Post on 03-Apr-2018
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Marketing Plan
1. Introduction
I am a student of Masters of Business Administration 1st semester. As a part of
Marketing Management course, I have to do a marketing plan on a new product. This is
an overwhelming opportunity for me to learn the how to write a successful marketing
plan.
1.1 Origin of the Report
Our Course instructor assigned us to make a marketing plan for Marketing Management
course. It is necessary to know how to make a marketing plan, because when we start any
business first we have to make proper marketing plan. I marketing plan is on carrot juice
and the business farm is Merriment Ltd.
1.2 Objective
The objective of this marketing plan is able to fulfill the requirements of Marketing
Management course. The main objective of this marketing plan is to get the knowledge
about how to conduct a marketing plan and its implementation.
1.3Scope
There are many opportunities to make new businesses. The raw materials are very simple
and available around us. As well as there are, demand also. So, we used the scope is to
take the opportunities and do a carrot juice business by introducing new Merriment Ltdfor the people. I have tried our level best to gathering the information regarding this type
of business.
1.4 Methodology
First, I have to follow the guidelines of our course instructor Shahin Ahmed Chowdhury.
I collect some information from the internet and I conduct a survey among the students.
Finally, analyze this information to complete the marketing plan.
1.5Limitations
To prepare this marketing plan I have faced lots of limitations, obstacles etc. At times, I
Ire thinking that I might not be able to submit the business plans on time. However,
thanks to Almighty that it was not happen. The limitations are:
Cost limitations
Time limitations
Unavailability of information
Inaccurate of data
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Marketing Plan
In cooperation of respondent
2. Product Overview
The name of my company is Merriment Ltd which is a manufacturer of carrot juice.
The product name is Merriment Carrot Juice, which is very beneficial for the health
conscious generation. This company will be started next year and the location of
Merriment Ltd will be in Gazipur.
2.1 Objectives of Merriment:
The main objective of Merriment Ltd is to provide pure and natural vegetable (carrot)
juice to the customer that is why customers become beneficial by having this.
3. Product Description
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Marketing Plan
This is a picture of carrot juice milk, which contains both carrot, and milk. Both of the
ingredients of the juice are very healthy and useful for human body. This products price
should be Tk 30 for 250ml and Tk 45 for 500 ml. Target customer of this product are the
health conscious generation.
3.1 Features and Benefits of Carrot Juice:
Features Benefits1) An eight ounces of carrot juice can
contain as much as 800% of once daily
recommended dosage of vitamin A.
1) Vitamin A is essential and necessary for
tissue growth, especially within the bones.
Deficiencies in Vitamin A can causedryness and damage to the skin, nails and
hair. Drinking carrot juice to produce
Vitamin A is said to benefit many different
parts of the body. Vitamin A alsostrengthens bones and teeth.
2) Carrot juice contains high amounts of
beta-carotene. Beta-carotene changes to
Vitamin A in the body.
2) Carrot juice is thought to reduce the
risks of many different types of cancer
including skin and breast cancer. The
cancer-fighting properties of carrot juiceare often thought to be excellent due to the
high amounts of beta-carotene.
3) Carrot juice is also an excellent smyce of
vitamin C.
3) So carrot juice which provides vitamin
C, that has a wide variety of uses
throughout my entire body, such as
collagen production of the mucousmembranes, skin, bones, and teeth. Vitamin
C is also a very crucial antioxidant.
4) Carrot juice is an excellent drinkable
smyce of potassium.
4) So carrot juice is very important in
helping to maintain a healthy electrolyte
balance and fluid level in the cells of ymybody.
5) Carrot juice also provide calcium whichis very necessary for the body.
5) It is very important to receive a healthylevel of calcium in once daily diet. Bones
and teeth are dependent on calcium for
growth and formation, especially the
skeletal structure and development ofchildren.
6) It also contains vitamin E. 6) Drinking carrot juice is also thought tobe good for reproductive health due to the
Vitamin E content. This vitamin E is also
very important for beautiful hair and skin.
