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Vanshika
Vignesh Kumar
Vikram Agarwal
Sakthi Nivashan
Venkat Shyamsundar
Agenda
          Executive Summary


                Vision


                Mission


           Situation Analysis


         Segmentation Strategy


            Pricing Strategy


          Marketing Program
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.
Executive Summary
 Niche Market Group.


 Our Goal.


 Using Technology for Simplifying Human needs.


 Generating Revenue through our Advertising Strategy.
Marketing Plan
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 !
Marketing Plan
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.
Analyzing Current Trends
     Managing the Environment
SWOT Analysis about the Offering
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
Trend Analysis
 Consumer market based on   Car wash interests among
        car type              individual consumers
Trend Analysis / Market Research
            Current modes of car
                    wash




            Frequency of car wash
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
Trend Analysis / Market Research
                        Percentage of
                     people who will try
        Conclusion    the auto car wash
                       option is about
                            86% !
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
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
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
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 !
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
Product Type
  Market Segment
  Target Customer
Consumer Behavior
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
Graphical Top View
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
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
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.
Marketing Plan
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
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
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
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
Marketing Plan
Promotional Campaign
                       Image Building




        Product
                         Campaign       Positioning
     Differentiation




                          Direct
                         Response
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.
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.
Engage smart people in smart work




      Gone are those DAYS
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.
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
References
 http://www.kkeindia.com/vehicle_wash_systems/
 http://money.outlookindia.com/article.aspx?90024
 http://www.team-bhp.com/forum/indian-car-scene/2797-automatic-
  car-wash-3.html
 http://www.morebusiness.com/templates_worksheets/bplans/printpre
  .brc
 http://www.carwashexpressuk.com/price-list.html
 http://www.docstoc.com/docs/26056793/Car-Wash-Business-Plan
Vanshika
     Vignesh Kumar
    Vikram Agarwal
    Sakthi Nivashan
Venkat Shyamsundar

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Marketing Plan

  • 1. Vanshika Vignesh Kumar Vikram Agarwal Sakthi Nivashan Venkat Shyamsundar
  • 2. Agenda Executive Summary Vision Mission Situation Analysis Segmentation Strategy Pricing Strategy Marketing Program
  • 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.
  • 9. Analyzing Current Trends Managing the Environment SWOT Analysis about the Offering
  • 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.
  • 35. Engage smart people in smart work Gone are those DAYS
  • 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
  • 38. References  http://www.kkeindia.com/vehicle_wash_systems/  http://money.outlookindia.com/article.aspx?90024  http://www.team-bhp.com/forum/indian-car-scene/2797-automatic- car-wash-3.html  http://www.morebusiness.com/templates_worksheets/bplans/printpre .brc  http://www.carwashexpressuk.com/price-list.html  http://www.docstoc.com/docs/26056793/Car-Wash-Business-Plan
  • 39. Vanshika Vignesh Kumar Vikram Agarwal Sakthi Nivashan Venkat Shyamsundar