Strategic Growth Plan for Mamaland Safaris & Woodland Lodges in Uganda

 
Mamaland Safaris & Woodland
Lodges
The Triumph of the Resilient
 
PBS Consulting
Diogo Cunha, Hugo Soares, Inês C Alves, Márcio Santos
 
Brief snapshot of the Current Situation
 
Mamaland Safaris & Woodland Lodges provide a
unique adventure experience for tourist in
Uganda...
 
….providing great expertise of animal recognition
and valuable guidance for tourist
 
Costumer preferences have changed and
with it new opportunities and new
challenges are emerging
 
Currently, in Uganda, the adventure tourism
industry has an expected growth of
MS & WL
 
1
 
20%
 
Why are we here today?
 
2
Costumer Segment
Locations
Which should Mamaland Safaris & Woodland Lodges growth strategy be, over the
next 3 years to achieve a 23% growth ?
Costumer Acquisition Method
 
3
AGENDA
 
Why are we here today ?
Our view of the current situation:
Analysis
Recommendations & Alternatives
Implementation Plan: Timeline and KPI's
Financials
Risks
Summary
 
Analysis
 
 
Uganda: a unique appeal in East Africa
 
5
Wildlife: 60% of mountain gorillas in Africa; Big 5
 
Border with Kenya, Tanzania and Rwanda (same Visa)
 
Safe (unlike Congo or Rwanda)
 
National Parks: Bwindi, Murchison, Queen Elizabeth
(famous for the climbing lyons)
 
1,5 M international tourists accounting for 7,75% GDP
 
Key topics/channels
 
6
Mamaland Safaris
 
Taylored safaries,
Focus on customer experience
Local guides
Fleet of 4 cars and 1 bus (  + renting on demand)
Woodland Lodges
Vertical integration
Total experience control
Affordable lodging
Locations close to Natural Parks: Pumba; Hornbull;
Topi
 
Key topics/channels
 
7
Due to the Covid 19 pandemic
, Mr. Tony had to size down the business but he managed to survive.
With the fast recovery of the tourism industry, the question now is: where should he invest?
Mamaland Safaris
 
Taylored safaries,
Focus on customer experience
Local guides
Fleet of 4 cars and 1 bus (  + renting on demand)
Woodland Lodges
Vertical integration
Total experience control
Affordable lodging
Locations close to Natural Parks: Pumba; Hornbull;
Topi
 
Who is the tourist?
 
8
Mamaland Safaris and Woodland Lodges
Aged 17-55 with good fitness levels
 
Spends 3-4 days
 
Looking for adventure
 
Mostly business clients
 
Reached by word to mouth
 
Many would return for a new experience
Uganda Travel Industy
 
32% business tourism
 
25% leisure (21% looking for adventure)
 
Adventure accounts for 89% of
expenditure
 
European and North American are the
greatest spenders (> USD 1000)
 
 
 
 
Who is the tourist?
 
9
Looking at Uganda’s tourist profile, both businesses have a great potential for expansion.
But they need to choose and focus on a specific client segment.
Mamaland Safaris and Woodland Lodges
Aged 17-55 with good fitness levels
 
Spends 3-4 days
 
Looking for adventure
 
Mostly business clients
 
Reached by word to mouth
 
Many would return for a new experience
Uganda Travel Industy
 
32% business tourism
 
25% leisure (21% looking for adventure)
 
Adventure accounts for 89% of
expenditure
 
European and North American are the
greatest spenders (> USD 1000)
 
 
 
 
Where is the competition standing?
 
10
Quality
High
Low
Price
High
Low
 
Karumanu Safari
 
Gorila Tours
Matoke Tours
Mamaland Safaris
 
Where is the competition standing?
 
