SALES PROMOTION PLAN

SUBMITTED BY: GROUP 2Andrino, Roel N.Arante, Raymund Fiel C.Barra, Anjenette C.Esperanza, Peter FrancisGuting, Jeralyn S.Kintanar, Benjamin Leoric E.Mesias, Kate Ann C.Navarro, Mariane Nicole R.Sierra, Jilzander John B.Valenzona, Angeli T.

COURSE & SECTION:BSBA MM 2-1

SUBMITTED TO:SIR ERWIN VICMAN LARA

DATE: MARCH 05, 2016

Republic of the PhilippinesPOLYTECHNIC UNIVERSITY OF THE PHILIPPINESQUEZON CITY BRANCH

Everyday Sweetness for Your Heart

About the Company:

Sweetcore Co. is a manufacturing company of confection snack, especially dark chocolate products. Aiming to provide Filipino consumers of a quality and healthy snack given its natural contents and health benefits at affordable price.

Sweetcore Product Offerings

DESCRIPTION NET WT. SRPSweetcore Dark Chocolate Bar 40g P 25.00Mini Sweetcore 10g 6.00Almond Dark Chocolate Bar 40g 29.75Dark Choco-covered Wafer 20g 8.00Sweetcore Chocolate Dragèes 12g 5.00

I. Environmental AnalysisDSTEP AnalysisDemographics:Filipino consumers are looking for fresh snacks which offer health and nutrition benefits. Also, research findings of Nielsen Company shows that chocolate is secondly preferred snack of Filipino.

Social:The chocolate industry, specifically dark chocolates, is viewed as healthy source and replace for snacks with high-sugar content. People who are into the alternative lifestyle, health conscious, who seeks a good low-in-calorie snacks and the chocolate lovers are the target social group of the company.

Technology:Due to the existing competitors, the creation of innovative products concerning to the health sweet sensation of the Filipinos are made affordable. Making the confectionary brand more exciting in terms of taste and packaging.

Economic: Nielsen Global Survey 2014 reported that the chocolate has the most percentage of consumer’s favorite snack in Asia. But Filipinos still generally regard chocolate as a treat reserved for special occasions. However, Sweetcore sees this as opportunity to offer= an affordable chocolate that consumers may enjoy every day.

Political:Cocoa as a key raw material, remains lacking in terms of quantity and quality. In this regard, the government provides support in terms of improving the production of high quality cacao beans.

II. Internal Analysis STRENGTH WEAKNESS

Quality product mix Health benefits:

▫ Decreased insulin resistance▫ Lower blood pressure▫ Chocolate help stabilize blood sugar

Price according to Philippine market

Dental problems due to sweet consumption

Eating too much will lead to weight gain

OPPORTUNITY THREATS Increasing demand for healthier variants

of chocolates Special occasion in Philippines

▫ e.g. Valentine’s Day, Christmas Day

Competition Preference and availability of

other substitutes (sweets and desserts)

III. Marketing Strategy

We will start in entering our products in the colleges’ and universities’ cafeterias as a market tester that could become a popular confectionary brand in the future. Concentration will be on maintaining quality of products at its affordable price and establishing a strong identity of healthy sweet sensation of products. Sweetcore will be known for looking out for the health of consumers. We will make the confectionary brand more exciting in terms of packaging with the slogan “Everyday Sweetness for Your Heart,” to spread the health benefits of dark chocolate.

Following a combination of broadcast media and retailer store marketing program will be developed. Supporting retailers by providing print advertisements. As soon as a concentration of products are established in the universities, then broader media will be explored.

IV. Primary Target Market The college students, both male and female belong in high to low income individuals,

currently enrolled from selected 20 colleges and universities in Quezon City.

V. Sales Promotion Objectives To set brand awareness to the consumer. To inform the consumers about the quality and health benefits of the products. To attract customers to switch in the product. To gain retail distribution for the product. To develop high sales and volume over the long term.

VI. Budget

Personnel▫ Four Personnel

P38,480.00

Equipment▫ e.g. Netbooks, High-speed

internet, camera, extension wires

70,000.00

Booth 10,000.00Promotion Fee 50,000.00Sample Promotion Cost 7,500.00Packaging Cost 5,000.00Prize Cost 10,000.00Transportation Cost 10,000.00

Total Estimated Budget: 200,980.00

Profit Calculation:

A) P35 (300 packs) 10,500.00 B.1) P50 (200 packs) 10,000.00 B.2) P50 (200 packs) 10,000.00 C) P70 (100 packs) 7,000.00

37,500.00Multiply: 20 (Colleges/Universities) 750,000.00

Total Gross Sales 750,000.00Less: Total Expenses 200,980.00

Projected Net Income: 549,020.00

VII. Promotional ObjectiveKEY RESULT AREA GOAL WEIGHTAGE

1. Achieving target sales 80% Sales target 100%

VIII. Sales Promotion ProgramConsumer Promotion:1. Campus Sampling Free Taste:Basis: Free trial will give the consumers a chance to try the quality of the product that eventually will lead the consumers to purchase the product. This program aims to introduce the Sweetcore brand to the consumers.Pros: Most consumers want to test the product before buying it. Consumer’s approval of the product will lead to purchasing.Cons: Some customers may be only interested about the free taste and not buying the product.

