Dexit Case

Nature of the business:

Generic industry: Electric transfer industry

Narrow product: Electric cash payment

Core product: Fast transaction

Actual product: Key tag

Augmented product: Dexit security features(Central payment clearing system) Access to prepaid account

Objectives of the business:

Personal objectives: Renah would try to launch a successful marketing plan, showing the potential value of its product.

Corporate objectives: Dexit company requires a realistic forecasts of market size and growth, maximize its customers’ accounts, provide high-quality, fast services to customers. The goal is to provide customers with a convenient and easy-to-use electronic payment system that would be an alternative to cash for low-value transactions.

Problem statement:

Renah Persofsky, CEO of Toronto-based Dexit Inc. would have to develop a marketing plan that will have to impact on their sales and profit when they launch a new electric system by determining their numbers of target audience, changing for the product, pricing strategies and launch method. She has to launch his marketing mix and decisions in a short time.

Situation Analysis: (Marketing and sales, other personnel, financial condition, costs and revenues, marketing information systems, production capacity, distribution channels, reputation and image, quality products and service)

Strengths:

• Fast, time-saving: transactions take less than 3 seconds

• Safe: the secure personal identification number in the customer’s tag prevents theft from crimes.

• Convenient: Money spent by the consumer using the Dexit tag would be electronically deposited to merchant’s bank, customers do not need to prepare for any coins and changes .

• New technology: with proposed system based on RFID technology, a secure ID will be seen by the merchants and allow the customers to make the purchases.

Weakness:

• High consumer acquisition cost

• Expensive hardware for merchants

• High entry cost

• High risk

Implications:

Dexit has huge potential market for low-value-transaction users. It will be a hit if they use efficient marketing mix. They will think about carefully for the methods for the advertising and calculate the cost to see if they have enough capital to run this