PRODUCT AND SERVICE DESCRIPTION

Our product created for the ease of gardening activity which increase in efficiency

rate of plowing activities. Our product are economically friendly which has a reasonable price

that seems to be affordable by gardener or company that may interested. Our product sold at

RM 285 which consider at lower price compare to other product. Then, our cordless features

is our strength in promoting this product to our customer to buy at that price.

Our product is saving more on electric consumption because we are using battery

rather than using cords. This also help to explain our product mobility which easy to carry to

everywhere and can be used in any condition. Beside, we are using rechargeable battery to

ensure that we are saving more and cope the pleasure of our customer.

Then, for our blade it has two type which provided to our customer that is soft blade

and hard blade. Soil structure may define by the type of maintenance such as watering,

interval of plowing and the plants itself. For instance, the soil which are no longer being

plowed will experience hard crumb or hard structure due to insufficient water to soften the

soil. This type of soil are difficult to plow so we are providing customer the hard blade to

handle this. For soil type which easy to plow, soft blade are enough to handle. Both our blade

has a size about 5 cm diameter.

Our product light in weight about 3 kg. Mobility of our product related to this and

explain the carriage potential of our product. It is small and light, can be fit on bag, and not

burden to the handler especially gardener or housewife which like to do easy work. Then, we

have the attractive color that is dark blue and do not has a potential to disturb people who has

eye problem especially eye problematic to color changes and color reflection to sunlight. As a

result, our company really optimize to produce this effective and attractive product due to

satisfy the needs and wants of our customer.

3.0 TECHNOLOGY DESCRIPTION

For technology description, our product has gone through proper assessment during assembly of the component until completion of the prototype. We use rechargeable battery with voltage about 3.6v/ 1.3 Ah with 250 round per minute (RPM) for motor rotation of the machine. This battery are small charge and easy to get in any shop or hardware. Due to small size and the function itself which is not too extreme, the voltage of battery is enough plus with the ability to recharge.

Blade of our product which is use to plow the soil correctly are made from power titanium coating. Titanium comes from Titanium nitride (TiN) which specialize and extremely hard ceramic material to coating steel, alloys and aluminium. This titanium improve the surface properties of the component. Usually, TiN used to harden and protect cutting and sliding surfaces. Besides, it is non-toxic exterior which cause no harm to plowed soil. Another advantage using Titanium it is suit for edge retention and corrosion resistance for machine tooling. Based on above description, we decide to choose the blade which coated by Titanium coating for this hand plower machine.

Charging time is crucial for any type of electronic machine. Our battery has an ability to be recharge for about 60 minutes or one hour. To ensure the effective time and good desired work output, we use battery type which easy and not require much time to be recharge. So, this product are reliable enough for our customer and they just wait for one hour to fully recharge the battery. At the same time, they can take time to cooling the machine component.

Our product equipped with thermostat system. Thermostat is component of control system which sense the temperature so that the system temperature maintain at desired setpoint. It runs by switch heating or cooling devices on or off, regulate flow of heat transfer and maintain the correct temperature. Later, this thermostat will prevent the equipment damage from frequent switching. This technology cause us to apply to our product to ensure safety to our customer in using this machine.

CE certification is a marking to product and designed to be recognizable within country or worldwide. It is also the declaration of the manufacturing that the product meets the requirements of the applicable CE directives. In regulation of CE, our product is under module F that is product verification module. This show that our company especially our product are reliable enough and has gone through inspection which cause satisfaction among user.

Our product also has speed control system. This is designed for customer so that they can setting the desired work output based on their needs. For example, if the soil are soft enough low and steady speed are recommended and avoid soil comes out from polybag or vase. This efficiency has been tested in installation of our product during operational process.

4.0 MARKET ANALYSIS AND STRATEGIES

4.1 Introduction of marketing plan

Marketing plan is a comprehensive blueprint which outline an organizations

overall marketing efforts. A market plans begin with the identification through market

research of specific customer needs and how the firm intend to fulfill them while

generating an acceptable of profits. In business marketing planning is very important,

because it is one of the factors which can lead business toward it goals.

4.2 Objective of Marketing

The objectives of this marketing plan are:-

To introduce new gardening product in the industry

- Our product is mobile product which is safe to use and easy to carry

To create wider choices for gardening tools in the market.

- By entering the market with this business, people have wider choice when

they buy gardening tools. People can expect to buy gardening tools from

different sources of place.

4.3 Target Market

Our target market is a group of customer at which a product or service is aimed.

We target people that love gardening, people who love gardening and can afford or buy

our product and also concentrate on customer who like to try out new product. The

characteristic of our target market is:

People who love gardening.

