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Garrick Oil
Marketing Plan
November 19, 2017
Presented by:
Carstensen, Micheal
Ghorbani, Negin (IR)
Knelsen, Brenda
Lalata, Rachelle
Pratheeharan, Dushyanthy
Tang, Si
Company Name
11/23/2017 Marketing Plan page 2
Executive Summary
JonathanWileyisanticipatingameetingwithhisboss,the national vice-presidentof salesatGarrick Oil
and Lubricants(GOAL).Wileyknowsthatthismeetingwillsurroundthe issuestakingplace atGOAL,and
he is tryingto come up witha planto fix them.
In 2009, GOAL saw a notable decrease insalesandfranchiseerelations.Withinthe nextyear,the
regional salesmanageratthe time,RobDoff,attemptedtoresolve theseproblemsbywayof
rearrangingsalesterritoriesandmakingadjustmentstothe organizational structure of the companyby
re-assigningsalespeopletodifferentoperations.Doff’splanfailedandhe wasaskedto leave the
company.
UsingDoff’splanas a strict outline of whatnotto do, Wileymustcarefullyconsiderthe problemat
GOAL and make the appropriate decisionsabouthow todivide the regionintoterritoriesandwhich
accounts andsalespeople toassigntoeachone.
Wileymayconsiderthe followingpossible alternatives:
1 – Create a teamenvironment
2 – Redistribute bycurrentrelationshipstatus
3 – Package Tom
4 – Status Quowithenhancedincentives
5 – Status Quo
Alternative1is recommended.We wouldrecommendcreatingtwosalesteams.Foremployees,having
a partner to share the responsibilitiesandmanagementof the territorywill be ahuge benefit.
Employeeswill have someonetobalance theirstrengthsandweaknesses,andimprove the relationships
withthe franchisees. Where one personmaynotbe able to builda strongrelationshipwitha
franchisee,the otherpartnermayhave a betterconnectionandwe shouldsee overall relationship
ratingsimprove.
If the recommendedalternative isunsuccessful,itisrecommendedthatalternative4be revisitedand
implemented.Additional incentive toworkwill change the pace forlong-timeemployeesatGOAL and
give them,aswell asnewemployees,aboostof motivation.Inturn,employeesare likelytoreacha
higherpercentage of theirsalesquota,andcompanymorale islikelytoincrease.
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ProblemStatements
In 2009, sales in the Northern Ontario region for Garrick Oil and Lubricants (GOAL) started to decline.Franchisees
were receivingless serviceand their relationship with the company deteriorated. Rob Doff, the regional sales
manager at the time, believed this issueto be caused by sales forcecomplacency.In 2010, to combat this issue
Doff rearranged sales territories and madeadjustments to the organizational structureof the company by re-
assigningsalespeopleto different operations.
Doff’s plan backfired and he was asked to leave the company. It is up to Jonathan Wiley to clean up Doff’s mess
and to decide how to dividethe region into territories and which accounts and salespeopleto assign to each one.
Company Objectives
The president of sales at Garrick Oil and Lubricants hasgiven Jonathan Wiley the task to move from Toronto to
Sudbury in order to rectify the mess left behind by the previous regional salesmanager,Rob Doff. Doff rearranged
regions’territories to no avail.Wiley must carefully evaluatethe ups and downs of Doff’s actions in order to
effectively carry out his own work.
Wiley is to determine the reasoningbehind the company’s Northern Ontario division havingsuch a lowpercentage
of dollar per sharecompared to the rest of Canada.Wiley should also find outwhy franchiseerelations are
deteriorating. He is to evaluateeach territory sales manager (TSM) and realign the regional division. If necessary,
regions must be divided into new territories.
Company Background
Garrick Oil and Lubricants(GOAL) is a multinational company that is activein more than 60 countries.It is amongst
the top four company’s in the oil and gas industry,globally.GOAL is known for its vertical integration and is active
in all areas of the industry (e.g. refining,distribution and marketing, power generation, etc.). Franchises around the
world handleGOAL’s downstream operations.
In 2014, the company managed about 770 franchised gas stations,and operated 46 company-owned gas stations
in largeCanadian urban areas.80%of these company-owned gas stations havesmall conveniencestores
incorporated into them.
GOAL’s consumer sales department is divided into 11 regions within Canada.Each region is subdivided into various
sales territories accordingthenumber of franchisees. The national vice-presidentof sales oversees the company’s
relationship with franchisees through the middleof 11 regional sales teams,consistingof a regional sales manager
(RSM), and various territory sales managers (TSM). The regional sales teamis responsiblefor maintainingservice
standards in the convenience stores, but is primarily focused on sellinggasolineand lubricants.
In Canada,gasolineis distributed to GOAL’s franchisees and outlets via a taskforceof company-owned tanker
trucks.In major cities likeToronto, lubricantsaredistributed by a company-owned fleet of vehicles;in smaller
cities,lubricants aredistributed by independent distributors.AKey account team in the Toronto head office
manages GOAL’s lubricantssales to national retail chains.
SituationAnalysis
Strengths
 Garrick oil isa multinational company operatingover 60 countries
 Ranked among the world’s top four in the oil and gas industry
 Manages 770 franchised gas station in Canada
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 80% of franchised gas station incorporated a small conveniencestore
 Vertical integration and downstream operations
 Control over demand and supply as Garrick oil isactivein all industry areas such asexploration,
production,refining,distribution,petrochemicals,marketing,power generation and trading
 Company-owned fleet of tanker trucks
Weaknesses
 Deteriorated relationship with franchisees in thepast
 Shortage of mid-level sales management talent
 Different levels of education and experience among TSM’s
 Reginal sales forcehas internal problem
Opportunities
 Providetrainingto sales rep to increasethe sales
 Hire additional TSMto manage the workload
 Implement incentiveplan for sales rep
 Conduct monthly meetings between RSM and TSM’s to evaluatethe assignments
 Maintain communication between TSM’s and franchisees to improve the relationship
Threats
 Economic factors such as increasein gas pricemay reduce sales
 Competitors enter the gas industry
 Changes in government regulation on distribution of gas
 Environmental concern
Market Analysis
GOAL, similar to Petro Canada and Shell,is a multinational with vertical integration in theoil industry.Across
northern Ontario,its products are sold in convenience stores as retail outlets.GOAL’s retail locationsare
composed of 20% of corporate-owned and 80% of the franchise-owned locations acrossCanada.In northern
Ontario,there were 43 franchiselocationsand 2 corporate-owned locations,which accounted for 3% of the
GOAL’s national share.
Whilethe operators,which were responsiblefor its daily operationsand were generally in the form of family
business,of GOAL are runningthe business,GOAL regularly sentsales managers on siteto ensure service
standards were met. In this case,the Northern Ontario region was headed by Jonathan Wiley,who had 4 regional
sales managers reportingto him. These regional sales managers oversawdifferentsales territories such as Thunder
Bay, Wawa, Timmins,etc.
In addition to providingretail sales to mass market, GOAL delivered its lubricantproducts to Walmartand
Canadian Tirethough Empire Oil in Thunder Bay, ON. Accordingto Canadian Fuels Association,downstream
activities involverefining(the process of manufacturingthe desired products from raw materials either imported
or domestically produced),distribution (storingand transportingproducts),and marketing(saleto different
customers such as retails,farms,and commercial users).
