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MARKET STUDY
INTRODUCTION
The market study is the most essential part of this feasibility study. This study
includes the demand, supply, demand and supply situation, pricing strategies, marketing
program, promotions, and marketing budget. A careful analysis of the demand and supply
of the product is needed for it dictates the feasibility and profitability of the entire project.
GENERAL OBJECTIVE
In order to achieve a certain goal, the objective must be ascertained. The general
objective of this study is to determine the marketability of the product or service. This
includes the demand and supply situations, pricing strategies and marketing programs,
and the survey results.
SPECIFIC OBJECTIVE
Also, this study seeks to determine the following specific objectives:
1. The size, the nature, and growth of total demand for the product;
2. The description and price of the service to be rendered;
3. The supply situation and the nature of competition;
4. The different factors affecting the market of the product; and
5. The appropriate marketing program for the product.
BUSINESS DESCRIPTION
The business, Imprints, intends to penetrate the markets of T-Shirt Printing within
Quezon City. The effectivity of the strategies would take effect and align on the key
success factors and different external influences within the internal and external body of
the business. Facts are purely based on research methods utilized within the time duration
of preparation.
For this business plan, t-shirt printing is then aligned to necessary criteria to find a
certain target market. By finding compatible data, the plan seeks potential feasibility and
success. Imprints acquired the presented target markets through these segmentation
bases:
Target Market:
1) Group Markets – markets who buy in bulk or may contain individuals who can be
induced to buy.
Schools & Educational Institutions – Schools are also in need for bulk orders
within purposes of events or attire requirements. Examples of this purpose are:
Intramurals shirts which almost all the students are required to have (Grade school to
High School, School Fair shirts, acquisition of school organization attires, School
Varsity shirts for sports, and other alike. Schools & Educational Institutions can be a
source of a large-base purchase but a disadvantage over revenue can occur when a
discount for a bulk-order is requested. Settlement over such issue could be the
solution such as agreements of “meeting halfway” to gain a win-win situation.
Couples – Couples could be a small market / may not be a trend anymore but
provision of products over celebrations, anniversaries and especially during
Valentines can be a source of revenue.
DEMAND SITUATION
Survey Results:
A. Personal Background
16% 5%
46%
13-21 years old
22-40 years old
41-64 years old
64 years old and above
34%
The pie chart portrays the distribution of the respondents according to age. The
result shows that 182 or 45% of the respondents are from the age of 13 to 21 years old,
137 or 34% of the respondents are from the age of 22 to 40 years old, 63 or 16% of the
respondents are from the age of 41 to 64 years old, and 18 or 5% of the respondents are
from the age of 64 years old and above. It shows that the majority of the respondents are
from the age of 13 to 21 years old.
Male
Female
60%
The pie chart portrays the distribution of the respondents according to sex. The
result shows that 159 or 40% of the respondents are male and 241 or 60% of the
respondents are female. It shows that the majority of the respondents are female.
16%
50%
Student
Employed
Unemployed
35%
Table 3. Distribution of Respondents According to Social Status
The pie chart portrays the distribution of the respondents according to social
status. The result shows that 198 or 49% of the respondents are students, 140 or 56% of
the respondents are employed, and 62 or 16% of the respondents are unemployed. It
shows that the majority of the respondents are students.
12%
The pie chart portrays the distribution of the respondents according to their
weekly allowance for students. The result shows that 23 or 12% of the respondents have
weekly allowance of less than P500, 54 or 27% of the respondents have weekly
allowance of P501 to P750, and 121 or 61% of the respondents have weekly allowance of
P751 and above. It shows that the majority of the respondents have weekly allowance of
P751 and above.
5. Distribution of the Respondents According to Monthly Income for Employees
25% 16%
28%
The pie chart portrays the distribution of the respondents according to their
monthly income for employees. The result shows that 22 or 16% of the respondents have
monthly income of less than P10,000, 42 or 31% of the respondents have monthly
income of P10,001 to P15,000, 38 or 28% of the respondents have monthly income of
P15,001 to P20,000, and 34 or 25% of the respondents have monthly income of P20,001
and above. it shows that the majority of the respondents have monthly income of P10,001
to P15,000.
6. Distribution of the Respondents According to Savings in a Month
31% 6% 17%
The pie chart portrays the distribution of the respondents according to their
savings in a month. The result shows that 22 or 5% of the respondents have savings of
less than P500, 69 or 17% of the respondents have savings of P501 to P1,500, 88 or 22%
of the respondents have savings of P1,501 to P2,500, 98 or 25% of the respondents have
savings of P2,501 to P3,500, and 123 or 31% of the respondents have savings of P3,501
and above.
.
