UNIVERSITI KUALA LUMPUR OF BUSINESS SCHOOL

MARKETING MANAGEMENT

(EIB 10803)

MARKETING PLANS DEVELOPMENT

PREPARED BY:

NO. NAME ID
1. SITI SAKINAHATIQAH BINTI JUMA’AT 62212220184
2. NUR AISYAH BINTI IBRAHIM 62212220074
3. NOOR SYAZANA BINTI ZAIDI 62212119182
4. NUR HUSNINA BINTI AMIRUDDIN 62212119176
5. ANIS NADHIRA BINTI AZMAN 62212220022
6. ALYANA BINTI MOHD SHUKRI 62214220243
7. SUMATA HAQUE PURNON 62212220307
8. NUR IZZATI SARA BINTI MOHD SUKRI 62212220076

PREPARED FOR:

SIR ARMAN BIN AHMAD

 1. TABLE OF CONTENT

NO CONTENT PAGES

2 2.0 EXECUTIVE SUMMARY 1

2.1 Company Background 2

2.2 Company Ownership 2

2.3 Area of Operation 3

2.4 Product 3

2.5 Company’s Value 5

2.6 Mission, Vission and Values 5

3 3.MARKETING ORGANIZATION 8

3.1 Overall Company 8

3.2 The Marketing Department or Section 8

3.3 Marketing Department Human Resource Deployment 8

4 4.0 Brand Situational Analysis (Brand Scanning – critical 9

Issues/ challenges facing the brand)

4.1 Micro
9
4.2 Macro
10
4.3 Market Analysis
11
4.4 Consumer Analysis
13
4.5 Competitor Analysis
14

5 5.0 Brand Marketing Objectives 15

5.1 Brand mission 15

5.2 Brand Product objectives 15

5.3 Brand Pricing objectives 15

5.4 Brand promotional objectives 15

5.5 Brand placing and distribution objectives 15

 5.6 Brand relationship marketing objectives 15

5.7 Brand sales objectives 16

6 6.0 Brand Marketing Strategies 17

6.1 Brand Market strategies 17

6.1.1 Market segmentation strategies 17

6.1.2. Brand positioning strategies 18

6.2. Brand Product strategies 18

6.2.1. Brand Name strategies 18

6.2.2. Brand differentiation strategies 18

6.2.3. Packaging strategies 19

6.2.4. Labeling strategies 20

6.3. Brand Pricing strategies 20

6.3.1. Pricing strategies at introduction stage 21

6.3.2. Pricing strategies at growth stage 21

6.3.3. Pricing strategies at maturity stage 21

6.3.4. Pricing strategies at declining stage 22

6.3.5. Price adjustment strategies communication 22

6.3.6. Payment methods 22

6.4. Brand Promotional strategies 23

6.4.1. Promotional objectives 23

6.4.2. Promotional strategies 23

6.4.2.1. Advertising strategies 23

6.4.2.2. Sales Promotion strategies 24

6.4.2.3. Public Relation strategies 24

6.4.2.4. Interactive marketing strategies 25

6.4.2.5. Social media marketing strategies 26

 6.4.2.6. Integrated marketing promotional strategies 27

6.5. Brand Placing and distribution strategies 29

6.5.1. Channel design strategies 29

6.5.2. Channel distribution members selection strategies 31

6.5.3. Channel relationship strategies 32

6.5.4. Channel distribution strategies 32

6.5.5. Channel conflict management strategies 33

6.6. Brand Customer relationship strategies 33

6.7. Potential competitors and competition strategies 35

7 7.0 BRAND ACTION PROGRAMS 37

7.1 The implementation plans 38

7.2. Action plans for product 38

7.3. Action plans for pricing 38

7.4. Action plans for promotion 38

7.5. Action plans for placing and distribution 39

7.6. Action plans for relationship management 39

8 8.0 FINANCIAL STRATEGIES FOR THE BRAND 40

8.1 Financial Objectives 41

8.2. Funding Category 41

8.3. Key Components of Financial Forecast 42

8.3.1. Revenue forecast for 12 months and 5 years 43

8.3.2. Cost forecast for 12 months and 5 years 44

8.3.3. Projected Profit and Loss Statement for 5 years 46

8.3.4. Projected Balance Sheet for 5 years 47

9 9.0 CONTROLS 48

9.1. Product strategies adjustment plans 48

9.2. Pricing strategies adjustment plans 49

9.3. Promotional strategies adjustment plans 50

9.4. Placing strategies adjustment plans 51

9.5. Customer strategies adjustment plans 51

9.6. New product development plans 52

10 10.CONCLUSION 53

11. 11.0 REFERENCES 54

 EXECUTIVE SUMMARY

2.1 Company Background

The Boom Beverage Sdn Bhd (Company Registration No.91801D) is a registered in

Malaysia company business under the Companies Act 2016 and having its
registered address at No. 22A-3, Jalan 17/54 Section 17, 46400 Petaling Jaya,
Selangor. The company’s business is selling sparkling juice.

This marketing plan targets to increase the sales of Hausboom Sparkling Juice by
20% and hence gaining a net profit of RM472,000.00 in the year 2018. Thus, there
are few strategies that needs to be taken into account in order to analyze the
marketing plan. Such strategies will going to touch on 5 elements which includes
product, price, positioning, promotion, and distribution. Hausboom was founded in
2014 by three founders, Azri Zaheri Azmi, Zaid Hurairah and Errwan Haddie Arshad
under The Boom Beverages Sdn Bhd. Begin with only about 150,000-bottle of unit
production capacity per month, Hausboom had moved to the new facility at Besut,
Terengganu with German and Italian technology machines with a production
capacity of 2,000,000 bottles per month. The best fact about this company is, they
also practices Good Manufacturing Practice (GMP) and has been awarded the
HALAL certificate from JAKIM.

Amazing part of the Hausboom establishment was about how they created the brand
name. The founders were simply planning to make a drink that taste so good. They

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also admired the delicious sparkling juices common in Europe and decided to bring
that fresh bright looks to Malaysia. The definition behind the Hausboom name is
actually how the Malaysian expresses their feeling of thirsty with words (‘’haus’’).

Within just one year of commercialization, Hausboom is now successfully sell in 7-

Eleven, MyNews, Petronas Mesra, Shell Select, Petron Treats, Aeon, and thousands
of mini markets, restaurants, cafes and even hotels in Malaysia. Interestingly,
Hausboom can also be founded oversea by the other countries such as China,
Brunei, Maldives, South Korea, Sri Lanka, Yemen, Oman, Timor Leste, Seychelles,
Japan, Indonesia, Singapore and Mongolia. This fact has grant Hausboom the tittle
of the fastest growing beverage in South East Asia.

2.2 Company Ownership

Azri Zahier Azmi

Azri Zahier Azmi is the owner of the Hausboom Sdn. Bhd. Back then, this business
was managed with the other two founders who are Zaid Hurairah and Errwan Haddie
Arshad. Now as the other two already left the company and started their own
business, Azri handles the company by himself which means the percentage of
ownership is all giving to him.

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2.3 Area of Operation

Hausboom targets to operate at all area in Malaysia. This aim already been
sucessfully turns into reality as the hausboom served many of the convenience store
like 7 Eleven around this country.

As the aim already reaches the goals, Hausboom is now focusing to develop the
business outside the Malaysia too. The best part of this aim is, they already reach till
oversea when Hausboom can also be found all around the world such as China,
Brunei, Maldives, South Korea, Sri Lanka, Yemen, Oman, Timor Leste, Seychelles,
Japan, Indonesia, Singapore and Mongolia.

2.4 Products offering

Hausboom provides the customer with ten different flavors and each one of them are
very tasty. Just like the tagline “Haus” in Malay means thirsty and when you take that

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first sip of Hausboom, your taste buds will go BOOM! .“Here are the flavours that
they served:

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2.5 Company’s value proposition

Every great company has their own difference that could make them sustain longer
than the other company. So does The Hausboom because they dare to be different
with having the unique taste of drink which is juicy drink but mixing it with the sparkle
taste. Interestingly, Hausboom is a sparkling juice beverage made up of 10 different
fruity flavours.

The other difference that Hausboom brings is when they invented the Boom energy
shot. Boom Energy Shot is an instant energy and immune booster. With just one
shot, we can increase the focus and concentration. The other amazing factor from
this energy booster is it can be mixed with the ordinary flavor that they served. They
also available with the pocket size which we can easily get from the convenience
store.

2.6 Mission, vision and values

Hausboom surely has their own mission and vision to achieve. Here is their
mission:

Hausboom wants to be one of the company which can sustain in the international
level and bring the brand wider at the worldwide market. They also wanted to
produce another kind of beverages such as coffee and isotonic drink.

