DON HONORIO VENTURA STATE UNIVERSITY

BACOLOR, PAMPANGA
COLLEGE OF BUSINESS STUDIES

MARKETING PLAN:
KAMOTENG KAHOY
VINEGAR

Submitted by:
BESA, Joshua Daniel D.
BASILIO, Jenesis Joy G.
CARLOS, Claudys Raya S.
CASTRO, April Joy P.
DALLUAY, Charlon L.
DE LEON, Ana Marie P.
NABUA, John Kenneth S.
BSBA – MARKETING 3B

Submitted to:
Jelvin P. Velasco
 TABLE OF CONTENTS

I. Executive Summary……………………………………………... Page 2

II. Situation Analysis……………………………………………....... Page 3
2.1 Market Summary……………………………………………. Page 3
2.2 SWOT Analysis……………………………………………… Page 4
2.2.1 Strengths…………………………………………. Page 4
2.2.2 Weaknesses ……………………………………… Page 5
2.2.3 Opportunities……………………………………. Page 5
2.2.4 Threats………………………………………….... Page 6
2.3 Competition………………………………………………...... Page 7
III. Objectives………………………………………………………... Page 8
3.1 Marketing Objectives………………………………….......... Page 9
3.2 Financial Objectives…………………………………............ Page 9
IV. Marketing Strategy……………………………………………... Page 10
4.1 Target Market………………………………………………. Page 10
4.2 Positioning…………………………………………………... Page 11
4.3 Marketing Programs……………………………………...... Page 12
4.3.1 Product/Brand……………………………….…. Page 12
4.3.1.1 Physical Features………………….... Page 13
4.3.1.2 Brand………………………………... Page 14
4.3.1.3 Packaging………………………….... Page 15
4.3.1.4 Labelling…………………………...... Page 16
4.3.2 Price/Value…………………………………….... Page 17
4.3.2.1 Pricing Objectives…………………... Page 17
4.3.2.2 Pricing Methods/Pricing Strategies...Page 18
4.3.3 Distribution/Value Chain……………………… Page 19
4.3.3.1 Channel……………………………... Page 19
4.3.3.2 Place………….................................... Page 20
4.3.4 Marketing Communications…………………... Page 23
V. Financials………………………………………………….......... Page 32
5.1 Sales Forecast………………………………………............. Page 32

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I. Executive Summary

Condiment refers to a food that is generally eaten in a very small

quantity, often just for flavor. An example would be a ‘pinch’ of fish

powder, a teaspoon of milk tea, spices, etc. Filipinos are very fond of

eating their ulam with sawsawan (condiments) since they enrich the

flavor of the dish. Among the most famous kinds are fermented shrimp

paste, banana (yes, banana) ketchup, and combinations of soy sauce

and kalamansi (lime), fish sauce and kalamansi, and vinegar and chili.

There are countless types of native vinegar available in the Philippines,

differentiated by the ingredient from which they’re derived. The

proponents find a big opportunity in making Vinegar. The fermentation

of kamoteng kahoy which turn to be vinegar will give a new idea to the

vinegar industry in the country especially in Pampanga. A new and

exciting flavor of vinegar that will surely give a different experience to

customers.

OrgANIka Pinoy Enterprise is a fusion of ideas, knowledge, skills

and experience shared by the proponents. The company is composed of

proponents that differ in personalities, perception and capabilities yet

united these together to achieve one goal. The proponents named it

OrgANIka which means our product is organic or plant-based product.

As we used kamoteng kahoy (cassava) as our main ingredients and it

has no added chemicals. The word “ani” is written in a capital letter

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 format because we are relying on the “ani” or the harvest of kamoteng

kahoy (our main ingredients.)

II. Situation Analysis

In situation analysis, the proponents’ task is to discuss the ways on

how did they segment their market. SWOT analysis will be also

emphasis which shows the strengths, weaknesses, opportunities, and

threats of the company. Lastly, the proponents will be identifying their

direct competitors as well as their indirect competitors in the market.

2.1 Market Summary

In market summary, the proponents will be discussing how did they

segment their market. In segmenting their market, the proponents

consider a lot of factor like their age, sex, marital status and their

monthly income. Another factor that they also consider is the location

of their target market, if it is near or away from their location. Aside

from that, they also consider the psychological and behavioral factors

of their target market.

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2.2 SWOT Analysis

In SWOT analysis, the proponents will be identifying their

relationships within an organization’s internal and external

environments to help management determine the future direction of the

organization.

2.2.1 Strengths

Raw Material - The accessibility of quality raw material,

including the ingredients and processing aids, and packaging

materials are essentials in the foundation and manufacturing of

quality food products. The proponents find more flexibility and

control in sourcing the required raw materials since they are

locally available in the market.

