marketing new product development

8/9/2019 marketing new product development

1/52

MUGHAL DARBAR 1

Table of ContentsTable of Contents ........................................................................................................... 1INTRODUCTION .................................................................................... 7

GROUP:........................................................................................................................... 7

IDEA:............................................................................................................................... 7

...................................................................................................................................... 8

ORGANIZATIONAL PROFILE ............................................................................................. 8

Name of organization .................................................................................................. 8

Nature of organization ................................................................................................. 8

Type of organization .................................................................................................... 8

MISSION VISION & VALUES .......................................................................................... 9

OUR MISSION STATMENT ................................................................................................ 9

OUR VISION .................................................................................................................... 9

OUR VALUES ................................................................................................................. 10

OUR SLOGAN ................................................................................................................ 10

GOALS & OBJECTIVES .......................................................................... 11

MANAGERIAL HIERARCHY .................................................................... 12

General Manager: ........................................................................................................ 12

Retail Manager: ............................................................................................................ 13

Marketing Manager: ..................................................................................................... 13

Accounts Manager: ....................................................................................................... 13

OPERATIONS OF THE RETAIL OUTLET: .................................................. 14

EXTERNAL MARKET ANANLYSIS (PEST ANALYSIS) ................................. 16

1)DEMOGRAPHICAL FACTORS:.................................................................................. 16

a) Age: .......................................................................................................................... 16

b) Gender: .................................................................................................................... 16

c) Household Size: ........................................................................................................ 16

d) Population: ............................................................................................................... 16

2) ECONOMICAL FACTORS: ........................................................................................ 16


2/52

MUGHAL DARBAR 2a) Income: .................................................................................................................... 17

b) Consumption Behavior: ............................................................................................ 17

c) Payment Methods: .................................................................................................... 17

3) TECHNOLOGICAL FACTORS:.................................................................................. 17

a) Pace of Change: ....................................................................................... 17

b) Research & Development: ........................................................................................ 17

c) Capital Formation: .................................................................................................... 18

4) POLITICAL FACTORS:............................................................................................. 18

a) Government Policies: ............................................................................................... 18

b) Price Policies: ........................................................................................................... 18

c) Political Stability: ...................................................................................................... 18

5) ETHICAL/LEGAL FACTORS: ..................................................................................... 18

a) Business Law: ........................................................................................................... 19

b) Social Responsibilities & Ethics: ............................................................................... 19

6) SOCIAL/CULTURAL FACTORS: ................................................................................ 19

a) Social Class: ............................................................................................................. 19

b) Culture: .................................................................................................................... 19

c) Religion:................................................................................................................... 19

MARKET INFORMATION SYSTEM .......................................................... 20Data sources ............................................................................................................. 20

Research approach .................................................................................................... 20

Contact methods ....................................................................................................... 20

CONSUMER BEHAVIOR: ....................................................................... 21

COMPETITORS ANALYSIS: ................................................................... 22

PRE-MARKETING MIX .......................................................................... 24

1) SEGMENTATION:- .................................................................................................. 24

Behavioral Segmentation:- .................................................................. 24

Occasional Segmentation: ................................................................... 25

b.Traditions & Customs: ..................................................................... 25

Benefit Segmentation: ........................................................................ 25

Psychological Segmentation: .............................................................. 25

2)TARGETING: ........................................................................................................... 27


3/52

MUGHAL DARBAR 3A.Segmented Marketing: .................................................................... 27

B.Concentrated Marketing: ................................................................. 27

Targeting Strategy Use by Our Restaurants .............................................................. 27

Pattern of Target Market Selection ............................................................................... 28

PATRON OF TARGETING ............................................................................................ 30

3)POSITIONING .......................................................................................................... 31

Positioning statement ................................................................................................ 31

Positioning attributes ................................................................................................ 31

4)DIFFERENTIATION: .................................................................................................. 32

MARKETING MIX ................................................................................. 33

PRODUCT:................................................................................................................. 33

Concrete attributes ...................................................................................................... 34

Abstract attributes ........................................................................................................ 34

Tools of brand building used by Mughal Darbar ........................................................... 35

Mughlai Food, World Wide & Fast Food, Drinks: ........................................................... 35

PRODUCT LIFE CYCLE: ............................................................................................... 37

PLACE:....................................................................................................................... 39

PRICING: .................................................................................................................... 39

Why Premium Strategy? ............................................................................................... 39

PROMOTIONAL MIX .................................................................................................... 40

Advertising .................................................................................................................. 40

How Five Ms Were Used ............................................................................................. 40

Billboards ...................................................................................................................... 41

TV and cable ................................................................................................................. 41

Banners ........................................................................................................................ 42

Weekly and Fashion Magazines .................................................................................... 42

Sales Promotion And Publicity ..................................................................................... 42

We can conduct shows like we can hire different models they will

endorse our product ........................................................................... 42

Public Relationing ........................................................................................................ 42


4/52

MUGHAL DARBAR 4We can offer different deals with our different meals so that we can earn

more and more customers. We will offer discount cards to our gold and

platinum customers. ........................................................................... 42

Direct Marketing ........................................................................................................... 42

