Universal Marketing Limited Description and Market Analysis - Essay Example

Business Plan of Table of Contents Executive Summary 4 A1. Company Identification 4 A2. Mission of the Company 4 A3. Business Goals 5 A4. Keys to Success 5 Company Description 6 B1. Industry History 6 B2. Legal Form of Ownership 6 B3. Location and Facilities 6 Physical resources 7 Human resources 7 Aims and objectives 7 Organization of the business 7 B4. Management Structure 8 Other personnel 8 Sales person 9 Supportive staff 9 Security Officer 9 Recruitment 10 Training of the employees 10 Motivation 11 Employees’ evaluation 11 Supporting staff and services 11 B5. Products and Services 12 C. Market Analysis 13 C1. Target Market 13 C2. Industry Analysis 13 C3. SWOT Analysis 13 Strengths 14 Weaknesses 15 Opportunities 15 Threats 15 D. Market Strategy 15 D1. 4Ps 16 Product 16 Pricing 16 Place 17 Promotion 17 D2. Price List 17 D3. Promotional Strategy 17 The distribution channel 18 D4. Sales Forecast 19 E. Implementation Strategy 19 E1. Overall Strategy 19 E2. Monitoring Plan 20 F. Financial Statements and Projections 22 G. Financial Report 23 G1. Financial Projections 23 Under Appendix 1 23 G2. Financial Position 23 G3. Estimated Capital/Investment Needs 24 Executive Summary The name and address of the proposed business are: Universal Marketing Limited ADRESS: 7178-5487 NEW YORK. A1. Company Identification It is situated in New York in the United States. It is an advertising office that aids the working of the brand notoriety. The business manages offers of the drinks from the coca cola organization. The business hopes to get clients generally from the neighboring territories and from the other intrigued purchasers around the nation. The organization plans to start as a medium estimated one and falls under the deals and promoting part. A few social stages utilized as a part of the promoting so that the clients may end up noticeably mindful of the item that we are putting forth and we are relied upon to have infantrymen. There is the innovation connected in the business practice is current and is relied upon to pass by the requirements of the clients. The organization means to utilize capital of $ 100,000 which is required to procure benefit which will then be utilized to grow the business. The business is viewed as feasible on the grounds that it's situated in a region where there are numerous exercises that outcome to the need of the drinks that individuals normally consider as a frame easing themselves from thirst while others consider it to be reasonable for delight minutes. In spite of the fact that there is rivalry there is no firm that helps out the business through a deals and promoting organization as our image is relied upon to get higher number of the clients. Thusly there is high probability of the business development. A2. Mission of the Company The mission statement for the business organization is to fabricate the best item, cause no unnecessary damage, utilize the business to motivate and execute the answers for the environmental emergency. This statement of purpose has both the qualities that bring markets accomplishment for the organization through building protected, wonderful items and the qualities that are adding to a superior world with the charitable endeavors that can help nature. A3. Business Goals The major keys to the accomplishment of this organization are starting with our objectives. Whereby the organization should start from the end and work in reverse. Knowing our aims and measuring our execution against them will be an essential place to start. This will include deciding what number of clients does our organization require, and in what time allotment? What number of leads do we have to close that numerous customers? What number of associations do we have to create that many open doors? Etc. This will be finished by duplicating our client objective by the regular deal cost of our organization's item to get the measure of income is going for. A4. Keys to Success The second key perceives that deals are a procedure whereby deals are evolving quickly, yet a few things will dependably continue as before. All together for the organization to get clients we are setting up their necessities and interests in the soda whereby there are the individuals who will like the sodas with more sugar while others like the sodas with less sugar. We likewise have the undertaking of setting up the course of events to offer. The third key is pitching to the general population who need to purchase. This is awesome energy of inbound promoting. Through making high caliber and supportive substance and giving prospects a chance to go to my organization, it will spare time and increment the likelihood of bringing deals to a close. Company Description B1. Industry History The business is a medium measured business. It falls under the deals and advertising part. This part is huge and covers a wide region. Since the vast majority of the general populations are adjusting to delicate drinking process as an approach to disposing of thirst and at some point as a type of extravagance, henceforth it's a consistent business and the supply of items is relied upon to be steady. B2. Legal Form of Ownership As referred to before the organization is a medium estimated