1.

0 Marketing

The marketing concept of building an organization around the profitable

satisfaction of customer needs helps firms to achieve success in high-growth,
moderately competitive markets. However to be successful in markets in which
economic growth has levelled and in which there exist many competitors who follow
the marketing concept such as a well-developed marketing strategy. Such a strategy
considers a portfolio of products and takes into account the anticipated moves of
competitors in the market.
A marketing strategy can serve as the foundation of a marketing plan. A
marketing plan contains a set of specific actions required to successfully implement a
marketing strategy. For example, a low cost product to attract consumers. Once our
low cost product has established a relationship with consumers, our product will sell
and additional higher-margin products and services that enhance the consumer's
interaction with the low-cost product or service. Marketing strategies serve as the
fundamental underpinning of marketing plans designed to fill market needs and reach
marketing objectives. Plans and objectives are generally tested for measurable results.
A marketing strategy often integrates marketing goals, policies, and action
sequences or tactics into a cohesive whole. Similarly, the various strands of the
strategy which include advertising, channel marketing, internet marketing, promotion
and public relations can be orchestrated. Marketing strategies are dynamic and
interactive. They are partially planned and partially unplanned.

1.1 Product

Scented Virgin coconut oil (VCO) is growing in popularity as it is functional

food oil and the public awareness of it is increasing. It is expected that Scented VCO
will experience a dramatic growth in the market. The introduction of VCO has open
up new research that basically reveals new things besides what has already been
known on commercial coconut oil. Coconut oil has been used as a vital source of food
for health and general well-being. Although once blindly labelled as a “bad fat”
because of its saturated contents but many recent researches have found out that
coconut oil possesses the nutrients necessary to maintain a well balanced and
nutritious diet. It first gained popularity in traditional communities, particularly those
of tropical regions where coconut palm trees thrive best. Now with a number of
benefits it can offer, the virgin coconut oil is now highly considered as the healthiest
oil can consume on earth.
The main difference between ordinary Coconut Oil and Virgin Coconut Oil
lies in their processes of extraction. Virgin coconut oil (VCO) is defined as oil
obtained from the fresh matured kernel of coconut, by mechanical or natural means
that is with or without the use of heat and without undergoing chemical refining,
bleaching or deodorizing and which do not lead to the alteration of the oil. It is called
"virgin" due to its pure, raw, pristine and unadulterated state whereby it is water white
in colour and contains natural Vitamin E as well contains very low free fatty acid
content and low peroxide value. It is oil which is suitable for consumption without
the need for further processing.

1.1.1 SWOT Analysis

Strength
Our product is mainly derived from Virgin Coconut Oil which has so many
advantages for skin care such as, prevents pre-mature aging of skin, repairs damaged
skin tissue, wards off sun damage, helps bring back youthful appearance, helps
prevent yeast infection in skin, aids in removing dead skin cells and etc. Furthermore,
the coconut smell of the product was reduced and additionally added fragrance
replaces the unwanted smell of the pure Virgin Coconut Oil.

Weakness
The product weakness is about the consumable ability. Since the pure Virgin Coconut
Oil can be consumed directly, the fragrance added Virgin Coconut Oil only can be
used externally; primarily for massage.

Opportunity
The opportunity for the product to penetrate the market is so high because no yet
company in Malaysia produce the scented Virgin Coconut Oil. Furthermore, spa
customer usually expecting some fragrance during massage session compared to the
coconut-like smell. This can be set on the people minds that the benefits of Virgin
Coconut Oil not only come in coconut smell package, but can be fragranced too.

Threat
The company that previously produced the Virgin Coconut Oil may modify their
current product into a fragrance one. The long term effect will decrease the selling
rate of our product since there will be a lot of competitors.

1.2 Price

The cost to make Scented Virgin Coconut Oil is not that expensive because virgin
coconut oil is from coconut milk that is a mixture of oil and water emulsion. The
extraction of VCO doesn’t require and chemicals and solvents. It is naturally
fermented and easily to be extracted.

Coconut milk = 1 litter = RM 6

Essential oil = 10ml = RM 5
Roll on Bottle = 10ml = RM 2

Normally virgin coconut oil is sold without any scent and very expensive due to the
extraction of the process especially virgin coconut oil that undergoes chemical
refining, bleaching or deodorizing (RBD). This shows that our product is more
economical and easy to use the spite of fact that nowadays people like to buy
fragrance that they like and the smell exist for the whole day. Our product is best sold
at health spa, beauty salon and pharmacist that require the need of our product. Our
product is sold RM60 per bottle compared with virgin coconut oil in the market that is
sold RM 55 per bottle.
 1.3 Place

Place is the market strategic that were role the important part to market the
product. Based on the place, the transport and infrastructure at the place are taken part
and everything has to be considered. Our product are normally sold to people that are
concern for their health normally adults, pharmacist, herbal companies that have
knowledge in our product as well that have science stream background all around the
world. This is because the quality and purity of the product is obtained in laboratory
practice and may be done in any small scale laboratory. This shows that this product
doesn’t require high cost in producing the product.

1.4 Promotion

Scented Virgin Coconut Oil does promotion to customers by:

1. Flier distribution to consumers' homes.

2. Newspaper advertisements will be purchased during the first three months of
business until a market is built.
3. Offering discounts to dealer’s that sells health and beauty products.
4. Promoting products during carnivals or convention days.
5. The Internet enables advertisers to promote products and services to millions
of potential customers through the World Wide Web.
2.0 Production of Virgin Coconut Oil (VCO).