Marketing presentation

Situational Analysis

» Jon Lomax is a serial entrepreneur who started the company in order to provide smokers with a healthier choice

» Currently our brand name is Monkey Vapes and we have loca-tions in Cielo Vista and Sunland Park Mall.

» The market at this moment is growing at a very rapid rate. It is estimated that revenues will reach 10 billion dollars in 2017

» We are at the perfect competition stage of the growth cy-cle. The vaporizing community is growing with festivals and events aimed at getting people together.

Competitors

» El Paso Vapor, Alice in VaporLand, Fit Vapes, Vapor Amor, Vape Shop, Star Mountain Vapor, Up-in-Vapor, Vape Lounge and Vapolocity.

» expand our native competitive: friendly knowledgeable staff,introducing new locations, selling exclusive equipment, creating social network buzz alongside sales promotions.

» Our indirect competitors at the moment are anything that can get people to quit smoking like nicotine patches, gums and lozenges.

» One advantage that vaporizers have over these traditional methods is that they come in different tastes and flavors. This provides a more pleasant way of reducing nicotine levels.

SWOT Analysis

» Strengths: most professional looking website out ofall the stores in El Paso. Will ship to all 50 states and doesn’t rely on El Paso sales. Two convenient locations.

» Weaknesses: search engine optimization is poor. When searching for El Paso vaping stores our website ends up on the third page of Google. The brand name and image is unap-pealing and geared towards children.

» » Opportunities: there is a lot of money to be made. Vaporiz-ers are legal in China and India.

» » Threats: consolidation. No long term studies showing how exactly vaporizing affects people’s health. A ruling could be issued that would make electronic cigarettes regulated at the same level of tobacco.

Research

» Face to Face interviews: We want to find out who is interest-ed in vaporizing and what type of characteristics they have in common.

» Written questionnaires: We will be using a simple random sample of an infinite population structure to give everyone an equal chance. We will provide an incentive by placing them in a raffle for free products.

» Build a database: We can find out where they live and what television programs and radio stations they enjoy so we can effectively place our financial resources in places that have the highest return on investment.

Marketing Objectives

» Rebranding: Our goals for this one year plan is to change the

brand name and image in a way that reflects the company’s

mission and makes us more attractive to the El Paso market-

place.

» Revenue Increase: We also want to increase sales by 50% by

introducing three more locations; one in the Outlet Shops,

one on Mesa Street and another one in Cielo Vista Mall.

Target Market

» We want to target Generation Y. More specifically, those be-

tween the ages of ages of 18-35.

» Both Male and Female

» those who follow current trends/up to date on new products

» those looking for an alternative to tobacco-based cigarettes

» Those seeking a healthier lifestyle.

» Those wanting to save money.*

Positioning

» We want current and incoming customers to perceive our

product as a healthier, more cost efficient alternative to tradi-

tional tobacco smoking.

» Vaporized cigarettes are almost certainly much safer than to-

bacco cigarettes, and to date there has been little real-world

evidence of harm from their use.

Product/Service

» Our brand name will be changed

from “Monkey Vapes” to “Pure Vap-

ing”.

» The new branding will be replaced

with a more contemporary look and

incorporate flat design.

» We provide tech support and barrista

type services with liquid flavors.

Price

» The Prices will remain the same. We want to raise revenue by

introducing new places.

» The pricing of our different products include the kits starting

at $34.99, a kit with 2 e-cigarettes for $59.99

» the Singles starting at $35/$40

» the Doubles start at $60/$65

» the highest priced single unit being a $100.

» The price will increase with the more features you add

Promotion

» Social media outlets: Facebook, Instagram, Tumblr, Pintrest...etc. in order to spread the word about our product.

» Host raffled events for free vaporizers and refills » increase traffic to our website while improving our search en-gine optimization

» reach out to the appropriate media outlets such as radio sta-tions to advertise our product

» we will use is to hand out flyers in places where there are like-ly to be traditional smokers: bars, hookah lounges etc....

