Marketing Plan for Salon Praba 2011

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Marketing Plan for Salon Praba 2011

Table of Content
Page No.
  1 2 3 4 5 Acknowledgement Table of Content Executive Summery Introduction Historical Background of the Salon Mission Statement Situation analysis 5.1 Market Analysis 5.2 Customer Analysis 5.3 Financial Analysis 5.4 Competitor Analysis 5.5 SWOT Analysis 5.6 PEST Analysis 6 7 Objectives Strategies Development 7.1 STP 7.2 Marketing Mix 8 9 10  Budget Forecasting Control & Implementation References Appendixes I II 1-2 3 4 5 6 - 17 7-9 10 - 11 12 13 - 14 15 - 16 17 18 19 - 42 20 - 30 31 - 42 43 - 44 45 46 47 - 54

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Marketing Plan for Salon Praba 2011

1. Executive Summary
Salon Praba is one of major salon in Katubedda. It was established in 2008 & still operates their business very successfully. Katubedda is one of urban city which consists of 10,257 populations. Not only that but also there are so many Public & Private Firms (Water Board, Telekom, Media Industry), & Educational & Tuition Centers (University of Moratuwa, German Tec, Other Private Tuition Centers & etc). By considering above things it will generate more opportunities to Salon Praba. But there are three beauty salons & one Auyrvedic Herbal Spa with skin specialist brings more threats to survival of salon. After considering all these factors our group decided to make marketing Plan for Salon Praba to enhance their sales with satisfied customers & to provide better quality service than competitors. As an initial step in marketing plan we tried to identify the background of the salon Praba. By analyzing product life cycle we identified that they are still in growth stage. They have big competition from surrounding & have to implement various marketing strategies for survival. They have already caught 35% of market share & 7% growth in sales when comparing with the previous year 2009. They have segmented their market in to four aspects like children, teens, young ladies & adult women to provide various services like hair cutting, hair decoration, dressing, skin treatments & so on with the purpose of treating their customers in better manner. They have higher demand from Young Ladies & adult women when comparing to other segments. Within next year they hope to enhance their sales by 8% & retain existing customers & attract more customers. According to this situation we make following recommendation to achieve their objectives in effective manner.      Introduce new services at affordable prices. Use new technical instruments. Always aware about changes in beauty cultural field. Increase the flexibility & quality of services. Changed the Salon Name.
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Marketing Plan for Salon Praba 2011              Introduce a new logo for the salon. Open the services to gents also. Open new salon in other urban city. Use more promotion campaigns. Design their own web site for salon. Create good relationship among employees. Improve the effectiveness of telephone operator & receptionist. Elegant dress code for staff. Use book keeping method. Increase the internal capacity. Arrange & keep cosmetics & instruments in proper way. Changing the building layout, interior and office furniture colors. Provide piped music inside the salon.

So if they could reduce their mistakes and apply above changes we believe that they can solve their problems & it will help to achieve their objectives in an easy manner.

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Marketing Plan for Salon Praba 2011

2. Introduction

This Marketing Plan for Salon Praba was carried out to enhance their current status by significantly increasing profit through providing valuable services to their existing & newly joined customers. So in here first we analyzed current situation of Salon Praba while conducting market, customer & financial analysis. Not only that but also we tried to identify the strengths, weaknesses, opportunities & trends by doing PEST & SWOT analysis. Secondly we set some marketing objectives for Salon Praba which will be achieved within next year. After that we developed strategies by using STP & 7Ps’ to achieve those objectives that are previously set. Finally for the control part we forecasted budget for year 2011 & it’ll give direction to how to manage finance for modifications which needed for the proper implementation of this marketing plan.

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Historical Background of the Salon  Name - Salon Praba  Location - Katubedda.Prabhani Senadheera  Initial Capital - Rs: 500000/= 4 .  Founded Year - 01.2008  Owner - Miss.01. Moratuwa.Marketing Plan for Salon Praba 2011 3.

5 . Mission Statement VISION “TO BECOME A LEADER OF SRI LANKAN BEAUTY CULTURAL INDUSTRY” MISSION Upgrade the living standard of customers by providing high quality services to affordable price & enhance the strong relationship among customers by treating them in friendly manner to get their loyalty.Marketing Plan for Salon Praba 2011 4.

