MARKETING ANALYSIS FOR ESTABLISHING AND PROMOTING A BUSINESS ESTABLISHING A FURNITURE SHOWROOM

PRESENTED BY

PRESENTED TO: Mr. FAROOQ JAMAL

ACKNOWLEDGEMENT

We wish to express our sincere appreciation to those persons who have contributed either directly or indirectly to this project. Most of all, we want to thank Mr. Farooq Jamal. He guided, motivated and assisted us in developing this project. Finally, we want to pay our compliments, to our friends, who encouraged us in completing this project. All the members of the group worked hard in getting information from the concerned departments.

DEDICATION

TO OUR BELOVED PARENTS..

PROJECT PROFILE PROJECT BRIEF The proposed project is for setting up FURNITURE SHOWROOM. This project is only concerned with Furniture Showroom and does not include manufacturing facility. The furniture manufacturing is assumed to be outsourced to various manufacturers however the project shall have its own designer for the purpose of collecting information about furniture market trends, latest styles, designs, fashions and creating new ones. The Project will cater to the needs of domestic market out of the imports and locally manufactured furniture through out-sourcing. The products covered are domestic or household furniture in finished form. It specifically excludes the contract sector, which includes furniture for civil aviation, hospitals, schools, and other similar purposes. Antique, second-hand furniture and garden furniture has been excluded as well. OPPORTUNITY RATIONALE The demand for wooden furniture is increasing in the domestic market as well as in the international market due to its traditional appeal and durability despite the introduction of new materials in furniture manufacturing. Furniture Showroom is a viable profitable business if done properly on Commercial basis. Demand for household and office furniture is growing considerably as socioeconomic development is taking place. With the rapid increase in the development of new housing schemes, the increased demand of wooden furniture is also anticipated. According to the National Housing Policy 2001, the house construction was to be raised by 500,000 houses per annum. Furthermore, introduction of new schemes by different banks for house and consumer financing have also raised the purchasing power of general public. Furniture, which is given as dowry, forms the major portion of sales of furniture in Pakistan. As a result, the demand for household furniture increases substantially in winter and spring season due to weddings. Domestic/office requirements and trend of dowry in the form of furniture considerably increase the need for quality furniture. Major trading partner of wooden furniture manufactured in Pakistan are USA, UK, Japan, UAE and earning substantial foreign exchange for the country and contributing towards the strengthening of economy. CRITICAL SUCCESS FACTORS IN DECISION MAKING FOR

INVESTMENT SWOT ANALYSIS Wood is the main raw material and the entire finished product depends on quality of wood. The information and technical know how about the quality of wood and use of seasoned (dry) plays a vital role in the manufacturing of good quality furniture and the ultimate establishment of Furniture Show Room. Strong competition exists in the international and domestic market. Manufacturing and sale of high quality trendy designs and aggressive marketing is essential to get a permanent place in the market. Before making the decision, whether to invest in setting up the Furniture Show Room or not, one should carefully analyze the associated risk factors. A SWOT analysis can help in analyzing these factors, which can play important role in making the decision. Strengths Availability of Cheaper Labour & Raw Material. Growing Local Market both in organized and un-organized sectors of the Furniture Industry. High quality Furniture using high quality Raw Material. The life style of the people is improving and they are getting more quality conscious and are willing to spend more on their house renovation/decoration. Market penetration through high quality and heavy promotional activities. Own designer who could help to create better furniture designs. Weaknesses High employment turnover rate. Seasonal sector (especially household furniture in the wedding season November to March). Heavy investment in the working capital. Very strict quality control required. Opportunities Increasing preference for the high quality products. Construction/Renovation of houses and Offices create new opportunities. Market share can be acquired from un-organized sector through high quality and promotional activity. Threats Narrow market, as target market is high class.

Quality & design of the Furniture needs to be considered very closely as the lifestyle of people is improving. Established competitors.

CRITICAL SUCCESS FACTORS Quality of raw material The furniture industry in Pakistan is dependent on the quality of the raw material available. Although high quality wood is abundant in Pakistan but many times customer complaints arise due to the use of cheaper and low quality wood by the manufacturers. It has to be ensured that furniture displayed in Showroom is made of high quality wood.

