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8/11/2019 finalecomproject-140410035804-phpapp02

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2013

GROUP # 6

ECOMMERCE

12/9/2013

ONLINE GROCERY.COM


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SUBMITTED BY: GROUP 6

TAIMUR KHAN

RAHEELA FAROOQ

RAMSHA YAQUB

HIRA SAEED

SARMAD LODHI

M TAHA MASOOD


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Executive Summary:

Brief Description:The onlinegrocer.com strategy is tobuild an impressive shopping website that not only takes

the order but also deliver the goods to the doorstep for housewives, working women andeverybody who want to avoid the rush of shopping mall, traffic and regular going for the retail

shops for their grocery needs. The marketing of the website will build around some core values

and offers that the site will propose. We will be competing with our competitors like

pakistangrocery.com and doorstep.pk by providing several value added services and

achieving our customers satisfaction.

Brief Profile of the Entrepreneurs:The online business of grocery will be on partnerships and the following six partners contribute

their efforts to bring success to this business:

Taimur Khan:

Taimur khan is a student of Bachelors in Business Administration at Air University Multan

Campus. He possesses good leadership skills so he can manage the team with best of his

efforts. He is currently running his own hospital. .He has also done internship in Pakistan

International Airline . He is currently working with his friend at

Raheela Farooq:

Raheela farooq is a student of bachelors in business administration at air university Multan

campus. She is very strong nerved and has good skills in managing things. She is very competent

and excels in finance. All the classmates ask for her expert advice before submitting any

assignment. She is very prudent and is currently working with her brother in his business. She

has a vast experience of working in teams and is has done a diploma in English language.

Ramsha Yaqub:

Ramsha yaqoob is a student of Bachelors in business administration at Air University Multan

campus. She has very good marketing skills and is helping her father in his business. She has a

good experience of working in teams and has helped his business administration department by

organizing welcome and bonfire. She is also very good in art at art and has a good command onMicrosoft excel and Microsoft word.

Hira Saeed:

Hira Saeed is doing Bachelors in Business Administration from Air University Multan Campus.

She has got very good business skills inherited from her father and also works as his assistant in

his firm. She has benefited from good support, not just from her family, but from her teachers,


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advisors. Being the organizer at many of her university functions, she knows how to organize

work and other tasks that ensures profitable and booming eventually. She also says she's got a

strong team with her at Air University.

She thinks that online store will be a profitable business and generate high revenues and will

surely earn first mover advantage in Multan.

Sarmad Naseer Lodhi:

Sarmad Naseer Lodhi is a student of Bachelors in Business Administration at Air University

Multan Campus. He possesses good leadership skills so he can manage the team with best of

his efforts. He is also appointed as a team leader of literary and arts society and knows how to

manage dynamic teams. His goal oriented and motivated thinking has induced optimism that

that the efforts of his team will surely provide people of Multan quality products.

M Taha Masood:M Taha Masood is also the student of Air University Multan Campus. He has been working with

many organizations up till now like Makhotay, Burgad Al ilam and Bedari. He proved himself as

a good manager and tackles and manages things at ease. He is associated in this business

because he thinks that this business will serve the people of Multan in very good and

appropriate manner and increase the employment in Multan region.

Project Contributions to the Economy:The basis for estimating the economic contribution is the direct value added and employment

contributed by capital and labor inputs employed directly by onlinegrocery.com in the provision

of its goods and services. These outputs are the retail services offered in the sale of various

goods including grocery, staples, frozen meat, dairy products, bakery, and general merchandise.

The value added is the most appropriate measure of the economic contribution to GDP. It is the

sum of the returns to the primary factors of productionlabor and capitaland can be

calculated by adding the gross operating surplus and wages paid to employees. This is then

combined with a selection of input-output economic multipliers to determine the indirect or

flow-on contribution to the economy. The indirect contribution is a measure of the demand for

goods and services produced in other sectors of the economy as a result of the direct economic

activity of onlinegrocery.com. The size of the flow-on activity is determined by the extent of the

linkages with other sectors of the economy.

In Pakistans scenario grocery industry is one of the most dominant industries and the country

previous trends show that supermarkets are playing an implicative in countrys economy. The

price of food and staples has a day to day impact on consumers behavior. Our online business

will employ a significant number of workforces and will link to several other businesses like


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agriculture, transport, IT and manufacturing businesses. As far as online grocery store is

concerned, it will surely be contributing best to Pakistans economy. As the literacy rate is very

low in Pakistan, people dont get jobs. Butnot only there is a problem to adjust uneducated

people in employment. Highly educated people are also not getting good jobs, consequently

they move to other countries and initially they hired by good firms after sometime side by sidethey initiate their own business in the same country. In order to facilitate those people in their

own country, onlinegrocery.com will hire recent graduates from management and technical

colleges and help them in training so they can retain in their country and have opportunity that

they can serve their country well which eventually contributes towards the growth of our

country GDP. So precisely economic contribution of onlinegrocery.com on economy is

measured in terms of:

value added which is the contribution to GDP, and includes wages paid to employees

and the gross operating surplus generated (including taxes); and

Employment which is measured by full-time equivalent jobs.

