HEAVENLY BLENDS

A Study to be Presented to

Accountancy, Business and Management

Senior High School

University of the Cordilleras

In Partial Fulfillment

of the Requirements of the Course

Entrepreneurship

Submitted by:

Lucas, John Paul

Lucero, Kyru

Macairap, John Michael

Macaraeg, Gilbert

Liwan, Jessabel

Liwan, Zianche

Llamas, Glory Ann

Llego, Jalen

Submitted to:

Ms. Jyka Reego S, Hipona

Subject Teacher
 Heavenly Blends

ABM K

December 4,2018

TABLE OF CONTENTS

I. Executive Summary………………………………………………………………..page 1

II. Organization and Management………………………………………………..page 2-4

 Heavenly Blends

Company Name and Logo……………………………………………….page 2

Product Name and Logo………………………………………………….page 2

Vision and Mission…………………………………………………………...page 2

Address………………………………………………………………………..page 2

Key Personnel………………………………………………………………...page 2-3

Workforce and Support Personnel……………………………………….page 3

Organizational Chart……………………………………………………….page 3

Ownership…………………………………………………………………….page 3

Capitalization………………………………………………………………...page 4

Compensation and Incentives…………………………………………...page 4

External Management Support…………………………………………..page 4

III. Product Service Plan………………………………………………………………page 4-6

Purpose of the Product…………………………………………………….page 4

Product’s Special Features………………………………………………..page 5

Material and Equipment Requirement and Sources of Supply……page 5

Procedure…………………………………………………………………….page 5-6

Distribution Logistics………………………………………………………...page 6

Regulatory and other Compliance Issues……………………………..page 6

IV. Market Plan…………………………………………………………………………page 7-13

Marketing Analysis………………………………………………………….page 7

Industry Description and Outlook…………………………………..page 7

Target Market…………………………………………………………..page 7-8

Competitive Analysis………………………………………………….page 8-9

Marketing Strategies……………………………………………………….page 10-11

Sales Strategies……………………………………………………………...page 11-12

Pricing Policy………………………………………………………………...page 12-13

Sales Projection …………………………………………………………… page 14

V. References………………………………………………………………………….page 15-16
Heavenly Blends
 Heavenly Blends

I. EXECUTIVE SUMMARY

Heavenly Blends Company is a corporation focused on selling coffee jelly to the market. Since
People in Baguio are known as a coffee enthusiast and mostly they are into the aroma of coffee.
Heavenly Blends is one of the companies that will sustain the demand of a high quality drink at a
reasonable price. Prior to the normal coffee jelly that has gelatin, Heavenly blends would impart
creativity by having an additional ingredients which are crushed oreo biscuits and chocolates.

The company decided to put up the business stall at the Harrison Road, Baguio City.
Furthermore, the company's target market would be more into the students and adults. Given that there
are a lot of people coming from work and school, they tend to become weary and in that case, Heavenly
Blends’ coffee jelly would be the best for them. The said business is distinct from other companies
because it focuses not only on the profit but on how the business would offer a consistent level of good
customer service. Heavenly Blends will evolve to focus on the customers’ experience and in response,
from soliciting feedback to educating consumers about the story of their coffee by fostering a relationship
between the consumers. Heavenly Blends will sell first on a market stall and should operate in a coffee
shop once the profit and customer increased.

When it comes to the product, the company will have a unique packaging, the business will use
a colored paper cups that was dependable by the customer’s choice of feelings. The cups will be divided
by five colors such as: blue(complicated relationship),yellow (inspired by someone) and red
(inlove),green (single) and orange (chill). Another is the unique taste, the company will cater 3 variety
options as the product’s additional ingredients such as the original, with chocolate or with oreo, serving
an exciting alternative to the typical type of coffee.

In either case, the company’s coffee jelly would be a good benefactor to the customer’s body for
it has high levels of antioxidants and nutrients. Consequently, if the customers enjoy its taste and can
tolerate its caffeine content, it would be safe for them to get a cup of coffee jelly throughout the day.

