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Pamantasan ng Lungsod ng Maynila

(University of the City of Manila)

Gen. Luna Corner Muralla St., Intramuros, Manila

PLM Business School

A Strategic Marketing Plan for Phoenix Petroleum Philippines Inc. (Phoenix Petroleum)

In Partial Fulfillment of the Requirements for the subject

Marketing Management

Submitted by:

Rodriguez, Gianna Iesha S.

Manzon, Samantha Nicole L.

Perez, Althea Bianca B.

San Juan, Benjamin B.

Toribio, Caselyn E.

Valencia, Mel Joseph B.

BSBA MM 2-2

Submitted to:

Prof. Neil B. Gamus


TABLE OF CONTENTS

I. Executive Summary

II. Current Market Analysis

Macroenvironment

A. Political and Legal

B. Economic

C. Socio Cultural

D. Technological

E. Environmental (Natural Environment)

Industry Analysis

A. Industry Definition

B. Industry Structure

C. Porters Five Forces Analysis

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Market Analysis

13

A. Market Size

13

B. Market Segment

13

Competition of Market

15

A. Market Share

15

Consumer Analysis

15

A. Demographics

16

B. Psychographics

16

C. Consumer Patterns

16

D. Buyer Motivations and Patterns

17

E. Loyalty Segments

17

F. Internal Analysis

17

Mission Statement (Current vs Proposed)

18

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Vision Statement (Current vs Proposed)

18

Company Milestone

19

Corporate Culture

30

G. Product Analysis

30

Product Strength and Weakness

30

H. Company Resources

31

People/ Skills/Financial Resources/Capital Resources

31

III. Market Strategy

40

A. Product Strategy

40

B. Price Strategy

41

C. Place Strategy

41

D. Promotion Strategy

42

E. People Strategy

48

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F. Physical Evidence Strategy

49

G. Process Strategy

49

IV. Implementation of Each Marketing Strategy (General Plan of Action)

49

Pro Forma Financial Statements (Income and Cash Flow for 3 years)

61

V. Monitoring and Controls

62

VI. Appendices and Bibliography

62

I. EXECUTIVE SUMMARY

Phoenix Petroleum is one of the fastest-growing oil companies in the Philippines. The

company was founded in 2002 by entrepreneur Dennis Uy with its headquarters located in Davao

City. On July 11, 2007 Phoenix Petroleum was listed on the Philippine Stock Exchange, becoming

the first oil company to do so since the passage of the Oil Deregulation Law in 1998. By 2008, the

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company had opened 75 outlets, including their first station in Luzon. Over the next coming

years, Phoenix Petroleum continued to grow to more than 650 outlets across the Philippines.

The Phoenix Petroleum Philippines, Inc. (PNX) primary business lines include trading of

petroleum products; distribution of fuels to retail and industrial customers; marketing and

distribution of LPG, lubricants, and other chemicals; terminalling and hauling services which

include the lease of storage space and into-plane services in airports. Through its subsidiaries,

PNX has also expanded into retailing of its fuel products and complementary non-fuel retail

businesses such as convenience store retailing and digital transaction services.

With a vision to be an indispensable partner in the journey of everyone whose life it

touches, Phoenix Petroleum is committed to deliver world-class services, empower people, and

spire every Filipino’s entrepreneurial spirit.

The objective of this study is to launch a new product in the market which is an upgraded

version of the Phoenix fuel card. Considering the continuous innovation, the company will

introduce Fun Plus Phoenix Card that offers new featured services.

This paper will also focus on studying the different environments present in the market.

In addition, this will be observed thoroughly for a wise implementation of plans that will help the

company to accomplish its mission and goals.

II. CURRENT MARKET ANALYSIS

MACROENVIRONMENT

A. Political and Legal

● The Pandemic has affected so many business establishments with regards to

management protocols. The government orders all the different firms to control

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the number of employees facilitating the on-site places of work. Companies will

provide different tests and procedures including the vaccination of their

employees ensuring the safety of everyone in the production site. Moreover,

ventures will rely on how the government will plan the dilemma.

● The Biofuels Act of 2006 (RA 9367) is an act declared to reduce dependence on

imported fuels with due regard to the protection of public health, the environment,

and natural ecosystems consistent with the country’s sustainable economic

growth that would expand opportunities for livelihood. This act also represents

that Philippines shall prioritize local sourced than imported goods.

● Ethanol is an ethyl alcohol which is used as fuel that becomes more

environmentally friendly, according to the new analysis of the researchers at the

University of California. It can be used to power cars and makes gasoline be at

risk in the industry.

B. Economic

This force will signify how much production will affect the company in

regard with the value of raw materials and other overall processes. Given from

the chart below, the GDP slack off the percentage year 2020 onwards. Even so,

protocols have lessened this year due to the ease of cases encountered in the

Philippines.

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Starting the 3rd quarter of 2020, the Philippines is starting to increase in

growth according to Philippine Statistics Authority. A big chance that the

Economic force will be a positive tension to the company or brands in the

Philippines. Even though COVID-19 increasingly keeps going, the economy has

started their way to continue the investment before the restrictions.

C.

Socio

Cultural

This force signifies the overall demand based within the demographic

location including the population of the consumers in the Philippines. The

company has an impact on this force through the population of the generation

which is illustrated by CEIC Data with the annual number of registered vehicles in

the Philippines.

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-

Phoenix Petroleum is an importing company distributed from Davao Oil Terminal

Services Corporation (DOTSCO). Meanwhile, Phoenix will always be known as

the best provider for fuel. The company provides good quality yet at a lower

price.

D. Technological

As time passes, the world innovates immediately. There are many

discoveries that make people’s life easy. Phoenix Petroleum started their new

existence. The company produces what aligns the vision.

Phoenix Petroleum aids Pandemic

In 2020, Phoenix started to coordinate with local organizations.

Responding to what the country needs. Most of the company supported

assistance to different provinces especially with curfew and quarantine

restrictions. The company responded through their cooperatives to the local

Batangas’ farmers and fisherfolks.They also launched “Race for Frontliners”, a

project that will donate for the sake of health workers. It extends their services in

response to ‘bayanihan’ which is a Filipino culture.

