introduction inflation is growing at an constant rate of 4% a year inflation is growing at an...
TRANSCRIPT
IntroductionIntroduction
Inflation is growing at Inflation is growing at an constant rate of an constant rate of 4% a year4% a year
With the dollar losing With the dollar losing value every year, how value every year, how do we expect people do we expect people to even carry change to even carry change with themwith them
We have a solutionWe have a solution
IntroductionIntroduction
Its okay, you can relax!Its okay, you can relax! VBM is one of the first company to be able to offer VBM is one of the first company to be able to offer
parking meters that not only take silver coins, but parking meters that not only take silver coins, but also accept dollar bills and credit and debit card also accept dollar bills and credit and debit card payment optionspayment options
Our goal is to provide towns and cities with the Our goal is to provide towns and cities with the best Parking Meter Technology and best Parking Meter Technology and Unconventional ConvenienceUnconventional Convenience
Our MissionOur Mission
The VBM Corporation focuses on high The VBM Corporation focuses on high technology manufacturing and distribution technology manufacturing and distribution of automated parking metersof automated parking meters
Starting with sections of large cities, and Starting with sections of large cities, and moving outwards into smaller suburban moving outwards into smaller suburban townstowns
Domestic expansion in the short run, with Domestic expansion in the short run, with a long term global possibilitya long term global possibility
Keys To SuccessKeys To Success Excellence in fulfilling a promise – Excellence in fulfilling a promise –
reliable, trustworthy parking meters and reliable, trustworthy parking meters and superior knowledge and service by our superior knowledge and service by our staff of expertsstaff of experts
Developing visibility to generate new Developing visibility to generate new business leadsbusiness leads
Leveraging from a single pool of expert Leveraging from a single pool of expert service into multiple revenue generation service into multiple revenue generation opportunities, such as advancements in opportunities, such as advancements in other kinds of traffic technology, to create other kinds of traffic technology, to create more efficiencymore efficiency
SWOT Analysis - StrengthsSWOT Analysis - Strengths
ConvenienceConvenienceMulti Payment OptionsMulti Payment OptionsLess frustrationLess frustrationEasy to OperateEasy to OperateUser-friendly InterfaceUser-friendly InterfaceAll DigitalAll Digital
SWOT Analysis – WeaknessesSWOT Analysis – Weaknesses
High initial costHigh initial costConverting large cities with many metersConverting large cities with many meters
Can’t Convert large cities overnightCan’t Convert large cities overnightGetting approval from gov’t officials to Getting approval from gov’t officials to
undertake such a projectundertake such a projectLittle or few products to compare Little or few products to compare
successes withsuccesses with
SWOT Analysis - OpportunitiesSWOT Analysis - Opportunities
Revolutionize the IndustryRevolutionize the IndustryAs with other products that emerged as As with other products that emerged as
uncertain, the potential for growth is uncertain, the potential for growth is limited only by the skylimited only by the sky
Targeting an untouched marketTargeting an untouched market
SWOT Analysis - ThreatsSWOT Analysis - Threats
Competition from pricing aspectCompetition from pricing aspectGradual process might cause consumer Gradual process might cause consumer
dissatisfactiondissatisfactionCompetitive BiddingCompetitive BiddingCompetition from differential advantageCompetition from differential advantage
Marketing StrategyMarketing Strategy
Ultimate focus is on our parking meters Ultimate focus is on our parking meters can optimize convenience for those using can optimize convenience for those using themthem
Most Important customers are local Most Important customers are local governmentsgovernments
Exploring a wide array of markets to Exploring a wide array of markets to infiltrateinfiltrate
Marketing Objectives/Market Share Marketing Objectives/Market Share Goals-Short TermGoals-Short Term