To further disseminate and introduce the company’s product to the public. The business will
apply marketing strategies such as placing advertisements in printed brochures and posting the product
online particularly on facebook and instagram.

Moreover, the company also implied some of the sales strategies like buy one get one free, email coupons
and free samples. These strategies will be great factors to lift up the company’s growth plus the business
will continuously plan for the development of the products to adjust from the conversion of market need.

II. ORGANIZATION AND MANAGEMENT

Company Name: Heavenly Blends

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 Heavenly Blends

Figure1: Company Logo

Product Name: Coffee jelly

Vision

Heavenly Blends will be the leading provider of the most admired and high quality drink in a
way that benefits our valued customers. Prior to the customers, the business will also maintain a
consistent level of good customer service.

Mission

Heavenly Blends will continuously provide a high quality drink at a reasonable price to earn the
loyalty of customers as well as to grow the business.

Address: Harrison Road, Baguio City, 2600 Benguet

Key Personnel:

 Partners
- the partners will be considered as the manager of the business wherein they have the power to
set goals and take courses of action related to the improvement of the whole business.

- they are the one who are responsible for all the negotiation and decision-making of the
business such as hiring employees, supervising the workers, designating the works , managing the
budgets, dealing with the customer queries and complaints, collecting the business income, paying the
workers and at the same time promote the business.

Workforce and Support Personnel:

 Cashier
- The owners will employ a cashier. His/her job is to greet customers in entering and maintain a
proper order taking. He/she will also ensure that the amounts are correct and that there is an
adequate change in exchange for products sold.
 Bartender
-The owners will employ a bartender. His/her job is to make a best quality of coffee jelly that
will satisfy the customers particularly by accomplishing new and different requests, following

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prescribed recipes and preparation techniques for coffee jelly. He/she will also ensure the
safeness of the beverages with a healthy environment by following the organization standards
and sanitation regulations.

Organizational Chart

HEAVENLY BLENDS

Partners

Cashier Bartenders

Figure 2: Heavenly Blends Organizational chart

Ownership

The Heavenly Blends will be operating as a partnership business. The company was a beginning
business so it would first sell first on a market stall and would operate in a market store once the profit
and customer increased. By the time that the business operated in a physical store, the company wanted
to offer variety of heavenly blends such as: coffee jelly original being the main product, coffee jelly with
chocolate and coffee jelly with oreo. The funds for the company’s operating activities would be coming
from the partner’s capital contribution. Thus, the net income from the operation of the business would be
distributed to the partners equally depending to what they have agreed.

Capitalization

The company will have an initial capitalization of ₱250,000 for the first year of its operations.
The business would use ₱120,000 of its initial capital for production and other costs. The remaining
₱130,000 is for acquisition of long term assets such as equipment and compensation and incentives.

Rank Pay Per Month

Selling Staff ₱ 7,200
Bartender 1 ₱ 7,200
Bartender 2 ₱ 7,200
Table 1: Compensation

Employees would be compensated with the amount which was agreed upon between the
workers of the company. The payment will be given to the employees every month, at the 15 th and at the
end of the month.

The selling staff and the kitchen workers would be paid ₱300 per day for 8 hours of work from
9am-5pm that was based on the minimum wage of Baguio City. The total working day is from Monday
to Saturday for a total of 24 days every month. If workers work for 24 days in a month they will be paid a

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total of ₱7,200. Moreover employees will also receive a bonus payment if they have sold more than the
agreed quantity of products.

External Management Support

The whole company’s condition was mostly relied on the decisions of the partners however the
business will still seek for advices from families and friends. It is also important to know more about the
suggestions of the customers who basically sometimes want some upgrade to the actual product. By the
help of these external management supports, the company will be able to think and discover some
improvement not only to the product but also to the whole company as well.

