Liza Report

7/31/2019 Liza Report

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BPMX 4998: Laporan Praktikum UNIVERSITI UTARA MALAYSIA

1.0 Introduction

Practicum is one of the important components in the curriculum of Universiti Utara

Malaysia. The practicum is designed to help students learn skills and knowledge that will have

positive impact on their professional careers. Practical purposes were to expose students to real

working environment, enhance student knowledge of the industry or organization that is

interested and give them the opportunity to carry out real tasks in a more challenging

environment and have work experience in the business environment. This experience is designed

to complement the course work taken so that the student business education experince is

enhanced.

As such, I chose the Wellness Concept (M) Sdn Bhd as a place for my practical training

for four months. Over the past four months, I have been undergoing practical training in

marketing department in this company.

To complement my practicum, I have prepared a practicum report. In this report I

discussed some of the scope which are include information of organizations, buyer behavior

analysis, SWOT analysis, the problems that occurred in the company, proposed to overcome, a

summary of responsibilities during the practicum experience and problems encountered during

practical training.

Wellness Concept (M) Sdn Bhd 1


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1.1 Company Profile

Wellness Concept was founded by Vivian Tan in the year 2003. Wellness

Concept creates awareness on green lifestyles and is a pioneer in the market introduces

unique products while promoting a healthier nutritional concept that improves the quality

of life through the theme of Good Health True Wealth. Today, Wellness Concept has

become the market leader in the green organic industry.

Wellness Concept has taken a major step by following the Green Revolution

aspirations by Dr Yoshide Hagiwara, the creator of Barley Green. By adopting the

concept of LOHAS*, which is fundamentally about organic, health, and environmental

protection for the business development of the company, Wellness Concept is helping

consumers gain healthy and quality lifestyles while helping our business partners achieve

optimal wealth sharing.

From product sharing to a sustainable business model development, Wellness

Concept has created a niche market and a unique business model.

Organic, eco-friendly and the development of green industries are Wellness

Concepts 3 essential business elements that form an integral part of the company. We arefocused on developing green organic products of the highest quality, while leading our

consumers and business partners in the protection of the environment and contribution to

our planet Earth, the ever critical component in our lives. Towards this end, we are proud

to say that Wellness Concept is a pioneer in the promotion of green lifestyles. Under this

strong believe and awareness, the green organic lifestyle which is advocated by Wellness

Concept has its way of appreciating nature, love our lives, care for others, and share

happiness.

Wellness Concept proud to state that the products of this company have won

numerous authoritative international organization certifications. It has a worldwide

certification from USDA (United States), JAS (Japan), OFC (Australia), ACO and etc.

All of these international certifications prove the high quality and standards of Wellness

Concepts range of products. We hope that Wellness Concepts commitment and mission



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to promote Good Health & True Wealth will fulfill the fundamental needs of consumers

and business partners alike on matters of beauty, nature, LOHAS*, being eco-friendly and

most importantly, achieving quality in health and life.

By participating in Wellness Concepts Prosumer Program, one will be able to

grasp the win-win philosophy of good health, wealth sharing and eco-balance.

Wellness Concept truly believes that promoting a green organic lifestyle will

help us reach an ideal eco-balance, build up a sustainable business model and gain wealth

sharing. This describes our primary business theme and driver for developing green

organic industries.

Our founders story, when she was 16th years old, the pain of finding out that her

sister was diagnosed with brain cancer left a mark in her life. After 3 long years of

fighting it, her sister finally succumbed to the illness.

She regretted that due to the financial constraints and limited knowledge on

health, she could not provide better health care and love to her sister. This has made her

realize how unpredictable and vulnerable life is, and how important health is. Being in a

financially stable position to provide the necessary health care is equally important whenfaced with a dreaded illness. From that moment onwards, she set her objective in life to

attain both good healths which in itself is wealth before really attaining material wealth.

Today she has successfully achieved her dreams. She is no other than the founder

of Wellness Concept, Vivian Tan.

With a twist of luck, she came to know Dr Hagiwara, the scientist who discovered

Barley Green. He introduced her to his green revolution product which aims to improve

the quality of life. The painful memory of losing her sister, made her understand that you

must first have health before wealth.

From then onwards, her goal was to spread the green revolution through

Wellness Concept by cultivating the awareness on the benefits of a greener and

healthier lifestyle before achieving the ultimate material wealth.



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1.1.1 Mission of Wellness Concept

Mission of Wellness Concept (M) Sdn Bhd is to promote the green lifestyle, protect

our environment through a stable business model and achieve wealth-sharing.

1.1.2 Vision of Wellness Concept

Wellness Concept (M) Sdn Bhd vision is to embrace globalization, opening new

markets, develop the Wellness Concept Hotel and create win-win philosophy of health,

wealth sharing and ecological balance.

1.1.3 The Objective of Wellness Concept

The objective of Wellness Concept (M) Sdn Bhd is to provide creative employee,

innovative, proactive and productive, and also to improve sales and profits by using

information technology and communication technology.

1.2 General Review



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It is been 7 years from the year of 2003 since Wellness Concept Sdn Bhd

officially start its operation in the MLM marketing. Green Wellness Concept now is to

Embrace Global Community.

Figure 1.2.1 Organization Chart

Multi level marketing has already been accepted as a successful business model

worldwide. We constantly invite individuals, who are bold, have a vision and who want

to share the same passion in wanting to make a difference in improving their lifestyle, to

join us and grow together with us. And though living a healthier lifestyle find the

financial freedom.

Under the trend of globalization in the transformed new century, only the large

scale business or a far sighted venture would find its way of long lasting. Similarly, the



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attitude of life time learning and eternal growth would enable a person to stay ahead of

others in keen competitive era.

