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Confidentiality Agreement
The undersigned reader acknowledges that the information provided by _________________________ in this marketing plan is confidential; therefore, reader agrees not to disclose it without the express written permission of _________________________. It is acknowledged by reader that information to be furnished in this marketing plan is in all respects confidential in nature, other than information which is in the public domain through other means and that any disclosure or use of same by reader, may cause serious harm or damage to ________________________. Upon request, this document is to be immediately returned to _________________________. ___________________ Signature ___________________ Name (typed or printed) ___________________ Date This is a marketing plan. It does not imply an offering of securities.

Table Of Contents
1.0 2.0 Executive Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 Situation Analysis . . . . . . . . . . . 2.1 Market Summary . . . . . . . 2.1.1 Market Demographics 2.1.2 Market Needs . . . . 2.1.3 Market Trends . . . 2.1.4 Market Growth . . . 2.2 SWOT Analysis . . . . . . . . 2.2.1 Strengths . . . . . 2.2.2 Weaknesses . . . . 2.2.3 Opportunities . . . . 2.2.4 Threats . . . . . . . 2.3 Competition . . . . . . . . . 2.4 Services . . . . . . . . . . . 2.5 Keys to Success . . . . . . . . 2.6 Critical Issues . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .2 .2 .3 .3 .4 .5 .5 .5 .6 .6 .6 .6 .7 .8 .8

3.0

Marketing Strategy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 3.1 Mission . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 3.2 Marketing Objectives . . . . . . . . . . . . . . . . . . . . . . . . . . 8 3.3 Financial Objectives . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 3.4 Target Marketing . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 3.5 Positioning . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 3.6 Strategy Pyramids . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 3.7 Marketing Mix . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 3.8 Marketing Research . . . . . . . . . . . . . . . . . . . . . . . . . . 10 Financials, Budgets, and Forecasts 4.1 Break-even Analysis . . . . 4.2 Sales Forecast . . . . . . . 4.3 Expense Forecast . . . . . Controls 5.1 5.2 5.3 . . . . . . . . . . . . . Implementation Milestones Marketing Organization . . Contingency Planning . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 . 11 . 12 . 13 . 14 . 14 . 15 . 15

4.0

5.0

Inspect A-bode
1.0 Executive Summary
Inspect A-bode is a residential home inspection service serving Washington, PA and the surrounding community. Inspect A-bode offers complete home inspections, as well as additional services including electromagnetic field testing, radon testing, and asbestos testing. This service will be offered to home buyers as well as sellers. For buyers it will provide them with crucial information regarding the condition of their house. For sellers it will offer documentation indicating the condition of the house, eliminating the buyer's uncertainty. Inspect A-bode will be deriving the majority of sales from real estate agents who will have entered into strategic relationships with Inspect A-bode. Once these strategic relationships are established, there will be a constant, easy source of jobs since the agents are in the business of selling homes, all of which should have an inspection done prior to closing. Inspect A-bode is backed up by 12 years of industry experience. These years of experience will be leveraged to develop a competitive advantage, along with an impeccable level of professionalism. While there are several other inspection companies serving the market, only one approaches Inspect A-bode in terms of professionalism or industry experience. Inspect A-bode will reach profitability by month six and will generate revenue close to $50,000 by the end of year one.

Annual Sales Forecast

$120,000 $100,000 $80,000

Real Estate Agents
$60,000 $40,000 $20,000 $0 2002 2003 2004

Individual Buyers Individual Sellers

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Inspect A-bode
2.0 Situation Analysis
Inspect A-bode is entering its first year of operation and owner Chek Domisile recognizes the imperative nature of a well designed marketing plan that is not just lip service, but actually implemented. The basic market need is for a professional, experienced, home inspection service that provides valuable insight regarding the condition of an existing residential home prior to its sale/purchase.

2.1 Market Summary
Inspect A-bode possesses good information regarding the market and knows a great deal about the common attributes of the most prized customers. This information will be leveraged to better understand who is served, their specific needs, and how Inspect A-bode can best communicate with them. Inspect A-bode recognizes that the collection of information about the market and its customers is an ongoing process that must be continually attended to in order to provide the highest quality level of market analysis.