11
Quality
High
Low
Price
High
Low
 
Gorila Tours
Matoke Tours
 
Karumanu Safari
Margins
 
60%
 
Gorila Tours
Matoke Tours
Mamaland Safaris
 
Mamaland Safaris
 
15%
 
Woodland Lodges
 
40%
 
Summing up
 
12
Tailored fit
 
Gorilas, Big 5, Birds, Exotic
animals
 
Different areas/parks
Product
Price
Promotion
Place
Currently only word to
mouth.
Budget to Mid Range
Topi and Pumba: Queen
Elisabeth’s National Park
 
Hornbill Bush Lodge:
Murchison Falls National
Park
Product
Price
Missing a clear definition
of what their value
proposition is
M
argin needs to improve.
Is there room to increase
price?
How can the offer be
improved?
How to capitalize it?
New channels/platforms?
Invest in same locations or
opt for new ones?
 
Which should Mamaland Safaris & Woodland
Lodges growth strategy be, over the next 3 years
to achieve a 23% growth ?
 
 
Recommendations for the future of Mamaland and Woodland
 
14
Costumer Segment
Locations
Which should Mamaland Safaris & Woodland Lodges growth strategy be, over the
next 3 years to achieve a 23% growth ?
Costumer Acquisition Method
 
Recommendations for the future of Mamaland and Woodland
 
15
New Marketing Strategy
Bwindi Gorilla Resort
Costumer Segment
Locations
Which should Mamaland Safaris & Woodland Lodges growth strategy be, over the
next 3 years to achieve a 23% growth ?
Costumer Acquisition Method
 
Recommendations for the future of Mamaland and Woodland
 
16
New Marketing Strategy
Bwindi Gorilla Resort
Costumer Acquisition Method
Locations
Which should Mamaland Safaris & Woodland Lodges growth strategy be, over the
next 3 years to achieve a 23% growth ?
 
17
What?
Why?
How?
A clear strategy will allow focus of resources and efforts towards the most effective activities.
Adventure and
Experience tours
Adventure:
18-45
Exploratory
BIG 5/Gorillas
Price per person of
1000usd.
Uganda.
Keep proximity to
national parks.
Referral system with
10% discount for
future experience.
Targeted
advertisement via
LinkedIn and
Instagram.
Current 
business model lacks clarity
We recommend implementing a marketing strategy inline with the current offering.
 
Addressing customer segments and strategy
 
 
Experience:
45+
Cultural
Local tribes
 
 
 
Recommendations for the future of Mamaland and Woodland
 
18
New Marketing Strategy
Bwindi Gorilla Resort
Costumer Acquisition Method
Locations
Which should Mamaland Safaris & Woodland Lodges growth strategy be, over the
next 3 years to achieve a 23% growth ?
 
Selecting a new lodging location
 
19
Bwindi
Entebbe
Investment
Needed
Tourist
traffic
Competitors
Proximity to
Park
TOTAL
CRITERIA
ALTERNATIVES
Scale 1-5, least to most desirable
 
Selecting a new lodging location
 
20
2
4
4
3
3
1
5
2
14
10
Bwindi
Entebbe
Investment
Needed
Tourist
traffic
Competitors
Proximity to
Park
TOTAL
CRITERIA
ALTERNATIVES
Scale 1-5, least to most desirable
 
New lodging facility in Bwindi
 
21
What?
Why?
How?
By focusing on these key points, you can help ensure that your lodge for safari in Bwindi is successful and provides a
high-quality experience for guests
Existing locations favor proximity to national parks and tour potential.
We recommend building a new lodge near Bwindi.
Proximity to additional gorilla tours and high tourist traffic.
Identify location with prime access to 
Bwindi Impenetrable National Park – access to diverse wildlife.
Focus on customer experience- Recruit and train staff, focusing on interaction and satisfaction.
The lodge should be designed to blend in with the natural surroundings, focusing on cultural immersion rather
than a luxury type experience.
Provide dining based on local cuisine.
Operate with the safety and security of guests in mind, clearly communicating that crime rates of one country
are not reflections of the continent.
Community involvement: It is important to involve and engage the local community in the planning and
operation of the lodge, to ensure that it is a positive and mutually beneficial development for all stakeholders.
 
