marketing plan outline

Executive Summary
– this should include a summary of the problem/opportunity, your solution to it, how much it will
cost, how much new revenue it will generate, other benefits to the customer
Description of Organization
– this section should contain…name, profit or nonprofit, what do they do, what industry are they
in?
Overview of vision/mission
– if they don’t have them, develop ones for them. Should they be changed/improved?
What is the problem or opportunity?
Analysis
– put together the critical information you need to know before you make recommendations
– Internal (resources, capabilities, core competencies, competitive advantage etc.)
– External (macro environment, industry, competition, customer)
– Put it all together in a SWOT
– Value proposition (how your organization is uniquely qualified to address the
opportunity)
Target market description
– Who is the current target market, what other markets might they pursue?
Marketing Program
– this is where you describe, using the 4 p’s, your solution to the problem/opportunity
How you will implement your solution
– be sure to include how you will evaluate and control the implementation rollout
Business Case
– costs of solution and projected new revenues, other qualitative benefits to customer
marketingstrategy
ATTACHED FILE(S)
Executive Summary
Uber’s app service leads the rideshare market, providing opportunities for increased safety
precautions, effective driver retention, & conscious order pricing. Doing annual background
checks, implementing a more secure rider/driver verification system, covering 50% of driver gas
costs, increasing driver pay by 10% per minute, & launching new services, Uber will be able to
increase sales by $10,000 million. While overall costs will be $10.5 million, overall benefits will
be $118,000 million, allowing for a $12,200 million increase in income, therefore getting the
company out of the red.
Company Description
o Rideshare service company founded in 2009 (originally called UberCab)
o International launch 2011, employs drivers worldwide
o Now considered technology platform for people and things mobility with restaurant
delivery service launch in 2014 (UberEATS)
Vision & Mission
o Vision: We ignite opportunity by setting the world in motion
o Mission: Smarter transportation with fewer cars & greater access. Transportation that’s
cheaper, safer, & more reliable.
Opportunities
I. Safety
II. Driver Retention
III. Service Growth
Analysis
Internal
o Core Competencies: Strong brand image, good customer understanding, ride options
o Competitive Advantage: First mover, service innovation & development, algorithm
o Resources: Network effect, worker skills, R&D, eco-friendly app based, & global,
financial debt
o Capabilities: User friendly, practical, comfort, “tap & ride”
o VRIO (Figure 1)
 Uber has a sustainable competitive advantage from their innovation & a
temporary competitive advantage from their network effect
External
o PESTEL
 Political: Government regulations in some countries
 Economical: Cost efficient rides, several pricing models, financial issues (debt)
 Social: International operations
 Technology: Innovation in apps, progress with self-driving cars
 Environmental: Carpool service
 Legal: Safety issues & improper treatment of employees
o Strategy Canvas (Figure 2)
o Perceptual Map (Figure 3)
SWOT Analysis (Figure 4)
o Uber should take a COMPETITIVE strategy approach to achieve better performance
Value Proposition
o Customers: cheaper than taxis, comfortable, free rides/promotions, efficient
o Drivers: flexible schedules, can be second source of income, provided benefits
Target Market Description
o Current customers are in middle 50% income, 25-45 years old, & equally split between
male & female, & urban & rural locations
o Potential users are 15-24 & 45+ years old, developing communities, lost clients
o Target users are cost efficient, those who cannot drive, tourists, partygoers, as well as lost
customers from past mistakes, pet families, & people who are too busy to shop
Marketing Program
Product
o Smartphone apps for consumers to download & request rides
o Ability to contact driver, track their nearby location, & get notifications
o Various services for customer preference
 Cars: UberX (most popular), UberTAXI, UberBLACK, UberSUV, UberLUX,
UberXL, UberPOP, & UberPOOL
 Others: UberRUSH, UberFRESH, & UberEATS
o Introduce additional services, such as pet transportation, single item delivery, retail or
grocery delivery, & tour guides to reach more customers & maintain competitive
advantage
Place
o 700 active cities (50+ countries)
o Provide drivers additional funds for gas costs & increase wages to incentivize more
people to drive, creating more availability for location expansion
Price
o Upfront; App determines pricing
o Cost leadership (cheaper than taxis)
Promotion
o Advertising through social media & streaming programs & word of mouth
o Strategic partnerships with other companies
o Rider & driver benefit discounts, free rides & rewards program
o Implement more background checks for drivers, & better verification systems for safety
of riders & drivers to regain customer & employee trust
Implementation
o December, 2020: Office personnel are increased & background checks on all drivers,
new & existing are required & driver behavior is monitored annually
oSpring 2021: Text message verification system between rider & driver are used from
app & sent through Uber extension number to direct phone number of each party
o October 2021: Driver wages are increased by 10%, per minute, per ride
o February 2021: UberQUICK is launched for people to place orders for few items with no
minimum purchase requirement
o Fall 2022: Gas funds are 50% covered for each app ride logged by drivers & are
monitored through app tracking software. UberTOUR is launched for tourist visits.
o December 2022: UberPET & UberSHOP is introduced for pet transportation & shopping
delivery & will be available through the app stores on smartphones
Costs of Solution (See Figure 5 & 6)
o Overall Cost: $10.5 Million
o Overall Benefits: $118,000 Million
o $12,200 Million debt recovered
Figure 1
Valuable Rare Difficult to Imitate Organized
Pricing Strategy Yes No No Yes
Innovation Skills Yes Yes Yes Yes
Network Effect Yes Yes No Yes
Figure 2
Figure 3
Figure 4
Strengths:
– Low operation
costs
– High Service
Standards
– Strong
Recognition
M
2
3
2
I
3
3
3
R
6
9
6
Opportunities:
– Utilization of more
drivers
– Additional services
– Exploitation of
new markets
M
2
3
3
I
2
3
3
R
4
9
9
Total 21 Total 22
Weaknesses:
– Scandals & Issues
– Financial losses
– Increasing
competition
3
3
2
3
3
3
9
9
9
Threats:
– Easily imitated
– Excludes older
generation
– Developing legal
regulations
3
2
2
3
2
3
9
4
6
Total 24 Total 19
Figure 5
Safety Driver Retention Market Growth
Costs New Software: $10,000
Marketing: $1 Million
Lawyers $20,000
Pay Increase: $975,000
Gas Coverage: $2
Million
R&D: $4 Million
Advertising: $2 Million
Benefits Customer Increase: $83
Million
Driver Reliability: $15
Million
Increased Sales: $20
Million
Figure 6
2017-2020 2021 2022
Units (Rides) 5.5 Billion 1.9 Billion 2 Billion
Net Revenue $33,349 Million $18,000 Million $20,000 Million
COGS $16,991 Million $8,000 Million $8,500 Million
Gross Income $16,358 Million $10,000 Million $11,500 Million
SGA Expenses $23,117 Million $7,300 Million $8,000 Million
Operating Income -$15,709 Million $2,700 Million $3,500 Million