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UNIT IV

DEVELOPMENT OF BUSINESS
PLAN: MARKETING
UNIT IV: DEVELOPMENT OF BUSINESS PLAN: MARKETING

LEARNING COMPETENCIES

1. Recognize the potential market


The learners…
1.1 Identify the market problem to be solved or the market need to be met; and
1.2 Propose solution/s in terms of product/s and service/s that will meet the need using techniques on
seeking, screening, and seizing opportunities:
1.2.1 Analyze the market need;
1.2.2 Determine the possible product/s or service/s that will meet the need;
1.2.3 Screen the proposed solution/s based on viability, profitability, and customer requirements; and
1.2.4 Select the best product or service that will meet the market need
1.2.5 Through the activities, students will be able to apply concept in their own “community
scanning”

2. Recognize and understand the market


The learners…
2.1 Validate customer-related concerns through:
2.1.1 Interview
2.1.2 Focused Group Discussion;
2.1.3 Survey
2.2 Describe the unique selling proposition and value proposition that differentiates one’s product/service
from existing product/services;
2.3 determine who the customers are in terms of:
2.3.1 Target market
2.3.2 Customer
2.3.3 Market Size

3. Recognize the importance of marketing mix in the development of marketing strategy


The learners…
3.1 Describe the Marketing Mix (7Ps) in relation to the business opportunity vis-à-vis:
3.1.1 Product;
3.1.2 Place;
3.1.3 Price;
3.1.4 Promotion;
3.1.5 People;
3.1.6 Packaging; and
3.1.7 Positioning
3.2 Develop a brand name

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CONTENT

WHAT IS MARKETING?
Marketing. The strategic functions involved in identifying and appealing to particular groups of consumers, often
including activities such as advertising, branding, pricing, and sales.
Marketing is based on thinking about the business in terms of customer needs and their satisfaction.
Marketing differs from selling because (in the words of Harvard Business School’s retired professor of marketing
Theodore C. Levitt) “Selling concerns itself with the tricks and techniques of getting people to exchange their cash
for your product. It is not concerned with the values that the exchange is all about. And it does not, as marketing
invariable does, view the entire business process as consisting of a tightly integrated effort to discover, create,
arouse and satisfy customer needs.” In other words, marketing has less to do with getting customers to pay for your
product as it does developing a demand for that product and fulfilling the customer’s needs.

UNIQUE SELLING PROPOSITION


Unique Selling Proposition (USP): According to Entrepreneur.com, USP is the factor or consideration presented
by the seller as the reason one product or service is different from and better than that on the competition. A
business can peg its USP on:
• Product characteristics
• Price structure
• Placement strategy
• Promotional strategy
Value proposition. It is a promise of value to be delivered. A business or marketing statement that summarizes
why a consumer should buy a product or use a service. This statement should convince a potential consumer that
one particular product or service will add more value or better solve a problem than other similar offerings.
In a nutshell, value proposition is a clear statement that:
• explains your product solves customers’ problems or improves their situation (relevancy),
• delivers specific benefits (qualified value),
• tells the ideal customer why they should buy from you and not from the competition (unique differentiation)
Identifying Target Market. Defining target market based on the following:
Demographics focuses on the characteristics of the customer. For example age, gender, income bracket,
education, job and cultural background.
Gender. In identifying your target market, you must also identify what gender your product/service is
targeting? Is it a boy, girl, transgender, etc.
Age. You must identify the age range of your target market. What is the age bracket you are targeting?
Family size. How many are they in the family? Are you targeting a market that has one child only? An extended
family? Their capacity to buy your product may also vary from how small or big their family is.
Educational background. What is the educational attainment of your target market? Are they out of school
youth, elementary, high school or college? If they are in college are they educations, psychologist, business,
accountants, etc.
Income size. What are their income size? Minimum wage earners? Not less than P15,000 monthlyor more?
Their income size is also one big factor to identify if your market can afford your product. With that
information, you will identify how much you will sell your product based from the categories listed above.

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Geographical location such as continent, country, state, province, city or rural that the
customergroup resides
Place. Where does your target market live? Do they live near our store? What are the other establishments
available near your target market? Are you accessible enough for your market?
Population size. What is the population size of the area? What percentage of the population is your target
market? How big or small is it?
Psychographics refer to the customer group’s lifestyle or characteristics of a person. For example, their social
class, lifestyle, personality, opinions, attitudes, values, habits and interests/hobbies.
Behaviougraphics which is based on customer behavior. For example, online shoppers, shopping center
customers, brand preference and prior purchases.
Primary target market. They are your main consuming group. These consumers are the most important
purchasers and users of your product and will be the main-stay of your business. This market accounts for the
highest volume of sales and are most likely to buy now.
Secondary target market. Is the second most important consumer segment you’d like to target. They are the
possible future buyers, but may have less money or fewer demands for your product.
Market Size. This is the size of the market you are going after to determine if it is large enough to make your
business profitable. If the market potential is too small, you may not have a viable product or service to sell.
Thus, in simpler way market size is:
• The number of buyers in the market x
• Quantity purchased by an average buyer in the market per year x
• Price of an average unit
Competitors. Any person or entity which is a rival against another. In business, a company in the same
industry or a similar industry which offers a similar product or service. Your competitor could be a new
business offering a substitute or similar product that makes your own redundant. The presence of one or more
competitors can reduce the prices of goods and services as the companies attempt to gain a larger market
share.
Profitability is the ability of a business to earn a profit. Profit is what is left of the revenue, a business generates
after it pays all expenses directly related to the generation of the revenue, such as producing a product, and
other expenses related to the conduct of the business activities.
The noun viability means the quality of being able to happen or having a reasonable chance of success. The
viability of holding your party at a restaurant might depend on how many guests they can seat. Viability comes
from the Latin root vita, meaning “life.” So the noun viability also refers to something’s capacity to live
and grow.

