MARKETING PLAN

3.1 EXECUTIVE SUMMARY The following marketing plan forms for the introduction of an innovative new product by Dolness Kaizen Enterprise. Dolness Kaizen Enterprise is a company founded by six partner tied together by partnerships business agreement. It is based on producing, marketing and selling dodol with fruit flavours to the market. More specifically, our dodol comes with pleasant aroma and bits of delicious pineapple fruit. Marketing is defined as the activities that are carried out systematically to encourage and increase sales of products or services as long as the activities keep pace with religious and ethical practices. Marketing efforts are focused on the new concept of marketing that is satisfying the customers needs. Marketing is an exchange activity takes place between a business entity and its customers. Marketing is a critical activity in any business because it forms the backbone to the total business effort in achieving a profitable outcome. It is important in business to take in the marketing aspect as to ensure the increasing of production sales. Marketing is a theory and practice of commercial selling. Therefore, the concept should be based on philosophy whereby all marketing efforts must considered in the need factor, demands and even satisfactory by the users. Surveys and observation had been implemented before Dolness Kaizen Enterprise starts a business about the target market, market size, competitors, market share, sales forecast, marketing strategies and preparing the marketing budget and plan. Our plan is concentrating more to target market, competitors and promotional strategies in marketing services to reach sales target. Our business main priority is customer satisfactory and needs. 3.2 MARKETING OBJECTIVES To implement an excellent marketing plan for the company. To aim as high as to gain more more profit from Dolness Kaizens products for the company. To gain satisfaction from customers needs. To maintain a good relationship among customers. To make sure the marketing activities are carried out smoothly. 3.3 TARGET MARKET Basically, target market refers to customers or retailers. The retailers or a group of customers with similar traits that the organization wants to attract through their product offer. It is important to our company that we identify our target market to offer our product to actual or potential customers in the market to generate our sales. Other than that, we can know whether our products are good enough to compete with other competitor by identifying our target market.

Dolness Kaizen Enterprise is located at Lot 10, Jalan Permatang Pauh,13500, Permatang Pauh, Pulau Pinang in front of Universiti Teknologi Mara Pulau Pinang (UiTMPP) where this place as education centres and has potential economy area. Besides, we can provide our product for customer or local residential. The shop lot in front of Universiti Teknologi Mara Pulau Pinang (UiTMPP) strategically located within the universitys campus and residential houses nearby. So, it is suitable for our primary targets markets whose is residents of Permatang Pauh and not forgotten for the students of university. We hope our business will be spreading through Seberang Perai Tengah as a starts. We focus more on customer based on the geographic and psychographic factors. We know that more shop lots there could help the growth of our business as to holds potential customer especially local residential and students. The Dolness Kaizen Enterprise also situated quite near to their working places and campus. Dolness Kaizen Enterprise target market focused on:
3.3.1 GEOGRAPHIC SEGMENTATION

The shop lots in front of Universiti Teknologi Mara Pulau Pinang (UiTMPP) are a centre of attraction. This is because it is strategically located within the universitys campus and near the town of Perda. The nearby highway near our shop lot is linking with main road to other nearest districts such as Kulim and Bukit Mertajam. It will take 20 minutes from Bukit Mertajam and 30 minutes from Kulim to come to our outlet. There are many public transportations stop by the Permatang Pauh too. We focused on Seberang Perai Tengah as a start. Besides, the raw materials we used are easy to obtain because the suppliers are not far from our operational place. It is located in 15 to 25 kilometres from Permatang Pauh. 3.3.2 PSYCHOGRAPHIC SEGMENTATION

Most of the peoples in Permatang Pauh are local residents and students. These groups made up by Malay peoples. It will make us easier to sell our dodol with pineapple fruit bits itself because it originally a Malay traditional food. Students of Universiti Teknologi Mara Pulau Pinang (UiTMPP) basically are bumiputra and a big part of them is Malay people. By that, they prefer to go to our outlets where provides healthy snack for them. The local residents can get our product from grocery store near their home as we supply our product to the retailers around Permatang Pauh and Seberang Perai. Dolness Kaizen Enterprise will not disappoint them because we confident that all of the customers have a chance to try our product. We promised to give the best service to the customers without favouring one more than another. 3.4 MARKET SIZE To ensure the business to flow easily, it is very important to analyze the market size. Market sizes refer to the potential purchase of the target market. This includes purchases of competitors product within the same market. Market size normally stated in term of currency unit of Malaysia that is Ringgit Malaysia. It can be only calculated daily,

weekly, monthly, or yearly. To determine the market size, our company is already making a research and surveying to determine our potential customer. The market size is referring to the potential purchase by potential customer at the target market. TOTAL TARGET POPULATION = ASSUME PERCENTAGE OF TARGET/100 X TOTAL TARGET CUSTOMER MARKET SIZE = ESTIMATED OF TOTAL TARGET POPULATION MULTIPLY BY TOTAL AVERAGE SPENDING PER YEAR 3.4.1 THE TARGET MARKET

