J & W Pawnshop

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MARKET ASPECT

They don’t want to risk their money to start up business due to ineffective operating systems and knowledge about the market. So even the business and investment sector are now looking for crisis proof business which will entail them a good return on their investment. including universal and commercial banks. The people today are learning that they could get a better deal and a better buy in a pawnshop than in a regular retail store.408 according to the Bangko Sentral ng Pilipinas (BSP). but pawnbrokers have done a good job dispelling those old scenarios and running clean. many people see pawnshops as legitimate businesses that pay taxes and hire people. rural banks. In the past. most likely he will not make to walk in the ladder of success of pawnshop industry. The number of pawn shops in the Philippines has reached 17. Market Description 2 In observing the growth of micro enterprises in any Philippine cities and town areas are one of the sign that people nowadays wants to have additional income due to the rising prices of basic commodities and services. economic crisis is the reason why they are in the business. If the pawnshop owner does not run a respectable pawnshop. Nowadays. just like other respectable businesses. Even the labor sector specifically the employees are in search for things to sell in their offices and work places to augment their income.J & W Pawnshop A. respectable operations. Pawn shops now outnumber all other financial institutions regulated by the BSP. But for the Pawnshop Industry. and savings and . the poor reputation was earned. accompanying the implementation of Value Added Tax (VAT) and the unpredictable increase of crude oil in the world market to meet the needs of their families.

Competitive Situation In San Miguel. the BSP considers pawn shops a vital part of the country’s financial sector.com/banks-in-philippines-outnumbered-by-pawn-shops/#sthash. Pawn shops in the Philippines have long been helping people meet needs for short-term cash. BHF pawnshop 2. Tarlac City there are about 7 registered pawnshops currently operating in the market. Despite some issues with non-compliant pawn shops. 7 of them are located in San Miguel. JPA pawnshop . The BSP reports it is tightening its policy requiring customers to show proper identification as well as including pawn shops in its “Truth in Lending” rules. Out of 33 registered pawnshop. Tarlac City. 1. Cebuana Lhuiller pawnshop 3.dpuf In Tarlac City. J & W pawnshop major competitors in order of threat to the business are. Securities and Exchange Commission (SEC).b67f1n3J.J & W Pawnshop 3 loan associations. That is according to the information that we gathered from the Municipality of Tarlac. there are about 33 registered pawnshops (excluding their branches) currently operating and competing in the market just to get customer trust and loyalty. Tambunting pawnshop 4. http://pawntimes. B.

Tarlac City San Miguel. -collections. print ads and brochures 3% (advance interest rate) Price 3% (advance interest 4% (advance rate) interest rate) .Auctioned jewelry sales Place San Miguel. -Insurance -bills payment. A competitor’s matrix is an analysis tool that helps you establish your company's competitive advantage. print ads and brochures 4% (advance interest rate) Thru websites. -e-loading services . 4 Marketing Mix 4 P’s Tambunting Pawnshop JPA Pawnshop CebuanaLhuiller Pawnshop BHF Pawnshop Products -Pawnshop -Mortgage -Money Remittance -Money Exchange -Bill Payment -Airlines Ticketing -Pawnshop -Loading center -Auctioned jewelry sales -Pawn brokering -Money remittance. It provides an easy-to-read portrait of your competitive landscape and your position in the marketplace.Money Remittance . Tarlac City San Miguel.Pawnshop .J & W Pawnshop Competitors Matrix A chart that compares your product or service to your competitor(s). print ads and brochures Print ads and brochures Thru websites. Tarlac Robinsons City Luisita Promotion Thru websites.

J & W Pawnshop Market Competition 5 To determine the viability and competitiveness of a proposed business. It is very essential to find out if there are competitors within 100 meters away from our location. Indirect Competitors – those activities may impact or affect the behaviour of your business. Tarlac City Analysis of J & W Pawnshop Consumer’s reason why they patronize pawn shop:  For immediate cash . Tarlac City JPA Pawnshop San Miguel. There are four (4) direct competitors operating within 100 meters from the intended area. Tarlac City Tambunting Pawnshop San Miguel. namely. Direct Competitors – those activities are directly related to your proposed business. They are as follows: Direct Competitors Business Name BHF Pawnshop Addresses Robinsons Luisita CebuanaLhuiller Pawnshop San Miguel. they should be classified into two (2) groups. In analyzing competitors.

J & W Pawnshop   To accumulate funds To sell jewelries or convert non-cash asset into cash 6 SWOT Analysis Strengths      Accessible location Low interest rate Process is fast and reliable Longer maturity period compared to others Highest degree of appraisal Weaknesses       The law limits the interest rate Some do not have jewelries or any item to pawn Many people can’t pay their debts Offers limited services Gaining customer’s trust and loyalty New entry in the market Opportunities    Business extension (money order. etc.) Acquisition of collateral costs cheaply Branching of business .

as of May 01. 2010 (latest so far).819 Total voter’s population (18 years old and above) 2.332 total individual population of 76 brgys.000 of which are aged 18 years old and above and registered voters according to Commission on Election and the remaining 150.280 1.258 867 2.543 . Tarlac City has 318.J & W Pawnshop  Acquired collateral can be bargained 7 Threats      Abundance of independent pawn brokers Prone to Robbery Fraud among employees Fast rate of depreciation of items pawned Widespread availability of credit cards which can provide loans without pawning any item C. Marketing Program Target Market Based on the 2010 Census of Population and Housing (CPH).644 4.332 are aged 17 years old and below. Our target market will be the residents of the 13 barangays of Tarlac City aged 18 years old and above: 13 Barangays Armenia Atioc Balete Total individual population 4.168.