Product Development

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Pandemic is a big challenge for every business marketing venture in the

Philippines. It makes a big innovation on how to step up the limited platform in

the industry and reach the market through their homes. Starting the FamilyMart

PH, a subsidiary company of Phoenix, they reach out to their stores through free

delivery online. In connection with online delivery, Phoenix SUPER LPG caters

their online orders. Moreover, Phoenix started their partnership with Limitless for

the online transaction setting up immeasurable possibilities during the pandemic.

They also forged the partnership with Lalamove that will satisfy the drivers.

The company reduced their risk for short term investment. Rolling out for

more long term investment that will produce the initiative for the company.

Phoenix started their first batch of gas-powered gensets. It is a portable

equipment that provides energy using gas.

E. Environmental (Natural Environment)

Ethanol minimizes pollution and greenhouse gas emission. It contains a

higher percentage of oxygen than a traditional petroleum-based gasoline.

Ethanol burns more than petroleum-based gasoline and eases off the burning

petroleum-based fuels.

INDUSTRY ANALYSIS

A. Industry Definition

Although the Downstream Oil Industry in the Philippines are not that huge

enough, the liquid and gas production marked as short-term expansion. Petron

and Pilipinas Shell are named as the two major companies in this industry.

Followed by Caltex Philippines Inc., converted its 86, 500 bbl/d refinery into an

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import terminal in 2003 and now operates as a plain marketing and distributing

company under the name “Chevron”, but still maintains its Caltex brand.

B. Industry Structure

C. Porter’s Five Forces Analysis

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Porter’s Five Forces Analysis is created by the American economist

Michael E. Porter who planned to understand the value of a new business

venture once it launches to the market. It is designed to be a guide for the

companies to introduce the competition and reassess the techniques that need to

be aware; power of suppliers, bargaining of consumers, potential development of

substitute products, and rivalry among competitors.

THREATS OF NEW ENTRANTS - HIGH

Phoenix Petroleum has been recognized since 2011. This kind of

business venture has its high possibility for the new entrants. Since Davao City

has its own supplier in that way, expenses are more measurable compared to a

source from an international country who exports their product in the Philippines.

Jointly, the new generation showcases their innovative minds when it comes to

researching and providing new ideas for strategic movements. Generation by

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generation, a stronger vision and services are provided to people with extra miles

on sustaining the natural resources we have the least. It takes a new leap to

maximize the technological forces to better products and services in the future.

Meanwhile, it is not just being in the same market but also, the company should

be given a better milestone and image from the competitors. The company may

be nurtured with license and advocacies to maintain its market and develop more

entries to the industry.

THREATS OF SUBSTITUTE - MODERATE

Since not all countries can provide the raw materials, the market is still

limited. Last 2020, an innovative project was introduced from Phoenix Petroleum.

Using the first ever generator that is powered by gas. Not all equipment can be

applied immediately. It has a lot of tests and experiments before entering the

market. From the information of the similar distributor which is located in Davao,

the price of the given service will not be substantially adjusted in real time. It has

a long process of computations

BARGAINING POWER OF SUPPLIERS - HIGH

Phoenix Petroleum has its own partnered company in the United States.

The company has its contingency plan in case the shortage has started. The

suppliers in any other countries have bulk stock to array the whole population.

Considering that this business venture will not start with small revenue but

instead, it will be a broadening growing company that will support the needs of

the people. The company must invest in unique and different businesses so that

it will be stable for a long time.

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BARGAINING POWER OF BUYERS - LOW

Pandemic has restricted the lives of individuals. There are protocols and

rules that are needed to lessen the contact and exposure to the virus. Year 2019,

the economy recess ended to a deep back slope but since there are

improvements to our lifestyle, the government has lessened the restrictions. This

made the Philippines resurrect the slope and points in our economy way back

before the life with COVID. As we can see from the chart, years pass and people

keeps availing a much more expensive cars than old models with cheaper value.

INTENSITY OF RIVALRY - HIGH

The company has a lot of competitors inside or outside the province but it

seems that the raw materials are not that different from each other because most

of the resources are the same. The franchise will depend on how staff serve their

buyers and the benefits that the buyers will receive. As of now, the company is

investing for a long term partnership. It is a competitive edge for the company to

extend their network.

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MARKET ANALYSIS

A. Market Size

Based on Statista, a database platform that specialized market and

consumer data, showing the oil consumption by fuel type in the Philippines in

2020. The graph indicates statistics of fuel type consumed in thousand barrels.

Nearly 6.2 Million barrels of Diesel which makes it the top fuel type in the

Philippines. Biodiesel got the lowest rank among it averaging 101 Million barrels

consumed.

B. Market Segment

Demographic Segmentation

Regardless with the buyer’s sex will be counted in the market. The same

with the marital status and religion, potential buyers will be still accommodated.

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Most of the employment status of the customers are business-owners or

employed individuals who use transportation. Meanwhile, unemployed and

retired individuals frequently are the least clients, especially those who are aging

or people with disabilities (PWU). Since Philippines has no boundaries with the

other nationality, potential buyers in the market are disregarding the

discrimination and racisim. Moreover, Phoenix Petroleum is a developing

company that also reached internationally.

Demographic Profile

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Psychographic Segmentation

Since a lot of substitutes are invented in today’s generation as a source of

energy or power, the market broadens the lifestyle and interest of the people.

According to the Report on National Income Account, the growth of the sector

accelerated to 23.4 percent in Q2 2021 from -19.6 percent in Q1 2021 and -58.5

percent in Q2 2020. This brings S1 2021 growth to -4.8 percent. The uptick in

transport and storage was mainly driven by the increase in land transport (28.8 in

Q2 2021 from -13.9% in Q1 2021) and air transport (534.7% from -73.7%) on the

back of less stringent transport restrictions relative to the previous year. In

general, public transportation was allowed to operate, subject to limited capacity

and other travel restrictions. Meanwhile, warehousing and storage and support

activities (8.8% from 2.7) and postal and courier activities (52.3% from 11.5%)

also posted faster growth during the reference quarter.

COMPETITION OF MARKET

A. Market Share

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The market of Petroleum products has been expanding over years. Given

in the chart from the Department of Energy, the company which had a bigger

portion in the market for over a century compared to Phoenix Petroleum who has

been serving the market for over a century. Pioneer brands had more experience

to handle their buyers with regards to manipulating in the market equilibrium.

