SCHOOL OF BUSINESS AND ECONOMICS

MGM3180 BASIC ENTREPRENURSHIP

DR ROSMAH BINTI MOHAMED

MARKETING PLAN PROPOSAL: THRIFT THE TREASURE

MGM3180 – GROUP 12-9

GROUP MEMBERS:
NAME MATRIC NO.
NUR HANANI BINTI ABDUL HAMID 206574
NUR FARAH NAJWA BINTI AZMALI 206100
KONG PEI JUN 206815
POONG CHYI EN 212688
NUR ZULAIKHA BINTI AMLIE 209045
Contents
EXECUTIVE SUMMARY 3

DESCRIPTION OF PRODUCT/SERVICES 4

MARKET ANALYSIS 5
OVERVIEW 5
TARGET MARKET 6
MARKET SIZE 6
DEMOGRAPHIC 6
LOCATION 7
PSYCHOGRAPHIC 7
BEHAVIOR 8
TRENDS 8

COMPETITOR ANALYSIS 9

PRICING AND SALES VOLUME POTENTIAL 10

PRICING STRATEGY 10
PRODUCT BUNDLE PRICING 11
PROMOTIONAL PRICING 12
SALES VOLUME 13

SALES AND DISTRIBUTION PLAN 15

ADVERTISING AND PROMOTION PLAN 16

MARKETING BUDGETS 20

APPENDICES 21

REFERENCES 22
EXECUTIVE SUMMARY
Thrift the Treasure will be a new apparel store focusing on vintage garments from all over the

world established by five enthusiastic students of Universiti Putra Malaysia. The boutique

collects second hand clothing from different kinds of style from vintage, chic, Bohemian to

casual daily wear, remodifies them by and resells it back in our store. We feature a

contemporary and fashionable design specifically aimed for college students, middle and high

school students, young professionals and adults who are passionate in fashion regardless of

their gender.

Based on our observation, we noticed that the clothing apparel nowadays has a limited design

where every store sells the same clothing with an upscale price. For those who have a passion

for fashion but do not want to spend their valuable money on expensive garments, they would

love to have a visit to our store and be able to choose their favourite fit without having to worry

about the price.

Keny’aku store is a start-up company that focuses on second hand clothing and we are planning

to sell and advertise the clothes fully using online platforms such as Instagram and Facebook.

Finally, we guarantee to serve the best quality of garments to our client without any exception.

On top of that, all the feedback and criticism will always take credit to enhance and grow the

company to become better so we will be able to continue producing an exquisite product for

the customers.
DESCRIPTION OF PRODUCT/SERVICES
Thrift the Treasure: “Moment of sparks started with clothes that shine you~” offer a superior

quality of garments despite being based on second-hand clothing. Although we are based on

second hand clothing, we still closely monitor each and every piece of the clothes that we sell

to ensure it is still in good condition. Not only that, we will remodify and customize each

garment to suit the newest fashion trends and only serve the best for our customers. Our

speciality will be focusing entirely on the style, types of garments used, design and captivating

color to attract our customers attention. For instance, we will be selling cardigans, denim, vests

and jackets that can be worn on a daily basis or even as formal wear. We on Thrift the Treasure

try our best to satisfy our customers by producing garments that ideal for each body size from

petite to plus size versions since our main concern is to ensure our clients are happy with the

fit and style of their purchase

Thrift the Treasure will profit solely from the sale of our garments and by distributing

membership cards that give a lot of benefit for our customers. Not to forget, we will also be

conducting a holiday sale, end-of-season sales, discounts and distributing vouchers periodically

from time to time. By using our membership card, our client will get extra point when they

make purchases and the points can be used in the next purchases to get more discount.

