SIR VINCE ENTERPRISE(Marketing Plan)

By: Aileen Mae Doroja

EXECUTIVE SUMMARY

This presentation provides analysis and marketing strategies of Sir Vince Enterprise. Environmental scanning such as Internal and External scanning is used for analysis and data gathering. SWOT analysis is applied to identify the problem. All gathered information shows that the organization needs to improve its marketing strategies and customer relations.

The analysis finds that the weakness and threats of the enterprise is the competitors (promotions and low price), and miscommunication between the customers.Gold with Techron is the product least saleable in the market because of its price difference. It is recommended that Gold with Techron cut-off the price difference of .25cents for every liter purchased and .50cents for bulk orders.

THE CHALLENGE

As been identified on different analysis regarding the scanning it shows that the organization must take an action to its customer satisfaction by giving prompt and superior service to the customers. However, an action to competitors is highly recommended to maintain and increase its market share by giving a discount or a low price strategy to the customers as it also affects and a big factor of customer satisfaction.

SITUATION ANALYSIS

COMPANY ANALYSISGOALSTo be one of the leading Caltex branch operator and leading product and service quality provider in Naga city, Canaman, Magarao, Bombon, Calabanga, Tinambac and Tamban markets and beyond.

FOCUSTo provide quality product through superior customer service, that the customer will stay and become loyal to the business.

CULTUREThe business and its people think of each other as a family. The management provide sales quota and if it is achieved by the customer sales representatives they will be provided an increase in salary. As a result, the business culture is focusing on a healthy productivity thru competition and teamwork is enhanced to each and every one.

STRENGTHSAs observed the company’s strengths are the;

• Product quality• Service offered• Up to date facilities• Clean and well-maintained environment

WEAKNESSESAs been observed the company’s weaknesses are the;

• Competitors• Uncertain delays in transactions• Miscommunication between the customers.

MARKET SHAREAs the figure shows, the business is located at the center of four (4) competitors; probably the market share is given 20%, if equally divided. Currently, there is an undergoing construction happening in Shell, the market share is expected to grow in 30%. If the stations’ market share is divided according to its competitors, Shell and Caltex may have the edge for it is a branded company and proven quality product among others.

CUSTOMER ANALYSISNUMBERSir Vince Enterprise is dealing with more than five hundred (500) customers a day; we provide quality products through superior customer service to satisfy the needs of our valued customers.

TYPEWe serve three (3) types of customer according to vehicles, first the private vehicle like motorcycles and car owners. Second, public transportation vehicles like jeepneys, multicabs, taxi, and tricycle drivers. Third, business used fleets like trucks, cars of sales representatives’ customers.We also have three (3) types of customer according to its mode of payment such as cash, credit and starcard (accounts of Caltex).

VALUE DRIVERSCaltex service station is a well-known company that sells quality product to its consumers. To support the high performance of the product and continuous patronage of the customers, we believe to increase the value of our service as a competitive advantage in our market.

DECISION PROCESSThe enterprise will provide our standardized way of customer service to communicate well and break the wall between the customers and the sales representative. We will, as much as possible will compete with the prices given with the government and the competitor and reduce the cost of the product to encourage customers. We will maintain the quality of our product and fair business among others.

CONCENTRATION OF CUSTOMER BASE FOR PARTICULAR PRODUCTOur main product is served by the customer service representative from the pump to the tank of the vehicle. The customers are very particular in the quality of the product and prompt service of the customer service representative. To concentrate in both of the product and services is needed to successfully complete the transaction.

STRENGTHS• PRODUCT QUALITY• CUSTOMER SERVICE• UP-TO-DATE FACILITIES• CLEAN AND WELL MAINTAINED ENVIRONMENT• APPROACHABLE STAFFS• CREDIT CARD PAYMENT FOR CUSTOMERS• EXTRA SERVICE OFFERED SUCH AS AIR & WATER

FACILITY AND CLEANS CAR’S WINDSHIELD• COMMITTED AND PASSIONATE STAFF• UNITY AND TEAMWORK WITHIN THE

ORGANIZATION• LUBRICANT OIL IS AVAILABLE.• SALES QUOTA AND PERFORMANCE BASED

INCENTIVE FOR CUSTOMER SALES REPRESENTATIVE.

• QUARTERLY MYSTERY VISIT FOR EVALUATION, 100% RATE IS GIVEN AN INCENTIVE.

• DISCOUNTED LANE FOR UNLEADED.

SWOT ANALYSISWEAKNESSES

• LUBE BAY AND WASH BAY IS NOT OPERATING•STAFF’S LATE AND ABSENTEEISM•POS IS MALFUNCTIONING AT PRESENT•NO AVAILABLE PUMPS IF IN RUSH/PICK HOUR•INSUFFICIENT STOCK OF LUBE PRODUCTS.•UNCERTAIN DELAYS IN TRANSACTIONS.•PERSONNEL ERRORS•MISCOMMUNICATION BETWEEN THE CUSTOMERS.

SWOT ANALYSISOPPORTUNITIES

• BULK ORDERS.• ROAD REPAIR AFFECTS THE

CUSTOMER TRAFFIC FLOW IN SHELL (CANAMAN)

• PROMOTIONAL ACTIVITIES SPONSORED BY THE HEAD OFFICE GIVES OPPORTUNITY TO INCREASE CUSTOMER COUNT AND MAKE THEM LOYAL CUSTOMERS.

