Marketing Plan 2008

S. No. Contents Page No.

A Introduction 1
B About Phoenix Amour 1
C Marketing Plan 2008 1
1 Part 1: Purpose of the Marketing Plan 2
1.1 Mission Statement 2
1.2 Vision Statement 2
2 Part 2: Situation Analysis 3
2.1 Current Product/service analysis 3
2.1.1 Service Attributes 3
2.1.2 Distribution 4
2.1.3 Promotion 4
2.1.4 Service offered 5
2.2 Target Markets 6
2.3 Current Distribution Network 6
2.4 Competitive analysis 7
2.4.1 Security 2000 6
2.4.2 G4S SMS 8
2.5 Financial analysis of CIT service 10
2.6 Environmental problem and opportunities 12
2.7 SWOT analysis 13
3 Part 3 : Marketing Strategies and Objectives 14
3.1 Financial objectives 14
3.2 Marketing objectives 14
3.3 Customer service objectives 14
4 Part 4: Tactical Marketing Program 15
4.1 Target Markets issues 15
4.2 Product/service issues 16
4.3 Promotion Issues 16
4.3.1 Sales Department 16
4.3.2 Telemarketers 17
4.3.3 Advertisement 17
4.3.4 Brochures 17
4.3.5 Exhibitions 17
4.4 Distribution Issues 17
4.5 Pricing Issues 18
4.6 Customer service area 18
5 Part 5: Budgeting, Performance analysis and Implementation 20
5.1 Marketing Budget 20
5.2 Performance analysis 21
5.3 Implementation 22
6 Part 6: Additional Considerations 23
6.1 Internal Factors 23
6.2 External factors 23
6.3 Research Limitations 23

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MARKETING PLAN

Introduction:

PHOENIX ARMOUR Background:

Phoenix Armour is operating in Pakistan from 1982 however it was formerly

known as Brinks. Phoenix Armour is a pioneer company in cash-In-Transit
service in Pakistan and now it is operating in 90 cities. It has divided its
operations geographically into 3 regions i.e. South, North and Central. The
company is also dealing in Security Guards Services for VIPS, Financial
Institutions and other businesses etc, and security equipments like CCTV
cameras, Alarms and Intellectual Property Rights.

Marketing Plan 2008:

As mentioned above, PHOENIX Group of Companies is covering every aspect of
security related business however this marketing plan is related only to Cash-in-
Transit Service.
This marketing plan is designed to provide the reader with the necessary
information to fully understand the purpose of the marketing plan. Essentially this
plan is:
• Forces the marketing personnel to look internally in order to fully
understand the results of past marketing decisions.
• Forces the marketing personnel to look externally in order to fully
understand the market in which PHOENIX ARMOUR operates.
• Sets future goals and provides direction for future marketing efforts
that everyone within the organization should understand and
support.

To develop this marketing plan a six-part approach is taken that includes:

1. Purpose and Mission
2. Situational Analysis
3. Marketing Strategy and Objectives
4. Tactical Programs
5. Budgets, Performance Analysis and Implementation
6. Additional Consideration

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Part 1: PURPOSE OF THE MARKETING PLAN:

This Marketing Plan is undertaken for the following reasons:

• Needed as part of the yearly planning process within the marketing

functional area.
• Needed for a specialized strategy to introduce something new, such as
new product/service planning, entering new markets, or trying a new
strategy to fix an existing problem.
• Is a component within an overall business plan, such as a new business
proposal to the financial community

1.1 Mission Statement:

“Phoenix Armour’s core mission is to provide the customers

excellent security solutions in the volatile conditions. We exist to attract and
maintain customers; our services and products will exceed the expectations of
the customers and will fulfill their demands.”

1.2 Vision statement:

“Our ultimate vision is to become a superior security solution provider for each
customer while doing things efficiently as an organization.”

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Part 2: SITUATIONAL ANALYSIS

The situational analysis is designed to take a snapshot of where things stand at

the time the plan is presented. The situational analysis covers six key areas:
product/ service attributes, target market, distribution, competitors, financial and
other issues.

2.1 Current Product/Service Analysis:

2.1.1Service Attributes:

CIT Services:
The salient features of services are:
• Risk-free transportation of cash and valuables between any bank and
office.
• Door-to-door secure transportation within city or inter-city, and
nationwide.
• Salary distribution service.
• Vaulting facility for cash and valuables, over night or on a long term basis.
• Backed by a comprehensive insurance cover.

Types of Services:
There are four types of services which are as follows:

Local Services:
This type of services is done within the city.

Domestic courier service:

When valuables are moved from city to another city then this type of service is
called Domestic Courier Service.