Marketing Plan for Salon Praba 2011 6 .

3% 1150 25.Marketing Plan for Salon Praba 2011 5.88% 200 55.66% 490 59. how to serve them.05% Growth Rate 2008 8.55% 920 0.49% 520 2010 1.33% 120 13. 5% 800 22. Target Markets: Sales .4% 2140 25.2010 Children Teens Young Ladies 1% 14% 26% Adult Women 59% Target Market Forecast Potential Customers Children (3-12 years) Teens (13-19 years) Young Ladies (20-30 years) Adult Women (30 above) -2.38% 50 13.9% 100 13.90% 3.2% 270 56.1 Market Analysis Evaluating the current market situation is most helpful to understand specific needs & wants of potential customers.33% 7 .38% 3.22% 320 2009 4. how to attract more market share & the leverage situation of Salon Praba.

The children do not have any major preferences other than having toys to play while they are waiting.    Teens also consider more about new fashion methods.257. Young Ladies & Adult women. Age Vs Demand 3-12 Years 13-19 Years 20-30 Years 30 Above 0. The Young Ladies & Adult women who employed & engaged in higher education pay more attention about their beauty. They have spread only around 10 miles of geographic radius. reasonable prices.Marketing Plan for Salon Praba 2011 Market Demographic: The profile for Salon Praba consists of following geographic. Teens. Demographic:   Children. but are unwilling to pay the exorbitant charges associated with it. & convenient. 15000.1% 14% 26% 59%   Mainly provide service to the ladies. demographic and behavioral factors: Geographic:    The immediate geographic target is the city of Katubedda & the surrounding communities with a total population of 10. The total target population is 4500 per year. 8 . Individual income of working women is at least Rs.

Marketing Plan for Salon Praba 2011 Behavioral Factors:   Always looking for convenience factors in regards to service providers. Market Growth: For the last three years the Salon Praba has grown steadily at 5% a year. Market Needs: Salon Praba is providing wide range of services like. Increasing the competition among other salons. While in upturns. Competitive Pricing: It offers pricing bit less than other competitive salons. Attempt to provide all family needs at the same time if possible. Increasing the number of students who are doing higher education. Scrub…) Salon Praba seeks to provide following benefits that are important for its customers:    Convenience: Salon Praba is situated in a centrally located area. Pay more attention to personnel beauty. Customer Service: Serving the customers with superior attention by providing quality service. It is generally unaffected by economic upturns or downturns. Rapid change in technology & fashions. Hair Cutting. Functional with Make Up) Threading (Eye Brows. Coloring…) Skin Treatment (Facials. Vexing) Hair Dressing (Hair Styles.     Dressing (Bridal. Perming. 9 . Market Trends:      Increasing the number of working women. Rebounding. perms. women are more likely to purchase extra services such as hair coloring. newly introduced facial methods although generally the consumption pattern is unchanged. Clean Up.

and November) & Christmas period Salon Praba has more sales. When do the Customers buy?  Normal Days: Morning & Evening time period have more demand. Additional Service.Marketing Plan for Salon Praba 2011 5. What do they expect?         To enhance their beauty (Skin fairness. (Selling Cosmetics) 10 . Students from University of Moratuwa & other Educational Institutes. Affordable price & convenience. Pay more attention to customer needs & wants.2 Customer Analysis Target Customers:     Children (3-12 years) Teens (13-19 years) Young Ladies (20-30 years) Adult Women (30 above) Where are the Customers    Residents in Katubedda area. Employees work in Public & Private firms. Attractive environment. May.  Seasonal Period: Especially in Wedding (March. June. Pimple removing) Quality Dressing Get flexible service for needed time. Free instructions.

income. 11 . relationship & feelings most affect to women to pay more attention on their beauty. Educational level.Marketing Plan for Salon Praba 2011 Customers’ Decision Process: Around 50% of women consider about their beauty due to changes in society. social class. occupation.

