Vertical Business Plan for the year 2012

Table of Contents Title Page Number

1. Executive Summary ....2

2. Business Objectives...2

3. Keys to success ..2

4. Target market .2

5. Sales and Marketing plan..3

6. Financial plan ...4

I. II. III.

Costs and expenses .4 Sales forecast...5 Break even analysis..5

Prepared by Kennedy Nyabwala 2012

Executive Summary The General vertical comprises of several subcategories which are directly managed by a team of 4 professionals i.e. General category manager, product Ambassador, data entry and an Agent, the Main Objective of this business vertical as part of the www.dealfish.co.ke website is to ensure that it remains to be the leading classifieds site in Kenya by listing quality data in a trusted online environment, the General category vertical also plans to grow listings by 15,000 in the next 3 months Business Objectives The Main Objectives of this Vertical are: 1) To control 90% of the General classifieds business 2) Grow the General listings to 60,000 by 1st of July 2012 i.e. Adding (10,000 Each Month) 3) To be the best General Classifieds online portal in Kenya by providing the best Navigational features and a user friendly site. 4) To meet customer expectations and need (customer satisfaction)

Keys to Success The Keys to success are; 1) Hiring the best and professional sales people in Kenya i.e. Bring in Business 2) Upgrade and develop a UI and add functionality to enrich features, increase functionality, and deliver a value-added product that produces cost savings for customers that far exceed the product cost i.e. with a mailing list we can reach thousands of users per day. 3) Product quality, ease of use, world-class customer service and support e.g. direct emails, handling Zen desk in Time 4) Aggressive marketing both online and offline , e.g. distribution of flyers, retail shop stickers (our products are now on Dealfish.co.ke)

Target Market Strategy The target market in this vertical is the end user whose main objective is to sell through advertising online. i) Market Size

The Kenyan Market currently has Over 25,000 SMEs these are traders and business organization intending to meet their prospects through online and offline media channels.

Prepared by Kennedy Nyabwala 2012

ii) Demographics - The Statistics 59% of Kenyans online are male, 41% female. When it comes to age, the highest number of online Kenyans is between the ages of 20-25 who account for 54% of all internet users, most of whom can be targeting through social media channels like Facebook, twitter and LinkedIn.

Sales and Marketing Plan The successes of this vertical relies on online platforms and direct marketing channels to target and reach my prospects, below is a breakdown of how online and direct marketing will be used. Employee Category Manager Online Activity I. Prepares a weekly mailing list to send newsletters to clients, II. Sales Calls, III. Customer service through zendesk I. Prepare business profiles(14 weekly) for traders and send notification emails to all Offline Activity I. Daily Customer visits to build relationships and identify prospects.

Product Ambassador

I.

II.

Sales executives

I.

II.

Constant communication through email to close a sale. Use social media platforms to identify and communicate to prospects

I.

II.

Distribution of merchandise to customers and educate them on how to use the site. Ensure visibility of Dealfish Brand in all retail outlets Track businesses interested in listing their services online at a fee. Convincing traders to advertise their products online through sales presentation

Data Entry

I.

II. Agents I.

Ensure quality data entry on behalf of our Key accounts,( 200 Listings Per day) Prepare a mailing list for all clients Ensure quality data entry of identified prospects i.e. meet a target of 200 listings per day

N/A

I.

Distribution of brochures and flyers to traders and explain to clients on how to use dealfish

Prepared by Kennedy Nyabwala 2012

Financial Plan The financial plan of this Vertical is broken down into 3 stages, I. II. III. Costs and expenses incurred during the business process, Sales forecast Break even analysis.

Costs and expenses The costs and expenses are projected as follows; Item Salaries/ Wages Advertising Miscellaneous expenses Rent/Lease Events TOTAL Description C.M, P.A, D.E,S.E (120,000+54,000+32,000+40,000) Brochures and Newspaper Ads Taxi for sales visits (30,000 per month) Business residential (45,000 Per month) Field Trips and Business workshops Cost Kshs (Jan2012 Dec 2012) 3,192,000 1,000,000 360,000 540,000 2,000,000 7,092,000

Sales forecast and strategy. To achieve and meet my sales target, I would like to propose and consider the following sales techniques, a) Banner Advertising, Any user can place a banner at a considerable rate of Kshs 250,000 for 1 month Banners will not be stationary i.e. we can advertise for many clients simultaneously by having iMovie banners, Discounts will be given to those willing to extend. b) CPC /PPC ( cost per click / pay per click )sales We can charge users for business leads, e.g. Kshs 45 ($0.5) per day 4 Prepared by Kennedy Nyabwala 2012

c) Premium Listings We can charge those users who want their Ads to appear at the top of the Search Page, a cost of 300 per listing per week is affordable.

Sales Forecast Considering the rates above we can have a reasonable and achievable sales target annually as follows Product Banners CPC/PPC Premium Ads TOTAL No. of subscribers 10 @ Kshs 250,000 100 @ Kshs 40 x 30=(135,000) 1000 @ Kshs 300 per week=(1,200,000) Duration( 1 Year) 1 year 1 year 1 Year Cost (Kshs) 30,000,000 1,620,000 14,400,000 46,020,000 (EBT)

Break Even analysis Break even analysis considers the point at which the business will fully meet the TC (total cost of running the entire business) With the financial statements stated above the total cost for the period (Jan 2012 to Dec 2012) would be equal to 7,092,000 considering the FC (Fixed cost only) i.e. a) Salaries/wages = 3,192,000 b) Rent/ Lease = 540,000 Total FC = 3,732,000

Break Even =Revenue (FC+VC) =46,020,000 (3,732,000 + 3,360,000) =Kshs 38,928,000 This Vertical can make projected Sales revenue of up to Kshs 38,928,000 Annually 5 Prepared by Kennedy Nyabwala 2012

Prepared by Kennedy Nyabwala 2012