Plane Side Service:

It refers for moving valuables, foreign currency etc outside the country by air.

Wage Packet Distribution:

Phoenix Armour also provides wage distribution facility for other businesses
where the whole process is done by phoenix is people.

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Plane Side
10%
Domestic
25%

Wage Packet
5%

Local
60%

2.1.2 Distribution:
This marketing plan is related to services not to any product , that’s why , there is
no distribution channels required for making services accessible to the
customers, however, contacts of Phoenix Armour’s Operations and unique
reference number (proposal no.) is provided to each customer to avail the
services.

2.1.3 Promotion:

The Phoenix Armour’s marketing department is the backbone of the company

and plays a key role to achieve the goals of the organization. They get business
for the company by satisfying the needs of customers and find out new
opportunities to increase the market shares of the organization.
The marketing and promotions of the company are done by following methods:

• Sales department.
• Telemarketing.
• Advertisement.
• Brochures and other printing materials.
• Exhibitions.

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All above techniques are integrated together to achieve the set targets for the
marketing departments.

Sales
Department

Printed
Telemarketing Materials

Marketing
Department

Advertisement Exhibitions

2.1.4 Service Offered:

As mentioned above, this plan is related to the services that’s why there is no pre
and post sale services however CIT services are backed by comprehensive
insurance cover. Phoenix Armour also offers vault facilities to their customers to
store safely and securely their valuables in any situation.

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2.2 Target Market:

Generally, Cash-in-Transit service is utilized by the customers those want to

move their cash and other valuables between two destinations securely due to
security reasons.
Phoenix Armour possesses excellent information about their target markets and
knows a great deal about common attributes of the most valuable customers.
This information will be utilized to better understand, who is served, what their
specific needs are, and how Phoenix Armour can better correspond with them.

In case of Cash-in-Transit service, Phoenix Armour’s market consists of basically

two segments:

1. Financial Institutions.

2. General segment.

Financial Segment General segment

National bank of Pakistan Textiles Industry
Habib Bank of Pakistan Pharmaceuticals
Allied Bank Money Changers
UBL Oil & Gas
MCB Chemical Industry
Bank Al - Habib Construction
NIB Food & Beverages
Meezan Bank Hotels
Atlas Bank Jewelers.
etc. etc

2.3 Current Distributor Network:

As mentioned earlier that this plan is related to the services so there is no
distributor channel is required between company and its customers. The
customers are directly contacted with the company if they require CIT services.

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2.4 Competitive Analysis:

Phoenix Armour being a market leader, is not facing intense competition and
enjoying the monopoly. However there are some customers those are operating
in the same industry. They are as follows:

1. Group Securicore G4S)

2. Security 2000

3. Askari Cash in transit

4. Bahria Cash in transit

Security 2000:

It was formed in 1995, with offices in all provincial capitals. Its Headquarters is in
Karachi with eight regional offices spread throughout the Country. Countrywide
the company has 10 offices.

SERVICES:

They provide following services:

1. GUARDS SECURITY
2. EXECUTIVE PROTECTION
3. CRISES MANAGEMENT
4. DUE DILIGENCE
5. BRAND PROTECTION
6. SECURITY SURVEY
7. RESPONSE MONITORING
8. RISK ASSESSMENT
9. SECURITY TRAINING
10. EVENTS SECURITY

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Customers:

SECURITY 2000 has 4 full-fledged security divisions in different fields. 5 out of

the top FORTUNE 50 companies of the world and 12 of the top 20 NATIONAL
companies are their clients.

Some are:
Customers Customers
ABBOTT KNOLL
ABN AMRO BANK MERCK MARKER
ADT MSD
AMERICAN PRESIDENT LINES (APL) NOVARTIS
CGNU OSRAM
CNN PROCTER & GAMBLE (P&G)
DCN - DEFLOG PAKISTAN STATE OIL
DUPONT PAKISTAN TOBACCO CO
ENGRO PEPSI CO INTERNATIONAL
ELI LILLY PFIZER
GENERAL ELECTRIC (GE) PHILIPS
GILLETE RECKITT BENCKISER
GOLDMAN SACHS ROCHE
GSK STANDARD CHARTERED BANK
HUB POWER CO THAI AIR INTERNATIONAL
HUGHES CORP UNILEVER
ICI UNION BANK
J WALTER THOMPSON WORLD BANK
JP MORGAN 3M

G4S SMS:
• Formed in 2004 from the merger between Securicor plc and Group 4
Falck A/S’s security business.
• Listed on the London Stock Exchange (stock symbol: GFS) with a
secondary listing in Copenhagen.
• The largest employer listed on the London Stock Exchange
• Turnover from continuing operations for the half year from January - June
2007 was £2,263.9 million (2006: £2,025.3m). PBITA for the same period
was up 15.9% to £139.5 million (2006: £120.4 m)
• G4S SMS Pakistan has been working since 1992. They provide security
services over 30 locations and 10,000 employees covering the major
cities.