The logisticshappens in the followingregions:western refineries (from Vancouver to Thunder Bay), southern
Ontario refiners (SaultSte. Marie, and from Windsor to Ottawa), Montreal and Quebec City (from St. Lawrence
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11/23/2017 Marketing Plan page 5
River to Gaspe, QC, northern QC, and some parts of federal territories),and Atlantic refineries (NB, NL, NS, PE,
federal territories,and eastern seaboard of the US) (Canadian Fuels Association).
Segmentation
Tom Marie Jim Ben
% of Regional Sales 38% 28% 25% 9%
# of Locations 14 15 11 6
# of 3 Star
locations
1 4 6 0
# of 2 Star
Locations
10 3 0 3
# of 1 star
Locations
3 7 5 3
Years’ experience 20 16 7 1
Years in Company 18 8 2 1
Education N/A College College / CSP University
Performance
Star Rating
1 2 3 2
Age 50s 50s 30s 20s
Attitude Critical Friendly Positive/Eager Rookie
Address Thunder Bay Sault Ste Marie Sudbury Dryden
Assessment Falling Star Solid Performer Rising Star Rookie
Summary Tom has been in
the industry for a
long time. He may
be losinghis edge
and he is becoming
highly critical of
management's
decisions
Marie started of
slow but has grown
into a solid
performer. If
anyone is perfect
for teaching new
sales staff, it is
Marie
Jim is seen as the
person that can do
it. He is a great
sales person and is
formally trained in
sales. He has the
potential for great
things.
Ben has been in the
position for a year
but has achieved a
solid performance
rating in that
time. He is
university educated
and with the
proper training,
Ben could do great
things for GOAL.
Target Market:
The target market for the region is automotive servicestation in northern Ontario. They can be broken down into 3
categories; GOAL owned, franchises and independents. The objective is to servicethese locations in the following
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four categories;monthly sales planning,relationship building,business developmentand training& communication.
Sales staff need to maintain relationshipswith current customers and are required to develop new relationships to
expand sales. The sales staff currently consist of 4 team members Tom, Marie, Ben & Jim. These staff members all
haveadvantages to them. Tom is well seasoned with 18 years of experience. Mariehas grown into a solid performer.
Jim is an achiever and Ben is a rookie with a solid education. Jim is the target sales staff with great relations with
customers, a desire for more demanding work, professional sales training and a solid performance rating.
Current Market:
GOAL’s current market is the same as Petro Canada and Shell’s,the largestproviders in Canada.In the oil industry,
Goal is a multinational organization with vertical integration. It is divided by 11 regions in Canada. The Northern
Ontario Market is a vastregion,sparsely inhabited. The market for GOAL’s products aresold in servicestations that
incorporateconveniencestores. Its petrol is distributed via fleetowned tankers.Its major products aregasolineand
lubricants with add on sales of convenience store items. As its locations areservicestations alonghighways and in
more populated areas in the vast northern Ontario region, its current market is locals and people driving across
Ontario.
Potential Market:
There is a potential market for Goal’s products in independent service stations across northern Ontario. The
lubricants can besold to auto repair shops and auto parts distributors. Its gasolinecan besold to new franchises or
new corporateowned locationsstrategically located in high trafficareas. Thereis also a potential marketfor novelty
items as well as snacks in the service stations. As the population in northern Ontario grows, the potential market
will also continueto grow. Lastly,as tourismin Canadagrows,so will thepeoplewho will betravelingacrossCanada,
thus resulting in higher potential sales.
Competitive Analysis
The gasoline,oil and lubricantsindustry hasmany competitors. In Canada there are 97 different brands of gasoline
and 71 companies that market gasoline,and eight major refiner-marketers (Canadian Fuels Association). The three
largestof the major refiner-marketers are Imperial Oil,Shell and Petro Canada. Together they accountfor about
36% of gas stations in Canada (Natural Resources Canada). IrvingOil,Ultramar,Suncor Energy, Federated Co-op,
Husky and Chevron arethe next level of competition in the refiner-marketer space.
Sincethe productoffered by every gas station is very similar and interchangeablein the consumer’s mind, priceis
very often the factor that makes a consumer chooseone station over another. Service, loyalty rewards,other
products offered for sale,convenience and location can also play a bigpartin the success of a particulargas
station. Since the product and the priceare similar,thepositioningof the brands is a tightcluster.
High Price
Low Quality High Quality
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Low Price
Key Factors
Key Opportunities
 Restructure sales territories in theregion to improve sales
 Review each accountand determine who will the best person to assign
 Offer formal trainingto new and existingemployees to enhance and improve their sales and marketing
knowledge
 Focus on monthly sales planningto increasesales in each area
 Have regular meetings with all regional sales managers to discuss planning,priorities and other issues
 Reward employees with incentives based on performance to increaseemployee motivation.
Key SuccessFactors
 Awareness
 Success of Proposed Realignment of Sales Territories in the Region
 Successful results fromthe new structureof the regions
 Assign the rightsalesperson as leadersfor each of the territories
Key Uncertainties
 Competitive Reaction
 Consumer Acceptance
 Proposed Realignment of Territories may not be successful
 No guarantee that newly assigned salespeoplewill bringgood and improved results to the company
Alternatives
The tricky part of this is dealingwith people. Everyone has their own thoughts feelings and desires. The
psychological aspectof sales is very important.GOAL must understand that sales staff egos need to be constantly
stroked. Continuous trainingand sales seminarsarerecommended for all alternatives to continueto motivate the
sales staff. Also,the company mission and vision need to be emulated by all the sales staff. They are the face of
the company and they must sharein the vision and be ableto let customers sharein the vision. As a company
GOAL needs to set daily,weekly and monthly goals with the sales staff. This will allowGOAL to track the progress
on meeting and exceeding the goals thatthe sales staff createwith the company. The best way to kick off this
campaign is by rewardingthat sales staff with a weekend retreat. This is the platformwhere GOAL will recognize
all the hard work they have done for the company, focus on the company vision and make surethey also believein
it. Johnathan should also go with the sales staff on visits and build relationshipswith key customers and work on
one-star customers. GOAL as a company needs to evaluate the tools provided to their sales staff. If they feel that
they are not adequately equipped to sell,GOAL needs to address this.Lastly,all alternatives need to empower
GOALs customers. The customers need a way to notify GOAL in deficiencies,so Goal can overcome the objections
and sell more to the current customers. This platform, be it an App or onlineplatformis also a greatsellingfeature
to prospectivecustomers.
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1 – Create a team environment
Each individual territory should bemerged into two separateregions thus making2 teams of 2. This is to foster a
team environment for a cooperation between sales staff. Everyone needs a sick day or personal day here and
there to promote mental health. By havinga team environment, the team members can cover each other off and
allowfor a better work lifebalance. Also,this will establish a learningenvironment where each employee can
learn from their partner. The more senior staff will need their ego stroked. By tellingthem that sincethey have
done amazingwork, GOAL needs them to partaketheir experience onto the newer staff. The newer staff can then
also showthe more senior staff newer sales styles they have learned. This also allows thehiringof new sales staff
that can be guided by multiplesales professionals. Lastly,one-star customers can then have more than one rep to
go to if they need assistance.By offering an alternativeto dissatisfied customers,we can allowthem to choose
between the staff and/or allowdoublecoverage to make them feel that they arebeing serviced.
