1.

0 Executive Summary
The objective of this project is to develop a comprehensive framework for proposing
a new food product that complements Gardenia's portfolio. Gardenia Foods Pte Ltd. is a
Singaporean baked-goods firm that sells an extensive variety of superior bakery products,
such as white, wheat, and health bread, flavored loaves, pandesal, and snack items such
as snack cakes, muffins, and toasts. The proposed new product is intended to deliver
good flavor, freshness, softness, oven-baked aroma, and nutritional content for the
targeted client to conduct successful product development of Gardenia. The fact that
these ice creams are created from natural ingredients without the addition of artificial
flavors or colors is one of Gardenia Durian Ice Cream Waffle King's key selling points.
Furthermore, combining ice cream and whole wheat bread is a brand-new concept for
Gardenia that has not been explored yet.
Following is the E-Marketing plan. The first step is the situation analysis, commonly
known as a SWOT analysis. Gardenia's strengths include its strong brand name,
innovative spirit, and high-quality product, while its weaknesses are its high price and
seasonal nature. Its opportunities are innovation in leadership and collaboration
meanwhile its weaknesses are economic volatility and a high need for uniqueness.
Followed by Step 2, strategic planning is the process of determining the Gardenia Durian
Ice Cream Waffle King target market, which consists of customers who demand
freshness, convenience, variety, and uncompromising flavor. In addition, Gardenia
segmented consumers based on demographic factors into teenagers, adults, and the
elderly. Targeting and positioning are two components of the brand strategy implemented
in Step 2.
In addition, Step 3 demonstrates the overall objectives, which are to target the
Malaysian market with the initial batch of 25,000 units, improve 4% of conversion rates
by increasing website traffic by the end of every month, increase Gardenia's return on
investment by 15% in 2024, and increase the target audience's impression by 15% every
three months. The marketing mix aspects associated with a high-quality food product,
reasonable pricing, social media platforms for promotion, an online or physical
purchasing option, and a modern information system to retain customers have been
implemented in Step 4. The implementation plan described in Step 5 is important for the
efficient execution of these marketing efforts. The execution strategy involves a lucky
draw, a celebrity endorsement, and growth strategies.
Furthermore, Step 6 presents the budgeting plan. Gardenia Durian Ice Cream Waffle
King is expected to generate net sales of RM525,000 in 2023 and RM700,000 to
RM1,050,000 in the following years. Stage 7 is the final step and includes the evaluation
plan. Through social media marketing, Gardenia was able to successfully develop a
network of millions of customers and promote its new product to its customers. In
addition, advertising will inspire a growing number of individuals to visit the Gardenia
store and website to learn more about the company's products. The methods used to track
the effectiveness of the introduction of Gardenia Durian Ice Cream Waffle King involve
monitoring social media platforms.
2.0 Product Proposal

We are planning to develop a new product which is Gardenia Durian Ice Cream
Waffle King. Gardenia has different types of products currently, but the company has not
yet tried to put ice cream and waffle together. The idea came from our childhood
memories. While waiting for parents to pick us up after school in primary school, we
could see vendors selling ice creams to students outside the school. Therefore, we
decided to develop an ice cream waffle that is suitable for all people.

As the company has not yet attempted to develop an ice cream product, we will be
developing a durian-flavored ice cream waffle to test the market. We use the Musang
King pulp to make ice cream. These ice creams are made from real ingredients, with no
artificial colors or flavors added. Besides, each ice cream waffle has less than 100
calories and we will use low-fat milk as one of the ingredients. We insist on less sugar
and less fat, and ensure that our products are packed with nutrients such as protein,
vitamins, and fiber.

