Mkt Plan-Popcorn Store in Hk

1. 0 Executive epitome We ar preparing to open a popcorn specialty shop in Hong Kong, the knock off popcorn take a shit. Hong Kong is a famous multinational tourism metropolis and it successfully received to a greater extent(prenominal) than 42 million tourists in the erstwhile(prenominal) category. Hong Kong has its unique culture and the Hong Kong picture culture is unmatchable of the most unparalleled ace. Therefore, our garbage down popcorn crap lead closely integrated with the Hong Kong icon culture, and bring forth a advantageously-knget topical anesthetic anaesthetic strike off form, which give the sack enchanting to local anesthetic residents who like to eat popcorn or like to play icons, and the tourists who interest in the Hong Kong culture or pics.We suffer effectively debate with an opposite(prenominal) popcorn breed beca wont we strain a postgraduate quality, confused nutlike looking ats, as well as hale popcorn with appreciate wr ong to consumers. More chief(prenominal)ly, we yield customize returns, which nodes fuck make their induce flavor popcorn and even the packages according to their preference. The particular customize emolument as well as the hit culture post image is our devil brightest spots, which seat make us distinguish with former(a) competitors and stupefy our distinct competencies.The grocerying objective in the introductory year is to bod up our inciter awargonness through our respective(a) merchandiseing communion methods and we testament continue to focalize on change magnitude our carry faithfulness in the next two geezerhood. The primary financial objectives atomic number 18 to carry through initial-year sales revenue of HKD1,580,000 (USD 203,820) and reach profitability. The revenue go external be expected to add-on by 12% in the second year and 15% in the third year. 2. 0 Service Description popcorn is a customarysting foodat sporting publications and incinemas, where it has been served since 1914.Hong Kong, a dynamic Asian metropolis that attracts legion(predicate) tourists and businessmen, global or Asian, all(prenominal) year, has been deeply influenced by the western word picture culture and piecemeal let oned it in truth own local movie culture, which is a squargon-built branch of Hong Kong local culture, leading Hong Kong to be such a broad market for film patience. Benefiting from this signifi ejecttly growing movie market and the saying that popcorn is always the stovepipe company in dramaturgys, Hong Kong would be our exaltation place that gives us incentive to locate our vote down popcorn Shop in this prosperous city.Specifically, our popcorn shop allow be loose at Langham Place, one of the most pop shop mall fit(p) in the very soreness of Hong Kong, which has a magical gravitation that attracts numerous local residents and tourists. Moreover, with its world-class equipment, fascinating conniptions, and consensus images of fashion, the UA cinema at the 8th infrastructure in Langham Place is the to the highest degreely the most touristed movie champaign that has non whole the highest attending rate but also the better(p) box responsibility in Hong Kong.Thus, the needs from the people who ar way out to a movie in UA cinema would be so bulky that can be a self-aggrandising propose market, waiting our popcorn specialty blood line to satisfy. In addition, our specialty store, go through popcorn, not only aims to offer high-quality, variant tasty flavors, as well as healthy popcorn with nurture price to consumers, but also results customized run that guests can make their own flavors popcorn and even design their own popcorn packages, as well as customize their distinctive popcorn tins.Moreover, ix regular flavors popcorn leave behind be provided in bug out popcorn sugar, buttery, caramel, cheese, chocolate, barbecue, rainbow, spicy, and mustard which is a w ide range from classic flavor to popular special flavors. Additionally, two diffe take in packages, bags or tins, with five different sizes minute, medium, large, 1 gallon, or 2 gallon would be offered to our guests to select. Essentially, the most distinctive hold of push down popcorn will be the combination of popcorn and Hong Kong local movie culture.In our shop, everything is around film. From the in-store decoration, display of popcorn, our staff personifyume, to the packing of our popcorn be all designed sinless-base on the characteristics of Hong Kong local movies. Above all, customers can also design the packing of their popcorn with one of their favorite movies, which can be a wonderful souvenir from themselves, as well as a distinctive throw for their friends. 3. 0 SWOT Analysis 3. 1 Strengths 1. Exclusive localisation principle Langham Place is one of the most famous shop mall located in the very heart of Hong Kong.It has attracted numerous local residents and tourists. Specifically, the UA cinema at the 8th shock in Langham Place is the one of the most popular movie bailiwick that has not only the highest economic aid rate but also the best box office in Hong Kong. 5 This exclusive location will provide an intense collecting with our hindquarters customers. 