Chapter 2

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Product Description

Kalabasa S

are the best-sell

equaliser of the

SWOT ANALYSIS
Strengths
1. Innovative.

. Created by me

. Would create a
Weaknesses

. Have not yet b

. Lack of having
Opportunities

. The used mate

. Has a bigger s
Threats

1. Many compe

Market Segment
Target Market is particular market segment at which a marketing campaign is
focused.
Geographic Coverage. When it comes to geographical coverage, the proponents
decide to choose Arellano St., Dagupan City near the Colegio De Dagupan and Nepo
mall. This was chosen for the purpose of catching larger market most especially the
students.
Demand Analysis
Table 2.1 Respondents Profile
Gender
Male
Female
Total

Frequency
151
209
360

Percentage
41.94
50.06
100

The table shows the respondents profile. It is shown that 41.94% of the
respondents were male and 50.06% of the respondents were female.
Table 2.2Allowances of Respondents everyday
allowance
Frequency
50-100
201
101-150
106
151-200
37
others
16
total
360

Percentage
55.83
29.44
10.28
4.44
100

The table shows that 55.83% of the respondents had an allowances ranging from
Php 50.00 to Php 100.00, 29.44% shows that their allowances were ranging from
Php 101.00 to Php 150.00, 10.28% had an allowances of the Php 151.00 to Php 200.00

and 4.44% chosen others which is from Php 49.00 below and Php 200.00 above.
Table 2.3 Respondents buying behavior
Do you eat Suman?
Frequency
Yes
355
No
5
Total
360

Percentage
98.61
1.39
100

Respondents who eat Suman. The table above shows that 98.61% of the
respondents answered yes and 1.39% of the respondents answered no. It means to say
that theres a high demand of Suman
Table 2.4 Kind of Suman Respondents usually eaten.
What kind of Suman do you Frequency
eat?
SumangIbus
237
KamotengKahoy
113
Others
5
Total
355

Percentage
66.76
31.83
1.41
100

Kind of Suman usually eat. The table shows that 66.76% of the respondents
were answered Sumang Ibus, 31.83% were answered kamoteng kahoy and 1.41% of the
respondents answered others.
Table 2.5 Respondents Spending Behavior for Suman
How much do you spend to
Frequency
buySuman?
10.00
220
15.00
77
20.00
51
Others
7
Total
355

Percentage
61.97
21.69
14.37
1.97
100

Spending Behavior for Suman. Table 2.5 shows that 61.76 of the respondents
were spending Php 10.00 for suman, 21.69% were spending Php 15.00 for suman,

14.37% were spending Php 20.00 for suman and 1.97% answered for others.
Table2.6 Frequency of Suman Consumption
How often do you
Frequency
buysuman?
Once a week
122
Twice a week
81
Twice a month
118
Others
34
Total
355

Percentage
34.37
22.82
33.24
9.58
100

Frequency of Respondents Eating Suman. As the shown table above, many or

34.37% of the respondents were eating suman once in a week, 22.82% twice a week,
33.24% were eating twice a month and 9.58% answered occasionally.
Table 2.7 where respondents usually buy
Where do you usually buy
Frequency
suman?
Canteen
108
Market
235
Restaurant
2
Others
10
Total
355

Percentage
30.42
66.20
0.56
2.82
100

Where do you buy suman. The table shows that many or 66.20% of the
respondents were buying suman at market, 30.42% buying suman at canteen, 0.56% were
buying at restaurant and 2.82 answered others where there is available.
Table 2.8 Product Acceptability
Are you willing to buy
KalabasaSuman?
Yes
No
Total

Frequency

Percentage

342
13
355

96.34
3.66
100

Willingness to Buy Kalabasa Suman. Table 2.8 shows that 96.34% of the

respondents were willing to buy kalabasasuman and 3.66% of the respondents answered
No.
Table 2.9 Respondents Spending Behavior
How much are you willing to Frequency
pay for KalabasaSuman?
8.00
226
9.00
11
10.00
78
Others
27
Total
342

Percentage
66.08
3.22
22.81
7.89
100

Respondents price on buying KalabasaSuman. The table above shows that

66.08% of the respondents agreed to pay the price of Php 8.00 per KalabasaSuman,
3.22% for the price of Php 9.00, 22.81% for the price of Php 10.00 and others answered
others.

Table 2.10 Place where the respondents willing to buy kalabasasuman

Where do you want to buy
Frequency
Percentage
kalabasasuman?
Canteen
150
43.86
Market
180
52.63
Restaurant
9
2.63
Others
3
0.88
Total
342
100
Place where the respondents willing to buy kalabasa suman. Table 2.10 shows
that many or 52.63% of the respondents are willing to buy kalabasasuman at market,
43.86% are willing to buy at canteen, 2.63% at restaurant and 0.88% where availability
is.

