Confidential For Internal Use Merely Team __ TEAM __ - Marketing Contrivance (Sample) MKTG 649, Fall 2009 Prepared for: Professor Mahmood Hussain Prepared By: Your Spectry Your Spectry Your Spectry Your Spectry Your Spectry 1 Confidential For Internal Use Merely Team 8 Executive Summary Six Flags has had exalted achievement aggravate a calculate of years through providing a one-stop invigoration object perfect following a ease interesting roller coaster rides and an interesting sphere. In new years, thus-far, Six Flags has been struggling and is now in fearful insufficiency of a boost to acceleration repossess its achievement in the Topic cork toil.
We centreed our unpowerful lore on late and prevalent declaration on Six Flags as polite-behaved-behaved as the topic cork toil as a all. Databases and websites were husbandd in throng this advice. In adduction, we delved into deviseerly wasteed lore respecting the topic cork toil and Six Flags. This advance perceiven us to append precisely how Six Flags arrived at its achievement, and neverthehither to its deficiency aggravate the late few years. This is advice that could obtain been obtained through interviewing Six Flags employees; thus-far, we chose to receipts following a ease the departed fruitful cherished of unpowerful lore.
The biggest consequence Six Flags reckonenances is its enormous obligation of aggravate $2 billion dollars. The stconducive is on the slope of nondespatch and has been pulled from the NYSE due to their divides reversion subordinateneath the $1 fitness. The stconducive insufficiencys to pay $300 darling dollars to preferred fundholders, and closings the principal to do so. Another key consequence they reckonenance is their near target trade. Six Flags has dejected their centre down to the lad, or teen trade following a ease hither substance attributed on requesting to families. This represents a enormous privation of immanent customers for Six Flags.
Furthermore, there is a vindication for appall rides and rollercoaster’s that Six Flags can speed to advantage from. In adnormal to undertake twain of these consequences commander on, Six Flags must not merely prolong-for their demographic target, but to-boot their work donations. Infollow must be breedd as at-uniformly as immanent through acceptiond exexchange to the corks and work mutation. The tradeing objectives we aim to oration, consummate and conclude are to acception infollow through mutation and pricing methodologies, and to acception the target trade to embody families, teens, and adolescent adults.
Increased stranger squandering is a superior content of what target trades we are perplexing to stretch. We closing to propose detached from the teen trade, which does not squander abundantly if any specie in the cork departed bearing. The two new target trades Six Flags is going to agree to are families and 21+ adolescent adults. Six Flags achieve particularize itself by providing twain of these fountains of invigoration in one subsidence. We closing Six Flags to be a attribute interest no other in the province. In adnormal for Six Flags to cling competitive, we insufficiency to exchange-modify our instrument of apportionance.
That achieve be completed following a ease the importation to two new ventures, Tumult Simulators and Boulevard Six. Six Flags’ prevalent pricing diplomacy for their onthread daily tickets is proving to be achievementful in provisions of alluring departed stranger retinue. Extended hours for proper courteous-balancedts can to-boot concede an extra ascititious appreciate to 21 and aggravate patrons who are achieveing to pay a 25 percent acception on top of schemeatic one-day bearing. Nature unconcealed until 12 midmisinterpretation for such courteous-balancedts would yield exclusivity to a smaller pack following a ease hither reversion in thread.
Another signistic would be to obtain flinty liquor and beer expensed at a bounty to advance maximize receipts. The earliest sales advancement achieve be a integral-year pledge, exhaustive Fourth of July where all strangers get in for bountiful. We achieve persuade this advancement “FREEdom Day”. Another common advancement achieve be denominated Fun in the Sun. We expect an acception in Six Flags work through the deed of our Marketing Plan. 2 Confidential For Internal Use Merely Team __ Tconducive of Contents Introduction………………………………………………………………... Lore Methodology…………………………………………………... 1 Top Analysis SWOT Analysis…………………………………………………….. 2 Antagonist Analysis………………………………………………... 3 Customer Analysis…………………………………………………. 4 Community Analysis…………………………………………………. 4 Marketing Problems and Opportunities…………………………………5 Managerial Recommendations Trade Centre Marketing Objectives……………………………………….. 8 Target Market……………………………………………….. 8 Differentiation……………………………………………….. 8 Positioning……………………………………………………9 Marketing Programs Work Strategy……………………………………………. 9 Pricing Strategy……………………………………………. 0 Advancement Strategy……………………………………….. 10 Dispensation Strategy………………………………………. 11 Implementation and Produce Financial Data……………………………………………………. 11 Financial Projection………………………………………………11 Financial Control…………………………………………………. 12 Conclusion……………………………………………………………….. 12 Appendix…………………………………………………………………. 14 3 Confidential For Internal Use Merely Team __ Importation Six Flags has had exalted achievement aggravate a calculate of years through providing a one-stop invigoration object perfect following a ease interesting roller coaster rides and an interesting sphere.
In new years, thus-far, Six Flags has been struggling and is now in fearful insufficiency of a boost to acceleration repossess its achievement in the Topic cork toil. The whim cork toil proffers a multiformity of inducements to a very extensive and sundry trade. Following a ease exhaustivething from high-flying roller coasters to cartoon and movie sign grounded donations, topic corks obtain creatord a very achievementful trade that has been on the mount for multifarious years. However, interest exhaustivething else, companies obtain seen their amiable-tempered-tempered eras as polite-behaved-behaved as their bad. It looks as though Six Flags may be on the decthread in an void trade.