Our website is having enormous information about our offerings and is

providing knowledge about our cuisines, interiors, food hygiene what

changes we do after months or a year and we inform our gold and

platinum customers by mail or by calling them. By pamphlets & through

e-mail. ............................................................................................... 42

SWOT ANALYSIS: ................................................................................ 43

Strengths: ..................................................................................................................... 43

Weaknesses: ................................................................................................................ 43

Opportunities: ............................................................................................................... 44

Threats: ........................................................................................................................ 44

BCG MATRIX ....................................................................................... 45

FINANCIAL PLAN: ................................................................................ 46

FINANCIAL PLAN:.......................................................................................................... 46

LAND: ........................................................................................................................... 46

PROMOTION: ................................................................................................................. 46

PROJECT INVESTMENT .................................................................................................. 47

ITEMS .......................................................................................................................... 47

COST (Rs) ..................................................................................................................... 47

Construction cost all inclusive ...................................................................................... 47

4,807,000 ..................................................................................................................... 47

Dining &b office Furniture ............................................................................................ 47

942,950 ........................................................................................................................ 47

Equipment & Machinery ............................................................................................... 47

15, 67,000 .................................................................................................................... 47

Advance rent ................................................................................................................ 47

2,200,000 ..................................................................................................................... 47

Working Capital............................................................................................................ 47

4,036,000 ..................................................................................................................... 47

Total............................................................................................................................. 47


5/52

MUGHAL DARBAR 513,552,950 ................................................................................................................... 47

MONTHLY WAGES: ....................................................................................................... 48

DESIGNATION/ TYPE ..................................................................................................... 48

NUMBER ....................................................................................................................... 48

MONTHLY SALARY (Rs) ................................................................................................. 48

Owner ........................................................................................................................... 48

5 ................................................................................................................................... 48

-.................................................................................................................................... 48

Kitchen Supervisor ....................................................................................................... 48

4 ................................................................................................................................... 48

12,000 .......................................................................................................................... 48

Cook ............................................................................................................................. 48

7 ................................................................................................................................... 48

24,000 .......................................................................................................................... 48

Server ........................................................................................................................... 48

10 ................................................................................................................................. 48

12,000 .......................................................................................................................... 48

Menu taker ................................................................................................................... 48

6 ................................................................................................................................... 48

9,000 ............................................................................................................................ 48

Dishwasher ................................................................................................................... 48

4 ................................................................................................................................... 48

10,000 .......................................................................................................................... 48

Cleaner ......................................................................................................................... 48

2 ................................................................................................................................... 48

6,000 ............................................................................................................................ 48

Guard ........................................................................................................................... 48

3 ................................................................................................................................... 48

8,000 ............................................................................................................................ 48

Boatperson ................................................................................................................... 48

5 ................................................................................................................................... 48

22,000 .......................................................................................................................... 48


6/52

MUGHAL DARBAR 6Total............................................................................................................................. 48

46 ................................................................................................................................. 48

103,000 ........................................................................................................................ 48

COST OF CAPITAL ......................................................................................................... 48

PROBLEMS FACED BY THE BRAND ........................................................ 49

SUMMARY .......................................................................................... 50

FUTURE PLANS .................................................................................. 51

SUGGESTION & RECOMMENDATIONS ................................................... 52


7/52

MUGHAL DARBAR 7

INTRODUCTION

GROUP:

Our group is consisting of FIVE members i.e. Zeeshan Arshad, Zuhaib Hassan,

Amna Sarwar,Fiaza Gulam Nabi and Salman Pervaiz. We are all dedicated to work

and hate plagiarism and this project is totally our own work and struggle.

IDEA:As we have given the task to start up any business in the city of Lahore which is new

in its concept and do have uniqueness and would be different from other any retail

outlet of its kind. So we are coming with the idea of opening a restaurant which is

unlike any other restaurant in Lahore as well as in Pakistan.

Our idea is open a restaurant into the Baradari inside river Ravi which would be quite

helpful in promoting our own culture through food music and art. The name of the

restaurant will be The Mughal Darbar because it will be open in the historic Baradari

inside river Ravi which is one of the symbols of the great Mughal era.

The food which we will serve is not totally Mughlai food but we are keen to

provide world wide range of food & we will also provide great service to our

valuable customers.


8/52

MUGHAL DARBAR 8

ORGANIZATIONAL PROFILE

Name of organization

MUGHAL DARBAR

Nature of organization

Local

Type of organization

Profit oriented


9/52

MUGHAL DARBAR 9

MISSION VISION & VALUES

OUR MISSION STATMENT

Every thing we do is inspired of our enduring mission:

Our aim is to provide happiness and joy through, traditional &world

wide food, music and art at a unique and historic location. At Mughal

Darbar we are dedicated to taking the extra step at every level to be the

best we can be!

OUR VISION

To achieve sustainable growth, we have established a vision with Clear goals:

Being a great place to work where people are inspired to be the best they can

be.

Being a responsible citizen that makes a difference.

Bringing to the country a portfolio with variety of dishes that anticipate and

satisfy peoples' desires and needs.

