Starship Final

1.0 Executive Summary

Abul Khair Group is one of the largest and

rapid growing companies in Bangladesh. It

was established in 1953. It is now one of

the most successful companies in terms of

professionalism and management

excellence. The main business objectives

are to prove guaranteed quality, fair and

competitive price and optimum services

leading to total consumer satisfaction.

Abul Khair Group started fruit drink

production in September 2002 under the

“Star Ship juice” brand name. Among the

several units of Abul Khair Group, fruit

drinks are one of the most vital divisions

Marketing Plan on “Star Ship juice” 1

of the group. Now it has

five type different flavours, these are

Starship Orange Juice, Starship Chocolate

Milk, Starship Mango Milk, Starship

Pineapple Juice and Starship Mango Juice.

All of these products ensure supreme

quality, availability and customer

satisfaction. All the products are produced

under better hygienic conditions by using

sophisticated technology Now Starship is a

popular brand name in Bangladesh. We

was captured the market of India within a

year of launching its products. Also, we

were going to explore our market in the

Middle East.


Our marketing research

indicates a specific and growing need in

the juice market and Starship offers in the

market its products. Our marketing

strategy will based will be based on strong

quality of product delight out target

market. Starship will focus on it’s

availability of product, competitive pricing

and greater value than competitors.

Our marketing objective is to actively

support continued growth and profitability

through effective implementation of the

strategy.


2.0 Situational Analysis

Starship juice is heading its third year of

operation. The Starship’s portfolio has

been well received, and making is now

critical continued success and future

profitability. It’s maintaining high quality

to its products. Starship’s offer various

flavor to its consumer. Quality will be key

to the development of product and

marketing will be key to the development


of product awareness as

well as the growth of the customer base.

2.1 Market Summary

We possess sufficient information about

the market and consumer needs, wants and

demand. It will help to right offer to right

customer and we can meet consumer’s

satisfaction and can better communication

with them. Also we have some important

information about customer, which is

helps to makes delight to consumer.

Target Markets

The target market of Starship juice is

shown below:


T

A

R

G

E

T

M

A

R

K

E

T

Children(Below 7 years)

School, College, University students

Patients

Older persons

Tourists

Different programs (meeting, picnic etc)

2.1.1. Market Demographics

The profile of Starship juice customer

consists of the following geographies,

demographics and behavior factor:

Ж Geographic

Starship has no specific

domestic geographic target area.

We serve our product to domestic

market and international market.

First we covered the urban

area, and then we covered rural

area.

Recreational area. Like - Park,

fair etc.


Its demand will

increase in summer season.

Ж Demographics

Demographic has been done on the basis

of the following attributes:

There almost same quantity

between boys and girl for

children and school level student.

In university & college level,

girl’s consumers are more than

boys.

Older woman are prefer more

than boys.

High, Middle, Upper middle

and middle class.


Ж Behavior factor

Baby’s parents want nutritious

food for their baby’s growth.

Students wants pure water for

meet their thirsty, If they get extra

vitamin, calcium etc, then they

prefers it highly more than

normal drinking water.

Consumer wants products,

which is avail in any where on

any time.

Consumer feel that they have

a separate image for drinks

Starship juice.


2.1.2 Market Needs

Starship juice provides its customers the

opportunity to choose favorite juice from

various flavors.

Starship juice also fulfills the following

benefits which are important to their

customer-

Ж High quality

Consumer want high quality product,

which is must be hygienic. Starship’s

meet this need of consumer.


Ж Acceptable price

Consumer needs a high quality product

at acceptable price, for that reason

Starship provide high quality product

in a acceptable price.

Ж Different flavors

Different customers have different

types of choice. So Starship provide

different flavor for meet their need.

Ж Product availability

Customer always needs product

availability. Which flavor they like

most they need to get it on time and

any anywhere.


2.1.3 Market Trends

Starship will produce different type of

juice in which is not available in the

market. In the past Starship provide

various flavor in juice market but now,

juice industry is growing , more

competitor are coming in the market also

customer are more knowledgeable for that

reason they want different type of tasty

product. At the moment market is growing

faster, competitor are increasing. Thus,

Starship make segment for their product.

