Professional Documents
Culture Documents
Business Plan: Yapak Designs (Foldable Sandals Made of Leather)
Business Plan: Yapak Designs (Foldable Sandals Made of Leather)
Business Plan: Yapak Designs (Foldable Sandals Made of Leather)
Client: Comments:
Students, Athletes, and
Working class, Aged 15-29
Industry Category:
Footwear
Capitalizing on the fast-paced lifestyle of most female millennials today, Yapak Design
is a local brand that provides comfortable, portable, and stylish sandals. Yapak Designs
combines both elements of fashion and function by offering portable products that fit into the
bags most women bring everyday and by creating a minimalist and monochromatic aesthetic
that is in line with current fashion. Yapak Designs aims to keep its users confident and
with a local shoe-maker enterprise in Marikina City, Philippines for the production of their
footwear line.
Yapak Designs entry strategy initially involves establishing itself within the Ateneo de
Manila University community via digital marketing campaigns; eventually, it will expand to
outside markets by participating in selected bazaars held externally from the university. Aside
from establishing online marketing campaigns, Yapak Designs will also use online services to
reach customers in areas where they are not physically present, create a convenient and smooth
platform for transaction, provide customer service, and gain valuable customer feedback and
The brand will then coordinate with its suppliers to communicate the desired
improvements or adjustments -- this will further the brands goal of enhancing the outlook on
local shoemakers as capable and efficient manufacturers. Through meaningful local partnerships
and innovative product design, the brand hopes to empower women one step at a time.
As a startup, Yapak Designs will need an initial capital investment of Php 96,000 to
cover costs for its prototype, initial production, and other related operating. Capital will be
collected from the 6 founders and managers of Yapak Designs; each will contribute Php 16,000
without liabilities. On its first year, the company aims to sell 200 sandals (to be sold at Php
899/unit), obtain total gross sales of Php 26,970, achieve net sales of Php 26,071 after discounts,
A. Value Proposition...1
B. Target Market Segment..1
C. Elements in the Value Chain..1
D. Defined Cost and Profit..2
E. Position in Value Network.2
F. Vision/Mission...2
G. Objectives...3
III. Industry Study and Marketing plan with Competitive Strategies3
A. Market and Industry Background...3
B. Market Trends4
C. Current Market Leaders Data: Strengths and Weaknesses...5
IV. Marketing Plan with Competitive Strategies...6
Appendix21
Works Cited...59
II. Business Model and Envisioned Future
Value Proposition
Yapak Designs aims to create affordable and compact footwear that provides convenience,
Mainly females, 15-29 years old, SEC ABC1, with the following professions:
1. Students. Students can wear this trendy and stylish footwear to school or even to other
places such as malls. With different designs, the sandals can be easily integrated into their
personal style and aesthetic while providing comfort and functionality. Given the sandals
compact and lightweight features, they can also easily be stored in their hand bags.
2. Fitness Enthusiasts. People who engage in sports and workouts typically change clothes and
footwear after they exercise; with foldable sandals, they may be able to fit more easily their
after-gym clothes and footwear in their bags. Furthermore, aside from the convenience
and functionality provided, fashion and style are not sacrificed, given the trendy style of the
footwear.
3. Working Class. Many working women now change into sandals throughout the day because
they feel tired from wearing uncomfortable heels to the office and want their feet to rest.
With foldable sandals kept in their bags, they will be able to slip on a pair of sandals after a
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2. Delivery. By utilizing the Internet, the company will provide a platform for its current and
potential customers to conveniently and smoothly purchase products and have them
Yapak Designs. Customers need to be educated about the product and the brand. The scope
of marketing activities in the business would include brand management, market research,
Revenues
Revenues will be generated from product sales via retailers and other activation avenues
Cost Structure
Direct costs to be incurred by the company will come from outsourced production and
marketing, while overhead costs will come from bazaar rent expenses and market testing
The company will rely on local manufacturers and suppliers for operations, and on bazaar
organizers and e-commerce companies to widen the distribution of the product and to strategically
Vision/Mission
The vision of Yapak Designs is to become a local leader in the provision of high function
and fashionable footwear that will empower women one step at a time.
sandals that helps modern women move conveniently and comfortably in style.
