POLYTECHNIC UNIVERSITY OF THE PHILIPPINES i

Chapter II
MARKETING PLAN

This chapter deals with the presentation of the marketing plan of Name of

Business. Specifically, this presents the product/service description, target

market, demand and supply analysis, projected sales, marketing

program/strategies and marketing/selling expenses.

(Or any similar introduction of the chapter)

Research Design

This section describes the research design used in the study as approved

by the panel of examiners. The reasons for choosing the design must be stated

or explained in relation to the nature of the study.

Respondents of the Study

This section identifies the respondents of the study. They are usually the

current or prospective customers and the present suppliers of the product or

service.

Research Instrument

This section identifies the instrument used in gathering data. The different

parts of the questionnaire should be properly explained, and the result of the

validity must be provided.

Statistical Tools

This section specifies the sampling techniques used in the study. The

formula used in the selection of samples and the margin of error must be stated.

Data Gathering Procedure

 POLYTECHNIC UNIVERSITY OF THE PHILIPPINES ii

It explains the procedures performed during the data gathering phase. It

should also state the date of administering and retrieving the questionnaire,

including the percentage of retrieved questionnaires.

Demand

Definition

Table 2.1
Historical Demand
Year Historical Demand
2017  
2018  
2019  
2020
2021  
Table 2.1 shows…

Table 2.2
Projected Demand
Year Projected Demand
2023  
2024  
2025  
2026
2027  
Table 2.2 shows…

Supply

Definition

Table 2.3
Historical Supply
Year Historical Supply
2017  
2018  
2019  
2020
2021  
Table 2.3 shows…
 POLYTECHNIC UNIVERSITY OF THE PHILIPPINES iii

Table 2.4
Projected Supply
Year Projected Supply
2023  
2024  
2025  
2026
2027  
Table 2.4 shows…

Market Gap

Definition

Table 2.5
Market Gap
Year Projected Demand Projected Supply Market Gap
2023  
2024  
2025  
2026
2027  
Table 2.5 shows…

Market Share

Definition

Table 2.6
Market Share
Year Projected Demand Annual Production Market Gap
2023  
2024  
2025  
2026
2027  
Table 2.7 shows…

Target Market

State your target market as individuals, household or businesses. Define

your target market indicating the segmentation factors that you used (Use
 POLYTECHNIC UNIVERSITY OF THE PHILIPPINES iv

demographic profile Consumers’ buying behavior etc) Include consumers who

are willing and have the capability to pay for the product. Identify the target

market whether individual, household or business. You may use market

segmentation.

Geographic Segments Pyschographic Segments

   
   
   
Behavioral Segments Demographic Segments
   
   
   

SWOT Analysis

Definition

Strengths

Definition

Cite at least 3

 Strength 1. Discussion

 Strength 2. Discussion

 Strength 3. Discussion

Weaknesses

Definition

Cite at least 3

 Weakness 1. Discussion
 POLYTECHNIC UNIVERSITY OF THE PHILIPPINES v

 Weakness 2. Discussion

 Weakness 3. Discussion

Opportunities

Definition

Cite at least 3

 Opportunity 1. Discussion

 Opportunity 2. Discussion

 Opportunity 3. Discussion

Threats

Definition

 Threat. Discussion

 Threat. Discussion

 Threat. Discussion

Projected Sales

The company must consider its existing capacity in establishing its

projected sales. Presented in the following table is the projected sales of ______

in year 2023.

The total projected sales for the first year of operations is ____ represents

a ___% approximate market share. Sales are expected to spread evenly

throughout the year. (note: for products, volume is number of units or

 POLYTECHNIC UNIVERSITY OF THE PHILIPPINES vi

items/pieces, for services - number of units use number of clients/customers, or

number of servings.)

Table 2.8
Projected Sales

In Volume In Pesos
Beginning Inventory
Add: Production
Total
Less: Ending Inventory
Projected Sales

The table below summarizes the sales in volume and in pesos for year

2023. The selling price to retailers VAT exclusive was used in determining the

amount of peso sales which is Php_______.

Marketing Program/Strategies

Discuss the practices of competitors followed by the company’s or your

proposed marketing program/strategies for the business. Provide discussion on

the following subtopics

Product

Discuss the features, differentiating features, design, product attributes

that gives the product its competitive edge. Include the brand name, logo and

current market positioning of the product/service. Include the picture of the

product as well as its packaging/label (assign figure number and title). In some

cases you may include their menu, or list of services offered. Again indicate

figure number and title for this.

 POLYTECHNIC UNIVERSITY OF THE PHILIPPINES vii

Brand Name

Definition and discussion of your brand name

Business Logo

Discussion

Figure 2.1
Business Logo

Figure 2.1 shows the business logo of ABC Company. (Discuss the

features and significance of it (color, design, etc)

Packaging and Label Design

Define packaging and label design. Discussion of the packaging material

and label design to be used.

 POLYTECHNIC UNIVERSITY OF THE PHILIPPINES viii

Figure 2.2
Packaging and Label Design

Figure 2.2 shows the….. (Describe the packaging and label design in
words)

Price

Present/discuss how price is determined. The basis of pricing the product

or service. Show and discuss computation of selling price for example Cost +

mark-up.