First YearFirst Year Installing Meters in Installing Meters in
sections of a few sections of a few Major US CitiesMajor US Cities
Installing Meters in Installing Meters in towns that serve as towns that serve as suburbs to those suburbs to those citiescities
5-10% of US Meter 5-10% of US Meter marketmarket
First 5 YearsFirst 5 Years Have contracts in 5 of Have contracts in 5 of
the 9 major US Citiesthe 9 major US Cities Continue suburban Continue suburban
expansionexpansion Make VBM Corp. a Make VBM Corp. a
household namehousehold name 20-30% of US Meter 20-30% of US Meter
marketmarket
Major Cities = New York, Chicago, Los Angeles, San Antonio, Dallas, San Francisco, Philadelphia, Boston, Detroit
Marketing Objectives/Market Share Marketing Objectives/Market Share Goals-Long TermGoals-Long Term
5 – 10 Years5 – 10 YearsExpected Majority stake in contracts in all Expected Majority stake in contracts in all
9 major US cities9 major US citiesSold Presence in suburbs around the Sold Presence in suburbs around the
countrycountryPossible Global ExpansionPossible Global ExpansionNo less than 50% of US meter Market No less than 50% of US meter Market
ShareShare
Market AnalysisMarket Analysis
Americans tend to gravitate towards Americans tend to gravitate towards products that save timeproducts that save time
Our meters increase the convenience of Our meters increase the convenience of the Average American Consumerthe Average American Consumer
Where there is room to improve daily life, Where there is room to improve daily life, There is a marketThere is a market
Where there is no known market, there is Where there is no known market, there is the opportunity to create onethe opportunity to create one
Target MarketTarget Market
All demographics and age groups will All demographics and age groups will benefit from this productbenefit from this product
However the majority of consumers will be However the majority of consumers will be governmental municipalitiesgovernmental municipalities
Those who prefer ultimate convenienceThose who prefer ultimate convenience
Product Product XL-NT Model XL-NT Model Accepts coins, Credit Accepts coins, Credit
Cards, debit cards, and Cards, debit cards, and billsbills
Battery poweredBattery powered Chip Card Reader with Chip Card Reader with
Security ModuleSecurity Module Escrow Coin ReturnEscrow Coin Return Smart Cashbox to audit Smart Cashbox to audit
cash and card transactionscash and card transactions Real Time Clock DisplayReal Time Clock Display Sleep Mode to conserve Sleep Mode to conserve
batterybattery Reinforced Cash Door Reinforced Cash Door
SystemSystem Hidden CameraHidden Camera
Product Product XL-R8R Model XL-R8R Model Accepts coins, credit Accepts coins, credit
cards, debit cards, and cards, debit cards, and billsbills
AC/DCAC/DC / / Solar Power Solar Power optionsoptions
Escrow Coin ReturnEscrow Coin Return Large Smart CashboxLarge Smart Cashbox Cellular and Networking Cellular and Networking
OptionsOptions Advanced Management Advanced Management
System integration with System integration with other VBM meters other VBM meters
Hidden CameraHidden Camera
Product LineProduct Line
XL-NT ModelXL-NT Model Designed to be Designed to be
installed in smaller installed in smaller municipalitiesmunicipalities
Each Meter Each Meter designates ones spotdesignates ones spot
XL-R8R ModelXL-R8R Model Designed to be Designed to be
installed in on large installed in on large city streetscity streets
Each meter Each meter designates a full city designates a full city blockblock
Dispenses parking Dispenses parking receipt to be receipt to be displayed in car displayed in car windshieldwindshield
PricingPricing
Initial CostInitial Cost XL-NT = $150XL-NT = $150 XL-R8R = $300XL-R8R = $300
Initial ResaleInitial Resale XL-NT = $600XL-NT = $600 XL-R8R = $1,000XL-R8R = $1,000
Pricing ObjectivesPricing Objectives Profit-Based Pricing StrategyProfit-Based Pricing Strategy
Due to Limited CompetitionDue to Limited Competition Meters are status symbolMeters are status symbol First customers will not be First customers will not be
sensitive to pricesensitive to price Mimics Skimming Pricing Mimics Skimming Pricing
StrategyStrategy Primarily in large CitiesPrimarily in large Cities Upper Middle Class Upper Middle Class
SuburbsSuburbs Quality, Uniqueness, and Quality, Uniqueness, and
