Marketing Plan for Ready-Made Canned Food 2017 ~ 2018 in Myanmar Brand Name: Foodie

Executive Summary

I’ d like to sell ready-made canned food in Myanmar Market. Firstly, I will start to sell only in Yangon and Mandalay for Modern Trade and convenience stores. And then, will go to whole sales and will extend the market as intensive distribution like other FMCG products. Target consumer, Business executives and students who live in Yangon and Mandalay and may be them are away from family and busy type person and they don’t want to cook to get a curry but they want to eat dinner with curry, their income level is from middle class and upper middle class, that we called B level. I will sell 4 kinds of ready-made canned food like Hot and spicy fried fish, sardines in tomato sauce, beef curry and pork curry. The objective is to achieve 20.1 Million USD in sales from all 4 products in Yangon and Mandalay by the end of 2017-18 financial year (it means within 1 year) and breakeven will meet on 1 year sales. After that, I will expend the market to next 4 cities with another 1 year plan.

Mission Statement

We are producing and selling the ready-made food product that we are focused on healthy recipes and best Myanmar taste for those who don’t have time to cook in city life.

Vision Statement

We want to become ready-made food market leader in Myanmar and we want to expand the market not only Myanmar but also we will try to export to other countries where Myanmar families lives in there. Moreover, we want to promote our recipes and Myanmar curry taste to those country.

Situation Analysis

Company Goal

To become market leader in ready-made food industry within 3 years

Focus

City life busy people, Business executives, students away from family who live in apartment, hostel and home alone

Healthy recipes like fish sauce, real peanut oil and a little amount of sugar like this. We will not use any unhealthy recipes to our curry.

High tech machine of us can cover unwanted side effects that happened in low end brand come from black market.

Culture

Most Burmese people are almost eaten at home for breakfast, lunch and dinner that have prepared by Mother or elder sister or home maid. But, Country is now developing in the stage and job opportunities are coming and booming. Therefore, Burmese women working rate is higher than before and women take important role in related sector and industry parallel with Men. So, they have to study, have to learn and have to spend time for carrier development and social status. In the

meantime, they are working and taking important role in their company, jobs and family too. Even they know they have to cook for family or for themselves, but they don’t have enough time. As a result, they got stress of it and they are finding the reliable food with healthy recipes that they can bought easily at City Mart and convenience stores like ABC, g & g and City Express.

SWOT Analysis

Strengths

We well know Myanmar insights and Myanmar taste. Raw materials can get easily and we have sources We have strong network and contacts to distribute and sell our product We know the Myanmar culture (it’s will be strength in marketing

communications)

Weaknesses

Price line will be a little high rather than ready-made canned food that comes

from Thai and China via black market.

Lack of brand recognition because it was a new start up business

Need to take on debt to get the business off the ground.

Opportunities

Young Adults growing rates is higher than before (working age is 18 to 60, this segment is a quite big for market opportunities)

Female can stand the same as male in all role Health Conscious mindset (they will not eat cheaper canned food that come

from China via black market and it can be caused unwanted side effects) Educated Environment is larger and larger (they will request FDA and

consumer rights, we are doing business in Myanmar with FDA approved and healthy recipes focus, we will be here for all responsibilities for our customer satisfactions, we are reliable one)

Threats

Thai Food (“Ready” Canned Food, current market leader in ready-made food market)

Cheaper canned box that comes from China High quality machines- Equipment is expensive

Cannot start with Mass production (Cost of production will be effected)

Market Trends This growth is fueled by the changes in the workplace and workforce that are causing workers to consume more of their meals away from home. Away from home food sales are expected to increase year by year according to MMRD (research firm).

As more and more consumers eat away from home, the demand for higher quality is also growing. Margins will increase as premium prices are being placed on branded, high-quality products. Demographic trends are affecting the industry. A large group of young adults, who mainly grew up on fast food, have emerged as an economic force. This group's perceptions on fast food, technology, will have a positive impact in ready-made food business.

Competitors and Market Share

The main competitor is “Ready” canned food that come from Thai and they have already entered officially in last 3 years ago. The most ready-made canned foods come from Thailand and some from China.

The Market is still huge to enter as a new brand since economy is growth and job opportunities also growth. The urban city life people have to work from the start of the day to the end and they have to go school for post grad diploma of their related field for their carrier growth and status and some are attending MBA class. And, most people around country, after they have graduated, they came to Yangon and then they are working for their better future. Mandalay is second City followed by Yangon.

