Balalon’s Restaurant

An Undergraduate Marketing Plan

Presented to the

Faculty of College of Business Administration and Accountancy

Mabini Colleges Inc.

Daet, Camarines Norte

In Partial Fulfillment of the Requirements in

Marketing 1

By

Jayther R. Pena

Ivan A. Canaria

2019
 ACKNOWLEDGEMENT

With a sincere gratitude, all praises to the mighty God. For the knowledge

and help. He implore on us after all the obstacles and hardship that obstruct our

path, finally we have reach our goal. Without a doubt, we would like to say that

during the completion of this course, vast of experiences and knowledge have

been obtained.

We would also like to thank our instructor, Mr. Cesar P. Abasolo, for his

guidance, advices and for his knowledge in making this marketing plan in

accordance to the requirements for the completion in Marketing 1.

Lastly, we hope that the knowledge we have gained from this course can

help us to manage our own business and guide us to be a successful entrepreneur

in the future.

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 i

Republic of the Philippines

MABINI COLLEGES

Daet, Camarines Norte

CERTIFICATION AND APPROVAL SHEET

This Marketing Plan in Sel’s Authentic Collection prepared and submitted

by JAYTHER R. PENA and IVAN A. CANARIA in partial fulfillment of the

requirements in Marketing 1 has been examined and recommended for Oral

Examination.

CESAR P. ABASOLO

Adviser

________________________________________________________________

APPROVAL SHEET

Approved by the Panel/Advisory Committee on Oral Examination on

February 13, 2019 with the grade of ______.

ROUSSEL NOVALES CESAR P. ABASOLO

Owner Adviser

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 TABLE OF CONTENTS

Acknowledgement i

Approval Sheet ii

I. EXECUTIVE SUMMARY 1

II. MISSION 1

III. OBJECTIVES 1

IV. THE BUSINESS

A. Business Background 2

B. Product and Service Description 2

C. Distribution 2

D. Marketing Personnel 2-3

V. MACROENVIRONMENTAL ANALYSIS

A. Economic Analysis 3

B. Industry Analysis 3-4

C. Legal Analysis 4

D. Socio-Cultural Analysis 4

E. Technological Analysis 4-5

VI. MARKET ANALYSIS

A. Market Definition 5

B. Market Segmentation 5-6

C. Customer Needs and Requirements 6-7

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VII. ISSUES AND OPPORTUNITIES

A. Strengths 7

B. Weaknesses 7

C. Opportunities 7-8

D. Threats 8

E. TOWS Analysis 8-9

VIII. GOALS

A. Financial 9

B. Marketing 9

IX. GENERAL MARKETING STRATEGY

A. Market Expansion 10

X. SPECIFIC MARKETING STRATEGY

A. Product, Branding and Packaging Strategy 10

B. Pricing Strategy 10

C. Distribution Strategy 10

D. Personal Selling Strategy 10

E. Advertising Strategy 11

F. Direct Marketing Strategy 11

G. Sales Promotion Strategy 12

H. Publicity and Public Relations Strategy 12

XI. SPECIFIC MARKETING PROGRAMS

A. Product, Branding and Packaging Programs 12

B. Pricing Programs 12

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 C. Distribution Programs 13

D. Personal Selling Programs 13

E. Advertising Programs 13

F. Direct Marketing Programs 13-14

G. Sales Promotion Programs 14

H. Publicity and Public Relations Programs 14

XII. RISK ANALYSIS AND PLANNING

Description of the Risk 14

Contingency Plans 15

Research and Development 15

Market Research 15-16

XIII. IMPLEMENTATION AND CONTROL

Marketing Budget 16

Monitoring Programs 16-17

XIV. DOCUMENTATION 17-18

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I. Executive Summary

Balason’s restaurant is a business that plans to make a mark to the

locals for its authentic foods located at Gov. Panotes Ave. Daet, Camarines

Norte and attain the highest potential growth and economical advantage

locally. Balason’s provide a combination of excellent food at value pricing,

with a comfy atmosphere. In pursuit of the specific objectives of Balason’s,

a marketing strategy has been developed to level up their service among

its competitors. In addition, analysis of its internal and external factors has

been carried out to comprehend its current situation to the market.

