STI COLLEGE SANTA ROSA

Francisco A. Canicosa Ave, Balibago, Santa Rosa, 4026 Laguna

MARKETING PLAN

Submitted to:

Mr. Reward R. Andres

Submitted by:

Abila, Bea D. Dela Rosa, Madelene B.

Almojueala, Juvee Anne Grace D. Espinosa, Leydairie D.

Apelo, Hershey T. Mabasa, Gigie N.

Bausal, Chariz Joy P. Mangilog, Janine Joy A.

Conde, Princess Pearl D. Oates, Calunih Dane M.

Dablo, Mark Juniel L. Samson, Maria Lourdes L.

ABM112-1A
 CHAPTER I

Executive Summary

Shampoo bars are natural shampoos in a solid bar form. Shampoo bars were
invented more than 20 years ago by Lush co-founder Mo Constantine and cosmetic
chemist Stan Krysztal. They were so revolutionary that Cosmetics to Go, the company
that later became Lush, successfully applied for and won a patent to protect this exciting
invention.

Disposal of solid wastes is a stinging and widespread problem in both urban and
rural areas in many developed and developing countries. Municipal solid waste (MSW)
collection and disposal is one of the major problems of urban environment in most
countries worldwide today. MSW management solutions must be financially sustainable,
technically feasible, socially, legally acceptable and environmentally friendly. Solid
waste management issue is the biggest challenge to the authorities of both small and large
cities.

So, the Barra de Champú Company created a soap-based shampoo. Unlike the
common liquid base shampoos, this shampoo is in a solidified form. This shampoo bar
contains the most organic and natural ingredients. The company’s very aim is to reduce
plastic wastes which is one of the world’s economic and environmental issues of today.

Enriched with nutrients and essential vitamins from natural and organic extracts
and oils that naturally promotes fullness and removes buildup, zero waste shampoo bars
easily lather and rinses off just as effortlessly and offer a fresh, silky, and clean feel to a
person’s hair. Surging the adoption of zero waste lifestyle and growing consciousness
regarding waste management is expected to drive the growth of the zero-waste shampoo
bar market. Further, growing awareness of eco-friendly personal care products is
expected to strengthen the market growth.
 CHAPTER II

COMPANY BACKGROUND

Going back to its origin this is where its history started. In the United Kingdom, a
couple of alternative upstarts were looking to disrupt the personal care industry. In the
1980s, Mo Constantine, co-founder of cult beauty brand LUSH (known as Constantine &
Weir, and later Cosmetics-To-Go at the time before they rebranded to LUSH in 1995)
was struck by inspiration thanks to an unlikely source: Alka-Seltzer. The fizzing tablets
led her to create the brand’s ubiquitous bath bombs, which were also the first product
they sold ‘naked,’ aka without packaging. Shortly thereafter, Constantine and Stan
Kryszta, the brand’s cosmetic chemist, sought to reinvent the traditional soap bar
specifically for hair. Unlike other soap bars on the market at the time, which were based
on oils and fats (the traditional recipe for soap), Mo and Stan came up with an innovative
formula for a solid version of liquid shampoo. When they first launched their shampoo
bar product in 1988 under the Constantine & Weir name, it became so popular that they
successfully applied for and won a composition patent for their groundbreaking recipe.

According to Ceri Robers solid shampoo bars are a great alternative to

liquid shampoos. They are economical to use because they last for up to 80 washes,
which is roughly three times longer than an average 200ml bottle of shampoo. Since
2010, more than nine million shampoo bars have been sold worldwide and that’s just a
fraction of the number sold since they were invented. Given that every one of these hard-
working bars does the job of three bottles of shampoo, shampoo bars have saved around
30 million plastic bottles from going to landfill since the start of the decade. This means
that every naked, unpackaged bar you use saves up to three plastics bottles from landfill
and this has a hugely positive impact on the environment. Imagine the difference it will
make if everyone starts using them? It’s exciting to think of the positive impact this could
have on the environment if even more of us will use the solid shampoo.
 So, in this research, the company aims to help the environment avoid further
destruction as it is an eco-friendly product. According to an article written by Trevor
Nace, a Ph.D. geologist, humans buy a million plastic bottles per minute and 91% of all
plastic is not recycled. Shampoo bars help decrease our environmental impact by getting
rid of plastic bottles.

