INTRODUCTION TO MARKETING PLAN Marketing is the process of planning and executing the conceptions of ideas, products, or services to distribute and promote them and create exchange to satisfy individuals or organization goals. Marketing also define as the activities that are carried out systematically systematica lly to encourage and increase sales of products or services as long the activities are in line with religious and ethical practices. A well prepared marketing plan is important as it help entrepreneurs entrepreneurs to evaluate market acceptance, develop strategies strategies of marketing the products and services, identify required resources to execute the marketing strategy and estimate marketing financial requirement. Human needs is defined as basic physiological physiological requirements requirements in one’s life, whereas ,human wants can be in different forms of unfulfilled needs that are often influence by one’s culture , social obligation , personality, religion and other factors. Based on the marketing concept, all the marketing marke ting activities must satisfy customer’s needs and wants and at the same time, achieve the targeted profit. Presently, due to the globalization and technologies advancement, most people are too busy to works and therefore most of them will have to find other alternatives to do their job faster and in the easiest ways, and that will include; eating. Based on this situation, we came out with the idea to produce the food the traditional food that rarely can be found in others place. Our food are based on Melanau culture and others culture in Sarawak. Our products are suitable for everyone at any age, religions and races and therefore, our target market emphasis on the customers itself means the human being.
MARKETING OBJECTIVE It is important to satisfy customer’s needs and wants as they are the main contributor to an organization’s profit. Hence, we have to determine the needs and wants of the customers to derive the desire satisfaction more effective and efficient than other competitors. In order to fulfill customer’s needs and wants we have to ensure that we can offer products that are easily available to our target customer at the right place and time and at the attractive price. In addition, we need to ensure that our products are in high quality in order to compete with other existing competitors. Besides, we also focused on how to improve our product in order to attract more customers to buy our product. Apart from that, it is important to have a good pricing strategy. For our business, our pricing is based on several factors aside from the ingredient. Hence, we prepare our marketing plan in order to achieve our marketing objectives as follow: 1. 2. 3. 4.
To satisfy customers needs and wants in terms of variety food consuming To have a healthy competition among competitors in and out the country. To attract more customers in order to increase profit by 20% in 3 years time. To observe marketing opportunities and plan good and effective strategies to increase more customers in 3 years time. 5. To open up branches throughout the country in 8 years time.
PROFILE OF PRODUCT The Melanau Unique Restaurant is serving various types of traditional Melanau food that are different from what other restaurant have. By using our main concept “CUSTOMER ARE THE KING”, the eating experience would be an enjoyable and unforgettable experience where our customer can enjoy their favorite food as we serve a variety of traditional food around the Sarawak.The Melanau Unique Restaurant prime concern is to establish a restaurant where customers can eat their favourite traditional food as it is hard to find also satisfied them with healthy and good quality food. Our customers’ satisfaction is our main priority. So, we are potentially able to attract customers to have their meals at our restaurant. So,that we decide to produced various type of traditional food not only from Melanau Culture but also from others culture throughout Sarawak,such as Melayu,Iban,and Kayan.
MENU
PICTURE
DESCRIPTION
UMAI OUR STRONG ATTRACTION ,FROM MELANAU CULTURE ,BASED ON FISH,PRAWN CLAM OR JELLYFISH
LINUT
TRADITIONAL FOOD FROM MELANAU ,BEST WITH COMBINATION OF A SAMBAL
SAGU BEST COMBINATION WITH IKAN TERUBUK ,WILL MAKE OUR CUSTOMER COME AGAIN
TEPUNG SAGU AND
SUMAN
SEAFOOD BEEN COMBINE TOGETHER . ONE OF POPULAR FOOD IN MALAY PEOPLE OF
BUBUR PEDAS
SARAWAK
MALAY TRADITIONAL FOOD,WE REMAKE THE RECIPE WITH ADDTITIONAL INGREDIENT ,TO MAKE A DIFFERENT TO OUR RESTAURANT .