III. PRODUCT SERVICE PLAN

A. Purpose of the Product

People in Baguio are known as a coffee enthusiast and mostly they are into the aroma of coffee.
Heavenly Blends is one of the companies that will sustain the demand. The business will offer coffee
drinks to customers that has variety of options which created differently than a traditional coffee drinks.
Heavenly blends will first offer a cold coffee drink with the customer’s choice of toppings, and will offer
more variety of hot and cold products once the profit and customer increased. The products that will be
first offered are coffee jelly original, coffee jelly with chocolate and coffee jelly with oreo. The variety of
products will ensure that all ages will have a quality and affordable coffee drink.

B. Product’s Unique Features

Every product has its own uniqueness from the others. Given that, Heavenly Blends Company
will provide a coffee drink with its unique features. First is the unique packaging, the company will use a
colored paper cups that is dependable on the customer’s choice of feelings. The cups were divided by
five colors such as: blue (complicated relationship),yellow (inspired by someone), red (inlove),
orange(chill), and green (single). Another is the unique taste, the company offers 3 variety options as the
product’s toppings such as: the original, with chocolate or with oreo serving an exciting alternative to the
typical type of coffee.

C. Material and Equipment Requirement and Sources of Supply

The materials requirements and sources of supply are as follows:

Ingredients and Materials Source

Unflavor Gelatin Powder Supermarket in Baguio City
Coffee Powder Supermarket in Baguio City
Condensed Milk Supermarket in Baguio City
All Purpose Cream Supermarket in Baguio City
Sugar Supermarket in Baguio City
Chocolate Supermarket in Baguio City
Oreo Supermarket in Baguio City
Paper Cup Supermarket in Baguio City
Water Drinking Water Station in Baguio City
Tools/Equipment/Utensils Source

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Stove Department Store in Baguio City

Pot Department Store in Baguio City
Spoon Department Store in Baguio City
Measuring Cup Department Store in Baguio City
Measuring Spoon Department Store in Baguio City
Bowl Department Store in Baguio City
Knife Department Store in Baguio City
Chopping Board Department Store in Baguio City
Tray Department Store in Baguio City
Table 2: Heavenly Blends Company Materials Requirements and Sources of Supply

D. Procedure

To make the product, the following steps must be followed:

1. Prepare all the ingredients and materials.

2. Get a pot, put water then dissolved gelatin, coffee & sugar.

3. Turn on the heat.

4. Continuously stir until boiling.

5. Pour into a container and wait until cold.

6. Try to use a shallow tray, for faster cooling and so you can also easily slice it.

7. Slice the coffee gelatin to cubes.

8. In a bowl, mix water, coffee gelatin, condensed milk, all purposed cream and the chosen ingredient
such as: the original (gelatin only), with chocolate (crushed) or with oreo (crushed) serving an
exciting alternative to the typical type of coffee.

9. Chill in the refrigerator.

10. Finally, placed the finished product into the paper cup and ready for the packaging.

The quality of the product will be ensured in each step in the production process. Heavenly
Blends Company will ensure that the ingredients and materials to be used will be at the maximum quality
and efficiency with minimum costs. Food safety is also everybody’s concern, thus the company will
ensure the safety and cleanliness of the product by producing, handling, storing and preparing food
properly in such a way that avoid the contamination of the product. It will also help to ensure that the
quality and wholesomeness are maintained to promote good health of the customers.

E. Distribution Logistics

Heavenly Blends Company will sell in a market stall and would operate in a market store once
the profit and customer increased. Market stall is a typically immobile, temporary structure erected by
merchants to display and shelter their merchandise in a street market or other setting. In addition, the
market store will be located at the Harrison Road, Baguio City making the product easy to find visible
from major roads and where there is a majority of human traffic which means lot of customers. The
product will be served to customers as they ordered from the cashier to ensure that the product is served

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fresh and properly prepared. The company will also make use of social media like facebook and
instagram to showcase the product by its designs, different toppings and features of coffee jelly.

