personnel, the internet could facilitate marketing efforts
Limited resources and a target message will increase the likelihood of purchase & time restraint
Allow customable the message for the different markets
Establishing relationship with universities will bring more customers and brand awareness to Core Principle
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GOALS AND OBJECTIVES
For core principle to establish credibility and brand recognition in order to acquire sales they must have an objective of selling over 800 units per university, distribute over 500 professor apps to athletic departments and 300 individual unit to parents in a 6 month period. Yearly they should increase units sold by 30% Through our secondary data we were able to show that this is a reachable goal especially with incoming freshman and universities receiving pressure regarding their graduation rates. The high spending athletic departments and the heavily involved parents
Table 1. Shows the forecasted sales figures according to the established goals (revenue will vary depending on version)
If every year Core Principle should increase units sold by 30% at the end of 3 years their estimated total revenue would be of 1.5 million depending of what version of Class 120 is sold
These goals are reachable for Core Principle athletic departments already take attendance for student athletes and according to secondary data there is on average 800 students athletes in a university, Core Principle would only facilitate the process of attendance taking. Data shows that the number of freshman students is estimated at 3 million, these are enough number of customers to reach the goal of either selling Class 120 GEO or the Professor App- however universities would be less inclined to take time out of a class of 200 students to manually take attendance like you would with GEO app.
Optimistic goal will be of 1,600 GEO units sold in a 6 months period
Best estimate goal is estimated at 1,000 GEO units sold in a 6 month period
Pessimistic goal is at 800 GEO units sold in a six month period
OTHER GOALS & OBJECTIVES
Begin their organic search engine optimization
Establish relationship with university officials
Fully establish and become active in all form of Social Media including their blog
CLASS 120 GEO Year 1 units sold Year 2 units sold Year 3 units sold 2015 2016 2017 Parent 600 780 1,014 $129,000 $167,700 $218,010 Universities 1,600 2,080 2,704 $344,000 $447,200 $581,360 Athletic Departments 300 390 507 $64,500 $83,850 $109,005 PROFESSOR APP Parents N/A N/A N/A N/A N/A N/A Universities 800 1,040 1,352 $172,000 $223,600 $290,680 Athletic Departments 500 650 845 $107,000 $139,100 $180,830
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TARGET MARKETS
Through my secondary research I concluded that Core Principle should heavily target three different markets the performance based funding universities, division one athletic department and helicopter parents and freshman parents only slightly. Reasons why Core Principle should target these markets
The return will be more significant from Universities and athletic departments
Sales from universities will establish credibility and word of mouth marketing to other institutions
More spending ability form institutions & athletic departments than individual parents
Universities will demand bulk units this provides a greater chance to achieve internal goal of 40,000 units
1. Universities Universities are one of the profitable markets that Core Principle should focus on because they can purchase units in bulk orders, and they will be more willing to invest in this type of expenditure of they know that their retention efforts will translate to funding from the state.
Heavily target low freshman retaining universities in performance based funding states. If Core principle focuses only on performance based funding universities with low freshman retention rate it narrows the pool and will require a smaller budget. Below is a small example of potential target segments
2. Athletic Departments (Division 1 Schools) Atheletic departmenst are a second target market that should be focused by core principles my researched showed that on average an athletic department spends millions for their athletic departments, plus they already incorporate attendance taking measure to their programs, so this is an added bonus for Core Principle all they would have to do is implement the technology to facilitate this process that athletic departments already do
Heavy spending Division 1 athletic department are more likely to purchase Class 120.
According to the University of Arizona Department of Intercollegiate Athletic handbook student absences policy, if a student has 4 unexcused absences they will be suspended for 15% of the team’s competitions.(1)
Athletic departments will be swayed to acquire the Class 120 GEO for the team players especially for star athletes.
State University University Type Freshman Retention rate Florida Lynn University Private 62% Barry University Private 64% University of West Florida Public 74% Mississippi Jackson State University Public 75% Arizona Northern Arizona University Public 73%
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3. Parent Helicopter parents are a market that Core Principle should focus on, this should be a minor focus for Core Principle right now because they will provide less revenue. Although it is estimated that around 27% of parent income and savings account for paying for students college cost, there would need to be a greater amount of units sold for parent to be equivalent to the amount a sole university would purchase.
