Squato Marketing Plan Final

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MARKETING PLAN OF

SQUATO

BRIGGS R. REGENCIA

ANNALIE V. LOBIANO

LEAH MARIE S. TANUDRA

A Market Plan Presented to the Faculty of

The Senior High School Department of

Ave Maria College

In Partial Fulfillment of the Requirement

for the Course As Ent G121-Entrepremeurship

August 2017
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TABLE OF CONTENTS

INTRODUCTION 5-6

CHAPTER I: EXECUTIVE SUMMARY 7

CHAPTER II: THE PRODUCT 8-10

A. PRODUCT NAME 8

B. PRODUCT DESCRIPTION 8-9

C. PRODUCT GOALS 9

D.PROPOSED PROJECT SITE 10

CHAPTER III: MARKET ANALYSIS 11-25

A. DEMAND AND SUPPLY ANALYSIS 11-14

A.1. DEMAND 11

A.1.a PAST DEMAND 12

A.1.b PROJECTED DEMAND 12-13

A.2 SUPPLY 13

A.2.a PAST SUPPLY 13-14

A.2.b PROJECTED SUPPLY 14-15

A.3 DEMAND SUPPLY GAP 15-16

ANALYSIS

B. PRODUCT ANALYSIS 17

B.1 PRODUCT PRICING 17

B.2 SWOT ANALYSIS 17-18

B.3 SPEET ANALYSIS 18-19


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B.4 PRODUCT POSITIONING 20

B.5 MARKET SHARE ANALYSIS 21-22

C. CUSTOMER ANALYSIS 22

C.1 TARGET MARKET 22-23

C.2 CUSTOMER PROFILING 23-24

D. COMPETITOR ANALYSIS 24-

D.1 COMPETITOR 24

D.2 COMPETITOR’S PRODUCT 25

CHAPTER IV: MARKETING MIX 26-32

A.PRODUCT STRATEGY 26

A1. DESIGN OF THE PRODUCT NAME 26

A2. DESIGN OF THE PACKAGE 27

A3. WARRANTY OF THE PRODUCT 27

A 4.LABEL 27-28

B. PRICE STRATEGY 28

C. PLACE STRATEGY 28

D. PROMOTIONAL STRATEGY 28-

D.1 RADIO SCRIPT 29

D.2 FACEBOOK PAGE 30

D.3 FLYER 31

D.4 POSTER 32

CHAPTER V: FINAL PROJECTION 33-37


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A. COST ANALYSIS 33-35

B. BREAK-EVEN ANALYSIS 35-36

C. PROJECTED INCOME STATEMENT 37

CHAPTER VI: CONCLUSION 38


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INTRODUCTION

Filipinos are very fond of eating that it has already been part of the

Philippine culture. There are many Filipino cuisines that are unique and can only

be tasted in the Philippines. This said foods include the kakanin that differs from

one region to another. Kakanins are usually sweet because Filipinos love to eat

sweet foods; one example of this is puto. Puto is a type of steam rice cake usually

served as snack or as accompaniment to savory dishes such as dinuguan or pancit

in Philippine cuisine.

It has been common nowadays that the foods people usually eat are

junkfoods for snacks. We all know that junkfoods are bad for our health because

of too many preservatives and other chemical ingredients. So, the researchers

want to have a solution to address this problem. With the thought of the Filipino

culture about kakanin the researchers came up with the idea of making puto as a

product. It is not just only a snack to satisfy the hunger but it is also nutritious.

With all the idea that came up with the researchers, they realized they have

to have a unique ingredient to their puto. The researchers thought of vegetables

or fruits as their main ingredient in their puto. Based on some of the researches,

squash has many health benefits. It has vitamin A which is powerful antioxidants,

essential for good skin, vision, and mucous membranes. Hence, the researcher

came up with the idea that squash will be their main ingredient of the puto.
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CHAPTER I

EXECUTIVE SUMMARY

This marketing plan aimed to determine the market ability and

profitability of Squato. Squato was derived from the combination of squash and

puto. With the name itself, it can easily attract customers because of its uniqueness

and with that it can easily be remembered. Squato is made up of a special

ingredient that is the squash. It has vitamins A, C, E, B6, and also other significant

minerals for the protection of the body against diseases and infection, as well as

the free radicals produced by the body, which may harm us over the long term.

Its mission is to provide a snack to the customer that is affordable and nutritious

and to introduce a new product in the market. It also wants to promote puto which

is a kakanin that is a part of the Filipino culture. The coverage of this business is

the whole locality of Liloy, Zamboangadel Norte and the proposed project site is

in the Liloy Food and Bus Terminal. The production site is located in Goin, Liloy,

Zamboanga del Norte. Tables, computations, information and analysis have been

presented to support the conclusion and it has been concluded in this marketing

plan that Squato can enter the market with a high potential of having a long term

gain.
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CHAPTER II

THE PRODUCT

This chapter discusses the name, description and the goals of the product.

