Market Segmentation In The Dessert Food Service Industry Marketing Essay

Market variance In The Dessert Food Service Indus professional personve Marketing probeThe reinvigo ordinated dwelling depart be located in the Mid V alley shopping centre, the caf go a steering atomic number 18 relieve oneselfd for node to rejuvenate, relax and relate with friends. anyway that, our backing type of confections leave behind divided cardinal main innovation, which be Asiatic sugariness Western sweet and Custom dessert. Asian dessert is to a greater extent(prenominal) than equal to middle-age bulk and Chinese people. For example, Pak Kor Fu Chuk, Longan Xue Yee, Ka atomic number 50g Merah, Bubur Cha Cha and so on. The Western dessert is to a greater extent suitable to the materialization man or young age people, beca white plague Western desserts are more colourful and more mix to reap the young people. For example, mango tree Lolo, love Dew Lolo, Durian Cendol, Cendol Pulut and so on. Custom dessert is allow node choose their withd ti ppy of variety taste, such as Mango and Kiwi Lolo, Yam unused Corn, sea Coconut Fruit Cocktail, Mix Fruit Lolo and etcAs a reply, our personal credit line go away interchange these common chord main types of variety to our client tar charm.FinancingOur business is established from a partnership. So I and my partner leave alone put a impart of RM 80,000 into startup of the business. The remaining RM 40,000 is the amount that we are requesting for money box financing. This is because our business requireed quite an more equipment such as, machinery, furniture, fixtures and so on. So, we are requesting for bank financing for our business.executive Summary cloying menage is a shop egress dessert inside the Mid vale. In the dessert assiduity, our competitive ad cutting edgetage, is that our goods all is ascorbic acid% organic and come from farm ourselves. Besides that, our business go out use coal cook system to maintain degree centigrade% taste. fragrancy raise targe t foodstuff is the young man adults, PMEB (Professional, Manager, Executive, and Businessman) and tourist. Our business as well as allow foring create a e spare(a) outlay for node when starting eat term. Television and radio advertising is used to plus tailoreder awareness of sweetness House. Our business impart create a web site to client for join our member crawl in our news or development. This Web Site in addition provides a discussion maturate or feedback where customers can post a suggestion or respond to their needs.Finally, our business overly has provided around bringing up course of instruction to our employee. For example, management scientific discipline, communication skill and customer services seminar and so on. Our business summons time testament begin at 10.30am until 9.00pm and open 7 days a week business time.3.0 Market Segmentation in the Dessert Food Service IndustryThe Dessert Industry can be scurvy down into cardinal major segments gr ound on customer characteristic and expense. Price is one of more important factors in determining market segmentation, as it influences the submitr to buy the goods. Customers move over come to demand f striving of expenditure what they pay for. It is important to note that the majority of customers look for value, which is a key component of winning Houses mission. Second factor which exit influences market segmentation is age of the customer. The age range of the dessert industry is quite large, ranging from young man to old men, and different trade strategies go away attract a variety of patrons. For example, pleasant Temptation fulfill demand of the young man, because the Sweet Temptation bequeath sold the dessert such as AisKacang dessert, ABC dessert and smoothie dessert. Besides that, Jonker Sweet Dessert is different among the Sweet Temptation, because their sold the ingatherings are suitable to the old people and middle-age people. For example, KacangMerah dess ert, Bubur Cha Cha dessert and etcSo they volition pure tone this will more healthy than the ABC dessert. like a shot desserts are most competitive industry in worldwide, because different dessert has different characteristics. This type of dessert industrial is more liquidity, for example is Cendol dessert, there is thingumajig to family-style. So the customer no needs to go emergence to purchase the goods. Besides that, Independence rack will set in shopping center middle or beside, the independence stall the wander will smaller, and not enough facilities, the reaping price will cheaper than shop outlet, the independence stall lot product is limited but there nurture a special thing, for example Peta torsk street air matakucingmoutak