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VALIDATING CUSTOMER CONCERNS
Data collection is the process of gathering and measuring information on targeted variables in an established
systematic fashion, which then enables one to answer relevant questions and evaluate outcomes.
Environmental scanning is a process that systematically surveys and interprets relevant data to i d e n t i f y
external opportunities and threats. An organization gathers information about the external world, its competitors
and itself.

DATA GATHERING TECHNIQUES


INTERVIEW. Is done through one-on-one or face-to-face meeting to gather data of a specific person provided
with background qualifications.
1. FACE-TO-FACE INTERVIEW. It is a data collection method when the interviewer directly communicates
with the respondents in accordance with the prepared questionnaire. This method enables to acquire factual
information, consumer evaluations, attitudes, preferences and other information coming out during the
conversation with respondent. Thus, face-to-face interview method ensures the quality of the obtained data and
increases the response rate.
Source: www.spinter.It/site/en/vidinis/vidmenu/face-to-face-interview
2. FOCUSED GROUP DISCUSSION (FGD). An FGD is a small-group discussion guided by a trained leader.
A group of people are gathered and asked about their perceptions, opinions, beliefs, and attitudes towards a
product, service, concept, advertisement, idea, or packaging.
A focus group discussion is a form of group interviewing in which a small group – usually 10 to 12 people – is
led by a moderator (interviewer) in a loosely structured discussion of various topics of interest. The course of the
discussion is usually planned in advance and most moderators rely on an outline, or moderator’s guide, to ensure
that all topics of interest are covered.
It is not uncommon for two discussion groups, groups that are identical in demographic and life stage characteristics,
to have different thoughts on the same subject. What is said in one group or qualitative interview might never be
repeated in a second group. This reflects the exploratory nature of qualitative investigations and the diverse nature
of populations. One observation is clearly not a reliable reflection of the real world.
The role of the moderator.
It is the moderator’s task to focus the discussion on pertinent issues and not let the conversation stray too far off
the track.
Moderators must learn to be careful listeners and guide the discussion without participating directly in it. The
moderator must refrain from making comments or suggestions that will bias the conversations. A verbose
moderator who contributes to the discussion is not an asset to any investigation; it is from the respondents that
input is being sought.
Qualified Respondents.
Careful screening of respondents to insure they reflect key user segments or the market target is essential to the
success of any discussion group.
The Setting
Focus group discussions can be conducted anywhere that is convenient. Meeting halls, large living rooms are
all commonly used, but the most popular place to hold such discussions is in a facility specially designed for
the purpose. Such facilities usually have a comfortable client observation room with one-way mirrors, so that
respondents are not disturbed by the presence of observers, and audio and video taping capabilities.

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Number of Sessions.
As noted earlier, it is common that attitudes and opinions will differ from group to group, regardless of their
apparent homogeneity. Because of the very subjective nature of focus groups it is recommended that a minimum
of two focused discussions be held with each key market segment, to confirm any findings. Thus if young and old
people are seen as distinct and important segments, then two groups would be assembled in each age segment –
four in total.
When is it appropriate to use focus group discussions?
Focus group sessions should be considered as a means to explore unknown territory. They are excellent as tools for
explaining consumer attitudes and for clarifying and providing a better understanding of the subject matter. Focus
group discussions are often used for:
• Understanding the marketplace and obtaining an insight into how people think and behave.
• Generating ideas for new products.
• Developing marketing or advertising themes.
• Screening or evaluating new product concepts.
• A disaster check, using prototype products if appropriate, before the introduction of a new product, or
before the change of an existing one.
• Focus groups discussions should not be used as a substitute for quantitative research.
The benefits of focus group discussions.
• Relatively quick.
• Relatively inexpensive.
• Excellent for obtaining background information.
• Flexible investigative approach; client can participate in the discussions if appropriate.
• Easy to accommodate contingencies by changing scenarios in mid-stream if necessary.
• Ability for clients to hear “real” consumers talking.
Keeping a finger on the pulse of the public can be an important part of a company’s policy. All levels of management
and staff should be encouraged to attend or listen in on discussion groups that can affect or influence their work.
And the staff should be cautioned to listen with an open mind, suspend judgment, and develop a thick skin
because they might hear things that are critical or uncomplimentary about their work. On the other hand they
might hear very complimentary things or things that could benefit their work immensely.
SURVEY. It is one way to gather data through a printed questionnaire, over the telephone, by mail, in
person, by diskette, or on the web.
According to Meriam Webster Dictionary:
• To ask (many people) a question or a series of questions in order to gather information about what most
people do or think about something.
• To look at and examine all parts of (something)
• To measure and examine (an area of land)
• To examine as to condition, situation, or value: appraise
• To query (someone) in order to collect data for the analysis of some aspect of a group or area
• To determine and delineate the form, extent, and position of (as a tract of land) by taking linear and
angular measurements and by applying the principles of geometry and trigonometry
• To view or consider comprehensively
• Inspect, scrutinize

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WHEN SHOULD YOU CONDUCT A SURVEY?
A SURVEY MAY BE YOUR BEST CHOICE WHEN:
• You need a quick and efficient way of getting information
• You need to reach a large number of people
• You need statistically valid information about a large number of people
• The information you need isn’t readily available through other means