Meanwhile, as a juvenile company, Phoenix leads the market with a 7.08%

portion continuing their growth and expansion.

CONSUMER ANALYSIS

A. Demographics

The potential customer of Phoenix Petroleum will be based starting age

17 above because it considers the drivers with license.

Classification Income

Poor Below to P 10, 957

Low-income but not poor P10,957 to P21,914

Lower middle P21,914 to P43,828

Middle P43,828 to P76,669

Upper Middle P76,669 to P131,484

B. Psychographics

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When the pandemic started, cars and 4-wheel vehicles lessened on the

road. The protocols restricting the transportation and travelling practices are

applied. Basically, most of the potential buyers of Phoenix Petroleum are the 2-

wheel vehicles that serve the junction of their innovation. The government

releases statements to give priority on using contactless payment and so,

Phoenix Petroleum partners a new company for online transaction making it

much safer for the potential buyers when purchasing fuels and other stuff that

Petroleum had offered.

C. Consumer Patterns

Most of the branches of Phoenix Petroleum are in the rural part which is

frequent with numbered civilians. However, the 650 branches maximize their

resources with not just one market but the whole company to offer. Phoenix

makes sure that they will surpass the innovation in the industry.

D. Buyer Motivations and Patterns

Since the main distributor of Phoenix Petroleum is located at Davao, most

of the expenses are least in the total. The company has been serving not just

one market but also expanding through serving aircrafts. This will prove how

effective and serving the best quality fuels that Phoenix has also, ensuring the

value with a lower price for the market. Starting their partnership with Limitless,

Phoenix started offering discounts and vouchers claiming their favoring fast food

chain restaurants.

E. Loyalty Segments

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Phoenix Petroleum has been awarded with their marketing proposition.

The company laid their innovative side especially encountering the Corona Virus-

2019 pandemic. It attest the creative side on how the company will reach out in

the market. Since then, Phoenix Petroleum has partnered with different

companies. The main focus of the company is to help the frontliners, especially

those drivers who deliver different needs to the people serving their homes.

F. Internal Analysis

Mission Statement (Current vs Proposed)

Current:

We deliver the best value in products and services to our business partners

We conduct our business with respect, integrity, and excellence

We provide maximum returns to our shareholders and investors

We create opportunities for learning, growth, and recognition for the Phoenix

Family

We build programs to nurture the environment and welfare of the communities

we serve

Proposed:

Aiming to dispense high performance fuels for transportations, Land and Air, and

providing soon for the Sea.

Upholds first-rate products and services to please the satisfaction of the public

inclined with nurturing the environment and communities.

Associate with Local-Industry as a way to connect with Foreign Businesses.

And helps the small businesses to grow as a path for our innovation.

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Vision Statement (Current vs. Proposed)

Current:

To be an indispensable partner in the journey of everyone whose life we touch.

Proposed:

Constructing straightforward path for the journey of the mankind

Company Milestone

2021

● Gold Award

- Under the Event of the Year, Conferences and Meetings - Convention

category for the Phoenix Digital National Convention, a yearly event that

was innovated to adapt to the effects of the pandemic.

- 2021 Stevie Awards

- 18th International Business Awards

● Silver Award

- Under the Most Exemplary Employer category for the company's internal

COVID-19 response program.

- 2021 Stevie Awards

- 18th International Business Awards

● Silver Award

- Under the Most Valuable Service category for FamilyMart’s

#WeSupportSMEs campaign which helped small local businesses to

sustain themselves, and reach more customers through FamilyMart

stores.

- 2021 Stevie Awards

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- 18th International Business Awards

● Bronze Award

- Under the Innovation of the Year-Consumer Service Industries category

for LIMITLESS, the company’s biggest program launched in 2020.

● Bronze Award

- Under the New Products-Consumer Services category for the Phoenix

Block, the company's new retail concept that gathers its businesses in

one site

- 2021 Stevie Awards

- 18th International Business Awards

- Under the Communication Management for Marketing, Advertising, and

Brand Communication category for the launch of the company’s LPG

brand, Phoenix SUPER LPG, through the ‘Sarap Pala Magluto’

nationwide campaign.

● Excellence Award

- 18th Philippine Quill Awards

- International Association of Business Communicators (IABC) Philippines

● Excellence Award

● Merit Award

- 18th Philippine Quill Awards

- International Association of Business Communicators (IABC) Philippines

● Merit Award

- Under the Communication Management for Customer Relations category

for FamilyMart’s Convenience Store Retailing campaign

- Under the Communication Skills for Social Media Programs category for

the company’s COVID-19 communications project, Kwentong Phoenix

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- International Association of Business Communicators (IABC) Philippines

- Under the Communication Management for Marketing, Advertising, and

Brand Communication category for FamilyMart’s COVID-19-related

project, #WeSupportSMEs campaign

- 18th Philippine Quill Awards

- International Association of Business Communicators (IABC) Philippines

● Gold Anvil Award

- Under the 'Public Relations Program Directed at Specific Stakeholders-

Suppliers’ category for #WeSupportSMEs, a COVID-19 program created

by FamilyMart, the convenience store brand of Phoenix

- 56th Anvil Awards

- Public Relations Society of the Philippines

● Silver Anvil Award

- Under the ‘Specialized Public Relations Program-COVID related PR

Programs with Tools’ category for #WeSupportSMEs as an innovative

program created in response to the COVID-19 pandemic

- 56th Anvil Awards

- Public Relations Society of the Philippines

● Silver Anvil Award

- For Kwentong Phoenix, a project created with content development and

marketing agency, PageOne, under the ‘Digital Public Relations Program-

Good Governance/Social Responsibility/Responsible Citizenship’

category

- 56th Anvil Awards

- Public Relations Society of the Philippines

● Silver Anvil Award

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- Under the ‘Public Relations program Directed at Specific Stakeholders-

Consumers’ category for Phoenix SUPER LPG’s ‘Sarap Pala Magluto’

campaign that launched Phoenix Petroleum’s LPG brand nationwide

- 56th Anvil Awards

- Public Relations Society of the Philippines

2020

● Gold Award

- for Communications or PR Campaign of the Year - Marketing - Consumer

Products

- 2020 Stevie Awards

- International Business Awards

● Gold Award

- for Achievement in Sales or Revenue Generation

- 2020 Stevie Awards

- International Business Awards

● Silver Award

- for PR Campaign of the Year-Corporate Social Responsibility category

- 2020 Stevie Awards

- International Business Awards

● Silver Award

- for New Product Launch category

- 2019 Stevie Awards

- International Business Awards

● Marketing Company of the Year

- 40th Agora Awards

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- Philippine Marketing Association