TARGET MARKET Target market can be define as the group of people that have needs and wants that can be satisfied by the business through the supply of goods and services. A market is a set of all actual and potential buyers of products and services consist of people with needs and wants and their income and willingness to spend on it and have authority to spend their money. There are several factors on why we have to decide on a specific target market. First, it is impractical and almost impossible for our business to offer a product that can satisfy the needs and wants of the entire population. Next, most businesses have limited recourses in terms of time, money and manpower, therefore the business must focus its activities on attracting a core group of customers that has the highest potential to purchase the products that we offered. Lastly, the main income is derived from the primary target market. As for our business, we have agreed to launch our restaurant at Desa Ilmu Kota Samarahan,Kuching. Therefore, we have targeted that the population of Desa Ilmu will be our customers. There are few reasons on why we have chosen Desa Ilmu Kota Samarahan as our location: a. It is near to the housing area and the roadside which people will constantly pass by. b. There are enough facilities and infrastructure provided. c. The location is very strategic where it is one of the educational areas. From all of the factors above, we are quite sure that we have chosen the perfect location to open up our business as the distance of our target and our restaurant is near. Besides, At Desa Ilmu, there are few University such as University Technology Mara(UiTM),University Malaysia Sarawak(UNIMAS) ,and because of these students always hang out at the Desa Ilmu and they are become our target market.
EXAMPLES OF UNIVERSITY AROUND DESA ILMU:
UNIVERSITY TECHNOLOGY MARA
UNIVERSITY MALAYSIA SARAWAK
MARKET SIZE Market size is the total potential purchase that is expected from the target within the same market. Analyzing the market size is very important in order to estimate the market estimates are to be use in forecasting sales for business. The capability of our business depends on the wide market and amount of customers interact with us. Although the Melanau Unique Restaurant is still new in this business, with the strategic planning and good management, we hope that our business will run smoothly presently and in the future. We had identified that our target market as the residents of the housing area within 20 kilometers radius of our restaurant and the workers who passed by. There are three major market segments within the target area:resident,working people and student. This is how we calculate our market size: Estimated at Desa Ilmu area 4.5% of 246,782 people of Kota Samarahan (4.5%×246,782): RESIDENT 40%×11105 =4442
11105 people
Average Expenditure:RM10.00 Estimated only 25% will come 25%×4442=1110 1100 people× RM10.00: RM11100 per year
STUDENT 35%×11105 =3887
Estimated only 20% will come 20%×3887=777 777 people ×RM10.00: RM 7770 per year
WORKING PEOPLE 25%×11105 =2776
Estimated only 20% will come 20%×2776=555 555 people ×RM10.00: RM5550 per year
TOTAL MARKET SIZE
RM24,420
TOTAL MARKET SIZE ESTIMATED
Per day: Number of people x Average Expenditure/Per Meal 11,105 people × RM10.00 =RM111,050
Per month: Total sales per day x How Many Times x 4 weeks in a month RM111,050×1×4 =RM444,200
Per year: RM 444,200× 12 =RM 5,330,400
COMPETITORS Competitors refer to other businesses that offer similar products, substitute or alternative products or services to the same target market. We have to identify our main competitors in order to know whom our business is sharing the market with and to develop appropriate marketing strategies to compete with our rivals. Apart from that, we also need to analyze the strength and weaknesses of our competitors in terms of size, experience, number or years in business, financial capability and product.
The list below shows our competitors who are in the same area with their strength and weaknesses in the market: NO
COMPANY NAME
STRENGHTS
1
1 MALAYSIA RESTAURANT
Lee Young Food Court
2
Near the main road and very strategic place Well known among the student Near with UNIMAS Provide many variety of food Low price
WEAKNESESS
3
Resto Galeria
4
OTHER(Café and restaurant around Kota Samarahan.
Beautiful interior design Provide various Malay food from Kelantan Nice place to hang out Provide various of food and snooker hall.
The service are terrible Expensive price and terrible taste.
Limited space and uncomfortable Late service. Expensive price Not open at night.