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We can see from 2014 that they are slowly going to reach the goals of their mission
as there are many countries that already known and aware with this brand. The
consumer of this product also shows them the huge support when they were
voluntarily updated about this product through their own social media.

Hausboom is a rapidly rising beverage business with the goal of developing and
growing a presence in the Asia Pacific region and strengthening our role in the
competitive global beverage industry. We are tastemakers and we plan to broaden
our product offerings by adding new flavors steadily, always with our limit of real
fruits.

For the vision, refer to the Azri Zahier Azmi, he said that he was enthusiastic about
how things are turning out, Azri remains firm on one thing.

“We will always make sure that we are different from the rest, in anything that we
do.”

In order to be that prestigious company, Azri wants to be different that the other
company so that they will remain compitable for the rest of competitiors.

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We are now looking for the values that Hausboom provides to us which they said
that it’s not just a drink but a lifestyle. Within less than half a decade, both nationally
and internationally, Boom Beverage's Hausboom product, a sparkling real juice
drink, has made waves. Hausboom crossed more than 3,000 shops, convenience
stores, and cafes within seven months of commercialisation. They are also being
exported throughout Asia and Europe to eight countries.

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 3.Marketing Organization

3.1 Overall company (The Company Overall Organizational Chart)

TOP MANAGER: AZRI ZAHIER AZMI

ASSISTANT MANAGER

TREASURER

PRODUCTION MANAGER FINANCE MANAGER MARKETING MANAGER

MANAGER

THE TEAM

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 4. Brand Situational Analysis (Brand Scanning - critical issues/ challenges
facing the Brand)

4.1. Micro - Internal environment (strengths/weaknesses) analysis

STRENGTH

1. 100% real sparkling juice and already certified halal by JAKIM.

As for the mission, Hausboom even already target to be one of the
international company which served 100% halal juice. They proved it right
when JAKIM already confirmed that all beverages produced is halal.

2. Product reasonable and affordable for all ages.

There is no substances that will harm anyone such as alcohol inside, so it will
be suitable for all age to drink it.

3. Viability and existence product on convenience stores.

The existence of this product at the convenience store make it easy for the
people to purchase as we know that most of the people love going to the
nearest convenience store such as 7 Eleven.

WEAKNESESS

1. Brand new developed company

We do know that when a company just begins their business it might be
problems towards the financial. Hausboom needs to get ready in order they
might face lose one day.

2. Low brand awareness.

This new company must work hard to make their brand recognize in the
international level. Lots of sacrifice needs to be done by the organization.

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 4.2 . Macro - External environment (opportunity and threat) analysis using
PESTLE

Company level of success is influenced by factors operating in its internal and

external environment. Thus, a PESTLE analysis is used to recognize the external
forces affecting an organization in the context of Macro Environment. The followings
are the analysis explained according to Political, Economy, Social, Technology,
Legal and Environmental affecting the business.

Political

Any pressure groups would have to seek re-election every few years in a cyclical
political climate to ask for a change in government policies. Since Malaysia is
currently putting pressure on public health awareness, any product containing sugar
and other unhealthy ingredients will be affected in terms of its sales, thus affecting
Hausboom’s product sales as well.

Economical

The rate of inflation is predicted to increase by the year 2020 because of the
pandemic Covid, according to the latest market research. In addition, the growth rate
of real GDP is also projected to rise from 4.2 percent in 2016 to 4.5 percent in 2017
from 4.2 percent in 2016 and also the unemployment rate is expected to be at 3.3
percent -3.4 percent at the end of 2017, which is a decrease of 0.1 percent from
2016. It is in favor of the Hausboom company on the basis of this study, since there
is an incentive for an improved future buyer of the goods and a rise in the net profit
margin afterwards.Since the pandemic will affect the netizen as well, Hausboom
should find the strategy to make this beverage still relevant and affordable.

Technological

The way corporations work has been profoundly changed by technological

advancements. It has created a culture that has the expectation of an immediate
outcome. In return, the presence of social media as a new standard of
communication and marketing would boost visibility of the product and be useful in
providing customers with customer service. Hausboom is using the advantage of

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channel like instagram, twitte, and facebook as the platform to create this brand
awareness.

Legal

As for this part Hausboom should follow the rules or the food and beverage’s
production. For that, Hausboom should get certificates from JAKIM. Luckily the best
part is Hausboom is recognized by The Malaysian Islamic Development Department
(JAKIM). This recognition brand already ensures that Hausboom comply with the
Halal standards and regulations set by JAKIM.

Environmental

Hausboom provided the great packaging for their beverages. This is because
wehenever purchase this beverage they could have recycle the bottle or use it as the
tools to keep their belonging such as pencil and pen.

4.3.Market Analysis (using 5 Porter’s forces analysis, market structure, market

size, market segmentation)

1. Threats of new entrants.

In order to ensure consumer recognition of the product, established customer loyalty

to major brands would be difficult for the company. We are, however the only local
brand available and manufactured in mass production in Malaysia. The cost of
making the product is just RM1.20 and up to RM5.00 per bottle is sold. New
businesses joining the organization would have the ability to manufacture similar
goods at a reasonable rate. The GMP and Halal criteria enforcement process is
cumbersome, making many businesses opt to ignore the same compliance. The
above review indicates that the threat of a new entry is mild. The variables make it
reasonably favorable for the industry, but it may not be a major threat.

In Malaysia and outside Malaysia, this is because the commodity is relatively solid.
Although the cost of producing these beverages is competitively low, the product as
a whole is strong because it has complied with the requisite GMP specifications and
obtained HALAL certification.

2. Power of suppliers

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As Hausboom’s sparkling juice product is focused on fruits and not specific
ingredients that cannot be found elsewhere, there is no input distinction. Raw
materials are easy to get.The cost of switching is moderate as Hausboom has a
personalized contract term and condition that will place the termination fee on the
party that wishes to terminate the current contract.

3. Power of buyers.

Stockists and distributors buy the product in large quantities to sell it in restaurants
and grocery stores. Increasing the price of our product would influence consumers'
purchase decisions. The market has many substitute inputs available.Since buyers
have other goods to choose from the study showed the strength of buyers is high.

4. Availability of substitutes.

As there are many range drinks on the market, customers have a high tendency to
substitute.In the product listing category, the price of our product is comparatively
more favorable compared to other rivals. There are low switching costs for the
customer to turn to another similar commodity.In the soda industry, there are plenty
of alternatives. Where there are several product forms are available to be chosen by
the consumer.

5. Competitive rivalry.

There are several existing products on the market that are close to Hausboom’s
products and several existing brands that offer the same products on the market.
There are a number of new beverage products introduced on the market. Due to the
large investment in R&D to create the product, the cost of setting up the company is
high. The way Hausboom aggressive promotion, the brand identity in the market is
relatively high. Thus since Hausboom’s brand is not distinct from others, the market
rivalry is mild.

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Market structure

Hausboom is categorized as the monopolistic competition. This is because

Hausboom has low barriers to entry. Plus, this fim is serving the differentiate
products in the market. However, being the monopolistic company will make
Hausboom got the less profit than the monopoly company.

Market size

The size of this market is depends on the consumer of this Hausboom. Hausboom
seems has the bigger size market as the target market is wider because this product
is reasonable and affordable to the most level of age out there.

Market segmentation

For the geographic segmentation the area of market is very strategic because
Hausboom already putted the target all around the Malaysia and even widening it to
the other country.

For demographic, Hausboom also make it great because this is the universal
beverage where everyone from the different gender and age can taste it well.

4.4 Consumer Analysis

ENVIRONMENT AFFECTIVE BEHAVIOUR

COGNITIVE SYSTEM

PRICE PRICE ELASTICITY PERCEIVED VALUE FUND ACCESS

PRODUCT BRAND AWARENESS SATISFACTION BRAND FIDELITY
PROMOTION AD SATURATION AD PERSUASION AD FREQUENCY
PLACE PUSHING STORE IMAGE REPEATED
PURCHASE
PHYSICAL EVIDENCE SERVICE TANGIBILITY SERVICE APPERANCE SERVICE PURCHASE
INTENTION
PROCESS KNOWLEDGE CUSTOMER VALUE KNOWLEDGE
ACQUISITION CREATION TRANSFER
PEOPLE WORD OF MOUTH CUSTOMER DRIVEN KNOWLEDGE
ADVERTISING ATTITUDE INTEGRATION

As for the price, Hausboom served the consumer with very affordable price plus the
product itself can be recycled so it is an eco-friendly product. The place for the
product also is very strategic as it located at the convenience store and will make

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people easy to get anything from the product. This factor can influence the consumer
to repeat the purchase. For the promotion part, Hausboom is using the channel as
their platform to grow bigger at the market

4.5 Competitor Analysis

Every establish companies need to bear at their mind that they need to compete with
others who are doing the same types of business in the same field as them.

