TARGET MARKET

 Total Addressable/Available Market

According to published sources, there are an estimated 653,000 individuals living
in the city area of General Santos as of the current year. We believe that the increasing
consumption of ready-to-eat food across General Santos City owing to hectic lifestyle is
expected to fuel the Baker’s Touch product demand over the years. Therefore, we will
incorporate as our total available market the mentioned number. Moreover, the business
aims to offer its products at a competitive price to meet the demand of the low to higher
income local market area residents and tourists.

 Served Available Market

Our plan is to have a bakery that becomes a magnet for the city folks. Baker’s
Touch expects to catch the interest of the people for its cheap and broad variety of
bread and pastry products. However, the business anticipates minimal sales problems
due to mild competitive climate in the area. Because of this, we target to cater at least
two hundred fifty (250) customers per day. Besides, we also accepts orders for
occasions such as weddings and birthdays and on that ground, our served available
market will be augmented.
 Share of the Market
There is no doubt that Baker’s Touch is competing with a variety of similar
businesses such as Ice Cream shops, Coffee shops and Supermarkets. Hence, we are
looking forward to a smaller share of the market for the first three (3) years of existence
in the industry as shown by the graph below.

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 Baker's Touch Share of the Market
(in percentage)
0.6

3.2 8.2

Other Bakeries Other than Bakeries

Baker's Touch: Local Residents Baker's touch: tourists

After three (3) years, we expect that there will be an increase of four percent
(4%) annually in our share in the market.
 Key Customers
Our market is divided into three (3) different customers: professionals,
celebrators, and students.
Professionals: they are mainly white collar workers who may stop in on their own or
bring their colleagues.
Celebrators: people celebrating special occasions. Birthdays, anniversaries,
graduations, valentine's days, etc., families and loved ones who will gather at or order
from Baker’s Touch.
Students: from elementary to college students, after school, are expected to stop at the
shop on their own or with their friends.

MARKET ANALYSIS
Year 1 Year 2 Year 3
Key Customers Growth
Professionals 10% 3000 3300 3630
Celebrators 5% 2000 2200 2310
Students 20% 5000 5500 6600

While our target market is the entire population in the city area of General
Santos, we will have to focus on the professionals, celebrators, and students since they

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 are likely to be the most prevalent and steady customers due to the unique nature of
their day-to-day routine. They represent groups of people sharing similar behaviour
patterns and reasons for patronizing Baker’s Touch.

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