marketing plan for organic product

Pannasatra University of Cambodia

Proposal (Organic products)

Marketing Plan Healthy Foods (Love your life, Love your foods)

Instructor: Sann Sourharo Group Number 3• Khuon Lina• Pin Keany• Roeun Nakry• Sean Theary

Content

1. Purpose and Mission2. Situational Analysis3. Competition Analysis4. Summary of Current Situation5. Marketing Strategy6. Marketing Objective7. Tactical Marketing Programs 8. Budgeting Performance Analysis And

Implementation9. Conclusion

Purpose and Mission

Purpose of Marketing plan:

• we care about people health, And we want to

provide them with the good foods that have no

chemical involve. And we want to see people in our

society are healthy.

• And we want to improve on the agriculture.

Mission Statement

• Agriculture: growing vegetables and fruit

without chemicals. Using the natural ways to

keep the product grow well. Convince people

interest more on agriculture.

• Encourage: convince all the famers to improve

on their growing with chemicals involve, an

offer them with a fair price to return their good

work good and hard work.

Situational Analysis

Product Analysis

• Product Attributes (vegetables, fruits, Meat,

Fish. Products Analysis

Name of goodsPeople need Sale Opportunity

Vegetables 100% HighFruits 70% medium Meats 98% HighFish 90% HighIngredient 50% low

Creating house whole growing

• Tomatoes• Eggplant• Chilli• Basil

Creating pie• Salad• Cabbage• Brig onion

Long roll creating • Green water• Eggplant• Tomatoes • cucumber

Bean roll

Competition Analysis

• Target markets served ( special giving, Ex,

discount if they buy a lot, and member card)

• Product attributes ( keep the products in fresh )

• shop desinging .

Summary of Current Situation

• Strengths: We have learned a new technique to plant the crop easily with a small space and low budget. Good location.

• Weaknesses• The price is higher than traditional markets• Has no experience in this field• Limited capital to expand our business• Opportunities• Less competitors• People start to care more about their health• Threats• New industry• Too close to traditional market• Other people will imitate us and open an organic shop in these

areas.

Marketing Strategies• Objective

Create customer awareness for our Organic product s in the Phnom Penh market.

Gathering customer’ respond to our product.

Acquire sales revenues of $6,000. (In 6 months)

Product Strategy

Price Strategy

DistributionStrategy

StrategiesPromotion Strategy

Product Stategy

Healthier life

Nutritious

Customer Education

Price Strategy

Distribution

Radio

Sale

Web-page

PromotionF.tasting

4. Tactical Marketing Program

1) Target Marketing: Khmer and Foreigner2) Product: Kind of Product and how to get it?3) Promotion: Discount and free for tasting4) Advertisement: Radio, poster, banner, tuktuk,

and website/facebook.5) Pricing: Markup 50% of product price.

The marketing Budget

• In order to promote our business and make it more successful, we decide to advertise our company through the following various methods:• Tuk Tuk: $30/ month x 10 vehicles= $300• Radio: $25 per 5 minutes x 28 days= $700 • Websites Khmer24: $30 per month• Brochures: $100

• Total cost: $1130

Performance Analysis • Break-even is the point of zero loss or profit. • Fix Cost: • Rent House:$700/months• Hire Staffs: 3 people x $150/month =$450• Equipment and Facility: $200/12months/5years =

$3.3.• Computer and billing system:

$1000/12months/5years= 16.6. • Advertisement: $1130• Internet: $12.

• Total Fix Cost: $2311.6

Performance Analysis

• Variable Cost: • Electricity: $50/month. • Water: $10/month. • Rubbish Collection: $5, • supplies(vegetable and fruit): $300

• Total Variable Cost: $365• Variable cost per unit= 365/2000 = 0.18

Performance Analysis

• Break-even Sales Units = x =FC/(p − v) • where : • p is the price per unit,

x is the number of units,v is variable cost per unit andFC is total fixed cost.• x=2311.6/($2-0.18)= 1269 units• Break-even Sales Dollars = Price per Unit × Break-

even Sales Units = $2 x 1269 = $2539

Performance Analysis

Implementation

• we have to make strict control, check more often and try to persuade them to use natural farming methods.• check with stock controller to check products

that are nearly broken or expire to make some strategies like promotion or discount or anyways to sell them out.• knowing suitable time to order new products

into stock and especially knowing about what season or trend that has higher demand.

Implementation

• Always contact with the distributors, make sure that they put our products in the market and encourage their customers to support our product.• Have a good relationship with them and provide

them more benefit to keep in touch last longer.• Have good management skill in order to lead or

guide the way to subordinates to enjoy their work by motivation skill.

Implementation

• Create some policies to work more effectively such as:• All employee must be friendly and warming

welcome to customers• Provide good service to satisfy customer need• Be honest and responsible on work• Come to work on time and not leave early• Do not doing something that not related to their

own duty like talking phone or text message so often and take long time…etc.

Additional Consideration

• Internal Factors: Low capital to buy land for planting the crops Lack of professional skill Our products are 100% not contain chemical

substance, so they cannot be kept for long time Organic planting result in low production

Additional Consideration (cont)

• External Factors• Only medium and high class people and people

concerned with healthcare are willing to buy organic products• people will not believe us easily that our

products are 100% chemical free.• The farmer that we do the cooperation with may

cheat us to use the chemical• Organic products are hard to compete with

products in the market

Additional Consideration (cont)

• Research Limitations • Some people just reply with fake information • Difficult to get the information from competitors• The Research by observation can be bias • Employ more people to do the survey will result

into higher expense• Negative comment on website may affect our

reputation.