Product Innovation - The Proposed Cassava vinegar is still

nonexistent in the present market. It would be the first variation

of vinegar to be released in the market. Cassava vinegar is a

product of innovation which is still not provided by many

condiments manufacturing firms.

Shared Vision - The vision plays an essential part in the

organization. It is a guide for creating plans and setting goals

and objectives. The proponents vision is to become one of the

premier manufacturers and suppliers of innovative condiments

that are beneficial and affordable for the people in the next five

years.

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2.2.2 Weaknesses

Location - The enterprise factory is located in the business

district of San Fernando, Pampanga which is near the local

market of the city wherein majority of the residents purchase

their food supplies.

Action Plan: Promotional efforts should be used to provide

customer awareness regarding the new product existing in the

market.

Training - Because of the being new in the market and in the

business industry, the proponents are not fully trained yet to

operate and manage the business.

Action Plan: The proponents must attend training programs and

seminars on how to manage a business or any business related

seminars and training programs as much as they can so that they

will be equally trained and fully equipped with knowledge and

skill on how to run a business.

2.2.3 Opportunities

New Product Variety - The Company will offer a new variety

of vinegar which is made out of "Kamoteng Kahoy''. If this

product will be released in the market, the customer's curiosity

and desire to purchase the product will be attacked by the

product itself resulting for the potential buyers to try this new

product offered.

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 Target Market Expansion - Knowing that vinegar is one of the

usual dips of different fried foods, also it is one of the essential

condiments of every Filipino household, the company can also

offer this product to the restaurants and food stores not only to

the households. This may conclude an expansion of the potential

target market as time passes by.

Growing Awareness and Support for the Local Products -

The company’s main raw ingredient is locally available in the

market which is kamoteng kahoy and its product is made locally

in Pampanga. Local food is an important part of the local culture

and is held in high regard by local communities. Consumption

of local food is a fast-growing trend supported by local food

advocates and governments.

2.2.4 Threats

Competitors - The prominent competitors are the one who

offers the same product at the same target market. They

are renowned in the market, they established their name, they

already have image and reputation to their

customers/consumers.

Action Plan: The proponents create a healthy product which is

chemical-free and have a good source of energy because it's rich

in calories, carbohydrates, and iron unlike the competitors. In

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 that way the proponent can grab customers/consumers that are

looking for healthy products and don't have a chemical in it.

Product Differentiation - Knowing that our company is a new

entrant to the market and there are existing vinegar and

condiments products in the market, it is a threat for us because

of the customer’s brand loyalty.

Action Plan: The proponents will pay attention to the

promotional area in order for us to have a customer awareness

towards our product. Also, the proponents create an innovative

vinegar which is different from our leading competitors that has

organic raw materials.

2.3 Competition

In this part, the proponents will be listing down their direct

competitors and indirect competitors in the market to be able to

scrutinize and improve their products and acquire a large percentage of

market shares and gain competitive advantage against other

competitors.

DIRECT COMPETITORS INDIRECT COMPETITORS

 TILTILAN DELICACIES  DEL MONTE

 DATU PUTI  UFC

 SILVER SWAN  MANG TOMAS

 BRAGG ORGANIC  JUFRAN

APPLE CIDER VINEGAR
 MARCA PIÑA  MAGGI SAVOR

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III. Objectives

The proponents will be identifying their short term objectives as

well as their long term objectives. Setting short term and long term

objectives will help us to pursue our professional endeavors and to reach

success.

To be able to provide an affordable and innovative condiments to

the customers. Also, to provide quality food ingredient solutions that are

organic in which ensures healthy benefits for the customers. The

company guarantees to deliver superior and competitive products that

will satisfy the customer with the help of proficient employees and the

presence of camaraderie.

SHORT TERM OBJECTIVES LONG TERM OBJECTIVES

 Improve business  Increase overall brand

productivity awareness

 Reduce business  Increase our company’s

overheads share in the market

 Incorporate social media  Develop and launch new

marketing product

 Develop MVP (minimum

viable product) ahead of  Maintain profits

time

 Improve business’
 Lasting legacy
customer service

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3.1 Marketing Objectives

In marketing objectives, the proponents will be discussing their sales

volume or the number of units that are being sold within a year.

 Three (3) Employees: 240 bottles of cassava vinegar per day

 Working Hours: 8 hours per day

 Working Days: 5 days

 Weeks per Month: 4 weeks

 Months per Year: 12 months

Formula: Production per Day x Working Days x Weeks per Month

x Months per Year = Volume of Production per Year.