Competitors, Product line and Price List for “Ready” Canned Food as of September, 2016 for wholesale

No. Type Net Wt. (g)

Unit/Ctn Price/Unit in MMK

Price/Ctn in MMK

1 Ready Sardine in Tomato Sauce

425 24

950ks (Buy 1 Ctn, Get 1 Can free)

21,888ks/912ks

2 Ready Sardine in

Tomato Sauce 155

100 295ks

29,000ks/290ks

3 Ready Sardine 155 100 450ks 44,500ks/445ks

4 Nga Gyin Soybean 155 100 780ks 77,500ks/775ks

5 Nga Gyin Stew 155 100 780ks 77,500ks/775ks

6 Stearned Nga Gyin 155 100 780ks 77,500ks/775ks

7 Nga Gyin Fish Cake 155 100 780ks 77,500ks/775ks

8 Nga Gyin Sweet &

Sour 155

100 780ks

77,500ks/775ks

9 Nga Gyin Hot &

Spicy 155

100 780ks

77,500ks/775ks 10 Chicken Curry 155 100 1005ks 10,000ks/1,000ks 11 Mutton Curry 100 100 1180ks 117,500ks/1,175ks 12 Beef Curry 100 100 900ks 895,000ks/895ks 13 Roasted Duck 100 100 1280ks 127,500ks/1,275ks 14 Chickpea Curry 155 100 350ks 34,500ks/345ks 15 Tuna Chunk 65 48 550ks 26,160ks/545ks 16 Tuna Chili 185 48 950ks 45,360ks/945ks

17 Tuna In Vegetable

Oil 155

48 950ks

(Buy 1 Ctn, Get 2 Cans free)43,776ks/912ks

Objectives – SMART

To achieve 20.1 Million USD in sales from all 4 products in Yangon and Mandalay by the end of 2017-18 financial year. (it means within 1 year)

Market Segmentation (STPD)

Segment Description

The person who live in Yangon and Mandalay and who will be busy with jobs or education. They don’t want to spend their time for cooking and they are now buying ready-made food for their lunch and dinner from City Mart, ABC, g & g etc. and they used to go to restaurant for dinner. But sometimes, they don’t even have a time to go to restaurant for a dinner. So, they are finding for ready-made food like breads, noodles and ready-made canned food. In the other hand, they want to spend around 1 USD for one pack of curry.

Targeting

Geographic – Yangon (7,355,075 Million population) & Mandalay (6,145,588 Million population), According to 2014 Census data of Myanmar

Demographic – Age 16~ 45 , Male & Female, Business Executives who study additional related degree with their jobs, Students, all religion, B level Social class (middle class and upper middle class), who live in apartment, home alone, hostel and far from family

Psychographic – Busy, want to spend more time on future plan Behavioral – they trust all City Mart. So we will start our selling in City Mart

for upper middle class and middle class. After that we will go to the rest convenience stores nearby.

Positioning

Healthy recipes, best value ready-made canned food Brand name: Foodie Tagline: The real proof of best Myanmar taste.

Differentiation

The best taste of Myanmar, and the real product of Myanmar.

Marketing Mix

Product

Brand name: Foodie Quality: Best taste of Myanmar Scope of product line and taste: 4 Products

o Hot and spicy fried fish (100 g) o Sardines in tomato sauce (155 g) o Beef curry (125 g) o Pork curry (125 g)

Warranty: Healthy recipes with FDA approved and GMP certified Packaging: Premium look with gold color (Gold color represent Myanmar)

Price

Foodie Canned Ready-made Food

Fish (800 Ks), Pork (900 Ks), Beef (1,000 Ks)

Payment terms and financing options

1 Month Consignment for quarter 1 1 Month Credit starting from quarter 2

Distribution (Place)

Yangon & Mandalay Selective after that Intensive Distribution We will set the sales and distribution group ourselves and we will go direct to

modern trade. And, we will also go with wholesaler and some intermediaries’ distributors for Mandalay. We will give the margins for distributor to push sale.

We will go first to City Mart, ABC, G & G and other convenience stores at Yangon and Mandalay. After that, we will go some grocery shops around streets in the City and whole sale market like Thein Gyi Zay, Nyaung Pin Lay Zay, for Yangon and Zay Cho Market for Mandalay etc.

Promotion

BTL We will go with sales promotion, No discount on products but we will give

POSM to consumer like coffee cup for dozen sales like that. And, seasonal promotion to end consumer like giving the umbrella in rainy season etc.

And, we will go with Trade promotion to push sale like Half Ctn Free ( 6 Can) for 12 Ctn sales. (1 Ctn x 12 Can) and we will go with volume discount to push sale.

For wholesaler, we will go with margins to them, and volume discount to push sale.

Later after breakeven, we will use budget for some merchandising techniques supply like shop name, flag line and signage etc. for BTL and we will go with ATL like TV channel that covered Yangon and Mandalay as a mass communication and creditability.

Short & Long-Term Action Plan

According to objective, I will set daily sale target, weekly and monthly sale target as per below.

Average Sales Target is like 1,000 Can daily x 850 Ks x 4 Product x 2 City x 30 Days x 12 Months

If some product can’t hit the target, I will do survey according to geographic, demographic, culture and I will made a change accordingly.

Every week, we will go market visit to those convenience stores and all city mart as a market survey and we will apply on our related operations.

According to sales, the average cost of production is 650 in total. I hope breakeven point will be reached on 1 year sales. (Office, Machine, Production, Distribution, Sale Truck, Executives Salary)

After 1 years breakeven, I will expand the market to next 4 City like Taunggyi, Pathein, Naypyidaw and Pyay with next year plan.

Best Regards, Hsint Sanda MBA - Stamford International University (Thailand) Date - 25th September, 2016