Figure 1.1 shows the design of the membership card

MARKET ANALYSIS
OVERVIEW
Thrift the Treasure is similar to other concepts like restaurant or retail store where each

has its own theme and caters to a particular customer base. As consumers look for inexpensive,

environmentally responsible alternatives to fast fashion, the second-hand clothing market is

one of the fastest expanding segments in the global fashion industry. Before the 20th century,

the general public’s perception of thrift shopping was primarily very negative because some

local authors write short stories said that the bundles of clothing brought disease. However,

due to necessity, a surge in leisure buying, and marketing initiatives, public acceptance on thrift

shows started to gradually increase. Moreover, used clothing sales were predicted to increase

from $36 billion in a 2021 to approximately $77 billion by 2025, been analysis by the second-

hand marketplace, ThredUp and the analytics company, GlobalData. In the Malaysian

consumer environment, thrift shopping is not solely a result of social class limitation on income

because people from all socioeconomic levels also engage in this activity. In past generation,

it was deemed uncool to wear used clothing, but today, thrifting could be considered as

fashionable in Malaysia. What is/are the speciality of our products compared to those products

that already existed? Most of the Malaysian second-hand stores simply keep selling the same

goods with the same design after obtaining the clothes from the supplier. Thus, Thrift the

Treasure provides their target market with a whole new fashion experience featuring high-

quality garments and a variety of designs, our company opted to manufacture the products into

brand-new things.
TARGET MARKET

MARKET SIZE
The total available market (TAM) for Thrift the Treasure would be all people in Serdang

especially those who interest in experimenting with new fashion. Estimated population in

Serdang is 150,000, primarily composed of college students, business owners, professionals

and government workers who are based in Putrajaya and Cyberjaya. this number arrive by

excluding people who are under 18 years old and other groups who might not interested in our

products. However, from the total of population, we find out that the total possible demand for

our products in Serdang might be around 67,500 people (45%). Our business strategy was

centred on serving people who are ages between 19 to 50, particularly young people and

working women. As a result, we found that there are roughly 37,125 people from TAM in

Serdang who are certain to be interested in our products, which means our serviceable available

market (SAM) is 55%. Furthermore, we have around 5 employees and can only serve 3,700

people a year. Therefore, our serviceable obtainable market (SOM) is about 10 percent from

our SAM.

DEMOGRAPHIC
Thrift the Treasure is a product that has no specific gender, allowing customers to purchase

their preferred options regardless of their gender. Additionally, Thrift the Treasure promotes

all types of family units because our items are frequently offered at low prices that appeal to

our generation’s sense of style, particularly among teens who want to look good and

fashionable. Moreover, we do not just target you people; we also target full-time employees or

adult working women who want to look fashionable constantly even though they were too busy

with their work. Statista reports that women make up most Malaysia’s fashion consumers,

comprising 54.1% of all customers.

LOCATION
Due to college students who are more interested in fashion as well as mature working women

are our target customers, we looked for a specific site that could serve as our main base of

operations before opening our store. Thrift the Treasure picked Taman Sri Serdang as their

location because it is well-suited to draw in their target customers. Taman Sri Serdang is the

only town that students from UPM can readily visit, and it is in the centre of a housing estate.

Moreover, because of Taman Sri Serdang offers public transportation options like the Smart

Selangor bus, taxi and grab car, their targeted customer may easily access there. Additional to

our physical store, Thrift the Treasure offers their customers access to their own website, social

media channels like Instagram and Facebook. An increase of 24 percent from 2016 to January

2021 saw the percentage of active social media users in Malaysia rise to 86 percent. In addition,

throughout the pandemic era, customers could not be walk-in to the store. As a result,

consumers now regularly make purchases online using social media channels. Therefore, to

create our own brand awareness, Thrift the Treasure came out with our own online store called

Thrift the Treasure Mall.

PSYCHOGRAPHIC
Since working adults and students make up majority of our consumer base, Thrift the Treasure

maintains an emphasis on providing their customers with the greatest attractive apparel. As a

result, our company continuously updates its line of clothing in accordance with current trends.

