Marketing Plan 2016-2017
Signum LLC
1401 S. Grand AvenueSanta Ana, California 92705
Phone: (714) 796-7433 • FAX: (714) [email protected] • www.signum-socal.com
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Table of Contents
Executive Summary ........................................................................................ Page 1
About the Business Company Overview ............................................................................... Page 2 Mission Statement ................................................................................. Page 2 Company Goals ...................................................................................... Page 2 ManagementFunctions ......................................................................... Page 3 Directing ..................................................................................... Page 3 Controlling .................................................................................. Page 3 Organizing ................................................................................... Page 3 CompanyOrganizationChart ...................................................... Page 4
SWOT Analysis ................................................................................................ Page 5 Internal analysis. .................................................................................... Page 5 External analysis .................................................................................... Page 5
External Environment CurrentEconomicConditions ................................................................ Page 6 Industry Analysis.................................................................................... Page 6 Real ............................................................................................. Page 6 Virtual ......................................................................................... Page 7 Competitiveanalysis .............................................................................. Page 7
Marketing Plan TargetMarket&MarketSegmentation ................................................. Page 8 MarketingMix ....................................................................................... Page 8 Product ................................................................................ Pages 8-10 Pricing ....................................................................................... Page 10 Placement ................................................................................. Page 10 Promotion .......................................................................... Pages 10-12 Positioning ................................................................................ Page 12 Business Risks ...................................................................................... Page 12
Financial Planning ......................................................................................... Page 13 Break-Even Analysis ............................................................................. Page 13 Income Statement ............................................................................... Page 14 IncomeStatement,3YearProjection .................................................. Page 15 BalanceSheet ...................................................................................... Page 16 CashBudget ......................................................................................... Page 17 Financial Summary .............................................................................. Page 18
Appendix Company Bank Statement ............................................................................. A Business Contract ...........................................................................................B LoanAmortizationTable .................................................................................C
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Executive Summary
Inaworldwheredependenceoncellularserviceisessential,therearemanysituationsandplaceswherewesimplycannotcommunicate.Sixoutofsevenpeopleworldwidehavesubscriptionstoamobileservice,howeverathirdoftheworldpopulationcangainnoaccesstotheinternetoracellularnetworkbecauseofthegeographicalregioninwhichtheylive.IfyoutravelinforeigncountriesandhavecellularservicethroughaU.S.carrier,youneedtounderstandyouroptionsforinternationaldataplans,otherwiseyoucouldendupspendingalotofmoneyneedlessly.Eachcompanyhasslightlydifferentpricingandcoverageoptionssoyoumustdeterminewhichofthesewillworkbestforyourneeds.Signumhasdevelopedabettersolutiontomanyoftheseobstacles.
Signum is an innovative startup company in the field of new technology forcommunicating.Signum isaLimitedLiabilityCorporationcompany foundedasof
October2016todecreasethehumandependencyonthe“grid”forcommunication.Signumusesan innovativecommunicationtechnology inourproducts toprovideamessaging delivery system. This system transmits and receives encrypted text byutilizing long-rangeradiofrequencies(151-154MHz)thatconverts yourphonetoaradiotransmitter/receiverviabluetoothpairing.Ourtechnologyenablesanyonewithour products to communicatewithone another in placeswhere there is no signal,to have the ability to request or send location information and to enable users totranslatebetweendifferentlanguageswhenpairedwiththeirphoneviabluetoothorontheproduct.
Asa companywe refinedourofferings into3 individualdistinctproduct lines.Allthreeproductlinesarewearabletechnologies.TheSignumWatch,whereweoffer
3stylesandisourhighendproductthatoffersthemostcomprehensivefeatures.TheSignumWand,which isourmiddleof the lineproducts,stillgivesthecustomerthemain featuresofourcompany,butata reducedprice.Finally theSignumKeychain,whichisourlowendproduct,haslimitedfeaturesandfocusesonlocationapplications.Signumhasdevelopedanappthatisdownloadedtoyourcommunicationdevice,(ie.phones,tablets,computers,etc.).TheuserisgivenacodetodownloadourfreeSignumappwithpurchaseoftheirproduct.Thisallowsanysmartdeviceandourcompany’sproductstobecompatibleandrunefficientlyandeffectively.TheSignumproductlineallowsforconvenientpairingwithsmartdevicesviabluetooth.Whenpairedwithoneofourproducts,asmartdevicewillrunonourmessagedeliveringsystem.