Status of Product will drive Status of Product will drive consumersconsumers
Progressive ResaleProgressive Resale XL-NT = $450XL-NT = $450 XL-R8R = $800XL-R8R = $800
Time Influenced Pricing ObjectivesTime Influenced Pricing Objectives 3-5 Years later3-5 Years later Penetration Pricing StrategyPenetration Pricing Strategy Once 20-30% of Market Share is Once 20-30% of Market Share is
acquiredacquired Lower prices of metersLower prices of meters Allow City segments and Suburbs Allow City segments and Suburbs
that don’t have as much money to that don’t have as much money to still purchase our metersstill purchase our meters
Dramatic increase in Market ShareDramatic increase in Market Share
Channels of DistributionChannels of Distribution
Outsourced ManufacturingOutsourced ManufacturingOur own Independent WarehousesOur own Independent Warehouses
Located in 6 US regionsLocated in 6 US regionsManufacturer will ship to Main WarehouseManufacturer will ship to Main WarehouseMain Warehouse will ship to secondary Main Warehouse will ship to secondary
warehouseswarehousesSecondary Warehouse will ship directly to Secondary Warehouse will ship directly to
customercustomer
PromotionPromotion
Main TacticsMain TacticsWebsiteWebsitePrint AdvertisingPrint AdvertisingWord of MouthWord of Mouth
AdvertisingAdvertising
Print Advertising will be used to mobilize Print Advertising will be used to mobilize influential members of societyinfluential members of society
Advertisements will encompass VBM Advertisements will encompass VBM Logo, pictures of meters, and trade Logo, pictures of meters, and trade charactercharacter
Ads will be run in magazines such as The Ads will be run in magazines such as The Robb Report, GQ, Forbes Magazine, Robb Report, GQ, Forbes Magazine, Smart Money Magazine, Time Magazine, Smart Money Magazine, Time Magazine, etc.etc.
AdvertisementAdvertisement Geared at those in Geared at those in
large cities b/c it large cities b/c it shows the XL-R8Rshows the XL-R8R
Tells citizens that the Tells citizens that the meters are on their meters are on their wayway
Message at bottom Message at bottom used for citizen used for citizen mobilizationmobilization
Gives pretty good Gives pretty good description of meters description of meters differential advantagedifferential advantage
AdvertisementAdvertisement Geared at those in the Geared at those in the
suburbs b/c it shows suburbs b/c it shows the XL-NTthe XL-NT
Shows company Shows company sloganslogan
Famous Quote by Famous Quote by Harry S. TrumanHarry S. Truman
Message at bottom to Message at bottom to mobilize citizensmobilize citizens
Public RelationsPublic Relations
Unveiling our meters Unveiling our meters at technology trade at technology trade showshow
Show possible Show possible customers how easy customers how easy the meters are to usethe meters are to use
Payment OptionsPayment Options ProgrammabilityProgrammability Come to booth = Get Come to booth = Get
a vouchera voucher
Ribbon Cutting at the Ribbon Cutting at the very first meter very first meter installationinstallation
News covered first News covered first installationinstallation
First purchaser also First purchaser also gets an extra 10% off gets an extra 10% off of purchaseof purchase
Sales PromotionSales Promotion
Discount BracketsDiscount Brackets100+ Meter Purchase100+ Meter Purchase
3% discount3% discount500+ Meter Purchase500+ Meter Purchase
7% discount7% discount1,000+ Meter Purchase1,000+ Meter Purchase
15%15%
Personal SellingPersonal Selling
Sales Managers oversee 6 US regionsSales Managers oversee 6 US regions2 Divisions split 3 ways2 Divisions split 3 ways
North and SouthNorth and SouthEast, Mid-West, WestEast, Mid-West, West
Managers take ordersManagers take ordersRelay to Company HQRelay to Company HQ
E-MarketingE-Marketing
Fully Interactive interfaceFully Interactive interfaceDescriptions of current product lineDescriptions of current product lineProduct SpecsProduct SpecsPrice QuotesPrice QuotesPlace Orders OnlinePlace Orders Onlinewww.VBM.comwww.VBM.com
Program EvaluationProgram Evaluation
Few ways to marker success of such a Few ways to marker success of such a productproduct
See if short and long term goals are metSee if short and long term goals are metMarket Share goalsMarket Share goals Infiltration of towns and cities around the Infiltration of towns and cities around the
USUS