1.0 Executive Summary
Speedy delivery is a company that offers delivery services to other corporations and organizations. The company provides fast and high-quality services to consumers. Some of the delivery companies including the food delivery corporations encounter challenges such as high turnover and employee call out. It creates a gap for the employees and the company. The company faces challenges in carrying out their activities. It becomes a challenge to hire employees who are competent and meet the professional qualifications of the vacant positions within a short time. Speed delivery seeks to fill this gap in the delivery sector by providing qualified and skilled staff to other corporations. The company offers delivery drivers who can work in the stores during specific hours.
The services offered by Speedy Delivery Company are not yet provided in the delivery industry. Recently, some delivery services have emerged which include Lyft and Uber. These delivery companies aim at meeting the average needs of the customers. Alternatively, Speedy Delivery provides services that will meet the needs of the companies. The delivery services for drivers are not yet offered in the industry. Most companies are relying on these services for their continuous operations. Speedy Delivery has formed a new marketing plan that will integrate other businesses. It will enhance the understanding of the companies on the new services that the company will offer. The purpose of this marketing plan is to eliminate the performance gaps in activities and meet their need of acquiring competent employees on time.
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2.0 Situation Analysis
Speedy Delivery is commencing its first operations in the business industry. The company offers services that are desired by many delivery corporations. Many delivery corporations need highly trained employees who can work in their stores during part-time hours. The companies are looking for employees who can receive average salaries. This market segment will grow at a high rate in the industry because the demand for efficient drivers is increasing. The businesses are looking for these drivers due to the challenges they face when carrying out their operations. Consequently, other businesses will need these services after they observe their efficiency. The population across cities is increasing due to improved housing. As a result, it increases the demand for employees in businesses. Most of the plans designed to improve the efficiency of the businesses lack high qualified employees who are capable of carrying out operations.
2.1 Market Summary
Speedy Delivery has acquired information about the delivery industry. The company has assessed the characteristics of the market and the needs of the companies. As a result, Speedy Delivery has identified the gaps in the market. The information for the market research can be used by the company to establish the preferences of their customers. The company can then meet the needs of the customers for their satisfaction. The company will improve their marketing strategies to communicate with the customers after assessing the information. The brand for delivery services will be established in the market. The demand for the services will increase after the brand has been built in the market.
Target Markets
Sole proprietors or entrepreneurs
Food delivery companies
New companies in the market
2.1.1 Market Demographics
Geographical
The main areas of focus are the densely populated cities in the United States. Speedy Delivery Company will start to carry out their operations in New York, San Francisco, New Jersey, and Boston. Later, the company will carry out their operations in metropolitan and rural areas.
The company aims at meeting the needs of 28.8 million sole proprietors in the United States. These business owners are the company’s target market.
Demographics
The company will focus on men as the primary customers. Approximately 65% of the sole proprietors in the United States are men.
The target market has to be between 30 to 50 years old. This is the average of the small business owners.
The company will target homeowners in the cities. About 77% of the business owners possess homes.
The company will also target any individuals who own a business.
Behavior factors
The companies must enjoy having employees to occupy their busy schedules. The employees can work in shifts to complete all the activities in the company.
The companies spend money on unnecessary labor and inefficient resources.
2.1.2 Market Needs
Efficient customer services to satisfy users. The customer services have to be accurate and timely to meet the needs of the business.
Convenience: The company needs to offer convenient services to satisfy their customers. The company's services must be realistic and practical in the business sector. This is important because many businesses seek services after they solve the challenges but they still recur.
Price-the company needs to set a price that is the same level as when the consumers use their resources. The sole proprietors seek solutions that are alternative to their resources. The company needs to assess the cost of the consumers using their resources and set prices for their services.
2.1.3 Market Growth
Speedy Delivery is among the first companies to venture in a new field in the business industry which is developing at a high rate. The staffing sector in the United States consists of 20,000 staffing companies and more than 15 million employees. The staffing industry contributes $ 150 billion of the gross domestic product of the United States. The staffing industry acquires incomes from various activities such as contract and temporary services. The sector also receives income from recruiting, permanent placement, outsourcing, and consulting on human resource management (American Staffing Association Staff, 2017).
The rates of the establishment of staffing companies are expected to grow in the preceding years. The staffing industries will expand to the metropolitan and rural areas. The awareness of the importance of staffing is increasing in the business sector. The demand for staffing services will increase after the business owners discover their significance in improving their efficiency.
2.2 SWOT Analysis
A SWOT analysis is essential in establishing the strong and weak areas of an organization (Kotler & Armstrong, 2012). After carrying out a study, it was discovered that Speedy Delivery Company has strengths, weaknesses, opportunities, and threats. The company has to face these challenges and maximize their opportunities to overcome the risks. The company has to improve on their weaknesses to enhance their efficiency in the staffing industry.
2.2.1 Strengths
The industry has leaders and employees with competent skills.