Our targetmarketwill focuson themiddle class consumerandwill beespeciallyappealing to thosewho have active lifestyles that involve travel internationally
and/orspendtimeinareaswherethereisnocellularservice.Thetargetedagerangesofteensthroughearlyretirement.
Signum has initially developed a conservative businessmodel to launch a limitedproduct line to address the greatest needs of our consumers. Through market
research,focusgroupsandresearchanddevelopmentwearelookingtoexpandintonewtechnologieswhichwillenableextendedrangeforindividualsandtheuseofmesh-networkingforlargegroupapplications.
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About the BusinessSignum is anoff thegrid communicationdeviceproviderestablished inOctober2016.Thecompanyislocatedat1401S.GrandAvenueSantaAna,CA92705.Weareauniquefirst-year companywithproducts in thecommunicationelectronicsindustry.
Company OverviewWecurrentlyhavethreecofounders,AlanEsquivelwhoservesasourChiefExecutiveOfficer,JesusAnguianowhoservesasChiefOperationsOfficer,andOmarGuerrerowho serves as our Chief Financial Officer and all with equal shares and power.SignumisregisteredasaLimitedLiabilityCompany.Ourcompanyhasnoinvestorsasofyet,butwearecurrentlysearchingforpossibleinvestorsthatareinterestedinour company. Mission StatementOurmissionistoprovideaffordableandefficientproducts,thatallowourcustom-erstomaintaincommunicationwithothersineventswherethereisnocellularsignal.
Company GoalsShortTermGoals Strategies DeadlineGenerate 1 million dollars in sales Aggressivelymarkettheproducts
throughsocialmedia.April 2017
Developande-commercewebsiteallowingcustomertransactions
Dedicated digital media department will behiredtomainthesite
December2016
Developacomprehensiveemploy-ee manual
Thehumanresourcesdepartmentwilldevelop company polices and proce-duresforacceptablebehaviorintheworkplace
December2016
Long Term Goals Strategies DeadlineDevelopMeshtechnologies Gaincapitaltoresearchanddevelop
meshtechnologiestoextendproductcapabilities
September2017
DevelopBusinessContractwithGovernment agencies
Focusonuseofoff-gridcommunicationstobeusedbyUSMilitaryincombatsitu-ations
Ongoing
PayoffexistingSmallBusinessLoan Makeallloanpaymentsontimetotheloan provider
November2021
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Industry Analysis
Industry Description:TheU.S.economyhassteadilygrownandalmostdoubledsincetheyear2011.Thepopulationhas increased from312 to321(millions), years2011 to2015.Therebydoublingthedomesticdemandfrom1.6to3.0%.TheInflationrateasof2015is0.1%whichencouragesotherbusinessestoinvestandborrowmoney.Overall,analysisoftheeconomydemonstratesthatitwillpotentiallybeapositiveyearforsignum.
Analysis of the MarketWiththeincreasingpopulationanddomesticneed,manyimmigrantscannowtraveltovisittheirhomeland,andnowwithourSignumproductstheycancommunicatewiththeirlovedonesinthestates,savingthemoneyofbuyinganewphoneand/orphoneplan.Unemploymentrateshavealsogonedown,providingmorejobsfortheincreasingU.S.population.
Real IndustrySignum is an innovative company in the telecommunications industry. Thetelecommunicationindustryisasectorininformationandcommunicationtechnology.Itconsistsoftelephonecompaniesandinternetserviceprovidersthatdeliverservicesover mobile networks. In today’s world, people like to communicate instantlywiththetouchofabutton.Withtheconstantchangesinthetechnologyindustry,Telecommunications is full of opportunity for growth. The telecommunicationsindustry has emerging trends such as tech wearables and smart phones. Thesetrendsaregainingtractionandhavecreatedagreatpotentialforgrowth.AtSignumwe specialize in wearables technology. Signum is an e-commerce business, thatprovide offline communication opportunities and other communication featuresforourcustomers.Wefocusonprovidinghigh-qualityandreliableproductstothegrowingmarket. Signum appealsmostly to the onlinemarket by usingwebsites,socialmedia,emailsandotherprograms,asopposedtotherealmarket,thatusesdigitaltechniquessuchasSEO,SEM,SMSandMMS.