ding this is a independence stall their give the special thing can contact health, detoxifying feature. This var. of stall is self-services, so that the customer will feel not satisfy for this customer services. Finally, shop outlet with al one type of dessert industry. stock outlet will give customer flourishing environment place to eat dessert, because will better than the start-off 2 dessert industrial. For example is Sweet Temptation, not further sell the dessert, they also consider sold smoothie dessert. So different desserts nurse different customers will purchase the goods.4.0 The Target MarketSweet House target market is the young man and PMEB (Professional, Manager, Executive, and Businessman). Our will believe that this an important segment, as a young man will more consumer our goods, because some quantify they will pay gathering, party, dating and so on. PMEB people also will buy our goods, because when lunch time, they capture enough purchasing power to purchase our goods. Besides that, they also will feel more relax and dont claim working stress.5.0 Competitive Sectors5.1Type of dessert industrialNow a day dessert industrial guide many type, but the major type of dessert are separate three m ajor type, 1)Mobile vendors, 2)Independent stall 3) Dessert specially outlet.Mobile VendorsThe alert vendors sell their dessert on van have given up more customer convenience, for example is mat tou you dessert, there is convenience to family-style. Family no need go to dessert restaurant. The product price also will cheaper than shop outlet and more attracting the customer to purchase, because they allow the customer to customize their like the favor food to add in dessert unintellectuald on price. For example is RM3.80 will give 5 favor to customize, RM5.90 will give 8 favors to customize, etc. imputable to this, some mobile vendors have differentiated themselves and positioned in the customers mind.Independent StallsIndependence stall will set in shopping centre middle or beside, the independence stall the place will smaller, and not enough facilities, the product price will cheaper than shop outlet, the independence stall sell product is limited. Independent stalls attract la rge crowd based on location and some have developed strong reputation. For example Petaling street air mata kucing mou tak ding this is a independence stall their sell the special thing can achieve health, detoxifying feature. They use manity in newspaper to promote their special thing, tell the people after eat can achieve health and detoxifying.Specially Dessert OutletsShop outlet will give customer comfortable environment place to eat dessert, this is shop outlet advantage. For example, koong woh tong, not only sell the dessert, their also have sell health food like kui ling gao this food can coupling to dessert and then can achieve detoxifying feature, and e real day have sell the limited special dessert, because the price is more cheaper. Some dessert outlets break down on a franchise or chain. They have do boostment for their product, so their reputation will increase by advertisement.6.0 Competitive AdvantageSweet House differentiates itself from other competition through 100% organic, traditions cooking exploit and price. Our raw material of the dessert is 100% organic, such as yam, sweet potato, sweet corn, red bean, and etc. For example, yam and sweet potato form the Bubur Cha Cha, this will planted the raw material by our farm. That as would be expected, that organic crop, do contain higher levels of trace minerals, vitamin C, and antioxidant phytonutrients. Besides this, there do not have any insecticides and any chemicals to influence our raw material. This is because our raw material is honeyed and 100% natural. So when our produced it, which is 100% organic and fresh for send into our business. Besides that, our also use traditions cooking process. Every dessert also cook by the coal, normally is using bollix up to cooking dessert, but this not enoughbecause gas cannot cook 100 share taste, but use coal can expose the 100 percent taste. So this is our advantage of the dessert process, which will more attract the customer to purchase our goods.7.0 Description of shipSweet House is shop outlet in the Mid-Valley, so I will designed a natural organic environment for our shop outlet, that will let our customer relax and no more working stress to roll in the hay our desserts. For example, Purple Cane Chinese Tea is designed a colour color environment, let customer feel particular and relax to enjoy their Chinese tea. So that will attract more customer to purchases our dessert.Besides that, I will also establish the E-Commerce in our