CRAFTING QUESTIONS
5 TIPS FOR WRITING INTERVIEW QUESTIONS
Writing questions for an interview can be tricky. It is important that you know the right questions to ask and how
to ask them. Structuring of the interview questions is also important. The following are five simple tips to help you
write interview questions.
1. Avoid Asking Double-Barreled Questions
These are questions that have more than one question in the sentence. An example is, “Do you think he is telling
the truth and that he deserves to be set free?” There are two questions to be addressed here. When asked double-
barreled questions, most likely the respondent will answer just one of them. It’s better to ask your questions
separately.
2. Do Not Ask Questions That Are Biased
Avoid asking questions that are slanted towards an opinion. A good interview question is neutral and it allows
the respondent to give his or her own take of the issue. It should not influence the respondent’s opinion.
3. Avoid Assuming Questions
Assuming questions are those that already have assumed opinions for the interviewees. An example is, “A
lot of people are angered by the anomaly. Are you one of them?” This question is structured in such a way that
an issue is painted as an anomaly when it probably still needs to be proven. The correct way to ask this is, “Do
you believe that an anomaly took place?”
4. Keep Your Questions Short and Clear
Write questions that are short and clear. Correcting grammar is essential too, because the slightest grammatical or
punctuation mistake can change the question’s meaning. Review your interviewquestions and have them
checked for grammar.
5. Do Not Include Unnecessary Questions
And finally, delete questions that are irrelevant to your topic. Do not get carried away, but keep your questions
focused on your objectives.

8 TIPS IN WRITING EFFECTIVE SURVEY QUESTIONS


Use the following list as your guide to help avoid these possible pitfalls.
1. Write questions that are simple and to the point.
Make your questions easy to understand by using simple language. The goal is to write a question that your
reader will easily understand without having to reread it. Using everyday language is the best way to accomplish
this. A good exercise to practice is to write questions that you could see yourself asking friends or colleagues.

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2. Use words with clear meanings.
Avoid phrases that are left to the reader’s interpretation. Words like most, numerous, many, and several mean
different things to different people. You want to use words that are more commonly understood, such as almost
all, a majority of, almost none, and a few.
3. Limit the number of ranking options.
When you ask your respondents to rank items in order of preference or importance, try not to surpass six items.
Asking them to rank a long list can result in an abandoned survey. If you need to get feedback on all the items on
your list (and you have more than six,) consider making two questions out of the original one.
4. In a multiple choice question, cover all options without overlapping.
When you ask a multiple choice question that can only have one answer, give the respondent a list that covers all
the options without overlapping. For example, if you asked the respondent to tell you his or her age, your choices
should not be “18-25, 25-35, 35-45, over 45.” In this case, the 25- and 35-year-olds would have two choices, when
they should have only one. This will skew your results.
5. Avoid double-barreled questions.
Asking double-barreled questions is a common mistake because it’s easy to do without realizing. Here’s an example
of one: “How far would you be willing to drive for dinner and a movie?” This type of question is problematic
because it asks the respondent to give one answer for two different questions. In the case of the example, someone
might be willing to drive further to go to dinner than they would for a movie (or vice a versa.) By asking two
different questions, you will get a much more accurate answer.
6. Offer an “out” for questions that don’t apply.
Some respondents can’t or won’t answer certain questions because they don’t have the experience or aren’t
really sure how they want to respond. For these situations, you should offer an option for them to select “Does Not
Apply” or “Don’t Know.”
If you are certain that a respondent is able to answer the question, for example if you ask someone who just
purchased from your website, “How would you rate our website?” you don’t need to offer an “out.”
7. Avoid offering too few or too many options.
While it is difficult to put an exact number on how many items you can have in a list because it varies with each
question, a good guide is to offer a complete list of the most likely choices and then provide an “other” option to
collect data from the rest of the responses. For example, if you own a pet store and want to know what animals your
customers own, you’ll want to include the top 8-10 most likely pets and not a list all 118 species sold in your store.
8. Make recall easy.
Avoid taxing your respondents by asking them to recall events in the distant past, especially if theyare mundane,
everyday events. While you may get a solid answer if you ask how many times someone has flown to Europe in the
last year, it will be much less accurate if you ask how many ads for trips to Europe they have seen in the last year.
Keep this formula in mind: more common events = shorter window of recall.
Once you’ve completed the questions for your survey, match them against this list and see how you did. Many
times, small edits can make a world of difference. If a question is in need of a rewrite, it’s worth making the extra
effort to get it right. Your time and the time of your customer is on the line so it makes sense to do all you can to
ask questions that provide accurate, insightful responses.

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WHAT ARE THE 7PS?
Marketing 7Ps:
1. PRODUCT (OR SERVICE).
Product is tangible and discernible items that you can physically touch, has packaging and usually a shelf life which
an organization produces.
Service is the production of an essentially intangible benefit, either in its own right or as a significant element of
a tangible product, which through some form of exchange, satisfies an identified need. Sometimes services are
difficult to identify because they are closely associated with a good; such as the combination of a diagnosis with
the administration of a medicine.
To develop a product or service here are the things you should consider:
– What value do you offer to customers?
• What does the customer want from the product (or service)?
• What features does it have to meet these needs?
• How and where will the customer use it?
• What does it look like?
• What size(s), color(s), should it be?
• What is it to be called?
• How is it branded?
• How is it differentiated versus your competitors?

