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MIDTERM

COVER PAGE
MIDTERM

Brand or company SHORT DESCRIPTION


CM & Sons Food Products, Inc. was established as a family enterprise in 1995 in Bacolod City,
Negros Occidental. Its products are marketed und the trade name “Merci” a French word
meaning “thank you”. Though the trade name is undergoing a rebranding process from
Merci to Merzci, the company still believes that it will remain competitive in the food market.

Merzci started as a small bakery, supplying breads to a single store at the Libertad Market.
Eventually, its popularity became undeniable due to a growing satisfied customer pool. With
its high quality breads at affordable prices, combined with aggressive marketing strategies
and the ingenuity of youth, it did not take long for the company to establish its own branches
around the city and supply products to satellite dealers all over the province.

Merzci also evolved into fast food restaurant serving scrumptious and affordable snacks and
short-order meals for people on the go.
MIDTERM

BUSINESS OBJECTIVES (S.M.A.R.T.)


• Achieve 100,000 followers and likes on Merzci Facebook Page by
December 2021
• Open FIVE (5) new Merzci Branches across Panay and NCR in 2022
• Build Production Areas and Warehouse in Cebu and Manila in 2022
MIDTERM

SWOT ANALYSIS

S
W
- Established Customer Loyalty Relationships - Lack of Marketing Expertise
- Excellent, Quality and Affordable Products
- Systematic response to competitors threats
- High Level of Branding awareness
- Good relationship with employees - Low supply of products (out of stock)
- Delayed Deliveries during exhibits
- High responsiveness to customer demands

O
- Full support from CEO when it necessary to participate in T
- Competitor has a new, innovative product or service
any projects/exhibits for exclusivity - New competitor in the market with similar products
- Rapid changes in technology: Posts write-ups, blogs on
- A competitor opening new shop in a nearby location
Facebook account and website, encourages customer - Shifts in customer tastes
interaction through liking and commenting through
- Competitors ability to steal customers and win the market
Facebook
- Needs to keep ahead with the competitor share
MIDTERM

PESTLE ANALYSIS
POLITICAL Various governments across the globe have laid down the scope and framework for the operations of the food business. It includes factors like labor regulations,
minimum wage, food transportation system, food storage regulations, expiration date, and cleanliness of the kitchen.

Labor unions and government legislators are considering increasing the minimum wage rate. In fact, some countries have already increased the minimum wage.
The increment in salaries is good for the employees. But it’s not good for the food businesses, because they have to give up their profit.
ECONOMIC The pandemic of covid-19 has pushed the global economy into economic recession with increasing unemployment and lower purchasing power of people. That’s
why people have become very cautious about their spending. They now avoid spending more money on luxury food and beverage because of the limited income. It
has reduced the sale of food and beverage companies.

Nowadays, many people have become cautious about their diet and they avoid salty, spicy, oily, and sugary based food. Because it causes diabetes, higher blood
pressure, and other health issues. That’s why food and beverage businesses should research their customers’ preferences.  
SOCIAL If you’re running a business in the Muslim consumer market, then make sure your products should be Halal Certified. Food and beverage businesses should know
the beliefs and values of the target market.

The pandemic of covid-19, masking, and social distancing have amplified the growth of e-commerce and online businesses. Many people from the millennial and
generation Z prefer online shopping. A food business should follow these trends and launch its online platform in order to attract more people.
TECHNOLOGICAL The usage of automation technology would make food preparation efficient and reduce labor costs. It would result in the form of more profitability and less human
error.

Food companies have to follow very strict food safety and other health protocols. For instance, they have to clarify the amount of oil and salt they’re using, the
LEGAL right temperature, rightly grilled, food storage system, expiration date, cleaning, and food transportation. That’s why food businesses have to conduct their
operation according to health and safety regulations.

The meat industry is leaving a very deep carbon footprint on the environment. It’s because the meat farmers are expanding their farms in order to feed their
ENVIRONMENTAL animals. It has led to the destruction of the forests. That’s why many people are turning into vegan food. Either way, it won’t impact the food businesses, but they
should be aware of the impact that their business would have on the environment.
MIDTERM

COMPANY/BRAND CHALLENGES
• Pressures on costs, quality and meeting customer demands.
• Workplace culture and resistance to Technology
• The pervasive presence of E-commerce
• The wide emergence new Bakeshops and Fastfood
• Consumers shift to a healthier lifestyle
MIDTERM
BUSINESS/BRAND STRATEGIC
PRIORITIES
STRATEGIC PRIORITY 1 Offer products to a bigger population and be made available nationwide

STRATEGIC PRIORITY 2
Introduce high quality and new products to delight customers

STRATEGIC PRIORITY 3 The increase importation reach to highly developed countries


MIDTERM
BUSINESS/BRAND STRATEGIC
INITIATIVE
Open more Merzci branches in other areas in the Philippines and improve
STRATEGIC INITIATIVE 1 marketing strategies. Adapt to the innovation in technology and strategize
promotional actions.