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POSITIONING PLAN
UNIQUE SELLING POSITION The most important feature that Core Principle has in their possession is their GEO mapping software, they should be known for their GEO patented software which is their only one currently in the market and cannot be copied. This feature is something that Core Principle should emphasize on with their marketing strategies.
Core principle should be known for their creative style to attendance taking measure they should focus their marketing on the simplicity and innovation that their GEO product provides. Not only that but their GEO product doesn’t require any infrastructure change to the universities, provides motivational tools for students and is a convenient and simple form of attendance taking, that will provide real results and measure to athletic department or their advising centers.
SELLING PLAN The selling plan that Core Principle will place will be different for different markets because providing a generic message will take away from the benefit that Class 120 provides to each market. A tailored message will work more for all customers because they will be more inclined to purchase the product. The messaging the Class 120 will bring will be of something that assist you whether it be universities, athletic departments , or parents. The customer has to feel that the Class 120 product will be the answer to one of their problem, for each market below is the messaging that Class 120 will provide.
Universities For universities Core Principle will sell a learning driving tool: meaning that Class 120 GEO will provide results through their attendance taking methods schools will see more retention and graduation results, plus it’s easy to use requires no infrastructure change and provides motivational tools.
Athletic Departments For athletic departments Core Principle will sell an time saving tool: meaning they will sell a tool facilitate their attendance tracking methods that are already in place in many division 1 universities, leaving behind those outdated methods of taking attendance plus and its technology provides real time results and dashboards for measures.
Parents For parents Core Principle will sell a piece of mind tool: meaning that parents will feel at ease knowing that the investment they have made in their child’s education will be fully met because they are attending classes and passing and what’s more important they are learning.
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MARKETING MIX KEY ELEMENTS
Product Core principle has the advantage of two products to promote in attendance taking efforts patent pending software of Class 120 GEO and their professor app product provides an easy method to take attendance and provides real-time results.
Price Class 120 GEO is priced at a competitive rate of $199.99 for the basic all the way through $343.99 for the complete version. Their price applied for their innovative patent technology of GEO mapping is sufficient enough to establish quality but not unreachable to customers.
Promotion For a promotional strategy I suggest that Core Principle uses Internet marketing and personally selling strategies, as well as social media and blog tools to bring brand awareness
Place For Core Principle it would be more effective if they sold online, they should heavily implement so SEO strategies or Google AdWords to their current website in order to increase their online presence since it is the only place they will be present.
People Core Principle is already surrounded by knowledgeable people who are passionate about the work they do and the product they provide, Core Principle should highlight on that company trait.
Marketing Mix
Product
•Class 120 Geo
•Proffesor App
Price
•$199.99
•$214.99
•$343.99
Place
•Online
Promotion
•Internet Marketing
•Personal Selling
People
•Staff Knowledagle in student success
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TAG LINE
Universities
“Learn with 120”
Athletic Department
“Score with 120”
Parents
“Peace with 120”
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PROMOTIONAL STRATEGY
Promotional Activities The promotional activities that Core Principle should engage in are heavy online presence, personal selling, one partnering activity and heavy social media use. I think that if Core principle engages in these communication mixes they will gain a lot of brand awareness not only that but they will get many customer or people that just want to find out about their products . Below I prepared an estimated budget for the marketing activities that Jeff should utilize: Promotion Activity Capital Required (Yearly) Time Spent on Activity Google AdWords $250 Ongoing Email Marketing (Mailchimp) 2,00 subscribers = Free 50,00 subscribers = $300 Ongoing Facebook Advertising 3,000 Ongoing Twitter Advertising Varies Ongoing Twitter/Facebook Giveaway $800 Monthly Linked In $130 Ongoing Blog $150 Ongoing YouTube Varies Trade Shows $18,000. 2 a year Web Seminar (Skype) Premium =$36 Ongoing Campus Partnering $2,000 2 a year Digital Magazine $1,000 4 a year Total Spending $27,000 (estimated)
Proposed Communication
Online In order for Core Principle to establish brand awareness and increase their communication to their target market to inform of all their product’s benefits they will need to engage in various online marketing methods and branch out in as many platforms as possible
Internet
Google AdWords Establishing Google AdWords will provide a paid method to reach across the internet platform. A pay per click strategy should be implemented in order to stay within the budget. Key words like; attendance tracking and college athletic attendance should be among the primary key words that Core Principle will implement in their Google AdWords campaign.
