ENTREPRENEURSHIP

BUSINESS PLAN ON

ELEGANT GIFT BASKET

Elegant
Gift
Basket

Let Us Arrange A Smile For You

Business Plan Of Elegant Gift Basket

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TABLE OF CONTENTS
Contents
Acknowledgement............................................................................................................ 4
Executive Summary.......................................................................................................... 5
Mission Statement............................................................................................................ 6
Vission Statement............................................................................................................. 6
Target Market and Customer Characteristics...........................................................................7
Individuals............................................................................................................... 7
Corporate................................................................................................................ 7
Competitive Edge............................................................................................................. 8
Resources required........................................................................................................... 8
Financial plan................................................................................................................ 8
Requirements.......................................................................................................... 8
Funding required..................................................................................................... 9
Break-even Analysis.............................................................................................. 10
Breakeven analysis with employee salaries and other expenses.......................10
Staffing....................................................................................................................... 11
Marketing Strategy......................................................................................................... 12
Marketing Mix........................................................................................................ 12
Product............................................................................................................... 12
Packaging:.......................................................................................................... 14
Price :................................................................................................................. 14
Place:................................................................................................................. 17
Promotion........................................................................................................... 17
Product Marketing Strategy................................................................................... 18
Sales Strategy....................................................................................................... 18
Swot Analysis................................................................................................................ 19
Sales Plan.................................................................................................................... 19

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Acknowledgement
We would like to take this opportunity to dedicate our deepest unrestrained gratitude to all those
who their generosities gave us the ability and possibility of taking this significant over. It would
be a pleasure for us to express our reverential appreciation to our teacher who has the attitude
and the substance of a genius: they continually and convincingly conveyed a spirit of adventure
in regard to our research and studies, and an excitement in regard to our future. We would like to
express our sincere Gratitude and thanks to our respectable teacher Mr. Khurram Adeel Shaikh
for extending this support and cooperation in the whole semester and her guidance in the
completion of the business plan. Without the Encouragement, Guidance and support of our
Teacher the completion of this dissertation would not have been possible.

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Executive Summary

Elegant Gift Basketis an upscale gift basketshop that offers a distinctive assortment of gifts in
an artistic and unique atmosphere. Elegant Gift Basketis concentrating on making different
occasion based gift baskets out of a wide range of high-quality ingredients Elegant Gift
Basketwill offer the option of a custom basket allowing the customer to choose the ingredients
themselves. Elegant Gift Basketwill be selling to individuals as well as corporations. Initially
the bulk of itsbusiness will be generated by individuals from word-of-mouth referrals, but as
time passes, corporations will become a growing percentage of sales.
The shop provides an impressive assortment of hard-to-find and creative gift ideas for people of
all ages. The unique selection of gift items comes from all over the world while the silverware
has been made in Pakistan. Customers can be divided into several categories based on who
they're giving the baskets to: business people, friends, family, and networking
acquaintances.Elegant Gift Basketreaches its customers primarily through its Web site,
which allows visitors to preview standard gift baskets by occasion category in a range of price
points or to request custom-designed baskets. Visitors can select, order, and pay for their baskets
on the Web site or by calling the phone number that's prominently displayed on the site.

Elegant Gift Basketsets itself apart by focusing on unique gift baskets, by pricing them
affordably, and by providing services for both buyers and recipients that have a uniquely
personal touch, thus encouraging repeat business and referrals. A wide range of gift wrapping
options is also available. From economical gift wrapping to high-end gift boxes, we offers
beautiful and elegant gift packaging solutions to suit every style and every budget. Multi-purpose
boxes are also available at the shop and customized gift hampers can be assembled upon request.
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Mission Statement
The mission of Sensational Gift Basket is to
bring joy, comfort, and inspiration into the lives
of its customers by delivering affordable,
imaginative gift baskets in an attractive
presentation along with a high level of customer
service to our clients that connect the giver and
the recipient at key moments in time.

Vission Statement
The vision of Sensational Gift Basket is to
become the best Gift Baskets Company locally &
globally, that has and will continue to provide
quality Gift Baskets to its valuable consumers.

