Marketing Plan Akim

8/10/2019 Marketing Plan Akim

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Table of content

1. Executive summary.2-3

1.1. Introduction..................2

1.2. The company........2

1.3. Products.....2-3

1.4. Market analyses.....3-4

1.5. Market segmentation..5

1.6. Target market..5

1.7. Competitors6-7

1.8. Competitive advantages..8

1.9. Promotion...8

2. SWOT analyses.........9

References...10


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Kooks LLC

Marketing plan

1. Executive summary

1.1. Introduction

Kooks LLC is a small construction company, which focuses on manufacture and

distribution of solid components for concrete.For successful long-term

implementation of the project is necessary to have the resource base. This

marketing plan will provide our market segments and the strategies to get

customers that creates stable profit flow.

Since we have equipments to separate material into simple components, our

company aiming to extract of rare earth resources. The main predicted product of

our company is wollastonite. We can reach this purpose through using our

implement that we have.

1.2. The company

Kooks LLC formed in 2007 in the core of Kazakhstan, which has been

manufacturing products and designs of fiber concrete: from pots to bigarchitectural decorations.Kooks Company started operations with ten employees

whereas four out of ten were involved from foreign countries.

According to the franchise agreement with Cyclotec Ltd (Finland) for the annual

fee, they report exclusive rights for the production of mixtures for concrete,

standard dry mixes using slag, fabrication of structures, concrete solutions.

Collective of our company combined qualified skills and technology to create

unique architectural solutions in Astana.

1.3. Products

Philip Kotler defines product as a thing that can be offered to a market to satisfy a

want or need(Kotler P., Armstrong, Saunders, & Wong, 1999). In order to fully

understand our products lets consider description of manufacturing process. I will

attempt to describe briefly how does it made.

Simple technological process for the producer and consumercreation of

concretes resulted not only in achievement of high qualitative and operational

characteristics, but also significant simplification of the technological process.


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All the characteristics achieved by special combination of components of the dry

compound. According to the traditional scheme of concrete usage, the customer

receives the ready-made liquid concrete mortar. At the same time, it is difficult to

control the quantity and quality of incoming mortar. Dry concrete can be delivered

to the object in a packed form and consumed as necessary according to bysmall

share of water principle. In this way, there is no need to pay to the concretesupplier for water and its delivery to the object.

Production of the ready-made products excludes the traditional and energy-

consuming processes of steam curing, vibration, mass preparation and

reinforcement welding.

Hereby, Kooks Company deals with dry construction mixtures (DCM) we can

offer following products:

1.

Architectural and constructive forms of public buildings (commercialpavilions and series, cafes, municipal markets, pensions, camping, sheds bus

stations and parking lots);

2. Elements of residential and public buildings (sandwich wall panels, plate

spatial coverage, curved rhombic elements, folded elements, shingles);

3. Elements of underground structures (ring necks wells, sumps);

4.

National elements for improvement, outdoor decor and hardscape (boards

and panels for its products to cover the roads and sidewalks, curbs, fences,

sheds, tents, membrane folds, flower pots, urns, benches , billboards

advertising, road signs, etc..).

The largest domestic fiber concrete company LLP Sauran-NA argues, that oneof

the major areas of fiber concrete in the last five years is architectural ornament

(fibrobeton.kz). In our work experience, we have repeatedly convinced that

decorative concrete gives to the buildings a cozy and comfortable appearance.

1.4. Market analyses

Our country has a heavy deficit of accommodation, trade areas, infrastructural

urban objects, roads, bridges, objects of the industrial and civil purpose.

The building boom in Kazakhstan as a result of increase demand for concrete,

cement and an increase of production. In order to satisfy the growing demand for

cement, the big capital investments are required to reconstruction of the cement

plants. However, investors had not contented with the high energy and capital

intensity of Kazakhstan cement plants, long payback periods and high risk

investment renovation of old factories. Profitability of cement production in

Kazakhstan is about 13%.

The Ministry of Industry and Trade of the RoK (letter No 17/1-3059 dated

20.10.2006) stated with the reference to the global experience, that construction of


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cement plants with the optimal annual project capacity of at least 1 million tons is

considered to be the most profitable one.