 
Implementation plan
 
 
23
 
The following timeline illustrates the steps to implement a marketing strategy
aligned with the company core values but capable of attracting a specifique and
profitable costumer segment
 
24
 
The following timeline illustrates all the step required to develop the new
Gorilla Resort in Bwindi, the KPIs allow for tracking success
 
Financials and Risks
 
 
Financial Assumptions and Calculations
 
26
Key Highlights
1 lodge
6 people capacity (10 day capacity)
15 packs/month
 
Financial Assumptions and Calculations
 
27
Key Highlights
1 lodge
6 people capacity (10 day capacity)
15 packs/month
Leveraging on existing fixed costs
 
Financial Assumptions and Calculations
 
28
Key Highlights
1 lodge
6 people capacity (10 day stay)
15 packs/month
Leveraging on existing fixed costs
1 New Lodge
 
Financial Impact
 
29
 
Risk Assessment
 
30
 
PROBABILITY
 
IMPACT
Risk
Mitigation
Risk Matrix
2
3
1
New restrictions for
International tourism
Increased Costs
Pricing Increase
Difficulty to attract
International tourists
for safety concernes
Direct marketing
communication towards safety
1
2
3
A local strategy is also capable
of targeting African tourists
 
Summing up our recommendations
 
31
A
X
XX
New Marketing Strategy
Bwindi Gorilla Resort
The world has changed and these
changes represent great opportunities
Adopting a communication strategy is
crucial to attract a new and more
profitable costumer segment
Communicate products clearly
Capitalize on know-how and previous
experience
Combine the best of the lodge
experience and the best of the safari
experience all in one place
How can ?
Costumer Acquisition Method
Locations
Which should Mamaland Safaris & Woodland Lodges growth strategy be, over the
next 3 years to achieve a 23% growth ?
 
Thank You!
Q&A
Slide Note

Dear member of the jury before we begin we would like to ask your permition to play the roles of PBS consulting team presenting to Mr. Byarugaba.

Good morning, dear Mr Byarubaga, welcome to our offices, it is a great pleasure to have you with us . Today I'm here with my colleagues... to provide you with best Stratey for your company going forward and a world that is changing now more than ever before.

As you know in the wilderness it is not the strongest who survives but the one's who are THE BEST AT ADAPTING. The ones who are quicker to adapt. We are all a product of natural selection. We are the one who survived plagues and catastrophies.. And you Mr Byarubaga, you are a prime example of this process. So for this reason we have no doubt that under the right guidance you will triumph, achieve greatness for you business and surpass all expectations.

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January 2023 John Molson MBA International Case Competition presented a case on Mamaland Safaris & Woodland Lodges in Uganda. The challenge is to develop a growth strategy to achieve a 23% growth over the next 3 years. Analyzing the current situation, focusing on customer segments, acquisition methods, locations, key issues, tours, lodging, new office, and strategic alliances are crucial. Recommendations include tailoring safaris, improving customer experience, vertical integration, and controlling the total experience. With a unique appeal in East Africa, Uganda offers wildlife experiences, including mountain gorillas and the Big 5, making it a prime destination for international tourists. By capitalizing on these strengths and enhancing local guides, fleet management, affordable lodging, and strategic locations near national parks, Mamaland Safaris & Woodland Lodges can position themselves for successful growth in the tourism industry.


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  1. January 2023 JOHN MOLSON MBA International Case Competition 2023 Mamaland Safaris & Woodland Lodges The Triumph of the Resilient PBS Consulting Diogo Cunha, Hugo Soares, In s C Alves, M rcio Santos

  2. Brief snapshot of the Current Situation Mamaland Safaris & Woodland Lodges provide a unique adventure experience for tourist in Uganda... .providing great expertise of animal recognition and valuable guidance for tourist MS & WL Currently, in Uganda, the adventure tourism industry has an expected growth of Costumer preferences have changed and with it new opportunities and new challenges are emerging 20% 1

  3. Why are we here today? Which should Mamaland Safaris & Woodland Lodges growth strategy be, over the next 3 years to achieve a 23% growth ? Challenge Costumer Segment Costumer Acquisition Method Locations Key Issues Tours Lodging Locations New Office Strategic Alliances 2