Notwithestablished acceptiond retinue on an annual account, including the severe decthread of their teen trade, the whim cork toil has been unsuppospotent exaltedly by discordant economic eras. Six Flags, Inc. specifically has grace the digest of this perplexing toil. Despite an increasing retinue objurgate aggravate the years, Six Flags has looked to dig itself into a cavity that it cannot look to get out of. Their obligation-impute has operativecuffed them to the slope of noncommunication. Their shortness to acception retinue to the apex of rectifyd profitpower and obligation-reduction has accelerationed import this community infix immanent deficiency.
The perception of an acceptiond retinue objurgate in 2008, (up to 25. 3 darling from 24. 9 in 2007) yet quiet reporting a net privation of $207 darling for the immodestth pity of 2008 is very big. 1 This signifies the fearful etendency of vexation Six Flags is prevalently in as their biggest apex of profitability, retinue, has not been abundance to dig this community out. This indicates that a thoroughgoing exexchange of fearfulction is in insufficiency for Six Flags, Inc. Although the calculates are bad for Six Flags, a tradeing start may acceleration import this death community tail to narrative. Lore Methodology
Due to closing of instrument and low participant reckon, we obtain unwavering to centre our lore on unpowerful lore merely. Ease we do judge it may be advantageous to append advice and insinuateions through earliest lore, there are multifarious instrument adapted through unpowerful lore that achieve ample. As the topic cork toil is extensive, a prodigious etendency of reading and advice is adapted. Through loreing preparedly adapted advice, we are conducive to append twain independent and denying discretions and lore from very relishly fountains. Although the utilization and deed f earliest lore is notional and majesticly advantageous, distinctly for tradeing starts, its aggravateall implementation is not a humble consequenceion. The emblem of earliest lore vindicationd to creator gauge tradeing decisions, chiefly for a undistinguished community interest Six Flags, would insufficiency to be on a abundantly extensiver layer than we are capconducive of operativeling in such a insufficient bound of era. We centreed our unpowerful lore on late and prevalent declaration on Six Flags as polite-behaved-behaved as the topic cork toil as a all. Databases and websites were husbandd in throng this advice.
In adduction, we delved into deviseerly wasteed lore respecting the topic cork toil and Six Flags. This advance perceiven us to append precisely how Six Flags arrived at its achievement, and neverthehither to its deficiency aggravate the late few years. This is advice that could obtain been obtained through interviewing Six Flags employees; thus-far, we chose to receipts following a ease the departed fruitful cherished of unpowerful lore. 1 Confidential For Internal Use Merely Team __ Top Analysis SWOT Analysis Strengths Six Flags’ ocean power in the introduce set-forth of the U. S. husbanding looks to be its “bountiful reversion” expenses.
For occurrence, exhaustiveone who buys a daily ticket onthread for Six Flags Discovery Kingdom (Vallejo, CA) pays the kids’ expense of $29. 99. This has fearfulctly acceptiond retinue. Contiguous to its captivating expenses is Six Flags’ interpolitically regulately mark spectry. The spectry, parallel following a ease its extensive decoblame of invigoration works and trials, has built permanent equity for 48 years. To latere and re-energize its mark, Six Flags CEO Mark Shapiro and his tradeing and invigoration teams obtain worked to creator the topic cork departed continuityage-friendly ease quiet oceantaining its ignature cast for record-breaking appall rides. The corks are cleaner, there is departed extensive-grounded invigoration, an enforced adjudication of waste for strangers, and amelioblame useful employees who can concede departed tendency utility. As a termination, key contentment scores were at or aggravatecrisis all era highs for the community. Six Flags advocates proper creators by trade annual walk-a-thons in the cork, joining the battle to acceleration repay progenys cancer. They advance subsistence the “green proposement” by using biodegradconducive undividedsale ratelessness bags throughout the community’s 20 subsidences in the United States, Mexico, and Canada.
Location is another power of Six Flags. The topic cork is located in superior metropolitan areas making it a credible, occasionpotent expedite detached from abode. Weaknesses Although Six Flags is now paradeing an acception in stranger retinue due to advisements paradecasing low ticket expenses and an acceptiond appreciate donation, its calculate one dilution looks to be leveraging their colossal obligation impute of aggravate $2 billion dollars. It must to-boot pay $300 darling dollars to preferred fundholders in which it has no way of paying.
The fabrication of new appall rides can absorb up to $20 darling dollars each ease consumer squandering sediment low. This obligation achieve speed to repress Six Flags’ enlargement and may import them to refine for Stipulation 11 noncommunication. Past bearing is up, the threads for each superior inducement achieve to-boot acception. This may creator impatient patrons indetermirace in the hot summer sun to go elsewhere for invigoration. Another dilution is the appropriation objurgate of teenagers and adolescent adults has speedd to hitheren gratefully they ask-for “there’s rush new for us. Disappointingly, a superior dilution that the topic cork is to-boot perplexing to produce is its calamitous escapade accidents. In June 2008, a 17-year-old was decapitated by the Batman roller coaster when he layerd two six-sole fences and entered a scientific area at Six Flags Aggravate Georgia. The year precedently, a girl’s feet were cut off when a bountifulfall appall ride malfunctioned at the Six Flags Kentucky Kingdom. A cconducive had snapped and wrapped environing the 16-year-old’s feet, severing them at her ankles. Opportunities Six Flags is scant in opportunities as they obtain no principal on operative and an aggravatewhelming obligation impute.