Pros:
 Cross coverage in caseof illness
 Foster a team environment
 Allows the customers an alternativein caseof personal dislikeof current sales professional
 Allows for the strokingof egos for all salesstaff;Senior sales staff can instructjunior staff with their
experience, New staff can show senior staff new sales styles
 Allows for double instruction for new hires
 Allows for sales staff to dividethe work to suittheir individual strengths;monthly sales planning,
relationship building,businessdevelopment and training& communication
 Allows for multiplesales professionals to grow clientele
Cons:
 Larger regions for each employee
 Potential for disagreements between team members
 Under performing staff can drag down performing staff
 Potential needs for management moderation for disagreements
 Senior staff may feel the need to manage newer staff which will createresentment
 Potential for resentment as staff may feel management change is unneeded
2 – Redistribute by current relationship status
It is understood that customer satisfaction has fallen. This needs to be fixed. One way to fix this is to send GOALs
best to these customers to regain their satisfaction. Jimhas shown exceptional abilitiesand is on the fasttrack to
be the very best. By leveraginghis and Johnathan’s capabilities,GOAL can regain the satisfaction of customers
that feel neglected. This will entail a lotof commitment for Jim and Johnathan. Jim has shown his desirefor more
challengingroles and this will givehimthe platformto do so. It is recommended that this be a short-term solution,
a year at most, as to not burn Jim out. It is also recommended that if Jim is successful in raisingthe customer star
ratingin 12 of the 17 regions, he should be promoted for his efforts. The efforts of Jim and Johnathan together
can be the changingtide for the dissatisfied customers. The other regions are divideby region.
Pros:
 Gives Jim and Johnathon the chanceto shinein dark areas
 Gives the best team members the ability to improve relationshipswith di ssatisfied customers
 Gives dissatisfied customers the best sales staff
 Allows for the other sales staff smaller regions
 Allows the other sales staff to focus on good customers and build relationshipswith them
 Allows other sales staff improved star ratings
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Cons:
 Extremely largearea for Jim & Johnathan to cover
 Can only be a short-term fix – one year
 Skews results of sales staff performanceby having2-3 stars for everyone except Jim
 Promotion for Jim must be given if successful thus causinga need for new hires
 May be physiologically tryingon Jim dealingwith dissatisfied customers
 Need for Johnathan to be in the field working
 If there is a bonus structure in place,itwill need to be reworked to reflect the challenges and advantages
of the new layout
3 – Package Tom
Tom has become disgruntled with GOAL. A disgruntled employee can become infectious and deteriorate the entire
team. Yes, he has been with the company for 18 years but is critical of management and speaks out against
management. This is unacceptable. By being this way, he does not sharein GOALs mission and vision. Itmay be
time to package Tom off and hirepeople that want to be here.
Pros
 Eliminates negativity in the region
 Allows for new blood that want to be here
 Shows all staff members the being critical of management is unacceptable
 Allows for hiringof higher educated individuals
 Allows for a lucrativeregion to be given to a deservingindividual
 Sends a strong message that it is importantto be a team member and to believe in GOAL and its
management
Cons
 May send the wrong message
 Does not reward the hard work 18 years of servicemeans
 May offend customers that have builta relationship with Tom
 Tom may then go to the competition and steal customers
 Need to find suitablereplacements
 Leaves only one experienced staff member in the region
 Sales staff respond better to carrots than sticks
4 - Status Quo with enhanced incentives
The sales staff havebuiltrelationshipswith the customers. These relationshipsshould notbe disrupted by
changingwho they must deal with and start over. By addingincentives over and above the required changes to all
alternatives listatthe beginningof this section, added incentives should givethe motivation to do better. Being
that these are sales people,competition is partof their psychological makeup (or should be). By allowingfor the
added incentive of winningcompetitions for; most improved region, most new customers, most improved sales
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and best overall rating,this will allowGOAL to reward it hardestworking staff, incitethe sales teamto be the best
and show GOAL who really is the best they have.
Pros:
 Sales staff respond better to carrots rather than sticks
 Allows GOAL to recognize its staff that have done better
 Rewards the efforts of hard working staff
 Customers should become more satisfied
 More new customers mean more new sales
 Friendly competition enhances job enjoyment
 Fun way to improve the region overall
Cons:
 Incentives need to good enough to excite the staff to compete
 Added time for sales staff meetings to recognize the winners
 If only one team member competes, the incentives arewasted
 Monthly, quarterly and year overall rewards would need to be given so everyone feels they need to keep
trying
 Added cost of the prizes
 The prizes need to be decided on prior to announcing
 Oppositeeffect if sales staff feel they cannot win
5 - Status Quo
By leavingthings the way they are, sales staff know what is expected of them and what they need to do. The listed
requirements for all alternatives should beenough to enhance the working environment. By usingthe stick
(packagingTom off) or the carrot (bribingthe staff to do their job) GOAL is not focusingon what itreally needs to
do. The followingareitems that need to be implemented for all alternatives:
 Stroke the sales staff ego
 Continuous trainingand sales seminars
 Company mission and vision need to be constantly & consistently represented by staff and management
 Daily,weekly and monthly goals need to be created with the sales staff.
 Reward that sales staff with a weekend retreat to starteach new quarter
 Management needs to recognize hard work constantly
 Johnathan to do field visits to supporthis staff and solidify customer relationships
 Evaluate the tools provided sales staff and improvethem
 Empower GOALs customers with a way to notify GOAL deficiencies via an app or onlinein rea l time
Recommendations
We would recommend creatingtwo sales teams, one of Tom and Ben in the northern partof the region, and
Melissa and Jimin the southern area. Havinga partner to sharethe responsibilitiesand management of the
territory will bea huge benefit. Each team will havesomeone to balancetheir strengths and weaknesses, and
improve the relationshipswith the franchisees. Where one person may not be ableto build a strongrelationship
with a franchisee,the other partner may have a better connection and we should seeoverall relationship ratings
improve.
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Tom is a long-time employee with a deep understandingof the company, the industry and the market. His
experience and knowledge would be valuableto Ben who is new to the company and the industry. Ben would
benefit from the mentorship that Tom can offer.
Tom is losinghisenthusiasmfor the business and it’s startingto show in his attitude. Givinghim a subordinateto
mentor will requirehim to teach and set an example for Ben to follow. Havingsomeone working with him, helping
to hold himaccountablewill improvethe overall performanceof the area they together manage. Tom may also
benefit from Ben’s formal education in business to improve professionally.
The team of Melissa and Jimalso pairsan experienced but uneducated person with a more junior person but a
person with some formal business and salestraining.
Alternative two is not a good suggestion. Although it would put Jim, who has proven sales and relationship
buildingskills,ableto work with all thelowest rated franchises,itmeans that his territory would encompass the
entire region. The travel would be cumbersome and the territory too much for one person to manage.
Alternative three would see Garrick offeringTom a packageto leave the company. His attitude and performance
recently has been deterioratingand is havinga negative impacton sales performanceand relationship building
with the franchisees. It’s importantfor a representative of Garrick to promote the company and the products with
enthusiasmand professionality. If Tom is no longer capableof this on a consistentbasis,heshould be replaced
with someone who can. We are not recommending this alternativeat this time though, becausewe believe a
change in the structure of the territory could re-inspireTom and improve his performance. This option should be
tried before askingTom to leave.
Alternative four would mean leavingthe territories as they are and trying incentives to inspirethe TSMs to
improve their performance. This alternativeis a good alternative, but not recommended at this time because it
would not likely be as effective as the firstalternativeand would incur additional coststhatmay not benefit the
business. If the chosen alternativeis not successful, this could beconsidered as a contingency.
Status Quo is an option sinceJonathan is new to his position.He may be ableto rally the team without making any
changes to the structure, but we feel that change would be more effective. Jonathan’s leadership in combination
with change would be a much more effective option with more immediate results.