2019

● Award of Excellence

- for Communication Management-Marketing, Advertising, and Brand

Communication category

- Philippine Quill Awards

- International Association of Business Communicators (IABC) Philippines

● Award of Merit

- for Communication Skills-Social Media Programs category

- Philippine Quill Awards

- International Association of Business Communicators (IABC) Philippines

● Fast Moving Company

- Awarded to PNX Petroleum Singapore

- SME100 Awards

- Business Media International

● Bronze award for Customer Empowerment

- For Phoenix Petroleum's ‘Bida ang Tsuper Caravan’ campaign

- PANAta Awards 2019

● Gold award for the People’s Choice for Customer Empowerment

category

- For Phoenix Petroleum's ‘Bida ang Tsuper Caravan’ campaign

- PANAta Awards 2019

● Best Debt Deal of the Year

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- For Phoenix Petroleum’s issuance of Php 10 Billion Short-Term

Commercial Papers with Philippine National Bank (PNB) Capital and

Investment Corp.

- Asian Banking and Finance Awards 2019

● Best Booth Design for Non-Food: 54 sqm. Category

- Franchise Asia Philippines 2019

- Philippine Franchise Association

2018

● Finalist - Global Filipino Executive of the Year

- Phoenix Petroleum President and CEO Dennis Uy was one of the finalists

for the Global Filipino Executive of the Year category

- Asia CEO Awards 2018

● Gold Award for Best Website (Energy category)

- 2018 Stevie Awards

- International Business Awards

● Silver Award as Fastest-Growing Company of the Year (Asia,

Australia, and New Zealand region)

- 2018 Stevie Awards

- International Business Awards

● Outstanding Respondent among Small Firms - Business

Expectations Survey

- Awarded to Phoenix LPG Philippines, Inc.

- 2018 BSP Stakeholders Awards

- Bangko Sentral ng Pilipinas

● Best Booth Design for Non-Food:72 sqm. and above category

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- 2018 Franchise Asia Philippines Awards

- Franchise Asia Philippines

● Award of Excellence for the Community Relations category

- Philippine Quill Awards

- International Association of Business Communicators

2017

● Young Entrepreneur of the Year

- Awarded to President and CEO Dennis Uy in the 2017 ASEAN Business

Awards.

- ASEAN Business Advisory Council (ASEAN-BAC)

● Second Place - Outstanding Large Corporation II for Non-agri-based

category

- Gawad Kaagapay Awards 2017

- Land Bank of the Philippines

● Best Booth Design for Non-Food Franchisor category

- 2017 Franchise Asia Philippines Awards

- Franchise Asia Philippines

● Outstanding Filipino Franchise in Retail-Large Scale

- 2017 Franchise Excellence Awards

- Franchise Excellence Awards

2016

● Lapu-Lapu Award and Apolinario Mabini Award

- Dugong Bayani Awards

- Department of Health - Philippine Blood Center

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● 2016 MVP Bossing Award

- Awarded to President and CEO Dennis Uy

- PLDT SME Nation

● Best Booth Design for Non-Food Franchisor category

- 2017 Franchise Asia Philippines Awards

- Franchise Asia Philippines

● Silver Anvil Award

- Phoenix and Havas Media's "Fuel the Dream" online video asset in the

Public Relations Tools: Multimedia/Digital Online Video category.

- 51st Anvil Awards

- Public Relations Society of the Philippines

2015

● Outstanding Filipino Franchise in Retail-Large Scale

- 2015 Franchise Excellence Awards

- Philippine Franchise Association and the Department of Trade and

Industry

● Finalist at the Boomerang Awards

- Phoenix’s Ultimate Fighting Champion (UFC) “Chase the Dream, Live the

Dream, and Fuel the Dream” online video assets (OVAs), in the

Automotive & Fuels, and Effectiveness-Engagement categories

- Mobile Marketing Association of the Philippines

2013

● Nominee/Finalist - CNBC Asia Business Leaders Award (ABLA) 2013

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- This is the third year for our President/CEO to be included in the list of

Asia's outstanding leaders.

- CNBC Asia

● Agora Award for Outstanding Achievement in Entrepreneurship –

Large Scale

- Awarded to Founder, President, and CEO Mr. Dennis Uy

- Philippine Marketing Association

● Best Booth Design for Non-Food Franchisor category

- 2013 Franchise Asia Philippines Awards

- Franchise Asia Philippines

● Best Independent Oil Company in Asia

- Best Independent Oil Company in Asia given by World Finance Magazine

in its 2013 Oil & Gas Awards

- World Finance

● Top 5 Outstanding Franchise Company

- Given by Entrepreneur Magazine in its Franchise Awards 2013. Phoenix

Petroleum was also one of the Top 15 Best in Franchise Support and Top

15 Fastest-Growing Franchises.

- Entrepreneur Philippines

● Datu Bago Award

- Awarded to President and CEO Dennis by the City Government of Davao,

the highest recognition Davao City bestows on its citizens.

- City Government of Davao

2012

● Best Independent Oil Company in Asia

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- Phoenix Petroleum named Best Independent Oil Company in Asia by

London-based World Finance magazine for its Oil & Gas Awards 2012

- World Finance

● Bronze Award in Araw Values Awards

- Awarded to the company’s “Locker” TV advertisement featuring Manny

Pacquiao

- Advertising Board of the Philippines (AdBoard)

● Finalist – 11th Asia Business Leaders Award

- President and CEO Dennis Uy a finalist to the prestigious Asia Business

Leaders Award (ABLA)

- CNBC Asia

● Finalist - The Philippine Quill Awards

- SOAR internal magazine a finalist for Publication category, as conferred

by IABC Philippines

- IABC Philippines

● Finalist - 34th Catholic Mass Media Awards

- The company’s “Locker” TV advertisement featuring Manny Pacquiao is a

finalist in the Catholic Mass Media Awards

- Archdiocese of Manila

● Best Booth Design for Non-Food Franchisor category

- 2012 Franchise Asia Philippines Awards

- Franchise Asia Philippines

● Finalist - Entrepreneur of the Year 2012

- President and CEO Dennis Uy a finalist to the prestigious award given by

Ernst & Young/SVG Foundation.

