While, priding ourselves as the pioneers of creative business support services in the area of credit, risk and debt Management, in this world's ever dynamic business environment, we make sure we are guided by the acronym “PLAID”
We are currently in a highly lucrative market in a rapidly growing economy. The current trend towards an increase in the number of entrepreneurs and competition amongst existing companies presents an opportunity for an increased demand for market information and services that will enable company to stay ahead of the pack.Our services will be positioned very carefully: they will be of extremely high quality, relevant, timely and accurate, tailored to the clients' needs so as to enable them to make the right decisions, in turn leading towards growth of their companies, benefiting the overall economy.
DVLS Services offers the expertise that a proactive-oriented
and market-opportunity seeking individual, cooperate, group or company needs to start,
develop and or enter new product distribution/manufactures, and new market segments in new markets.
DVLS Services intends to provide a number of necessary services to the
general populace. These can be summed up in two main divisions - Outsourcing Services and General
Merchandise/Procurement.
:: Our business services can be taken as Business Development Management,Loan/Bad Debt
Recovery Services, Human Resources,
Capital Development and Financing, Company Research and Analysis, Market Research Reports,
Merchandises/Procurement and General Contracts
Our marketing strategy will be based mainly on ensuring that customers know what needs the services are able to fulfill, and making the right information available to the right target customer. We intend to implement a market penetration strategy that will ensure that we are well known and respected in our respective industry. We will ensure that our services' prices take into consideration people's budgets, and that these people appreciate the services, know that it exists, and where to find it.
The marketing will convey the sense of quality in every picture, every promotion, and every publication. Our promotional strategy will involve integrating advertising, events, personal selling, public relations, direct marketing and Internet marketing, details of which are provided in the marketing section of this plan. Our target markets will range from persons, small or medium businesses, to entrepreneurs needing information on their particular area of concern. The common bond will be the appreciation of the importance of quality information that will enable correct decisions to be made, holding all things equal.
DVLS Services prides itself on its analytical ability, its value-added service, competitive fees, its high standards of quality and its adaptability to changes in the market and in the method of its practice. We intend to provide the client with more than just information and planning tools, besides, quality information that is customized to the client's needs, in the process assisting them on how best to use the available information. By employing our services, our clients are assured of consultants dedicated to finding the right answers for their business and enabling them to benefit long after we have finished our work. We are in this line of work because we like efficiency and because we understand and believe in problem solving and market/marketing research.
As we grow we want to grow right. For example we recognize that we have to be in constant touch with our stakeholders to ensure market knowledge at all times. This is the nature of the channels we deal with. Also, we intend to build our management team correctly. We need the right people in the right place at the right time if we are to ensure optimum growth. We intend to develop our team so that our people can grow as the company grows -- a mutually beneficial relationship. In a nutshell, we don't just intend to market and sell our services, but to market and sell customized information, solutions and a total-quality environment. This will ensure we establish a reputable corporate image.
We are today experiencing a rapid growth in the economy of unsurpassed nature. This has been brought about by amongst other things, the relaxation of foreign exchange policies and macro economic policies geared towards attracting foreign investors into the country. The fiscal and monetary policies of the government geared towards maintaining growth with social justice have largely contributed towards this, evidenced by our economy averaging a growth rate of 9% since 1990 -- very high by international standards. Please, to read more about the Nigeria Economy….. Nigerian Economy
The current drive and emphasis by the government on diversification of the industrial base away from the minerals sector presents an opportunity for DVLS Services to make a valuable contribution towards achieving this goal. This will result in implementation of modern market research techniques and transfer of knowledge. Having undertaken a thorough and comprehensive research of the market we realized that there was a need for a specialized market research firm that focuses on producing market research reports that are tailored to the client' needs.
Though there are business consultancy firms currently on the market, some of whom have been in existence for a relatively long period of time, we believe that there is a market need for one (ourselves in this instance) that particularly focuses on market research. We intend to provide services of extremely high quality -- something that cannot be over-emphasized in the international arena with the current drive towards globalization. We appreciate that entering such a market is not a bed of roses and intend to implement an aggressive marketing strategy, well supported by the other business functions. The above prognosis influenced our decision to enter the business consultancy industry.