In addition, we use whole wheat instead to make ice cream waffles. Wholemeal
bread is one of Gardenia's products. We choose whole wheat because of its high
nutritional value and its ability to prevent heart disease, diabetes, cancer, and digestive
disorders (Boldt, n.d.). The products will be packaged in a box with different colors and
wording on the box to carry the single product and the bundle respectively. As we are
concerned that ice cream on a waffle for long periods will cause the waffle to become
damp and change its texture, we will separate the ice cream and waffle. We will wrap the
ice cream in a layer of paper, which will prevent the waffle from getting damp to
preserve its texture. Durian lovers will be thrilled with the Durian-flavoured ice cream
waffle, an ice cream waffle yielding the King of Fruit’s exquisite flavor and aroma,
packed for everybody’s easy enjoyment.
3.0 E-Marketing Plan

Step 1: Situation Analysis

SWOT Analysis

Strengths

Gardenia is accepted by customers because the brand is a top bread maker. Gardenia's
unwavering commitment to the authenticity of its products is a testament to its reputation
in regional markets and strong consumer recognition, innovation and innovation are key
areas where Gardenia can meet the changing needs of its customers (StudyMoose, 2021).
Durian Ice Cream Waffles is a highly differentiated product from competing for food
trucks (Ice Cream Waffles Food Truck Appendix a Swot Analysis, 2015). Therefore, no
direct competitor is serving this dessert. Malaysia is like summer all year round, ice
cream is the best dessert to cool off the heat, and durian is one of the favorite fruits of
most people. In addition to cooling off the heat, customers eat Durian Ice Cream Waffles
and feel full and satisfied. Thus, Gardenia’s product ingredients are all focused on low-
calorie health, we use artificial sweeteners in place of the sugar ubiquitous in healthy ice
creams, as artificial sweeteners have no calories as a healthier alternative. Durian Ice
Cream Waffles are lower in fat than other ice creams, making them a healthier option for
those concerned about their fat intake (Andy, 2021).

Weakness

Raw material and fuel costs have changed dramatically in recent years. Price pressures,
especially for flour and fuel, have increased over the past two years. especially. So
Gardenia is working hard to adjust costs (StudyMoose, 2021). Durian Ice Cream Waffles
require refrigeration. However, the higher cost of expanding shelf space and the more
frequent releases of new frozen products increase competition for this fixed amount of
shelf space at any given time (Federal Trade Commission, 2003). As our ice cream only
uses Musang King durian from Pahang, there is a shipping fee to transfer the ingredients
to the manufacturing facility in Selangor. Therefore, our product will cost more than
other products. Durian is a seasonal fruit with reduced supply from January to June and
August to December.

Opportunities

Gardenia is committed to continuous innovation in leadership. To this end, the

organization supports the growth of new products, implements strict quality assurance
measures, and delivers products on time through reliable distribution channels. Gardenia
continues to differentiate itself from its competitors by continually improving its product
line. This helps Gardenia regularly send key employees to study at the American Institute
of Baking and other academic organizations through continuous R&D and dedicated
teamwork (StudyMoose, 2021). Collaboration can spark innovation as each organization
adds a unique collection of skills, information, methodologies, experiences, and ideas to
drive innovation between the two companies (Humphrey, 2021). We can cooperate with
well-known ice cream companies, such as Calli Ice Cream in Malaysia because the
concept of Calli is short for Calories, Fat, and Sugar, which is similar to ours (Wong,
2019).

Threat

These developments may overcome market saturation as retailers begin to offer a wider
range of products, such as bakeries or other bakery companies. The main threat to
gardenias is economic instability. Pricing and product demand suffer (StudyMoose,
2021). Although we are a popular bakery chain in Malaysia, so far we have been
focusing on bread production and the perfection of ice cream bread is still struggling.
Additionally, diseases such as diabetes and obesity issues, trends towards healthier diets
or media coverage focused on eating less sugar or fat are a potential threat, although ice
cream uses 7 to 12 percent milk fat compared to 15 to 45 percent Creamy. The amount
of sugar will vary depending on the ice cream you’re serving, and since milkfat is
necessary to make ice cream, rising dairy costs can impact your bottom line
(Contributor, 2020). If we work with other businesses, customers will be confused
about the nature of our products. However, brand partnerships are no different from
other commercial agreements because of the dangers involved. This is because co-
branding can also adversely affect partner brands. If the partner brand fails, our
reputation will also be damaged.

