RUNNING HEAD: Marketing Plan 1
Wheel Deal Auto Sales Outline Marketing Plan
Luis Raffo Carlin
Dr. James Ruether
MKT 500
MAY, 2015
Marketing Plan 2
Introduction
Wheel Deal Auto Sales (WDAS) mission is to help finance affordable vehicles to customers.
The company has four statements to achieve the mission. First, integrity, values and morals
should always come in place when making a decision. Second, building relationship among the
company employees should allow the flow of the communication and empowerment to creative
solutions. Third, the product is not the car is the service we provide to the customer, to our
coworkers, and to our suppliers. Fourth, without customers, suppliers and employees the
company has no future.
WDAS is located in 6310 Bankhead Hwy. W, Douglasville Ga. 30134. The company has three
Managements Centers: Finance, Administrative and Sales. The three departments once a week
coordinate the agenda for customer’s needs, supplier’s accounts, employees training and legal
matters.
In this paper we will develop and environmental analysis that includes competitive, economic
and socio-cultural forces. Second, we will determine the primary and secondary market
according to the 4Ps, 5Cs and STP. Third, we will decide the main goals to achieve within the
next year and within the next five years. Fourth, we will examine the strengths, weaknesses,
opportunities, and threats for WDAS. Finally, in the conclusion WADC will summarize the
marketing plan.
Marketing Plan 3
Environmental Analysis
The Car industry has entered a new age of selling transportation. Today, the consumer has
many choices in terms of product selection, financing options and vendors; that trend is likely to
continue. Dealers are listening to and responding to consumers by developing new operational
strategies. For example, dealers are responding to consumers by experimenting with techniques
such as one-price, haggle-free selling, online showrooms and customer oriented product
selection.
A number of basic trends are changing the dynamics of the automobile industry. New car
prices are rising faster than the overall rate of inflation. In the past, consumers commonly
rejected used cars as a primary household vehicle, viewing them as a problem someone else
managed to get rid of. Used cars were generally purchased for children or as second cars driven
by non-working spouses. The latter has been changed by the increase in dual-income families.
Because of the increased quality and supply of feature-rich used cars, these vehicles are now
viewed as a viable and acceptable option to a new car that costs twice as much or has fewer
features. Also, many companies offer warranties on used cars.
Increasing new and used car prices, fluctuating interest rates and personal economic
uncertainty on the part of consumers have sparked a number of changes in the way vehicles are
financed. Consumers are looking to dealers to find ways to make the cars they want affordable.
Consequently, major auto companies have been forced to re-examine their financing
capabilities.
Marketing Plan 4
Determine the primary and secondary target markets for your company.
The primary target market of WDAS is single parent mom looking to finance a vehicle and
the secondary target market is any customer looking to finance a car. WDAS has the following
situation analysis:
Consumer characteristics is a single parent which income does not allow a car payment over
US$300 a month and with an average down payment of USD$1,000. Usually the annual income
of the customer is under USD$20,000 a year. The customer trend is to finance vehicles for no
more than two years. Customer with higher income will be in the secondary target.
The company resources are focus on being able to finance 48 vehicles per year and to keep the
maintenance of the vehicles by providing oil changes, and other services to keep the car at best.
The competitors are everywhere: Buy here and pay here dealerships, private party, traditional
new car dealers and online car sell sites. The competitors in the future will be diversify among
third party sellers online and new car dealership taking a more active participation in the used
car industry.
Our collaborators are the service providers on car parts, maintenance and investors. WDAS will
seek the collaboration of third party investors interested in helping women social-economic
growth and empowerment or low income families.
The context of the company could be affected by the economy, less favorable political
regulation or laws to help low income families.
Marketing Plan 5
WDAS marketing mix has the following characteristics: Product is not the car but the service
to finance a vehicle that the customer meets its wants (needs) and is able to afford. Price of the
vehicle is set on a two year payment period. The markup on the cost of the vehicle includes the
cost of unexpected repairs or preventive service. Place is not just the dealership but also the
WEB. Promotion goal is to bring the customer the information or our services in the lot or in the
web. WDAS does have a web page, social media page and participates in print advertisement.
WDAS segmentation will be single parent homes or families focus on safe, practical vehicles.