Attractive Design and Quality Finishing The life style of the people is improving and they are getting more quality conscious. New tastes and designs are being adopted by the people. Special attention should be given to present latest designs according to local market demands & requirements. New designs and styles can build brand equity for the business. As there is high competition in market, creation of new designs and styles, and setting new trends is vital. As this proposed showroom business is expected to target high class, it is likely to attract people living in posh areas of Gulberg, Defence and Model Town etc. and the furniture should be able to fulfill their special needs. It is therefore more important that furniture should be of latest design, according to new fashion and beauty standards than mere durability and hardness. We dont undermine the importance of durable furniture but it is of utmost importance that furniture should reflect latest style and fashion so as to attract the relevant class of the society. Sales promotion Another critical success factor of this proposed pre-feasibility is the Marketing and promotion of the Furniture in the market. Sales promotion activity is necessary for market penetration. This involves the dedication and hard work from the marketing personal and detailed advertising through electronic Media along with the use of other automated marketing techniques. Other Success Factors

Advance Orders for sale can ensure the success of the Business. Assurance to customers that furniture is made of seasoned (Dry) wood. Properly seasoned (Dry) wood ensures high quality furniture as it minimizes deforming due to dampness in wood. New designs and styles can build brand equity for business. As there is high competition in market, to make the project commercially viable, creation of new designs ands styles and setting new trends is vital The location of Showroom is very important for success. The Showroom should be located in heavily populated or developing cities and its location within the city should in accordance with the target market of the business. Responsiveness to Customers' demands and requirements is very important to stay in market and retain market share. Better customer service and after sale service to promote business goodwill. Competitive prices should be offered.

TARGET CUSTOMERS Although, currently the Pakistans export of the wooden furniture is not significant as compared to total International market but its exports are increasing rapidly. Pakistans exports of wooden furniture have increased by 34.33 percent in year 2008-2009. Internationally, Pakistans major trading partners are Gulf region, Australia, and USA, which are still negligible as compared to the volume of international market. There is large scope of wooden furniture in other countries like Spain, Germany, Italy, South Africa, etc. This proposed project is concerned with the domestic market of Pakistan. The target market for this proposed project would be high class living in posh areas of developed cities. The demand in these areas is influenced by the number of new houses/offices built and old houses/offices renovated/reconstructed. The renovation and redecoration of households is a routine process in these areas. MARKET ENTRY TIME Though the demand for wooden furniture in domestic market exists throughout the year (especially for office furniture & renovation requirements), but it significantly increases during the period of October to March because of the wedding season and hence the

demand for the furniture almost gets doubled during this period. Hence, the prime time to enter into market is June so that the Showroom gets into commercial operations before the start of the wedding season. PROPOSED BUSINESS LEGAL STATUS The said project can be a sole proprietorship or a partnership and even it can be registered under the Companies Ordinance, 1984 with the Securities & Exchange Commission of Pakistan. The selection totally depends upon the choice of the entrepreneur. This assumes the legal status of a sole proprietorship/partnership as this does not involve heavy investment. Moreover less legal requirements and costs are involved in forming, administration and running the sole proprietorship or partnership business. Lower tax rates for this type of business legal status would be an added advantage. PROJECT CAPACITY AND RATIONALE The proposed project is capable of selling the complete range of wooden furniture and other allied products to meet the demands of the domestic market out of imports and locally manufactured furniture through out-sourcing. The Show room will work 11 hours day for 300 days.