2. Distinctive decorations and packaging design of our shop In Pop popcorn Shop, everything is sexual intercourse to films. The film elements in our store will baffle one the most significant points-of-difference equalise to other popcorn stores. 3.Various tasty and even customized flavors of popcorn Pop popcorn store will regularly provide nine flavors of popcorn to the customers. More important, we will be the send-off popcorn shop to provide customized flavors table service. 3. 2 Weaknesses 1. Brand awareness As a new popcorn shop, we would not have much brand awareness and brand equity at the very beginning. 2. Customer ingress Regarding to those customers wh o are going to a movie, our shop location will not be the most convenient place for them to sully popcorn compared to the sting store located wrong the dramatics.Its one of the disadvantages when we compete with the nosh stores interior the theaters. 3. 3 Opportunities 1. Film culture is one of the most cock-a-hoop characteristics of Hong Kong culture. There is a large core of movie fans in Hong Kong. 2. Popcorn is bedn as the best partner for movies, the constantly flourishing of film intentness in Hong Kong will lead to an explosion of needs of popcorn. 3. Hong Kong is an international prosperous city, many local residents has a relatively high fluid income. . The continue growth of tourists in Hong Kong, especially the tourists from Mainland china, as well as the their strong drug addiction power. 3. 4 Threats Competition is a dynamic deal that our competitors would also switch their strategies that may lead to some turnover merchandise circumstances. Based on the a nalysis of our channelise market, there may be three potential situations, which can be threats to our popcorn shop. 1. Other brand-famous popcorn stores may expand their locations.Since one of our essential strengths is our location in Langham Place, if other brand-famous popcorn shops also have inclination about expanding to the location near our shop, it would be a threat for us. 2. With the growing popularity of popcorn, the insect bite stores locate inside the theaters may provide more than flavors popcorn to the customers. 3. There is other more tasty and healthier alternative snacks for customers when they have a movie. 4. 0 commit Markets Generally speaking, the people who like to eat popcorn will be our commit customers.Specifically, based on geographic ingredientation, local residents and tourists of Hong Kong would be our post market that deserve our fully concentration on developing our own customer bases, as well as establishing our very brand awareness. 4. 1 Loc al residents who like popcorn or movies 1. emblematic users Geographically, those Hong Kong people who sojourn in the urban area brand-new Territories and Kowloonwould be our major regular(prenominal) users. In 2011, roughly 45% of the Hong Kong tribe is sustainment in New Territories and about 30% of them lives in Kowloon.Demographically, those local residents, female or male, who are about 15-44 years old with mean(a) monthly income more than HKD10,000 or monthly spending more than HKD200 on snack food can be identified as our typic users. Additionally, people who will go to theater for movies more than four times a month will be defined as our heavy users. 2. Size and growth of this sucker market In 2011, the population in HK was about 7,067,800, and the average population growth rate had change magnitude by 0. 72% compare to 2005.In cost of population of our bulls eye market, the amount of population of 15-44 years old is around 3,135,300, which accounts for 44. 4% of the total population. 3 In the recent years, the film indus pronounce in Hong Kong is booming. Regarding to the film industry in Hong Kong, in 2010, the box office gross was HKD1,339 trillion, and, in 2011, this number grew to HKD1. 379 billion. The total number of films that released in 2011 was 276, which take 56 Hong Kong local films and 220 unconnected films. In addition, the number of attendance was 87,517 and the attendance rate was 75. % in 2011. Moreover, according to a survey co-conducted by the University of Hong Kong and Hong Kong cinema Industry Association in 2008, 58. 3% of those people who went to a movie would buy variant amount of popcorn as their companies for the next great hundred minutes at the theater. 3. The veritable buyer in this target market The real buyer of our harvest-home is mainly the same as our typical users. However, the male customers may account for a larger amount of them. Because when a couple goes to see a movie, the male will commo nly be the one who pends his money on the popcorn and share it with the female, given in the Hong Kong culture. 4. Main characteristics of this target market Our typical customers main characteristics can be exposit on two fronts. First, these people are deeply influenced and attracted by the film culture in Hong Kong, which is one of the most fundamental branches of the Hong Kong local culture. Second, according to the data from Census and Statistics Department Hong Kong, among the people who is 18-44 years old, the average monthly income of them is HKD13,600. 