2
Objectives
2. Generate from the brands social media accounts at least 2, 500 Facebook likes
The footwear industry has been a robust and progressive one over the years, with a sizable
market of young consumers with greater disposable incomes and a wide array of international and
local brands scattered in various distribution channels (Footwear in the Philippines). In 2015, the
womens footwear was able to achieve a 9% increase in current value sales (Footwear in the
Philippines), outperforming the childrens and mens footwear. Two fashion trends that are
currently making rounds in the market are athleisure and urban streetwear (Footwear in the
Philippines), which the major players such as Nike Philippines and New Balance had been
The industry, gathering from a Porters Five Forces assessment (as seen in Appendix 1),
may be seen as an unattractive industry to venture into due to the stiff competition with different
established brands both locally and globally and the unfavorable bargaining power of suppliers and
buyers over the industry. Moreover, there is an apparent opportunity in this industry to create a
unique and valuable offering of portable and simple footwear that is not made available by most
3
Market Trends
International brands had been entering the Philippine market over the past few years,
bringing in countless of variants in footwear in order to meet the demands of middle to high income
earning consumers (Footwear in the Philippines). This had led to the local brands to create
product line and pricing strategies to compete with the international brands in order to attract its
consumers while addressing the needs of the mass consumers in the market (Footwear in the
Philippines).
The countrys robust economy paved the way for creating high paying jobs in the IT and
BPO industries, which also led to the increase in disposable incomes for the consumers (Apparel
and Footwear in the Philippines). With the rise of disposable incomes and increase in purchasing
power, consumers tend to join the bandwagon of the growing interest in global brands (Footwear
In relation to the growing presence of international brands and the Westernized culture in
the market, Filipino consumers tend to become conscious of the brands they had been purchasing
(Footwear in the Philippines, Appendix 2) and to follow the trends globally such as the trend of
decorating trends (New York Times) spreading in the West. This may potentially lead to
consumers showing preference for Western brands and aesthetics over the local brands, which may
have been in the case of the clothing industry with the apparent fast fashion and minimalist trend.
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With the growing presence of international brands in the market, there is an abundant supply
of footwear - wherein consumers may enjoy a wide array of choices for footwear that will cater to
In addition, the demand for footwear is expected to increase further as the purchasing power
among young professionals rises and the number of middle-class consumers increases in the next
Yapak Designs, which is classified as part of the footwear market in the Philippines, will be
competing alongside brands that sell all types of shoes, sandals, flip flops and slippers. Nike is the
current market leader based on Euromonitors February 2016 study, followed by Otto Group as they
Yapak Designs closest competitor among the top brands listed would be brands that have a
core product line of sandals. The brands currently leading in this segment of the footwear market
would be Parisian (which enjoys a 1.6% market share), Havaianas, and FitFlop. Other brands aside
from the aforementioned are accounted for in others category which have a total of 80% market
Key strengths of the top 3 brands in the womens sandals category would be:
1) Strong delivery channels. Parisian, as part of SM Retail Inc, enjoys presence in the SM
Department Stores, which provide accessible purchasing points for its customers.
2) Well-known brand. All three products have a strong brand presence in the market.
Havaianas international presence allows it to compete with Parisian despite not being a
subsidiary of SM Retail Inc. Fitflop, on the other hand, also enjoys the same privilege as
Havaianas.
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3) Trusted Brand and Quality. All three brands are recognised not only as price friendly,
but also brands that have high quality produce. As seen by their steady growth in market
shares, these brands are able to generate loyalty with their customers.
There are two key weaknesses which Yapak Designs aims to address: (1) all brands have not
made a big step in innovating their products - albeit the constant rolling out of new designs, there
are no new features of which they offer; and (2) they are not able to actively relate themselves to
good causes in line with their Corporate Social Responsibility in comparison with Yapak Designs,
which uses materials found locally to not only create products of high quality, but also provide
Yapak Designs is all about portability and style. The designs of the sandals are created to
help the modern woman in her daily life based on her needs, which are durability, comfort, and
quality. This is captured in the tagline Bring style anywhere, one STEP at a time, and the product
Sophisticated. The product is going for a minimalist style and monochromatic color scheme
Trendy. Despite its simple design, it can still capture the attention of its young target market
Empowering. The product provides the benefit of self-expression for the target audience and
gives them confidence as they go through the different aspects of their lives.
Portable. The product is unique as it applies forward thinking in its design as something that
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Competitive Strategy
The competitive landscape of Yapak Designs (Appendix 19 and 20) consists of both local
and international brands of footwear in the Philippines that are well-received in the target audience
of Yapak Designs - including Renegade Folk, Call It Spring, Aldo, and Celine.