Product Classification: Tangible or Intangible


A product can be classified as tangible or intangible.
A tangible product is a physical object that can be perceived by touch such as a building, vehicle, or gadget. Most
goods are tangible products. For example, a soccer ball is a tangible product .
An intangible product is a product that can only be perceived indirectly such as an insurance policy. Intangible data
products can further be classified into virtual digital goods (“VDG”), which are virtually located on a computer
OS and accessible to users as conventional file types, such as JPG and MP3 files. Virtual digital goods require
further application processing or transformational work by programmers, so their use may be subject to license
and or rights of digital transfer. On the other hand, real digital goods (“RDG”) may exist within the presentational
elements of a data program independent of a conventional file type. Real digital goods are commonly viewed as
3-D objects or presentational items subject to user control orvirtual transfer within the same visual media program
platform. Services or ideas are intangible.
2. PLACE. You should very well investigate where to locate your business. Accessibility is very important, but also
prices of the rent. Let the participants think of different possible locations for their businesses.
– Where is the location / how is the product / service distributed?
• Where do buyers look for your product or service?
• If they look in a store, what kind?
• How can you access the right distribution channels?
• Do you need to use a sales force?
• What do your competitors do, and how can you learn from that and/or differentiate?
3. PRICE. Your price should be high enough to make a profit, and low enough to encourage people to buy it. The
price depends on the product, the place and the people.
– What is the quantity of the payment from one party to another in exchange for goods / services?

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• Are there established price points for products or services in this area?
• Is the customer price sensitive?
• What discounts should be offered to trade customers?
• How will your price compare to those of your competitors?

The Consumer Act of the Philippines (R.A. 7394) regulates the following on pricing:
ARTICLE 81. Price Tag Requirement - It shall be unlawful to offer any consumer product for retail sale to
the public without an appropriate price tag, label or marking publicly displayed to indicate the price of each
article and said products shall not be sold at a price higher than that stated therein and without discrimination
to all buyers: Provided, That lumber sold, displayed or offered for sale to the public shall be tagged or labeled
by indicating thereon the price and the corresponding official name of the wood: Provided, further, That if
consumer products for sale are too small or the nature of which makes it impractical to place a price tag
thereon price list placed at the nearest point where the products are displayed indicating the retail price of the
same may suffice.
ARTICLE 82. Manner of Placing Price Tags - Price tags, labels or markings must be written clearly, indicating
the price of the consumer product per unit is pesos and centavos.
ARTICLE 83. Regulations for Price Tags Placement - The concerned department shall prescribe rules and
regulations for the visible placement of price tags for specific consumer products and services. There shall be
no erasures or alterations of any sort of price tags, labels or markings.
4. PROMOTION. This is how you make clear what you sell, where people can find you, why they should come to
you. You can do this by publicity, advertising, flyers. Creativity is very important.
- Raising customer awareness of a product or brand, generating sales, and creating brand loyalty.
• Where and when can you get across your marketing messages to your target market?
• Will you reach your audience by advertising?
• When is the best time to promote?
• How do your competitors do their promotions? And how does that influence your choice of promotional
activity?
5. PEOPLE – referring to your target market. According to Entrepreneur.Com, target market is a “specific group
of customers at which a company aims its products and services. Your target customers are those that are
most likely to buy from you”.
6. PACKAGING. Refers to the physical appearance of how a product is presented.
“Package” or “packaging” means any container or wrapping in which any consumer product is enclosed for use in
delivery or display of that consumer product to retail purchasers, but does not include:
1) shipping containers or wrappings used solely for the transportation of any consumer product in bulk or in
big quantities by manufacturers, packers, or processors to wholesale, retail, distributors thereof;
2) shipping containers or outer wrappings used by retailers to ship or deliver any product to retail customers if
such containers and wrappings bears no printer matter pertaining any particular product;
3) the wrappers or containers of consumer products sold in small quantities by small retail stores to the
consumer which by tradition are wrapped with ordinary paper.

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The Consumer Act of the Philippines (R.A. 7394) regulates the following on packaging:
ARTICLE 77. Minimum Labeling Requirements for Consumer Products - All consumer products
domestically sold whether manufactured locally or imported shall indicate the following in their respective
labels of packaging:
a) its correct and registered trade name or brand name;
b) its duly registered trademark;
c) its duly registered business name;
d) the address of the manufacturer, importer, re-packer of the consumer product in the Philippines;
e) its general make or active ingredients;
f) the net quantity of contents, in terms of weight, measure or numerical count rounded of to at least the
nearest tenths in the metric system;
g) country of manufacture, if imported; and
h) if a consumer product is manufactured, refilled or repacked under license from a principal, the label
shall so state the fact.
The following may be required by the concerned department in accordance with the rules and regulations they
will promulgate under the authority of this Act:
a) whether it is flammable or inflammable;
b) directions for use, if necessary;
c) warning of toxicity;
d) wattage, voltage or amperes; or
e) process of manufacture used, if necessary.
Any word, statement or other information required by or under authority of the preceding paragraph shall
appear on the label or labeling with such conspicuousness as compared with other words, statements, designs,
or devices therein, and in such terms as to render it likely to be read and understood by the ordinary individual
under customary conditions of purchase or use.
The above requirements shall form an integral part of the label without danger of being erased or detached
under ordinary handling of the product.
ARTICLE 78. Philippine Product Standard Mark - The label may contain the Philippine Product Standard
Mark if it is certified to have passed the consumer product standard prescribed by the concerned department.
ARTICLE 79. Authority of the Concerned Department to Provide for Additional Labeling and Packaging
Requirements - Whenever the concerned department determines that regulations containing requirements
other than those prescribed in Article 77 hereof are necessary to prevent the deception of the consumer or to
facilitate value comparisons as to any consumer product, it may issue such rules and regulations to:
a) establish and define standards for characterization of the size of a package enclosing any consumer
product which may be used to supplement the label statement of net quantity, of contents of packages
containing such products but this clause shall not be construed as authorizing any limitation of the size,
shape, weight, dimensions, or number of packages which may be used to enclose any product;
b) regulate the placement upon any package containing any product or upon any label affixed to such
product of any printed matter stating or representing by implication that such product is offered for
retail at a price lower than the ordinary and customary retail price or that a price advantage is accorded
to purchases thereof by reason of the size of the package or the quantity of its contents;
c) prevent the nonfunctional slack-fill of packages containing consumer products.
d) For purposes of paragraph C of this Article, a package shall be deemed to be nonfunctionally slack-filled
if it is filled to substantially less than its capacity for reasons other than (1) protection of the contents