Wellness Concept is on the right pathway towards everlasting venture. Our

Wellness Concept Team and Management is committed to support and serve you with our

utmost best, allowing you, your family, friends and relatives to deserve a better life. Our

education system is aimed on the total growth of every Wellness Concept member.

As we progress towards the 21st century, to stay competitive and relevant in

business is to practice continuous learning, innovation and creating new business

opportunities.

To be successful in attaining both health and wealth we will need to have the

initiatives to create our own opportunity. But success is a journey not a destination;

therefore it can only begin with you wanting to take the first step. Through hard work and

properly execution of your plans, you can achieve your goals in life.

The mission behind the founding of Wellness Concept is to let Earth return back

to its natural condition, and finding basic elements in human health to create

sustainability. We hope with our initiative in Wellness Concept we can encourageeverybody to move towards this goal.

Wellness Concept is not only a platform for people to succeed. Wellness

Concept aims to create a community that brings awareness on living a greener lifestyle.

Our main mission is to create wealth by leading everybody to live a better lifestyle. Our

definition of success is fulfilling the 4 Mission of the wellness concept.

The concept of multi level marketing is the duplication effect, which means your

earning will continuously multiply as your network expands thus achieving wealth

sharing.



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1.3 Summary

In the introduction, it is more over to explain regarding to the background and role

of Wellness Concept Sdn Bhd in Kuala Lumpur. From the date of Wellness Concept was

established and the next history of ultimate shareholders structure until now. After that, it

explains about management of Wellness Concept Sdn Bhd.

Since the first day Wellness Concept Sdn Bhd started its operation, exactly on

(2003), Wellness Concept Sdn Bhd devoted most of its resources to strengthening the

core foundation of its Multi Level Marketing (MLM) business to support future growth.

For more than 7 years, Wellness Concept Sdn Bhd has given service and selling

the products to its consumers with many unique promotions that beneficial. Through this

product, Wellness Concept Sdn Bhd initiated to fulfill its vision to be the Wellness

Family and carry out its slogan Good Health, True Wealth.

The vision, mission and objective of Wellness Concept are also explained clearly

here. In general overview, it explains regarding to the product and services that is

provided by Wellness Concept Sdn Bhd. Then explain the future outlook of Wellness

Concept Sdn Bhd and the strategy to gain its objective.



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2.0 Practicum Work Responsibilities

My practicum responsibilities at Wellness Concept (M) Sdn Bhd are to help marketing

department to compound the data. This data is to help them know the total of their customer that

already purchased certain product. After they get this data, they know what the promotion that

should offer that can increase the sales of the company. When the company wants to increase the

sales, the company already knows what the target to be achieved. Besides that, I also helped

marketing department to compound other data. This data is about the name list of the customer

that not doing repeat sales after they sign up. With using this data, companys customer service

will called to encourage them to purchase the companys product again.

Second, I had to join every event and promotion activities at various places. My task there

is to promoted company product to the customer and explained what the product is about and

what the benefits of the product to them. There I also helped marketing department in doing the

sales with dealing directly with the customer.

Next, I am responsible to make the sales analysis for the company. This sales analysis

consist of the total sales of every single day, sales by the customer service in every day, total of

product that already sold in certain period, the number of the new sign up members and the

promotion tracking.

Lastly, I am responsible for the contest which was held by the company. My task is to

update the name list of the customer that joins this contest.



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3.0 Marketing Audit

The marketing audit is a fundamental part of the marketing planning process. It is

conducted not only at the beginning of the process, but also at a series of points during the

implementation of the plan. The marketing audit provides the opportunity to review and appraise

the whole marketing activity, enabling to assess past and present performance as well as to

provide the basis for evaluating possible future courses of action. Because of the business

environment is constantly changing, the marketing audit should be used as a reference tool, with

constant updates reflecting changes in the external environment and internal business

experiences.

3.1 Marketing Environment

The marketing environment is a marketing term and refers to all of the forces outside

of marketing that affect marketing managements ability to build and maintain successful

relationships with target customers. The marketing environment consists of both the

macroenvironment and the microenvironment.

3.1.1 Macro-environmental Influences

Socio-cultural

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The macro social-cultural environment analysis will identify trends in societys

beliefs, behaviours, values and norms. Wellness Concept (M) Sdn Bhd will analyst such

as the number of members, attitudes towards green life-style, and public awareness abouthelath. Socio-cultural components of the environment influence the ability of the

Wellness Concept (M) Sdn Bhd to obtain resources, make its goods and services, and

function within the society.

Socio-cultural factors include anything within the context of society that has the

potential to affect an organization. Population demographics, rising educational levels,

norms and values, and attitudes toward social responsibility are examples of socio-

cultural variables for Wellness Concept (M) Sdn Bhd.

Membership by year of Wellness Concept (M) Sdn Bhd:

Year Total

Members

Inactive Members Active Members %Active

Member

2003 1,857 1,655 202 11%

2004 1,259 1,162 97 8%

2005 1,111 910 201 18%

2006 1,626 1,256 370 23%2007 2,713 1,744 969 36%

2008 1,540 15 1,525 99%

2009 1,291 - 1,291 100%

TOTAL 10,106 6,742 3,364 33%

Table 3.1.1.1

We can see from the table in above, the total membership of Wellness Concept

since it was beginning on 2003 until 2009 is 10,106 members. 90% of their members are

Chinese, 10% Malay and 10% Indian.

Economic

Malaysia is a growing and relatively open state-oriented market economy. The

state plays a significant but declining role in guiding economic activity through

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macroeconomic plans. In 2007, the economy of Malaysia was the 3rd largest economy in

South East Asia and 29th largest economy in the world.