It encompasses all of the details about the product.

A. PRODUCT NAME

It is a discipline of deciding what a product will be called and where did it

come from. Also, why did they come up with such name.

The researchers came up with a product name, Squato. Squato was derived

from the combination of squash and puto. With the name itself, it can easily attract

customers because of its uniqueness and with that it can easily be remembered.

In addition to that, it is also easy to pronounce.

B. PRODUCT DESCRIPTION

It is a structured format of presenting information about the product which

includes its benefits, form, and the special ingredient.


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Squato is made up of a special ingredient that is the squash. It has vitamins

A, C, E, B6, and also other significant minerals for the protection of the body

against diseases and infection, as well as the free radicals produced by the body,

which may harm us over the long term. In addition to that, it regulates the

metabolism of sugar in the body and also it is essential for good eye health.

C. PRODUCT GOALS

The product goals are the objectives and purpose of the product.

Its mission is to provide a snack to the customer that is affordable and

nutritious and to introduce a new product in the market. It also wants to promote

puto which is a kakanin that is a part of the Filipino culture.


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D.PROPOSED PROJECT SITE

It discusses the place where the establishment located and also the location

of the production site.

The coverage of this business is the whole locality of Liloy, Zamboanga del

Norte and the proposed project site is in the Liloy Food and Bus Terminal. The

production site is located in Goin, Liloy, Zamboanga del Norte.


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CHAPTER III

MARKET ANALYSIS

This chapter assesses and allows the researcher to determine how suitable

is the product for the market. It entails about the demand and supply analysis,

product analysis, costumer analysis and competitor analysis.

A. DEMAND AND SUPPLY ANALYSIS

It is the study of how buyers and sellers interact to determine transaction

prices and quantities. It includes demand, past demand, projected demand, past

supply, projected supply and the demand supply gap analysis.

A.1. DEMAND

It is a quantity of a commodity or a service that people are willing or able


to buy at a certain price.
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A.1.a PAST DEMAND

It this section it shows the demand of the product from the year 2012 to 2016.

YEAR MARKET DEMAND

2016 51, 495, 080

2015 50, 794, 380

2014 50, 103, 872

2013 49, 422, 282

2012 49, 019,698

A.1.b PROJECTED DEMAND

In this section it shows the prediction of probable demand of the product

from year 2017 to 2021.


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YEAR MARKET DEMAND

2017 52, 205, 972

2018 52, 925, 782

2019 53, 655, 784

2020 54, 394, 704

2021 55, 143, 816

A.2 SUPPLY

It describes the total amount of a specific good or service that is available

to consumers.

A.2.a PAST SUPPLY

In this section it shows the market supply of the product within 5 years

from the year 2012 to 2016.


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YEAR MARKET SUPPLY

2016 36, 783, 200

2015 36, 281, 700

2014 35, 788, 480

2013 35, 301, 630

2012 35, 014, 070

A.2.b PROJECTED SUPPLY

In this section it shows the prediction of probable supply of the product in

the market within 5 years from year 2017 to 2021.


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YEAR MARKET SUPPLY

2017 37, 289, 980

2018 37, 804, 130

2019 38, 325, 560

2020 38, 853, 360

2021 39, 388, 440

A.3 DEMAND SUPPLY GAP ANALYSIS

It involves analyzing current market offering to assess the extent to which

they meet the customer demands.


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60000000

50000000

40000000

30000000 PAST MARKET DEMAND


PAST MARKET SUPPLY

20000000

10000000

0
2012 2013 2014 2015 2016

60000000

50000000

40000000

PROJECTED MARKET
30000000 DEMAND
PROJECTED MARKET SUPPLY

20000000

10000000

0
2017 2018 2019 2020 2021

Market Demand- 470, 190, 691

Market Supply- (370, 829, 550)

99, 361, 141 Shortage


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The graph shows the gap between the market supply and market demand.

In addition to that it is also indicated that that the demand has a greater quantity

with 470, 190, 691 than the supply with 370, 829, 550. The difference of both of

the quantity which is 99, 361, and 141 denotes that there is a shortage which

means that there is an opportunity for the product to enter the market.

B. PRODUCT ANALYSIS

This part involves examining the product features, costs, availability,

quality and other aspects. This is conducted to understand the competitors, all

facets of the product, its purpose, its operation, and its characteristics.