Step 2: E-Marketing Strategic Planning

Segmentation

Market segmentation is the process of dividing a market into meaningful, relatively

similar, and identifiable segments or groups. The purpose of market segmentation is to
enable marketers to tailor their marketing mix to meet the needs of one or more specific
market segments. Gardenia divides their consumers into two categories, psychological
and demographic. Known as a factor that divides customers into sectors based on their
personality, motivation, or lifestyle, and how they conduct their daily lives and behaviors.
First, Gardenia focuses on the psychological factor that differentiates the Gardenia
market, namely, lifestyle. Therefore, Gardenia focuses on customers who seek freshness,
convenience, variety, and uncompromising taste. Today's customers don't just want a
simple loaf of bread, they also expect a fresh, convenient loaf that they can eat with low
health risks and are easily available. To meet these demands, Gardenia does its best to
provide customers with daily toast and has opened more delivery channels such as
supermarkets, grocery stores, and even hawkers by the roadside. Demographics are
defined as how marketers divide the market into categories such as age, gender, income,
and ethnic background. While Gardenia segmented consumers into teens, adults, and
seniors, Gardenia focused on the age factor. To this end, Gardenia offers a wide range of
products to meet all needs. Energetic teens need some food to combat their hunger, and
they are more likely to consume sweetened products. So Gardenia launched a new waffle
product to meet their needs. They also focus on adults and seniors who need a healthy
diet, with Gardenia launching a whole-grain fiber bread and the newest Gardenia Break
thru, which contains high levels of vitamins and fiber.

Targeting
After gardenia is segmented according to market segments, gardenia needs to identify the
target market. There is a strategy that fits all consumer groups, so Gardenia must be able
to develop a specific strategy for its target market to maximize profits at a lower cost.
The positioning strategy Gardenia uses is differentiated marketing or mass marketing.
“Using a differentiated marketing strategy, a company may decide to target multiple
segments and design a separate offer for each segment. Gardenia targets its consumer
market by offering a variety of bread. By offering products and marketing variations to
customers, Gardenia wants to achieve higher sales and a stronger position in each
segment. The downside of using the strategy is that Gardenia will face difficulties in
developing and producing new products as it needs to be based on each segment it serves
Conduct additional research by market segment. For example, Gardenia did a
differentiated marketing strategy by publishing an advertisement for Gardenia Whole
Wheat Bread in newspapers to target seniors, and for Gardenia waffle products online
primarily targeting teens advertise (Hasri & Azmi, 2016).

Positioning

Product positioning is the way consumers define a product in terms of the important
attributes the product occupies relative to competing products in the minds of consumers.
Gardenia strongly contrasts its products with those of its competitors in the minds of
consumers. For example, Gardenia has a song to remind consumers of its bread, "It's so
good...you can even eat it yourself". Listening to this song, one will think of the
convenience of gardenia bread, it can be eaten directly without any dishes. In addition,
gardenia is also positioned as a healthy, fresh, and high-quality product in the minds of
consumers. Develop positions in market segments. Gardenia will be able to generate
more sales and attract more business opportunities.
Step 3: Objectives

The followings are the development objectives for this product:

 The initial batch of 25,000 units is aimed essentially at the Malaysian market.
 Improve 4% of conversion rates by boosting website traffic by the end of every
month.
 This development will raise Gardenia's return on investment by 15% in 2024.
 Increase the impression of the target audience by 15% every three months.

Step 4: E-Marketing Strategies

Benefits to Consumers

The primary goal of Gardenia's new product is to give customers a healthy lunch by using
organic durian ice cream that is minimal in fat, calories, and sugar. We also want to offer
our customers durian products that are reasonably priced.