The customer will be on a budget, and price may be a big factor. Targeting will be focus on
providing an affordable car for car buyer. WDAS most likely purchase low-end, low-cost
vehicles. A second target will be families or singles looking for a vehicle with different needs
and wants. We will focus on each group separately, and prioritize our efforts. The positioning of
the company will of how well our service is perceived in the hearts of our customers. WDAS
will be a price innovator, a five start company on quality and service. Used car dealers are
notorious for unethical sales practices. Customers are inherently cautious and untrusting as a
result. The more we can provide a high-quality sales experience, the more successful we will be.
Our salesmen will provide a friendly and personal experience for the buyer. We will follow up
and ensure customer satisfaction. We will rely on these customers for an excellent reference to
other car buyers. This company will build an excellent working relationship with our suppliers
and customers.
Marketing Plan 6
Decide the main goals that you would like to achieve within the next year (short term)
and the mains goals that you would like to achieve within the next five (5) years (long
term).
Our goal in the long term and short term is the same “creative financing solutions and
complete customer satisfaction”.
In the short term WDAS goal is to develop a customer profile that will allow us to understand
best what the customer needs are in order to provide the right vehicle at the best price with the
best service. Also to develop communication methods to reach target markets more effectively
that will allow us to predict demand to have the appropriate inventory to fit the market needs.
Another short term goal is to find investors with social sensitivity that could allow us to
provide a better coverage of services to fulfill the transportation needs of single parent moms or
low income families.
Employees training in customer service, technology and consumer behavior in order to be able
to provide a service according to our mission
In the long term will focus on developing a Trust Fund that will grant scholarships to technical
careers. WDAS goal is to sell 100 cars in the first 24 months and to sell 200 cars a year
thereafter.
Marketing Plan 7
Developboth a SWOT analysis and needs analysis for your product.
WDAS strengths are customer confidence since the company is focus quality vehicles,
customer satisfaction and word-of-mouth promotion. The company good prices, quality vehicles
and customer service represent the biggest advantages. The personalized service and doing
things right and the right thing is strength. Good dealership relationships and unique target is also
strength.
WDAS weakness is the small budget, lack of brand awareness, unable to provide long term
financing and not enough budgets for promotion in mobile devices.
WDAS opportunities are that the market is unique. There is a need for affordable cars to
single parent home or low income families. WDAS reduce the cost of the car and allow pass on
savings to the customer. Adapting to market, free maintenance and customer service will allow
increase demand and the company to growth.
Economic conditions can pose threats to WDAS. Other threats include rival car dealers
offering similar models. Customers may show up at your dealership for a test drive and then
solicit many dealers to find the best price on the Internet, cutting profit margin.WDAS is
vulnerable to consumer credit availability and delinquency, interest rates, gas prices, and
discretionary spending. Changes in the availability or cost of capital and working capital
financing can also be a threat.
Marketing Plan 8
Conclusion
WDAS needs to start by analyzing the market; company, competition, collaborators,
customers and context. Then develop a strategic plan: segmentation, targeting and positioning.
Followed by tactical decisions: product, price, promotion and place.
When the plan in place implementation issues will need to be addressed to win the customer
preference and gain market share.
Marketing Plan 9
References
Reference for Business, Enciclopedia for Business ,2nd Edition retrieved May 01,2015
from http://www.referenceforbusiness.com/business-plans/Business-Plans-Volume-
04/Automotive-Dealer-Group.html#ixzz3YxMOWVb1
Reference for Business, Enciclopedia for Business ,2nd Edition retrieved May 01,2015 from
http://www.referenceforbusiness.com/business-plans/Business-Plans-Volume-04/Automotive-
Dealer-Group.html#ixzz3YxGUbsyz
Integrity Auto Sales Start your own business plan » Used Auto Sales Business Plan retrieved
May 01,2015 from
http://www.bplans.com/used_auto_sales_business_plan/market_analysis_summary_fc.php#ixzz3
YxivspYd
CarMax Strategy Report - Economics retrieved May 01,2015 from
economics-files.pomona.edu/jlikens/SeniorSeminars/.../carmax.pd
SWOT matrix for the New and Used Car Dealers industry in ...retrieved May 01,2015 from
swot.businessplaninternational.com/automotive-dealers...swot/6243-swot...

