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Cupcake Bouquet Marketing Plan

Mission Cupcake Delight is dedicated to serve the market with its supreme and delightful varieties of
cupcakes, pastries, and cakes featuring the Mindanao’s own fruit crops that will surely fit the palates
and pockets of Filipinos.

Vision Cupcake Delight, as a prime source of quality cupcakes in Davao City, envisions to continually
serve the market with its finest products with virtuous customer service. It will strive to apply the total
quality management in whole aspects of the organization in order to achieve the highest standards
and expectations of the clienteles. Furthermore, Cupcake Delight will venture the desserts industry in
the whole Philippines with its mission of delivering palatable and affordable products.

Values Cupcake Delight is also designed to improve and enhance the values rooted from its creation.
It believes that these values will be an essential part of its success. These include the areas of
organization, human, society, economy, and politics.

Organizational Values * Total quality management * Continuous innovation of the products * Integrity
and priority of work and performance * Teamwork * Proper orientation to the customers

Human Values * Safety and honesty of the workers * Freedom for initiative of employees *
Development of skills of the bakers and employees * Career growth * Resourcefulness in every
situation

Social Values * Corporate social responsibility * Think green, do green * Respect for cultural diversity,
minorities, and majorities

Economic Values * Responsive to the trends in the economy * Harmony in the allocation of all forms
of resources

Political Values * Adherence of laws and policies * Appropriate use of freedom of expression *
Advocate for peace and order

Goals Cupcake Delight intends to be in the right direction and to keep on the right track. To
accomplish this, it furnishes its goals for the company.

* To introduce an innovation of cupcakes to the market and to advertise them effectively * To

establish a connection, value, and loyalty to the customers * To promote the cupcake bouquet,
Boucake, as one of the best gifts for any occasions
II. TARGET MARKET

The target market of Cupcake Delight feature product, Boucake, is the male. A total of 76% are willing
to spend their money compared to the female with the total of 75%. There is a very little difference but
it is great to target the males since they are the most appropriate customers who will spend their
money to buy present for their significant others. Boucake is a supreme and delightful gift in this kind
of romantic relationship. In addition, Boucake is not just limited as a gift for sweethearts but can also
be a present for people celebrating special events in their lives. It is best for individuals celebrating
their birthdays, commemorating their anniversaries, rejoicing their graduation, remembering special
days like teacher, mother and father’s day, children’s party and among others. These occasions
somewhat require gifts; the 75% female can be the customers for these.

III. MARKETING NEEDS OR TRENDS

The cupcake bouquet, Boucake, has a 79% demand in the market. The percentage of demand is
based on the survey question whether the respondents are willing to spend their money to purchase
the product. Out the 200 respondents, 158 answered yes. This demand can give anticipation that the
product will be likely accepted by the market when introduced. A 79% is a good figure to start
presenting a product that is something new to the market. Almost three fourths are willing to buy
though roughly 47.5% have already seen a product in resemblance to the Boucake. Cupcakes are no
longer different and new in the eyes and tastes of the customers but Boucake which is innovated from
this common product has still a demand in the market. It can be furtherly explained because 81% is
fond of eating sweets. Therefore, when Boucake is strategically introduced and advertised, the 79%
market demand can equal the 81% of people who like sweets.

Cupcake Stores are growing in the Davao Region. Recently, the Jonathan’s Cupcakery which has a
shop at Arellano Street had its branch in the SM Lanang Premier where more people can notice its
cupcakes. Sweet Aroma Bakeshoppe is also keep on expanding its branches at cities outside Davao.
A group of students also entered the cupcake business just this year. It is evident that there is a trend
in cupcake business. The challenge is how to make the product attractive and unique from others.
These cupcake stores offer varieties of flavors and customization of designs. However, Boucake
differentiates from these because of its feature and physique. This keeps up the Boucake with the
current trend in the market. In addition, Boucake is not just for satisfying hunger but can also be a
present for loved ones especially during special occasions. 93.5% stated that Boucake is a good gift
for those special events.