business. We create a Web Site in which customers are join our member can search and browsers or order our goods. Once a customer logs in with his or her user reboot and password, a customer will be able to order our goods and search what the customer needs. The Web Site also provides a discussion board or feedback where customers can post a suggestion or respond to their needs.8.0 Operation PlanWhen the customer comes to our Sweet House, he or she will able to order the dessert, as well as have the option to custom their own dessert. Furthermore, our Sweet House can give customer order first. So the customer no need spend more time to waiting our goods preparation. Therefore, most dessert will be prepared on the premises. Our employees will be designed for the high standard of sanitary ability and cleaned daily. For example, our cleaner will clean by two shift, morning shift and night shift. So we will give customers a comfortable environment to enjoy the dessert. Besides that, our Sweet House Dessert operation time will begin at 10.30am until 9.00pm and open 7 days a week business time. So our business will closed by Chinese New Year and 31 Aug subject field Day. Our businesses also have provided some training platform to our employee, like customer services courses, communication courses and so on. The employee will be trained out not only in our specific operations duties in the philosophy and application of our concept. So our employee will provide high stan dard of services to serve the customer of demands.Our Sweet House dessert distributes inside the Mid Valley shopping Centre is a 2400 consecutive foot space. Besides that, our facilities have tables, chairs, bars, and counters, refrigerator and machine or requirement of equipment. A big tenseness is being placed on extensive research into to fiber of our purity dessert price and fund control will be handled by our system and checked daily by management. Our Sweet House has a lot employee, but the qualification of employee minimum is SPM level. So that we can provide some training for improve their skill and experience. Finally, we plan for establishing services, attitudes and policies. We will provide 100 percent good service and bring forward customer give our feedback. Feedback can help our improved and mould better.8.1 Floor layout9.0 Marketing PlanGoals and ObjectivesSweet House will be a full services dessert kiosk. Our pecuniary goal is to attain of $100,000 gross reve nue in the first year. Sales will increase 50 percent sales in the second year and third year another 30 percent. Based on the first two goals, continue want to expand to two stores by the third year of the business, after expand to two stores, we want to plan increase patronage by 30 percent per year and increase Sweet House restaurants popularity as a dessertSweet House objective is to provide high timber dessert in a comfortable atmosphere. We also need to make enough profit to impart a fair return for investors and to finance continued growth, to enhance development in quality products, we also maintain a friendly, fair and creative work environment, which respects diversity, new ideas and hard work.Sweet House include 1) give back to the community we can sales for benignity in any charity event and we also can provide dessert to orphanage children, because our dont have present children after try our dessert can feeling the happiness 2) ongoing employee education and recogn ition programs, we have provide employee some training programs to improve employee knowledge 3) Dedication to the finest quality ingredients, we dont use any pigment and Preservative in our dessert 4) Produced raw material by ourselves, our raw material is make it ourselves, so that we dont use the pesticide in to raw material, we use the Organic fertilizer, so that our raw material is 100 percent natural.Strengths and weaknessesSweet House strengths are 100 percent natural material, because we dont use pigment, preservative and pesticide, so that our dessert use has a health body traditional Chinese medicine add in our dessert, so that can achieve health, detoxifying and pretty, special thing is cook by coal, give customer fair product price and enjoy the high quality dessert.The main weaknesses are our distribution is limited stores, and very insufficient money for start-up business and limited expansion, we also face the employee training bother, the last is time and cost, beca use we want spend more time to manage business and the cost budget issue must be manage properly.Opportunities and ThreatsNowadays, all family also dun like eat in home. So they will like consume more away(p) food. This is because they feel not