However, to prompt tail the decreasing appropriation objurgate of its adolescent adult trade which as a termirace can leverage the obligation, perchance Six Flags can unconcealed a 21 and aggravate misinterpretationclub. The club can obtain unanalogous elaboobjurgate topics each misinterpretation, such as a “Batman” or “Terminator” policy. A sports bar and restaurant can prompt a new demographic of sports fanatics. Stranger appearances by sports icons in these restaurants can to-boot expedite exexchange through the cork. Ride simulators in malls, introducing new and upcoming appall rides, may to-boot indoctrinate prospects to try the “real thing” at a 2 Confidential For Internal Use Only
Team 8 topic cork. Six Flags can to-boot try to hawk some of its fix that it owns delayout its corks to acceleration hitheren their obligation. It can courteous-balanced redeep departed courteous-balancedts ranging from proper creators to invigoration and prolong-for its consequenceional hours to the 21 and aggravate pack so as to acception ticket sales. Joining departed strategic alliances interpolitically such as Dubai Trade to elevate a Six Flags in Dubaifix can to-boot make-trial-of to be lucrative. Most powerfully, Six Flags insufficiencys to get to the rise of the gist and follow up following a ease a restructuring bond that achieve content twain its fundholders and the community.
Filing for stipulation 11 nondespatch may inadvertently reduce retinue as strangers may touch that consequenceions, including protection on rides and the cleanliness of the ground could be unsuppospotent (although Six Flags confirms that these achieve not be unsuppospotent if they do refine). Thus, nondespatch could desolation Six Flags’ metaphor and word departed of their opportunities to prolong. Threats Threats oceanly embody other superior topic cork antagonists such as Disneyfix and Universal Studios and separate race following a ease departed conferconducive fun activities such as miniature golfing or watching a movie.
Other threats embody the prevalent swine flu that has disseminate fast throughout distinct set-forths in the U. S. from its creator in Mexico. Some families may gard twice precedently going to a topic cork following a ease hundreds or thousands of other living-souls in which any may be polluted following a ease the noxious bane. Severe sky provisions can courteous-balanced temporarily cork down the cork. In 2005, it was incontrovertible for Six Flags New Orleans to cork down in making-ready for Hurricane Katrina. Katrina’s depressed winds and floods left an estimated $32. 5 darling rate of remuneration. The cork has past been corkd. Antagonist Analysis
The superior antagonist of Six Flags Inc. is the Walt Disney Company. In similitude, the Disney Community centrees on alluring strangers from counter the globe to mark its corks ease Six Flags targets its topical demographic and does not investigate to advise interpolitically. Although Disneyfix proffers the mysterious trial that families obtain aged up to perceive and benevolence through its flagship signs and movies, Six Flags is investigateing to be the rare getdetached in a downward husbanding. Earliest off, Six Flags is normal a expedite detached for those who speed in cork radius to metropolitan areas.
At Six Flags Discovery Kingdom (Vallejo, CA), as mentioned antecedent, exhaustiveone can pay the onthread daily kid’s expense of $29. 99. Disneyfix and Disney Globe oceanly vindication a all reromance parcel, including airplane flights and a hotel cling. To mark Disneyland’s whole topic cork in one day, a patron achieve obtain to shell out as abundantly as $94 per day. In 2008, Six Flags courteous-balanced reputed a 5 percent acception in infollow following a ease dejected absorbs from the deviseer year ease Disneyfix newly reputed an 8. 2 percent deccontinuity in infollow and acceptiond absorbs for this year’s earliest pity.
Universal Studios movie-topic cork, perceiven for simulating their top objurgated movies into rides and other trials, is another antagonist that to-boot vindications a reromance parcel. Its unconcealed bearing is $67. 99 a day. Last year, the cork subordinatewent retinue downturns due to reading and strangers trade off on recreations until the new rides were perfect. However, courteous-balanced in a troubling husbanding families are achieveing to pay a bounty to mark such corks as Disneyfix and Universal Studios to go to a attribute “where dreams follow true” and to get the farthest Hollywood trial as seen through television and movies respectively.
These are reported to be departed conferconducive when comparing it to a continuityage mistake to Europe or Asia. Six Flags’ other race embodys the trial of shopping at a mall, going out to the movies, or courteous-balanced clinging abode and obtaining appalls through Sony Playstation or Nintendo’s Wii. Consumers obtain interest “getting detached” uniformly in a ease and if they are scientific to a budget, they may meditate the worthlesser temper that they can relate departed than uniformly during corkr bounds of era. 3 Confidential For Internal Use Merely Team 8 Customer Analysis Approximately 25 darling strangers accongregation Six Flags integral-year.
The cork requests to a extensive demographic in which seventy-five percent of its customers speed following a easein 100 miles. Its ocean customer centre is its continuityage ace. Most of its corks are scant to nature unconcealed during the leap and summer occasions and merely on weekends during off-seasons (due to sky factors). In this fact, generating infollow from the continuityage ace is discriminating ease quiet perplexing to protect its heart parley of teens and adolescent adults who are drawn to farthest rides. Thus, Six Flags is providing a extensiver work dorace to acception its aggravateall stranger retinue.
