Five-Year Marketing Plan

Kasem Jabary
Professor Meda
MKT 3300
October 20th 2015

FIVEYEARMARKETINGPLAN
ElephantTrunk

TableofContents
ExecutiveSummary
CompanyDescription
AtElephantTrunk,itprovidesrentable,reusablemovingcontainersandsupplies
forDallasFortWorthareamoves.Thewayitoperateisthatcustomersmakecallsor
orderonline,theydecideuponwhatpackageand/orproductstheywant,itdelivers,the
customerspack,move,andunpack,thentheywillcomeandpickuptheproducts.
ElephantTrunkisecological,economical,andeasy.
Tothecompanysknowledge,currentlyacrossDallasFortWorthareaitresidesasthe
onlybusinesstoofferitsuniqueservices.Itsaffordableandreliableservicehas
promptedwidespreadacceptanceinvariousmarkets.ElephantTrunkbelievesitsrentable
reusableboxesareamongthesafestwayformoves.Thecompanyalsobelievesits
rentablereusableboxesarefarmoreadvancethancardboardboxes.

StrategicFocusandPlan
Mission
The mission at Elephant Trunk is to provide a fast easy and
transparent process for the ideal consumer who moves. It believes that
superior customer service and overall quality is only obtainable by setting a
standard that other movers in the area cannot match. Its made a
commitment to providing high quality that customers expect but have not
received in the past. With clean reusable boxes, it believes its promise is to
be kept.

Goals
For the coming five years Elephant Trunk seeks to achieve the
following goals:
Non financial
1. Always do what we say we are going to do.
2. Always do what is in the best interest of the customer.
3. To expand business in new markets and consumers.

4. To partner with 10 new apartment complexes by the end of the

year.

5. Partner with realtors to provide our services.

Financial goals
1. Increase revenue year over year
2. Simply decrease cost of all overhead expenses
3. Improve margins

Core competency and sustainable competitive Advantage

In term of core competency, Elephant Trunk seeks to provide a
unique style of moving. It looks to do this by providing customers
ecological, economical and east transparent process to move from
location to another. The company will work closely with key advisors to
ensure it builds an integrity base.

SituationAnalysis
This situation analysis starts with a snapshot of the current
environment in which Elephant Trunk finds itself by providing a brief
SWOT (strengths, weakness, opportunities, threats) analysis. After this
overview, the analysis is probes ever-finer levels of detail: industry,
competitors, company and consumers.
Internal Factors
Strengths
Weaknesses
Management
Experienced and
Small size can restrict
entrepreneurial
options
Management
Offering
Unique moving
Many moving
service
companies
Marketing
No awareness or
business recognition;
Restricted only to
Dallas DFW
Personal
Small Company/ few
Big issue if employees
employees
leave
Finance
Excellent growth in
Limited resources may
sales revenue
cause lack of
opportunity growth
compered to
competitors
Manufacturing
Supply high standard
Lack of distributions
reusable containers
R&D
Continuing to expand
Lack of continuous
product lines
research
SWOT Analysis

Below shows the internal and external factors affecting the

market opportunities for elephant Trunk. Stated briefly, this SWOT
analysis highlights the great strides taken by the company since its
products and service first appeared in the market.

External
Consumer/Social

Competitive
Technological
Economic

Legal/Regulatory

Opportunities
Increase in population
in Dallas. Home
buying. Fast easy and
transparent moving
Distinctive moving
containers
On the go order
Cost of moving is
expensive. With
rentable/reusable
containers. You can
save money
Gas prices and
regulations

Threats
The different types of
households introduced
Not well known type
of business
None
The cost of container
maintenance

Insurance
responsibilities

Industry Analysis: Americans who move

According to the US census 2012-2013 11.7% represents the
number of Americans who moved annually. In other terms 35.9 million
or 15.3 million households move each year. Of all Americans 9.8%
move within state and 1.55% move out of state. The single greatest
factor that represents these moves is consumers who wanted a better
home/ apartment at rate of 14.8 %. There are also hundreds of other
reasons why people move. Elephant Trunk looks at the industry to
target those people who want better homes or apartments. That is
where main focuses reside.
Competitor Analysis: The moving Market
The moving market in broken down to 4 submarkets that are
moving consumers. The number 1 market that is targeted is individuals
make up 44% of all moves, corporates make up 36 %, government
and military make up the rest. Elephants Trunk primary consumers are
individuals. With over 7,000 companies operating at 13,900 locations