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Email Marketing Purchase an email list of parents of freshman students and this way email marketing will be an easier way for Core Principle to keep customers up to date with the new updates or other information, as well as attracting new parent to purchase their product. Heavy emphasis should be place in the market of universities and athletic departments for this
Social Media Campaign Core principles should utilize social media tools heavily they should incorporate a giveaway through their Facebook and Twitter platforms to engage all the parent out there that could potentially be interested in their product. They should heavily influence people to provide their email address and tweet that they have entered a contest from Core Principle for example: “I just entered to win a Class 120 Software app from @GetClass120! #learnwith120 #giveaway You Could Win TOO! Class120.com/giveaway”
Facebook Facebook is a tool that Core principle should heavily utilize when it comes to marketing should sponsor their post and engage daily to keep constant contact with customers. Facebook can serve as a tool where they display their blog content as well as upcoming products and software updates. Since they are a new company they should sponsor their posts.
Twitter Twitter will serve to promote their blog updates and engage with customers constantly. Core Principle should incorporate #Class120 to further increase customer engagement.
Linked In Core principle needs to establish a linked in account because this is the best method to perform B2B connections. Core Principle will be able to connect with other professionals in the education field which is extremely important since my strategy calls for extreme focus on universities and parents.
Google Plus Google Plus might seem similar to Facebook but Google Plus is an essential tool to have Google will more probably rank Class 120 higher. Google is more likely to place importance to their social media platform than Facebook. This is a strong driver as to why Class 120 needs to be heavily involved with Google Plus, specially to promote their blog post.
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Blog The most important piece for their internet strategy has to be to incorporate a blog. The blog is the most important tool if you try to connect with parent not only that but content marketing is becoming a growing field. Core principle needs to connect with Helicopter parents, mom blogs and college blogs. If Core Principle can have one of these types of blogs comment on their content of
Justification: Social media is a free method when you don’t sponsor and can help companies build brand awareness; because Core Principle is a new company I think that they should implement a lot of Social media campaigns.
Website Core principle needs to finalize designs on their current website, and update some designs to make it more user friendly. Currently Class 120 website lacks appeal it incorporates too much text which doesn’t appeal to the eye. Another recommendation that I’d encourage Core Principle to do is establish a weekly newsletter and have people register on the website for either blog updates or product software updates and more. Not only will this help with customer awareness this will also provide a greater list for email marketing purposes.
Justification: A cleaner website can improve customer use as well as increase organic search engine optimization with their high quality content, plus customers will enjoy the fact that they can receive weekly updates.
Local Event Activities
Trade shows Limited budget in Core Principle’s marketing requires a strategic plan of promotion visiting educational trade shows can prove to be beneficial in establishing relationships with potential universities and athletic departments, trade shows will bring awareness to Core Principle’s product while also providing form for Jeff to network with potential clients.
Justification: Trade shows act as a place where Core principle can display they products and explain further details, provides communication and also allows Core Principle to network with potential customers and see who their competitors are.+
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Personal Selling Methods
Web seminars Due to a limited budget Core Principle should stick to performing most of their personal selling through web tools like Skype. This will still incorporate the customer and they can get a sense of trust, and will save Core Principle money, because they won’t have to travel to every single university. Traveling to universities should be left to when both parties are ready to sign a contract.
Justification: Through web seminars Core Principle can personalize the marketing efforts still provide feedback to the customer’s objections while still saving money, they will be able to hear all the concerns and all the questions that they would in person, and Jeff will be able to obtain their trust something that wouldn’t; be possible if Jeff only performed sales calls
Partnering Activities
Campus partnering: Core Principle will need to partner with someone that is big yet not too big because they will be overshadowed by the popularity of that company. I think that they would benefit from partnering with companies that provide tools to school like pencil or pens or note pads.
