MKT301 Mod 2 SLP: The Marketing Mix: Distribution Channels (Place) - Coursework Example

Trident International MKT301 Spring Module 2 SLP –THE MARKETING MIX: PRODUCTS AND BRANDS By Terry Austin Dr. Thomas Klein 13 May 2013 1. Competitive strategies Sequrex Security Services In order for the company to outdo its competitors, the following strategies were used Marketing Strategy 1. Use of direct selling of work based on buying or designing target list 2. Mailing letters and brochures directly to the targeted clients 3. Developing a fundamental brochure website that has services that are offered and contact information 4.

Online advertisement with Google 2. Sales Strategy Sales person shall be used to market the service s of the business. The sales people will meet the targeted clients at their premises so as to perform consultations and to create proposal for the provision of security services basing on the customer’s needs. Another sales strategy is carefully listening to objectives and concerns of the clients so as to tailor-make security services that are in line with their needs. The following are some of the targeted clients of Sequrex Security Services As it can be seen, large retailers are the largest targets of the business’ marketing strategies.

The company intends to achieve this by putting all the resources that earns more profits. Sequrex Security Services has been facing a lot of competition in service provision. Below is a table that tries to briefly summarize how these companies compete. Low price Reliability Reputation Quality Customer care Rank American shield 1 Prime Securities 2 Fountain Security 3 Ecliareur Security 4 Moonlight Security 5 Rolling Guards 6 Manta security 7 As shown in the table above, the ticked boxes show the strengths of the competitors Services to be provided The services that are provided by Sequrex Security Services include the following: 1.

To provide security on entrances and screen employees/guests 2. To discourage any crime with visual presence 3. To eject out unwanted trespassers or customers 4. To offer protection on guests, employees and client’s assets. 5. To man with video examination equipment on the premises of the client 6. To provide emergency services especially immediate response whenever there is emergency and accident 7. To liaise with the police whenever there is any emergencies Sequrex Security Services will l also provide the following services 1.

Referrals to those who provide security technology (e.g. camera system) 2. Carry out audits in security issues and recommend for implementation of security plans Sequrex Security Services will be insured and licensed business and will provide both unarmed and armed guards based on the budgets and needs of the client. All the security guards will be offered a certificate for any security work and to hold firearms If possible, the same security guards will be always sent to the same clients. Nevertheless, substitutes will be essential after some time and the firm will make sure that comprehensive data concerning the job is conveyed to those guards who are substituted on those scenarios.

Sequrex Security Services will create trust will its clients as a business partner, instead of particular guards(s) they are comfortable with Security guards will frequently communicate with their team through portable radio calls with Sequrex Security office, and in some occasions through the use of mobile phones. The guards will be either stationed at the desk or patrolling at all facilities by foot. The clients will have to offer a vehicle if at all their job requires vehicle patrol. Target markets 3.

Sequrex Security Services targets the following companies so as to achieve its objectives. The chart below represents market segments that the business intends to acquire 1. Building management organizations These companies usually employ security guards and set up surveillance equipment to check that equipment, to provide front desk security services, and some instances general patrol. These organizations mostly work with various residential or commercial buildings and to seek to create a relationship with one dependable vendor for all their security requirements.

Some buildings may require both day and night shifts while some only requires day coverage. 2. Big retail businesses These retail businesses employ security guards to provide security and prevent theft. This includes retail stores and department stores. Smaller may also decide to hire security guards if at all they are selling expensive items like jewelry, designer fashion etc. retail businesses need more security guards during the day. Some other retailers may decide to lock their stores during the night while some bigger departmental stores might as well use night patrols. 3. Educational institutions Institutions like primary and secondary schools and colleges mostly employ security personnel to patrol and guard their structures and campuses.

Mostly these institutions their own security personnel, but a times they may outsource these services. These institutions will require security personnel that patrol day and night. 4. Event venues  The organizers of events use security personnel to man fires capacities and guest list and to make any arrangement for to respond for any emergency. Bars and nightclubs may be also included in this category. Conversely, most bars and nightclubs use their security guards (or “bouncers’’) and may not use the vendors.

Most of the events are done in the evenings with corporate events performed in weekday nights and private events are performed during weekend nights. Objectives of Sequrex Security Services Sequrex Security Services bases its accomplishment by successfully meeting the following objectives: 1. Employ 30 full-time security personnel after the first two years of its inception 2. Offer full-time security services to 20 buildings by the end of the second year after its inception 3. Earn net profit of $3 million with $300,000 in its second year after its inception 4.