3 Financial Analysis 2008 Annual Income (Rs.) 1000000 Annual Income (Rs.) 875000 350000 525000 2009 937500 400500 537000 2010 1007000 460000 547000 2500000 2000000 1500000 Annul Profit (Rs.) 500000 0 2008 2009 2010 12 .) Annual Cost (Rs.) Annual Cost (Rs.) Annul Profit (Rs.Marketing Plan for Salon Praba 2011 5.

pimple treatments.4 Competitor Analysis Competitors around the Salon Praba      Nature Secrets Beauty Spa Chandani Bandara Salon Jayangani Dikkubura Salon Skin Specialist (Dr. skin whiting treatments . facials (bridal facials.N Samarathungha) Chamway Herbal Beauty Spa Competitors’ Product Summary  Nature secrets Beauty Spa Facials (Bridal. whitening treatments. aroma facials & normal facials) cleanups. cleanups. stretch marks treatments  Chamway Herbal Beauty Spa Facials. pimple treatments.Marketing Plan for Salon Praba 2011 5. facials. Normal). hair cutting (Male. skin whiting treatments. nail arts. cleanup  Chandani Bandara Salon Bridal dressing. pimple treatment. pimple treatments . Female)  Jayangani Dikkumbura salon Bridle Dressing. D. occasional dressing . Hair cutting  Skin Specialist Facials. pimple treatments. Normal Dressing. cleanups 13 .

Marketing Plan for Salon Praba 2011 Competitors’ Strength & Weaknesses Strengths  Use Herbal Products  Qualified Employees  Use Technical Instruments  Location  Provide high quality service  Strong goodwill  Attractive work place Weaknesses        Higher Prices for services. Introduce Nail Arts. Introduce attractive prices for skin treatments.: Subasiri) Use new technological instruments. 14 . Mehendi & tattoo service as new service. Introduce attractive discounts for daily customers.g. Contacting owner might be difficult Lower Customer Loyalty Close on holidays Takes more time per customer Not providing online services Lower relationship among employees Competitors Strategies        Providing new university packages in lower prices. Introduce online services Use media coverage for the salons (e.

Not going outside for dressing except bridal dressing. They have strong goodwill within Katubedda area. steamers etc… Customers can easy to reach that place.Marketing Plan for Salon Praba 2011 5. Employer has more than 5 year work experience. It’s difficult to get services in early morning. head massages. Flexibility for new services. Good relationship with customers. Take more times for one customer. 15 . Use new electronic instruments for treatments like hair iron. Good customer loyalty. W        eaknesses: Cannot find any developing strategies. Higher current bill. Minimum number of employees.5 SWOT Analysis S          trengths: Good relationship among employers. Attractive prices. Poor promotion campaigns.

Increasing new taxes for beauty salons publishing banners. Increasing cost of cosmetics & other equipments. Sirasa Dolosmahe Pahana. Increasing market demand for Auyrvedic treatments. 16 . T          hreats: Lower prices of competitors. There are more beauty cultural programmes can be seen in TV programmers like Nugasevana. The wedding exhibitions. Increasing older population. Should be prepared for each & every traditional & cultural occasions Some traditional & technological beauty culture methods are expired. Some famous beauty salons are using online website facilities for their business activities. Near to the high way. There is a technical movements & salon has to use new technology instruments & methods. Increasing ladies employment. (they like to protect their younger looking as a result of increase demand for salons) Most of beauty salons are not focusing on male market.Marketing Plan for Salon Praba 2011 O         pportunities: There are some bridal competitions or fashion show competitions to get more publicity to the salon. University of Moratuwa is located near to the university. Increasing government income taxes.

Increasing cost of cosmetics. Some times in wedding seasons most parents need traditional dressing for their young daughters. It is very badly affected to businesses. Higher demand for Indian fashions. Economic Environment     Decreasing interest rates for business loans. Technological Environment      Use laser treatments for pimples.Marketing Plan for Salon Praba 2011 5. Decreasing personal income of people. Use new skin whitening creams & technical machines. hair iron for hair dressing. Use internet to promote salon & give opportunities for customers to get appointments through online. 17 . Social Environment     There are so many Christian people around the salon Praba. Use head massages. Increasing more sales in Christmas & New Year seasons.6 PEST Analysis Political Environment:     Changing government rules & regulations for businesses. Use galvanic tools for facial treatments. and banners. Increasing price of beauty cultural technical instruments. Government introduces higher taxes for businesses & some taxes for cutouts. Introduce new instruction programmes for beauty cultural field through youth center. Introduce new loans for small scale businesses.

steady growth in each month.Marketing Plan for Salon Praba 2011 6. 18 . Retain existing customers. Objectives     Increase profits by 4% on next year through increasing sales by 8%. Maintain positive. Win new customers.