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CHIEF OFFICERS
ACCOUNTING TEAM
HUMAN RESOURCES TEAM
ART AND PUBLICATIONS TEAMCOMMUNICATIONS TEAM
MARKETING TEAM DIGITAL MEDIA TEAM
SALES TEAM
LEADERSHIP TEAM
Alan EsquivelChiefExecutive
Officer
Jesus AnguianoChiefOperations
Officer
Adrianna NoyolaVicePresidentofArts&Publications
Genesis MojicaVicePresidentofCommunications
Omar GuerreroChiefFinancial
Officer
Kate BustamanteVicePresidentofDigital Media
Grecia PenalozaVicePresidentof HumanResources
Aixa MartinezVicePresidentof
Marketing
Jorge BalbuenaVicePresidentof
Sales
GabbyJuarezAssociate
AnthonyDenizAssociate
Giselle RamirezAssociate
StephanieTorresAssociate
GersonEscobarAssociate
Carlos GarciaAssociate
Amy AlvarezAssociate
KarenRodriguezAssociate
Beverly CortesAssociate
JoJoPongphinkamAssociate
UlisesRenteriaAssociate
IsabelleTrujilloAssociate
Priscilla MedinaAssociate
JasonJuarezAssociate
JerimyCarransaAssociate
GabbyPerezAssociate
JazminNoyolaAssociate
SIGNUMCompany Organizational Chart
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Virtual Industry Inthe2016-2017virtualmarketplace,Signumfacesverylittletonocompetitors.OfftheGrid is inthesamemarketofwearabletechnologiesassignum.However,OfftheGridisnotseenasavaluedcompetitor,reasonbeingtheircompanyfocusesonkineticcharging.Ourwearable technologyoffersanyonewithourproducts tocommunicatewithoutcellularservice.Thisbusinessyearwehavetheadvantageofadistinctvirtualmarket.
Competitive AnalysisCurrently very little companies are competing in the offline communicationsmarketplace.OurprimarycompetitorinthemarketisGotenna.Gotennahasmanystrengths suchasofflinemessaging,maps/GPS,and theability to share location.Theyonlyprovidetheirservicesthroughwearablekeychainlikedevices.AlthoughSignumseemssimilartoourcompetitor,wehavefundamentaldifferences.Signumhasalargerproductlineandvariablefeatures.ASignumcompetitiveadvantageisthewiderangeofproducts thatwecanusetotargetandgaingreaterconsumeraudience,whichwillvastlyseparatesusfromourcompetitorswhoallhaveonetypeofproduct.Ourmainstrategyistomarkettowardsactiveadventurouspeoplewhoenjoy to travel andto those living inahighpopulationconcentratedurbanareaunlikeourcompetitorwhosolelyfocusesonoutdoorenthusiastconsumers.
Marketing Plan
Target Market:Signum’s target market will be the middle class consumer from teens to earlyretirement ageworldwide. Signummain focuswhen it comes tomarketing is toadvertiseasenseofliberationfrombeingtiedtoacommunicationgrid.Ourproductlineallowsourconsumerstogobeyondthecommunication“grid”andbeableto
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communicatewithouttheworryofbeinglostandabandonedwhentheyhavenomeanstocommunicateusingacellularnetwork.Ourmainmarketingstrategywillbetoadvertiseonsocialmediaandreachpotentiallyhugemarkets.TheSignummarketing teamwill focus on networking with potential business partners andlocalestablishmentsinordertogenerateareputationforourSignumproducts.WeintendtospreadthenameSignumandgeneralizethepublicwithourproductssooffgridcommunicationcansimultaneouslybeassociatedwithus.Signumintendstostayconsistentwithourbusinessslogan“Whenyou’reabandoned,we’llstandin”andmakeitahouseholdquote,whilealsocomingupwithnewandcreativewaystoinformpeopleaboutus.SignumMarketinggoalistomaintainfullfocusofourveryspecifictargetmarket.
Marketing Mix: ProductsAllproductsarewearabletechnologiesthatworkdirectlywithexistingcellphones.ThedeviceworkwithbothAndroidandIOStechnologiesandneedtobewithinbluetoothrangeofyourcellphoneforthecommunicationstoworkcorrectly.Signumoffersasmallspecializedproductlinethattargets3distinctnichesinthemarketplace.
