DON HONORIO VENTURA STATE UNIVERSITY

Villa De Bacolor, Pampanga

Bacolor, Pampanga

Master of Business Administration

2nd Trimester, A.Y. 2021-2022

Marketing Plan for

DA-DELICACIES “Da-Cheesy Puto”

A plan for the Partial fulfillment of the requirements in Marketing Management

Submitted by:
Rhoda P. Paldeng

Submitted to:
Dr. Jesus D. Panlilio

August 2021

Table of Contents

1 | Page
1.0 Executive Summary . . . . . . . . . . . . . . . . . . . . . . . . . . 4
2.0 Situation Analysis . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
2.1 Market Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
2.1.1 Market Segmentation . . . . . . . . . . . . . . . . . . . . . 6
2.1.1.1 Demographic . . . . . . . . . . . . . . . . . . . . . . . . 6
2.1.1.2 Geographics . . . . . . . . . . . . . . . . . . . . . . . 7
2.1.1.3 Psychographics . . . . . . . . . . . . . . . . . . . . . . 7
2.2 SWOT Analysis . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
2.2.1 Strengths . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
2.2.2 Weaknesses . . . . . . . . . . . . . . . . . . . . . . . . .. 9
2.2.3 Opportunities . . . . . . . . . . . . . . . . . . . . . . . . . . 8
2.2.4 Threats . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
2.3 Competition . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . 10
2.3.1 Direct Competitors . . . . . . . . . . . . . . . . . . . . . . . . 10
2.3.2 Indirect Competitors . . . . . . . . . . . . . . . . . . . . . . . . 10
3.0 Objectives . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
3.1 Marketing Objectives . . . . . . . . . . . . . . . . . . . . . . . . . . 11
3.2 Financial Objectives . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
4.0 Marketing Strategy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
4.1 Target Market . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
4.2 Positioning . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
4.2.1 Price and Quality Positioning . . . . . . . . . . . . . . . . . . . . 12
4.2.2 Benefits Positioning . . . . . . . . . . . . . . . . . . . . . . . . . 13
4.2.3 Market Positioning . . . . . . . . . . . . . . . . . . . . . . . . . . 13
4.3 Marketing Programs . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
4.3.1 Product/Brand . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
4.3.1.1 Source of Raw Materials . . . . . . . . . . . . . . . . . . .. 13
4.3.1.2 Quality Control and Food Safety . . . . . . . . . . . . . . .. 14
4.3.1.2.1 Shelf Life and Spoilage . . . . . . . . . . . . . . . . . . . 14
4.3.1.3 Tools and Equipment . . . . . . . . . . . . . . . . . . . . . . 15
4.3.1.4 Physical Features and Production Process . . . . . . . . . . 16
4.3.1.5 Packing and Labelling . . . . . . . . . . . . . . . . . . . . . . 18
4.3.2 Price / Value . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
4.3.2.1 Pricing Objectives . . . . . . . . . . . . . . . . . . . . . . . . 18

2 | Page
4.3.2.2 Pricing Methods . . . . . . . . . . . . . . . . . . . . . . . . . 19
4.3.3 Distribution and Value Chain . . . . . . . . . . . . . . . . . . . . 20
4.3.3.1 Place . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20
4.3.4 Marketing Communication . . . . . . . . . . . . . . . . . . . . . . .21
4.3.4.1 Advertising . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21
4.3.4.2 Sales Promotion . . . . . . . . . . . . . . . . . . . . . . . . . 22
4.3.4.3 Public Relations . . . . . . . . . . . . . . . . . . . . . . . . . 22
4.3.4.4 Word of Mouth . . . . . . . . . . . . . . . . . . . . . . . . . 23
5.0 Financials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23
5.1 Sales Forecast . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23
5.2 Projected Cost of Goods Sold . . . . . . . . . . . . . . . . . . . . . 24
5.3 Projected Selling Price . . . . . . . . . . . . . . . . . . . . . . . . 28
5.4 Projected Sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30
5.5 Projected Income Statement . . . . . . . . . . . . . . . . . . . . . . 31
6.0 Controls . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33
6.1 Implementation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33
6.2 Contingency Plan . . . . . . . . . . . . . . . . . . . . . . . . . . . . 36

1.0 EXECUTIVE SUMMARY

Puto is a popular Filipino steamed rice cake normally eaten as a quick snack

3 | Page
or dessert. The traditional one is made from rice, water, and sugar that is stone-

grinded to make the batter or what we call 'galapong'. It is normally fermented

overnight before steaming them. The popularity of these versatile cakes has caused

the development of many modern puto varieties, which often vary in texture, color,

shape, size, and flavor. Of course, everything became easy when rice flour became

available. Puto may be an obscene word in other languages but in the Philippines it’s

a term for this innocent looking cute little steamed cake served as is, topped with

cheese. It can be even paired with a main dish like dinuguan (pork blood stew) and

pancit (Filipino stir fried noodles) and can be enjoyed anytime of the day.

Da-Delicacies is a home-base and online business located at Villa Barosa

Subdivision, Barangay Dolores, City of San Fernando, Pampanga which aims to

produce affordable, healthy, nutritious and delicious cheesy puto named “Da-Cheesy

Puto” that is fortified with vitamins and minerals. It will make use of the social media

platforms such as Facebook and Instagram in advertising its product and to attract

potential customers. Its target market will be residents of the Villa Barosa

Subdivision that belong to lower to middle class families who wish to settle for

healthier food.