primarily providing moving and storage services for households, we

seek to tap into that market in and making our services available.
Company Analysis
The owner that cofounded Elephant Trunk has 40 years of
experience in the moving/shipping business. He played a key role in
the management of the 1-2-3 shipping company. He is being advised
by a highly seasoned group of business professionals, who have
extensive understanding of the requirements for new business and
product development.
The company now uses a single outside producer with which it works
closely maintain the consistently high quality required in its reusable
containers. The greater volume has increased efficiencies, resulting in
a steady decrease in cost of goods sold.
Customer Analysis
In terms of customer analysis, this section describes (1) the
characteristics of customers expected to use our rentable reusable
container services and (2) the cost increase of moving.

Customer Characteristics-Demographically. Consumers that

represent a broad range of economic backgrounds are in general
purchase-moving products. Rentable reusable containers are
typically purchased by consumers whose income is around
$30000 or less. These consumers represent 50 percent of people
who move.
The household using our services has one to three people in it.
Among them are single people. Households whose kids are
leaving to college and moving out primarily purchase rentable
reusable boxes. This also qualifies for households in apartments
complexes as well.
Because reusable boxes offer a quick way to pack your belongs
and move, the products biggest users tend to be those who rely
on be transparent. Rentable reusable boxes pricing also means
that its purchasers are skewed toward people with less income.
Buyers range in age from 20-55 and often live anywhere where
colleges and apartments reside.

The cost increase in moving. Coverages of shipping and moving

issues in the U.S is often misrepresented. Traditionally the cost
of moving include cardboard boxes which can be pricey. For
instance you would need a truck to also move your products in
addition to cost that is incurred already. Rentable reusable boxes

are price friendly and much more durable then cardboard boxes
will be. The price difference is the major factor because
cardboard boxes cant be used again versus containers can be.

MarketProductFocus
This section describes the five-year marketing and product objective
for Elephant Trunk and the target markets, points of difference, and
positioning of its rentable reusable boxes.
Marketing and Product Objective
Rentable reusable containers marketing intent is to take full advantage
of its brand potential while building base from which other revenue
sources can be mind both in and out of the moving supplies business.
These are detailed in four areas below:

Current markets. Current markets will be grow by expanding

brand and idea of rentable reusable containers at the consumer
level will grow current markets. In addition, sales will grow by
increasing awareness and repeat purchases, thereby leading to
the more revenues causing net income to increase.

New markets. By the end of year 5, the rentable reusable

container business will be expanding to a total of 15 new
metropolitan areas, which will represent 65% of all major U.S
metropolitan markets. This will represent 70% of sales in all
rentable reusable container stores.

New product. Rentable reusable container presence will be

expanded all through out the area by the concept of
convenience. The idea of rentable containers for moving will
expand at a rapid rate.

Target Market
The primary target market for rentable reusable boxes is
apartment resident. Where often the individuals tend to move due to
lease terms and other factors. These customers are highly more likely
to move than a consumer that owns a home. Apartment residents are
more prone to move due to their nature of living. At Elephant Trunk
also believes the market of those who are moving to college is a target
market. Each and every year this market grows based on people going
off to college.

Points of Difference
The Point of Difference characteristics that make Elephant Trunk
rentable reusable boxes unique relative to traditional cardboard boxes
fall into these important categories.

The unique service and convenience. No known competitor in

the DFW area offers rentable and reusable containers for moving.

Price Difference-Renting a rentable and reusable containers are

far more cost friendly than the traditional cardboard boxes. As far
as prices, rentable reusable boxes are half the cost of cardboard
boxes. As far as that goes, the time saving is the biggest factor in
moving. In one easy step the customer just has to move their
belongings.

Positioning
In the past people who moved have been either costly and time
consuming,. Elephant Trunk pairs both characteristics to drastically
improve them. It set about to change consumer perspective that
moving is now more affordable and less time consuming based on
efficiency.