Our company will put a greater emphasis on casual clothing that consumers may wear it on

their daily basis, to go out, or even to class. However, we also give priority to provide adult

women with a business clothes, such as collared shirts and skirts with blazer. On the other

hand, most of the young people today enjoy experimenting with different clothing style

combinations. Consequently, we made the decision to design a large number of clothes that no

other retailer had produced before.

BEHAVIOR
We highlight the benefits of purchasing from our business because we provide an excellent

customer service. Since we will sell the product on three internet platforms, our targeted

customers are those who are enjoying browsing and shopping online. As a result, consumers

might make us as their first choice due to our customer service is customer friendly and easy

for them to make purchases. In addition, customers who prioritise quality, value, and cost are

also thought of as potential customers.

TRENDS
The number of thrift stores in Malaysia has increased recently. Some examples include Jalan

Jalan Japan, 2nd Street Bundle, Bandoru, Bless Shop, Baden Baden Bundle, and Vintage

Moonriver, which are all situated in Kuala Lumpur and Selangor. Most of their bundle stores

sell vintage shoes, graphic t-shirts, and preowned items from Japan. To provide our customers

with a completely whole new experience, Thrift the Treasure is trying to make brand-new

products from the bundle of garments we purchased. However, we constantly give our

customers seasonal apparel from other countries as well. Additionally, not everyone who is

interested in fashion may have the time to travel to the downtown area to shop at those second-

hand stores. Consequently, customers might prefer to visit to our stores first before choosing

others second-hand stores because our store are convenient. In addition, because we are a

relatively new company, people could be more inclined to try our product than those of other

businesses already in operation.

COMPETITOR ANALYSIS
Since Thrift the Treasure is regarded as a company that sells clothing, there are a

lot of other thrift shops that could be classified as our competitors. Examples of rival retailer

with a focus on used clothing and accessories that are present in Malaysia are UNIQLO,

PUMA, H&M, Jalan Jalan Japan, 2nd Bundle Street, JBR Bundle Shah Alam, Family Bundle,

and others. Thrift the Treasure is a new company; thus, our main rivals are company like Jalan

Jalan Japan and JBR Bundle Shah Alam. This is due to the fact that many consumers already

familiar with their store. Since Thrift the Treasure is a new business, we must work harder to

draw customers' attention to our location.

According to market study between Thrift the Treasure and other second-hand clothes

or retailer shops, Jalan Jalan Japan receives the largest volume of searches for local brand stores

in Malaysia, with 22K people doing so. The JBR Bundle, Shah Alam, has 3.1K people who

search for them. However, those shops still fall short of the total number of searchers attained

by UNIQLO and H&M, whose respective retail stores bring in 135K and 74K. Furthermore,

Thrift the Treasure currently lacks sponsored advertising and press releases in comparison to

those other retail stores that sell the same product as us. Hence in the future, we must improve

our advertising to ensure people recognize our store and are able to reach out to new customers.

One of the value propositions in Thrift the Treasure is to provide affordable prices to

the customers. Comparing our cost and price to our competitors, Thrift the Treasure is able to

obtain a cheaper price because raw materials used in our product has a lower price. We secure

our raw materials from our suppliers and also from people who recycle their clothes to us.

Uniqlo and H&M for instance have spent a higher price for their raw materials hence making

their items way more expensive compared to us.

PRICING AND SALES VOLUME POTENTIAL

PRICING STRATEGY
Product line pricing aims to separate goods into cost categories with the aim of creating

abundant quality and feature levels in the consumer's mind. This strategy plays a crucial role

in product mix pricing strategies since Thrift the Treasure develops product lines rather than

single products and aims to maximize their profits. For instance, when you look at a clothes

brand such as Thrift the Treasure, you will see a relation between the different clothes with

different design and their prices. Hence, in this strategy, Thrift the Treasure must regulate the

price steps between numerous products in a product line according to cost differences between

the products, customer opinions on the value of different features, and most vital, competitors’

prices. Customers can sense Thrift the Treasure's philosophy by how it sets the pricing policy.

