KUYA JAY’S

CHICHA- RICE
INTRODUCTION
ChichaRice – Rice Chicharon, another product of
Kuya Jay’s made from the highest quality and
premium white variant of Jasmine Rice formed
into rice sheets seasoned with premium spices
and delicately cooked crispy in vegetable oil. The
All-Time and Everybody`s Favorite Pork
Chicharon comes with a new variant–a healthier
counterpart.
 PROJECT START-UP AND ORGANIZATION

Month 1 2 3 4 5 6 7 8 9 10 11 12

Activities
Business Registration X
Product Research X X
Supply Chain Management X X
Capital and Break-even X
Full Operation X X X
Procurement of equipment X
Marketing Campaign X
Social Media Management X
Product Launching X X
Customer Feedback X
Product Development X X X X
Year-end Planning X
MARKET STUDY

Market Analysis
The global snack food market is a large and growing industry, with a
value of over $300 billion in 2022. The market is driven by several factors,
including household income profile, rising disposable incomes, purchasing
power, and changing consumer preferences. Consumers are increasingly
demanding healthier and more convenient snacks, and this has created an
opportunity for new and innovative products like Kuya Jay’s Rice Crunchies
MARKET STUDY

Customer Analysis
Customer Needs and Wants

Health-conscious consumers are looking for snacks that are: healthy and
nutritious, made with/of natural ingredients, convenient and inexpensive, tasty
and satisfying.

Customer Segmentation

The target market for Kuya Jay’s Rice Crunchies can be segmented from
several into majority groups. The market for this product is usually boundless as
the majority of the population can eat the said offerings.
MARKET STUDY

Product and Service Analysis

Kuya Jay’s Rice Crunchies is one of the product lines of healthy and delicious
fruit and vegetable chips that are made with all-natural ingredients. The chips are
available in a variety of flavors, including sweet, savory, earthy, and tangy. The
chips are also gluten-free and vegan.

Product Differentiation

Kuya Jay’s Rice Crunchies is differentiated from competitors in several ways,

including its unique flavor profile, use of all-natural and agricultural ingredients,
unique way of preparation, different ways to sell it, the longevity of the product
itself
MARKET STUDY

Sales Analysis
The sales strategy for Kuya Jay’s Rice Crunchies will focus on reaching the
target market through a variety of channels, including retail stores, online
retailers/e-commerce, food service, direct-to-consumer sales

Pricing Strategy

Kuya Jay’s Rice Crunchies will be priced at the lowest price compared to
competitors, reflecting the high quality of the product and the strong brand
identity. The business will also offer a variety of promotional pricing strategies to
attract new customers and increase sales.
MARKET STUDY
Distribution Analysis
Distribution Channel

Kuya Jay’s Rice Crunchies will be distributed through a variety of channels,

including Food distributors, Wholesale clubs, Direct-to-store sales, Online
retailers

Distribution Challenges

The main challenge to distribution will be gaining access to shelf space in

major grocery stores or one-stop-shop places. The business will need to develop
a strong sales pitch and pricing strategy to convince retailers and investors to
stock Kuya Jay’s Rice Crunchies.
 MARKET STUDY
Pricing Analysis
Kuya Jay’s Rice Crunchies will be priced at a premium to competitors, reflecting the
high quality of the product and the strong brand identity. The business will also offer
a variety of promotional pricing strategies to attract new customers and increase
sales.
Pricing Objectives

Maximize profit and sales, Penetrate the market, Build brand equity, and reach
optimal customer value proposition.

Pricing Strategies

Kuya Jay’s pricing strategies will include premium pricing, promotional pricing,
bundle pricing, cost-based pricing
 MARKET STUDY

Promotional Analysis
The promotional strategy for Kuya Jay’s Rice Crunchies will focus on building
brand awareness and generating trials. The business will use a variety of
promotional channels, including social media, in-store promotions, customer
sampling

Promotional Objectives

Kuya Jay’s promotional objectives are to: increase brand awareness, generate
trials, drive sales and profit, build customer retention,
 INDUSTRY STUDY AND COMPETITOR ANALYSIS
Potential Entrants: The threat of new entrants to the snack food industry is
high. The industry is characterized by high brand equity, economies of scale, and
significant barriers to entry through competition.