Hausboom Spritzer
Company Profile Founded 2014. Offers Founded 1980. Offers
training and engage in stimulating and
Company opportunities that align cooperative working
Highlight with Hausboom’s brand. environment to excel
Key Competitive Innovation and strategic Sustainable and
Advantage planning. organizational capability
Target Market Every level of age that can No age prohibited
drink the sparkle juice. because everyone can
Market taste the drink. Spritzer
Information provides mineral water.
Marketing Strategy Huge promotion through Offers job vacancies
the social media and has many positive
words of mouth
Products & Services Variety types of sparkling Variety types of
Product juice beverages including
Information mineral water
Pricing Reasonable Affordable
Distribution Channels Multichannel, direct and Own retail store, online
online stores store and direct
Strength Viability product on Strong brand and
SWOT convenience stores extensive product line
Weakness Analysis Low brand awareness Wide competition
Opportunities Information 1st local sparkling juice Stable financial because
brand in Malaysia already sustain for long
in the market
Threats Trade secret – leak to Natural disaster
third party

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 5.Brand Marketing Objectives

5.1 Brand mission

The fast-growing beverage company aims to develop and expand its presence in the
Asia Pacific region and to enhance its presence in the competitive global beverage
industry. We are tastemakers and we plan to broaden our product offerings by
adding new flavors steadily, always with our limit of real fruits.

5.2 Brand product objectives

The create the demand for premium, halal, carbonated drinks containing real fruit
juice, aimed at the active and health-conscious youth demographics, was created to
fill the void.

5.3 Brand pricing objectives

To make sure the consumer can afford to buy and taste the great innovation of
sparking juice with the reasonable price.

5.4 Brand promotional objectives

Huge effort on promoting the product through all the social media especially the one
that use by lots of teenagers such as Instagram and tiktok. This effort is aim to make
the brand awareness is getting wider among the target market.

5.5 Brand placing and distribution objectives

Putting the products at the convenience store to make it easy to reach the customer.
People who crave for the taste can directly purchase it at the nearest convenience
store.

5.6 Brand relationship marketing objectives

All of the members need to be pro with all the steps in brand relationship marketing
in order to make it easy for the company to grow bigger.

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5.7 Brand sales objectives

Using the specific date such as 11.11 to make everyone gets the enthusiasm feeling
to purchase the product. People can also make a deal to buy in a huge amount
during that date.

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 6.0 Brand Marketing Stategies

6.1 Brand Market Strategies

6.1.1 Market Segmentation Strategies

Starting out with very little capital, Azri would mix the drinks himself by hand.
As the business grew, he was then able to purchase bottling machinery from
China. Now, with a plant in the eastern state of Terengganu with a capacity of 2.5m
bottles a month. Azri exports the Hausboom brand to countries in Asia and
Europe with futher 22 markets pending registration.

The name of Hausboom comes from the Bahasa word “haus” where the
meaning of the word is thirst. Available in 6 flavours, it is marketed primarily to
16 to 25 yearls old urban dwellers and young executives as a lifestlye brand.
The flavours which are mango, strawberry, guava, blackcurrant, lychee and
lemonade are made from a real and concentrated juices. The Hausboom were
designed to be acceptable in all regions where Hausboom is sold. There are plans
to introduce region-specific flavours as new markets open, such as pomegranate
for Gulf countries and pineapple in Southeast Asian territories. Azri said the
Hausboom brand has three characteristics – lifestyle, young and fresh. The
target segments are divided into four:

 Primary One – 16-24 years old

 Primary Two – 24-35 years old

 Secondary One – 6-12 years old

 Secondary Two – Above 35 years old

To suit everyone, each target audience will have a different brand image to
portray the brand message. The Primary One/Two approach will feature images
such as the skateboard graphics or “kustom kulture,” a neologism used to describe
the artworks, vehicles, hairstyles, and fashions of those who drove and built
custom cars or motorbikes.

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 6.1.2 Brand positioning strategies

In Malaysia, Hausboom can be purchased at 7-Eleven, AEON, Kedai Mesra

Petronas, Shell Select, Petron, MyNEWS and over 1000 outlets, cafes, and
restaurants nationwide as of August 2019. Besides Malaysia, you can also get
Hausboom in China, Brunei, Maldives,South Korea, Sri Lanka, India, Yemen,
Oman, Timor Leste, Japan, Indonesia, Thailand, India and Singapore.

6.2 Brand Product Strategies

6.2.1 Brand name strategies

Hausboom is a play on the Malay word ‘haus’ meaning thirsty which is also
pronounced similiarily to the English word ‘house’. The name Hausboom
encapsulates the spirit of a homegrown Malaysian sparkling fruit drink brand that
provides a refreshing burst of energy. A swig of our juice to quench your thirst
and BOOM! – the energy to keep on going.

6.2.2 Brand Differentiation Strategies

The crew at Hausboom also love to push the limits in innovative and technology-
driven marketing. Never shy of fully utilising digital marketing to its advantage,
the company has used augmented reality (AR) technology to build awareness of
their campaigns and promotions.

Instead of just blasting the news out on social media platforms, they are
currently using the AR approach where customers can scan their bottled drinks
using their mobile phones and the app then shows them the current
promotions and campaign for the particular period or month. They have done
this successfully in their Buy1Free1 campaign with Petronas Mesra. Speaking
about creativity, a good eye for design is also one of Hausboom’s key
advantages.

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The company has received several awards and recognitions including Best
Malaysian Booth Design and Presentation at the Malaysia International Halal
Showcase 2018, and Best Packaging Bottle for both their normal design bottles
and limited edition bottles by Malaysia Good Design Mark. Azri says that to be
ahead of their competitors, they need to be agile.

A lot of consumers compare Hausboom with Barbican and other malt

beverages, said Azri, However, Hausboom is not like them because the
beverage contains real juice puree.The minimum juice content in each
Hausboom is 10-15%. Even though Hausboom has the look and feel of a
premium drink, the retail price of the 275ml drink is between RM 3.80 (USD
0.90) to RM 4.20, which is deemed affordable.

Hausboom, a Malaysia-based carbonated soft drink producer, has unveiled a

new carbonated soft drink with a unique roti bakar (toasted bread) flavour. The
marketing message is why eat when you can drink it. Hausboom Roti Bakar
Buttertoast is a limited edition product and comes with the butterscotch and
vanilla flavours. Roti bakar, based on our understanding, has a rich kaya or
buttery taste, but when it comes in the butterscotch flavour, it will likely
disappoint a lot of consumers. The 275ml drink is available at 7-Eleven at a
price of RM3.50.

6.2.3 Packaging Strategies

The Packaging of Hausboom

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 Hausboom can only be in a glass bottle because Azri said that the best
container for fruit juice is always a glass bottle." If Hausboom is in a can, "you
can't get the same taste and feeling." The company aims to develop other PET
bottle lines, but definitely not Hausboom.

6.2.4 Labelling Strategies

Logo of Hausboom Information on the label

Labels serve to capture the attention of shoppers as well as provide useful

information regarding the product. In some countries, many products,
including food and pharmaceuticals, are required by law to contain certain labels
such as listing ingredients, nutritional information, or usage warning
information. Label of Hausboom are attached on the product package to provide
information such as manufacturer of the product, date of manufacture, date of
expiry, its ingredients, how to use the product, and its handling. Label of
Hausboom are used a removable branded label. Thanks to senior graphic
designer Wan Farah and 6 various fruity flavors to choose from, with their
quirky doodled label, it seems like the team behind HAUSBOOM has found some
kind of sparkly gold, sparkling fruit juice gold, that is.

6.3 Brand Pricing Strategies

Boom Beverage Sdn Bhd set the price by following competition based pricing
because Hausboom is featured in the beverages industry, particularly trying to be
among the leading brands. Manufacturers do not quote list prices on beverages, and
the prices vary considering based on type of retail outlet. The retail price of the drink
is between RM 3.80 to RM 4.20 and the pricing method is by using cost plus
pricing.By using this method, the seller are more certain on the cost than the

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demand. This method is popular among the industry, which make the price
competition to become minimized. Thus, the sellers can earn a fair return on their
investment and demands will rise. Beyond the pricing strategy, costs and
competition strategies, Hausboom is also influenced by the internal and external
factors such as the marketing strategy and the nature of the market with the demand
and other environmental factors.

6.3.1 Pricing Strategies at Introduction Stage

The introduction stage is the first stage in the product life cycle where a company
tries to build awareness about the product or service in a market where there is less
or no competition. For Hausboom, their introduction drinks at the first stage RM3.80
until now. The product has been put in convenience store like 7-eleven with 2 years
wait for Hausboom to enter the convenience store.