Solution: 240 x 5 x 4 x 12 = 57,600

The proponents’ volume of production per year is 57,600

units/bottles of cassava market and they need to sell 57,600 bottles of

cassava within one year.

3.2 Financial Objectives

In financial objectives, the proponents will be doing the standard

costing to find out the price of the cassava vinegar that they are

proposing to the market.

Formula: Direct Labor + Direct Materials + Overhead = Standard

Cost per unit

 Direct Labor: ₱60

 Direct Materials: ₱20

 Overhead: ₱20

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  Total Standard Cost per unit: ₱100

IV. Marketing Strategy

In marketing strategy, the proponents will discuss the different

marketing strategies that they will be using that will serve as key

indicators for success.

4.1 Target Market

In target market, the proponents will discuss and describe their

target market based on their Demographic profile, Geographical

location, Psychological, and Behavioral.

● Demographic

 The proponents focus on their target market aging 20-40

years’ old, male and/or female with a marital status of single,

married, and even annulled and separated, and have at least

10,000 pesos’ monthly income.

 Geographical

 The primary target market of the proponents are people who

are residing within the City of San Fernando, Angeles City,

and Apalit, Pampanga.

 Psychographic

 The primary target market of the proponents would be those

people who loves the sour flavor or asim, that vinegar

introduces to food.

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  Behavioral

 The primary market would be those impulsive buyers and

those people who frequently buys vinegar in any occasion or

even in an ordinary day/s.

The proponents focus on their primary target market who are

working young adults and adults aging 20-40 years’ old, male and

female with a marital status of single, married, and even annulled

and separated, and have at least 10,000 pesos’ monthly income

residing in Pampanga, especially those people residing within the

vicinity of City of San Fernando, Pampanga and who frequently

buys vinegar in any occasion or even in an ordinary day/s.

4.2 Positioning

The OrgANIka Pinoy Enterprise factory is located at Miramax

bldg., V. Tiomico Street, City of San Fernando, Pampanga. The

proponents chose this location because it is in the business district of

City of San Fernando, Pampanga and it is easily accessible to the people

around the city.

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4.3 Marketing Programs

In marketing programs, the proponents will be discussing their

marketing programs that includes their product or brand, the price or the

value of their product, the distribution or value chain, and lastly, the

marketing communications.

4.3.1 Product/Brand

The reason behind why we proposed kamoteng kahoy

vinegar because one of our main ingredient which is kamoteng

kahoy and it is abundant in our country. Yes, there are lots of

vinegar that is being sold in the market but we barely see an

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 organic and innovative one in the market that is environmental

friendly. We decided to choose cassava vineger because all the

main ingredients are not difficult to find.

4.3.1.1 Physical Features

OrgANIka Pinoy Enterprise’ Cassava Vinegar

benefits are it helps to reduce blood pressure, promotes

wound healing, it helps with nutrient absorption, and it

can strengthen the immunity. Aside from that, it is also

organic because the proponents provide quality food

ingredient solutions that are organic in which ensures

healthy benefits for the customers and it is also an eco-

friendly product.

Sample Product

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4.3.1.2 Brand

The proponents decided to use SpicedGourmet.ph as

their brand name. Black color is used to show elegance

and sophistication that a simple product can offer to its

customers. The yellow color is used to catch the attention

of the people and give a sense of happiness. The

proponents used spicedgourmet.ph as the brand name as

they believe that it can bring another level of satisfaction

and flavor upon using it and that can be felt like high

quality product.

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4.3.1.3 Packaging

Primary Packaging Secondary Packaging

The proponents decided to use a plastic bottle

(500mL) as their primary packaging which is an eco-

friendly plastic bottle and you can also recycle it and use

in other things. Cardboard box is what the proponents

agreed upon on their secondary packaging for their set of

3 gift-pack which is exclusive. OrgANIka Pinoy

Enterprise decided to use glass bottles and cardboard

boxes so as for the company to avoid or at least reduce

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 the litter. The company also promotes environmentally

friendly and organic products.

4.3.1.4 Labelling

Front Product Label Back Product Label

The proponents opted for a minimalist label design

using white as its base color and gold for the texts and

other details shown on the label. The color white

represents both the product and the company for it

symbolizes purity which associates well with the quality

of the product given the fact that it is organically

produced. Moreover, white often represents a fresh start

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 or a new beginning which is well-suited to the

company’s state of affairs. The proponents chose gold as

the color of the words and details for it accentuates the

patterns and contents of the whole label giving it a

seamless and premium feel as contrasted by the plain

white background. As shown in the product label,

intricate patterns were also included. The proponents

took inspiration from local Kapampangan quality carved

woodcrafts and metal works to provide representation of

the product’s place of origin. The nutrition facts and

expiration date are stated at the back portion of the

product label; this is to ensure the safety of the

consumers.

