Key Aspects of Premier Financial Corporation - Case Study Example

prepared Request for Proposal – Premiere Financial Corporation I. TIMELINES Premier Financial Corporation is scheduledto stage its corporate launching on February 1, 2008. As such, it aims to achieve the following timelines: a. December 1 to 20, 2007 - Screening and Hiring of Advertising Agency b. December 21, 2007 to January 10, 2008 - Presentation and Approvals of concept, materials and other details of the corporate launch c. January 11 to 30, 2008 - Production of advertising materials, including pre-production, shooting, approvals and production II. THE MARKETING PLAN A. Company Background Premiere Financial Corporation (PFC) is a business that offers corporate management services, tax and financial consulting to local, existing or future enterprises and also to foreigners who wish to start a business in Cyprus. PFC shall start its operations at Limassol, the second biggest city of Cyprus and the biggest port in the Mediterranean transit trade. Cyprus has an open, free-market, services-based economy. This country’s accession as a full member to the European Union as of May 1, 2004, has been an important milestone in its recent economic development. It serves as a “bridge way” to three continents Europe, Asia and Africa. It boasts of an educated English-speaking population, moderate living costs, good airlines and telecommunication connections (US Department of State. 2007) B. Industry Background Various corporations offering Financial Services currently thrive in Cyprus, where foreign investors require off shore services. PFC has several competitors such as Trimark Financial Corporation Otkritie Financial Corporation. Both groups offer financial services such as accounting and taxation consultancy, bookkeeping and business consultation. These groups’ target market are existing businesses who wish to enter the Cyprus trade, and other off shore industries. C. Target Market Premiere Financial Corporation’s target market are those belonging to the Generation X, or those whose ages are between 27 to 40 years. AS young adults, they have been perceived to be apathetic, cynical, disaffected, streetwise loners and slackers. Marketing-wise, this generation may be considered as one of the most entrepreneurial and tech-friendly generations as they are part of the Internet’s growth and ingenuity. Major Internet breakthroughs have been conceptualized and developed by those belonging to this generation. They are further seen to be very “consumer” driven and media savvy. Generation X saw the developments in employment situations in the 1990s and 2000s. They are witnesses to the transition from traditional permanent job contracts to unsecured short-term contracts. During this generation, offshoring and outsourcing concepts were also introduced. A lot of generation Xers found themselves overeducated and underemployed. D. Product and Market Review Premiere Financial Corporation shall be set up at the heart of Cyprus, where small and mid-scale enterprises usually thrive, thanks to the current economic situation in the country. Being a tourist destination, Cyprus has its services sector as its banner segment, with 77.6% contribution to the country’s Gross Domestic Products (GDP). It is open to off shore industries, and trade is highly important to the local economy, with most of its products being imported. As of the European Union members, Cyprus has been liberal to foreign investors. As an EU member, this country has already lifted restrictions on foreign equity participation and ownership, giving foreign investors the same rights and benefits as local investors. PFC management sees a potential in this economic scenario, thereby deciding to launch an agency that offers assistance to these companies through particular services such as corporate management and tax and financial consultancy. PFC will position itself as a full-service financial agency that initially caters to small and mid-scale businesses owned and operated by both foreign nationals and local residents. It specifically targets the younger crowd – the generation Xers who are in the process of starting up their own business or wishes to expand through other branches or even through other industries as well. It prides itself in having full-time account managers that handles all requirements of the clients. PFC will ensure that clients will be given utmost service by doing on-site management as well. PFC practices confidentiality, reliability and integrity, ensuring the highest level of professionalism in all its transactions. It will primarily offer financial services, which includes establishment of bank accounts, market entry solutions, and credit reports, accounting and auditing services, among others. It will also offer corporate management services, which includes Incorporation and Management of Companies E. Marketing Strategies/ Advertising Plan Premiere Financial Corporation is a start up company and will need intensive marketing strategies to be able to penetrate the target market. To begin with, PFC shall introduce its services by advertising in magazines that are targeting entrepreneurs in particular. PFC will place full-page advertisements and advertorials within the first three months of operation. After three months, PFC will begin to publish testimonials as well. PFC will further penetrate the target market by sponsoring forums and conferences regarding business management and entrepreneurship. PFC will conduct talks on how to start a business in Cyprus and offer free consultation to the first 10 people who are interested in their services. PFC will produce its own website to be able to reach clients overseas and from other cities. The website will contain a list and detailed description of all services, and the contact details of the company. The website will offer instant tips and useful information to those who are thinking of starting up their businesses, then eventually gather a pool of contacts from respondents. These contacts shall be recipients of product updates and will be considered sales leads as well. Since the author has a network of potential clients in Limassol, PFC Account Managers shall be directed to conduct sales calls to the leads and gather information on other prospective clients. Word-of-mouth is important in spreading PFC’s products and services, so it’s vital to be able to communicate PFC’s services at a personal level to gain popularity among the target market. F. Desired Unique Selling Proposition Premiere Financial Corporation targets the young batch of entrepreneurs, particularly owners who are in their late 20s to early 40s. It wishes to convey a message that is fresh, young