It is to-boot remaking its metaphor into a allsome, highly-branded, continuityage-friendly attribute harmonious to that of Disney. There are departed rides and inducements not merely for a adolescent demographic, but to-boot for families. Six Flags has to-boot loving these customers departed to do and squander specie on by importing in marks such as Johnny Rockets, Papa John’s, Cold Stone Creamery, and Kodak. The cork’s retinue has gradually dismissd in new years but launched to extract up anew in 2008 and is paradeing exalted undertakement this leap occasion. For occurrence, Six Flags Discovery Kingdom had its extensivest retinue past 2003 during their two-week leap shatter bound.
The continuityage ace is expense sensitive; gratefully following a ease daily ticket expenses nature fairly low parallel following a ease prevalent low gas expenses, Six Flags looks interest an conferconducive mistake. The community is pendulous 55 percent of its sum apportionances to follow during the months of July and August. Departed families and better disposconducive infollow families are expected to present to these apportionances. Also, seventy-five percent of Six Flags consumers ask-for that their earliest debate for accompanying the cork is to squander era following a ease friends and continuityage. Community Analysis Six Flags, Inc. is the extensivest regional topic cork community in the globe providing a raceal mark following a ease regional centre.
The stconducive has 20 corks sum, 18 of which are in the United States, following a ease the other 2 located in Mexico and Canada. The invigoration objects in the U. S. compmount topic, impart and zoological corks following a ease aggravate 900 rides, including 130 rollercoaster’s. Six Flags, Inc. is commandered by CEO Mark Shapiro and is a publicly-traded confirmation commanderquartered in New York City. The earliest Six Flags topic cork, Six Flags Aggravate Texas, was unconcealeded in 1961 by Angus Wynn. The corks spectry came from the six topicd sections, patterned following the humanization of the six reckonries whose flags flew aggravate Texas during the set-forth's colorful narrative. Today’s corks prprexhibit a perfect one-stop diversified invigoration object for all ages. 3 Appall rides, restaurants, pastimes, topicd areas, progeny’s areas, parades, combinations, parades and abundantly departed are adapted for the customers’ exercise. Trade Pattern Six Flags operates as a occasional trade - aggravate 85% of cork retinue and apportionances are breedd betwixt the excite and third pitys of the pattern year. 4 Its trade pattern is containd principally of making specie through ticket sales, in-cork patronage and commodities sales, and sponsorship apportionance. 5 4 Confidential
Ticket Pricing For Internal Use Merely Team 8 Ticket pricing secures a extensive regulate, following a ease tickets adapted for a individual day cork mark to occasion ignoringes. There are 3 emblems of tickets adapted: • • • Individual day 1 cork (unconcealed and progeny bearing) Individual day 2 cork ignoring (unconcealed and progeny bearing) Occasion Ignoring Individual day 2 cork ignoringes are for subsidences that obtain twain a Six Flags topic cork and impart cork located contiguous to each other. Fascinate voicelessness that some topic corks obtain a impart cork delayin of them, but do not vindication a 2 cork ignoring. Unconcealed bearing expenses regulate from $29. 9 - $69. 99. Progeny bearing expenses regulate from $20. 99 - $29. 99. These regulates caggravate Individual Day 1 and 2 cork ignoringes for topic, impart, and voluptuous corks. Occasion Ignoring expenses regulate from $39. 99 - $125. Occasion Passes may be forfeitured for individual cork bearing or dual cork bearing. Occasion Passes embody: • • • • • Unscant marks Bountiful tickets for strangers Aggravate $300 in cork savings Admittance to Mount and Scream present unconcealedings and not-public Occasion Passholder Day Accepted at 15 Six Flags subsidences including La Ronde, Montreal Occasion ignoringes are Six Flags heart appreciate donation.
Passes absorb scanty departed than a day’s schemeatic bearing ticket expense, and collect Six Flags strangers following a ease ascititious advantages and savings. Six Flags to-boot proffers a bounty ignoring – the FLASH Ignoring – that serves as a ride retention scheme. A scant calculate of FLASH Passes are adapted each day of consequenceion and are cogent the day of forfeiture merely. There are 2 tiers for the FLASH Pass, Systematic and Gold, following a ease unanalogous provisions for each. Systematic FLASH Ignoring • Avoid threads by making a retention • Endure as crave-for as exhaustiveone else is indetermination, but not in thread • Prices: $27. 9 for 1 exceptional to $117. 99 for 6 community Gold FLASH Ignoring • Possess abatemented endure era of up to 75% • Prices: $37. 99 for 1 exceptional to $177. 99 for 6 community In-cork Commodities and Patronage Six Flags has incongruous licensing and connection bonds following a ease other stables. Six Flags has held a licensing bond following a ease DC Comics and Warner Bros. Consumer Products enabling Six Flags to husband the hues to the cartoon signs. Six Flags has used the licensing bond to creator sign programs including undertake and greets, meals, photograph and autograph opportunities. 6 5 Confidential
For Internal Use Merely Team 8 Six Flags has advance husbandd the signs’ interestness for commodities sales including toys, souvenir items, robes, and departed. In adduction, cartoon topicd rides obtain been manufactured following twain DC Comic and Warner Bros signs. Six Flags employs in-cork and out-cork alliances following a ease restaurants and patronage manufacturers. Late and prevalent out-of-cork alliances obtain embodyd advancements following a ease Coca Cola, Kraft’s Lunchables work thread, and Papa Johns Pizza. 7 In-cork alliances obtain embodyd the implementation of restaurant ties following a easein Six Flags corks.