The Signum WatchHas been designed with traditional “smart watch” features that arecommonplacewithothermajorsmartwatchmanufacturerslikeApple,SonyandMotorola.However,thewatchisdifferentthattheothermanufacturesin that inhas theability to syncwithourphoneappandallows textandlocationservicecommunicationthroughyourcellphonetoothersthathaveSignumdevices. This added featuremakes it an attractive option for ourtargetmarket.TherearecurrentlythreestylesofSignumWatches;theEvo,VultraandSport.ThewatchcanbepairedwithanotherSignumWatchofaSignumWandforcommunicationorkeychainforlocationservices.Wandsare sold separately.
The Signum Wand Thisdeviceisaspecializedaccessorythatiscarriedonyourbagorfromyourclothingthatfunctionsmuchlikethewatch,withoutthewatchapplication.Customers that have the wand have all the communication capabilitieswithout the bells andwhistles of thewatch. The SignumWand comes avariedofcolors(shownbelow)andshipsasapackagedpairtoallowtwo
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people to communicate upon delivery.
The Signum Key chain Thisdeviceisalowenddevicethatjusthaslocationservicesthatissyncedwiththecellphonethatallowslocationtrackingandisanaffordableoptionforfamilieswhoareactiveintheoutdoorsorinternationaltravel.
PricingOurpricingstrategywillfocusonthepremiumpricingmodel.Wechosetoutilizethepremiumpricingmodeltoreflecttheexclusivityofourproduct.Ourproductscontainfeaturesthatareuncommoninthemarketplace,thereforemakingitaveryuniqueproductinthemarket.Wefeelthatourpricepointiscompetitivewithinthemarketandthecustomerbenefitsgreatlyoutweighthelimitationswehavewitharecognizablebrand.
PlacementSignumproductswill be available for purchase exclusively through our companywebsiteandattradeshowevents.Wewillbelookingtoexpandourplacementby
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partneringwithtravelandoutdoorproductsuppliersinthecomingyear.
PromotionSignum will be promoted through many ways. That will include billboards,TV commercials, emailMarketing and socialmedia.Wewill be looking at ourtargetmarketdemographicsandpsychographicsandfocusonthosemarketsforadvertisingandpromotion.Withournichemarketnativetotechnologyanduseoftheircellphonewewillbefocusingonusesmartphonetechnologies,appsandsocialmediatopromoteourbrandanditsproductline.
e-MarketingOurcompanywebsitewillbethehubforsalesandwillbedesigntoscaleforeaseofuseformobiletechnologies.PromotionalvideosandhowtoguideswillbelinkedthroughYouTube,commonlyusedbyourtargetdemographic.
Email Marketing: Emailmarketing saves time andmoney. Promotional offers and generalinformationaboutSignumwillreachcustomersacrossthenationmuchfasterandfreeofcost.Webelievethiswillbeaneffectivewaytocommunicatewithour technologically savvycustomerbase.Weareplanningonusingemail marketing software like MailChimp or Constant Contact to sendout interactive email campaigns that will contain company information,innovationsincommunicationtechnologies,newproductinformationandfeaturesandlinkstoourwebsiteforinformationaboutSignum.Thismakesthemmorelikelytoreadthemessage,recognizethecontentisreliable,andmakeapurchase.
Social Media: • Twitter: Social media is a popular tool among young adults and is fullyentrenchedintothemobilecommunicationchannels.WewilluseTwittertopromoteSignumandourproducts.Wecancommunicatewithour customers throughout the year and attract their attentionwhilehavingthemgiveustheirfeedback.
• Instagram: Is very popular among our demographics and peoplecansharewheretheygoandhowtheyusetheSignumproductswithfamilyandfriends.Anytimethe#signumisusedtheywillappearonourSignumInstagramsite.Inadditionwecanpostpicturesofourproducts
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andreceivecommentaryfromothersaboutourprogress.
• Facebook:basedoneBizMBAranking,currentlyhas1.1 trillionusersworldwide and is the top social media application used. Wewill bemaintainingaFacebooksitethatallowscustomerstosharewheretheygoandhowtheyusetheSignumproductswithfamilyandfriends.Anytimethe#signum isused theywill appearonour Signum Instagramsite. Inadditionwecanpostpicturesofourproductsandreceivecommentaryfromothersaboutourprogress.