one. The level of innovation connected in the organization is present day since the taste and inclination of shoppers changes with time. The innovation is required to run with the advanced needs of the purchasers thusly, drink creation changes with time. The quantity of workers anticipated that would be utilized are three one offering the things, bundling and conveying to the clients done by the second individual and the third one will be a security officer to keep the security inside the premises, however this number is relied upon to ascend with time as the business develops. The essential capital necessity for the firm is $100,000 whereby the sum is relied upon to be sufficient for the foundation of the firm. However as the company develops and benefit it will utilize the same to grow. The data acquired from contenders demonstrates that the level of offers for different beverages is low subsequently coming in with our new image the business level is relied upon to rise. B3. Location and Facilities The business is relied upon to develop quickly since they there is a popularity of the item that we are showing to the purchasers. The area will be New York. The development is relied upon to be inconsistent development since the business is fast and stable. In this way by a large administration soundness of the company is firm. The company is required to face rivalry from the current showcasing organizations in the territory however with the presentation of merchandise and enterprises not already accessible; the business hopes to recuperate quickly. Physical resources For productive running of the business, a few tangible assets are to be introduced in the business premises to be utilized by the workers. Such Resources will incorporate PCs to be used by the supervisor and bookkeeper in business exchanges. Furniture e.g. seats and counters to be used by the firm people, pickups to be used as a part of the conveyance of massive products to anticipating vehicles. Human resources The proposed business will have a sum of three representatives i.e. the sales representative, the regular staff and a gatekeeper. Each of the representatives is to be appointed to his/her obligations basing on parts and duties considering their capabilities. Aims and objectives The business plans to uncover the unfulfilled needs of the client particularly giving them the item as indicated by their inclinations. It likewise goes for extending the business by expanding the stock once the benefit is acquired. Organization of the business At the Universal Marketing Limited expects to be a straightforward association administered by a couple people. As the business develops, more individuals will be required to represent the business. The graph beneath shows vertical administration of the business: B4. Management Structure Toward the start of the business, the chief will be the proprietor of the company who is a degree holder in MBA and has a testament in PC and business thinks about. The obligations of the administrator will be: • Monitor the everyday exercises henceforth guaranteeing smooth running of the business. • Assist the businessperson in appropriate basic leadership. • Seeking fast answers for the overarching issues experienced in maintaining the business. • Carrying out statistical surveying on new items brought into the market. Guaranteeing money related records are kept and reviewing the records occasionally. • Paying workers their pay rates. The administrator is to procure $10,000 consistently. The proprietor of the business toward the start will be depending on benefits that may emerge from the company however with time will be in a place of getting some compensation and remaining to add up to be utilized for the development of the firm. He may likewise look for exhortation from business companions just when fundamental. Other personnel The business has a goal of utilizing three workers toward the start .They incorporate sales representative, steady staff, and a watchman. Sales person The individual ought to be in the vicinity of 25 and 30 years old. He/She ought to be a holder of testament in deals and showcasing and ought to have done records to the last level. ¬ Obligations of sales representative ¬ Should do physical obligations of offering items. ¬ Packaging items for the clients. ¬ Entering pay and consumption in books of records. ¬ Receiving products from provisions and keeping an eye on the condition. Supportive staff The one relating to filling this position ought to be matured in the vicinity of 20 and 30 years and ought to be a holder of an endorsement in deals and showcasing. ¬ Obligations of strong staff ¬ Arranging of stock in the store. ¬ Loading the stock into the organization vehicle for transport to client's goals. ¬ Cleaning of the whole organization. Security Officer The security officer ought to be a respectable sound man matured in the vicinity of 25 and 35 years old. He ought to be social and conversant in both English and Kiswahili. ¬ Obligations of security officer ¬ Responsible for the safety of the premises particularly during the evening. ¬ Encouraging client's understanding particularly when there are long lines. Recruitment Meetings will be led to get all the three representatives. The business means to publicize dates for