Market Perspectives (ModuleFinal Project) 1
Market Perspectives Module
Final Project (Week Seven)
Marketing Plan of
Al Fajre Marine for Boats Manufacturing – Dubai
Muhammad Rabah Qawaf
Student ID: 16116953 - H 00019410
Word Count: 4021
January 2013
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Market Perspectives (ModuleFinal Project) 3
Table of Contents:
Section 1.0 Executive Summary ………………………………………….. Page 03
Section 2.0 Situation Analysis …………………………………………….. Page 05
Section 2.1 Market Summary ………………………………………… Page 05
Section 2.2 Market Needs ……………………………………………. Page 06
Section 2.3 Market Growth …………………………………………… Page 07
Section 2.4 SWOT Analysis ………………………………………….. Page 08
Section 2.5 Competition ………………………………………………. Page 09
Section 2.6 Product Offering …………………………………………. Page 10
Section 2.7 Keys to Success …………………………………………. Page 11
Section 2.8 Critical Issues ……………………………………………. Page 11
Section 3.0 Marketing Strategy ……………………………………………. Page 12
Section 3.1 Mission ……………………………………………………. Page 13
Section 3.2 Marketing Objectives ……………………………………. Page 13
Section 3.3 Financial Objectives …………………………………….. Page 14
Section 3.4 Target Markets …………………………………………… Page 14
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Section 3.5 Positioning ……………………………………………….. Page 15
Section 3.6 Strategies ………………………………………………… Page 15
Section 3.7 Marketing …………………………………………………. Page 16
Section 3.8 Marketing Research …………………………………….. Page 18
Section 4.0 Financial ……………………..………………………………….. Page 20
Section 4.1 Break-Even Analysis ……………………………………. Page 20
Section 4.2 Sales Forecast …………………………………………… Page 21
Section 4.3 Marketing Expense Forecast ….……………………….. Page 22
Section 5.0 Controls and Contingencies …………………………………. Page 24
Section 5.1 Implementation Schedule ………………………………. Page 24
Section 5.2 Contingencies Planning ………………………………… Page 25
References List …………………………………………………………………. Page 27
Section 1.0
Executive Summary
The author is presenting in this module Final project herewith
the marketing plan of Al Fajre Marine for Boats Manufacturing.
The following section 2 will analyze the firm’s position in
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Market Perspectives (ModuleFinal Project) 5
the market and will summarize the market situation for this
type of business locally and regionally and what are the
market’s needs and how the market grows. Then the author will
conduct SWOT analysis of the firm’s showing its points of
strength, weakness, and opportunities that could be exploits
by the firm and threats & competition facing the firm by other
rivals in this industry, and competitions facing the firm; the
following section will demonstrate keys of success to be
followed and the firm’s offering to achieve the desired
success, showing any critical issues that might arise during
the implementation of this marketing plan. The author shall
also demonstrate in section 3 the marketing strategy and
mission of the firm in addition to the marketing the financial
objectives of the marketing plan.
Al Fajre Marine for Boats Manufacturing was established four
year back during the peak of Dubai booming in the real estate
business and before the financial crises aiming for the
customers of the artificial World and the Palms islands to
build fiberglass recreational boats. Al Fajre Marine started
to invest in building the moulds required for these boats with
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the recommended length of 40 to 50ft. so it will be easy to
produce large number of products from the same mould.
In section 3 the author will continue what he has started in
week 4 module project part 1 and demonstrate the markets to be
targeted for the marketing plan showing the position of the
company and what strategy he will follow presenting 7P’s
marketing mix elements and conducting an appropriate marketing
research.
In section 4, the author will project an estimated data to
display close-to-reality projections based upon the targeted
market and the company position in that market. In the same
section, the author will demonstrate the breakeven point in
relation with the units to be produced and sold, where total
revenue equal total (fixed and variable) costs and to be
presented in graph that will illustrate the break-even point,
the estimated variable costs and the estimated levels of fixed
costs. In the same section, the author will display the
forecast of marketing expenses over two years.