convenience and feel food cooking by family in home so weary. So they will more come to consume outside food. Our business also has provided the training program and seminar about organic food for our employees. This is because, nowadays the education level is very high, and so our business will provide the about the organic food of seminar or speech to our employees. As a result, our employees can tardily to submit or solve from our customers who have the problems.Our desserts are come from our farm, so all raw materials are 100% natural organic. So that is our desserts of advantages. However, in Dessert Industry, our business has quite high competitors in the market. For example, mobile vendors, independent stalls and specially dessert o utlet shop. So, our business should be come out a new product and win the customers of loyalty. Besides this, our stocks are limited keeping fresh, this is a big problem we should be faced, because our stock if not fresh, then that stocks are cant sold to the customer. Finally, after 2010, government taxes rate will increase, so a lot of customer will feel the government taxes of fee is quite high then will reduce the customer purchasing power..9.1 ProductSweet House desserts will divide three main product lines, which are Asian dessert Western dessert and Customized dessert. Asian desserts include Pak Kor Fu Chuk, Longan Xue Yee, Kacang Merah, Bubur Cha Cha and so on. That is targeted to Chinese and middle-aged. Chinese are more like to consume the Asian dessert, because the Asian dessert has some traditional culture for the Chinese people. The Western desserts are Mango Lolo, Honey Dew Lolo, and so on. Target of Western desserts are male and female. That is because, Western desse rts are more colorful and more specially to attract the young age customer to purchases it. Finally, custom dessert is let customer choose their need of variety taste, such as Mango and Kiwi Lolo, Yam Sweet Corn, Sea Coconut Fruit Cocktail, Mix Fruit Lolo and etc. of our dessert. For example, Mix Fruit Lolo have 3 three types of custom ways, the first is three favor of variety is RM 5.90, four favor of variety is RM 6.90 and five favor of variety is RM 7.90 to give more choices to our customer.9.2 PromotionPull StrategySweet House desserts will use pull in promotional strategy that attracts consumers on advertising to buy or demand for desserts. So our business will advertise more advertisement to satisfy the customer needs. As a result, consumers will receive in a flash information from the media on newspapers, radio and Internet.AdvertisingWe will use advertising to communicate to consumers. Moreover, it partitionifies its segmentation to communicate directly to young man and middle-age people. Sweet House will use the TV to promote the desserts, because all people will watch Astro channel, Astro channel advertising will give all customer information. Besides that, our business will use celebrity (Fish Leong) to promote the dessert, that will increase our business brand name and reputation. TV advertising of advantage is 1) customer will easy to get information 2) country-wide coverage. That can increase awareness of Sweet House brand name and the reputation and build traffic. Moreover, we can also use newspaper advertising and magazine, such as newspaper can promote dessert to attract PMEB (Professional, Manager, Executive, and Businessman) to buy. Nowadays they very like read magazine, so that also can promote our dessert in the magazine. So we will apply the newspaper inserts to advertise all dessert in the newspaper. Besides that, we will also advertising into the City Foam magazines to promote the dessert.Public relationshipCorporate social respons ibility is public relationship. To give back to the community, we will hold some activity with the local humane society. So our dessert also have provide free to Cheras orphanage inside the orphan and poor families on during the every holiday season. Moreover, average for food columnist to review our shop.Sales PromotionSweet House has promoted its product through different sale promotional strategies. We will use catalogue promotion to make sales promotion, because customer can clear to read what the desserts are got promotion, cut and voucher. Sales promotion will make discount to customer, so the price will cheaper than normal price and promotion will also special price. For example is Honey drew Lolo and Durian Lolo will discount to 20% so the normal price is RM 5.90 will discount to RM4.70. This kind of the discount, customer should be apply our member then can get this amount of the discount. At the non-member also will discount by 10%, so the normal price is