They divided their customer in to five

groups, and give emphasis on each of the

group.


2.1.4 Market Growth

Gradually total juice industry is going

upward with a strong competition. With

the domestic market, our international

market growth statistics is increasing day

by day. Our previous statistics shown that

our sale is increase by 22.57% in 2004-

2005 income years, which is more than

1.25% of previous year.

2.2 SWOT Analysis

The following SOWT analysis captures the

key strength and weakness within the


company, and describes

the opportunities and threats facing

Starship juice

2.2.1 Strengths

Ж Popular brand name

Ж Strong quality

Ж Attracting packaging

Ж Own distribution channel

Ж Maximum buyers are satisfy

2.2.2 Weakness

Ж High manufacturing cost.

Ж Lack of promotional activities

Ж Insufficient capital

Ж Location disadvantage of factory

for distribution.


2.2.3 Opportunities

Ж Increasing the demand of juice

Ж Introduce juice powder to make

juice in home

Ж Improve market portfolio

Ж Export to foreign country

Ж Promotional activities for increase

brand image

2.2.4 Threats

Ж Legal & political barriers

Ж New competitors are entrance in

the market


Ж Increasing the

price of raw material

2.3 Competitions

Starship juices establish its own market.

Also its face some competitors. These

competitors are following. These are

following-

Ж Shezen: Shezen juice is captured

maximum market share of juice

industries. It’s a Saudi-Arabian’s

products. It’s a hold a leading position

for long time in juice industry in our

country.

Ж Pran: Pran is our domestic

product. Huge amount of this product


is export to abroad. Its

offer lots of flavor with different size

of product to consumer.

Ж Acme: Basically Acme is a

Pharmaceutical company of our

company. But recently they produce

juice, which is get popularity in very

short time to market.

Ж Danish: Danish is one of the

popular brands in juice industry. The

have so much capital for increase their

market. But they are not aware for

more invest this sight.

2.4 Product offering


We offer different type of flavor with different size to

our consumer for choose his/her favorite juice. This are-

Flavour Price(Tk.) 200 ml

Wholesale

Retail

Starship Mango Juice

10 12

Starship Chocolate Milk

10 12

Starship

Mango Milk10 12

Starship

Pineapple

Juice

10 12

Starship

Orange

Juice

10 12


2.5 Key to success

Ж Strong quality

Ж Brand image of the product.

Ж Own distribution channel

Ж Retain customer to generate

repeat purchase and referrals.

Ж Generate average sales in

excess of Tk.103878 per business

day ( 288day per year )

2.6 Critical issues

Form the inauguration, Starship is still in

the early stage. The critical issues for

Starship juice are:

Ж Quality variation of products


Ж Competitively

higher cost.

Ж Excess discounts from other

competitors.


3.0 Marketing strategy

Our marketing strategy will create

awareness, interest and appeal from our

target market for what Starship offer our

customers.

Our marketing strategy is based on

superior performance in the following

areas:

Ж Different flavor

Ж Product quality

Ж Delight customer

3.1 Mission

Our mission is to provide satisfaction at a

competitive cost, growth in diversity, and

continue to contribute to the growth of


industrialization in

Bangladesh by being the market leader.

3.2 Marketing Objective

Ж To attain quantitative and

qualitative leadership in the

sectors.

Ж Maintain constant positive sales

growth every year

Ж Increase the market share by

market penetration and market

development.

Ж To modify the existing market

areas and selecting new segments.

Ж To increase product awareness

as well as sales by persuasive

promotion based strategies.


3.3 Financial Objective

Ж Generate an average sales per

business day ( 288 per year ) in

excess of Tk.103878

Ж Maintain double digit growth

each year.

Ж Increase the profit margin

through efficiency and economy of

scale gain.

3.4. Target Market


The potential markets are

separated into five 6 segments; “Children

(Below 7 years)”,

“Different programs (meeting, picnic

etc)”, “School”, College, University

students”, “Patients”, “Tourists”, and

“Older persons”. The primary marketing

opportunity is selling to these well defined

and accessible target market segments that

focus on investing discretionary income in

these areas:

Ж Children (Below 7 years):

Under seven years old children are

our one of the major segment of

target markets. They select juice

base on attracting packaging and


advertisement.