IV. SWOT ANALYSIS

WEAKNESSES * new to the market, thus risky * no loyal customers yet * expensive compared to just
buying a single cupcake * several competitors * short shelf life WEAKNESSES * new to the market,
thus risky * no loyal customers yet * expensive compared to just buying a single cupcake * several
competitors * short shelf life STRENGTHS * product’s newness and uniqueness * originality * best for
gift-giving * suited alternative for flower bouquets * attractive and satisfying * large target market
(teenagers, young adults, more in a romantic relationship at a very young age) * high-technology
advertisements

STRENGTHS * product’s newness and uniqueness * originality * best for gift-giving * suited
alternative for flower bouquets * attractive and satisfying * large target market (teenagers, young
adults, more in a romantic relationship at a very young age) * high-technology advertisements

OPPORTUNITIES * expansion of branch and of products * more innovative products * partnership

with related or substitute products

OPPORTUNITIES * expansion of branch and of products * more innovative products * partnership

with related or substitute products

THREATS * famous or branded competitors might copy or imitate the product * failure or loss *
overestimation of market demand THREATS * famous or branded competitors might copy or imitate
the product * failure or loss * overestimation of market demand

V. COMPETITION

COMPETITIVE PROFILE MATRIX

DIRECT COMPETITORS

A. JONATHAN’S CUPCAKERY

Product Jonathan’s Cupcakery offers different flavors of cupcakes from vanilla, chocolate, carrot,
tiramisu, coffee, mocha, coconut mango, gingerose to pistachio. It also has various macarons, chip
cookies, and curried chocolate and toasted coconut ice cream

Place Jonathan’s Cupcakery has a shop located at Arellano Street. Customers can dine in to eat its
cupcakes and other pastries. It also has a branch in the SM Lanang Premier where more people will
be able to see its products.

Promotion Jonathan’s Cupcakery promotes its product through Facebook page, uploading its menu,
current and new products. It also joined in Davao Gourment Collective where it can expose its
products to other class of market. It also offers customized cupcakes during Mother’s Day,
Valentines, and other special occasions.

Price The price of its cupcakes is quite expensive because of the special ingredients it incorporates to
make the cupcakes more varied and special. Strengths It has a branch inside a mall; thus attracting
more customers. It offers many variants of cupcakes which are not that known to the market making
them interesting. Customization of its products is also being offered.

Weaknesses It has strong competitors which are more famous and well known than them. Some of its
products’ design is plain.

B. SWEET AROMA BAKESHOPPE

Product Sweet Aroma Bakeshoppe offers cupcakes with very cute and attractive designs and cakes
with intricate and delicious appearance. Place Sweet Aroma Bakeshoppe has a main branch at
Pichon Street fronting the Grand Men Seng Hotel where customers hotel can see its products. It has
branches fronting San Pedro Hospital, Gaisano Mall, Gaisano Grand Mall of Tagum, and NCCC Mall
of Tagum where are outside the region of Davao.

Promotion It is promoting its products through its own website and own page at Facebook reaching
people through online. Price The cupcake costs at P49 is quite expensive but reasonable since its
design is so pleasing to the eyes as well as to the palate of the customers. The cakes are really
expensive starting at P500 which are quite small in size. It also offers 7 cupcakes for P250.

Strengths It has many branches where people can conveniently purchase its products not just in
Davao Region. It is starting to expand and to make a name in the cupcake industry. The products are
so good both in the eyes and tongues which encourage and motivate customers for buying them.

Weaknesses Products are quite expensive which hesitate the customers from buying it. It is just
starting thus competitors can still be the first choice of the customers. Its branch in Gaisano Mall does
not have any flyers which might give extra information to the customers especially those who are
interested to buy its products for special occasions.

C. ROYAL BITES

Product Royal Bites is offering flavors of cupcakes with very colorful designs. It also offers butter
scotch, cookies, pastries, and customized cakes. Place Royal Bites is situated in Juna Subdivision,
Matina, Davao City. Promotion Royal Bites promotes its products through Facebook, pictures, and
word of mouth from the owners’ friends and customers. Price The price is reasonable for it meets the
quality expected by the customers. Strengths Royal Bites doesn’t limit its products to cupcakes but
also offer variants of cakes and pastries. The products are also appealing. Weaknesses The business
is new to the market thus not all people know or notice its products. Competition can also be a
hindrance for catering more people.

INDIRECT COMPETITORS

A. GOLDILOCKS

Product Goldilocks offers cakes and rolls for birthdays, and any celebrations and occasions with
different flavors and decorations. It also has cake which the customers can decorate with their own
designs and likes. Pastries and pies are also available in its stores like mamon, hopia, egg pies, tarts,
and macaroons. Goldilocks also has sweets like crinkles, cookies, pastillas, candies, chocolate
bouquets and lollipops, polvoron, and popcorn. It also offers sarapinoy meals, pinoydeli, side dishes,
and thirst quenchers.

