3. Alhelo Company Marketing Plan
Alhelo Company Marketing Plan | 2
1.0 Executive Summary
Alhelo company, established in 1985, is specialized in armored doors. It started its
business marketing Mul-T-Lock Armored doors in Gaza Strip. Through years of hard
work, good reputation, and good after sale services it succeeded in positioning its
brand and created a big number of loyal profitable customers. In the past few years a
lot of obstacles on importing have been raised and new competitors entered the
market. Alhelo company started to assembling doors on Gaza Strip to minimize coast
and fulfill customers demands which gave Alhelo company a good advantage among
its competitors. In addition, Alhelo company Imported an economical type of doors to
expand its alternatives and options.
Recently, Alhelo company started a study about the opportunities of exporting its
product and entering a new market. There is a good chance of recovery and growing
for the local market. Alhelo company preparing itself to benefit of the expected
opportunities. Through providing alternatives and keeping connected directly to
customers Alhelo company hopes to keep maximizing its market share.
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2.0 Situation Analysis
Alhelo company is working in armored doors since 1985. It sells Mul-T-Lock
armored doors mainly, and it has positioned the brand very well. Alhelo company
deals with governmental construction projects, private sector and institutions, and a
big number of individuals. The company has established powerful relation with its
customers especially through its distinctive after-sale services. The company faced a
lot of obstacles. One of the biggest obstacles is Gaza siege.
2.1 Market Summary
Alhelo company possesses good information about the market and knows great deal
about the common attributes of the most prized customer. Such information will be
leveraged to better understand who is served, what their specific needs are, and how
Alhelo company can better communicate with them.
Alhelo company looks to the doors market as three products types: doors made of
wood, doors made of steel, and armored doors. Alhelo company also segments the
customers into three main segments: government sector, private companies and
institutions, and individuals. The following figure summarize Alhelo company view
of the doors market.
Wooden
Doors
Steel
Doors
Armored
Doors
Government
Sector
Private
Companies
Individuals
Target Markets
Security
Constructions
Engineering Consultations
2.1.1 Market Demographics
The profile for the typical Alhelo company customer consists of the following
geographic, demographic, and behavior factors:
Geographics
Alhelo company targets Gaza Strip geographic area. The current situation in Gaza
Strip limits Alhelo company ability to target other geographic areas.
The total targeted population is about 150,000 consumers.
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Demographics
About 95% of customers are males.
Ages 25-65, with about 80% clustering around ages25-50. The engineering
consultation customers tends to be the most profitable customers. The individuals
covers the widest range nowadays.
The customers ages 25-50 are employees have new houses in construction phase
and engineers engaged in decision making working for government and private
sectors.
Most of decision makers in government and private sectors are of ages 25-45.
most of the engineering consultation customers tend to be ages 50-60.
Customers of ages 60-65 are retired employees and have good savings.
Behavior Factors
Government sector prefers armored doors with high quality and low coasts.
Private companies & institutions tend to be more carious about looking in addition
to quality.
Individuals who live in apartments tend to be more carious to security.
Retired people often spend their savings on building or renewing houses.
2.1.2 Market Needs
Alhelo company is providing the armored doors customers with different alternatives
in addition to a wide range of accessories to match their needs and different tastes.
The company seeks to fulfill the following benefits that are important to its
customers:
Security. The customers choosing armored doors to get security that can rely on
because of the unstable situation in Gaza Strip.
Quality. The customers work hard for their money and looking to get more quality
for more money they spend.
Good external look. Customers wants their armored doors to have accepted
looking compared to wooden doors.
After sale services. When customers pay more they expect to have more after sale
services compared to after sale services for wooden and steel doors.
2.1.3 Market Trends
Currently, markets in general in Gaza Strip can be considered relatively poor. Gaza
siege affected badly a lot of markets in Gaza Strip especially construction market and
its related markets. On the other hand, Gaza siege and the war on Gaza in 2008 have
crated large demands on construction and security markets in Gaza Strip.
Construction and related markets tend to be promising. Housing Projects, NGO
developments projects especially in education sector, and Gaza reconstruction
projects in addition to orientations to reduce the constraints on export are expected to
provide a lot of opportunities in construction and related markets.