Marketingprogram
Product Strategy
Product -At Elephant Trunk it provides five packages based upon
the amounts of bedrooms and time frame of your moving. The five
packages are one bedroom for one-two weeks, two bedrooms for onetwo weeks, 3 bedrooms one-two weeks, four bedrooms one-two weeks
and five bedrooms for one-two weeks
Unique services- from the ordering to the delivery of boxes
Elephant Trunk is extremely easy, transparent and convenient. As the
orders are entering their systems, they will have your rentable
reusable boxes at your doorstep the very next day. Within twenty for
hours of entering your order, the boxes would be at your doorstep and
ready to go. If you need a shipping company references to move your
products, its database will provide you with the best match for your
move. As always, convinces is the key at Elephant Trunk.

Equipment- Elephant Truck prides its self on cleanness of its

equipment. After it receives the rentable reusable boxes back form
customers, it is inspect and sanitize to ensure it meets Elephants
Trucks standard quality of equipment. Every order is inspected to make
sure boxes are safe and ready for use before it ever makes it to the
next customers doorstep.
Price Strategy
Elephant Trunk is prices are set at a competitive rate, with only
one of a kind business in the DFW area, its duty to ensure prices are
still reasonable with the market. As compare to cardboard boxes,
rentable reusable boxes are far more affordable.
Promotion Strategy
Key promotion moving discounts for first time users, apartment
complexes and new homebuyers.
New customers- new customer will qualify for discounts on certain
packages that they choose to go with. This in turn will cause Elephant
Trunk to establish customers and create referrals.
Apartment complexes- because this knitch market tends to move a
lot, this will create a key selling point. At Elephant trunk, it believes
apartments tenants will take advantage of our products.
New homes- partnering with new and existing homeowners can
generate new customers by

Partnering with realtors to offerings new customers its services at

a discounted rate
New home owners
Apartment tenants

Place (Distribution) Strategy

Elephant Trunk distributes its products through online ordering
and in store retail. The customer has the option to also call in and
place an order. Theses various strategy give the customer to order our
products from these three-distribution channel.

FinancialData&Projections
Past Sales Revenue
Historically, Elephant Trunk has had a steady increase in sales
revenue since its introduction in 2010. In 2015, sales jumped

spectacularly, due largely to new promotion strategies and customer

acquisition. Sales have continued to rise.
Five-Year Projection
Five -year financial projections for Elephant Trunk appear below.
These projections reflect continuing growth in number of packages
sold. In addition it also details the actual unites sold. This plans
forecasts packages sold and resulting in net sales. It also details gross
profit and operating profit, which is critical to a businesses success.

Financia
l
Element
s
Package
s sold

Unites
sold

Actual
2015

Actual
2016

Actual
2017

Actual
2018

Actual
2019

Actual
2020

200

400

600

800

1000

1200

1400

Net
Sales

$5000

$10,00
0

$15,00
0

$20,00
0

$25,00
0

$30,00
0

$35000

Gross
Profit

$2,500

$5,000

$10,00
0

$15,00
0

$20,00
0

$25,00
0

$30,00
0

Operatin $2,000
g Profit
(Loss)

$3,000

$5,000

$8,000

$12,00
0

$15,00
0

$20,00
0

Organization
Elephant Trunk present organization appears below. It shows the
four people reporting to the president. Below this level are both the
full-time and part-time employees of the company.
The Elephant Trunk Organization

Board of
Directors

President &
CEO

Director
Operation

Vice
president
Marketing

Director
Finance &
Admin

Director
Sales

At present, Elephant Trunk operates with full time and part-time

employees. The full time staff augments key positions within the
company. As the company grows and operations expands it will add
more employees to various positions.

ImplementationPlan
Introducing Elephants Trunks rentable reusable boxes to new
markets is a complex task and requires creative promotional activities
gaining consumer awareness to try its services. Currently it resides
only in one market in which, it project to enter 15 new markets by

2021. The anticipated rollout schedule to enter these new metropolitan

markets appears below.
Year
Today (2015)
Year 1 (2016)
Year 2 (2017)
Year 3 (2018)
Year 4 (2019
Year 5 (2020)

New Markets
Added Each year
1
2
4
5
2
1

Cumulative
Markets
1
3
7
12
14
15

The entrance to new markets each year will vary greatly due to
the diversification of the region. Entering a market (College town)
could impact the volume of our services in many different aspects.

EvaluationPlan
Monthly sales target and customer acquisitions have been set for
Elephant Trunk for its current metropolitan area. Actual sales will be
compared to target sales in addition to marketing programs. It will also
evaluate and modify to reflect the unique factor that affects its longterm goals.