Strategic Marketing of Services & Products

Spic & Span

powered by Coco mat

The report

Koroniotis Konstantinos
Paliopoulou Stavroula Marina
Pouletsou Konstantina
Vafeas Konstantinos

Athens Information Technology

MBIT program
Professor Gregory Yovanof

Introduction

The Spick and Span services have been provided since the last many years and customers are
provided with outstanding professional cleaners taking care of their cleaning jobs. The jobs can
either be big or small and can range from room cleaning to washing the exterior wall down. The
services can be taken place at offices, factory as well as domestic.
Usually, the spick and span industry in Greece offers a smart and a professional service having
uniform-clad have equipped with cleaning products belonging to top quality along with cleaning
equipment. There is a requirement of cleaning office blocks, homes, hospitals and hotel rooms
as per the needs while a professional cleaner helps in providing a cleaning with the help of
short and long term contract.
The reason the company will be providing the services to the users is because it is able to offer
them the top quality cleaning services and products with the help of uniform cleaners.

Literature Review

Since life today is fast-paced, there a lot of time is demanded by the profession. It is difficult for
people to give time to activities and chores. In such circumstances, the cleaning and other
duties concerning house management are required to be done in less time. With the help of the
services offered by Spick and Span, the work can be done perfectly and more time can be given
by an individual to other activities.
The business also provides cleaning and removal services to its customers since the past several
years and there has been expansion for including the facilities and management services in the
report. The time of the customers is valued and they are provided with the highest standard

concerning efficient work as well as professional which involves taking care of household needs,
which means that trustable professional house services given by people.
There is a commitment made for provision of high quality maintenance services including
Painting, Plumbing, Electrical as well as other kinds of home based improvements for buildings,
apartments, villas as well as offices.

Mission Statement

Coco mat having been successful in the mattresses & linen manufacturing business could enter
a different but relevant, to the one that its already in, market of a high end housekeeping
services.
The new service is going to be called Spic & Span to reflect on the companys determination
on excellence in these new ventures.

The Company

The Spick and Span with a modern unit wash clothing and bedding, fully harmonized with the
management guidelines clothing from KEEL.
The experience, the latest equipment, the exclusive partnership with COCO-MAT services and
leasing (leasing) and integrated management of high quality linen
COCO-MAT guarantees our partners to completely satisfy all their needs, whether it hotel unit,
Hospital, shipping company or unit Catering.

Environmental Scanning

Office Cleaning
It is very important for an office to be cleaned and maintained for the clients well-being and
employees. If there is a requirement of a clean, hygienic and safe office, there is a need for
visiting the premises of businesses. There is a positive and a professional impression given for
the enhancement of business and boosting of sales.
Since many companies make use of toxic chemicals for cleaning which leave traces of fumes,
odours and chemical allergens behind. The equipment is used for enhancing the amount of dust
particles in atmosphere. A lot of people are responsive towards dust and chemicals which help
in telling which customers, clients and suppliers might be prone to chemical sensitivities.
Previously, there were a small number of options available for ventures for hiring commercial
cleaners for cleaning as well as maintaining buildings which make use of non-toxic products.
The company makes use of Green Cleaning methods as well as high quality approaches which
are charged mostly with a high premium in relation to their service. The business is a specialist
cleaner which has come up with the latest technology called Green Cleaning Technology as well
as products which are safe for the people as well as the environment.

Childcare
The children are responsive to severe chemicals and there is high importance given to
maintenance as well as spotless hygiene which is significant for homes having children.
Spick & Span does not make use of poisonous chemicals when the cleaning takes place. The
products used have the capability to kill germs and are non-poisonous and non-allergic which
helps in measuring the peace of minds in areas concerning kids.

Industrial Cleaning
There is a need for safe, dependable as well as powerful cleaning procedures as well as
systems. There is an experience of spick and span in major aspects related to cleaning of
Industrial premises. Additionally, there have been a number of imported ones which are
designed especially for the purpose of cleaning as well as sterilizing. In accordance to the
manufacturer, it is one of the businesses in Greece offering the machines and there is high
pressure steam cleaner in combination to the sterilizing effect of steam having the power as of
compressed air having a deep and an effective clean in consistence with high-pressure water
sprayers.