The pie chart illustrates the percentage of cement manufacturing in the different

regions. At first glance, it can be clearly seen that the biggest cement production,

almost half market share on the enterprises of the East-Kazakhstan region, where

located one of the largest concern of the industryJSC Bukhtarminsk Cement

Company.

Karagandy region has represented just under one in three or 27

% of the total in

market share. Almaty and Zhambyl region stood at 7% respectively while South-

Kazakhstan region accounted for the remaining nearly a quarter.

Ultimately, South-Kazakhstan needs to increase in the number of cement plants to

meet demands. Due to the difference between East Kazakhstan regions, our region

had to be improved to fill this gap.


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1.5. Market segmentation

The products sale geography will cover the oil cluster in Mangistau region

including the coastal port facilities and artificial islands under the Kashagan project

and then Atyrau, Aktobe and Uralsk regions.

The enterprise will use the direct sales channels

direct wholesale selling to the construction companies and private property

developers,

- Sale through the trade networks,

- Sale to the private property developers,

- Realization of projects in the part of repair and building structures,

- Execution of the special orders with the specific requirements.

Furthermore, company specialists will assist the usage of our product.

Since the sales market has no strong geographic separation, the question of

products delivery solved in each particular case on an individual basis.

At this stage, the project initiator has arrangements for purchase of the separate

types of products.

1.6. Target market

JSC Real Estate Fund Samruk-Kazyna is the operator of the State Program

Accessible Housing-2020 in the context of which it is necessary to decrease

maximally the prime cost of housing without prejudice to quality. We suggest that

our technologies will be able to cheapen and at the same time to increase the

quality.

A very big demand that also expected for high-strength and decorative products

made of concrete due to performance of EXPO-2017 in Astana city.

High investment attractiveness of the plant construction at the production site ofLLP Ademi-MK in Astana town is related with the rapid growth rates of

consumption of dry mixtures and concretes in Astana town and Kazakhstan

overall.

Moreover, the positive dynamics observed on the construction and production

volumes of concretes. The concrete production growth stimulated by increasing

needs of the industry.

The site of LLP Ademi-MK in Astana town has a beneficial geographic position

in relation to the concrete consumption centers.


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1.7. Competitors

There are the competitors who produce the traditional dry construction mixtures.

Alina Companies Group has own gypsum pits in Kazakhstan where it extracts and

produces the construction gypsum G-Ex. AlinEX products group is manufactured

at the plants in Almaty, Semey and Aktobe(alinex.kz). The project capacity onproduction of dry construction mixtures is 18 thousand tons per year.

The company BIAS TECH produces gypsum and dry construction mixtures. The

project capacity of the plant is 125 thousand tons, or dry construction mixtures of

150 thousand tons per year on average. In terms of territory, the plant is located in

the village of Inderbor, Atyrau regions.

The joint-stock company West-Kazakhstan Corporation of Construction Materials

in Uralsk city having more than 40-years history is the oldest enterprise of the

western region of Kazakhstan specializing in output of materials used in

construction (calcium-silicate brick, lime, construction mixtures and etc.). The

project capacity on production of dry construction mixtures is 15 thousand tons per

year (put into operation in November 2007).

BIG-Elit is the plant producing dry construction mixtures. It outputs the products

under the trademark BIG-Master. The plant project capacity is 36 000 tons of dry

construction mixtures per year.

The Company ALIT established in 1998 in Astana city. ALIT is now outputtingmore than 20 names of products. The project capacity of this plant is 20 000 tons

of dry construction mixtures per year.

There are also the other local Kazakhstan enterprises, but summarily they output

very few products.

1. Dry construction mixtures Knauf

The German Company KNAUF steadily occupies the leading positions at the

international construction market on production of construction and finishingmaterials.

The company specializes in production of the finishing and construction materials

for the internal and external finishing:

Heat- and sound-insulation materials

Crack fillers,

Brick glues,

self-leveling floors,

and etc.


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KNAUF is the innovation solutions and maximal use of resources that provides

the leading positions for its products in the sphere of production and design

(knauf.kz). Only high-grade raw materials used for production of KNAUF

materials. The goods has a durable and transport-convenient pack.