- Ernst & Young/SVG Foundation

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● 3rd Best Small Cap Company in the Philippines

- Finance Asia

● Recommended Franchise Brand

- BPI Family Bank cites Phoenix Petroleum Philippines as one of the

recommended franchise brands in the Ka-Negosyo Best List.

- BPI Family Saving Bank

2011

● Finalist - 10th Asia Business Leaders Awards

- The President and CEO is a finalist to the prestigious Asia Business

Leaders Award (ABLA), one of 41 Asian CEOs

- CNBC in Asia Pacific

● Best TV Ad-Branded

- Phoenix Petroleum’s first corporate TV commercial, “The Journey”, wins

in the 33rd Catholic Mass Media Awards

- Archdiocese of Manila

● Asia Responsible Entrepreneurship Award (AREA)

- Enterprise Asia awards the “Phoenix for Education” CSR program, which

benefits public schools, teachers, and students in Davao City, the Asia

Responsible Entrepreneurship Award (AREA) for Social Empowerment. It

is the first time the awards include Philippine companies.

- Enterprise Asia

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Corporate Culture

Phoenix Petroleum values their staff and the image of the company. It is a

growing company that enables them to set limitless possibilities for future endeavors.

The following are the values that the company carries as time passes through

generation.

● Integrity

We adhere to the highest standards of ethics and conduct. Our reputation

defines who we are.

● Innovation

We welcome opportunities to create at all times new and better products,

services and ideas.

● Excellence

We aim to be the best in everything we do.

● Teamwork

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We value relationships. We achieve goals through collaborative efforts.

● Service

We nurture our resources responsibly.

● Stewardship

We value all our stakeholders, and provide unrivaled customer experience

G. Product Analysis

Strengths

● Staff

Phoenix Petroleum is a growing company that lets their staff develop new

responsibilities and challenges that will make their network flexible in the

market.

● Quality

With its best value, the company provides the product assuring from the

local distributor.

● Price

Serving the customers with the best value is their mission and also being

proved through online reviews posted by the customers.

● Growing Company

Phoenix Petroleum keeps on investing long-term investment. The

company is a fast phase company that extends their inclusivity serving

the market.

Weaknesses

● Limited Investment

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Phoenix Petroleum has limited long-term investment. The company

provides information from the archives on how they will deal with their

future projects.

● Variety of Fuel

The fuel produced by Phoenix Petroleum is limited compared to the

competitors.

● Competitors

H. Company Resources

 People and Skills

BOARD OF DIRECTORS

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MANAGEMENT

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III. MARKET STRATEGY

A. Product Strategy

This new product line that is proposed to be added perks of benefits in

availing a phoenix service or product. The company will utilize a Differentiation

Strategy since this approach focuses on giving the product a personality that

makes it unique in the market and memorable to the consumers possibly

increasing customer satisfaction and brand loyalty.

The benefit perk will be called “Fun Plus Phoenix” card and phone app.

The said product will be initially released in all the gas stations nationwide. The

product was specifically designed for consumers who are in classes C-D, the

explanation for this was most customers that are in C-D are PUV Drivers,

Delivery Riders, and other similar jobs that will serve as a LOYALTY REWARDS

CARD SYSTEM. This strategy aims to cultivate the idea to boost the customer’s

driving but not their spending.

To expedite how the customer can avail this product, they can buy it any

in phoenix petroleum gas station nationwide. After obtaining the “Fun Plus

Phoenix” card they are now entitled to exclusive rewards and discounts such as

the following:

 5% discount for frontliners who are availing fuel products in any gas

station

 5% discount for all public utility vehicle drivers who are availing fuel

products in any gas station (jeepney, bus, fx, etc.)

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 FREE monthly carwash for all FUN PLUS PHOENIX card holder

 FREE monthly car check and car care services for all FUN PLUS

PHOENIX card holder

 Vouchers and Seasonal Discounts that the consumer can receive in their

FUN PLUS PHOENIX phone app.

 If the customer avails a FUN PLUS PHOENIX card, he/she has a

premium access to the fun plus phoenix app.

 The customer can also load on this card to use this as payment for

his/her fueling transactions

The application is free to download however there is a premium version to

those who want to available additional perks such as the following:

 Daily update on the prices of fuel

 Notification on the nearest PHOENIX PETROLEUM gasoline station.

 Forecast on the prices of fuel

 Seasonal discounts

 Spending tracker on how much the customer have spent on the fueling

their vehicles

B. Price Strategy

Phoenix Petroleum will be using a market penetration price strategy to

entice consumers into buying this specific product. The Fun Plus Phoenix App

can be downloaded via IOS and Android for FREE however should the consumer

choose to download the premium version with additional benefits as mentioned in

the product strategy.

39
The card can will be released at a price of ₱299. This will be effective for

one year. Should the customer want to keep the card and its perks active, he/she

must avail a total of ₱10,000 for 2-wheeled vehicles and 15,000 worth of

transactions annually. Should the customer want to reactivate their card after

being deactivated for a long time there will be a reactivation fee of ₱199.

Price Penetration was used among other strategies because the students

want to introduce a product where consumers will think that it is easy or cheap to

avail such product but in fact the company will earn so much from the customers

maintaining their fun plus phoenix card. Consequently, in order from a customer

to retain these perks they must have a minimum number of transactions per year

that drives customers to only avail gas and services from PHOENIX

PETROLEUM Inc.

C. Place Strategy

Having “FUN PLUS PHOENIX” through all their gas stations nationwide is

only a logical idea. In this way, they are separate from their competitors. Putting

available registration sites in gas stations also enables the possibility that

customer might avail products and services first from the gas station before

availing the card.

D. Promotion Strategy

Since this pandemic has promoted a hands-free transaction, Phoenix

Petroleum will start promoting regularly using social media platforms through:

Facebook, Twitter, and YouTube. These platforms will be updated regarding

weekly events and promotions which are:

40
 Social media advertisements regarding PHOENIX Petroleum Inc. and

FUN PLUS PHOENIX card

 Posters in Phoenix Petroleum gas stations nationwide regarding the

loyalty system card.