MKT500 assg 1

  • 1.
    RUNNING HEAD: MarketingPlan 1 Wheel Deal Auto Sales Outline Marketing Plan Luis Raffo Carlin Dr. James Ruether MKT 500 MAY, 2015
  • 2.
    Marketing Plan 2 Introduction WheelDeal Auto Sales (WDAS) mission is to help finance affordable vehicles to customers. The company has four statements to achieve the mission. First, integrity, values and morals should always come in place when making a decision. Second, building relationship among the company employees should allow the flow of the communication and empowerment to creative solutions. Third, the product is not the car is the service we provide to the customer, to our coworkers, and to our suppliers. Fourth, without customers, suppliers and employees the company has no future. WDAS is located in 6310 Bankhead Hwy. W, Douglasville Ga. 30134. The company has three Managements Centers: Finance, Administrative and Sales. The three departments once a week coordinate the agenda for customer’s needs, supplier’s accounts, employees training and legal matters. In this paper we will develop and environmental analysis that includes competitive, economic and socio-cultural forces. Second, we will determine the primary and secondary market according to the 4Ps, 5Cs and STP. Third, we will decide the main goals to achieve within the next year and within the next five years. Fourth, we will examine the strengths, weaknesses, opportunities, and threats for WDAS. Finally, in the conclusion WADC will summarize the marketing plan.
  • 3.
    Marketing Plan 3 EnvironmentalAnalysis The Car industry has entered a new age of selling transportation. Today, the consumer has many choices in terms of product selection, financing options and vendors; that trend is likely to continue. Dealers are listening to and responding to consumers by developing new operational strategies. For example, dealers are responding to consumers by experimenting with techniques such as one-price, haggle-free selling, online showrooms and customer oriented product selection. A number of basic trends are changing the dynamics of the automobile industry. New car prices are rising faster than the overall rate of inflation. In the past, consumers commonly rejected used cars as a primary household vehicle, viewing them as a problem someone else managed to get rid of. Used cars were generally purchased for children or as second cars driven by non-working spouses. The latter has been changed by the increase in dual-income families. Because of the increased quality and supply of feature-rich used cars, these vehicles are now viewed as a viable and acceptable option to a new car that costs twice as much or has fewer features. Also, many companies offer warranties on used cars. Increasing new and used car prices, fluctuating interest rates and personal economic uncertainty on the part of consumers have sparked a number of changes in the way vehicles are financed. Consumers are looking to dealers to find ways to make the cars they want affordable. Consequently, major auto companies have been forced to re-examine their financing capabilities.
  • 4.
    Marketing Plan 4 Determinethe primary and secondary target markets for your company. The primary target market of WDAS is single parent mom looking to finance a vehicle and the secondary target market is any customer looking to finance a car. WDAS has the following situation analysis: Consumer characteristics is a single parent which income does not allow a car payment over US$300 a month and with an average down payment of USD$1,000. Usually the annual income of the customer is under USD$20,000 a year. The customer trend is to finance vehicles for no more than two years. Customer with higher income will be in the secondary target. The company resources are focus on being able to finance 48 vehicles per year and to keep the maintenance of the vehicles by providing oil changes, and other services to keep the car at best. The competitors are everywhere: Buy here and pay here dealerships, private party, traditional new car dealers and online car sell sites. The competitors in the future will be diversify among third party sellers online and new car dealership taking a more active participation in the used car industry. Our collaborators are the service providers on car parts, maintenance and investors. WDAS will seek the collaboration of third party investors interested in helping women social-economic growth and empowerment or low income families. The context of the company could be affected by the economy, less favorable political regulation or laws to help low income families.
  • 5.