B.1 PRODUCT PRICING

This section establishes the selling price of the product which is the
Squato.
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PRODUCT PRICE
Squato
* 10 pcs (1 pack) ₱50.00

B.2 SWOT ANALYSIS

This part shows the strengths, weaknesses, opportunities and threats of

the product presented.

STRENGHTS WEAKNESSES OPPORTUNITIES THREATS

Consumable at Low presence in The researchers Changing


any time. the market know a lot of costumers’
people who are taste and
fond of eating preferences.
puto.
Squato is Lack of Exempted from Competitors
affordable strategic income tax around the
management project site.
system.
Health- Single variety The ingredients Increasing
conscious and supply are competition in
easy to purchase the market.
and avail.
Business Undertrained Squato can be Changes in
reputation of employee eaten in any government
being weather and policy
innovative. environment.
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No chemical Appearance The production Difficulty in


ingredients approach of Squato takes a approach to the
used short span of costumers due
time. to their
different
attitudes.

B.3. SPEET ANALYSIS

This section encompasses the social, political, economic, ecological and

technological factors that affect the opportunities and threats of the product.

FACTORS OPPORTUNITIES THREATS

SOCIAL The researchers know a Changing costumers’ taste


lot of people who are fond and preferences.
of eating puto.

POLITICAL Exempted from income Changes in government


tax policy
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ECONOMIC The ingredients and The chance of increasing


supply are easy to ingredients’ price.
purchase and avail.

ECOLOGICAL Squato can be eaten in Unavailability of service


any weather and during heavy weather.
environment.

TECHNOLOGICAL The production of Squato Difficulty in approach to


takes a short span of the costumers due to their
time. different attitudes.

B 4.PRODUCT POSITIONING

It is the place that a brand occupies in the mind of the customer and how

it is distinguished from products of the competitors.

HIGH
QUALITY

JULIE’S BAKESHOP

BLUE CIRCLE

EAT STREET

SUPERBREAD

PARK ‘N GO
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LOW PRICE SQUATO HIGH PRICE

AMC
CAFETERI
A

LOW
QUALITY

B 5.MARKET SHARE ANALYSIS

It indicates how well a firm is doing in the marketplace compared to its

competitors.

BUSINESS AVERAGE AVERAGE MARKET SHARE


ESTABLISHMEN QUANTITY SOLD SALES %
T (PCS) (PCS)

Julie’s Bakeshop 260, 000 1, 300, 000.00 14%

Park n’ Go 208, 000 1, 040, 000.00 11%

Super Bread 234, 000 1, 170, 000.00 13%


Blue Circle 21, 840 3, 276, 000.00 35%

Eat Street 36, 400 2, 548, 000.00 27%


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Total 760, 240 9, 334, 000.00 100%

BUSINESS AVERAGE AVERAGE SALES MARKET SHARE


ESTABLISHMENT QUANTITY SOLD (PCS) %
(PCS)

Julie’s 254, 800 1, 274, 000.00 13%


Bakeshop

Park n’ Go 203, 840 1, 019, 200.00 10%

Super Bread 229, 320 1, 146, 600.00 12%

Blue Circle 21, 403 3, 210, 450.00 33%

Eat Street 35, 672 2, 497, 040.00 26%

Squato 10,920 546, 000.00 6%

Total 854, 235 9, 693, 290 100%

Market Share Analysis

Julie's Bakeshop
Park n' Go
Super Bread
Blue Circle
Eat Street
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C. CUSTOMER ANALYSIS

It is the process of identifying and evaluating the distinguishing

characteristics of a base of customers in order to better understand their needs,

purchasing behavior, value orientation and motivations for purposes of

segmentation and target marketing.

C 1. TARGET MARKET

The target consumers of Squato are all of the people in Liloy, Zamboangadel
Norte.

Monthly Income

a. 0-2000 Students, Fishermen, Farmers,


Carpenters, Construction workers,
Sidewalk vendors
b. 2001- 3,000 Saleslady, Salesboy, Babysitter,
Housemaids
c. 3, 001 and Above Professional workers like teacher,
lawyer, doctor, manager

C 2.CUSTOMER PROFILING

It is a marketing tool that businesses use to understand their customers

and helps to make better business decisions.