5. Reasons why this target market is gentleEvidently, there are two main reasons why these typical users of us, who are the 15-to-44-year-old local residents with over-average incomes, will be well attractive to our popcorn specialty store. Firstly, these typical users have been living in Hong Kong for some years that they may be fundamentally influenced by Hong Kong local culture, especially by the film culture in Hong Ko ng. benignant movies can be a major incentive for them to be ordain to spend money to have movie in theaters. And popcorn, as one of the most ideal companies in theaters, can be one the die hard things our target market want to miss.Secondly, these young residents have relatively open-minded customer awareness, easier to accept new brands that have distinctive brand images. Moreover, they are relatively high-income citizens living at a fashion lifestyle city and willing to spend more on snacks or recreations. 4. 2 Tourists 1. Typical users in this target market Geographically, tourists form Mainland China will be our target customers, especially who are from 4 main cities in China Shenzhen, Guangzhou, Beijing and Shanghai. Demographically, the tourists between 15-44 years old, male or female will be defined as our target customers. 2.Size and growth of this target market In 2011, Hong Kong received record-high visitors from around the world, which was totally 41,921,310, a remar kable increase by 16. 4% over 2010. Tourism generated comfort added of HKD 74. 6 billion in 2010 and the inbound tourism accounted for the largest share of the lever added of tourism, which was HKD 59. 2 billion. Compared with 2005, this value added increased by an average annual rate of 12. 5%. Among versatile incomes generated from the inbound tourism, food and beverage services had HKD 6,300 millions value added in 2011. 2. The real buyer in this target marketThe real buyers are tourists, who may buy our popcorn as a souvenir or a gift for themselves, as well as for their friends. It indicates that the buyer may not be the actual user in this target market. However, we will put more attention to advertise our shop among the female tourists, since the female tourists are usually more interested in shopping and buying souvenirs. 3. Main characteristics of this target market Firstly, most of them are from Asia, especially from Mainland China. In 2011, Mainland China proceed to be the largest visitor source market of Hong Kong, contributed 28. million arrivals, accounting for 67. 0% of total arrivals in Hong Kong. 7 Secondly, mid July to end August are always the most intense period for tourists to visit Hong Kong. Also, regarding to the life-cycle stage segment of overnight vacation visitors in Hong Kong, approximately 36% of the visitors are families with children, 20% of them are young single male or female, 12% of them are young couples, and 7% of them are young students. Moreover, these visitors, 15-44 years old, which will be our target customers, account for 75% of our total visitors of Hong Kong in 2011. 4. Reasons why this target market is attractive Firstly, the number of tourists is remarkably substantial and this number is increasing every year. The appreciation of most major currencies against Hong Kong dollar and the improving displace sentiment have fueled the impressive performance. 7 For the short-haul market, benefiting for the Individu al shout Scheme, which the Central Government has announced that residents from certain cities are al wiped out(p)ed to visit Hong Kong as tourists in their personal capacity, tourism in Hong Kong is developing significantly every year.In 2011, the coverage of the Scheme has expanded to 49 cities in China since the first introduced on in 2003. 9 That means the tourists form Mainland China will continue to increase substantially. For the long-haul markets, arrivals recorded a 1. 7% increase. In particular, the joined States remained the largest long-haul market with 1. 2 million arrivals in 2011, re acting a 3. 5% increase. 7 Secondly, the tourists, especially those who are from Mainland China, have such a robust consumption capacity. From the source of Hong Kong Tourism Board, in 2011, the total tourism expenditure associated to inbound tourism is HKD 253. billion, which had a significant 20. 5%, increase by 2010. 8 Specifically, the average spending of the visitors from Mainland C hina was HKD 8,220 in 2011, which has a 10. 3% increase by 2010. 9 5. 0 Competitive Analysis 5. 1 take up Competitor Our direct competitor will be the Garrett Popcorn Shop Hong Kong, which is a famous popcorn store overseas. Garrett is located at the internationa magnetic inclinationic Financial Center Mall Hong Kong, where is in the central business regularize in Hong Kong. The IFC Mall has lots of opulence shops inside and it focus on targeting to the high-income customers. 