ActionPlan
Date Item Description
Immediately
Make detailed territory
assignments
Plan exactly what locations each team will beresponsiblefor.
Immediately Listpros and cons of plan Organizereasons for implementing the sales teamplan
Immediately Prepare proposal
Prepare a presentation of the plan to present to the VP of
sales on Monday, should includea time line,detailed action
plan and specific measurablegoals.
Monday Meeting with VP Sales Present proposal and discussplansfor implementation.
Tuesday Schedule regional meeting
Invite all TSMs to a regional meeting where plan will be
presented.
Remainder of
next week
Plan regional meeting
Prepare a presentation to sell the plan to the TSMs.
Presentation should explain the rationalebehind it,the steps
for implementation, goals,benefits to TSMs, and new roles
and responsibilities.
Next week Host regional meeting Present plan to TSMS.
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Post meeting TSMs meet with partner
Each team should spend some time talkingabout the
franchises in their territory,shareinformation and develop a
3-month plan for managingthe territory as a team.
Post meeting
to 3 months
Implement the plan
Teams will work together visitingtheir franchises and
managingtheir business.
3 months Followup team meetings
Each team will havea meeting with Jonathan to review
experiences to date and report on the successes and
challenges they have had.
3 months
Review feedback and make
revisions to plan
Jonathan will analyzethe results to date and the feedback
from the TSMs to see if any changes arerequired
3 months Followup report to VP Sales
Jonathan will reportback to the VP Sales with progress that
has been made.
3+ months
Implements changes,continue
to monitor
If any improvements or changes were indicated,implement
these and continue to work with teams to improve
relationshipswith each other and the franchisees.
Contingency
Should the chosen alternativeyield unfavourable or insufficientresults,itis recommended that alternativefour be
revisited and implemented. Additional incentiveto work will changethe pace for long-time employees at GOAL
and give them, as well as new employees, a boost of motivation.In turn, employees are likely to reach a higher
percentage of their sales quota,and company morale is likely to increase.
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Appendix – newpage here (remove this text of course)
Alternative1 –By Teams
Region
# of
Location
s
Relatio
n
Rating
GOAL
Owne
d
% of
sale
s
Team
s
# of
Territorie
s
% of
Sale
s
Hwy 17 SaultSte.Marie - Thunder
Bay 3 2 5% T&B 19 47%
ThunderBay 5 2 2 11% T&B
ThunderBay LubricantsDistributor 1 3 17% T&B
Hwy11 Timmins - ThunderBay 3 1 5% T&B
Drydan 2 2 3% T&B
Fort Francis 1 1 1% T&B
Neebing 1 1 2% T&B
Sioux Lookout 1 2 2% T&B
Hwy 17 Sault ThunderBay-Dryden 1 1 1% T&B
NorthBay 5 1 11% J&M 26 53%
Sudbury 6 3 14% J&M
SaultSte.Marie 6 1 10% J&M
Timmins 2 3 3% J&M
Wawa 1 2 2% J&M
Hwy11 Timmins - North Bay 2 2 5% J&M
Hwy 17 SaultSte.Marie - North
Bay 4 3 8% J&M
Alternative2 –Br RelationshipRating
Region
Relationship
Rating G O A L
% of
sales # of Loc
% of
Sales
Fort Francis 1 1% Jim 1
Neebing 1 2% Jim 1
Hwy 17 Sault ThunderBay-Dryden 1 1% Jim 1
NorthBay 1 11% Jim 5
SaultSte.Marie 1 10% Jim 6
Hwy11 Timmins - ThunderBay 1 5% Jim 3 30%
Drydan 2 3% Ben 2
Sioux Lookout 2 2% Ben 1
ThunderBay Lubricants
Distributor
3
17% Ben 1 22%
Hwy 17 SaultSte.Marie - Thunder
Bay
2
5% Marie 3
Sudbury 3 14% Marie 6
Hwy 17 SaultSte.Marie - North
Bay
3
8% Marie 4 27%
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ThunderBay 2 2 11% Tom 5
Hwy11 Timmins - North Bay 2 5% Tom 2
Timmins 3 3% Tom 2
Wawa 2 2% Tom 1 21%
Alternative3 –Package Tom
Region # of Loc
Relationship
Rating
G O A
L
% of
sales TSM
# OF
TER
Toal %
of Sales
Drydan 2 2 3% Ben 13 20%
Fort Francis 1 1 1% Ben
Neebing 1 1 2% Ben
Sioux Lookout 1 2 2% Ben
Hwy 17 Sault ThunderBay-
Dryden 1 1 1% Ben
ThunderBay 5 2 2 11% Ben
NorthBay 5 1 11% Marie 21 43%
Sudbury 6 3 14% Marie
SaultSte.Marie 6 1 10% Marie
Hwy 17 SaultSte.Marie - North
Bay 4 3 8% Marie
Timmins 2 3 3% Jim 12 37%
Wawa 1 2 2% Jim
Hwy11 Timmins - North Bay 2 2 5% Jim
Hwy 17 SaultSte.Marie - Thunder
Bay 3 2 5% jim
ThunderBay Lubricants
Distributor 1 3 17% Jim
Hwy11 Timmins - ThunderBay 3 1 5% Jim
Alternative4 –Status Quo withIncentives
Region
# of
Location
s
Relatio
n Rating
GOAL
Owned
% of
sale
s TSM
# OF
Locations
Drydan 2 2 3% Ben 6
Fort Francis 1 1 1% Ben
Neebing 1 1 2% Ben
Sioux Lookout 1 2 2% Ben
Hwy 17 Sault ThunderBay-Dryden 1 1 1% Ben
NorthBay 5 1 11% Jim 11
Sudbury 6 3 14% Jim
SaultSte.Marie 6 1 10% Marie 15
Timmins 2 3 3% Marie
Wawa 1 2 2% Marie
Hwy11 Timmins - North Bay 2 2 5% Marie
Company Name
11/23/2017 Marketing Plan page 15
Hwy 17 SaultSte.Marie - North
Bay 4 3 8% Marie
Hwy 17 SaultSte.Marie - Thunder
Bay 3 2 5% Tom 12
ThunderBay 5 2 2 11% Tom
ThunderBay LubricantsDistributor 1 3 17% Tom
Hwy11 Timmins - ThunderBay 3 1 5% Tom
Alternative5 –Status Quo
Region
# of
Location
s
Relatio
n Rating
GOAL
Owned
% of
sale
s TSM
# OF
Locations
Drydan 2 2 3% Ben 6
Fort Francis 1 1 1% Ben
Neebing 1 1 2% Ben
Sioux Lookout 1 2 2% Ben
Hwy 17 Sault ThunderBay-Dryden 1 1 1% Ben
NorthBay 5 1 11% Jim 11
Sudbury 6 3 14% Jim
SaultSte.Marie 6 1 10% Marie 15
Timmins 2 3 3% Marie
Wawa 1 2 2% Marie
Hwy11 Timmins - North Bay 2 2 5% Marie
Hwy 17 SaultSte.Marie - North
Bay 4 3 8% Marie
Hwy 17 SaultSte.Marie - Thunder
Bay 3 2 5% Tom 12
ThunderBay 5 2 2 11% Tom
ThunderBay LubricantsDistributor 1 3 17% Tom
Hwy11 Timmins - ThunderBay 3 1 5% Tom
References
http://www.canadianfuels.ca/The-Fuels-Industry/Fuel-Retailing/
http://www.nrcan.gc.ca/energy/crude-petroleum/5897
Canadian Fuels Association. (n.d.). The Fuel Industry - What you need to know about our industry. Retrieved
Nov 15, 2017, from Canadian Fuels Association: http://www.canadianfuels.ca/The-Fuels-Industry/Fuel-
Distribution/

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Module 9 group f garrick oil draft

  • 1. Garrick Oil Marketing Plan November 19, 2017 Presented by: Carstensen, Micheal Ghorbani, Negin (IR) Knelsen, Brenda Lalata, Rachelle Pratheeharan, Dushyanthy Tang, Si
  • 2. Company Name 11/23/2017 Marketing Plan page 2 Executive Summary JonathanWileyisanticipatingameetingwithhisboss,the national vice-presidentof salesatGarrick Oil and Lubricants(GOAL).Wileyknowsthatthismeetingwillsurroundthe issuestakingplace atGOAL,and he is tryingto come up witha planto fix them. In 2009, GOAL saw a notable decrease insalesandfranchiseerelations.Withinthe nextyear,the regional salesmanageratthe time,RobDoff,attemptedtoresolve theseproblemsbywayof rearrangingsalesterritoriesandmakingadjustmentstothe organizational structure of the companyby re-assigningsalespeopletodifferentoperations.Doff’splanfailedandhe wasaskedto leave the company. UsingDoff’splanas a strict outline of whatnotto do, Wileymustcarefullyconsiderthe problemat GOAL and make the appropriate decisionsabouthow todivide the regionintoterritoriesandwhich accounts andsalespeople toassigntoeachone. Wileymayconsiderthe followingpossible alternatives: 1 – Create a teamenvironment 2 – Redistribute bycurrentrelationshipstatus 3 – Package Tom 4 – Status Quowithenhancedincentives 5 – Status Quo Alternative1is recommended.We wouldrecommendcreatingtwosalesteams.Foremployees,having a partner to share the responsibilitiesandmanagementof the territorywill be ahuge benefit. Employeeswill have someonetobalance theirstrengthsandweaknesses,andimprove the relationships withthe franchisees. Where one personmaynotbe able to builda strongrelationshipwitha franchisee,the otherpartnermayhave a betterconnectionandwe shouldsee overall relationship ratingsimprove. If the recommendedalternative isunsuccessful,itisrecommendedthatalternative4be revisitedand implemented.Additional incentive toworkwill change the pace forlong-timeemployeesatGOAL and give them,aswell asnewemployees,aboostof motivation.Inturn,employeesare likelytoreacha higherpercentage of theirsalesquota,andcompanymorale islikelytoincrease.
