Premium Furniture

2011

Premium Furniture

Marketing plan

Premium Furniture

2011

Executive Summary
Premium Furniture Mfr. will be riding a growth spurt, having discovered the high-end direct mail channel that will give us a push to high potential volumes through channels. Bolstered by appearances in specialty catalogs, we will be able to develop another additional channel through distributors of office equipment that sell direc to corporations. tly This projected annual business plan calls for three years of growth because our sales growth will bring some working capital implications, we are carefully planning to manage growth and provide for steady cash flow. We also expect to be profitable. In all, this plan is a healthy company with good growth prospects, looking to manage its orderly growth in the near future.

Marketing plan

Premi m Furniture

2011

Visio st t

t

Premium furniture needs t differenti te itself and its products from competitors. There is no compromise bet een being able to offer good qualit products at low prices

Missio st t

t

Premium Furniture Mfr. helps will create pleasant producti e office environments with well designed furniture that incorporates new technology into the classic office mode, in which real people can work happily. We are sensitive to the look and feel of good wood and fine furniture as well as to high-powered personal computing. We will always provide the best possible value to our customers who care about quality office environments, and we want every rupee spent with us to be well spent. We will also create and nurture a healthy, creative, respectful, and fun office and workshop environment, in which our employees are fairly compensated and encouraged to respect the customer and the quality of the product we produce. We seek fair and responsible profit, enough to keep the company financially healthy for the long term and to fairly compensate owners and investors for their money and risk.

M

¤  ¦ ¥¤ £ ¡  ¢
ti l

Premium Furniture

2011

Objective

f the Firm

1. Uncompromising commitment to the quality of the end product: quality wood, quality workmanship, quality design, quality of end result. 2. Successful niche marketing: we need to find the quality -conscious customer in the right channels, and we need to make sure that customer can find us. 3. Almost-automatic assembly: we can't afford to ship fully-assembled desks, but assembly must be so easy and automatic that it makes the customer feel better about the quality, not worse.

Company Owner hip
Premium Furniture Mfr. is a small company, owned entirely by ALI IMRAN.

Company Location and Facilitie
Premium Furniture Mfr. will be located at the back street of main Feroz-pore road. The facility includes office and workshop space, highly access able due to the location, and good parking.

Marketing plan

Premium Furniture

2011

Situational Analysis
The situational analysis is designed to take a snapshot of where things stands at the time the plan is presented. We will pleasant, productive office environments with will±designed furniture that incorporates new technology into new classic office mode, in which real people can work happily. Situational Analysis consist of si steps :
y y y y y y Products Target market Distributions Competitors Financial Other issues

y Pro ucts
Premium Furniture Mfr. will offer very high quality office furniture designed to effectively incorporate computer machinery into the executive office or home office. The key to the line is an ergonomically effective desk that still looks like an executive desk, looks very good in a high-end home office, but is intended to accommodate the personal computer. We will introduce the new line based on the executive laptop computer, with docking station to connect to a network. The new furniture has a different configuration to assume easy access to the docking station, and better use of the space that doesn't have to be dedicated the CPU case. We are also going to accommodate larger monitors, the 17" and 21" si es that are becoming much more common, particularly in our high-end market. As we do, we will also be watching for the new technology providing wall-mounted flat screens, the liquid plasma and similar technologies. 

§

M 

©¨§
ti

pl

Premium Furniture

2011

Distri

tio Patterns

The four main manufacturers are selling direct to the office superstores. This accounts for the main volume of distribution. The office furniture customer seems to be growing steadily more comfortable with the retail buy in the chain store. The major corporate purchases are still made directly with manufacturers. Although this is still a major channel for some of the more traditional manufacturers, it is essentially closed to new competition. The direct channel is dominated by two manufacturers and two distributors. The distributors will occasionally take on a new line -- happily, this has helped Premium Furniture Mfr. -- but the main growth is in retail.

Uniqueness of our product:
Custo ization: We make furniture according to customer¶s demand. It can be customi ed accordingly. Hi qualit :

High quality is our basic strength, we will make furniture of very good material that customer requires.

Mattresses free wit dowry: Keeping in mind need of the hour, we have made this unique offer to add value by providing satisfaction to customers. We will not only make dowry on demand, but we will also offer a free gift.

Less expensi e: Whether we will provide products of high quality but we will try our best to provide goods on economical prices so that every on can afford it.

Long warranty period: Usually warranty period is not kept in mind but we have given equal importance to this point. We have offered a long warranty period keeping in view customer convenience. 

M rketi  

!   

pl

Premium Furniture
Qui k ho e deli ery:

2011
$

This is also very important once the furniture is ready we will deliver it free of cost. We just try to provide convenience to our customers.

Pri ing Strategy
We will maintain our pricing position as a premier provider. We are the best product available, for the most discriminating consumer. We intend to maintain our separation from the price competition at the lower end of the business. Our plan calls for no significan t changes in pricing.

Distri ution Patterns
The four main manufacturers are selling direct to the office superstores. This accounts for the main volume of distribution. The office furniture customer seems to be growing steadily more comfortable with the retail buy in the chain store. The major corporate purchases are still made directly with manufacturers. Although this is still a major channel for some of the more traditional manufacturers, it is essentially closed to new competition. The direct channel is dominated by two manufacturers and two distributors. The distributors will occasionally take on a new line -- happily, this has helped Premium Furniture Mfr. -- but the main growth is in retail.

Pro otion Strategy
Our most important vehicle for sales promotion is the direct mail catalog published by the specialty retailer such as Sharper Image and its competitors. This year we will also promote our products with an in-house catalog including our own products plus related merchandise of interest to the same target market.