Johnny Rockets, Papa Johns Pizza, and Cold Stone Creamery can be establish following a easein the corks, and Tyson chicken has grace the functional chicken supplier to all corks. 8 Affixed Partnerships Other advancemental alliances obtain been implemented as polite-behaved. One such development is the sale and availpower of Kodak works in Six Flags paks. Moreover, Six Flags and Nintendo obtain collaborated by dorace bountiful Wii passpan enacts to the Six Flags strangers established in-line, thus apportioning them the ease to case the Nintendo DS pastimes.
Six Flags to-boot excites its mark through American Express, Chase, Blue Green, Panda Express, and The United States Army. 9 American Express and Six Flags obtain a advancemental dorace for cork strangers in the devise of a VIP turns. Patrons may quantity their Six Flags VIP Turn Presented by American Express for participating topic corks. Fascinate voicelessness that the VIP Turn is for topic corks merely and does not embody impart slides and other impartcork inducements. Tours are loving to collocations or families by an triald turn produce and can be customized.
Tours are expensed at $299 and embody: • • • • • • • • • • Not-public produced turn for your continuityage or colcolony Front-of-the-thread ride privileges Preferred corking Topic cork bearing Unsocipotent parade seating Not-public autograph congress following a ease picked LOONEY TUNES or The Justice League signs Lunch and dinner following a ease unsocipotent seating at restaurants Unscant snacks Souvenir ride or sign photo Expedited promotetance to most rides in the cork American Express cardholders effect an adductional prprexhibit by receiving 20% off each VIP turn quantityed when they pay following a ease any American Express card. Six Flag Parks
California Six Flags Magic Mountain, Los Angeles – topic cork Six Flags Hurrican Harbor, Los Angeles – impart cork Six Flags Discovery Kingdom, Vallejo – topic and voluptuous cork 6 Confidential For Internal Use Merely Team 8 Georgia Six Flags Aggravate Georgia, Atlanta – topic cork Six Flags White Water, Atlanta – impart cork Illinois Six Flags Exalted America and Hurricane Harbor, Chicago – topic and impart cork Kentucky Six Flags Kentucky Kingdom, Lousiville – topic and impart cork Maryfix Six Flags America, Baltimore/Washington DC – topic and impart cork Massachusetts Six Flags New England, Springfield – topic and impart cork Missouri Six Flags St.
Louis – topic and impart cork New Jersey Six Flags Exalted Adventure, Jackson – topic cork Six Flags Hurrican Harbor, Jackson – impart cork Six Flags Wild Safari, Jackson – voluptuous cork New York The Exalted Escape and Splashimpart Kingdom, Lake George – topic and impart cork Six Flags Exalted Escape Stop and Indoor
Waterpark, Lake George – stop and impart cork Texas Six Flags Aggravate Texas, Arlington – topic cork Six Flags Fiesta Texas, San Antonio – topic and impart cork Canada La Ronde, Montreal – topic cork Mexico Six Flags Mexico, Mexico City – topic cork Six Flags achieve be unconcealeding a third interpolitical subsidence in the United Arab Emirates, Dubailand, which achieve unconcealed its doors to customers in 2011. Marketing Problems and Opportunities The biggest consequence Six Flags reckonenances is its enormous obligation of aggravate $2 billion dollars. The stconducive is on the slope of nondespatch and has been pulled from the NYSE due to their divides reversion subordinateneath the $1 fitness.
The stconducive insufficiencys to pay $300 darling dollars to preferred fundholders, and closings the principal to do so. Another key consequence they reckonenance is their near target trade. Six Flags has dejected their centre down to the lad, or teen trade following a ease hither substance attributed on requesting to families. This represents a enormous privation of immanent customers for Six Flags. Furthermore, there is a vindication for appall rides and rollercoaster’s that Six Flags can speed to advantage from. In adnormal to undertake twain of 7 Confidential For Internal Use Merely Team 8 these consequences commander on, Six Flags must not merely prolong-for their demographic target, but to-boot their work donations.
Revenue must be breedd as at-uniformly as immanent through acceptiond exexchange to the corks and work mutation. Managerial Recommendations Trade Centre Marketing Objectives The tradeing objectives we aim to oration, consummate and conclude are to acception infollow through mutation and pricing methodologies, and to acception the target trade to embody families, teens, and adolescent adults. We investigate to creator advancemental proffers that interest expense and new work donations, and to re-aspect Six Flags topic corks as an invigoration object that requests to all ages, and departed powerfully families.
Value despatch is majesticly powerful in the prevalent economic top we are experiencing. Six Flags is a one-stop invigoration object that proffers very low bearing expenses parallel following a ease misty inducements and activities. It is a cork that expense-sensitive consumers can possess and confer. Six Flags insufficiencys to acception its infollow to grace viable. These adductional infollow floatings are to embody mutation and advancements. The extensivest contrivance to creator departed infollow is the fabrication of Boulevard Six.
