Marketing Plan [application of selected business model] [Alvin Loh 0850458 Liew Chao Yen 0866282 Loke Bi Nuan 0850966 Kok Jun Yi 0850388] A.B.C.D. PTE LTD I. Executive Summary The company will establish themselves into the market in Singapore through an integration of apparel and café into a shop. Budget below S$300,000 will be used to set up stores island-wide. II. Business Overview The company has its intention to develop the Singapore largest apparel-café shop outlet in woodlands. Placing the outlet in Woodlands, shortest distance from Singapore to Malaysia is to successfully attract customers from both Singapore and Malaysia. The outlet has it concept of integrating the apparel shop and a café as one and intend to use Black and White as its ideal color for the brand. Work breakdown structure 5 A.B.C.D. Pte Ltd | Marketing Plan Gantt chart 6 A.B.C.D. Pte Ltd | Marketing Plan III. Target Market The company will target young adults in Singapore as their primary consumer. According to Euromonitor International, the Asia Pacific had a purchasing power for fashion of US$370 billion in 2008, a dramatic increase of over 60% from US$227 billion in 2007. This means that more people are willing to fork out more money to look good. With such an amount spent, it provides a base for more fashion brands to establish for consumers’ benefits. Many fashion brands from overseas like Taiwan and Japan have started establishing themselves in Singapore. Brands like “iROO”, “Uniqloo” are starting fashion trends among the young in Singapore. Similarly, Singapore Purchasing Power Parity (PPP) for these few years has been increasing since 2002. Thus, young adult being the one of the largest working category in Singapore has its potential in the market. Therefore, the company targets on the Young Adult category. IV. Goals The company aims to establish themselves into the Singapore market. The shop will be with the idea of apparel-café store to better serve customer. The company also aims to enhance customer relations through courses and trainings like anger management. A.B.C.D. Pte Ltd will intend to set up more than 20 outlet of the apparel-café shop island-wide within 5 years. She will become a listing company in the straits trading and hopefully franchise outside Singapore. Within 10 years, all departmental stores in Singapore like Metro will have her brand’s goods to be sold. 7 A.B.C.D. Pte Ltd | Marketing Plan V. Marketing Strategies Promotion There will be promotion through New Medias like advertising through Radio and Television, Facebook, Twitter; events like Road shows, Apparel design contest, Endorsement by celebrities and also starting the online shopping privilege. Bulk purchase Since the soaring of textile price, bulk purchasing together with the other similar market would bring greater advantage like cheaper rate. Operation cost thus reduced and in turn increase revenue. Sponsorship Finding sponsorship from relevant company that is interested in the products and willing to invest in the brand would help in bridging the brand into the market. Nonetheless, it will bring the set up cost down. Brand Loyalty Allowing customers to believe in the brand and constantly coming back for more goods is essential for a brand to stay unbeatable in the economy. Therefore, various strategies like loyalty cards and privilege membership will be issued to customers PRICE Our targeted customers are young adults, whose spending power is rather limited. In our studies and market research, the current color trend is Black and White. Therefore our price ranges from as low as $12 - $50: the attractive and affordable price for young adult to stay trendy. Product 8 A.B.C.D. Pte Ltd | Marketing Plan VI. Implementation Tactics Firstly, sourcing of a good location in Woodlands would be the foremost criteria. Setting up a booth in that location to draw attention to this newly created brand and to secure group of supporters before the shop is created. List to do when shop is ready to move in. Task a) b) Description Setting up of lighting Furnishing of store Setting of Café c) Installing of equipment d) e) f) g) h) i) Installing furniture Schedule meeting with all members. Advertising of the brand Final Check-up of the shop Opening ceremony of the shop VII. Budget Proposed budget monthly Total Advertisement on TV 2000 24,000 Newspaper Advertisement Facebook/webpage 1000 100 12,000 1200 Rental and Renovation 100,000 Materials cost 50,000 Salary and operation cost 10,000 Setting up café 50,000 Back-up Fund 20,000 The company has prepared a budget of S$267,200 to start store in Singapore. The company expects that it will have the revenue turnover of S$1,000,000 within a year. Based on the rising trend of people purchasing power in term of apparel, estimated revenue turnover is within approached. As accord to Singapore economic growth analysis, market is picking up after the world economic crisis happened during 2008. Thus, people are more willing to spend. Brand loyalty and exposure is crucial for the brand to build up. Thus, S$37,200 was pumped into the advertisement part. Back up fund of S$20,000 is allocated for rainy day especially during unexpected economic crisis and rise of production cost. A.B.C.D. Pte Ltd | Marketing Plan 9 VIII. Evaluation of Results Evaluation of the company’s direction will be done every end of the year. For the first year, measurement of effectiveness of the store that enters into the store would be the amount of traffic to the café apparel shop. We can track the amount of costumer to the shop for apparel, dine in café or both. Research and survey can be done to reflect how influential the brand is. Also, we would track the amount of male or female customers visit more so to decide which area we should focus on more. Review the idea of an apparel café shop is necessary to see if the café is profiting. Lastly, we have to see if the revenue and potential of expanding of the store by setting up second store or franchising is feasible. 10 A.B.C.D. Pte Ltd | Marketing Plan