B. T-Shirt Preferences
1. How many times are you willing to buy customized t-shirts in a year?
3% 8%
4%
Never
Once
33% 2 to 5
53% 6 to 10
above 10
34%
Choose a Design
Give a Design
66%
263 or 66% of the respondents answered that they will give their own designs while
137 or 34% of the respondents answered that they will choose designs within the store.
3. Number of Designs
10%
Single
Multiple
90%
359 or 90% of the respondents answered that they want multiple number of
designs while 41 or 10% answered they only want single design.
26% 16%
Quotes
Numbers
22% Cartoons/animations
Memes
Others
37%
Table 10. Distribution of the Respondents According to Category of Designs They Like
5. If you are willing to buy a high-quality shirt, how much are you willing to pay?
14% 6% 22%
P250-P300
P301-P350
P351-P400
18%
P401-P450
P451-P500
23% P501 and above
17%
Table 11. Distribution of Respondents According to How Much They’re Willing to Pay
Most of the respondents answered that they are willing to pay P301 to P350 to
buy a high quality shirts, with 93 answers or 23% of the respondents followed by P250 to
P300 with 89 answers or 22% of the respondents.
6. What buying method do you prefer?
3% 23%
Online
Walk in
Telephone
74%
Yes
No
92%
Table 13. Distributions of Respondents According to Who Will Avail High Quality Shirts
369 or 92% of the respondents answered that they like to avail high quality shirts
and only 31 or 8% of the respondents answered they don’t like to avail high quality
shirts.
13% 14%
17%
V-Neck Plain
20%
V-Neck Colored
Round Neck Plain
Round Neck Colored
Long Sleeves
15% 21% Raglan
57 or 12% of the respondents prefer V-neck Plain shirts and 80 or 14% of the
respondents prefer V-neck colored shirts. 83 or 21% of the respondents prefer round neck
plain shirts and 59 or 15% of the respondents round neck colored shirts. 69 or 17% of the
respondents prefer long sleeves and 52 or 13% of the respondents prefer raglan.
Past Demand
There is no available data about the demand of T-shirt printing for the past years.
Therefore, the proponents assumed that the demand determined from the survey is the
same as what the demand was for last five years. To compute the annual demand, the
total population will be multiplied by the market acceptability rate and frequency of
availing. The computed frequency of availing per month is:
dpmwm × hpd wm
FoA=
ppg wm
Where:
FoA = frequency of availing
dpm = days per month (how often they avail of a karaoke room)
hpd = hours per day (number of hours they avail per session)
ppg = persons per group (number of persons per group)
The total annual demand for the past five years and the projected demand are
presented below.
Year Population Market Acceptability Frequency of Availment Annual Demand
2010 35,697 94.00% 6 201,331
2014 38,368 94.00% 6 216,396
2015 38,997 94.00% 6 219,944
2016 39,637 94.00% 6 223,553
2017 40,287 94.00% 6 227,219
2018 40,948 94.00% 6 230,947
2019 41,619 94.00% 6 234,731
DEMAND-SUPPLY SITUATION
By using the demand-supply analysis, the proponents will come up with a
difference which will be the unserved market, unserved demand or demand gap. Demand
gap is computed by subtracting the projected annual supply from the projected annual
demand as shown below:
Year Annual Demand Annual Supply Demand Gap
2010 201,331 187200 14,131
2014 216,396 187200 29,196
2015 219,944 187200 32,744
2016 223,553 187200 36,353
2017 227,219 187200 40,019
2018 230,947 187200 43,747
2019 234,731 187200 44,531
Equipment
Designs
Within the Philippines, most Filipinos tend to wear shirts that express
themselves. On a psychological aspect, Filipinos tend to express on a subliminal
way. Within this fact, trend within designs are mostly lined within an individual’s
expressions and emotions.
Design Knowledge
Availability of designs over the internet has given the community so much
to innovate with. Also, the availability of image editing and enhancing software
within torrent site has given many people the opportunity to own one without
buying and owning a license. Within this unethical advantage, most people
obtained knowledge using these available software.
T-Shirt Printing establishments have been rising within the nation since
the growth of fashion within the Philippines within the year 2005. T-shirt printing
businesses rose from sole proprietors who innovated and learned how to print
shirts on their own with the assistance of the Internet.
Product
Imprints would be offering high quality shirts sourced from a researched supplier
(See Appendices for more details) printed with quality designs by utilization of
procedures with the absence of difficulty due to the equipment used characterized with
the latest technology.
1) Fabric 100% Pure Augmented Cotton – results to quality texture, weight, and
fabric density for comfort.
Design:
According to our survey, here are our proposed designs for our start-up
Category Strategy
Songs, Bands Filipinos are in hype with music. With the
influence of media such as MYX within the
Philippines, Imprints would dedicate designs that
would support OPM (which can also be
considered as a voluntary movement of the
business towards community support)
Quotation Within the Philippines, most Filipinos tend to
wear shirts that express themselves. On a
psychological aspect, Filipinos tend to express on
a subliminal way. Within this fact, trend within
designs are mostly lined within an individual’s
expressions and emotions.
