DES BANANA CHIPS MARKETING PLAN
EXECUTIVE SUMMARY
Des Banana Chips will be the leading chips in
Philippines, or with a rapidly developing consumer brand and growing customer
base. The signature line of innovative, premium, banana chips include the
real taste of fresh Saba banana.
This banana chips will reinvent the chips
experience for individuals, families, and take out customers with
discretionary income by selling high quality, innovative products at a
reasonable price, designing tasteful, convenient locations, and providing
industry-benchmark customer service.
In order to grow at a rate consistent with our
objectives, Des is offering an additional $500,000 in equity.
Existing members will be given the first option to subscribe to the
additional equity to allow each of them to maintain their percentage of
ownership. The portion not subscribed by existing members will be
available for prospective new investors.
SITUATION ANALYSIS
Des
banana chips is close to entering their second year of
operation. The store has been well received, and marketing is now
critical to its continued success and future profitability. The store
offers an extensive offering of banana chips. The basic market need is to
offer individuals, families, and take out customers fresh, creative, attractive,
crunchy and desserts. Des uses homemade banana, fresh banana, and premium
milk and sugar.
MARKET
SUMMARY
Des Banana Chips possess good information about the
market and knows a great deal about the common attributes of our most prized
and loyal customers. Des Banana Chips will leverage this information to
better understand who is served, their specific needs, and how Des can better
communicate with them.
Market Analysis
|
|||||||
2009
|
2010
|
2011
|
2012
|
2013
|
|||
Potential Customers
|
Growth
|
CAGR
|
|||||
Individuals
|
8%
|
12,457
|
13,454
|
14,530
|
15,692
|
16,947
|
8.00%
|
Families
|
9%
|
8,974
|
9,782
|
10,662
|
11,622
|
12,668
|
9.00%
|
Take out
|
10%
|
24,574
|
27,031
|
29,734
|
32,707
|
35,978
|
10.00%
|
Total
|
9.27%
|
46,005
|
50,267
|
54,926
|
60,021
|
65,593
|
9.27%
|
MARKET
DEMOGRAPHICS
The profile for Des Banana Chip's customer consists
of the following geographic, demographic, and behavior factors:
GEOGRAPHICS
·
Our immediate geographic target is the city of Trece
Martirez with a population of 130, 00.
·
A 15 mile geographic area is in need of our services.
·
The total targeted population is estimated at 46,000.
DEMOGRAPHICS
·
Male and female.
·
Ages 25-50, this is the segment that makes up 53% of
the Trece Martirez market according to the Trece Martirez Chamber of Commerce.
·
Young professionals who work close to the location.
·
Yuppies.
·
Have attended college and/or graduate school.
·
An income over $40,000.
·
Eat out several times a week.
·
Tend to patronize higher quality stores.
·
Are cognizant about their health.
BEHAVIOR FACTORS
·
Enjoy a high quality meal without the mess of making
it themselves.
·
When ordering, health concerns in regard to
foods are taken into account.
·
There is value attributed to the appearance or
presentation of food.
MARKET
NEEDS
Des Banana Chips is providing its customers with a
wide selection of high-quality chips dishes and salads that are unique and
pleasing in presentation, offer a wide selection of health conscious
choices, and utilizes top-shelf ingredients. Des Banana Chips seeks
to fulfill the following benefits that are important to their customers.
·
Selection. A wide choice of snacks and dessert
options.
·
Accessibility. The patron can gain
access to the store with minimal waits and can choose the option of
dine in or take out.
·
Customer service. The patron will be impressed with
the level of attention that they receive.
MARKET
TREND
The market trend for stores is headed toward a
more sophisticated customer. The store patron today relative to yesterday
is more sophisticated in a number of different ways.
·
Food quality. The preference for
high-quality ingredients is increasing as customers are learning to appreciate
the qualitative differences.