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0-2000

DESCRIPTION Students, Fishermen, Farmers,


Carpenters, Construction workers,
Sidewalk vendors
PERCENT OF SALES 10 %
CUSTOMER PREFERENCES Tasty
ACCESSIBILITY Only few can buy
PRICE SENSITIVITY Cheap and has a good quality

2001- 3,000

DESCRIPTION Saleslady, Salesboy, Babysitter,


Housemaids
PERCENT OF SALES 30%
CUSTOMER PREFERENCES Flavorful and appetizing
ACCESSIBILITY All of them can buy the product
PRICE SENSITIVITY Affordable and has a good texture

3, 001 and Above


DESCRIPTION Professional workers like teacher,
lawyer, doctor, manager
PERCENT OF SALES 60%
CUSTOMER PREFERENCES Delicious and palatable
ACCESSIBILITY All of them can afford to buy the product
PRICE SENSITIVITY Inexpensive

D. COMPETITOR ANALYSIS

It is identifying potential competitors in the market.


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D.1 COMPETITOR

It is a company in the same industry or similar industry which offers a similar

product or service.

COMPETITOR ADDRESS

Julie’s bakeshop Fatima, Liloy, Zamboanga del Norte


Eat Street Fatima, Liloy, Zamboanga del Norte
AMC cafeteria Fatima, Liloy, Zamboanga del Norte
Blue Circle Fatima, Liloy, Zamboanga del Norte
Park ‘n Go Baybay, Liloy, Zamboanga del Norte
D 2. COMPETITOR’S PRODUCT

It is the product of the competitors with their corresponding strengths and

weaknesses.

PRODUCT STRENGTHS WEAKNESSES

Bread and softdrinks The texture of the bread is The soft drinks are not that
fluffy. cold.

Burger The fillings especially the The bread used for the
burger patty was different burger was stale.
and unique from the
others.
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Junk foods, burger, There are many assorted The products in the
shakoy, turon, spaghetti choices of snacks. cafeteria are inconsistent.
sandwich and footlong.

Pizza The product is tasty in The product is expensive


terms of toppings. for most of the population.

Bread There are many assorted Sanitary problem


choices of bread.

CHAPTER IV

MARKETING MIX

It is a set of marketing tools that the firm uses to pursue its marketing

objectives in the target market. This chapter includes product, price, place and

promotion strategy.

A.PRODUCT STRATEGY
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It is the foundation of a product life cycle and the execution plan for

further development. It includes the design of the product name, design of the

package, warranty of the product and the label.

A1. DESIGN OF THE PRODUCT NAME

A2. DESIGN OF THE PACKAGE

A3. WARRANTY OF THE PRODUCT


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If there is a complaint from the buyers, either they will be refunded or will
be given a new and better product.

A 4. LABEL

Ingredients:
 Flour
 Baking Powder
 Squash
 Margarine
 Sugar
 Salt
 Eggs
 Evaporated milk
 Vanilla

Contact Number: 09153913667, visit and follow us on our Facebook page Squato.
Manufactured by: Leannaliggs Group of Companies, Goin, Liloy, Zamboangadel
Norte.

B. PRICE STRATEGY

It helps maximize the sales of new product or services.

PRODUCT LIST PRICE SUGGESTED RETAIL


PRICE

* 10 pcs (1 pack) ₱50.00 ₱50.00

C. PLACE STRATEGY
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It outlines how and where a company will place its products and services in

an attempt to gain market share and consumer purchases.

The place strategy for the distribution of the product is direct selling.

D. PROMOTIONAL STRATEGY

This method is used to increase the sales of the product.

D 1. RADIO SCRIPT

Leah: Ma, lami lagi kaayo ikaon ug puto.

Annalie: Sige nak ali mamalit ta.

Leah: Ana ma! Nalato naman ko aning putoha

Briggs: Gusto ka ba nga makatilaw ug lami ug bag o sa panlasa nga puto. Ali na

ug tilawi ang Squato, ang Squash nga puto, nga nahimutang sa terminal sa Liloy,

Zamboanga del Norte. Ang Squato kay dili lang lami, makabusog, barato ug

masustansya pa. Kini nga angayan sa tanan, mabata man o matigulang. ₱50.00

ra, pero hulat lang! dako kiniing putoha ug pulo imoang mapalit sa usa ka pack.

Leah: Ma! Paliti kooooooo ug Squatooooo!


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Annalie: Sige nak! Mukaon pd ko!

Briggs: Tawagi lang ko ug ganahan pamo! 091539913667!

D 2. Facebook Page
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D 3. Flyer

SQUAT z

 Vitamin A InIngredients:  Vanilla




Vitamin C
Vitamin E  Flour
 Salt
 Eggs
₱50.0
 Grated
 Vitamin B6
Squash
 Baking
 Margarine
CHAPTER V
Evaporated 0
Milk

FINANCIAL PROJECTION
Heaalthy!
Lami!
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This chapter includes the cost analysis which determines the cost of the
production.