Our product is the best solution for energy since our product has whole wheat bread that
can provide carbohydrates to people. Due to climate change, heat wave affects worldwide
such as heatstroke and heat exhaustion, therefore our product provides a solution to
customers who like to cool down. According to a study conducted by Kyorin University
in Tokyo, it is found that having ice cream for breakfast could be just what you need to
give your brain a boost. The researcher compared a group of people who had ice cream
with a group who had a glass of cold water first thing in the morning, and the ones who
ate ice cream were much more alert. One dietitian stated that it could be the fact that ice
cream tends to boost the dopamine levels in the body which could make us more awake
and alert. (Marcopolo, 2020)

Product Features

Gardenia durian ice cream waffles made with organic durian ice cream are a great source
of protein and vital nutrients that support a healthy immunological and digestive system.
Additionally, the product is minimal in fat and sugar, making it a healthier dessert for
those who enjoy durians and lead healthy lives.

Price

Gardenia will adopt value-based pricing as organic durian ice cream waffles are believed
to provide benefits to the targeted consumers. The price will be set based on a consumer's
perceived value of the product. Therefore, the price will be slightly higher compared to
other normal ice creams in the market because our product is unique and low fat, low
calories, and has less sugar but compared with other durian produce we are slightly
lowest. These benefits will affect the perceived value of the customer and they will be
attracted and customers willing to spend the money to buy our product. With this pricing
strategy, we can differentiate our product from other competitors.

Place

The distribution approach will use an indirect distribution model, in which the products
are given to middlemen like wholesalers and retailers. To buy the merchandise,
customers can go to actual retailers. To make purchases, customers can also use the
Gardenia official website or online shopping services.

Promotion

Gardenia may have employed television advertising to market the products during the
"introduction stage" of the product to attract the public's attention. Additionally, by
placing interactive adverts on web pages, internet marketing is used to spread the word
about the advantages and information of durian waffles. During the expansion stage,
social media sites like Facebook, Twitter, and YouTube will be used as tools to post
various messages about the benefits and worth of the items. Gardenia can plan various
contests, drawings, and flash sales for their social media fans. Online PR will serve as a
reminder advertising strategy for the "maturity stage" and "decline stage."

Customer Relationship Management (CRM)

Customer relationship management (CRM), will be used to preserve positive customer

interactions. To engage with clients and develop relationships through social media
conversations, Gardenia will make use of social media and social CRM. Gardenia will
emphasize online customer support and feedback as well. Each product packaging will
have our review website URL printed on it, and if a customer leaves a review, they'll
receive a discount coupon.

Partner relationship management (PRM)

An advisor will be on hand to answer any inquiries customers may have regarding the
product throughout business hours. In order to improve operations, Gardenia will
research and use Partner Relationship Management (PRM) to achieve better operations.
Gardenia will use relevant software to manage relationships with its partners as the
software allows communication and data exchange.
Step 5: Implementation Plan

Marketing Mix

Gardenia can conduct a lucky draw during the Gardenia durian ice cream waffle king
pre-launch on the official Instagram website. By simply liking the post, leaving the
comment " GARDENIA DURIAN WAFFLE IS THE BEST," and sharing the post to
their own Instagram stories, participants in this event have the chance to win prizes like
the third-place prize, which is a box of waffles for three people, the second-place prize,
which is RM150 in cash vouchers, or the first-place prize, which is a 1TB iPhone 14 Pro
Max. Additionally, Gardenia can invite well-known singers like Yuna, Fish Leong, and
Shila Amzah to share the durian waffle advertisement on their social media accounts to
gain additional publicity before the product launches.

