“Physical Evidence for the Services Standard and Quality”

Customers usually assume the capabilities and the services quality of a service provider
through physical evidence, due to this physical evidence is a very crucial part of a service. Wash
Out is creating an environment for the customers, which not only looks professional but also
friendly and quality oriented. The elements which included by Wash Out in their services are
mentioned further.

“Servicescape”

Facility Exterior:

 Exterior Design: The facility will be covered by a big board containing name “Wash Out
Laundry Service”, with decent lights so it will lighten up in the night as well, as lighten
board in night gives a nice impact and also a source of marketing.

 Parking: Planning to open Wash Out will be on main Wahdat Road, Lahore near Shezan
Bakers or Clinix, where there is a reasonable space of parking. As neighbor shopkeepers
are also helpful there, so in case of unavailability of parking in front of Wash Out, our
concerned guard will also be responsible for arranging a parking for our customers.

Facility Interior:

 Interior Design: The internal environment of Wash Out will be neat and clean. The
customers will be provided comfortable sitting with a small side table and all the area
will be kept from free of dust or any other material which could harm our customer’s
clothes. Smoking is also currently prohibited under the premises but if the number of
smoking customers increased then a small smoking area might be introduced.
  Air Quality/Temperature: Two air conditioners of 1 ton will be placed under the
premises because customers will tend to wait for at least 15 to 30 minutes in the centre,
so it will create a positive image among them.

 Television and Internet Wifi: Two television LCDs will be placed in the centre and also
a facility of fast internet Wifi will be provided because if the customers are tend to wait
under the centre then they should feel comfortable and though these small facilities their
time also get passed easily.

 Equipment: The latest technology washing machines by Samsung will be kept and
shown to customers, which will b very easy to use. However employees will also help the
customers for guidance.

Other Tangibles:
 Uniform: A proper uniform will be given to each and every
employee of Wash Out, as it gives a professional look to the
customers. The uniform will contain Blue shirt with the logo of
Wash Out and black pants. Moreover each employee will be
given two or three pair of uniforms along designation badge
which need to be placed at their shirt so they can manage accordingly. The uniform of the
manager will be slightly different as it will be female so two options given to them, dress
shirt and pant or proper salwar kameez with scarf with the badge in the corner of
manager. Moreover Same leverage will be given to another female helping employee.

 Packaging:All the ironed clothes will be packed with foil paper between each edge or
curve so it will prevent the clothes to wrinkles on it again and the clothes washed by the
customers will be presented in light shopping bag which showing our brand name over it.

 Website: Wash Out will provide an online website with social forums and pages through
which customers will be aware of all the information related to offers or can order online,
and can also ask the relevant queries through online mediums.
 Luggage box:As any kind of luggage is restricted when doing self laundry by customer,
so when customer arrives at the centre, the luggage will be received and stored safely in
the luggage box and given a customer token though which luggage can be received by
customer after completion of order.

 Transaction Slip: A transaction slip will be given to the customer at the time of
purchasing which shows the name of the customer and the package acquired by the
customer.

 Brochures and Business cards: When customer will complete their order along their
shopping bag a brochure and business card will be also provided as it shows a nice
gesture and source of marketing.
 Plan to deliver the service, Pricing and manage demand in relation to
Capacity”

Plan to deliver the service:

 Capital Investment needed:

The total capital investment required for Wash Out is approximately 4 million rupees.
The assets and the other resources needed for Wash Out are following

Particulars Needed Rs.

Calculations
Washing Machines 1,50,000 x 10 15,00,000
Automatic Ironing Machine 200,000 x 1 200,000
Contract of Rent place* 50,000 x 3 150,000
Furniture Cost 1,50,000
Energy efficient Air Conditioners 40,000 x 2 80,000
Energy efficient and soundless Room 15,000 x 1 15,000
cooler for ironing section
Computer/ Laptop 25,000 x 1 25,000
Bill Board 25,000 x 1 25,000
Lighting and other equipment 25,000
Generator 2,50,000 x 1 250,000
Advance Detergent 10,000 10,000
Clips for clothe identifier 20,000
Marketing Budget 300,000
Motorcycles 70,000 x 2 140,000
Miscellaneous Expense 50,000
Reserves 100,00,000
Total 39, 40,000
  A place which will be acquired at rent needed to be paying a security of advance three
months payment.