Formulate new bakery, fastfood and pasalubong products that matches the taste
STRATEGIC INITIATIVE 2
of the Filipinos and foreign customers. Be creative and innovate on different
flavors that's appealing to the target market.

STRATEGIC INITIATIVE 3 Get in contract with reputable exporters and match products quality with the
international standards. Efficiently use automation to improve overall operations .
ENDTERM

Integrated Strategic (Marketing) Plan


AWARENESS> CONSIDERATION> PURCHASE> REPURCHASE

SATISFY MOST VALUED ASSET: CUSTOMERS

FOOD
CONSUMERS

Advertise and
Boost New Offer New Give back to the
Products on Promotions and community
Social Media Discounts through charity

AWARENESS>CONSIDERATION>PURCHASE>REPURCHASE>LOYALTY>ADVOCACY
ENDTERM

Integrated Strategic (Marketing) Plan


SATISFY MOST VALUED ASSET: CUSTOMERS

Food has the advantage of being very visually appealing and sensually stimulating. Social media is also a great
source of information and inspiration for internet users looking for new products and recipes. No less than 75%
of foodies use Facebook or Instagram to help them decide what to eat, and 31% of people confirm that they
use a recipe after having found it on Facebook. Users also like to join the conversation and share their
discoveries. On Facebook alone, #food accounts for more than a billion interactions each month! As you can
see, this hashtag is also very popular on other platforms.

Mechanics:

1. Make sharing easy


2. Focus on the visual
3. Be useful to customers
4. Offer inspiring contents
ENDTERM

Integrated Strategic (Marketing) Plan


SATISFY MOST VALUED ASSET: CUSTOMERS

Getting customers to come in and try your food is the first step in creating a successful food business. By
using promotional strategies that highlight the taste, creativity and perhaps affordability of products, we
can make customers interested. Effective promotion strategies can also help transform new patrons into
regular customers.

Mechanics:
1. Give discounts
2. Post Specials
3. Grant Sponsorships
4. Organize events
5. Give nice prizes
ENDTERM

Integrated Strategic (Marketing) Plan


SATISFY MOST VALUED ASSET: CUSTOMERS

One of the great privileges of running a small business is being able to give generously to community
organizations and charitable causes that matter to you. Every day, it is a business’ social responsibility to share
their success by making charitable outreach efforts to good causes in their communities.

Mechanics:

1. Reach out to natural calamity victims thru donations.


2. Support other charitable organizations on their causes.
3. Make the indigenous people a priority in charity works.
ENDTERM

Total Initiative Cost


• SOCIAL MEDIA ENHANCEMENT & DEVELOPMENT – P200,000.00
• PUCHASE OF NEW MACHINERIES & EQUIPMENTS – P30,000,000.00
• CONSTRUCTION OF CEBU WAREHOUSE – P20,000,000.00
• CONSTRUCTION OF MANILA WAREHOUSE – P25,000,000.00

TOTAL INITIATIVE COST = P75,200,000.00


ENDTERM

Key Performance Indicators


It measures the volume of products being made on a
machine, unit, line, or entire plant over a period of
time. Real-time Statistical Process Control can be
Throughput & Yield implemented ensuring every shift achieves an efficient
quality output.

It measures how the brand is patronize by customers


through social media marketing and advertising by the
Technology Efficiency number of online orders especially within the duration
of promotions and new product releases.

A good way to measure overall productivity, the ratio of


downtime to operating time demonstrates asset
availability. Too much downtime likely indicates a need
Downtime to Operating Time Ratio for action, whether it’s to improve processes or
upgrade equipment.
ENDTERM
Timelines
COMPLETE MANILA
BUY ADDITIONAL WAREHOUSE &
AUTOMATED PRODUCTION AREA TO
PACKING & CATER TO LUZON &
PREPARATION METRO MANILA
MACHINES CUSTOMERS

NOV-21 DEC-21 JAN-22 FEB-22 MAR-22 APR-22 MAY-22 JUN-22 JUL-22 SEP-22 OCT-22 NOV-22 DEC-22

REACH 100,000 OR INNOVATE WITH COMPLETE CEBU EXPORT TO


MORE CUSTOMERS THE MECHANIZED WAREHOUSE & CHINA EVERY
THROUGH SOCIAL PRODUCTION & SHOWROOM TO WEEK &
MEDIA PLATFORMS PACKAGING CATER TO VISAYAS DISTRIBUTE TO
(FACEBOOK & PROCESS TO & MINDANAO OTHER
INSTAGRAM) PRODUCE MORE WHOLESALERS COUNTRIES AS
PRODUCTS WELL

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