1.

EXECUTIVE SUMMARY
Zagu started around 1999 and worked its way up, it has proven that it is not a passing
fad as
85% of stores has been occupied for more than three years. Zagu
Sindalan has started its
operation around early 200s where it has been a great hit especially among
the students of
Sindalan Elementary School and nearby workers. If you ask an adult today who was
born in the
80s-90s if they miss the flavor of Zagu they will surely say yes since it brings nostalgic
flavors to
their palate. Years back then, the location of Zagu was a key to their success since it
was the only
pearl milk shake store around the area and milk tea shops are only just
starting to pop up.
Throughout the years, Zagu continued to serve quality premium pearl shakes with
different kinds
of flavors to its regulars. Tons of franchises started to pop up along the city of
San Fernando,
Angeles, Bulacan, and all the way up to NCR. They created a strong brand where a
harmonious
relationship was created between Zagu and their regular consumers which in turn
generated a
huge spike in their sales as well. Continued advertisement is still being
established by Zagu
through different channels such as billboards, tarpaulins, websites, and social media
pages such
as Facebook pages. Today, it offers new flavors and even offers party
package for kids,
teenagers, and even young adults to make sure that their craving for a fresh pearl
shake will be
quenched to the fullest

To be able to strengthen their position as one of the most well known pearl shakes
throughout
the country, Zagu will launch its new product the Mango Graham Shake which is an
entirely new
product of Zagu. In assistance of the marketing plan, Zagu is prepared
and confident in
launching this new variant of pearl shake. Regular consumers will be intrigued
and interested
because their old time favorite brand of pearl shake is releasing a new exciting
flavor that they
will surely love. The market today is currently flooded with different brands of milk teas,
this is a
perfect time for Zagu to release their product as they will release a new flavor
that Zagu has
manufactured with their very own twist to it. Along with an affordable price
compared to milk
teas, it will surely be a hit among its consumers especiall the Generation Zs and
Millenials.
Proper executing of the marketing plan will help Zagu in promoting their
new product
through tarpaulins, social media presence, and trendy sales promotion. Zagu's primary
objective
is to effectively sell MGS at Php 100.00 each and bring a gross profit of
approximately 30% for
the first year which is forecasted to be Php 258,330.00 and increase of 5% yearly
after launch.
This marketing plan will show that Zagu Sindalan will allocate marketing expense
budget which
is 5% of the revenue or Php 43,055.00 that will be beneficial to the product
awareness that will
lead to reaching target sales and market share.

Mission:

To Provide the best quality, most innovative and reasonably priced products in the
beverage industry

To be the leader in our industry attained by a well-planned expansion through
retail outlets and wide product distribution

To continuously generate awareness, interest and desire for our product resulting
in frequent/repeat purchases

To establish Zagu as a highly regarded international brand name

Vision:
"Our company bears the vision of providing fun, deliciously appetizing, uniquely
enchanting food
and beverage products while maintaining our commitment to uncompromised
quality at economical
rates with the heartening purpose to cater to society's needs, tastes and preferences;
rather than simply
convincing our customers to try and like whatever products we develop."
2. SITUATIONAL ANALYSIS
Zagu franchise has started the original refreshment drinks that the Millenials and GenZs
truly
loved then, it gained its popularity by the year 2000s and expanded up to 400 branches
today.
They are located just beside Jollibee Sindalan and right across the road lies Sindalan
Elementary School, they chose this location because it has the biggest spikes in foot
traffic from
pedestrians and students going home after school or work.
2.1 The Company and Management Analysis
It took several months of experimentation, product sampling, and planning before the
first Zagu
store was launched in April of 1999. Zagu was pioneered by a young enterprising lady
with a
degree in Food Science from the University of British Columbia in Vancouver, Canada.
They are
planning to expand as much as possible, offering franchises to the public heavily to
extend their
reach.
2.2 Market Summary
A high volume of competitors means lower expected revenue, Zagu should focus more
on
enhancing their market segmentation in order to attract more customers. Learning how
to
navigate through different ways of marketing segmentation such as demographic,
geographic,
and psychographic will be truly beneficial for the company. Zagu should study the target
market
by requesting feedback to uncover any issues regarding their drinks that needs to be
addressed.