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of such packaged, (2) the requirements of machines used for enclosing the contents in such package, or
(3) inherent characteristics of package materials or construction being used.
ARTICLE 80. Special Packaging of Consumer Products for the Protection of Children - The concerned
department may establish standards for the special packaging of any consumer product if it finds that:
a) the degree or nature of the hazard to children in the availability of such product, by reason of its packaging,
is such that special packaging is required to protect children from serious personal injury or serious
illness resulting from handling and use of such product; and
b) the special packaging to be required by such standard is technically feasible, practicable and appropriate
for such product. In establishing a standard under this Article, the concerned department shall consider:
1) the reasonableness of such a standard;
2) available scientific, medical and engineering data concerning special packaging and concerning
accidental ingestions, illnesses and injuries caused by consumer product;
3) the manufacturing practices of industries affected by this Article; and
4) the nature and use of consumer products.
ARTICLE 84. Additional Labeling Requirements for Food - The following additional labeling requirements
shall be imposed by the concerned department for food:
a) expiry or expiration date, where applicable;
b) whether the consumer product is semi-processed, fully processed, ready-to-cook, ready-toeat, prepared
food or just plain mixture;
c) nutritive value, if any; d) whether the ingredients used are natural or synthetic, as the case may be;
e) such other labeling requirements as the concerned department may deem necessary and reasonable.
ARTICLE 85. Mislabeled Food - A food shall also be deemed mislabeled:
a) if its labeling or advertising is false or misleading in any way;
b) if it is offered for sale under the name of another food;
c) if it is an imitation of another food, unless its label bears in type of uniform size and prominence, the
word “imitation” and, immediately thereafter, the name of the food imitated;
d) its containers is so made, formed, or filled as to be misleading;
e) if in package form unless it bears a label conforming to the requirements of this Act: Provided, That
reasonable variation on the requirements of labeling shall be permitted and exemptions as to small
packages shall be established by the regulations prescribed by the concerned department of health;
f) if any word, statement of other information required by or under authority of this Act to appear on
the principal display panel of the label or labeling is not prominently place thereon with such
conspicuousness as compared with other words, statements, designs or devices in the labeling and in
such terms as to render it likely to be read and understood by the ordinary individual under customary
conditions of purchase and use;
g) if it purports to be or is represented as a food for which a definition or standard of identity has been
prescribed unless:
1) it conforms to such definition and standard; and
2) its labels bears the name of the food specified in the definition or standards, and in so far as may
be required by such regulations, the common names of optional ingredients other than spices,
flavoring and coloring, present in such food;

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h) if it purports to be or is represented as:
1) a food for which a standard of quality has been prescribed by regulations as provided in this Act
and its quality fall below such standard, unless its label bears in such manner and form as such
regulations specify, a statement that it falls below such standard; or
2) a food for which a standard of standards or fill of container have been prescribed by regulations as
provided by this ACT and it falls below the standard of fill of container applicable thereto, unless
its label bears, in such manner and form as such regulations specify, a statement that it falls below
such standard;
i) if it is not subject to the provisions of paragraph (g) of this Article unless its label bears:
1) the common or usual name of the food, if there be any; and
2) in case it is manufactured or processed from two or more ingredients, the common or usual name
of such ingredient; except the spices, flavorings and colorings other than those sold as such, may
be designated as spices, flavorings and colorings without naming each: Provided, That to the extent
that compliance with the requirement of the clause (2) of this paragraph is impracticable or results
in deception or unfair competition exemptions shall be established by regulations promulgated by
the concerned department of health;
j) if it purports to be or is represented for special dietary uses, unless its label bears such information
concerning its vitamin or mineral or other dietary properties as the concerned department determines
to be, or by regulations prescribed as necessary in order fully to inform purchases as its value for such
uses;
k) if it bears or contains any artificial flavoring, artificial coloring, or chemical preservative, unless it
bears labeling, stating that fact: Provided, That to the extent that compliance with the requirements
of this paragraph is impracticable, exemptions shall be established by regulations promulgated by the
concerned department. The provisions of this paragraph or paragraphs (g) and (i) with respect to the
artificial coloring shall not apply in the case of butter, cheese or ice cream.
7. POSITIONING. An effort to influence consumer perception of a brand or product relative to the perception
of competing brands or products. Its objective is to occupy a clear, unique, and advantageous position in the
consumer’s mind.
Positioning is developing a product and brand image in the minds of consumers. It can also include improving a
customer’s perception about the experience they will have if they choose to purchase your product or service. The
business can positively influence the perceptions of its chosen customer base through strategic promotional
activities and by carefully defining your business’ marketing mix.
Effective positioning involves a good understanding of competing products and the benefits that are sought by
your target market. It also requires you to identify a differential advantage with which it will deliver the required
benefits to the market effectively against the competition. Business should aim to define themselves in the eyes of
their customers in regards to their competition.