F. Regulatory and Other Compliance Issues

As a responsible company, the Heavenly Blends will also comply and follow all the legal
requirements needed. First, it will be registered as a partnership business within the Department Trade
and Industry (DTI). To protect the company’s personal name and logo, the business will also submit a
confirmation from Securities and Exchange Commission (SEC). Moreover, heavenly blends will also
ensure the safeness of the beverages by registering to the Bureau of Food and Drug Protection. After the
releasing of barangay clearance the company will apply for a Mayor’s Business Permit. When all the
necessary registration have complied like paying National Internal Revenue for VAT, Income Tax and
Withholding tax. The registration from the Bureau of Internal Revenue (BIR) will now release.

IV. MARKET PLAN

Marketing Analysis

Industry Description and Outlook

Cordillera Administrative Region (CAR) is one of the few regions in the Philippines where
commercial coffees are found (Cruz,n.d.,para. 3). Coffee is also the most popular beverage in the CAR
and also it is one of the top high value crops in the region (para.5). For this reason, Heavenly Blend’s
main product to offer is coffee jelly. As a matter of fact, Filipinos have a creative way in experimenting
foods like the cold coffee with jelly (Romulo,2015,para.4). To add a little twist, the company decided to
put some more cravings taste by putting some crushed cookies or chocolate into the coffee. The company
chose the coffee industry because it has a bright future for according to National Coffee
Association(NCA) coffee export is an industry that makes the second most traded commodity. Coffee
products touch communities across different country in many ways so this will give the company a
notion to satisfy the market need of coffee drinks.

The movement of coffee as a necessity welcomed a general increase in quality as well as

specialty coffees (Stanley,2018,para. 2). Now, as the industry enters the “third wave” there is going to be
a huge emphasis on how consumers drink and think about the coffee. Even more since Heavenly Blends
would start a business in Baguio City, and Starbucks as one of the most famous coffee shops implies a
greater emphasis on quality , sustainability and experimentation of brew methods. Just like Starbucks
who also have version of coffee jelly served in layers of coffee jelly, vanilla custard sauce, frozen coffee,
and whipped cream (Lasker,2016,para. 4). Heavenly Blends also offers a coffee jelly that has a simple
concoction of coffee, gelatin, topping and sugar but with a twist.

The company’s vision is to be the leading provider of a high quality drink thus, the business also
considers to maintain a consistent level of good customer service. Providing positive experiences for
buyers can dramatically impact the company’s growth (Ameritas,2017, para. 1). Heavenly Blends will
evolve to focus on the customers’ experience and in response, from soliciting feedback to educating
consumers about the story of their coffee by fostering a relationship between the consumer and their cup.
Heavenly Blends would sell first on a market stall and should operate in a coffee shop once the profit and
customer increased. By the time that the business operated in a physical store, the company wanted to
offer variety of heavenly blends such as: coffee jelly original being the main product, coffee jelly with
chocolate and coffee jelly with oreo. The business will continuously plan for the development of the
products to adjust from the conversion of market need. For all successful product development actions
provide new value for customers and continued the existence of the company (Ringer,2015).

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Target Market

According to study by Kantar World Panel Philippines of international comunicaffe that 93 %

of Filipino in homes loves coffee products (Nation of coffee drinkers,2015). Coffee is versatile because
costumer can have it in various ways, either iced, hot or blended coffee.For students and workers,
drinking coffee while talking to friends can make them feel motivated, relaxed and concentrated. Even
more, seeing that Heavenly Blends will be located at the Harrison Road, Baguio City, the company's
target market would be more into the students and adults. Students pass through Harrison Road for it is
an area where their jeepneys park, while adults go through Harrison Road to do their groceries near
Harrison. Since there are a lot of people that are coming from work and school, they tend to become
weary and in that case, Heavenly Blends’ coffee jelly would be the best for them .