This would still instill decency over Imprints
products for which quotation are maintained out of
obscenity.
Memes Memes are internet trends. Sources like 9gag
would be a great source of designs but would
incorporate copyright by making parodies to avoid
any violations.
Icons Icons are composed of all individuals who are
trending like celebrities.
Imprints designs are not limited within the list. The list provides the foundation of
designs Imprints would provide in its launch. The main objective of Imprints is to
provide designs that are in trend or hype.
Price
Pricing strategies:
Psychological Pricing – The use of –P1 pricing together with the lower prices of
Imprints products are utilized.
Impronts prices would give a rebuttal to the competitors present. The business would
contradict the practice of having 100% - 300% mark-up within products offered by
having 48% - 70% Markup within the products without jeopardizing generation of profit.
Communication
Communication ff
Communication Channels (Inbound/Pe
Marketi
Marketi
Promotion
Promotion Strategies:
Imprints would have Online Advertising & Print Media promoting the
love for Imprints. Promotion towards the brand would potentially increase brand
awareness and would eventually turn into recognition.
Giving limited time offers would provide customer the need to purchase.
Normally this would affect the purchase decisions of customers by causing them
to prevaricate over a purchase especially if it has high quality.
3) Twisted Heuristics
4) Discounting
Advertising:
1) Print Media – Traditional Print Media providing brochures, etc.
Others:
Advertisements
Competitor Analysis
*1-lowest, 4-highest
Critical Success
Competitors
Factors
A B C D E F
Amazing Print To Tarpaulin & Score Revinch Tees &
Playground Shirts Shirt Prints Prints
Advertising 2 1 1 1 1 2
Customer Service 2 1 3 2 3 3
Compliance To
1 3 4 2 2 1
Price-Sensitiveness
Expertise 3 2 3 3 3 4
Product Quality 4 2 3 3 3 4
E – Commerce 3 1 1 1 1 3
Customer Loyalty 4 2 3 2 2 4
Expansion 2 1 1 1 1 3
Market Share 4 1 3 2 2 4
Product Line
3 2 2 2 2 3
Offerings
Total 28 16 24 19 20 31
T-Shirts
Monthly Average
Competitor Produced Monthly Sales
Customers Price
Monthly
A 1000 400 2000 800,000
B 450 120 4000 480,000
C 700 80 2800 224,000
D 200 180 1600 288,000
E 400 250 3200 800,000
F 800 600 2000 1,200,000
Competitors’ Map
SWOT ANALYSIS
STRENGTHS WEAKNESSES
- REPERTOIRE OF DESIGNS - ”EXPERIENCE” IN
AND PATTERNS FOR HANDLING SITUATIONS
SHIRTS HAS A SUCH AS (RUSH ORDERS,
COMMUNITY IMPACT FORTUITOUS EVENTS AND
- UP TO DATE TECHNOLOGY SUCH)
IN DESIGNING AND - TRANSPORTATION FOR
MANUFACTURING – SUPPLIES
DELIVERY OF VALUE - DIFFICULTY IN
- DELIVERING SERVICES ESTABLISHING BRAND TO
(CAN BE A POTENTIAL THE PUBLIC
USP)
- FLEXIBLE & VERSATILE
- CUSTOMER ORIENTED &
DRIVEN
OPPORTUNITIES THREATS
- HIRING OF POTENTIAL - NECK TO NECK ONLINE
EMPLOYEES (IF BUSINESS COMMERCE COMPETITION
GROWS) DUE TO THE ALIENATION
- T-SHIRT TREND WILL OF E-BUSINESSES IN THE
REMAIN AS A BUSINESS ONLINE WORLD
OPPORTUNITY NOT ONLY (FACEBOOK, TWITTER,
FOR THIS YEAR BUT TO INSTAGRAM ETC.)
THE COMING YEARS AS - COSTS FOR RAW
WELL. MATERIALS IS RISING
- CONTINUOUS GROWTH - UNDETERMINED PRICING
FOR ONLINE COMMERCE CLIMATE FOR PETROLEUM
IMPROVING INVESTMENT - UNDETERMINED
CLIMATE OF THE PHILIPPINE CLIMATE
PHILIPPINES WITH 49.1%. (COULD AFFECT OUR
RANKED 2ND IN ASIA NEXT TRANSPORTATION AND
TO MYANMAR LOCATION OF OUR
- IMPROVING BUSINESS BUSINESS)
CLIMATE, PHILIPPINES
PART OF THE TOP 10 (FOR
SMALL TO MEDIUM
BUSINESSES).
Demand & Supply Analysis
Source: http://web0.psa.gov.ph/content/quezon-city-population-peaked-28-million-results-2010-census-population-and-housing