1. By Ben Youn Copyright 2014 Quantum Business House WELCOME to QUANTUM BUSINESS HOUSE

2.  2 hours for each session  10 minutes tea time  Bathroom & Kitchen  Today’s Speaker  Please network each other  Future Plan - Business Forum - Networking Events - Business Mentoring Copyright 2014 Quantum Business House

3. 1. Setting up business structure (June 04) 2. Buying a business (June 11) 3. Business Planning (June 18) 4. Marketing (June 25) 5. Raising Finance (July 02) 6. Financial Management (July 09) 7. Tax system and compliance issues (July 16) 8. Risk management (July 23) 9. Financial Health Check (July 30) 10. Business Evaluation (August 06) Copyright 2014 Quantum Business House

6.  Manage - For those customers current and potential value are low. - High costs but lower margins - Manage costs or Remove Copyright 2014 Quantum Business House

7.  Retain - For those customers current value is high but low potential value - Retain and manage those customers not to leave as they are profitable now. - Beware over-investments (cost management) Copyright 2014 Quantum Business House

8.  Grow - For those customers current value is low but their potential value is high - Provides future opportunities - Prioritise your investments to them - Relationship Management – Loyalty strategy - Beware your competitors, they are looking at your customers Copyright 2014 Quantum Business House

9.  Promote - For those both current and potential values are high. - Goldmine customers - Improve your services (Gold membership) - Relationship management - Beware your competitors Copyright 2014 Quantum Business House

10.  Leverage the sales opportunity - Increase current value in maximum level - Promotions - Relationship management - Increase potential future values of the customer - Referrals Copyright 2014 Quantum Business House

11.  Current competitors - Gather and analyse information (Financial information, market reputation etc.)  Substitute - Those providing products and services for the same underlying needs (Laptop computer vs. iPad) - If their value proposition is more attractive, your business loses market shares Copyright 2014 Quantum Business House

12.  New Entrants - Beware if you are in technology based industry - Build Barriers (Patents, capital etc) Copyright 2014 Quantum Business House

13.  What is Value Proposition? - Your business focus on value oriented activities with which your customers are willing to pay!!  For ALL stakeholders involvement  Identify where you can create value  Allocate the value to each stakeholder  Value Chain Management  Value added, Non-value added but necessary & Non-value added to scrap Copyright 2014 Quantum Business House

14.  Step 1: Identify value (Value Map based on Strategic Business Plan – See the sample) - Where your business creates value - Value chain analysis relevant to your industry - Value to be measurable (e.g. KPIs including customers service calls, number of new customers; the time for delivery etc) - Value to be relevant: Focus on key value drivers. Business plan must reflect this. - Value to be linked to a stakeholder: customers, suppliers, shareholders and employees Copyright 2014 Quantum Business House

15.  Step 2: Value allocation to stakeholders - Self evident - Identify key stakeholders - Allocate the value identified to each stakeholder and share the value. - Voice of Customer (VOC): becoming a customer oriented organisation (seeing through your customers’ eyes) Copyright 2014 Quantum Business House

17.  Very customer-focused method for product and service design.  Bringing the VOC into your business rather than relying on internal discussion and experts to their business decision about products and services  More efficient, effective planning and reducing cost and time for development. Copyright 2014 Quantum Business House

18.  Product and Service 1. Features – benefit analysis: the more benefits a product provides the greater their perception of ‘value for money’. - For your advertisement, you must isolate the features that will encourage your customers to buy your products and services 2. Type and level of customer service - Consider the cost of providing services, what your competitors offer and what the customers expect. Copyright 2014 Quantum Business House

19.  Product and Service 3. Product Strategy - Needs of your target market should be the key determinant - Product line - Product breadth - Product depth - Product mix Copyright 2014 Quantum Business House

20.  Promotion and Advertising Plan - Align with marketing objectives not only sales revenue side but changing behaviours and perception of your customers - Encouraging the existing customers to buy more - Encouraging new customers to try your products and services - Raising awareness of the product and its name Copyright 2014 Quantum Business House

21.  Promotion and Advertising - Build competitive advantage points e.g. free installation, free training extended warranty, unique product Copyright 2014 Quantum Business House

22.  Place and Distribution - How your products and services will be offered for sale - Direct sale vs. third party sales (retailers): Decision of “make or buy” - Supply Chain Management with Lean Management Principles Copyright 2014 Quantum Business House

23.  Price Strategy - Break-even analysis - Interrelation of a number of factors to get the best combination of sales volume, price and costs while being consistent with your overall image - Price your customers are willing to pay depends on how they value your product and services. - In fact, your cost is irrelevant to the customers Copyright 2014 Quantum Business House

25.  CRM System (Xero Add-ons)  Newsletters and email marketing (MailChimp)  Use your tax invoice for marketing tool (invoice design) Copyright 2014 Quantum Business House

26.  Marketing  Raising Finance  Financial Management  Tax system and compliance issues  Risk management  Financial Health Check  Business Evaluation Copyright 2014 Quantum Business House