People who can afford to buy our affordable product.

Concentrate on consumer who likes to try out new product.

4.3.1 Market size

Plowing15%

Manuring25%

Pots supply30%

Garden soil30%

Sales

Chart 4.3.1: Market size of existing market on area Kota Kinabalu

30%

40%

30%

Sales

Plower machine Pronged Hand Hand raking

Chart 4.3.1: Market size of our company enter in market

Plowing machine = 30%

Pronged hand = 40%

Hand raking = 30%

Thus, 30% of our company scope is equal to

= RM 5 001 750

4.4 Market share

Market share before enter the market:

20%

30%22%

28%

Sales

Peladang Kinabalu agro sdn.bhdtools and hardware shop Kinabalu kimia

Chart 4.4: Market share before enter in market

Market share after enter the market:

Peladang kinabalu17%

Agro sdn.bhd28%

Tools and Hardware shop20%

Kinabalu kimia25%

Automate Hand plower10%

Sales

Chart 4.4: Market share after enter the market

After enter the market we expected to conquer 10% of the customer/consumer from other

competitor/market to buy our product.

We expect that we conquer 10% = RM 500 175

4.5 Market Segmentation

We are using the behavioral segmentation in order to segment the market. The

business targeted customers who love gardening and looking for a product which can

ease their work in terms of gardening. For an example, people who love gardening

will concern about tools that can help them in taking care of their garden. As green

concept product is popular among middle income customer and above, most of them

are able to purchase our product.

4.5.1 Market Trend

Our market trend is green trend where we are supplying safe product to our

customer. Every year our country developing and land use mostly more to building and

plantation. The sales of automate hand plower are famous because many people who

live in city love to do gardening and also increase in number of nursery in our

country.

4.5.2 Market potential

The potential for automate hand plower is good, because the product we introduce is

differ than other. We provide or supply green product that is easy to carry and mobile.

The ability of our product is it can help in reducing the heaviness of gardening job,

easy to carry and use also light. As we know nowadays, our people getting modern

and the usage of technology is more preferred in doing any job, from there we expect

that our product will be use or buy by a lot of customer that love gardening so do any

estate with nursery. If our business can go further and expand larger our business will

start providing more type of product.

4.5.3 Identifying Competitors

We need to identify our competitors in order to compete with them in the market. As

an automate hand plower supplier, we have competitor around us, for example Agro sdn.bhd,

Kinabalu kimia, peladang kinabalu and tools & hardware shop. They are more experienced in

this business and well known to the customers because they establish earlier than us. In order

to compete with them we need to supply and produce best quality of product for the

customers. We believe our market will attract a lot of customer in the future. For our business

we always need to follow up and challenge our competitor in other to expand our product

4.5.4 Strength and Weakness Analysis for Our Competitor

Company Agro sdn.bhd

Kinabalu kimia

Peladang Kinabalu

Tools & hardware shop

Automate hand plower

Strength Early exist in this business, well known to the public.

Products are branded and high quality.

Early exist in this business, well known to public.

Have a loyal customer.

Early exist in this business, well known to public.

Have a loyal customer.

Well known and famous among customer.

Price is low and easy to get.

All partnership is degree holder of plantation and management can manage properly.

Weaknesses Product price are high suitable for high income customer.

Not affordable for customer with low income.

Product qualities are medium.

Product qualities are medium.

Product quality low.

New in this business.

Doesn’t have loyal customer yet.

Table 4.5.4: The strength and weakness analysis for our competitors

4.6 Sales Forecast

The following is our sales forecast monthly for year one in the operation.

Months Estimates Quantity Estimates Sales

( RM)

January 95 27 075

February 95 27 075

March 110 31 350

April 130 37 050

May 140 39 900

June 145 41 325

July 155 44 175

August 165 47 025

September 175 49 875

October 175 49 875

November 180 51 300

December 190 54 150

TOTAL 1755 5,001 750

Table 4.6: The sales forecast for Automate Hand Plower

1st Year sales RM 500 175

For the second year and third year, our sales are expected to be increased by 20%

and 30%.

