1. 1. MARKETING PLAN FORLAKATAN BANANAPRODUCTIONCoz it is not just abanana, it is a LakatanBanana
2. 2. WHY LAKATAN BANANA?
3. 3. Why not then?The Lakatan Bananas is one ofthe local varieties of bananassold in the market together withthe Saba and Latundan varieties. It is found in both public markets and grocery stores. Moreover, itis grown in the local farm areasand making it highly accessiblefor buyers to have thecommodity
4. 4. YETTheres no stable marketThe product is neglectedThe product is produced and consumed by the locals
5. 5. THUS.This market plan wants to make a place for Lakatan Bananas by: Organizing the growers into anassociation Standardize the Product Market the product in the best waypossible
6. 6. CURRENT SCENARIOMarketing SituationThe ProductCompetitive Situation Macroenvironment Microenvironment
7. 7. MARKETING SITUATION According to the news, the Lakatan banana is being cultivated for the localconsumers and its production is declining due to the influence of themultinationals that are growing the Cavendish widely. There is a general high demand for the Lakatan banana yet the failure ofproper marketing made it a regular to the consumer and less profitable forthe farmers. In the contrary, there is a possibility for the Lakatan bananas to be exporteddue to the declining demand for Cavendish. The foreigners are looking for abanana that is organically grown as influenced by their tastes andpreferences and search for a healthier lifestyle. Much more that they arealso looking for a flavourful type of banana, too. In the current market, there is a consistent demand for Lakatan bananassince it is considered as a part of a healthy meal. However, it is not thatprofitable compared to its potential profit in the market.
8. 8. THE PRODUCT The Lakatan variety, scientifically known as Musa acuminate, is thebanana variety favoured by the taste buds of Filipinos. Known for itsfirmness and flavor, the Lakatan are very delectable as well as waycheaper than the Cavendish variety. Moreover, the Lakatan banana is indispensible fruit for the Filipinos and afavorite dessert after meals Lakatan banana is considered as a perishable and its life span variesupon the age of maturity it is harvested. If fully mature, it could last up to16 days at room temperature after ripening and can hold its best quality(Esguerra, 1996). Nowadays, Lakatan bananas are sold per kilo. From a recent surveyconducted, it showed that he usual farm gate price varies from P 12.50 toP 15.00 per kilo in terms of wholesale. When it comes to the market, thewholesale price is P 25.00 to P 30.00 per kilo.
9. 9. COMPETITIVE SITUATION Lakatan bananas are currently in high demand but thesupply cannot cope up with it. With regards todifferentiation, it is commonly sold with the other varietieswherein the price is made to be relatively low compared toits quality. The local men favour the product since it is a partof the local foods yet in terms of the international trade,Lakatan bananas are not significant in terms of export andimport. One cause of which is it is not favoured by the tasteand preferences by the foreigners. However, there is a chance that if the Lakatan bananas willbe marketed properly and given proper attention, it willenter the international trade. There are other Asiancountries who might patronize the commodity due therelative culture between them and the people in thePhilippines.
10. 10. COMPETITIVE SITUATION:MACRO-ENVIRONMENT Due to lack of supply, the Lakatan bananas are not being exported toother countries. Also, with the foreign tongues favour on the Cavendishvariety, the producers did not engaged in mass production. . Moreover, as observed in the presented data, it is deduced that thereis a poor market situation for this commodity from its production to itsunstandardized pricing. The undifferentiated scenario of Lakatan bananas made its promotionpoor and thus the commodity is less profitable. The lack of differentiation made the product just a commodity, not aproduct with unique qualities that will induce its stand in the market.
11. 11. COMPETITIVE SITUATION:MACRO-ENVIRONMENT Existing financial conditions of the people can afford the product but areunaware of the advantages of the product. There is no existing promotion from the government which did not encouragefarmers to grow this type of bananas and instead, they became contractgrowers of Cavendish bananas. There is no support or subsidy from the government that will suffice theneeds of the farmers in terms of growing Lakatan bananas. Organizing the Lakatan banana growers into an association called LakatanBanana Growers Association would be a great initiative in order for thesmall growers to create a group, make their produce in a bulk and thus, havea stand on the price instead of having the middlemen to do so. Moreover, thecollaboration will aid them to make promotion for the product with lesser costfor each member as well as if theres a need for loan, they can easily acquireit instead of individual loans.
12. 12. COMPETITIVE SITUATION: MICROENVIRONMENTThe proposed Lakatan banana production and marketing will be organized into an association with the intention of uniting them to have a stand the market, to differentiate their product and develop it in order to have a long run growth in terms of profit and quality of the product.