The price are relatively expensive Terrible service
MARKET SHARE Market share refer to the portion of the market that the business can control after taking into consideration market size and the competitors position in the same market. The Melanau Unique Restaurant has identified 4 main competitors, which are 1Malaysia Restaurant,Lee Young Food,Resto Galeria and OTHER café and restaurant around Kota Samarahan..Each of the competitor controls a percentage of the market as shown below (in food business): Market share before entry of Melanau Unique Restaurant: COMPETITOR
% MARKET SHARE 34%
MARKET SIZE RM1,812,336
Lee Young Food Resto Galeria OTHERS
29% 23% 14%
RM1,545,816 RM1,225,992 RM746,256
TOTAL
100%
RM 5,330,400
1Malaysia Restaurant
After analyzing the competitors’ strength and weaknesses, our restaurant is confident to control 12% of the market. Adjusted Market share after the entry of Melanau Unique Restaurant. COMPETITOR 1 Malaysia Restaurant
% MARKET SHARE 29%
Market size RM1,545,816
Lee young food
24%
RM1,279,296
Resto Galeria
20%
RM1,066,080
Others
15%
RM799,559
MELANAU UNIQUE RESTAURANT TOTAL
12%
RM639,648
100%
RM 5,330,400
MARKET SHARE BEFORE THE ENTRANCE OF MELANAU UNIQUE RESTAURANT
Before entering the business, 1Malaysia Restaurant took 34% of the Market share, while Lee Young Food took about 29% of the market share,Resto Galeria took 23% of market share and Other café and restaurant took 14% of market share.
MARKET SHARE AFTER THE ENTRANCE OF MELANAU UNIQUE RESTAURANT
Estimated Market share for Melanau Unique Restaurant is 12%.This will mean that the existing competitors (1Malaysia Restaurant,Lee young Food,Resto Galeria,and Others) will lose some of their market after the entry of Melanau Unique Restaurant.
SALES FORECAST To estimate our profit, we do forecast for the first year opening of our restaurant, that is Melanau Unique restaurant. The Sales forecast refer to the expected sales potential from our selected target market.
As what had been recorded in the table below, our first month of business is quite low if compared to the other months. This is because; our restaurant is still new and therefore, our customers did not yet recognize our restaurant. In the month of August, our sales drop because it is the Hari Raya Aidilfitri period and we closed our restaurant.We have got the highest sales on December because, in this month, schoolchildren are having their school holiday. Besides, the tendency of the families to have their meals outside would be higher due to the Year-End sales in the town.
ESTIMATED SALES FOR THE FIRST YEAR (2017) After analyzing the competitors’ strength and weaknesses, our restaurant is confident to control 12% of the overall market. We also forecast our sales for three years.
Estimated sales for the 1st year = 12% (market share) x total market size = 12% x RM 5,330,400 = RM 639,648 ESTIMATED SALES FOR THE SECOND YEAR (2018) Estimated sales growth rate =12% to 107% Estimated sales for the 2 nd year = 107% × RM 639,648 =RM648,423 We expected that our company will increase in profit by 7% by the year of 2014.This is due to the promotion and services that we have done. We believe that our company will be well known by people who live around Desa Ilmu. Thus, the increase of 7% is relevant to our restaurant for the second year. ESTIMATED SALES FOR THE 3 RD YEAR (2019) Estimated sales growth rate = 7%to 12% Estimated sales for the 3 rd year = 112% × RM648,423 =RM766,554
SALES FORECAST FOR MELANAU UNIQUE RESTAURANT YEAR 2017 YEAR
MONTH
SALES FORECAST(RM)
REASONS
RM38,379
Newly established and unknown to the public
February
RM38,379
Newly established
March
RM38,379
April
RM44,775
May
RM51,172
June July
RM57,568 RM63,965
August
RM38,379
September October
RM51,172 RM70,361 RM70,361
January
FIRST
November December
2014 2015
RM76,758
TOTAL
RM639,648
Increased by 7% Increased by 12%
RM648,423 RM766,554
People start to recognize the restaurant
Fasting Month (Bazaar Ramadhan opening) Close our restaurant due to Hari Raya
School Holiday and YearEnd sales School holiday and yearend sales
BAR CHART
SALES FORECAST FOR YEAR 2013 90000 80000 70000 60000 50000 40000 30000 20000 10000 0
Based on the bar chart above, we can conclude that the highest sales fall on the month on December. This is because, on December, schoolchildren are having their school holiday and the tendency of the families living around Desa Ilmu having their meals outside is much higher. The lowest sales fall on the month of January .This is because our restaurant is still new and unknown to the public. As time passing by, our sales start to arise because people start to get to know of our business. However, the sales start to decline in the month of August due to the closed of restaurant because of Hari Raya.
