Five years after graduating from Cambrian College, life is going well! Now married with 2 children [2 and 4 years old respectively] you are happy with most aspects of your life. You have a modest home, family close by, and a great circle of friends. Since graduation, you have worked at Home Depot in the painting department and enjoy the work and the environment. In your extra time, you provide a painting contractor service. You typically do 3 jobs a month (totaling 30 hours a month) and really enjoy the hands-on work. 90% of your business is acquired through word of mouth and you do put advertisements on Facebook Marketplace, and Kijiji. Although you find your work enjoyable and the schedule works well with family life, you have always longed for the opportunity to work for yourself and make a difference in the community. You want to “paint the town”! Until now, although the concept has crossed your mind, you never took any steps to research or consider opening your own business, turning the idea into reality. Last week, you ran into a former classmate, Kim who recently returned from working in Northern Alberta. In conversation, she mentioned that she had worked remotely running a mobile painting business. Returning to her roots, she was considering opening up a painting store somewhere in Sudbury. After catching up for approximately 30 minutes and having a great conversation, you exchanged numbers and then you went your separate ways. Later that week, Ms. Donladson reached out to you and asked if you were interested in partnering to open up an upscale painting and decorating store. The store would offer premium paints and supplies from brands such as Benjamin Moore, Reynolds and Presa, Drake, and Grainger. Flattered and excited about the opportunity, a feeling of excitement came over you but, at the same time, the idea really scares you! In college, you had a good amount of interaction with Kim, but today, you would not consider her a close friend. You had not spoken in years and never spent time socially. You worked together on many projects where you remember her contributions were excellent. Over the weekend, you discussed with your spouse and found the support to be very encouraging. The following week, you decided to meet Kim for coffee to further discuss the opportunity. During the conversation, Kim mentioned she might have found a location for the business in Sudbury. A space became available close to the corner of Lassale and Paquette across from Gagnon Optical. The building is for rent with the possibility to buy after 5 years. The rent per square foot is $29.00 including common fees of 1125 square feet. Forecasted Revenue: $489.375 Annualized Rent: $32,625 Cost of Goods Sold: Average 33% of the sale price Operating Margin: 66% of Revenue Marketing Budget: 10% of Operating Forecasted Net Profit: 15% of Revenue Average Transaction Amount: $75.00 One option for measuring marketing effectiveness with Marketing Plan is to use point-in-time evaluations. Explain point-in-time evaluations and discuss how marketers use them. Provide an example of a possible point in time evaluation for your new start=up venture with Kim
Five years after graduating from Cambrian College, life is going well! Now married with 2 children [2 and 4 years old respectively] you are happy with most aspects of your life. You have a modest home, family close by, and a great circle of friends. Since graduation, you have worked at Home Depot in the painting department and enjoy the work and the environment. In your extra time, you provide a painting contractor service. You typically do 3 jobs a month (totaling 30 hours a month) and really enjoy the hands-on work. 90% of your business is acquired through word of mouth and you do put advertisements on Facebook Marketplace, and Kijiji.
Although you find your work enjoyable and the schedule works well with family life, you have always longed for the opportunity to work for yourself and make a difference in the community. You want to “paint the town”! Until now, although the concept has crossed your mind, you never took any steps to research or consider opening your own business, turning the idea into reality.
Last week, you ran into a former classmate, Kim who recently returned from working in Northern Alberta. In conversation, she mentioned that she had worked remotely running a mobile painting business. Returning to her roots, she was considering opening up a painting store somewhere in Sudbury. After catching up for approximately 30 minutes and having a great conversation, you exchanged numbers and then you went your separate ways.
Later that week, Ms. Donladson reached out to you and asked if you were interested in partnering to open up an upscale painting and decorating store. The store would offer premium paints and supplies from brands such as Benjamin Moore, Reynolds and Presa, Drake, and Grainger.
Flattered and excited about the opportunity, a feeling of excitement came over you but, at the same time, the idea really scares you!
In college, you had a good amount of interaction with Kim, but today, you would not consider her a close friend. You had not spoken in years and never spent time socially. You worked together on many projects where you remember her contributions were excellent.
Over the weekend, you discussed with your spouse and found the support to be very encouraging.
The following week, you decided to meet Kim for coffee to further discuss the opportunity.
During the conversation, Kim mentioned she might have found a location for the business in Sudbury. A space became available close to the corner of Lassale and Paquette across from Gagnon Optical. The building is for rent with the possibility to buy after 5 years. The rent per square foot is $29.00 including common fees of 1125 square feet.
Forecasted Revenue: $489.375
Annualized Rent: $32,625
Cost of Goods Sold: Average 33% of the sale price
Operating Margin: 66% of Revenue
Marketing Budget: 10% of Operating
Forecasted Net Profit: 15% of Revenue
Average Transaction Amount: $75.00
One option for measuring marketing effectiveness with Marketing Plan is to use point-in-time evaluations.
- Explain point-in-time evaluations and discuss how marketers use them.
- Provide an example of a possible point in time evaluation for your new start=up venture with Kim
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