It achieve creator the ease to obtain in reconsideration floating all year crave-for, rather than normal the summer months. It achieve obtain a sundry assemblage of patronage and invigoration to fascinate the target trades of families and adolescent adults. This achieve embody polite-behaved-behaved perceiven restaurants and invigoration companies, as polite-behaved-behaved as new and bewildered ventures. Contiguous would be the importation of Tumult Simulator rides located in malls environing the race. These would import in adductional infollow as polite-behaved-behaved as import awareness of Six Flags. At these subsidences, the rides would be of the most favorite inducements from counter all the Six Flags.
Promotions could to-boot acception exexchange to the corks and acception the infollow during these eras. Boulevard Bash is a Saturday misinterpretation courteous-balancedt for those 21 years and older following a ease speed invigoration. Six Dollar Sundays would acception strangers to the corks and would import in departed relate customers. Too Hot to Resist Days would allure community to follow to corks on days when it is assiduous out. They could accept in the impart rides to cling calm during these eras. And “Free”dom Day would acception exexchange to the cork, thus-far there would be infollow from ticket sales there would be from corking, patronage, and Boulevard Six.
Target Trade Increased stranger squandering is a superior content of what target trades we are perplexing to stretch. We closing to propose detached from the teen trade, which does not squander abundantly if any specie in the cork departed bearing. The two new target trades Six Flags is going to agree to are families and 21+ adolescent adults. Six Flags prevalent target trade is "mass-trade blue-collar, following a ease middle infollow $50,000 per year, and probably burst betwixt teens and adolescent adults on the one operative, and families on the 8 Confidential For Internal Use Merely Team 8 ther. "10 These families are not the emblem that are/were preface interpolitical continuityage recreations. These families are “trading from a three-day, immodest-figure mistake to Disney to a one-day, three-figure mistake to Six Flags. ”11 A mistake to Six Flags is not worthless, but it is worthlesser than. “A illustrative Six Flags stranger in 2007 departed $36 for the day, including corking, the expense of a ticket, and meals. So, the community says, a day at Six Flags for a continuityage of immodest absorbs hither than $175. ”12 Adolescent adults are another target trade Six Flags is looking into.
They are a limb that had departed disposconducive infollow than teens do, immanent courteous-balanced departed than families. “Young adults in the U. S. squander 52% of their specie on investment, 22% on patronage, and 13% on voicelessness. ”13 Following a ease the adduction of Boulevard Six, there is the ease to import in departed of the adolescent adults, who would normally go to the topical mall. Differentiation Six Flags has a lot going for it correct now and following a ease our tradeing diplomacy, it may obtain the power to particularize itself from all the antagonists. We aim to centre our unanalogousiation grounded on the fashion of invigoration it proffers.
Six Flags achieve be a attribute community can go to obtain a day of turbidity interest no other topic cork can proffer. Extraneously having to squander lots of specie, community can obtain a exalted bargain of fun during the day at an interesting topic cork, and at misinterpretation can cruise the Boulevard (Discussed subordinateneath). There are distinctly multifarious attributes where one can go and possess a day at a topic cork, thus-far, they may obtain to wandering a exalted removal if they crave-for to cap off the day following a ease a misinterpretation on the town. Six Flags achieve particularize itself by providing twain of these fountains of invigoration in one subsidence.
Positioning We closing Six Flags to be a attribute interest no other in the province. In adnormal to do this, we investigate to aspect Six Flags in two ways. Due to the unanalogous donations from Six Flags we don’t closing to aspect ourselves in normal one way. First, we aim to aspect ourselves as trustworthy, continuityage-friendly, lowabsorb devise of invigoration. This aspect achieve be targeted to families and adolescenter strangers. We achieve advise through day-era television and kid’s programming. Second, we achieve aspect ourselves as calm, fun, painscommencement and adolescent-hearted.
This aspect achieve be targeted to teens and adolescenter adults (aggravate 21) who would be assiduous in the Misinterpretation of Fun as picturesquely subordinateneath. We achieve desire to husband unanalogous emblems of political media to target this demographic and contrivance this emblem of aspecting for Six Flags. Marketing Programs Work Diplomacy Six Flags has been providing their strangers works through their ocean muniment, topic corks, during their entity. In adnormal for Six Flags to cling competitive, we insufficiency to exchange-modify our instrument of apportionance. That achieve be completed following a ease the importation to two new ventures, Tumult Simulators and Boulevard Six.
The tumult simulators achieve be picked throughout all superior metropolitan malls that achieve be in cork vicinity to a Six Flags cork. Malls are a cherished subsidence as they apportion us to stretch the extensive demographics we target – families, teens, and adolescent adults. The rides achieve obtain a pickedion of favorite rides from Six Flags 19 corks. Following the ride is aggravate, it achieve “spit out” a 50% off bearing coupon amiable-tempered-tempered for any Six Flags cork, and must be rereported following a easein one month. This tactic is expected to expedite sales up dramatically. 9 Confidential For Internal Use Only
Team 8 Boulevard Six achieve be an outdoor shopping bounds located delayout of Six Flags extensiver corks. Its project is to acceleration effect infollow all year crave-for, courteous-balanced ease the corks are corkd for the occasion. Boulevard Six achieve obtain a mix of patronage, shopping and invigoration for all ages. Restaurants achieve embody California Pizza Kitchen, P. F. Changs, Johnny Rockets and departed. Shopping achieve embody Fossil, Gap, Abercrombie and departed. Invigoration achieve follow from the Comcast Sports Bar, misinterpretationclubs, speed combistate stages, Lucky Strike Bowling and movie theaters.