The economic contribution is the sum of the direct and indirect value added by the

economic activity undertaken by onlinegrocery.com. In addition, there is trade

facilitated by onlinegrocery.com.

Marketing Plan

Brief Description of onlinegrocery.com:

Onlinegrocery.com will be an online business of selling grocery and other household productsthat will provide 24/7 service of ordering and delivering products. It will initially operate in

Multan. It will be the first of its kinds in Multan. The website has a user friendly design and

easily accessible to everyone is Pakistan. The only thing which is required is an internet

connection and by lowest possible clicks one will get everything he/she needs at his/her

doorstep.

There is trend in Pakistan that people usually dont inform before coming to someones house.

This makes the hosts sometimes worry what to offer the guests? By our online business, people

can order whatever eatable or drinkable when the guests shock them by their sudden

appearance and our service fulfills order in an instant and with no time the desired items will

reach the house.

Onlinegrocery.com is an online business that will have a complete range of house hold and

house usage products for its customers, from tooth pick to dining table. Users can buy the

items from the following categories:


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Grocery (Fresh Fruits and Vegetables)

Staples (Pulses, Seeds and Grains)

Snacks and Confectionary (Biscuits, Crisps, Desserts)

Spices

Frozen Food (Ready to cook, Fully Cooked) Household (Laundry, Insecticides, Household consumables, Household Cleaners,

Dishwashing Bars)

Personal Care

Baby Care

Dry Fruits

Meat (Fish, Chicken, Mutton, Beef)

Kitchen and Dining Room Accessories.

Apart from this the company is also thinking to serve organic grocery and CFCsfree household

products in order to provide healthy lifestyle and bring awareness among people about the

harms of CFCs containingproducts. This strategy will soon be launched after the initial business

will launch.

Our service will also help people to avoid the stress and hassle of having to drive to the grocery

store, circle around the parking lot buying for a parking space, dragging the screaming and

restless kids to the store, meandering through the crowded isles while trying to avoid a collision

or traffic jam with other shopping carts, standing in a long line at the checkout counter, loading

and unloading the car trunk with the groceries while leaving the store and arrive at home.

Location:Although the business will be making transactions online but there is an intense need of huge

area where the grocery and other items inventory will be placed and also space to locate an

office where employees will work day and night with their supervisors and managers to stay

connected via internet (website, calls) with their customers and suppliers and ensures quality

and innovation. For this purpose the Khan Centre is chosen as best place for both the office and

warehouse and store. As Khan Centre is located at Multan Cant, it will be easy to deliver

products and orders in all areas of Multan in very less time. It is one of the most convenient

places for both office and warehouse.

Moreover, it is convenient for the partners of the firm to manage both their studies and

business at the same time. The office and warehouse will have the hidden security cameras as

well as highly advance security system that will protect against any theft and robbery. Thus, the

place is equipped with both security and safety tools.


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In the current scenario of Multan there is continuous load shedding. To overcome this issue the

standby generators are also placed that ensures continuous supply of the electricity which

enables workers and staff to work effectively without any challenge regarding facilities and

resources.

The office is designed in very effective way. To avoid communication gap there are no cabins

rather the concept of open system is kept in mind while making design, which will magnify

employer and employee relationship and that chance encounters and conversations on the job

promote cooperation and innovation, and our company crafts our floor plans and cultures with

this in mind.

TEN WORKPLACE DESIGN CONSIDERATIONS

Groceryonline.com has set ten fundamental design elements can positively impact the work

place environment and support the work being done:

Thermal Comfort and Temperature

Access to Nature, Views and Daylight

Sensory Change and Variability

Color

Noise Control

Crowding

Human Factors and Ergonomics

Indoor Air Quality

Choice Employee Engagement

These considerations while designing a work place will increase employee productivity.

Market Area:

Market area initially will be Multan. Later on the market is expand to Karachi, Islamabad,

Faisalabad, Lahore and other major cities of Pakistan. We are going to target our market

geographically and demographically. Working women and single parent will be our customers.

Working women, as busy cannot manage to spend lot of time in shopping. So by single click we

will serve everything at their doorstep. It is very difficult for single parent to manage botheveryday shopping and home. Our first class design and user friendly design are critical to our

positioning and that will be fundamental to our future sales. However the core experience for

every household have always been better and better design team and the better financing will

help our online grocer to grow in market. The online grocers will distinguish itself from its

competitor as a full capacity center, rather than just a store front. We will carry on the colorful

and extremely well branded design of our company literature and logo. The site will have a


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colorful and intelligent design taking the campaign and product art into interactive medium on

the web. Traditional marketing practices have been transformed and the old supply chain has

changed. Continuing strong growth in business to consumer and business to business is

changing fast and has the market scenario is changing continuously with time. New skills

knowledge and strategies are in high demand in the business world. As our sevice is new we aregoing to sell it at a nominal price so we can grow in market and acquire some of the market

share.

