MARKETING PLAN OF SAJJAD BAKERY Executive Summary Our commitment to excellence in the craft and artistry of baking enables us to deliver high quality products that look superb, delight the customer and make celebrations a moment to cherish. We also have committed ourselves to tantalizing the pallet of coffee connoisseurs. Our products will exceed local stores and franchise competitors. Our product wills posses that certain something that others do not have. The Challenge Revive and Preserve the elegance and sensation of age old baking, coffee making and cake decorating with cookery techniques to achieve the height of quality and excellence in the cake coffee and pastry industry. Our products range from high end artistry to modern and local customs. Situation Analysis
Transcript
MARKETING PLAN OF SAJJAD BAKERY
Executive Summary
Our commitment to excellence in the craft and artistry of baking enables us to deliver high quality products that look superb, delight the customer and make celebrations a moment to cherish. We also have committed ourselves to tantalizing the pallet of coffee connoisseurs. Our products will exceed local stores and franchise competitors. Our product wills posses that certain something that others do not have.
The Challenge
Revive and Preserve the elegance and sensation of age old baking, coffee making and cake decorating with cookery techniques to achieve the height of quality and excellence in the cake coffee and pastry industry. Our products range from high end artistry to modern and local customs.
Situation Analysis
Company Analysis
Sajjad Bakery is a bakery and coffee shop managed by two partners. These partners represent sales/management and finance/administration areas, respectively.
Focus Culture Strengths Weaknesses Market share
Customer Analysis
Number Type
Value drivers Decision process Concentration of customer base for particular products
Competitor Analysis
Competition in the local area is somewhat light and does not provide nearly the level of product quality and customer service as Sajjad Bakery. Local customers are looking for a high quality product in a relaxing atmosphere. They desire a unique, classy experience.
Leading competitors purchase and roast high quality, cold-blended beverages, a variety of pastries and confections, coffee-related accessories and equipment, and a line of premium teas, sell these items primarily through company-operated retail stores. In addition to sales through company-operated retail stores, leading competitors sell coffee and tea products through other channels of distribution (specialty operations).
Larger chains vary their product mix depending upon the size of each store and its locationTechnologically savvy competitors make fresh coffee and coffee-related products conveniently available via mail order and online. Additionally, mail order catalogs offering coffees, certain food items, and select coffee-making equipment and accessories, have been made available by a few larger competitors. Websites offering online stores that allow customers to browse for and purchase coffee, gifts, and other items via the Internet have become more commonplace as well.
Market position Strengths Weaknesses Market shares
Collaborators
Subsidiaries, joint ventures, and distributors, etc.
Climate
Macro-environmental PEST analysis :
Political and legal environment Economic environment Social and cultural environment Technological environment
SWOT Analysis
A SWOT analysis of the business environment can be performed by organizing the environmental factors as follows:
The firm's internal attributes can be classed as strengths and weaknesses.
The external environment presents opportunities and threats.
IV. Market Segmentation
Sajjad Bakery focuses on the middle- and upper-income markets. These market segments consume the majority of coffee and bakery products.
Target market:The dominant target market for Sajjad Bakery is a regular stream of local residents. Personal and expedient customer service at a competitive price is key to maintaining the local market share of this target market.
Present a description of the market segmentation as follows:
Market Needs
Because Karachi has a hot climate for eight months out of the year, cold coffee products are very much in demand. During the remaining warmer four months of
the year, hot coffee products are in significantly high demand, along with a slower but consistent demand for cold coffee products. Much of the day's activity occurs in the morning hours before ten a.m., with a relatively steady flow for the remainder of the day
Segment 1
Description Percent of sales What they want How they use product Support requirements How to reach them Price sensitivity
V. Alternative Marketing Strategies
Maintain a focus on Quality product with bottom-line growth through cost reduction and optimal performance. We also focus on technology and innovation to make sure employees have extensive training to perform proper technique and equipment operation. Maintain 100-percent honesty between employees, customer and management. As a team input will be collected analyzed and put into practice. Team meetings weekly will motivate and forecast growth and annihilate potential difficulties
VI. Selected Marketing Strategy .
Product
Brownies with Nuts
Cookies
Peanut Butter, Sugar, Choc Chip,Nut
Ice creams
Mango, Blue Berry, Banana, Apple and Strawberry
Coffees And BeveragesDensely frothed milk and dusted with chocolate powder. Some of milk added.Hot chocolate and steamed milk served in a glass.
The bakery provides freshly prepared bakery and pastry products at all times during business operations. Six to eight moderate batches of bakery and pastry products are prepared during the day to assure fresh baked goods are always available.
Unique Methodologies and IngredientsAs former apprentice and current teacher of the Wilton Method of Cake Decorating Deluthe has mastered the perfection of execution from the
smoothest frostings, the most delicate and moist cakes to the sculpting the most beautiful decorations in the world. Applying alternative English and Australian methods and pulled sugar and gum paste techniques that delight the eyes and taste buds.
To start a bakery following factors have to be checked . The first and the foremost decision one has to take is to
Franchise a known brand and process
Build a new bakery
Purchase old bakery and renovate
Start a small bakery from home .