The macro economic environment analysis will identify trends such as changes in

personal disposable income, interest rates, unemployment rates and inflation. The growth

of the multi-level marketing (MLM) company considerably affects the general growth of

a country's economy. HistoricaWlly, increasing or reducing amounts of product sales are

accompanied by economic prosperity or recession of an entire country.

Legal/political

The political environment includes all laws, government agencies, and groups that

influence or limit other organizations and individuals within a society. It is important for

marketers to be aware of these restrictions as they can be complex. Some products are

regulated by both state and federal laws. There are even restrictions for some products as

to who the target market is. There are also many restrictions on subliminal messages and

monopolies. As laws and regulations change often, this is a very important aspect for a

marketer to monitor.

Technology

Technology is another aspect of the environment Wellness Concept (M) Sdn Bhd

should consider in developing strategic plans. Changing technology may affect the

demand for a company's products and services, its production processes, and raw

materials. Technological changes may create new opportunities for the Wellness Concept

(M) Sdn Bhd or threaten the survival of a product, company, or industry. Technological

innovation continues to move at an increasingly rapid rate.

The macro technological environment analysis also will identify changes in the

application of technology. A current example is Wellness Concept (M) Sdn Bhd now

have a new database system which is more sophisticated that can support sales and easier

to use.

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Competitive

Normally, it would seem a simple task for a company to identify its competitors.

Some businesses think it is best to get on with their own plans and ignore the competition.

Others become obsessed with tracking the actions of competitors (often using underhand

or illegal methods). Many businesses are happy simply to track the competition, copying

their moves and reacting to changes. This company also has to face environment

competition with other competitor which is produced the same product.

This is the the list of Wellness Concept competitor and the comparison:

Company Wellness

Concept

Usana UpTrend Stevico

Product Organic FunctionalFood and skincare

Health Product,

Skincare and

Others

Health Product and

others

Health Product

Unique World Best Selling

Juicing Since 1980

Go Green Go

Organic

Every can Afford

The Top 10

Networkmaketing in US.

The 3rd fastest

growing

company among

100 company

Environtment

Location

Products 50-50

One Stop

MarketingFrom Japan

New

Company



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Establish

Since

2003 1992 2003 2008

Race Chinese 90 %Malay 5%

India 5%

Chinese 60 %Malay 30%

India 10%


India 10%


India 10%

Strategy ProductMarketing Plan

Training System

Product

Marketing Plan

Training System

Company

Background

Marketing Plan Product

Marketing Plan

Table 3.1.1.2

3.1.2 Micro-environmental Influences

The micro-environments are internal factors close to the company that have a

direct impact on the organizations strategy. In multi-level marketing company these

factors include customers/members, employees, suppliers, leaders, media and

competitors. For example, Wellness Concept (M) Sdn Bhd employing the correct staff

and keeping these staff motivated is an essential part of the strategic planning process of

an organization. Training and development plays an essential role particular in service

sector marketing in-order to gain a competitive edge. This is clearly apparent in the

multi-level marketing industry.

Deducing a strategic plan in Wellness Concept (M) Sdn Bhd to specific marketing

plan require coordination of other functions like finance, Human resource, production,

customer service and nutritionist.

Wellness Concept (M) Sdn Bhd plans to expand its product and service areas to

both in domestic and overseas. Wellness Concept (M) Sdn Bhd tries to meet the targets ofthe marketing plan, other departments and also expanding their horizon.

Since Wellness Concept (M) Sdn Bhd is a MLM company, so the leaders play the

important roles in the company. They must get a new downline as much as possible to



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achieve the company goals and pfofits. Once the company has a great profit it will give a

good affect and the leaders will get the profit too.

Beside that, marketing managers must watch product availability and other trends

dealing with suppliers to ensure that product will be delivered to customers in the time

frame required in order to maintain a strong customer relationship.

In order to achive target sales, it also requires a great marketing team. Its very

important to think what the promotion that suitable with the current situation, so it can

make the customer more interest to purchase the product.

3.2 Marketing Strategy Analysis

Executive Summary

This is some of the marketing strategy that use by Wellness Concept (M) Sdn Bhd in

operate their business:

1.Maintain Central Regions contribution at 45%

Wellness Concept (M) Sdn Bhd devided their sales in Malaysia in to 3 regions, which

are North, Central and South.

The tactics that use by this company are:

Conduct road show (i.e Fitness First, California Fitness) and also conduct a health

talks.

Business oppurtunities meetings at corporate companies. Collaborations with other health conscious NGOs (i.e Makna).

Increase sales of certain product (ProBio) and autoship program.

Identify location for builder group.



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2.Increase the contribution of Malay and Bumi distributors from the current 3% to 6%

In the current situation most of the distributor of Wellness Concept (M) Sdn Bhd is

Chinese. 90% of the companys member is Chinese. So now, the company will try to

increase the number of Malay and Bumi member.

The tactics that use by this company are:

Conduct a health talk at government offices, because as we know that most of the

staff in the government offices are Malay.

Training materials and tools in Bahasa Malaysia.

Members get members program.

3.Develop more active and effective leaders and builders (training)

In multi-level marketing company, the leaders or distributors play an important role in

the company, because this leader is responsible to get the new members as much as they

can.

The tactics that use by the company are:

Costumise training program by region.

New distributors training program.

Enterpreneurial development program.

Directors programme.

New leaders leadership enhancement program.

Cell group meetings.

4.Product focus (Barley Green, Probio and Fibergreen)

Recently, Barley Green is the core in the company. More than 50% sales in this

company come from Barley Green, so the company will try to focusing their sales not

only in Barley Green but also in other products, such as Probio and Fibergreen.