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In the last section 5, the author will show the controls and
contingencies for monitoring the new marketing plan to insure
correct implementation focusing on the revenues, expenses and
customers and the author will demonstrate table of the
implementing schedule showing each milestones dates in the new
marketing plan with its timeframe and budget; then the author
will show the difficulties that might face Al Fajre Marine
during the new marketing plan implementation and what are the
alternatives in case of worse scenarios.
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Section 2.0
Situation Analysis
Al Fajre Marine has started from scratch where it is started
by fabricating the boats’ moulds with the size they thought
there will be high demand for the size and application, and it
took them a full year to finalize the moulds and made them
ready for production.
By the time Al Fajre finished the moulds fabrication, the
global financial crises strike and the demands dropped down
dramatically especially for the wealthy individual customers
for the recreational application, and most customers were
going for second hand boats with smaller size 20 to 30ft.
long. So it was rough start for Al Fajre Marine with all the
unexpected events and its consequences.
Section 2.1
Market Summary
Before the global economic crisis, there were huge demands on
the recreational boats for wealthy individuals in addition to
the fishermen that they require low cost boats with basic
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accessories enough for their fishing; and the third demand was
for government tenders that they require boats for patrolling,
security, service etc. The fourth demand is the regional
customers from the neighboring countries for commercial
operation boats used for transporting passengers, fishing
boats, recreational boats and interceptor boats for government
and official authorities’ marine operations.
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Section 2.2
Market Needs
The author will demonstrate the market needs for each segment
in the following table detailed as percentage of the total
demands followed by graphic chart showing the differences in
the market needs, detailed as follows:
PotentialCustomers
Recreational
Fishing Commercial
Governmental
OperationsLocals 50% 10% 10% 30%
NeighboringCountries 30% 10% 40% 20%
Total Average 40% 10% 25% 25%
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Segments of Customers Locally and Regionally
0%
10%
20%
30%
40%
50%
60%
LocalNeighboring CountriesTotal Average
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The above table and chart showing the segment of customers and
the types of boats required in the market, these boats are
segmented according to the customer types, detailed as
follows:
Recreational Boats: Quality of the boat and accessories used
are the customer’s top priority in addition to the Cabin, or
driving console shape and finishing with streamline designs,
fancy accessories and luxurious upholstery with the latest
machines and equipments.
Fishing Boats: Boat’s finishing is not so important as the
performance, the capacity and ability to sail in rough sea
conditions with minimum accessories required for the fishing
operations; and usually the boats are open deck with no cabin
but only driving console and huge ice boxes to store the
fishes.
Commercial Boats: These boats are usually required with
Classification certificate such as Lloyds, ABS, RINA, etc.
that classifying process will cost extra, however, the boat
should be equipped with the minimum accessories enough for its
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operation with moderate finishing and maximum safety for the
passengers onboard.
Interceptors Boats: These boats has to be high quality, high
speed with high performance in most weather condition for
governmental operations such as patrolling, intercepting, crew
transportation or service.
Section 2.3
Market Growth
Before the global economic crisis, the growth in boats
building industries was reasonably high as 20% annually, but
after the crises the circumstances has changed and market
demands shrink down to about 50%; but now after three year of
the crisis impact, things are slowly recovering and becoming
normal and the boats building industry is starting picking up
slowly with about 5% growth annually.
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Section 2.4
SWOT Analysis
The following SWOT analysis demonstrates the key strengths and
weaknesses within Al Fajre Marine, and showing the
opportunities and threats facing the company.
Strengths
Owning its own moulds and having the patent designs of
the boats to be produced.
Flexible production line where the company can produce
several models with different concepts as per the
customer requirement from the same boat’s mould.
Small company size with a decision maker capable of
taking crucial decisions in pricing, production according
to customers’ demand.
Weaknesses
The payback time for the money invested in the company
due to the unexpected global economic crisis will take
longer time than anticipated.
