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Marketing Plan For Toys
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A toy super shop-
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KIDZOMANIA
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12/4/2009

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 Prepared for

Bashir Hussain
Course Instructor
Mkt202 Sec: 3
 Acknowledgement

First of all, we thank to
complete this report
gratitude to those who
would like to convey
Moms’ for his cordial
Executives of different
and great affection
course instructor Mr.
all mighty Allah, who have provided us the great opportunity to
successfully. To make this project successful, we want to show our
have lent their hands of cooperative participation. In this regard, we
our heartiest gratitude and thanks to the Executive of ‘Kids and
co-operation, information and help. We also want to help all the
Toy Shops. Last but not the least, we would like to express our feeling
with our heartiest appreciation to the most respectable and revered
Bashir Hussain for giving us such an opportunity, which has surely

● ● ● helped us to gather practical

knowledge about Marketing.
Prepared by
 Tamara Ali ID: 082039030

 Chowdhury Md. Sami-Al-Muntahi ID: 082090030

 Nazmus Sadat ID: 082091030

 Rafsan Naveed ID: 082121030

 Aaka Asad ID: 082353030

● ● ●
12 April, 2009

Letter of Transmittal
Bashir Hussain (BHn)
Course-MKT 202.

Section-03

School of Business

North South University.

Subject: Submitting the report on the Marketing Plan of KIDZOMANIA.

Dear Sir,

We are glad to submit our report on the specific topic as you have assigned us to prepare a term paper
as a partial requirement of the course. Now we are looking forward for your kind appraisal regarding
this report.

The report reviews on the total Marketing Plan Of the Toy super shop “KIDZOMANIA”.

We were pleased to prepare this report and we expect that it provides you an overall concept of the
activities of our Marketing Plan..

It would be appreciated, if you please evaluate our report. We would like to thank you for your support
and feedback.

Sincerely yours,

1. Tamara Ali (ID # 082 039 030)

2. Chowdhury Md. Sami-Al-Muntahi (ID # 082 090 030)
3. Nazmus Sadat (ID # 082 091 030)
4. Rafsan Naveed (ID # 082 121 030)
5. Aaka Asad (ID # 082 353 030)
CONTENT
Executive summary…………………………………………………………… 1

1. Current marketing situation…………………………................................ 2

a. Company background……………………………………………… 2
i) Marketing description……………………………………… 3
ii) Shop review……...………………………………………… 3
iii) Competitive review………………………………………… 4

2. SWOT Analysis……………………………………………………………5
a. Strength…………………………………………………………….. 5
b. Weakness…………………………………………………………….6
c. Opportunities………………………………………………………...7
d. Threats……………………………………………………………….7

3. Objectives and issues………..…………………………………………….8

4. Marketing strategy……………………………………………………….. 9
a. Product strategy…………………………………………………….. 9
b. Pricing strategy…………………………………………………… 10
c. Place strategy………………………………………………………. 11
d. Promotion strategy………………………………………………… 11
e. Distribution strategy………………………………………………....11
f. positioning strategy………………………………………………….11
g. marketing communication strategy………………………………….12
h. marketing research…………………………………………………...12

5. Budget…………………………………………………………………….13

6. Control…………………………………………………………………….14

7. Reference………………………………………………………………….15
Executive summary

The popularity and eminence of toys is emerging gradually among the kids of Bangladesh. As a toy shop
is a very profitable business from Bangladesh’s point of view, we have decided to open a toy shop
named ‘KIDZOMANIA’. It is going to be a ‘super shop’ selling only toys with some unique features. There
is no super shop in Bangladesh which sells only toys. We are going to have a wide range of products in
our shop and surely we are going to meet customer satisfaction.

We have selected a place in ‘Gulshan’ for our super shop. The place is very near to Gulshan market. For
place selection process of the shop we have considered our target customer’s communication
convenience.

We are going to sell every possible kind of toys in the super shop. We will have several sections for toys
so that shoppers can shop with more convenience. As a unique feature we have a plan to open a section
named ‘Play zone’ which will be for children’s entertainment.