DVLS Services will be focusing on local businesses and foreign investors looking at investing in the country, Nigeria. These will be small, medium, and large-sized companies looking for a total service and quality work.
Our most important group of potential customer is foreign investors. These are potential investors who want to have a feel and understanding of the local markets and the opportunities, and constraints they present to them. They do not want to waste their time or risk their money looking for bargain information or questionable expertise. As they go into markets looking at new opportunities, they are very sensitive to risking their company's name and reputation.
Large corporations: one of our most important market segments is the large organization looking at penetrating new or existing markets. These companies will be calling on DVLS Services for development functions that are better spun off than managed in-house, for market research, and feasibility studies. Medium-sized growth companies: particularly in rapidly expanding markets, DVLS Services will offer an attractive development alternative to the company that is management constrained and unable to address opportunities in new markets and new market segments.
Small-sized companies: in an increasingly competitive environment entrepreneurs are becoming more cautious in the markets they seek to enter and on establishing new market opportunities. They are often seeking for prior research to be done to identify possible markets that are suited to their resources and capabilities.
Our marketing strategy will be based mainly on making the right information available to the right target customer. We will ensure that our services' prices take into consideration people's budgets and that these people appreciate the service and know that it exists, including where to find it. The marketing will convey the sense of quality in every picture, every promotion, and every publication. There is already a sense of segment strategy in the way we define our target market. We are choosing to compete in areas that lend themselves to local competition, service and channel areas that match our strengths, and avoid our weaknesses.
Our strategy calls for the development of relationships with investment bodies, attorneys, accountants and financial institutions to support our business with referrals. Interviews with commercial loan officers have indicated that there is a serious need for a professional firm like ours to help their clients in market/marketing research, and development of comprehensive and concise business and marketing plans.
DVLS Services intends to provide the client with more than general market information. We intend to provide accurate, relevant, specific and timely information that will enable our clients to make more accurate decisions. This information we intend to be available to our clients at competitive rates.
We understand that our target markets need more than just information but information that will enable them to make more informed decisions. Our target client wants information that is relevant to their needs and easily understandable so as to make the right decisions. We don't just intend to provide a service, but to provide one of unparalleled nature relative to the market.
Our intended markets are increasingly growing towards recognizing the difference between poor quality business consultancy service and that of high quality. This development is an important trend for us as it represents our target market, and hence opportunity. We now are having an increasing number of people who appreciate quality information and the importance of having comprehensive and concise market and business plans undertaken.
Another trend is the one toward greater use of specialized and focused consultants, instead of in-house resources. Companies are looking for out-sourcing (but unfortunately few offers such a service) and, in general, a preference for variable costs instead of fixed costs.
Although there are a number of attorneys and accountants who write or assist in writing a business plan, the reality is that these professionals provide invaluable services in the areas in which they specialize, but lack the imagination to write a comprehensive and effective business plan. The attorneys tend to dwell on the legal aspects and contractual arrangements while accountants sweat over the balance sheets, cash flow statements, product costs and income statements. Additionally, these vitally necessary professionals cannot afford to spend the many hours necessary to work on a business plan when they could be earning much more per hour concentrating on their particular field of expertise.
Our expertise lies in the ability to listen to a business owner and perceive their vision for their company over the next few years. We can envision what the business person is looking for in the future, then put it in writing and at a cost they can live with.
The consulting "industry" is pulverized and disorganized, with many smaller consulting organizations and individual consultants for every one of the few dozen well-known companies. These other organizations often offer a service, which is not to the client's satisfaction. In addition they often claim to offer a service, which they are not fully capable of providing satisfactorily.
Consulting participants range from major international name-brand consultants to hundreds of individuals. One of DVLS Services' challenges will be establishing itself as a real consulting company, specializing in market research, positioned as a relatively risk-free corporate purchase. The business consulting industry may be segmented by economics and needs patterns. This incorporates some of the service type differences, but in a more practical sense.
Consulting is sold and purchased mainly on a word-of-mouth basis, with relationships and previous experience being, by far, the most important factor.
The major name-brand houses have locations in the main mall, and executive-level managers or partners develop new business through industry associations, business associations, chambers of commerce and industry, etc., and in some cases social associations such as country clubs.
