Unique Business Model-Huge Cash Flow Opportunity
Fast Track Business-Major Cash Flow-3 Year Exit Strategy
The clients will develop a personal connection with the client service agents and consumer advocates. This relationship cultivation will ensure a low attrition of clients from the client base, be a fertile ground for the up sell of goods and services, and be the foundation for the differentiation that this service offers from other national services and groups such as AARP. Currently, there is no relationship based membership program that can offer anything to seniors beyond retail discounts. So this service will be a brand new business model. The company will take the time to speak to their clients to assess their needs and offers advice, products, counseling, education, and protection.
The company has tested the business model over the past three months. Sales have been successful as well as the reception of the program by the client base. The clients come from an existing client base of satisfied clients from a previous business known as Audit Recovery Systems. From this client base, client sales representatives have been selling the tier I membership on a recurring basis on a phone call. Clients, especially seniors, are calling ARS and finding value in the service model.
Today, there are more changes, advancements, and scams than can ever be followed by a single person. Seniors are even more at a disadvantage due to their inexperience with newer technologies. They are not made aware of events as often and that leads to others being able to take advantage of them. SCS seeks to offer a solution to this because SCS does that, and so much more. The company will focus on the under-served segment of the market to protect and help manage their lifestyle. The company’s goal is to secure the lifestyle of its clients in order for them to live a more carefree life knowing they have a helping hand to assist them with any decisions the clients may have. This is something many other companies are doing in small pieces, but no one does all together, especially for such a vulnerable population segment.
The services that will be offered will include: financial and purchase advice , warnings and advice on scammers, fraud assistance, grief support, trip planning, finding reputable businesses, monthly/annual reminders, technology advice, technology education, advice on financial planning. These services will be packaged into tiers of membership which the clients will select once they choose to purchase. The clients may also be sold a higher tiered membership after they are enrolled in a program for several months based upon their needs and the changes that they experience in their lives or as individual up-sells.
Clients are initially sold a monthly, recurring membership at $19.97 a month, automated charge. From that client base, members are sold additional services and goods on both a recurring and non-recurring basis. These up-sells will generate the greatest profitability for the company. All charges will utilize the same bank account or credit card account so that the clients do not have to constantly search for the numbers and read the small numbers, saving time and frustration. The only time a new bank account or credit card number will be necessary is if the initial membership is purchased for the client by a third party.
The strength of the company and the foundation for its projected success is the dedication to the client base. The estimations contained in the supporting financial plan are for SCS to have a client base of 21,000 to 35,000 members. The company will get as much personal data as is possible from each client and store this in a relational database. This database will provide information to management that will guide the strategy for client sales. The justification behind these sales is that the database on all the customers will be rigorously maintained.
The database will contain such valuable information such as birthdates, anniversaries, major family occasions, graduations, etc. which customer service sales agents will utilize to target the clients who will most likely purchase the items. SCS will rely heavily on the relational database to determine which clients to call first based upon previous purchase history in order to determine which clients are called first. The structure and maintenance of this database will be the responsibility of the senior information technology consultant. From this database, the company will be able to develop multiple revenue streams. The revenue streams at all levels of service will provide strong cash flow for the company and nearly unlimited potential in earnings for the managing partners.
The sales of the client service agents will be in three separate tiers. The first tier is the base tier which is a monthly membership in SCS at a cost of $19.97 a month, as mentioned above; the second tier is the middle tier which will be a recurring charge of $39.97 a month; and the third tier which will be a recurring charge of $59.97 a month. All of these monthly charges will be charged to a bank account (such as checking) or credit card account. The increasing tiered membership will have more valuable services available as members purchase higher priced memberships.
The different tiers of service will translate into different levels of service and types of services the members receive. For example, all clients in every tier will be encouraged to call a client service advocate any time they wish or are asked to make a large transaction, typically above $500. The second and third tier clients will also have the benefit of calling a client service advocate to discuss personal life or ask for personal advice, such as relationship advice. Finally, the third tier clients will have benefits that will offer nutritional and health advice. These are examples for the three tiers and not necessarily the extent of services offered which are detailed below in the section labeled “Product Lines”.
In addition to the monthly charges, there will be special non-recurring sources of income for the company where the company promotes a certain good or service for the members for a one-time charge to the same bank or credit card account. These non-recurring items sold directly by SCS to the client base may include items such as a hand bag, portable reading light, or matching pillow set. These non-recurring items will be sold to the entire client base, no matter which tier of recurring membership the client has.
For the initial contact with a prospective client, the marketing focus and message to the client will be the protection of livelihood against financial scams and fraud. Seniors need some sort of protection against these predators, and SCS offers several solutions. By offering advice and research for the client any time they wish to make a large transaction or are asked to make a financial commitment, SCS can help a client to navigate the tricky path of financial decisions. Ultimately, SCS will empower their clients with the information they need to make sound life choices.
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Call for business plan 800-294-7150
Senior Concierge Service (SCS) is a service-based membership that provides advice, advocacy, counseling, financial protection and discounted goods and services for seniors. Seniors are defined as being fifty-five (55) years and older, though focus of the company is to sell to clients ages sixty-five (65) and older. The purpose of the services is to protect the client, their lifestyle, and their independence. The services offered will range from education, personal advice, financial and purchase advice, and referrals to news, nutrition, and technology.