Our primary goal is to achieve first year’s sales revenue of BDT 46, 00,000. We will face three years of
loss. We have a plan to reach the break even sales in third year.
 1

Current marketing situation

The toy market in our country is not much dynamic. Not too much toy shops are present in the market.
As there are few toy shops in the market, competition between the shops are non-existent. So there is a
great scope to be successful in this kind of market. Toy customers are present in the market though the
toy shops cannot satisfy the customers. And the reason of this kind of situation is the small range of
products remaining in the toy shops.

The toy market of our country is entirely import based. No local company manufactures toys.
Government has no certain policy on the import of the toys. So importers charge the prices on their own
will. So toy prices are relatively high in our country. So in the market if we step up with a relatively lower
price than market penetration and making good profit out of it, is not a difficult job to do.

Creating brand awareness under this kind of marketing situation is not going to be a hard job for
‘KIDZOMANIA’. At present there is hardly a toy seller with a brand image. There are a few shops that
have some sort of brand image in the market but there are not only toy sellers. They sell toys along with
other products.

‘KIDZOMANIA’, under present marketing situation can be successful. ‘KIDZOMANIA’ has to depend on
import for the toys. The toys in this super shop are going to be directly imported. For the import of the
toys, we have to depend mostly on China. We are going to import also from Taiwan as Taiwan is known
as a good quality toy manufacturer. And a part of our inventories will also be imported from India. As we
are making the import directly our pricing will definitely be lower than the competitors.
 2

Market Description
For the segmentation of the market we will use the demographic segmentation as well as the
psychographic segmentation. Under demographic segmentation we are targeting the age group 1-15
years. Basically kids are our product’s end user so we are targeting the kids as our target customers. And
under the psychographic segmentation, we are apprehending social status while targeting the market.
Our main target customers are mostly the upper class, middle upper class and the upper class.

We will divide our shop in different sections. KIDZOMANIA’s a unique feature is going to be the ‘Play
Zone’ section. Children coming to the shop can try their desired toys in this play zone. Despite this, the
play zone is going to contain one or two small exciting rides where children will be entertained.

The Shop review

We have planned to open eight sections in KIDZOMANIA. Different segments will contain different kinds
of toys. The sections are:

 Doll’s stall: All kind of dolls will be part of this section. Barbie, singing and dancing toys are the
examples of this section’s toys.
 Staffed toys: Teddy bear, bunny and other dolls like this are the part of this section.
 Kid’s vehicles: Every kind of children vehicles are part of the section. Small cars, motorcycle,
small plane, big vehicles (battery driven) are some examples.
 The superhero section: In this section we will have all the superhero toys as well as their
costumes and masks.
 Lego and toy houses: Toys like Lagos and the big toy houses are the part of the section.
 Educational toys: various kind of Jigsaw puzzles, spelling pianos etc. are part of the section.
 Bangladeshi toys: We are going to have some toys that represents Bangladeshi culture. Like,
we are going to have small ‘hari’, ‘patil’, various small statues that are made of the dust.
 Play zone: This is the unique section that we are going to have. In this section children can try
their desired toys. We are going to have one or two small rides like slippers as well.
 3

Competitive Review:

The popularity of toys is mounting day by day. So many shops and stores are offering different
kinds of toys. So the competition is emerging gradually. They have their own strategies and
planning and they are doing quite well in their part. We have sorted some of our competitions
and a short review of them is summarized.

 Kids & Moms: This well-known shop located in Banani is one of our main competitors.
They have a rich collection of diverse types of toys. And they have their selected
customers too. They are doing well in the market as their service is quite affluent and
superior.

 Gulshan Super Market: In the Gulshan market we can find a vast collection of toy shops.
They also have a good business in their hand. But their collection is not as much reach as
kids & moms. Even then they gain a good profit yearly. As they are situated in Gulshan,
therefore we consider them a good opponent.

 Toys R us: This little shop is also located in Banani. As it has an international appeal in it
so it provides a healthy competition too. The toy variety of it, is quite diversified. But it
does not have a much larger share of the market.