these meetings preceding these dates in the nation's official daily papers. The meetings will be led on various dates for every representative. Compensation Table 1: demonstrates the compensations of the supervisor and the workers. Staff Dollars per month Dollars per year Manager 10,000 120,000 Sales Person 5,000 60,000 Supportive Staff 5,000 60,000 Security officer 4,000 48,000 Total 24,000 288,000 The compensations will be for the initial two years of operation. As from the third year, this will be expanded. Training of the employees After the meetings, the qualified staff toward the start will be accepting nonstop preparing at the course of operation. Toward the starting, the administrator expects to prepare workers for their obligations and duties. The administrator is to educate them on working days and hours and all relating to the business. Later amid the operation of the firm, the representatives are to be sent to go to courses, supported by the firm. The workshops will include business administration and organization, deals and advertising, purchasing and supplies, stock keeping and other pertinent courses. This preparation expects to enable the workers to play out their obligations viable and productively thus the objectives and goals of the business will be accomplished. Motivation Laborers will have a commission for offers of certain rate every month. The more they offer, the more the commission they will get. This is intended to make the specialists dedicated and to draw in more clients. Employees’ evaluation The business supervisor expects to be accessible more often than not from the company to screen operation of every worker. She means to ensure that everybody plays out his/her obligation in like manner. Supporting staff and services Management adviser The entrepreneur plans to look for guidance from companions and other showcasing organizations that have been in the field for quite a while. Accountant The sales representative should keep the everyday money related records of the business. Toward the start, however, with time and expanded workload, a bookkeeper will be utilized. In any case, the chief is to guarantee that these records are kept in like manner and do month to month assessment. License and Permit The business expects to obtain a permit for its operation from the service of trade and industry so as to empower it works the business plans to get safeguarded by the Gateway Insurance Company. It will be paying $3,500 consistently for this. This will empower the business to relieve any hazard before its operation legitimately. It will likewise require evaluation by the wellbeing faculty and nearby experts to guarantee that every one of the approaches that the nation has set up is completely considered and clung to. Insurance The business means to get safeguarded by the Gateway Insurance Company. It will be paying $3,500 consistently for this. This will empower the business to alleviate any hazard before its operation. Government regulation As per the demonstrations of parliament with respect to the running of this sort of business, one is required to acquire an exchanging permit from the service of trade and industry and allow from neighborhood government through the city board which will be clung to by the business. Other regulations include • The working condition ought to be helpful for the specialist. • No movement including combustible fluids or gasses ought to be excellent ventilation in the launch. • No other individual is permitted to enroll a business utilizing a similar name. • The start ought to pay government charges immediately B5. Products and Services The business plans to fulfill the unsatisfied needs of the nearby individuals. The region has appeal of this sort of drink that we are putting forth in the market and their needs can't be fulfilled since the request is more noteworthy than supply. Before building up the business, the proprietor means to make visits to the normal clients to know the sort of drinks on request and amid these visits; the proprietor will be educated of the business. The company hopes to go into the market through promoting as it's in its underlying stages. Here is a high probability of development as the company is found deliberately. The restricted hopes to develop by the utilization of benefits obtained to restock the business. The company expects the quantity of offers to be high. It hopes to offer motivators and free examples to advance this. C. Market Analysis C1. Target Market The organization is significantly participating in the business exercise of drinks. As indicated by my exploration, two showcasing organization exist as of now exist in the range, however, are advertising an alternate brand. C2. Industry Analysis The organization expects to fulfill the unsatisfied needs of the nearby individuals. The territory has an appeal of drinks. The business is required to give direction and guiding on the utilization of threats that are related to different sorts of beverages. It likewise means to give work to the neighborhood individuals consequently unemployment in the region. The business is required to develop quickly since the region is found to have the appeal of the sodas. Hence with great administration steadiness of the market is firm. C3. SWOT Analysis We