Marketing Plan for Jos. Fredrick &Sons - Research Paper Example

Marketing Plan Sub Page Introduction: 2 The Budget: 2-3 Actualizing the Plan: 3 Plumbing: 4 Commercial Plumbing Services: 4 Residential Plumbing Services: 5-6 Heating and Electrical Services: 6-7 Air Conditioning Systems: 7-8 Reference: 9 Introduction This marketing plan for Jos. Fredrick &Sons offers in details what the company needs to achieve, and the necessary actions that will ensure that the company achieves their marketing objectives. It is a one year plan; whose strategy puts into account the three major services offered by the Company, i.e. residential and commercial plumbing, heating and air conditioning systems. The targeted budget for the marketing plan is $70,000, which will be shared amongst the list of specific actions that forms the marketing program. The plan is intended at ensuring a sales growth by 40% annually. The Budget From the targeted $70,000, the marketing system, whose validity will determine the accuracy of the budget, will depend on portfolio planning, i.e. the coordinated planning of the individual services, the 80:20 rule, which makes the plan clear, concise and clear by concentrating on the 20% of services, and on the 20% of the customers to account for 80% of the volume and 80% of the profit, and lastly the 7 P's program that focuses on Product/services, Place, Price and Promotion, Physical environment people and the Marketing Process. Since the three broad services offered by Jos. Fredrick & Sons are the company's pillars, the budget will need to be shared equally and a small portion set aside to oversee the implementation of the marketing plan as follows; Services to market Allocated Amount ($) Plumbing- 21,000 (A) Commercial ($10,500) (b) Residential ($10,500) Heating- 21,000 (a) Commercial ($10,500) (b) Residential ($10,500) Air Conditioning Systems- 21,000 (a) Commercial ($10,500) (b) Residential ($10,500) 10% of the total budget to oversee the plan 7000 Total Budget 70,000 Actualization of the Plan The company should maintain the slogan "Our Ability is Your Security", as it is well known by the intended market. However, much more should be done in respect to the wording "leave the repairs and regular maintenance to the pros" into a more eye catching one such as "the man in town will sort you". This will no doubt go a long way in the company's market positioning as it will instinctively arouse interest in the customers who will want to experience the change that the "new man in town" is out to offer, which could be different from what the company has offered in the last six decades. Such a small change in the wording could mean a lot, and the things that the company would require to do is to inscribe those words in their invoices, paint it in a fancy way on their website, or paint their service vehicles with those words in odd colors that will have a feel of odd works such as plumbing. There should also be some bumper stickers with the Company's name, logo, and the words "the new man in town will sort you". The costs for such activities will go to the 10% budget provision as they are aimed at overseeing the success of the plan. Plumbing Since plumbing is one of the three major services offered by the Company, considerable efforts should be put in marketing the service. With a $ 21, 000 portion of the entire plan budget going towards plumbing, there should be projected sales growth of not less than 40% in both the commercial and residential services by the end of the targeted year. Commercial Plumbing Services The company has $10,500 for marketing the commercial plumbing services. In that respect, the company will have enough revenue to target businesses whether operating from one location, or in multiple markets. Jos. Fredrick & Sons Company will be able to tailor a program that will meet all commercial plumbing and drain cleaning needs. This will be made possible by the staff who the customers will be informed of their skills and qualifications, as part of the marketing strategy, and plumbers who are able to handle all plumbing problems as a single package i.e. from dripping faucets to sewer pipe replacements. The aim of such an all-inclusive package will be to minimize the customers' need to have many workers working on different duties, all under pay, and thus spending a lot of money and time, to a package that will offer all the customers' needs at a go, which will save on time and minimize their costs. Such benefits will undoubtedly attract more customers. As part of the marketing plan, a 10% discount should be given to any new customer who calls for any commercial plumbing work, drain cleaning, high pressure water jetting underground leak and line detection, video camera pipe inspections, grease trap as well as liquid waste pumping, protection of backflow, programs aimed at automated drain care and pipe replacements and repairs. A considerable amount of money should be used to pay the media for adverts to that effect Residential Plumbing Services Rather than the Company boasting of the many years they have been in business, they should proactively use the $10,500 allocated as part of the entire budget to cater for markets in residential niches that should go to the plumbing services. There should be a change in their way of advertisement that currently focuses more on their licensed and registered plumbers who are known for their "personal touch", to a more creative approach that focuses more on the services they offer, as that is what would make the potential customers want to offer them a chance. Similar to the marketing strategy for commercial plumbing services, a 10% discount should be given out to any customers who call in for residential plumbing work. Since the residential market is more sensitive, it will be imperative to capture that in the plan and therefore spend some money on security reassurances. The best way would be to have an insurance cover that stands for anything broken, or lost during work in progress. It will be a small portion of expenditure that will definitely see an increase in annual sales, as no customer would resist an offer where he/she stands a chance of losing under no cost. By building trust with home owners, a