 Eastern Plaza: A healthy amount of toy shops are found in this plaza. As it is located in a
busy shopping area therefore it has its own local crowd and consumers. It is not one of
our main competitions as its target customers are not the same as ours. And it is also
located far from our targeted area.
  New market: This very old favorite market of Dhaka city contains lots of toy shops. But
it also does not stand as the main competitor of us; as it targets unlike customers and
serves differently.

 Wonderland toys: Wonderland toys is one of our main competitors as the quality of
their products is quite similar to our ones. And they also have targeted the upper class
society.

 We also have some other competitors like mother’s care, Lego house and others as they
also have rich collection of toys in their stores.

Despite having so many competitors we still stand a chance to excel in the market, as we have our
strengths like quality and pricing. We have some opportunities too. But we have to be careful about the
threats and our weaknesses.

SWOT Analysis

Kidzomania has several powerful strengths to build, but our major weakness is the less
awareness of our toyshop. The major opportunity of our shop is the increasing demand for the
toys, especially in occasions. We also face the threat of building collections of the competitors as
well as fluctuations in taxes and duty fees. Summary of the overall strengths, weakness,
opportunity and threats:

Strengths:

 Quality product: As we will be importing toys from Taiwan and India therefore we
will have an advantage of better quality of toys over the competitors. We have
researched that most of the competitors import the toys from China. But the quality
of Chinese products is shoddier than the Taiwan and Indian products. So we have an
edge on the quality of our toys.
  Pricing- less for same: As we have surveyed, most of the toyshops add 30-35% of
profit in their purchasing price to earn more. But we are only adding 25% of profit in
our purchasing price. So customers are getting advantage of lower pricing in our
shop. This is another significant strength of ours.

 Direct import: Our strategy is to import the toys directly from the countries.
Therefore we will not have to pay any extra charges to any other company or
intermediary. It will decrease our purchasing price and also the products will be
unsullied.

 Excellent customer service: Ours manager and the salespersons will be highly
efficient and smart. They will provide a better care and hospitality to our customers.
The shopping environment will be first-rate and delightful.

 Play-zone: Our shop will have a play zone of its own. That gives our shop an
exclusivity and uniqueness. It will be an elite part of our super shop.

Weaknesses:

 Less awareness: The lack of awareness about our shop is the most influential drawback of our
plan. As we will be starting our super shop without any renowned brand name or image, so it
will be difficult for us to establish our super shop as a high rated toy shop on the vicinity. We
have a plan to tackle this area with our promotions and better service.

 Management: As we are directly importing our products and managing each part by ourselves,
therefore it will be difficult for us to manage everything. But we will appoint better and
qualified managers and business planners to supervise all these. Skilled and experienced
supervisors would handle the situations entirely.
Strengths: Weaknesses:
 Quality product  Less awareness
 Pricing- less for same  Management
 Direct import
 Excellent customer
service
 Play-zone

Opportunities: Threats :
 Less collection of the  Competitor’s intention
competitors  Fluctuations on
 Increasing demand for government taxes and
toys occasionally duty fees.

SWOT Analysis
6

Opportunities:

Less collection of toys of the competitors: In our country shops and stores so not carry
too much variety of toys. That is an excellent opportunity for us to go ahead of them. We
will carry a range of items of toys in our super shop. We will include the rare types and
models too. That will give us an advantage over others. And we can excel through it.
 Occasional increase in demand for toys: In some occasions like children’s day or
Christmas day suddenly the demand of toys increases immensely. That gives us an
opportunity to increase our sales and maximize our profit. The craze of toys among the
kids is huge. So we must target them in occasions and offer them special features and
discounts too.

Threats:

Competitors’ intentions: As we do not know much about our competitors’ intentions and
strategy, therefore we always have a threat of a sudden move of their planning. They may
offer different pricing and proposals, observing the increasing sales of our shop. They may
use other tactics to boost their sales.