Hereafter, several action plans has been quantified on a schedule of

activities to ensure its stability and growth to the market.

I. MISSION

Balason’s provides a great place to eat, combining a comfy atmosphere

with excellent food. The mission is not only to have great tasting food, but

have efficient and friendly service because customer satisfaction is

paramount.

II. OBJECTIVES

To help Balason's restaurant to be recognized by locals for is authentic

Filipino style of cooking and establish its name in the local community.

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 III. THE BUSINESS

A. Business background

Balason’s restaurant is a business that plans to make a mark to the

locals for its authentic Filipino style foods. The business is a sole proprietor

that was opened on December 16, 2018 at Gov. Panotes Ave. Daet,

Camarines Norte. Serving the customer with passion and love became the

key to a continuous growth to the restaurant. providing quality foods and

services to the customer.

B. Product and Service Description

Balason's restaurant offers a variety of Filipino dishes and catering

services. Balason's restaurant also accepts catering requests for events like

birthday parties and more. Popular local dishes are served in the restaurant

such as silogs, roasted chicken and pork and more.

C. Distribution

The ingredients used are prepared prior to any orders. The foods are

served hot and fresh, it is only cooked upon ordering that would take ten to

twenty minutes depending on the order.

D. Marketing Personnel

Balason’s has currently no marketing personnel, the owner makes

sure that the offered products are properly distributed and served to the

customers. The owner and some employees are the one that promote

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 the restaurant through sharing the information about it, in the meanwhile.

Balason’s has a face book page that updates customers for new features

of the restaurant and what is currently happening.

V. MACROENVIRONMENTAL ANALYSIS

A. ECONOMIC ANALYSIS

Last year’s inflation rate is at its highest that caused a reduction on

consumers buying power and increasing the process of some staple

ingredients. Surely the inflation puts a lot of pressure not only to the

consumer but also some businesses.

B. INDUSTRY ANALYSIS

PORTER’S 5 FORCES MODEL

THREAT OF NEW ENTRANTS COMPETITIVE RIVALRY

It is moderate. Businesses THREAT OF Rivalry is high. Balason’s
would gain customer’s NEW faces many competitions,
acceptance over few ENTRANTS established and new.
months

SUPPLIER COMPETITIVE BUYER

POWER RIVALRY POWER

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 SUPPLIER POWER
Suppliers power is low due
to availability of substitute
products, no threat of
forward integration and
switching cost are low.
C. LEGAL ANALYSIS
BUYER POWER
THREAT OF It is high. Buyers could easily
SUBSTITUTE switch to another competitor
S as they desire.
THREAT OF SUBSTITUTE
It is high. Consumers could easily find the
same type of dishes.

Balason’s complied with all the requirements needed to become

registered and licensed to operate a food business. Barangay Permit,

Mayor’s Permit, Sanitary Permit to operate and BIR registration are among

the requirements that Balason’s proposed to secure upon their operation.

Also, Balason’s ensures that they are following the right processes in

managing the business through complying with the regulatory policies like

food, health safety regulations and government policies.

D. SOCIO – CULTURAL ANALYSIS

Social trends, youth mentality and attitudes have to be taken care of

for any business. It is important for the entities to conduct research about

the customers and their target areas. The demand of the customers for a

certain kind of product changes in time. To stay in touch with the customers

and their likes is required for any business to sustain in the long run.

E. TECHNOLOGICAL ANALYSIS

Technology can give a competitive edge in every business entity. In

this dimension, technologies and related trends are considered in terms of

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 their influence on the remote or macro-environment of the business.

Innovators are constantly coming up with new digital solutions to make

running a restaurant easier faster and more profitable. This tech revolution

has turned once imagined solutions into foodservice necessities, entirely

transforming the restaurants business. Higher popularity of mobile

technologies is the major technological factor that gives technological

opportunity for Balason’s to increase their popularity through the use of

social media and technological advancement, a business entity will be able

to easily promote the offered products and services to the customers

Hence, social networking and other technological advances in

communication keeps small businesses to connect with the customers and

be another way to generate a good public relation.