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3: AIDA (ATTENTION, INTEREST, DESIRE, ACTION) STRATEGY
AIDA Model: an approach used by advertisers to describe the phases of consumer engagement with an
advertisement
A: Attention – create attention or awareness of your brand
I: Interest – create interest in the buyer for further information about your product / service
D: Desire – stir up desire to buy a product or service
A: Action – move the prospect into an interaction with your enterprise

DEVELOP A BRAND NAME


BUSINESS NAME. Your name is the key that unlocks your brand image in your consumer’s mind. (See video:
https://www.youtube.com/watch?v=cxeosIPTq8c)
HOW TO NAME YOUR BUSINESS
by entrepreneur.com
(Video content)
What’s in a name?
A lot, comes to small-business success. The right name can make your company the talk of the town. The
wrong one can doom it to obscurity and failure.
1. First, consider and listing expert help. Coming up with a good business name can be complicated.
And naming firms have a lot systems for creating new names. They know their way around the Trade Mark
lost too. The down side to a firm is cost. A professional naming firm can charge up to $80,000 to develop
a name. Less expense of options do exist. But spending a reasonable amount of money early for quality
expert advice can save you money in a long run.
2. Decide how you want your name to be communicated. The more your name communicates about
your business, the less effort it takes to explain. As a rule, strings of numbers and initials are bad choice.
Also be sure to avoid geographic or generic names that limit your market area or offers.
A. Choose a name that appeals to the kind of customers you’re trying to attract.
B. Choose a company or familiar name that triggers pleasant memories.
C. Don’t pick a name that’s long or confusing and stay away from cute puns that only you understand.
3. It’s time to get created. Since almost of existing words has been trade mark. Consider “coining a name”.
Coined names can be more meaningful than existing words. But made up words aren’t the right solutions
for everyone. Another solution is to use a new forms of spelling of existing words. Like the name in firm
name lab for “Compaq™” and “Acura™”. Once you have a few potential names, do a trade mark search to
make sure a new name doesn’t in friend of any trade marks. If you’re lucky you will end up with three to
five aims to pass all your tasks.
To make your final decision, ask yourself which name
• Best fit your objectives
• Best describe your company past
Do all an idea more each name looks like a sign on business stationer. Professional names in firms devote
up to six months to the name in process. So plan to spend at least a few weeks of selecting your name.
Once your decision is made, start building your enthusiasm of the new name immediately. “Your name is
your first step towards building a strong company identity, one that should last as long as you’re in
business!”

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LOGO. Your logo is the brand mark or symbol that serves as the face of your brand.
TAGLINE. Your tagline is the memorable phrase that provides consumers with a quick indication of your
product, brand, and market position.

SWOT-TOWS ANALYSIS

SWOT analysis is a business analysis process that ensures that objectives for a project are clearly defined and
that all factors related to the project are properly identified. The SWOT analysis process involves four areas:
Strengths, Weaknesses, Opportunities and Threats. Both internal and external components are considered
when doing SWOT Analysis, as they both have the potential to impact the success of a project or venture. The
following is a brief summary of SWOT Analysis components:

1. Strengths
Strengths in SWOT analysis are the attributes within an organization that are considered to be
necessary for the ultimate success of a project. Strengths are resources and capabilities that can be used for
competitive advantage. Examples of strengths that are often cited include:
Strong brand names
Good reputation
Cost advantages of proprietary know-how

2. Weaknesses
The factors within the SWOT analysis formula that could prevent successful results within a project are
Weaknesses. Weaknesses include factors such as an abundance of rivalry between departments, a weak
internal communication system, lack of funding and an inadequate amount of materials. Weaknesses can
derail a project before it even begins. Other Weaknesses include:
Weak brand name
Poor reputation
Ineffective and high cost structure
Opportunities

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3. Opportunities are classified as external elements that might be helpful in achieving the goals set for the project.
These factors could involve vendors who wish to work with the company to help achieve success, the positive
perception of the company by the general public, and market conditions that could make the project desirable to
the a segment of the market. Additional Opportunities include:
Arrival of new technology
Unfulfilled customer needs
Taking business courses
(training)

4. Threats
These external factors could gravely affect the success of the project or business venture. The possible threats
that are critical to any SWOT analysis include a negative public image, no ready-made market for the final
product and the lack of vendors who are able to supply raw materials for the project. Some other threats
include:
Trend changes
New regulations
New substitute products

A TOWS analysis involves the same basic process of listing strengths, weaknesses, opportunities and threats as a
SWOT analysis, but with a TOWS analysis, threats and opportunities are examined first and weaknesses and
strengths are examined last. After creating a list of threats, opportunistic, weaknesses and strengths, managers
examine ways the company can take advantage of opportunities and minimize threats by exploiting strengths
and overcoming weaknesses.

Strengths Weaknesses

S.W.O.T. Analysis What are the strengths of your What are the strengths of your
business? business?
1 2

Given your strengths and Given your weaknesses and


What are the opportunities of
Opportunities opportunities, what are the opportunities, what are the
your business?
strategies you can do? strategies you can do?
3 5 6

Given your strengths and Given your weaknesses and


What are the threats of your
Threats threats, what are the strategies threats, what are the strategies
business?
you can do? you can do?
4 7 8

BUSINESS PLAN WORKBOOK TASK


Instructions:
1. The students are required to complete components of their business plan
right after every discussion.
2. Please refer to business plan pages: 4, 5, 8, 9, 10, 11, 12, 13, 14, 15 and 16
3. You may allot time before proceeding to the next topic to have a consultation
with the student in completing their business plan workbook.