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SERVICES:

They are working in the following areas:

1. Manned Security

• Mobile Patrol,
• VIP Guards,
• Stationary Guards,
• Reception Services,
• Physical Protection
• and Event Security

2. Cash Services.
• Cash in transit

3. Other Security Services

• Security Training,
• Consultancy Services,
• Security Survey,
• Facility Services,
• and Research & Collection Services

Customer Segments:

They are providing services to following segments.

• Public authorities,
• Small businesses,
• Medium-sized and large businesses,
• Residential customers,
• International organizations,
• Embassies, Gas & Oil Exploration (Field Operation),
• Mobile Telephone Companies (Cell Sites)
• And NGOs

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The following graph shows the percent value achievement for each service. The
domestic service as compare to other two services is not taking much part in
profit generation. The main reason is the facility of online transfer where
customer can transfer money online to other city/cities without any exposure
that’s why they avoid physical transfer of money to other cities.

Service Achievement for the Year 2007

100
Achievements

80
Service

60
(%)

40
20
0
Local Domestic Plane Side
Service Type

All three services are showing great results and achievements in the following
table in terms of revenue generation. The company is enjoying profit more than it
was forecasted specially in local and domestic services.

The main reason of getting more profit in the industry as compare to our
competitors is the reliability, goodwill, hard working and quality of our services.
However, new competitors are arriving into the market and also existing
competitors are cutting down their charges and upgrading their logistics which
result in intense competition can affect our market shares and creating hurdles to
achieve our short and long term goals. That’s why the company has to keep an
eye on the competitors by not only securing our market shares but try to reduce
competitors’ market shares by aggressive marketing techniques.

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Revenue Achievement for the Year 2007

Achievements
150

100
Revenue

(%)

50

0
Local Domestic Plane Side
Service Type

2.6 Environmental Problems and Opportunities:

Phoenix Armour is operating in the security industry. The company follows all the
legal obligations that are necessary to run as a business, such as the verification
of all the company staff/employees, especially the security guards. The company
verified it by using their CNIC cards.
The CIT vehicles are strictly bound to follow the traffic rules and regulations, such
as parking restrictions and emission of smoke from the vehicle. The company
properly maintained the vehicles by periodic maintenance and tuning of the
vehicles, which help to reduce the hydrocarbon emission from vehicles. Daily
there are various services, which go through SBP (State Bank of Pakistan) and
SBP have some restrictions on the entrance of the CIT vehicles in their parking
area. The SBP allowed two vehicles at a time normally, however in the rush
hours only one vehicle is allowed. There is a break of 3 hours from 1200 to 1500
on Fridays when none of the vehicle is allowed to enter into the bank.
There is expansion in the financial sector of Pakistan. More banks are opening
their branches and expanding their businesses, that gives an enormous
opportunity to PHOENIX ARMOUR to increase its market share.
Due to the increase in street crimes and unlawful conditions especially in
Karachi, therefore more customers desire to transit their cash safely and
securely, that gives the company more customers in the general segment.

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Plastic money, online money transfer and big notes etc, are working as substitute
products to us and are reducing the profit of the company.

PESTLE ANALYSIS

Political Instability
POLITICAL Co. follows all guidelines implemented by SECP.
Decrease In FDI.

Increase in disposable income of customers

ECONOMICAL Expansion in banking sector.
Increase in global inflation

Increase in street crime.

FACTORS SOCIAL Increase in Unemployment.
Increase in fuel prices.

More usage of plastic money.

TECHNICAL Telegraphic transfer and Hundi system of money.
Online transfer of money.

Verification of staff documents.

LEGAL Restrictions by SBP.
all traffic laws are obeyed by armored vehicles.

Proper maintenance of armored vehicles periodically.

ECOLOGICAL Daily checking of CIT vehicles
Rectifying immediately any wear and tear of vehicles.

2.7 SWOT Analysis:

Phoenix Armour has several powerful strengths on which to build, but our major
weakness is lack of brand awareness and image in general segment. The major
opportunity is growing demand of CIT service due to the nature of the street
crimes situation in Pakistan especially in Karachi. We are also facing the threat of
competition from other security companies and downward pressure on pricing.

The following SWOT analysis captures the key strengths and weaknesses within
the company, and highlights the opportunities and threats facing Phoenix
Armour.