Marketing Plan for Salon Praba 2011 19 .

customer loyalty. Age 2. Psychographic segmentation 4. Family life cycle 5. we came to a conclusion that the best segmentation technique for this salon is Demographic Segmentation. etc. We got details of their current market & customer situation.1 S T P S egmentation There are several strategies can be followed to divide the market into segments. Behavioral segmentation We had an interview with the owner of the Salon Praba.Marketing Plan for Salon Praba 2011 7. geographic/demographic & behavioral factors. 1. There are several criteria used to divide the market under Demographic Segmentation. Demographic segmentation 3. Income 6. Those are presented as follows. 1. customer preferences. Education 20 . and growth of market segments. Geographic segmentation 2. market trends. Gender 3. Occupation 7. Those are. Family size 4. (Nature of the markets.) By analyzing facts have been collected.

The market of salon Praba is segmented according to age & gender. From 13 to 19 years 5. From 3 to 12 years 3. Profiling the Market segments Male 1. Therefore the market is also categorized according to the gender because different services can be introduced for males as well. From 3 to 12 Years 4. And customers under same age group may response in a similar way & other age groups respond in different ways for same services provided by the saloon. From 20 to 30 Years 6. Above 30 years 21 .Marketing Plan for Salon Praba 2011 The market is segmented based on age and gender. Thus the Multi Attribute Demographic Segmentation is used to segment the market. Most salons don’t consider the male market. This is the way the market is segmented. Because customers can be easily satisfied in different age groups in different ways. Above 13 years …… …… Female 2.

It is an urban area in Colombo district. Therefore we can find more competition in this market. In order to select appropriate segment or segments to serve following steps must be followed. There are lots of school children in that area. Because it is easy to start hair cutting salons as it required law capital. Evaluating attractiveness of each segment Saloon Praba is situated at Katubedda area. 2.  Threat of growing bargaining power of buyers .Buyers can bargain to reduce the price as there is more competition.Marketing Plan for Salon Praba 2011 T argeting Targeting is the next step of target marketing process. 1.As this is an urban area we can see lot of schools situated in that area. Therefore we can see there is an adequate population in that area. Therefore we can attract more customers by offering attractive children hair cutting packages than other salons. Deciding how many and what segments to target.There is a possibility to attract new competitors in children hair cutting.  Threat of new entrance .Customers can cut children’s hair at home.  Threat of substitute products .  Females & males – From 3 to 12 years old  Segment size and growth . But other beauty salons rarely provide this service. We can serve them by providing children packages like hair cutting. 22 . Evaluating attractiveness of each segment. Therefore no need to go salon always because it is easy to cut children’s haircuts.This service is provided by not only beauty salons but also other hair cutting saloons.  Structural attractiveness  Threat of intense segment rivalry .

 Threat of new entrance . the demand for this product is high. There are many beauty salons around this area to serve theses customers. packs. But in order to diversify services they provide we can introduce children’s hair cutting as well.  Structural attractiveness  Threat of intense segment rivalry – We can provide many beauty culture services for teenagers.  Females .  Threat of substitute product .  Threat of growing bargaining power of buyers . Therefore the competition is high. Therefore supplier’s bargaining power is also high. 23 .from 12 to 19 years old  Segment size and growth . Therefore bargaining power is high.  Company objectives and resources – There are enough resources to satisfy this segment and their objectives are match with needs of this segment. cleanses. Therefore large enough to serve.This is the young school market. Children hair cutting is not a relevant service for hair salons.If the chargers are high than others there is a possibility to shift to another saloon.New saloons can be opened because there is an adequate market for this.They must buy various products such as face wash. etc. There are lots of teenage school students in this area because there are many schools and extra classes can be seen.  Threat of growing bargaining power of suppliers .The main objective of this saloon is to become the leading part of the beauty salon market in this area.There are many products in the market that teenagers can use themselves without consultation of a saloon. It is an additional service. scrubs.Marketing Plan for Salon Praba 2011  Company objectives and resources .