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http://www.wisegeek.com/what-are-the-different-types-of-breast-cancer.htmhttp://www.wisegeek.com/what-are-the-different-types-of-breast-cancer.htm7/29/2019 Merriment Ltd
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Marketing Plan
4. Market and Industry Analysis
4.1 Opportunity analysis:
Factors Carrot Juice
Market size 3
Market Growth 3
Availability of Technology 4
Availability of Raw Materials 5
-Price of Raw Materials (2)
Availability of Infrastructure, Location 3
- Price of Location (3)
Chances of Making Profit 4
Here, 5 = Very high
4 = High
3 = Average
2 = Low
1 = Very low
Market Size: Market size of Carrot juice is average. Because in my country healthconscious people are not so high in number, they remain at moderate number.
Market Growth: Market growth is also at average level because market size is inaverage context.
Availability of Technology: Technology of making carrot juice is available here.
Availability of Raw Materials: Carrots are highly available in my country. For this
reason, raw materials are also highly available here.
Price of Raw Materials: Because of raw materials, highly availability price of raw
materials remains low.
Availability of Infrastructure, Location: Infrastructure and locations are available for
Merriment Ltd.
Price of Location: Price of location is moderate.
Chances of Making Profit: Chances of making profit is high because day-by-day people
become more health conscious.
4.2 Industry analysis:
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Marketing Plan
Agriculture industry in Bangladesh accounts for about 22% of the gross domestic product
(GDP) and another 33% of GDP is contributed by the rural non-farm econoI, which is
also linked to agriculture. Thus, agriculture and rural non-farm econoI are the main
smyces of livelihood for rural people. Despite substantial progress in overall poverty
reduction, about half of the population still lives below the poverty line. With almost 85
out of 100 poor people living in the rural areas, poverty in Bangladesh is largely a rural
phenomenon. Improved economic performance of the agriculture and the rural non-farm
sectors is, therefore, critical to reducing poverty. Progress in agriculture, which was led
by market reforms, high yielding varieties, fertilizer use, assured irrigation through
shallow tube Ills and boro season rice, was also responsible for near self-sufficiency in
rice production which was considered only a distant dream in early 1970s.
The Ministry of Agriculture is working to develop the agricultural sector of Bangladeshthrough numerous projects and agencies. This ministry addresses to the highest number
of stakeholder in the country. The business scope ranges from crop development to agro-
based industries with research on agriculture, agricultural engineering and agro-
economics.
The economics of Bangladesh is predominantly agricultural. Since the birth of
Bangladesh, the country has achieved an incredible growth in food production and
reached towards self-sufficiency by the year 1990. About 80 percent of the total
population lives in rural areas, and 62 percent of them are directly, and others are
indirectly engaged in a wide range of agricultural activities. The agricultural sector
contributes around 29 percent of the country's Gross Domestic Product (GDP) and
generates employment for 63 percent of the total labor force. The general agricultural
sectors are Rice crops, Jute, Cotton, Sugarcane, FloIr, Sericulture, Horticulture, Fisheries,
Vegetables, Livestock, Soil Development, Seed development and distribution. Nuclear
Agriculture has brought a new dynamic change in the agricultural sectors of Bangladesh.
This grand success has mainly been brought by the farmers through using modern
technologies developed by research organizations and effective Agricultural Extension
Services of the Department of Agricultural Extension (DAE). BADC is entrusted with the
task of multiplication, production and supply of high-yielding varieties of seeds. It has 21
Seed Multiplication Farms and 15 Contract GroIrs Zones for this purpose. Later, Seeds
are mechanically processed in 12 Seed Processing Centers in and around the seed
production zones.
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http://www.moa.gov.bd/http://www.moa.gov.bd/7/29/2019 Merriment Ltd
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Marketing Plan
4.3 Competitive Environment:
Companyname
Brand
Productor
Servicequality
Production
Quality
Unique
Features
Distribution
System
Marketing/
Advertising
Packing
Geographic
Location M
arket
Share
Transcom
Beverage
Pepsi,
7up,
Mirin
da
H M L L L H L
M
Agricultur
e
Marketing
Company
Limited
Pran H H L H H M L
H
Partex
Group
RC
Cola,
Lyche
na,
Danis
h
H M L H H L L
H
Akiz
Group
Mojo,
Lemu,
Frutik
a
M M H L H M L
L
If we see the matrix, here in Transcom beverage, Pran group, Partex Group and Akiz
Group has some low factor. Those are unique features, distribution system, Marketing /
advertising,Geographic Location andMarket Share. Therefore, it could be competitive
advantaged for my company. By making attractive feature, improving distribution system
and providing best marketing to all of the people, we can make profit and take a good
position in market.