2.8.1 Strengths:
• Pioneer in the security business in Pakistan.
• In-depth industry experience and insight.
• Highest market shares.

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2.8.2 Weaknesses:
• Lack of marketing in General Segment.
• Lack of marketing research.
• Company is less customer-focused.

2.8.3 Opportunities:
• Expanding business in banking sector like Barclays is coming.
• Law & order situation.
• Political instability.
• Still lot of market share could be gain from general segment.

Threats:
• Increasing competition.
• Online transfer of money between banks.
• Increasing competition is compelling company to over look its pricing
policy because SMS is providing their services less costly as compare to
us.

Part 3: MARKETING STRATEGY AND OBJECTIVES:

3.1. Financial Objectives:

• Increase the profit margin by 2 percent per quarter through efficiency and
control on expenses.

• Maintain a significant budget for attending exhibitions and printing

materials for advertisement.

3.2. Marketing Objectives:

• To achieve a stable boost in market development.

• To maintain affirmative, strong growth in 2008.

• To enhance brand awareness in the general segment.

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3.3 Customer Services Objectives:

• To reduce customer complains through communicating with them.

• Building relationship between customer services department and

customers for enhancing trust on company.

• To conduct an annual conference with stakeholders.

Part 4: TACTICAL MARKETING PROGRAM:

Part 4 is the core of the marketing plan. It contains descriptions of detailed tactics
to be carried out to achieve the objectives and goals established in Part 3.
In this section details and timetables are presented for six key decision areas:
• Target Markets
• Product
• Promotion
• Pricing
• Distribution
• Other Areas. (Customer Service Area)

Preferably this section includes a brief summary of current marketing decisions

(please refer to Part 2 Situational Analysis) so readers of the plan can easily
compare what was planned to what is planned.

4.1 Target Market Issues:

In case of Cash-in-Transit service, Phoenix Armour’s market consists of basically

two segments:

4. Financial Institutions.
5. General segment.

Our primary target market is financial institutions such as leading local and
foreign banks, money changers and multinational companies. Phoenix Armour is
enjoying leading share of the financial sector, where the company is providing
services to all the leading banks throughout the country. However, there is a
constant need to provide better offering to them to further increase the market
share of the company.

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Our secondary target segment is general segment that comprises of Fuel

Stations, Textile Industry, Pharmaceuticals and Jewelers etc. those are needed
to transfer cash from one location to another location.
First segment is related to retail banks and it is also a primary segment for profit
generation. In case of retail banks, they utilize the service when they require
cash for their daily operations so generally cash is dispensed from their relative
feeding or main branch to the retail branches in the cities at the start of the day
and collection of cash from their branches to feeding or main branch in the
evening. In case of General Segment, mostly industries avail this service when
they require cash for wages or salaries for their staff.

Product (CIT Service) Positioning:

Phoenix Armour is the premier provider for cash-in-transit however viewers from
general segment position Phoenix Armour as the company is only dedicated to
banking sector. In this year, the company will reposition itself as the services of
the company are also available to the customers other than banking sector. This
position will be achieved by leveraging Phoenix’ competitive edge: industry
experience and passion. Its management is able to use its vast experience and
personal passion for the cash-in-transit to develop strong awareness in the
general segment.

4.2 Product/Service Issues:

As discussed earlier, there are no issues related to distributors and also same
with the case with packaging and labeling however for this service the company
will use market development technique (same service; new market) to attract
more customers from general segment.

4.3 Promotion Issues:

In the year 2008, the promotional activities will be done by participating
exhibitions, advertisement in business magazines and attracting general
segment by distributing broachers and other printing materials. The marketing
and promotions of company will be done by following methods:

• Sales Department.
• Telemarketing.
• Advertisement.
• Brochures and other printing materials.
• Exhibitions.

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• 4.3.1 Sales Department:

The sales team need to be more pro-active and must work according to the
set goals. They will go into the field with the printing materials like broachers
and reach the target market and explain the CIT services to them and also
take the feedback of customers if they need any special requirement in our
services. The sales team will also explain the future benefits of our services to
the customers and differentiate our services from competitors. The sale team
will try to gather the information about the competitors in the market like their
charges, promotion etc.

• 4.3.2 Telemarketers:

The telemarketers will be assigned particular segments for a month on which

they will work with full concentration and efforts. They will be given small
goals, like to get a particular number of potential customers from assigned
target markets. They will be responsible to generate a report about assigned
target market at the end of the month in which they will explain the portfolio of
the segment.

• 4.3.3 Advertisements:
To address the related target market, advertisement will be done through
yellow pages, business magazines, company’s website, and also in annual
magazines of industries like textiles and pharmaceuticals etc. The armored
vehicles are also the moveable advertisement for the company because they
go number of places specially banks, industrial areas etc, and the potential
customers can attract through them.