Depending on the financial budget one has one has to take decision .Do take your accountant views on this . All other legal and government related jobs has to be completed prior to operations . Few actions like registration , taxes and water and electricity connections ,No objection for authorities to start bakery in that particular area
The Four Most Important M s of any business which are applicable to bakery business are .
Man
Bakery requires skilled bakers either you hire bakers or learn bakery skills from good professional bakery schools/institutes . Other s could be expert accountants/sales/procurement people if you plan to run bakery on a bit larger scale .
Money
Finances has to be arranged as first step open an current account in nearby bank . Check with the accountant on amount of money you would require for raw material , packaging material , fueloverheads . To avail finances you can source it from bank loans , personal savings , credit card loans , business loans, partners money or going public . One important point to note here is to that break even could be achieved through cost optimisation in all cost element s.
Machine
Machinery required for bakery production can be procured either new or second hand .For new start ups I would recommend to buy second hand equipment and once sales increases we can go for new and latest machinery . Few examples -oven , mixers , depositors ,slicers and packing machines
Material
Raw material has to be procured at most competitive price to maintain the margins .Basic ingredients for bakery are flour , fat , sugar , salts , butter , ammonium bicarbonate ,sodium bicarbonate , yeast etc . Where as packing material are flexible packaging material like hdpe , ldpe , bopp , trays and carton boxes.
Once we have got new bakery at place and finances arranged we have to work on marketing and popularising brand and increase sales . Following are most important 4P s of marketing
Place
You have to be very carefull while selecting the location of your bakery as earlier sales would happen most of the time on the shelf .Later once it becomes popular consumers would ask for home delivery .You must prefer busy markets , educational institutes , multiplexes or malls or residential areas .Do a small surveys of your existing competitors in that area . Lesser the competition better are the chances of your bakery being successfull.
Product
Conduct a survey on bakery product which are in demand or popular .Do it by your self or take professional help in finding out the product . You can create a niche product are start popularising it .
Pricing
Once you start manufacturing these products you have to price your produt such
as it recovers all cost with reosanable profit .Also check your competitors pricing . Prices shouldn't be very high neither they should very low .
Promotion
Word to mouth is the best advertisement and is free .maintain good quality and service peoplewould start coming up to your shop . Throw a party among friends on inauguration ,distribute pamphlets ,brochure and leaflets to nearby areas .Put aside some budget for ads on local newspaper
Price
Discuss pricing strategy, expected volume, and decisions for the following pricing variables:
List price Discounts Bundling Payment terms and financing options Leasing options
Distribution (Place)
Decision variables include:
Distribution channels, such as direct, retail, distributors & intermediates Motivating the channel - for example, distributor margins Criteria for evaluating distributors Locations
Logistics, including transportation, warehousing, and order fulfilment
Promotion
Advertising, including how much and which media. Public relations Promotional programs Budget; determine break-even point for any additional spending Projected results of the promotional programs
VII. Short & Long-Term Projections
The selected strategy's immediate effects, expected long-term results, and any special actions required to achieve them. This section may include forecasts of revenues and expenses as well as the results of a break-even analysis.
What Makes Us Different
· Combining the high demand for fast quality coffee and pastry on-the-go with delivery service for those with no time to wait in line.
· Age-old methods of cake, pastry and candy making showcased in sensational fashion in our upscale bakery and coffee shop.
· Quick order turn-around cake delivery services within the ten block business district radius.
· Community donations
· Cake baking classes with business establishment assistance
VIII. Conclusion
Breadcrafter will sell its products to new and repeat customers from its storefront in the Green Lake Shopping Center, located on the busy stretch of M-17 between Port Hanover and Crescent Heights, Michigan. A large, tasteful,
storefront sign will catch the attention of passing motorists. The smell of bread as it comes from the oven will bring customers in from the parking lot. Breadcrafter will offer a sample of fresh baked bread to anyone who comes into the store.
Breadcrafter's products will be truly unique in the marketplace. The look, feel and taste of its breads, when compared with the competition, will underscore their quality and value. Many of the products, such as Pepper Parmesan Bread and Sourdough Baguettes, will not be available anywhere else. Breadcrafter will also actively encourage customer satisfaction. Our product line will react to the needs and desires of the customer, thereby encouraging repeat and word of mouth sales. As a small hands on facility Breadcrafter will have the freedom to react quickly and accurately to changes in the market. Due to its uniqueness and convenient location, Breadcrafter will become a destination for food lovers.
Printed advertisements, which will run opening week, will highlight bread as an everyday product, to be purchased fresh on a weekly or daily basis. More printed advertisements will run Labor Day weekend and during the Christmas season. Costs for these advertisements will be approximately $200 each.
Appendix
Exhibits
Calculations of market size, commissions, profit margins, break-even analyses, etc.
Why need a Marketing Plan ?
Marketing plan would consider following factors such as distribution costs, production costs, advertising expenses and any expense related to identifying and marketing the products to the consumers in the targeted markets. Marketing involves identifying, anticipating and satisfying customer needs. A marketing plan takes the stated aims and objectives and then puts in place a
series of marketing activities to ensure those objectives are achieved .Strategies as how these plans are going to be communicated or promoted to your end users