Shampoo bars are entirely self-preserving. No synthetic preservatives are needed

to keep shampoo bars fresh because they’ve been formulated in a way that inhibits
bacterial growth. Bacteria need certain conditions to thrive and grow, including water. So
solid shampoo bars, which are made with little or no water, are innately self-preserving
and will stay that way. According to Mark “If a formula is self-preserving today it will be
self-preserving next week, next month, next year and in ten-year time. It’s a truly long-
lasting product because it won’t grow bugs at any time”. This is great news for people
who prefer to avoid synthetic preservatives and shampoo bars are a good option for those
with sensitive skin, too. The application technique means they are gentler than
conventional liquid shampoo, simply because only the foam is applied to the hair and
scalp. The concentrated product doesn’t make direct contact with skin, so the risk of
irritation is minimal. Eliminating products made from synthetic ingredients also helps to
decrease groundwater contamination. Everything we send down the drain can end up in
local waterways.

The Extrait d’ orange shampoo bar is made with natural and organic ingredients
which are orange extract with lavender scented oil, shea butter, coco fatty alcohol sulfate
(CFAS), and glycerin soap based. They contain no artificial fragrance, color,
preservatives, detergents, alcohol, urea, formaldehyde, DEA, propylene glycol – or any
of the other synthetic hair care additives that can cause dry, itchy, and irritated scalp and
contribute to hair loss. Your hair and scalp will get a break from harmful synthetic
ingredients that rub the scalp of natural moisture.
 The benefits that you may find in switching to a shampoo bar are faster-growing
hair, reduced dandruff, shinier hair and less frizz. If you have curly hair, most people say
that they have more defined curls with better control. Shampoo bars are good for all hair
types and hair lengths. Also, natural shampoo bars last a long time and for many, there is
no need to buy separate conditioner. They are great to keep in your gym locker and
camping because they won’t leak and can be packed in carry-on luggage while
complying with TSA regulations.

MISSION

to get everyone a plastic free hair care that will help the environment reduce
waste. And to be able to give people a reliable and convenient product for their everyday
basis.

VISION

to make the environment as clean, healthy and abundant as they once were and
help the environment to take back or to envision the beauty of nature before.
 CHAPTER III

DESCRIPTION OF THE PRODUCT

Shampoo bars are hair cleanser in bar soap form, usually made of natural ingredients
to promote hair health. Shampoo bars are the latest trend in hair care products. They are
also easier on the environment as it cut out the need for plastic bottles and most come
wrapped in recycled paper or in paper boxes and convenient for travelling.

The Making of Extrait d’ Orange Shampoo Bar:

The procedure shown here can create sixty (60) pieces of shampoo bar and is done
by any do it yourself tutorials. We don’t have the proper guidance and procedure of
chemical engineering for the preparation of this product. But we might soon be able to
consult the right person to produce this product. We will first introduce our product by
home based and online selling.

Ingredients: Materials to be used:

60tbsp. Orange Extract Pan

5kg Soap-based Glycerin Rubber Scraper

20tsp. Shea Butter Molder

200 drops of Lavender Essential Oil

20tbsp. Coco Fatty Alcohol Sulfate (CFAS)

Procedure:

1. Prepare a hot pan then put the glycerin into it, then add orange extract,
CFAS and shea butter then mix it.

2. Wait until it become liquid form.

3. Remove the hot pan in the stove, then put 5-8 drops of lavender essential oil
in the pan then stir it.

4. Next, pour it on the jelly molder. Let it cool down for 1 hour.

5. Then after 1 hour, if it is already hardened in the molder then get ready for
packaging.

PACKAGING:
 LOGO

PHYSICAL EVIDENCE
PLACE

Manufacturing shampoo bars is situated in Gran Seville Subdivision, Banlic,

Cabuyao, Laguna, while distribution center is in Waltermart, Cabuyao specifically in
Watsons Store. Extrait d’ Orange Shampoo Bar uses a push strategy through direct
distribution where shampoo bar could be easily accessible to all consumers. In addition to
these bricks & mortar retailers we would provide our target audience who are accustomed
to using technology and purchasing online with a web page, where they could order
delivery of a product right from the company, without involvement of third party.