Based on the Competitive Profile Matrix (Appendix 21), Yapak Designs scored high
compared to other local start up shoe brands but has failed to match with established brands such as
Primadonna, Celine, Aldo, and Birkenstock due to their established brand image and globalized
operations. In comparison to the established global brands, Yapak Designs may capitalize on quality
of the product and its features to strengthen further its positioning as highly functional yet stylish
footwear. Thus, Yapak Designs will focus more on its product development in order to meet the
needs of the female millennials who want style and functionality at the best value available. Yapak
Designs positioning against its direct competitors is mapped out in Appendix 22.
Positioning Statement
To the modern Filipina women who thrive in fast paced lives, Yapak Designs is a simple yet
classy brand that produces designs based on the needs and wants of these women - comfort,
portability, style.
Pricing Strategy
Through a comparative analysis of the competitors prices and surveys to determine the
target markets ideal purchasing price for the product, the company has decided to price the
product, along with its pouch, at Php 899 - averaging the 2nd to the lowest priced competitor and
the price the market is willing to pay based on our survey found in Appendix 5. The price is beyond
that the market is willing to pay given the portability function of the product, but not over the 2nd
lowest priced competitor considering that Yapak Designs is a new entry in the footwear market. The
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reason why it is at 899 is that if made into 900, the product will be perceived to be more expensive
to the consumers.
Refer to IFE (Appendix 3) and EFE (Appendix 4) in the Appendix section for a
comprehensive evaluation on the factors Yapak Designs had taken into consideration prior to the
Yapak Designs brand message is to bring style anywhere, one step at a time. Leveraging on
the trend of less is more in the market, brand collaterals will take on a minimalist look - using
neutral tones such as black, white and tan (Appendix 13). Emphasizing its core concept of style and
functionality, Yapak Designs marketing campaign goes back to basics through focusing on the
product itself. Aside from that, the portability of the product would be highlighted in different
monochromatic scenic views and flatlays (Appendix 14). The campaign will be digitally-centered,
Social Media
Yapak Designs will be having its own Facebook page and Twitter account. These social
media accounts will be the main outlet of Yapak Designs in posting new updates, product
promotions, and other digital advertisements. It will also keep a constant connection with its
customers by being available to address product concerns and inquiries and placement of orders
Themed Posters
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A series of posters, either in Portable Network Graphics (.png) or Graphics Interchange
Formation (.gif) file (Appendix 15), will be blasted through Yapak Designs social media accounts
such as Facebook, Twitter, and Instagram, highlighting how it can be conveniently used anytime
and anywhere. The company will be keeping a minimalist theme to highlight the product, following
a social media calendar plan to ensure constant appearance and strong follow through every time.
Hashtags
The company will be asking their customers to use their hashtag #OneStepAtATime every
time they purchase a pair of sandals for bigger market reach. People will be inclined to do this
because they will have the opportunity to be featured in Yapak Designs social media accounts.
Through this, the market, being inclined with modern technology, will be more knowledgeable
about Yapak Designs brand, its products, and what it stands for. After all, with the hashtag you are
one click away from being brought to Yapak Designs collection of its lookbooks, customer
feedbacks, and the different customer experience Yapak Designs has provided its consumers.
Aside from being present in various avenues for selling, will Yapak Designs employ a pull
marketing by releasing special promotions online to increase demand and scope of awareness, and
to keep the market engaged. Yapak Designs will be executing guerilla movements by having limited
edition promotions where people could get the chance to win a free or a discounted pair of sandals.
Engaging them on several social media contests would be done to keep the hype and spark the
Slipper Donation
For every Yapak Designs purchase, the company would be donating a pair of slippers to
children from a community that they would be able to partner with. Yapak Designs is currently
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working with their partner organization of the United Nations in Ateneo de Manila University--
Barefoot Philippines. Through this, the company will be able to spread social awareness, to uphold
The company will be capitalizing on several social icons who are deemed to be social media
influencers, or those having a growing number of followers on social media with well-received and
highly visited fashion blogs. Influences such as Vina Guerrero, Lauren Uy, Kim Cruz, etc.
(Appendix 16) would be tapped into in order to reach Yapak Designs target market further and to
spread its brand image online and word of mouth. Posters, pictures, and blogs of these icons will be
shared in Yapak Designs Facebook page and Twitter account for more publicity and to show a
Direct Marketing
Customer Database
Once initial retail commences, the company will create an online customer database in order
to track of several customer data such as when they buy, what they buy, where they live, and how to
contact them. This will enable the company to reach out to customers for feedback, and other
pertinent information that will help the company develop its positioning further in the market.