PROPOSED LOCATION The socio-economic conditions of the country and population have a direct influence on the local furniture demand. The Income level of community and improved life style of people also effect the good quality furniture requirements. Considering this fact the said project can be started in any posh area of developed cities like Lahore, Karachi, Islamabad, Sialkot or Faisalabad etc. It is however recommended to establish the Project at Lahore - Gulberg. The general living trend of the people in the region considerably increases the scope for establishment of the proposed project. MARKET INFORMATION ABOUT FURNITURE According to Pakistan Economic Census 2005, out of the total 583 thousand manufacturing industries covered in the census, 10.8% were in Wood & Wood Products including furniture. According to the

census, in the urban areas the share of house hold establishments in wood products including furniture manufacturing was about 8% of the total household manufacturing industries. Area wise analysis also depicts the similar trends. Details may be seen in the following table. Province wise details are given below; Table 3: No. of Manufacturing Establishments by Status & Area Manufactu ring Industry Division Status of Establishments All Areas Total Hous e hold Esta b. Rural Areas Other Total than househo ld Estab. Hous e hold Esta b. Urban Areas Other Total than househo ld Estab. Hous e hold Esta b. Other than househo ld Estab.

Manufactu ring of Wood and Wood Products including furniture

63,0 87

9,54 9

53,538

30,7 99

8,96 3

21,836

32,2 88

586

31,702

REQUIREMENT OF WOODEN FURNITURE In local market, the requirement for wooden furniture can be categorized into four types namely: For newly built house; For dowry; For renovation; For Institutional buyer. The majority of customers in the domestic market belong to first and second category. These customers require furniture for their newly built houses and usually buy range of products like bed sets, dining sets and sofa sets with other required furniture for their entire house. In Pakistani society, Furniture is given as dowry. Therefore, its demand increases in the spring and winter season due to weddings. Basic requirement of these customers is bed set of new designs and styles. These types of customers also buy sofa set or dining set along with bed set. Initially entrepreneur should

target these customers to establish the business and to increase the customer base. These potential customers can play a dominating role in the successful break through of the business. With the flourishing of tourism and hotel industry, considerable scope emerges for wooden furniture in this sector. Large orders can be secured to supply wooden furniture to these hotels and resort. IMPORTED FURNITURE Furniture imported in Pakistan is normally of Italy, China & Spain. As this proposed showroom business is targeted towards high class, it is necessary to offer imported furniture. Due to its high attraction among targeted market, it can generate significant revenue for the business. Made in China - which had already hurt the local plastic industry and has made inroads in toys, electronic items and other products is all set to dominate the local furniture market. It is now feared that most of the people who had small businesses of producing furniture have now become importers of Chinese furniture. Those in the furniture business revealed that some 200 out of 500 factories in different localities of Karachi including Liaqatabad, Landhi, Shershah and Gharibabad that were busy in manufacturing small items of furniture like office chairs, TV trolleys and other items have been completely shut down and that the owners of these factories have become the importers of Chinese products. The raw material used in making office chairs, TV trolleys and other small items are available at a higher price in the local market and Chinese readymade products are comparatively less expensive so most of the manufacturers have decided to shut down their business and started to import the same item from China. The foreign sources of furniture in Pakistan are China, Germany and Italy, however, they have not yet succeeded in grabbing local markets share of the heavy furniture. The quality of local heavy furniture is higher and lesser in price, which includes complete bed set which is much better than the Chinese one because in the customs, freight charges are being charged according to the weight and volume of the item, and a Chinese bedroom set costs around Rs 800,000/- when it reaches Karachi. However for the items which fall in the light furniture category China has dominated the market and has hurt the local industry to around 80 per cent. An attempt on deco furniture and by using MDF chip board and fiber glass approach, the domestic suppliers have been able to attract the consumers again to the local markets as by using this approach the manufacturers have created decent designs and carvings on the bedroom sets and an excellent indigenous bedroom set is now available in Rs175,000. The Alliance of Market Associations Karachi has assured the government if it caps the increasing prices of raw material and

announces incentives to the manufacturers, the local small furniture industry would be reactivated and hundreds of sidelined persons could be re-employed. Table 4: Furniture Import Product Code (HS) and description Import from Value (000 US$) 200 3 940310 Office furniture, metal, World China UAE 940320 Furniture, metal, World China UAE Thailand South Africa 940330 Office furniture, wooden, World 394 143 87 534 279 103 23 0 506 2004 387 199 16 741 328 111 67 79 552 Quantity (Nos.) 2003 2004