Target Markets

Real Estate Agents Individual Buyers Individual Sellers

Table 2.1: Target Market Forecast

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Inspect A-bode
2.1.1 Market Demographics
The profile for Inspect A-bode's customers consists of the following geographic, demographic, and behavior factors: Geographics • The immediate geographic target is the city of Washington, PA with a population of 176,000. • A 50-mile radius area is in need of inspection services. • The total targeted population is 26,000. Demographics • Male and female. • Ages 30 - 65. This segment makes up 57% of Washington according to the Chamber of Commerce. • 80% of the clients are estimated to be at least second-time home buyers. This means that only 20% of the home buyers are first-time buyers. Over time it is likely that this percentage will increase as the younger buyers who have grown-up with the Internet and the bountiful amount of information it provides move into the home-owning marketplace. Using this reasoning, there will be an increasing percentage of people who, although they have never purchased a house, will desire an inspection to fulfill their need for information regarding this large purchase. • 76% have attended college. • The average median household income ranges from $70,000- $175,000. Behavior Factors • Customers tend to do a fair amount of research before any purchase, and tend to use the Internet to do this research when possible. • Do not often make impulse purchases.

Table 2.1.1: Target Market Analysis Target Market Analysis Market Segments Real Estate Agents Individual Buyers Individual Sellers Characteristic Don't like surprises Don't like surprises Don't like surprises Characteristic Cost conscious Cost conscious Cost conscious Characteristic Increases value Supports price Decreases risk Characteristic Smooths negotiations Improves sale potential Provides peace of mind Characteristic Want consistent quality Want supportive results Want accurate results

2.1.2 Market Needs
Inspect A-bode is providing its customers with a professional, complete, inspection service for residential homes. These inspections provide the prospective buyer with ample information to make an educated decision regarding the purchase of the house, its current condition, as well as the cost for needed repairs. Inspect A-bode seeks to fulfill the following benefits that are important to customers. • Thoroughness- A compete inspection will be made of the residence, informing the prospective buyer of any latent defects. • Convenience- The inspections can be made to any house within a 50-mile radius of Washington. • Professionalism- The home building industry (from which many inspectors come) is not Page 3

Inspect A-bode
known for its professionalism or integrity. Inspect A-bode sees their ability to provide the uppermost professionalism as a competitive advantage. • Competitive price- Due to many years in the industry, Inspect A-bode is able to offer competitive pricing by gaining efficiencies in the inspection process, reducing the time required to deliver a comprehensive inspection.

2.1.3 Market Trends
The market trend for home inspections evidences an industry growth rate that is greater than that seen in similar industries. This can be explained by the fact that home inspections are a relatively new service and a valuable source of information to all involved in a house sale. Over time prior inspections will become a standard requirement when purchasing a home. Trends that have been observed within the industry are: • • • • An increasingly larger base of service providers. More home buyers are requesting inspections. More real estate agents that suggest or require inspections. Many of the service providers are splitting their professional time between home construction/repair and inspections as opposed to being full time inspectors.

Market Forecast
40,000 35,000 30,000 25,000

Real Estate Agents
20,000 15,000 10,000 5,000 0 2002 2003 2004 2005 2006

Individual Buyers Individual Sellers

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Inspect A-bode
2.1.4 Market Growth
In 2000, the home inspection market in the U.S. reached $123 million in revenue. The growth rate of the industry is projected to maintain 12% for the next several years. As more and more buyers become accustomed to researching their large purchases first, demand for inspections will be fueled by their need to do due diligence.

Target Market Growth

10.00%

8.00%

6.00%

4.00%

2.00%

0.00% Real Estate Agents Individual Buyers Individual Sellers

2.2 SWOT Analysis
The following SWOT analysis captures the key strengths and weaknesses within the company and describes the opportunities and threats facing Inspect A-bode.

2.2.1 Strengths
• Strong relationships with real estate agents. • Extensive industry knowledge and experience. • Efficient work-flow designs allowing competitive pricing and above-market margins.

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Inspect A-bode
2.2.2 Weaknesses
• The lack of initial brand equity, a function of being a start-up company. • Balancing the allocation of labor between inspections and business development. • A limited amount of start-up capital.

2.2.3 Opportunities
• The participation within a growing industry. • A decrease in interest rates that will spur home purchases. • The industry is poised to grow, and Inspect A-bode is an early entrant in the field.

2.2.4 Threats
• Increasing competition as the industry becomes validated. • The general economy can have significant negative effects on homes sales, therefore home inspections as well.