Place Goldilocks has numerous branches - stalls and shops inside and outside the malls. Its
branches are scattered all over the islands of the Philippines. People can visibly see its goods almost
everywhere; thus they are more encouraged to buy it.

Promotion One of the most effective ways to promote Goldilocks products is to advertise it in national
television since everyone has a chance of knowing their product offers both the new and old ones. It
also uses high-end endorsers like Kris Aquino, Judy Ann Santos, and Dingdong Dantes. It also
promotes its products particularly cakes through its program - decorate your own cake. Goldilocks
goes green. It states, “Help us save the Earth by getting and bringing the Goldilocks brown bag
whenever you buy their favorite Goldilocks products.” It also has discounts.

Price Based on Mark Striving, Goldilocks uses Good-Better-Best. It is an intelligent pricing tactic that
every firm should consider; it's an extension of versioning that takes advantage of customers’
psychological make-up. People who are unsure what they want will usually buy the middle, or “Better”
choice out of Good-Better-Best. Go back and read that sentence again: People who are unsure what
they want will usually buy the middle or “Better” choice out of Good-Better-Best. So providing a
middle choice is the crux of the good, better, best tactic. It has been shown that customers avoid
“Best” because they are afraid of paying too much; it also shows that they are even more afraid of
“Good” (the lowest choice) because they are afraid to purchase the lowest quality, and it may make
them look cheap.

So, when uncertain, they buy “Better”. This means, if company currently have two versions of offering,
company should seriously consider adding a third with more features at a higher price (and feature
level). This action will likely sway any of customers who were stuck between buying “Good” (the
lowest) and “Better” (the middle), to choose “Better”. Companies will also likely sell some “Best” and
at much higher profit than your other offerings. Overall, simply adding a “Better” option puts more
profit dollars in pocket.

Strengths Goldilocks has already established its name in the Philippines. It will be one in the options
in every Filipinos when choosing cakes and pastries. It is well known and famous. The quality of its
products especially the cakes is one of its edges. It has already been in the food industry for a long
time; therefore it has the proper know-how and strategies to pursue whenever it can encounter
problems and competitions.

Weaknesses Health conscious individuals are quite a trend in the food industry. More people are
watching their diet and how much calories and sugar they are in taking. Goldilocks uses sugar as its
prime ingredient which might lead these individuals to avoid its products. Competition is always in the
market.

B. MERCO

Product Merco offers various kinds and flavors pastries and cakes. It also has coolers like halo-halo
and shakes. It also patronizes home-cooked Pinoy dishes and short-orders such as French fries and
sandwiches.

Place Merco already had 35 branches in Davao Region which are mostly take-out counters and a few
are for dining particularly in Quirino branch. Its branches located almost everywhere make its
products more visible and available to the market.

Promotion Merco promotes its products through social media particularly through Facebook and its
own company website. It also advertises through large tarpaulins stating their new offers, promotions,
and activities. Word of mouth from the customers also promotes Merco products.

Price The prices of Merco’s products are affordable to the market. It has a notion of pangmasa. A
whole cake is priced at a minimum of P200, cake rolls at P150, coolers at P40, and the Pinoy meals
at P50.

Strengths Merco already established well its name in the market especially in Davao Region. It has
been reputable because of its credibility in serving quality cakes for more than 60 years that are
affordable and reasonable. Its branches are located strategically where the public can see its
products.

Weaknesses Since Merco is in the business for more than 60 years, customers has a thinking that it
is already old and want to try new and fresh branded products. It is not appealing to the higher class
because it is pangmasa; and it does not have systematic promotions of serving upper class. Most of
its branches are take-out counters so some customers are hesitant to buy its products and will
instead go to other bakeshops where they can have stay while eating. Merco is not also expanding its
product line outside Davao.

C. RED RIBBON

Product Cakes, rolls, pastries, and meals are the products of Red Ribbon. Cakes and rolls are of
different flavor and variants but mostly of chocolate. Pastries consist of different flavors of mamon,
different slices of marble cake, varried numbers of polvoron, empanada, and pastillas de leche. Red
Ribbon also serves spaghetti, carbonara, and palabok good for parties.

Place Red Ribbon has different branches here in Davao, all inside the malls of Abreeza, Victoria
Plaza, Gaisano, SM, and NCCC. It has stalls and stores all over the Philippines. People can
recognize its products because it is placed in public places.