22966 23341 7131 1823 8372 690

33800 41155 14971 19622 3504 2338 0 3185 6353 1230

16651 20052

China Malaysia USA Thailand Germany 940340 Kitchen furniture, wooden World

130 77 100 47 01 27

198 139 73 59 0 317

5981 2499 2524 1105 1934 4211

8471 5321 2117 1332 0 11864

China Italy 940350 Bedroom World

70 44 400

203 81 791

3019 721 16

8725 2227 19

furniture, wooden Philippines China Malaysia UAE Italy 940360 Furniture, wooden World China UAE Germany Saudi Arabia 940370 Furniture, plastic World China 940380 Furniture of other materials, incl. cane, osier, bamboo/similar material World 0 125 54 91 51 698 331 117 8 99 115 47 372 309 151 100 53 14 1259 616 117 193 98 175 130 530 0 10 1 2 1 4 9 2 1 0

21960 43698 12091 27305 3451 252 553 4153 3691 570

23018 33931 6904 26837

17337 43345

USA China

194 61

285 100

6062 4046

21965 7728

PROJECT MARKETING STRATEGY MARKETING STRATEGY When marketing furniture for the first time, make use of electronic media (cable networks, television, etc.), websites, publicity and advertising in trade, Fashion and Interior Decoration magazines etc. In addition, sales promotion can be done at a reasonable cost in order to develop new customers and keep in touch with your current customers. For example by a newsletter (by e-mail) one can assure the customers that we are actively following latest interior decoration trends in the Pakistan and are well-aware of the latest

developments in quality standards and newer styles & fashion etc. In the correspondence, a constant, prompt and reliable communication is vital to build and maintain a long-term business relationship with your customers. Brand Name In our case the name of Furniture Showroom can be promoted. Thus after a while people believe in quality of furniture with reference to the Showroom name. We have For this purpose high quality standards must be maintained along with better customer service. Advertising Advertising is another tool aimed at increasing the sale of furniture. Advertising in Print Media along with Electronic Media is vital for success. In order to get the best out of investment, following should be clarified: A clearly defined target group - Potential Buyers A well-formulated message - What do I want to tell the customer. TRENDS IN FURNITURE STYLE In all furniture styles some significant trends are: Individual items of furniture can be used for different functions: flexible seating for sitting, reclining or sleeping; modular wall systems and living room systems. Although newer homes are being built for smaller-sized households, there is a demand for larger sized furniture, particularly loungers or large sofas. People like to stretch out on sofas now rather than sitting in the more traditional way. Furniture for older people with a focus on comfort (e.g. higher seats). Part of the trend of making more use of the home space is to extend the home into the garden or onto a patio or veranda. Many households are full of furniture, so rather than overloading their homes, consumers are looking for something with a simple elegance to achieve less is more. Combined with this simple functionality, consumers want some emotional attachment with the item. For example, LED illumination to enhance simple cabinet, invisible loudspeakers in internal doors,

new coverings on handles that feel good to touch, flat screen TVs which almost disappear into surroundings when not being used. Small visible legs, made of metal or wood, are an important feature at the moment for living room chairs, couches, armchairs and cupboards and small tables. TRENDS IN MATERIALS, COLOURS AND SHAPES Home furniture and furnishings are becoming more colorful. The colors used in upholstery furniture fabrics, and cupboard and cabinet fronts are loud and bold. The design and form concept in upholstered furniture remains voluminous. As far as materials are concerned, there is a decrease in the use of cherry in new lines. However, cherry, along with oak and walnut, are key materials for products at the high end of the market. The shift towards furniture that is a fusion of wood with materials such as steel, glass and other fabrics is now even more pronounced. The vogue is still very much for the dark, exotic look with oak and other wood species presented in a number of guises, striped effect to emulate zebrano, heavily lacquered and most popular of all, stained dark, almost black. Modern technology is enhancing pieces with improved finishes and high-tech options. Materials Woods: Interior parts and primary and secondary frames of most items are made from lower quality wood like birch, ply and laminates, while for exposed surfaces fine timbers are used. Lighter hard woods such as oak, beech, maple, alder, birch, cherry and hickory have proved more popular than pine. Rattan: fine wickerwork, bamboo, hemp, abaca and sea grass continue to be important materials, which are increasingly used in natural interiors. Metals: the metallic, hi-tech or industrial look is popular in furniture, being an eye catching element. Metals in simple forms are often combined with wood or glass. Stainless steel, chrome, wrought iron, aluminum and copper have become popular in the past few years. Glass: smoked glass and other opaque finishes, rather than clear (cold) glass is popular. Natural and acrylic glass is increasingly used in combination with other materials in tables, cabinets etc. New materials: Experiments are done with new materials: polycarbonates in matt finish, high gloss, transparent and in many colors. Also, recycled polyester is increasingly being used in modern items.