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The vicious competition among the boats builders caused
price reduction and lower quality products.
Lack of distribution network for dealers.
Opportunities
Increasing demands for new boats especially for
governmental authorities.
Medium and small size old boats’ builders leaving the
industry due to the economic recession that decreased the
chances for more orders to run the existing boats’
factories in high capacity.
Surviving the first three years after the crisis gave
better chance for the company to have its position in the
boats industry.
To establish new customers’ base abroad in the
neighboring countries.
Threats
Potential competition from the existing medium and small
size boats builders.
Slow economy growth and long economic recovery.
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The distribution network of the huge boats builders
locally and internationally.
Section 2.5
Competition
Al Fajre Marine is facing a vicious competition from the small
and medium size boats’ builders who managed to survive the
economic crisis, and from the new comers with their policy of
hit and run where they get big order in very low price due to
social connection with the buyer or other means, by even
breaking the prices just to get the order and keep their
factory running, then they start to suffer in meeting the
delivery time and quality requirements and eventually failing
to deliver the required boats as per the customer’s
specifications and time frame.
On the other hand, the huge boats factories with their brand
names where they work on mass production and sell in
quantities for their dealers and distributors’ network in the
region in low price that affect Al Fajre Marine’s sales with
its new brand name and tailor-made production causing higher
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production cost and longer delivery time putting the company
in difficult situation to compete with them.
Section 2.6
Product Offering
Al Fajre Marine is offering reasonable required products out
of its two moulds where it manages to use the same boat’s hull
for different concepts such as:
Recreational concept with open deck and center driving
console that could be used for pleasure as well as sport
fishing.
Recreational concept with air-conditioned Cabin, to
include bedroom, sitting area and stern open area for
outside sitting or fishing.
Commercial concept for transporting passengers with full
size air-conditioned cabin with feasible number of
passengers’ seats for better and fast payback for the
owner/ operator with the ability to use inboard diesel
engines, because in commercial concepts it is preferable
to use inboard diesel engines because diesel is safer
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than petrol and it has higher torque, longer working
hours, more durable and less maintenance.
Governmental concept to be used for official operations
and services that could be used with open deck or air-
conditioned cabin.
Fishing concept with open deck and huge ice boxes for
professional fishermen equipped with the necessary basic
accessories to be sold for low and competitive price in
large quantities.
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Section 2.7
Keys to Success
The main focus of Al Fajre Marine is “Customer Satisfaction”
where it tailor-made every boat according to the customer’s
needs and requirements, while the big factories with a
production line do not do that under any circumstances and Al
Fajre Marine knows that, it is not an easy task to achieve,
but its vision is to build wider base of loyal customers that
will strengthen the company’s position in this business and to
become profitable and sustainable company.
Section 2.8
Critical Issues
Al Fajre Marine is still in the stage of establishing its
brand name in very difficult economy situation and for
that reason, the shareholders are still paying from their
pockets to cover the company’s expenses, but they are so
keen to complete what they have started until the company
becomes profitable.
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Satisfying customers cost money especially in the boats
industry where boats mass production is the most
efficient way to save money and increase profit, but
building each boat according to customer demand will
cause the price to jump high and hence reducing the
margin of profit and lead to uncompetitive price with the
other rivals.
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Section 3.0
Marketing Strategy
Al Fajre Marine is looking to maximize the beneficial use of
its boats and to have a unique tailor-made product meeting the
delivery time and price limits without compromising the
quality, safety and performance of any boat to fulfill each
and every detail to ensure the customer’s satisfaction and
quality standards that could be achieved by implementing the
followings:
Implement the latest technologies to improve the product
quality, minimizing the manufacturing time and
maximizing the employees’ output by using Vacuum
lamination process and to be upgraded in the near future
to the new Infusion lamination process that will reduce
the time required to complete the boat and also
increasing the hull stiffness and reducing the boat’s
weight by 30%, hence less power engines will be required
and consequently less fuel consumption.