The company has a well structured and logical business plan. Their business plan defines all the activities that the employees will carry out to achieve the company’s goals.
The company has a highly flexible working surroundings
There is a high demand for staffing services in the densely populated cities.
Many entrepreneurs around the United States have an interest in staffing services.
2.2.2 Weaknesses
The industry depends on the labor market and the country’s economy
The company does not have adequate capital to carry out the activities in an efficient manner
The company does not have qualified employees who can carry out activities on bookkeeping and financial consultancy
2.2.3 Opportunities
The changes in healthcare laws are affecting employee turnover in the business sector. Companies can decide to acquire services from the staffing industries to reduce the costs of meeting the medical expenses of their employees. It will increase the operations and profits of the staffing sector.
Speedy Delivery has an opportunity of becoming a leading company in the new market. It can achieve the leading position through experience.
The company can connect to various business owners and employees in the country.
2.2.4 Threats
The company will face competition from other companies in other industries that offer staffing services
The current and future government can influence the company’s operations negatively due to the changes in policies
2.3 Competition
Speedy Delivery Company will establish a new sector in the staffing market. Many large companies have been established in the service industry. Speedy Delivery has acquired knowledge and gained experience in the ways they can carry out the operations in the staffing industry. The unique approach of Speedy Delivery will assist them to acquire the leading position in the market. Speedy Delivery exclusively offers delivery services in the staffing industry. The company has set specific parameters that they should meet when providing the services to their clients. It will provide staffing services at an affordable rate.
2.4 Service Offering
The employees of Speedy Delivery Company will complete all the deliveries, and they are insured. The employees have experience in using vehicles and equipment to supply products.
The employees are capable of carrying out in-store activities
The employees can adopt any delivery
The facilities of the company can be used in the last minute. The companies can use the facilities every day
The company guarantees shift services in case the customers give notice within 24 hours
2.5 Keys to Success
The keys to the company’s success include its potential to offer efficient, high-quality, and affordable services to the clients. The company has to provide quality customer care facilities. Speedy Delivery has to establish relationships with their customers. The company can develop at a constant rate and increase profits after fulfilling the conditions for the keys to success.
2.6 Critical Issues
Speedy Delivery will encounter challenges when venturing into the new market. The problems that the company can face include:
Creating awareness in the target market to gain customers to meet the operational costs and generate profits
To enhance proper management of finance and human resources.
Monitoring customer relationships and behaviors by carrying out an analysis. The company will then meet the expectations of the customer.
3.0 Marketing Strategy
The marketing strategy should address factors such as efficiency, timeliness, credibility, reliability, and affordability. The company needs to focus on the target market including the sole proprietors and delivery businesses. The company can design a logical marketing plan to reach their target market and potential clients.
3.1 Mission
Speedy Delivery aims at providing their customers with high-quality staffing services in a timely and affordable way. “We aim at offering high-quality services to meet the consumers’ expectations at a cost-effective way”.
3.2 Marketing Objectives
Sustain a positive impression in the social and business environment
Achieve a constant and reliable development every year
Increase the availability of services in the market segments
3.3 Financial Objectives
Generate a higher return on investment by the third year
Sustain an equitable budget for staffing activities and development costs
Generate profits by the end of the first year
Increase the total income by 25% within the first four years
3.4 Target Markets
The target market can be categorized into two sections. The first group comprises middle-aged and old men who own homes. Some of them could be sole proprietors. Business owners are older than the employees. In 2012, most of the aged individuals owned businesses. The number of homeowners increased from 46% to 50.9% in 2007 to 2012 respectively (Lichtenstein, 2014). The homeowners were mainly the old aged individuals. The second category of the target market consists of young to middle-aged women. These women must own a business. In 2012, 36% of the sole proprietors were women who correspond to the rate in 2007 (Lichtenstein, 2014). The groups in the target market will generate income for the company. Most of the sole proprietors in the United States are aged men and middle-aged women.
3.5 Positioning
Speedy Delivery Company will position itself in the market as a credible staffing delivery facility. The company will position its product by using the experiences of the managers and employees. The company will take advantage of its leading position and apply it in the new target market. The company will emphasize efficiency, low costs for services and proper customer relationships to enhance satisfaction.
4.0 Marketing Tactics
The primary goal for Speedy Delivery Company is to attain the leading position in the industry. The company seeks to offer high-quality products to consumers. The first action in the marketing process is to create awareness of the company’s services (Fogler, Leblanc, & Rizzo, 2014). The company needs to describe the domestic and international goods offered to the consumer.
4.1 Service
Speedy Delivery will provide high-quality services to the sole proprietors who carry out delivery activities. The company has an opportunity in attaining a market leading position in the industry. Speedy Delivery will achieve the leading position by providing quality solutions to the consumers. The current leaders and employees have extensive knowledge in service delivery industry. They have attained background education in business and marketing fields. The current leaders have an experience of more than 15 years.