Already we have attracting packet,

and we will expense enough for

TV advertisement and children

program on TV.

Ж Different programs: Our

segment is different type of

program that can be recreation

program, cultural program, family

program and religious programmed

etc. Like- picnic, birthday, fair,

meeting, iftar programe, pohela

boishak etc.

Ж Older persons: They are our

new segment of target market. Day


by day increase

this type of consumer. They like to

eat sweet drinks, so the demand of

Starship juice is increasing day by

day to them.

Ж School, College, University

students: School, College, and

university students think about

their separate image and tasty

juice.

Ж Patients: Starship juice doesn’t

use any comical and preservative,

which is harmful for health. So

doctors are prescribed them drink


juice as hygienic

food for come back from sickness.

Ж Tourists: Tourist are our

another important consumer of

target market. Because they want

available product on market in any

time.

3.5 Positioning

Starship will maintain its position in juice

industry. The position will achieved by

quality full product, competitive price, and

consumer’s favorite flavors and delight

consumers. We have experienced manager


for make awareness about

the product to customer.

3.6 Strategies

Our primary marketing strategy will seek

to first create customer awareness

regarding the products.

Our other marketing strategy are-

Ж Practicing Total Quality

Management (TQM)

Ж Consumer Orientation

Ж Produce and market

international standard products

Ж To increase the product line

and length as per the expectations

of the consumers


Ж To serve the

consumer with competitive prices

Ж To ensure the availability of the

product

Ж Educate the consumers and the

intermediaries by providing

requisite information

Ж Maintaining social

responsibility


3.7 Marketing Mix

“Star Ship Juice” marketing mix is

comprised of the following approaches to

price, distribution, advertising and

promotion, and customer service.


PlaceChannelsCoverage

AssortmentsLocationInventory

TransportationLogistics

Promotion

AdvertisingPersonal SellingSales

PromotionPublic relation

ProductVarietyQualityDesign

FeaturesBrand ManePackagingServices

PriceList PriceDiscount

AllowancePayment Period

ReturnsCredit Terms

Marketing Mix

PRODUCT

Ж Brand name

The brand name of our product is

“Star Ship”.

Ж Product variety

Starship has five types of

flavour.Thsee are-Starship Mango

Juice, Starship Chocolate Milk,

Starship Mango Milk, Starship

Pineapple Juice and Starship

Orange Juice.


Ж Quality

Always we maintain high quality

of our product. We follow Total

Quality Management (TQM) is

practiced here and that's why it was

awarded with the certificate of ISO

and HACCP.

Ж Design

Square shaped pack, made by hard

paper hard paper. It’s length is 1.8

inch, wide is 1.4 inch and height is

4.6 inch.

Ж Features

Our product has no features.

Ж Packaging


We will supply

Starship to retailer or whole seller

in a hard plastic packet. Every

packet made by 12 packs. Multi

colorful designed are printed on the

pack.

Ж Size

Our product size is 200ml.

Ж Service

We will not provide any service for

our product.


PROMOTION

Ж Sales promotion

We will provide shot-term

incentives to encourage and

purchase or sale of our product.

Occasionally we will give some

promotion. Sometimes we will give

extra more juice pace to the retailer

and sellers.

Ж Advertising

We will invests sufficient money

for Star Ship’s advertising in every

year. We will give advertisement

for Starship’s promotion through

TV media, newspaper, billboard,

popular magazine, posturing,


promotional events

and etc.

Ж Personal selling

We will not arrange any kind

personal selling.

Ж Public relation

For building good relations with

the company’s various publics by

obtaining favorable publicity,

building up a good “corporate

image” and handing or heading off

unfavorable rumors stories, and

events.

PRICE


Ж List price

Price of Starship is competitive.

Price ofWholesale

(Tk.)

Retail

(Tk.)

Starship Orange

Juice10 12

Starship

Chocolate Milk10 12

Starship Mango

Milk10 12

Starship

Pineapple Juice10 12

Starship Mango

Juice10 12


Ж Discount

We will give some discount for

retailer.

