3. Executive Summary
Growth in the Car Market in India over the last decade.
Express Car Wash Inc – Together we add the finishing
touch!
Value added service.
Fast paced, Easy & more Productive.
4. Executive Summary
Niche Market Group.
Our Goal.
Using Technology for Simplifying Human needs.
Generating Revenue through our Advertising Strategy.
6. Vision
Our vision is to become market leader in the car service arena, by
changing the very way in which it is perceived, thereby adding superior
value to every single pie that we receive from each of our respectful
customer and investor, in our own unique and value centric approach,
building trust and confidence all the way !
8. Mission & Company Objectives
Our Mission is to be a Customer Centric organization with a strong
Technological base that is governed by the tenets of Value Addition and
Quality.
Aspired Growth Rate 20% in < 3 years.
Aim to service around 200,000 cars per year by 2013.
Using latest in Car wash technologies.
Employing High Quality Personnel, Safety of vehicles.
Strive for Perfection, Unparallel Customer Service and Experience.
Spotlight on the use of Bio-Degradable products.
10. Trend Analysis
Emerging • Increased frequency of car wash
observed
opinions on car • Willingness to pay a ‘little more’ for
a good car wash
wash • Keen about the idea of ‘Auto Car
preferences Wash’
• Substantiate Increase in the number
of cars sold in Chennai over the
Emerging Trends recent years
• Many luxury car manufacturing
in Car Sales units that have come into Chennai
indicate a burgeoning customer
base and a prospective car market
11. Trend Analysis
Consumer market based on Car wash interests among
car type individual consumers
12. Trend Analysis / Market Research
Current modes of car
wash
Frequency of car wash
13. Trend Analysis / Market Research
Current levels of Time consumed for a car
Satisfaction wash
Amount of money The Missing factor in their
consumer is willing to current car wash
pay for a ‘good’ wash experience
14. Trend Analysis / Market Research
Percentage of
people who will try
Conclusion the auto car wash
option is about
86% !
15. Managing Environment
Demographic
The data on the increasing car sales only proves the point that the
appetite for future car service is bound to rise
2009 2008
Total No of cars sold per month in India 801336 669380
Total No of cars sold per month in Chennai 40067 33469
Car sales Year by Year data is present here
16. Demographic
20% increase in car
sales year by year
Total No of cars sold per month in India
Cars Sold in 2008 & 2009 Total No of cars sold per month in Chennai
450000
801336
400000
350000
669380
300000
250000
200000
150000
100000
50000
0
Entry Hatch B Segment C Segment C+ Segment D Segment Luxury Cars
Segment Hatchback Sedan sedans
40067 33469
2009 2008
1 2
17. Managing Environment
• Chennai as a • Economic
Business Hub Impact
• Increase in • Well Received
Investment Communication
SOCIAL-
ECONOMIC
CULTURAL
TECHNO- POLITICAL
LOGICAL & LEGAL
• Overseas • Environmental
Technology Safeguard
• Better • Reuse, Reduce
Sustainability & Recycle
18. Managing Environment
Competitive Environment Solution to Competition
Existing competition : Automatic Carwash is
Local labor Professional
Service stations and garages Quick & Feasible for Consumer
Chauffeurs Value for money
Owners themselves Quality, Efficiency and
Simplicity
No waiting period- Just visit a
Petrol Bunk !
19. SWOT Analysis
STRENGTHS: WEAKNESS:
CONSISTENT QUALITY PERCEPTION OF QUALITY UNDER 5
QUICK & EFFICIENT MINUTES
HIGH GROWTH RATE HANDLING INDIAN MINDSET
SWOT
THREATS: OPPORTUNITY:
KEEPING UP WITH TECHNOLOGY POTENTIAL GROWTH RATE ABOUT 20%
TIME CONSTRAINTS PROFIT AROUND 35%
DIFFERENT METRO’s TO VENTURE INTO
20. Product Type
Market Segment
Target Customer
Consumer Behavior
21. Product Type
It is a speciality service that focuses on enhancing quality of
car wash by using rollers that go over the exterior body of
the car and clean the vehicle.
A Pressure Touch less, Automatic Car Wash System that wash
relies on high-powered jets of water and strong detergents to
clean the car. Only the water and cleaning solutions actually
come in physical contact with the car.
Sub Components - Under chassis ,Blowers, Water Recycle
system, Chemical dosing pumps
23. Market Segment
Urban Market, Chennai is the destination as it will be easy to
manage environment
Affordability and demand for quality and a fast paced lifestyle
Approach - Niche service that has arisen out of a latent demand
24. Target Customer
Individual consumers are the target customer market for this
service
This customer base is made up of professionals who are novelty
seeking, have the interest in trying out new ideas
They are also a bunch of people who own and drive their cars
themselves and possess the purchasing capability as well
25. Consumer Behavior
Reference group – Most part of the Target consumers are
individuals/working professionals. This group is likely to experience
a lot of Peer Influence in terms of new service exposure.