VI. MARKET ANALYSIS

A. MARKET DEFINITION

Balason’s focuses on local restaurant seekers. People that have a

desire for good food and a fascinating atmosphere. They offer a new fine

dining concept to the area. The elegant atmosphere, their excellent food

and friendly staff will stand out and make a name in the area. Balason’s

will succeed by giving people a combination of excellent food and

interesting environment.

B. MARKET SEGMENTATION

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 Balason’s intends to cater to a wide group of people. They want

everyone to feel welcome and relaxed in a cozy atmosphere with a wide

and varied menu. It is their goal to have "something for everyone" everyday

on their menu. In looking at their market analysis, they have defined the

following groups as targeted segments:

Happy Couples: The restaurant will have an intimate, romantic,

sophisticated atmosphere that encourages people to bring dates and to

have couples arrive. Balason’s wants to be a search place where people

meet each other and develop a network. These young couples are generally

very successful but balanced and won't be spending as much on drinks.

The Family: The perfect place for a family dinner. Families will come for the

accommodative menu and friendly service. The excellent value in their

meals will keep Balason’s in favor with the parents.

Balason’s restaurant will have a broad target market. People of all ages

enjoy delicious foods, therefore will be incorporated in the target market.

Products offered is not high-priced and, as a result, will be available to

nearly all people regardless of varying incomes.

C. CUSTOMER NEEDS & REQUIREMENTS

Making delicious food is an integral part of running a restaurant, but

it does not stop with that, restaurant need to ensure complete customer

satisfaction to have successful business. The following are some of the

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 basic services restaurants need to provide the customer come and eat;

Greeting the Customers, clean environment, timely services, and

hospitality.

VII. ISSUES AND OPPORTUNITY

SWOT Analysis

The SWOT analysis provides us with an opportunity to examine the

internal strengths and weaknesses Balason’s must address. It also allows

us to examine the opportunities presented to Balason’s as well as potential

threats. SWOT analysis gives you the opportunity to figure out where you

are in the process of developing your business. In addition, it can help to

get a better perspective of the potential threats and weaknesses that the

business must be aware of.

A. STRENGTHS

 Positive reviews from customers. Balason’s receive positive feedbacks from

customer who eat from the restaurant.

 Geographic advantage. Balason’s location has significant advantages that

could lead to exponential growth for the business.

B. WEAKNESSES

 Lacks of variety in products

 Lacks exposure

C. OPPORTUNITIES

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  Students as Target customers

 Exposure on social media

D. THREATS

 Emerging local competition

 Dishes are easy to imitate

TOWS ANALYSIS

The use of TOWS Analysis gives an opportunity for to examine further about

the business with regards to their internal strengths, weaknesses, opportunities

and threats. Also, by analysing thoroughly their positive and negative attributes, it

gives an idea for the entity to provide different strategies and how they will make it

use this against other competitors.

STRENGTHS WEAKNESS
Internal Factors S1. Positive feedbacks W1. Lack of variety
S2. Geographic advantage W2. Lack of exposure

External Factors
OPPORTUNITIES SO STRATEGIES
O1. Students as target SO1 Make an advertisement
customer specifically targeting students
O2. Utilization of using its positive reviews
Social media online.
SO2 Ask customers to make
a review about the restaurant
and take photo of customers
and post it on social media
and their review is the
caption
WO STRATEGIES
WO1 Create more
exposure through social
media platform and have
an active image to younger
customers.
WO2 Ask customers for
dishes they would like
Balason's to provide.

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 THREATS ST STRATEGIES WT STRATEGIES
T1. Emerging local ST1 Create a student budget WT1 Focus on increasing
competitions items for the menu. the volume of customers
T2. Dishes are easy to ST2 More exposure through and getting more exposure.
imitate social media to attract locals. WT2 Add new dishes to the
menu.

VIII. GOALS

A. FINANCIAL

Balason’s restaurant has been planning to expand its reach by opening a

branch on Daet near Camarines Norte State College campus and investing in

its cooks to learn new dishes.