significant increase in sales will be acquired as they call for their installations, repairs, and replacement needs, which will include sewers and drains, faucets, toilets, sinks, showers and tubs, waterlines, disposers, pipe works, dishwashers, septic tanks and water heaters. More advertisements should be done over the media on the company's response to emergency cases, and their availability 24 hours a day. Customers should also be made to feel appreciated a new face in the public relations department, which should carry a portion of the budgeted money in adding salaries, and other financial incentives for persons in that department who are at a better place to assure clients on how fast the Company professionals deliver. More money should also be used in staff uniforms and badges that should be conspicuous enough to match with the company's vehicles. The customer should also be made to know that all the staff at his/her disposal is properly insured to enhance the company's corporate image. Heating and Electrical Services New marketing tactics for heating and electrical services should be put, that will be in line with the budgeted $21,000. Jos. Fredrick & Sons should spend about 50% of the $21,000 in seeking for franchises and concessions with popular heating and electrical appliances companies. The name of the franchised company should also appear on the invoice as an associate of Jos. Fredrick & Sons. This will boost client confidence on the company's ability to handle electrical needs. However, the new company that they put aboard must not be put in such a way that they benefit on the expense of Jos. Fredrick & Sons. They should only appear as sister companies where the handling of the marketing strategies is left entirely to Jos. Fredrick & Sons. This will not only maintain the company's reputation, but will take the company a long way in ensuring an outstanding growth in sales as the customers will feel confident in the company's electricians whose work will be trusted to be done by reputable professionals as well as warranted work. The budget for commercial heating and electrical services should be handled separately, but their outcomes should be analyzed comprehensively. This will be aimed at ensuring that new services are introduced which will boost the already existing ones. Such services should be more towards conventional gas and electrical water heaters that requires a lot of maintenances and which will thus mean more revenue for the company. The company should therefore spend money (about 25%) on companies that sell water heaters, so as to have customers purchase them through Jos. Fredrick & Sons, or to have the customers hire Jos. Fredrick & Sons to install the heaters once they pick them from their suppliers. The marketing plan for Jos. Fredrick & Sons will be more productive, if the company looks into more sophisticated heating appliances such as the tank-less heaters, whose life expectancy is 15-20 years, as opposed to the conventional water heaters that last about 11 years. The trick will be to have the customers purchase the long lasting ones, which will require more years of servicing and maintaining thus translating to more business for Jos. Fredrick & Sons. Since the company relies more on maintenance than selling, they should spend more money on franchises with those companies that manufacture tank-less heaters as they are considered more energy efficient than conventional ones, a fact that will have more customers attracted to purchase them. The company should also spend about 20% of the $21,000 in the media for what would be called "the smart boy's safety tips", which would appear at the bottom of the television screen once in a while, or at the margins of the newspapers with tips such as, "never store paints, solvents or combustibles near the heater unit to keep away the risk of fire". Air Conditioning Systems With $21,000 at their disposal, the company should develop a plan that captures the need for heating, air conditioning and total environmental control in the homes as well as in commercial areas. Taking advantage of the fact that the company has been known for decades for their top technical professionals, trust and total reliability on Jos. Fredrick &Sons would be the most important aspect of marketing in this regard. The Company should seek to maintain their reputation for systems maintenance and good service. In order to increase their annual sales by the projected 40%, the company needs to do the following; As opposed to having the customer purchase heat pumps and air conditioners, the company should seek for stocking rights from the manufacturers of such items like Carrier and Trane that are reliable and dependable by the customers, so that the company will sell, install and service them all within one package. This should apply for both commercial and residential markets. The same should be done for furnaces i.e. gas, oil, propane, or electrical furnaces. A sales promotion that will not exceed 50% of the $21,000 should be organized, whereby the winner gets the installation and maintenance for the systems done for free for a whole year. In their quest for dedicated top-quality people to join the company, the Company should have a plan to take about ten students from poor families who are interested in studying electronic engineering, sales or general office management to universities and colleges, and pay 10% of their fees, as well as organize for funding from other organizations, with the aim that the company will employ at least one of the ten students upon completion of the course. This will go a long way in enhancing good public relations with the potential customers. The plan should have all the above listed activities done concurrently, so as to have a tremendous effect in the market. It will also be practically easy to measure the overall results that the plan will produce. It will also be easy to implement the plan because it is specific, measurable and has concrete plans that can be tracked and followed up at no extra cost since the plan has set aside 10% of the total marketing plan budget to oversee its success. Reference Jos. Frederick &Sons Retrieved 20th August, from http://www.jfrederickandsons.com/ Read More