Hippo Car Services Business Plan

This document presents a detailed business plan for Hippo Car Services, a car service provider in London. It covers various aspects of the business, including industry analysis, market research, customer segmentation, operational strategies, financial projections, risk management, and key milestones. The plan aims to guide the company towards achieving its objectives and establishing a strong presence in the automotive service market.

Business Plan Structure

Table of Contents
INTRODUCTION...........................................................................................................................3
1MAIN BODY ................................................................................................................................3
Business details............................................................................................................................3
Industry and market analyses.......................................................................................................4
Customer and value proposition..................................................................................................5
Market strategies..........................................................................................................................6
Operational plan...........................................................................................................................7
Resources ...................................................................................................................................8
Financing ....................................................................................................................................9
Financial projection ....................................................................................................................9
Risk and strategic options ...........................................................................................................9
Key milestones...........................................................................................................................10
2CONCLUSION............................................................................................................................10
3REFERENCES ...........................................................................................................................11
4Appendix......................................................................................................................................12

1INTRODUCTION
Business plan is made by the organizations in order to achieve the objectives which is set
by the management. It is generally prepares on documents and describes in detail how a new
business will accomplish its targets. It summaries all information associated to operational &
financial objectives of a business & contains the detailed plans and budgets showing how the
objectives are to be realized. To better understand this concept Hippo Car Services has been
chosen which is a car service provider company and it belongs to London. The main aim of this
report is to make a business plan for the organization. In this report, there are following topics
are covered such as: business details of corporation, industry and market analysis, customers and
value proposition, marketing strategy, operation plan, management team and company structure,
resources and financing. Apart from this it also discuss about financial projection, risk and
strategic options and key milestones.
2MAIN BODY
Business details
The business plan is of a car service center so that the needed maintenance and repairs
should be provided to the car, to the better working of the cars by that generating satisfaction to
the car owners. With the increase in the purchase of motor, the need of its repair and
maintenance has also arises (Wentzensen and Wacholder, 2013). The focus here is to form such
business which can give multiple services related to motors. The market of machines are
showing incredible profit so the growth prospects are there in this car service center business
(Okolocha and Ile, 2012).
 Car wash
 Mechanical services like engine, fuel, accelerator,gear, shock-absorber etc.
 Electrical job like horn, light etc.
 Car air conditioner
 Wheel balancing, alignment
 Sales of car parts and accessories
 Several oil change service like engine oil, gear oil, steering oil etc.

 Car body repair service like painting and denting
 Battery issues
 Car body polish
Vision is to be the best in the business all over the country by achieving the needed
standards of quality and efficiency. Mission of the company is to provide premium services to
the customer so that they can get fully satisfied. Personalized service to the customer is done so
that proper analysis of their needs and serving them according to that can be achieved. Using
technology and computers to monitor everything so that efficiency can be achieved, elimination
of idle stock via that, while keeping a balanced level of inventory to maximize inventory
turnover. Focus is also on achieving everlasting relationship with vendors so that they can go to
limits to provide the company heavy stock at the time of need.
Objective is to provide all the services to the customer that includes tow truck if the car is
defective and can’t reach to service center, spare cars when the original car are with the company
for repairs. So that a relationship can be build and the customer can be retained. A huge share of
market can be captured and that is the aim of the company i.e; to be a leading player in market.
Industry and market analyses
 As car has become the essential feature of today’s livelihood so providing services for
automobile is not a bad idea. Lot of businesses are doing that resulting in huge size of
industry (Schutz, Rezgand Léger, 2013).
 Growth opportunities in the business are immense as the market size is huge so if a
company can make some loyal customer it may result in word of mouth and high growth
can be achieved within a specific period of time.
 Market trends need to followed closely and alteration should be made in services
accordingly. Company need to be sure they are updated and they are giving premium
services to the customer so that healthy relation can be build.
 Segmentation of market is a important step as it will help to gain more and more
customer. Segmenting according to the area, where the population or crowd is more is an
good idea. So that more demand can be generated and it can be duly met. Operating in
urban areas is a better idea as purchasing power of the public is relatively high.