 Fabrics: these are softer in texture and appearance, with single light natural colors used as a basis. Small motifs, textured look, geometric or large colorful designs are possible. Floral designs, micro-fibers are still common and (soft) hi-tech fibers are gaining importance. Finishes: There is a trend towards high gloss finish in many colors for tables and Chests. There is also much use of polished, laminates, satin-finish, acid-etched, painted glass with neutral or bright colors; opaque lacquers; painted and enameled steel; anodized, polished and mat aluminum. LAND & BUILDING REQUIREMENT Land Land for the proposed business can be acquired on rent or it can be purchased based on the judgment of the entrepreneur. It is however recommended to acquire the Land on Rent. Acquisition of land by way of purchase is not viable for the project since the project Is recommended to set up the project in posh area like Gulberg where the land price ranges between 20,000,000/- to 30,000,000/-. The Land Rent is taken to be about Rs. 225,000/- per 2000-3000 sq foot. Advance for rental showroom is 10,00,000. SEGMENTATION GEOGRAPHIC SEGMENTATION It means dividing the total market on the basis of region, size, rural and urban climate, market density. From geographic point of view we are considering Lahore as our targeted market. City: Lahore Climate: November February (winter) March April (spring) May August (summer) September October (autumn) DEMOGRAPHIC SEGMENTATION Demographic segmentation includes factors like age, gender, income, education, ethnic back ground and family life cycle. Income: The people of Lahore are very wealthy. They had a lot of money to spend. We are giving them chance to put their money in a positive way. Our target markets income mostly ranges from150, 000-200,000 per month.

Social Classes: Elite class Ethnic background: Asians Pakistanis Punjabis Lahories CUSTOMER SATISFACTION

Customer Satisfaction Determinants: These are the factors for customer satisfaction and loyalty. We would strongly make these factors our policy. Experienced staff Knowledge of service provided Communication Reputation Type of role/function contact

Who they compare us with Past and present experience

Marketing Mix: (4 Ps) Product Placement Promotion Price

PRODUCT Our Products: Our product is different type of furniture goods which include home and office furniture. Home furniture Office furniture

Home furniture:

Beds Bedroom chairs and table Wall mirror frame Dinning set Dinning cabinets Dinning side-boards Side table Wall hanging frame

Office furniture

Fully carved sofa with center table set Fully upholsted sofa set Console with mirror Lounge sofa Wall hanging frames Wall mirror frames

Product Classification: Consumer Product: Our products are to satisfy our customer. We aim to give our customers the best they want and deserve, but at their affordable prices. The satisfaction of our customer is our goal. We want to give them a modern and spacious look. Types of our Consumer Product: Convenience Product:

Some products are relatively inexpensive like side tables which have little shopping merits and fewer prices. Shopping Product: As we deal with beauty and style so customer is conscious and careful in choosing us among our big competitors like:

Interwood Furniture spot, etc.

o Homogeneous products:

Our some services are almost same like our competitors e.g. side tables and console with mirrors. But our customer will chose us for all this stuff just because of affordable price range and the best quality they want in it.

o Heterogeneous products: Our few products are different from others like; Fully upholsted sofa Fully carved sofa set Dinning cabinets, etc. These are the products which our customer will seek to try and inspect for quality, style and uniqueness.