Therefore, it is critical to ensure that the communication reaches
such common influence centers
Superior Quality at Affordable Rates.
Convenience and Location is a strong Motivation for a Consumer
Occurrence of Routinized Behavior.
Product Alternatives are totally Inferior and Incompetent to
that of the Product Offering.
Focus on Time, Money & Effort.
Belief that Existing system is Inefficient and Unproductive.
Unique and Innovative offering to the target market results in
Enhanced customer experience.
27. Expenditure INR/month
Financial data 2 labour
premise rent
8000
15000
current 3000
soap liquid 3000
Miscellaneous 4000
Marketing & Advertisement 10000
interest to be paid to bank 10000
principle per month 20000
Expenditure/Month Total Expenditure 73000
20000
15000
10000 10000
8000
3000 3000 4000
28. Pricing Strategy Profit split
35%
38%
Expenditure per month
interest to be paid to bank
principle per month
18% 9%
Break Even Point is in 17 months Take away from the business
Series1
112500
59500
43000
10000
Revenue Expenditure per interest to be paid principle paid/
month to bank / month month
29. Break Even Point
2010 2011 2012 2013 2014
Unit sales 18250 20075 22082.5 24290.75 26719.83(Increase in 10 percent)
Unit Cost 75 80 85 90 95(Increase in 5 INR per year)
Total Sale Amount 1368750 1606000 1877013 2186168 2538383
Expenditre 516000 567600 624360 686796 755475.6(Increase in 10 percent)
Interest to Bank 120000 120000 120000 120000 120000
Principal to Bank 240000 240000 240000 240000 240000
Take Away 492750 678400 892652.5 1139372 1422908
% Take Away 36 42.24159 47.55709 52.1173 56.05567
Repay Achieved % 24 48 72 96 120
Break Even Point
Principal to Bank 732750 918400 1132653 1379372 1662908
Break event achieved % 73.275 165.115
30. Comparative Pricing
The following are the existing competition :
Local labor who are engaged into manual car wash
Service stations and garages that do it when they do the regular service
Chauffeurs who double in to wash the car
Owners spend time on doing it themselves
local labor service station chauffeur owner Car Wash System
No of washes / month 30 1 30 5 2
amount spend on it 400 200 salary waste of time 150
Time spend 30 min 60 min 20 min 60 min 5 min
32. Promotional Campaign
Image Building
Product
Campaign Positioning
Differentiation
Direct
Response
33. Promotion Strategy
Push/Pull promotion strategy: Express car wash will be promoting
its service directly to the customers without any intermediaries.
Unique selling proposition: Quality and innovation in car wash.
Collaborations:
A tie up with the petrol pump will be done where express car wash
plant is being set up.
A tie up will be done with the city auto dealers to provide its customers
a 1st free car wash at express car wash.
Service Launch: Launch will be done with promotion in locality and
car wash will be given to cars @ 50 % for first 2 days.
34. Promotion Techniques
Coupons: 3 car wash coupon for 180 and 5 car wash coupon for 275.
Garage promotion: Commission will be given to garages
recommending express car wash.
Pamphlets: Pamphlets will be distributed in nearby societies via
newspaper boys and gatekeepers.
Radio: Express car wash will be promoted via radio.
Door to Door: Express car wash representative will visit homes in
nearby societies and explain advantages of auto car wash.
Schemes:
Special scheme for car owners of a society with substantial number of
cars requiring car wash.
Special scheme will be given to offices.
36. Value added Services
All vehicles are checked comprehensively before and after the car wash
for any imperfections
Car Wash Express and its members of staff are fully insured
For Security purposes all vehicle keys are kept in secure safes
Card payments are accepted at Car Wash Express
All cleaning products used at Car Wash Express are fully bio-
degradable
Internal Vacuum, External Polish and Internal Valeting is part of the
car wash.
37. Assumptions
The sample used for market research represents the whole population
targeted
Pricing numbers - derived from prediction based on margin targeted
Percentages for customer satisfaction based on industry average
Opportunity for potential growth validated from Industry statistics
Estimation of number of car washes daily chalked out from the
maximum turnaround time per unit
Location chosen for launching is well connected and can draw the
right customers
Smooth availability of machines/equipment at all times
Maintenance/ Repair of any part of equipment - readily available
Provision for safe disposal of cleaning remnants and recycling of water