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Marketing Plan
4.4 Market Size and Growth:
I consider Gulshan area for my product. Gulshan thana area is considered as the New
Dhaka where most of the foreign missions are located. Besides, it has been developed as
a major residential area.
Population 156603; male 54.95%, female 45.05%; Muslim 93.65%, Hindu 4.88%,
Christian 1.38% and others 0.09%; population density per sq km is 3828.
4.5 Target Market:
Target customer is all educated and health conscious generation of Gulshan area. Three
are Literacy and educational institutions Average literacy 59.7%; male 66.4% and female
51.2% and 35% people are highly or all educated. I choose these 35% Ill educated people
for my product. This carrot juice is mostly for teenage, young, health conscious people
and older people.
4.5.1 Sales analysis
Per year Revenue: 50896*26*30 =39698880 Tk (Here 30tk is per bottle cost and
customers consume one juice in every two Ieks)
Per month Revenue: 39698880/12 =3308240 Tk
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Marketing Plan
5. Marketing Plan
5.1 Target Market Strategy:My target market is health conscious generation of Gulshan area of Dhaka. I chose single
segment Strategy to select my target market. Carrot juice is a new concept in our country.
To make aware of the people of the country about carrot juice and its advantage I have to
step forward step by step and my business which I will gong to open in near future issmall concern. So it is not possible to pick all general customers and I have to focus on
specific customer group. Thats why choose single segment strategy.
5.2 Marketing Mix:
5.2.1: Product-The product is titled Merriment, carrot juice. It is superior in quality
and taste. The juice contains uniform carrot pieces which gives the juice an all originaland natural taste. It is pure orange in color, exactly the color of juice at the time of
extraction. It does not contain any sort of additives such as added sugar and preservatives,
just purity.
5.2.2: Pricing: As I are targeting the health conscious generation of Gulshan area the
price must be affordable to consumers. Consumers are ready to shell out little extra
money for the exotic and classic drink that has many health benefits. Merrimentcarrot
juice will be priced as follows:
250 ml = T.K. 30
500 ml = T.K. 45
5.2.3 Promotion: The promotional efforts will be on two fronts i.e. on my direct
customers and the end consumers.
Advertising: Advertising will be exercised with a media mix, which will consist of:
Print Media: Print Media will be used in the form of news papers of various languages.
Print media will be mainly used with a purpose of communicating and complimenting mysales promotion schemes to pursue and gives us visibility.
Budget: 5000tk
Audio: FM Radio will be a key element in my media mix as it is cost effective and will
cover my target market. This will help us reach out to my target audience and the
influencers.Budget: 8000tk
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Marketing Plan
Transit Advertisement: Posters will be created by the company during the events and
will be carrying the company logo, brand name, the picture, and the tag line. Theseposters are used for transit advertisement.
Budget: 5000tk
5.4 SWOT Analysis:
Strengths:
Innovative flavor hence Merriment is bound to get the attention with proper
communication.
Committed, capable and ambitious management.
Merriment can gain incentives and capture more market.
Flexibility in the operations as initially Merriment will be confined to Gulshan area so
it can focus its efforts on the tasks.
Weakness:
Merriments distribution set up initially will be weak when compared to the others in
the market.
Carrot juice is new in the market and not all people take the risk of experimenting
with taste.
Opportunity:
The market is in a growing stage and fairly small in terms of market share as
compared to other thirst quenching and healthy drinks so at this stage my entry is
expected to be noticed.
The market has a presence of only few players and they are not too aggressive in their
acts.
More and more people in the urban areas are getting health conscious and are making
vegetable juice a part of their daily diet. Hence the market is growing.
The government policies are expected and are showing trends to encmyage the food
processing industry.
Threats:
The competitors have strong brand images in the market because of their other
businesses and their presence in the market from an early stage.
Bangladesh market has characteristic of serving a wide variety people, which is a
challenge for all the marketers.
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Marketing Plan
Others can adopt the flavor and the value of a unique flavor could be neutralized
soon.
6. Management planOrganization chart:In my company, there are nine employees. Five are director,
three are workers and one is mechanic engineer.
The organizational structure is the overview of an organization it reflects the business
nature, business type, responsibilities and the organizations overall picture. The
Merriment Ltd. organizational structure is designed with few common functional
departments of the organization.