6.3.2 Pricing Strategies at Growth Stage

The growth phase occurs when a product is gaining traction and discovering new
markets and customer demographics. Hausboom products prices is not expensive
and customers are able to buy it. That is why their products can grow faster and get
high demand. For example, Hausboom can produce with only 2.2 million from the
start and right now they could sell up to 340 million bottle drinks across the whole of
Southeast Asia.

6.3.3 Pricing Strategies at Maturity Stage

The maturity phase comes into effect when the growth of a product plateaus.
Hausboom has maturity phase that they waited for 4 years to expand their business
to Asian. They added more flavour to their drinks. The 4 years is the best time for
Hausboom to make money and they can reach till 340 million bottle drinks across the

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whole Southeast Asia because they have plenty of information about the
marketplace and the production costs are no longer an issue.

6.3.4 Pricing Strategies at Declining Stage

Hausboom has just produced drinks so they will only comes out with a new flavour
so the phase where the product that was initially hailed as groundbreaking starts to
become edged out by the market or better products within the market.

6.3.5 Price Adjustment Strategies Communication

Hausboom has adjust their communication on online website which is

hausboom.com, customers can contact them via their online website.

6.3.6 Payment Methods

Hausboom has website that customers can order their drinks on online. On online,
Hausboom offer standard shipping for all order made in Hausboom online store. The
payment methods that been use is credit card. Hausboom use flat rate shipping of
RM8.00 for all order.

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6.4 BRAND PROMOTIONAL STRATEGIES

Promotional strategy is the main key to set your brand on the market, build
awareness of the products and services that your brand would offer and how it can
benefit them if they choose you. There may be some brands would attempt to offer
the exact identical products and services as we do. Hence, that is why we should
use suitable promotional strategies that can influent and attract more potential
consumers who would buy our products than other brands.

6.4.1. PROMOTIONAL OBJECTIVES

Firstly, to stimulate demand. This is the main objective in promotional marketing of

any brand as it can leads from possible buyers to real buyers. With introducing the
main benefit of the product, Secondly, to inform consumers. The main goal is to
inform consumers about out features products, qualities, benefits, price, and
availability of branch products. Thirdly, to persuade consumer meaning that to
influence consumers on buying our products rather than

6.4.2. PROMOTIONAL STRATEGIES

Promotional strategies explains the strategies and plan of our marketing strategy to
widen our products demand. Promotional strategies act as a key role in the
marketing mix (product, price, placement, and promotion).

6.4.2.1. ADVERTISING STRATEGIES

Advertising strategies is in a form of non-personal presentation and promotion of

ideas, goods or services that we paid to the promoter that provided. Firstly, print
media such as magazines, newspapers and books. Moreover, broadcast media as
television and radio, network media such as wireless, telephone, satellite and cable.
Thirdly, display media for example posters, signs and billboards. Lastly, electronic
media as videotape, videodisk, web page and CD-ROM.

23
6.4.2.2. SALES PROMOTION STRATEGIES

A range of reason to temporary motivate consumer for trial or purchase our products
or services that includes consumer promotions for example coupons, samples,
premiums, rebates and price packs. Trade promotion includes advertising, display
allowances and demonstrations. While business and sales force promotion, an
example of contest that made for sales representative who would manage to make
sales in a high amount of period time given.

6.4.2.3. PUBLIC RELATION STRATEGIES

Public relation strategy benefits sellers to plan and give useful strategic actions that
can perform towards targeting the same goal. An excellent strategy will direct
business and able to outline the strategy in precise words. Here are some potential
public relation strategies that can direct your business to achievement.

Firstly, know your audiences. We need to know who would be our target audiences
so that we can focus mainly to the specific target. By understanding and segmenting
our audience, we can reach them easily such as social media, events and
networking events. Not all the audience is the same. By focusing our main target
audience, we can easily attract them and be more close to our consumer. Our
hausboom product, we would be focusing on teenagers, housewives, students and
families as our target audience. As each of the target audience, have different
perceptions and our content would surely have our audiences in mind.

Secondly, define goals and objectives. By setting up our goals and objectives, it can
benefit us to a clear certainty of our business journey. Furthermore, it can help
resolve which suitable audiences we need to reach, also which messages and
techniques that are possibility to help accomplish our business goals. The necessary
required for objectives are amount of three only to assure preference as many
objectives can lead to weaken and impose to decide which strategy to put first.

Thirdly, insights and research that which consist of data or surveys, reports and
analysis of the business. A good strategy placed by insights and research, along with

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insights question regarding the business, the target audience and the industry. A
clear strategy can be see formerly after the research has completed.

Fourthly, the next action to do is to develop communication tactics which the actions
and the route that will be used that are persistent with the strategy. The public
relations expert or department would work together into agenda, that any other
marketing reports while outlining the tactics. Using the PASO model can be consider
to guide which medium to use.

PESO model: Paid, Earned, Shared and Owned Medium

Lastly, measurement. Measurement is the major thing in public relation strategies as

business objectives will only then can fulfilled. For example, the activity that been
invested of the return and results.

6.4.2.4. INTERACTIVE MARKETING STRATEGIES

Firstly, we would use interactive storytelling. This interactive strategy consist of

content on marketing the product to be more influential such as putting more
infographic or animation to advertisements or blog post that includes of storytelling to
make it more interesting for consumer to watch or read. Moreover can also add

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some videos, audio clips, text distribution and collective fundamental that consumer
can share and learn more information.

Next, personalized content that control modern technology to rise the number of
insights of consumers’ geographic, demographic data, personal info and relevant
content. We can create the best experience to our consumers as we learn and
understand their interest. By having this kind of meaningful experiences, they can
relate to the content more and share their thoughts.

Thirdly, layered information is about the information of the products that consumer
can read and understand about a specific products that they are interested for
example ingredients, quantity of the product, how to store, how to use, benefits,
company background, price and many more. All of the information can be find in our
hausboom website in just a click away.

Lastly, would be two-way interactions. This is a method where we motivate

consumer to participate in an interactive occasions such as pop quiz, games at
branches, competition and even making interactive videos can contribute to a great
experience for consumers.

6.4.2.5. SOCIAL MEDIA MARKETING STRATEGIES

The first social media marketing strategies that we would use is social media content
planning. We need to have a planner of content we would want to share on the
social media. Without a proper content plan, we could not target our audience and
obtain the number of engagement that we want.. Secondly, great social content. Our
hausboom already made a proper content planner to made for every day in a year.
So that we can achieve a high number of engagement from consumer, also deliver
fun content to make our consumer or audience entertain. For example, interesting
images of our products, videos, infographics, benefits and more.

Third would be a consistent brand image. Social media is an incredible platform that
implement our business to forecast our brand image to any time of social media
platforms in just a click. Next social media marketing strategies is content promotion.
It can be in any platform such as blog, Facebook, Twitter and many more. These

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platforms are a good site where sellers can share their contents and readers. When
we have the number of huge following in social media, we can create a loyal
customer. By giving great content we can also build up more followers all over the
world.

Moreover sharing curated links is also one of social media marketing strategies. We
can share some valuable info to our consumer just by sending the links of the
information can attributes to create your own unique, original content to get more
followers and opportunity to outsides articles. Sixth, tracking competitors. It is an
advantage for us if we can track our competitor social media marketing technique.
While learning on their moves, we can also try to apply once in a while to see the
results but make it double the way.

Measuring success into analytics is important on your successfulness because we

would not know and learn what strategies that can improve and what is not. We use
google analytics to measure our social media marketing techniques as it is easy to
track and view the audience on each techniques. Lastly, social media crisis
management. Some days, our techniques may not work as we plan to be. This is
why we always need a backup plan to ensure that even a slight incident or situation,
we can still perform our marketing as usual.

6.4.2.6. INTEGRATED MARKETING PROMOTIONAL STRATEGIES

Here are some integrated marketing promotional strategies that our company
applies. Identify different marketing communication methods such as content
marketing, which making contents in blog, video marketing, pop-ups, website,
information content that can gain possible buyers connect with us and learn more
about our products before their decide to buy the products. Email marketing is a
method where we email our customers and audience news, sales, good deals and
events regarding our products so that they would not felt miss out on anything.
Moreover is social media marketing. With social media we can build relationships
between the brands and consumers to establish brand awareness and website
traffic. Email marketing and content marketing can utilize digital marketing on social
media to bring the target audience in a platform they spend time frequently.

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Thirdly, develop a marketing communication plan. The main item to be focus on are
audience. We need to identify our buyer’s demographic so that it will be easy for use
on which marketing methods are suitable. For example, baby boomers in age 30 –
59 years old can use Facebook platform while millennials in age 13 – 29 years old
can use Instagram, Twitter and texting. Each demographic segment are use in
different platforms. Next content is using the right content to speak to our audience
for a successful way and cadence is understanding the receive information that the
audience wants to receive.