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Barley Green to increase by 40% (from 3000 to 5000 Units), Probio to increase by

300% (from 360 to 1000 units), and Fibergreen to increase from 100 to 500 units in

the next 6 months.

Festive Promotion.

Education and awareness creation.

Product promotion (for Probio and Fibergreen).

Price adjustment

Testimonies in DVD

5.New Product Launching

Recently, Wellness Concept have 7 product (organic food), which are Barley Green

which is the core in the company, Beta Beet, Beta Carrot, Fibergreen, Nutrigrain,

Probio and Organic Skincare.

Last month, Wellness Concept (M) Sdn Bhd just launched new product called

Wellness Magic Spa. Wellness Concept will launcing other product soon to increase

the number and variety of their product.

6.IT Strategy


Online sign-up and purchase.

Website content in Bahasa Malaysia.

E-bulletin (newsletter).

Website re-structuring.



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Analysis of Marketing Situation

Wellness Concept (M) Sdn Bhd is to achieve sales RM 800,000 in one month

period. This requires system, process and experience. Wellness Concept needs staff that

has an experience in working in their field. For example the customer service, in MLM

company customer services play the important roles because customer services is the

person who dealing directly with the customer. The customer service must know the

telephone manner, how to speak with the customer when promoting the product.

In order to achive target sales, it also requires a great marketing team. Its very

important to think what the promotion that suitable with the current situation, so it canmake the customer more interest to purchase the product.

SWOT Analysis

According to Marketing Management, An Asian Perspective, 3rd Edition, the

overall evolution of a companys strengths, weaknesses, opportunities, and threats is

called SWOT Analysis. SWOT Analysis often referred to as a strategy planning as long

range planning is concerned with developing a corporations mission, objectives,

strategies, and policies. SWOT Analysis should not only result in the identification of a

corporations distinctive competencies, the particular capabilities and resources that a

firm processes and the superior way in which they are used but also in the identification

of opportunities that the firm is not currently able to take advantage of due to a lack of

appropriate resources.

Strengths Weknesses



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1. Barley Green is the strong brand

2. The marketing and the company do a

lot of outdoor program in term ofattracting new incomers for the business

3. Excellent marketing strategies

4. Excellent product analysis

5. Good Leadership

6. Passionate in improving the quality of

life

7. High repeat sales and loyal customer

8. Increasing number of distributor

9. Organic product that suitable with

current environtment, which is healthy

and green lifestyle

1. Weak management team

2. No staff handbook and SOP

3. Lack ownership by staffs4. Weak sales in central region

5. Weak networker duplication

system

6. Networkers lack focus on-

marketing plan, aggression, reluctance

of follow-up calls

7. Barley Green contributing 60% of

total turn over

8. Customer care efficiency

9. Non active distributor or leaders

10. More promotion through the other

product

Table 3.2.1

Assessment of Opportunity and Threats

Oppurtunities

Opportunities are wonderful because can encourage boards to think optimistically

about the future and offer areas of growth. But opportunities are also profoundly

dangerous especially if boards do not really understand what needs to be done to take

advantage of them.

This is the the oppurtunity of Wellness Concept:

1. Create new market in overseas

2. Growth Population

3. Business breakthrough malay market



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4. Trend that moves towards a greener lifestyle

5. Make a strong sales in southern region (i.e Melaka, Johor, Negeri Sembilan)

6.Trend that moves towards a healthy environtment

Threats

Threats are list the external threats that the venture must be aware of problems that it

has to solve.

1. Other multilevel company

2. Threat of substitutes product

3. Unstablility of economic

4. Bergaining power of buyers

5. Bergaining power of suplliers

Specification of Marketing Objective

Wellness Concept (M) Sdn Bhd embarks on innovative marketing techniques,

strategic communications skill, and excellent public relation and consistently achieve sales

target. It also continuously provides creative advertisement to attract customer attention and

conduct a health talk in order to promote the product.

Now, Wellness Concept more focuses on Program. Program here means their sale 1

set of product (i.e Barleygreen, Probio and Fibergreen) and make it as Colon Detox

Program. This kind of program is more efficient in doing the sales, because some of

customer will look for a product that give a truly benefits. Like this colon detox program is

use for detoxifying our colon and it will easier to understand by customer. Beside Colon



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Detox Program, Wellness Concept also has other program such as Liver Detox Program,

Juicing Program and so on.

This is the Marketing Objective of the company:

1. Achieving sales of at least RM 15 million in a year.

Month Northern Central Southern Total

Jan 600,000 400,000 150,000 1,150,000

Feb 600,000 500,000 200,000 1,300,000

March 800,000 350,000 200,000 1,350,000

April 600,000 400,000 200,000 1,200,000May 700,000 500,000 250,000 1,450,000

June 700,000 500,000 250,000 1,450,000

July 800,000 550,000 300,000 1,650,000

August 800,000 650,000 300,000 1,750,000

Sep 800,000 570,000 300,000 1,670,000

Okt 900,000 700,000 400,000 2,000,000

Nov 900,000 700,000 400,000 2,000,000

Dec 900,000 700,000 400,000 2,000,000

Total 9,100,000 6,520,000 3,350,000 18,970,000

Table 3.2.2

2. From the total of Membership of 18,000, 60% of them are active members.

3. Build strong and effective leaders

4. Focus on weak markets (Malays and Bumi, Central and Southern region)

5. New product launching

6. Opening new markets (Taiwan, Indonesia and Thailand)

Formulation of Marketing Strategies



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The formulation of the marketing strategies of Wellness Concept (M) Sdn Bhd

included build product advertisements and information by creating creative banners,

streamers and billboard design, brochures, flyers, paper insertion, direct mailing, shortmessage (sms), and website. Beside that, the strategic places for promotion and exhibition

such as hypermarkets. This is because Wellness Concept (M) Sdn Bhd tries to promote the

organic product that provides quality living with green lifestyle that suits with current

lifestyle. Wellness Concept (M) Sdn Bhd also introduces sales promotion like special

package and held a contest. Then, Wellness Concept also tries to reduce the number of

complaints by providing quick response and best service to the members.

