Projected demand gap

PROJECTED DEMAND-SUPPLY GAP ANALYSIS

The demand gap refers to the disparity between the demand in the market vs. the
available supply in the market. In other words, it denotes a customer need that has yet to be
met. Hence, a market gap is an opportunity for a company to expand its range of customers.

Projected TotalProjected TotalProjected Target Projected Annual

Year
Demand Supply Demand Gap Market Size Sales in Units

2024 248,996 102,168 146,828 4.25% 6,240

2025 259,005 112,385 146,620 4.68% 6,864
2026 269,013 123,623 145,389 5.15% 7,488
2027 279,021 135,986 143,035 5.67% 8,112
2028 289,029 149,584 139,445 6.49% 9,048
Table 13. Projected Demand-Supply Gap Analysis

So flashed in the screen is the projected demand gap of Laid Back for the years 2024 to
2028. The demand gap is derived by extracting the difference between Laid Back’s projected
total demand and projected total supply. From the figure, it can be observed that year 2024
would be the projected best year for Laid Back to seek opportunity in expanding its range of
customers having 146,828 projected demand gap.
SWOT ANALYSIS

As per the swot analysis of laidback we’ve identified our strength as having –

 Unique value proposition - Laid Back offers a unique blend of security and style in tote
bags which sets us apart from other competitors.
 We also have a diverse target audience – ranging from students to professionals, to
trendsetters and travelers from broad age groups regardless of gender.
 Laidback’s business location is also surrounded by clusters of prestigious educational
institutions and is also near the lrt 1 which provides us access to a large pool of potential
customers especially the students.
 As per the Product quality - Laid Back's Tote•ally bags are designed to be slash-proof
and waterproof, emphasizing product quality and security.
In terms of weakness:

 While having a broad range of audience is an advantage, it might also pose us

challenges in terms of marketing, since different age groups might also need different
approaches and strategies to effectively reach them.
  In terms of competition – laidback faces competition from other brands that offers tote
bags as well at a lower price.
 And also, the success of laidback is highly dependent on our location which could limit
our expansion opportunities.
For the opportunities:

 There’s a growing trend in tote bags these days.

 And also, since we target the youth, and youth these days are technologically savvy –
word of mouth and online reviews can generate buzz which could provide our business
some exposure.
 Another opportunity is to expand our product line aside from just selling tote bags.
 And reach globally by expanding beyond malate, manila.
Threats:

 Market Saturation: The market for tote bags may become oversaturated, making it
challenging for us to stand out among competitors
 Economic Factors may affect the purchasing power of our target market which could
affect our sales.
 Rapid change in fashion trends – hence, as a fashion brand, laidback should also keep
up stay tuned with the evolving customer preferences.