Moreover, understand the customer decision-making process. It is important to

understand our customer decision-making process as only then we can help and
solve their problems. The five steps would be recognize a problem, search for
information, identify products and services that can solve the problem, choose which
alternatives they will buy and assess the after-the-sale experience.

Lastly, implement your marketing communication plan to obtain the results. The
steps are first calendar, use the calendar content on each day to organize our
campaign effectively. Second automation software which a software that can
implement our brand for the sales process. Third, analyze that can help our
marketing communication strategy accordingly and fast results. Fourth, stay on top
of trends that explains to keep on trend on the society so that new ways can use for
different strategy of the competitors.

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6.5 Brand placing and distribution strategies

Brand placing for Hausboom is the way Hausboom creates a brand name in the
market. It is also can be defined as a process of how customers make the
Hausboom brand in customer’s minds which is through the logo of Hausboom,
product, and services. Brand placing is allowing the company to differentiate from
the competitors while distribution strategy is a way for Hausboom to disseminate
product and services. It is vital to obtaining revenue and maintaining customer loyalty
to introduce the most successful distribution method for Hausboom company.

6.5.1 Channel design strategies.

Hausboom company channel design strategies require the development of the new
marketing channel which is a modification of the existing channels also includes
setting up all the Hausboom channel design strategies but we are following the six-
step of channel design strategies as Hausboom guided. There are six-step of
channel design strategies Hausboom following:

Step 1: Recognizing the need for a channel design decision

Hausboom company they are should be aiming an existing product like all the flavor
to exploring more market in the overseas. Hausboom needs to build a global brand
and aims for steady growth in the market.

Step 2: Setting and coordinating distribution objectives

The channel manager for Hausboom needs to setting up and coordinating

distribution strategies which are they need to ensure that their objective and
strategies are aligned with their main objective. They also need to check for
congruency of the objective whether they are not in conflict with other areas of the
marketing mix.

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Step 3: Specifying the distribution tasks

The role of the channel manager is to define distribution functions or activities.

Hausboom managers need to be more particular and situationally dependent. The
types of activities needed to achieve specific distribution targets must be specified
specifically which is they need to distribute all the tasks given. For example,
Hausboom managers need to hire more workers and assign them a specific task.

Step 4: Developing possible alternative channel structures

For the company Hausboom, they should consider alternative ways of allocating
objectives to achieve their distribution task. The channel manager Hausboom needs
to choose more than one channel structure that reaches the target market effectively
and efficiently. However, they can also use alternative distribution channels where it
is most cost-efficient because they just need to direct connection between the travel
supplier and distributor.

Step 5: Evaluating the variables affecting channel structure

Channel managers for the Hausboom also need to evaluate several variables to
determine how they are likely to influence various channel structures. There are six
basic categories are most important they need to evaluate which is market variable,
product variable, company variables, intermediary variables, environmental
variables, and behavioral variable.

Step 6: Choosing the “best” channel structure

The channel manager Hausboom should choose an optimal structure that would
offer the desired level of effectiveness in performing the distribution task at the
lowest possible cost. Choosing the best is not possible, they need to identify all the

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problem and knowing all of the possible alternatives to make sure the structure
became successful.

6.5.2 Channel distribution members selection strategies

The channel distribution members are the last phase of channel design.
Selection decisions can also be made independently of channel design decisions
when new channel members are added to the channel or when those who have left
are replaced. Only those manufacturers who sell directly to users are not faced with
the selection of channel members. There are three-step strategies in the selection
channel distribution process.

1. Finding prospective channel members.

The most important source to find prospective is someone is expert in their
field especially who are have many experiences in channel distribution and
also someone willing to sacrifice to achieve a goal but in return, both of
parties will get the same benefit. For example, Hausboom needs to know
where their suitable prospective channel members are, they can also get
through sales organization because in the company salespeople always have
connections and information about their customers maybe some of customer
will be pontential of channel members. However, trade sources such as trade
associations and trade publications also can be sources of finding prospective
because they are also having valuable sources of information about potential
prospective channel members.

2. Applying selection criteria to determine the suitability of prospective channel

members.
After finding suitable prospect channel members, Hausboom needs to know
how to applying selection criteria to the prospect channel members. Firstly,
they need to create a list of the criteria that are applying. Hausboom also
needs generalized criteria that are needed which are based on their sales
strength. For example, they need to know their sales strength in the
Hausboom. Hausboom not only focusing on Malaysia but they are already
entering the overseas market. In the objective sales for the Hausboom, we

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 want to use a specific date such as 11.11 because we wanted to make more
sales on that date and make our customers get the enthusiasm feeling to
purchase the Hausboom product.

3. Securing the prospective channel members as actual channel members.

It is important for securing the prospect channel members after finding a
suitable perspective because we want to make sure that we are dealing with
the right partnership. The channel manager for Hausboom needs to deal with
prospective and securing the channel members. For example, they need be
specific with the channel member prospective which is know all the
manufacturer can give what kind of support and assistant they will be offered
to partnerships.

6.5.3 Channel relationship strategies

The purpose of channel relationship strategies for Hausboom is we want to find

a partnership that wants to be achieved the same common goals. Firstly, we create
strategies to make it easier for Hausboom following to produce. Hausboom also
wants to have a relationship with a partner who is willing to sacrifice their effort to
make it business Hausboom will become successful. The structure of Hausboom
design strategies is already developed by following the step of channel design
strategies which is we also want to make sure that Hausboom channel members to
be as efficient and effective as possible after following the procedure. However, we
also find that in channel relationships we need to always communicate with each
other because we do not want any misunderstood in the business. We also want to
hire someone willing to take responsibilities or a full-time job because we want to
make sure it will be run smoothly. The strategy also needs to ensure that the channel
relationship will become successful.

6.5.4 Channel distribution strategies

Based on the objective, Hausboom wants to put the product at the convenience
store to make it easy for Hausboom customer reach. Channel distribution strategies
for Hausboom understanding of demand which is through managing demand of the

32
product Hausboom. Usually Hausboom distribution the product to the convenience
store, mini market, restaurant, and many more. Currently, Hausboom also entered
the overseas market such as China, Brunei, Maldives, and others. We actually can
see demand through the achievement of the company but we need to understand
market demand also if they are not monitoring the inventory it will become a problem
because if retailers over purchase and do not sell, then the margin will take a major
hit. Using marketing in advance is a good strategy it is because nowadays people
are more attracted to marketing on social media. Somehow, Hausboom can be using
all social media such as Facebook, Instagram, Twitter, and TikTok doing more
advertising. They can use social influencers in social media to promote more about
product Hausboom. By that, we can use the pre-order strategy it is because it will be
easier to know the demand for Hausboom products. Based on that, we can know the
order quantity through pre-order because consumer already booking their product.

6.5.5 Channel conflict management strategies

There are so many consequences of channel conflict if company Hausboom is

not handled properly in the business it will become a problem for the company. In
channel conflict management there are ways how to manage the conflict which is we
can use through superior goals, Hausboom already has their mission, vision,
objective, and value by having the same superior goals with the channel partner we
can establish the goal to became successful. It will also reduce the conflict between
channel partners. However, regular communication will also help to reduce the
conflict it is because we know that what our channel members want and need. If they
are always communicated with each other they are will be solving a problem
together. By giving feedback through every meeting will give benefit to both parties.
Other than that, the legal procedure will also help to reduce the conflict because
when the problem is uncontrollable it will be a disaster for the company. For
example, one of the channel partners making a problem we can use legal procedure
and take legal action by filing a lawsuit against problem channel members.

6.6 Brand customers relationship strategies

Customer relationship is building through customer’s experience in process of

buying which is we can see through how sellers serve the customers. Based on that,
we can know how Hausbbom needs to create customer relationship strategies.

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There are many factors how to improving customer relationship and it also can
create as strategies in brand-customer relationship. The most important factor
providing excellent service to the customers because the customer will always be
satisfied if they give good service. It is a goal for every marketer if they have
successfully built trust with the customers because they already get customers to
trust the product.

Hausboom value them with every interaction which is creating appreciation gift,
give a coupon to redeem in the counter to get freebies after purchasing the product.
Reward customer who is loyalty with the Hausboom product. It will give satisfaction
for the customer purchasing product from Hausboom and also the customer will
always loyal to the product because they know that Hausboom always appreciates
their customers. Hausboom can also use technology nowadays which is to create
QR code to scan in the bottle and that link will be referred to the special website
Hausboom and in the website post every appreciation post to make it customer
happy. They need to create

Another strategy that will help to gain more loyal customers is to listen to
customers and respond. Customers are important in the business because without
the customer there are no sales in the business. Customer’s satisfaction is the most
important role to make customers stay loyal to the product. If a customer happy with
the service, the customer will always keep saying about the product it can also
create free marketing from the customer which through the mouth to mouth customer
will influence other people to the buyer the product that they been tried. To make the
customer always happy with the service we as sellers need to listen to every
customer feedback. For example, if customers Hausboom is not satisfied with the
product, we need to take action immediately by responding to them because we do
not want customers waiting. Take every feedback from customers for guidance
improving in the business.