4.2 Pricing
The pricing strategy will be designed according to the wages given to employees in the specific area. The costs of the clients will be compared to the service expenses. The company will lower the prices of their services below the current price of the competitors. Speedy Delivery will customize the prices for all the sole proprietors access the staffing services. The company generates low profits due to limited income activities. Speedy Delivery can generate more profits due to an increase in income activities and a reduction in administration costs.
4.3 Distribution
Speedy Delivery will distribute their services through advertisement, commerce chamber, and website. The websites and commercials can facilitate the spread of information to a broad target market. In the meantime, the company can use open communication to supply their services. Open communication is essential in establishing customer and company relationships.
4.4 Communications
Speedy Delivery will communicate to the clients through a marketing message. The marketing message will be communicated using different techniques. The main techniques for delivering the message include website and local commercials. The customers will acquire knowledge about the services offered by the company. Consequently, the interest of the customers on utilizing the services will increase. Speedy Delivery can use local groups such as a commerce meeting to communicate to the target market. It will enhance the company's credibility, but it has to meet the needs of the target market (Baines, Fill, & Page, 2010) . The company will not use its time or effort in establishing a target group and facilitating open communication with the customers.
4.5 Marketing Research
Employees in Speedy Delivery Company are highly-skilled and have established connections with other sole proprietors. The employees have experience in the staffing industry. Speedy Delivery can get immediate feedback from sole proprietors through the use of websites and commerce chamber. The company will identify the appropriate methods of proving services within and outside the country. Speedy Delivery can make adjustments on the services and prices after receiving feedback from the customers.
5.0 Financial
This section focuses on the financial analysis of marketing activities in Speedy Delivery. There is an overview of break-even analysis, sales, and expense budget.
5.1 Break-Even Analysis
The table below (table 1) indicates that the company needs $ 57090 to break even with the finances.
Table 1
Fixed Costs (per month) | |||
| Employees wages | |||
| Rental expenses | |||
| Sales | |||
| Utilities | |||
| Premiums | |||
| Taxes | |||
Net Fixed Costs=$47575 | |||
Variable Costs (per month) | |||
| Miscellaneous expenses | |||
| Overtime salaries | |||
Net=$9515 20% of net expenses | |||
5.2 Sales Forecast
Speedy Delivery perceives that the sales results presented in the table below are conservative. It is estimated that the sales increase by 25% after every year. The information presented in the is sales for every region. The data is presented in the table for easier reading.
5.3 Expense Forecast
The cost budget will assist Speedy Delivery to make predictions and changes in the expenses. There will be a comparison between the profits and total income that is generated. Speedy Delivery will take a correction action in case the expenses are more than the total revenue. The company will make modifications as indicated in the marketing plan. It will be easier to track the finances of the company.
6.0 Controls
The purpose of the marketing plan is to assist Speedy Delivery in achieving its goal of carrying out operations while making profits. The areas that will be monitored include:
All source of total income –per month or year
All the costs per month or yearly
Meeting customers’ needs
6.1 Implementation
The milestones assist the company in establishing the marketing programs. The company needs to meet time requirements to reduce unnecessary costs.
| Milestones | Start Date | End Date | Budget | Unit |
| Completing the marketing plan | 1/1/19 | 1/2/19 | $ 0 | Marketing |
| Developing the website | 1/3/18 | 1/4/19 | $ 15,000 | Marketing |
| 1 st Advertisement campaign | 1/4/19 | 1/5/19 | $ 2,756 | Marketing |
| 2 nd Advertisement campaign | 1-5/2019 | 1/6/19 | $ 3,478 | Marketing |
| 1 st client repeating | 1/7/09 | 1/8/18 | $ 0 | Marketing |
| Achieving development goals | 1/8/19 | 1/10/19 | $0 | Marketing |
| Recognized market leader | 1/11/19 | 1/12/18 | $0 | Marketing |
6.2 Marketing Organization
The manager will assess and direct all the marketing activities in the company. The members of the marketing department will receive orders from the managers.
6.3 Contingency Planning
- Challenges and Risks
The issue of acquiring a reputation for improving the company
Acquiring highly skilled employees
Maintaining the leading position using the cost of services and employee benefits
-Worst Case Scenarios
The company does not acquire adequate purchases in the industry to meet its financial needs
Possible laws suits can lead to the closure of the business
References
American Staffing Association Staff. (2017). Introduction: A vital Workforce that Supports the Economy. Retrieved from americanstaffing.net: https://americanstaffing.net/staffing-industry/workforce-solutions/
Baines, P., Fill, C., & Page, K. (2010). Marketing . Oxford: Oxford University Press.
Fogler, S. H., Leblanc, S. E., & Rizzo, B. (2014). Strategies for Creative Problem Solving: Third Edition. Prentice Hall.
Kotler, P., & Armstrong, G. (2010). Principles of marketing . Upper Saddle River, N.J: Prentice Hall.
Lichtenstein, J. (2014). Demographic Characteristics of Business Owners. Washington: Office of Economic Research of the Office of Advocacy.