Participating in the domestic and regional boats shows
with product samples to be displayed and even tested in
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the sea by the potential customers to show them how the
boat performs in real conditions and feel the quality of
the product.
Advertize in the most famous and popular boating
magazines locally, regionally and internationally,
focusing on the tailor-made ability for demanding
customers and on the commercial concept models.
Balancing the use of the available funds and resources
to achieve development and expansion to cover wider
range of customers and markets maintaining the leading
in product’s quality and the product’s personality that
meets the customer’s requirement.
Shifting the targeted customer and boat’s concept from
recreational tailor-made, high quality boats for
demanding customers to commercial standardized boat
where the customer focuses on the safety and performance
and not so demanding as the other one and willing to pay
well, knowing that s/he will get the invested money back
within less than two years.
Section 3.1
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Mission
The mission of Al Fajre Marine for Boats Building is to
achieve the maximum customer satisfaction by providing the
customers with the proper and suitable unique boats for their
needs with the best quality and reasonable price to establish
Al Fajre Marine’s brand name and to secure a leading position
among the leading and reputable boats builders companies in
the region and to achieve sustainable growth in profit trying
to maximize the shareholders’ wealth and stakeholder
prosperity.
Section 3.2
Marketing Objectives
The marketing objectives of Al Fajre Marine Boats
Manufacturing are as follow:
To maintain steady positive growth.
To gradually increase its market share locally,
regionally and internationally.
To Increase sales and revenues.
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To decrease the tailor-made boats manufacturing without
compromising the customer satisfaction.
Focusing on government tenders and large orders.
Focusing on commercial passengers’ boats and recreational
boats for touristic companies in the UAE and the region.
Section 3.3
Financial Objectives
Al Fajre Marine financial objectives are detailed as follows:
Minimizing the tailor-made boats by standardizing the
boats’ parts and accessories to reduce the cost of
materials and labor charges.
Increase the profit margin by 5% annually through
efficient use of material and labor working-time
management.
To maintain skilled workers to have better product with
less time, hence increasing the product value compared to
the competitive product.
To minimize the time required for the company to become
profitable and sustainable.
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Section 3.4
Target Markets
In addition to the local and regional market in the UAE and
the GCC countries in the Arabian (Persian) gulf region, Al
Fajre marine is seeking an overseas opportunity to expand its
activities and it is already started that by supplying Indian
government through Indian local supplier with number of boats
for their marine operations because India is a peninsula
surrounded by the Indian ocean and thousands of miles of sea
shores need to be patrolled and protected, so Indian
government is deploying tenders for over 500 new boats
annually with different sizes to fulfill their needs and Al
Fajre Marine is trying to secure its share within these
tenders through a local Indian dealer.
Section 3.5
Positioning
Al Fajre Marine is trying to position themselves among the
leading boats builders in the region by producing the tailor-
made state-of-the-art product to satisfy its demanding
customers where none of the existing brand boats’ builder will
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be able to do that. In addition to that, Al Fajre Marine will
also secure a good leading position in the commercial boats
aspect for mass production that will cover the overhead and
production expenses and to build up its brand name locally,
regionally and internationally.
Section 3.6
Strategies
The first thing Al Fajre Marine should do is to identify its
customers, like who will buy its boats, and once it does, it
should refine its boats for that particular segment of
customers so Al Fajre Marine could achieve the maximum
customer satisfaction by fulfilling all the customers’ needs.
So in the recent situation and indications, Al Fajre Marine
will focus on two segments of customers and government
tenders.
The first segment is the wealthy customers seeking luxurious
high standard small size yacht with all the necessary
equipments and to be tailor-made as per the customer’s
requirements and this type of customers are usually locals or
from the neighboring countries and Al Fajre Marine has very
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good chance with those customers because of the tailor-made
production that no other boats’ builder will do in addition to
the high quality product and the fair price.