» We will put in ads for local news papers and magazines: Fu-sion, El Paso Scene, City Beat, El Paso Times etc.

» online survey taking, » use email for once-a-month advertising » a customer referral program and a point system

Place

» Our direct manufacturer is in China where we receive our

electronic components and pre-made kits.

» Our liquid is manufactured in a lab certified by a pharmacist

in North Carolina.

» These products are then sent to our storage facility in Albu-

querque where everything is separated and distributed to our

different locations.

» Selling is done directly at the kiosks or via our website.

» Shipping procedures are done through UPS.

» We expect one more locations opening in Cielo Vista Mall, in

the Outlet shops, and a retail location on Mesa Street

» Another channnel of distribution will be the Internet

Action Programs

» Includes changing the appearance of primary store fronts, making changes to the website, enforcing identification poli-cy and also gaining exclusivity at local malls.

» Total cost associated with opening the new location are ap-proximately $15,000 including products, labor, and the set up the kiosk itself

» It will take one to two weeks to fully change the appearance of all three existing kiosks and this will cost the company about $3,000

» Pure Vaping will have secret shoppers to ensure employees a » checking age. It will cost $50 a month to hire secret shoppers. » For advertsing, radio commercials will cost $2000 a month for a span of six months then will be reduced to $1000 a month after.

» Ads will also be placed in local magazines such as Whats Up

publications and will cost $150 per month

» » We

Control Procedures

» Necessary for successful’operations

» Quarterly mplementations

» Marketing goals

» Evaluation and Drafting

Examples of Blue Printed Plans

» Customer Surveys

» Campaign Evaluations

» Focus Groups

Data Interpretation

» Statistics

» Central Limit Theorem

» Law of large numbers

» Sales Reports and financial Statements:

Quarterly report meetings

Operational Decision

» Purchasing and Control of inventory:’IMS’

» Promotional initiatives

» Market Overhaul

» ProductPlacement

Financials: Before & After

Monkey Vapes

Projected Profit & Loss Income Statement

12-‐Apr-‐14

Revenue

Monkey Cielo Vista Mall (Up) $45,000

Monkey Cielo Vista Mall (Down) 25,000

Monkey Sundland Park 20,000

Total Revenue $90,000

Cost of Sales


Monkey Cielo Vista Mall (Down)


Total Cost of Sales $25,000

Gross Margin $65,000

Pure Vape

Projected Profit & Loss Income Statement

12-‐Jun-‐14

Revenue

Pure Vape Cielo Vista Mall (Up) $55,000

Pure Vape Cielo Vista Mall (Down) 30,000

Pure Vape Sundland Park 20,000

New Pure Vape CanuMllo Outlet Shoppes 22,000

New Pure Vape Mesa St. 23,000

Total Revenue $150,000

Cost of Sales




New Pure Vape CanuMllo Outlet Shoppes 6,000


Cost of Sales $43,000

Gross Margin $107,000

Salaries and Wages


Monkey Cielo Vista Mall (Down) 6,000


Total Salaries and Wages $27,000

OperaFng Expenses

Monkey Cielo Vista Mall (Up) Rent $2,800

Monkey Cielo Vista Mall (Down) Rent 2,800

Monkey Sundland Park Rent 1,000

WarranFes 1,500

Total OperaFng Expenses $8,100

Net Income $29,900

Salaries and Wages




New Pure Vape CanuCllo Outlet Shoppes 5,000


Total Salaries and Wages $41,000

OperaCng Expenses

Pure Vape Cielo Vista Mall (Up) Rent $2,800

Pure Vape Cielo Vista Mall (Down) Rent 2,800

Pure Vape Sundland Park Rent 1,000

New Pure Vape CanuCllo Outlet Shoppes Rent 2,800

New Pure Vape Mesa St. Rent 2,000

WarranCes 1,500

Radio AdverCsing 2,000

Magazine AdverCsing 150

Total OperaCng Expenses $15,050

Net Income $50,950

Financials: Before & After

Marketing presentation

Marketing

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