2.3 Competition
There are many different competitors in the home inspection market. At first glance, the service appears to be commodity like. Most people have the same service offering, the same type of inspections, the same price, etc. However, the level of experience and professionalism of the service provider does indeed differentiate the companies. The buying patterns regarding the home buyers seems to be based on referrals and advertisements. The home buyer will often ask someone in the industry if they can recommend a home inspectoion provider. If they do not know anyone to ask they will typically look in the number of local magazines for homes and find an advertisement in there. Lastly, they would check the Yellow Pages. The home sellers will either ask their realtor or they will look for some sort of advertisement. The buying pattern for the realtors is that they typically will know of one or a few inspectors that they send their clients to. Because they are in the industry, networking will take precedence over advertisements.

Table 2.3: Growth and Share Analysis Growth and Share Competitor Blind Eye Builder's Buddies Faint Heart Advocates (FHA) Honest Henry's Inspections Inspect A-bode Ken Offenboughten, LLC 3Porcus & Wolfe Structural Engineers Winkin, Blinkin, Nodd Appraisers Average Total Price $400 $299 $350 $300 $450 $500 $425 $389.14 $2,724.00 Growth Rate 6% 7% 10% 12% 9% 15% 8% 9.57% 67.00% Market Share 16% 5% 14% 1% 3% 11% 8% 8.29% 58.00%

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Inspect A-bode
2.4 Services
Inspect A-bode offers residential home inspections for both buyers and sellers. Initially the majority of service calls will likely be referrals from strategic partnerships with realtors. Inspect A-bode's standard inspection includes addressing: • Site: Land contour, drainage, driveways, walkways, porches, decks, retaining walls, parking structures, and evidence of abandoned oil tanks. • Foundation: Cracks, settlement, deterioration, moisture influx, and piers. • Exterior: Siding, trim, entry doors, garage doors, windows, and chimneys. • Structure: Framing of sub-floors, stairs, walls, ceilings, and roofs. • Roofing: Roof coverings, flashings, skylights, gutters, downspouts, eaves, and soffits. • Plumbing: Water pressure, piping, fixtures, faucets, drains, vents, and water heaters. • Electrical: Service conductors, main and sub-panels, breakers and fuses, grounding, switches, receptacles, fixtures, fans, smoke detectors, GFI function, etc. • Heating: Furnace or boiler, ducts, baseboard heaters, radiators, registers, woodstoves, and central air conditioning. • Insulation: Attic, ceiling, wall and floor insulation, and vapor barriers. • Ventilation: Attic, crawlspace, kitchen, bath and laundry ventilation. • Interior: Walls, floors, ceilings, doors, woodwork, cabinets, bathroom finish, fireplaces, etc. • Built-In Appliances: Ranges, ovens, microwaves, disposals, dishwashers, and trash compactors. • Pest & Dry Rot: Inspection for termites, carpenter ants, beetles, wood rot, and rodent infestation. • Carbon Monoxide: Measurement of furnace, water heater, and range output. Optional services will include electromagnetic field testing ($45), radon testing ($200), and asbestos testing ($120). A comprehensive written report (typically around 12 pages) will accompany the service. Inspect Abode suggests all clients be present during the inspection to increase their comprehension of the written report. The cost of the full service is $200-$400, depending on size of home, layout, and any areas such as a swimming pool requiring special attention.

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Inspect A-bode
2.5 Keys to Success
The following variables are the keys to success for Inspect A-bode: • Professionalism. • Customer service. • Providing valuable information.

2.6 Critical Issues
Inspect A-bode is still in the speculative stages as a service provider. It must take a fiscally conservative approach, recognizing that it takes time to build reputation and goodwill within the community. If this is done effectively, over time, the business will flourish.

3.0 Marketing Strategy
Inspect A-bode's marketing plan will be based on a communication campaign and strategic alliances that will raise awareness of the value Inspect A-bode offers. To reach individual sellers and buyers, an advertising campaign will be undertaken in the Yellow Pages as well as the local newspaper, The Washington Observer. In addition to these sources, Inspect A-bode will advertise in the Washington Home Buyer's Guide that 70% of home buyers consult before their purchase. The advertising campaign will be supported with a strong strategic alliance effort to develop relationships with real estate agents. These relationships will be instrumental in generating a steady flow of business from the agents' pool of clients. The relationships will be formed through general networking, creating a working relationship between Inspect A-bode and the agents. Once a relationship is formed, Inspect A-bode will develop financial incentives for the agents to use Inspect A-bode with their clients. While this will be labor intensive initially, once a solid relationship is developed, it will amply pay for it self in the future business that it develops.