 On peak seasons with a lot of travelling such as Christmas and

vacations, the store will offer promotional discounts

 On peak seasons with a lot of travelling such as Christmas and

vacations, the store can give freebies life plushies or inflatable U-

shaped pillows for drivers

 The promotional material may also be posted in jeepneys and buses

Social Media Promotion

41
42
Billboards and Posters

43
44
45
Jeep and Bus

46
47
E. People Strategy

Phoenix Petroleum is known for hiring top-notch individuals who can be

part of their dynamic organization and be instrumental in their rapid expansion,

which we shall continue to do so. The company will also pay for the quarterly

swab test of its employees to ensure it workforce and customer’s safety in this

pandemic. Phoenix Petroleum Inc. employees will also maintain to observe

proper social distancing and temperature checks every day. This will promote a

safer environment for customers to enjoy. With that being said, our employees

shall maintain their friendliness with everyone and offer assistance to any

customers who would like to do so.

F. Physical Evidence Strategy

As shown below is the Fun Plus Phoenix Card that contains the QR code,

swipe bar for easy transactions, Phoenix Petroleum theme design, and serial

number which is unique to a customer.

48
G. Process Strategy

The company will release an app that can be downloaded through IOS or

Play Store where customers can track their transactions, gets updates on fuel

prices, receive vouchers and discounts, know the nearest PHOENIX

PETROLEUM Inc. Gas Station, for e-payment purposes. Other modes of

payment will also be introduced with Cash as the last option. We believe that this

can smoothen the flow of Phoenix Petroleum Inc. operations by reducing the

burden on staff members, saving the time of customers since they will no longer

wait in queue, and it simplifies the ordering process.

IV. IMPLEMENTATION OF EACH MARKETING STRATEGY (General Plan of Action)

Product Strategy

End Goal: We want Phoenix Petroleum to release a Fun Plus Phoenix Card to provide easy,

economic, and worry-free business solutions especially to SMEs.

WHAT WHO WHERE WHEN BUDGET

Coordinate with Ma. Celina I. Corporate Office: January 08, ₱1,000,000.00


the Matias – Vice 2022
management President for 25th Floor Fort
regarding the Integrated Legend Towers
adding of Fun Marketing and 3rd Avenue corner
Plus Phoenix Strategies. 31st Street,
card. Fort Bonifacio Global
City,
Taguig City 1634

Conduct a Research and Head Office: May 19, ₱1,500,000.00

49
Phoenix Bulk Depot,
research about Development Lanang, Davao City 2022
the product’s Department 8000
possible
weaknesses or
fallbacks.

Finding all Marketing Corporate Office: February ₱1,500,000.00


necessary Department 17, 2022
programs, label 25th Floor Fort
and design for Legend Towers
the product 3rd Avenue corner
31st Street,
Fort Bonifacio Global
City,
Taguig City 1634

Test and adjust Research and Head Office: May 17, ₱1,500,000.00
the programs Development 2022
and services Department Phoenix Bulk Depot,
offered Lanang, Davao City
according to the 8000
feedbacks.

Once Fun Plus Production Head Office: June 19, ₱2,000,000.00


Phoenix card Department 2022
are perfected Phoenix Bulk Depot,
according to its Lanang, Davao City
programs and 8000
appearance, it
is then
announced in
Phoenix
Petroleum’s
social media
accounts.

Total Allocated Budget: ₱7,500,000.00

50
Price Strategy

End Goal: We want to identify the effective price strategy where the Fun Plus Phoenix Card is

most profitable and yet affordable for the consumers before launching it in 2022.

WHAT WHO WHERE WHEN BUDGET

Set up a Board of Head Office: January 5, ₱1,000,000.00


meeting to talk Committee, Key 2022
about the Executives and Phoenix Bulk Depot,
Financial Audit and Lanang, Davao City
Statement of the Finance 8000
company for the Committee
previous year.

Estimating the Audit and Head Office: January 15 ₱1,000,000.00


product’s Finance 2022
projected cost Committee and Phoenix Bulk Depot,
Production Lanang, Davao City
Development. 8000

Searching for Production Head Office: February 17, ₱2,000,000.00


programmers, Department 2022
designers, and Phoenix Bulk Depot,
materials Lanang, Davao City
needed for the 8000
production.

Coordinate with Board of Head Office: February 24, ₱1,500,000.00


the Committee, Key 2022
management Executives and Phoenix Bulk Depot,
regarding the Audit and Lanang, Davao City
proposed pricing Finance 8000
for Fun Plus Committee
Phoenix Card.

Disseminate the Marketing and Corporate Office: June 19, ₱3,000,000.00


new product line Sales Division

51
25th Floor Fort
of Fun Plus Legend Towers 2022
Phoenix card 3rd Avenue corner
and its 31st Street,
suggested retail Fort Bonifacio Global
price (SRP) City, Taguig City 1634
nationwide.

Total Allocated Budget: ₱8,500,000.00

Place Strategy

End Goal: To celebrate little goals and achievements by being accessible to diverse needs and

different businesses in the country by 2022.

WHAT WHO WHERE WHEN BUDGET

Get in touch Real Estate 15th-17th Floor, February ₱2,500,000.00


with a real Agent UDENNA Tower, 16, 2022
estate agent for Rizal Drive cor. 4th
an expansion Avenue, Bonifacio
of land for Global City
building a car
wash area Taguig, Metro Manila
besides the gas 1634, PH
station.

Contract Top-Level Corporate Office: February ₱2,000,000.00


signing Management, 24, 2022
Marketing and 25th Floor Fort
Sales Division Legend Towers
and Local 3rd Avenue corner
Branch 31st Street,
Representatives. Fort Bonifacio Global
City, Taguig City 1634

Distribution of Logistics 12th Floor, Udenna June 19, ₱2,500,000.00

52
new products Department Tower, Rizal Drive, 2022
and services in corner 4th Ave, 1630
every branch of Metro Manila
gas stations.

Total Allocated Budget: ₱7,000,000.00

Promotion Strategy

End Goal: We want Phoenix Petroleum to maximize the usage of social media and traditional

marketing to be able to get more awareness of our brand and its products and services to our

customers as soon as possible.