PRICING
Pricing Strategy

The Barra de Champú Company will use a penetration pricing. Penetration pricing is
a pricing strategy were the price of a product is initially set low to rapidly reach a wide
fraction of the market and initiate word of mouth. The strategy works on the expectation
that customers will switch to the new brand because of the lower price than the usual
prices of shampoo bar sold in market and online shop. The company chose this kind of
pricing strategy to attract customers to their new product by offering a lower price during
its initial offering. The lower price helps their new product penetrate the market and
attract customers away from competitors.

Computation of Pricing

Ingredients Quantity Equivalent Peso Cost

Measure

Orange Extract 10pcs 6tbsp. ₱120.00

Glycerin 5kg 5kg ₱1,125.00

Soap-Based

Lavender Essential 30ml 20 drops ₱155.00

Oil

Shea Butter 150g 20tsp. ₱180.00

Coco Fatty Alcohol 500g 2tbsp. ₱120.00

Sulfate (CFAS)

Total Ingredients: =₱1,700.00

Utilities Quantity Peso Cost

Super Kalan (LPG) 2.7 kg ₱203.00

Heart- Shaped Silicon 10pcs ₱1700.00

Molder

Total Utilities: =₱1903.00

Packaging Quantity Peso Cost

Japanese Paper 60 pcs ₱1605.00

Rope Craft String 10 rolls ₱185.00

Tissue Paper 4 rolls ₱210.00

Craft Paper 4 packs ₱140.00

Total Packaging: ₱2140.00

Packaging Cost ₱2140.00

Ingredients Cost ₱1700.00

Utilities Cost ₱1903.00

Total Cost =₱5743.00

Original Price

₱5743.00/ 60pcs = ₱96.00

Selling Price

Original Price (100+ Profit Percentage)

SP=
100
 96(100+10 % )
SP=
100

SP= ₱106.00

PROMOTION

Our chosen methods of promoting the product would be through advertising,

publicity and sales promotion. In advertising and publicity since technology has been
more advanced it is more applicable by doing it digitally, meaning we are going to use
social media. This is because people nowadays are more updated through social media.
So, we have high chances that this product will be noticed. But yes, not immediately
since people have trust issues that they may see that this product as a scam.
TWITTER
 FACEBOOK PAGE

INSTAGRAM

FLYER
 Front Back

BUSINESS CARD
 CHAPTER IV

MARKET RESEARCH

COMPETITIVE ANALYSIS

SWOT ANALYSIS

Helpful Harmful
to achieving the objective to achieving the objective
Internal origin

Strengths Weaknesses

1. The product: Extrait d’orange Shampoo Bars 1. Unable to match up: Extrait d’orange shampoo bars

are not just different but also naturally was in a category which did not have too much of

scented and colorful to look at. Through competition. The difficulty to match up with new

different variety of shapes and scents which demands will affect the business.

have packaging that is very eco-friendly, the 2. Competitor has strong promotional activities.

product will be able to capture the attention 3. Competitor can offer similar products quickly.
of the system)

of the customer 4. Limited start-up cost.

5. Competitor have more organic product.
(attributes origin

Opportunities Threats
1. Continued expansion for online sales. 1. Competition: The main competitor of Extrait
External

d’orange Shampoo Bars is the Mayumi

2. Solidified bar shampoo variation.
2.
3. Easily to carry when travelling.
4. All-natural trends.
5. More promotion like price-offs and samples.
(attributes of the environment)
Organics.
Difficulty to attract customers: Cosmetics
are product categories which mandate a lot
of customer loyalty. This will be a challenge
for the business since we were just starting
out. We need to spread the goodness of our

product and convince the customer that the

PEST ANALYSIS

POLITICAL

1. Strict Guidelines: Product safety is a hot topic. It’s more openly discussed in the
cosmetic segment of the beauty industry since these products are designed for skin-to-
skin contact. A bill called the Personal Care Product Safety Act allows the FDA to have
a more “hands-on” approach to ensuring product safety. Companies will need to report
ingredient statements, recalls, and register manufacturers.

ECONOMICAL

1. A Recession-resistant Industry: Unlike many others, the beauty industry is quite

resistant to economic recessions. It even survived the Great Recession of 2008. Sure,
customers became more price conscious, deciding to buy only what they need for
survival, but that’s the thing. Beauty products have become a necessity like eating or
having a roof over their head. People will always feel the need to have shampoo and
soap in their bathroom.

SOCIOLOGICAL

1. Brand Loyalty: Brand loyalty spreads horizontally too. Someone finds their favorite
shampoo from Company A and then sees a new moisturizer made from the same guys.
They buy the moisturizer because they already love the shampoo. It’s not a huge leap to
think they’ll love another product Company A launch. And it goes on, and on, and on.

