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Extending the service portfolio would be essential for a business to succeed in the long run. Max Garage
which is a Dubai based entity would be an ideal company to go for a mobile car repair systems.
The vehicles would be called Mechanist and would arrive at the customers location during and
The Mechanist would have all the necessary equipment and expert labor who would be able to repair
the car with highest level of efficiency. The Mechanist would also be able to haul the car and an
affiliation with a car rental company would also mean that the customer would be provided with a
replacement car when the car is repaired. The main segment would be the white collar job holders in
the UAE. There would be strong focus on service excellence and the development of customer loyalty.
This would be the basis of the development of differentiation. The promotion and relevant advertising
would be based on the social media and other low cost methods to ensure that financial control is
exercised.
Introduction
Introduction of new products or services is essential in ensuring that a company is able to cater to the
needs of the market. A product line extension can be critical for the business to meet the needs of the
changing market. This report will focus on identifying a car garage to provide online booking for car
repairs. It would also have a car repair van which would be able to ensure that the customers get the
support they need. Further details and assessment will be conducted in the due course of the report.
Max garage is one of the leading garages in the United Arab Emirates for the last 40 years. They have
been able to establish themselves as firmly as one of the key players in the market. Their services
include car painting, engine repairs, vehicle detailing etc. The company has extensive expertise in
ensuring that all the vehicle related services are provided to the customers. The company is in a good
position due to its brand image and the fact that it has been able to develop some strong relationships
with other types of suppliers. These types of suppliers would include dial a battery etc. The company is
also offering genuine parts for their customers. They also have a website from where the orders can be
placed and the customers can get appointments for the service of their cars[ CITATION Max20 \l 1033 ].
The objective of the marketing plan is to introduce a new service for their customers. The investment on
the new product would be extremely high this would mean that the focus would always be on the issue
of the return on investment and recovering their costs. Due to the volume of the investment marketing
plan would recommend that the costs would be recovered within the first two years of operation.
Situational Analysis
The external environment would play a massive role in the success or failure of a business venture. The
external environment would include the social, legal, economic, political, technological, competition etc.
each of those factors would be discussed in detail. Each of the factors would be given a rating on a scale
of 1-10. With 10 being the most favorable while 1 being the least favorable.
Technological
This is one of the most important factor as far as the operations of Max Garage is concerned.
they are operating in an environment where the changes in technology can be critical for the
businesses. A new engine of a car might mean that there can be some serious shift in the way it
can be managed. A new machine can help to resolve some previously problematic issues. The
technological environment is one of the best in the UAE. This is due to the fact that the
government has invested millions in ensuring that the infrastructure and the availability of
technology for businesses across the emirates. This would be essential to ensure that Max
garage would have the launching pad to invest in a new technology[ CITATION Uni20 \l 1033 ].
Economic
The income levels of the people would speak volumes about the demand pattern. One of the
key aspects of economic downturn would mean that there can be some fall in customers for
some of their products while there can also be a rise in some of their services too. For example a
fall in economic growth might mean that less people would go for car detailing, or customizing
their cars while it would also lead to increase in the sales of Max garage due to the fact that the
customers would have less funds to invest in a new car and would have their old cars fixed.
Thus, the economy would have some mixed impact on Max Garage[ CITATION Uni20 \l 1033 ].
The political environment helps a business to succeed in a market. This is due to the fact that
political turmoil results in massive loss to the economy. The economic condition suffers. The
UAE on the other hand has one of the safest political environment. The chances of political
turmoil are limited. This gives the confidence for the companies to thrive. Thus, the assessment
Social
The acceptance of the society would always have a huge impact on the demand pattern of a
business. The UAE society accepts the car repairs and does not hold any issues against it. There
is a clear benefit for the company as far as their operations are concerned. Thus, the assessment
Competition
The intensity of rivalry can be potential game changer. This is due to the fact that this is a
market where there are local suppliers who are offering the service. The product is sometimes
shopping product when the customers are coming for a specialized service. The competitor
advances can be challenging as far as the demand is concerned. . Thus, the assessment rating
would be 4/10.
SWOT analysis
Strengths Weaknesses
Financial Resources
Customer Base
Opportunities Threats
Emirates Competitors
New Service
The New product would include a vehicle repair system which would be equipped handle most of the
car repairs. This truck or vehicle would be called Max Mechanist. The Mechanist would be a vehicle
which would go the customers premises and fix their cars. The service area would include in all the
different emirates. The Mechanist would include all the necessary equipment’s to weld, repair and
ensure that the car can be ready for use in no time. The Mechanist would ensure the customers can
have their car repaired in the same instant. There can be some issues however, which would mean that
the customers need to go for an urgent commitment and need to reach a particular place. The
Mechanist would also be aligned with a rent a car service. This would mean that the Mechanist would
reach the location where the customer wants and the rent a car would be given the customer. The
customer would then continue their journey with the rent-a-car while the Mechanist would work to
ensure that the car is repaired. The company would be able to earn money not only by offering a
replacement car for rent and also the service for repairing the car. A customer would be able to book
this service through the application or can simply call the hotline number which would send the nearest
This new service would be an ideal service for Max Garage due to the fact that the customers would be
able to use this service for continuing their schedule. Furthermore, they can also book the Mechanist at
12.00 AM and have their vehicle ready when they are scheduled to go to work in the morning. This
would improve the offering of the company in the holistic sense. The pandemic can also serve the
company to ensure that the customers would not have to come to the garage rather the Mechanist
Marketing Strategy
This section include the marketing strategy which must be followed to ensure that the business can see
success in its operations. Each of the aspect of the marketing from a strategic perspective would be
explained in detail:
Identification of the target is essential to ensure that the service offerings would be catered to the needs
of the customers. The main target market would be the busy individuals of the corporate world. This
would include the white collar workers, entrepreneurs, working mothers, elderly. The income group
would be middle to high to ensure that the company is able to charge premium price. Each of the
segment would of the target market would be provided with different service mix.