Nurturing a winning network of partners and building mutual loyalty

Maximizing return to shareowners while being mindful of our overall

responsibilities


10/52

MUGHAL DARBAR 10

OUR VALUES

We are guided by shared Values that we will live by as a company and asindividuals:

Leadership: The courage to shape a better future

Passion: Committed in heart and mind

Integrity: Be real Accountability: If it is to be, it's up sto me

Collaboration: Leverage collective genius

Innovation: Seek, imagine, create, delight

Quality: What we do, we do well

OUR SLOGAN


11/52

MUGHAL DARBAR 11

GOALS & OBJECTIVES

Providing every guest with healthy delicious and fresh food

products served by efficient, friendly employees in an interesting

architectural setting.

Treating every guest as warmly in our restaurants as they would be

treated as guests in their own homes.

Assuring an excellent overall value. Not only in terms of the quality

and quantity of food and beverage served, but quality in ambiance

and service as well.

Remembering that dining out should be entertaining! Thereforemaking interesting and historic settings and create attractive, exciting

dcor.

To ensure that all guests and staff are treated with the respect anddignity they deserve.

To thank each guest for the opportunity to serve them.

By maintaining these goals and objectives we shall be assured of afair profit that will allow us to contribute to the community we serve.


12/52

MUGHAL DARBAR 12

MANAGERIAL HIERARCHY

Our managerial hierarchy will consist of the following staff.

General Manager:

The GM will be responsible for the all the aspects of regarding restaurant.Under GM there will be one retail manager, accounts manager, purchase manager

and a marketing manager as well. The responsibilities of the GM will be taken by

Salman Pervaiz


13/52

MUGHAL DARBAR 13Retail Manager:

The retail manager will be responsible for all the activities regarding the

customers. Under retail manager there will be one retail supervisor who will receive

the customers and both of them will manage the restaurant staff which includes

cooks, waiters, security staff etc. But the main duty of the retail manager will be to

maintain Total Quality Management in every aspect of the restaurant. The retail

manager will be Zeeshan Arshad.

Marketing Manager:

The responsibilities of the marketing manager will be to create awareness

among the potential customers. He will design such billboards and other tools which

will attract customers to our restaurant. There is one marketing assistant who is kind

of a helper for the marketing manager. But the main responsibility of the assistant

manager is that he will take care the ambience of the outlet. And the marketing

managers will be Faiza Gulam Nabi.

Accounts Manager:

The accounts manger will be hired he is not one of us. He must have the

minimum experience of 5 years in any keeping the accounts of any restaurant. He

will responsible for keeping all major transactions of the inventories. Under the

accounts manager there will be 3 assistant managers.

Purchase Manager: The responsibilities of the purchase manager include the

daily, weekly and monthly purchases of inventory. He will be helped by two workers.

He will be also hired and must have experience of minimum 5 years experience in

purchasing.


14/52

MUGHAL DARBAR 14

OPERATIONS OF THE RETAIL

OUTLET:


15/52

MUGHAL DARBAR 15The operations we are going to perform in our restaurants

are listed below.

As soon as any customer will park its car at the parking area situated at the

bank of the river Ravi, our alert crew of boats will receive them and take them

in the boat towards the stairs of the Baradari.

At the same time our customers will enjoy the boating.

As soon as they reach stairs, the retail supervisor with two waiters will receive

them and take them towards restaurant.

While reaching restaurant the customers can choose its favorite table at the

dining area or at open air near the fountains.

If he or she reserved its table before, then the retail supervisor take them to

their reserved table.

At soon as they will sit a waiter will take order from them and within 15

minutes their order will deliver.

After the lunch or dinner the customers will grant with gifts which includes

antique decoration pieces.

The children with families will be given with free ice-cream and some toys

also.

After that if customer wants to walk around the Baradarri, our supervisorhimself take them and show them all the arrangements.

There is also a little zoo there which includes the peacocks which was the most

favorite bird of the Mughal Emperors.


16/52

MUGHAL DARBAR 16

EXTERNAL MARKET ANANLYSIS(PEST ANALYSIS)

1) DEMOGRAPHICAL FACTORS:

Following factors included in the demographical factors of the pest analysis ofMughal Darbar Restaurant:

a) Age:

Generally there is no age limit which is focus by us. We are targeting & focusing oneach and every age of the society. But for somehow we target heavily on to theyoungster as compared to the middle & old age because of their consumption

behavior.

b) Gender:

In this case we are generally focusing on the both Males & Females of the society &similarly target them.

c)Household Size:

Household size plays a vital role in the demographical factor of our Restaurant.Generally we target the whole family as well as single family members. Thats whywe introduced many family packages which is suitable for the whole family.

d) Population:

Population also plays a vital role in the demographical factor of our Restaurant. In

the light of this population we can make our strategy.

2) ECONOMICAL FACTORS:

Following factors are included in the economical factors of MughalDarbar Restaurant:-


17/52

MUGHAL DARBAR 17

a) Income:

Income is an important economical factor. This factor decides which class you are

going to target. In start we are targeting the low & middle class just to check thedemand of such a restaurant. After that now we are also focusing on the upper class

people to offering family packages.

b) Consumption Behavior:

We are also estimated the consumption behavior of the people, their liking anddisliking and make decision accordingly about the new menu.

c) Payment Methods:

Payment method is an important factor in the economical factor. We can check thebehavior of the people regarding the payment methods. Our payment method is cashas well as plastic money i.e. Credit card.