2. Combination Program: Buy Special Treat Packs with 20% Discount & Get a Chance to Win Instant Prizes in “Take A Sweet Pose - Photo Contest”

Basis: Combining several items in one pack with a 20% discount would increase chances of purchase. This promo aims to target people who wants variety in their purchased goods. With the combination of a contest, it brings a higher chances of purchase. For the consumers will desire to win prizes. Pros: Bundling will induce trial of other products. Cons: Bundled items may not be the items consumers’ want. Thus, choosing the right items to bundle is the key. Prizes may not appeal to the consumers. Thus, must select an appropriate prizes.

Trade Promotion:3. Buying Allowance: Retailers Php100 to Php150 discount off the price list on each caseBasis: In order to stimulate volume purchasing from retailers, a Php100 to Php150 discount will be offered so that each retailer is encouraged to purchase more.Pros: Sales by volume will increase.Cons: Retailer might not accept.

4. POP Display:Basis: Providing Point-Of-Purchase (POP) display units for free to retailers will help them promote the Sweetcore products. This will provide or remind about important information such as the product name, appearance of the product, and sizes.Pros: High product visibility gives a higher chances of consumers to purchase the product.Cons: Retailers might not use a POP display. Probably the most effective way to ensure that a reseller will use a POP display is to design it to generate sales for the retailer.

IX. Program MechanicsCampus Tour Programs:

1. Campus Sampling Free Taste: The sampling will be conducted in campuses through a very appealing booth to capture the

attention of students. The booth will be designed according to the healthy and sweet brand personality of the Sweetcore products. By the appearance of the booth, the health benefits of the products will be identified.

Each students must register their name on provided electronic registration to avoid the entry duplication. Then, they will log in to their Facebook account through the laptops with internet provided by the company and Like the Sweetcore Fan Page. The first 150 students will get a free taste of 4g Sweetcore Dark Chocolate.

2. Combination Program: Buy Special Treat Packs with 20% Discount & Get a Chance to Win Instant Prizes in “Take A Sweet Pose - Photo Contest”

Bundled Pack: Buy Special Treat Packs with 20% Discount: The consumers can select in different packs with distinctive prices and items. Timeframe: 1 day The items per pack will be bundled by high-priced products plus low-priced products.

Kinds of Packs:

Contest: “Take A Sweet Pose - Photo Contest”: For every single purchase of Special Treat Pack, consumer has one slot for photo contest. Photos will be taken in the Sweetcore Photo booth with provided props and camera. The

participants will choose one picture out of three shots. It can be solo picture or a group of two or more persons.

Five best photos will be selected to win a specially designed T-Shirts. Winners will be announced before the end of the program. All photos will be uploaded on Sweetcore Fan Page, where students can tag their account

name or download their photos.

3. Buying Allowance: Retailers Php100 to Php150 discount off the price list on each case Retailers can purchase as much as they can depending on stock availability. Straight discount will be implemented for retailers. Time Frame: 3 months

4. POP Display The POP Displays will be given to the retailers upon the delivery of products. Providing two pieces of posters each colleges/universities cafeteria.

X. Research and Pre-testingResearch:

(Attached here some link/URL (researches) about dark chocolates’ health benefits)http://authoritynutrition.com/7-health-benefits-dark-chocolate/

SPECIAL TREAT PACKS Package A: PHP 35.00▫Sweetcore Dark Chocolate Bar 40g▫Mini Sweetcore 10g x 2▫Sweetcore Chocolate Dragèes 12g x 2

Package B: PHP 50.00 B.1 - Sweetcore Dark Chocolate Bar 40g - Mini Sweetcore 10g - Sweetcore Wafer 20g x 2 - Sweetcore Chocolate Dragèes 12g x 3 B.2 - Almond Dark Chocolate Bar 40g

- Mini Sweetcore 10g - Sweetcore Wafer 20g - Sweetcore Chocolate Dragèes 12g x 4

Package C: PHP 70.00▫ Sweetcore Dark Chocolate Bar 40g▫ Almond Dark Chocolate Bar 40g▫ Sweetcore Wafer 20g▫ Sweetcore Chocolate Dragèes 12g x 4

http://www.terraclicks.com/watch?key=e311d86e808250b92227a281e923404ahttp://www.worldcocoafoundation.org/wp-content/uploads/files_mf/latif2013humannutritionreview.pdfhttp://synergyprograms.com/wp-content/uploads/2012/10/Benefits-and-processing-of-chocolate.pdf

