CHAPTER 1

INTRODUCTION

OVERVIEW OF THE BUSINESS

The food business started as a small one. This is family owned, the Dacanay family began at home

where they sell Filipino street foods such as fishball, squid balls, kikiam, fries, burgers and others. The

target customers were their neighbors and other homeowners in Masville. They were known in their

area and word of mouth of their customers. Their relatives and friends helped them to market their

first products and to sell more. Little by little, they were able to put aside some money as savings and

realized that they have enough to make unique meals for their consumers. The owners decided to

create a snackhub , that offers a unique line up of snacks. agreed not to get their stocks from the snack

hub and purchase from a direct supplier. Basically, they used the advantage of being already known in

the area because prior they were selling Fish balls and other street food. The owners had created their

own process of making foods delicious and pleasing to one's eyes. Their specialty and trade secret is in

the sauce including takoyaki sauce, mayonnaise, ketchup, and cream cheese, including the attractive

food presentation. The business is located at a crowded

place in Masville, which made them saleable. As the owners just started to run their business, they

quickly identified which products are not available with their competitors in their location. They took

that as an opportunity to sell goods such as takoyaki, shawarma, club house and it became a success.

Eventually, the business grew, and they offered free delivery around the area. They also have their

official facebook page as their venue to advertise their products. Some of the customers can order on

the said page and they make sure that all quiries are answered and orders are delivered on time. The

consumers can contact us to gather informations like description of the different food products, their
suggested quantity and their prices. Any quiries personally or through online will be fully entertained

in order to have their customer's loyalty. They made sure to give their very best in order to fulfill every

customer's satisfaction.

Statement of New Distribution Purpose

Dac’s snackhub has been in the business ever since 2019 they began with simple street food

offerings and gradually transitioned into famous foreign dishes like Shawarma and others.

Since up to present, around their neighborhood their shop is the only one offering their set of

meals Shawarma, Takoyaki and club sandwiches along with Fries and ice teas. Additionally,

what they are offering is affordable and budget friendly. Based on our observation the core

problem limiting them is more exposure from their target market as they are limited on their

stall and on their facebook page, they are limited with minimal exposure and that is why it led

us to design a new distributions system with the following goals:

1. Create a distribution system that can expand their market reach

2. To position them to become exposed and easily accessible for customers

3. Branding upgrade

4. Penetrate other markets

5. Competently compete with competitors

6. Authority building within their given area or more

The purpose of this paper is to establish possible new distribution system for the chosen

business to improve the overall business systems. These new systems can potentially lower
 cost, improve profit margins and multiply the increase of sales. The paper and the team’s

purpose is to provide viable suggestions, consultations and even knowledge on how to get

their business on to the next level.

1. Office canteen space rental

- There are offices in Masville and areas close/around it. The goal for this is to reach the target

market that the business has not been able to serve. This will get them more exposure to the

paying customer (office workers) and push their brand and authority further.

2. Dac’s Motor

- As the name suggest this will be Dac’s snackhub on motorcycle, circling around the masville

area or even around nearby areas that are crowded with people. The objective of the

motorcycle is to cater to the target segment that are not around their physical stalls, having

this type of distribution also improves their visibility and familiarity. The on wheels system

makes it convenient for them to serve and convenient for new customers to learn about

them. They can target anyone that is not around their current location.

3. Apps utilization

- Dac’s snackhub is active on social media and it is good that they utrilize the digital age. The

only thing lackin is for them to join apps like food panda and others. The goal of this is it

provides free exposure, convenience for target customer and business. Additionally, it can

help them for free with their authority building, branding and of course it provides free

exposure.
 4. Franchising

- The objective of getting franchisors, is to be able to distribute nationwide and build

authority on a country wide scale. This can give them the opportunity to serve and target

around the country simultaneously.

CHAPTER 2

MARKET ANALYSIS/DESCRIPTION

Target Market and Demographics:

Most common customers as of now are usually teens and young adults living in

Masville, Parañaque but it is not limited only to them as we provide delivery for places

near the area. Dac's Snack Hub also aims to satisfy our customer cravings specifically

from young adults to working professionals ages 18-40 years old.

Description of Customers

Dac's Snack Hub aims to satisfy our customers cravings who live around the

neighborhood of Masville. They are usually people who are students and employees

who wants to enjoy affordable but a meal that can satisfy their hunger. They are

practical and avoids spending big.

Market Segmentation

In the graph you see our demographic. On the demographic part of the table, it shows

that we cater to people of all gender and ages. We cater to people of all social status

and low to high income consumers although we are customer based everyone is

welcome but the target segment is most likely practical and customer based. Our

geographic market covers residence masville and nearby areas. It is a crowded place,

and is located at Masville, Parañaque, According to census the latest population in BF

Homes in Masville is 92,752. In behavioral, we cater to people who craves

international snacks and wants to mix and match meals. Although this is not limited

only to them and our products are applicable to any behavior. And in psychographic,

we market people who are too lazy to go to the mall to satisfy their hunger. People

who desired a delicious yet nutritious meal. People who are usually on the search for

after-lunch munchies and late-night snacks. Someone who works from home and

wants a snack but doesn't have time to cook or prepare it. Students and office workers

that wants to have a good meal during breaks or after school/work.

MARKET SEGMENTS

Demographic

- On the demographic Dac’s snackhub cater to people of all gender and ages. We

cater to people of all social status and low to high income consumers.

Geographic

- Geographic market covers residence Masville and nearby areas - Crowded

places. - It is located at Masville, Parañaque City.

 - According to census the latest population In BF Homes in Masville is 92,752.