  4. Why are we here today ? Our view of the current situation: Analysis Recommendations & Alternatives Implementation Plan: Timeline and KPI's Financials Risks Summary AGENDA 3

  5. Analysis

  6. Uganda: a unique appeal in East Africa Wildlife: 60% of mountain gorillas in Africa; Big 5 Border with Kenya, Tanzania and Rwanda (same Visa) Safe (unlike Congo or Rwanda) National Parks: Bwindi, Murchison, Queen Elizabeth (famous for the climbing lyons) 1,5 M international tourists accounting for 7,75% GDP 5 Analysis Recommendations Implementation Plan Financials & Risks

  7. Key topics/channels Mamaland Safaris Taylored safaries, Focus on customer experience Local guides Fleet of 4 cars and 1 bus ( + renting on demand) Woodland Lodges Vertical integration Total experience control Affordable lodging Locations close to Natural Parks: Pumba; Hornbull; Topi 6 Analysis Recommendations Implementation Plan Financials & Risks

  8. Key topics/channels Mamaland Safaris Taylored safaries, Focus on customer experience Local guides Fleet of 4 cars and 1 bus ( + renting on demand) Profit 200000 000 150000 000 100000 000 50000 000 - Woodland Lodges 17 18 19 20 21 -50000 000 Vertical integration Total experience control Affordable lodging Locations close to Natural Parks: Pumba; Hornbull; Topi -100000 000 MAMALAND Profit WOODLAND LODGES Profit Due to the Covid 19 pandemic, Mr. Tony had to size down the business but he managed to survive. With the fast recovery of the tourism industry, the question now is: where should he invest? 7 Analysis Recommendations Implementation Plan Financials & Risks

  9. Who is the tourist? Mamaland Safaris and Woodland Lodges Uganda Travel Industy 32% business tourism Aged 17-55 with good fitness levels 25% leisure (21% looking for adventure) Spends 3-4 days Adventure accounts for 89% of expenditure Looking for adventure Mostly business clients European and North American are the greatest spenders (> USD 1000) Reached by word to mouth Many would return for a new experience 8 Analysis Recommendations Implementation Plan Financials & Risks

  10. Who is the tourist? Mamaland Safaris and Woodland Lodges Uganda Travel Industy 32% business tourism Aged 17-55 with good fitness levels 25% leisure (21% looking for adventure) Spends 3-4 days Adventure accounts for 89% of expenditure Looking for adventure Mostly business clients European and North American are the greatest spenders (> USD 1000) Reached by word to mouth Many would return for a new experience Looking at Uganda s tourist profile, both businesses have a great potential for expansion. But they need to choose and focus on a specific client segment. 9 Analysis Recommendations Implementation Plan Financials & Risks

  11. Where is the competition standing? Price Low High Gorila Tours Matoke Tours High Mamaland Safaris Quality Low Karumanu Safari 10 Analysis Recommendations Implementation Plan Financials & Risks

  12. Where is the competition standing? Price Margins Gorila Tours Matoke Tours Low High 60% Mamaland Safaris 15% Gorila Tours Matoke Tours High 40% Woodland Lodges Mamaland Safaris Quality Net Margin 50.00% 0.00% 17 18 19 20 21 -50.00% Low -100.00% Karumanu Safari WOODLAND LODGES Net Margin WOODLAND LODGES Net Margin 11 Analysis Recommendations Implementation Plan Financials & Risks

  13. Summing up Product Product Price Price Place Promotion Tailored fit Topi and Pumba: Queen Elisabeth s National Park Gorilas, Big 5, Birds, Exotic animals Budget to Mid Range Currently only word to mouth. Hornbill Bush Lodge: Murchison Falls National Park Different areas/parks Margin needs to improve. Is there room to increase price? How can the offer be improved? Missing a clear definition of what their value proposition is How to capitalize it? New channels/platforms? Invest in same locations or opt for new ones? 12 Analysis Recommendations Implementation Plan Financials & Risks