4.3.2 Price/Value

In price or value, the proponents will emphasis their pricing

strategies that they will be using and their pricing objectives.

4.3.2.1 Pricing Objectives

Pricing objectives are the underlying goals or

framework established by a company that determines

how they set prices for their service or product. Working

out your pricing objectives provides direction for the rest

of the pricing process and guides your choice

of pricing strategies used to meet those objectives.

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 PRICING OBJECTIVES

 Maximum Current Profit

 Target Return on Investment

 Sales Growth

 Increasing Sales Volume

 Matching Competitors’ Prices

4.3.2.2 Pricing Methods/Pricing Strategies

Pricing strategy refers to method companies use

to price their products or services. Almost all companies,

large or small, base the price of their products and

services on production, labor and advertising expenses

and then add on a certain percentage so they can make a

profit. The final price of the Cassava Vinegar with mark-

up would be ₱120.

 Cost-Based Pricing Strategy

 OrgANIka Pinoy Enterprise adopts the cost-based

pricing strategy. The proponents set their prices

based on the cost for producing, distributing, and

selling the product plus a fair rate of return for effort

and risk. In the cost-based method, they also include

the variable and fixed costs.

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  Market Penetration Pricing Strategy

 OrgANIka Pinoy Enterprise uses a market

penetration pricing strategy to attract customers. The

majority of the young adult ranges 20-40 years old

are price sensitive; therefore, the proponents set their

products at a low cost and not losing their quality and

taste to bring in a higher volume of sales.

 Consumer Based Pricing Strategy

 OrgANIka Pinoy Enterprise uses consumer based

pricing strategy in order to set its prices according

to customer perceptions about the value of their

products.

4.3.3 Distribution/Value Chain

In distribution chain, the proponents will be discussing their

channels (direct and indirect) that they will be using in order to

distribute their products. The proponents will also be putting

their sketch or drawing of their store layout.

4.3.3.1 Channel

The proponents will be using both direct

(Manufacture to End-user) and indirect (Manu - whole -

retailer – consumer and/or Manu - retailer – consumer).

They decided to use both direct and indirect channel in

order to expand the distribution, reach wider market, and

19
 deliver the product to the end user/consumer using a

middlemen or different marketing strategies. By using

both channels, they make sure that they will manage it to

maximize efficiency and avoid chaos among various

channel members.

4.3.3.2 Place

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21
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4.3.4 Marketing Communications

In marketing communications, the proponents will discuss

and emphasis all the marketing communications that they are

using in order to attract and gain more customers. With the help

of these marketing communications, it is easy for their brand to

have more recognition from the public and to increase brand

awareness.

 Digital Marketing

 Nowadays most of the people are very much active in

social media so the proponents will maximize the use of

social to promote the product. As we all know that this

platform is not costly in nature yet it has higher

possibility to reach a larger number of potential

customers.

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  Direct Marketing

 The proponents will be conducting a direct marketing

wherein they will implement a personal promotion and

free taste to the target market to experience the taste of

the newly generated product.

 Sales Promotion

 It is an effective strategy to attract the customers to try

the product. The proponents will use some of the

following sales promotion to promote the product.

VALUE PACK

BUY NOW!
SAVE ₱ 10

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EXCLUSIVE
GIFT PACK

 Discounted products

 The proponents will provide customize discounts

promotion with the following occasions:

✔ Wedding

✔ Birthdays

✔ Graduation

 Loyalty Card

 The proponents will be giving a loyalty card to those

customers wherein once they reach the certain amount of

total purchase.

 This promo will only run for a month after launching the

product to get “value card”.

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 QUARTER 1 (2021): JANUARY 1 – MARCH 31

JANUARY 2021 TASK NAME

Preparation of the proponents for the

soft opening at Miramax bldg., V.

WEEK 1
Tiomico Street, City of San Fernando,

Pampanga.

The marketing team will be utilizing

WEEK 2 the social media to inform individuals

for the opening of the business.

The marketing team will be

WEEK 3 conducting a promotion through our

social media pages.

The sales representatives’ task is to

WEEK 4 send an invitations via e-mail for our

grand opening to various individuals.

FEBRUARY 2021 TASK NAME

26
 Preparation of the proponents for the

grand opening at Miramax bldg., V.

Tiomico Street, City of San Fernando,

Pampanga. The proponents will be

inviting the mayor and the priest of

San Fernando for ribbon cutting and

WEEK 1 store blessing. They will be strictly

following the safety protocols to

prevent the spreading of the virus.