  • 3. Company Name 11/23/2017 Marketing Plan page 3 ProblemStatements In 2009, sales in the Northern Ontario region for Garrick Oil and Lubricants (GOAL) started to decline.Franchisees were receivingless serviceand their relationship with the company deteriorated. Rob Doff, the regional sales manager at the time, believed this issueto be caused by sales forcecomplacency.In 2010, to combat this issue Doff rearranged sales territories and madeadjustments to the organizational structureof the company by re- assigningsalespeopleto different operations. Doff’s plan backfired and he was asked to leave the company. It is up to Jonathan Wiley to clean up Doff’s mess and to decide how to dividethe region into territories and which accounts and salespeopleto assign to each one. Company Objectives The president of sales at Garrick Oil and Lubricants hasgiven Jonathan Wiley the task to move from Toronto to Sudbury in order to rectify the mess left behind by the previous regional salesmanager,Rob Doff. Doff rearranged regions’territories to no avail.Wiley must carefully evaluatethe ups and downs of Doff’s actions in order to effectively carry out his own work. Wiley is to determine the reasoningbehind the company’s Northern Ontario division havingsuch a lowpercentage of dollar per sharecompared to the rest of Canada.Wiley should also find outwhy franchiseerelations are deteriorating. He is to evaluateeach territory sales manager (TSM) and realign the regional division. If necessary, regions must be divided into new territories. Company Background Garrick Oil and Lubricants(GOAL) is a multinational company that is activein more than 60 countries.It is amongst the top four company’s in the oil and gas industry,globally.GOAL is known for its vertical integration and is active in all areas of the industry (e.g. refining,distribution and marketing, power generation, etc.). Franchises around the world handleGOAL’s downstream operations. In 2014, the company managed about 770 franchised gas stations,and operated 46 company-owned gas stations in largeCanadian urban areas.80%of these company-owned gas stations havesmall conveniencestores incorporated into them. GOAL’s consumer sales department is divided into 11 regions within Canada.Each region is subdivided into various sales territories accordingthenumber of franchisees. The national vice-presidentof sales oversees the company’s relationship with franchisees through the middleof 11 regional sales teams,consistingof a regional sales manager (RSM), and various territory sales managers (TSM). The regional sales teamis responsiblefor maintainingservice standards in the convenience stores, but is primarily focused on sellinggasolineand lubricants. In Canada,gasolineis distributed to GOAL’s franchisees and outlets via a taskforceof company-owned tanker trucks.In major cities likeToronto, lubricantsaredistributed by a company-owned fleet of vehicles;in smaller cities,lubricants aredistributed by independent distributors.AKey account team in the Toronto head office manages GOAL’s lubricantssales to national retail chains. SituationAnalysis Strengths  Garrick oil isa multinational company operatingover 60 countries  Ranked among the world’s top four in the oil and gas industry  Manages 770 franchised gas station in Canada
  • 4. Company Name 11/23/2017 Marketing Plan page 4  80% of franchised gas station incorporated a small conveniencestore  Vertical integration and downstream operations  Control over demand and supply as Garrick oil isactivein all industry areas such asexploration, production,refining,distribution,petrochemicals,marketing,power generation and trading  Company-owned fleet of tanker trucks Weaknesses  Deteriorated relationship with franchisees in thepast  Shortage of mid-level sales management talent  Different levels of education and experience among TSM’s  Reginal sales forcehas internal problem Opportunities  Providetrainingto sales rep to increasethe sales  Hire additional TSMto manage the workload  Implement incentiveplan for sales rep  Conduct monthly meetings between RSM and TSM’s to evaluatethe assignments  Maintain communication between TSM’s and franchisees to improve the relationship Threats  Economic factors such as increasein gas pricemay reduce sales  Competitors enter the gas industry  Changes in government regulation on distribution of gas  Environmental concern Market Analysis GOAL, similar to Petro Canada and Shell,is a multinational with vertical integration in theoil industry.Across northern Ontario,its products are sold in convenience stores as retail outlets.GOAL’s retail locationsare composed of 20% of corporate-owned and 80% of the franchise-owned locations acrossCanada.In northern Ontario,there were 43 franchiselocationsand 2 corporate-owned locations,which accounted for 3% of the GOAL’s national share. Whilethe operators,which were responsiblefor its daily operationsand were generally in the form of family business,of GOAL are runningthe business,GOAL regularly sentsales managers on siteto ensure service standards were met. In this case,the Northern Ontario region was headed by Jonathan Wiley,who had 4 regional sales managers reportingto him. These regional sales managers oversawdifferentsales territories such as Thunder Bay, Wawa, Timmins,etc. In addition to providingretail sales to mass market, GOAL delivered its lubricantproducts to Walmartand Canadian Tirethough Empire Oil in Thunder Bay, ON. Accordingto Canadian Fuels Association,downstream activities involverefining(the process of manufacturingthe desired products from raw materials either imported or domestically produced),distribution (storingand transportingproducts),and marketing(saleto different customers such as retails,farms,and commercial users). The logisticshappens in the followingregions:western refineries (from Vancouver to Thunder Bay), southern Ontario refiners (SaultSte. Marie, and from Windsor to Ottawa), Montreal and Quebec City (from St. Lawrence