This shows that well-chosen prices will lead to maximizing long term profits and generating

optimal revenue. In addition, by executing this strategy, it can help Thrift the Treasure be more

appealing across the board.

Product line Vest Cardigan Denim Jacket

Price RM45 RM50 RM55

Based on the table above, product line pricing can be seen clearly by how Thrift the Treasure

sets the price for some of their products based on the product category. This simple price

strategy will make customers' perceptions of product prices clearer and make customers trust

us more. Although this strategy will be affected by the surrounding economy, because of the

scope of Thrift the Treasure, the price of the product will not be affected too much.

The previous price strategy was used in the initial stage. When the company is booming,

although the profit calculation is still the same as before, the cost and pricing will be changed.

Regarding the cost, in addition to the fixed cost mentioned earlier, Thrift the Treasure also

consider variable costs, such as a fair reward for the company’s efforts and risk-taking.
Regarding pricing, in addition to cost considerations, Thrift the Treasure will also consider

customer feedback and market competition. Thrift The Treasure need to determine the price

and study the production of competitors according to the market demand situation and the

difference in consumer perception of the product conditions, service conditions, price levels

and other factors, according to their own competitive strength, refer to costs and supply and

demand conditions to determine the price of goods. This will not only guarantee its own

interests, but also the interests of customers.

PRODUCT BUNDLE PRICING

In setting the price, Thrift The Treasure uses the strategy of price bundling or product-bundle

pricing in which Thrift The Treasure will combine two or more products as a package to sell

them at a price that is less than if the same products were sold individually with the intention

to save customer’s money. Due to the fact that Thrift the Treasure’s products are part of the

product mix, it is harder for it to set the price because all of the prices for the product must be

correlated. In spite of that, with the help of this strategy it makes it possible for Thrift the

Treasure to be on the right track. Even though this strategy enables Thrift the Treasure to boost

product sales and build customer loyalty, the combined price must be appropriate enough to

convince the customer to buy the bundle package instead of the single products. Moreover,

bundle pricing is also a key for Thrift the Treasure to offer more value to their loyal customers

and move products quickly.

Details Price (Rm)/Origin price (RM)

1 Vest + 1 Cardigan + 1 Denim Jacket 135/150
1 Vest + 1 Cardigan 90/95
1 Vest + 1 Denim Jacket 95/100
1 Cardigan + 1 Denim Jacket 100/105
Consume more than 2 same category 10% discount
products
Consume more than 4 same category 15% discount
products
Table show price bundling strategy
To give an example, Thrift the Treasure has offered a special combo. Thrift the Treasure sells

their garment in a bundle with low price and in different packaging. By using this strategy in

setting the price for its products, it proves the worth of the bundle purchase rather than

purchased separately. As stated in the table above, as long as you buy more than 2 products for

the same product line, Thrift the Treasure will give this purchase a 10% discount. If the

purchase is conducted more than 4 products for the same product line, Thrift the Treasure will

give a 15% discount for this purchase. Also, Thrift the Treasure prepare the special discount

for the different combination. Every purchase conducted 2 products from different product

lines will receive an RM5 discount. For every purchase conducted 3 products from different

product lines will receive an RM15 discount. The huge difference on the price is the most

important differentiator for consumers because they will feel like they have gotten the greatest

deal when they can get a bundle price on products they are interested in. To highlight, product

bundle pricing is a win-win situation for everyone because it gives benefits to customers in the

form of offering customers a suite of products for one price while Thrift the Treasure receives

more customer value. Furthermore, this strategy creates a problem for Thrift the Treasure’s

competitors to directly react as they would have to brainstorm for new comparable packages

which are sometimes impossible or drive complexity.