Boulevard Six achieve to-boot be the subsidence of Boulevard Bash. Pricing Diplomacy Six Flags’ prevalent pricing diplomacy for their onthread daily tickets is proving to be achievementful in provisions of alluring departed stranger retinue. A exalted development is Six Flags Discovery Kingdom (Vallejo, CA). As a expense load, the topic cork can to-boot prprexhibit onthread daily tickets following a ease one-day abatemented corking at 20 percent to advance foster retinue. For its Discovery Kingdom cork, strangers achieve pay $29. 99 plus $12 for one-day corking suming $41. 99.
If hired individually, corking would absorb $15. For its occasion ignoring remainers, Six Flags can present an unimpassioned 10 percent on all meals and commodities barely by introduceing their occasion ignoringes at apex-of-sale. Vouchers and coupons do not insufficiency to be rereported for the end of customers’ ease. In adduction to perks such as bountiful tickets for your friends on picked days, and bountiful proper courteous-balancedts, occasion ignoring remainers who are 21 and aggravate achieve to-boot pay a abatemented expense of $15 to get into Six Flags’ unapproved misinterpretationclub in Boulevard Six (mentioned subordinate "Promotion").
Season corking ignoringes to-boot forfeitured onthread can be dejected by 20 percent and loadd following a ease their embezzle occasion ignoringes to acception the conferpower and ease of marking Six Flags respectively. The V. I. P. turn vindications a 4-exceptional partiality and can absorb up to $299 per exceptional. This may look interest an preposterous and an unincontrovertible discretion. However, American Express cardholders following a ease departed discretionary infollow can possess this discretion at a 20 percent abatement. To request inlands departed expense-sensitive families who quiet closing to get the farthest V.
I. P. trial, onthread propers should embody a 20 percent disreckon on picked days regardhither of what faith card is nature used. Extended hours for proper courteous-balancedts can to-boot concede an extra ascititious appreciate to 21 and aggravate patrons who are achieveing to pay a 25 percent acception on top of schemeatic one-day bearing. Nature unconcealed until 12 midmisinterpretation for such courteous-balancedts would yield exclusivity to a smaller pack following a ease hither reversion in thread. Another signistic would be to obtain flinty liquor and beer expensed at a bounty to advance maximize receipts.
Ride simulators (mentioned in opportunities subordinate "SWOT analysis") achieve absorb the consumer $9 for a immodest-diminutive edge-of-your-seat excursion! (These achieve be located in all superior metropolitan malls that achieve be in cork vicinity to a Six Flags cork. ) Following the ride is aggravate, it achieve “spit out” a 50% off bearing coupon amiable-tempered-tempered for any Six Flags cork, and must be rereported following a easein one month. This tactic is expected to expedite sales up dramatically. Advancement In adnormal for our tradeing efforts to be achievementful, we insufficiency to prompt customers to the deviseerly discussed new cork and activities.
This is where the use of advancements achieve follow into enact. Following a ease interesting new inducements proffered by Six Flags, we achieve insufficiency to undertake departed community through incongruous emblem of advancements. We insinuate by starting following a ease sales advancements. The earliest sales advancement achieve be a integral-year pledge, exhaustive Fourth of July where all strangers get in for bountiful. We achieve persuade this advancement “FREEdom Day”. By incorporating the Independence Day 10 Confidential For Internal Use Merely Team 8 topic, exhaustive Six Flags cork achieve be the most possessconducive attribute to be on the Fourth of July.
This achieve be a day where families can follow to trial the rides and inducements, all topicd gratefully, and can end the day following a ease a 45 diminutive crave-for firework disenact coordinated to a solemn of favorite prevalent voicelessness hits. We closing this advancement to acceleration Six Flags grace the importing attribute to be during the Fourth of July. Due to power constraints in each of the corks, retinue achieve be scant to the acme power the cork can operativele. We achieve let departed community in as other permission, and ease exhaustiveone endures, we achieve obtain activities and invigoration out in the indetermirace area.
Even though the strangers are not in the cork yet, they should quiet be conducive to obtain an possessconducive era ease they endure. Past one of our ocean goals is to immake-trial-of fidelity floating our strangers, we to-boot closing to obtain advancements on a departed common raze. One of these common advancements achieve be Six Dollar Sundays. We achieve prprexhibit bearing to all Six-Flags for merely $6 exhaustive Sunday. Another common advancement achieve be denominated Fun in the Sun. Anyera the sky hits aggravatecrisis a incontrovertible sky (depending on the subsidence of the cork) bearing achieve be half-price.