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III. TEACHING AND LEARNING ACTIVITIES

ACTIVITY 1: CREATING YOUR OWN INTERVIEW QUESTIONS


Objectives:
1. Create effective questions in conducting FGD/Interview/Survey.
2. List questions that will answer the “why”, “how” and “what” questions of the students from their respondents.
3. Determine questions that are more effective from the list made.
Instructions:
1. Divide the class into smaller groups. At least six groups.
2. Ask each group to think of a business and their target market.
3. Brain storm and list all the questions they want to know from their target customer.
4. List at least 20 questions per group.
5. Allow the learners to consult with you while formulating their questions.

ACTIVITY 2: ROLE PLAYING: INTERVIEW TIME!


Objectives:
1. Practice FGD/Interview/Survey.
2. Simulate FGD / Interview / Survey
3. Observe best questions, techniques and ideas that successfully brought out the data that needed to be
gathered.
4. Evaluate performance and techniques of the presenter.
5. Identify “what is effective” from “needs improvement” based from the presentation.
Instructions:
1. Convene same group from the previous activity.
2. Two groups will be matched to each other. One will act as interviewee and the other will act as respondents.
3. Questions will be based from what the group formulated from the previous activity.
4. Respondents will base responses from what the other group prepared
5. While the other group is waiting for their turn, ask them to observe the groups performing the tasks and list
down what they have observed:
a. How did the customer react/respond?
b. How did the respondents participate?
b. How did the interviewee deliver their questions?
c. How did the interviewee deliver follow-up questions?

ACTIVITY 3: LET’S PRACTICE: FOCUS GROUP DISCUSSION


Objectives:
1. Formulate questions for FGD.
2. Practice conducting FGD.
3. Experience to facilitate FGD discussions.
Instructions:
1. Divide the group into four.
2. In 10 minutes, all groups must list at least 15 questions for FGD. Just let the group decide what kind of
respondents they want to participate in the FGD.
3. Pair the groups, assign which group will be set A and set B.
4. Set A will be the facilitator for the FGD, set B will be the respondents.

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5. For the second batch, assignments switch. Set B will be the facilitator and set A will be the respondents.
6. Ask the following questions to the class:
a. How did the respondents answer your questions?
b. How did the respondents participate?
b. How did the interviewee deliver their questions?
c. How did the interviewee deliver follow up questions?
SUGGESTED PROCESSING QUESTIONS
The following questions may be used after any of the activities above.
1. How do you feel about the activity?
2. Do you find it easy? Or difficult? Why?
3. What did you observe while doing the activities?
4. What have you learned?
5. What have you realized?
6. How will you apply your learning?

ACTIVTY 4: LET’S FACE IT!


Objectives:
1. Apply FGD/Interview/Survey.
2. Experience FGD/Interview/Survey.
3. Evaluate the respondents based from their answers to the questions conducted.
4. Propose enhance ideas among their classmates.
Instructions:
1. Retain same group composition from the previous activity (CREATING YOUR OWN QUESTIONS for
Interview, FGD and Survey).
2. Give the learners 15minutes to develop their questions. The group is allowed to choose the target respondents
they want. Respondents must be at least 10persons.
3. As homework, the group is tasked to conduct the FGD / Interview / survey..
4. Asked the group to observe the following from their respondents while conducting the activity:
a. How did the respondents react/respond?
b. How did the respondents participate?
c. How did the respondents answer the question? Do they find it easy or difficult to
answer?
5. On the next class day, each group is asked to present their experience of: interview, FGD and survey.
6. The rest of the group can give feedback or ask question from the group who have presented their experience

ACTIVITY 5: MARKETING MIX


Objectives:
1. Formulate effective strategies for advertising a product with the integration of 7Ps.
2. Present the advertisement to their target market that.
3. Enhance strategies from feedback and comments of the observers.
4. Recreate the advertising strategies.
Materials:
1. Strips of paper where the following are listed:
A. Vitamins
B. Gadgets
C. Restaurant
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D. Hotel
E. Fancy jewelleries / accessories
Instructions:
1. Divide the class into five groups.
2. Ask one representative from each group.
3. Representative from the group will pick one from the following:
A. Vitamins
B. Gadgets
C. Restaurant
D. Hotel
E. Fancy jewelleries / accessories
4. Ask groups to develop a 1-3 minutes commercial around the item they chose.
5. They can choose specific items from the given category.
6. Give the students fifteen (15) minutes to prepare for the activity.
7. After the given fifteen minutes, learners draw lots to identify which group will present first.
8. While there is group presenting, the rest of the group will task to observe from the presenter to identify the
following:
a. What is their target market?
b. What is their product?
c. How much is the price?
d. Where are they going to put or sell the product?
e. How effective does the presenter do their advertisement?
f. What are your suggestions to the presenter?
g. Are you encouraged to buy the product they are endorsing? Why and why not?
9. Each group is asked to improve their advertisement strategies based form the evaluation of their
classmates.
SUGGESTED PROCESSING QUESTIONS
The following questions may be used after any of the activities above.
1. How do you feel about the activity?
2. Do you find it easy? Or diifficult? Why?
3. What did you observe while doing the activities?
4. What have you learned?
5. What have you realized?
6. How will you apply your learning?

ACTIVITY 6: DO YOU KNOW ME?