Mission Sequrex Security Services will get rid of worries for clients who need security personnel for their facilities, buildings, and events by offering first class customer service for clients and thorough training for their workers. 5. Keys to Success Sequrex Security Services attributes the following strategies to its success in the industry: 1) Providing training opportunities to its security personnel and providing them with licenses to carry firearms 2) Carefully listening to objectives and concerns of the clients so as to tailor-make security personnel packages 3) Having more knowledge than the clients i.e. bringing into the table vast security expertise as well as acquaintance of liability and legal regulations 4) Constantly monitor the quality of services provided by security personnel so as to provide quality assurance Strategy for target market segment Sequrex security shall target retail businesses and building management companies as its initial target market.

This is because both segments demands continuous security vendors and very enthusiastic for long-term contacts. Once the deal is established and sealed, quality assurance, competitive pricing and good customer service ensures that good relationships are maintained thus security provider counted as a trustworthy partner in terms of providing security to buildings, people and the assets. Moreover, the other target markets highlighted shall be considered later, if at all. The event venues call for very specialized services.

This may prompt a slower target market to handle. Nevertheless, educational institutions are usually enthusiastic to recruit their own security guards thus becoming a hard market to create as one of the stronghold. Analysis of business service According to World Security Company, there were around 40,000 service security firms in the country by the year 2008 manning 55,000 establishments. The standard size of the company was $750,000 income annually. However, there are some few entry barriers; legal requirements and low capital investment.

Therefore, the industry will entirely depend on labor supply, usually using police retirees as security guards. Since the security guard service is a form of sold business-to-business, advertising and marketing is the main target in the industries and markets that the company intends to serve. In essence, most business enterprises look for security providers in the referrals, internet or even from other trusted companies. Buying patterns and competition The opponents in the industry are the American shield, Prime securities, fountain Security and Moonlight security.

The key players offer a wide range of markets like in banks, hospitals, colleges/universities, commercial real estates and government organizations among others. Junior security firms succeed in their venture basing on their reputations and expertise of their pioneers. Furthermore, it is propagated by customer satisfaction thus becoming referrals. Very large organizations and government institutions obtain a lot of bids seeking security contract whereas the smaller enterprises, like Sequrex, will opt for other firms and take a move especially if they don’t qualify.

Generally, the smaller the security workload, the more willing a firm will be prone to risk their own security on professional hunches concerning a security firm with no feeling of doing because of carefulness and diligence on the available alternatives. Summary of strategy and implementation The main strategy of Sequrex Security is to establish its marketing and operations within the retail stores and buildings which are big enough to demand extra security. In order to achieve this, Sequrex will: 1.

Offer training to its security guards for various positions like surveillance and patrol 2. Utilize targeted lists and advertising to market and locate the customer markets 3. Concentrate on security services as well as consulting audits. Competitive edge Sequrex will establish a very competitive edge via high degree of customer assurance and service. The company does not intend to mediate between the contracted security agents and clients but instead partner directly with customers in providing security service.

To accomplish this effectively, the company shall assess carefully the situation of client’s security and work with them hand-in-hand to boost and maintain high security level. Marketing strategy Sequrex security will use the following tactics to reach its target market: i. Develop a website to market the services ii. Advertise in business publications especially those read by managers iii. Use online advertisement iv. Use brochures and business cards v. Direct sales vi. Letters to target clients in all accessible areas Sales strategy Marketing manager will be the main salesperson for Sequrex Security.

He will ensure that he meets with the clients at the premises to carry out primary consultation and propose to them the issue of security services depending on their needs. The manager’s sales strategy will also be to pay attention to the clients’ needs and give them an assurance that their points of need will be met. This may involve negotiation of prices without letting the clients quit. Sales forecast Sales of security guards will not cease. Taking the assumption that annual client retention rate is 90%; the volume of sales will rise drastically.

The total sales will be an integration of clients in need of 24/7 security as well as those that need daytime coverage. Approximately 40% of total sales are anticipated from the whole day clients. Generally, sales are projected to rise up to $ 1.75 million by the end of the third year. Sales’ direct costs shall comprise of particular supply of each job, like guard uniforms which should be bought. The uniforms will be branded “Sequrex” or client’s name for easy identification of security guards at the place of work.

The graphs below shows the Sequrex anticipated sales volumes. Sales Forecast   Year 1 Year 2 Year 3 Sales       Security Agents $824,000 $1,421,045 $1,887,472 Security Audits $70,619 $87,477 $146,408 Commissions $50,370 $79,037 $106,764 Total Sales $944,989 $1,587,559 $2,140,644 Direct Cost of Sales Year 1 Year 2 Year 3 Job Supplies $50,707 $64,050 $785,924 Other $0 $0 $0 Subtotal Direct Cost of Sales $50,707 $64,050 $785,924 Reference List Jain Ashok, 2006, Principles of Marketing, FK Publications Fifield, Paul, 2012, Marketing Strategy, Rutledge Douglas Bowman &Hubert Gatignon, 2010, Market Response and Marketing Mix Models: Trends and Research Opportunities, Cambridge