● Commercials/Advertisements

WHAT WHO WHERE WHEN BUDGET

Schedule an Human Resource Corporate Office: March, 11, ₱1,500,000.00


appointment to Ms. Management 2022
Rach Librado, the 25th Floor Fort
road manager of Ms. Legend Towers
Rhian Ramos. 3rd Avenue corner
31st Street,
Fort Bonifacio
Global City,
Taguig City 1634

Set a meeting and Top-Level Corporate Office: April 09, ₱1,000,000.00


discuss the terms in Management, 2022
conditions and Marketing and 25th Floor Fort
contract signing. Sales Division Legend Towers
and the Artist’s 3rd Avenue corner
Agency 31st Street,
Fort Bonifacio

53
Global City, Taguig
City 1634

Meeting with the Top-Level Corporate Office: April 19, ₱1,000,000.00


Advertising Agency Management, 2022
Marketing and 25th Floor Fort
Sales Division Legend Towers
and Advertising 3rd Avenue corner
Agency 31st Street,
Fort Bonifacio
Global City, Taguig
City 1634

Contract signing for Top-Level Corporate Office: April 26, ₱1,500,000.00


the Advertising Management, 2022
Agency Marketing and 25th Floor Fort
Sales Division Legend Towers
and Advertising 3rd Avenue corner
Agency 31st Street, Fort
Bonifacio Global
City, Taguig City
1634

Shooting for the Marketing and Corporate Office: May 23, ₱2,000,000.00
television Sales Division 2022
commercial and and Ms. Rhian 25th Floor Fort
voice recording for Ramos Legend Towers
the radio 3rd Avenue corner
advertisements. 31st Street,
Fort Bonifacio
Global City,
Taguig City 1634

Public screening of Marketing and Corporate Office: June 21, ₱2,000,000.00


the Sales Division 2022
commercial/advertis and Advertising 25th Floor Fort
ement Agency Legend Towers
3rd Avenue corner
31st Street,
Fort Bonifacio
Global City,
Taguig City 1634

Total Allocated Budget: ₱9,000,000.00

54
 Billboard and Flyers Ads

WHAT WHO WHERE WHEN BUDGET

Production of Billboard Marketing and Corporate Office: May 03, ₱1,500,000.00


and Flyers Sales Division, 2022
Advertising 25th Floor Fort
Agency and Legend Towers
Commercial 3rd Avenue corner
Printing 31st Street,
Agency. Fort Bonifacio
Global City,
Taguig City 1634

Meeting and contract Marketing and Corporate Office: June 17, ₱1,500,000.00
signing for billboards Sales Division, 2022
and flyers lease of Advertising 25th Floor Fort
space. Agency and Legend Towers
Owner of the 3rd Avenue corner
place 31st Street,
Fort Bonifacio
Global City,
Taguig City 1634

Setting of Billboard Advertising Luneta Advertising: July 15, ₱2,000,000.00


and Posting flyers. Agency 2022
No. 10 Marian
Road 1 East
Service Rd. Brgy.
San Martin de
Porres, Parañaque
1700, 10 Marian
Road-1,
Parañaque, 1700
Metro Manila

Total Allocated Budget: ₱5,000,000.00

● Internet Advertisements

55
WHAT WHO WHERE WHEN BUDGET

Online Advertising Marketing and Corporate Office: August 10, ₱1,000,000.00


through Facebook Sales Division : 2022
Communication 25th Floor Fort
and Creative Legend Towers
Team 3rd Avenue corner
31st Street,
Fort Bonifacio
Global City,
Taguig City 1634

Online Advertising Marketing and Corporate Office: August 10, ₱1,000,000.00


through YouTube Sales Division : 2022
Communication 25th Floor Fort
and Creative Legend Towers
Team 3rd Avenue corner
31st Street,
Fort Bonifacio
Global City,
Taguig City 1634

Online Advertising Marketing and Corporate Office: August 10, ₱1,000,000.00


through Twitter Sales Division : 2022
Communication 25th Floor Fort
and Creative Legend Towers
Team 3rd Avenue corner
31st Street,
Fort Bonifacio
Global City,
Taguig City 1634

Total Allocated Budget: ₱3,000,000.00

People Strategy

End Goal: We want Phoenix Petroleum to maintain good customer service and ensure

customers with a COVID-free transaction by conducting PCR testing on all of Phoenix

56
Petroleum’s employees and every month we would be giving them a cash incentive to the top

performer employee of the month to recognize their efforts and further motivate them.

WHAT WHO WHERE WHEN BUDGET

Current employees All Phoenix Corporate Office: Every Month ₱1,000,000.00


shall conduct a swab Petroleum’s
test and test negative employees 25th Floor Fort
for COVID. Legend Tower 3rd
Avenue corner
31st Street, Fort
Bonifacio Global
City, Taguig City
1634

New hires shall Human Corporate Office: March-April ₱1,000,000.00


conduct a swab test Resource 2022
before officially hiring Management 25th Floor Fort
them. Legend Towers
3rd Avenue corner
31st Street,
Fort Bonifacio
Global City, Taguig
City 1634

Giving cash Marketing and Corporate Office: Every Month ₱1,500,000.00


incentives to the top Sales Division :
performer employees Communication 25th Floor Fort
of the month and Creative Legend Towers
Team 3rd Avenue corner
31st Street, Fort
Bonifacio Global
City, Taguig City
1634

Total Allocated Budget: ₱3,500,000.00

Physical Evidence Strategy

57
End Goal: We want Phoenix Petroleum to be a gas station that caters diverse needs and

requirements of different businesses in the country by the end of 2023.