Acquiring of Equipment:

The Equipment and machinery will be acquired by the branded companies because the
quality is a prominent factor in placing the service, so the washing machines will be acquired by
Samsung company, who are offering world largest and fast washing machine and with 5.6 cu ft
of capacity and can wash the full load within 30 minutes maximum.

The automatic ironing machine will be acquired by Cosmotex

brand which is a Spanish company and provides automatic ironing
machines for most fasten ironing on clothes. The automatic ironing
machine from Cosmotex has the coverage to iron 4 clothes in only one
minute.
 The starch used for stiffen the clothes will of Faultless company, which
provides the higher quality of starch and most recommended product for starching
clothes. The Surf Excel detergent will be used for washing the clothes as this is the
leading brand used by the people in Pakistan.

So these are the machinery and equipment which will be acquired to provide
the higher quality services, so plan is to engage the customer who tries the service of
Wash Out for first time will consider it always.
Placement of machinery and equipment:
The size of the centre will be 2000 square feet in which three departments need to be placed.
 Front Desk Department: Where the front desk officer and cashier will be present.
 Washing Department: The machines will be placed vertically and the comfortable
sitting will be provided for the customers are in the front of washing machines. The
feasible place will be remained between the washing machines and sitting place.
 Ironing Department: Where ironing and starching will be done by the ironing
employee.

 Human Force:

There will be seven employees work in one shift. One female manager, one cashier, one
front desk officer, one helping employee male & one helping employee will be female, one
ironing person and one delivery boy in each shift. There will be two shifts in one day and
first shift employees will not leave until second shift employees came in. If the employee of
second shift came late then prescribed amount will cut from the salary of that employee and
given to the waited employee. There are also miscellaneous tasks of which cashier or
manager is responsible. E.g. answering phone of customers or replying the customer which
comes through any social medium.
Moreover if one home and pick delivery boy is busy in taking clothes from the customer
and customer calls in then other helping employee will go for other employee. And manager
will help the customer in case the burden will not manage by the remaining helping
employee and also ensure the neatness of the premises. The owners of the business will also
monitor the activities at their suitable timings.
Salaries:
Helping Employee and delivery boy (Intermediate): 15,000
Ironing Person (1 to 2 years experience): 20,000
Cashier (2 years Bachelors): 20,000
Manager: 25,000
Part Time for Sundays:
Range of Part time salaries will be 3,000 to 7,000 depends on qualification and
experience needed.
Testing the service:
There will be a range of test to monitor the overall performance and productivity of Wash
Out laundry centre. These types of test are following:

Before launching the business:

 Support Equipment compatibility:

Electricity load will be clearly discussed by the landlord to ensure that phases of
electricity will not be tripped or failure of transformer due to Wash Out centre. For this
purpose an electrician for one day check will be also hired to clarify the support equipment
compatibility with electricity load.
 Personnel test and evaluation:

A proper user manual will be provided by the companies through which we acquire the
machinery. The helping employees will be hired at least intermediate and manager will be of
at least Bachelors otherwise the ironing employee will should have experience of at least two
years, so it will require them less time to have command on over it but a live chat of
companies will be also provided to employees so they can clear their questions when needed.

After launching the business:

 Maintainability test:

Maintenance of the centre in terms of cleanliness and neatness environment by helping

employees, the task sequences of employees, uniform of the employees, maintenance
procedure like; to cycle or round of water under washing machine after using every time by
customers or any facility which need maintenance e.g. A/C, LCD or Wifi, etc, will be
checked initially before launching Wash Out but further a manager will be directly
responsible for all these tasks.
  Field Tests:

A two weeks period will be given two employees to have command on the machinery in
first month and afterwards will be tested individually by owner who is specialized in Human
Resource.

 Test Marketing:

Last week of first month will be offered a free trial to consumers to wash their clothes
and iron from us through which the mistakes in any procedure can be corrected and
suggestions by customers will also be helpful and most importantly a field test of employees
will be also taken so employees could manage professionally in the start of second month. A
nominal training stipend will be paid to all employees of both shifts in first month for.

 Technical data verification:

Before ending a free trial to consumers, each and every procedure will be ensured that
working properly because after initiating of proper plan a mistake could be turned into a
disaster, so it will be better to not take any risk.

Pricing:
Price of Services:
Shirt, t-shirt, pants, kameez, salwar, dupata, sweater, washable jacket, simple sheet, bed
sheet, pair of gloves, muffler, pair of socks, under garment and all the fabric which not exceed
the size of 8ft x 8ft can be washed with the price of only 10 Rs. The fabrics exceeding the size of
10ft x 10ft will be charged double.
Same case with ironing and starching, in which the prices of ironing and starching of all
the above mentioned fabrics will be only 5 Rs but the fabrics exceeding the size of 10ft x 10ft
will be charged double.
Cost based Pricing and Value based pricing:
The pricing of Wash Out will enable to higher the value of money of customer by
providing quality services but it is also derived by managing and lowering the cost of producing
such services.
 Fixed Cost: Rent, salaries, internet Wifi charges and a portion of electricity bill plus

generator fuel cost are fixed and relatively very high in amount, as this is the cost which

company has to pay compulsory even if they don’t make any sale.

 Variable Cost: Cost of detergent, motorcycle fuel, and a portion of electricity bill plus

generator fuel depends on usage of service.

Pricing Strategy:-
Penetration Pricing:
The focus in on achieving a higher market share quickly, so by lowering the
prices and providing a much better value for money to the customers will spread a word
of mouth and can also be helpful to becoming a market leader.

Pricing Objectives:
The Objectives of setting the prices of Wash Out self-laundry centre are following:
• Increase sales volumes

• Increase market share

• Achieve the target of Return of Investment (ROI) set

• Maintain price leadership

• Maintain company growth

• Discourage competitive entrances into the market

• Create interest about the product

• Create competitive advantage

• Help promote the company

Promotion:
Elements of communication mix:
TV Advertising: A short advertisement can be shown during private channels of
local TV cable network during breaks.
Transport Advertising: Pamphlets can be distributed to the public transports
which arrive at Lahore.
Sales Promotion: A free trial period of one week will be given to customers to
test our services and analyze the level of services.
Internet Marketing: Marketing on social medium like Facebook, twitter can be
held by choosing exact demographics.

Package of Marketing:
The package which we are providing to more attract the customers is “Pro Package” in
which the customer can use laundry machine and can wash up to 7 pair of clothes with 2 side
arms or undergarments and ironing plus starching of those items can be attained with the price of
240 Rs which will cost more economically to the customer and through this customer can save
40 Rs overall.

“Monitoring and Evaluation”

Monitoring:
The monitoring and inspection of the process or procedures will be done by the shift
manager. Manager has the rights to check the accounts as well and ensure that all employees are
fulfilling their duties and will also deal with the organizational issues.

Evaluation:
The evaluation of the service will be done by the customers initially at the completion of
their order, a short card will be presented to customer with pen with the question are you
satisfied with the overall service? And any comments? The employee who will take this
feedback can also write down if customer refused to write and feedback will be recorded in the
order accounts. If the customer will record negative response experienced with the service then
manager is responsible to identify and evaluate where the process went wrong and should be
presented to the owners.
Capacity and Demand:-

 Capacity and demand of processing:

Center will be opened for 16 hours from 7 am to 11pm daily, machines are placed within
center are ten and each machine takes 30 minutes maximum to wash full loaded clothes in
the machine. So the minimum ability of handling total customers in a single day is 300. The
calculation is following (16 x 2 = 32) (32 x 10 = 320). Moreover a home pick and delivery
employee can attain up to 15 pair of suits within the box provided by company.

Production Factors:-

 Availability of processing equipment:

10 washing machines are initially acquired but in case of more machines needed, a
reserve of 1 million is attained to acquire more machines if demand increases.

 Availability of raw material and ingredients:

Detergent, starch and water supply will be ensured in each and every way to be available
all the time.

 Availability of technical skills:

The employees will be guided by the whole procedure and all of their tasks associated
with their duty and especially the manager to overcome any wrong situation.

 Available time and human resource:

There will be two shifts of 8 hours run each and every day to provide the availability of
maximum hours to the customers.