3.1 Mission
Inspect A-bode's mission is to provide customers with the highest quality home residential home inspections. When we adhere to this maxim, everything else will fall into place. Our services will exceed the expectations of our customers.

3.2 Marketing Objectives
• Increase repeat customers by 7% per quarter. • Decrease customer acquisition costs by 8% per year. • Increase the number of referring real estate agents every quarter.

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Inspect A-bode
3.3 Financial Objectives
• Profitability reached by the end of year one. • Positive yearly growth in revenue as well as profiits. • Large enough gains in revenue to justify hiring additional people.

3.4 Target Marketing
Inspect A-bode intends to specifically target all three segments. • Real Estate Agents- This group will be targeted through the development of strategic alliances with many different realtors. One angle at accomplishing this will be through networking relationships that Selle Domisile, Chek's wife has established through her ten years as a realtor. Selle is currently a realtor and will naturally suggest her clients use Inspect A-bode. Beyond referring just her clients, Selle will be working with her colleagues to facilitate their usage of Inspect A-bode. • Individual Buyers- This group will be targeted through an advertising campaign in publications that home buyers are typically reading as well as in the Yellow Pages. As will emphasize that the buyers should be practicing due diligence regarding checking the condition of a home before they buy. • Individual Sellers- This group would also be targeted through an advertising campaign reinforcing the idea that they will have an easier time selling their home if they have an objective report that details everything important about the condition of the house.

3.5 Positioning
Inspect A-bode will position itself as a professional, experienced, residential home inspection service provider. Inspect A-bode will leverage its competitive advantages to achieve the desired positioning: • Experience- Chek has 12 years of experience as a general contractor. Through these years in the home building industry, Chek has done almost everything in regards to home new construction and remodels. Having this first-hand experience gives Chek a very discriminating eye when it comes to inspections. This makes his inspections that much more accurate because he has the knowledge and experience to make informed inspections. While others in the home inspection industry have a reasonable amount of experience, they are generally not as well trained as Chek. One reason for this is that there is the possibility for higher margins by actually doing the work instead of offering inspections. For Chek however, an injury a year ago has precluded his continuing to work as a general contractor, which in effect has allowed him to pursue this opportunity. • Professionalism- Loosely defined as exhibiting a courteous, conscientious, and generally businesslike manner; characterized by or conforming to the technical or ethical standards of a profession. Professionalism is an overriding goal and behavior for Chek. This comes across even in a simple conversation with Chek. People are utterly impressed when dealing with Chek and this is purposeful because they will tell people about him. Most people will agree that contractors, and by analogy home inspectors, could use a dose of professionalism, allowing Chek to stand out even more from his colleagues. In addition to Inspect A-bode's competitive advantages, the company will have a 10-year veteran from the real estate agent industry as a paid consultant. The consultant, Selle Domisile, Chek's wife, will develop a referral system for her colleagues in the real estate market, providing Inspect APage 9

Inspect A-bode
bode with a steady flow of customers.

3.6 Strategy Pyramids
The single objective is to position Inspect A-bode as the premier residential home inspection service in the Washington area. Inspect A-bode is forecasted to steadily gain market share over the first five years. The marketing strategy will seek to first create customer awareness regarding the services offered and develop the customer base. The message that Inspect A-bode will seek to communicate is that they offer professional and valuable home inspections for house purchasers. This message will be communicated through a variety of methods. The first method will be through local advertisements. The ads will be placed in a variety of venues including the Yellow Pages, The Washington Observer, and the Washington Home Buyer's Guide. These ads will be effective in the communication campaign for buyers and sellers. The real estate agents will be reached through a strategic alliance campaign that will develop referral incentive relationships. The value of these relationships will be referrals by the agents to their customers for a home inspection prior to purchase.

3.7 Marketing Mix
Inspect A-bode's marketing mix is comprised of the following approaches to pricing, distribution, advertising and promotion, and customer service. • Pricing- The pricing scheme will be based on the size of the real estate as well as the level of comprehensiveness that is desired. • Distribution- All services will be provide on-site within a 50-mile radius of the city. • Advertising and Promotion- The most successful advertising will be in local sources that prospective home purchasers consult for information regarding homes. Additionally, the services will be promoted by local real estate agents. • Customer Service- Inspect A-bode recognizes superior customer service is required for success and this will be constantly emphasized.