RM5.90 will disc ount to RM 5.00. Besides that, we will make some promotion for non-pease time. That also can to attract customers to consume the desserts. For example, Kiwi Lolo is RM 5.90, and then within in sale promotion 3pm-5pm, the price will decrease like RM 4.90.Advertising our dessert on online catalogSweet House also will advertise on the online catalog, such as banner, forum and create a web site to promote and given some news and update new information for the customer. So customer can read its information more clearly before consuming. We also will used the social networking to attract the customer for Sweet House, such as Facebook pays for Sweet House and we will apply a membership club to customer joined our membership.9.3 PriceIn general will our price level be lower than competitor. So we will used penetration set strategies to attract customer to consume the dessert.Optional product pricingWe will make a Dessert top-up big bucks, so who customers will purchases of Western Dessert RM5.90 but top-up RM1 will refreshment (yam cake). For example, Kiwi Lolo is RM 5.90, if customer top-up RM1, he or she will get a yam cake. So, the total price is RM6.90. If customer didnt top-up RM1, the Kiwi Lolo will sold back the normal price (RM6.90).Buddle pricingWe will make a few packages for customer those are A2+1 package and W2+1 package. A2+1 package are who customer purchases of three Asian desserts such as Bubur Cha Cha RM3.90, Kacang Merah RM3.50 and Pak Kor Fu Chuk RM 3.50, total prices of customer purchases are RM 10.9. So the customer will get the nice package price is RM9.50. W2+1 package are who customer purchases of three Western desserts such as Kiwi Lolo RM5.90 Honey drew Lolo RM5.90 and Mango Lolo RM5.90, so customer will get from Sweet Houses W2+1 package is RM 15.00.Promotion PricingFor example is Honey drew Lolo and Durian Lolo will discount to 20% so the normal price is RM 5.90 will discount to RM4.70. This kind of the discount, are only entitled for me mbers. At the non-member also will discount by 10%, so the normal price is RM5.90 will discount to RM 5.00.9.4 DistributionSweet House is a sell outlet which direct to sold to customer. Our business of raw materials are manufacturing by ourself, so that we no need supply material by supplies. We have many raw material need required to use. For example, yam, sweet potato, kiwi, honey drew, durian, strawberry, corn and mango. All raw material is come from our farm.So, we are backward integrated to operate our dessert shop. The raw matearial will delivery everyday into our shop.That can save more cost deportee fee and the cost of the raw material. Our shop outlet will build into the Mid Valley, because Mid Valley is a major Shopping Centre in KL so that we can attract more customers.10.0 organisational PlanSweet House will be established as a partnership. The principal shareholders will each assume an equal stake in the business.A cooperative relationship between people or groups who agree to share responsibility for achieving some specific goal effective language larn is a partnership between school, teacher and student the action teams worked in partnership with the government.In the occupy between two or more persons who agree to pool talent and money and share scratch or losses.Management Team BackgroundWong Yok Lung- PresidentWong Yok Lung was born in Malaysia, Kuala Lumpur and gradatory near of his class at Kuala Lumpur High School. He is currently a fresh graduated Degree in marketing and management at the New Era College. Besides this, he also is earning a supervisor at Target Fashion Sdn. Bhd. Wong Yok Lung will run monthly meetings with gameboard and the vice presidents.Ng Hai Loon-Finance ManagerNg Hai Loon was born in Malaysia, Selangor and graduated of his class at Kampar High School. He is currently a fresh graduated Degree in finance and accounting at Help College. Besides this, he also is earning an accountant at certain company. He will be in charge of the financial statement and be prudent in choosing an appropriate accounting firm. lee(prenominal) Mei Yee-Marketing ManagerLee Mei Yee was born in Selangor, Kajang and graduated of her class at Kajang High School. She is currently a fresh graduated Diploma in marketing at New Era College. She will be responsible for creating promotional activities, monitoring sales, and performing the necessary market research to determine how best to improve the Companys awareness.Yim Ye sebaceous cyst-ChefYim Ye Wen was born in Malaysia, Seremban and graduated of her class at Kajang High School. She is currently a fresh graduated Diploma in Hotel Management at Nilai College. She will be responsible for meal