260 3.626 4. It is said that the success of the marketing department depends on the success of the company’s plans as far as the marketing mix is concerned.J & W Pawnshop Burot Capehan Central Maligaya Mapalacsiao Paraiso San Francisco San Miguel San Rafael Sapang Tagalog TOTAL 5. at a reasonable interest rate and at convenient and accessible places backed up by massive promotion. Product.299 14. Pricing and Promotion.724 2.644 5. spell marketing success. top performing services.471 4. it is famously known as Four P’s. namely.726 2.507 3. place and promotion are four equally important factors in determining the success of the marketing program.906 7. Product. J & W pawnshop’s acknowledges that the high quality.965 1. price. tactical components of a marketing plan.689 34.096 65. Furthermore.913 2. Its elements are the basic.788 9.980 3.076 3. Place.435 8 Marketing Mix The” marketing mix” is probably the most famous marketing term. .785 1.850 1.052 568 1.627 1.

a site suitable for the business. Other competitors such as Tambunting Pawnshop and BHF Pawnshop both having 3% Interest Rate and 4% Interest Rate to Cebuana Lhuiller Pawnshop and JPA Pawnshop respectively.  Place This component is also called distribution. platinum.  Price The J & W Pawnshop offers low interest rate of 2. J & W pawnshop will be situated at San Miguel. Tarlac City.5% which means that the borrowing of money cost cheaply compared to other pawnshops. .J & W Pawnshop  Product J & W pawnshop offers short term loans for those people who are immediately in need of 9 cash and don’t have good credit or bank account but have an item of value that they can use as collateral. Acceptable items for pawning include jewelleries made of gold. white gold. The location is very accessible and ideal because it is in the heart of the city. Also longer maturity period or extended due date and highest degree of appraisal that gives more cash for customers. which refers to the process of making the product available for use or consumption by the consumer or business use. The deployment of our service provider will be trouble free since it is located near highway. Our pawnshop is specialized in pawn brokering services with highly trained and skilled pawn brokers and also quality service for clients to provide the highest possible appraisal for their items. diamond and scrap gold.

Demand Analysis Pawnshops services are one of the important sources of funds of those people who are immediately in need of cash to pay their emergency expenses which are not part of their usual expenditures. D.368 . The data shown as follows: 2012 Customer’s data Pawnshop Name BHF Cebuana lhuillier Tambunting Per Day 17 15 13 Per week 119 105 91 Per Month 476 420 364 Per Year 5.J & W Pawnshop 10  Promotion Promotion is an attempt to make a product or event popular or successful. it is important to have an item of value particularly jewelleries that they can use as collateral to get the money or loan they need. To determine the market demand for pawnshops in San Miguel Tarlac City. month and year last 2012.712 5. brochures and other social net working sites so that they can get an easy access and convenient information about our business. To easily get the money they want. especially by advertising on how customers will hear about the product or proposed business.040 4. They give us the privilege to know about the maximum number of their customers per day. week. We promote our business thru websites. print ads.

62% The figure shows that out of 33. 19.152 or 55.152 11 The table shows that out of 34. Figure 1: Market Share TARGET MARKET: 13 Barangays of Tarlac City 44.62% are from the top four competitors. Market Share Our potential customers are estimated to be 15. .38% of the total voter’s population (18 years old and above) of 13 barangays. Old and above) voters population of 13 barangays of Tarlac City.282 are the possible customers of J & W pawnshop.J & W Pawnshop JPA Total 12 84 336 4.62% are from the competitors and the remaining percent which is 44.435 (18 yrs.38% Competitors J & W Pawnshop 55.283 or 44. 19.38% or 15.435 (18 years old and above/ voter’s population) of 13 barangays.032 19.153 or 55.

we assumed that there is an increase of population by 8%.340 12 2013 2016 2019 J&W Pawnshop Share 15.430 x .430.834] + 60.430 = 65.268 70. In 2010 the total population of 13 barangays is 60.505 17. The total population in 2010 is multiplied by 8% ([60.153 20. Year Total Population 65.08 = 4.128 Total Voters Population 34.883 (52.435 37.685 22. The 31.J & W Pawnshop E. .168 Competitor’s Share 19.268) to get the total population for 2013 which is 65.190 40.282 16.489 76.76%) of which are registered voters.825 In every 3 years.268. Forecasted Service Demand The table shows the forecasted demand of pawnshop services to 13 barangays of Tarlac City which is the target market of the business.