3) TECHNOLOGICAL FACTORS:Following are the factors included in the technological factor of the

Restaurant:-

a) Pace of Change:

Pace of change mean rate of change. We have a strategy to introduce newtechnology for food whenever we think it is a time to introduce newtechnology.

b) Research & Development:

Research & Development is also an important factor in the Technological factor. Weare always support the work of research & development. Their main evidence is thatwhenever we introduce new product it require a complete market research.


18/52

MUGHAL DARBAR 18

c) Capital Formation:

Capital formation means stock of machinery. So far this is the weak point that we

have the availability of new and fresh stock of machinery.

4) POLITICAL FACTORS:

Following are the factor involve in the political factors of our Restaurant:-

a) Government Policies:

Although the Government policies is not stickle observed in our country, but we areobeying all the policies of the Government which is require for us to run this businessactivities. We are handling this situation very tactfully and obey the policies of theGovernment as prescribe by the government in order to run this kind of business.

b) Price Policies:

Price policies are also an important factor. We are designing our price policies

keeping in view the income & income distribution of the people living in the country.Thats why all the classes are the target market of our restaurant.

c) Political Stability:

Political stability is important if we want to expand our restaurant business. But so farin our country there is political instability which is very harmful.

5) ETHICAL/LEGAL FACTORS:

Following are the important factors which is included in the ethical/legal factor of theRestaurant Business:-


19/52

MUGHAL DARBAR 19

a) Business Law:

Just like the Government Policies the business units which are working in the country

also regulate the law regarding the nature of business. We are fulfilling are thebusiness law obligation which is require for such a business. We are not offering anything that is illegal.

b) Social Responsibilities & Ethics:

Social Responsibilities & Ethics are the important factor. We are trying our level bestto fulfill this factor.

6) SOCIAL/CULTURAL FACTORS:

Social/Cultural Factors includes the following things:-

a) Social Class:

As we discuss earlier that our Restaurant target all the class including the upperclass, upper middle and lower middle class etc.

b) Culture:

Our Restaurant also fulfills the culture aspect. We are not offering any thing that isillegal in our culture.

c) Religion:

Besides fulfilling the culture aspect we are also fulfilling the religious aspect as well.We are 100% deal in Halal food.


20/52

MUGHAL DARBAR 20

MARKET INFORMATION SYSTEM

Data sourcesWhile doing the research data was collected by using both, primary and secondary sources.

In secondary sources we analyzed the data already present on internet and through other

sources like competitors sales analysis etc. For gathering the primary data, a survey

questionnaire was surveyed and personal interviews were also conducted. Moreover,

different colleges and universities were visited by our teams of cooking expert to assess to

taste of the youth. It was also an activity of creating hype about the product before its

launch.

Research approach

Approach adopted for the research included questionnaire that included different open

ended and closed-ended questions to assess the taste, demand and expectations of the people

from a new brand. Theses questions were designed in a way so that data collector can

express its views in open-ended part and then in closed-ended part of the questionnaire,

peoples response under certain possibilities were assessed. Personal interviews of peoplewere also conducted. Armature cooking shows were organized and sponsored in different

cooking schools and concern colleges, which not only provided the opportunity of assessing

peoples expectations but also became a source of awareness of traditional restaurant among

people, before its launch.

Contact methods

Data collect were contacted in both physical and indirect ways. Questionnaires were given

by hand and interviews were conducted physically. In cooking shows & cooking

competition behavior of people towards different type of dishes and taste were also

observed.


21/52

MUGHAL DARBAR 21

CONSUMER BEHAVIOR:The people of LAHORE are very much fond of food and they can even travel

to far place to taste good and traditional food. Theres also a class in Lahore who not

only want good food but also want a cool ambiance with prestigious services.

Nowadays every restaurant is almost same as they are providing the same food

like Fast & junk food, Italian, Continental, Chinese, Mexican and desi food as well.

But almost none of them are offering our traditional food and almost every second

restaurant is same so thats why we are going to give a change in restaurant industry.

For example CUKUS CAF is also providing some kind of traditional food

and it is situated in red light area but still people are going there because from its roof

a person can have a birds eye view of Lahore and some traditional buildings like

BADSHAHI MOSQUE, LAHORE FORT etc. Because of their location competitive

advantage they are charging the premium prices and still people love to visit this

restaurant.

So keeping in view all these aspects we have decided to open a restaurant

which will be unique in its location, building, food, services and to sum extent price

also.


22/52

MUGHAL DARBAR 22

COMPETITORS ANALYSIS:

Lahore is cultural, intellectual and artistic center of the nation. Itsfaded elegance, busy streets and bazaars, and wide variety of

Islamic and British architecture make it a city full of atmosphere,

contrast and surprise.

The warm and receptive people of Lahore are known for their

traditional hospitality. This is a city of vivid differences, of

haunting nuances; where bustling bazaars, frenetic streets,

glorious fading elegance, British Architecture and echoing

atmosphere of city's many mosques merge together into a historythat is both dramatic and fascinating.