Loyalty Cards
As a supplement to the customer database, the company shall be offering a loyalty system
that will encourage its customers to buy frequently and at high volumes. The loyalty card system
will allow the customer to avail of certain benefits such as promos, special offers, bazaar
invitations, etc. and allow them to receive discounts on their fifth (25% discount) and tenth (50%
discount) purchase. Through this, the company aims to initiate a system that develops brand loyalty
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and ensures that customers are constantly rewarded and satisfied not just by the product but by the
Distribution Channels
Following the minimum input, maximum output principle Yapak Designs will be entering
the market slowly but surely through lifestyle bazaars and online selling. These would only require
the company to spend enough amount of time and rent in order to sell numerous amounts of their
products. Through distribution channels such as bazaars, the consumers may be able to experience
the comfort and portability of the product first-hand. Moreover, since the target market are the
millennials, most of them can easily purchase Yapak Designs products online through online
Partnerships
Capitalizing on the growth of online retailing, the company considers eventually entering
into various partnerships between established shopping sites, like Zalora, to help sell the products
Feedback Engagement
With the tight competition in the shoe industry, emergence of a new demand for multi-
purpose and trendy items will most likely occur. Yapak Designs aims to have a consumer-centric
culture, and as such, collaboration through feedback concretizes such demand, and allows Yapak
Designs to further product innovation while keeping up with the latest trends. Online surveys will
be conducted after market entry during the first two months of operations, and respondents are
rewarded with a chance to win one of two free Yapak Designs sandals. Product warranty will also
Online surveys were designed to capture the insights of the target market on their
preferences and overall perception of the product. Since Yapak Designs aims to release 6 stock
keeping units (SKUs) of two styles and three variants of colour, shortlisted styles and color variants
of the sandals were included in the survey to tailor the product to the overall preferences of the
market. On the other hand, a brief description of the product under development had been provided
for the perusal of the respondents, which they had given their feedback regarding the product and
Overall, 94% of the respondents were most concerned of the durability of the product since
the material to be used for the pair of sandals must be foldable and lightweight. They have also
expressed comfort as one of their top reasons on purchasing the pair of sandals, which will be taken
into account as well in developing the product further. For the complete tabulated results of the
The product development plan for Yapak Designs sandals is based on 2 key elements that
make it unique from other brands in the market - a highly-functional design and a minimalist
fashionable style.
Highly-Functional Design
The sandals are designed in such a way that they are portable and can be easily
brought to any location. The materials used are leather for the body of the sandals while the
soles are made of rubber. Yapak Designs therefore is light, easily foldable while preventing
creases at the same time. The product can also conveniently fit within a drawstring pouch
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bag made of environmentally-friendly kacha. This is so that the modern woman can move
from one aspect of her life to another without the worrying or stressing over her footwear.
Minimalist Style
The sandals are made to look sophisticated and chic through minimalist styles in
monochromatic colors, a classic look that can be matched with any outfit and the wide range
of activities that the modern woman goes through in her daily life.
obtain the companys goals and objectives. The table below contains steps and measurements on
keeping track of the companys progress starting from the product ideation, production, and
execution. A visual representation would be found in Appendix 17, and a more detailed description
Goals Timeline
The company conducted online surveys and interviews for a broader reach, validating or
negating information gathered by the company prior to initial production. Focus group discussions,
consisting of around 5-10 people, will be conducted once the initial prototype has been received in
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order to capture genuine insights from the participants through predetermined questions. All
information gathered in the discussion will account for in the revision of the product.
One of the important aspects of creating Yapak Designs is their relationship with the
manufacturer. The manufacturer provides the direct labor and raw materials.
Below is the summary of the supplier network plan with their respective schedules.
Goals Timeline
The selection for the distribution channels will be based on the cost, location, and the
markets consumer behavior. The table of the criteria for evaluation is located in Appendix 8, while
Pre-Operations Schedule
A thirteen-week schedule will be followed, from contacting the supplier down to the
execution and selling phase. Appendix 11 shows a more detailed gantt chart of the companys
operational activities. The companys goal is for production capacity to be two hundred (200)
pieces of sandals and pouches. The company also took into account the lead-time for each activity
Once the supplier delivers the products, Yapak Designs will start selling online and on a
direct selling basis. Yapak Designs also would contact bazaars 5 to 8 weeks in advance in order to
Detailed prevention and contingency plans have been laid out to address possible issues,
such as concerns with the manufacturing partner and dissatisfaction of customer, the company may
Shown above is the chart of the companys organizational structure. The structure, definition
To kickstart Yapak Designs operations, the company will require all 6 of the founders to
give capital contributions based on the expenses and costs the business will initially incur.