1.The strengths and weaknesses of Garrett First, Garrett has a high reputation overseas due to its long business relationship and consistent high quality of fresh popcorn. That is, the global brand famousness of Garrett Popcorn would be so permeating that would attract large amount of foreign customers who is working currently at Hong Kong. Second, after concentrating on popcorn industry for more than 60 years, Garrett has already developed its very own cabalistic recipes to mix into popcorn, like The Ch icago Mix, Caramel Crisp, and CheeseCorn. These famous flavors popcorn are another stunning strength of Garrett.However, some weaknesses of Garrett Popcorn Hong Kong have been loose to the public, which may turn to be our opportunities. According to the OpenRice, which is a popular users revaluation and local cuisine recommendation website, based on 5 aspects allow taste, environment, service, hygiene, and value for money, Garrett Hong Kong scores only 3. 8 of 5. 0 based onthe customers ratings. The negative reviews are mainly about the service and the value of money. many an(prenominal) customers complained about the unfriendly staff and the too expensive popcorn. 2. Our strategies to compete with GarrettBased on the analysis about Garrett Hong Kongs strengths and weaknesses, our competing strategies can be elicited in three fronts. First is about different shop location setting that we would focus on popular shopping mall rather than luxury shopping center. Second is our popco rn price setting that would be average 20% pooh-pooh than Garrett. Third is the customized services provided by us, which will customers to create their own flavor popcorn and packages. Moreover, we will pay more attention to select and train our staffs and thus provide very friendly service to customers. . 2 Indirect Competitors The indirect competitors of us will be the snack stores locate inside the theaters, which can also provide popcorn to our target customers. 1. The strengths and weaknesses of the snack store inside the theaters Firstly, its the most convenient location for the customers who are going to see a movie most of these snack store are just steps apart from the theater. Secondly, the popcorn price is relatively low compare to our store. However, their weaknesses are also obviously when compare to our popcorn specialty store.Almost all of these stores just provide the sugar flavor popcorn to the customers. The very limit flavor quality and relatively low quality of popcorn are their biggest disadvantages. Additionally, these stores are usually put bitty effort on marketing communication with customers. 2. Our strategies to complete with the snack stores inside the theaters Evidently, our strategies to compete with these indirect competitors can be, firstly, providing discounts or advocating promotions to the customers who have a movie ticket.For example, the customers can get 10% off in our store when they present us the movie ticket on the same day. Secondly, we will see various campaigns that strongly advertise our fascinating tasty popcorn with twofold flavors and high quality, framing an image that our target customers can have a box of satisfying popcorn with a reasonable price. 5. 3 potential difference competitors The potential competitors of our popcorn shop can be defined as those snack grocery stores that can offer alternatives snacks to popcorn. Although there are various kinds of snack food with even cheaper prices in those grocery tores, however, if a customer is looking something fresh or special rather than something bland when he/she is going to a movie, these grocery stores would soon to become the very croak place to satisfy him/her. Thus, regarding to our target customers, we can pay efforts in marketing communication that utilizes mass medias to frame that fresh popcorn is the best choice for movies, especially the fresh popcorn with customized flavors we exclusively provided. 6. 0 Pricing Strategies 6. 1 Pricing Strategy 1. Pricing objective The pricing objective of Pop Popcorn Specialty Store is product-quality leadership.Consistent with our store s marketing outline and brand positions, the center that we seek to communicate is that we offer high quality, various tasty flavors, as well as healthy popcorn with value price. 2. Unit cost and margins The total cost of our product will include frosty cost and variable cost. Since the various cost of raw materials are relatively low, while the cost of rent and salary is relatively high in Hong Kong. The cost of per popcorn will be lower when more popcorn has been made per day. Thus, in our price structure, the raw materials per unit cost is estimated approximately 15% of the total cost. . Competitors price structure comparison Garrett Popcorn Hong Kong provides 5 flavors and 6 sizes of popcorn to the consumer. The price is quite different based on different flavors, the average price of the Garretts popcorn is small HKD52, medium HKD76, large HKD96, jumbo HKD164, 1 gallon HKD334, and 2 gallon HKD639. On the other hand, nearly all of the snack stores in theater in Hong Kong just provide the sugar flavor popcorn, and the price is around HKD15 for small, HKD25 for medium, and HKD30 for large size. 4.Pricing methods Base on the company cost, competitors cost, and customer demand, we will use the perceived-value pricing method to select our product price. In addition, based on our product-quality pricing object, we will seek to create an image that emphasizes our high-quality product with value price brand to consumer. Due to our location rent and less brand awareness, our average price will be about 20% lower than Garrett popcorn price. While our average price will be 25% higher than snack stores in theater since our store is excel in making arious tasty flavors popcorn. 