Project Management - Lakeland ltd - Case Study Example

Business case

Lakeland ltd. is a company based in the UK that has a chain of kitchenware stores. In the recent times it has faced declining sales and this has been as a result of the increasing competition being offered by imported commodities from China. The company is planning on revamping its marketing efforts and therefore has chosen Olympia exhibition as a platform on which it can reach out to more customers. Since the company is product based this marketing mode will be critical as it will allow the company to showcase its products to potential customers. Therefore this paper will delve to highlight the benefits that the company will likely get from the trade fair to be held on the 16th and 17th November and also outline the plan that the company ought to adhere to prior to launching the exhibition

Benefits of trade fairs

One of the major benefits is that trade shows provide a lasting impression to the prospective customers if it is undertaken in an appropriate way (Santos, and Mendonça, 2014). With a properly put up exhibition characterized by giveaways, sales collaterals, and a few promotional items, then it is likely that customers will be attracted and further leave with a positive impression of the brand which may last for months or even years. Trade shows are also a viable way by which companies can undertake a face to face marketing of its brand. Companies are able to engage with the attendees and therefore help in closing deals quickly. Additionally companies can be able to get first hand feedback on their products and services and hence make corrective actions where needed (Lee, and Lee, 2014). One of the biggest benefits characterized by tradeshows is the fact that they have a huge lead generation potential. For instance the business start-up Olympia London has well attended exhibitions which range from the business show to sector specific events such as the elite sports expo, restaurant tech live and legalex. In specific the business shows tend to attract over 25000 businesses which therefore is a proper medium for Lakeland ltd to show case its brands. It is the leading exhibition not only in the UK but also in Europe and in the 17 years it has been in place it has gained a huge reputation (Tafesse, 2014). Therefore if proper planning and research is undertaken it is evident that trade shows provide the most cost effective sources of sales and leads.

Objectives

Prior to setting up a booth there ought to be clearly stated objectives to allow the company analyse its impact on the overall sales. The objectives would need to be in line with the SMART model to ensure that they are comprehensive (Chang, Hsu, and Chou, 2015). Some of these objectives include:

• Establishment of 50 new business leads by the exhibition end
• Generate over £12,000 in terms of revenue from the leads identified a month after the exhibition.
• Increase the sales generated from the existing customer by 10% as a result of the exhibition
• Follow up on the leads identified from the exhibition a month after the exhibition

Return on investment

Many companies that take part in trade shows fail to convert the leads to customers therefore making the whole process be termed as a failure. Therefore for Lakeland ltd the potential return on investments will be determined on key performance indicators such as the traffic at the exhibition booth, business cards issued out to potential customers, new leads gained and finally the coupons distributed to the attendees. The potential return on investment that the company may realize would arise from new customers gained from the trade fair (Bathelt, and Gibson, 2015). It is certain that the company has a vital platform to sell its products and also showcase its unique products. If the company sticks to the plan to be highlighted below certainly it will reap tremendously.

Project milestone

A successful project ought to have milestones that would allow for an evaluation of whether the project is on course (Jin, and Weber 2013). Therefore this project will have key milestones that will be evaluated regularly. The Gantt chart provides an analysis of the completion times for each milestone. Failure to adhere to the deadline would interfere with the overall project execution

• Budget preparation
• Approval of the budget
• Preparation of the project plan
• Inspection of the selected exhibition
• Training of the staff
• Preparation of the promotion plan
• Commencement of the promotion
• Assembly of the exhibition booth
• Launching the exhibition
• Post show activities

Plan and budget

The first stage of the plan which entail the development of the concept, there will be various tasks that would need to be undertaken and they include budgeting and planning (Sarmento, Simões, and Farhangmehr, 2015). In specific in planning, there should be a clear analysis and presentation of the marketing problems that the organization wants to fulfil by being part of the trade fair. It is certain that planning is very critical as it tends to involve many details. Budgeting, though hard to determine from the onset, is vital to ensure that the expenses that are be incurred as closely monitored. The budget below provides an analysis of the main costs that will be incurred and also a comparison will be made with the actual costs to determine the difference. Human resource allocation is vital as it outlines the different staff that would be involved in security, designing the stand, cleaning, controlling passes and even sorting communication issues (Amati, Freestone, and Robertson, 2017). All the staff that will be part of the trade fair will be extensively briefed on their specific duties to ensure that the event runs smoothly. Training therefore will become essential to ensure that they are knowledgeable with the trade fair rules, conversant with their duties and are cognizant with the products that will be sold or marketed at the exhibition. The choice of an appropriate exhibition booth is very critical. Since Olympia exhibition attracts many businesses it would be important that a proper location is chosen to ensure that many prospective customers are in a position to access it (Pan et al 2014).

Budget

Costs

Budget

Actual

Trade fair preparation costs

£ 10,000

Stand rent

£ 25,000

Stand construction costs

£1,000

Personnel costs

(Salaries, transport and accommodation, uniform costs…)

£ 45,000

Training costs

£ 4,000

Advertising costs

£ 15,000

Material transportation costs

£ 2,000

Insurance costs

£7,000

Total costs

£109,000

Gantt chart

May

June

July

Aug

Sept

Oct

Nov

Dec

Preparation of the budget

Approval of the budget

Preparation of the plan

Exhibition space inspection

Human resource allocation

Staff training

Preparation of promotion plan

Promotion of the exhibition

Setting up the exhibition booth

Exhibition launch

Post show activities

Work breakdown structure

The WBS provides a map of the project to be undertaken (Westwood, 2016). It will include:

• Trade fair planning
  • Identification of the goals to be attained
  • Identification of participants
  • Budgeting
  • determination of market plan
  • Risk management and planning
• Venue Selection
  • determination of the exhibition booth requirements
  • Select proper location
  • Sign agreements with the organizers
• Determination of the Materials needed for the show
  • Booth and display centres
  • Brochures
  • coupons and give-a-ways
  • banners
  • attire for the staff
• Keynote Speakers for the exhibition
  • Identify potential keynotes
  • brief the keynote speakers
  • determine keynote message and presentation
• Materials Design
  • procure the materials
  • Materials shipment
  • Packaging of the materials
  • delivery of the Materials to the location
• Promotion of the exhibition
  • contact both existing and potential customers of the show
  • Advertisements and Press releases
  • provide notices on the company’s retail outlets
• Training and staff selection
  • Human resource duty allocation
  • Staff seminars for the training
  • provision of special attire to the staff
• Setup
  • Setting up the booth
  • staff rehearsals at the booth
  • unpacking commodities to be displayed
• Trade fair Day
• Post Show
  • Booth demolition
  • Packing the booth materials
  • Shipping the materials
  • Reviewing the leads
  • updating the sales updates
  • quantifying the leads
  • send emails to the visitors at the show Email to show visitors
• Project closing
  • determination of the lessons learnt
  • amendment of the budget for future trade fair activities

Conclusion

Based on the analysis of the trade fair project management, it is certain that planning is essential in ensuring that the project is successful. Failure to properly have a well done work breakdown structure may mean that the company may fail to realize its return on investment. It is important to note that despite trade fairs being time consuming and expensive, they may result to the company reaping huge profits as a result of new leads that may be derived from the trade fairs. The benefits surpass the demerits only if proper research and planning is undertaken months prior to the actual show.