White collar workers and Entrepreneurs: this would be the most important segment for the
business. This would mean that these people would be busy with work and other commitment
that they do not have the time to go to the garages. They would be offered to book the services
of Mechanist at any hour. They would be able to use the time when the car is parked to have
their car serviced or have the repair done at a time when they don’t have to leave their cars.
They would be offered the option of the rental car services. They would be offered a year
Housewives: they can also be an ideal target market due to the fact that they might not want to
visit the garage as they would have many household duties. Taking care of the children would
mean that they cannot find the time. The Mechanist team can ensure that the service for their
Retired people or elderly: this would also be another segment for Max Garage due to the fact
that they might not have the energy or see the need to wait long hours for having their cars
serviced.
Health Conscious Customer: this can be for the short term only. The pandemic might mean that
the health conscious customers might not to visit the garage and would rather book the service
The positioning strategy would be focused on best quality and high price. All the main marketing
communications would have to be used to give an impression about the best of service which would
mean that the company would be able to charge higher prices. The market offering is limited to the fact
that the customers would be getting the highest quality. It would be a perfect match with the existing
portfolio due to the fact that the company is already offering some of the exclusive services to its
customer base. Even though this service is not being offered currently in the United Arab Emirates. The
company first needs to ensure that it is able to enjoy the first mover advantage. The main aspect
through which Max Garage can differentiate is through service excellence. It is a natural progression that
new competitors would be coming into the market. The company would be offering the best of level of
service which would help the company to develop loyal customers. Long term service contracts would
also help the company to ensure that they can retain their customer. The use of high switching costs
Product Strategies
The services offered through Mechanist would be used to ensure that the augmented product can be
targeted. This would be through several aspects of product and service development. The core product
would include the service itself which would mean that the customers would be able to have their cars
repaired. The actual level of product would reach by ensuring that the service professionals are on time
and are skilled. There would also be a clear professionalism which would be prevalent in the service
being offered. This would include a uniform for the service providers. The augmented product level
would be reached in many different ways. There would be warranty for each of the service which would
be provided. For example if the air conditioning system of a car was repaired the client would get a
guarantee for it. If the customers would face an issue they would be repaired at no costs. This would
help the company to reach out the augmented level of the product[ CITATION Kot12 \l 1033 ].
The brand name is an ideal due to a number of reasons. Firstly the name itself would give the customers
the idea about the fact that it is something beyond a typical garage. This name itself says a story which
time.
Customer Location This maintenance service like oil All Segments
time.
Pricing Strategy
The positioning statement would mean that the business would be offering one of the best service.
There would always be a target for service excellence. This would ensure that the customers would be
getting a premium service. Thus, the prices would be on the higher side. The approach would be Cost+
Markup approach. There should also be a concern for the fact that there would be considerable
investment in the venture and the first mover advantage must also be exploited[ CITATION Kot121 \l
1033 ].
Distribution Strategy
This is perhaps one of the most challenging aspect. The decision to ensure that the number of
Mechanists must be used to get the best of service. The service area would be limited to Dubai only in
the beginning with 15 Mechanists catering to the different areas of Dubai. However, there are strong
plans to ensure that the service area can be improved[ CITATION Kot121 \l 1033 ].
Promotion strategy
This is a new concept in the United Arab Emirates. thus, there is a strong need to make sure that the
customers are aware about the services which are on offer. Thus, for the first six months or so the focus
would always be on the informing the customers about the service. This would simultaneously run with
advertising, sales promotion and personal selling. There would also be a dedicated public relation whose
job would be to enhance the image of the company [ CITATION Kot12 \l 1033 ]. Some of the ways the
Advertising: the cost is always an issue. In these difficult times it is always a pragmatic decision
to maintain the leanest model possible. Advertising can be considered a sunk cost. The rise of
the social media can be a welcome turnaround for Max Garage and Mechanist. Advertising
through the social media can be an ideal way which can be used to ensure that the brand image
their experience in the social media. This would work as a word of mouth and ensure that there
Personal Selling: this is one aspect which would be used to ensure that the different agents are
hired on a commission basis. They would be going around meeting car owners at gas stations,
car wash service centers and give them an offer of getting membership at Max Garage. This
would ensure that the agents would explain the customers and try to sell in a personal capacity.
This would help to spread the word of mouth without having to bear huge costs [ CITATION
Kri16 \l 1033 ].
The company would dedicate part of its profits to Bait Al Khair society to ensure that the development
of the poor and needy is always forwarded. In the long run the company would offer free car repairs to
the needy of the society. For example there are people who have a car but do not have the funds to
repair their cars. These type of services would be offered to ensure that the poor and needy of the
Conclusion
Mechanist can be an ideal service line extension for Max Garage. However, there are challenges ahead.
The government certification and the finance costs could be a major hurdle. The dwindling economy
might also mean that the chances of recovering the investment can be a challenging aspect for the
Gertner , M. I. (2013). The Value Chain and Value Creation. Advances In Management, 6(10), 1-4.
Kotler, P., Keller, K. L., Hassan, S., Baalbaki, I., & Shamma, H. (2012). Marketing Mangement . Pearson.
Lorette, K. (2016). The Importance of Marketing for the Success of a Business. Retrieved from
www.smallbusiness.chron.com: http://smallbusiness.chron.com/importance-marketing-success-
business-589.html
(2020). United Arab Emirates Confectionery - Market Assessment and Forecasts to 2024. GlobalData.
emirates-confectionery-market-assessment-and-forecasts-2024