The medium-level houses tend to be general in terms of services and specific in terms of target market - targeting FAP seeking clients/individuals. They are not easily able to leverage their business through distribution, which we intend to be one of our competitive advantages.
The key element in purchase decisions made at the DVLS Services client level is trust in the professional reputation and reliability of the consulting firm. The most important factor in this market is the quality of the service. The majority of the investment referrals said they were not satisfied with the current plans often submitted for their approval as they were of poor quality
Attorneys and Accounting firms
Strengths: Able to provide sound accounting or legal advice and services with the plans being done by
the partners.
Weaknesses: They often lack the imagination to write a comprehensive and effective business plan. The
attorneys tend to dwell on the legal aspects and contractual arrangements while accountants sweat over
the balance sheets, cash flow statements, product costs and income statements. Very little market
research, if any, is often undertaken, and often ineffectively.
At the highest level are the few well-established major names in management consulting. Most of these are organized as partnerships established in major markets around the world, linked together by interconnecting directors and sharing the name and corporate wisdom. Some evolved from accounting companies and some from management consulting. These companies charge very high rates for consulting, and maintain relatively high overhead structures and fulfillment structures based on partners selling and junior associates fulfilling.
Our marketing strategy emphasizes focus. This will be the key. We are a relatively small company and hence must focus on certain kinds of services with certain kinds of users. Initially DVLS Services will focus on the local market and in the market research and training fields. The target customers will include key decision-makers in the large, medium and small-sized organizations in a start-up and growth periods.
We are presently in a highly lucrative market in a rapidly growing economy. We foresee our strengths as the ability to respond timorously to the market dictates and to provide custom designed market research services to our clients. In addition through aggressive marketing and quality management we intend to become a well respected leader in our respective industry. Our key personnel have a wide and thorough knowledge of the local and international markets and expertise, which will go a long towards penetrating the market. However, we acknowledge the fact that few companies are aware of the actual importance of market research and marketing and its contribution to the whole business strategy. Below are the summarized strengths, weaknesses, opportunities, and threats.
The present growth in the economy may result in increased numbers of business consultants, leading to increased competition and confusion amongst clients. This competition could emerge from a variety of given sources including:
At a large scale, market research demonstrates that the business consultancy market we intend to enter is growing and changing. Generally there is a trend toward executive turnover in medium to large companies today. That is, corporate restructuring, privatization, and increased small business development providing for a younger more ambitious market in the executive and small business sector. Research indicates that this new generation of executives being more educated and aware of the global environment assesses and implements information to a much higher degree than past trends have indicated. This is exacerbated by the increase in competition in all industries making it necessary for individuals to have relevant information at their fingertips. Therefore with the emergence of this generation of individuals, the appreciation of quality information and business solutions/ recommendations that provides for and enables the company to grow, dictates that our service lines will be popular.
The current drive by the government towards a more diversified economy presents an opportunity for our business to propel and excel in our intended markets, benefiting from the support of the concerned institutions and trade bodies. In addition with the country increasingly becoming an economic hub we foresee the demand for high quality information to be on the rise. Through undertaking of our business activities professionally we foresee that it should not be too difficult to gain market acceptance provided we deliver the final product and of good quality, at competitive prices.
Furthermore Small, Medium and Micro Enterprises are well recognized as a potentially important source of employment generation apart from the diversification that they inevitably result in. They in turn reflect the declining importance of centralized mass production, along with technical change, the growth of information technology and the growth of the service sector.
Our competitive edge will be our dominance of market information, customer orientation and traditional hard work. Although there are many "supposed" business consultants we intend to offer more than just a professional service but mesh well the various crafts together harmoniously.
Though we shall be serving different market segments we intend to focus on the individual or group who wants high quality information and plans customized to their needs. In the case of marketing and business plans they should be able to work harmoniously/beautifully in the intended environment, both on a macro and micro scale. Though our clients might range from large corporations, small or medium businesses, institutions or resellers what is important to the customer is total satisfaction with the end product matched to their capabilities and resources.