S. W. O. T Analysis
Strengths

Weaknesses

Business Orientation

Not wide range of services and

Cooperation with Coco mat

cooperations
Influenced by the number of tourists-

Quality of services
Financial savings

hotel reservations in the country

High experience in the field

Financial vulnerability
Immature market

Opportunities

Threats

Customer orientation

Political and Economical problems in

Endorsement with major companies

Greece

Technological innovation

Depends on tourism rate of the country

Increase performance and reliability

Potential entrants

Immature market

current size

Strengths
The company is focused on professional care of clothing many years now, having proof the high
quality of the services offered. The objectives of Spic and Span can influence positively the
experience of each and every one customer. The cooperation with Coco mat is a strong ally not
only financially but also in the market approach. Coco mat is the top of the mattresses
companies in Greece with much experience in the needs of the customers.

Weaknesses
As mentioned before, the cooperation with Coco mat is almost exclusive so with any financial
vulnerability of Coco mat, automatically Spic and Span will be financially damaged. Also, it is
directly related to the number of tourists, the country's economic situation and the travel
agencies that arrange vacation packages. Before all these, it is crucial to pinpoint that the
market is not mature in this way of enjoying vacations and need to embody this to their way of
thinking

Opportunities
The opportunities in this company are many and having already as pillars the knowledge and
the experience can use the immature market and the technological innovation to send Spic and
Span to a new level, an upper level. Endorsements with other companies can increase the
performance and reliability.

Threats
Knowing all the above, lead us to understand the treats and be prepared. The company
depends on the tourism and the political and economic problems can affect the smooth flow of
function of them. Last but not least, there is always the threat of potential entrants, of
companies that can mimic the procedure and harm the company.

PESTEL Analysis
POLITICAL
Government policy-high degree of intervention in economy
Instability of government
Potential fines set by government if company does not meet a standard of laws
Bureaucracy- certain licenses for factory, stores and hotels

ECONOMIC
Worldwide economic recession
Diminished buying power of consumers
Influences from local economic environment within each market that
Coco-mat operates
Limited bank loans
Taxation changes
Inflation and interest rates that deter investments

SOCIAL
Changes in social trends
Changes in lifestyle, costumer need to match with premium brand image
Peer influence of friends, family and colleagues
Different values among population
Different level of education of Greek population in every local market that
Coco-Mat operates
Vast income distribution

TECHNOLOGICAL
Use of Internet
Management software
Technological equipment that reduce the consumption of energy, reduce manpower and make
the production total effective

ENVIRONMENTAL
General move towards more environmentally friendly products and processes
Environmental disasters in Greece and in China
Global warming and other environmental issues in a global level
Full gravity to Corporate Social Responsibility

LEGAL
Health and safety laws
Local amendments on operation of the industrial enterprises (i.e. minimum wages, price of raw
materials and other

Marketing Research
Target Market Segment Strategy

The market segmentation has been divided into a number of focused markets. There is
separation which helps in defining the marketing plan which helps in concentrating in the
market.
Middle class people are targeted, "white collar" customers belonging from the downtown
region.
Weekend and late nighters partiers
Apart from that, the company also focuses on the target populations which have not been
targeted presently but in future there are chances it would be. The service is used because of
the affordability in price. The service providers tend to clean the mess which is left once the
event is over and this leaves with a clean house. There is an offer regarding thorough cleaning
which is home-based and helps in conducting the business.

Advertisement

There are a number of forms of advertisements which can be followed for the promotion of
Spick and Span cleaning and getting the name to the public. The newspapers advertisements

are outdated now and it is much better if advertising is done through newspapers when needed
by the people for cleaning service. The envelopes related to college students, elderly as well as
general public are received for local companies comprising the region.

Segmentation
There is an aim in consideration to the environmental influence by the business activities.
When compliance related to legislation is aimed, then there is insurance regarding the planning
phase and the environmental impact is considered. Since the business is web-based, there is
ease for reduction of the entire carbon footprint. When there is a choice regarding the venues,
the business events are considered for accessibility through the public transport and car
pooling is encouraged. The exhibitors are discouraged when there are data collection scanners
as well as exhibitors which is proactive concerning exhibitors. There is active involvement of
staff in the process of decision making in comparison to improvements for reducing the
environmental influence. There is encouragement given to the staff, suppliers as well as clients
for adoption of outlook concerning issues. Thus, a lot of efforts are made for reduction of
waste, increasing of recycling as well as minimization of carbon footprint.

Housekeeping services and security issues

One of the considerations for outsourcing which has resulted in troubles related to companies
is the region where housekeeping services are located. A number of companies give preference
to outsourcing in the housekeeping service area. A lot of companies prefer the need for
outsourcing due to third party which does not involve housekeeping and the care involved.
Ample amount of time can be saved with the service management and maintenance of payroll
records for the housekeeping people. There are also competitive quotes for ensuring the
contracts are signed with companies having a market position. When companies do not
succeed in hiring the proper cleaning services, a lot of trouble is caused as there was a concern

regarding the cost incurred due to cleaning service. When cheap housekeeping services are
hunted, there are a lot of important factors including the quality concerning house cleaning
services, credibility and dependency. There is a individual security for greater risk by companies
trying in figuring out the cleaning service company.

Famous for Hospitality

When there is continuity in the significance growth and the sales concerning the house cleaning
services, a lot of organizations constitute of exceptional products as well as services for clients.
There is imperativeness in clarity in cleanness degree concerning the workplace.
A lot of attributes are taken care of and there is offering made by tourists helping in increasing
the emergence which results in housekeeping service products as well as services. There is
preservation of hygiene and there is implementation of housekeeping products as well as
services involving personal hygiene concerning healthcare.

Keeping your interiors spick and span

There are agencies which give professional cleaning services while taking the extra load off
from the minds of commercially established places and the spick and span of premises is kept.
All homeowners dream of spanking interior which includes sleek finishes related to home and
apartments generations which is natural and helps in the maintenance of the pristine touch.
There is desire by everyone of a house which seems it has not been lived in and a kitchen no
one has ever cooked in, a bath looking no one has bathed in.

Corporate Clients
There is a detailed interview which needs to be conducted of the staff and given training. It is
important that the staffs are picked up from the business and accessibility for confidential

office areas is gained. There can be an increase in the number of employees of Spick & Span
with time and the space is required to be cleaned.
Since cleaning agencies has become a part of every culture for public spaces and offices around
the world, the domestic sector needs to be catered by a lot of companies which can lead to
cleaning agencies. Since the demand is still low, there is ease in availability of domestic and the
rising wages have proved it to be a luxury for workers.
A lot of services have not been offered by the agencies and low profile is kept in terms of
domestic services being offered.

Risk factor
One of the most important reasons concerning the reticence concerns are risk factor. When
household is taken care of, there is a need for monitoring extremely cautiously for ensuring
that all customers are safe. The houses are in need of being checked and a higher level of
responsibility is given.
When there is theft or the valuables are missed, the owner doubts the cleaning staff at the time
there is absence of cleaning. There are a number of complications involved which poses a great
risk to the profitability. The enquires help in the cleaning of agencies which helps the
professional cleaner in taking the responsibility for making the domestic arena spick and span.

Commonplace Service
The domestic cleaning is a commonplace service in some parts of the world, creating acute
shortages and the expense involved in the engagement of domestic labour with the service
agencies doing better business there. There is an offering related to agencies for the cleaner
services on a weekly fortnightly or a monthly basis. Money is charged by each hour with the
help of the offerings of services.

The meticulous steps are taken by the agencies for ensuring the accountability and staffing.
There is full public liability for the cleaning staff insurance. There is training regarding the
references on the staff available on the request of the clients. The common services offered by
the agencies abroad include ironing, window cleaning as well as carpet cleaning by Spick &
Span. There is a provision of homes spring-cleaning annually which leads to overall cleaning of
every corner related to the house. There is availability of another service which is termed as
house sitting. This refers to the service providers arrangement of qualified house sitters at
home and property caring, gardens and pets while the owner has gone for vacations.

Market Research

When the demographics of the target customers are understood, there is importance in success
of the way business is conducted. This needs to be understood when decision concerning the
product and services in included and there is an effect on the pricing, promotion, placing and
packaging. For the proper evaluation of community as well as neighbourhood, a better location
for business is asked which also helps in the demographic profile concerning the customers
which are likely. The offering is done by population having demographic traits required for
supporting the business.

Purchasing power. Finding out the degree concerning disposable income in the internal
community.

Residences. Are the premises rented or owned?

Means of transportation. Is there a possibility in the prospective area, to ride tracks or

bicycles and more in order to deliver easier and in less time the products?

Leisure activities. What type of hobbies and recreational activities do people in the
community participate in? How much time in an average do I have to take care of the
housekeeping?

Spick & Span does not come with a generic list related to dry and wet cleaning tasks. There is an
assessment regarding the cleaning needs. There is no hostage held for unrealistic time restraint
for sending the group cleaners along with the team members. There is maintenance of hotel
cleaning services.
When the user chooses Spick & Span cleaning services, they are choosing the dedication as well
as loyalty of similar person who has come to their own house.
There is a lot of hard work for hiring as well as training of reliable enthusiasts and people who
try to do the cleaning and does it well. According to some people, there is no gray area found in
cleaning as there is either cleaning or no cleaning. There is guarantee of training similar quality
concerning hotel cleaning service as per the friends recommendations.
There are monthly meetings as well as discussions with customers along with cleans. There is
also discussion regarding the products which are best suited for the needs of the customers.
Spick & Span is always looking forward for reviewing the needs of what needs to be carried on
without questioning. There are some seasonal tasks as well which are suggested for staying on
top of clean. The company likes to think outside the box and there is an extension regarding the
offers camper cleaning and deck cleaning.
There is recognition of change in age demographics in Spick & Span which helps in commitment
for education as well as fulfilling the requirements of the seniors presently.
There is a difference in the needs which help in the capability. There is a need beyond a maid
service and also a service where there is a need for everyone. There is pride in being a locally
owned company as well as full licensing.
The companies or organizations that we could focus on are not only hotels, hospitals, diagnostic
centres but also beauty and hair salons.
Greece economy at a very high level depends on the tourism. Due to the geographical position
and the weather conditions, the country attracts a high number of tourists throughout the year,
but minimizes room availability from April to October.

Below is a matrix with the total number of tourists each month for 2012

As shown, there is a significant number to depend on. Many hotels and collective
accommodation that can mimic the attitude, aspire more tourists to be fascinated by this.

Targeting - Positioning

After having analyzed the market is much more profitable to emphasize and promote the
cooperation with hotels due to the high number of rooms but more importantly due to the high

rate of usage of those rooms thus a much greater and more intense need in housekeeping
services.
This makes the Hotel segment of the market the most promising one among the houses,
business places, hospital or even event venues.
Of course, this is for the launch of the service and the first stage of deploying in to the market.
The end goal is to expand in all of those areas as there is a significant profit margin to all of
them.
The positions need to be planned while providing the services up to the greatest advantage in
selected target markets which needs to be designed in a way that there is creation of marketing
mixes in the positions planned.

Marketing Mix 7 Ps

The traditional marketing mix includes 4 Ps which include the four elements related to concept
marketing mix which were formulated. They include the following:

Product: Product refers to the service offered by Spick & Span and produced on a large scale
due to specific volume of units.

Professional care of clothing

Spick and Span differentiates recipes processing depending on the quality and type of clothing,
achieving the best quality wash in Greece. The use of certified detergent protects clothing and
increases the lifespan. Furthermore, the experienced staff and the flexibility of the production

process, the unit provides high quality, fully customized to the specific needs of each client.
Quality control at all stages of the process ensures the end result for our clients.

Screening + Order
Sorting and grading system of clothing per customer in a specially designed space.
Wash - Disinfectant
Select and use appropriate, certified detergent according to the specifications of each fabric.
Ensuring complete disinfection during washing.
Dry
Automatic drying process without strain thread while electronic monitoring procedure for
guaranteed results.
Pressing
Highest quality ironing linen, with adjustable temperatures required depending on the type of
clothing.
Diploma
Automatic folding machines ensure uniform patent according to customer requirements. For
towels possible French or American type folding towel.
Package
Grouped packaging and sorted by customer.
Transport
Daily movement to and from the customer with modern fleet owners Spick and
Span.

Price
The price paid by the customer regarding the service makes it the most important factor
related to marketing. The price of the services given by Spick & Span is confirmed with the
help of different factors which are invested by the organization for preparation of the
service. To give an example, the price of the services given should increase according to
time as well as price and identification of the product. There is also variability in the
particular service price due to the market developments. Our pricing model is gonna be a
per room one, disregarding the business/hotel size, therefore assuring that the cost for
each account is kept below the revenues return.

Place
With the help of this element, there is representation of the location which helps in the
product availability for the customers. There is a possibility regarding the product is not
available in every location but only in particularly selected locations. Moreover, there have
to be more than one facilities at central posts e.g. ports in order to cover the regions where
there is a big point of tourist interest as a result the hotels are located. The first plan is the
facilities to be at Patrai, Heraklion Crete, Rhodes and then Salonika. Linen wash up is going
to be done centrally (Athens) using shipments from the different hubs.

Promotion
This element constitutes all the efforts related to the company or organization which helps
in stimulating the popularity of their product in the market, for example with the help of
advertising, promotional programmes, etc.
With regards to promotion Spic & Span will adopt both above & below the line strategies
within its promotion strategy. It is therefore vital that Spic & Span is able to develop the

right balance between the two strategies in order to ensure that the product is effectively
promoted.
It is important that Spic & Span construct a year on year promotion strategy.
Additionally, Spic & Span will seek to use media advertising via brochures and posters. These
method will allow to promoted specifically to each target market (tourists)

People
Spick & Span needs to be aware regarding the effectiveness of the customer contact
management of employees for monitoring the service quality in relation to behaviour and
attitudes. There is importance concerning the service companies as the variability in the
performance is large and the customer contact employees due to the outcomes of the services
which are delivered. The service quality existing between companies as well as customers
including cleaning done once the guests have left or a major event have a strong addition in
important factors. There is lack of homogeneity in services which helps in creation of challenges
for the service companies. The services are delivered which helps in interaction concerning the
lack of homogeneity which results in creation of difficulties concerning service companies. The
delivery of service occurs because of interaction existing between the customers as well as
employees. The attitude and behaviour displayed by the customer gives a wrong perception.
The perception can either be positive as well as negative. There is importance as there is an
impact of customer satisfaction which results in turning the customers purchase intentions.

Physical Evidence
The physical evidence means the environment in which the service is carried out due to
interaction existing between an employee as well as a customer in combination to the physical
commodity. With the help of physical evidence, there are certain brochures which represent
services, companys stationery, reports, business cards as well as company website.

One of the examples is a hotel having a design, lighting as well as furnishing and decoration and
gives a great impact on the attitude and appearance of employee related to the service and
customer experience quality. When the theme park, restaurant or school is considered by Spick
& Span, there are dimensions concerning the physical environment which helps in the
representation of services and environment concerning the weather conditions like sound,
temperature and smell. There space and functions like map, decoration and equipment are also
included.
Due to the intangible services of the customers, there are a number of concrete clues helping in
comprehending the nature related to the service company. Due to intangibility of the service,
there is importance regarding the facilities given by credit card and banks. To sum it up, a visual
metaphor is served by the physical evidence and the relationship existing between the
employees as well as customers. The best publicity the service business can do is to satisfy the
customers by delivering excellent services. The marketing strategy is supposed to be effective
as it helps in the satisfaction of customers which are existing and there is communication to
potential customers. The use of social marketing helps in the tangibility as well as supply of
physical prove helping in writing a recommendation by a user or a customer.

Process
By process, we mean the representation of procedures, activities, protocols through which the
service can be questioned when delivery to customer is made. The results of the actions by
services concerning the customers involve a number of stages as well as activities for getting
there. The element is an important ingredient regarding the whole marketing strategy. The
elements constitutes of the services and activities involving people which plays a significant
role.
The service is formed from an activity chain which is important for the possibility of the waiting
period existing between the activities. The marketers are supposed to take care of
communication regarding potential delivery times which helps the management for fulfilling
the expectations of the customers. There is creation and management of effective service

procedures which rely on the service companys survival. There needs to be management of
process factor mostly because of the ability of services to perish, which means its impossible to
inventory services, re usage as well as return. There is importance regarding the service
companies who are involved in demand management as well.
The method that is process-based helps in providing an improved management related to
service concerning internal as well as external interaction, making it transparent and
implementing the practice.
There are three unique Ps involving people, physical evidence as well as process which
determine the businesss success as well as the service companys existence. There is an
influence of the purchasing needs, customer satisfaction as well as experience. The service
company makes use of quality as well as feedback helping to be on top of the list so the
customers can be served well, retained as well as there is improvement in the required service
procedures as well as scope.

Recommendations and Conclusion

The major area which involves the important risk for the company is in the fact that the clients
house or businesses / hotels will be visited and it needs to be ensured that there is no damage
done to the items when cleaning is carried out and the business liability are bought which helps
in the coverage of circumstances which are likely to develop with time. If hiring takes place
outside the company, then there is lack of trust and a risk that theft might take place in the
clients premises which can pose a serious threat in the customers relationship.
To recommend, it is important that the service business maintains its scheduled clients which
can help in ensuring that time is given between cleaning when it takes place and the customers
show up on the time scheduled. The smaller company has only some clients in comparison to
the large company thus there should be scheduling of clients in a way that a lot of time is given
in between the cleaning when it takes place.

The Spick & Span also needs to ensure that there is association of risks additionally which has
an influence on the punctuality. In case of a vehicle not working, there is problem in traffic and
these results in accidents as well as poor weather which helps in dealing with the situations in
accordance.
The team of service providers and cleaners is well-equipped and it is recommended that a
friendly, polite and a helpful staff is found which helps in providing professional services to all
the customers of spick and span and should have an attitude which pleases everyone. An
important recommendation relates to the privacy policy of the business which also helps in
using and protecting information given out by Spick and Span when the website is used. Some
information is also provided which helps in the identification of the use of website and this
assures that there is accordance with the privacy statement.
The policy of Spick and Span is changed every now and then which helps it in modification of
the services for the demands of the customers. The page needs to be checked for ensuring
there is satisfaction with the changes made as the business makes the modifications for the
satisfaction of the customers.

Project Plan
Since there is operation in construction cleanup service, it has helped in the residential or
commercial cleaning service due to the work which was severe concerning the labour. There is
a lot of heavy lifting, ladder work as well as dust removal needed. There are a number of duties
which involve window cleanups as well as dusting and washing the entire surfaces and the
stickers are removed from windows and appliances while the debris accumulated due to
construction starts fading and the interior glass, tile and marble is polished. The walls and
ceilings are also dusted and washed and the floors are vacuumed. The basis of the rates is
based upon the estimation of doing the work and differs greatly relying on the size of the job as
well as the work scope. There are earnings of around $ 30 in an hour interval. Thus, there is
creation of a descriptive brochures as well as promotional package which can help in delivery

while making it the best tool for marketing as well as visiting them individually for pitching the
services.

Financial Analysis

Total arrivals (on annual basis) 14.790.291 given that there is a weighted average of three
persons per room that gives us a total market of 4.900.097 rooms. Our hypothesis of an initial
8% market share acquisition, we find ourselves with a total of 49.000 rooms.

With a base price of 3 euros / per room & 0, 5 euro per piece of linen, our financial assessment
is the following:

Year 1
Income
Expenses
NCF
Profit

Year 2

14.553.646,34 21.830.469,52 34.564.910,07

1.623.600,00

2.095.920,00

Interest
NPV

3.365.280,00

12.930.046,34 19.734.549,52 31.199.630,07

3.830.046,34 19.734.549,52 31.199.630,07

Total cash flows ( with initial Investment )

IRR

Year 3

-8022496,138
14%
8%
66.114.036,96

35000000,0
30000000,0
25000000,0
20000000,0

Income

15000000,0

Expenses

10000000,0
5000000,0

Expenses

,0
Year 1

Income
Year 2
Year 3

NCF
35.000.000,00
30.000.000,00
25.000.000,00
20.000.000,00
NCF

15.000.000,00
10.000.000,00
5.000.000,00
0,00
Year 1

Year 2

Year 3

References
www.cocomat.gr
www.grhotels.gr
www.spickandspan.gr
"An examination of factors motivating hotel outsourcing. International Journal of Hospitality
Management - Lamminmaki, Dawne.