We Provide:

Wedding Gift
Baskets
Engagement Gift
Baskets
Corporate Event

Baby Showers Gift

Baskets
Holiday Gift Baskets
Valentine Gift Baskets
Appreciation Gift

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Sporting Event
Gift Baskets
Birthday Gift
Baskets
Promotion Gift

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Gift Baskets
Sympathy Gift
Baskets
Thank You Gift
Baskets
Thinking of You
Gift Baskets

Baskets
Apology Gift Baskets
Mother's Day Gift
Baskets

Baskets
Congratulations
Gift Baskets
Retirement Gift
Baskets
New Home Gift
Baskets

Target Market and Customer Characteristics

Elegant Gift Basketwill be going after two distinct market segments, individuals and
corporations. Both groups buy gift baskets as a goodwill gesture, typically for different
reasons. Individuals typically buy the baskets as a present with over half of sales occur during
holidays. Corporations buy the baskets as presents as well, but usually for events unrelated to the
holidays.Elegant Gift Basketcustomer purchases are occasion-driven.
Customers tend to be those without the time or desire to assemble their own gift baskets. Part of
the purchase process is therefore a need for convenience and for imaginative baskets/contents
that make people say, I wouldn't have thought of that.

Sensational Gift Baskethas two distinct groups of customers, individuals and corporate
customers:

Individuals- The individuals are people who are looking to give a friend, relative, colleague,
etc.a gift basket as a gesture of goodwill. These customers typically do not have a specific type
of gift basket in mind when they look at Elegant Gift Basketproduct offerings; they just want
to give a gift.

Corporate- The corporate customer is typically buying the basket for a colleague at work,
either as a sign of appreciation, for a special event, or as a thank you for a customer. The
corporate market can be further broken down to banks, health care, employment gifts, real estate,
apartments, special events/promotions, corporate headquarters, hotels/vacation resorts, and
automobile dealerships.

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Competitive Edge
Elegant Gift Basketcompetitive advantage will be based on two factors:

o Low overhead which allows reasonable prices

o Desire for the highest quality product and service
This market space is already crowded; a mediocre gift basket service will not succeed, so there
must be some sort of differentiation. Elegant Gift Basket Companyonly uses the finest quality
ingredients and can afford to because of her low overhead. Additionally, Elegant Gift Basket
Company always follows the maxim that the customer must be 100% satisfied. That means she
is willing to lose money in the short run if necessary to please a customer, confident that in the
long run that this is a wise business decision.

Resources required
Elegant Gift Basketstart-up costs will include all the equipment needed for the home-based
office, legal fees, website creation, and start-up advertising. The home office equipment will be
the largest chunk of the start-up expenses. This equipment includes a computer system, fax
machine, office supplies, cellular phone, and pager. Additionally, there will be the installation of
a broadband connection, and furniture for the home office. Total start-up expenses are expected
to be Rs30 00,000.

Financial plan
The following sections will outline the important financial data.

Requirements
Start-up Expenses
Legal
Stationery etc.
Brochures
Consultants
Office Supplies

Rs30,000
Rs10,000
Rs20,000
Rs15,0000
Rs10,000

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General Supplies
Website Creation
Mailings
Total Start-up Expenses
Start-up Assets Cash Required
Start-up Inventory
Other Current Assets
Long-term Assets
Total Assets
Total Requirements

Rs25,000
Rs50,000
Rs40,000
Rs33,5000
Rs22,65,000
Rs0
Rs0
Rs4,00,000
Rs26,65,000
Rs30,00,000

Funding required

Start-up Expenses to Fund

Rs335,000

Start-up Assets to Fund

Total Funding Required
Assets
Non-cash Assets from Start-up
Cash Requirements from Start-up
Additional Cash Raised
Cash Balance on Starting Date
Total Assets
Liabilities and Capital
Liabilities
Current Borrowing
Long-term Liabilities
Accounts Payable (Outstanding Bills)
Other Current Liabilities (interest-free)
Total Liabilities

Rs26,65,000
Rs30,00,000

Capital Planned Investment

Investors
Other
Additional Investment Requirement

Rs4,00,000
Rs22,65,000
Rs0
Rs22,65,000
Rs26,65,000

Rs0
Rs0
Rs0
Rs0
Rs0

Rs30,00,000
Rs0
RS0

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Total Planned Investment

Rs30,0000

Loss at Start-up (Start-up Expenses)

Total Capital
Total Capital and Liabilities
Total Funding

(Rs3,35000)
Rs26,65,000
Rs26,65,000
Rs30,00,000

Break-even Analysis
Breakeven analysis with employee salaries and other expenses.

Breakeven analysis

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Staffing

Title

Salary (Rs)

Manager

30000

Basket assembling & packaging

8000 each

Computer operator & order Up to

date(2 persons)

12000 each

Delivery( 2 Persons)

15000 each

(2 persons)

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Marketing Strategy
o

Marketing goes on in each step like we have segmented our market; we know who our target
audience is. We are targeting the individual or corporate peoples.

We donate our gift baskets to charitable events and for auctions. Once our business is open,
we will have many requests for donations, but be selective. Choose the events providing the
highest profile for our target market and commit to them on an annual basis.