This achieve acceleration allure the community that are tailward to follow to the cork if it is too hot delayout. This contiguous advancement achieve present bountiful bearing to community on their Birthday. We achieve persuade this our Birthday Club and excite protect registers of exhaustive exceptional’s Birthday so exhaustive year we can cast them reminders to allure them to follow tail. Our ultimate advancement achieve be denominated Boulevard Bash. This achieve be for the 21 and older pack and achieve be expensed at $25 per exceptional. We achieve stop off our Boulevard Six (picturesquely subordinateneath) and promote merely living-souls of age.
We achieve collect alcohol and import in voicelessnessal capacity to perdevise exhaustive Saturday misinterpretation. Dispensation The ocean muniment of dispensation achieve speed to be Six Flags corks. The superiority of our tradeing contrivance is centreed environing advancemental and pricing methodologies, following a ease the promos preface attribute in Six Flags. Through the expense promos we consummate, we expect an acception in sales of in-cork commodities as consumers achieve obtain departed disposconducive infollow due to their savings on cork bearing. There achieve be one other muniment of dispensation, thus-far, for the appall Tumult Ride simulators.
The ride simulators achieve be picked throughout all superior metropolitan malls that achieve be in cork vicinity to a Six Flags cork. Malls are a cherished subsidence as they apportion us to stretch the extensive demographics we target – families, teens, and adolescent adults. Implementation and Produce Financial Data Six Flags is in financial mortify, which sway import Six Flags to refine stipulation-elwell-balanced for noncommunication. Furthermore, in October of 2008, the New York Fund Exexchange penalized Six Flags past its fundholder equity had procumbent subordinateneath $75-million, and the fund expense had procumbent subordinateneath one-dollar violating the New York Fund Exexchange standards. 4 If Six Flags does not acception its fund expense 11 Confidential For Internal Use Merely Team 8 and trade principalization, it imperils nature removed from the NYSE. 15 Six Flags achieve not be conducive to speed generous following a easeout opinion a contrivance to restructure the obligation. Six Flags past $113 darling in 2008, which is compared to $253 darling in 2007. However, the most new forth pity its reputed privation is $201 darling, which is compared to 2007 forth pity $127 darling. 16 The contrivanceions for Six Flags are relative-to. First, by August 15th of 2009, Six Flags must pay $287. darling in Preferred Infollow Equity Redeemconducive Shares to the divideholders. However, if Six Flags failed, the etendency would stretch in superfluity of $318 darling. 17 Second, the financial top is very accurate advance complicating Six Flags power to speed generous. Due to superior banks nature in financial vexation, there is no promotetance to deferred principal instrument and lending procedures are departed restrictive. In adnormal to obtain principal, our colcolony is pendulous the possibility of Busch Invigoration Corporation, a competing topic cork operator in the United States, to get Six Flags.
Busch Invigoration Confirmation is a assistant of Anheuser- Busch. Busch Invigoration Confirmation operates nine-topic corks counter the race including the Sea Globe and Busch Garden Parks. The community’s financial work has been generating infollow of $1. 3 Billion and a independent earned infollow on the apportionance. 18 Therefore, by stretching such a bargain, Six Flags can obtain promotetance to principal to undertake the financial obligations and payoff the faithors. On the other operative, it achieve exchange-modify its imperil portfolio, and the advantages to divide goods of twain Six Flags and Busch Invigoration Corporation.
Financial Projection Financial Produce Six Flags CEO has been proactive in restructuring the Six Flags itself, and not merely the obligation. For occurrence, by making some superior exchanges, Six Flags can outlast these discriminating economic term. Therefore, CEO Mark Shapiro has used his not-public equity stable, Red Zone Capital, for purchasing the restaurant tie Johnny Rockets in adnormal to integobjurgate the tie into all corks. In adduction, Red Zone Principal bought Dick Clark Productions, television abode of the Golden Globe Awards, and the Academy of Province Voicelessness Awards.
This was completed following a ease the project of featuring fame and voicelessness courteous-balancedts in the corks to geneobjurgate infollow and provoke and acception sole exchange. 19 Financial produce aggravate the Six Flags top is quiet cogent, by twain restructuring the obligation, and the topic corks. In adduction, to immanent of effecting promotetance to some financial instrument from a immanent merger or concord following a ease the Busch Invigoration Confirmation is cogent as the stables obtain harmonious infollow patterns and Busch has triald departed achievementful financial work than Six Flags. Conclusion
Six Flags financial top is majesticly fearful and the stconducive is prevalently floundering to cling adrift. We judge that following a ease our Marketing Plan, we may enconducive them to exaltedly acception sole exexchange and sales apportionance. The pricing advancements achieve import community to the cork and creator them to squander the specie they hinder on ticket sales, on in-cork patronage or commodities. The advancements for adolescent adults featuring 21+ misinterpretations achieve collect a exalted fountain of infollow through patronage and alcoholic beverage sales. The Boulevard achieve advance creator a diversified fountain of apportionance.
The re-positioning of Six Flags as a fun, low-absorb invigoration object for the continuityage achieve advance acception their target trade and touch appreciate to expense-sensitive consumers. Six Flags is an possessconducive topic cork where all of your continuityage juicy insufficiencys may be met. We expect an acception in Six Flags work through the deed of our Marketing Plan. 12 Confidential For Internal Use Merely Team 8 McCann, Kyle. "Rough Year Recorded at Six Flags. " ABC2News. com. 12 March 2009. 7 May 2009 . 2 "Six Flags - Investor Relations. " Six Flags. 10 May 2009