Executive Summary

“Xpreshunzz” is a gift shop in the ground floor of Udyog Bhavan Patna, Bihar.
We sell all types gifts items like different types of soft toys, cards for all
occasions, showcase pieces, wall-hangings, photo-frames, wind chimes, diaries,
toys, flowers (artificial and fresh).

We specialize in an assortment of high-quality merchandise ranging from

customized business cards and greeting cards to personalized gift items and
home accents. “Xpreshunzz” caters to all age groups of customer ranging from
middle-to-upper class and affluent clientele. Our store image exemplifies what
customers are seeking in gifting. What differentiates our store from other
specialty retail shops are the customized cards and customized gifts service and
delivery facility that we offer to our customers.

Our goal is to achieve 100% customer satisfaction so our focus will be on

product quality and service facility.

The capital required to start the store is Rs 5000000 and we expect to generate
moderate to high profit in the first three years. The loans are also paid back in
the first three years.

Some future growth plans include the opening of chain stores in similar areas
and expanding.

Our expected market share will grow most rapidly in the first 3 years then
stabilize after 5 years. Our promotion strategy includes: direct mail, magazine
advertisements, website advertisements, sponsorship and affiliation.

Since quality is our primary concern so we will be implementing quality control

systems including: audits, documentation and meeting standards.
 TABLE OF CONTENTS
1. INTRODUCTION...................................................................................
1.1. Organization and product...........................................................
2. STRATEGIC PLAN AND FOCUS............................................................
2.1. Mission Statement.......................................................................
2.2. Goals and Objectives..................................................................
2.3. Core Competencies / Competitive Advantage.............................
3. SITUATIONAL ANALYSIS.....................................................................
3.1. SWOT Analysis..........................................................................4
3.2. Industry Analysis.......................................................................4
3.3. Competitor Analysis..................................................................4
3.4. Company brief...........................................................................5
3.5. Customer analysis.....................................................................5
3.6. Environment analysis................................................................5
4. MARKET-PRODUCT FOCUS...............................................................6
4.1. Marketing and product objectives............................................6
4.2. Target Market...........................................................................6
4.3. Points of Difference..................................................................7
4.4. Positioning................................................................................7
5. MARKETING PROGRAM STRATEGY AND TACTICS............................8
5.1. Product Line..............................................................................8
5.2. Packaging.................................................................................8
5.3. Promotion.................................................................................8
5.4. Place.........................................................................................9
5.5. Pricing.......................................................................................9
6. FINANCIAL DATA AND PROJECTIONS.............................................10
6.1. Expense Distribution...............................................................10
6.2. Operating Expenses................................................................11
6.3. Gross Profit per Unit Sold......................................................11
6.4. Expected Market Share...........................................................11
6.5. Expected Net Revenue.............................................................12
7. IMPLEMENTATION PLAN.................................................................14
7.1. Gantt chart..............................................................................14
7.2. Promotion Schedule................................................................14
8. EVALUATION AND CONTROL..........................................................16
8.1. Quality Control.......................................................................16
8.2. Risk Analysis...........................................................................16
8.3. Evaluation Analysis................................................................16
REFERENCES..........................................................................................18
APPENDICES...........................................................................................20
1. INTRODUCTION
1.1 Organization and product :

The retail organization is a partnership based firm. It offers a wide variety of

products including all kind of gift items for every occasion. The shop is
advanced developed offering customize services as well to cater to growing
customer needs and demands especially youth and professionals. The shop has
come up with a new concept of customize gifts which would lead the shop to
reach a new level of business and marketing by offering personal and unique
products to the customer.
With the increasing number of working professionals and busy schedules of
people, there is hardly time for people to attend all occasions, but a gift is
always a substitute to overcome this and express the feelings towards the
occasion. To fulfill this, “xpreshunzz offers home delivery facility.
Thus “xpreshunzz” is a place through which all emotions can be communicated.

2. STRATEGIC PLAN AND FOCUS

To attain the organization’s strategic direction, the company’s mission, goals,

objectives and competitive advantage have been established to provide a vision
and foreground for the store’s success.

The focus is to make a multipurpose gift shop catering demands of all age
group and offering exclusive gifts for all occasions.