  14. Which should Mamaland Safaris & Woodland Lodges growth strategy be, over the next 3 years to achieve a 23% growth ?

  15. Recommendations for the future of Mamaland and Woodland Which should Mamaland Safaris & Woodland Lodges growth strategy be, over the next 3 years to achieve a 23% growth ? Challenge Key Issues Costumer Segment Costumer Acquisition Method Locations Recomen- dations 14 Analysis Recommendations Implementation Plan Financials & Risks

  16. Recommendations for the future of Mamaland and Woodland Which should Mamaland Safaris & Woodland Lodges growth strategy be, over the next 3 years to achieve a 23% growth ? Challenge Key Issues Costumer Segment Costumer Acquisition Method Locations Recomen- dations Bwindi Gorilla Resort New Marketing Strategy 15 Analysis Recommendations Implementation Plan Financials & Risks

  17. Recommendations for the future of Mamaland and Woodland Which should Mamaland Safaris & Woodland Lodges growth strategy be, over the next 3 years to achieve a 23% growth ? Challenge Key Issues Costumer Acquisition Method Locations Recomen- dations Bwindi Gorilla Resort New Marketing Strategy 16 Analysis Recommendations Implementation Plan Financials & Risks

  18. Addressing customer segments and strategy New Marketing Strategy Bwindi Gorilla Resort Current business model lacks clarity We recommend implementing a marketing strategy inline with the current offering. What? Why? A clear strategy will allow focus of resources and efforts towards the most effective activities. Product Price Place Promotion Adventure and Experience tours Adventure: 18-45 Exploratory BIG 5/Gorillas Experience: 45+ Cultural Local tribes Referral system with 10% discount for future experience. Targeted advertisement via LinkedIn and Instagram. Price per person of 1000usd. Uganda. Keep proximity to national parks. How? 17 Analysis Recommendations Implementation Plan Financials & Risks

  19. Recommendations for the future of Mamaland and Woodland Which should Mamaland Safaris & Woodland Lodges growth strategy be, over the next 3 years to achieve a 23% growth ? Challenge Key Issues Costumer Acquisition Method Locations Recomen- dations Bwindi Gorilla Resort New Marketing Strategy 18 Analysis Recommendations Implementation Plan Financials & Risks

  20. Selecting a new lodging location CRITERIA Investment Needed Tourist traffic Proximity to Park TOTAL Competitors ALTERNATIVES Bwindi Entebbe Scale 1-5, least to most desirable 19 Analysis Recommendations Implementation Plan Financials & Risks

  21. Selecting a new lodging location CRITERIA Investment Needed Tourist traffic Proximity to Park TOTAL Competitors ALTERNATIVES Bwindi 2 4 3 5 14 Entebbe 4 3 1 2 10 Scale 1-5, least to most desirable 20 Analysis Recommendations Implementation Plan Financials & Risks

  22. New lodging facility in Bwindi New Marketing Strategy Bwindi Gorilla Resort Existing locations favor proximity to national parks and tour potential. We recommend building a new lodge near Bwindi. What? Why? Proximity to additional gorilla tours and high tourist traffic. Identify location with prime access to Bwindi Impenetrable National Park access to diverse wildlife. Focus on customer experience- Recruit and train staff, focusing on interaction and satisfaction. The lodge should be designed to blend in with the natural surroundings, focusing on cultural immersion rather than a luxury type experience. Provide dining based on local cuisine. Operate with the safety and security of guests in mind, clearly communicating that crime rates of one country are not reflections of the continent. Community involvement: It is important to involve and engage the local community in the planning and operation of the lodge, to ensure that it is a positive and mutually beneficial development for all stakeholders. How? By focusing on these key points, you can help ensure that your lodge for safari in Bwindi is successful and provides a high-quality experience for guests 21 Analysis Recommendations Implementation Plan Financials & Risks

  23. Implementation plan

  24. The following timeline illustrates the steps to implement a marketing strategy aligned with the company core values but capable of attracting a specifique and profitable costumer segment NEW Marketing Strategy New Facility 23 Analysis Recommendations Implementation Plan Financials & Risks