D. 4 Poster

SQUAT z

₱50.00 PER
PACK
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CHAPTER V

CHAPTER V

CHAPTER V

FINANCIAL PROJECTION

It is a forecast of future revenues and expenses. It includes cost analysis,


break – even analysis and projected income statement.

A. COST ANALYSIS

It determines the cost in the production.

30 packs
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PARTICULARS UNIT COST QUANTITY TOTAL COST

VARIABLE COST

Evaporated milk 6 cans 0.55002 kg ₱156.00


Margarine 1 ½ cup 0.342 kg ₱72.00
Flour 54 cups 7.8 kg ₱234.00
Grated squash 18 cups 1.2 kg ₱25.00
Baking powder 54 tsp 0.1716 kg ₱54.00
Sugar 24 cups 4.8 kg ₱66.00
Vanilla 18 tsp 90 ml ₱36.00
Salt 1 ½ tsp 0.00852 kg ₱2.00
Egg 36 pcs 1.2 kg ₱252.00
Gasoline 1 liter per day 1 liter ₱40.00
Packaging Plastic cover, ₱250.00
Cardboard,
Cup
TOTAL ₱1, 237.00
VARIABLE COST
FIXED COST

Electricity ₱ 150.00
House Renting ₱600.00

Water Billing ₱150.00

Others expenses ₱200.00

TOTAL FIXED ₱1, 400.00


COST

1 Pack

PARTICULARS UNIT COST QUANTITY TOTAL COST

Evaporated milk 1/5 can 0.018334 kg ₱ 5.20


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Margarine 1/20 cup 0.0114 kg ₱ 2.40


Flour 1 4/5 cup 0. 26 kg ₱ 7.80
Grated squash 3/5 cup 0.04 kg ₱ 1.00
Baking powder 1 4/5 cup 0.00572 kg ₱ 1.80
Sugar 4/5 cup 0.16 kg ₱ 2.20
Vanilla 3/5 tsp 3 ml kg ₱ 1.20
Salt 1/20 tsp 0.000284 kg ₱ 1.00
Egg 2 pcs 0.04 kg ₱ 8.40

TOTAL COST
₱ 31.00

SELLING PRICE ₱50.00


MARK –
UP/MARGIN ₱19.00
MARK – UP RATE 61 %

Mark-up
= x 100
Total Cost

19.00
31.00 X 100 = 61%

A. Break-Even Analysis

It is used to determine the point at which revenue received equals the

costs associated with receiving the revenue. It also calculates what is known as a

margin of safety, the amount that revenues exceed the break – even point.
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Sales = Variable Cost + Fixed Cost

= ₱ 1,237.00 + ₱ 1,400.00
= ₱ 2,637.00

Break – even Point in Unit:


Fixed Cost
(Selling Price – Variable Cost per Unit)
₱1, 400.00
₱50.00 - ₱31.00 =
= 73 units

BREAK-EVEN ANALYSIS
6000

5000

4000
AMOUNT

Variable Cost
3000
Fixed Cost
2000 Total Cost

Quantity 0 10 20 30 40 50 60 70 80 Sales
90 100
1000

0
Variable 0 310 620 930 1240 1550 1860 2170 2480 2790 3100
0 10 20 30 40 50 60 70 80 90 100
Cost
QUANTITY

Fixed 1400 1400 1400 1400 1400 1400 1400 1400 1400 1400 1400

Cost

Total 1400 1710 2020 2330 2640 2950 3260 3570 3880 4190 4500

Cost

Sales 0 500 1000 1500 2000 2500 3000 3500 4000 4500 5000
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Total sales : 73 * 50 = 3650

Cost of goods sold 73 * 31 = 2263

Gross profit 1, 387

Other expenses (1,387)

- 0-

C. Projected Income Statement

2017 2018
Total Sales

In Unit In pesos In Unit In pesos

10, 920pcs ₱546, 000 11 138 556, 920


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2019 2020 2021

In Unit In pesos In Unit In pesos In Unit In pesos

11 360 568, 038 11 587 579, 360 11 ,819 590, 937

CHAPTER VI

CONCLUSION

According to the researchers’ output based on the marketing plan that is

being presented and at the same time presents a new product, it has been

concluded that the Squato is highly profitable in Liloy base on the data,

computations and analysis given from the previous chapters in this marketing plan.

It has been also concluded that Squato has the ability to prevail in the market.
39

Thus, Squato can enter the market with a high potential of

having a long term gain.

THE RESEARCHER:

Annalie V. Lobiano G12 – Academic STEM

Briggs R. Regencia G12 – Academic STEM

Leah Marie S. Tanudra G12 – Academic STEM

Approved:

JUMAR VALDRIZ
Course Facilitator
Date Signed: ____________

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