The second segment is the touristic companies who operate
marine cruise or passenger transportation between the islands
and Al Fajre has very good chance with these customers because
the products it is offering is internationally classed and
certified boats with all the safety required for passengers
transportation and reasonable price that will enable the
buyers/ operators to increase their revenue and decrease their
operating expenses of the fuel consumption compared to the
number of passengers onboard.
The third segment is the governments and authorities tenders
where it is usually involved in mass production that will
reduce the production cost price so Al Fajre Marine could
compete on the quality delivered and price offered.
Section 3.7
Marketing Mix (7P’s)
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Al Fajre Marine’s marketing mix is comprising the following
(7P’s) approaches that is: Product, Price, Place, Promotion &
advertizing, People, Process and Physical Environment.
Product: Al Fajre Marine excels in the tailor-made state-
of-the-art boats that are specially made for certain
customers aiming to achieve complete customer
satisfaction on delivery and even beyond for after sale
service and maintenance. On the other hand, Al Fajre is
also specialized in passengers’ transportation boats
complying with the international classification societies
with high standards of safety.
Price: Despite of the high quality tailor-made yacht, the
price offered by Al Fajre Marine is still 30% lower than
any similar quality branded boats and Yachts; and the
prices of the commercial passengers’ boats are still
reasonably cheaper than other similar size boats.
Place: Al Fajre Marine is targeting with its products,
the domestic market in the UAE in addition to the
regional market and neighboring countries plus in some
cases international market.
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Promotion: Advertizing through Yachts and boats magazines
and participating in the domestic boats’ show with one or
two of the products and prepare CD with all details and
steps about the boats’ building process to the final
finishing with sea trials video in different weather
conditions. And also maintaining customer satisfaction so
the customer could promote for the product by (WOM) to
other people sharing him/ her the same interests and
financial ability.
People: Al Fajre Marine is investing in people whether
those people are employees or customers, where it keeps
its employees satisfied with the money they get paid on
time and the working environment with possibilities for
upgrading and continuous training on the latest
technologies in the boats’ industries. On the other
hand, Al Fajre Marine investing in customers as well
where it tries its best to get the complete customer
satisfaction in quality and price wise, so the customers
will definitely come back with several others
recommending our company to them.
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Process: Al Fajre Marine has invested huge amount of
money to improve the boats’ building industry by using
the most advanced material and process for laminating the
fiberglass and they started with the Vacuum process and
now they are implementing the latest technology in
fiberglass lamination that is Infusion process where this
process increases the boat’s hull stiffness with less
weight and consequently smaller engines with less fuel
consumption.
Physical Environment: Al Fajre Marine with the new
implementation of the Infusion system in fiberglass
lamination process, it actually reduces the amount of
chemicals used in boats’ building such as resin and other
components and eventually less pollution to the
environment. On the other hand, with the new building
process, the boats’ final weight will be reduced by 30%,
hence smaller engines are required with much less fuel
consumption and eventually less Co2 pollution.
Section 3.8
Marketing Research
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Al Fajre Marine being located in Dubai which is considered a
major landmark in boats industries where Dubai Boat Show
attract so many famous international boats and yachts brands
from Europe, USA, Australia and the far east, in addition to
all the interested visitors and other related industries such
as marine equipments and accessories fishing and diving
equipments, navigation and entertainment gadgets, etc. so Al
Fajre Marine will have very good chance to do marketing
research with the Dubai Boats Show visitors showing them its
product and concepts and offering them a sea trial to have
better reflection about their impression on the product and
its performance seeking the possibility to market its product
internationally. The author has conducted a market research
for boats and yachts available in Dubai and the number of
boats’ builders in the UAE and came up with the following
results:
Yachts from 40 ft. to 150 ft. available in Dubai is: 1167
Yachts
Boats from 27 ft. to 50 ft. available in Dubai is: 15,510
boats
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Number of the public Marinas in Dubai is: 12 marinas with
2400 parking capacity for boats and yachts.
Number of the medium to mega size boats’ factories in the
UAE is: 168 factories.