Justification: Partnering up with companies that provide educational supplies will not contribute to competition, and Core Principle will not be overshadowed by the bigger company.
Traditional Marketing
Digital Magazine Core Principle should do something unique that can make them stand out which is why I am proposing that they have a personalized web magazine and they should incorporate news and other company products. Plus they can incorporate the latest news in the educational field. Example Provided Below
http://flippingbook.com/presentation-examples/
Other Activities
Affiliate marketing through blogs
SEO activities
SEM activities
YouTube videos for engagement
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OTHER ISSUES
As of now Core Principles has established a good position with their GEO mapping software. A few other issues that Core principle will need to address in order to truly thrive as a business are:
Be in production of their product update
Address cons to battery issues towards the mobile devices
Release Class 120 updated version a year after Class 120 launch
Fix any technical bugs that Class 120 may have
Verify that Class 12 works properly in all forms of mobile platforms
Distributing of Class 120 should be expanded to the targeted markets
Increase their employee pool to meet demands
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SUMMARY
Core principle has the product that can become extremely popular, they just need to implement tools that can help them achieve higher sales by applying these tool I think that Core Principle will increase their sale rapidly. In 3-5 years I think that Core Principles will establish over 40,000 users if they heavily apply they strategies I provided above. My plan will contribute to Core Principle in three way
Establish Communication
Create Brand Awareness
Inform Customers of the Product
Because these are essential requirement to any successful company and Core Principle will be implementing these items I think that they will become highly successful
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WORKS CITED
(1) http://athletics.arizona.edu/cats/2011-12_StudentHandbook.pdf
INDUSTRY WORKS CITED
(1) "Educational Support Services in the US - Industry Market Research Report" by IBISWorld August 2007. (2007). M2PressWIRE,
(2) http://sloanconsortium.org/news_press/january2013_new-study-over-67-million-students-learning-online
(3) Reilly, C. (2013, November 14). NSU weighs raising GPA admission requirement. Virginian-Pilot, The (Norfolk, VA).
(4) http://abcnews.go.com/WNT/Technology/story?id=2641669embarrassing-academic-decline/
(5) http://www.usnews.com/education/online-education/articles/2011/11/11/study-online-education-continues-growth
(6) Bowman-Perrott, L., Davis, H., Vannest, K., Williams, L., Greenwood, C., & Parker, R. (2013). Academic Benefits of Peer Tutoring: A Meta-Analytic Review of Single-Case Research. School Psychology Review, 42(1), 39-55.
(7) ( http://www.crla.net/ittpc/about_ittpc.htm
(8) http://www.tutor.com/higher-education/
(9) http://www.tutor.com/cmspublicfiles/WWW/HigherEdSellSheet.pdf
(10) http://www.forbes.com/sites/jamesmarshallcrotty/2012/10/30/global-private-tutoring-market-will-surpass-102- billion-by-2018/
(11) http://theweek.com/article/index/220277/americas-tutor-boom-by-the-numbers
(12) http://www.strategyr.com/pressMCP-1597.asp
(13) Erwina, I. (2013, September). Mobile Apps. In mintel.com. Retrieved March 22, 2014, from http://academic.mintel.com.ezproxy.library.unlv.edu/display/637755/
(14) http://blog.newrelic.com/2013/04/01/mobile-apps-industry-to-reach-record-revenue-in-2013/
(15) http://www.ntatutor.com/
(16) http://www.governing.com/topics/education/gov-performance-based-college-funding-coming-stateside.html
(17) http://www.ibisworld.com/industry/smartphone-app-developers.html
(18) U.S. News Syndicates Industry Report. (2010). M2PressWIRE,
(19) http://www.oracle.com/us/industries/education-and-research/overview/index.html
(20) Pearson plc SWOT Analysis. (2014). Pearson SWOT Analysis, 1-9.