Henceforth the strategy plan lies in providing gifts of all varieties and of all
price ranges. Also offering with special customization and additional facility so
that the store is different from all others present in the market. Also by building
the shop into a one stop store for gift items.
2.1 Mission Statement :

XPRESHUNZZ…..”GIFTING EMOTIONS”

The gift shop “xpreshunzz” is not only about selling gifts, but also expressing
the feelings behind the gift. Thus the shop aims at making the customer feel
special by providing them with customize gifts for their special ones. Also to
value customer’s time and thus provide them with home delivery options.

2.2 Goals and Objectives :

Non- Financial:

To Endeavour highest level of customer satisfaction in terms of both the

product and service is provided by the shop. By providing highest quality
standards of product and by giving services at all levels customer satisfaction is
maximized.
Good employment opportunities, healthy working conditions for employees and
by building reputable and recognizable organizational culture the shop further
moves towards achieving its goal to satisfy customer and respect their emotions.

Financial:

The primary financial goal of this shop is to gain maximum market share over
the first 3 years. Since our calculated investment profit is Rs 2500000, our
expected profit percentage is around 35 % per year. After 3 years, our
promotional expense will decrease and turnover will increase, so profit is
expected to reach a saturation point and become stable.

2.3 Core Competencies / Competitive Advantage :

The store’s competencies include high quality products at affordable prices

partnered with exclusivity and uniqueness of products, which will provide
consumers with not only a gift to present but a unique way to express their
feeling.
3. SITUATIONAL ANALYSIS
3.1 SWOT Analysis:

 STRENGTH:

 No gift shops are around Gandhi maidan, Patna Bihar.

 Customized cards and gifts.
 Home delivery.
 The ability to communicate well with people and provide
exceptional customer service.
 The ability to provide a product range of exceptional originality
and quality.
 We have completed masters in fashion management and conducted
in-depth market research

 WEAKNESS:
 Less room space for storage of inventory.

 OPPORTUNITY:
 High profit growth,
 First-mover advantage.
 No direct substitute market research has indicated vary large no. of
potential customers.

 THREAT:
 Some crafts people may not want to supply us with stock due to
decrease profit margin.
 At present there is no other retailer in these categories within a
radius of 2 km, so there is a potential for someone to imitate this
business idea within short span of time.

 Threat of competitors entering the market.

3.2 INDUSTRY ANALYSIS:

3.3 COMPETITOR ANALYSIS:

The gift shop is opened in such a place where no other such shops are present,
so no direct competition is present.

The presence of handicrafts shops and its brand identity however forms the
main indirect competitors of the store.

Also presence of other gift shop in other areas form the competitors of the store
but the competition is not so high because very few such shops are present in
the city.

3.4 COMPANY BRIEF:

The structure and strategy of the store was well developed to fill the gap in this
area of category at the central region of the city. With the success of the store
there are plans to expand the business by opening of chain stores in areas which
do not have such stores.

3.5 CUSTOMER ANALYSIS:

3.6 ENVIRONMENTAL ANALYSIS:

PESTEL ANALYSIS

POLITICAL:
 The national minimum wage

ECONOMIC:

 Maximise the contribution of local and regional economies

 Because of gentrification of Patna, there is increase in purchasing power.

SOCIAL:
 Charity- benefits to the community
 The changing lifestyle of people
 Society adopting the western ideas and culture

TECHNOLOGICAL:
 Electronic point of sale (EPOS)
 Use of internet for marketing
 Use of internet as means of networking

ENVIRONMENTAL:
 Pursuing environmentally friendly strategies i.e. focused on
recycling, use of paper-carrier bags.
 Bills through mobile SMS and e-mails.

LEGAL:
 Working hours restriction
 Health and safety
4. MARKET PRODUCT FOCUS
4.1 SEGMENTATION:

Demographic:

 For all age groups for both male and female.

 Occupation such as students professionals, executives etc.

Psychographic:

 Sporty,
 Emotional,
 Ambitious,
 Creative.

Behavioral:

 For special occasion

 Attitude towards the product- enthusiastic, positive,
indifferent.

Geographic:

 Near Gandhi Maidan.

 Tier-2 city.
 Urban, suburban.
4.2 Target market:

We target all age group people but particularly focus on youngsters as well as
working people.

4.3 Points of difference:

The facility of “Customized and personalized greeting cards and gifts” for our
target customer gives the point of difference for the positioning of our store. We
also provide the additional facility of home deliveries, which gives us an extra
edge over the competitors.