Relationship management

Gardenia needed to interact with its followers to attract and keep both current and new
customers. Gardenia can develop automated customer service. For instance, customers
have a problem with the item they bought from Gardenia. When they select the "Support"
page, an AI chatbot that asks them to describe the issue will appear. Customers can
receive an immediate response from chatbots to some simple questions, which can
improve interactions and cater to user interests (Automated Customer Service: Full Guide
- Benefits, Features & More, n.d.). The company can use social media to obtain both
good and negative consumer feedback to enhance its products (Team, n.d.). Gardenia has
worked with Oracle Partner Relationship Management (PRM) to establish and maintain
solid relationships with partners by having an open and transparent communication
channel. Channel managers and partners can work together, exchange and manage leads,
log deals, and generate quotes on Oracle PRM's branded partner portal. Then, Gardenia
can comprehend and enhance partner and overall program performances (Partner
Relationship Management | CX | Oracle Malaysia, 2020).

Marketing organization

Gardenia had to follow customer feedback after the product was launched and gather it
through its various platforms. Gardenia has utilized social media features like likes,
hashtags, and votes to gather client preferences and improve the product in the future.
Customers will review and share their views. Even though Gardenia already has brand-
loyal customers, it still needs to sustain positive customer relations. Hence, consumers
are willing to pay more for the perceived value.

Information gathering

Gardenia can communicate with its customers by posting on various social media sites.
The company can then assess the engagement of the customers to determine their
likeability through likes, comments, shares, or responses. Gardenia may track social
media activity and compile data through marketing initiatives to better understand how to
scale its products to customers. For instance, Facebook Advertising may track the number
of interactions, traffic, leads, and time spent on specific ads, and then analyze which
content is most shared and liked by other users. Gardenia can also utilize telephone or
email surveys to collect customers’ opinions and experiences to improve its goods.
Step 6: Budget

Cost of Goods Sold

Opening inventory +Purchase -Closing inventory

Particulars(units) Year 2023 Year 2024 Year 2025
Budgeted Sales in 150,000 200,000 300,000
units
Add: Desired Closing (200,000*20%) (300,000*20%) (400,000*20%)
Inventory =40,000 =60,000 =80,000
Total Needs 190,000 260,000 380,000
Less: Opening 0 (40,000) (60,000)
Inventory
Required Production 190,000 220,000 320,000
Additional information:
1. Closing inventory equal to 20% of the following year’s budgeted sales in units.

2. Opening inventory will be 0 in the first year (the year 2023) for the new product.

From the production budget calculation, Gardenia can get the desired closing
inventory for these 3 years are 40000, 60000, and 80000 units accordingly. And,
opening inventory is 0 in the first year, 40,000 in the year 2024, and 60,000 that
was brought down from the previous year in the year 2025.

Particulars Year 2023 Year 2024 Year 2025

 Production 190,000 220,000 320,000
Materials per unit(g) 100 100 100
Production Needs(g) 19,000,000 22,000,000 32,000,000
Materials Purchases 7,600,000 8,800,000 12,800,000
(RM0.40 per g)

1. Material per unit of product is 100g.

2. Materials at the end of each year equal 10% of the following year’s production.

3. Material cost is RM0.40 per g.

4. The amount of production is based on the production budget above.

According to the direct materials budget projection, Gardenia may expect to spend
RM7,600,000 on materials in 2023, RM8,800,000 in 2024, and RM12,800,000 in 2025.

Particulars Year 2023 Year 2024 Year 2025

Opening Inventory 0 40,000 60,000
Add: Purchases 7,600,000 8,800,000 12,800,000
Less: Closing (40,000) (60,000) (80,000)
Inventory
COGS 7,560,000 8,740,000 12,720,000

Consequently, Gardenia can get RM7,560,000 in 2023, RM8,740,000 in

2024, and RM12,720,000 in 2025 as the cost of goods sold. It can be shown that the
trend will be growing at the beginning of the product life cycle for the new product.