13. 13. STRENGTHS, WEAKNESSES, OPPORTUNITIES ANDTHREATS (SWOTS) ANALYSIS
14. 14. STRENGTHS The product is already known to the target market. The product is a part of the diet of the target market. The product is timeless and eaten any time of the year. The product can be produced widely in the area. The product can be grown organically. Lakatan Bananas have their aesthetic value and attractive toconsumers. The product has nutritional values. There is a high demand from the market for Lakatan Bananas. Lakatan Bananas can be exported together with Cavendish
15. 15. WEAKNESSES The Lakatan is not differentiated from other varieties. Poor marketing system of Lakatan Bananas, underpriced Small scale is the type of production system. Unstandardized production of Lakatan Bananas. Low supply is being produced by the producers. The price is fluctuating due to other varieties. No packaging has been established for this product.
16. 16. OPPORTUNITIES There is a big demand for Lakatan Bananas in the local market thatcan accommodate an increase in the production. Lakatan Bananas can be exported and thus can penetrate theworld market. Lakatan Bananas can be standardized and thus its value willincrease. Lakatan Bananas can be packaged and thus its shelf life as well asquality can be maintained. Lakatan Bananas can be an organic food and thus enter themarket for healthy food standards. Lakatan Bananas can be easily cultivated due to the availability oftissue cultured propagules
17. 17. THREATS Tundan and Saba are cheaper than Lakatan variety The imported fruits such as apples and oranges areavailable in the market. Lakatan Bananas value depreciates when its peeldevelops spots Lakatan Banana plants can be affected with diseasesand reduce the yield as well as the quality
18. 18. MARKETING MIX STRATEGIES
19. 19. THE PRODUCT The product will be labelled as Lakatan Banana and will be produced by Lakatan Banana Growers Association. It will be packaged with mesh bags with handle which will be in terms of per hand and per five fingers. Moreover, a description label will be included with the corresponding advantages of consuming Lakatan bananas among other banana variety and even fruits. The trademark of this product will be a slender banana cartoon that looks like the image of a Lakatan banana.
20. 20. PRICE The price of the product will be set close to theLatundan varieties which will only have a gain of atleast 5% plus the capital used in banana in the firstthree months and will increase gradually by 2% up to20%. This is done in order to gain market share andintroduce the affordability of the product. This will besold per hand in terms of kilograms instead of perfinger. Moreover, as the product will be introduced to themarket, the price will be only a breakeven and odd-centavo will be used in order to gather a market shareat the first day.
21. 21. DISTRIBUTION The packaged bananas in terms of per hand and per five fingerswill be distributed at known fruit stalls in the market as well insupermarkets or grocery stores where the traffic of people ishuge. Members of the association will be the one who will deliverthe products in these areas. Per five fingers package will also be distributed at known foodchains and hospital canteens that serve fresh banana as dessert.This is strategic considering that the establishments will build trustfor the product from the consumers who are patrons of the saidinstitutions.
22. 22. PROMOTION In order to popularize the product, the association will conductfree taste at grocery stores, hospital canteens, fruit vendor stalls,food chains for the first month. In schools, lecture regarding theimportance of eating fruits with the emphasis on the benefits ofconsuming Lakatan Banana will be presented. Free taste andinteractive show will be presented. Posters regarding the product will also be placed in strategicareas. This will include facts and myths, the advantages ofconsuming Lakatan Banana and the nearby places it is sold.Moreover, the contact number and address of the association willbe placed in case there would be suggestions and comments andbulk orders.
23. 23. BUDGETSUMMARY
24. 24. 1. Sales BudgetSalary/Labor P 30,000TransportationP 5,000Subtotal P 35 000
25. 25. 1. Advertising BudgetPackaging Materials P 3,000 (inclusive of mesh bags, label and tag) Posters 1,500 Subtotal P 4,500
26. 26. 1. Sales PromoRental ofP 3,000stalls Streamers2,000 Fliers 1,000 SubtotalP 6,000
27. 27. 1. Product PublicitySchool EventsP 2,500Hospital Canteens 2,000 SponsorshipFree Taste2,000Subtotal P 6,500
28. 28. 1. Farmers Skills Enhancement Trainings/Workshops/SeminarsP 100,000 Exposures/Fieldtrips50,000 Additional Seedlings and 250,000 Fertilizer Funding Loan SubtotalP 400,000 TOTAL MARKETING BUDGETP 452,000
29. 29. THANK YOU FORLISTENING!
30. 30. A MARKET DEVELOPMENT PLAN PREPARED BY: GROUP 6JOHN EMERSON ABRATIGUINJAYVEE CHLOE ADAJAR VINCENT ALAJIDMARIAN LAICA ANGCOAIRES CARREON JAMES HORTILANOJIMAE FAITH MAGNAYEJACKIELYN NACAITUNA