2. Dry construction mixtures UnisUnis has been one of the leading producers of dry construction mixtures for more

than 10 years by now. Owing to high quality, accessibility in operation and cost

effectiveness the UNIS products has successfully proved itself at the market. The

innovational technical approach and constant modernization of production enable

to create high-grade products conforming to the world standards:

Assembly adhesives,

Brick glues,

Primers,

Damp-proof mixtures,

Crack fillers,

Self-aligning mixtures etc.

3. Dry construction mixtures Ivsil

IVSIL is a high-technology enterprise supplying a wide range of products to themarket:

Plastering and filling mixtures,

Brick glues,

Self-leveling floors,

Mounting compounds,

Priming compounds,

Rubbing compounds.

IVSIL started its activity from production of standard cement-based mortars. As

the production technology developed, the enterprises started outputting multi-

complete, innovational construction mixtures. IVSIL products received the

international certificate EN 12004, acknowledged in the European Union

countries as the uniform standard for dry construction mixtures (ivsil.ru).


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1.8. Competitive advantages

The experience of application of the standard concretes in our country has shown

that the traditional concrete may not fully satisfy the modern construction and

architectural needs of the customers any more. This is expressed in accelerated

destruction of structures, high water absorption, occurrence of organic infection ofsurfaces, low freeze-thaw resistance and release of aggressive and harmful

substances to the accommodation facilities.

In such a way, there is a critical need for the material (concrete) which will be

accessible and competitive at the market of construction and finishing materials,

which will unite several properties being superior to those of the standard concrete.

The advantages of this material in comparison to the standard concretes must

include the following:

- High compressive, bending, tensile, impact strength,

- Freeze-thaw resistance,

- Water impermeability

- Corrosion resistance,

- Fire-resistance.

1.9. Promotion

For the purpose of goods promotion and sales market formation, planned the

following actions:

- Participation in the construction exhibitionsat least 4 per year.

- Participation in seminars and conferencesat least 6 per year.

- Publications in the branch editions.

- Personal salesmeetings with the representatives of various companies.

- Manufacture of advertising samples.

- Site and Internet advertising.


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2. SWOT ANALYSIS

Strengths

1. The standard mixtures also have almost the same technological parameters

being inferior to the parameters of the compounds developed by us. At the

present time, the development similar to that of ours was only implemented

by the company Lafarge.

2. Minimal capacity by the reinforcement metal quantitywhen

manufacturing structures from concretes there is 2-5 times less need for

reinforcing rods in comparison with the standard concretes. This increases

significantly the competitive capacity in terms of prime cost of construction

and ready-made products.

3.

Reach color set, volumetric painting and natural stone pattern imitationthe trials with the experimental samples have shown that when being painted

by the mineral pigments this material creates richer colour set.

4. Durabilityhigh technical characteristics of our product enable to guarantee

the integrity of structures and products as a sequence higher than the

generally accepted ones.

Weaknesses

1.

Our market needs to expand geographic cover, not only in Astana.

2.

Kooks LLC Company has not technology for fractional separation of sand.

Thus, this process carried out crudely by hand.

3. Our employees on manufacture are not satisfied with the foods that provided

by the local dining company.

4.

Our company needs to hire more people to fulfill order in due time.

Opportunities

Minerals as a good and suit additional materials for our concrete are not too much.

Having a resource base of this component close to our manufacture is a greatpositioning for us. One of the main ingredients is wollastonite.

In accordance with the letter, SI "Tsentrkaznedra" Karaganda region has deposits

of wollastonite suitable for the production of additives.

Threats

Since Kazakhmys Corporation is very big both in terms of the raw material

extraction volume and in terms of processing capacity, they are interested in find

out new material to produce. They are always expand their sources of new

materials.


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References

1.

Information about Alinex Companyhttp://www.alinex.kz/

2.

Information about Ivisil company http://www.ivsil.ru/

3. Information about Knauf Company http://knauf.kz/

4. LLP Sauran-NAhttp://xn--90aamj2adcmvn.kz/

5.

Marketing Management , Millenium Edition Philip Kotler

6. The Ministry of Industry and Trade of the RoK letter

http://www.minplan.gov.kz/en/
http://www.alinex.kz/http://www.alinex.kz/http://www.alinex.kz/http://xn--90aamj2adcmvn.kz/http://xn--90aamj2adcmvn.kz/http://xn--90aamj2adcmvn.kz/http://xn--90aamj2adcmvn.kz/http://www.alinex.kz/

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Marketing Plan Akim