Alhelo company preparing itself to benefit of the expected opportunities. Through
providing alternatives and keeping connected directly to customers Alhelo company
hopes to keep maximizing its market share.
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2.1.4 Market Growth
It is expected to have a remarkable growth in market in the next two years although,
because of continuation of Gaza siege and existing constraints on importing and
exporting the market has had a limited growth throughout the last two years. More
and more construction projects started and expected to start in next years.
2.2 SWOT Analysis
The following SWOT analysis captures the key strengths and weaknesses within the
company and describes the opportunities and threats facing Alhelo.
2.2.1 Strengths
Improving industry experience.
Marketing experience.
Availability of alternatives and options.
Well positioned brand.
2.2.2 Weaknesses
The difficulty keeping experienced technicians and workers.
Lack of funding marketing campaigns.
2.2.3 Opportunities
Increasing construction projects.
Housing projects.
Ability of entering new markets.
2.2.4 Threats
Continuation of siege.
Political unrest.
2.3 Competition
Alhelo company has a well positioned brand and acquires most of market. Although
there are one company or tow selling armored doors, there is no competition to
mention. Alhelo company trying to maximize its market on account of wooden and
steel doors. Alhelo company providing alternatives, accessories, and different sizes of
armored doors with external looking comparable to wooden doors and low price
armored doors to compete steel doors.
2.4 Product Offering
Alhelo company now offers several products:
The first product that has been assembled in Israel is Mul-T-Lock. Which is the
main product with a well known brand. These doors is relatively expensive but
can have a lot of accessories and is guaranteed for five years.
The second product is ArmoredDoor. These doors are assembled in Gaza Strip
with Mul-T-Lock locks. These doors have medium price, can be made in different
sizes, can have a lot of accessories, and is guaranteed for ten years.
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The third product, Nemenr, is representing the economical alternative with a
relatively low price.
2.5 Keys to Success
The keys to success are providing and producing products that meet market demand.
In addition, Alhelo company must ensure total customer satisfaction. If these keys to
success are achieved, it will become a profitable, sustainable company.
2.6 Critical Issues
In a poor market. The critical issues are for Alhelo company to:
Keep brand well position.
Improving production capabilities.
Keep in close contact with profitable customers.
Increasing market share.
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3.0 Marketing Strategy:
Alhelo company is moving toward internal marketing control by establishing
programs such as Gaza war program 2008. Which in this program the company's sales
persons visited all the partially damaged houses or buildings, and that their Mul-T-
Lock doors had some damages, the company totally afforded all the fixing and
maintenance costs, as a kind of customers support and a positive step toward the
gazans people generally and the company's customers specially.
Mul-T-Lock target market presents great opportunities for the company growth, as its
niche is not at all saturated at this point. It will dominate the superior secured doors
market by stressing the quality and materials of its product lines, keeping up with and
integrating technological advances in the security and safety environment, and by
increasing its market research and customer service in order to constantly satisfy the
company markets' needs.
The individuals and construction companies (Target Market) will greatly benefit from
the Alhelo company quality products in terms of, safety and security, varieties styles,
well-design and modernity, and long period guarantee.
The key to reach this market is to make them (i.e. individuals and construction
companies) aware that the Mul-T-Lock products are available. The company doesn't
need to convince them of anything but the assurance of quality in manufacturing and
design.
3.1 Mission:
Alhelo company helps create secured and safety front doors, with well-designed
shapes. The company incorporates new technology into the classic model, in which
customers can be more satisfied about the product strength and design.
The Alhelo company is sensitive to the look and feel of good wood and steel, as well
as to high-powered security and long lasting doors.
The Alhelo company always provides the best possible value to its customers who
care about quality, and the company wants every dollar spent with it to be well spent.
The Alhelo company seeks fair and responsible profit, enough to keep the company
financially healthy for the long term and to fairly compensate owners for their money
and risk.
3.2 Marketing & Financial Objectives:
Enforcing the good spirit and the good reputation by having and lasting the good
relations with the public.
By yearly basis, the Alhelo company looks forward to a significant increase in
sales.
Developing new product that is locally manufactured, with high quality, well-
design, much longer guarantee period, and with affordable price.
The Alhelo company is looking for means and methods to decrease the
manufacturing costs, by searching for substitutes of raw materials, but with the
same quality, as well as lowering the transportation expenses.