·
Presentation/appearance. As presentation of
an element of the culinary experience becomes more pervasive, patrons are
learning to appreciate this aspect of the industry.
·
Health consciousness. As Americans in general are more
cognizant of their health, evidenced by the increase in individuals
exercising and health club memberships, patrons are requesting more healthy
alternatives when they eat out. They recognize that an entree can be
quite tasty, and reasonably good for you.
·
Selection. People are demanding a larger
selection of foods, they are no longer accepting a limited menu.
MARKET GROWTH
In 2010, the global chips market reached 1million.
Banana chips sales are estimated to grow by at least 10% for the next few
years. This growth can be attributed to several different factors.
The first factor is an appreciation for health conscious food. While not
all banana chips is "good for you," particularly the sugar, banana
chips can be very tasty yet health conscious at the same time. Banana chips
is seen as a healthy food because of its high percentage of carbohydrates
relative to fat.
Another variable that is contributing to market
growth is an increase in the number of hours our demographic is working. Over
the last five years the number of hours spent at work of our archetype customer
has significantly increased. As the number of work hours increases, there
is a high correlation of people that eat out at stores. This is
intuitively explained by the fact that with a limited number of hours available
each day, people have less time to prepare their meals and eating out is one
way to maximize their time.
SWOT ANALYSIS
The following SWOT analysis captures the key
strengths and weaknesses within the company, and describes the opportunities
and threats facing Des Banana Chips.
Strengths
·
Strong relationships with vendors that offer
high-quality ingredients and fast/frequent delivery schedules.
·
Excellent staff who are highly trained and very
customer attentive.
·
Great retail space that is bright, hip, clean, and
located in an upscale mall, suburban neighborhood, or urban retail district.
·
High customer loyalty among repeat customers.
·
High-quality food offerings that exceed competitor’s
offerings in quality, presentation, and price.
Weaknesses
·
Des name lacks brand equity.
·
A limited marketing budget to develop brand awareness.
·
The struggle to continually appear to be cutting edge.
Opportunities
·
Growing market with a significant percentage of the
target market still not aware that Des Banana Chips exists.
·
Increasing sales opportunities in takeout business.
·
The ability to spread overhead over multiple revenue
centers. Des will be able to spread the management overhead costs among
the multiple stores, decreasing the fixed costs per store.
Threats
·
Competition from local store that respond to Des
Banana Chips’ superior offerings.
·
A slump in the economy reducing customer's disposable
income spent on eating out.
MARKETING STRATEGY
Des
advertising budget is very limited, so the advertising program is simple.
Des will do direct mail, banner ads, and inserts, with inserts in the Register
Guard likely to be the most successful of the campaigns.
Lastly, DES will leverage personal relationships to get an
articles of Des in the Register Guard. Previous friends who have had
their store featured in the Register Guard has seen a dramatic increase of
sales immediately after the article was published in the RG.
MISSION
Des Banana Chips’ mission is to provide the customer
crunchy and relaxing experience. We exist to attract and maintain
customers. When we adhere to this maxim, everything else will fall into
place. Our services will exceed the expectations of our customers.
MARKETING
MIX
Des marketing mix is comprised of these following
approaches to pricing, distribution, advertising and promotion, and customer
service.
·
Pricing. Des pricing scheme is that the
product cost is 45% of the total retail price.
·
Distribution. Des product will be distributed
through a takeout model where customers can call in their order and come
to the store to pick it up, come into the store, place the take
out order and wait for it to be completed, or come in and dine at the
store.
·
Advertising and Promotion. The most successful advertising
will be banner ads and inserts in the Register Guard as well as a PR
campaign of informational articles and reviews also within the
Register Guard.
·
Customer Service. Obsessive customer attention is
the mantra. Des philosophy is that whatever needs to be done to make the
customer happy must occur, even at the expense of short-term profits. In
the long term, this investment will pay off with a fiercely loyal customer base
who is extremely vocal to their friends with referrals.