Table 2.9
Selling Price of Mushroom Chicharon

Particulars    Price Per Unit

Direct Material Used/Unit Php40.02
Labor Cost/Unit 12.57
Factory Overhead/ Unit 10.56
 POLYTECHNIC UNIVERSITY OF THE PHILIPPINES ix

Total Cost/Unit 63.15

Markup to Retailers 58.35% 36.85

Selling Price for Retailers 100.00

Mark up to consumers 20% 20.00
Selling Price to Consumers Php 120.00

What makes you competitive in terms of pricing (add competitors’ price)

Size of product with competitor should be the same

Table 2.10
Related Price of Competitors
Competitors Location Price

Pavia’s Mushroom Santo Tomas, Batangas

Chicharon Php 120.00

Jalee’s Mushroom Chicharon Indang, Cavite 175.00

Agape Mushroom Chicharon Bay, Laguna 120.00

Place/Channel of Distribution

A set of interdependent organizations (intermediaries) involved in the

process of making a product or service available for use or consumption by the

consumer or business user. Direct or Indirect marketing channel. (See example

figure 2.3) Specify and justify target retailers if indirect marketing channel will be

used; should answer who will deliver, when it will be delivered, how and how

much. If direct marketing channel will be used, comprehensively discuss the

service blueprint/process, equipment/materials, design/cost of stall, labor. Include

a figure for channel of distribution.

 POLYTECHNIC UNIVERSITY OF THE PHILIPPINES x

Manufacturer

Retailer

Consumer

Figure 2.3
Distribution Channel

Figure 2.3 shows …. (Discussion)

Promotions

Discuss in detail each of sales and promotion strategies to be used for

the product. Some examples are Advertising: A paid, impersonal mass

communication with a clearly-identified sponsor. Sales promotion: Demand-

stimulating activity designed to supplement advertising and facilitate personal

selling. Personal selling: The direct presentation of a product to a prospective

customer by a representative of the selling organization. Public relations: A

planned communication effort by an organization to contribute to generally

favourable attitudes and opinions toward an organization and its products.

Publicity: A special form of public relations that involves news stories about an

organization or its products. Add a Promotion Mix Strategy table (see sample),

should answer what, who, when, where, how and how much. Flyers, tarpaulin,

free radio ad, join trade fair/exhibit, internet marketing (social networking sites),
 POLYTECHNIC UNIVERSITY OF THE PHILIPPINES xi

product launch, freebies, buy1take, stickers Include illustration of some

appropriate promotion materials to be used.

Table 2.11
Promotion Mix Strategies

What Who When Where How Budget

1.Flyers 3 days Malls like Bay It will be P1,500
before the City Mall, distributed
500 units
operation Citimart and to different
Excel Toms individuals P3.00/unit
and streets going to
where most malls and
people are on streets.
passing
through.
2.Free This will Malls like Bay The P2,000
start on the City Mall, proponents
Taste 500
day the Citimart and will
proposed Excel Toms, produce persons
product will public sample
Target
introduced. markets, and products
This will be even to and cut
distributed different into small
within two schools. servings
days. for free
taste.
3.Internet 10 days Facebook This site P500
Marketing before the Sulit form the
Standard
operation context for
User
a firms
(Blog)
history,
The
mission
proponents
and
will used
products.
blog
Well
to
design site
advertise
will be
our
done by
product.
the
The
proponents
proponents
to attract
will use for
 POLYTECHNIC UNIVERSITY OF THE PHILIPPINES xii

customers. a more
Interesting budget and
information it will link
will be to
updated Facebook
regularly to and Sulit.
prevent
staleness
and
encourage
return
visits.
4. 5 days Supermarkets It will be P1,500
before the like Bay City posted to
Tarpaulin 5 units
operation Mall, Citimart streets
and Excel where P300/unit
Toms, there are
retailers in many
public people
markets and passing by
streets where and it will
most people also place
and vehicles at the
are passing delivery
through like vehicle of
Traders and the
Lawas. company.

On the day
5. Product P5,000
the NewBiz
Launching proposed Manufacturing
product will Enterprise
be
introduced.
This will
start with
ribbon
cutting in
the
enterprise
and
introduce
the newly
proposed
 POLYTECHNIC UNIVERSITY OF THE PHILIPPINES xiii

product.
TOTAL Php 10,
500

Marketing/Selling Expenses

Marketing strategies are essential for the product to have an impact to the

market. In order for this to happen, marketing and selling expenses are to be

incurred by the enterprise which is expected to be offset by the advantages that

the firm will subsequently benefit.

Table 2.12
Marketing and Selling Expenses

Particulars Total Cost

Free Taste Php9,250.00

Tarpaulin 2,150.00

Flyers and Stickers 1,500.00

McJ Hamelda Sweet Ham-dog kay Bulilit 2,500.00

Feeding Program

Delivery Expenses 24,000.00

Total Marketing and Selling Expense Php39,400.00

In addition to the cost cited above, the firm will pay P 2,000 per month for

hiring a service vehicle. Cost will be charged as delivery expenses. The cost of

the product label (sticker) will be treated as part of indirect materials.