Lahore is country's undisputed centre of Cultural life. When

somebody is asked to define the particular charm of their city,

Lahoris are apt to shrug and respond with a laconic, 'Lahore is

Lahore'.

Being the center of cultural and literary activities it may rightly be

called the cultural capital of Pakistan.

One of the major factors and aspects to be analyzed in the business is competitor. It isthe force which can cause distortion of greatest extent in the business .in Pakistan andin the world, there are countless examples Dentonic ruined away hussain manjan.

Now many companies are designing advertising campaigns on the positioningstrategy of competitors. The core function of business is to find out the competitiveadvantage so that the product and the business can be differentiated.

Competitors can be categorized as two groups

1. Direct competitors

2 .Indirect competitors


23/52

MUGHAL DARBAR 23

Direct Competitors

Direct competition is the guide line of the strategies. Direct competition explains the

sort of strategy with which a company should poke into the field. If directcompetition is intensive then companies go for innovation

The direct competitors for our restaurant is Cukoos, Village and Fazal-haq, Derabecause all of them are selling the continental dishes along with the environment thespecialty or attractiveness of Cukoos is the place.

Some one can view the whole Badhshahi Mosque and glimpse of Lahore fort fromhere, which are the pillars for the popularity of Lahore village, is selling in the plateof culture .The view and the environment along with food showing the rich culture of

Punjab and Lahore.Fazal haq also positioned on cultural aspects of Punjab and its food .There are fewmore but these are direct competitors who can influence the decisions of ourrestaurant because of similar segments and offerings

Indirect Competitors.

Lahore is crowded with a change of restaurant in every corner of the city.

The basic and main source of enjoyment for people is hoteling .Thats why many

hotels have opened .They are positioned for hotels or restaurants for all food .Theyalso have offers which we are offering but the difference is the environment . So theycan not be ignored or taken as for granted. Basically, in the service sectordifferentiation is of the services which we are offering and the environment in whichit is to be served.

If we go more generic then fast food restaurant are also in the domain of competitionas they are also the source of recreation and people love to spend there time over anddevelop a bond of association.


24/52

MUGHAL DARBAR 24

PRE-MARKETING MIX

Pre-Marketing includes the following things:1) Segmentation

2) Targeting

3) Positioning

4) Differentiation

1)SEGMENTATION:-

Segmentation includes the following things:-

Behavioral Segmentation:-Behavioral Segmentation includes:

Brand Royalty:

In our restaurant we are trying our level best to satisfy our customer & their needs.

We try our best that customer who enjoy from us can enjoy again and again, this willcreate brand royalty.

Store Royalty:

We are dealing in variety of dishes which enable the customer to select food in theselarge numbers of item which is helpful for us to create store royalty.


25/52

MUGHAL DARBAR 25

Occasional Segmentation:Occasional Segmentation includes the following things:

a.National Occasions:

Our restaurant always gives importance to the National occasions. That the mainreason that during the EID days or any other occasion we give special discount to ourcustomer.

b. Traditions & Customs:Our restaurants always obey the Islamic tradition & custom. Its main evidence is thatwe offered 100% halal food to our customer.

Benefit Segmentation:Benefit Segmentation includes the following things:-

Usage Rate:

Normally in our restaurant the usage rate is high because the people like the royalfood.c. User Status:

It is our strategy that before including anything in our Menu we can check the user

status, their liking and disliking.

Psychological Segmentation:Psychological segmentation includes the following things:-

d.Media Usage:

Media plays an important role in promoting the product. We so far use the cable as amedia for the promotion of our product.

e. Usage Situation:

Sometimes the situation urges you to buy. We are attracting our customer with thedelicious food which enables the customer to buy.


26/52

MUGHAL DARBAR 26

SUMMARY OF SEGMENTATION

Market was segmented while considering following characteristics

Age was major segmenting factor in the process of restaurant.

Different segments were formed on the basis of their income level and monthly

pay etc.

Behavior of different people is also a major deciding factor of different

segments.

Social classes were segmented

People who have different taste were placed in different segments

A very important characteristic of the segmentation was different attitude of

people towards the product.


27/52

MUGHAL DARBAR 27

2) TARGETING:

When we discuss targeting it involves some strategies. Following are thetargeting strategies:

A. Segmented Marketing:Segmented Marketing means that you focus only some of them and drop the rest ofthe segments.

B. Concentrated Marketing:Concentrated Marketing means that you can narrow the market. You can only pickthe smallest segments from the market mostly the Platinum & Gold Customer.

Targeting Strategy Use by OurRestaurants

On the basis of above segmentation, attractiveness of different segments was

considered. Profitability analysis of different segments and compatibility of different

segments with our products features, following segments were targeted.

Variety seeking and consumption oriented passionate youth, teenagers and

upper & middle income class of the society.

Self expressive and innovator young working people and families are regarded

as potential customers of our product.

We are not only targeting the single individual but we are also target

the family needs and wants by offering them the family meal packages


28/52

MUGHAL DARBAR 28

PATTERNOF TARGETMARKETSELECTIONFollowing are the five pattern of target market selection:-

1)Market Specialization Targeting Strategy.


