Strategy and Implementation Summary
Green Office's goal of becoming a major vendor of environmentally-friendly office supplies is an ambitious but achievable goal. Green Office will leverage its two part competitive edge to achieve this goal. The first edge is an unbeatable selection of green office supplies.
This all inclusive product catalog creates a compelling one stop shopping venue. This wonderful product selection will be supported by a customer-centric company culture. The marketing and sales strategies support these two competitive edges.
The marketing strategy seeks to develop an awareness of Green Office and its ability to offer a wide selection of eco-friendly office products. All products will be priced competitively, often at the same low price as non eco-friendly products.
The sales strategy will use specially engineered economic incentives that channel account manager behavior into the mode of ensuring, happy, long-term customers. This entire strategy is based on the company's philosophy that it is far cheaper to maintain a current customer than it is to attract new ones.
5.1 Competitive Edge
Green Office competitive edge is two fold, a wide selection of office supplies making it a one stop shopping place and a strong customer service oriented organization where the customers are assigned a specific sales agent/account manager to assist them.
By offering a strong product catalog, customers are able to place all of their office supplies orders at one place instead of having to contact multiple vendors each week or month, whatever the interval may be. Creating the perception that all of the company's office supply needs can be met by one company, Green Office has a competitive edge.
The second edge is Green Office's focus on customer service. The company recognizes that if long-term sustainable growth is desired, the customers must feel like that they are being offered the finest service. This will ensure the building of a loyal customer base that will assist Green Office in becoming a sustainable operation.
5.2 Marketing Strategy
The marketing strategy will be based on a communication effort that announces Green Office's two competitive edges, their selection and customer service. To be able to order all of an office's supply needs from one easy-to-work-with vendor is a significant value. Backing up the extensive product catalog with top rate customer service will retain customers.
Green Office will undertake a marketing campaign that communicates its competitive edge. The campaign will rely primarily on print advertising. The media outlets to be used will be determined based on the readership levels and targeted companies. The campaign will develop an awareness of Green Office to the targeted customers. The development of an awareness or image of Green Office is the first step in the implementation strategy, the second step is the sales strategy detailed in the following section.
5.3 Sales Strategy
Green Office's sales strategy will be based on the conversion of qualified sales leads into paying customers. The key emphasis here is customer service. Green Office recognizes that customers desire that their needs are taken care of.
Additionally, customers want a seemless experience where their expectations are managed. Green Office will accomplish these lofty goals by assigning a specific account manager/sales agent to each customer (assigned by the customer type). The sales agent receives a commission not just for the individual sale but also using a complex formula that takes into account long-term customer satisfaction of the client.
Green Office therefore has developed an economic incentive for its account managers to develop long-term customers. This incentive based system is key to the sales strategy because it creates an incentive for the sales agent to take into account Green Office's strategic survival, not just the agents short-term compensation. In addition, long-term customers are more profitable than new customers.
5.3.1 Sales Forecast
Green Office adopted a conservative forecast for the business plan. These conservative estimates will help ensure that the company does not face any cash flow shortages within the first couple of years The sales forecast also takes into account that Green Office is a start-up organization and it will take time to generate a level of sustainable sales. Sales will increase at a slow but steady rate. Please see the three following table and charts for graphical representation of the sales forecasts.
Green Office has identified four specific milestones that will serve as goals for the organization to achieve. While the milestones are lofty in terms of qualitative standards and the timeline deadline, they are achievable.
- Business plan completion.
- First major government agency account.
- $200K in sales.