3.8 Marketing Research
During the initial phases of the marketing plan development, several focus groups were held. Some of the focus groups were held with prospective buyers, others were held with real estate agents. The goals of the focus groups were to explore the perceived value that inspections offer home purchasers. The real estate agent focus groups were held to determine the feasibility, attractiveness, and willingness of the agents to enter into alliances with Inspect A-bode. The effectiveness of the financial incentives were also explored The results of the groups provided Inspect A-bode with a wealth of information that would be hard to collect anywhere else. Additionally, the results validated all of Inspect A-bode's assumptions.

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Inspect A-bode
4.0 Financials, Budgets, and Forecasts
This section will offer a financial overview of Inspect A-bode as it relates to its marketing activities. Inspect A-bode will address break-even analysis, sales forecasts, expense forecasts, and how they relate to the marketing strategy.

4.1 Break-even Analysis
The Break-even analysis indicates that $4,000 will be needed in monthly revenue to reach the break-even point.

Break-even Analysis
$4,000 $3,000 $2,000 $1,000 $0 ($1,000) ($2,000) ($3,000) ($4,000) $0 $1,400 $2,800 $4,200 $5,600 $7,000

Monthly break-even point
Break-even point = where line intersects with 0

Table 4.1: Break-even Analysis Break-even Analysis: Monthly Units Break-even Monthly Sales Break-even Assumptions: Average Per-Unit Revenue Average Per-Unit Variable Cost Estimated Monthly Fixed Cost 11 $4,000 $350.00 $17.50 $3,800

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Inspect A-bode
4.2 Sales Forecast
The first month will have no sales activity. Early in the month the home office will be set up, stationary produced, and in general everything organized. During the second half of the month Chek will be familiarizing himself with the new software and developing a template for the inspection report. The inspection report will be a template where Check will fill in areas of information from the inspection. The purpose of the template is so: 1. The report is uniform and consistent, and 2. The time required to fill in the information from the report is reduced, saving time and allowing the report to be forwarded to the client quicker. Also during the first month Selle will be setting up partnerships with other realtors to funnel business to Inspect A-bode. Having set up these relationships, the business will begin to build up during the second month. Business will grow steadily month to month. It is not expected to need a second employee until year two. By then business will have picked up and the employee will be used for back end administrative details.

Monthly Sales Forecast
$6,000

$5,000

$4,000

Real Estate Agents
$3,000

Individual Buyers Individual Sellers

$2,000

$1,000

$0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Table 4.2: Sales Forecast Sales Forecast Sales Real Estate Agents Individual Buyers Individual Sellers Total Sales Direct Cost of Sales Real Estate Agents Individual Buyers Individual Sellers Subtotal Cost of Sales 2002 $36,905 $10,854 $3,532 $51,291 2002 $1,845 $543 $177 $2,565 2003 $65,478 $19,854 $6,547 $91,879 2003 $3,274 $993 $327 $4,594 2004 $72,514 $27,458 $9,858 $109,830 2004 $3,626 $1,373 $493 $5,492

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Inspect A-bode
4.3 Expense Forecast
The marketing expenses will be budgeted so that they ramp up during the first quarter of business, generating awareness about the start-up. The expenses will increase again during the summer and fall, seasons that typically experience increases in home sales.

Monthly Expense Budget

$900 $800 $700 $600 $500 $400 $300 $200 $100 $0

Yellow Pages Ads Washington Observer Ads Washington Home Buyer's Guide Ads Strategic Relationships

Table 4.3: Marketing Expense Budget Marketing Expense Budget Yellow Pages Ads Washington Observer Ads Washington Home Buyer's Guide Ads Strategic Relationships Total Sales and Marketing Expenses Percent of Sales Contribution Margin Contribution Margin / Sales 2002 $600 $2,400 $2,400 $1,650 -----------$7,050 13.75% $41,676 81.25% 2003 $600 $2,600 $2,600 $1,800 -----------$7,600 8.27% $79,685 86.73% 2004 $600 $2,800 $2,800 $1,800 -----------$8,000 7.28% $96,339 87.72%

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Inspect A-bode
5.0 Controls
The purpose of Inspect A-bode's marketing plan is to serve as a guide for the organization. The following areas will be monitored to gauge performance: • • • • Revenue- monthly and annual. Customer satisfaction. Referral rate of the individual real estate agents. Revenue breakdown by target group.