SEBERANG PERAI(SOURCE FROM BALAI POLIS SEBERANG PERAI TENGAH) Seberang Perai Tengah Seberang Perai Utara Seberang Perai Selatan Total residents/ Civilians in Seberang Perai MAIN OUTLET:
TOTAL TARGET POPULATION OF DODOL = 10% (365,318)

= 182,380 peoples = 87,320 peoples = 95,618 peoples = 365,318 peoples

= 36,532 peoples
MARKET SIZE

= 36,532 customers X (RM3.50 X 12 months) = RM 1,534,344

DODOL RETAILER:
TOTAL TARGET POPULATION OF DODOL RETAILER = 5% (365,32) MARKET SIZE

= 2,192 peoples = 2,192 customers X (RM3.50 X 12 months) = RM 7,672 MARKET SIZE

Main Outlet Dodol Retailer TOTAL MARKET SIZE Table 3.4.1: Market Size 3.3 COMPETITORS

RM 1,534,344 RM 7,672 RM 1,542,016

Competitors can be known as other business or company that offering the similar products to the same target markets as ours. We had identified our competitors to help us analyzing our capability in controlling the market.

Even though we believe and confidence with our product, we still have to analyze the strength and weakness of our competitors. It is important to us to make sure that we will always improve our product to compete with the existence competitor. Company D Sweet Enterprise Uptown Night Market, Tmn Siakap, 13700 Seberang Jaya, Pulau Pinang.

Strength Been in the market for quite a long time. Have their regular customers. Offer extra services. Hold seconds highest markets share. Price offered is quite high. Have their regular customers. Hold the third highest markets share Store concept is quite attractive. Hold largest market share. Been in the market for quite a long time. Have their regular customers. Offers a good price

Weaknesses Low promotion only depends on signboard. The business area is small. Not strategic and hidden business location. Lack of workers. Low promotion Price offered was too high. Product quality was low and did not fulfil customer needed. Not have enough workers. The business area is small. Not strategic and hidden business location. Production per day is low.

Keys Corner (Retailer) Lot 14, Jalan Todak, 13700 Seberang Jaya, Pulau Pinang.

Others competitor : 1) Dodol dealer around Penang. 2) Dodol dealer around Kulim.

Table 3.5.1: Competitors 3.3 MARKET SHARE Market share is referring to the approximate market proportion controlled by the business after considering the whole market size and the influence of the competitor in the same target market. Our competitors already have been establishing earlier than Dolness Kaizen Enterprise and have their own potential in the market. Each of these competitors has control the markets share with the different amount. Below is the markets share per year before Dolness Kaizen Enterprise: Company Percentage of Market Share (%) Value per year (RM)

D Sweet Enterprise Keys Corner (Retailer) Others Competitor Total (Market Size)

29 14 57 100 Table 3.6 (a)

447,184.64 215,882.24 878,949.12 1,542,016

Below is the markets share per year after Dolness Kaizen Enterprise: Company D Sweet Enterprise Keys Corner (Retailer) Others Competitor Dolness Kaizen Enterprise Total (Market Size) Percentage of Markets Share (%) 25 10 55 10 100 Table 3.6 (b) Value per year (RM) 385,504 154,201.6 848,108.8 154,201.6 1,542,016 Lose of Market New Share (%) 4 4 2 10

Figure 3.6 (a)

Figure 3.6 (b) 3.4 SALES FORECAST Sales Forecast referring to the expected purchase from the identified and selected targets markets. In order to prepare this Sales Forecast we had considered a few things such as markets size, the competitor, customer awareness, weather, market share and seasonal factor. Month January February March April May June Sales Expected (RM) 128,501.33 130,679.45 126,521.55 142,078.36 125,555.49 127,897.51

July August September October November December Year 1 Year 2 Year 3 Table 3.7 3.5 STRENGTH OF DOLNESS KAIZENS DODOL

131,945.61 145,511.43 150,671.52 123,741.48 109,641.39 99,270.88 1,542,016 1,603,696.64 (4% increment) 1,696217.60 (10% increment)

In order to become the leader in the market, we have already analyzed our own strength and weakness. We use our own strategies to meet the goal of our company 3.5.1 highly technology machine