PROMOTIONAL PRICING
In simple terms, price promotion is one of the marketing techniques where the price of a

product is kept reduced from the original price temporarily which can lead to building customer

loyalty and at the same time expand sales volume. This strategy is only suitable for a certain

season that occurs in a short period of time. Starting every month, Thrift the Treasure will hold

a promotional price that will lower the price for some of its products in order to line up the

company’s sales. Promotional pricing is the perfect strategy to increase sales of a product and

is appropriate to achieve it. The first 100 consumers will receive a 30% discount for the
purchase that has been made by them. Also, Thrift the Treasure will give vouchers offered

RM5 for every purchase of RM50 at any Thrift the Treasure’s online store. When customers

do the comparison of price and the advantages of Thrift the Treasure with other brands, they

will notice the huge differences and this will encourage them to be loyal customers of Thrift

the Treasure.

SALES VOLUME
After calculation, Thrift the Treasure’s break-even point is 612 units. That means Thrift the

Treasure should sell 612 units of the products to achieve zero profit. After the level of 612

units, Thrift the Treasure started to make profit.

Break-even quantity= Fixed cost / (Sale Price per Unit – Variable Cost per Unit)

Calculation
Fixed cost = Wages + Rental + Advertising + Depreciation
= RM 23760 + RM 3000 + RM 1850 + RM 75
= RM 28675
Variable Cost per Unit = (Delivery + Packaging) / units
= (RM 1440 + RM 450) / 600units
= RM 1890 / 600 units
= RM 3.15

Break - even point formula = RM 28675 / (RM 50 – RM3.15)

= RM 28675 / RM46.85
= 612 units
Based on Thrift the Treasure’s planning, it set a goal to achieve a sales volume of 900 units in

3 months. At this level of sales volume, Thrift the Treasure will target itself will have a net

profit of RM3475.

RM RM RM

Sales (RM50x900units) 45000

(-) Cost of goods sold

Opening finished goods -

inventory
Cost of goods manufactured 10800
(RM12 x 900)
Cost of goods sales 10800

(-) Ending finished goods 360

inventory (RM12 x 30)
Cost of goods sold 10440

Gross Profit 34560

(-) Expenses

Rental 3000

Wages 23760

Advertising 1850

Delivery expense 1140

Packaging 450

Depreciation – sewing 75
machine
Loan interest 810

Total operating expense 31085

Net profit 3475

Table above show the net profit of our sales

SALES AND DISTRIBUTION PLAN
The majority of modern consumers conduct product or service searches online before deciding

what to buy and where to acquire it. Having a great online presence entails allowing online

potential consumers to find the store and browse the products listed by them. To create brand

awareness, Thrift the Treasure has its own online store called Thrift the Treasure Mall that

consists of a lot of information about its products such as the company's history, vision and

mission, the latest products, and product line. Thrift the Treasure Mall makes it easy for

customers to get their wanted products without having to go to a store. Through Thrift the

Treasure Mall, it offers a full range of Thrift the Treasure product. Customer orders can be

automatically entered into order databases from the website, lowering order processing costs

of Thrift the Treasure. After the purchase, the products will be sent to the customers’ homes

directly.

Figure above show the logo of Thrift the Treasure website

Thrift the Treasure also sells their products using online shopping platforms which are Shopee

and Lazada. Shopee and Lazada are the Top 6 eCommerce Websites in Malaysia. Currently,

Shopee is available in Taiwan, Korea, Indonesia, Malaysia, Singapore, Thailand, Vietnam, and

the Philippines. With an e-commerce store, Thrift the Treasure expanded its reach to virtually

the entire country or even the entire world.

 Figure above show the example of ecommerce used to sell our product

Also, Thrift the Treasure use the drop shipping method to sell its products through channels

such as Grab, Poslaju, Gdex, J&T Express, Skynet, DHL and ABX Express to deliver its

products to the final users.