2nd Year sales =RM50 0175 x 20%

=RM10 0035 + 500 175

=RM60 0210

3rd Year sales =RM600210 x 30%

=RM180063 + RM600210

=RM 780 273

Sales prizes =RM285/unit

4.7 Purchase Forecast

Months Estimates Purchase

(RM)

January 10830

February 10830

March 12540

April 14820

May 15960

June 16530

July 17670

August 18810

September 19950

October 19950

November 20520

December 21660

TOTAL 200070

Table 4.7: The purchase forecast for Automate Hand Plower

Average purchase per month = RM200070 ÷ 12

= RM 16 673

1st Year purchase = RM200070

2nd Year purchase = ↑ 5%

= (RM200070 x 5%) + RM200070

= RM10003.5 + RM200070

= RM210074

3nd Year purchase = ↑ 10%

= (RM210074 x 10%) + RM210074

= RM21007.4+ RM210074

= RM 231 081

Cost per unit = RM114

4.8 Marketing strategy

Marketing strategy is one of the most important elements in which been practiced

in business today and it always influenced by so many factors especially for customers

attitude that now on have a different taste.

In order for us to maximizes nor increase our profit we need to develop a good and

smart marketing strategy as it is an important roles in marketing in order to improve

sale profit, attract more customer, and to widen sale to many place. For our company

strategy, we will use several marketing strategy that is:

4.8.1 Product strategy

It outlining product and strategy, special attention needs to be given to the following

aspects:

i. Brand For our business brand, we choose

Automate Hand Plower as a brand for our

product. It can attract a lot of customer

especially sabahan, as our market located

at Kota Kinabalu sabah. It has a powerful

attraction to the sabahan customer

because, the sabahan love to buy product

that are produce by its own country.

ii. Quality In order to make our customer satisfied

with our products and services, we will

make sure to produce a good quality of

electrical product. In term of services we

also make sure our delivery service are

fast and good and better.

iii. Product Attributes Product design play important role in

satisfying and delighting the target

markets. Our product is differs than other

because of several reason that is, our

product is simple, light, mobile and easy

to be use.

iv. Packaging For our product packaging we will

covered it up with plastic and box it, we

will put our brand name on the box and

keep it on safe place (storage) to maintain

it quality. We put our brand name on the

packaging because it can help to attract

new customer or user to buy our product.

v. Labelling We also put the product label so that the

customer can read the usage of our

product and know what benefit they can

get when they buy our product.

vi. After Sales Service Our business also provide after sales

service in order to get feedback from our

customer. They can complaint directly to

our company either by phone call or

personal interview so that we can

improve and fix on what our business

weakness and problem.

Table 4.8.1: Some of the product strategies used in our business

4.8.2 Promotions strategy

Advertisement

i. Signboard

Signboard is important because it provide information to the customer or people

about the existence of our Automate Hand Plower Enterprise.

ii. Business Card

Our business also provides a business card especially to our vendors who visit

our market. It makes people know on how to contact us to make business or directly

come to our market based on address given.

Publicity

We choose publicity as one of our company promotion strategy because

publicity in business is a highly cost-effective that can build awareness about our

products/services to our customer and also publicity is free. Nowadays is a

modern era with many kind of technology, why publicity is cost-effective because it

doesn’t need to be pay or buy to introduce about our product, services and market. With

the help of technology in term of social network, many journalist, blogger, or

writer can help in write or promote our market to larger customer.

Personal Selling

We also use personal selling as one of our promotion strategy. Personal selling

is a process by where one party uses skill and technique for building personal

relationship with another party to discuss about thing that involve in a purchase

decision. Personal selling is good because we will know more about our

customer, and get instant feedback from our customer. It also helps in getting our

company a loyal customer.

4.8.3 Pricing strategy

Pricing is the major important strategy in any business because it helps to

ensure our business run successfully. The determination or set of price can affect the

customer choices. We will set our price by using cost-based pricing method in

which a fixed sum or a percentage of the total cost is added to the cost of the

product to arrive at its selling price.

4.8.4 Place strategy

For our place strategy, we choose Karamunsing as our place located at Kota

Kinabalu Sabah that is a very strategic place because of it is on place with a

shopping complex where many people will come. Place is important because it

helps in ensuring the flow of our company sales run nicely and noticeable.

4.8.5 People

People play an important part in the customer relationship. People are the most

important element of any service or experience. People buy from people that they

like, so the attitude, skills and appearance of all staff need to be first class.

4.8.6 Customer Services

Customer services can add value by offering customers technical support,

expertise and advice. Customer services provide expertise, technical support, and

coordinate the customer so that they can make their choices wisely and it

relationship with our company will be increased. Customer service can be face-

to-face, over the telephone or using the Internet. People tend to buy from people

that they like, and so effective customer service is vital.

4.9 Marketing Budget

Table 4.9: Automate hand plower marketing budget

ITEM FIXED ASSET

(RM)

MONTHLY EXPENSES

(RM)

OTHER

EXPENSES

(RM)

Signboard (4feets

x 3feets)

2 pieces

600

Packaging 130

Brand 2500

Labelling 250

Warranty 500

Business card 250

TOTAL 600 380 3250