* Assuming operations run 6 days/week
INFO563-62
June 7, 2018
Current State:
1-888-JUNK-VAN is a virtually managed waste collection company utilizing a cost
leadership strategy to make an impact as a new player to the market while redefining the
reputation of the waste collection industry. With competitive pricing established, 1-888-JUNK-
VAN differentiated itself from its many competitors, altering customer perception regarding
quality standards, professionalism and services offered with a “yes, we do that” motto. By
executing this strategy, in conjunction with aggressive marketing campaigns, 1-888-JUNK-VAN
immediately reduced their competition down to just one main competitor, the international waste
collection franchise, 1-800-Got-Junk. Marcus Kingo’s company gained rapid growth, doubling
the sales in one year.
1-888-JUNK-VAN’s success left the company owner, Marcus Kingo, hungry for
expansion with hopes of potentially franchising its business model. As success accelerated
demand, a weak IT infrastructure and inefficient processes began to crack, resulting in frequent
errors, disappointed customers, wasted resources, lost business, breaks the value chain, and,
ultimately, undermining 1-888-JUNK-VAN’s differentiating services, marketing investments,
and Kingo’s ability to sustain or expand his business.