With the above information, Al Fajre Marine should construct
its marketing plan bearing in mind the above statistics that
are directly related to its line of business and to update
these statistics on annual basis and to broaden the research
to include more details such as the boats’ size, propulsion
type, whether inboard or outboard engines and to include the
same information and statistics for the neighboring countries
because they are a high stake customers in Al Fajre Marine
business and this type of information will be very helpful for
sales and products forecast.
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Section 4.0
Financial
In this section, the author shall demonstrate the financial
overview of Al Fajre Marine in relation to its marketing
activities showing the Break-even analysis, sales forecast and
expenses forecast indicating their relation to the marketing
strategy.
Section 4.1
Break-even Analysis
The Break-even analysis indicates that, US$ 350,000.00 will be
required in the monthly sales revenue that is equal to produce
and sell a minimum of 2.2 boats according to its average
selling price to reach the Break-even point.
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1 2 3 4 5 60
50000
Units RevenueVariable Exp. Fixed Exp.
(Break-even Point Chart)
The above Break-even point chart shows that Al Fajre Marine
need to produce and sell a minimum average of 2.2 boats per
month that is about 27 boats per year to achieve the Break-
even point, bearing in mind that, any sales above 2.2 units
per month, will be a net profit, taking into consideration
that, the recent production capacity of Al Fajre Marine is 3
boats per month that is 36 boats per year that could be
achieved with the utilized facility and the existing manpower.
Section 4.2
Sales Forecast
Al Fajre Marine’s sales forecasts for the coming two years
starting from 2013 detailed in the following table on
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quarterly basis starting with the productions and sales of an
average of 2.2 boats per month to be increase by 0.1%
quarterly reaching by the fourth quarter of 2014 to its
maximum production capacity with the existing manpower of 3
boats per month.
Period Revenue Units
FixedExpense
s
VariableExpenses
TotalExpenses
NetProfit
1st. Quarter2013
$1,023,000 6.6 $360,00
0 $660,000 $1,020,000 $3,000
2nd. Quarter2013
$1,069,000 6.9 $360,00
0 $690,000 $1,050,000 $19,000
3rd. Quarter2013
$1,116,000 7.2 $360,00
0 $720,000 $1,080,000 $36,000
4th. Quarter2013
$1,162,500 7.5 $360,00
0 $750,000 $1,110,000 $52,500
1st. Quarter2014
$1,209,000 7.8 $360,00
0 $780,000 $1,140,000 $69,000
2nd. Quarter2014
$1,255,500 8.1 $360,00
0 $810,000 $1,170,000 $85,500
3rd. Quarter2014
$1,302,000 8.4 $360,00
0 $840,000 $1,200,000 $102,000
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4th. Quarter2014
$1,395,000 9 $360,00
0 $900,000 $1,260,000 $135,000
The author will demonstrate in the following graph the total
revenue on quarterly basis for the years 2013 and 2014.
1st. Qrtr. 2013
2nd. Qrtr. 2013
3rd. Qrtr. 2013
4th. Qrtr. 2013
1st. Qrtr. 2014
2nd. Qrtr. 2014
3rd. Qrtr. 2014
4th. Qrtr. 2014
$0$1
00,0
00$2
00,0
00$3
00,0
00$4
00,0
00$5
00,0
00$6
00,0
00$7
00,0
00$8
00,0
00$9
00,0
00$1
,000
,000
$1,1
00,0
00$1
,200
,000
$1,3
00,0
00$1
,400
,000
$1,5
00,0
00
Quarterly Revenue for 2013 & 2014
Section 4.3
Marketing Expenses Forecast
Years 2013 2014 2015
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Website Updating $3,000 $4,000 $5,000
InternetAdvertisement $5,000 $7,000 $9,000
Advertisements $12,000 $15,000 $18,000
Boats ShowParticipation $15,000 $15,500 $16,000
Others $3,500 $3,500 $4,000
Total MarketingExpenses $38,500 $45,000 $52,000
The above table shows the expected marketing expenses Al Fajre
Marine is going to pay to implement the marketing plan for the
next three years trying to maintain the expenses within the
budget, taking into consideration to increase or decrease some
of the elements over the others depending on that element’s
effect positively or negatively on the marketing plan.