Pricing strategy

Pricing strategy usually change as product passes through its life cycle. Two pricing strategies

will be used are as follows

Market skimming pricing

Market penetration pricing

From these two strategies we are going to use market penetration pricing strategy. At start we

will set low price so that we can gain more market share after gaining market share we are

going to increase our price after achieving the task of gaining marketing share we will increase

our prices by doing so we can achieve following benefits . It creates cost reduction and cost

control pressure from the start as sales volume increases and lead to greater efficiency. We will

also offering discounts for new buyers and those who are interested in buying in bulks and also

it varies from buyer for big marts huge stores we have big discount and for small stores it

differs. We are also giving seasonal discount as well. On eid and Ramzan we will be giving

special discount so that the buyers will have additional benefits and will retain. We usemarketing research to understand customer satisfaction and purchasing behavior which helps

us to assess market potential and market share or to measure the effectiveness of pricing,

product, and distribution and promotion activities.

Main Customers:

As discussed earlier our major customers will be housewives and working women. Housewives

in a manner, they are busy in their everyday work that they dont prefer to leave the house

work and go for shopping. Similarly, working women can gain advantage of our service by

sitting in their offices and get access to our site and order the desired grocery and householdusage products.

Online grocery will also launch its application on Google play. Consumers can download it free

on their mobiles and by using the application they can also give orders by connecting to

internet.


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Similarly, students living in hostels can also take advantage of our service by ordering things in

simple and easy way.

Total Demand:

Total demand of online grocer will be high in Multan because it is first ever business in Multan.

The businesses like this are now operating in Lahore and Karachi as doorstep and

makropakistan.com. To raise more demand of customers onlinegrocery.com needs to sustain

the quality of products rather bring innovative changes in the website design and strategies.

Sales Forecast:

As far as sales are consider, trends of supermarket in Pakistan shows that super markets

generate more revenue. But if supermarket goes online it will be generating more revenues and

thus the sales will be more and opportunity that the company will be profitable.

In todays world people prefer comfort and convenience over other things. Therefore, if

consumers are sitting in their homes and offices and getting comfort by sitting on their own

place and get what they want.

Marketing Strategy:

Following Marketing Strategies will be used:

Advertisements:

All sorts of mediums will be used for advertisements, like print media, podcasts, broachers, bill

boards.

Once the customer awareness will be created the following will be done for customers to gain

customers and build strong positing of the onlinegrocer.com.

Discount Coupons

Membership cards

Bulk discounts

Gifts on high purchase.

SWOT Analysis:SWOT analysis is a tool for auditing an organization and its environment. It is the first stage of

planning and helps marketers to focus on key issues. SWOT stands for strengths, weaknesses,

opportunities, and threats. Strengths and weaknesses are internal factors. Opportunities and

threats are external factors.


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STRENGTHS:

It includes internal capabilities, resources and positive situational factors that may help the

company to serve its customers and achieve its objectives.

Onlinegrocerry.com has best quality products.

Ensures hygienic and salubrious product supply

Prices will be feasible

Availability of all the products

Almost no competitors (in Multan)

WEAKNESS:

It includes internal limitations and negative situational factors that may interfere with the

companys performance.

Onlinegrocery.com will be first served in Multan. In order to expand the business in

other cities the company needs to bring innovative strategies to meet the competitive

edge.

Its promotion and positioning is very difficult, because people still believes that the

online selling and retailing is a deceit.

OPPORTUNITIES:

These are favorable factors or trends in the external environment that the company may be

able to exploit to its advantage. Currently there is no online grocery business, its great opportunity to capture the

market.

Increasing demand.

Growing trend of using readymade products.

In todays health conscious society, we are introducing health base product.

Profit margin will good.

THREATS:

These are unfavorable external factors or trends that may present challenges to performance.

Entry of upcoming rivals.

Change in government policies such as taxes, rules, etc.

Lack of resources

Failure of product is possible if people dont buy it.

Change in consumers demand.

Changing technology.


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Increase in rate of inputs.

CONCLUSION OF SWOT ANALYSIS:

The strengths and opportunities of onlinegrocer.com outweigh the weaknesses and threats

therefore the onlinegrocery.com has a long way to go supported by extensive promotion and

advertising to create demand and position.

In modern era product innovation is becoming necessary for the organization because of the

globalization people are becoming aware about the changes being taken place around then so

inorder to handlesituation the company focused on product innovation by introducing a new

services of which also includes innovation to make healthy living.

Production Process:The grocery products like vegetables and fruits will get directly from farms and ensures

freshness and health. Staples will be bought directly from suppliers who bought staples from

renowned factories and are clean. Other confectionary items will be made by highly

professional bakers with good quality measures. Other products like spices, eatables and

drinkables will be purchased from the suppliers and wholesalers.

Organization Structure:Organization will consist of Chief executive officers followed byChief marketing officer. He used to make

all strategic plans. Under him there are three managers who report the chief marketing officer; they are

like Sales Managers, Advertising Manager and Promotion. Sales manager is take control over the sales

department of marketing section. He uses to generate the report regarding sales in particular time period.

Advertising and promotion manager use to look over the main part that play big role in doing the

marketing of any Buzzing Bee product in different markets.


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