Suppliers: The threat to the bargaining power of suppliers is moderate. The

major snack food industry is dominated by a few large suppliers, but there are also
several smaller suppliers. Kuya Jay's can mitigate the threat of supplier bargaining
power by diversifying its supplier base and negotiating favorable terms.

Buyers: The threat to the bargaining power of buyers is moderate. The snack
food industry is characterized by many buyers, including single persons, grocery
stores, convenience stores, and food service operators. This comes with different
preferences and growing demand for health-oriented products
 INDUSTRY STUDY AND COMPETITOR ANALYSIS

Industry Competitors: The threat of competition within the snack food

industry is high. The industry is highly competitive, with several well-established
brands. Kuya Jay's can differentiate itself from its competitors by focusing on its
unique flavor profile, its use of all-natural ingredients, and its commitment to
sustainability.
 MARKETING PLAN
Target Market

Kuya Jay’s Rice Crunchies is targeted towards health-conscious

consumers who are looking for a tasty and convenient snack. This
includes millennials, Gen Z, and busy professionals. The target market
is also geographically diverse, with potential customers in the city.

Product

Kuya Jay’s Rice Crunchies is a line of healthy and delicious snacks

that are made with all-natural ingredients. The crunchies are available in
a variety of flavors, including sweet, savory, and spicy. The crunchies
are also animal-free and staple.
 MARKETING PLAN
Product Positioning – Quality

Kuya Jay’s Rice Crunchies is positioned as a budget snack that is

made with high-quality ingredients. The crunchies are made with
premium jasmine or double diamond rice, and they are free from
synthetic flavors, preservatives, and additives.

Price

Kuya Jay’s Rice Crunchies will be priced at a premium to

competitors, reflecting the high quality of the product and the strong
brand identity. The business will also offer a variety of promotional
pricing strategies to attract new customers and increase sales.
 MARKETING PLAN
Place

Kuya Jay’s Rice Crunchies will be sold through a variety of channels

possible and available, including around the city, specialty stores,
convenience stores, Pasalubong Centers/OTOP, E-commerce, and
Direct-to-consumer sales; specifically near schools or workplaces.

Promotion

Kuya Jay's will use a variety of promotional strategies to build brand

awareness and generate trial, including Social media posting, campus
POS, Customer Sampling, and special oofers
 FINANCIAL PLAN

Key Assumptions

 To Sell 400 pieces of Rice Chicharon on the first month of operation

 To Earn 15,000 net income by the end of first month operation
 The Starting Capital of the business is ₱2,580.00 which would we
used to buy raw materials for the production. Each member of the of
the business will be contributing ₱430.00 to complete the ₱2,580.00
 PRODUCTION/OPERATIONS PLAN
Raw materials Sourcing

Partnership with local farmers and local retail stores would most ideal and
convenient option to source the raw materials which are already available in both
local market and private label stores.

Manufacturing Process

Design a simple process layout ensuring the alignment of procedures and secure
sanitation of the processing plant

Quality Control

Implement though and frequent quality control at different production schedules,

ensuring that each product batches meets its status of edibility and achieve longevity
of product such as crisp and consistency of taste.
 PRODUCTION/OPERATIONS PLAN
Inventory Management

Managing and implementing a records management system to monitor inventory

replenishment, minimize loss of products. This ensures that customer demands are
met in time and avoid shortage or stockpiling surplus inventory

Packaging

Investing in environmentally friendly, visually appealing aligning with the product’s

nature and supports sustainability.
 HUMAN RESOURCE PLAN
Kuya Jay has developed a human resource plan that outlines the business's through
cross-functional collaboration

Key Personnel

 Mr. Jayven Marcos – oversees the entire business operation, bringing the
experience of sales, communication and product management.
 Mr. Jeromie Madduma – responsible for preparing financial reports and inventory
management
 Ms. Star Sison and Mr. Karlo Indionco – sourcing raw materials and supply chain
management
 Mr. Domenick Mercado and Mr. Craig Durias for customer relations, advertising,
social media marketing and personal/direct selling
PRODUCTION PLAN/LAYOUT