Prototypes will first be ordered from manufacturers and suppliers, and the cash needed to cover for
the expenses is computed using the prices agreed upon by the company and the manufacturers. The
initial production expenses will also be incurred right away, given that the management team
wishes to order and have finished goods produced as soon as possible (as the suppliers might not be
able to accommodate orders during the busy holiday season.) Again, the prices listed above were
agreed upon by both Yapak Designs and the manufacturing partner. Promotional and marketing
expenses will also be incurred to increase brand awareness and introduce the product into the
market, and rent expense will also have to be covered, since the brand plans to join bazaars as soon
as the finished goods are ready for selling. Cash allowance is also included for the capital
requirement, which will cover any unforeseen or emergency expenses. In total, the company will
need Php 96,000 which will require each of its 6 founders to contribute Php 16,000.
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Income Statement
Sales: By selling our products at Php 899/unit and offering 10% discounts to customers who utilize
their loyalty cards, our company will incur net sales of Php 26, 970 on its first month of selling via
online marketing, Php 44, 501 on its second month, and so on and so forth. Appendix 26.
Cost of Goods Sold: The table above shows the breakdown of the direct costs associated with the
production of the sandal and the pouch provided by the suppliers. Appendix 27.
Promotional Expenses: The company, to cover for the printing of tarpaulins, posters, and calling
Rent Expenses: Rent expense will not be paid monthly, given that Yapak Designs aims to
participate in select bazaars only. On the months where it will not participate in bazaars, the
Prototype Expenses: Yapak Designs first batch of sandal prototypes was free of cost. However, the
company had a supplier manufacture a sample pouch, which cost Php 125. For its second batch,
costs will already be incurred for the manufacturing of sandals. For its second round of prototypes,
Yapak Designs will receive a sandal prototype for each style in all 3 colors (2 designs x 3 colors = 6
prototypes total); only one prototype pouch will be produced, given that the brand will only offer 1
Transportation Expense: Transportation expense will be incurred from renting a simple SUV (to be
provided by one of the managers/founders of the brand) to pick up the finished products from the
manufacturer (when needed) and transport them from storage to bazaars, etc.
Miscellaneous expenses: Miscellaneous expenses cover other additional activities such as printing
business plans, paying for other petty cash expenses, etc. For example, a miscellaneous expense of
Php 125 was incurred last October 2016 to pay for the printing.
gasoline needed for visiting and contacting potential suppliers and manufacturers. Since there were
no finished goods available for sale during its first month, Yapak did not receive cash from
customers or spend for marketing, rent, and promotional expenses. To print its first business
proposal draft, the company had to shell out money which was recorded under miscellaneous
expenses. Lastly, to obtain its first prototype for the products pouch, the management needed to
The company only engaged in investing activities during the month of November, wherein
capital was collected from its 6 founders and fixed assets were purchased. During its second month
of actual operation, Yapak Designs also paid in full the price demanded by suppliers for the
Yapak Designs began selling and operating December 2016 (since this would be when
finished goods would be available for pickup from manufacturers.) Revenues were received from
customer transactions that took place online and in bazaars. Furthermore, rent would usually be paid
for the month before the actual bazaar/event, and marketing, miscellaneous, and transportation
expenses would also be incurred as necessary for selling and operation activities.
Throughout the period, Yapak Designs will have no financing activities, given that they are
not planning to obtain loans or any other liabilities. Investing activities primarily contain the capital
to be contributed by each founder and the shelling out of cash for product development and
This statement allowed us to obtain the ending cash balance for each month, which will be
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The balance sheet contains the cash balance values solved from the cash flow statement, the
companys fixed assets/booth fixtures (assuming no depreciation,) prepaid rent, and its inventory
value. The inventory was computed by multiplying the number of units leftover in storage (obtained
by subtracting from a total of 200 the projected number of units sold) to the direct costs associated
to the manufacturing of each unit (provided by the supplier.) Furthermore, prepaid rent is only
recorded and considered an asset when the company shells out money for its payment and again, the
19
Appendix
21
Lack of Distribution LOW. Number of
Threat of Channels distribution channels
New present, with the
Entrants opportunity to venture
into internet retailing.