Development of Control Procedures

The results of the marketing plan will be measured on an ongoing basis such as

recognize achievements of company in all areas and other categories as determined Wellness

Concept (M) Sdn Bhd also can provide leadership development opportunities and educate

staff and customer services about issues and challenges facing the problems and can play a

part in solving these problems. Beside that, for new and potential buyer that purchased

certain product Wellness Concept will give them special gift.

The strategies and tactics that Wellness Concept (M) Sdn Bhd intends to use and

focusing on those that have been successful in the past. There are build product

advertisements and information by creating creative banners, streamers and billboard design,

brochures, flyers, paper insertion, direct mailing, short message (sms) and website.

3.3 Organization and Management Structure Analysis

The structure of an organization is a mechanism composed of roles, relationship, and

procedures that exist to enable a group of people to efeectively work together.



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Wellness Concept (M) Sdn Bhd structure analysis on determining is how the

structure and strategy can best work together to increase the company's efficiency,

effectiveness, and profitability.

Wellness Concept (M) Sdn Bhd develops the organizational designs for the future

that will:

i. Focus people on the key aspects of their roles

ii. Promote unique way of promoting

iii. Decrease the number of inactive members

iv. Decrease the number of management levels

v. Increase productivity

The structure analysis is a systematic assessment of the way a company is organized,

and the extent to which the company's structure meets current and future needs. The output

of Management Systems' structure analysis process is typically a written report (or series of

written reports) about an evaluation of the strengths and limitation of the company current

structure, recommendation for improving the systems needed and the suggested steps in

developing a structure management and transition plan.

Wellness Concept (M) Sdn Bhd believes that structure at three levels, there are:

i. Macro structure: the roles that appear on an organization chart and how these roles are connected.

ii. Micro structure: how the roles, responsibilities and decision-making authority of the

units/positions included in the macro structure is defined.

iii. Supporting Systems: how the operational and management systems are designed to support the

effective implementation of the macro and micro structure.



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The basic steps in the Organization and Management Structural Analysis of Wellness

Concept (M) Sdn Bhd are described below:

Step 1: Examine the company's strategic objectives, the work being done, and resources

allocated.

Step 2: Define the structural requirements for achievement of the company's strategic

objectives.

Step 3: Recommend organizational structure alternatives and evaluate them againststructural requirements to determine strengths and limitations, as well as the overall

"costs" and "benefits" of each structure.

Step 4: Working with company management, select the optimal future structure after

analysis of the alternatives,

Step 5: Develop a transition plan to help the company move from its current structure to

the future structure that will best support the achievement of its strategic objectives.

3.4 Marketing Research System and Information System

Market Research

Market research can give a business a picture of what kinds of new products and

services may bring a profit. For products and services already available, marketing research

can tell companies whether they are meeting their customers' needs and expectations. By

researching the answers to specific questions, small-business owners can learn whether they

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need to change their package design or tweak their delivery methods--and even whether they

should consider offering additional services.

When the company conducts marketing research, the company can use the results

either to create a business and marketing plan or to measure the success of companys

current plan. That's why it's important to ask the right questions, in the right way, of the right

people. Research, done poorly, can steer a business in the wrong direction. Here are some

market-research basics that can help get you started and some mistakes to avoid.

Wellness Concept (M) Sdn Bhd market research is like doing some interview to the

customer when the customer service called them to asking how the product working to them

and are they satisfied with the product and services that doing by the company.

Beside that, Welness Concept (M) Sdn Bhd will conduct Focus groups gathering a

sampling of potential clients or customers and getting their direct feedback about the product

and services.

A key part to supporting and leveraging off this ability is the strong IT infrastructure

that exists. With every office connected, and regional databases, Wellness Concept (M) Sdn

Bhd has the advantage to provide relevant information to Wellness Concept members.

Information System

Wellness Concept (M) Sdn Bhd consist management information system (MIS). A

management information system (MIS) is a subset of the overall internal controls of a

business covering the application of people, documents, technologies, and procedures by

management accountants to solve business problems such as costing a product, service or a

business-wide strategy. Management information systems in Wellness Concept are distinct

http://en.wikipedia.org/wiki/Internal_controlhttp://en.wikipedia.org/wiki/Management_accountanthttp://en.wikipedia.org/wiki/Internal_controlhttp://en.wikipedia.org/wiki/Management_accountant


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from regular information systems in that they are used to analyze other information systems

applied in operational activities in the organization.

Academically, the term is commonly used to refer to the group of information

management methods tied to the automation or support of human decision making such as

Decision Support Systems, Expert Systems, and Executive Information Systems.

Critical to most information systems are information technologies, which are

typically designed to enable humans to perform tasks for which the human brain is not well

suited, such as handling large amounts of information, performing complex calculations, and

controlling many simultaneous processes in management.

3.5 Marketing Functional Area

3.5.1 Product

http://en.wikipedia.org/wiki/Decision_Support_Systemhttp://en.wikipedia.org/wiki/Expert_systemhttp://en.wikipedia.org/wiki/Executive_information_systemhttp://en.wikipedia.org/wiki/Decision_Support_Systemhttp://en.wikipedia.org/wiki/Expert_systemhttp://en.wikipedia.org/wiki/Executive_information_system


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Picture 3.5.1.1: Barleygreen

BarleyGreen Premium by Dr. Yoshihide Hagiwara, a spray dried powder, juice

from organic young barley leaves is processed to make it easier for cutomer to get

nutrients in body requires.