29/52

MUGHAL DARBAR 29

Lahore Karachi Islamabad

Junk worldwide food

Traditional

food

Local &

western

drinks


30/52

MUGHAL DARBAR 30

PATRON OF TARGETING

Clusters


31/52

MUGHAL DARBAR 31

3) POSITIONINGPositioning statement

Catch The Taste Of Royals

Positioning attributes

Taste

Variety

Quality

Large Menu

Positing attributes are deliberately chosen as abstract as they are not

having any limit and provide a better room for the positioning


32/52

MUGHAL DARBAR 32

4) DIFFERENTIATION:

Product Differentiation

Product is differentiated as good quality food. Our Restaurant image, logo,

environment and symbol are also a differentiation feature of the product. Product has

a very famous name which rightly and precisely describes its exclusiveness for thepeople who like the Royal Taste.

Channel Differentiation

Our restaurant (Mughal Darbar) has its own outlet in the famous place bara dari in

the city of Lahore. We are only providing services in that area and we have no

further channel.

Personnel DifferentiationOur staff in the restaurant is enough qualified to deal with the different customer.

We are hiring the staff on the basis of their communication skills so this thing leads

toward the Personnel Differentiation.

Service Differentiation

Services provided by the staff of our restaurant are added benefit of buying product

from our restaurant.Image Differentiation

Brands innovative name, logo, color and symbol are its differentiation features.


33/52

MUGHAL DARBAR 33

MARKETING MIX

PRODUCT:As we are starting restaurant business so it is a combination of both products as well

as services. The services were described in the operations of the retail outlet part with

diagram and details. And the products or the dishes which we are offering are also

discussed before.

LEVEL OF PRODUCTS

Core benefits Eating & Drinking

Basic Product Mughali Food, World Wide Fast Food, Drinks

Expected Product Variety, Taste, Enjoyment, Experience, Hygienic,

Quality.

Augmented Product Sophistication, New Environment

Potential Product More Variety In Menu & Drinks


34/52

MUGHAL DARBAR 34

PRODUCT HIERARCHY

Need Family Eating & drinking

Product Family Food

Product Class Continental cuisine , Mughlai food

Product Line Briyani, Shahi tikka,Thai

Product Type Beef, Mutton, Chicken, Vegetable

Product Mughal Darbar

PRODUCT ATTRIBUTES

Concrete attributesMughal Darbar itself is the concrete product and is having tangible benefits.

Abstract attributesAbstract attributes are those attributes that are not measurable. Abstract attributes are

the major focus of the marketers today as it has opened up a horizon for focusing on

wants rather than on the needs. Mughal Darbar is focusing on the following abstract

attributes in its advertisement campaigns as well.

Menu Taste

Quality

Enjoyment


35/52

MUGHAL DARBAR 35

PRODUCT CLASS

Tools of brand building used by Mughal Darbar Professional cooking Shows are arranged and sponsored by the Mughal Darbar

in which different top cooking experts of the country are paid to participate.

Such shows promote sales and build the brand as well.

Amateur Cooking Shows at renowned schools and colleges/universities are

organized to inculcate the brand loyalty among youth and gives a feeling that

brand is always there to make them aware of the new trends.

Achieving Brand Loyalty by persistent and consistent offers Different companies are contracted as our direct sponsors of the restaurant.

Mughlai Food, World Wide & Fast Food, Drinks:

Mughlai Food

'Mughlai' dishes as they are called have lots of milk and cream with spices to make

rich and spicy meal. Mughlai food is known for its richness. It is famous for the

exotic use of spices, dried fruit and nuts. As Mughals did everything in style and

splendor soothe ate very rich food they reduced the number of intake during the day.

That is the reason why Mughlai recipes are rich in fat, carbohydrates and proteins.

Mughlai cuisine includes many famous dishes and this is also the variety of food

which we will offer such as:

Kormas

Pasandas

Birianies

Pilaus.


36/52

MUGHAL DARBAR 36So with the aim of promoting our own cultural and traditional dishes, at Mughal

Darbar we are planning to offer almost all those dishes and all those services which

are new of its kind but in a traditional way. This is the assortment which will offer inour menu. These new dishes include traditional Mughlai dishes which are as follows:

Biryani Badshahi

Qima Matar

Meat Darbar

Mughlai Chiken Pulao

Murgh Kababs Mughlai

Murgh Noorjehani

Seekh Kabab

Shahi Chiken Korma

Shahi Kajoo Alu

Shahi Rogan Josh

Shahjehani Murgh Masala Shami Kabab and many more

These are almost all those dishes which are not offering in any restaurant or hotel in

Lahore. Now the question is how to make all these dishes? As all these dishes are

new in Pakistan but these are not old in our neighbor country India where all these

dishes are still in progress. The recipes of all these dishes are available on internet.

We just download all these recipes and give it to our professional cooks who will

make them in no time. So the development is not a difficult task only the problem is

to find the competent cooks but they are also available in Lahore.


37/52

MUGHAL DARBAR 37

PRODUCT LIFE CYCLE:Now there are two analyses in this field

Industry Life Cycle

Product Life Cycle

Industry Life Cycle:

As we know that the behavior of the people of Lahore towards food is very much

attractive so thats why we see many new restaurants opening day by day so in this

perspective we can say that the restaurant industry is at growth stage in the industry

life cycle.