  25. The following timeline illustrates all the step required to develop the new Gorilla Resort in Bwindi, the KPIs allow for tracking success New Marketing Strategy Ne 24 Analysis Recommendations Implementation Plan Financials & Risks

  26. Financials and Risks

  27. Financial Assumptions and Calculations Projected new Revenues Quantity Price (USD) Price (UGX Millions) Growth Rate Key Highlights Pack Adventure (75% sales) 11 1 000 3 333 333 20% 1 lodge Pack Leisure (25% sales) 4 6 people capacity (10 day capacity) 15 packs/month Total 180 180 000 600 000 000 26 Analysis Recommendations Implementation Plan Financials & Risks

  28. Financial Assumptions and Calculations Projected new Revenues Quantity Price (USD) Price (UGX Millions) Growth Rate Key Highlights Pack Adventure (75% sales) 11 1 000 3 333 333 20% 1 lodge Pack Leisure (25% sales) 4 6 people capacity (10 day capacity) 15 packs/month Total 180 180 000 600 000 000 Projected new OPEX Traninig Staff Renting new Vehicles General, Admin. and Sales Staff Marketing and Comunication 0 1 2 3 900 1 080 2 880 1 440 1 080 720 1 296 3 456 1 728 1 296 864 2 400 1 200 900 600 Leveraging on existing fixed costs 27 Analysis Recommendations Implementation Plan Financials & Risks

  29. Financial Assumptions and Calculations Projected new Revenues Quantity Price (USD) Price (UGX Millions) Growth Rate Key Highlights Pack Adventure (75% sales) 11 1 000 3 333 333 20% 1 lodge Pack Leisure (25% sales) 4 6 people capacity (10 day stay) 15 packs/month Total 180 180 000 600 000 000 Projected new OPEX Traninig Staff Renting new Vehicles General, Admin. and Sales Staff Marketing and Comunication Implementation Costs 0 1 2 3 900 1 080 2 880 1 440 1 080 720 1 296 3 456 1 728 1 296 864 2 400 1 200 900 600 Leveraging on existing fixed costs 5 000 Investments New Lodge USD UGX 1 New Lodge 30 000 100 000 000 28 Analysis Recommendations Implementation Plan Financials & Risks

  30. Financial Impact Income Statement USD 0 1 2 3 Revenues Operating Expenses Net Profit - 15 000 9 000 6 000 18 000 10 800 7 200 21 600 12 960 8 640 5 000 - 5 000 Gross Margin Operating Margin 20,00% 60,00% Cash Flows Statement Investments Depreciations USD 0 1 2 3 35 000 - - - 875 875 875 Project's Free Cash Flows Present Value of Cash Flows (35 000) (35 000) 6 875 6 250 8 075 6 674 9 515 7 149 WACC Equity Ratio 10% 100% 29 Analysis Recommendations Implementation Plan Financials & Risks

  31. Risk Assessment Risk Mitigation Risk Matrix VERY HIGH A local strategy is also capable of targeting African tourists New restrictions for International tourism 1 HIGH PROBABILITY 2 MEDIUM Pricing Increase 2 Increased Costs 3 LOW 1 Difficulty to attract International tourists for safety concernes VERY LOW Direct marketing communication towards safety 3 VERY HIGH VERY LOW LOW MEDIUM IMPACT HIGH 30 Analysis Recommendations Implementation Plan Financials & Risks

  32. Summing up our recommendations Which should Mamaland Safaris & Woodland Lodges growth strategy be, over the next 3 years to achieve a 23% growth ? How can ? Challenge Costumer Acquisition Method Locations AX XX Key Issues Recomen- dations New Marketing Strategy Bwindi Gorilla Resort The world has changed and these changes represent great opportunities Adopting a communication strategy is crucial to attract a new and more profitable costumer segment Communicate products clearly Capitalize on know-how and previous experience Combine the best of the lodge experience and the best of the safari experience all in one place 31

  33. Thank You! Q&A

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