  • 5. Company Name 11/23/2017 Marketing Plan page 5 River to Gaspe, QC, northern QC, and some parts of federal territories),and Atlantic refineries (NB, NL, NS, PE, federal territories,and eastern seaboard of the US) (Canadian Fuels Association). Segmentation Tom Marie Jim Ben % of Regional Sales 38% 28% 25% 9% # of Locations 14 15 11 6 # of 3 Star locations 1 4 6 0 # of 2 Star Locations 10 3 0 3 # of 1 star Locations 3 7 5 3 Years’ experience 20 16 7 1 Years in Company 18 8 2 1 Education N/A College College / CSP University Performance Star Rating 1 2 3 2 Age 50s 50s 30s 20s Attitude Critical Friendly Positive/Eager Rookie Address Thunder Bay Sault Ste Marie Sudbury Dryden Assessment Falling Star Solid Performer Rising Star Rookie Summary Tom has been in the industry for a long time. He may be losinghis edge and he is becoming highly critical of management's decisions Marie started of slow but has grown into a solid performer. If anyone is perfect for teaching new sales staff, it is Marie Jim is seen as the person that can do it. He is a great sales person and is formally trained in sales. He has the potential for great things. Ben has been in the position for a year but has achieved a solid performance rating in that time. He is university educated and with the proper training, Ben could do great things for GOAL. Target Market: The target market for the region is automotive servicestation in northern Ontario. They can be broken down into 3 categories; GOAL owned, franchises and independents. The objective is to servicethese locations in the following
  • 6. Company Name 11/23/2017 Marketing Plan page 6 four categories;monthly sales planning,relationship building,business developmentand training& communication. Sales staff need to maintain relationshipswith current customers and are required to develop new relationships to expand sales. The sales staff currently consist of 4 team members Tom, Marie, Ben & Jim. These staff members all haveadvantages to them. Tom is well seasoned with 18 years of experience. Mariehas grown into a solid performer. Jim is an achiever and Ben is a rookie with a solid education. Jim is the target sales staff with great relations with customers, a desire for more demanding work, professional sales training and a solid performance rating. Current Market: GOAL’s current market is the same as Petro Canada and Shell’s,the largestproviders in Canada.In the oil industry, Goal is a multinational organization with vertical integration. It is divided by 11 regions in Canada. The Northern Ontario Market is a vastregion,sparsely inhabited. The market for GOAL’s products aresold in servicestations that incorporateconveniencestores. Its petrol is distributed via fleetowned tankers.Its major products aregasolineand lubricants with add on sales of convenience store items. As its locations areservicestations alonghighways and in more populated areas in the vast northern Ontario region, its current market is locals and people driving across Ontario. Potential Market: There is a potential market for Goal’s products in independent service stations across northern Ontario. The lubricants can besold to auto repair shops and auto parts distributors. Its gasolinecan besold to new franchises or new corporateowned locationsstrategically located in high trafficareas. Thereis also a potential marketfor novelty items as well as snacks in the service stations. As the population in northern Ontario grows, the potential market will also continueto grow. Lastly,as tourismin Canadagrows,so will thepeoplewho will betravelingacrossCanada, thus resulting in higher potential sales. Competitive Analysis The gasoline,oil and lubricantsindustry hasmany competitors. In Canada there are 97 different brands of gasoline and 71 companies that market gasoline,and eight major refiner-marketers (Canadian Fuels Association). The three largestof the major refiner-marketers are Imperial Oil,Shell and Petro Canada. Together they accountfor about 36% of gas stations in Canada (Natural Resources Canada). IrvingOil,Ultramar,Suncor Energy, Federated Co-op, Husky and Chevron arethe next level of competition in the refiner-marketer space. Sincethe productoffered by every gas station is very similar and interchangeablein the consumer’s mind, priceis very often the factor that makes a consumer chooseone station over another. Service, loyalty rewards,other products offered for sale,convenience and location can also play a bigpartin the success of a particulargas station. Since the product and the priceare similar,thepositioningof the brands is a tightcluster. High Price Low Quality High Quality
  • 7. Company Name 11/23/2017 Marketing Plan page 7 Low Price Key Factors Key Opportunities  Restructure sales territories in theregion to improve sales  Review each accountand determine who will the best person to assign  Offer formal trainingto new and existingemployees to enhance and improve their sales and marketing knowledge  Focus on monthly sales planningto increasesales in each area  Have regular meetings with all regional sales managers to discuss planning,priorities and other issues  Reward employees with incentives based on performance to increaseemployee motivation. Key SuccessFactors  Awareness  Success of Proposed Realignment of Sales Territories in the Region  Successful results fromthe new structureof the regions  Assign the rightsalesperson as leadersfor each of the territories Key Uncertainties  Competitive Reaction  Consumer Acceptance  Proposed Realignment of Territories may not be successful  No guarantee that newly assigned salespeoplewill bringgood and improved results to the company Alternatives The tricky part of this is dealingwith people. Everyone has their own thoughts feelings and desires. The psychological aspectof sales is very important.GOAL must understand that sales staff egos need to be constantly stroked. Continuous trainingand sales seminarsarerecommended for all alternatives to continueto motivate the sales staff. Also,the company mission and vision need to be emulated by all the sales staff. They are the face of the company and they must sharein the vision and be ableto let customers sharein the vision. As a company GOAL needs to set daily,weekly and monthly goals with the sales staff. This will allowGOAL to track the progress on meeting and exceeding the goals thatthe sales staff createwith the company. The best way to kick off this campaign is by rewardingthat sales staff with a weekend retreat. This is the platformwhere GOAL will recognize all the hard work they have done for the company, focus on the company vision and make surethey also believein it. Johnathan should also go with the sales staff on visits and build relationshipswith key customers and work on one-star customers. GOAL as a company needs to evaluate the tools provided to their sales staff. If they feel that they are not adequately equipped to sell,GOAL needs to address this.Lastly,all alternatives need to empower GOALs customers. The customers need a way to notify GOAL in deficiencies,so Goal can overcome the objections and sell more to the current customers. This platform, be it an App or onlineplatformis also a greatsellingfeature to prospectivecustomers.