Our company used the method that differs from other company. The machines that we used are having high technology that refers MARDI, FAMA and SIRIM. The methods that we have 6 machine maker that can produce 40 kg dodol at once. First, the ingredient is mixed by the machine and stir until it mixed properly. After specified time, dodol with pineapple fruit bits is stirred using machine and proceed to packaging. The packaging was done by packaging machine. 3.8.2 Uniqueness of dodol with pineapple fruit bits The motto of our business Our Uniqueness to Your Happiness proves that we are really concerned on the customer demands especially who those really interested in Malay traditional food which expressed our determination to make something unique just for your happiness and joy comes with pleasant aroma and bits of delicious taste. It provides one flavour because it comes from the pureness dodol ayahanda popular recipe at Permatang Pauh only using pineapple for flavour. The raw materials used are fresh and in good condition just to keep them healthy and maintain their aroma. We specifies dodol with pineapple fillings because of the nutrients contain in the pineapples help people lose weight because they can have the sweetness of the pineapple and dodol without worrying an auns of fats. 3.8.3 Have enough workers Dolness Kaizen has enough workers to make the entire job starting from processing of dodol until deliver the product to the dealer. The company is support by 12 workers including

the higher management. In the operation department, we are having 6 permanent staff which is two from them are skilled worker and the rest are semi-skilled workers. 3.8.4 Systematic marketing Surveys and observation had been implemented before Dolness Kaizen Enterprise starts a business about the target market, market size, competitors, market share, sales forecast, marketing strategies and preparing the marketing budget and plan. Our plan is concentrating more to target market, competitors and promotional strategies in marketing services to reach sales target. Our business main priority is customer satisfactory and needs. Our properly arranged and systematic marketing plan will ensure the marketing activities are carried out smoothly. 3.6 WEAKNESS OF DOLNESS KAIZENS DODOL Beside the strength of our company, we dont deny our weaknesses. As a new company in the market, we are facing a problem which people dont know our company product. Then, we do not have a regular customer because of new product in the market. Besides, our product has only one flavour but we are certain that our uniqueness can beat our weaknesses. 3.7 MARKETING STRATEGY Market strategy is the activities of selecting and describing one or more target markets, developing and maintaining a marketing mix that will produce mutually satisfying exchanges with target market. The basic marketing strategy consists of four key variables also known as the marketing mix or the 4Ps of the marketing which are product, promotion, price and place. The term marketing mix referring to a unique blend of product, distribution, promotion and pricing strategies designed to produce mutually exchanges with a target market. The Dolness Kaizen Enterprise is dodol with pineapple fruit bits that has potential to be a successful supplier. It also an interesting business and has great potential to gain high profits. The marketing unit plays an important role to plan wise strategies and ways to achieve the companys goal. Providing excellent product and services as well as to gain profits can do it. Focus on marketing strategies which is to enhance, introduce the products, and in determining the prices and the location of the company for the community. The Dolness Kaizen Enterprise is still new in the market, the marketing unit plays important role to attract customer. The Dolness kaizen Enterprise has set the marketing strategy according to the marketing mix. Product Price Distribution Promotion

3.3.1

Product Strategy

In our business, we sell the best quality of product. Our Special pineapple taste is combination between local pineapple fruit and pineapple fruit jam. This makes our dodol tastier and comes with pleasant aroma from pineapple fruit jam. We also take MARDI and FAMA as our advisor and we followed the guidelines from them for best product and safe to eat. MARDI also agreed to control and check our product monthly. We also consulted HALAL MALAYSIA for our product. Thus, our product is halal for Muslim people and safe for other religions. Besides that, we are also controlling our brand, packaging and product quality to ensure we are providing good food quality. Brand The name chosen for our business is Dolness Kaizen because it reflects six partners tied together by partnerships business agreement is determined in popularizing dodol with pineapple fruit bits as Malay traditional food for this new generation and the future. Packaging Packaging that is in good condition and attractive are request able. So, when planning out the packaging of our products, we took into considerations the ever growing social consciousness to the environment. Therefore, we choose for a more nature-friendly and recyclable paper-box made for 200 gram to 1000 gram product. These packages are printed with our brand logo for making it recognizable to the public. The table of ingredients and every details of nutrient in our product also been printed at the side of our product.

Figure 3.10.1(a) : Product Packaging.

Product quality

We take pride in uniqueness of our products but we also capitalize on the quality of it. To make sure our products are up to par with the satisfaction level, we always make sure that we use quality ingredients and make sure that dodol wit pineapple fruit bits prepared with high quality. Quality inspection will be handled by operation managers every so often to make sure that we produce quality dodol consistently. 3.3.1 Price Strategy

Even though our dodol is made off from the best source, we also need to give a good price to ensure our customers able to buy our dodol. We used cost based pricing and we marked up as low as 1% - 10% from the cost unit. We also consider about the factor that can determine the price of the dodol such as festive season, occasion, and school holiday.

The Selling Prices For Dodol With Pineapple Fruit Bits.