24 . flower arranging. Therefore this saloon faces the competition from saloons surrounding Katubedda area as well as famous beauticians. Some people do facials at home using natural things. Also some buyers seek for high quality service other than considering cost.Marketing Plan for Salon Praba 2011  Females .  Threat of substitute products – Most customers consults doctors for their problems such as pimples.  Threat of new entrants – So many new saloons may enter into the market as bridal dressing & facials become more popular & it has become a trend. This segment is the most important segment to serve. Buyers can find alternatives at lower cost. university students and women who hope to marry. There are Auyrvedic products for skin treatments.  Threat of growing bargaining power of buyers – As there is high competition in this segment buyers bargaining power is high.This market includes women who are working. Therefore suppliers bargaining power is increasing.  Structural attractiveness  Threat of intense segment rivalry – There is high competition in this market segment because there are many saloons in this area.from 20 to 30 years old  Segment size and growth . Because there is a huge demand in this market for beauty salons. There are some saloons which use which use herbal products other than artificial treatments.  Threat of growing bargaining power of suppliers – Saloon needs suppliers like bridal dressing. Also most customers prefer to get service from famous beauticians for their weddings. jewelry suppliers & other facial cosmetics. Nowadays we can see increasing demand for these kinds of products. Ladies follow beauty cultural courses most probably.

Marketing Plan for Salon Praba 2011  Company objectives and resources – This segment is contributing a lot in order to achieve company objectives.  Females .  Males – above 20  Segment size and growth – As this is an urban area.above 30  Size and growth – This segment include middle and old age women.  Company objectives and resources – Company objective is to maximize profit. 25 . Therefore there is less competition among beauty salons for male market. They prefer herbal products than artificial products.  Structural attractiveness  Threat of intense segment rivalry – The target of many beauty salons is females market. As it’s a trend that elderly people are increasing this segment has growing characteristics. As this segment has less demand there is less profit. Some are working. some are retired & some are house wives.  Threat of substitute products – Elder women consults doctors instead off salons for their problems.  Threat of new entrants – As the demand is law new entrants are rarely can be found because there are fewer stimuli for new entries in this market.  Threat of growing bargaining power of buyers – As there is no big competition & no big demand buyers bargaining power is low. If they can provide beauty treatments for males they can attract adequate market.  Structural attractiveness  Threat of intense segment rivalry – There is less competition and less demand can be seen in this segment for beauty cultural products. huge density of males can be seen. By offering effective marketing strategies for this segment the profit & the market share can be enhanced.

 Threat of growing bargaining power of buyers – As there is less competition bargaining power is law for male market.  Threat of substitute products – There are cosmetic products for males in market nowadays.Marketing Plan for Salon Praba 2011  Threat of new entrance – If one salon start to provide beauty cultural services for males other salons may also start to provide this service. 26 .

Female From 13 to 19 Clean up Eyebrow making Hair treatment Pimple treatment Tattoos Bridal dressing Facials Hair cuts Pimple treatments Special university package Facials for adults Skin treatments Hair dyeing Female From 20 to 30 Female Above 30 Male Above 20 Children Facials for male Hair cutting tattoos Hair cuts 27 . For this salon we choose Selective specialization method.Marketing Plan for Salon Praba 2011 Selecting the Market Segments There are several patterns of target market selection.

Therefore we use all four bases to differentiate this service. Service differentiation 3.:.Marketing Plan for Salon Praba 2011 D ifferentiation Differentiation is the act of designing a set of meaningful differences to distinguish the company’s offer from competitors’ offer.g. Personal differentiation 4.Have a previous discussion with customers & provide what they want as much as they can Always adopt new technologies to give better service & improve consumer satisfaction Awareness of latest trends in beauty cultural fields & include those to make their service more attractive Introduce new packages with attractive prices for special segments such as campus students Recruit competence employees & give enough training in beauty cultural area to provide high quality service Follow new trends in bridal dressing & always try to match their services with customer needs      28 . Product differentiation 2. 1. Product differentiation   Use high quality cosmetics for cleanups. facials & other treatments Introduce new packages for bridles as well as other customers to make their services exactly match with customer wants  E. Image differentiation As this salon is a service providing business we can’t differentiate only one thing. Because whole process must be differentiated in order distinguish the value placed in customer mind. There are four basic dimensions to differentiate the marketing offer of a company.