Table 2.11 Frequency of KalabasaSuman Consumption

How often you will to buy
Frequency
kalabasaSuman?
Once a week
131
Twice a week
128
Twice a month
79
Others
4
Total
342

Percentage
38.30
37.43
23.10
1.17
100

Frequency of Respondents eating Kalabasa Suman. The table above shows

that 38.30 of the respondents were willing to buy kalabasa suman once a week, 37.43%
twice a week, 23.10% twice a month and 1.17% others as occasionally.

Table 2.12 Respondents Recommendation to others

Will you recommend
Frequency
kalabasasuman to others?
Yes
342
No
13
Total
355

Percentage
96.34
3.66
100

Respondents recommendation to others. Table 2.12 shows that 96.34% of the

respondents are willing to recommend the kalabasa suman to others and 3.66% of the
respondents are not.

Demand Projection
Table 2.13 Annual Demand Sample for KalabasaSuman
Frequency
Time of
Consumption in a
month
Once a week
131
80
Twice a week
128
65
Twice a month
79
30
occasionally
4
20
Annual Demand Sample

Price

Annually

8.00
8.00
8.00
8.00

1,006,080
798,720
227,520
7,680
2,040,000

Total Population x Annual Demand Sample

Projected Demand

=
Sample Population
3,553 x 2,040,000

Projected Demand

=
360
=

20,133.67

In the above table, it shows the Demand Sample of the respondents based on their
consumption of the product and how the respondents tend to buy the product. It shows
that the total demand sample annually or yearly is Php 20,133.67 which reflects the
Buying Behavior of the respondents.

Table 2.14 Annually Projected Demand

Year
2017
2018
2019
2020
2021

Projected Demand
20,133.67
20,737.68
21,359.81
22,000.60
22,660.62

From the table above, the proponents assumed that there will be an increase of 3%
in the population of Colegio de Dagupan yearly. The formula will be the projected
demand by times of consumption of the respondents and multiply it with 1.03 as the
percentage increase in the population of the Colegio de Dagupan.

Supply Analysis
The proposed product is in line with snacks category. That is why the proponents
considered all the possible businesses that are near to it. Like other supplier and other
direct and indirect competitors such as TJCs Kakanin, Shawarma, Siomai House, Waffle
Time, Dunkin Donut, Plato Wraps, Streetfoods and Franks Burger.
Formula Supply = Daily Sales x 360 days
Table 2.15 Annual Sales of Indirect Competitors
Indirect Competitors
Daily Sales
TJCs Kakanin
350
Shawarma
1,000
Siomai
1,100
Waffle Time
600
Dunkin Donut
1,300
Plato Wraps
1,200
StreetFoods
400
Franks Burger
650
Total
8,550

Annual Sales
882,000
10,800,000
11,088,000
3,456,000
2,808,000
21,600,000
360,000
5,850,000
56,844,000

Table 2.15 shows that the annual sales of the indirect competitors is Php 56,544,000.00 it
is based from the formula that is given.
Table 2.16 Projected Sales in 5 years
Years
2017
2018
2019
2020
2021

Annual Sales
192,000
197,760
203,692.8
209,803.58
216,097.69

Based on the table above, the proponents used the same percentage increase in
projected demand. The proponents assumed 3% increase in annual sales.

Factors Affecting the Market

Demand. Tastes and Preferences of the Consumer, Income of People, Changes in
the Prices of the Related Goods, The Number of Consumers in the Market, Expectations
and Income Distribution.
Tastes and Preferences of the Consumer. This is important because a good taste
to consumers will be a greater hit in demand for the product and the demand curve will
lie in a higher level.
Income of People. The greater the income the greater the demand for the product.
A higher income will tend the people to buy more products and the demand for the
product will be higher.
Changes in the Prices of the Related Goods. When the prices of the related
goods, substitutes or complements, change the whole demand curve would change its
position. When price of a substitute for a good falls, the demand for that good will
decline and when the price of the substitute rises.
The Number of Consumers in the Market. The proponents should always
consider the number of consumers in the market where the product will be purchase so
that there will have no loss.
Expectation. If the consumer expecting an increase in the product in the near
future the demand for the product will increase, but if they expected to increase the
product in the future then there might be a low demand for the product.
Supply. Price, Cost of Production, Natural Conditions and Government Policies.

Price. As the supply for the product then the price of the product will also
increase so there might not be a loss for the seller.
Cost of Production. The supply and cost of production are related to each other.
As the cost of production increases by an increase in raw materials then the supply will
also increases.
Natural Conditions. The changes in climate can affect the supply or the raw
materials of the product then the supply might increase or decrease depends on the
change.
Government Policies. The government implies different kinds of policies like an
increase in tax, when there is an increase in tax there might also an increase in the price
of the product and the decrease in supply for the product.