Purchasing fresh raw mats Meticulously choose the variety of rice to be used
especially when choosing the brand of Jasmine Rice.
Processing of mixture The rice is washed not less than thrice until the water runs
clear before steaming them. After the cooling process, the
rice will then be mashed until it turns into a pasty-smooth
consistency and seasoned to taste
Drying With the use of natural sunlight, the flatten mixture will set
under the sun for at least 1 day and a half to full dried-up.
Cooking Dried rice sheets are now ready to be cooked by letting
the rice sheets puffed-out from the heat of the oil.
Packaging Cooked rice crunchies are weighed and placed inside an
airtight container after it cools down.
Quality Control Rice crunchies is subjected to quality control measures
throughout the post-production process to maintain safety.
COMPUTING THE REVENUE
Rice 54
Packaging cost 7.28
Other expenses 1.50
Profit margin 100%
Sales volume 75,000 per month / 900,000
per year
Cost per pack 46.15
Revenue per pack 103.85
Number of units sold 500 per month / 6000 per
year
Selling price per unit 150
Total projected per month 75,000-23,075 = 51,925 per
and year month / 246,900-90,000=
653,100 per annum
 INCOME PROJECTION
YEAR
1 2 3 4 5
Sales 720,000 792,000 864,000 936,000 1,008,000
Less Variable Cost 221,520 232,596 244,225.8 256,437.09 269,258.94
Gross Revenues 498,480 559,404 619,774.2 679,562.91 738,741.06
Less: Fixed Cost
Salaries 40,560 42,588 44,717.4 46,953.27 49,300.93
Light, Water &
7,020 7,371 7,739.55 8,126.53 8,532.86
Utilities
Mktg. & Adv.
0.00 0.00 0.00 0.00 0.00
Expenses
Transportation 1,920 2,016 2,116.8 2,222.64 2,333.77
Maintenance 500 525 551.25 578.81 607.75
Depreciation 827 0 0 0 0
Total Fixed Cost 50,827 52,500 55,125 57,881.25 60,775.31
Net Profit (Loss) 447,653 506,904 564,649.2 621,681.66 677,965.75
SOCIO-ECONOMIC STUDY

The global population is growing rapidly, creating a

demand for healthy and convenient snacks. Kuya
Jay's Rice Chicharon targets health-conscious
consumers and urbanized lifestyles. Economic growth
and rising disposable incomes are driving demand for
healthy snacks. Kuya Jay's Rice Chicharon are made
with all-natural ingredients and are committed to
sustainable practices. They offer a variety of flavors
and use locally sourced ingredients.
ENVIRONMENTAL STUDY

Kuya Jay's is committed to minimizing its environmental impact

through sustainable waste management practices, including
composting food waste and other decomposable materials. The
business also implements a pre-consumer waste reduction program
and partners with local waste management groups. Kuya Jay's uses
energy-efficient machinery, including ISO or Orange Tag certified
appliances, Energy Star-certified refrigerators, and availing SSF
services and DTI interventions. The company also uses LED and
solar lighting in its facilities, reducing energy consumption and
processing time. These practices aim to reduce its environmental
impact.
HANDLING OF PRODUCTS

Maintaining Quality and Freshness:

•Storage: Optimal storage temperature and humidity to prevent
rancidity, moisture absorption, and loss of crunch.
•Packaging: Different packaging materials and their impact on shelf
life, air exposure, and maintaining texture. Proper sealing
techniques.
•Stock Rotation: Ensuring FIFO (First in, First Out) principle to avoid
selling old stock.
•Hygiene: Sanitation protocols for handling, storage, and
transportation to minimize contamination risks.
HANDLING OF PRODUCTS

Optimizing Distribution and Retail:

•Transportation: Proper temperature control during distribution to
prevent quality deterioration, especially in warm climates.
•Display: Strategically placing rice chicharon in high-traffic areas and
implementing visually appealing displays.
•Stock Management: Maintaining optimal stock levels based on
demand to avoid overstocking or stockouts.
•Promotions and Pricing: Utilizing pricing strategies and promotions
to increase sales and manage inventory effectively.
HANDLING OF PRODUCTS

Addressing Safety and Consumer Concerns:

•Labeling: Clearly displaying ingredients, nutritional information, and
allergen information on packaging.
•Health Concerns: Addressing concerns about fat and salt content
by offering healthier options (reduced fat/salt) or highlighting unique
selling points like natural ingredients.
•Traceability: Implementing systems to track product
origin, ingredients, and production batches for food safety and
quality control.