 Strength of the business can be a good location to work from, Population density. A close
relation with customer can give a competitive advantage that can be maintained by
achieving customer loyalty by winning their trust.
 Weaknesses of the business should be analyze properly and step should be taken to
eliminate them.
Customer and value proposition
Focus is on to fulfill the demand of local customers, and also towed vehicle drop-ins from
local and freeway traffic traveling on nearby freeways. The company has established
relationships with a few major local tow truck companies for referral business of stalled
vehicles requiring a tow to an auto repair facility (Massaand Tucci, 2013).
 Banks
 Insurance corporations
 Big companies
 Companies
 Manufactures
 Transport agencies
 Haulage Companies
 Individuals and households
 Schools
The reason why the customer will prefer the company over the competitor is our services.
The service is given in personalized way so that attention can be given to each and every
customer on individual basis. Selection of the location is done in such a way that it is easy to
approach and identify. The materials are upgraded according to the trend as analysis of shift in
trend is also done. One benefit a customer looks for is ever lasting services and the focus of the
company is to make close relationship with the customer. The company will listen to all the
queries of the customer and will take action accordingly.

Market strategies
The company want to capture the market share but at the same time wants to eliminate
the costs. The initial focus is to build reputation and trust factor. Once it is achieved all other
viable option can be considered after that. Premium services, an attractive ambiance we can
afford to raise a price after gaining a share in the market so that profits can be boost . it will
result in long term growth of the organization. Market strategies adopted by us are (Burns and
Dewhurst, 2016):
 Direct mailers.
 Newspaper ads.
 Yellow pages.
 Referrals through other local businesses.
It is less costly and can spread to a huge number of public so that market can be build and
most importantly awareness can be generated in the market. Various sales promotion can be
done like giving discounts, offers to attract sales for short period. After knowing the competition
in the market a company need to do something out of the box so that to achieve a competitive
advantage. Advertisement is the thing which can help to attract a huge number of audience in
one go. So a company needs to be very careful as it will position the services provided in the
mind of public. Most importantly it is going to last for a long period of time (Chwolkaand Raith,
2012):
 Advertisement in newspaper, magazine (print media) to generate awareness
 Using social media platform to advantage; Instagram, Facebook , twitter, YouTube,
Google + to promote the business and its services.
 Billboards in public location to attract attention.
 Doing some events and all so that the neighborhood know about the services company
provides
 Distribute the pamphlets in target areas
 Mail or call the big organization and tell them about the lucrative services offered by the
company.

 Listing the auto repair, servicing and maintenance in yellow pages
 Official website should be maintained properly. Generating traffic and telling public
about all the services and how to approach.
 Spreading the brand as far as possible by every means possible.
Operational plan
Key operating activities of the business are (Brinckmannand Kim, 2015):
 Car wash
 All Mechanical job like engine, gear, accelerator, shock-absorber etc.
 Electrical job like fuel, horn, light etc.
 Car air conditioner
 Wheel balancing and alignment
 Sell of car parts and accessories
 Several oil change service like engine oil, gear oil, steering oil etc.
 Car body repair service like painting and denting
 Battery service
 Car body polish service
The car service centre industry is, operationally, job-shop environment; it is tough to predict
sales. As for a job-shop, each individual product or service is tailored or different to that job, and
is only came into action once an order is done (Finch, 2013).
 Numbers of clients out founding workforce can attract from their previous companies.
 The result of proper promotions and word-of-mouth marketing.
 Current prices and costs of doing business.
 The types of automobiles and jobs that will occur in every month.
The believe in the strength of workforce is a lot, which is the strength of our organization
and foundation of success (Tounés, Lassas-Clercand Fayolle,2014). Sales and marketing
team noted that definite sales projections cannot be analysed, given the prospect of the

industry are into, but are very prepared to shoot the copany to new heights.Management
team and company structure
Management team is the team which manage the business operations in the organisation
so that business can grow and get success. It is responsible to take the decisions for the growth of
company. All organisation have its own management team who control the business activities of
firm. As Hippo Car services has also management team which manage all operations and take
business decisions in order to achieve the objectives of corporation. Key people includes
manager, board of directors, assistant manager etc and they perform various functions such as:
organising, managing, directing and controlling. It manage the human and non human resources
in order to accomplish the goals of company. To manage and direct the workers is important so
that they perform their respective roles as per the need. To monitor the activates of employees it
necessary for the controlling so that they can work as per the requirement and within stipulated
time frame. As the people of management are from different background such as: marketing
executives, auto mobile industry experts etc. As the business structure of company is vertical and
the chain of command is given from top to bottom and all the staffs of organisation have to
follow it so that work can be done as per the necessity of company. To fill the skill gaps there is
need to be hire skilled labour and mechanic who is expert in car servicing. As Hippo Car
Services has effective management team who perform its roles for the growth and success of
firm.
Resources
A resource is a source or supply from which a benefit is produced and it is classified
based on their availability which involves renewable and non renewable resources. As there are
human and non human resources (Blackburn, Hart and Wainwright, 2013). Generally man,
money, material, power, assets are the main resources of Hippo Car Services. It is helpful to
increase wealth, effective functioning of a system. As the premises of organisation is the
resource for the business because it provide car services to the consumers. All tools, equipments
and machines which are helpful in the business of company are included in the resources. The
most important is the human resource which involves staffs who put maximum efforts in order to
achieve the goals of corporation. The staffs of company are skilful and talented and able to
satisfy the needs of consumers. As organisation also provide training to them so that their skills
can be develop and they perform well in order to accomplish the goals of firm.