BarleyGreen Premium is an all-natural green wholefood offering a broad spectrum

of natural nutrients: proteins, fats, carbohydrates, vitamins, minerals, enzymes, amino

acids, cholorophyll and phytochemicals. BarleyGreen Premium is the easy way to get

your daily greens - like having a "salad in a glass".

5 Main Features of the Worlds Most Popular Barleygreen

Organic + High Energy Food

300 types of Live Enzymes

High Alkalinity Food

Wholesome Food



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20 times Concentrated and Fully Assimilate

Barleygreens 3 Steps to Optimum Health:

1. DETOXIFYING : Detoxifies at cellular level and improves body condition

2. BALANCING : Improves metabolism and revitalizes and balances the

acidity of our body.

3. NOURISHING : Complete nutrients (16 vitamins, 17 minerals, 18 amino acids

and 300 types of live enzymes. Slow down aging and gurads against illness.

Known health advantages of Dr. Hagiwaras BarleyGreen Premium powdered organic

barley grass with kelp include improved mental clarity; digestion and regularity; skin,

hair and nails; and healthy cardiovascular support. It is rich in essential nutrients and

antioxidants that help delay the effects of aging, prevention of arteriosclerosis and

reduce inflammation and muscle soreness.

Constituents of Green Barley Leaf Extract



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Table 3.5.1.1

Picture 3.5.1.2: Beta Beet



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BetaBeet is a soluble powder made from the juice of organically-grown beets and

contains a variety of vitamins, minerals, and phytonutrients including folic acid, iron,

calcium and betaine. Like BarleyGreen, BetaBeet is produced from seed to finishedproduct using organic cultivation, gentle juicing, and our award-winning, low-

temperature spray-drying process. Our special processing stabilizes the nutrients in the

beet juice, providing you with live enzymes and whole food nutrition which is certified

organic. The result is a delicious and nutrient-dense beet juice powder that provides

you with the nutrients and detoxification power of fresh beets.

BetaBeet Benefits:

Detoxifies liver & provides important nutrients to the liver

Protect Cardiovascular system

Promotes fat metabolism & protein deposition

Provides nutrients for blood building (Vitamin B12, Magnesium & Calcium)

Boosts respiration of struggling cells & has natural chemotherapy attribution

Helps anemia, alcohol drinkers, smokers, menstrual & menopause disturbances



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Picture 3.5.1.3: Beta Carrot

CompanyCertified Organic BetaCarrot captures the natural benefits of organic

fresh carrots and acerola berries providing your body with two of natures best

antioxidants, beta carotene and vitamin C. Our proprietary temperature controlled

spray-drying process creates a powder from their juice while retaining their nutritional

potency. The result is a flavor packed powder that provides your body with over 520%

of the daily requirement of Vitamin A in a single serving. Beta carotene is stored in

your liver and converted into vitamin A as your body needs it.

BetaCarrot Benefits:

Anti-oxidant Alpha & Beta Carotene & Vitamin C

Anti- aging agent: Improves skin & complexion

Improves eye-sight

Strengthens body bone, teeth & lung function



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Prevents heart failure, stroke & free radical

Enhances immune system, 50 times concentrated; 90% of it can be easily

absorbed

Picture 3.5.1.4: Fibergreen

FiberGreen Benefits:

Helps Prevent Constipation

Helps Prevent Gallstones Formation

Lowers Cholesterol Level

Facilities Weight Loss

Colon Cleansing

FiberGreen Features:



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Detoxifies, cleanses colon & reduces transit time

Contains: Mixtures of Barley, Fiber, Herbs, Fruits & Vegetables, Probiotic

& Oligo

Oligo: Food for friendly bacteria

Ideal Probiotic ratio: Friendly bacteria 85% and bad bacteria 15%

Balances PH & strengthens immune system

Suggested fiber intake 30g a day

Lowers cholesterol & helps diabetic patients

Picture 3.5.1.5: NutrigrainPlus

Nutrigrain Plus Benefits:



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Stabilizes Body Imbalance

Promotes Sound Sleep

Enhances Memory

Prevents Rapid Rises in Blood Glucose Level

Reduces the Risk of Heart Disease

Nutrigrain Plus Features:

Complex carbohydrate: replaces simple carbohydrate

Vitamin B complex: B12; helps concentration, memory and anemia

Anti-oxidant, Vitamin E , Selenium, Phytochemical

Phytochemical: heart disease, cancer & diabetic

Plant Protein; prevents hair drop & flabby muscles

Ideal for weight management meals replacement



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Picture 3.5.1.6: Probio+Plus

Probio+Plus Benefits:

Relieves indigestion

Reduces risk of diarrhea and food poisoning

Reduces burping and excessive gas

Protects against colon cancer

Balances vaginal flora that has been disturbed by Candida or other unfriendly

flora

Detoxifies colon and liver - slows down aging

Boosts immune system



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Picture 3.5.1.7: Wellness Organic Skincare

Wellness Concept skincare is consist of Foam Cleanser, Radiant Essence and

Rejuvenate Toner.

The path of skin purifying will help achieve healthy and radiant skin. This mild

and gentle purifying foam cleanser, enriched with Barley Grass, aids in releasing free



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radicals from the skin to help reduce the signs of aging. With Aloe Vera to help

moisturise and calm, WellnessSpa Foam Cleanser is suitable for most skin types.