  • 8. Company Name 11/23/2017 Marketing Plan page 8 1 – Create a team environment Each individual territory should bemerged into two separateregions thus making2 teams of 2. This is to foster a team environment for a cooperation between sales staff. Everyone needs a sick day or personal day here and there to promote mental health. By havinga team environment, the team members can cover each other off and allowfor a better work lifebalance. Also,this will establish a learningenvironment where each employee can learn from their partner. The more senior staff will need their ego stroked. By tellingthem that sincethey have done amazingwork, GOAL needs them to partaketheir experience onto the newer staff. The newer staff can then also showthe more senior staff newer sales styles they have learned. This also allows thehiringof new sales staff that can be guided by multiplesales professionals. Lastly,one-star customers can then have more than one rep to go to if they need assistance.By offering an alternativeto dissatisfied customers,we can allowthem to choose between the staff and/or allowdoublecoverage to make them feel that they arebeing serviced. Pros:  Cross coverage in caseof illness  Foster a team environment  Allows the customers an alternativein caseof personal dislikeof current sales professional  Allows for the strokingof egos for all salesstaff;Senior sales staff can instructjunior staff with their experience, New staff can show senior staff new sales styles  Allows for double instruction for new hires  Allows for sales staff to dividethe work to suittheir individual strengths;monthly sales planning, relationship building,businessdevelopment and training& communication  Allows for multiplesales professionals to grow clientele Cons:  Larger regions for each employee  Potential for disagreements between team members  Under performing staff can drag down performing staff  Potential needs for management moderation for disagreements  Senior staff may feel the need to manage newer staff which will createresentment  Potential for resentment as staff may feel management change is unneeded 2 – Redistribute by current relationship status It is understood that customer satisfaction has fallen. This needs to be fixed. One way to fix this is to send GOALs best to these customers to regain their satisfaction. Jimhas shown exceptional abilitiesand is on the fasttrack to be the very best. By leveraginghis and Johnathan’s capabilities,GOAL can regain the satisfaction of customers that feel neglected. This will entail a lotof commitment for Jim and Johnathan. Jim has shown his desirefor more challengingroles and this will givehimthe platformto do so. It is recommended that this be a short-term solution, a year at most, as to not burn Jim out. It is also recommended that if Jim is successful in raisingthe customer star ratingin 12 of the 17 regions, he should be promoted for his efforts. The efforts of Jim and Johnathan together can be the changingtide for the dissatisfied customers. The other regions are divideby region. Pros:  Gives Jim and Johnathon the chanceto shinein dark areas  Gives the best team members the ability to improve relationshipswith di ssatisfied customers  Gives dissatisfied customers the best sales staff  Allows for the other sales staff smaller regions  Allows the other sales staff to focus on good customers and build relationshipswith them  Allows other sales staff improved star ratings
  • 9. Company Name 11/23/2017 Marketing Plan page 9 Cons:  Extremely largearea for Jim & Johnathan to cover  Can only be a short-term fix – one year  Skews results of sales staff performanceby having2-3 stars for everyone except Jim  Promotion for Jim must be given if successful thus causinga need for new hires  May be physiologically tryingon Jim dealingwith dissatisfied customers  Need for Johnathan to be in the field working  If there is a bonus structure in place,itwill need to be reworked to reflect the challenges and advantages of the new layout 3 – Package Tom Tom has become disgruntled with GOAL. A disgruntled employee can become infectious and deteriorate the entire team. Yes, he has been with the company for 18 years but is critical of management and speaks out against management. This is unacceptable. By being this way, he does not sharein GOALs mission and vision. Itmay be time to package Tom off and hirepeople that want to be here. Pros  Eliminates negativity in the region  Allows for new blood that want to be here  Shows all staff members the being critical of management is unacceptable  Allows for hiringof higher educated individuals  Allows for a lucrativeregion to be given to a deservingindividual  Sends a strong message that it is importantto be a team member and to believe in GOAL and its management Cons  May send the wrong message  Does not reward the hard work 18 years of servicemeans  May offend customers that have builta relationship with Tom  Tom may then go to the competition and steal customers  Need to find suitablereplacements  Leaves only one experienced staff member in the region  Sales staff respond better to carrots than sticks 4 - Status Quo with enhanced incentives The sales staff havebuiltrelationshipswith the customers. These relationshipsshould notbe disrupted by changingwho they must deal with and start over. By addingincentives over and above the required changes to all alternatives listatthe beginningof this section, added incentives should givethe motivation to do better. Being that these are sales people,competition is partof their psychological makeup (or should be). By allowingfor the added incentive of winningcompetitions for; most improved region, most new customers, most improved sales
  • 10. Company Name 11/23/2017 Marketing Plan page 10 and best overall rating,this will allowGOAL to reward it hardestworking staff, incitethe sales teamto be the best and show GOAL who really is the best they have. Pros:  Sales staff respond better to carrots rather than sticks  Allows GOAL to recognize its staff that have done better  Rewards the efforts of hard working staff  Customers should become more satisfied  More new customers mean more new sales  Friendly competition enhances job enjoyment  Fun way to improve the region overall Cons:  Incentives need to good enough to excite the staff to compete  Added time for sales staff meetings to recognize the winners  If only one team member competes, the incentives arewasted  Monthly, quarterly and year overall rewards would need to be given so everyone feels they need to keep trying  Added cost of the prizes  The prizes need to be decided on prior to announcing  Oppositeeffect if sales staff feel they cannot win 5 - Status Quo By leavingthings the way they are, sales staff know what is expected of them and what they need to do. The listed requirements for all alternatives should beenough to enhance the working environment. By usingthe stick (packagingTom off) or the carrot (bribingthe staff to do their job) GOAL is not focusingon what itreally needs to do. The followingareitems that need to be implemented for all alternatives:  Stroke the sales staff ego  Continuous trainingand sales seminars  Company mission and vision need to be constantly & consistently represented by staff and management  Daily,weekly and monthly goals need to be created with the sales staff.  Reward that sales staff with a weekend retreat to starteach new quarter  Management needs to recognize hard work constantly  Johnathan to do field visits to supporthis staff and solidify customer relationships  Evaluate the tools provided sales staff and improvethem  Empower GOALs customers with a way to notify GOAL deficiencies via an app or onlinein rea l time Recommendations We would recommend creatingtwo sales teams, one of Tom and Ben in the northern partof the region, and Melissa and Jimin the southern area. Havinga partner to sharethe responsibilitiesand management of the territory will bea huge benefit. Each team will havesomeone to balancetheir strengths and weaknesses, and improve the relationshipswith the franchisees. Where one person may not be ableto build a strongrelationship with a franchisee,the other partner may have a better connection and we should seeoverall relationship ratings improve.
  • 11. Company Name 11/23/2017 Marketing Plan page 11 Tom is a long-time employee with a deep understandingof the company, the industry and the market. His experience and knowledge would be valuableto Ben who is new to the company and the industry. Ben would benefit from the mentorship that Tom can offer. Tom is losinghisenthusiasmfor the business and it’s startingto show in his attitude. Givinghim a subordinateto mentor will requirehim to teach and set an example for Ben to follow. Havingsomeone working with him, helping to hold himaccountablewill improvethe overall performanceof the area they together manage. Tom may also benefit from Ben’s formal education in business to improve professionally. The team of Melissa and Jimalso pairsan experienced but uneducated person with a more junior person but a person with some formal business and salestraining. Alternative two is not a good suggestion. Although it would put Jim, who has proven sales and relationship buildingskills,ableto work with all thelowest rated franchises,itmeans that his territory would encompass the entire region. The travel would be cumbersome and the territory too much for one person to manage. Alternative three would see Garrick offeringTom a packageto leave the company. His attitude and performance recently has been deterioratingand is havinga negative impacton sales performanceand relationship building with the franchisees. It’s importantfor a representative of Garrick to promote the company and the products with enthusiasmand professionality. If Tom is no longer capableof this on a consistentbasis,heshould be replaced with someone who can. We are not recommending this alternativeat this time though, becausewe believe a change in the structure of the territory could re-inspireTom and improve his performance. This option should be tried before askingTom to leave. Alternative four would mean leavingthe territories as they are and trying incentives to inspirethe TSMs to improve their performance. This alternativeis a good alternative, but not recommended at this time because it would not likely be as effective as the firstalternativeand would incur additional coststhatmay not benefit the business. If the chosen alternativeis not successful, this could beconsidered as a contingency. Status Quo is an option sinceJonathan is new to his position.He may be ableto rally the team without making any changes to the structure, but we feel that change would be more effective. Jonathan’s leadership in combination with change would be a much more effective option with more immediate results. ActionPlan Date Item Description Immediately Make detailed territory assignments Plan exactly what locations each team will beresponsiblefor. Immediately Listpros and cons of plan Organizereasons for implementing the sales teamplan Immediately Prepare proposal Prepare a presentation of the plan to present to the VP of sales on Monday, should includea time line,detailed action plan and specific measurablegoals. Monday Meeting with VP Sales Present proposal and discussplansfor implementation. Tuesday Schedule regional meeting Invite all TSMs to a regional meeting where plan will be presented. Remainder of next week Plan regional meeting Prepare a presentation to sell the plan to the TSMs. Presentation should explain the rationalebehind it,the steps for implementation, goals,benefits to TSMs, and new roles and responsibilities. Next week Host regional meeting Present plan to TSMS.