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6.7 Potential competitors and competition strategies

Hausboom competitors are from the company Spritzer which is they are also
come out with the same product as Hausboom sparkle juice. Spritzer is an
established company that was founded in 1980. Since Hausboom was founded in
2014 they are new in the market they need to create a strategy on how to compete
with Spritzer companies that are already in the market for a long time. Spritzer
TINGE has their flavors such as grape, mango, lemon, and fruit fusion. However,
Hausboom has an advantage in offering many flavors than Spritzer TINGE but they
need to know how to compete with such a strong brand name. Refer to Picture 1 it
shows the competitors product from Spritzer TINGE.

Picture 1: Product of Spritzer TINGE

Strategies Hausboom can use to compete with Spritzer is they need to show to
the consumer that every consumer that has tried Hausboom will feel different from
any other brand. Hausboom can also use technology nowadays which through the
power of social media marketing such as Facebook, Twitter, Instagram, and Tiktok to
make it an awareness of the product. By building more follower on social media
account will improve the conversion rate and engagement of followers. The more
followers on social media it will create the business become higher in trust and
credibility of the brand Hausboom. Hausboom can create a campaign to promote the
product to increase brand awareness. In 2020, over 3.6 billion people are using
social media worldwide through that Hausboom can take advantage of using social
media as marketing tools to promote the product.

Another strategy to compete with Spritzer is to create the product in terms of

quality which is to create innovation of the product using new technology in drinks
that can attract customers. Other than that, Hausboom can also add a lot of benefits
to sparkle juice such as Vitamin C that can boost immunity in the body by that

35
consumer will be more attracted to the product because there have benefits of
drinking Hausboom sparkle juice. Hausboom can also create a new product line of
juice that suitable for kids which is the age from below 6 years old by that,
Hausboom can enlarge the market target and not only focus on the adult and
teenagers. However, these strategies will help to gain more trusted customers and
building the brand name of Hausboom. It will show that Hausboom advantages in
leading other brand products such as Spritzer TINGE.

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 7. Brand Action Program

7.1 The implementation plans

No Objective Action Timescale Who’s Responsible

1.  Able to introduce  To produce more January 2021  Leader of

Hausboom than 3 million Hausboom
products to bottles in a month  Designer and
worldwide to meet the Marketing Officer
markets. penetration.
 Always be able to  Produce good
maintain product and attractive
safety packaging for
customers as well
as make safe
packaging so as Jun 2017
to avoid damage
to the product.
2.  Set reasonable  Hausboom sell Since 2014  Leader of
prices with the product at the Hausboom
quality proposed retail
appropriate to the price of RM3
product. according to the
quality of the
product
3.  To reach sales  Do promotions for January 2018  Sales Officer
targets through every festival day  Marketing Officer
promotions and holiday.
 Give a freegift to
some of the
earliest
customers when
new product
come out.
4.  Make sales while  Engage in events At least once a  Financial Officer
serving the that involve the year  Leader of
community. community. Hausboom
 Provide food
sponsorship to
the community or
those in need.
5.  Review and  Prepare and Every end of  Financial Officer
control on the record all entries month  Leader of
financial side and withdrawals Hausboom
involving money.
 Review and
always alaert in
the financial
report on a
monthly basis.

37
 7.2 Action plans for products

The action plan for hausboom products is to produce more than 3 million bottles in a
month to meet the penetration of the hausboom market worldwide. The next action
plan is in terms of packaging. Produce good and attractive packaging for customers
as well as make safe packaging so as to avoid damage to the product. Hausboom
has planned the action for the packaging of their products using some features and
the features are before making the delivery of the product bottle will be placed in a
suitable box after that just wrapped with bubble warp for the safety of the product
especially when making delivery to distant customers.

In addition, the action planning for this Hausboom product is to give satisfaction to
customers on the taste differences for each drink as well as show the uniqueness of
Hausboom products compared to others by producing a beautiful, cheerful and
delicious design and taste for their customers. In fact, Hausboom will provide testers
to customers to feel the difference for their beverage products.

7.3 Action plans for pricing

Action planning for Hausboom product pricing is commensurate with the quality of
the products they produce. Therefore, Hausboom will sell the product at the
proposed retail price of RM3 according to the quality of the product produced such
as glass design and stand-alone design. This pricing strategy, coupled with our
efficient production methods, helps achieve our relatively high market share for new
product entry.

7.4 Action plans for promotion

Action planning for the promotion of Hausboom products is to provide some new
sales representatives will be added to assist in the new distribution store. Sales
coaches will be hired to train new product sales personnel. This will be in our $
500,000 sales request based on salary and $ 100,000 interest cost for each position.

38
In addition, Hausboom will provide promotions for each product sale at the start of
the implementation of the product. Even Hausboom will provide promotions for every
festival day and holiday. This is because customers are more interested in the
promotion given. Next for promotional action, Hausboom plans to give a freegift to
some of the earliest customers when this hausboom is launched.

7.5 Action plans for placing and distribution

Planning action for place and distribution, Hausboom plans to introduce the product
throughout Malaysia, especially the first area to produce this Hausboom product. By
taking action to prioritize the first production place it will be able to market all over the
place after successfully influencing the surrounding customers. With strong
nationwide distribution channels covering 75 percent of beverage juice sales,
Hausboom will limit the potential, if they limit the distribution of Hausboom products
to certain regional markets. In fact, the place to be for the sale of Hausboom
products will be done directly and indirectly through several types of distribution
channels such as agents, distributors, wholesalers and retailers. Hausboom will use
alternative methods such as the online marketplace can also be used to sell
products or services directly to targeted customers.

7.6 Action plans for relationship management

Action plans for relationship management are optional to be shared with others in the
relationship in order to develop the product together. As such, the Hausboom
company provides action to people on both sides of the relationship to help operate
the product and market the product. Among the action plans for management
relationships to do is to influence several areas, namely the needs of suppliers and
customers. Management will manage for all the needs of suppliers and customers
immediately so that slow service problems do not occur in Hausboom management.
In addition are management changes and Improvement programs. All changes and
improvements made will be agreed by the people in the management so that
everyone will be satisfied with all the changes made. In fact, Hausboom company

39
will accept all the opinions given by the parties with respect to all these actions, the
relationship with management will be easy and friendly in developing the product.

8.0 FINANCIAL STRATEGIES FOR THE BRAND

A financial strategy enables Hausboom company to assess the financial needs and
the resources required to support and meet the objectives of company and also to
fulfill or pursuits of overarching objectives organisation, as well as plan for continued
growth to enable business success and sustainability.

8.1 Financial Objectives

The Hausboom’s financial objectives can be related to its cash flow, capital
expenditure, revenue or profits, and among other aspects. Company not only
improve financial well-being but also guide efforts and we need to ensure it; we have
enough funds to run business smoothly. These goals can be classified into several
categories, such as from profit maximization, value maximization, increased sales
and more.

I. To grow business revenue.

We want to increase company revenue by 10% percent by each year. We
may focus more on becoming cash-flow positive. To do so, we need to
conduct such as cash-flow analysis, reduce unnecessary expenses and
consider alternative revenue sources.
II. Increasing Return on Investment.
There are several strategies that we can use for this purpose, such as
raising in prices product or purchasing more efficient equipment to reduce
production costs. To maximize profits, we need to find ways to cut
expenses and establish processes that increase efficiency within our
organization. For an example, by switching suppliers, it can help in reduce
costs and increase profit margin of company.
III. Financial planning as essential in business venture.

40
 Financial planning is essential because it can guide business in right
direction and bring organisation closer to achieving the goals. At the
same time, it can help organisation to identify and develop strategies that
align with company’s objectives and maximize our business revenue.
From financial plan, we will know the strengths of company and how to
stay competitive in market industry and reach our financial targets.

IV. To improve risk management.

Risk management be considered as a core element in business strategy. It
can help us in identify possible events that could impact to business. Also,
it protecting reputation of business and enhancing stakeholders towards
business. This is because financial objectives inform them how we do
manage our customers’ expectations, thus improving their confidence in
our promises and our business.

8.2 Funding Category

Generally, fund can be describing as the pool of financial resources available for
near-term use. The term funds is refer to money designated and financial resources
available for a specific purpose in business. For Hausboom company, we had to get
funding to run the business in smooth and sustainability. There are several funding
categories that we collect to run the business of Hausboom company.

