1.0 EXECUTIVE SUMMARY 1.1 INTRODUCTION With the recent ban and/or limitation in the operation of Okada Motorcycles by the government in some cities of Nigeria, a lot of residents have had to embrace the use of commercial
tricycle
popularly
known
as
Keke
Marwa
/
Napep.
Looking at the demand of tricycle, we have come up with --- Inc. Autos; the concept of making Keke Marwa services available through on-demand delivery. While most of us want the convenience and effectiveness of easy taxi etc. it may still not be economical for many. The users will now have to simply download the app on their smart-phone, register and can hail a Keke Marwa to their location at any point in time. The customers will be able to book 3-wheeler Keke Marwa as and when required and from any location throughout the city just on a tap on their mobile phone. The idea is to cater to the travelling needs of the people throughout the city as and when required. The Keke Marwa will be acquired in sufficient number so as to cover all the possible areas throughout the city. The targeted segment of the customers is the middle-class people & people below that. The point is to make the travel affordable, accessible, reliable, securable and comfortable for the target section of people.
1.2 KEY FEATURES
We provide services at affordable prices
User friendly navigation throughout the application Page | 1
New offers and deals every day
Security at every point
Easy tracking of tricycles at nearby location
1.3 MARKET OPPORTUNITIES The opportunities for the tricycle transport business are enormous in Nigeria. This stems, particularly from its unique features and advantages. Its portable nature, route flexibility, convenience for charter service, maintenance efficiency, durability/lifespan among others adds up to its tremendous business opportunity. The establishment and creation of new route for tricycles across the state are the contributing factors. In Lagos state, with commercial motorcycles being banned from certain major roads in the metropolis and taxis or cabs charging exorbitant rates, transportation with mechanized tricycles popularly known as Keke Marwa is already booming. It has been barely a year now that the government of the Lagos state came up with a law that restricted motorcycles operation in about 475 roads in the state, with bridges inclusive. This according to the government is intended for the protection of lives and property of its residents.
1.4 MARKETING STRATEGIES Marketing generates great values and the various strategies need to market Keke Marwa are categorized in three:
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ONLINE MARKETING STRATEGIES
Mobile
PPC Campaign
Social Media
OFFLINE MARKETING STRATEGIES
Print Media
Word of Mouth
Radio
Hoardings
PROMOTIONAL MARKETING STRATEGIES
Discount Coupons
Refer A Friend
First Ride Free
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1.5 MARKET PLAYERS There are several competitors of Keke Marwa though none of them has the direct competition. However, the indirect competitors in the industry are:
Dafos
Molue
Okada
BRT
Taxi
1.6 FUND REQUEST AND ITS UTILISATION With the initial investment of the owners, --- Inc. online portal is under development. But for the smooth functioning and growth we are seeking an investment of NGN 6,000,000. Proceeds will be used for: Launching of App Ongoing Research and Development Working Capital Organizational Expenses and Marketing Expenses
1.7 SALES GROWTH AND REVENUE PROJECTIONS Our ultra-conservative approach in financial projections is based on number of service receivers and service providers. Our secondly traffic is derived through marketing via online and offline marketing channels in the targeted markets. Sales and net profit for the projected period of --Inc. Autos is as follows: Particulars
Year 1
Total Revenue NGN 9,244,832 NPAT NGN 1,374,912
Year 2
Year 3
Year 4
Year 5
NGN 22,736,752 NGN 2,086,021
NGN 42,177,341 NGN 6,719,491
NGN 70,846,802 NGN 14,399,566
NGN 103,211,428 NGN 22,995,238 Page | 4
Sales Growth and Revenue Projections 120,000,000 100,000,000 80,000,000 60,000,000
Total Revenue
40,000,000
Net Profit
20,000,000 0 20,000,000
Year 1 Year 2 Year 3 Year 4 Year 5
1.8 THE MANAGEMENT TEAM He is a stupendous person. He is a well experienced person and has done BSC from Institute of Management Technology, Enugu. He has worked as an IT personal at Runwell Shipping Nig, Apapa Lagos and as an Admin/IT at Prodeco Nig Ltd. Greatly skilled in IT and its branches, he is the person highly passionate and dedicated entirely towards his ABC
work. His skills also includes valuation, data entry and internet security
management.
1.9 EXIT STRATEGY The most likely exit for the company will come from an acquisition by a major player, if the company wants to maximize the firm’s value and scope. Our ultra-conservative financial model projects that it will generate an excessive cash flow which could make it, a very attractive company for acquisition to financial buyers to generate a higher return. Page | 5