Fluctuations on government taxes and duty fees: The duty fees and the other taxes are not
constant all the time. They vary in times. Therefore we may have to purchase our products
in a higher price sometimes. This instability in taxes and fares may affect our pricing and we
probably may fail to offer the same price on a regular basis. So we must be careful in this
manner. We can purchase a weighty amount of product collectively to avoid this threat.
7

Objectives and issues

We have set aggressive but achievable objectives for the first and second year of market entry.

First year objective

Our second-year objectives are to achieve a 7 percent share of the total toy market.

Second year Objectives

During this year we will try to achieve 16 percent of the total toy market and will try to achieve the break-
even point as early as possible.

Long Term:

We will go for more market shares but main focus will be on importing more varieties of toys and
Branded toys from England and other European Countries. And after a reasonable time if we find it
convenient then we will go for manufacturing but other collections will be also available. So, in a sense
we want to create us as an Oligopoly with our own Brand with the help of further analysis and market
survey.

Issues

KIDZOMANIA is still in the speculative stage as a green grower. Ergo, we are to continue to take a
modest fiscal approach; expand at a reasonable rate, not for the sake of our expansion on itself, but
because it is economically wise to; so that we can establish a well regarded brand name liked to a
meaningful positioning.

Marketing Strategy

Our goal is to create value for customers and build strong and profitable customer relationships. And
here comes the 4P I.e. Product, Price, Promotion and place. So, here is a brief description about our
Marketing Strategy.

Product strategy
We have differentiated our product as Branded and Quality product. We have some certain features.
They are:

 Online Service: As being a super quality we are also providing a super service in
Bangladesh and that is online sales. People can buy via our websites with their Debit
or Credit card and we will provide home delivery service in these cases.
 Packaging: We are going for a heavy packaging to make our product a differentiated product.
 Branded, High Quality and Non-Toxic product: We are importing Branded (example: Farlin,
Barbie’s and others) and Quality product only and we ensure this products are non-toxic.
Besides China and India we are importing from Taiwan as well which assures better quality.
And we are giving them those in a lower price.
 Well Designed: Our Toy super shop is designed in a disciplined way that consumer will find it
easy has their desired product.
 Kids Environment: With our decoration and other activities we want to arrange our super shop
in such a way so that it can ensure kids friendly environment.
 Excellent Customer Service: Most importantly we ensure excellent customer service. Our sales
persons and executive is educated, highly
Price ranges
trained and they are very helpful and co-
Names Range (BDt)
operative to the consumer that they will feel
Doll’s stall 300-3000
happy to come here again.
 Play Zone: The unique facilities that we are Staffed toys 400-5000

possessing that we have our own Play Zone for Kid’s vehicles 50-30000
the kids. And we are charging a reasonable price Superhero toys & 150-800
here. So, kids are getting two in one facilities. costumes
9
Lego & toy houses 300-4000

Educational toys 50-1000

Pricing Strategy: Bengali toys 50-500

Play Zone Per head 20/-

(half an hour)
According to the current situation, Price does not affect the consumer’s behavior so much because price
is more or less same for all companies. But despite this situation, it is yet possible to differentiate
through pricing. In our pricing

 We have included 20% of duty fee in our total purchasing price.

 Then we add 25% of profit in the purchasing price.

In this way, we are following ‘Less for same’ pricing strategy, where as our competitors are charging 30-
35% profit in their purchasing price. Here, we have summarizes our pricing range:

Here, we have to keep in mind that though it’s a shopping product, customers are not brand loyal, so
they will definitely buy the product which offer them best quality and reasonable lower price at the
same price.

10

Place:

Though we are targeting from upper-middle consumers but our main target markets are the upper class
people that also includes foreign and embassy people and as they live mainly in the Gulshan area so, we
have decided to Gulshan-2 as the place for our toy super shop ‘KIDZOMANIA’.

Promotion:
Leaflets and brochures: Our main plan is to distribute leaflets and brochures among school
children. As toys are popular among the kids, therefore we must make them aware of our super
shop.

Newspaper advertisements: First time while launching our super shop we will advertise it in
the newspaper. And again when we will offer discounts and special offers, we will again
promote our shop in the newspaper.

