Blue Sky Satellite Communications CC or Blue Sky is a communication solutions and satellite service provider for Africa. Its operations base is in South Africa. The company provides both satellite phones and terminals plus airtime packages customized to the client’s needs.
Blue Sky Satellite Communications will be able to meet its goals by focusing its strengths, key customers, the underlying value they need, as well as the introduction of broadband technology. This includes increasing sales to more that $20 million within three years, increasing the gross profit on sales to more then 30%, and improving inventory turnover to eight turns by year 3.
This business plan is the key to success. It renews the strategic focus and vision that we have for adding value and innovation to our target market segments. This includes high-end home users and corporate business in our horizontal markets. It also gives a step-byâ€“step guideline to help us increase our sales and gross margins.
After purchasing a satellite phone through COMSAT, Pedro M G Camacho founded ‘#8220â€™ Hyper Parts Com Division in 1996. After seeing the potential and abilities of the satellite phone, Camacho decided to set up his own company in satellite communications. Blue Sky Satellite Communications was established in 1998. The company has enjoyed two years of good legal trade and is poised for great growth. Pedro saw Inmarsat to be a niche and was successful in responding to it. VSAT has the same outlook as Pedro, which is the next logical step towards the development of satellite communications.
Blue Sky Satellite Communications is based on the idea that satellite technology management and development of broadband services are the most important steps in communication ever since the invention of the phone. We are a service provider of Inmarsat services and VSAT services. This has allowed us to be at the forefront for Africa, the continent with the least connectivity. Our goal, in short order, is to build as many links as possible within Africa. This can only be done by partnering local telecommunications firms, private or state-run.
Our goals will be achieved by focusing on the following keys: increasing Inmarsat use, developing the VSAT markets, increasing marketing in Africa, outsourcing quality services, introducing better value-added products to end users, maintaining and growing customer service.
Blue Sky Satellite Communications, located in Bedfordview South Africa. It is just 15 minutes from Johanessburg International Airport. Sandton, a suburb, is 15 minutes away.
At the moment, there are 4 employees working under one director. The company plans to expand the company’s size by at most 20 employees. The main additions will be in sales personnel, in-house customer support which would run constantly (24-7), and a technical support department. Marketing and promotions can be outsourced.
Our product comes from different Land Earth Stations. In most cases, our relationship is direct with the manufacturer.
Our products and services are one of the most highly sought-after commodities due to the increase in Internet use for information and sending messages. We anticipate that broadband will see exponential growth. This means more corporations and individuals will invest in faster communication systems to improve their productivity and boost their bottom line.
In Year 1, the market for satellite services in Africa and the Middle East was worth $12 billion. There is projected growth of 20% per annum. Blue Sky hopes to tap into this market and will be able capture a 10%-20% market share.
One of the most prominent aspects of new business today in the Telecom industry is the projected market growth. The new age of broadband and the privatization many Telecom companies, which were previously owned by the government, have shown that growth is far beyond any projections.
We will offer two types of hardware so our customers can be more productive. Inmarsat products, such as the Mini-M Sat Phone and the M4 Global Area Network terminal, are poised to maintain a growth pattern over the next 24 months. Impact will also be felt by the re-launch Iridium.
the market, and we are in good position to take advantage of this opportunity. VSAT market was just launched last year. There is optimism that it will grow even more in Year 1 or Year 2.
Blue Sky is surrounded by a variety of local competitors. They are able to give us the motivation and determination to improve customer relations. We have learned from their mistakes and maintained a good relationship. Blue Sky has spent a lot of time focusing on the future trends within the industry in order compete effectively with these companies. This will allow it to position itself to be the market leader in this sector. Here are some of the key trends:
To maintain the recurring monthly income in top form, all customers will require maximum attention through strong customer service. Many of the quick service solutions will be provided by the customer service center or the Internet interactive chat.
The most obvious and important trend in the market is declining prices. While this has been true for many years, the trend seems to have accelerated. We see major suppliers and manufacturers putting together systems of incredible specifications, with more power, speed, and bandwidth.
Another trend is the ever-increasing connectivity. Everybody wants the Internet. And every small office needs one. A lot of small offices want their LAN connected to the Internet. Blue Sky must offer customized service plans with all features and at a low price.
The company focuses its efforts on small and large businesses that require a wide array of services packages with lower per-airtime costs.
Strategy and Implementation
- We aim to emphasize service and support. Blue Sky does not just sell the service to the client and leave it at that. We will continue to communicate with clients with important information regarding the service or product we have delivered.
- Our goal is to establish a long-term relationship. Recurring income is our aim. We need to keep as many customers as possible. This means we must maintain constant contact with our customers. This is achieved by sending out newsletters and emails so that they are kept up-to-date with all that is happening in the marketplace.
- Focus on target markets. Having a goal and focus on a certain market segment will make Blue Sky successful. As we have been in the business for many years, we understand the constant changes in requirements, and, due to a lean management structure, we are able to make the required decisions on new markets rather quickly and efficiently. This allows us the ability to pay attention to the market segment in order for it’s needs to change.
- Be different and deliver on our promises. We aim to be Africa’s most trusted provider of satellite services. We want to provide pre-paid services and rural telephony and get involved in the education of the users and sub-users of our products. We want to keep our promises and provide extra support for those who are most in need.
With a gross margin at 31.7%, the company anticipates earning $62.2 million in year three. The company expects to earn $62.2 million by year three with a gross margin of 31.7%. This will be possible due to controlled SG&A costs. To establish a regional presence for Africa, the company plans to invest $6.2million in longer-term assets over three years.
Blue Sky Satellite Communications is based on the idea that satellite technology management and development of broadband services are the most important steps in communication since the inventions of the telephone. As a service provider for Inmarsat and VSAT services, we have placed our selves at the forefront of the most unconnected continent in the world, Africa. Our goal is create as many African links as possible in a short time. This can be achieved by partnering with local telecommunications firms, government-owned or private. In so doing, we can offer all our customers the most legal route to high quality communication wherever they are.
Blue Sky Satellite Communications, bringing satellite communications down to earth.
Success: 1.2 Keys
- Increase Inmarsat airtime usage.
- Develop the VSAT market.
- Africa marketing should be boosted.
- Get high-quality services outsourced.
- Increased sales to more that $20 million in the third year.
- Maintain a gross margin of at least 30% and increase it to the maximum level.
- By Year 2, you can sell $4 million worth of support, training, and service.
- Improve inventory turnover to six, seven and eight turns in Year 2 respectively.