In contrast, dietary rules, health and religious restrictions are a common part why coffee is
prohibited to them. Coffee jelly having oreo and sugar have high calories that increase the risk for diabetes.
According to the Mayo Clinic (2017), eating too much sweets can cause harm to the health as a result it
can make difficulty to control a diabetes and increase risk of getting serious health problem such as
hypertension/ high blood pressure (Medline Plus, para.4). Moreover, many religions avoid various forms
of coffee particularly the Islam, Mormons, Judaism, Seventh-day Adventist, and Rastafarianism which do
fall under religious restrictions (Paajanen,2018,para.5). Regardless, coffee has high levels of antioxidants
and beneficial nutrients that helps the body. Either way, if customers enjoy its taste and tolerate
its caffeine content, it would still be safe to get a cup of coffee jelly throughout the day.

Competitive Analysis

Direct Competitors

The other companies that are offering similar products are infinitea and Starbucks, these businesses
were one of Heavenly Blends direct competitors. Whereas, starbucks known to be the famous market that
sustains coffee beverages while infinitea offered coffee jelly too. The small differences on it is the
additional flavor and also presentation of the product because infinitea and Starbucks offers coffee jelly
that was mixed with crushed cookies but in Starbucks the difference of their coffee jelly was in frappe.
Mostly the company that our target customer will buy from was in starbucks and infinite for the reason
that they think that if the price is higher the good quality was on it.

Indirect Competitors

One of the Heavenly Blends indirect competitors was the Zen Tea. Both companies satisfy same
need which is to consume the feeling of thirst. The Heavenly Blends offers drinks specifically coffee jelly
which in the other hand Zen Tea offered milk tea that can be a close substitute to the Heavenly blend’s
product. The said businesses have similar target market, which are the students and adults. By
considering all the possible ways the Heavenly Blends will satisfied the customers need by creating a
strategy for handling the competition specifically in terms of the quality and taste of the product and also
a consistent good customer service. By this, the business will create a powerful advantage over other
businesses.

Competitor Strengths and Weaknesses

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Heavenly Blends has the potential to become an advantageous business, but the market is
crowded. As a starting business, the risk is high that it would not be successful as like other coffee shops
as starbucks. Starbucks Corporation is an American coffee company and coffeehouse chain (Wikepedia
contributors,2018). Like every other brand, Starbucks has its weak and strong parts. It has one of the
world’s strongest and most popular brands. Also, the company has a growing population of loyal
customers, which adds to the stability of the coffeehouse business. On the contrary, Starbucks has high
price points that reduces the affordability of its products. Under those circumstances, Heavenly Blends
will reduce the Starbucks market share by competing based on low prices, quality, service and
convenience. Heavenly Blends Company will provide a coffee drink with its unique features by having a
unique packaging and unique taste.

Barriers to entry

The barriers in Heavenly Blends are service, popularity and product. First is service specifically,
the cashier will always ask what is the order of the valued customer and the packaging has labels on it
like single, inloved and many more. Some people does not want to reveal their status in life because they
do not want other people to be meddling with their privacy. Second is popularity, there are so many
coffee shops that is more popular than Heavenly Blends for example Starbucks, it is an international
coffee shop and the popularity is so high, that people always tend to find the most well known coffee
shops. Lastly is the product itself, the company would offer coffee jelly original and coffee jelly with
different toppings but it is still a coffee jelly while the other coffee shops offers a wide variety of coffee
products where people always tend to go. Given that, it will really become a hindrance in the business. It
is something that can not be foreseen but may have a big impact on the coffee store industry.

The Window of Opportunity

Many coffee enthusiasts have cornered the markets in the Cordillera and most of the coffee are
known in this region. According to Pacalso (2016), coffee production in Benguet is one of the best
chances of the local farmers to show competitiveness in the global market (SunStar Philippines, para.2).
Coffee Jelly is a not yet known product in the industry of Baguio. Coffee for many people is known only
to be hot serve. On the contrary, Heavenly Blends would impart creativity in the business. The company
would focus innovate cold coffee drinks creating a unique taste of coffee jelly.

Marketing Strategies

 Brand Positioning

Brand positioning is the process of positioning your brand in the mind of the customers (How
to Create Strong Brand Positioning,n.d.,para.4). Heavenly Blends Company will use this strategy to
create a unique impression in the customer’s mind so that the customer associates something specific and
desirable with the brand that is distinct from the rest of the marketplace. To do this, the company will
develop a distinct and value-based positioning idea that will leave an impression to the customers. In
particular the tagline of the company would be “Emotions that matches you”.