MARKETING STRATEGIES In the business, to start a company is not an easy task. This is because; we have to make sure that the operation of our business run smoothly until we reach our business goals. In order to make sure that our business to continue to operate, marketing strategies are important to attract our customers to continue to spend their money at our restaurant. As for our business, our main priority is to give satisfaction to our customers while to gain their trust with our best service. By doing so, we will be able to gain our customers’ trust and therefore, they would come again to our restaurant to enjoy their favorite meals. Our marketing strategies consist of four key variables also known as 4P’s, which are:
1. Price 2. Place 3. Promotion 4. Sales Promotion
PRICE Pricing is the process of determining the value of product of the customer at particular amount of money in term of Ringgit Malaysia and Cents. Once the services have been given, the values of the services and product need to be determined. The price strategy is important to make sure that the company could provide a reasonable price to the costumers while to ensure that the company can gain profits from the sales. Our prices are slightly cheaper than our competitor because we provide a discount to our loyal member and also student. Its make our price are affordable to everyone. Below are the menu and price that is very available to buy. Menu Umai(fish,prawn,clam) Linut Bubur Pedas Sesar Masak Lemak Sayur Midin Ayam Pansuh Ayam Lempah Ikan Terubuk Nasi lelapan Nasi Koboi Laksa Sarawak Mee Jawa Mee Kolok Suman Tebaloi Terumpik Dinuh(kuih tepung pulut) Selukung(Ketupat Kayan)
Price RM10/bowl RM5.00/bowl RM5.00/bowl RM8.00/bowl RM5.00/bowl RM15.00 RM7.00/bowl RM25.00 RM4.50/plate RM1.50/plate RM5.00/bowl RM5.00/bowl RM5.00/bowl RM2.00/plate RM2.00/plate RM2.00/plate RM2.00/plate RM2.00/plate
PLACE We have chosen Desa Ilmu as our location. There are few aspects that we had considered in choosing our location, which are; Strategic Desa Ilmu located at Kota Samarahan and very near with University and work place .Desa Ilmu also located near the roadside which is easy to be access. Supplier We plan to take our raw materials such as chicken, meat, buns and others from UNACO. Since the location of our supplier are not very far from our restaurant (Melanau Unique Restaurant).we can reduce our cost of transportation and the time taken to purchase our raw materials.
PROMOTION
An effective promotion is one of the most important things in operating the business in order to introduce the existence of the product and services. An effective promotion is one of the ways to increase the service quantity after the business is noticed by the customers. As for our company, we, The Melanau Unique Restaurant have used a few medium in order to promote our products;
a. Signboard Signboard is usually presented to the public in order to attract customers. It will inform the customers about our business identity such as name and company logo. We’ll put in front of our company premise. Hence, it will be easy for the customers to recognize our restaurant.
b. Business cards
This method is another way of introducing our company to the public. This can helps us to show image of our restaurant and also the location of our business. We design our business card in an attractive design to get our customer’s attention to read it rather than to throw it away. BUSINESS CARDS
c.Social networking Websites (face book) Due to the technologies advancement, most of people use internet in every way. Due to this, we have decided to promote our restaurant throughout the internet that is by using Face book. Using Face book is the cheapest way of promoting our products while can increase our customer to get to know of our business since, many entrepreneur use Face book as their media to promote their products and services.
d.Banner Banner is usually used by most business when they desire to advertised their business, promotion and new product to the public. We designed our banner with attractive colors and with clear information about our products and promotion. BANNER
SALES PROMOTION
Every Friday, we give 30% of discount to our customer for every food they buy and discount to our loyal member and student at 5%.We choose Friday Because it is a good day to make good thing.One of our menu,Nasi Koboi are made for student and only RM1.50,student can get a plate of rice,hotdog and fried chicken.It is very affordable and it will satisfied the customer especially student.
MARKETING BUDGET TYPE
FIXED ASSET SIGNBOARD
FIXED ASSET COST
MONTHLY EXPENSES (RM)
TOTAL (RM)
RM2000
WORKING CAPITAL Salary EPF SOCSO
1800 216 36
OTHER EXPENSES: Promotional cost • Advertising(business card,flyer,banner,newpa per. • Grand opening(Doa selamat) • Interior design
TOTAL
OTHER EXPENSES (RM)
350
1000 1000
2000.00
2052
2350
6402