(Attached here some link/URL (researches) concerning dark chocolate campaign)http://bis.lexisnexis.co.uk/products/smartwatch/tabs-content/additional-resources/link-3/Dark_Chocolate.pdfhttps://www.umb.edu/editor_uploads/images/college_management/Infusions_Business_Plan_-_Revised_Version_-_February_16_2012.pdfhttp://www.lindt-spruengli.com/fileadmin/user_upload/corporate/user_upload/Investors/Annual_Reports/Annual_Report_13_E_11_March_2014.pdfhttps://static.googleusercontent.com/media/www.google.com/en/ph/adwords/pdf/step_by_step.pdf

Potential Benefits of Dark Chocolate:

All chocolate is not created equal in terms of health benefits. When it comes to foods high in simple sugars, less is better if you have diabetes. Dark chocolate contains more cocoa and less sugar than milk chocolate, so you can eat a little more of it if you're controlling your calories or sugar intake. With dark chocolate, the higher the cocoa percentage, the better it is for you. Look for dark chocolate with at least 70 percent cocoa, registered dietitian Mitzi Dulan recommends. White chocolate contains no cocoa and is higher in calories and saturated fat than dark or milk chocolate.

In an Italian study published in the March 2005 issue of "The American Journal of Clinical Nutrition," healthy subjects who consumed dark chocolate for seven days had decreased insulin resistance as well as lower blood pressure. Insulin resistance restricts the uptake of glucose into cells, which causes blood glucose levels to rise. People who ate white chocolate did not experience a decrease in blood pressure or insulin resistance. In a British study published in the November 2010 issue of "Diabetic Medicine," diabetics who consumed chocolate high in cocoa for 16 weeks experienced a decrease in total cholesterol and an increase in high-density lipoprotein, the so-called "good" cholesterol.

Pre-Testing:

▫ Participants: 8 College Students from different schools (4 males & 4 females). Recruitment will be selected from schools student councils.

▫ Lay-out: The seats in U-shaped arrangement▫ Timing: 2 hours (the time is set according to the convenient time of participants)▫ No. of Staff: 2 staff – 1 facilitator and 1 note-taker▫ Recording: Video Recording, minutes, photo documentation: to record the details of the

discussion.▫ Incentives: Travel expenses and snacks are shouldered by the company.

Activity: Metaphor drawings - this will help respondents to talk about products and brands by using imagery to share how they feel. To learn about how the brand makes people feel, how they interact with the brand, and what the brand means in their lives. Participants are asked to draw entitled, “How I feel about Sweetcore.” Then, participants share their drawings with the group to fuel a discussion.

Activity: Picture interpretation - respondents are shown a pictures and asked to describe the connections of each picture, what is happening, what dialogue might be going on between characters, or how the scene might continue. Picture interpretation helps

participants express their true beliefs and attitudes more easily by allowing them to project hidden feelings or associations onto a neutral scene.

XI. Implementation Action Plan

Activity To Dos Person Responsible

Action Indicator

Campus Sampling: Free Taste

Coordinate with the school officials

Marketing Signed Contracts

Production of specialized packs and smaller amounts of chocolates

Production and creative

design from creative, estimated date of shipment, list and total number of packs and chocolates produced

Price Pack Deal:

Bundled pack

Coordinate with promo to Distributors

Trade Marketing Signed agreement from Distributors

Roll out to Retailers Distributors Total number of purchase orders

POP Displays Coordinate with the store

Marketing Signed agreements

Setting up stalls Creative Visible stalls with products

XII. Briefing the sales force

Step One: Schedule at least a one-hour meeting

Step Two: Set the expectations and objectives of your meeting

Step Three: Discuss the goals that have been set Step Four: Uncover how they want to be managed and held accountable 

Step Five: Debrief/Synthesis

Step Six: Motivating the Team

XIII. Delivery of itemsThe products will be delivered to the consumer either Direct or Indirect (Indirect: Retailer to Consumer) or (Direct: Manufacturer to consumer)

XIV. Fulfillment

Consumer Case: Consumers can choose from the Special Treat Packs offered in the booth in exchange with monetary value. And will be given a chance to join the Photo Contest. The consumers’ picture can claim to the Sweetcore Fan Page.

Trade Case: Retailers will get a discount per case if the target volume will meet. The retailers will have a marketing support from the company by providing them a promotion displays.

XV. Contingency plan

Scenario: Lack of ParticipantsResponse Strategy: Encourage customers to joinImplementation: Personnel will give flyers to invite and inform the customers about the campus tour.

Scenario: Unexpected Bad WeatherResponse Strategy: Placing a large size of pole tent in the open area or placing the booth in the covered court.Implementation: Arranging the pole tent along preparation of booth

XVI. Evaluation and Feedback