5.1 Implementation Milestones
The following milestones identify the key marketing programs. It is important to accomplish each one on time and on budget.

Milestones
Marketing plan completion Yellow Pages ads Observer campaign #1 Observer campaign #2 Home buyers guide #1 Home buyers guide #2 Strategic relationships Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Table 5.1: Milestones Milestones Milestone Marketing plan completion Yellow Pages ads Observer campaign #1 Observer campaign #2 Home buyers guide #1 Home buyers guide #2 Strategic relationships Totals Plan Start Date 1/1/02 1/1/02 1/1/02 7/1/02 1/1/02 7/1/02 1/1/02 End Date 2/2/02 12/31/02 6/30/02 12/31/02 6/30/02 12/31/02 12/31/02 Budget $0 $600 $1,350 $1,050 $1,350 $1,050 $1,650 $7,050 Manager Department

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Inspect A-bode
5.2 Marketing Organization
Chek Domisile will be primarily responsible for the marketing efforts of the organization. Chek will receive outside assistance for the production and placement of the advertisements.

5.3 Contingency Planning
Difficulties and risks: • Problems generating awareness and visibility for the organization. • Entry into the Washington market of a chain or franchised competitor. • If business really takes off, Chek will encounter the problem of securing sufficiently qualified employees to assist in the inspections. Worst case senarios may include: • Determining that the business plan was overly optimistic in its sales forecasts and unable to support Chek on an ongoing basis. • The possibility that equipment will need to be liquidated and the company dissolved.

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Appendix: Inspect A-bode
Table 4.2 Sales Forecast Sales Forecast Sales Real Estate Agents Individual Buyers Individual Sellers Total Sales Direct Cost of Sales Real Estate Agents Individual Buyers Individual Sellers Subtotal Cost of Sales Plan Jan $1,254 $625 $250 $2,129 Jan $63 $31 $13 $106 Feb $1,547 $845 $300 $2,692 Feb $77 $42 $15 $135 Mar $2,145 $902 $321 $3,368 Mar $107 $45 $16 $168 Apr $2,254 $945 $345 $3,544 Apr $113 $47 $17 $177 May $2,645 $994 $354 $3,993 May $132 $50 $18 $200 Jun $3,124 $954 $254 $4,332 Jun $156 $48 $13 $217 Jul $3,254 $854 $265 $4,373 Jul $163 $43 $13 $219 Aug $3,547 $921 $301 $4,769 Aug $177 $46 $15 $238 Sep $3,745 $982 $321 $5,048 Sep $187 $49 $16 $252 Oct $4,125 $854 $298 $5,277 Oct $206 $43 $15 $264 Nov $4,578 $954 $258 $5,790 Nov $229 $48 $13 $290 Dec $4,687 $1,024 $265 $5,976 Dec $234 $51 $13 $299

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Appendix: Inspect A-bode
Table 4.3 Marketing Expense Budget Marketing Expense Budget Yellow Pages Ads Washington Observer Ads Washington Home Buyer's Guide Ads Strategic Relationships Total Sales and Marketing Expenses Percent of Sales Contribution Margin Contribution Margin / Sales Jan $50 $200 $200 $150 -----------$600 28.18% $1,423 66.82% Feb $50 $200 $200 $150 -----------$600 22.29% $1,957 72.71% Mar $50 $200 $200 $150 -----------$600 17.81% $2,600 77.19% Apr $50 $200 $200 $150 -----------$600 16.93% $2,767 78.07% May $50 $250 $250 $150 -----------$700 17.53% $3,093 77.47% Jun $50 $300 $300 $150 -----------$800 18.47% $3,315 76.53% Jul $50 $300 $300 $150 -----------$800 18.29% $3,354 76.71% Aug $50 $350 $350 $150 -----------$900 18.87% $3,631 76.13% Sep $50 $100 $100 $150 -----------$400 7.92% $4,396 87.08% Oct $50 $100 $100 $100 -----------$350 6.63% $4,663 88.37% Nov $50 $100 $100 $100 -----------$350 6.04% $5,151 88.96% Dec $50 $100 $100 $100 -----------$350 5.86% $5,327 89.14%

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