Types of Packet (Gram) 200 400 600 800 1000 Total

Selling Prices per packet (RM) 7.00 14.00 21.00 28.00 35.00 115.00

Cost plus pricing

Pricing that based on costs plus profit. Cost calculation is as below: PRICE = TOTAL COST PER UNIT + PROFIT MARGIN Mark up is the different between costs and selling price. It is generally expressed in term of % of the selling price. 1) For 200 gram packet : Price = RM 6.50 + (7.7% X RM 6.50) = RM 3.50 + 0.50 = RM7.00 2) For 400 gram packet Price = RM 13.50 + (3.7% X RM 13.50) = RM 13.50 + 0.50 = RM14.00 3) For 600 gram packet Price = RM 20.50 + (2.45% X RM 20.50) = RM 11.50 + 0.50 = RM21.00 4) For 800 gram packet Price = RM 27.50 + (1.83% X RM 27.50) = RM 27.50 + 0.50 = RM28.00 5) For 1000 gram packet Price = RM 34.50 + (1.45% X RM 34.50) = RM 19.50 + 0.50 = RM35.00 3.3.1 Distribution Strategy

Chart 3.10.3 (a) Business Flow Chart 1

Chart 3.10.3 (b) Business Flow Chart 2 We also have our own strategies to distribute our dodol to the customers. As we know, this also gives a main factor to successful to our business marketing. We sell dodol directly to our potential customer like a big supermarket. This is because we can know our potential customer and make our customer pay lower rather than buy it from wholesaler or retailer. From direct distribution too, we also can have a feedback from them and this feedback will be used to increase our quality in the future. 3.3.1.1 Promotion Strategy The marketing unit plays an important role to come up with wise strategies and ways to achieve its goal that is to provide excellent services as well to gain satisfaction among our customers. Promotion in other word mean, some sort of communication by marketers that attempts to inform, persuade and influence potential buyers of a product in order to elicit a response. Dolness Kaizen Enterprise used variety of different promotional approaches to communicate with our potential customers. The major promotion approaches that Dolness Kaizen Enterprise used are : Advertising Business Cards To introduce the company to the public, we have made our own business card. This is one of the ways to promote the business and company to consumers and people. We want to produce 600 pieces of card where 100 pieces for each supervisors and manager costing 35 cent each. Total cost equal to 600 X RM 0.35 = RM210.00. Business cards will be printed annually.

Figure 3.10.1(b) : Business Cards. Signboard

A 4 X 12 signboard will be placed in front of the factory and office at the top of the front door. The signboard is strategically designed with dark brown colour as a way to attract people of what we are about to sell from a far. The signboard is present the name of the company address, contact number and other important information. The logo of Dolness Kaizen Enterprise is a symbol and prospective of people to our company. It easy to know and simple word is use to describe our concept of Malay traditional food product as dodol. Both signboards will cost RM 1000.

Figure 3.10.1(c) : Outlet and Factory Signboards Banner 3 X 10 Banner will be located at roadside or and traffic lights. It will attract potential customers or foreigner as they saw the banner. The banner provides company address, contact number, our products motto and product descriptions. Company will be providing 15 banners located around Seberang Perai. The banners will cost RM 600.

Figure 3.10.1(d) : Banner. Pamphlets 4 X 2 Pamphlets also have been printed to introduce our new outlet and product. Pamphlet or flyers provided our product description and contact number. We decide to print

500 copies distributed all over Seberang Perai. It costs the company RM 500. The pamphlets printed with colour and high quality papers.

Figure 3.10.1(e) : Pamphlets. Magazines We decided to advertise our product at mangga and mustika magazines. It is because these magazines have attraction to children and adults. Ads cost RM 300 monthly.

Figure 3.10.1(f) : Magazines Ads.

Public Relation and Publicity This both strategies will help us to introduce our product and Dolness Kaizen Enterprise to public. We will be participating in the food carnival or exhibitions organize by FAMA or others to promote our product. It will somehow help in expanding our business indirectly, besides, it will also attract customers in visiting our branch and make them aware about the existence of it. It is also our grand opening as to save marketing budgets. Particulars Mobilization Equipment Pamphlets Product Space Rent Total 2130 Table 3.10.3 (c) : Exhibition Cost 3.3 MARKETING BUDGET In other to ensure the marketing plan is able to run, a budget is allocated especially for this purpose. All tables shown below summarize the overall budget of the marketing department. Total Expenditure for Marketing Purpose Dolness Kaizen Enterprise marketing budgets for as to promote the company are as below : Particulars Signboard Banner Pamphlets Business Card Magazines Ads Exhibition Cost Total 300 300 Monthly Expenses (RM) Other Expenses (RM) 1,000 600 500 210 8,180 6,050 16,540 1700 430 2400 3000 6050 Property Expenses (RM) Other Expenses (RM) 650

Table 3.11 (a) : Marketing Budget