One core element of our strategy will be that of differentiation from our competitors. In terms of marketing, we intend to sell our company as a differentiated strategic ally, not just our services. In price, we intend to offer reasonable and competitive prices in comparison to competition and we need to be able to sustain that. Market penetration through lower prices shall be undertaken where need be whilst premium pricing in the case of high quality services targeted at the upper-end of the market. Our service marketing will recognize more that our product. Service and establishing long relationships with clients will be key to our future service marketing. We primarily intend to sell a relationship more than services.
Our service marketing will emphasize the benefits of conducting adequate planning and the use of quality information and identification of 'windows of opportunity'. We intend to sell access to market knowledge and quality. This will come out in our advertising, delivery and collateral such as sales literature and business cards. Our service marketing's most important challenge will be the problem of being accepted and appreciated on the market as a provider of quality marketing research services and business plans. Hence we intend to not only meet client's expectations but to exceed them.
We intend to focus on the individual or group who wants information that may not be readily available, specially customized to their requirements. However not wanting to limit our horizons in the initial period we intend to serve other clients requiring services such as company registration and trading licenses.
In all cases we intend to provide a thorough understanding and appreciation of the service to the client as well as follow up to ensure customer satisfaction. We also intend to inform the customer on how best to maintain and/or improve their market positions.
In today's volatile and competitive environment it is becoming increasingly essential for organizations to concentrate on their core activities so as to gain and maintain a competitive advantage. This brings out the advantage of undertaking strategic alliances with organizations that the firm may benefit from and vice versa.
At this writing, strategic alliances with LPG Consulting (Charter accountant Firm), and Yomi Adekanmi’ Chambers (Law Firm) are possibilities, given the content of existing interest and discussions. We are also looking at establishing alliances with several accounting and legal firms, which often come into contact with our target market.
The management team mainly comprising the shareholders has wide expertise and broad knowledge of the services and markets, which if well planned for, will enable the business to realize its goals and objectives. As we grow, we will take on additional consulting help and personnel.
Management style will reflect the participation of the shareholders. The company intends to respect its community and treat all employees well. We will develop and nurture the company as community. We do not intend to be very hierarchical.
DVLS Services shall be managed by working partners. The company, simply because of its size, will function more as a partnership than a corporate organization, in the early stages. With such a group, it will be simple to communicate with and support one another. As the company grows there will be more structure to the organization, with new employees being assigned a supervisor or subordinate. When the company is at its full staff potential, it will operate as any closely held organization, but maintain the personal interest in each employee's personal and family welfare and their contributions to the business.
DVLS Services business requires a very high level of knowledge, analytical ability and expertise, which means that it will not be easily leveragable in the common consulting company mode in which partners run the business and make sales, while associates fulfill. Partners will necessarily be involved in the fulfillment of the core business proposition, providing the expertise to the clients. The initial personnel plan is still tentative. It should involve three to five partners, one to three consultants, with good staff support, an office manager, and a secretary. Later, we intend to add more partners, consultants, and sales staff.
We want to finance growth mainly through cash flow and equity. We recognize that this means we will have to grow more slowly than we might like.
The most important factor in our case is collection days. We can't push our clients hard on collection days, because they are in larger companies and will normally have marketing authority, not financial authority. Therefore we need to develop a permanent system of receivables financing, using one of the established financial companies in that business. In turn we intend to ensure that our investors are compatible with our growth plan, management style and vision. Compatibility in this regard means:
The financial plan depends on important assumptions, most of which are shown in the following table as
annual assumptions. The monthly assumptions are included in the appendix. From the beginning, we
recognize that collection days are critical, but not a factor we can influence easily. At least we are
planning on the problem, and dealing with it. Interest rates, tax rates, and personnel burden are based
on conservative assumptions.
Some of the more important underlying assumptions are:
The local business consultancy market has been growing steadily over the last several years. With this in mind we intend our marketing programs to expand accordingly. The introduction of quality sales and marketing literature will enable Palms and Bonds to effectively market to potential customers with a positive image and impression. We project sales to increase accordingly, as we continue establishing a reputation for ourselves, especially in the market research area. With time a presence on the internet and participation in local and regional conferences and trade shows will be key milestones to expanding sales and marketing potentials through the utilization of new channels and identification of potential customers.
Throughout the year we intend to undertake regular evaluations of our business and marketing programs so as to ensure that we are in line with our intended objectives. In summary we intend to undertake the following: