SNCB Holding Online Case

A New Perspective on the Public Transportation Industry

Project by: Tiago Correia

Henrique Queiroz

Agenda
1. Emerging Concept 2. The Context

3. Our 3 Pillars
4. Our offer reasons to believe 5. Marketing Strategy

6. Financial Analysis

What is the emerging concept?

Progressive view of Public Transportation

NETWORKED MOBILITY
From intermodal centres To multifunctional areas

Networking is a KSF for the business

Growing based on partnerships

Shared usage instead of

property , will increase

your potential networking

contacts and allows cost

savings.

Changing the mindset

Stations will (are) tend(ing) to be perceived by

their users as economic and social poles.

Our proposal
A restructuring of the concept of train station in order to face the fast pace of todays challenging mobile business environment.

Focus on three main pillars

Temporary Working Places (TWP)
Pay less for more

Meeting Rooms Rental (MR)

Meet & Go

Virtual Offices (VO)

Our shelter is yours

Temporary Single work station 1 person only Working All facilities available just like in your office Places
Virtual Offices
Represents the company Handles mails, e-mails, phone-calls and appointments Different sizes and setting depending on the event Possibility of having presentations, conference calls and group work.

Meeting Rooms

Main characteristics
Tailored solution to each customers need Optimization of the Station Space Optimization of commuters Time

Offers Flexibility in terms of time,

place, service and costs.

What we offer
Access to millions of potential customers. Location at 12 of the most dynamic multifunctional centers in Belgium.

Full range of services and facilities are

included:
Complete cleaning services Electricity&Water Catering services on demand Internet and telephone Restroom facilities

Who needs this kind of services?

Start-ups
Increasingly relying on this services for flexibility and cost-efficiency reasons

Freelancers
Mobile Workers
Workers spending much of their time travelling can benefit from this service

Large companies
Some business meetings could be easily done at this cheaper places (rather than in Hotels or Business Centers)

Reasons to believe
50% growth in 10 years (Trend)

Economic crisis and energy prices will

fuel the use of Public Transportation 7% of stations welcome 65% of all passengers. Focus on the main stations (top 12) Belgium is an Economic Hub centralized position on the European geography.

Reasons to believe
Start-ups and SMEs want to cut

overhead expenses and move to

temporary working places.

Flexibility 24h/days &

7days/week Fastest growing sector of the European and global property

market today.

How can you promote it

SNCB offers 1-month of free advertising on the carriages. Social Media Facebook, Twitter and Linkedin Online (Free) Ads Business Ticket Negotiate with SNCB Holding to create a

combined ticket that wil include some of

these services (TWP, MR, VO) with a

roundtrip or package of tickets.

Your business
Limited Investment needed Mainly one-off investments in technological equipment Low cost Very limited operating costs

Few staff personnel needed

Huge potential, depending on your ability to

increase the occupation rate.

Low Risk Operations become profitable with occupation rates as low as 15%.

Financial analysis
Assumes a project of 20 MR, 1 VO and 50 TWP

Price estimates based on current market prices charged

by competitors.

Very conservative approach

Prices and Occupation Rates at the very low-end

Room sizes can be adjusted

The booming market can accomodate more supply

There are economies of scale, as the complex is enlarged

Business Proposal Financials

Meeting Rooms # Sqm/Room (estimate) 20 25 Virtual Offices 1 25 Temporary Working Places 50 11 Total -

Price/sqm
Rental Expense # Hours of Rental/Month

100
50000 14400

100
2500 -

100
55555,5 36000

108055,6 -

Occupation Rate # Firms Covered

Average Price Staff Costs/Month

25% 30 (per hour) -

20
400 (per firm) -

25% 15 (per hour) -

10000 (4/5pax)

Total pre-Tax Profit/Month

22944

Conclusion(s)
In a very conservative scenario, this project
can have a very high return on Investment.

Our analysis has shown this to be a low risk

project. Its profitability is ultimately driven by: Prices charged Space optimization Occupation rate

Final remark
SNCB Holding believes that through partnerships, companies could enhance their performance. SNCB wants to contribute and be part of your success.

Your success is our success!