are by and by in an exceptionally lucrative market in a quickly developing economy. Furthermore, through forceful showcasing and quality administration, we plan to wind up plainly a very much regarded pioneer in our individual industry. We anticipate our qualities as the capacity to react timorously to the market directs and to give specially crafted statistical surveying administrations to our customers. Our core faculty has broad and careful information of the neighborhood and global markets and aptitude, which will go a long towards entering the market. In any case, we recognize the way that few organizations know about the real significance of statistical surveying and promoting and its commitment to the entire business system. General Marketing Limited will confront unique strengths, weaknesses, opportunities, and threats in its operations. Qualities and shortcoming will be confronted in inside condition while openings and dangers will be faced with the extreme state. Strengths Strengths include; • Getting products from various providers at somewhat bring down costs when contrasted with our rivals. • Our operational hour’s starts at 7 a.m. also, are adaptable at hours of conclusion relying upon a day's catch contrasted with our rivals opening at 10 a.m. what's more, shut down at 5 p.m. and furthermore close throughout the ends of the week. • We offer free transport administrations to our clients when they purchase in mass rather than our rivals. • Our merchandise is sold at somewhat bring down costs when contrasted with our rivals. • Universal Marketing Limited is situated at an effectively open place. • Establishment and support of an unusual business name. • A forceful and centered promoting the effort. • A promoting arrangement with clear objectives and methodologies. Weaknesses • Universal Marketing Limited is new into the market consequently not known, but rather we are making more mindfulness about the business through publicizing advancements. • Lack of a strong entrenched system in the statistical surveying field. • The presentation of new hierarchical practices and staff who have not beforehand cooperated presents a test of the association. • The establishment on the Internet will create innovative difficulties. Opportunities • Esteem expansion in our products that is we break mass into littler amounts that are reasonable by every one of our clients who will be unable to purchase in mass. • We likewise exploit enlisting out some basic machines to our clients who are not ready to purchase yet need to utilize the specific machine at a given moment. • We have our experts who can give consultancies to our clients. Threats • Some of the dangers incorporate; • It is some way or another testing to adjust to the new innovation due to being new in the market. • The firm rivalry is normal since our rivals’ organizations are settled. D. Market Strategy The potential clients of the business will incorporate understudies, representatives and nearby individuals. There are contenders on whom the proprietor of the firm will attempt to exploit their shortcomings keeping in mind the end goal to build its piece of the pie. The proprietor expects to utilize diverse strategies so that can get by in a genuinely competitive condition. Considering a few variables like contenders costs, clients among others will do the estimating of products. The business expects to advance deals by publicizing. This will be finished by utilization of notices and offering blessings and free examples. The company plans to get its stock straightforwardly from the wholesalers who will utilize their own particular intends to convey the stock. D1. 4Ps Product The offering cost is scheduled to be variable as indicated by the joint market costs and the cost acquired. The business plans to guarantee that broad ranges of merchandise are accessible at all circumstances particularly amid the pinnacle seasons when the products are required the most. The clients will be educated on the best way to purchase their items from the business and get rebates, positive presence/tests and after deals administrations. The general populations requiring the items are around one thousand or more. The underlying business sector deals are obliged to be half before the finish of the first year. It is relied upon to develop and have different branches in various parts of the nation. Pricing Since the business goes for making benefit by guaranteeing that client' needs are fulfilled. It's vital to consider valuing of products and enterprises implies low net revenue business. With this idea, the company will decide value level and estimating strategies that would pull in more clients to the firm and in the meantime win practical benefit to the firm. The valuing framework is relied upon to be finished by considering contenders are evaluating. The offering cost will be ascertained by the expansion of purchasing cost with advancement and commercial expenses. Likewise, the cost caused by the item to achieve the clients is included. The offering value proposed to be variable as per purchasing cost and other cost brought about. Place Diverse deals strategies will be utilized to survive pixie focused condition. The client expects to be educated on the best way to purchase their unconditional