WHAT WHO WHERE WHEN BUDGET

Set an appointment of Creative Corporate May 03, 2022 ₱1,000,000.00


an interior designer Team and the Office:
Designer’s
Company 25th Floor Fort
Legend Towers
3rd Avenue
corner 31st
Street,
Fort Bonifacio
Global City,
Taguig City
1634

Contract Signing and Top-Level Corporate May 10, 2022 ₱1,500,000.00


Presenting the concept Department, Office:
Marketing and
Sales 25th Floor Fort
Division, and Legend Towers
the Designer 3rd Avenue
corner 31st
Street,
Fort Bonifacio
Global City,
Taguig City
1634

Create an eye Marketing and Corporate June 02, 2022 ₱1,500,000.00


catching two way lane Sales Office:
for the visibility and Division:
accessibility of the gas Creative 25th Floor Fort
station. Team, and Legend Towers
the Designer 3rd Avenue
corner 31st
Street,
Fort Bonifacio
Global City,
Taguig City

58
1634

Post a QR code for Marketing and Corporate June 02, 2022 ₱1,500,000.00
payments and Install Sales Office:
an automatic Division:
temperature check and Creative 25th Floor Fort
alcohol spray for a Team, and Legend Towers
contactless and the Designer 3rd Avenue
sanitized environment. corner 31st
Street,
Fort Bonifacio
Global City,
Taguig City
1634

Total Allocated Budget: ₱5,500,000.00

Process Strategy

End Goal: We want Phoenix Petroleum to maintain its good qualities and improve on lacking

qualities to be one of the best gas stations in the county by 2022.

WHAT WHO WHERE WHEN BUDGET

Create a mobile app Marketing and Corporate Office: June 15, ₱1,500,000.00
that can easily update Sales Division : 2022
any news from our Communication 25th Floor Fort
products and and Creative Team Legend Towers
services. 3rd Avenue
corner 31st
Street, Fort
Bonifacio Global
City, Taguig City
1634

Give discount during Marketing and Corporate Office: During ₱800,000.00


special events Sales Division : Special
Communication 25th Floor Fort Events
and Creative Team Legend Towers

59
Corporate Office: Every ₱1,000,000.00
Month
25th Floor Fort
Legend Towers
3rd Avenue
corner 31st
Street, Fort
Bonifacio Global
City, Taguig City
1634

Corporate Office: Every ₱1,000,000.00


Month
25th Floor Fort
Legend Towers
3rd Avenue
corner 31st
Street, Fort
Bonifacio Global
City, Taguig City
1634

ACTION PLANS AMOUNT/EXPENSES

Product Action Plan ₱7,500,000.00

Price Action Plan ₱8,500,000.00

Place Action Plan ₱7,000,000.00

Promotion Action Plan ₱17,000,000.00

People Action Plan ₱3,500,000.00

Physical Evidence Plan ₱5,500,000

Process Action Plan ₱4,300,000.00 60

TOTAL ₱53,300,000.00
IV. PRO FORMA FINANCIAL STATEMENT (Income Statement and Cash Flow

The table shows the income statement and cash flow for 3 years.

2020 (1.12) 2021 (1.12) 2022 (1.12) 2023 (1.12)

Net Sales ₱78,300,000.00 ₱87,696,000.00 ₱98,219,520.00 ₱110,005,862.40

Cost of Goods ₱72,408,000.00 ₱81,096,960.00 ₱90,828,595.20 ₱101,728,026.62

Sold incl. D&A

Gross Profit ₱5,892,000.00 ₱6,599,040.00 ₱7,390,924.80 ₱8,277,835.78

V. MONITORING AND CONTROLS

Since our company launches a new product in the market, it is necessary to

monitor the sales performance to prevent potential losses and future problems. The

company will conduct a survey in regard to the customers’ feedbacks to further improve

the services offered in the new Phoenix Petroleum product. Through this, the goals and

objectives of the company can be obtained.

VI. APPENDICES AND BIBLIOGRAPHY

61
Phoenix Petroleum Philippines. (2020, August 3). Fastest-Growing Oil Company in the

Philippines. Phoenix Fuels. Retrieved 2021, from https://www.phoenixfuels.ph/

Biswas, R. (May 28, 2021). Philippines remains mired in recession due to latest Covid-19 wave.

Retrieved from https://ihsmarkit.com/research-analysis/philippines-remains-mired-in-recession-

due-to-latest-covid19-wave-May21.html

Official Gazette Ph. (2007). Republic Act No. 9367 | GOVPH. Retrieved

from https://www.officialgazette.gov.ph/2007/01/12/republic-act-no-9367/

PHOENIX ARCHIVES

Phoenix Petroleum Philippines. (June 23, 2021). Company Profile, Subsidiaries & Structure |

Phoenix Petroleum. Retrieved from https://www.phoenixfuels.ph/company-profile-and-structure/

Philippine Board of Investments (2016). Philippine Downstream Oil Industry. Retrieved

from https://boi.gov.ph/wp-content/uploads/2018/02/Downstream-Oil-December-2017.pdf

Business World (September 22, 2021). Phoenix Petroleum’s market share grows to 8.3%.

Retrieved from https://www.bworldonline.com/phoenix-petroleums-market-share-grows-to-8-3/ 

Phoenix Petroleum Philippines (2021). Board of Directors and Management Team. Retrieved

from Phoenix Petroleum Philippines (2021). Latest Financial Performance | Phoenix Fuels

Philippines. Retrieved from https://www.phoenixfuels.ph/financial-performance/

Statista (2021). Oil product consumption of the industrial sector Philippines 2020, by fuel type.

Retrieved from https://www.statista.com/statistics/1275545/philippines-industrial-sector-oil-

product-consumption-by-fuel-type/

62
Phoenix Petroleum Philippines (2021). Phoenix earns 3 nods at 17th International Business

Awards. Retrieved from https://www.phoenixfuels.ph/phoenix-earns-3-nods-at-17th-

international-business-awards/

Phoenix Petroleum Philippines (2021). Our List of Awards & Recognitions per Year. Retrieved

from https://www.phoenixfuels.ph/awards-recognition/ 

Department of Energy Philippines (2016). Oil Supply/Demand Report FY 2015. Retrieved from

https://www.doe.gov.ph/downstream-oil?q=/downstream-oil/oil-supply-demand-

2015&ckattempt=1 

Population Pyramid (2021). Philippines 2021. Retrieved from

https://www.populationpyramid.net/philippines/2021/

National Economic and Development Authority (2021). Report on National Income Account (Q2

2021). Retrieved from https://neda.gov.ph/wp-content/uploads/2021/08/Report-on-NIA-Q2-

2021.pdf 

Journal, W. S. (n.d.). PNX.PH | Phoenix Petroleum Philippines Inc. Annual Income Statement -

WSJ. Phoenix Petroleum Philippines Inc. Retrieved 2021, from https://www.wsj.com/market-

data/quotes/PH/PNX/financials/annual/income-statement

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