Promotion Red Ribbon advertises its products in the television where everyone can know and interest
its products. It has a promotional activity but 9 butter mamon, get 1 free. This kind of promo is also
available in ensaymada, yummy cheese roll, marble slices, and other mamon variants. It also offers
customization of cakes.

Price The price of Red Ribbon is usually expensive and caters upper class market. Strengths Red
Ribbon is easy to locate for its many branches. It is very convenient for the customers because they
can locate it anywhere. It also offers not only cakes and pastries but also meals such as pasta,
spaghetti, and other rice meals. It lets customers customize their choice of cake.

Weaknesses Red Ribbon doesn’t have much promotional activities and offers few flavors of cakes. It
is likely limited to chocolate cakes. It has rice meals which are good but quite expensive.

D. FUDGE FACTORY

Product It offers cupcakes, brownies, chocolate bars, and pies. The box, the factory called it the
Medley of Fun has 24 different kinds of brownies from dark to white chocolate, plain to frost topping
with an assortment of nuts, liqueur, and even durian (what Davao city is known, for). Other than the
brownies, it has an assortment of pastries like cheese sticks, trifle, cookies and biscotti.

Place Fudge Factory is located at 2nd floor, Abreeza Mall, Davao. Promotion Fudge Factory has
online pages in Facebook. It can promote products to large population of people through online. More
people are hook in Facebook; thus more people will be able to know its products. There are also
bloggers who promote their products as they posted positive comments about Fudge Factory.
Furthermore, people can connect with its website for promotions.

Price The price of Fudge Factory is affordable and reasonable. Strengths It has 24 varieties of
brownies where the customers can have wide range of choices. Its location can cater different types
of market or customers which can be its target marjet or potential customers. Products are good for
any occasions and best for gift giving.

Weaknesses Health conscious people will not likely patronize its products because they contain fat,
calories, and sugar. Fudge factory also focuses on pastry sweets which make the customers thirsty
and doesn’t offer any drinks.

E. MARGIE’S BAKESHOP

Product Margie's Bakeshop offers cakes, pastries, cupcakes and full meals such as steaks and other
Filipino dishes. It also offers sweets such as meringues and chocolate truffles. It offers desserts too
like dulce de leche and a lot more. Its products are really top quality. Its food is great and it matches
their pricing too. But all in all, customers can't really judge them at price alone because its food is
really good and very good to look at. It passed the two requirements of good food: looks good and
tastes good.

Place Margie's Bakeshop has lots of branches all over Davao City at Ecoland, Matina, Fairlanes,
Torres, Abreeza Mall of Davao, and at Buhangin. The branches are convenient and visible to the
customers.

Promotion It has online advertising through Facebook. There was a time Margie’s offered a buy 1
take 1 cake promotion. Price Prices are somewhat in the upper class range. Products prices are
expensive. Their most affordable cake goes for P320 and it is only good for 2 persons. There are
other cakes which cost for P320 – P700 and only good for 2 persons. Their chocolate truffles cost at
P13 each. But of course, with price comes the quality of their product. It is really expensive there but it
is worth every centavo customers pay for.

Strengths Margie’s Bakeshop has different branches in Davao City making more customers able to
see its products. The pastries and cakes are really quality products. Weaknesses Its pricing is
expensive; thus there are limited customers who will be able to spend their money to buy its products.
The promotional activities are not that evident.

I. SERVICES AND BENEFITS

HEALTH BENEFITS

The fruits made of simple sugars like fructose and sucrose that when eaten replenish energy and
revitalize the body instantly. It is rich in dietary fiber, which helps to protect the colon mucous
membrane by decreasing exposure time and as well as binding to cancer-causing chemicals in the
colon. It is a source of antioxidant vitamin-C. It helps the body develop resistance against infectious
agents and scavenge harmful free radicals. It contains high levels of essential amino acid, tryptophan
which in the body metabolizes into serotonin and melatonin in which theyraises serotonin levels that
creates an over-all sense of well-being and aids in depression.

Durian provides “more concentrated healthful energy in food form than any other product the world
affords. Its high concentration of raw oleic fats (and vitamin E), sulphur compounds, and soft proteins.
It increases energy, endurance, mental clarity, and cellular health, good for muscle building and organ
function. It has anti-aging benefits including enhancing the appearance of your skin.