THREATS• LOW PRICE GIVEN BY

COMPETITORS• PROMO GIVEN BY COMPETITORS• COMPETITORS MAY SPREAD

RUMORS TO PIRATE CUSTOMERS.• INTER-ORGANIZATION’S

CONFLICTS MAY ARISE BECAUSE OF BRANCHES TARGET QUOTAS.

• COMPETITORS ARE SELLING THE SAME LUBRICANT OIL BECAUSE OF SUPPLIERS, THOUGH THE PRODUCT IS A CALTEX BRAND THEY OFFER LOWER PRICE.

ALTERNATIVE MARKETING STRATEGIES

• LOW PRICE STRATEGY• ADVERTISING• LOCAL LOYALTY PROGRAM• MONTHLY SALES EVENTS• CUSTOMER SERVICE CONSISTENCY OF CUSTOMER SALES REPRESENTATIVES.• TO LOOK FOR CASH AND CREDIT BASIS ACCOUNTS.• TO MAINTAIN AND REPAIR EQUIPMENTS• TO KEEP CONTROL OF PUMP CALIBRATION• DISCOUNTED OR PISO LANE FOR JEEPNEY(PUJs)• REDUCE LUBRICANTS’ PRICE• HAPPY HOUR, DISCOUNTED PRICE ON SELECTED HOURS PER SHIFT• COFFEE BREAK, PROMOTIONS FOR TRICYCLE AND JEEPNEY DRIVER• LOWER OR DISCOUNTED PRICE FOR GOLD (PREMIUM), AS IT HAS LOWER VOLUME

OF SALES COMPARED TO DIESEL AND SILVER (UNLEADED).

MARKETING STRATEGY

PRODUCTA strategy for this product is created to increase the sales in our differentiated fuel.

BRAND NAME: GOLD (PREMIUM)QUALITY: A gasoline called Premium with 95%

octane to maintain its quality; it is designed to faster and cleaner engine of vehicle. Gold 95 with Techron cleans vital engine parts, preventing the build-up of carbon deposits to help increase engine efficiency and performance overtime.

SCOPE OF PRODUCT LINE: This product, Gold can be refuel to unleaded type gasoline vehicles such as motorcycles, cars, UV’s and SUV’s gas type, tricycles and multicabs.WARRANTY: Warranty is not applicable for fuels, if product is believably considered as defective and contaminated, the product will be collected and change the product refuelled, as to present no reported complaints on product quality.

PACKAGING: Physical packaging is not applicable. Product is available from the tank and dispensed from the pump to the nozzle and to the vehicles’ gas tank. Packaging may apply to the appearance of the pump, signages and product information builted-in.PRICE: Traditionally, Gold (Premium) is priced one (1) peso higher from Silver (Unleaded) of the company. Some customers are price sensitive where they tend to buy cheaper products that they believe it has the same quality and some customers doesn’t know the premium fuel that’s why the product has lesser volume than the others.CURRENT PRICE: Php. 40.55 per liter. Price may vary every week due to price hike or rollback in accordance with the government regulation and economic trends.

DISCOUNTS: It is expected to give .25 cents discount for every purchase of Gold product to cut off the difference of one (1) peso price difference between Gold and Silver product.BUNDLING: The operator is expected to give .50 cents discount for every purchase of 500 liters and above bulk orders.PAYMENT AND FINANCING OPTIONS: The product is available on cash, credit card and In-store account depends on the term of agreement to offer financing opportunities to customers.LEASING OPTIONS: Not defined.

ACTION PLANPROPOSED PROJECT: .25 CENTS OFF PER LITER ON

GOLD.50 CENTS DISCOUNT PER LITER ON GOLD BULK ORDERS

OBJECTIVE: To cut-off the price difference on gasoline fuel by .25cents and to give .50cents discount per liter on bulk orders and increase sales of differentiated fuel.

PERSON INVOLVED: TOP MANAGEMENT, RETAIL OPERATORS

PROJECT DURATION: Effective on January 1, 2015*Subject for test market

SHORT-TERM ACTION PLANPROMO CAMPAIGN: COFFEE BREAKOBJECTIVE: To increase gasoline sales and draw loyalty of the private

and public vehicle drivers (jeepneys and tricycles) from 4:00am-6:00am and 4:00pm-6:00pm.

PROMOTIONAL SCHEME:WORTH OF RECEIPT FUEL REWARDPhp. 150 GOLD FREE COFFEEPhp. 200 SILVER/DIESEL FREE COFFEE*applicable only on regular priced fuel, discounted lane customers are disqualified in the promo.PROMO DURATION: JANUARY 1, 2015 – MARCH 31, 2015

*applicable only from 4:00am-6:00am and 4:00pm-6:00pm

PROMO MECHANICS:1. CSR will gladly inform the customer about the promotion, to promote the current promo and up sell the volume of gasoline purchases.2. After payment, Cashier will print receipt (Original copy for the customer, duplicate copy to the management), cashier will sign to validate the transaction made.3. To claim the free coffee, CSR will ask customer to print their name at the back of the receipt and affix their signature to validate the claim. CSR will give the coffee to the client and give back the receipt to the cashier for reporting and inventory purposes.PERSON INVOLVED: TOP MANAGEMENT, RETAIL OPERATOR, SUPERVISORS, CASHIERS AND CUSTOMER SALES REPRESENTATIVE.

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