Servi es Offered

#

"

Marketing plan

Premium Furniture

2011

Target Market Segment Strategy
Our segment definition is of itself strategic. We are not intending to satisfy all users of office furniture intended for use with personal computers, but, rather, only those who are most demanding. We are definitely out to address the needs of the high-end buyer, who is willing to pay more for quality. In our particular market, we also seek the buyer who appreciates two attributes: the quality of furniture workmanship and the excellence of design, with an understanding of technology and ergonomics built in.

Target Customers

Purchasing Process
Our price will be lower then our competitors due to lower cost. Cost analysis Raw material cost Manufacturing cost Payroll cost Transportation cost Other cost 50% 15% 20% 10% 5% Price formula Price = Cost + Profit Our profit will be 10% of the total cost.

Pricing o jectives:
Maximi ing profit Increase sales Customer loyalty Competitive edge Develop a distribution strategy for your business. How are you going to get your product or service to your customer? Discuss customer service for your Product distribution. Marketing plan

Premium Furniture

2011

Psychographic Profile

Distributor network
The four main manufacturers are selling direct to the office superstores. This accounts for the main volume of distribution. The office furniture customer seems to be growing steadily more comfortable with the retail buy in the chain store. The major corporate purchases are still made directly with manufacturers. Although this is still a major channel for some of the more traditional manufacturers, it is essentially closed to new competition. The direct channel is dominated by two manufacturers and two distributors. The distributors will occasionally take on a new line -- happily, this has helped Premium Furniture Mfr. -- but the main growth is in retail.

Competitive Analysis
Main Competitors Apple Furniture.
Apple has been operating since the middle 1980s, and grew up with computer-related furniture. It was one of the first, certainly the first we are aware of, to develop personal computer desks and market through advertising in computer magazines. Today they are about twice our size. They have a very nicely done catalog and good relationships with two distributors.

Strengths: good marketing, strong advertising budget, relationships with distributors, strong direct sales. Weaknesses: the product is more standardized, and of lesser quality, with less sense of
design and materials and workmanship.

Furniture Revolution
Furniture revolution is the second largest manufacturers of mainstream home furnishings. We see very good quality product, and an excellent sense of design, but little movement in channels or catalogs. Marketing plan

Premium Furniture

2011

Strengths: financial backing, product quality. Weaknesses: Furniture revolution not seemed to understand our niche, where to find the
buyers, how to market as a specialty niche instead of the moretraditional furniture channels.

Sale Foreca t
Our sales forecast assumes no change in costs or prices, which is a reasonable assumption for the last few years taken from comparable companies. We are projecting significant attraction in the product line, or in the proportion between different lines. The key to our growth is the growth of the Office desk.

Marketing plan

Premium Furniture
Market Segmentation

2011

Corporate executives: Approximately Half a million potential customers who are managers in corporations of more than 100 employees. The target customer is going to be at a high executive level, in most cases, because the purchase price is relatively steep compared to standard office furniture. Small business owners: our customer surveys indicate a strong market among the owners of businesses with fewer than 100 employees. There are 4 million such businesses in this country, most of them with concentrated ownership that makes the owners potential customers.

Home offices: the home office business has proliferated during the 1990s, and we also have home offices for people employed outside the home. This is a big market, some 2 million home offices, growing faster than other markets.

Profi bili

An l sis

En ironm n l Probl ms And Opportuniti s

The trends events conditions that are external that company cannot control that may impact the company products or the market. There are areas of consideration: y y y y y y Social and Cultural Demographic Economic Technological Political Legal,regulatory,ethical

Marketing plan

Premium Furniture
Political

2011

Tax policy Tax policy will affect us in a way as we will have to pay tax as a manufacturing concern. So it will ultimately affect our cost. Labor Laws As we will hire labor for furniture making so we will have to follow labor law. We will have to take into consideration labor law for hiring, compensating and dealing with laborers. Environmental laws As we are manufacturing concern so all environmental laws are being applicable on our company. We will avoid all those activities that affect our environment.

Economical
Inflation rate
The inflation rate is used to calculate the real interest rate, as well as real increases in wages. So it will affect our cost.

Interest rate Interest rate also has its own affect in a way that if we will acquire loan then we will have to pay interest, so current interest rate should be kept in mind. Exchange rate Exchange rates affect the costs of exporting goods and the supply and price of imported goods in an economy so it will affect us also.

Socio cultural
Aging population Aging population may imply a smaller and less willing workforce (thus increasing the cost of labor). Companies may change various management strategies to adapt to these social trends (such as recruiting older workers). So we will have to keep this in mind. Health consciousness

Marketing plan

Premium Furniture

2011

Social factors include the cultural aspects and include health consciousness being a manufacturing concern we should try to maintain such an environment that doesn¶t affect the health of employees.

Technological
Technological changes Keeping in view technological changes we have introduced MIS system that will keep the record of Customer profile and history record, for order and re-order management. Sales and backup management services. Research and development activities New product design and development is more often than not a crucial factor in the survival of a company. In an industry that is changing fast, firms must continually revise their design and range of products. This is necessary due to continuous technology change and development as well as other competitors and the changing preference of customers. Keeping in view above factors we have introduced furniture that has been made according to these changes needs of customers.

Legal
Employment law Labor law (also called labor law or employment law) is the body of laws, administrative rulings, and precedents which address the legal rights of, and restrictions on, working people and their organizations. So it will also applicable to our company. Consumer law Consumer Protection laws are a form of government regulation which aim to protect the rights of consumers. So we will try to charge prices according to government rates.

Marketing plan

Premium Furniture

2011

Marketing plan

Premium Furniture

2011

Marketing plan