 Self – funding
Self-financing is the number-one form of financing used by most business
start-ups. The owner starts begin by doing a thorough inventory of assets.
He risks his own money; RM 100,000.00 as be part of capital requirement
in business. From this, owner would use own money as capital in to put
into venture. This self- funding categorized as internal funding.

 Financial Investors
Financial investors is temporary sources which is involve in short- term
financing that comprising in current liabilities. For financial investors, we
request and apply bank loan from Maybank. We need capital as much as

41
 RM 300,000 to run up into venture. For interest bank loan is 4.5% from the
funded amount.

8.3 Key Components of Financial Forecast

Financial forecast are tools that Hausboom company use to establish a plan for
where management wants to take the company to heading in the right direction. It
is important for Hausboom or any companies because we need to estimates the
amount of revenue or income that will be achieved in a future period. Other than
that, this financial forecast is used to determine the way company allocate budget
in future period of business. Hence, financial forecasting can help a management
team make adjustments to production and inventory level whether in short-term or
long-term forecast revenue.

There are several key components of financial forecast that includes in financial
projections of Hausboom company, which is:

i. Revenue forecast for 12 months and 5 years period.

ii. Cost forecast for 12 months and 5 years period.
iii. Projected Profit and Loss Statement for 5 years period.
iv. Projected Balance Sheet for 5 years period.

All of these key components will derive Hausboom company regarding

financial forecast to create estimation of the revenues that has been
achieved in future period. It also derive company towards right directions
and the company’s financial goals.

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 8.3.1 Revenue forecast for 12 months and 5 years.

Hausboom Sdn Bhd

Months/ Year Jan. Feb. Mac. Apr. May. Jun. Jul. Aug. Sept. Oct. Nov. Dec. Total Year 2020

Selling Units: 120,000 135,000 150,000 175,000 190,000 230,000 245,000 315,000 335,000 350,000 370,000 385,000 3,000,000
Unit Price 3.00 3.00 3.00 3.00 3.00 3.00 3.00 3.00 3.00 3.00 3.00 3.00 3.00
Total Sales 360,000 405,000 450,000 525,000 570,000 690,000 735,000 945,000 1,005,000 1,050,000 1,110,000 1,155,000 9,000,000

% of Totals - 11.11% 10% 14.29% 7.89% 17.39 6.1% 22.22% 6% 4.3% 5.4% 3.89%

Revenue Forecast for 12 months in year 2020

Hausboom Sdn Bhd

Revenue Forecast for 5 years

Years Year 2020 Year 2021 Year 2022 Year 2023 Year 2024

Selling Units: 3,000,000 3,500,000 4,000,000 4,500,000 5,000,000

Unit Price 3.00 3.00 3.00 3.00 3.00
Total Sales 9,000,000 10,500,000 12,000,000 13,500,000 15,000,000
- 14.29% 11.11% 11.11% 10%
% of Total

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 8.3.2 Cost forecast for 12 months and 5 years.

a) Cost forecast for 12 months.

Hausboom Sdn Bhd.

Cost forecast for 12 months in a year 2020

Jan. Feb. Mar. Apr. May. Jun. Jul. Aug. Sep. Oct. Nov. Dec. Total in year

Operational Expenses:
Rent 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 240,000
Insurances 1,200 1,200 1,200 1,200 1,200 1,200 1,200 1,200 1,200 1,200 1,200 1,200 14,400
Advertising & Promotion 10,640 10,640 10,640 10,640 10,640 10,640 10,640 10,640 10,640 10,640 10,640 10,640 127,680
Employee Salaries 162,500 162,500 162,500 162,500 162,500 162,500 162,500 162,500 162,500 162,500 162,500 162,500 1,950,000
(RM 2,500*65 workers) / m
Legal Fees 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 60,000
Accounting Cost 8,000 8,000 8,000 8,000 8,000 8,000 8,000 8,000 8,000 8,000 8,000 8,000 96,000
Depreciation of Fixed Asset
Selling expenses 6,500 6,700 6,900 7,100 7,500 8,200 8,700 9,200 9,500 10,000 11,250 12,500 104,050
Operation Overhead 35,000 35,000 35,000 35,000 35,000 35,000 35,000 35,000 35,000 35,000 35,000 35,000 420,000
Depreciation of Fixed Asset 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 240,000
Interest on loan bank @RM
2700/12m 225 225 225 225 225 225 225 225 225 225 225 225 2,700
269,065 269,265 269,465 269,665 270,065 270,765 271,265 271,765 272,065 272,565 273,815 275,065 3,254,830
Market Research:
Packaging Study 30,000 0 0 0 0 0 0 0 0 0 0 0 30,000
Product Testing 80,000 0 0 0 0 0 0 0 0 0 0 0 80,000
110,000 0 0 0 0 0 0 0 0 0 0 0 110,000
Total Cost 379,065 269,265 269,465 269,665 270,065 270,765 271,265 271,765 272,065 272,565 273,815 275,065 3,364,830

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b) Cost forecast for 5 years.

Hausboom Sdn Bhd.

Year 2020 Year 2021 Year 2022 Year 2023 Year 2024

Operational Cost:
Rent 240,000 240,000 244,800 249696 254689.9
Insurances 14,400 14,400 14,400 14,400 14,400
Advertising 127,680 140,448 154493 169942 186936
Employee Wages 1,950,000 1,950,000 2,067,000 2,191,020 2,322,481
Legal Fees 60,000 60,000 60,000 60,000 60,000
Accounting Cost 96,000 96,000 96,000 96,000 96,000
Selling Expenses 104,050 109252.5 114715 120451 126473
Operation Overhead 420,000 462000 508200 559020 614922
Depreciation Fixed Assets 240,000 216000 194400 174960 157464
Interest on loan bank (4.5%), RM 300,000@ 5
years 2,700 2,700 2,700 2,700 2,700
3,254,830 3,290,801 3,456,708 3638189 3836067
Market Research:
Packaging Study 30,000 31,500 33,075 34,729 36,465
Product Testing 80,000 88,000 96,800 106,480 117,128
110,000 119,500 129,875 141,209 153,593

Total Cost 3,364,830 3,410,301 3,586,583 3,779,398 3,989,660

Cost forecast for 5 years

45
8.3.3 Projected Profit and Loss Statement for 5 years

Hausboom Sdn Bhd.

Projected Profit and Loss Statement for 5 years

Year
2020 Year 2021 Year 2022 Year 2023 Year 2024
Sales 9,000,000 10,500,000 12,000,000 13500000 15000000
Less: Cost of Sales
Opening Stock of Finished Goods 360,000 365,000 370,000 375,000 380,000
Production Cost 2,000,000 2,100,000 2,205,000 2,315,250 2,431,013
Less: Ending Stock of Finished Goods 1,155,000 1,212,750 1,273,388 1,337,057 1,403,910
5,485,000 6,822,250 8,151,613 9,472,693 10,785,078
Gross Profit
Less: Expenditure
Rent 240,000 240,000 244,800 249696 254690
Insurances 14,400 14,400 14,400 14,400 14,400
Advertising 127,680 140,448 154,493 169942 186936
Employee Salaries 1,950,000 1,950,000 2,067,000 2,191,020 2,322,481
Legal Fees 60,000 60,000 60,000 60,000 60,000
Accounting Cost 96,000 96,000 96,000 96,000 96,000
Operation Overhead 420,000 462,000 508,200 559,020 614,922
Depreciation of Fixed Asset 240,000 216,000 194,400 174,960 157,464
Selling Expenses 104,050 109,253 114,715 120,451 126,473
Interest on loan (4.5%), RM 300,000 2,700 2,700 2,700 2,700 2,700
Market Research
Packaging Study 30,000 31,500 33,075 34,729 36,465
Product Testing 80,000 88,000 96,800 106,480 117,128
Total Expenditure 3,364,830 3,410,301 3,586,583 3,779,398 3,989,660
Net Profit Before
2,120,170 3,411,950 4,565,030 5,693,295 6,795,418
Tax
Tax (25%) 530,043 852,987 1,141,257 1,423,324 1,698,854
Net Profit After Tax 1,590,128 2,558,962 3,423,772 4,269,972 5,096,563
Accumulated Net Profit 1,590,128 4,149,090 7,572,862 11,842,833 16,939,397

46
8.3.4 Projected Balance Sheet for 5 years.

Hausboom Sdn Bhd.