  • 12. Company Name 11/23/2017 Marketing Plan page 12 Post meeting TSMs meet with partner Each team should spend some time talkingabout the franchises in their territory,shareinformation and develop a 3-month plan for managingthe territory as a team. Post meeting to 3 months Implement the plan Teams will work together visitingtheir franchises and managingtheir business. 3 months Followup team meetings Each team will havea meeting with Jonathan to review experiences to date and report on the successes and challenges they have had. 3 months Review feedback and make revisions to plan Jonathan will analyzethe results to date and the feedback from the TSMs to see if any changes arerequired 3 months Followup report to VP Sales Jonathan will reportback to the VP Sales with progress that has been made. 3+ months Implements changes,continue to monitor If any improvements or changes were indicated,implement these and continue to work with teams to improve relationshipswith each other and the franchisees. Contingency Should the chosen alternativeyield unfavourable or insufficientresults,itis recommended that alternativefour be revisited and implemented. Additional incentiveto work will changethe pace for long-time employees at GOAL and give them, as well as new employees, a boost of motivation.In turn, employees are likely to reach a higher percentage of their sales quota,and company morale is likely to increase.
  • 13. Company Name 11/23/2017 Marketing Plan page 13 Appendix – newpage here (remove this text of course) Alternative1 –By Teams Region # of Location s Relatio n Rating GOAL Owne d % of sale s Team s # of Territorie s % of Sale s Hwy 17 SaultSte.Marie - Thunder Bay 3 2 5% T&B 19 47% ThunderBay 5 2 2 11% T&B ThunderBay LubricantsDistributor 1 3 17% T&B Hwy11 Timmins - ThunderBay 3 1 5% T&B Drydan 2 2 3% T&B Fort Francis 1 1 1% T&B Neebing 1 1 2% T&B Sioux Lookout 1 2 2% T&B Hwy 17 Sault ThunderBay-Dryden 1 1 1% T&B NorthBay 5 1 11% J&M 26 53% Sudbury 6 3 14% J&M SaultSte.Marie 6 1 10% J&M Timmins 2 3 3% J&M Wawa 1 2 2% J&M Hwy11 Timmins - North Bay 2 2 5% J&M Hwy 17 SaultSte.Marie - North Bay 4 3 8% J&M Alternative2 –Br RelationshipRating Region Relationship Rating G O A L % of sales # of Loc % of Sales Fort Francis 1 1% Jim 1 Neebing 1 2% Jim 1 Hwy 17 Sault ThunderBay-Dryden 1 1% Jim 1 NorthBay 1 11% Jim 5 SaultSte.Marie 1 10% Jim 6 Hwy11 Timmins - ThunderBay 1 5% Jim 3 30% Drydan 2 3% Ben 2 Sioux Lookout 2 2% Ben 1 ThunderBay Lubricants Distributor 3 17% Ben 1 22% Hwy 17 SaultSte.Marie - Thunder Bay 2 5% Marie 3 Sudbury 3 14% Marie 6 Hwy 17 SaultSte.Marie - North Bay 3 8% Marie 4 27%
  • 14. Company Name 11/23/2017 Marketing Plan page 14 ThunderBay 2 2 11% Tom 5 Hwy11 Timmins - North Bay 2 5% Tom 2 Timmins 3 3% Tom 2 Wawa 2 2% Tom 1 21% Alternative3 –Package Tom Region # of Loc Relationship Rating G O A L % of sales TSM # OF TER Toal % of Sales Drydan 2 2 3% Ben 13 20% Fort Francis 1 1 1% Ben Neebing 1 1 2% Ben Sioux Lookout 1 2 2% Ben Hwy 17 Sault ThunderBay- Dryden 1 1 1% Ben ThunderBay 5 2 2 11% Ben NorthBay 5 1 11% Marie 21 43% Sudbury 6 3 14% Marie SaultSte.Marie 6 1 10% Marie Hwy 17 SaultSte.Marie - North Bay 4 3 8% Marie Timmins 2 3 3% Jim 12 37% Wawa 1 2 2% Jim Hwy11 Timmins - North Bay 2 2 5% Jim Hwy 17 SaultSte.Marie - Thunder Bay 3 2 5% jim ThunderBay Lubricants Distributor 1 3 17% Jim Hwy11 Timmins - ThunderBay 3 1 5% Jim Alternative4 –Status Quo withIncentives Region # of Location s Relatio n Rating GOAL Owned % of sale s TSM # OF Locations Drydan 2 2 3% Ben 6 Fort Francis 1 1 1% Ben Neebing 1 1 2% Ben Sioux Lookout 1 2 2% Ben Hwy 17 Sault ThunderBay-Dryden 1 1 1% Ben NorthBay 5 1 11% Jim 11 Sudbury 6 3 14% Jim SaultSte.Marie 6 1 10% Marie 15 Timmins 2 3 3% Marie Wawa 1 2 2% Marie Hwy11 Timmins - North Bay 2 2 5% Marie
  • 15. Company Name 11/23/2017 Marketing Plan page 15 Hwy 17 SaultSte.Marie - North Bay 4 3 8% Marie Hwy 17 SaultSte.Marie - Thunder Bay 3 2 5% Tom 12 ThunderBay 5 2 2 11% Tom ThunderBay LubricantsDistributor 1 3 17% Tom Hwy11 Timmins - ThunderBay 3 1 5% Tom Alternative5 –Status Quo Region # of Location s Relatio n Rating GOAL Owned % of sale s TSM # OF Locations Drydan 2 2 3% Ben 6 Fort Francis 1 1 1% Ben Neebing 1 1 2% Ben Sioux Lookout 1 2 2% Ben Hwy 17 Sault ThunderBay-Dryden 1 1 1% Ben NorthBay 5 1 11% Jim 11 Sudbury 6 3 14% Jim SaultSte.Marie 6 1 10% Marie 15 Timmins 2 3 3% Marie Wawa 1 2 2% Marie Hwy11 Timmins - North Bay 2 2 5% Marie Hwy 17 SaultSte.Marie - North Bay 4 3 8% Marie Hwy 17 SaultSte.Marie - Thunder Bay 3 2 5% Tom 12 ThunderBay 5 2 2 11% Tom ThunderBay LubricantsDistributor 1 3 17% Tom Hwy11 Timmins - ThunderBay 3 1 5% Tom References http://www.canadianfuels.ca/The-Fuels-Industry/Fuel-Retailing/ http://www.nrcan.gc.ca/energy/crude-petroleum/5897 Canadian Fuels Association. (n.d.). The Fuel Industry - What you need to know about our industry. Retrieved Nov 15, 2017, from Canadian Fuels Association: http://www.canadianfuels.ca/The-Fuels-Industry/Fuel- Distribution/