Jackfruit is a good source of antioxidant vitamin-C, provides about 13.7 mg or 23% of RDA. It is a
good source of potassium, magnesium, manganese, and iron. Potassium is an important component
of cell and body fluids that helps controlling heart rate and blood pressure. It contains minerals like
manganese which is needed in the body to build bone and connective tissues; Iron prevents anemia
while manganese as well as magnesium are essential for bone health; Magnesium is important in the
absorption of calcium and work with calcium to help the bones remain strong and prevent bone
related disorders. B-Vitamins like riboflavin, vitamin B6, folic acid and niacin; these are essential to
maintain good skin and nervous system.

Jackfruit lowers blood pressure levels. Jackfruit is a rich source of potassium for the body as it helps
keep the body fluids and electrolyte balance in body cells and helps in regulating blood pressure
reducing the risk of heart attacks and strokes. It strengthens immune system. Jackfruit is a very good
source of vitamin C, a powerful antioxidant that can help prevent colds and infections. Also help in the
proper functioning of the immune system by supporting the functions of the white blood cells. It
ensures better gastrointestinal health. The high fiber present in the fruit prevents constipation and
helps in smooth and regular bowel movements. The fiber also offers protection to the mucous
membrane of the colon by driving away the carcinogenic chemicals from the colon.

Mangosteen is unique for its appearance and flavor. It is very low in calories (63 calories per 100 g)
and contains no saturated fats or cholesterol. It is rich in dietary fiber (100 g provides about 13% of
RDA), which can be very important for individuals who are concerned about putting on excess body
weight. Mangosteen is good in vitamin C. Vitamin-C is a powerful water soluble anti-oxidant that helps
the body develops resistance against flu-like infectious agents. It helps to combat pain (anti-
inflammatory property which may decrease inflammation, pain and joint damage linked with arthritis,
or pain caused by sports workout and minor injuries) It maintains intestinal health – relieve diarrhea,
constipation, stimulate normal bowel health. Mangosteen may decrease blood sugar in Type II
diabetes by making insulin more effective, decrease free radical damage and inflammatory build up –
help to maintain the blood vessel health, cholesterol level, protect heart muscle, lower high blood
pressure. II. MARKETING MIX

Product Cupcake Delight’s feature product is Boucake. Boucake is derived from the combination of
bouquet and cake. It is in a form of a bouquet but instead of flowers, it uses cupcakes with different
fillings. It has different designs that look like a real flower. This cupcake bouquet is not just unique in
its form and design, but also in its fillings. It patronizes Davao’s best fruits fillings such as Durian,
Mangosteen, and Jackfruit. Boucake offers two types; one which has 6 cupcakes per bouquet and the
other has 12 cupcakes. Both could be personalized in terms of designs as for customer’s request.

Boucake is best for gift giving celebrations. It is great alternative for flower bouquet which males can
present to their significant other during weeksaries, monthsaries, and anniversaries. It can be a gift
during Mother’s and Teacher’s Day.

Place Cupcake Delight will be situated in a pastry and cake shop inside a mall. Base on the survey,
market would want to purchase it in the mall about 50.5% of them and in the pastry and cake shop
about 44% of them. Mall is considered since there is less hassle. The physical place is already there
unlike finding or renting a lot then build a store or shop. It is more costly. The rental fee in the mall is
also settled and fixed. Mall, as a place Boucake, is also advantageous since there are people
constantly visiting there. There will be more potential customers and target market can surely be
achieved. Cupcake Delight can put on their minds the physical image of the shop or through the
permanent placement in the mall.

Promotion Boucake will be promoted through online like Facebook, Twitter, and of course Instagram
where the netizens can really see the actual image of the Boucake. Flyers must also be distributed to
the customers so that they can have contact information and promotions of Boucake and other
Cupcake Delight products. Decorations can be based on customer’s wants and on occasions.
Discounts on bundled orders will also be used to create loyalty to the customers.

Price Boucake with 6 pieces will be priced at P350 while with the 12 pieces will priced at P650. 63.5%
and 71% respectively wanted it to be priced at that range. Pricing is cost based. Cupcake Delight
pricing strategy will be based on the totality of all the expenses we had in making our product. We
considered how we can put a price on our product in a way that we can cover all the expenses in our
operation plus our profit. We come up to a price of Php 350.00 for our cupcake bouquet. With this
price, 75% will be going to our expenses and the remaining 25% will serve as our income per bouquet.

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