E-marketing Expenses
Particulars Year 2023 Year 2024 Year 2025
Production Cost RM1.5*190,000units RM1.5*220,000units RM1.5*320,000units
=RM285,000 =RM330,000 =RM480,000
Marketing RM15,000*2 RM14,000*2 RM14,000*2
Communication =RM30,000 =RM24,000 =RM24,000
(Intagram, Facebook,
Tiktok)
Banner Advertising Cost RM13,822*1 - -
=RM13,822
Customer Loyalty RM40,000 Rm40,000*80% RM32,000*80%
Program cost =RM32,000 =RM25,600
Endorsement Cost (RM2000*3) - -
=RM6,000
Hardware Development RM25,000 RM25,000 RM25,000
and Maintenance
Software Development RM1,500*12months RM1,500*12months RM1,500*12months
and Maintenance =RM18,000 =RM18,000 =Rm18,000
(Geeks Workings)
Additional information:

1. The production units are based on the required products from the production budget
above.

2. The cost per unit is RM1.50.

According to the product life cycle, the production cost is RM285,000 in the first
year and rises to RM480,000 in 2025. After three years of growth, they predict the new
product will reach the second stage. The cost of introducing a new product will be
lower because Gardenia has been in business for a long time and is well-known to most
Malaysians. In addition, the plan determines how much it will cost to develop and
maintain the hardware and software. Other than that, marketing communication will be
chosen to use Facebook, Instagram & TikTok and it will be a high investment in the
first year and reduced in the following 2 years. Last but not least, the first year will
spend the RM6,000 powerful endorsement fee (RM2,000 for each singer) and the
RM165,864 banner advertising cost.
Revenue
Particulars (RM) Year 2023 Year 2024 Year 2025
Predicted sales 150,000*RM3.5 200,000*Rm3.5 300,000*RM3.5
=RM525,000 =RM700,000 =RM1,050,000

Gardenia is forecasted to gain revenue at RM525,000 and increased to RM1,050,000 in the

first 3 years. Given that promoting a new product takes significant marketing and advertising
expenses, the first year should result in a net loss. Additionally, we expect that the revenue
will increase significantly.
Step 7: Evaluation plan

An evaluation plan is an essential component of the e-marketing plan. An evaluation Plan is

conducted to increase market awareness of the product and brand. Therefore, success is
contingent on continuous evaluation. E-marketers must implement tracking systems for
evaluating performance. Gardenia also can provide information on converting users, helping
marketers to go deeper into their data and monitor activities throughout the mobile marketing
funnel.

Most modern businesses are very focused on getting a good return on their investments.
Return on investment can be used by Gardenia to assess the investment's effectiveness or
profitability of its e-marketing plan. According to conventional wisdom, a stock investment
with a return on investment (ROI) of at least 7% per year is considered to be profitable.
Therefore, Gardenia must be able that the ROI of the new product is at least 8.6% for the e-
marketing strategy to maintain and earn a profit.

Consequently, marketers must demonstrate how their intangible objectives, such as brand
building or CRM, will result in more revenue in the future. Social media marketing is one of
the most adaptable and cost-effective ways for Gardenia to contact their target audience and
increase sales over time. It also can share information through social media to build the
company’s brand and increase sales. (Adam Hayes, 2022) According to Statista, about 86%
of the Malaysian population utilized social media in 2021. (Statista Research Department,
2022) There are a few biggest social media platforms such as Facebook, Youtube, WhatsApp,
Instagram, Wechat, TikTok, and so on. (Alfred Lua, 2022) Through these platforms,
Gardenia can successfully establish a network of millions of customers and advertise the new
product to these customers. Furthermore, advertising will encourage an increasing number of
people to visit the Gardenia store and website to understand more about the company's
products. Besides, social media is a great way to interact with customers and know what
customers want. Apart from that, the customer leaves comments about their post-purchase
feelings including positive and negative feedback. The number of retweets, likes, and
comments will also be a strategic for Gardenia to know how people are interested in the new
product.
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