Aside from that, the first 5 customers

will be receiving an exclusive set of

gift pack of our very own cassava

vinegar.

The sales agent will be conducting

free tasting of the product around the

top retailer stores in San Fernando,

Pampanga (Puregold, Sunshine, AA

WEEK 2 Supermarket). The sales agent will

ensure that the materials they’re using

are properly sterilized and it won’t be

used multiple times for the safety of

the customers.

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 The company will be having a promo

of purchasing cassava vinegar worth

WEEK 3
300 pesos and you will get one bottle

of cassava vinegar for free.

The sales agent will be giving free 5

pcs. of facemask and hand sanitizer

WEEK 4
when you purchase cassava vinegar

worth 250 pesos.

MARCH 2021 TASK NAME

WEEK 1

The sales agent will be giving free two

bottles mineral water bottle when you

WEEK 2
purchase cassava vinegar worth 250

pesos.

The sales agent will be giving free

umbrella, nylon foldable fan, 5 pcs of

WEEK 3 facemasks and face shields when you

purchase cassava vinegar worth 500

pesos.

WEEK 4

QUARTER 2 (2021): APRIL 1 – JUNE 30

APRIL 2021 TASK NAME

WEEK 1

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 WEEK 2 The company will be having a

WEEK 3 Summer Bazaar at Marquee Mall and

Waltermart, Pampanga. The sales

WEEK 4 agents will be facilitating the said

bazaar.

MAY 2021 TASK NAME

WEEK 1

WEEK 2

WEEK 3

WEEK 4

JUNE 2021 TASK NAME

WEEK 1

The direct satellite store will be

launching a new flavor of cassava

WEEK 2 vinegar and the sales agent will be

conducting free tasting to the

product’s new flavor.

The retailer partners will be selling the

value pack promo (one regular flavor

and the new flavor) as purchasing the

WEEK 3
value pack, 10 pesos will be

discounted on the SRP (suggested

retail price).

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 WEEK 4

QUARTER 3 (2021): July 1 - September 30

JULY 2021 TASK NAME

WEEK 1
The company will give loyalty card to
WEEK 2
those customers who purchase cassava
WEEK 3
vinegar worth 300 pesos and above.
WEEK 4

AUGUST 2021 TASK NAME

The company will be sending some

cassava vinegar products to certain

WEEK 1
vloggers to have a taste test and to

give their feedbacks to it.

WEEK 2

WEEK 3

WEEK 4

SEPTEMBER 2021 TASK NAME

The direct satellite store will be

conducting exclusive sales and the

marketing agents will sending a

WEEK 1
message via text or email to those who

have a loyalty card for the exclusive

sales.

WEEK 2

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 WEEK 3

WEEK 4

QUARTER 4 (2021): October 1 - December 31

OCTOBER 2021 TASK NAME

WEEK 1

The company will now be accepting

WEEK 2 online orders from our customers

through our social media pages.

WEEK 3

WEEK 4

NOVEMBER 2021 TASK NAME

WEEK 1

WEEK 2

WEEK 3

WEEK 4

DECEMBER 2021 TASK NAME

WEEK 1 The company will be having a

WEEK 2 Christmas Bazaar at Robinson’s

WEEK 3 Starmill, Marquee Mall and

Waltermart, Pampanga. The sales

WEEK 4
agents will be facilitating the said

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 bazaar and there will be a special

Christmas promo.

V. Financials

In financials, the proponents will be estimating their future revenue

by predicting or forecasting their sales forecast for four years. In order

to calculate their sales forecast, the proponents will use this formula:

Total Volume of Production x Price per Unit.

5.1 Sales Forecast

SALES FORECAST FOR THE YEAR 2021

Total
Price per Sales
Volume of Conversion
Unit Forecast
Production

57,600 120 57,600 x 120 6,912,000

SALES FORECAST FOR THE YEAR 2022

Sales
Increase in Sales
Forecast Conversion
Sales (%) Forecast
(2021)

(6,912,000 x

6,912,000 3% 0.03) + 7,119,360

6,912,000

SALES FORECAST FOR THE YEAR 2023

Sales
Increase in Sales
Forecast Conversion
Sales (%) Forecast
(2022)

32
 (7,119,360 x

7,119,360 7% 0.07) + 7,617,715.2

7,119,360

SALES FORECAST FOR THE YEAR 2024

Sales
Increase in Sales
Forecast Conversion
Sales (%) Forecast
(2023)

(7,617,715.2 x

7,617,715.2 10% 0.10) + 8,379,486.72

7,617,715.2

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