(21) http://www.blackboard.com/Markets/Higher-Education-(1)/Overview.aspx
(22) Kaplan, I. c. (2). Fast Company Magazine Names Kaplan Among World’s 10 Most Innovative Education Companies. Business Wire (English).
(23) Adams, C. (2011). Value of Test-Prep Courses for College Admission Unclear. Education Week, 30(22), 10-11.
(24) http://www.americanprogress.org/wp-content/uploads/issues/2012/08/pdf/performance_funding.pdf
(25) http://cpr.iub.edu/uploads/AIR%202009%20Impact%20of%20Helicopter%20Parents.pdf
(26) http://www.oracle.com/us/corporate/oracle-fact-sheet-079219.pdf
(27) https://nces.ed.gov/fastfacts/display.asp?id=46
(28) http://nces.ed.gov/fastfacts/display.asp?id=98
(29) https://www.khanacademy.org/coach-res/higher-ed/case-studies-higher-ed/a/using-khan-academy-in-higher- education
(30) http://www.insidehighered.com/news/2011/12/07/khan-academy-ponders-what-it-can-teach-higher-education- establishment
(31) (31) Exam Preparation & Tutoring Industry (NAICS 611691). (2013). United States Exam Preparation & Tutoring Industry Capital & Expenses Report, 1-154.
(32) http://blog.vantagepath.com/blog/mobile-learning-stats-that-will-blow-your-mind-infographic
(33) http://www.foxbusiness.com/personal-finance/2013/01/28/higher-education-trends-to-watch-for-in-2013/
(34) http://www.theatlantic.com/education/archive/2013/12/5-higher-education-trends-for-2014/282702/
(35) http://pmark.pearsoncmg.com/templates/assets/pdf/MyLab-and-Mastering-10-Best-Practices-September-2013.pdf
(36)
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INTERNAL ANALYSIS WORKS CITED
(1) http://www.census.gov/easystats
(2) http://www.statisticbrain.com/average-cost-of-college-tuition/
(3) http://class120.com/parents/
(4) StudentAid.com Names Jeff Whorley President to Expand Its Services for Colleges and Consumer . (2009, November 13). In StudentAid.com. Retrieved March 11, 2014, from http://www.studentaid.com/Resources/Downloads/Press/Whorley_named_president_SAcom.pdf
(5) http://www.linkedin.com/profile/view?id=11980587&authType=NAME_SEARCH&authToken=5tWB&locale=en_US&srchid=1170124871394588267526&srchindex=1&srchtotal=221&trk=vsrp_people_res_name&trkInfo=VSRPsearchId%3A1170124871394588267526%2CVSRPtargetId%3A11980587%2CVSRPcmpt%3Aprimary
(6) http://class120.com/home/
CUSTOMERANALYSIS WORKS CITED
(1) Snyder, T. D., Dillow, S. A., & National Center for Education Statistics, (. (ED). (2010). Digest of Education Statistics, 2009. NCES 2010-013. National Center for Education Statistics
(2) http://www.insidehighered.com/news/2007/03/15/parents
(3) Aud, S., Wilkinson-Flicker, S., Kristapovich, P., Rathbun, A., Wang, X., Zhang, J., & National Center for EducationStatistics, (. (2013). The Condition of Education 2013. NCES 2013-037. National Center For Education Statistics,
(4) Aud, S., Wilkinson-Flicker, S., Kristapovich, P., Rathbun, A., Wang, X., Zhang, J., & National Center for Education Statistics, (. (2013). The Condition of Education 2013. NCES 2013-037. National Center For Education Statistics,
(5) https://nces.ed.gov/programs/coe/indicator_cha.asp
(6) http://trends.collegeboard.org/sites/default/files/analysis-brief-how-students-parents-pay-college.pdf
(7) http://en.wikipedia.org/wiki/List_of_NCAA_Division_I_institutions
(8) http://www.ncaa.com/news/ncaa/article/2011-11-02/ncaa-participation-rates-going
(9) http://www.usatoday.com/story/sports/ncaaf/2013/01/15/division-i-colleges-spend-more-on-athletes-than- education/1837721/