Figure above show mode of courier used for shipping Thrift the Treasure item
ADVERTISING AND PROMOTION PLAN
To promote our product, we share and advertise and promote it through many platforms. Some

of the reasons we advertise it are to establish our organization’s identity, promote our latest

product, to attract new customers and to boost our products during sale. There are many

platforms that we can use to promote our product, which are through social media, online

campaigns and email.

● Social media.

Social media is one of the common ways for many people to promote their product. For

our products, Thrift the Treasure are planning to use social media as well, particularly

on Facebook, YouTube and Instagram. However, after research had been taken, we

identified that Instagram are one of the popular platforms that the majority of the

younger group, which is Thrift the Treasure target customers segment used. Therefore,

to attract our fellow customers, one Instagram account has been made to share

information to the public and build up a good brand name. From all the platforms that

have been made up before, Thrift the Treasure are planning to use Instagram as our

main platform, then Facebook and YouTube as the last. This is because, if Instagram

has younger customers, Facebook has many types of fashionista, especially older

women or men who like fashion. Therefore, by signing up for these accounts, they can

easily go through our Facebook account and buy their own choice.

● Online campaigns.

To promote our product through an online campaign, Thrift the Treasure plans to go

with YouTube ads and Instagram ads. Some of the main reasons why Thrift the Treasure

go with YouTube ads are because they are extremely cost-effective. This is because as

a seller, we do not have to spend a lot of money to start our business. Next, nowadays,

YouTube advertising is highly targeted. This is because many people who are our
 targeted customers usually use YouTube in their daily life. Therefore, we can target the

audiences by demographics, topics, customer match and video remarketing. In addition,

YouTube advertises our video which helps us to connect with the audiences. Viewers

who are interested in fashion might pass the advertisement that we have released on

YouTube ads. Hence, we might get many customers through YouTube ads. Last but not

least, YouTube advertisements prove that they can provide fast results. Since YouTube

has over 2 billion monthly users, it’s easy to get our targeted customers from those

viewers. Beside promoting our product in online advertisements, banners are another

alternative. By promoting with banners, we can locate it at specific places that can

attract customers. This is because, by using banners, we can tell people that we have

something to offer and choosing banners in company colours can help customers to

make closer associations. Thus, we can instantly promote our product to draw in our

potential customers.

● Email

By using email, we can attract our overseas customers. This is because, since they

hardly watch our banner and go through our Instagram account unless they have been

told, email is one of the alternatives to approach them. In those emails, we can include

our link for our social media account, or days where we are having sales on certain

days. Therefore, they can buy their specific products through our online websites. We

should choose this method because by including it, we can get our targeted customers

from other countries and Thrift the Treasure is likely to steal the attention of many

customers with their reasonable prices and fashionable clothes.

● Digital influencer
Another alternative way to promote our business is by using digital influencers. This

means that we are hiring a few influencers that will promote and upload 3 posts of our

product through their Instagram or Facebook account for each month. Each post that

they upload are around RM35. Therefore, for each influencer, we need RM105 for their

wages. The main reason why we are hiring influencers as our alternative is because

many youths nowadays are kept up to date with their favourite influencers. Therefore,

they can attract the attention of many people as they keep posting our products.
MARKETING BUDGETS
Based on Thrift the Treasure’s 3 months of marketing plan implementation and consideration

of the brand’s size and scale, the marketing budget is amounting to RM 1850. Moreover, the

marketing budget allocation is regarding to the brand’s needs and marketing requirements.

Table shows Thrift the Treasure market budget allocation

The marketing budget allocation table sums up the various strategies that will be used in Thrift

the Treasure marketing plan. Furthermore, it is important to make sure that the implemented

strategies are strictly controlled and monitored as to ensure the right marketing plan is

implemented and to achieve the estimated results. Thus, each and every review, comments and

ratings through the online platform will be seriously considered, analysed and evaluated for the

betterment of the implemented marketing strategies.

APPENDICES
● Business Model Canvas (BMC)

Figure above show the prove of business plan pitching.

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