6. 2 Price Structure 1. Our price list 2. Special offers In commit to encourage sales we will provide access for certain customers to special prices. Such as special customer pricecustomers can get 10% off in our store when they present us the movie ticket on the same day. Also, we will have a frequency reward programmembership separate which can collect points and use the points as cash to secure popcorn in our store. Meanwhile, we will provide coupon in the special fete to our customers. 7. 0 Channels of DistributionInitially, Pop Popcorn will use a direct-to-consumer distribution model our own specialty store and website, to determine our conduct of distribution. 7. 1 Specialty store in Langham Place Pop Popcorn Specialty Store will locate in the first ball over at Langham Place. The reasons why we choose this location can be certify on two fronts. Firstly, Langham Place Mall, located in the very heart of Hong Kong, is a quintessential 15-storey fashionable landmark and one of the most popular shopping malls for both local residents and tourists.Secondly, the UA cinema at the 8th write up in Langham Place is the nearly the most popular movie theater that has not only the highest attendance rate but also the best box office in Hong Kong. Thus, being located first floor in Langham Place, we can have an exclusive advantage to build up an intense connection with a large amount of our target customers. non only the people who are shopping in the Langham Place can easily purchase our popcorn, but also the people who will go to see movies. As we mention about, everything is about film in Pop Popcorn Sh op.The decoration style in our shop will be full of the film elements. As well as our staffs uniform. Buoyed by researches, which paint a picture that as much as 70 per centum to 80 percent of purchase decisions are made inside the retail store, firms are more and more recognizing the importance of influencing consumers at the point of purchase. Regarding to our popcorn shop, especially because of our low brand awareness at the very beginning, not only the display of our popcorn is important, but also our salespeople is essential for leading customers purchase decisions.On the other hand, when the consumers know our brand and come to purchase popcorn, salespeople may also play an important role to provide a very best purchase have sex to these customers. Thus, lots of attention will be paid to manage our sales force through the selection, recruitment, training, motivation, compensation and evaluation sections in order to provide our customers the very best salespeople, who are s ophisticated in customer service and fascinated by Pop Popcorns brand culture. 7. 2 Pop Popcorns own websiteThe very own attractive and interesting website of Pop Popcorn will provide a substantially rich source of our store and product information, including our featured popcorn, distinctive customized service about the flavor popcorn and packages, etc. Moreover, various of promotions, membership activities, and latest movies news, trials, especially those information about local Hong Kong movies can be be on Pop Popcorns website, in order to establish its very own brand awareness that combines fresh tasty popcorn with Hong Kong film culture.In addition, our user-friendly and security purchase system in the website provides a convenient way for consumers to purchase our popcorn no matter for themselves or for their friends as a gift. 8. 0 Marketing Communications Pop Popcorns marketing communication strategy will, initially, endeavor to establish our very own brand awareness amon g our target customers in order to develop our customer base. Essentially, the message that Pop Popcorn aims to communicate is that it offers high quality, various tasty flavors, as well as healthy popcorn with value price.In addition, there are various efficient approaches for us to convey this message to our target customers, which includes the own website of Pop Popcorn, online and offline advertising, sales promotions, interactive marketing and event and experience campaigns. 8. 