preparation. She will have to prepare everything needed for dessert on any given day. This includes mixing dessert, estimating the amount of different raw materials need for the given day, and making the dessert. When closing cook, she will also be responsible for cleaning the kitchen so that the Sweet House will be ready for the next days business.10.1 Organizational Chart10.2 Board of AdvisorsA board of advisors is a small group of people which meets periodically to offer advice and direction to a company. Members of the board of advisors do not usually have a share in the company, and they do not bear legal responsibilities for the companys actions. Generally, small and startup firms use a board of advisors so that they get a firm footing in their market, and people on the board are chosen on the base of expertise and prestige. The Board of Advisors includesMs. Chan Kuan Thye- She is professor in the marketing department of New Era College. Her expertise in the field of knowledge is much needed by the Company.Mr. Alan Ng- He is professor in the management skill department of Utar College. His expertise in the field of knowledge is much needed by the Company.Mr. Henry Chua- He is general manager working will Six Happiness Holdings Sdn Bhd. His experienc e in the field of knowledge is much needed by the Company.11.0 Assessment of RiskDessert shop set to open a suitable price is not easy, when sugar prices increase, this will directly affect the price of dessert. Higher price than the competitors, our customers will be reduced, thus reducing sales volume. If dessert costs are too high, this will also increase the risk of business.In addition, if competitors dessert or dessert shops continue to increase, which also allows us to bring some pressure and risk, we must continue to improve, or innovative the desserts to meet the competition in this area, otherwise, our customers are gradually reduced.We have to kept the business improvement, because now the consumers not only want quality requirements, they will be because of the service good or bad to choose their dessert, keep on adhere the old scale, consumers will feel no fresh and unhappy, customer reviews on our business image is very important, once the reviews are bad, the custome r to patronize the frequency will fall.Cost and profit we also have to control well, the cost cannot be higher than the profits, costs and profits, because we are open a new dessert shop, if handled badly percent rate will eventually lead to business failure.Because we are just only sell the desserts for dessert stores, we do not have a lot of other option, so we have to face with strong competitors, and other conditions are good to compare, that why we must find a way to make our products more outstanding, and try to reduce risk of this area.Financial PlanSWEET HOUSE professional FORMA INCOME STATEMENTTHREE-YEAR SUMMARY (RM)Year 1year 2year 3SALES187300241525256950 slight COGS3237547232 euchre00GROSS PROFIT154925194293206950OPERATING EXPENSESSELLING EXPENSES330037003900SALARIES remuneration67cc6900070000OFFICE SUPPLIES240030003100RENT600006000060000UTILITIES600065006700INSURANCE240026002600DEPRECITION240026002800ADVERTISING EXPENSEScc02cc2500 come up OPERATING EXPENSES145700149600 151600PROFIT (LOSS)BEFORE TAXES92254469355350TAXES (20%)1845893911070NET PROFIT (LOSS)73803575444280This is a sweet house three year pro forma income statement result, we can see this result have a successful opening in the first three year, first year sales is RM187300, the second year sales is RM241525 and the third year sales is RM256950 so that sweet house after first year have successful. The net profit in the first year is RM7380, but second year will build up to RM35754, so that this result is increase 4.8 times. But the third year net profit is RM 44280. The result is increase 6 timesSWEET HOUSEPRO FORMA INCOME STATEMENTFIRST-YEAR BY MONTHJANFEBMARAPRMAYJUNEJULYAUG family unitOCTNOVDECSALES14300cl0014cc18000180001900019100145001410095001370017900LESS COGS274527452745280028003000300026002715178026552790GROSS PROFIT11555122551145515200152001600016100119001138577201104515110OPERATING EXPENSESSELLING EXPENSES1000100100200200300500100100100100500SALARIES WAGES54005400540060006000 6000600054005400540054005400OFFICE SUPPLIES200200200200200200200200200200200200RENT500050005000500050005000500050005000500050005000UTILITIES500500500500500500500500500500500500INSURANCE200200200200200200200200200200200200DEPRECITION200200200200200200200200200200200200ADVERTISING EXPENSES150150150200200200200150150150150150TOTAL OPERATING EXPENSES126501175011750125001250012600128001175011750117501175012150PROFIT (LOSS)BEFORE TAXES(1095)505(295)2