 Print Advertising and Marketing Materials

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Print advertising and marketing materials are a form of advertising that uses physically printed
media, such as magazines and newspapers, to reach consumers, business customers and prospects
(Linton,2018,para.5). Placing advertisements in printed brochures such as specialty magazines can
effectively and cost efficiently reach niche audiences that may help target more customers. The
company's choice is "Health and Lifestyle" magazine, the people can read the company's product itself
including the benefits that can help them. Moreover, it also includes the promotions and discount of the
company's products. Similarly, the company will be using posters and flyers to promote the products. By
using this, the company and the product will slowly gain fame until it becomes one of the best companies
in the business industry.

 Direct Selling

The direct selling, also known as word of mouth is an effective way to build long-lasting
customer relationships and grow a flexible, low-cost business (Direct marketing,2018,para. 2). It allows
the company to avoid expensive overheads, reduce advertising costs and run your businesses flexibly
(para. 3). The company will use this strategy because it is very beneficial to the customers through
the convenience and service of it, including personal demonstration and explanation of the products, and
generous satisfaction guarantees. In relation, it would also be very beneficial to the company because the
customers can provide their suggestions or comments to the product in order to have an improvement, for
the business to follow and take an action immediately.

 Use of Social Media

According to Digital Marketing , social media strategy defines as how organization will use
social media to achieve its communication and supporting platform tools. Heavenly Blends will use this
strategy by posting the product that the company offers online particularly on facebook and instagram.
The social media channels of the business will increase exposure to the people especially those who
spend more time on social media. This will serve as an announcement page of the business because all
major events of the business like promotions,discounts and new list of menu will be posted online. The
business will consistently plan for a structured hashtags for the business , this will help the customers
properly know more about the business. Heavenly Blends decided to use this strategy because social
media has a global connectivity on social activity and updates. It has the power to create an environment
in which people can access, use and share information in terms of: product,customer service and
suggestions.

Sales Strategies

 Buy 1 get 1 free

Buy one, get one free is an offer to a customer to buy an item and receive a second item free, with
the requirement that the second item be of equal or lesser value (Ellsworth, 2018). Buy One, Get One
(BOGO) has become one of the more popular choices for retailers lately and a great discount technique to
use to appeal to consumers. In the company Heavenly Blends, it will only be available in particular
events Valentine’s day, Mother/Father’s day, and Anniversaries of the company to give the customers a
special discount. The business will offer a buy one get one promotion in a way that it has only one
specific product in the menu that will be available for it. This sales strategy is beneficial to the company
because it will serve as a giveback to the business valued customer.

 Email Coupons

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A coupon is a ticket or document that can be redeemed for a financial discount or rebate when
purchasing a product (Wikipedia,2018,para. 1). According to Advertising Age, 87 percent of all shoppers
use coupons and according to the A.C. Nielson Co., 60 percent of consumers actively look for coupons.
With this in mind, the company will use this strategy because not only will it provide incremental sales,
but it will also provide brand exposure. To do this, the company will provide a coupon that includes
design to catch attention, expiration date to protect the budget, and clear and concise message. The
company will run the coupon campaigns during the opening day of the business, featuring that the first
100 customers who will get a coupon will get a free coffee jelly.

 Free Samples

One of the best way to know the insights and suggestions of the customer is by having free
samples as part of the company’s marketing strategy. Free samples are use as part of a strategy to
encourage consumers to buy a product. Product samples are given to the consumer free of charge, giving
them the opportunity to try the product before enabling them to access the product before they are
purchased. At one point, product samples would be distributed at store locations only. The business will
do the free samples to the product in order to raise awareness, people who have never encountered the
brand before can experience it directly with a sample. Once they have tasted, touched, smelled, seen, or
heard the product, it starts to make sense what the company wants to sell, creates also a law of reciprocity
most people feel a closer connection to a company when they would try a sample product. Heavenly
Blends use this strategy because when they tasted the product the business can get feedback and reviews
whether it is a new product line assessed by the public or need people to start giving valuable feedback to
help populate reviews and testimonial pages, samples help put the word out.

