Brevish Dame C.

Franco BPED 3A

UNIT 6:
Develop the Marketing Plan

Instruction: Given a situation below, apply your learnings particularly

in Unit VI on how to respond the questions sensibly.

You are going to open a retail store that will offer novelty items in a strategic area
in Iloilo City. Your target market are teenagers especially girls and gays ages from
13-19 years old.

a) Describe the promotional mix you will employ for your business which you
think can bring your venture into a successful one. Why did you choose these
promotional elements?

Product

If I am to open a retail store that will offer novelty items in a strategic area in Iloilo City,
I would choose to sell fashion items and accessories such as t-Shirts, caps, bags, fashion
jewelries, pens, memo pads, umbrellas, key chains, mugs, make-up kits and essentials,
pocketbooks, and magazines. The target market are the girls and gays that ranges from
13-19 years old, and these products can satisfy their wants and needs as they go
through their teenage years wherein, they start to care for their self, especially on their
physical appearance. I will find the right supplier, propose a design concept and day-to-
day retail activity. Inventory management will be tracked through our computerized cash
register, so that each month we are aware of the style, trend and quantity on every item
sold in the store for future planning. Moreover, products will not be limited to one type
per category, for example we will offer 3 types of different kinds of key chains or 5
different design types for caps or t-shirts, because I know that customers want options.

Pricing

Because we are in a strategic area of Iloilo City, as these products are novelty, I will
encourage the customers for an impulsive buying, so I will maintain a flexible pricing
strategy. The price would vary and depend on the quality of the business's products,
service, and effort, the cost of living in the city, the market value and price passed on
the SRP, or the BIR's approval. Moreover, we wanted to attract customers from different
social status. For example, in makeup products, as above mentioned I will put variety of
Brevish Dame C. Franco BPED 3A

choices, and its prices will also vary wherein customers from different social status can
come to our store and buy.

Place

Since we are in a strategic area in Iloilo City, I will make sure to take a corner lot so that
it is easily seen by buyers. The outside and inside appearance of the store will be
designed that is attractive to our target customers as it is one of the factors why
customer come to a store.

Promotion

As we are now in digital age, most of these customers has their social media accounts.
We will take that platform to promote our store and our products. Brand identity is the
key issue with consumers. More so, a date will be set for the grand opening of the store
as it is the most successful in any store promotions.

I chose this promotional mix because this is what I think the best fit for my planned
store. Further, all marketing decisions, including media selections, frequency, size, and
expenditures, will be made on a continuous basis, with careful evaluation of the returns
gained.

b) What pricing strategy/ies are you going to use that can convince your customers to
buy or patronize your products. Explain.

For my products, I will employ various pricing strategies. First, on the grand opening, for
an introductory pricing, I will apply penetration pricing so customers will be encouraged to
come in our store and buy because of its low price. The regular prices will be applied after
the grand opening. Second, is the promotion and discount pricing wherein I can have sales
or discounts to some items during holidays or special occasions. People like sales and
discounts because it is where they can buy what they want for a limited time and save money.
Lastly, for the normal prices of the products, I will apply a psychological pricing of odd/even
price and price lining. As above mentioned, we have variety of items on each category and
price lining would be the best fit in offering different levels of prices for a specific category
of product based on feature and quality. The prices will in an odd/even price as some buyers
are sensitive to certain ending numbers.