A blend of light and hydrating organic extracts formulated this silky-soft lotion to

help moisturise and protect the skin. Vitamin E enhances skin cell rejuvenation and

helps to reduce the visible signs of aging. WellnessSpa Radiant Essence is perfect for

normal, sensitive and combination skins.

The organic plant extracts in Rejuvenate Toner help to deeply cleanse the skin

pores. The extracts of Witch Hazel and Calendula Flower effectively soften and

smoothe the skin. With Rose Flower Water to help balance and firm, WellnessSpa

Rejuvenate Toner is the finest organic formulation to hydrate, refresh, tone and

revitalise your skin.

3.5.2 Price

Wellness Concept (M) Sdn Bhd try to positioning the right price to the customer,

this company try to set the price for their product below RM 200, so the customer afford

to purchase the product.

Wellness Concept (M) Sdn Bhd set different price for the different area. Wellness

Concept divided the area into West Malaysia, East Malaysia and Overseas. The prices

for Wellness Concept products are different between each other and the price for

member and non-member also different. In West Malaysia the price for Barleygreen,

Beta Beet, Beta Carrot, Probio and Fibergreen is RM 150 for member and RM 170 for

non-member, and the price of Nutrigrain is RM140 for Member and RM 160 for non-



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member. For Nutrigrain Wellness Concept sale 1 set of Nutrigrain, so if the customer

pay RM 140 will get to bottle of Nutrigrain.

In East Malaysia and Overseas the price for Barleygreen, Beta Beet, Beta Carrot,

Probio and Fibergreen is RM 160 for member and RM 180 for non-member, and the

price of Nutrigrain is RM150 for Member and RM 170 for non-member. For Nutrigrain

Wellness Concept sale 1 set of Nutrigrain, so if the customer pay RM 150 will get to

bottle of Nutrigrain.

The list of the product price will be available in appendix.

3.5.3 Advertising and Promotion

Wellness Concept (M) sdn Bhd recognizes the key to success requires extensive

promotion of marketing department. This must be done aggressively and consistently.

To accomplish the company sales goals, marketing department will employ an

extremely graphic design staffs to create a creative banner, brochures and flyer. Direct

advertising will be concentrated on a local and regional basis, with national advertising

contracted on a cooperative basis through some of the existing contacts that exist with

national magazines.



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For Advertising the Important factor is Communication. Because by this only the

customer gets aware of the product or service offered from the company. By these onlythere will be a known response from the target customer that is company can get a feed

back from the customer for the current or future response.

To make the product are available and close with customer, Wellness Concept

(M) Sdn Bhd as a organization that were responsible to distribute the product was using

the several medium to create some attention to their customer. Wellness Concept (M)

Sdn Bhd advertise their products by creating creative banners, brochures, flyers, direct

mailing, short message (sms) and website. These promotions are very important to the

product to penetrate the market.

To eliminate the biggest obstacle to immediate action, Wellness Concept (M) Sdn

Bhd has their own customer service to call the customer. The customer service can

directly promote the product and inform the current promotion to the customer and they

also can encourage the customer to purchase the product.

3.5.4 Sales

A sale is pinnacle activity involved in the selling products or services in return formoney or other compensation. Since it was beginning in 2003, the sales in Wellness

Concept are increasing year by year.

In table below, we can see the sales of Wellness Concept since 2003 until present.

2003 2004 2005 2006 2007 2008 2009 2010



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(ytd mar)

Jan - 95,555 153,127 209,836 398,684 429,546 328,250 713,745

Feb 56,360 72,680 105,923 218,419 285,084 500,171 452,000 735,000

Mar 63,310 124,715 183,060 258,813 313,695 501,089 532,000 620,000

Apr 130,780 104,130 166,018 252,278 387,671 480,035 463,000 561,981

May 134,820 124,850 194,901 282,989 445,014 485,056 552,000 658,991

Jun 161,585 149,350 182,463 309,837 360,870 590,145 553,000 625,841

Jul 160,105 131,200 184,213 276,980 469,702 853,617 660,000 703,263

Aug 176,885 185,385 184,984 377,733 510,165 363,416 556,000 685,688

Sep 119,480 133,200 234,438 346,717 426,364 443,420 618,000

Oct 99,955 99,025 239,933 303,706 461,269 479,056 595,778

Nov 103,555 129,810 229,810 339,551 421,671 459,463 583,535

Dec 102,185 146,210 245,573 307,070 426,234 432,473 500,140

Total 1,309,020 1,496,110 2,304,443 3,483,929 4,906,423 6,017,487 6,393,703 5,304,509

Increase 187,090 808,333 1,179,486 1,422,494 1,111,064 376,216 (1,089,195)

% 14% 54% 51% 41% 23% 6% -17%

Table 3.5.4.1

Sales techniques that use by Wellness Concept (M) Sdn Bhd:

1. Direct Selling

Direct selling is marketing and selling products, direct to consumers away from a fixed

retail location. Sales in Wellness Concept are typically made through party plan, one to

one demonstrations, and other personal contact arrangements. Consumer benefit from

direct selling because of the convenience and service provide by the company, including

personal demonstration and explanation of products, home delivery, and generous

satisfaction guarantees.

2. Sales Agents

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Sales agents are about individual sales agents reaching and dealing directly with clients.

In Wellness Concept, they have the leaders that will deal directly with the customer,

because in multi level marketing company the leader will seek a member who can be theirdownline as much as possible. The leader will deal directly with the customer and

explaine about the product to encourage them to become their downline and member of

the company.

3. Telemarketing

Wellness Concept (M) Sdn Bhd has their customer service. This customer service will do

a follow up call to a member, asking them about what they need while inform them about

current promotion to persuade them to purchase more product.