Ж Allowances

We will provide some margin to

the retailer.

Ж Payment period

We will collect advanced payment

from the retailer.

Ж Credit terms

We follow a credit term which is

set by our government. That is

standard commercial terms.


PLACE

Ж Channels

Our distributor’s have own channel

for distribute our products.

Ж Distributor

We have own distribution channel

for distribute our products.

Ж Location

National: We will cover urban

area of our country, then we will

cover rural area.

International: It’s already being

exported to West Bengal and a few

north-eastern states including


Tripura. Starship

juice is export Kolkata, Siliguri,

Agartala and other cities and towns

in the region also Middle East.

Ж Transport

We will use our own transport to

distribute our product to allover the

country in Bangladesh.

3.8 Marketing Research

Information will collect through

followings -

Ж Initial question results – The

advertisement division notes


customer responses

to the “How did you here about

product?” question. We attempt to

co related that with our advertising

and promotional activities and

referral generations programs.

Ж Customer suggestion – The

Customer suggestion box is

another method to gain additional

information customer. Some of the

most productive question are:

What suggestion do you

have to improve our

product?

For which do you

purchase our juice?


What

other flavors would you

like to have available in the

market?

Ж Research process

Data sources: Primary

data.

Resource approach:

Survey research and

observational research.

Research instrument:

Open ended and close

ended questioner.

Research techniques:

Extreme user interview,


story telling

and personal interview.

Sampling size: Decided

by management.


4.0 Financials

This section will offer a financial overview

of Interior views as it relates to our


marketing activities. We

will address break-even information, sales

forecast, expense forecasts, and how those

link to our marketing strategy.

4.1 Break-even Analysis

The break-even analysis below illustrates

the number of single sales, or units, that

we must realize to break-even. This is

based on average sale and costs per

transaction.

Tk.900

000

Prof

it

area


Mon

thly

Fixed

C

ost

Mon

thly

Variab

le Cost

Tk.750

000

Tk.600

000

Tk.450

000

Tk.300

000

Tk.150

000

0

15000 Units

30000Units

45000Units

60000Units

75000Units

90000Units

Monthly Break-even Point

Break-even Analysis

Break-even Point = Where line intercept

with 0.


Total monthly expenses.

Monthly Fixed Cost.

Total monthly revenue.

Monthly units Break-even

Monthly Revenue Break-even.

[Table: 4.1] Break-even Analysis

Break-even Analysis:

Monthly Units Beak-even

61966

Monthly Revenue Beak-even

Tk.619660

Assumptions:

Average Per-Unit Revenue

Tk. 4.48

Average Per-Unit Variable Cost

Tk. 5.52


Estimated monthly Fixed

Cost Tk. 277609.00

4.2 Sales Forecast:

Starship thinks that the sales forecast

figures are conservative. The sales forecast

will be achieve into the into the five main

revenue streams; Starship Mango Juice,

Starship Chocolate Milk, Starship Mango

Milk, Starship Pineapple Juice, Starship

Orange Juice. It will steadily increase sales

as the advertising budget allows although

the target market forecast listed all of the

potential customers divided into separate

groups. The forecasted customers group

divided into six categories: “Patients”;


Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dce

Jan

Feb

Mar

0

1000000

2000000

3000000

4000000

5000000

6000000

“Tourists”; “Older

persons”; “Children (Below 7 years)”;

“Different programs (meeting, picnic

etc)”; “School, College, University

students”.

Monthly Sales forecast

Figure: 4.2.0

[Figure 4.2.0] Graph analysis:


Month Sales(Tk.) yearly sales %

April 4575969.3 15%May 5186098.54 17%June 2745581.58 9%July 2440516.96 8%August 2135452.34 7%September 2135452.34 7%October 1830387.72 6%November 915193.86 3%December 1220258.48 4%January 1525323.1 5%February 2135452.34 7%March 3660775.44 12%

[Table 4.2.1]Sales Forecast:

Sales 2004-20052005-2006

2006-2007 2007-2008

2008-2009

Starship Mango Juice 5840600 7158823.4 8846874 11069208.73 13963807Starship 5236400 6418255.5 7931680.1 9924118.169 12519275


Chocolate MilkStarship Mango Milk 5035000 6171399.5 7626615.5 9542421.316 12037764Starship Pineapple Juice 604200 740567.94 915193.86 1145090.558 1444531.7Starship Orange Juice 3423800 4196551.7 5186098.5 6488846.495 8185679.9Total Sales(Tk.) 20140000 24685598 30506462 38169685.26 48151058

Direct Cost of Sales 2004-2005

2005-2006

2006-2007 2007-2008

2008-2009


3226931.5 3953102 4882590

6106882.45 7701039

Starship Chocolate Milk 2893111 3544161 4377494

5475135.99 6904380

Starship 2781837. 3407847 4209129 5264553.8 6638827


Mango Milk 5 4Starship Pineapple Juice 333820.5 408941.6 505095.5

631746.461 796659.3

Starship Orange Juice

1891649.5 2317336 2862208

3579896.61 4514402

Total Cost of Good sold (Tk.) 11127350 13631387 16836516 21058215.4 26555308

4.3 Expense Forecast

Marketing expense is to be budgeted at

approximately 7.64% of total sales.

Expenses are tracked in the major

marketing categories of television

advertisements, newspaper advertisements,

printed promotional material, billboard

promotional event and others.


[Table 4.3] Marketing expense budget

Marketing Expense Budget

2004-2005 2005-2006 2006-2007

Television Ads 595000 623000 711000News paper Ads 366000 319000 397000Newsletter/Postcard 12000 14500 17600Printed promotional materials

118320 147500 175000

Promotional events 357000 478000 566000Billboard 280000 311000 377000Other 55000 62500 87000Total marketing expenses

1783320 1955500 2330600

Percent of sales (%)

8.854617676 7.92162296 7.63969286


5.0 Controls

The purpose of “Starship juice” marketing

plan is to serve as a guide for the

organization. This plan is about

implementation, changing the business,

and making it better. It is worth nothing if

not implemented. In this chapter we look


at specific implementation

programs, and the details that it takes to

make it happen. The following areas will

be monitored to gauge performance:.

Ж Customer satisfaction.

Ж Revenue: monthly and

annual.

Ж Expenses: monthly and

annual

5.1 Implementation

The following identifies the key activities

that are critical to our marketing plan. It is

important to accomplish each one on time

and on budget. Milestone

Television Ads Campaign # 1


Television Ads Campaign # 2 Television Ads Campaign # 3 News paper Ads Newsletter/Postcard

promotional materials Promotional events Billboard

Apr May Jun Jul Aug Sep Oct Nov Dec Jan

[Table 5.1] Milestone

Milestones

Plan - 2006

Milestone

Start date

End date

Budge

t (Tk

)

Manager

Departmen

t

Television Ads

01/04/2006

25/08/2006

334170

M.A Saye

Marketing


Campaign # 1

ed

Television Ads Campaign # 2

05/08/2006

12/12/2006

206190

M.A Sayeed

Marketing

Television AdsCampaign # 3

03/01/2007

27/03/2007

170640

M.A Sayeed

Marketing

News paper Ads

15/04/2006

25/09/2006

397000

M.A Sayeed

Marketing

Newsletter/Postcard

10/04/2006

25/12/2006

17600

M.A Sayeed

Marketing

Printed promotional materials

20/04/2006

27/09/2006

175000

M.A Sayeed

Marketing

Promotional events

07/12/2006

25/02/2007

566000

M.A Sayeed

Marketing

Billboard 01/04 31/03 377 M.A Marke


/2006 /2007000

Sayeed

ting

Other01/04/2006

31/03/2007

87000

M.A Sayeed

Marketing

Total 2330600

5.2 Marketing organization

Our marketing department is managed by

M.A Sayeed, a full-time professional,

responsible to all of the partners as a group

but to no specific partner. We need the

marketing department to maintain its

professional integrity above and beyond

the specific partners, looking out for our

marketing goals and implementing the


marketing programs as

best fits our strategy.

5.3 Contingency planning

Ж Difficulties and Risks

Slow sales resulting in less

than projected cash flow.