22
Consumers Number of Buyers HIGH. There is a sizable
market for sandals.
23
24
25
APPENDIX 3: Internal Factor Evaluation
Weaknesses
26
1. High demand for portability. 0.12 4 0.48
Threats
27
APPENDIX 5: Summary of Survey Results
1. Choose your top 3 reasons why you would but a pair of sandals.
Style 95 86.4%
Need/Necessity 74 67.3%
Brand 19 17.3%
Other 4 3.6%
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Payless 13 11.8%
H&M 12 10.9%
Zara 11 10%
Forever 21 8 7.3%
Topshop 7 6.4%
Aldo 6 5.5%
Rubi 6 5.5%
CLN 5 4.5%
Parisian 5 4.5%
Cotton On 5 4.5%
FitFlop 5 4.5%
Birkenstock 4 3.6%
Naturalizer 4 3.6%
Style 2
86 72.8%
29
Style 7
74 67.3%
Style 9
54 49.1%
Style 5
54 49.1%
30
Style 11
50 45.5%
Style 4
40 36.4%
Style 13
40 36.4%
Style 12
31
39 35.5%
Style 8
37 33.6%
Style 6
29 26.4%
Style 1 27 24.5%
Style 10
13 11.8%
32
Style 3 7 6.4%
White 91 82.7%
Brown 80 72.7%
Beige 77 70%
Bone 67 60.9%
Gray 43 39.1%
33
1. Willingness to Pay
Durability 63 57.3%
Comfort 19 17.3%
Quality 14 12.7%
Suitability to 8 7.3%
Weather Conditions
(i.e. Rain)
Style 5 4.5%
Other 5 4.5%
Yes 98 89.09%
No 12 10.91%
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APPENDIX 6: Demand Forecast
The target market of Yapak Designs is women aged 15--29 of classes AB-C1 living in
Metro Manila. Since there is no data on the projections in population of 2016 in Metro Manila,
the data on year 2015 will be used to derive the estimation of the annual demand in 2016.
Presented below is the data on Metro Manila population during 2015 and age group of 15--29
years old. The Philippine statistics authority provided data of the population of each age group
15--19 561,000
20--24 520,100
25--29 469,300
Total 1,550,400
Furthermore, Yapak Designs caters to the A, B, and C1 class because of the large buying
powers of these individuals especially that they are students, millennials, working professionals
and exposed to social media most of the time. According to the social research institution, Social
Weather Station, about 10% families of the total population in Metro manila have a monthly
income of 50,250 pesos. As shown in the tables below, 10% of the population in Metro Manila
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are from class AB-C1. An estimation was calculated to get the total number of people aged 15-
-29 that are in families who earn a monthly income of 50,250 and up.
Total Number of People Aged 15-29 That Are in Families Who Earn a Monthly Income of
50,250 and Up
Based on the survey results of Yapak Designs, the respondents were asked if they are
willing to buy Yapak Designs based on the product description. Findings show that 89.09% of
the total respondents were willing to buy Yapak Designs. From this, the total estimated market
based on the number of people aged 15-29 who are from class A to C1 can be concluded that
138,125.14 of them are willing to buy Yapak Designs. Also based on the questions asked in the
survey such as How frequent will you buy the product? the average purchase units of Yapak
Designs totaled to 5.99. This is then translated to the total demand of Yapak Designs, which is
827,369.57 sandals annually. Below is the annual demand table of Yapak Designs.
Total percentage of the target market that are willing to use the
product (based on survey results)
36
Total 138,125.14
Below is the annual demand forecast that is calculated based on the survey results, Yapak
Designs objective, and target for the market share in the industry. Ideally, the group wants to
target a 1% market share. With this, the group concludes that the ideal total demand of Yapak
Designs is 8,274 units. The units demand for Style 2 is 4,299 and Style 7 with 3,975 pairs.
Based on the demand forecast, the target units of sandals is ideally 8,274 units. However, due to
the lack of capital and market reach, the company will produce an initial unit of 200 sandals for the first
Goals Timeline
37
pouch manufacturer
Research for foldable sandals manufacturer The group is targeting on looking for
Marikina-based suppliers to capitalize on the
idea of style, durability, price, and comfort.