Marketing Plan for Salon Praba 2011 Service differentiation    Get feedbacks from customers about the service Give free offers for customers E.g.Have a friendly discussion with customers Introduce a dress code to employees to attract customers Train employees from reputable beauty academy   Image positioning  Change salon name as “Salon Flora” & give prestigious value to this name by promoting all differentiated values with this name 29 .Give free cleanup for one facial Go customers place to provide services such as bridal dressing.:.g.:. Because it’s inconvenience for customers to come to the salon for dressing Personal differentiation   Recruit well competent supporters Train employees to give friendly services & always care about customer convenience E.

Distribute leaflets to campus students to make them aware about special packages at lower prices Maintain good relationship with TV channels & give participation to beauty cultural programmes on television such as Nugasewana. We achieve this by promoting the brand name we suggested which is “Salon Flora” with other differentiated values & make prestigious value in customer’s mind. (Kotler) Our strategy for positioning is Image Positioning. Distribute leaflets to general public by mentioning their new packages with prices & attractive discounts. Subasiri. etc. Give contribution to dress models for paper covers & magazines Put paper advertisements by promoting brand name with their valuable services Participate wedding & beauty cultural exhibitions & competitions 30 . In order to promote the brand name we suggest following strategies.Marketing Plan for Salon Praba 2011 P       ositioning Positioning is the act of designing the company’s offer & image so that it occupies a distinct & valued place in the target customers’ mind.

haircuts.   Always try to get customer ideas about new services before introduce it. trends & other beauty cultural things.     Read books regarding to beauty cultural field. (Dresses.g. e. 31 . business to business. e. new cosmetics.g. Flexibility for New Services  Introduce new beauty cultural services.1  Product Strategy: 1. Increase Quality of Service Discuss with customers & identify what they need e.   Using verbal communication Leaflets.Marketing Plan for Salon Praba 2011 7. and new fashionable dresses  Salon owner can follow advanced new fashions & beauty cultural courses it will give more benefits to the salon. Enhance knowledge regarding how to use technical instruments.g. hair styles.2 Marketing Mix 7.g.-: Courses of City & guild company 2. Maintain good communication system to get knowledge about changes in Business environment.-: Business to customer. e.2. Communicate special benefits & other important facts to customers which related with the new services & existing services. etc.-: What kind of trends & fashions they like.-: new haircuts.)  Read & use new fashion magazines to get better understand about new fashions. Get experience to provide these services. customer to customer.

 Consider about number of stars in a label. etc 32 . Indian.   Go customer place to facilitate bridal dressing. According to development of wedding culture they can introduce lot of new services. western] How many days do they like to get services? [Wedding day only. employees are required to ensure those instruments are suitable for customer. Use high quality. Before using instruments. Use New Electronic Instrument. Middle & lower families] The way they like to dress [Kandian.       Build connection with wedding planers. Build connection with cake suppliers. both wedding & home coming day] How many people like to get service? What type of services they need. Introduce New Services. [Dressing only. Build connection with tailors.  They can introduce bridle packages      Level of family background [High. Build connection with photo grapes. 4.-: At customer’s house or work place.Marketing Plan for Salon Praba 2011 3. dressing with/saris.g. Build connection with flower suppliers. Build connection with wedding cards designers. For this following services can be added. branded cosmetics. e.    Get good knowledge about how to use new technological instruments. jewelry /bouquets]  Provide variety of services which engaged in wedding.

33 . Like haircuts & dying. hair coloring.  Higher demand for INDIAN fashions Get better knowledge about – Indian dress. etc.g. Provide beauty cultural services for males. scrubs.  Salon can choose one supplier for all cosmetics as a result they can get some good discount for a deal.  They can use salon place for it.  In order to introduce this service they have to appoint an employee to this job who has good knowledge & education about nail art.     Pimples treatments Facials [2000/= to 2500/=] Food planning program. eyebrows threading.Marketing Plan for Salon Praba 2011  They can introduce special treatments for brides.-: haircuts. Introduce services for older population. tonners. Manicure. [Because now males are considering more about their beauty] e. [With out Middlemen]  Join with two or more salons in Katubedda & purchase Cosmetics in together. [If they can give some discounts like 5% for loyal customers & Who are purchasing more than three products?]  Maintaining prices of cosmetics & other equipments at lower level. fashions .  They can directly contact with cosmetics importers.   Introduce family packages. facials and skin treatments   Introduce new package to middle age ladies. herbal packs. hair styles  Sell beauty cultural cosmetics & other products like face wash. Introduce NAIL Art service to the salon. Pedicure.