Behavioral

- We cater to people who craves international snacks and wants to mix and match

meals. Although this is not limited only to them and our products are applicable to any

behavior.

- Though the most common purchasing behavior would be from people who wants

international dishes and are familiar with other cultures and their food. Thus, our

customers buying behaviors are usually variety- seeking buying behavior and habitual

buying behavior. This is due to the line-up of dishes and how some of them is well

known

- Our target customers are the medium consumers. We target them because live in

our tag line “satisfy your cravings” so it is best to target consumers who only craves

we believe if we target the heavy but doesn't have time to cook or prepare it.

consumers there are possibility that they may experience the “umay” if they buy our

products every day.

Phychographic

- People who are too lazy to go to the mall to satisfy their hunger.

- People who desired a delicious yet nutritious meal. - People who were looking for a

snack that would help them stick to their diet.

- People who are usually on the search for after- lunch munchies and late-night

snacks.

- People who are practical, or we can say frugal.

- Someone who works/studies from home or on site and is craving something out of

the ordinary or their canteen

Market Share

- In terms of Market share. In nearby areas Dac’s snackhub is the only one offering

shawarma. In terms of Shawarma products they get 100% as well as with Club

sandwiches, but with Takoyaki they have another competitor that serves it. Overall

Dac’s snackhub market share is 30%, Kold Kups with 45%, Kainan sa plaza with 25%.

They are not direct competitors as they serve different products compared to us but

they are very similar and they are in the same market location as Dac’s snackhub.

Market Share
Market share Kold Kups Kainan sa plaza

25%
30%

45%

Product offering

They mainly offer Shawarma with Beef and chicken variations, they also offer
Shawarma with rice. Dac’s also offers Takoyaki and club sandwiches. With their side

dishes being French fries and their drinks can vary to Milktea,Juice, Ice tea and

softdrinks like Coke, mountain dew and Royal.

Description of competitors

because they are relevant to the nature of a shop and would clearly highlight the

differences between the two businesses. Dac's Snack Hub is in Masville Paranaque

as its location. Competitors offering similar items to Dac's Snack Hub might represent

a danger to the company.

Kainan sa Plaza - This is a shop where you may get rice, milktea, milkshakes, and

snacks. - Their items are priced between P50 to P500. - Their items are priced

between P50 to P500. - Dine-in, pick-up, and delivery are their methods - Serves a

diverse spectrum of consumers, including employees, expats, teens, the elderly,

children, travelers, yogis and individuals who just eat well. - Provides a variety of of

distribution. - The residents in the Masville area are their target market. - It was

founded in August of 2021. meal plans, with the option for customers to create their

own. - Provides on-site service and has a delivery system.

Kold Cups Milktea- This is a Milktea business that also serves a variety of meals,

beverages, and snacks. Their items are priced between P50 and P500. - They're in

Paranaque City's Masville area. - Dine-in, pick-up, and delivery are their methods of

distribution. - People in the Masville area are their target market. - They are Masville's

most well-known food shop. - They were also the first to start a store before the

others. - Their second branch shop is located in Masville. - In April of 2017, the
company was founded. - Serves a diverse variety of consumers, including employees,

expats, teens, the elderly, children, travellers, yogis,and weight- watchers, . - They

may be ordered for delivery, pick-up, or buy on-site. - Provides a variety of meal plans,

with the option for clients to design their own. - They have been in operation for years

and have already retained their business in the hearts of their clients.

Competitors Analysis

Competitors

Black Chew MIlktea

Description

- It's a local Milktea shop that also sells a variety of snacks.

- Their items are priced around P50 to P500.

- They're in Paranaque City's Masville area.

- Dine-in, pick-up, and delivery are their methods of distribution.

- The residents in the Masville area are their target market.

- It was established in May 2020.

Competitors Strengths

- Has increased in popularity in Masville.

- Has a delivery system as well as a flexible order and payment mechanism.

- Provides a variety of meal plans with the option for consumers to tailor their meal

plans.

Competitors

Kainan sa Plaza
Description

- This is a shop where you may get rice, milktea, milkshakes, and snacks.

- Their items are priced between P50 to P500.

- Their items are priced between P50 to P500.

- Dine-in, pick-up, and delivery are their methods of distribution

- The residents on the Masville area are their target market

- It was founded in August of 2021

Competitors Strengths

- Serves a diverse spectrum of consumers, including employees, expats, teens, the

elderly, children, travellers, yogis, weight-watchers, and individuals who just eat well.

-provides a variety of meal plans, with the option for customers to create their own.

-Provides on-site service and has a delivery system.

competitors

Kold Cups Milkea

Description

- This is a Milktea business that also serves a variety of meals, beverages, and snacks.

Their items are priced between P50 and P500.

- They're in Paranaque City's Masville area.

- Dine-in, pick-up, and delivery are their methods of distribution.

- People in the Masville area are their target market.

- They are Masville's most well-known food shop.

- They were also the first to start a store before the others.

- Their second branch shop is located in Masville.

- In April of 2017, the company was founded.

Competitors Strengths’s

- Serves a diverse variety of consumers, including employees, expats, teens, the

elderly, children, travellers, yogis, weight- watchers, and individuals who just eat well.

- They may be ordered for delivery, pick-up, or buy on-site.

- Provides a variety of meal plans, with the option for clients to design their own.

- They have been in operation for years and have already retained their business in the

hearts of their clients.

Current Distribution System

SUPPLIER PRODUCER CUSTOMER

Dac’s snackhub current distribution system is simple. They get the needed ingredients

from their supplier, they create and they sell to their location. Added thing only is they

offer delivery when you order on Dac’s snackhub facebook page.They utilize online

orders as well.