Specialty Product:

Our products are our specialty and customers search it extensively and are reluctant to accept any other substitute. Some heterogeneous products (mentioned above) are our specialty for which our customer will say, NO SUBSTITUTE PLEASE!

Adjustment to Product Mix:

Product Modification: Style Modification: With the changing international styles of furniture we will have to change accordingly.

Product Repositioning: Changes in mindset:

As the mindset changes all furniture trends change with it. Also any types of social event or occurrence can raise the need for the repositioning. Declining Sales: The decline in sales due to any reason can compel us to renew our previous image. Changing Demographics:

With the change in demographics of our society like any kind of social or financial crises can change our income levels, our needs and wants and hence our demands. So repositioning will be done in this case.

BRANDING: o Brand Name: Our brand name is COMFORT SOLUTIONS

o Brand Mark:

o Brand Slogan: THE ULTIMATE LUXURY o Effectiveness of our Brand Name:

A meaningful name is the soul of advertisement. As our brand name is COMFORT SOLUTIONS Is easy to pronounce Is easy to recognize and remember Is short, distinctive, and unique Describes the product, use, and benefits Has a positive connotation Reinforces the product image Is legally protect able

Type of Brand:

Private Brand:

Our brand is private brand as we do not produce the furniture ourselves.

Advantages of Private Brands:

PRICING

It will earn higher profits for us. There will be less pressure to mark down prices.

In the broadest sense, price allocates resources in a free-market economy

 To the seller... Price is revenue and profit source. To the consumer... Price is the cost of something. In our business we have decided the prices to be such extent that it fulfils our cost easily and also attract the customers. For this purpose we have deeply studied the market and carefully decided our products and services prices. Revenue The marketing and promotion strategy of our product is such that we shall gain our total cost in 15 months period in the form of revenue. Profit After 15 months as we have calculated we shall get all our cost and then will start earning profit from our business. We know very well the important of pricing so we have set them according to a proper planning, that prices are not too high or not too low, a price that equals the perceived value to target consumers.

PRICING OBJECTIVES There are three different types of pricing objectives. They are briefly explained in following. Profit-Oriented Pricing Profit Maximization is mainly focused in this type of strategy. Satisfactory Profits are gained with this type of pricing. Target Return on Investment is very important. Sales-Oriented Pricing In this type of pricing the share of the product in the market is increased and sale is maximized. Status Quo Pricing

In this type the prices are maintained on same level and steps are taken to meet the competition prices. Now, as our products and services are new to market and people, so we are applying the sales oriented pricing in our business. According to this strategy, we shall try to maximize our sales through proper marketing of our products and services and hence capture the more and more market share for our business THE COST DETERMINANT OF PRICE Cost is basically of two types as listed below; 1) Fixed cost does not deviate as level of output changes. 2) Variable cost deviates with changes in level of output. Methods Used to Set Prices Following methods are used to set prices Markup pricing The cost of buying the product from the producer plus amounts for profit and for expenses not otherwise accounted for. Key stoning The practice of marking up prices by 100%, or doubling the cost. Profit Maximization Pricing A method of setting prices that occurs when marginal revenue equals marginal cost. Break-Even Pricing Break-Even Quantity= Total Fixed Costs Fixed cost Contribution Target-Return Pricing Fixed cost Contribution = Price - Avg. Variable Cost Now in our business all of the above points are taken under consideration and the pricing of products is done. We have adopted all possible ways in deciding the prices of all products and services. REGAINING PRICE CONTROL Methods Used to Regain Price Control Following methods we are using to regain our price control; Avoid business with price-cutting discounters Our strategy is not to deal with price cutting discounters.

 Package marked with selling price Our products are marked with selling prices and services are also provided on a fixed price only. Develop brand loyalty We shall try to develop brand loyalty in our customers by our good services and beautiful environment and soft dealing. Pricing strategy We have adopted such framework that our products and services get more and more popularity in less time due to attractive prices. At start prices are set lower than our competitors, but as soon as our products start to capture a strong position in customers mind, the prices may be altered according to business conditions. The direction of price movements is towards capturing more and more customers at the start of business. Setting of prices For the setting of prices, we are applying the following steps; Establish pricing goals First of all pricing goals are set. Our main goals are to earn revenue 10-15% more to our cost in first 6 months. So we are setting our prices in such a way that we achieve our goals. Then after 6 months we can change our pricing plan.