 Increase demand for Auyrvedic treatments.  Therefore salon employees must learn & get training of Beauty Cultural uses for every type of cultural occasions. So salon PRABA can introduce following services. e. Tamil.  Salon has to always pay attention about new trends & technology come to the field.-: brides-: Sinhala. Get experience about How to do treatments. Recommended Name: “SALON RUU”.  Learn about those trends & technology  Do some experiments before apply those things to salon. and Muslim  Some trends & technological things can be expired. 5. e.g. If the experiments get success then you can apply it to the salon. Change the name of salon. 34 . They have to use appropriate salon name to get attract more customers & place salon name in their mind. It’ll help to promote salon as well as the loyalty of customers.-: use model & dress new designs or do new haircuts.   Provide services using herbal cosmetics.g.Marketing Plan for Salon Praba 2011  Salon can provide services for all types of cultural/religious occasions.

Marketing Plan for Salon Praba 2011 Recommended Newly Designed Logo 35 .

[like week or two weeks] e.-: Special Facials [750/= to 1000/=] Haircuts [250/=] 36 . 2.   Competitive pricing strategy. 3. Maximizing sales of salon at seasonal &non seasonal time.2. 1.   Survival.  University student packages. 1. so at that time they can introduce some kind of service for lower price within some period of time.Marketing Plan for Salon Praba 2011 7. Pricing adjustment strategy. Suitable method for pricing. Attractive prices. Going rate price.2 Price Strategy: They can use following price strategies to their salon. e.-: promotional pricing.g.   Value pricing. -Eye brows [100/= to 110/=] -Haircuts [400/= to 450/=] -Facials [1300/= to 1600/=]  Before & after the seasonal situation salon doesn’t have higher demand.g.(lower price) -Dressing [450/= to 500/=] -Eye brows [80/= to 100/=] -Haircuts [300/= to 350/=] -Facials [1000/= to1200/=]  Office workers packages. Objectives of Pricing. Suitable strategies for pricing.

Give some discount to loyal customers. Competitors lower prices.  There is no car parking facility. 7. 2. Can open another salon in other urban city to enhance & spread their businesses.3 Place Strategy: 1. Discounts.  Make discount than their discounts. Always try to get awareness about the competitor’s prices & do adjustment for their prices to be competitive.Marketing Plan for Salon Praba 2011 2. It will be more convenient for customers & it will lead to attract more customers who have high status of living condition.  Set lower prices than competitive prices. Arrange car parking facilities. Specially  Dressing – 5%  Haircuts – 3%  Facials – 3% 3.2. 37 .

Use more promotion programs.Marketing Plan for Salon Praba 2011 7.-: Nugasevana.g. the bridle show  Participate to the beauty cultural contest.  Internet Business advertisements.g.  Participate to the beauty cultural exhibitions e. 2. Public relation.2.[Patronage awards] 38 .4 Promotion Strategy: 1.   Dress models for paper cover pages & fashion pages. Customers to customer communication.-: My wedding.  Telephone rainbow pages advertisements.  Distribute hand bills including their new salon name & logo as we suggested above. As promotion now they use.  Paper advertisements.  Participate to the beauty cultural TV program.  Always have a friendly chat with customers before provide the service.  Face book advertisements. Build a good relationship with customer.  Advertisement method. Except above promotion tools they can do following things. Vivaha  Sales promotion methods.  Printing & Electronics media ads. e.  They can give small ads for school or other comities souvenir books.

Marketing Plan for Salon Praba 2011  Some of TV channels are near to the salon place like Sirasa TV. Swarnavahini  First they have to contact those media channels & keep good relationship with them  They can get opportunity to present their fashion knowledge in this channels beauty cultural program.     Available packages in salon & prices.   They can conduct free trials to develop promotion of salon. Develop own web site for salon. MAX TV. They can display following things in web site. & other 39 . Available services in salon & prices. TV Lanka . Special offers of salon. They can update photos of their bridle dressing dressing.