Evo Vultra Sport
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Trade Fairs Thetradeshowopportunitiesareveryimportanttoourcompany,sowearespending$1,000eachtopromoteattradefairsinSanDiego,SanFrancisco,Bakersfield,andNewYorkCity. The remaining$1,000willbe reserved forin-housepromotionaladvertisingcampaigns.Inhousecampaignwillincludeourownformofdesignwherewewouldsendourcatalogaccompanyinganinvoice.Ourcatalogwill containourproductswithabriefdescriptionandprices.
PositioningMarketPositioningwillbetargetedtoconnectwithourdemographics.Thiswillbethelateteensthroughnewretirees.Wefeelthatahighpercentageofourbusinesswillcomefromthisgroupand
Business RisksOur companymay run three different types of risks which aremarketing risks,financialrisks,andcompetitiverisks.
Marketing Risks:
Ourmarketingrisksinvolveusnotsellingenoughdevicesinordertopayoffallofourdebts.Ourpricepointisessentialandifthatmissesthemark,thatcouldleadtolowsales.Weareexpectingfastgrowthandifweoverestimatethegrowththatcouldleadtoissuesinproductdevelopmentandexpansionoftheproductline.
Financial Risks:
Ourfinancialrisksincludeourfinancialteammismanagingourmoney.Whichmayleadustonothavingenoughmoneytopayallofouremployees.Anotherfinancialriskcanbethecompetitivepayrollandstaffingofthecompany. If thingbecometightfinanciallythecompanymightbeforcedintolayoffsandtodownsize.
Competitive risks:
Weuseanopensourcetechnologyandcanbecopiedandknockoffssold.Thereare very few competitors currently in themarketplace. If the growth is rapid inthistechnologythennewcompaniescouldcometothetableandcompeteforourcustomerbase.
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Financial PlanForecast
Key AssumptionsOurgoalistosellabout220productspermonthwhichwillkeepourcompanyrunningevenly.Thereisvariesprizesforeachunitsold.Mostofourproductsareboughtfromfactoriesandthencustomizedtothecustomerschoice.DuringtheholidaymonthslikeNovemberandDecemberwearelikelytobemorebusycomparetoothermonthsoftheyear.
Financial Summary
Forecast
Financial Highlights by Year
Financing Needed
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AppendixProfit and Loss StatementProfitandLoss
Balance Sheet
Balance Sheet (With Monthly Detail)
Cash Flow Statement
Cash Flow Statement (With Monthly Detail)
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Financial Planning
The break even pointrequiresustosell1,068unitsoftheSignumproducts.
TheaveragecostofaSignumproduct is $190.00 so withthecostofaSignumproduct,Signumwillbeabletogainaprofitonceithassold1,068units
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Financial Write Up
Signumisbasingtheirprojectedsalesfrombusinesstobusiness,tradeshowsandonlinesales.ItwasprojectedthateverymonthSignumwillreceive$150,000fromthebusiness contractand$15,000 from trade shows--$13,875 fromonline salesstartingonDecemberof2016.Thefirstyearinbusiness,Signums’bankprofitwilldecreasingovertimebecauseourcompanyisnewandwillbedevelopingovertime.Ourmarketingsalesbothintradeshowsandonlinearecrucialifourcompanywillsucceed. Therefore, Signumplans to attackboth areas throughout the year andreallymakeourselvesknowntothepublic.SecondyearinbusinessSignums’goalwillbetoincreasesalesineachareaby20%.BythattimeIndividualswillbemoreawareoftheproductsandtheeconomyisgrowing.Moreindividualswillbeabletoaffordourproductsmakingthethirdyearinbusinessaprofitableyear.Thethirdyearprojectedsaleswillbeincreasedby30%fromthefirstyearthecompanywasinbusiness.
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Bank Statement
Current Bank StatementThestatementbelowhasbeendownloadedfromthecompanyUSNetworkbankaccountandshowsthebeginningbalanceofcompanyseedmoney,thedepositofthebusinesscontractsalesfromtheVEIWesternRegionalOfficeandacquisitionofasmallbusinessloan. The statement also reflects the payments of initial start up costs and the feesincurredfromsetoftheofficeandinitialmonthlyexpenses,includingrent,utilitiesandinitialpayrollforthefirstmonthofoperations.
A