presents and even after deals administrations. This should likewise be possible by guaranteeing a broad range of merchandise and ventures are accessible in the sorts of products and enterprises available in the market. Promotion The business means to offer bundling administrations to the clients. For the individuals who purchase their products in little amounts, they will be bundled in polythene packs and for the persons who purchase in mass to be done in boxes. All things are to be bundled for clients. D2. Price List Colored soft drink $15 Colorless soft drink $20 Normal drink $18 Highly sweet taste soft drinks $32 Low sugar drinks $10 D3. Promotional Strategy The organization expects to utilize publications containing the area of the address, merchandise, and ventures offered by the business. These will be outlined and put at a vital point in exchanging focus, schools and different spots which can draw in consideration. Sign posts will be placed on intersections and different spots in the town to demonstrate the area of the undertaking. These publicizing techniques expect to show the nature of products and ventures advertised. The notice in scheduled to cost 2% of the aggregate introductory capital. The quantity of clients and meetings with them will quantify the adequacy of the adverts. The distribution channel The products are to be dispersed by the utilization of vehicles on certain settled days clients are likewise anticipated that would visit the organization for purchases. The makers are relied upon to utilize their own particular methods for transport to supply item to the organization. The issue expected is a deferred conveyance of requested stock. Requesting of items ahead of time before they escape stock can take care of the issue. D4. Sales Forecast Item Jan Feb Mar Apr May June July Aug. Sept Oct Nov Dec Cash Sales 1100 1500 1600 12500 11800 14300 15800 14200 17600 13500 16800 15300 Debtors 560 400 450 500 600 1000 950 675 700 900 800 750 Cash Inflow 1660 1900 2050 13000 12400 15300 16750 14875 4900 8500 4300 17550 The economic situations that are relied upon to prompt this incorporate the clients are required to take the merchandise both using a credit card and money installment. The individual will's identity assuming the products on praise will be evaluated if his or her business can have the capacity to pay for the stock before deciding the measure of stock to offer to the individual. E. Implementation Strategy E1. Overall Strategy The most critical stride in transforming a thought into a genuine business is to assemble a client base. For new businesses with no genuine balance inside the business, that can be especially troublesome. Those being the situation, business people need to swing to their own systems. In the starting of this business I should contact different individuals in my system to educate them concern what I was doing to check whether I could gather my initial couple of customers. The following stage that will be considered is to look for exhortation whereby I will mean to gain from the disappointments and triumphs of individuals who have done what they are attempting to do. Why attempt to rehash the wheel? Look for exhortation from individuals who have been there, done that. Make a persuading pitch about what makes the business not quite the same as others inside a similar industry. Business visionaries ought to concentrate on the esteem their organizations will bring and why shoppers, potential customers and speculators ought to take a risk on their organizations over others that might be more settled. With respect to the business it ought to be begun by the start of January 2017 and am relied upon to open a branch and grow the business as it arrives at the finish of the year which will be accomplished through the benefits of the organization. E2. Monitoring Plan This will incorporate utilization of interior observing and outside checking. Sales Performance: Key Metrics Metric Target Performance Trend Action items Revenue growth months over months 8% growth in first months 20% growth increasing Isolate drivers of high performance. Sales as percentage of total sales 7% of total sales 3% of total sales. Tracking to hit goal Continue with implementation. Market share 15% 12% Moving upwards Continue with the plan Sales for new product 8 8 On target Continue with the plan. Average lengths of sales cycle 2months 3months Sales are taking long isolate Marketing performance: key metrics Metric Target Performance Trend Corrective action Number of customer complaints 0 3 Above acceptable rate Isolate causes of dissatisfaction. Customer attrition 0 5% Within acceptable rate Continue to maintain the same level. Number of repeat purchasers 100% 70% Below target Track target over next months. Number of product inquiries 1000 1200 Above target Continue with campaign Number of qualified leads 5 5 Within target Proceed with the plan. For outside client appraisal, we will utilize the accompanying worksheet 1) How long has the item been in the market? 2) Is the item encountering the development that we anticipated it would at this phase of its life cycle? A. If not, is its underperformance because of controllable or wild variables? b. What steps would it be a good idea for us to take to impact controllable components? 