TECHNOLOGICAL

1. 24hour Access: Any new beauty brand can sell their products through online. Many
sells directly through their site (e-commerce) with no plans to ever put their products in
stores (it’s both expensive and extremely difficult to get shelf room in retails stores).
Sure, the big brands are well-known with a higher chance of keeping their customer
base, thanks to brand loyalty. But these new shops offer exactly that: something new,
shiny and often – niche.

CHAPTER V
MARKET SURVEY

The researchers were able to gather information from the people in Cabuyao,
Laguna with the total sample respondents of two hundred and forty (240). This was
taken from random sampling by Slovin’s Formula.

Sample respondents’ size are computed as follows:

N
n=
1+ Ne 2

Where:

n= sample size

N= total population of walk in people in Watsons store in Waltermart

Cabuyao as of 2020 (600)

e= margin error (0.05)

Solution:
 600
n=
1+(600)(0.05)2

n= 240 Respondents

The following are the graphed results gathered in the survey the proponents
conduct:

Consumers Reaction to the Extrait d' Orange

Shampoo Bar
5% Very Positive
20% Neutral
Very Negative

75%

Consumers reaction to the Extrait d’ Orange Shampoo Bar. Out of 240

respondents 20% of them answers that is it a very positive product. While 75% of them
answers that it is somewhat positive and the remaining 5% answers that it is very
negative.

Consumers Rate About the Extrait d' Orange

Shampoo Bar
High Quality
15% Neither high nor low quality
35% Low Quality

50%

Consumers rate about the Extrait d’ Orange Shampoo Bar. Out of 240
respondents 15% of them answers that is it a high-quality product. While 50% of them
answers that it is neither high nor low quality product and the remaining 35% answers
that it is a low-quality product.

Consumers Response on How Innovative the Extrait d'

Orange Shampoo Bar
Very Innovative
15%
30% Somewhat Innovative
Not So Innovative

55%

Consumers response on how innovative the Extrait d’ Orange Shampoo Bar. Out
of 240 respondents 15% of them answers that it is a very innovative product. While
55% of them answers that it is somewhat innovative product and the remaining 30%
answers that it is not so innovative product.

Consumers Response Whether The Extrait d'

Shampoo Bar Is Something They Need or Don't Need
8%
Probably Need
Neutral
Probably Don't Need
45%

48%

Consumers response whether the Extrait d’ Orange Shampoo Bar is something

they need or don’t need. Out of 240 respondents 8% of them answers that is it probably
a need. While 48% of them answers neutral and the remaining 45% answers that it is
probably not a need.
 Consumers Rate the Price Value of the Extrait d'
Orange Shampoo Bar
Excellent
20% Average
35%
Poor

45%

Consumers rate the price value of the Extrait d’ Orange Shampoo Bar. Out of
240 respondents 20% of them answers that it has excellent price. While 45% of them
answers that it has an average price and the remaining 35% answers that it has poor
price.

Consumers Response On How Likely Would They Buy

The Extrait d' Orange Shampoo Bar

21% Very Likely

26%
Somewhat likely
Not so Likely

53%

Consumers response on how likely they would buy the Extrait d’ Orange
Shampoo Bar. Out of 240 respondents 21% of them answers that it has excellent price.
While 53% of them answers that it has an average price and the remaining 26% answers
that it has poor price.
 Consumers Response on How Likely Would They
Replace the Current Product with the Extrait d' Orange
Shampoo Bar
Very Likely
11% Somewhat Likely
Not So Likely
42%
47%

Consumers response on how likely they would replace the current product with
the Extrait d’ Orange Shampoo Bar. Out of 240 respondents 11% of them answers that
it is very likely to replace. While 47% of them answers that it is somewhat likely and
the remaining 42% answers that it is not so likely.

Consumers Response On How Likely Would They

Recommend The Extrait d' Orange Shampoo Bar
14% Very Likely
34% Somewhat likely
Not so Likely

52%

Consumers response on how likely they would recommend the Extrait d’ Orange
Shampoo Bar. Out of 240 respondents 34% of them answers that it is very likely to
recommend. While 52% of them answers that it is somewhat likely to recommend and
the remaining 14% answers that it is not so likely to recommend.
Plant Layout

Plant Location