HTM 2121Tourism and Hospitality Marketing

Marketing Plan – Bakery 

SEM008 Group E

Wong Hiu Tung 11276591DWong Ka 11064033D

Wong King Ngo 11309213DWong Wui In 11280590DYu Pak Tou 11084499D

Promotional Video

• http://www.youtube.com/watch?v=6HNw6iH3Yns&feature=youtu.be

Friendship Bakery

“Enjoy your own life through bread”

Business Type: Bakery Café Take away or enjoy food in our café

Location: Mong Kok

Product: -Bread and drinks-Special bar for customers to choose the stuffing for their toast

Introduction to our business

Environment : relaxingfar from the rush and stressed life in the reality

Theme: green

target customers : young peopleenhance and enjoy the friendship among their friends

Macro-environment Opportunities Threats

Suppliers -  The introduction of

“Energy Label” largely

reduces the electricity

cost. (e.g. German

Pool and Panasonic)

- Unavoidable increase

price in ingredients

like flour that are for

making bread.

Marketing intermediaries - Transfer of

responsibility of

promotion to the

marketing

intermediaries and

enjoy their expertise

- They are costly which

will definitely increase

the operation cost

Publics - Can be a kind of

advertisement that

free of charge

- Feedback from the

publics is subjective

which we cannot

control.

Micro-environment Opportunities Threats

Demographic - The place of our business concentrates a large number of

our target customers

- The number of teenagers is

decreasing recently

Economical - The growth of GDP encourages people to consume more - The growth of GDP may

discourage people from

consuming inferior goods

depending on the elasticity

of demand towards bread

- High rent

Technological - Technological advancement shortens the distance

between people

- There are promotion media which is free of charge and

they are popular in Hong Kong(e.g. Facebook)

- Intense competition among

competitors will increase.

Ecological - N/A - The impact posted by the

Global Warming which

causes the supply of

ingredients decreases.

Political-legal - N/A - Two License’ should be

applied

- The Chinese government

implements policies to limit

the exports to Hong Kong

Social-cultural - Coexistence of food culture and emphasizing efficiency

which add the possibility of a bakery café

- N/A

Current Main Competitor: La Bon Painsells similar products but does not provide the dining area for the customers.

Location

• Shop B, 100 Argyle Street, Mong Kok

Price

• $7-15 for each bread

Promotion

• boards with slogans to attract customers.

Strength

• high appraisal on the popular restaurant guide website Open Rice

• highly accessible

Weakness

• only students from nearby schools and residents are frequenters but few foreigner come

• high rent rate

break even within the first three months

35 to 50 customers for the café and sell 1500 buns for the bakery every day

10% to 20% sales growth

maintain our production costs at 75% of the mark-up price

“share of mind” & “share of heart”

Business Objective

Target MarketSegmentation

1.Demographic segmentationTarget customers : aged 15-24 years old875,234 people (12.4% of the population of Hong Kong)Location: Mong Kok one of the most densely populated areas in Hong Kong

2.Psychological segmentationOur target customers:Purchasing power low, not willing to spendMore willing to buy utility productsEasily influenced by peer

Targeting

Target teenagers who are aged 15-24. most teenagers concentrate at Mong Kok : stable customer flowprovide inexpensive bread and drinks

Position DecisionUniqueness and differentiableProvide a place for customer to consume our products which involve more interaction with customersSelf-serving serviceAffordable price

Marketing mix

Product

Price

Place

Promotion

Product Relaxing Environment

Self-served toast

Diverse breads

Beverage

Set menu

Pricing strategies1. Penetration pricingset our product price slightly lower than our competitor to attract customers’ interests stimulate purchase of new productsmonopolistic competition curiosity to experience our unique products

2. Discount pricingcash discount, quantity discount, or some promotional allowance

Price settingcost-based pricing methodsUnit cost = Variable cost+ fixed cost/ unit salesMark up price = Unit cost/ ( 1-desired return on sales)

self-served bread customer-based pricing a higher price

Pricing

Self-served toast

$25-$35

Diverse bread

$4-$13

Beverage$10-$25

Set menu$30-$45

PlaceGround floor, 8 Soares Avenue, Mong Kok

High population density and attractivenessTeenagers prefer to go at the weekend and holidays17 secondary school

High accessibility Nathan Road, which is the main thoroughfare in KowloonThree rail lines serve the district – Tsuen Wan line, Kwun Tong lins, and East Rail lineBus and mini bus can acecess too

Promotion1 ) Advertising

limited capital adopt some relatively inexpensive advertising manner

Distribution of leafletsFacebook Fans Page

2) Sales Promotion

Online CouponsCorporate with Students’ UnionStamp collection card

3) Monthly event -- The best toast of the month

Program Who is responsible

?

Date Budget

Distribution of leaflets Manager3 Employee

1 Jul to 31 Sept

$3000

Facebook Fans Page Manager Ongoing $0

Online Coupon Manager 1 Jul to 31 Sept

$0

Corporate with Students’ Union

Manager 1 Sept to 30 Jun

$0

    Stamp collection card Manager 1 Jul to 31 Sept

$1000

Monthly event -- The best toast of the month

Manager Ongoing $1000

Questionnaire for evaluation

Manager Ongoing $1000

  Total $6000

Implementation milestone (start from 1July)

Category Budget needed($)

Rent 65,000

Bill, Fire service, Fix up

60,000

Equipment and Inventory

(Refrigerator, oven, ect)

50,000

Raw materials for bread

20,000

Salaries, insurance, MPF

25,000

Promotion budget 6,000

Current asset 25,000

Total 251,000

Marketing Budget

Marketing controls

Feedback from customerquestionnaire food, service quality, environment, promotion manner positive feedback: retain it and keep their qualitynegative feedback:  investigate the roots of problems and then cope with them

Sales and market share analysismeasure the monthly growth of sales and market evaluate our competitiveness If cannot reach the objective enhance our promotion