By achieving the above goals, the Alhelo company would be able to lowering the
price of its products, which means penetrating to a new market segment, and
therefore increasing the company's market share.
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Using the competitors as promotional tools, which effectively can reduce the
promotion budgeting.
3.3 Target Markets:
The Mul-T-Lock Company's segment definition is of itself strategic. The company is
not intending to satisfy all users of front doors, but, rather, only those who are most
demanding.
The Alhelo company is definitely out to address the needs of the high-end buyer, who
is willing to pay more for quality and more security.
In the company's particular market, it also seeks the buyer who appreciates three
attributes: the high secured, high quality, and the excellence design of door.
Individuals: the company's market research indicates a significant increase would
be in the potential customers who are living in areas that could be relatively
remote, or that might be exposed to Israeli attack or invasion. The target customer
is ranging from middle to high income customer.
Contractors: it's considered one of the strongest markets among of the other types
of businesses. With massive purchasing orders. And this market is considered as
direct market.
Consultants: this type of markets is a very important target, since they give the
advice for the investors, donors, institutes, INGOs to which the best that might fit
their needs.
3.4 Positioning:
The Mul-T-Lock has a competitive edge, which is its dominance of high-secured and
traditional high quality doors. Although there are many doors manufacturers, few
have brought the two crafts together as the Alhelo company has.
The Alhelo company focuses on a special kind of customer, the person who wants
very high quality and high secured door, as well as the excellence in design and style.
An important competitive edge is the company's assembly strategy, which is based on
interlocking wood and steel pieces of such high quality that assembly is not only
pleasure for the customers, it's actually a feature that enhances the sense of quality.
3.5 Strategies:
The main strategy at the Alhelo company is to position itself at the top of the quality
scale, featuring its combination of superb security and safety, for the buyer who wants
the best quality regardless of price.
The message that the Alhelo company will seek to communicate is that it offers the
best-designed, high security, high quality, long term guarantee, and after sale high
quality service.
This message will be communicated through a variety of methods:
The first will be the company's website, which will provide a rich source of
product information and offer consumers the opportunity to purchase.
The second marketing method will be advertisements placed in numerous industry
magazines. (E.g. aldaleel magazine)
As well as using some brochures to give a clear image about the company, and its
products, in addition to its history and experience.
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3.6 Marketing Mix:
Alhelo Company's marketing mix consists of the following approaches to pricing,
distribution, advertising and promotion, and customer service.
Pricing: The pricing scheme will be product cost plus variable overhead costs
associated with each sale.
Distribution: All products are available from the Alhelo Company's store.
Advertising and Promotion: The most effective activities will be the direct
marketing tools, by the sales persons make field visits to potential customers and
give them detailed presentation about the company and its products In a
professional way. As well as the industry magazines and website.
Customer service: Customer service will be of high level. This takes into account
the fact that all the customers are the company's partners, so there is a natural
incentive to treat them properly.
3.7 Marketing Research:
Based on the recent developments, concerning the building ability and construction
materials, there would be a potential increase in the buying behavior to the Mul-T-
Lock doors, especially after the Gaza war 2008, and how this door had play a great
role in protecting and preventing any kind of attacking the flat or house during the
critical times, while the inhabitants left their homes.
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4. Finance
Alhelo Company estimates the break-even-point to be 68 doors per month.
The monthly estimated sales of the company is approximately 200-240 doors.
Celebrating the 25th anniversary, Alhelo Company will start a public campaign.
The public campaign mainly aims at strengthening the relationship with profitable
customers and public through:
Sponsoring public events
Sponsoring sport clubs and events
Participating in national exhibitions
Implementing charitable works
5. Controls
The purpose of Alhelo's marketing plan is to serve as a guide for the organization.
The following areas will be mentioned to measure performance:
Revenue : monthly and annual
Expenses: monthly and annual
Customer satisfaction
Manufacturing procedures improvement
![2011
Islamic University of Gaza
Faculty of Commerce
Advanced Marketing
[ALHELO COMPANY
MARKETING PLAN]
Prepared by: Salah A. Skaik](https://image.slidesharecdn.com/marketingplanmultilock-160916020109/85/Marketing-plan-multi_lock-1-320.jpg)