38/52

MUGHAL DARBAR 38

Product Life Cycle:

As we are going to introduce a new restaurant so definatly our restaurant is at

introductory stage and with the pessage of time it will go towards growth and then

maturty.


39/52

MUGHAL DARBAR 39

PLACE:As we know that there are three main rules of retailing i.e. location, location andlocation. So keeping in view this aspect we choose the location which is very unique

and the location is Baradarri inside River Ravi. So this will be the edge which cant be

duplicated by any of our potential competitor

PRICING:Price is the most important factor out of the four Ps of the marketing mix ormarketing plan. It builds a general perception in the consumers mind about the

quality and for some extent quantity of the products or services as well. The need is

to price youre offering in such a manner that it reflects or creates the true perception

in the mind of the customer. Generally high price is perceived as high quality and low

price is perceived as low or cheap quality.

Why Premium Strategy?

With all these aspects related to price we at Mughal Darbar will charge

premium price in order to give high level and extra services. Another reason of

charging premium price is that we are targeting the upper and upper middle class of

Lahore and also target tourists who will come to visit Lahore. So charging high pricefor giving high quality is understandable and this is also helpful in attracting tourists

which will give huge revenues to government. Considering Mughal Darbar and its

services and location we have decided to choose Premium strategy.


40/52

MUGHAL DARBAR 40

PROMOTIONAL MIXWe have focused on following four tools of promotional mix

Advertising

Sales promotion and publicity

Public relationing

Direct marketing

All theses promotional tools are briefly discussed in the following lines.

Advertising

Initially informative ads were designed to create hype about the product. Then

persuasive ads were used after the launch of the restaurant.

How Five Ms Were UsedMission of the ads were decided to be informative, before the launch of the product,

and then persuasive after its launch

Objective As we are having not very huge finances for advertising so the method

adopted is objective task method.Message was decided to be innovative and when before launching the product

commercially, teams to go to different colleges, public places like shopping malls,

parks where we can give our pamphlets, the format of the messages as shown and

evaluated by the response of the people and then response was assessed.

Following media vehicles are used.

Billboards

TV & cable

Banners

Weakly family magazines/fashion magazines

All are discussed in following lines


41/52

MUGHAL DARBAR 41

BillboardsBillboards will play a very important role in promoting our product because we can

cover an area of our potential customers. We will select our targeted customers and

we will use that areas billboards and our targeted customers our upper middle class

and elite class.

On these boards people were informed about the innovative name of the product andmost of the attributes advertised were abstract.

Our message on billboard will be this:

CATCH THE ROYAL TASTE AT MUGHAL DARBAR

TV and cableAs our main focus is youth, childrens, all family members, then ads were on-aired

on the times and channels, where opportunity to approach the target audience was

maximum.

TV channels like PALY, MUZIK, MTV, AAG, ARY, GEO were selected and were

used to advertised at the times when our target audience was expected to attend the

message. Youth are more interested in the music channels, so they were approached

through theses channel. For our target market of house wifes, childrens, grand

parents, we approached them in some family programs when they all sit together to

watch T.V.


42/52

MUGHAL DARBAR 42

Banners

We can place our tool where our targeted audience was more likely to attend it.

Weekly and Fashion Magazines

We have choose low prices weekly magazine

Sales Promotion And Publicity

We can conduct shows like we can hire different models they will endorse our

product

Public Relationing

We can offer different deals with our different meals so that we can earn more and

more customers. We will offer discount cards to our gold and platinum

customers.

Direct Marketing

Our website is having enormous information about our offerings and is providing

knowledge about our cuisines, interiors, food hygiene what changes we do

after months or a year and we inform our gold and platinum customers by mail

or by calling them. By pamphlets & through e-mail.


43/52

MUGHAL DARBAR 43

SWOT ANALYSIS:Strengths:

Location

Traditional Building

No competitors around

Unique Menu

Boating Facility

Beautiful Garden all around

Traditional Mountains

Mughal Antique Shop

Online Reservation

Easily accessible from Ring road and all suburban areas

Weaknesses:

Lack of finances

Lack of experience

Lack of specialized cooks

Food is not suitable for health conscious people Not suitable for those who afraid from water.

Sometimes water level is extremely low.

Pollution in RIVER RAVI


44/52

MUGHAL DARBAR 44 Transportation of daily inventory

Opportunities:

Food industry is at growth stage.

Target market is not price sensitive.

Location is available for lease.

Helpful in attracting tourism

Opportunity to promote culture

Threats:

Menu could be duplicated

Threat of flood in MONSOON Season

Unstable prices of inventory


45/52

MUGHAL DARBAR 45

BCG MATRIX


46/52

MUGHAL DARBAR 46

FINANCIAL PLAN:

Our financial plan includes the following things.

FINANCIAL PLAN:

Our financial plan includes the following things.

Initial Investment: Rs. 22million.

LAND:

The building for the restaurant will be taken on rent by the City District Government

Lahore. The current rent for this particular place is Rs. 3500,000 annually which is

around Rs. 291,667/month.

