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TNT Marketing Strategy - Essay Example

TNT is a very well established courier service company in Europe, however statistics and report had shown that it has weak market presence in Southeast Asia compared to its competitors. Over these few years they are trying to build up their brand and market presence in Asia especially in China and Indian, they have also constructed the Asia road service network similar to the one Europe have using the same concept and idea. However because of their weak marketing strategy, their presence in the other Asia countries is not felt.

The objective of this marketing plan will be targeting to increase market share in the Southeast Asia region concentrating our marketing activities in the emerging countries like Indonesia, Vietnam and Philippines. We aim to increase our customer base and revenues in these emerging countries over the next 3 years and the plans and forecasted revenues will be presented in the following chart and table later in this marketing plan. Secondly we will be hedging on its presently well build Asia road networking as its marketing tools to sell their service and brand to the customers.

We will be emphasizing on the benefits of using road transportation service and how it can help company to save on transportation cost. The marketing plan has been created on the basis of 3 years using different marketing strategies and penetration techniques which will benefit TNT in the long run penetrating into Southeast Asia market. Asia being one of the regions with highest numbers of business and investment opportunities and when you look at it at a whole it has huge growing opportunity with the ability to produce consumer goods at a much lower price due to its cheaper labor cost (American Century, 2010).

To narrow it down, we look at the top emerging market in South East Asia, namely Indonesia, Vietnam and Philippines (Rowland 2010). Developed countries and major companies are focusing on these regions for their lower wage to cut down their manufacturing cost as well as expanding their business, these result in demand for outbound logistic if more manufacturing industry were to set up in these emerging countries (Grundy, 2005). Positioning TNT will focus on growth in B2B parcel and document express service in these emerging platform.

Express service is very much needed in the healthcare, high-tech and manufacturing industries as they require service such as same day delivery, regional delivery and national distribution. Reliability is another criteria that is very important in business to business services. Consumer want goods and documents to be delivered on time and currently TNT with its already well established brand in Europe and its expansion on Asia road network which took model after it European Road Network, companies can have confidence in its express service.

The TNT express market in the Asia-Pacific region revenue was estimated 1. 2 Billion Euro in 2009 follow by 1. 6 Billion in 2010 and is expected to grow rapidly over the next few years. Right now TNT ranked number 4 in the Asia Pacific International flight with a market share of 12% follow by UPS 16%, Fedex 25% and DHL 31% and the strongest sector TNT are in is the High Tech Sector (TNT Supplementary Report 2010) We want to strengthen TNT brand name in Southeast Asia and want consumer to think of TNT Asia Road Network Services whenever they want to deliver high value goods with fast and reliable services.

We have decided to use market penetration strategy to increase market share in current market with our existing services. Here we market our existing products targeting at new and existing customers. This means increasing our sales in volume by promoting TNT services, repositioning the brand to meet the demand of mass market. Launch new price structure and other special offer promotions to attract new customers. Increase sales force activities to market and introduce the products to other potential customers.