3) Have any of our rivals figured out how to duplicate or make a substitute for our item at a lower value point? 4) What number new organizations have entered the classification since item dispatch? 5) Overall, how might we evaluate the well-being/quality of the market today when contrasted with when we initially went to showcase? 7) How may we change promoting and deals bolster materials to better set this item up for achievement? 8) How drawn in are our channel accomplices? What would we be able to do to ingrain more unique item or brand inclination in them? 9) Based on deals and client input, what changes do we have to make to our item's situating, value point, or correspondences? 10) How have clients surveyed post-deals developments? Do we have to make changes in accordance with our administration work on the off chance that we are to hold clients or pick up rehash purchasers? F. Financial Statements and Projections Performa Balance Sheet ITEM YEAR 1(2017) 31/12/2017 Current Assets Debtors 85,000 Stock of unfinished goods 280,000 Total current assets 365,000 Fixed Assets Machinery equipment 80,000 Accumulated depression 10,000 Vehicle(cost of transport) 20,000 Furniture and fittings 50,000 Depreciation 10,500 TOTAL FIXED ASSETS 170,500 TOTAL ASSETS 207,000 CURRENT LIABILITIES Creditors 70,000 tax 40,900 TOTAL CURRENT LIABILITIES 110,900 LONG-TERM LIABILITIES Bank loan 50,000 Owners’ equity 46,100 TOTAL LONG TERM LIABILITIES 96,000 TOTAL LIABILITIES 207,000 G. Financial Report G1. Financial Projections Under Appendix 1 Item Jan Feb Mar April May June July Aug Sept Oct Nov Dec Cash inflow Cash sales Collection from debtors Total cash in flow 350,000 16,000 366,000 420,000 10,000 430,000 570,000 5,000 575,00 6,000 4,000 604,000 620,000 11,000 631,000 650,000 8,000 658,000 680,000 7,000 687,000 710,000 8,000 718,000 805,000 5,000 810,000 851,000 6,000 857,00 890,000 4,000 894,000 922,000 6,000 928,000 Cash outflow Cash purchase Payment of creditors Insurance Postage Telephone Electricity Water Advertisement Tax Total cash outflow Total cash for the month 10,000 1,000 1,200 700 600 800 500 240,000 5,000 133,800 216,200 150,000 3,000 1,500 800 700 400 600 26,000 7000 190,500 229,500 170,000 4,000 1,800 700 700 800 500 24,000 6,000 228,500 341,500 250,000 10,000 1,200 700 700 800 500 20,000 5,000 288,900 311,100 270,000 20,000 1,200 700 700 800 500 22,000 7,000 322,900 297,100 290,000 15,000 1,200 700 700 400 420 24,000 5,000 337,920 312,080 305,000 25,000 1,200 700 700 400 470 22,000 6,000 361,970 318,030 350,000 26,000 4,000 700 400 1,200 480 20,000 5,000 408,280 301,720 370,000 16,000 4,000 700 700 800 500 15,000 6,000 413,700 391,300 400,000 15,000 1,500 700 500 1,500 520 10,000 5,000 434,720 416,280 470,000 14,000 3,000 800 700 900 600 5,000 7000 502,000 388,000 500,000 13,000 3,000 800 700 900 600 0 3,000 522,000 400,000 G2. Financial Position In starting the business, it requires a starting capital of $100,000 which will be utilized to provide food for the stock and other publicizing costs. We will arrange the furnitures and other office merchandise from the starting capital sum. With regards to the projections of the business, it is required to grow by contributing the benefits and wage that we get once more into the firm. This will prompt its development for the initial three months, yet it is relied upon to keep developing with time. This will be of extraordinary significance to the business. The deals from the company are relied upon to keep ascending over the period. This will be from the start to the finish of the important year where from the projections we can see that the aggregate money deals for every month keep on ascending for the whole time of the year. The costs towards the business will be at the first run through originated from the capital and as time proceeds with this will be gotten from the benefits. The organization is in a place of meeting its obligation commitments and as the time passes by it will be steadier fiscally. As per the existing commitments, it is evident that the organization is steadier as it can meet these commitments all the more effortlessly. The proposed capitalization will be contributed by the proprietor of the business without moving toward any money related organization for an advance. G3. Estimated Capital/Investment Needs As per the present projections, the organization is relied upon to have a stable budgetary position, and this is required to enhance more as the time proceeds onward. The accompanying will be the overall gross revenue and the equal the initial investment level. Gross profit=sales – total direct costs Gross profit=1,383,800-583,800=800,000 : Gross profit = 800,000 Gross profit margin = gross profit *100 Sales Gross profit margin = 800,000*100% 1,383,800 = 57.81 % Total expenses for one year = 291,000 Break-even – level = expenses * 100% Gross profit margin = 291,000 *100% 57.80% = 503,379.20 References Earnest, (October 2011).Financial reporting development; Earnest and young publishers. Bodies, Zvi, Merton, Robert C, (2000).finance; Publication: New Jersey Prentice Hall. 479p. Hughes, Robert J. Kapoor, Jack R, (1985).Business Publication: Boston Houghton Mifflin. 651[46] p. Pride, William M, (1999).Business Publication: Boston Houghton Mifflin. 591p. ill Read More