4. Retail or consumer

Retail consists of the sales of goods in a fixed location. Wellness Concept also put their

product in wellness store such as in JUSCO and Carefour. Some of the members in

Wellness Concept have its own organic shop, so they buy the product in Wellness

Concept for resale in their shop.



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4.0 Assessment of Your Practicum Experience

From this practicum, I learned and understand how influences their development as a

successful leader and develop their emotional leadership capabilities and also the rational

management skills necessary to progress in their management career.

As we know that 4Ps is the important element in marketing. From this practicum I

learned how the company implements it in their business. I learned how the company use 4Ps to

look at the target Customer. These are the factors which are taken into account by external and

Internal Environment of Company. The goal is to make decisions by using the 4P's in the target

market in order to create perceived value and generate a great response.

Beside that, I also learned discover how to choose the strategy, implement it and what

they need to do to generate profits in the future.

When I was in practicum, I ever join with some event. There I doing a direct selling. I

learned how we deal directly with the customer, explained about the product and encouraged

them to purchase the product. I saw and learned how companys leader and the customer service

explained attractively to influence the cutomer to purchase the product.

Then, I also learned how to lead and develop their employees to achieve maximum

productivity and profitability and learn the impact of their decision-making in the companys

strategy & bottom line profits. The purpose is to create a decision making tool and framework for

staff to use, that combines the concept of the triple-bottom line with the mission and values of the

organization.

Lastly, I understand how to read and interpret the financial process to improve their

involvement and contribution in business planning and learn how to outsmart their competitors in

sales and marketing strategies such as improve in communication skill and problem solving.



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I suggest that UIL seeking suitable and relevant organizations for student and organizing

career related programmes for student's personal development. Overall, the practicum experience

was great and I learned a lot with exceptionalities. I learned great techniques and strategies forwhen I working in real environment.

Conclusion

Wellness Concept (M) Sdn Bhd is one of the multi-level marketing in Malaysia that

creates awareness on green lifestyles and is a pioneer in the market introduces unique products

while promoting a healthier nutritional concept that improves the quality of life through the

theme of Good Health True Wealth. Wellness Concept has taken a major step by following the

Green Revolution aspirations by Dr Yoshide Hagiwara, the creator of Barley Green. By

adopting the concept of LOHAS*, which is fundamentally about organic, health, and

environmental protection for the business development of the company, Wellness Concept is

helping consumers gain healthy and quality lifestyles while helping our business partners achieve

optimal wealth sharing.

Since it was beginning on 2003, the sales of this company are increased year by year.

This company is not focusing their target market for certain peoples, the product of this company

can consume by everyone even by kids also, but 90% of the total customers in Wellness Concept

are Chinese, while Malay only 10% and Indian are 10%.

Besides that, advertising plan were help the company build the good advertising in term

of increase their customer profit based on the several objective. To make the product are

available and close with customer, Wellness Concept (M) Sdn Bhd as a organization that were

responsible to distribute the product was using the several medium to create some attention to

their customer. Wellness Concept (M) Sdn bhd advertise their products by creating creative

banners, brochures, flyers, direct mailing, short message (sms) and website. These promotions

are very important to the product to penetrate the market.

In conclusion, I believe that Wellness Concept can expand their business and achieve the

vision, mission and objective of the company.



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Reference

Micro Environmental Factor. Retrieved October 3rd, 2010, from

http://www.learnmarketing.net/microenvironment.htm

4Ps of Marketing. Marketing Mix. Retrieved 4th, 2010, from

http://www.saching.com/Articles/4P-s-of-Marketing-Marketing-Mix-208.html

How to Do Market Research. The Basic. Retrieved 4th, 2010, from

http://www.entrepreneur.com/article/217345

Wellness Concept. About Us. Retrieved October 5th, 2010, from

http://www.wellnessconcept.net/v3/aboutus.html

Wellness Concept. Vision Mission. Retrieved October 5th, 2010, from

http://www.wellnessconcept.net/v3/aboutus_visionmission.html

Wellness Concept. Company Founder. Retrieved October 5th

, 2010, fromhttp://www.wellnessconcept.net/v3/aboutus_companyfounder.html

Wellness Concept. Product. Retrieved October 5th, 2010, from

http://www.wellnessconcept.net/v3/products.html

http://www.learnmarketing.net/microenvironment.htmhttp://www.saching.com/Articles/4P-s-of-Marketing-Marketing-Mix-208.htmlhttp://www.entrepreneur.com/article/217345http://www.wellnessconcept.net/v3/aboutus.htmlhttp://www.wellnessconcept.net/v3/aboutus_visionmission.htmlhttp://www.wellnessconcept.net/v3/aboutus_companyfounder.htmlhttp://www.wellnessconcept.net/v3/products.htmlhttp://www.learnmarketing.net/microenvironment.htmhttp://www.saching.com/Articles/4P-s-of-Marketing-Marketing-Mix-208.htmlhttp://www.entrepreneur.com/article/217345http://www.wellnessconcept.net/v3/aboutus.htmlhttp://www.wellnessconcept.net/v3/aboutus_visionmission.htmlhttp://www.wellnessconcept.net/v3/aboutus_companyfounder.htmlhttp://www.wellnessconcept.net/v3/products.html


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Appendix

Company Logo

The products



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List of price

Poduct Member Price (WM) Member Price (EM) Non-member Price

Barley green RM 150 RM 160 RM 170

Beta Beet RM 150 RM 160 RM 170

Beta Carrot RM 150 RM 160 RM 170

Fibergreen RM 150 RM 160 RM 170

Nutrigrain RM 140 RM 150 RM 160

Probio Plus RM 150 RM 160 RM 170

Skincare RM 170 RM 180 RM 190

Membership

Chinese 90%

Malay 10%

Indian 10%

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