Objectives:
1. Perform and portray the customer’s perspective and preferences in terms of their behavior, attitude, thinking,
lifestyle and etc.
2. Evaluate the customer’s behavior, attitude, thinking, lifestyle and etc.
3. Summarize learnings from both performers and observers.
Instruction:
1. Divide the class into four groups.
2. Ask one representative from each group.
3. Representative shall pick from the following:

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a. Mothers
b. Call center agents
c. Observers (2 groups)
4. The group who picked “mothers and call center agents” shall act or portray their role in 1 minute. They are
challenged to exhibit the different attitude, lifestyle, habits, perspective and etc of what they are portraying.
5. While the group who are picked as observers shall observe the two groups who will portray the role as
mothers and call center agents. The observers shall note the following:
a. What kind of customer have you observed?
b. How did they portray their roles?
c. What do you observe with the social class, lifestyle, personality, opinions, attitudes, values, habits and
interests/hobbies of the customers?
d. What kind of product do you think you can offer to them? Why?
e. What do you think the marketing strategy is best and effective to this kind of customer? How can you
say so?

ACTIVITY 7: BARBEQUE STAND WITH AIDA


Objectives:
1. Observe the AIDA strategies being applied in taking the will power of the customers to buy the products
being offered.
2. Evaluate what strategies are effective and needs to improve.
3. Evaluate customer’s perspective and preferences in taking actions to buy a product.
4. Propose ideas and strategies to encourage more customers to buy volumes of products and become a loyal
customer since the beginning.
Instructions:
1. Divide the class into three.
2. Assign to which group will be the: owner of a barbeque stand, observer and customer.
3. A bigger challenge will be given to the group who will portray the owner of the barbeque stand. They should
show the marketing strategy of AIDA (Attention, Interest, Desire, Action).
4. Customers shall portray their part but in a different levels and in a different dynamics.
5. Observers shall observe and note their AIDA strategy. How did they get the attention, interest, desire
and action of the customer?
SUGGESTED PROCESSING QUESTIONS:
1. How do you feel about the activity?
2. Business owner, how did you come up with that idea? Why did you choose that?
3. Customers, are you encourage by the strategies made by the business owner? How did you react/respond?
4. Observers, how do you find the strategies and the reactions of the customers?
5. How does the AIDA strategy will help to market your business?
6. What have you realized from the activity?
7. How will you apply your learning from this activity?

ACTIVITY 8: MY OWN BUSINESS


Objectives:
1. Analyze the importance of business name, logo and tagline.
2. Give feedback from each other’s output for further enhancement.
3. Creating business logo, name and tagline to build up business image.

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Instructions:
1. Divide the class into smaller groups according to the field of business that they are planning to do.
2. Ask each group to share among their group mates of the following:
A. Business name. Why did you come up that business name?
B. Business Logo. What is the connection of your business logo to your business? Does
your logo represents your business as a whole? How near or far are you there?
C. Business tagline. How catchy is your tagline? How unique is it? Does it suggest
anything about your business?
Note: The questions above can be observed by their classmates and give feedback to each other.
3. After the group sharing, now ask volunteer from each group to share to the class of what they have encountered
during group sharing? A volunteer can also share his/her business name, logo and tagline to the class and
the feedback given by his/her group mates.
SUGGESTED PROCESSING QUESTIONS:
1. What is now the importance of a business name? Business logo? Business tagline?
2. Is it important that these three must be connected from each other?
3. Does your classmates feedback helps you enhanced your output? Why or why not?
4. What have you learned from the activity? How will you apply it?

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TEACHERS’ RESOURCES

1. How to define target market needs


2. 15 experts share their best practices for marketing to small businesses
Published on Monday, March 10, 2014 by Adam bluemner
3. The best marketing practices of companies
By Leigh Richards, Demand Media
4. Republic Act No. 7394 THE CONSUMER ACT OF THE PHILIPPINES

REFERENCES

1. YAV Entrepreneurship Module: Marketing


2. Pew Internet publishes reports regarding internet use among various demographics. (http://www.scarborough.
com/press-room)
3. Scarborough issues press releases with useful data and sometimes publishes free studies. (http://www.
pewinternet.org/2011/03/23/methodology-62/)
4. Important things when creating a logo (http://agendamarketing.ca/8-important-things-to-consider-when-
creating-a-logo/)
5. SWOT analysis
(http://www.notredameonline.com/resources/business-administration/what-is-swot-analysis/#.Vt0zozh97IV)
6. http://findaccountingsoftware.com/expert-advice/15-experts-share-their-best-practices-for- marketing-to-
small-businesses/
7. http://smallbusiness.chron.com/marketing-practices-companies-3447.html
8. http://www.whitesmoke.com/tips-for-writing-interview-questions
9.http://ctb.ku.edu/en/table-of-contents/assessment/assessing-community-needs-and-resources/conduct-
surveys/main
10. http://www.bu.edu/bucflp/files/2012/01/Consumer-Act-No.-7394-of-the-Philippines.pdf
11. https://www.vocabulary.com/dictionary/viability
12. http://www.slideshare.net/mschie/data-gathering
13. http://smallbusiness.chron.com/define-target-market-needs-3355.html
14. http://www.merriam-webster.com/dictionary/survey
15. http://blogs.constantcontact.com/how-to-write-survey/
16. http://www.oxforddictionaries.com/definition/english/research
17. http://www.businessdictionary.com/definition/research.html
18. http://www.dfrank.com/focusdis.htm
19. http://www.qualres.org/HomeObse-3594.html
20. Boundless. “Defining Product.” Boundless Marketing. Boundless, 13 Apr. 2016. Retrieved 26 Apr. 2016 from
https://www.boundless.com/marketing/textbooks/boundless-marketing-textbook/products-9/what-is-a-
product-66/defining-product-331-7301/

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