Definition of the Organogram Short Notes
CEO = Chief Executive Officer
HOFA = Head of Finance & Accounting
HOT= Head of Technical
HOM= Head of Marketing
HOO = Head of Operation
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HOFA = Head of Foreign Affairs
7. Financial Plan
8.1 Capitalization Plan:
Initial start-up cost:
Equipment & machinery = 182000tk
Furniture & Fixture = 130000tk
Legal & Professional Fees = 3000tk
Vehicles = 300000tk
Other cots and services = 20000
Total initial start-up cost = 635000tk
Fixed Operating costs:
Insurance = 4200tk
Operating loan payments = 20000tk
Phone = 5000tk
Rent = 120000tk
Variable Cost:
Advertising = 28000tk
Building & equipment maintenance = 20000tkEmployee wages = 150000tk
Utilities = 4000tk
Other supplies & purchases & expenses = 75000tk
Total operating cost = 426200tk
Total estimated start-up costs: (635000+426200) = 1061200tk
Recommended start-up capital required (add 25%) = 1061200*25% = 1326500 tk.
8.2 Uses of fund statement:
Merriment has to take 1000000 taka bank loans. From these bank loans 700000 tk
utilized for factory machinery and office equipments and rest of the bank loans are
utilized for other purposes. There are five directors in this company. Each director gives
200000 tk to establish Merriment.
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Marketing Plan
8.3 Pro-forma statement:
Pro Forma Income Statement
2010 2011 2012
Sales 39698880 42080812 44605660
Direct Cost of Sales 1984944 841616.24 446056
Other 0 0 0
------------ ------------ ------------
Total Cost of Sales 1984944 841616.24 446056
Gross Margin 37713936 41239195.7
6
43713546.8
Expenses:
Payroll 8336764.8 3366464.96 2230283
Sales and Marketing and Other
Expenses
1190966 420808 446056
Depreciation 0 0 0
Legal Fees 300 300 300
Utilities 3,600 3,600 3,600
Insurance 4,200 4,200 4,200
Mortgage 1587955 420808 446056
Payroll Taxes 1190966 420808 446056
Other 0 0 0
Total Operating Expenses 12306652.8 4628889.32 3568452.8
Profit Before Interest and Taxes 25010294.4 36610306.4
4
40591150.6
Interest Expense 1587955.2 420808.12 36,131
Taxes Incurred 5954832 8836970.52 10259301.8
Net Profit 17467507.2 26931719.6
8
30193571
Net Profit/Sales 44.04% 64.23% 67.69%
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Marketing Plan
Pro forma Balance Sheet
Assets
Current Assets 2010 2011 2012
Cash 1326500 1459150 1605065
Accounts Receivable 66325 29183 32101
Other Current Assets 79590 14591.5 16050
Total Current Assets 1472415 1517516 1637166
Long-term AssetsLong-term Assets 756105 145915 64202
Accumulated
Depreciation
0 0 0
Total Long-term Assets 756105 145915 64202
Total Assets 2228520 1663431 1701369
Liabilities and Capital
Current Liabilities 2009 2010 2011
Accounts Payable 79590 29183 32101
Current Borrowing 212240 43774 16050
Other Current Liabilities 212240 43774.5 16050
Subtotal Current
Liabilities
490805 116732 64202
Long-term Liabilities 1127525 145915 32101
Total Liabilities 1618330 262647 96304
Paid-in Capital 0 0 0
Retained Earnings (902020) 116732 609924
Earnings 1512210 1269460 995140
Total Capital 610190 1386192 1605065
Total Liabilities andCapital
2220520 1663431 1701369
Net Worth 610190 1386192 1605065
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Conclusion
The product is titled Merriment, carrot juice. The main objective of Merriment Ltd is
to provide pure and natural vegetable (carrot) juice to the customer thats why customers
become beneficial by having this. Market size of Carrot juice is average. Technology of
making carrot juice is available here. In my country, carrots are available so I can get raw
material so easily. This products price should be Tk 30 for 250ml and Tk 45 for 500 ml.
Target customer of this product are the health conscious generation. This business plan of
Merriment carrot juice I can say that Merriment Ltd. If Merriment could capture its
target customer then it will increase its range of business and also increase the variety of
products means variety of vegetable juice.
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