Price Study
This part of the Study will help to decide the proponents to come up with a price
that will match the market. The proponents as conducted in survey, they decided to come
up with a price of Php 8.00.
The table below will show us the price of the different varieties of the product of
the competitors.
Table 2.17 Price Study
Business Name

Product

Price

TJCs Kakanin
Shawarma
Siomai House
Waffle Time

Dunkin Donut
Plato Wraps

Street Foods
Franks Burger

Malagkit
Biko
Maha Blanca
Small Size
Regular Size
Siomai
Mango Magic
Cheese Delite
American Hotdog
Tuna Salad
German Cheese Franks
Pineaplle Pleasure
Swiss Chocolate
Bavarian Cream
Canadian Bacon
Ham n Cheese
munchkins
Bavarian
Yummy Tuna
Very Veggie
Wrap n roll
Chunky Chicken
Ham n Cheese
Hotdog
kikiam
Fish ball
Buy one take one

7.00
5.00
5.00
30.00
50.00
28.00
14.00
14.00
18.00
20.00
20.00
12.00
14.00
14.00
20.00
20.00
6.00
20.00
60.00
60.00
53.00
55.00
55.00
2.00
1.00
.50
25.00

The table 2.17 shows the different prices of the indirect competitors of Kalabasa
Suman. It is shown that the price decided by proponents will fit to the market.

Market Share
The proponents used the Pareto Principle or also known as the 80-20 rule, the law
of the vital few, and the principle factor scarcity. The 80% of the income comes from the
20% of the students.

Figure 2.1 Market Share

Table 2.18 Market Share
Year
2017
2018
2019
2020
2021

Annual Sales
192,000
197,760
203,692.8
209,803.58
216,097.69

Annual Demand
20,133.67
20,737.68
21,359.81
22,000.60
22,660.62

In order to compute for the market share, the proponents used the formula:
Annual Sales
Market Share =

x 100 %
Projected Demand

Where:
Annual Sales = 192,000
Projected Demand = 20,133.67
P 192,000
Market Share =

x 100%
P 20,133.67

= 9.54%

Marketing Programs or Strategies

Product
Kalabasa Suman is an innovative product where people can enjoy a new look of
suman. People will love it because the product itself is made up of kalabasa and it is one
of the healthy vegetables. Suman can be eaten any time of the day.
For people like students, employees or people in a hurry can just drop by and buy
kalabasa, it is easy to carry anywhere.

Figure 2.2 Sample Product

Price
The price of the product is one of the important matters in the business. The price
shall match the quantity and the quality of the product. The price shall know the
capability the consumers to buy so that the product can be easy to sell.
Quantity Used

Total

Kalabasa
Glutinuos Rice

2 kilo
kilo

60.00
11.25

Flour
Margarine
Evap Milk

kilo
1 plastic
2 big cans

5.00
7.50
45.00

Washed Sugar

1 kilo

35.00

Vanilla
Total
Divided by total product
produce
Materials per unit
Table 2.19 Raw Materials

1/2cup

5.00
P168.75
100 pieces
1.69

Description
Mamager
Basic Pay
SSS Contribution
Phil Health Contribution
Total
Divided by no. of kalabasaSuman produced(100 x 20)
Direct Labor per unit
Table 2.20 Direct Labor
Description
Variable Overhead
LPG
Packaging Supplies
Paper bag
tissues
Total
Divided by no. of kalabasa produce
Production per Unit
Total Cost
Price (3.27x80%) + P3.27
(Total Cost x Mark Up) + TotalCost
Table 2.21 Production Overhead

Monthly
P 2,000.00
163.50
100.00
P 2,263.50
2,000
1.13

Quantity

Unit Cost Total Cost

P700

P20..00

100 pieces
100 pack

45
50

10.00
15.00
P45.00
100
0.45
3.27
5.89

Place
The location of the business will be put up in the Rioferio Road, Arellano Street
Dagupan City. It is beside the school where there are a lot of students who will buy their
snacks, there are also some boarding house in that area where they can only buy kalabasa

suman instead of cooking for breakfast and it is near the Nepo mall where there are a lot
of employees who are taking their lunch and snacks time near to that place or sometimes
in that place.
The business will be using a Direct Marketing Channel of Distribution so that if
they have some suggestions or complaints it is easy to deal with. They can contact the
business at phone calls, text messages or simply visit the store.

Kalabasa
Suman

Consumers

Figure 2.3 Channel Distribution

Promotion
The proponents will use social media like facebook which free advertisement,
there will be images that will be posted on it, some videos for promotions, and good
feedbacks from the custmers. The proponents will also put up tarpaulin in some area of
Dagupan City and less from other places. And there will also be flyers that will be given
anywhere.

Figure 2.4 Tarpaulin Sample

Figure 2.5 Facebook Page

Figures 2.6 Flyers