    Marketing Plan 5 WDASmarketing mix has the following characteristics: Product is not the car but the service to finance a vehicle that the customer meets its wants (needs) and is able to afford. Price of the vehicle is set on a two year payment period. The markup on the cost of the vehicle includes the cost of unexpected repairs or preventive service. Place is not just the dealership but also the WEB. Promotion goal is to bring the customer the information or our services in the lot or in the web. WDAS does have a web page, social media page and participates in print advertisement. WDAS segmentation will be single parent homes or families focus on safe, practical vehicles. The customer will be on a budget, and price may be a big factor. Targeting will be focus on providing an affordable car for car buyer. WDAS most likely purchase low-end, low-cost vehicles. A second target will be families or singles looking for a vehicle with different needs and wants. We will focus on each group separately, and prioritize our efforts. The positioning of the company will of how well our service is perceived in the hearts of our customers. WDAS will be a price innovator, a five start company on quality and service. Used car dealers are notorious for unethical sales practices. Customers are inherently cautious and untrusting as a result. The more we can provide a high-quality sales experience, the more successful we will be. Our salesmen will provide a friendly and personal experience for the buyer. We will follow up and ensure customer satisfaction. We will rely on these customers for an excellent reference to other car buyers. This company will build an excellent working relationship with our suppliers and customers.
  • 6.
    Marketing Plan 6 Decidethe main goals that you would like to achieve within the next year (short term) and the mains goals that you would like to achieve within the next five (5) years (long term). Our goal in the long term and short term is the same “creative financing solutions and complete customer satisfaction”. In the short term WDAS goal is to develop a customer profile that will allow us to understand best what the customer needs are in order to provide the right vehicle at the best price with the best service. Also to develop communication methods to reach target markets more effectively that will allow us to predict demand to have the appropriate inventory to fit the market needs. Another short term goal is to find investors with social sensitivity that could allow us to provide a better coverage of services to fulfill the transportation needs of single parent moms or low income families. Employees training in customer service, technology and consumer behavior in order to be able to provide a service according to our mission In the long term will focus on developing a Trust Fund that will grant scholarships to technical careers. WDAS goal is to sell 100 cars in the first 24 months and to sell 200 cars a year thereafter.
  • 7.
    Marketing Plan 7 Developbotha SWOT analysis and needs analysis for your product. WDAS strengths are customer confidence since the company is focus quality vehicles, customer satisfaction and word-of-mouth promotion. The company good prices, quality vehicles and customer service represent the biggest advantages. The personalized service and doing things right and the right thing is strength. Good dealership relationships and unique target is also strength. WDAS weakness is the small budget, lack of brand awareness, unable to provide long term financing and not enough budgets for promotion in mobile devices. WDAS opportunities are that the market is unique. There is a need for affordable cars to single parent home or low income families. WDAS reduce the cost of the car and allow pass on savings to the customer. Adapting to market, free maintenance and customer service will allow increase demand and the company to growth. Economic conditions can pose threats to WDAS. Other threats include rival car dealers offering similar models. Customers may show up at your dealership for a test drive and then solicit many dealers to find the best price on the Internet, cutting profit margin.WDAS is vulnerable to consumer credit availability and delinquency, interest rates, gas prices, and discretionary spending. Changes in the availability or cost of capital and working capital financing can also be a threat.
  • 8.
    Marketing Plan 8 Conclusion WDASneeds to start by analyzing the market; company, competition, collaborators, customers and context. Then develop a strategic plan: segmentation, targeting and positioning. Followed by tactical decisions: product, price, promotion and place. When the plan in place implementation issues will need to be addressed to win the customer preference and gain market share.
  • 9.
    Marketing Plan 9 References Referencefor Business, Enciclopedia for Business ,2nd Edition retrieved May 01,2015 from http://www.referenceforbusiness.com/business-plans/Business-Plans-Volume- 04/Automotive-Dealer-Group.html#ixzz3YxMOWVb1 Reference for Business, Enciclopedia for Business ,2nd Edition retrieved May 01,2015 from http://www.referenceforbusiness.com/business-plans/Business-Plans-Volume-04/Automotive- Dealer-Group.html#ixzz3YxGUbsyz Integrity Auto Sales Start your own business plan » Used Auto Sales Business Plan retrieved May 01,2015 from http://www.bplans.com/used_auto_sales_business_plan/market_analysis_summary_fc.php#ixzz3 YxivspYd CarMax Strategy Report - Economics retrieved May 01,2015 from economics-files.pomona.edu/jlikens/SeniorSeminars/.../carmax.pd SWOT matrix for the New and Used Car Dealers industry in ...retrieved May 01,2015 from swot.businessplaninternational.com/automotive-dealers...swot/6243-swot...