The week prior to our opening, we distribute inexpensive but impressive gift baskets to all of

our area business customers. Let them know we will be opening soon and invite them to stop
by for a visit.
Hosting basket parties are a great way to quickly build customer rapport. We can ask family
and friends to host gift basket parties. The host will invite additional people to a party to see a
variety of gift baskets. We can offer the host either a discount or commission of party sales.
Setting up gift basket parties offers many benefits. Party attendees already have a relationship
with the host. This relationship makes it much easier to build rapport and make initial sales.
We can keep a list of gift basket party attendees and use them for future marketing efforts.
We speak with local hotels and convention centers. Often, hotels will offer special packages
(i.e. a honeymoon package). Often, hotels are looking for additional ways to provide their
customers "wow" moments. We could market our gift basket business by contacting these
hotels and offering to make special gift baskets. The hotel gets a special item to offer VIPS
and we can increase our gift basket business sales.

Marketing Mix
Four Ps are the most important factors for any company in making the marketing plan. To be
specific, these 4 Ps are:
1)
2)
3)
4)

Product- your product(s) and services.

Price- what you'll charge customers for products and services.
Place(distribution) - how you will bring your product(s) together with your customers.
Promotion- how you will promote or create awareness of your product in the marketplace.

Product
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It includes size, shape and features and packaging of product.

Size:Gift Baskets are available in three different sizes (Small size basket, Medium size basket
and premium basket).

Shape:Baskets are available in different shapes.

Square
shape
baskets

Set Hat
Shape
Basket

Heart
shape
basket

Rectangle
shape basket

Flower
Bamboo
Basket

Cheap Mini
gift Basket

Beautiful
Red Rose
gift Basket

Plated Wire
package
Basket

White
Wash
Basket

Antique Gift
Basket

Decoration
Ceramic
Gift Basket

Wedding Gift
Ornaments
Basket

Features:
Our business would be of designing different gift baskets according to the varied needs of the
customer.

We would focus on different occasions on which people can give their loved ones these gift

baskets, these occasions could be birthdays, mothers day, valentines day, Eid and all other
important occasions. Other than that these gift baskets would also be a help to our corporate
clients who could gift them to anyone as a thanking gesture.
There would be three sizes in which these baskets would be available namely medium,

large and the premium size baskets.

The price of the basket would depend on the number on items that you select for you basket,

the price would increase with the choice and the number of items.
A range of items would be available from which the customers would be able to choose, this
would include flowers, chocolates, fruits, personalized mugs and other items which will be
added according to the occasion.
The payment would be made online through plastic cards.
The delivery time of the gift basket would according to the area in which the delivery is to be
made.

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Additional charges would be applied if the gift basket is delivered urgently, which means
within a days time.

Packaging:
The packaging of the product would be according to the occasion on which the gift basket is
being given and on the size of the basket chosen by the customer.

Price :
Keeping in view the economic conditions of the country and the purchasing power of the people
it wont wise of to introduce a very expensive product specially when introducing a new product
so our products price will be affordable for all the classes of people from middle class to elite
class.

Price range

2000-10000 Rs

Delivery Timing

Within three working days

Urgent Delivery 500 Rs

Charges
Discount

10% Discount on important occasions like mothers day,

fathers day, valentines day etc.

Packages
A complimentary greeting card is also printed with Customer message, or Customer can choose
own favorite greeting card while checkout, our website page.

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Sample Of Baskets

Food Basket Small

Food Basket Large

Food Basket Small

2 Pineapple cans
1 Jam Bottle
5 Biscuit Packet
1 Coffee Bottle
2 Nestle Juice (1 Litre)
1 Pringle Can
2 Soft Drinks can
1 Ferrero Rocher Box
1 Roof Afza Bottle
2 Mars chocolates
2 Kitkat chocolates
2 Bounty Chocolates
1 Fox Sweets Tin can

Food Basket Large

3 Pineapple cans
1 Jam Bottle
10 Biscuit Packets
1 Coffee Bottle
3 Nestle Juice (1 Litre)
2 Pringle Cans
1/2 KG Dry Fruits
1 Lychee Can
3 Imported Juice Cans
3 Soft Drinks Cans
1 Ferrero Rocher Box
1 Milk Tray Chocolate Box
1 Roof Afza Bottle
3 Mars chocolates
3 Kitkat chocolates
3 Bounty Chocolates

PRICE : Rs 3500
Inclusive of Greeting Card & Shipping

PRICE : Rs 5000
Inclusive of Greeting Card & Shipping

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Valentines Day Basket

Children Basket

Love Basket
1 Ferrero Rocher Chocolate
1 Milk Tray Chocolate Box
1 Pringle Chips Can
1 Oreo Biscuit Packet
1 Nestle Juice Packet
1 Mars chocolate bars
1 Kitkat chocolate Bars
1 Bounty Chocolate Bars
1 Snickers Chocolate Bars
1 Dairy Milk Chocolate Bars
Heart Shape Pillow
8 Inches Teddy Bear
Single Red Roses Packed