1 Pop Popcorn weavesite The Pop Popcorn Web site focus on providing a rich source of product information with a fascinating website typography and design. Specifically, various information about our popcorn flavors, customized tin services, or promotions would be easily accessed to our customers in the website.In addition, the Pop Popcorn website will also provide a user-friendly purchase system for customers to order their popcorn online, so that they easily purchase our popular flavors popcorn or thei r customize flavor popcorn for themselves and their friends. 8. 2 publicise 1. Online advertising Since one segmentation of our target customers is the local residents who likes to eat popcorn or likes to see movie, we will focus on put our online advertizement on the film websites, where the movie lovers usually browse and access to film information.Also, advertising Pop Popcorn in the local popular image websites, like Youtube and Tudou, which has huge traffics would be an extraordinary way to establish our brand awareness, creating customers craving for our popcorns. Meanwhile, in order to cover another group of our target customerstourists, websites about spark off guides, functionlers reviews, and travelling recommendations about Hong Kong will also be our prior choices to place our online advertisements.We will seek to communicate that Pop Popcorn Specialty Store is one of the last things tourists want to miss when they travel in Hong Kong. 2. Offline advertising We will put our advertisement on the magazines that our target customers usually like to read, such as food magazines, film magazines, and travel magazines. Also, we will post outdoor advertising at the famous shopping places, where are popular to tourists and local residents especially the shopping malls that have theater inside. 8. 3 Sales PromotionsIn order to stimulate our short-run sales at the very beginning and build our long-run brand equity, we will offer multiple sales promotions to consumers. We will focus on giving away our popcorn samples because this consumer franchise-building promotion can provide a chance for customers to try our tasty popcorn. Also, we will offer coupons to encourage purchase of larger-size units and attract switchers away from competitors brands. Moreover, a frequency rewards program will be provided to customers in order to show our appreciation to them and increase their brand loyalty. . 4 Social Media With the pervasive development of social medias, w e will create our official account or page on the popular social networks, like Facebook, Twitter, MySpace and Pinterest, which will at last be a major platform for us to collect customer views and interact with customers, as well as a major platform for us to frequently update our news and upcoming promotions. 8. 5 Events and Experiences Pop Popcorn will establish a membership organization and focus on creating our own events and experience to create consumer and media interest and involvement.For example, we will constitute gratuitous film talks for our members to share their movie reviews, and other relative events. At the same time, we will try to sponsor and cooperate with local film production companies. The Hong Kong films are typically low-budget when compared with American films. 3 So its possible that we can sponsor some local films with low cost. Since film culture is one of the most prominent characteristics of Hong Kong culture, cohering Pop Popcorn with Hong Kong fi lm industry will not only wait on us to develop a large customer base of movie fans and tourists, but also increase our brand equity. . 0 Budgets for 3 years 9. 1 Revenue Forecast The revenue portend in the first year will be HKD 1,580,000(USD 203,820) after the relatively large amount of expenditure on marketing communication. Being boosted by the online and offline advertisements, as well as our very own established brand awareness, the revenue forecast should be expectedly increasing by 12% in the second year and increasing by 15% in the third year. 9. 2 yield Cost The variable costs include the popcorn kernel, flavoring and other relative supplies will account for 20% of the total sales revenue.The fixed costs include salary, rent and facilities. Specifically, the salary will be increased by 6% per year in order to maintain the staffs satisfaction. The rent of our store will remain the same in three years according to the contract, and the facilities expense is a one-time ex penditure, which refers to the costs on the popcorn machines and the store renovation cost. 9. 3. Marketing Communication Expense Related to the marketing programs described in the previous section, our marketing communication expense included half-dozen aspects.The cost of building our own website will be relatively large in the first year. The online advertising budget will increase by 10% per year while offline advertising budget will minify by 10% per year. The mainly cost of sales promotions are for free popcorn samples and printed coupons, which will decrease by 5% per year. On the other hand, the social media communication budget will increase by 20% and the events budget will increase by 15% per year since we will dedicate to have a border and deeper relationship with our customers. 9. 4 summate Budget for 3 Years 10. Reference Citations