Franklin Othman Business Plan
3 Franklin Othman’s State Farm Agency …………………………………………………. 4 Company Mission ………………………………………………………………………. 4 Vision Statement …………………………………………………………………………. 4 The Business ……………………………………………………………………………. 4 Capital Investment …………………………………………………………………………. The company extensively conduct market research to understand their consume needs not forgetting to identify the actions of their competitors. In addition, the agency recruits its work based on their competence and qualifications as well. Business Franklin Othman’s State Farm Agency operates in the competitive insurance and finance industry. For instance, there are numerous number of organizations the industry competing for the same market. Customers therefore choose the organization the gives them the highest value. The agency is committing in making insurance relevant to all individuals. Capital Investment • State Farm agency has a startup capital of $ 50, 000 in liquid cash and $ 25,000 as signing bonus. Being the founder and the managing director of the agency, I will spend much of personal time in running the business.
For instance, I will spend 60-80 hours per week and most of the weekends while running the business. State Farm Agency recognizes employees as the most important assets of the organization. Candidates should always conduct themselves in a professional manner. • Multilanguage is highly encouraged and it will is an added advantage for candidates during the recruitment process. • Candidates must always be willing and able to show up and be ready to work according to the schedules of the agency. The company will be opening at 9am and closed at exactly 6pm. Employees who fail to show up will be answerable to the same. Agency Schedules Team members are supposed to work full time from 9am to 6p with one hour lunch break.
Team members will always alternative while taking breaks to ensure that all phone calls are received when breaks are taken Schedule: • Each member must schedule at least one hour each day for calls: Tracking systems of hot/cold/warm leads to be switched to each person if the appointments are not set by the lead lists that are shared per month thus improving the efficiency of the agency. More efficient systems and operations will lead to improved organizational performances. • The agency will also have programs such as “Show me the Money”- Team Compensation. Based on the agency goals the agency will have monthly incentives such as “eat what you want” catering for each employee that hits goals above their numbers.
The regular communicate with the customers being the key stakeholders to make business follow ups. • Client representatives should always enhance the agency’s policy commitments, its revenue, State Farm company drivers and our agency goals. • The client representatives provide support to the office team if needed. Team work and synergism is highly encouraged in the State Farm Agency. Working in teams boosts the overall performance of an organization. Market Research Industry Detailed Description of Clients Three groups define the target clients for State Farm Agency. First the zip code target market, then it will be defined by the driving age criteria and income. The zip code market will define the type of marketing impact such as multimedia to direct mail. The age criteria will have grassroots to guerrilla marketing from low cost to high yield Population size 472,802 Age distribution 1 Male Population 229,743 Female Population 243,059 Median income Median Income 25-44 $67,051 Median Income 45-64 $95,033 Median Income Over 65 $81,333 Major competitors Housing costs Median Home Sale Price $911,368 Job market Mix Use $911,368 Mix-use – Commercial businesses, residential Median age 38 Primary languages English, Persian, Russian Target Area Map Advantages of Franklins State Farm Office Firstly, the industry best coverage is within 100 lines of the business offerings.
The office is strategically located. This will significantly increase the overall sales made by the agency. How to Sell 1) Pick up the phone, dial and be passionate to make a sale. 2) Invest early and often in the client relationship to produce the right business outcome 3) Behave in a way that matters to the client/prospect that will bring value to their need or business 4) Only offer the solutions State Farm has to offer ( know what we can or cannot write/sell) 5) Role playing will be offered spontaneously to create a positive and confident atmosphere Employees State Farm agency will make use of four licensed employees, a client service representative, plus myself Start Up Expenses Rent $2000 Office Furniture $2500 Electronics $2000 Utilities Hook Up $1500 Business Insurance $3000 Office Signage $1500 Office Supplies $1200 Professional Dues $500 Misc.
$800 TOTAL $15,000 Employee disciplinary actions Follow all the guidelines under the State Farm Agency policy. • If any actions of misguiding the clients or potential prospects. Weaknesses • It adopts traditional business models which may be not much productive. • The company utilizing old marketing strategies rather than adopting the current digital marketing strategies. • It undertakes too many projects at a go. • Customers are demanding much attention from the organization Opportunities • The agency can maximize on its current company brand –advertising • The agency can use its marketing grassroots activities to generate a pulse of the value of service. • The agency can also maximize on its current network and stepping up local relationships • The agency can Move towards digitization of access Threats • Increased competitive offerings and solutions is a big threat to the agency • Increased expense with lower profits add to the list of threats • Incompetent team members may join the agency • Too many turnovers not servicing the clients in a reasonable time is also a big threat.
◦ With at least 12 autos written from the interne leads at 3 referrals each will get us 36 new leads at a 20 percent close ratio that is an addition of 7 policies. Direct Mail • Prepaid postage of 1500 mailers / post cards introducing the new agency ▪ This marketing flyer will be 8X5 index glossy card with The State Farm offerings and inviting recipients to visit our office or call in. ▪ Controlled Direct Mail to local zip code to residential, commercial businesses and religious institutions that pertain to our lines of business. • The State Farm agency will establish grassroots marketing program for student and family offerings (Auto Loan and Credit card based on local Public and Private Universities) through brand awareness. • The agency will invite local students from a University to shadow a day in the life of working in an office (if they don’t have any experience) as well to utilize the time to see how we can market to their age group and social lifestyle.
If there are any current lines of business we have we will have an Ex-date system to contact the client 6 months in advance and to follow up 45 days prior. Depending on the client response multiple touch points will be compiled before the Ex-date. Notes for each client we didn’t write to add them to a monthly newsletter or mailing list to introduce my agency. Compensation: Year One 2018 • Write 45 fire polices per month utilizing the bridge from the auto being written. Warm leads blended from the calls and in-person, coming into the office or over the phone. The agency will double its profits incurred the prior financial year. Works Cited Barrow, Colin, et al. The Business Plan Workbook. Kogan Page, 2015. Pinson, Linda.
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