Projected Balance Sheet for 5 years

Year
Year 2020 2021 Year 2022 Year 2023 Year 2024
ASSETS:
Fixed Assets (Book Value)
Plant 240,000 240,000 240,000 240,000 240,000
Office Furniture and Fittings 15,000 18,000 21,600 25,920 31,104
Office Equipment 23,000 27,600 35,880 50,232 75,348
Signboard 13,000 19,500 20,600 21,600 23,000
Machine & equipment 60,000 72,000 86,400 103,680 124,416
Legal fees 60,000 60,000 60,000 60,000 60,000
Vehicle ( Lorry 1 tan@ RM 103,475) x
206,950 206,950 206,950 206,950 206,950
2
Trademark 8,000 8,000 8,000 8,000 8,000
Computer System 120,000 120,000 120,000 120,000 120,000
Goodwill 60,000 60,000 60,000 60,000 60,000
Patent 27,500 27,500 27,500 27,500 27,500
833,450 859,550 886,930 923,882 976,318

Current Assets

Inventory 1,155,000 1,212,750 1,273,388 1,337,057 1,403,910

Bank 267,520 347,776 452,109 587,741 764,064
Cash 45,000 54,000 64,800 77,760 93,312
Receivables 25,060 30,072 36,086 43,304 51,964
1,492,580 1,644,598 1,826,383 2,045,862 2,313,250

Others Asset:
Deposit 20,000 24,000 28,800 34,560 41,472
TOTAL ASSETS 2,346,030 2,528,148 2,742,113 3,004,304 3,331,040

Owners' Equity
Capital 100,000 0 0 0 0
Retained Profit 1,590,128 2,558,962 3,423,772 4,269,972 5,096,563
1,690,128 2,558,962 3,423,772 4,269,972 5,096,563
Long Term
Liabilities
Loan Bank 150,000 60,000 60,000 15,000 15,000

TOTAL EQUITY & LIABILITIES 1,840,128 2,618,962 3,483,772 4,284,972 5,111,563

47
9. Control ( Contingency Plans/Backup for the Implementation plans to respond
to a changed environment)

The importance of Contingency Plans: For different scenarios that could affect
business, contingency planning is designing responses in advance. While negative
incidents are likely to come to mind first, positive events that could interrupt operations -
such as a very large order - should also be handled by a good contingency plan.
Although Hausboom is an energy drink’s company, several factors in the future like
improper planning, organizing, lack of management, crises, natural disasters could
affect it’s marketing and lower its profit. There we must implement a few product and
pricing strategies for future to respond to a changed environment.

9.1. Product Strategies Adjustment Planning

A strategy for a product is a high-level plan that explains what an organization aims to
do with its product and how it plans to do so. The strategy of Hausboom to address
change falls into one of three groups. In essence, these categories decide the level of
transformation that the organization should support: the timing and the severity.

1. Reactive: This is the default approach for transformation; it is minimal and have
become second nature to most experienced executives. A change in circumstances
causes a short-term reaction, usually a sudden shift that needs little communication or
follow-up between companies. In fact, where only gradual improvements from the status
quo are needed, this strategy is an important management tool. It is also the most
limited and unsustainable, however. Problems occur when managers attempt to apply
this technique to circumstances that involve more sweeping and highly comprehensive
change. So often, managers rely on the reactive approaches they know well, even when
the situation requires a more coordinated, thoughtful approach that will bring about
more lasting change.

2. Programmatic: This approach is more systematic and necessary when significant

improvements are needed, and an organization has ample lead time. The organization

48
launches a widespread improvement program in such situations around the lines of
business that are most affected. A cross-functional program office is set up, strategies
are established, goals are set, supervision is delegated to managers, a communications
program is launched, and progress is monitored. These programs can be useful in
dealing with a contained event or hazard, such as a new competitor or a new product
from a rival.

3. Sense-and-adjust. This is the longest-term and most sustainable approach, but only a
few businesses have successfully adopted it. In comparison to the first two methods,
sense-and-adjustment is complex, continually and regularly easing uncertainty in
market areas that are subject to rapid and drastic change, such as research and
development or front-line operations such as manufacturing and logistics.

9.2. Pricing Strategies Adjustment Plans

The minimum price for our Hausboom beverages is determined by the cost of
processing, promotion and distribution.

Lower cost of production by recycling and using less material to make the cans but also
preserving consistency, such as 35 percent less plastic can be done as a

In cases where they struggle to reach a high enough barrier for rivals to join the super
geek market, this minimum price serves as a contingency measure for Hausboom.
However, there are seven different pricing strategies as adjustment plans for different
markets and situations.

49
Price Adjustment Strategy Description

Discount and allowance Reducing prices to reward customer responses such as paying
pricing early or promoting the product

Adjusting prices to allow for differences in customers, products

Segmented pricing
or locations

Psychological pricing Adjusting prices for psychological effect

Promotional pricing Temporarily reducing prices to increase short-run sales

Adjusting prices to account for the geographic location of

Geographical pricing
customers

Adjusting prices continually to meet the characteristics and

Dynamic pricing
needs of individual customers and situations

International pricing Adjusting prices for international markets

9.3. Promotional Strategies Adjustment Plans:

The promotion strategy is characterized by the plan and strategies you incorporate in
your marketing plan to increase the demand for your product or service. Promotional
strategies play a critical role in the marketing mix (product, price, placement and
promotion) and revolve around:

• Targeting the audience. Who are we selling for, and what are the benefits and
interests they will get from Hausboom.

• Budget. How much we are willing to spend in promotion;

• Action plan. What approach we are taking to accomplish our goals and make
sales.

We can give away Free Samples, Sales Coupons, and Promotions to Boost Sales of
Hausboom drinks. We can also use inbound marketing strategies for our drink for

50
example: setting a cheaper yearly based subscription for our product rather than
monthly subscriptions. That way customers will be longer using our drinks. We can also
do some promotions using free trials and demos. “First month for free” line is popularly
used to get many customers for future basis. As harmless as it sounds, it is part of the
same marketing plan. Lastly, another effective sales deals are coupons, again for the
same purposes. What are the coupons doing? They suggest a particular behavior of the
customer: repetitiveness.

9.4. Placing Strategies Adjustment Plans

Place strategy is also known as a distribution strategy where the company agrees on
the mode of distribution of the product. Play strategy plays an important role in the
marketing strategy of the product. We can decide on our placing strategies by following
a few ways such as direct sales, reseller sales and market coverage.

9.5. Customer Strategies Adjustment Plans

Customers are the source and target of all marketing campaigns and same goes for
Hausboom and its customers. Hausboom’s customers identify markets and their needs
are dictated by the availability of our goods and services. Hausboom can work in the
following areas in order to better know customers and design the most effective
strategies:

1. Marketing Audit through which we can help our clients get an understanding of
how Hausboom operates on marketing, and designs strategies to fix failures and take
advantage of opportunities.

2. Customer insights and segmentation which will allow the Hausboom to know and
truly understand its customers so that it can segment them accurately and deliver them
better goods and services and distribute resources more effectively.

3. Marketing Plan which will help Hausboom develop marketing campaigns that are
customized to the needs and desires of their clients.

51
4. Customer Experience which will help your Hausboom create unforgettable
customer experiences through the creation of meaningful customer interactions that
build deep emotional ties to your brand and promote loyalty.

5. Loyalty which will help clients build the foundations for sustainable and
successful organic development.

9.6. New Product Development Plans

Hausboom’s success depends on its continued importance. This means that modern,
creative products must keep pace with the demand at this time and era. Product
lifecycle development cycles are getting shorter and shorter to meet the demands and
needs of the consumer. Therefore, we need to come up with various ideas for new
products developments and also improve our old products at the same time.

By putting our customer’s needs and wants first, pricing fairly and not greedily we can
introduce new products at the right time. We can turn our packaging into a
Biodegradable one which will be naturally attractive and not harmful to the environment.
This will develop our concepts and make Hausboom’s drinks more long lasting. We can
also expand our business from drinks to other beverages like protein shakes, smoothies
or flavored tea.

We can develop our new product development process in six steps:

1. Ideation

2. Research

3. Planning

4. Prototyping

5. Sourcing

6. Costing

52
 CONCLUSION

We are very proud to know that within just one year of commercialization, Hausboom is
now successfully sell in 7-Eleven, MyNews, Petronas Mesra, Shell Select, Petron
Treats, Aeon, and thousands of mini markets, restaurants, cafes and even hotels in
Malaysia. Interestingly, Hausboom can also be founded oversea by the other countries
such as China, Brunei, Maldives, South Korea, Sri Lanka, Yemen, Oman, Timor Leste,
Seychelles, Japan, Indonesia, Singapore and Mongolia. This fact has grant Hausboom
the tittle of the fastest growing beverage in South East Asia.

We should make Hausboom as the other role model in business and make sure that
one day there will be lots of brand that could be far and success like them in Malaysia.

53
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4) Claudia. (2020, December 14). 9 Marketing Promotion Strategies From Concept
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