PROMOTION:

The promotion expense includes the expenses of billboards and flyers. The current

rate of big billboards in Lahore city is from Rs. 80,000 to 100,000/month. And the

rates of flyers are from Rs. 150,000 to 300,000. So the total expense for promotion is

around Rs. 800,000.


47/52

MUGHAL DARBAR 47

PROJECT INVESTMENT

This section will provide the total cost of the project

ITEMS COST (Rs)Construction cost all inclusive 4,807,000Dining &b office Furniture 942,950

Equipment & Machinery 15, 67,000Advance rent 2,200,000Working Capital 4,036,000

Total 13,552,950


48/52

MUGHAL DARBAR 48

MONTHLY WAGES:

DESIGNATION/TYPE

NUMBER MONTHLY SALARY (Rs)

Owner 5 -Kitchen Supervisor 4 12,000Cook 7 24,000Server 10 12,000

Menu taker 6 9,000Dishwasher 4 10,000Cleaner 2 6,000Guard 3 8,000Boatperson 5 22,000

Total 46 103,000

COST OF CAPITAL

PARTICULAR RATERequired return on equity 20.0%

Cost of finance 15.0%

Weighted average cost of capital 17.5%


49/52

MUGHAL DARBAR 49]

PROBLEMS FACED BY THEBRAND

Since the launching of the brand, it has faced several problems. Some of those

problems are stated below.

Limited resources of the company caused it to face serious challenges from its

resourceful and vast experienced competitors. It was an uphill task to survive

and establish in the market in the presence of strong brands.

Company faced the problem of delays in the interior decors. Even though

theses problems never hampered the sales, as they were more near to reorder

point make innovations. To sort out this problem, company has now decided to

establish its own interior decors unit.

Initially this restaurant is operational in Lahore and thus restaurant was not

able to sale the product in the entire country, as opening a branch in every city

was financially not feasible for the restaurant.


50/52

MUGHAL DARBAR 50

SUMMARYOn the basis of the entire report we can summarize following lines.

The firm that started its business in 2005 is now in profit and is further

exceeding its business by localizing the brand.

Initially firm recognized it as a follower and it is giving favorable competition

to the industry. As a follower it has adopted the adopter strategy.

The target market of the company was recognized as upper and upper middle

income class quality seeking, self expressive, variety seeking and more to

entertain their family, friends & more others.

Restaurant is not having its own poultry farm and is getting its finished product

from K&Ns. Companys experts are working with those cattle farms and are

supervising them by giving instructions and specifications .Initially this

strategy was adopted to better allocate the limited finances. In future company

is looking to establish its cattle farm & poultry farm.

Company launched its product after having a research to assess the

expectations of the market. In this process, questionnaire surveys, face-to face

interviews and market situation of the competitors was analyzed.

Promotional price was used in the initially. Now company is using brand

pricing and psychological discounts are also given on the important events. In promotional mix, advertising, sales promotion, public relationing and direct

marketing were selected. Media vehicles used to attend the target market were

TV, cooking magazines, billboards and banners.

Product is on its maturity stage.


51/52

MUGHAL DARBAR 51

FUTURE PLANS

Brand has completed almost three years of its creation and is now planning to

increase its business. Future plans of the business are summarized below.

Firm has decided to extend its business in the other areas of the country and

internationally as well. So in future firm is looking to extend its restaurant at

historical places throughout the country. More numbers of branches will be an

added benefit for the repute of the brand. Rawalpindi, Faisalabad, Peshawar,

Hyderabad and Quetta are under consideration for launching new branches.

Feasibility analysis has favored theses places.

To extend its business, firm will need more efficient supply of the finished

products. So firm has decided to establish its cattle farm. It will be a step

towards cost effectiveness and will help to make restaurants operations more

efficient. Now restaurants cooking experts & dcor experts have got enough

experience to look after the operations itself and it will become more

convenient for the restaurant to experiment with different dishes. Company has

foreseen this development as a challenge, as it will need more employees to

find the suppliers of beef & mutton.

To further improve the image of the brand, company has decided to contract

with the top advertising agencies of Pakistan for 2 years and celebrities will be

performing in the coming ads of the restaurant. In this way restaurant will beable to better appeal its target market and brand will be better represented by

those celebrities.

Limited resources of the company caused it to face serious challenges from its

resourceful and vast experienced competitors.


52/52

MUGHAL DARBAR 52

SUGGESTION &

RECOMMENDATIONS

In the light of all above findings and conclusions, following suggestions and

recommendations are valid

Restaurant should have its at least cattle farm to reach to cost effectiveness

and to keep a keen check on the quality of the beef & mutton to maintain the

repute of the restaurant.

Restaurant should globalize its business in other countries as well.

Restaurant should contract with the well suited showbiz celebrities having

compatible personality with the image of the restaurant.

Restaurant should have do efforts to promote the business. Any exclusiveproduct may be of some other type of dishes of another country, can be

approached in this process.

More branches should be opened in cities where potential customers are in

large numbers. Taking restaurant to such cities will improve brands repute and

image.

marketing new product development

Documents

Transcript of marketing new product development