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Website Updating
Internet Advertisement
Advertisements
Boats Show Participation
Others
Others
$0 $2,000 $4,000 $6,000 $8,000 $10,000 $12,000 $14,000 $16,000 $18,000 $20,000
201320142015
Marketing Expenses for Three Years
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Section 5.0
Controls and Contingencies
Al Fajre Marine’s marketing team will monitor and track
performance of each segment when implementing the marketing
plan to ensure correct implementation and to do any necessary
adjustment to ensure the success of this marketing plan trying
to focus on the customers feedback about this marketing
campaign and try to make direct contact with the customers
whether in the marinas with the boats & Yachts owners or
during the Dubai Boats Show, taking into consideration other
means of feedback such as phone calls, e-mails etc.
Al Fajre Marine’s marketing team will continuously monitor the
following areas to indicate the performance of the implemented
marketing plan and how it is affecting the sales, revenue,
expenses and customers:
Expenses: Monthly, Quarterly and Annually
Revenue: Monthly, Quarterly and Annually
Customer Satisfaction at all times
Section 5.1
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Market Perspectives (ModuleFinal Project) 39
Implementation Schedule
The below mentioned table will demonstrate the milestones for
implementing the marketing plan taking into consideration to
maintain the deadlines dates and to stay within the estimated
budget.
AdvertisingStart
DateEnd Date Budget Manager Department
Completing the Marketing plan
01/02/2013 10/2/2013 $0M. Rabah Marketing
Internet Advertisement
15/02/2013 15/03/2013 $5,000 Outside
Firm ===
Advertising Campaign #1
01/04/2013 15/04/2013 $3,500 Ahmad Marketing
Printing & Distribution of Brochure & Leaflets
01/05/2013 30/12/2013 $3,500 Ahmad Marketing
Participating in Dubai Boats Show
03/06/2013 10/06/2013 $15,000 Outside
Firm ===
Advertising Campaign #2
01/07/2013 15/07/2013 $3,500 Ahmad Marketing
Adverting in BoatsMagazine 5 Issues
01/08/2013 30/12/2013 $5,000 Arabian
Yachts ===
Total $35,500
Section 5.2
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Market Perspectives (ModuleFinal Project) 40
Contingencies Planning
Difficulties and Risks
The difficulties Al Fajre Marine might face during launching
the new marketing plan is the time required for the positive
or negative effect of the marketing plan to be reflected on
the sales and business and time will be the critical element
in case of any necessary and immediate adjustment required to
the marketing plan. In addition to the tough competition Al
Fajre Marine will face with the existing giant branded boats’
builders.
The risk Al Fajre Marine is taking in the new marketing plan
is the additional necessary marketing expenses that are going
to be spend without any guarantee for any pay back.
Worst Case Scenarios
The worst case scenarios is to realize after few months of
implementing the marketing plan that it is not giving the
expected outcome and causing even more losses due the
additional marketing expenses.
Potential Alternate Strategy
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Market Perspectives (ModuleFinal Project) 41
The alternative strategy Al Fajre Marine should take to
overcome worse scenario case is to indicate the strength
points of the marketing plan and focus on it and try to
liquidate some of its assets sell boat with the cost price to
overcome the situation.
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Market Perspectives (ModuleFinal Project) 42
References List:
Grönroos, C. (2007) Service management and marketing: Customer
management in service competition (3rd ed.). Chichester: Wiley.
Lovelock, C. H. and Wirtz, J. (2007) Services marketing: people,
technology, strategy (6. ed.). Upper Saddle River, NJ:
Pearson/Prentice Hall.
Guille, M. How to find and sell to your target market. Available online from: (http://sbinfocanada.about.com/cs/marketing/a/targetmarket.htm) Accessed on Jan. 19th. 2013.
Module Final Project Muhammad Rabah Qawaf