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SPMA 3P27 Assignment 1

The document discusses projections for member growth at the ACE Tennis Academy in 2013. It is estimated that the Academy will receive 458 new members on average in 2013. Calculations show the Academy is projected to have 2,917 members on average, with a best case scenario of 3,739 members and worst case of 2,330 members. Increasing membership is important because it leads to increased profits from other divisions like equipment and apparel sales to members. The recommendation is to increase funding and marketing for the membership program to work towards the best case scenario projections and positively impact other business areas.

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Dan McKeen
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148 views

SPMA 3P27 Assignment 1

The document discusses projections for member growth at the ACE Tennis Academy in 2013. It is estimated that the Academy will receive 458 new members on average in 2013. Calculations show the Academy is projected to have 2,917 members on average, with a best case scenario of 3,739 members and worst case of 2,330 members. Increasing membership is important because it leads to increased profits from other divisions like equipment and apparel sales to members. The recommendation is to increase funding and marketing for the membership program to work towards the best case scenario projections and positively impact other business areas.

Uploaded by

Dan McKeen
Copyright
© Attribution Non-Commercial (BY-NC)
Available Formats
Download as DOC, PDF, TXT or read online on Scribd
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Running head: ACE TENNIS ACADEMY 2013 MEMBERS

ACE Tennis Academy Projected 2013 Members Dan McKeen 4616256 September 9, 2012 Brock University

ACE TENNIS ACADEMY 2013 MEMBERS In regards to the ACE Tennis Academy, it is very important to

understand the growth of members and realize the potential that can be achieved from intuitive business planning. The Academy would be a worthy unit to leverage other divisions, such as ACE racquets, ACE apparel, and the ACE on-line tennis community. This is because memberships increase profits and business in other divisions because members are more likely purchasers of the products the company is selling. On average, the Academy is receiving 458 new members in 2013, which means that is the amount of new players and members who are going to be purchasing equipment, and apparel from ACE Tennis Academy. Bringing more people into this facility and increasing the attractiveness of ACE Tennis products to the members to use their product increase profits in all divisions. After calculating how many members the Academy will have in 2013 with the best-case scenario, worst-case scenario, and average scenario, it further exemplifies the importance of the amount of members within the Academy. The average and most reliable number of members that the Academy should have in 2013 is 2,917 members. The best-case scenario for the amount of members that the Academy should have in 2013 is 3,739 members. The worst-case scenario for the amount of members that the Academy should have in 2013 is 2,330. The worstcase scenario does inhibit the confidence in putting emphasis into the membership aspect of the business unit; however, the best-case

ACE TENNIS ACADEMY 2013 MEMBERS

scenario shows how important memberships can be in the future. Based on the average amount of numbers the business will receive in new members does help understand why more importance and funding should be put into the membership program. A recommendation to give to Peter ACE Wiley regarding the business unit is that more funding and marketing initiatives should be put into the membership aspect of the business. Increasing memberships will have a positive affect on other aspects of the business and help bring in revenues from other sources. ACE Tennis should expand their racquets unit to an entire equipment unit and sell tennis shoes, as well as other needed equipment to gain more revenues that feed off of memberships. In concluding, the most important recommendation to give would be to increase funding and marketing into the membership division because the best-case scenarios numbers for 2013 are extremely high and are attainable if the proper steps are taken. With such an increase in memberships it will positively affect all other aspects of the business.

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