Distribution Strategy:

As we have no other branches outside Dhaka so the question of distribution Strategy is not applicable in
this regard.

Positioning Strategy:

Analyzing our strength, weakness, opportunities and threats we stand out from any other toy shop of
Bangladesh. We are versatile because as being a Super shop of Toys we can showcase the maximum
varieties. And in our pricing we are using ‘Less for Same’ which will give our consumer the chance to
have the better quality toys in a lower piece. Therefore, we can position our toy super shop as a
distinctive and exclusive one.

11

Marketing Communication Strategy

In all media we will enforce the quality and the varieties of toys as the main point of product
differentiation. Our main feature will be huge collection of various toys and the plays zone where
will be some sample of toys. Research about media consumption will help us to choose
appropriate timing to reach prospects before and during product introduction. We will do
advertising to maintain the relations between us and our valuable customer. We will send them
messages or e-mails when we offer any discounts or introduce new product or service. We will
also maintain public relationship efforts to built the KIDZOMANIA as a brand and support it
through differentiation messages. To attract customers we will give them free tattoos or stickers
for limited time. We will also have attractive wrapping service for gifts. And for our premium
customer we will use personal selling and online service and delivery. To attract, retain and
motivate customer, we will participate in various trade fair for our promotion and personal
selling. As we have a great advantage that there are few super shop for toys, so we will to attract
and encourage people to buy toys from us.

Marketing Research

Using research we are identifying the specific features and quality that our target market
segments value. Feedback from market surveys and focus groups will help us develop the quality
of our products. We are measuring and analyzing customers’ attitudes toward competing shops
and products. Brand awareness research will help us determine the effectiveness and efficiency
of our messages and media. Finally, we will use customer satisfaction studies to gauge market
reaction.

12

BUDGET
We will start our shop with a capital of 7356200 BDT. Total first-year revenue is projected
around 46 lacks Bdt. We anticipate a first year loss of 28 lacks (rounded) on the toys. The break-
even calculations indicate that the super shop will become profitable after the sale exceeds
14281000 Bdt. Our break-even analysis assumes of purchasing toys worth 45 lacks and
estimated first year fixed costs of 2856200 Bdt.

A lucid view of the budget:

Fixed costs:
Departments Amount of money (taka)
Rent Tk 120000 *12 Tk 1440000
Decoration costs Tk 500000
Electricity bills Tk 7000*12 Tk 84000
Salaries
8 salesperson 5000 per head Tk 40000
1 manager - Tk 10000
2 guards 3000 per head Tk 6000
2 cleaners 800 per head Tk 1600
Total salaries Tk 57600*12 Tk 691200
Advertising expenses
Leaflets 5000 copies * 1 Tk Tk 5000
Newspaper Tk 100000 (for 2 days)
Total advertising expense Tk 105000
Utilities Tk 3000*12 Tk 36000
Total fixed cost Tk 2856200

Purchasing value= 4500000 tk

Selling price= 5625000 tk (by adding 25% of profit)

Selling price – purchasing value

Contribution margin ratio=

Selling price

= 0.2

13

Based on these assumptions, the break-even calculations:

Fixed cost

Break-even point=

Contribution margin ratio

2856200
 =

0.2

= 14281000 Tk.

Under these estimated calculations, we will face loss for two consecutive years. But in the very
first half of the third year we will reach our break-even sales. And form then ahead we will start
earning profit.

Controls

We are developing firm control measures to closely monitor quality and customer service satisfaction.
The salespersons we hire will be well-behaved and civilized so they can offer better services to our
consumers. We have to supervise our performance and eminence regularly. This will be enabling us to
react very quickly to correcting any problem that may occur. Other warning signals that will be
monitored for signs of deviation from the plan include monthly sales and monthly expenses.

14

References:

1. Principles of marketing – Philip kotler, Gray Asmstrong

2. Gulshan super market
3. Kids & Moms
4. Wikipedia
5. Google search
6. Mother’s care

15