-: Early morning work 150/= per hour.-: Can be given to handle some work according to the workers independence preference.Marketing Plan for Salon Praba 2011 7. e.   Give opportunity to learn.g. 1.  They can get temporary employees for salon at seasonal time period.000/=  They can also increase other incentives in this time period.]  Then select & appoint suitable person for the job. In non seasonal situation this problem does not much effect to the salon but in seasonal situation salon has higher demand as a result they can’t do lot of work with one employee. [2 or 3 employees they need]  First get list of suitable employees. 40 . e.g. [Who are like to join to the salon as a temporary worker. Minimum employees.  They normally pay 18. At night work  Give some basic authority to them. 200/= per hour. Give opportunity to learn which related with beauty culture.2.5 People Mix:  Increase the salary & other incentives of an employee. Create Good Relationship Among Employees.000/= salary per month but in seasonal situation they can pay more than 18.

6 Process strategy:   Get separate & appropriate employees as a telephone operators. Myob.  They can appoint a book keeper or use an accounting package to record transactions.Marketing Plan for Salon Praba 2011 7.2. Talk very friendly & polite manner with customers.  Use suggestion/ complaint handling box or book to get the customers’ feedbacks. Use a book keeping system to salon. etc. Customer complaint handling. Handling Telephone Calls.  Accounting packages -: ACCpac. 2. 3. 1. 41 .

g. models who are dress at this salon.2. Service supply environment  Front side of salon place is not attractive.g.     Buy a television to salon. e. It will help make a good image in customers’ mind.Marketing Plan for Salon Praba 2011 7.  Salon owner must consider about this problem & modify that place attractively.-: Use pictures which are related to beauty culture. Use new models & bridal pictures. e. Then customers can watch TV while waiting to get the service. Introduce elegant dress code for employees.-: make a new name board to salon. Play some piped music in salon. Create a visiting card & distribute it among customers.7  Physical Evidence: The environment not much bad but some time salon reception place does not have enough space. As a result of that customers are not that much facilitated by the receptionist. They can make it more attractive by providing an attractive name board with the brand name and logo we suggested. 42 . Use photos of brides.

2011 510000 6000 23000 4500 45000 10000 55000 18000 48000 10500 220000 290000 -29000 261000 Total 1090000 12500 48000 10500 117000 22000 145000 36000 88000 41000 520000 570000 -57000 513000 43 .12.6% 3. Budget Forecasting Salon Praba Budget Forecasting Plan for Year ended 31st.9% 0% 20% -65.cost) Tele.06.2011 Income (.6% 3.1% -7.6% -26.8% -8% -25% -37.7% 3. Bill Current Bill Water Bill Cosmetics Transports Technical Equipment Salary Advertising Other Total Cost Profit Before Tax (-) Tax 10% Profit After Tax 580000 6500 25000 6000 72000 12000 90000 18000 40000 30500 300000 280000 -28000 252000 Rate % -12.6% 31.Marketing Plan for Salon Praba 2011 8.7% -37. December 2011 Rs: 30.5% -16.

1 14.2 13.04 4.28 2010 7.Marketing Plan for Salon Praba 2011 Compare the Performance of Financial Figures: 2009 Income (%) Cost (%) PBT (%) 7.41 14.8 1.8 2011 8.2 44 .4 2.

 Revenue : monthly & annual  Expenses : monthly & annual  Customer satisfaction  New product development  Implementation.Control & Implementation  Gauge performance. 45 .Marketing Plan for Salon Praba 2011 9. Problems generating visibility.  Worst – case Risks.  Marketing organization. Having to liquidate equipment or intellectual capital to cover liabilities. An entry into the market by an already – established market competitor. Stan blade will be responsible for the marketing activities. a function of being an internet – based start – up organization.  Contingency planning. Determining that the business cannot support itself on an ongoing basis. It is important to accomplish each one time and on budget. The following milestones identify the key marketing programs.  Difficulties and Risks.

Vishava Lekha of Sri Lanka. “Strategic Marketing Plan”. “Marketing Management”. 2002. Page 40 .com 46 . “Study Kit of Preliminary Certificate in Marketing”. “The Essence of Services Marketing” Prentice Hall of India. 2002.60  Madanayake Ranjan. Page 84 – 87  Madanayake Ranjan. 2003. Prentice Hall of India. Page 103 – 172  Payne Adrian. 13th Edition.Marketing Plan for Salon Praba 2011 10. Page 122 – 177  www.morebusiness. 1st Edition. References  Kotle Phillip. Tharanjee Prints in Maharagama.

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