Financing
As financing is the process of providing funds for business activities, making purchase or
investing. It is the most essential need of an organization and without it business cannot start and
run. It is also called as blood of business. (Gately and Cunningham, 2014) To manage the
finance is important for Hippo Car Services so that it can effectively carry its business operations
and achieve the objectives as per the requirement. There are various sources to arrange the
finance and it includes banks, financial institutions and venture capital. The management of
company can take loan from these finance providers so that business of organisation can
effectively run and get success. In return it gives interest for the amount which is taken by the
company and the funds are used in the business and its growth.
Financial projection
For an organisation it is important to make financial projection which is helpful for it take
the decisions for the growth of company. As financial projection is a forecast of future revenue
& expenses The projection will account for internal or historical data & can involves a prediction
of external market factors. (Haag,2013). It is important for Hippo Car Service to analyse the
financial projections in order to measure the growth of business. Planning out & working on As
the management of corporation is responsible towards financial projection and it helpful in
strategic planning. As the regular planning is beneficial to deal with the change which involves
both external and internal factors. As the financial projection is helpful in planning which
translate the objectives of corporation into particular targets. Secondly, the plan provides a vital
feedback & control and it is also helpful to predict the problems which can be arises in future.
So it is helpful for the organisation to make effective financial projection so that plans can be
execute as per the requirement which support the growth of company. With the help of it Hippo
Car Services can predict the income and expenses which arises in future and it is beneficial to
take better decisions for the growth and success of business so that objectives and goals can be
accomplish and business can survive for a long term in the market.
Risk and strategic options
Risk is associated with every business and the nature of risk depends upon the size and
type of business and its structure (Ibidunn, Peterand Ogbari, 2017). It is the responsibility of
management to analyse the risk so that its negative impact can be minimize and business of
company does not get affected. In the business of Hippo Car Services the risk is also associated

that it will get success as per the expectations or not. There are various risk handling techniques
which can be used by the management of company in order to minimize the risk. It is important
for the manager to take calculative risk so that losses does not effect and hamper the productivity
of business. For the organization it is require to make strategy in order to eliminate the risk from
the business. There are various strategic options which can be used by the company so that goals
can be achieve as per the needs. To reduce the risk it is important to analyses the market
conditions and target the market according to the segmentation. To promote the business it
necessary so that maximum number of consumers can attract towards the firm and which is
helpful to maximize the sales as well as profits. So it is important for the corporation to analyze
the risk in order to get success in the market. As the market conditions and environment is
uncertain so it is beneficial for the firm to take effective steps to minimize the risk and make
appropriate strategies.
Key milestones
A milestone is a marker in a project which signifies a change or stage in development
(Jones and Penaluna,2013). It is important element of project management reason being it
reflects key events and map forward movement in project plan. It is helpful and ensue to stay on
track. As hippo Car services set a milestone that it have to earn profits of 50 million within 3
years from the staring of business. It put all efforts to achieve the milestone and get success &
growth.
3CONCLUSION
As from the above report, it has been concluded that it is important to make a
business plan so that company can achieve its objectives within stipulated time duration. To
make an effective business plan it is important to analyses the opportunities in the market and try
to fill the gaps in order to maximize the profits. Market analysis and consumer satisfaction is
important and it is helpful to survive in the market for a long . All efforts are needed to be one
directions that it to achieve the goals of company which is set by the management.

4REFERENCES
Books and journals
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Burns, P. and Dewhurst, J. eds., 2016. Small business and entrepreneurship. Macmillan
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decision-theoretical perspective. Journal of Business Venturing. 27(3). pp.385-399.
Finch, B., 2013. How to write a business plan (Vol. 35). Kogan Page Publishers.
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5Appendix