 Discounted Prices

More than any other element, a pricing strategy directly impacts the amount of profit that the
company’s can make. A pricing strategy that helps the business meet the sales objectives, enhance brand
perception and provides the best profit point for market demand. Discount pricing strategy is useful for
driving traffic and sales short term, however used as a long-term strategy. Thus, in order to this , the
business will have an occasional discounts and discounts that will reward loyal customers. Discount
pricing was divided by three, the quantity discount, seasonal discount, promotional discount. Quantity
discount is all about the discounts given to customers who place multiple small orders or loyalty cards
that give a free item after a certain number are purchased. Next on the list is the seasonal discount was all
about to reward customers who purchase during off-peak times and often serve to increase sales at the
beginning of peak seasons and the short-term and used to drive sales which was the promotional
discount. Heavenly Blends choose this strategy because these discounts can bring happiness to the
valuable customer since customer was one of the business priority.
VARIABLES ( with toppings )
Pricing Policy
Unflavor gelatin powder (24 grams) P 17.00
The powder
Coffee Heavenly(25 Blends
grams) Company Pwill adopt the pricing based on the costing of the product. As
35.00
such, below shows the pricing
All purpose cream (250 ml)
scheme that will
P 55.00
be adopted.

Sugar (1/2 cup) P 30.00

Chocolate (dutche choco bar) P 150.00
Oreo (1 pack) P 72.00
Water (mineral) P 25.00
P **
Expressio
TOTAL
n is faulty
**.00
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Original Price ( P 384/30 Days ) P 12.80
Mark-Up ( P 12.80 x .60 ) P 7.68
Selling Price ( P 12.80 + P 7.68 ) P 20.00
 Heavenly Blends

VARIABLES ( original )
Type of coffee jelly with chosen toppings Price/s
Unflavor gelatin powder (24 grams) P 17.00
Coffee jelly original P15.00
Coffee jelly with chocolate Coffee powder
P20.00(25 grams) P 35.00
Coffee jelly with oreo P20.00
All purpose cream (250 ml) P 55.00
Table 2: Heavenly Blends Pricing Policy Sugar (1/2 cup) P 30.00

A cup of coffee jelly with chocolate and a cup Water (mineral) P 25.00
of coffee jelly with oreo will be both sold at P20.00 , TOTAL P 162.00
on the other hand customers can also avail a cup of
Original Price ( P162/30 Days ) P 5.40
coffee jelly which has only a gelatin inside the cup for
P15.00. The company will offer a similar size of cups Mark-Up ( P 5.40 x 1.8 ) P 9.72
which was only for 12 onze for the reason that the
Selling Price ( P 5.40 + P 9.72) P 15.00
company is just a starting business.

The Pricing Policy was derived using the cost plus pricing also known as markup pricing
strategy wherein the price of the product (variable cost) is calculated by adding together the cost of the
products and a percentage of it as a markup.

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V. REFERENCES

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Ameritas, W. (2017). 5 Reasons Good Customer Service is Important. Retrieved November 6, 2018 from
https://www.meritasinsight.com
Buy One Get One Marketing.(August 26, 2018). Retrieved October 24, 2018, from www.balancesmb.com

Cruz, T. (n.d.). Arabica Coffee Production. Retrieved November 7, 2018 from

https://www.scribd.com/document/341579589/Arabica-Coffee-Production-Seed-to-Cup-3-0
Direct Marketing.(2018).Retrieved October 25,2018, from
https://www.business.qld.gov.au/running-business/marketing-sales/marketing-promotion/direct-
marketing/direct-selling

Direct Selling as Marketing Strategy .(2018). Retrieved October 25, 2018, from,
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