Unexpected and excessive cost

increase compared to the forecasted

sales.

Overly aggressive and debilitating

action by competitors.

A parallel entry by a

competitor.

Ж Worst case Risks Include


Determining that the business cannot

support itself on an ongoing basis.

Having to liquidate

equipment to cover liabilities

Bibliography:


1. Kotler, Philip;

Keller, Kevin Lane (2005).

Marketing Management. Twelve

Edition.

Prentice-Hall of India.

2. http://

www.abulkhairgroup.com

Retrieve in 15 April 2006.

3. http://www.thedailystar.com;

Retrieve in 15 April, 2006..

4. http://www.paloalto.com


5. http://

www.bamboowebmarketinglan.co

m/htm



http://www.bamboowebmarketinglan.com/htm



http://www.paloalto.com/

http://www.thedailystar.com/

http://www.abulkhairgroup.com/

http://www.abulkhairgroup.com/

6. http://

www.mplans.com


7. http://www.bplans.com


8. http://www.partexgroup.com


9. http://www.google.com


10. Gather idea from the marketing

plan on “Acme Consulting” and

Mixed Greens Salad Gardens

(MG).

11. Garrison,Ray H; Noreen, Eric

W(2004-2205).


http://www.partexgroup.com/

http://www.mplans.com/




Managerial

Accounting. Tenth Edition.

McGraw-Hill, Boston.

12. Kotler, Philip; Armstrong, Gary

Principal of Marketing. Eleventh

Edition.

Prentice-Hall of India.

Appendix:

Our products



Starship Orange Juice


Starship Chocolate Milk

Questioner

[Dear responded,

We the student’s of Bangladesh University

of Business and Technology(BUBT). WE

are conducting a survey on “Opinion

about juice”. We need some information

from you. We assure you that no

information will be used without this


Starship Pineapple Juice Starship Mango Milk

survey report. Your kind

cooperation will be highly appreciated.]

1. How much juice do you purchase per

week?

a) 200 ml b) 500ml c)1 litter d)1.5

litter e) More

2. How much money do you spend for

juice per week?

a)10-30 Tk. b)30-60 Tk. c) 60-

100 Tk. d)100-150 Tk. e) More

3. What flavour of juice do you

generally preferred?

a) Chocklet b) Mango c)Orange

d)Mango e) Milk Pineapple

4. Do you like Starship juice?


a) Yes b)No

5. If yes, then why?

a)Image b)Price c) Quality d)

Others………………

6. If the answer of question 3 is no, then

why?

a)Quality b)Pack design c)Price

d)Others……………

7. Would you accept any type of free gift

with Starship?

a)Yes b)No

8. From where you usually buy Starship

juice?

a) General store b) Departmental

store c) Super shop d) One stop mall


9. In which occasion do

you prefer to buy huge amount Starship

juice?

a)Eid b)Birthday party c)Festival

d)Other………...

10. Why do you prefer Starship more

than any other juice?

……………………………………………

……………………………………………

……………………………………………

……………………………………………

………


11. Do you know how

many flavors of starship juice in present

market?

a) Yes b) No

12. Do you want any change in Starship

juice?

a) Yes b) No

13. If yes, then would you expect to

change?

a) Pack size b) Pack deigns c)

Test d) Price

14. In which season you purchase more

Starship juice?

a) Summer b) Rainy season c)

Winter d) Spring


15. Are you satisfied

about test of Starship juice?

a) Delight b) Satisfied c)

Average d) Dissatisfied

16. Which media attracts you most for

Starship juice?

a) TV b) Newspaper c)

Promotional events d) Billboard

17. Which advertisement you like most?

……………………………………………

……………………………………………

……………………………………………

……………………………………………

……….. .


__________________________________

__________________________________

_

About you:

Name:

…………………………………………….

Sex:

a) Male b) Female

Age:

a) 0-7 b) 07-14 c) 14 - 25 d)

25- 45 e) Above 45

Education:


a) SSC b) HSC

c) Graduation d) post-Graduation

Working status:

a) Student. b) House wife c)

Business man d) Service holder

Appendix Table: Profit Margin


Starship Final

Documents

Transcript of Starship Final