Contact at least two Marikina shoe and pouch Both Teana Shoe Manufacturing and Tambuli
suppliers Shoe Shop provide handmade sandals and
bags.
Compare and negotiate with the two suppliers Selection will be based on the quality, and
price of the sandals and pouches. A plant visit
will also be scheduled.
Start prototyping for both sandals and pouch Both suppliers were given the same style and
for the two manufacturers color for the sandals and bags. The prototypes
were both sent back to the group for decision-
making.
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APPENDIX 8: Criteria for Distribution Channels
39
CEO (Chief Executive Officer)
In charge of overseeing the activities of the business, making key executive decisions,
Tasked to oversee the supply chain and production management of the company,
In charge of all marketing activities, including but not limited to brand management and
Responsible for recording and monitoring the inflow and outflow of cash in the
organization, forecasting financials of the business, and making financially sound decisions
Responsible for the information management activities of the company such as social
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Tasked to seek for avenues to distribute the products such as bazaars and online retail and
to spearhead creative and sustainable sales promotion strategies to influence customer purchase.
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APPENDIX 11: Gantt Chart of Activities
Week (From October 4 to January 3, 2017)
Activities 1 2 3 4 5 6 7 8 9 10 11 12 13
(Oct 4- 11) (Oct.11- (Oct.18-25) (Oct.25- (Nov. 1-8) (Nov.8-15) (Nov.15-22) (Nov.22-29) (Nov.29-Dec.6) (Dec.6-13) (Dec.13- (Dec.20-27) (Dec.27-Jan. 3)
18) Nov.1) Dec.20)
Contact
Supplier
Prototyping
FGD
Production
Bazaars
Selling
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APPENDIX 12: Risk Assessment
Contact back-up
Constantly establish a
suppliers.
communication through
Manufacturing Mid High asking for updates on Outsource materials from
Production production. different suppliers.
Delays
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APPENDIX 13: Monochromatic color scheme
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APPENDIX 16: Fashion bloggers
45
APPENDIX 17: Product Development Gantt chart
Goals Timeline
Task 1 2 3 4 1 2 3 4 1 2 3 4
Brand Image
Product Ideation
Initial Production
Feedback Engagement
*Product Revision
Mass Production
Brand Image
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Procedure Results/Desired Results
Come up with Brand name Come up with a brand name that encapsulates
the brands product and identity in a catchy
one/two word Brand name
Brand name: Yapak Designs
Logo:
Product Ideation
Study the market and the competitors Recommend the positioning and marketing
strategies based on the consumers needs
Research on available sandal designs Come up with unique designs that tailor to the
demands of the consumers as well
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Research on available sandal materials Find quality and durable materials that can
provide style and comfort when assembled
Research on available pouch materials Find quality and durable materials that can be
used for style and functionality
Initial Product Development Adjust the initial product design and features
based on the survey results
Initial Production
Feedback Engagement
Tap on random sample of target market and ask Learn about the strengths, weaknesses, and
for feedbacks opportunities of the prototype
*Product Revision
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Procedure Results/Desired Results
Adjust the necessary features needed from the Come up with the best version of the product
Feedback Engagement before mass production and selling
* Repeat if needed.
Mass Production
Produce desired amount of sandals with consistent Have sufficient amount of sandals to sell in the
quality various channels of the company
Renegade Everyday leather Synthetic leather Simple and Casual Php 1,800
Folk sandals handcrafted in materials Women, Middle
Manila. Designed and crafted by Class SEC BC1,
local artisans Students and
Light Working women
Flat and hard soles
Plain and patterned
designs
More variations of style
and color
49
Call It Spring Home to the latest Synthetic leather Simple and Classy Php 1,800
footwear, Call It materials Women, SEC BC,
Spring reflects up to Designed and produced Students and
the minute trends that internationally Millennials
are easy on the pocket Light
book. Slim and flat soles
Simple and classy
designs
Some have heels
More variations of style
Birkenstock High-quality materials Latex and cork Casual Women, Php 4,500
for unforgettable materials SEC AB1, Students
comfort Designed and produced and Millenials
internationally
A bit heavy
Thick and hard soles
Plain and simple
designs
More variations of color
50
Aldo ALDO specializes in Leather, plastic, and Elegant Women, Php 2,000
high-quality fashion suede materials SEC AB, Working
footwear and Designed and produced women
accessories offering internationally
an unparalleled Light
shopping experience Slim and thin soles
with an energetic vibe. Simple and elegant
Built on the core designs
values of Love, Some have heels
Integrity and Respect, More variations of style
the company places a
premium on working
to enrich the
communities in which
its employees live and
work.