customers who are always wanting new exciting flavors of their beverages. Business
owners'
drive for excellence by promoting exemplary and playful new flavors to their products
will surely
be beneficial. People nowadays drink milk tea instead of sodas for refreshment, by
introducing
the new Mango Leche Flan flavor to the market, the spotlight can finally switch back to
Zagu's
side hopefully.
2.3 SWOT ANALYSIS
As a Product

As a Corporate Entity

2.3.1 STRENGTHS
Brand's Strength and Uniqueness

Affordable Price

New variety of flavors to choose from, the company is not concentrated on a particular

flavor of drinks but rather it offers different kinds of shake in a variety of flavors
Products that tend to make consumer's lifestyles healthy

Good Customer Service

Promotes a nostalgic flavor for the consumers who grew up liking it

Former Enthusiasts now capable of purchasing franchise rights

2.3.2 WEAKNESSES
Limited upon a particular pearl shake drink

The product is seasonal and expected to have low sales in the rainy season

Not Eco-friendly cups

2.3.3 OPPORTUNITIES

Brand is attractive to the customers and, the products are colorful and unique

Franchises continue to increase due to public demands

A lot of commercial buildings and subdivisions are being developed around the location

2.3.4 THREATS
Wide expansion of competitors

Cheap food alternatives

Non-competitors offering similar products

2.4 COMPETITOR ANALYSIS
Basically, Zagu competes in food stands and restaurant food sellers, the company has
a
few competitors such as . Zagu has innovated new drink flavors and even offers
meryenda now
such as Halo-halo and Buko Pandan. The marketing strategy is to promote and offer
quality
products that are 100% unique and topnotch flavor at an affordable price. They can
introduce a
new product on the menu such as "
Mango Graham
" flavor that combines the sweetness of the
Graham and the fruity and flavorful taste of mango.
2.4.1 DIRECT COMPETITOR:

Lulo Milktea -
They are fairly new to the industry and serves a very affordable
Pearl
Milk Tea. Foot traffic around the area is moderate to heavy and people are fond of new
Milk Tea stores around the area and are excited to try it

5.2 PROJECTED INCOME STATEMENT

The projected income statement of Zagu Sindalan Branch with its Mango
Graham Shake is done almost realistically. This was based on the sales forecast given
in Table 3 for its new blend offered in the store.
Table 4
6. CONTROLS
The purpose of this marketing plan is to define the strategies, tactics that will determine
the sales goals outlined in Zagu's Mango Graham Shake a reality. They will have to
monitor:

How much the target market will continue to purchase the new pearl shake

The goal of Zagu to be the trendiest pearl milk shake in Pampanga, and across
the nation

Thorough Monitoring of profit, sales, and expenses


Sustaining the market strategy and to be able to adapt to changes in the market
6.1 IMPLEMENTATION
These steps identify the main marketing programs. Zagu must accomplish them
based on the established budget and on time to reach their goals. After establishing the
different strategies that will be implemented to achieve success, they must implement a
grassroot marketing in order to reach as many people as possible within a large
demograph.
6.2 CONTINGENCY PLAN
There is always a chance that the new pearl milk shake will be a success, Zagu
must enhance and keep on promoting their products through different channels of
advertisement to gain popularity and network among consumers. They must be
prepared to do the following:

If the product is extremely favored by the consumers
, Zagu will have an
opportunity to increase its marketing budget allocation and would be able to
advertise either online, or through posting of tarpaulins and signs. They also
have the opportunity to explore different flavors that has the same attributes with
the new product but with a different twist.

If the revenues are less than the projection
, Zagu has to be prepared for this
possibility. Zagu must decrease their marketing expenses for the Mango Graham
Shake. They must also consider the increase in variable costs that the new
product consists of. If the revenues continue to dip throughout the months, Zagu

must decide whether to stop the production of Mango Graham Shake or to keep
in their menus.