B. MARKETING

Balason’s restaurant is prioritizing on increasing its reach through

promoting its product when certain event comes through.

IX. GENERAL MARKETING STRATEGY

Balason’s will use Market Expansion as General Marketing Strategy which

will help grow the sales rendered and it will be a great advantage of exposing the

business to a wider audience. Also, this will increase pool of potential customers

who can dramatically improve sales, resulting in increased profitability.

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X. SPECIFIC MARKETING STRATEGY

A. PRODUCT/SERVICE STRATEGY

Product, Balason’s offers authentic Filipino style foods in a relaxed and cozy

atmosphere with a wide and varied menu. It is their goal to have "something for

everyone" on their menu.

B. PRICING STRATEGY

The customer’s perception of value is as important determinant of the price

charged. There is a danger of using low price as a marketing tool, customers

may feel that quality is being compromised. The price must match the idea of

the customers of what an affordable meal is worth. Balason’s restaurant offers

a meal that is affordable. The meal's prices would range 30 to 60 for a single

small meal and 120 to 180 for meal of three persons to four. Customers will

have a huge amount of choices available.

C. DISTRIBUTION STRATEGY

The ordered meal would be distributed to one person or a group in the

restaurant.

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D. PERSONAL SELLING STRATEGY

Personal selling of a restaurant is most usually done by the restaurant staff

talking directly to customers addressing any concerns. All staff should be made

aware of the importance of boosting business by selling the restaurant as a

whole, as well as individual menu items. For a newly established restaurant like

Balason’s establishing customer’s relationship is critical.

E. ADVERTISING STRATEGY

Depending on budget and target audience, advertising can be done via

posters outside the restaurant and further by Facebook’s free advertising

platform. Ideally, sales should increase as soon as any advertisement

appears.

Balason’s restaurant advertisement through social media, they would utilize

it to connect with its customers and build an active image. Social media will be

used as a platform of promotion, updates, announcement for upcoming events

and to interact with its customers.

F. DIRECT MARKETING STRATEGY

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 Balason’s restaurant accepts request and suggestions through their social

media account @Balason’s

G. SALES PROMOTION STRATEGY

Balason’s Staff or crew would ask to takes picture of customers to be posted

in Balason’s restaurant social media account with the customers impression or

review as the caption of the post. This attract younger audience and other

customers online and encouraging them to try eating in Balason’s with a

companion. Furthermore, Balason’s would post a video of dishes being

prepared that is posted weekly on its facebook account, promoting the dish

being featured. Thus, increasing the attention, it would get through the internet.

H. PUBLICITY & PUBLIC RELATIONS STRATEGY

Balason’s restaurant continually tries to communicate to its customers to

obtain fresh ideas and creating long-term relationships. Their objective is to

improve public image and the volume of the customers.

XI. SPECIFIC MARKETING PROGRAMS

A. PRODUCT/SERVICE PROGRAMS

Balason’s Restaurant must promote a student meal since their location is

nearby schools like Mabini Colleges and Moreno Integrated school. Adding a

student meal will contribute enormous revenue to the business as well as

various customers.

B. PRICING PROGRAMS

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 Students meal process will range from 30 and 60 pesos for a single small

meal for one person and 120 and 180 pesos for a three persons meal.

C. DISTRIBUTION & PLACEMENT PROGRAMS

Balason’s restaurant offers and serves to students of Mabini Colleges and

other schools nearby who come in and eat at the restaurant and other

customers.

D. PERSONAL SELLING PROGRAMS

The services and products offered by Balason’s are personally marketed by

the owner and the manager. He encourages customers especially students and

families. Furthermore, the owner ensures that the crews are doing fine and

customers are satisfied with the meals and the services.

E. ADVERTISING PROGRAMS

Balason’s restaurant prominently established their advertisement and

promotional campaign through the use of social media. Facebook has been its

medium in communicating and giving awareness to their programs that is

implemented by its manager and some staffs in any time of day.

F. DIRECT MARKETING PROGRAMS

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 The most powerful innovative direct marketing program this day is through

social media. Balason’s restaurant already has a Facebook page @Balason’s.