Celine CLN continues to Leather, plastic, and Fashion savvy and Php 1,500
deliver comfortable suede materials Classy Women,
and fashion-forward Designed and produced SEC ABC1,
pieces spanning internationally Students and
footwear, apparel and Light Working women
accessories. Slim and thin soles
Feminine and classy
designs
Some have heels
More variations of style
Tonic Tonic's bags and Leather and Fashion bloggers Php 890
shoes take pride in Plastic/Jelly materials and Trendy
celebrating the beauty Designed and crafted by Teenagers, SEC
& excellence of local artisans BC, Students and
Philippine taste and Light Millennials
workmanship. Thick and rubbery soles
Trendy designs
Some have heels
More variations of style
51
Melissa Melissa Shoes are for Plastic/Jelly materials Fashion bloggers Php 3,250
Shoes walking and for Designed by popular and Trendy
dazzling. artists Teenagers, SEC
Heavy AB1, Students and
Thick and high soles Millennials
Futuristic and trendy
designs
More variations of style
Yapak Designs Bring style Synthetic leather Simple and On-the- Php 899
anywhere, one step materials go Women, SEC
at a time. Designed and crafted by ABC1, Students,
local artisans Millennials,
Light Working class,
Flat and foldable soles Fitness Enthusiasts
Simple and minimalistic
designs
Adjustable straps
through hook
Portable
Fitflop At Fitflop, we believe EVA materials Casual yet Classy Php 5,250
that for a shoe to Internationally designed Women, SEC AB,
really be cool, its got
Light Students and
to be comfortable.
Thick and Shock- Working women
absorbent soles
Casual and Sleek
designs
52
Payless Pay less for style! Leather, plastic, latex Simple Men and Php 1000
materials Women, SEC BC, (Sandals)
Internationally designed Students and
Various styles and Working Adults
designs (Sandals, Heels,
Rubber Shoes, etc.)
Cheap
Shoebox&me Express yourself Synthetic leather Simple and Cutesy Php 600
through your shoes. material Women, SEC BC,
Locally designed Students
Mostly Doll Shoes
Light
Casual designs
Sanuk Sanuk provides Cotton and cloth Laid back Men and Php 2,500
creatively inspired materials Women, SEC BC1,
yet distinctively Internationally designed Students and
designed footwear Light Working Adults
products for the Espadrilles
global outdoor Simple designs
community.
Toms With every pair of Cotton and cloth Laid back Social Php 2,200
shoes you purchase, materials Advocates, SEC
TOMS will give a Internationally designed ABC1, Students
pair of new shoes to Light and Working
a child in need. One Espadrilles women
for one. Simple designs
Social entrepreneurship
Havaianas Havaianas are the Rubber material Chill and outgoing Php 1,500
best rubber flip-flops Internationally designed Men and Women,
in the world! Light SEC ABC1,
Slippers Students and
Simple and Sleek Working women
designs
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Butterfly Give your busy feet a Synthetic leather and Simple and On-the- Php 800
Twists break with Butterfly cotton materials go Women, SEC
Twists ballerinas. Internationally designed ABC, Students and
Redefining style and Light Working women
comfort, these chic Doll shoes
shoes are ideal for Casual and Simple
any situation. designs
Portable
CPM
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CPM
CPM
Birkenstock Yapak
Weight
Rating Weighted Rating Weighted
Score Score
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Customer Loyalty 0.1 4 0.4 2 0.3
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APPENDIX 24: Cash Flow
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APPENDIX 26: Income Statement
STRENGTHS WEAKNESSES
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Styles are in line with the current materials
Limited supplier network
minimalist trend in the market Limited distribution network
Material used is durable
OPPORTUNITIES THREATS
womens footwear
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Works Cited
Chayka, Kyle. The Oppressive Gospel of Minimalism. The New York Times, 26 July
Philippine Statistics Authority. Projected Populations by Five -Year Age Group and Sex, by
Region and Province, and by Five -Calendar Years: 2000-2040 (Medium Series) [PDF].
Social Weather Station. Family Income Distribution in the Philippines, 1985-2009: Essentially
https://www.sws.org.ph/pr20110321%20-%20Family%20Income%20Distribution%20by
%20Mr%20Tomas%20Africa_FINAL.pdf
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