(10) http://exactsports.com/blog/ncaa-and-naia-scholarships-know-the-difference/2011/02/05/
(11) http://nces.ed.gov/pubs2014/2014051.pdf
(12) http://www.raisingmaturekids.com/Helicopter_Parenting.pdf
(13) https://www.census.gov/compendia/statab/2012/tables/12s0286.pdf
(14) http://www.heri.ucla.edu/monographs/theamericanfreshman2012.pdf
(15) http://politic365.com/2013/01/24/college-dropout-rate-called-national-crisis-in-new-report/
(16) http://nces.ed.gov/fastfacts/display.asp?id=40
(17) http://www.slate.com/blogs/the_slatest/2013/02/27/college_completion_rates_54_percent_of_first_time_students_ graduate_within.html
(18) http://www.quickanded.com/2010/12/u-s-college-graduation-rate-stays-pretty-much-exactly-the-same.html
(19) http://nces.ed.gov/pubsearch/pubsinfo.asp?pubid=2014902
(20) http://www.act.org/research/policymakers/pdf/12retain_trends.pdf
(21) https://www.salliemae.com/assets/Core/how-America-pays/howamericapays2013.pdf
(22) http://nces.ed.gov/programs/digest/d12/tables/dt12_224.asp
(23) http://www.ncsl.org/research/education/performance-funding.aspx
(24) http://www.schoolchoices.org/colleges/
(25) http://ope.ed.gov/athletics/SelectDownloadOptions.aspx?73656172636843726974657269613d3335336432373331323732363732363437343364333432663332333932663332333033313334323033313331336133353330336133323331323035303464267264743d342f32392f323031342031313a35303a323120504d
(26) http://nces.ed.gov/programs/digest/d13/tables/dt13_303.10.asp
COMPETITOR ANALYSIS WORKS CITED
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(1)http://shop.sprint.com/mysprint/services_solutions/details.jsp?detId=sfl&catId=service_gps&atName= GPS&detName=Sprint%20Family%20Locator
(3) http://www.engineerica.com/about
(4) http://www.scholarchip.com/collegesanduniversities/index.aspx
(5) http://www.engineerica.com/accuclass
(6) http://www.engineerica.com/accuclass/features
(7) http://www.scholarchip.com/collegecardbasedattendance.aspx
(8) http://www.i-attend.com/
(9) http://opentech-us.com/tracking-software/college-student-tracking-software-campus-track/
(10) http://opentech-us.com/tracking-systems/college-campus-tracking-system/
(11) http://opentech-us.com/tracking-software/college-student-tracking-software-campus-track/
(12) https://play.google.com/store/apps/details?id=com.fsp.android.c
(13)http://shop.sprint.com/mysprint/services_solutions/details.jsp?detId=sfl&catId=service_gps&catName=GPS&detName=Sprint%20Family%20Locator
(14) https://www.life360.com/premium/
(15) http://www.scholarchip.com/history.aspx
(16) https://www.life360.com/tour/
MACRO WORKS CITED
(1) "Educational Support Services in the US - Industry Market Research Report" by IBISWorld August 2007. (2007). M2PressWIRE,
(2) Hilsinger, C. (2013). Up, Up And Away: College Tuition Is On The Rise. Forbes.Com, 57.
(3) http://www.sumsem.com/testing/2013_trends.pdf
(4) http://clients.thelawlorgroup.com/Lawlor_Trends_2014.pdf
(5) http://nces.ed.gov/programs/projections/projections2021/sec5a.asp
(6) http://nces.ed.gov/programs/projections/projections2021/sec5d.asp
(7) http://www.ncsl.org/research/education/performance-funding.aspx
(8) http://www.ed.gov/policy/gen/guid/fpco/ferpa/index.html
(9) http://nces.ed.gov/pubs2013/2013008.pdf
(10) http://www.statisticbrain.com/online-university-statistics/
(11) http://www.plazacollege.edu/blog/2012/10/first-generation-college- students-and-beating-the-odds/
(12) http://education.cu-portland.edu/blog/reference-material/first-generation- college-students-graduation-rates/