This program currently exists and it will continue upon its business operation.

G. SALES PROMOTIONS PROGRAMS

Sales promotion programs of Balason’s were to engage their customers;

the idea is to directly connect with customers in a more personal way. The

sales promotion will be done by its crew and staffs every time a customer

dines and agreed for a picture. The management plans to use any smart

phones from any staff available.

H. PUBLICITY & PUBLIC RELATIONS PROGRAMS

The publicity and public relations will be done by the manager through

building positive relationship with the customers.

XII. RISK ANALYSIS AND PLANNING

A. DESCRIPTION OF THE RISK

Any business is exposed to many different risks arising from the conduct of

employees such as actions taken by an employee intended to benefit them

personally at the expense of the business. Most employees in Balason’s are

male with only two females. Male employees may take advantage of the

program by taking pictures with a female customer and behaving in an

inappropriate way. This would make the customers feel uncomfortable. This

situation may affect the image of the restaurant to the public.

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B. CONTINGENCY PLANS

Potential vulnerability in every business operation exists and sometimes

cannot be predicted as a result the management will supervise the employees

and hire and train applicants preferably female incase an incident happened

and an employee is fired.

C. RESEARCH & DEVELOPMENT

The basic aim of food industry research and development (R&D) is to create

new products and launch them successfully on the market. Some specific

aims of strategic R&D are to: reduce costs which lowers product prices;

enhance sensory properties that make food more attractive; improve

nutritional value to provide for dietary needs; improve food safety; add

convenience; and offer greater choices of food items to consumers. These

benefits come either from constant gradual product improvement or a

significant product step change. The latter usually comes from new

technology—crop, ingredient, process, storage—but it can also come from a

new understanding of consumer needs.

(https://link.springer.com/content/pdf/10.1007/978-1-4615-6221-4_8.pdf)

D. MARKET RESEARCH

Market research offers food researchers and industry professionals one

place to gain business and market intelligence information to make informed

decision on current and future world food trends through convenient reporting

options. The information covers insight into size, segmentation and growth of

global markets which provides varying perspectives on food research. The

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 reports cover topics that can outline and document the entire food sector which

can be broken down into food types, meal specific foods, cultural meals,

ingredients, specific dietary and health choices, food regulations, packaging,

manufacturing and much more. Culinary trends can be accessed through

Culinary Trend Tracking Series (CuTTS) which provides insight into the trends

which shape and reshape food service and retail sectors of the food industry.

Reports can be tailored to address current consumer drivers, industry trends

and changes, information on industry leaders, market share and market

forecasts. Food industry professionals can focus on research and

development, marketing, planning or business operations by using the reports

to analyze the existing market to create new business opportunities. Market

research.com provides the business intelligence necessary to stay abreast of

this highly competitive landscape quickly.

(https://www.marketresearch.com/Food-Beverage-c84/Food-c167/)

XIII. IMPLEMENTATION AND CONTROL

MARKETING BUDGET

Price Quantity Total

Matte laminated poster ₱ 2,754 10 pcs ₱ 27,540

MONITORING PROGRAM

Efficient monitoring of the derived marketing programs must be executed.

To maximize the return on a marketing plan, a control must be in place to

monitor the progress of the performed marketing strategies. Controls are

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constantly analyzed to determine the actual performance of the business

operations as compare to the projections. To evaluate the effectiveness of the

implemented marketing activities, Balason’s must scrutinize several factors:

 Return on Investment – Balason’s must measure the amount spent on the

derived marketing plan versus the amount of sales each marketing strategy

brought in the business. Specific breakdown by each marketing initiative

must be calculated to assure that the strategic plans worked effectively.

 Sales Generated – The fastest and most basic way to determine whether

the marketing plan works is when the number of sales generated has

increased.

 Customer Response or Feedback – Customer Response in all its varied

forms can help Balason’s to determine what type of reactions the executed

marketing plan creates. Through general customer service feedback and

online commentary, consumer’s perception to the marketing plan will be

revealed and could be a great help for Balason’s to depict which marketing

strategy has the greatest impact.

XIV. Documentation

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