• 4.3.4 Brochures
Brochures and other printing materials like leaflets etc. can boost the
marketing activities of the company. The brochures will be distributed by
sales team to the potential customers and also to existing customers who do
not avail the services and there are also numbers of customers where
management has been changed and they do not know about our services. By
the help of printing materials, the company will refresh the information about
the CIT services and to get more market shares. To increase the awareness
of the company, brochures will be placed inside the financial institutions.

• 4.3.5 Exhibitions

An exhibition is the promotional way where company can convey its message
to the potential target market directly. In the year 2008, the company will take
part in the exhibitions on the quarterly basis where a well-defined picture of
the company will be illustrated to the potential customers.

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4.4 Distribution Issues:

This marketing plan is related to services not to any product , that’s why , there is
no distribution channels required for making services accessible to the
customers, however, contacts of Phoenix Armour’s Operations and unique
reference number (proposal no.,) are provided to each customer to avail the
services.

4.5 Pricing Policies:

There are 5 types of rates which are as follows:

Base rates: They varies according to the frequency of servicing required by the
clients and base rate get doubles if the service is after 5 pm and during holidays
weekends, special events like Eid, Christmas etc.

Surcharge: of Rs 0.50 per thousand will apply if the amount or valuable are in
excess of 0.50 million and for the banks 0.10 per thousand will apply if the
amount or valuable in excess of 1 million.

Sealing charge: is a seal charge which is used on every bag to seal it off with a
special number it is Rs. 25 for each seal.

Vault charge: is a premise where valuables are kept for longer or short periods it
is guarded by armed men and security cameras and equipment the charge of Rs.
200 per night (only for Karachi and varies for other cities) per consignment is
applied

Waiting charge: is a charge of Rs. 500 per hour applies, if vehicle is kept on
waiting for more than 15 minutes to pick up the consignment.

4.6 Customer Service Area:

Phoenix Armour has established its customer service department for

improvement of the quality of the services. CIT is a service and in service
industry, a customer directly contacts to the supplier that’s why customer
services department is the backbone of the service industry. The customer
service department will be responsible of total satisfaction of the customers. If a
customer has any complain regarding CIT services, this department will
investigate thoroughly the customer complains and try to eradicate the cause of
the problem by giving suggestion to the top management. This department will
work as a bridge between CIT operation and customers to smooth execution of
the services.

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Feedback of Customers

100

90

80
Percentage of Customers

70

60

50

40

30

20

10

0
Standard of Behavior of Vehicle’s Crew Standard of Service Time
Services Control Room Behavior Packaging
Staff Material (sealing
& bag)

Service's Attributes

Unsatifactory Satisfactory Fair Good Excellent

The above graph shows the customers feedback about our services.

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Part 5: BUDGETING, PERFORMANCE ANALYSIS AND IMPLEMENTATION:

This step consists of three steps.

• Marketing Budget - presents a clear picture of the financial implications
of the plan
• Performance Analysis - presents the expected results of the plan including
its financial impact
• Implementation Schedule - shows timelines and identify those
responsible for performing tasks

5.1 Marketing Budget:

Marketing Expenditures

13%
24%
A ds
Website
13%
Printed Materials
Sales Department

5% Telemarketing
Exhibitions
Customer Services
19%
13% Others

8% 5%

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5.3 Implementation:

This section illustrates a discussion of how and by whom the plan will be carried
out. The detailed budget allocations and time for each specific marketing
communications tools are given below in Gantt chart. This chart is also
identifying those related departments for each activity. The marketing plan will
be completed in the start of January 2008 by marketing department. The working
of sales team, advertisements and telemarketing will be done throughout the
year.

Part 6: ADDITIONAL CONSIDERATIONS:

The final major section in the Marketing Plan prepares the reader for potential
situations that may affect the plan. In this way the reader is provided with a
somewhat more balanced picture of what the company may face as it attempts to
implement the plan.

6.1 Internal Factors:

The internal factors that may affect the plan are as follows:

• Loss of funding source.

• Loss of key personnel.
• Logistic problems.
• Unexpected virus attack on database.
• Relocation of departments due to revamp.

6.2 External Factors:

The outside factors that may affect the plan are as follows:

• Political Instability
• Law & order Situations
• CIT Vehicles have become vulnerable for robberies.
• Economic Crises for small businesses.
• Increase in Fuel Prices.
• Riots.

6.3 Research Limitations:

• Difficult to find solid data on a certain subject.

• Numbers of assumptions are made on forecasting.

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