4.4 Positioning:

The “xpreshunzz” gift shop is aimed to position as a special place in the

psychology of the target market and cater to their emotional needs and wants. It
is specially positioned to value time for the busy working people and offer them
with customized services and students from various institutions can also use its
services.
 5. MARKETING PROGRAM STRATEGY
AND TACTIS

MARKETING MIX:

5.1 Product line:

Gifts items like different types of soft toys, cards for all occasions, showcase
pieces, wall hangings, photo frames, wind champs, dairies, toys, artificial fancy
jewelry, bags, wallets , clutches, hand bands, friendship bands,
flowers(artificial as well as fresh).

5.2 Promotion:

Advertisement using newspaper, television, hoardings, radio, magazines,

leaflets.

5.3 Place:

Our shop is situated in the center of the city. This location is well connected
with the rest of the city. Good transport facility, so more easy for customers to
visit our shop.

5.4 Pricing:

 Soft toys: Rs.100-1499/-

 Greeting cards: Rs.2.00-1499/-
 Show-piece: Rs.50-2000/-
 Wall Hangings: Rs.50-1000/-
 Fresh Flowers: Rs.15-5000/-
 Artificial flowers: Rs.20-3000/-
 Antique item: Rs.45-2000/-
 Wind chimes: Rs.150-500/-
 Diaries: Rs.100-400/-
 Photo frames: Rs.150-2500/-
 Artificial jewelry: Rs: 50-1000/-
 Bags: Rs 250-1000/-
 Wallets: Rs 150-2500/-
 Clutches: Rs 150-1500/-
 Hand bands: Rs 35-500/-
 Miscellaneous items: Rs 20-500/-
6. FINANCIAL DATA AND PROJECTIONS
6.1 EXPENSE DISTRIBUTION:

Initial Expenses -

Our estimated capital which is required to start up the business operation will
total to Rs.50,00,000. This includes security and rent, fixtures, salary,
electricity and transport, interior designing, promotional expenses and initial
merchandise. The costs of each are illustrated below.

Security and Rent (Rs. 5,00,000 + Rs. 10,000)

Interior Designing and decoration(including fixtures and equipments): Rs.

2,00,000

Fees (Rs. 3,00,000) – For the registration of the shop.

Salary (Rs. 12,000 ) – The salary to be given to the accountant, sales

personnel, and the cleaning staff.

Electricity and transport: Rs. 5000 + Rs. 10,000(including the delivery of

merchandise and the home delivery services).

Promotional expenses: Rs. 4,00,000 (including newspaper, television

commercials, pamphlets, hoardings, radio, local magazines, brand
ambassador for initial promotions – Actress Shweta Tiwari)

Initial merchandise: (Rs. 6,58,000)- includes all the products to open the shop

6.2 OPERATING EXPENSE:

The annual operating expenses necessary to run the business will

initially total Rs. 900,000 including staff, utilities, marketing, loan
 repayments and interest. These expenses will vary each year and will
gradually drop; yearly estimates follow.

6.3 GROSS PROFIT PER UNIT SOLD:

6.4 EXPECTED MARKET SHARE:

Service Business Analysis

The "Gift Industry" is primarily engaged in the retail sale of combined lines of
gifts and novelty merchandise, souvenirs, greeting cards, holiday decorations,
and miscellaneous small arts goods. These establishments are characterized by
small, single unit specialty shops, each retailing a narrow line of full-priced,
high-quality merchandise. The gift industry's five product categories along with
its total sales and market share are represented by the following:

Product Category Total Sales Market

(billions) Share

1. Home Decorative
$16.89 31.0%
Accents
2. Stationery & Paper
Products $14.07 26.0%

3. General Gifts $13.51 25.0%

4. Collectibles $6.40 12.0%

5. Seasonal Decorations $3.66 7.0%

--Source: 2004 Market Share Reporter (Research Alert, Dec. 6,

2002, p.5 from Unity Marketing):

6.5 EXPECTED NET REVENUE:

7. IMPLEMENTATION PLAN
7.1 Gantt chart:
7.2 Promotion schedule:

8. EVALUATION AND CONTROL

8.1 Quality control:

8.2 Risk analysis:

8.3 Evaluation analysis:

References
Appendices