Estimate demand, costs, and profits Estimation of cost, demand and profits are made before setting the prices, because all these depend on pricing. Choose a price strategy to help determine a base price At the start of business, the prices set are called base prices. So base prices are set to be such extent that they may serve as good attraction to customers. Fine-tune the base price with pricing tactics Tactics are adopted in determining the base prices, such as low prices than other same standard brands, attractive packages for regular customers, better quality in same price Prices (depending on the design) Beds (Rs 100,000-200,000) Bedroom table plus chairs (25000-35000)

wall mirror frame (20000-30000) dinning set (80,000-140,000) dinning cabinets(50,000-70,000) Dinning sideboard (30,000-40,000) Carved sofa with center table set (130,000-200,000) Fully upholsted sofa set (85,000-150,000) Side tables (7,000-15,000) Console with mirrors (20,000-50,000) Wall hanging frame (10,000-30,000) Lounge sofa and cabinets (40,000-70,000)

PLACEMENT

o Location/Site: We have opened our furniture showroom in GULBERG Lahore. o Building Structure: We have got a showroom at rent, which is a single story spacious building with a basement. floor area is 2500 sq ft. o Reason to choose this Site: We have selected Gulberg for our business because there is no strong competition in this area. As there is only one well known showroom in this particular area so it is advantageous to us to open furniture showroom here.

o Integration into Sections: We have chosen basement as our inventory. The basement will serve as a Godown for us. Immediately after entrance we have got our reception.

PROMOTION Essence of a starting business is its promotion & marketing strategies; we are well aware of this fact and have chosen following marketing strategies. First of all we will have an inaugural show for which proper invitation cards will be issued to guests. The chief guest of our Inauguration Ceremony will be WASIM AKRAM. In inaugural show especially prepared CD in which all positive aspects of our showroom are narrated will be shown to guests. After Inauguration Ceremony a grand dinner, catered by DHABAS will be served. At the start of our business we will offer our CELEBRATION PACKAGE for 30 days which include following offers. 1. 2. Get a bed and have two side tables free Get a dinning set have a console free.

Coverage of inauguration show along with details of celebration packages will be advertised through local cable channels and local newspapers. Pamphlets regarding celebration package details will be distributed in near by public areas and housing colonies. Proper advertisement will be done through billboards, local newspapers and local cable T.V channels. PROMOTION PLAN COMFORT SOLUTIONS made a very strong promotional plan for its furniture showroom in Lahore. The main mediums used for promoting it are as under: Promotional Budget: Total budget for promotion 55lac Budget for electronic media 15 lac Budget for print media 15lac

Budget for bill boards

25lac

ELECTRONIC MEDIA: We have selected following channels for our promotional campaign in the local cable of Faisalabad. Cable Channels Cost per day No of days Total cost PRINT MEDIA: Newspaper The News (Sunday) Rate 4 days a month 3 months Nawa-e-waqt (Sunday) Rate 4 days a month 3 months Posters Amount Size of poster Cost per poster Total cost Brouchers Amount Size of poster Cost per broacher Total cost BILL BOARDS Size Monthly rate No of months Cost Size Monthly rate No of months Cost Total cost of bill boards back page(colored) 40,000 per day 40,000 x 4= 1.6 lac 1.6x3=4.8 lac center page (colored) 20,000 per day 20,000 x 4 = 0.8 lac 0.8x3=2.4 lac 50,000 (1.5 X 1) ft 4.20 Rs 50,000 X 4.2= 2.1 lac 100,000 (11 X 8.5) inches 3.25 Rs 100,000 X 3.25 = 3.25 lac 10 Bill boards (10 X 20)ft 50,000 3 3 x 50,000 x 10=15 lac 5 Bill boards (15 X 45)ft 60,000 3 3 x 5 x 60,000= 9 lac 24 lac 5 10000 Rs 150 15 lac

Some of our unique designs