Competition and Market Segmentation.
We found originally that residents were easy targets willing to pay for improvements. Commuters were more skeptical to pay because it may be more convenient for them to attend a private gym outside of Fordham. Therefore, we found the market to be segmented between residents and commuters, and after a further survey of commuters the commuter market is segmented between those who use the Fordham gym and those who don't.
Of the 20 commuters that we surveyed we found that 25% belonged to another gym. Also, 75% of the commuters surveyed said that they had used the Fordham gym. The majority of the commuters (65%) who did use the gym only used it once a week. 10% used the Fordham gym twice a week or more and 25% used the gym once a month or less. 60% of the people who did belong to another gym said that they would be willing to pay for improvements to the Fordham gym. 66% of the people who did not belong to another gym said that they would be willing to pay for improvements to the Fordham gym. Also, 75% of the people who used the Fordham gym said that the facilities were either poor or adequate. The other 25% said that the facilities were only average. Finally, every commuter said that they would find an adequate gym on campus more convenient than an outside gym.
With all of this in mind, we need to target the commuter segment and position our gym as a convenient, more than adequate facility that is a bonus to their Fordham experience due to the low cost.
Our marketing mix will emphasize location, price, and features mainly geraed toward the commuter segment since residents seem more than willing to pay for improvements.
Of the commuters who belonged to another gym, we found that our main competitors are Lucille Roberts and other neighborhood gyms. These gyms offer modern facilities that are clean and other special programs like aerobic classes, taebo classes, weight trainers ...