and dynamic to be able to capture the target market. The word Finance used to be intimidating. Before, it meant having to deal with numbers and books and mathematical equations to balance the cash flow and computation of income. For a business owner to succeed in his field, he must learn how to keep books, compute for taxes and interests and plan for future expenses by forecasting and analyzing current trends to come up with accurate figures. PFC wishes to make it easier for the modern-day entrepreneur to understand the whereabouts of his investments by providing full service in the field of finance, taxation and bookkeeping. It wants to create an image of being a business partner, contributing to the success of a financial endeavor. G. Sales Distribution/ Sales Channel PFC would be maximizing the use of its company website to reach clients in and out of Cyprus. It will subscribe to premiere search engines such as Yahoo and Google to be able to appear first on the search engine’s list. III. OBJECTIVES IN HIRING AGENCY Premiere Financial Corporation wishes to tap the services of an advertising agency that could give a youthful character and life to the company’s image. The agency should be able to give the company an edge over other Financial Corporations in terms of its appeal to the target market. The agency should be able to convey the message that the service being offered by PFC is simply easy to comprehend even by the simplest businessman. By the end of the first two months of operations, PFC should be able to have a target of 100 inquiries, with 20% of it transformed to sales. To achieve this, the advertising strategy should be accurate and precise, labeling each advertising channel with corresponding sales targets. It aims not only to create awareness but entice actual inquiries. It aims not simply to promote but more importantly, to sell. As a start up company, PFC looks at the first six months as the most crucial period to determine whether they have the potential to penetrate the target market. This period is a make or break period for them. As such, each cent to be spent must be worth the while. Each media bought must bring the company ten times closer to the target market. PFC shall allocate a total of £400,000 as budget for above-the-line and below-the-line advertising for the following operational year. This includes the agency services fee as well. Another £200,000 shall be allocated for the sponsorship of various events that have the potential to open business for PFC. The agency to be hired shall also be responsible in looking for potential events and for the negotiation of sponsorship fees. PFC looks at joining such events on a monthly basis and needs its hired agency to be able to recommend opportunities. IV. EVALUATION PROCESS All agencies shall be given 15 days to come up with their proposed marketing campaigns. Schedule of presentation, evaluation and elimination shall be made from December 16 to 20. Announcement of decision shall be made December 21, 2007. The approving committee shall be consisting of the CEO, the Marketing Director, the Finance Director and the Purchasing Head. The Marketing Director shall assess the content of the presentation; the Finance Director to handle the budget requirements and limitations; the Purchasing Head to follow through on the actual purchase. The CEO shall be the one to make the final decision basing on the recommendations of the committee. The approving committee shall evaluate the presentation following the criteria below: a. Quality and Consistency of Processes – Agencies shall be required to present to the management their ongoing processes for marketing campaigns, from the conceptualization up to execution. They also need to present timelines being adhered to and the contingency processes being implemented in case an unanticipated concern arises. Alongside the presentation of these details are the following items: Past projects done with other companies offering the same products and services, their timelines and the measurable results gained from the marketing campaigns. List of media partners, both local and international; the projects and the timelines implemented with them. List of suppliers and partner organizations, both local and international, the projects and the timelines implemented with them. The credentials of account managers, artists and other staff, including list of past projects done. A general profile of the account manager assigned should be discussed for the committee to assess if he is indeed the right person for the job. At least three character references for the agency. b. Ability to interact candidly and proactively – The agency must be able to project their own sense of professionalism and radiate this to their presentation. Their ability to handle queries, interact with clients shall be the overall gauge whether they can work effectively with the company or not. c. Ability to communicate the desired unique selling proposition consistently in all media channels – The agency must be able to project consistency in all their materials. They must collectively address the target market and effectively convey the message in all their collateral materials. d. Effectiveness of research and evaluation methodologies – The agency must be able to present their research methodologies to the client. They should be able to provide a list of research projects, the results garnered and effects of these researches in the marketing campaigns done. There are several other items that need to be considered in the selection process: a. Agency Billing Policies – The agency should discuss their billing procedures, terms and the pricing structure for the account. They must be able to lay down the conditions for the client, if the project would be on a retainer or a commission basis. b. Media buying policies – The agency should be able to discuss as well their criteria when buying media spots. They should be able to discuss previous transactions with both local and international groups. It is crucial that they be able to discuss in details previous projects with media groups in the US and the Asia Pacific, where the company also targets to get clients who require off shore services. V. Confidentiality Each agency response shall be treated with utmost confidentiality. Each presentation material from unsuccessful agencies shall be kept in active file and will be looked back on in case another requirement arises. All related artwork and creatives shall be possessions of Premiere Financial Corporation and may not be used by the agencies for any other purpose. Works Cited Background Note: Cyprus. November 27, 2007 http://www.state.gov/r/pa/ei/bgn/5376.htm#econ Read More