Children Basket
Items
1 Pringle Chips Can
3 Super Crisp Chips
3 Biscuit Packets
2 Nestle Juice Small Packets
1 Ferrero Rocher Chocolates
1 Mars chocolate bars
1 Kitkat chocolate Bars
1 Bounty Chocolate Bars
1 Snickers Chocolate Bars
1 Dairy Milk Chocolate Bars
1 Ovaltine Can
1 Microwave Popcorn packet
2 Maggie Knoodles Packet
1 Marsh Mallow Packet

PRICE : Rs 4500

PRICE : Rs 4000
Inclusive of Greeting Card & Shipping

Inclusive of Greeting Card & Shipping

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Place:

Determining the place is very important process because it is the distribution channel, and the
role of distribution channel is to take the product to its target market. Company decides how,
when, how much quantity and where to place the product so that it is easily accessible to the
customers. Our target is to sell our product in almost all the big cities of Pakistan, but we will
take start from Karachi.
Our focus would the customers with an average income of 65,000-90,000 and above. Hence
we have chosen an online forum to conduct our business.
Our business would be conducted online through a website along with a page on a social
networking site so that we can cater to people all around the country and not only to those
living in a particular city.
The orders will be taken on our website, where the customers would be required to fill an
order form and also make the payment.
In addition, Elegant Gift Basketwill contact local hospital gift shops to offer its services as
a value-added product line. Although the gift shop will likely require a portion of the sales
price, the advantage for Elegant Gift Basketis that selective baskets can be displayed
within the gift shop and available for immediate purchase, this should increase sales and will
reach a currently under-served customer niche market. It will have the added benefit of
providing a public display space for selective gift baskets.

Promotion

Two of the most effective techniques are word of mouth and happy customers. Our marketing
should help create an image about our business and that image should help convince potential
customers that we are the only place they can get incredible baskets. We basically want to
spread the word about our business and generate a want or desire for our baskets.
Elegant Gift Basketwill focus on attracting positive publicity through online advertising
markets such as Facebook. In addition, Elegant Gift BasketWeb site address and phone
number will be prominently displayed on all communication materials.

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Product Marketing Strategy

o
o
o
o
o
o

Raise consumer brand awareness, excitement and involvement

Promote a special offer or incentive
Stimulate product sampling and trial
Demonstrate product/service benefits
Generate in-store or online site traffic
Stimulate media interest and industry buzz

Sales Strategy
Elegant Gift Basket Companysales strategy will be targeted at obtaining both the individual
and corporate clients. It is our belief that the individual customers will be primarily obtained
through word-of-mouth referrals. It is likely that they will have spoken to a previous client about
Elegant Gift Basket Company and the referral of our services will speak for itself.

Elegant Gift Basket sales strategy will be to use an emphasis on our value and high quality
when trying to close the sale of the prospect. The prospective client can get a similar product
from a number of different vendors. Elegant Gift Basketwill attempt to close the sale by
showing the high quality of the basket by highlighting some of the individual
ingredients. Elegant Gift Basketexpectation is that once they are impressed with the quality of
the basket, they will then be surprised that it is priced the same as competing products. The
combination of the perception of higher quality and the recognition of value should turn a lead
into a customer.

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Swot Analysis
Elegant Gift BasketSWOT analysis includes:

SWOT ANALYSIS
o Strengths:The personal and creative o Weaknesses:
touches that it provides to its
customers, including thank-you notes
that are sent to basket buyers along
with order delivery confirmation.

Lack of physical location for customers to

buy baskets from our shop because we
dont have a shop we just take online
orders.

o Opportunities: Elegant Gift Basket o Threats:The potential for competitors

does not currently have a presence in
local hospital gift shops, and could
pursue this as a revenue stream.

to recognize Elegant Gift Basket

strengths, such as its personal touches
and its extensive Web site resources,
and copy them.

Sales Plan
Based on the target markets and the marketing plans, the following sales targets have been set for
the first year:

o Business sales: 144

o Individual consumer sales: 75
o Hospital sales: 40

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Rationale for this Business Idea

Looking at the busy schedules of people in Pakistan we felt that people do not get
time to buy gifts for their loved ones, hence there was a need for company which
could cater this need of the people. People in other businesses, such as people
offering courier services are offering this service too, but there is no company in
Pakistan which solely caters to customers who want to send gifts to their loved ones
and want to make them feel special.

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