Da-Delicacies goal is to provide healthy and quality homemade products to

give delight to its customers. To offer a unique, nutritious and delicious attractive

puto that will surely give a twist to your taste buds. It’s main target customer will be

low to middle class earners coming from the residents of the Villa Barosa

Subdivision and nearby villages like St. Anthony Subd. and Makabakle. In order to

make the product profitable and well known. Except for being healthy and affordable,

Da-Delicacies will use several marketing strategies that will capture the heart of the

market.

4 | Page
Da-Delicacies is expected to bring a gross sales of P 262,800.00 in its first

year with P 60,006.00 as its profit. The net incomes as well as the units produced

are expected to grow over the years. In order to achieve these sales and financial

objectives as well, market research and implementation of its marketing strategies

will need to be executed .However if things don’t go according to plan, contingency

plans have been made to ensure that Da-Cheesy Puto will not just survive but to thrive

as well.

Mission

To provide healthy and quality homemade products to give delight to its

customers. To offer a unique, nutritious and delicious attractive puto that will surely

give a twist to your taste buds.

Vision

To become a leading Filipino homemade delicacies shop in Pampanga that

offers and serves healthy and innovative delicacies for everyone.

Core Values

Quality, Service, Value, and Health

2.0 SITUATION ANALYSIS

It’s been sixteen months of enduring the outbreak of the novel coronavirus.

Filipino families are being locked down in their houses. Students are on online

schooling. Some Filipino workers work from home. Many mothers like me are having

trouble thinking about how to prepare food for their family. It must be healthy food to

have a strong immune system and a healthy body to not attract the virus.

5 | Page
It came to my idea to introduce a new product in line with selling my cheese

puto in the market. I intend to produce the best puto, a delight and wonderful taste

for the customers to enjoy at a reasonable price.

2.1 Market Summary

Da-Delicacies is a home-base and online business located at Villa Barosa

Subdivision, Barangay Dolores, City of San Fernando, Pampanga which aims to

produce affordable, healthy, nutritious and delicious cheesy puto that is fortified with

vitamins and minerals. It will make use of the social media platforms such as

Facebook and Instagram in advertising its product and to attract potential customers.

Its target market will be residents of the Villa Barosa Subdivision that belong to lower

to middle class families who wish to settle for healthier food.

2.1.1. Market Segmentation

2.1.1.1 Demographic Segmentation

Da-Delicacies intended to cater lower to middle class residents of Villa Barosa

Subdivision, Barangay Dolores, City of San Fernando, Pampanga. It is a all time

favorite food available to everyone regardless of sex and marital status.

Furthermore, it targets 3-years-old and above and is highly recommended to those

who have existing health conditions because of its nutritious ingredients.

2.1.1.2 Geographic Segmentation

6 | Page
Figure 1: Map Barangay Dolores Figure 2: Map of Mun. of San Fernando

Da-Delicacies is located at Villa Barosa Subdivision, Barangay Dolores, City

of San Fernando, Pampanga and its main target customer will be coming from the

residents of the Villa Barosa Subdivision and nearby villages like St. Anthony Subd.

and Makabakle.

2.1.1.3 Psychographics Segmentation

Da-Cheesy Puto of Da-Decalicies is looking for people who live a “wellness-

oriented” lifestyle, are concerned about diet, and are fitness-minded. They held

themselves accountable for their health and are great customers for health-related

products or items.

2.2 SWOT Analysis

7 | Page
SWOT Analysis will help the management in making business decisions and

come up with a right marketing approach. By determining the strengths and

opportunities of Da-Delicacies will lead the business to strategize and take its

advantage and opportunities in the market. Its strengths and weaknesses will focus

on internal attributes and its opportunities and threats focus on external attributes.

2.2.1 Strengths:

a. Affordable Price – the availability of the raw material supplier is in the same

location where the business is located, supplying raw materials in bulk at a

lower price. Since the business overhead cost is low the product can be sold

at an affordable price.

b. Healthier options – the nutritional values are attributes by the ingredients of

cheese puto that adds health benefits.

c. Free delivery services – Da-Delicies will offer free delivery services for

customers within the city with a minimum purchase of P200.00.

d. Product Development – since the business is new, feedback from customers

can be used for innovating the product and providing another variance as

well.

e. Expansion – opportunities to nearby villages, towns and municipalities are

feasible.

8 | Page
2.2.2 Weaknesses:

a. Limited Production Capacity – since the product will be produced at home, the

capacity of production will be limited due to limited space, manpower and

equipment.

b. Limited Market – since it is a small business the management cannot provide

for its supply chain and has a limited advertising and promotion strategies.

c. Limited Variance offered – only 1 flavor will be initially offered to the market

which will not give customers options.

d. Unattractive Packaging – since It is a start-up business the management

unable to provide for a customized packaging.

2..2.3 Opportunities:

a. Increase the number of potential customers - consumers help the business

increase sales by having a continuous number of potential customers.

b. Potential linkups to nearby convenience or grocery stores.

c. Trying to leave unhealthy food - Filipinos today are more often conscious of

their health. Puto is a steamed rice cake with nutritional ingredients to ensure

that it can be eaten by everyone.

2.2.4 Threats:

a. Strong Competitors - some competitors have a strong brand name while other

competitors have much lower prices.

b. Inflation – price increases of raw materials is possible especially during this

pandemic where the economy shuts down.

c. Future competitors – there may be new competitors that may arise and will

9 | Page
offer the same product.

2.3 Competition

In business, competition is a good way to motivate owners to be more

creative, innovative and economical. In the case of Da-Cheese Puto, there is an

existing competition in the area in terms of delicacies. Below is the list of competitors

which were divided into two categories, the direct and the indirect competitors.

2.3.1 Direct Competitors

● Susie’s Cuisine - is a one stop pasalubong shop in Pampanga serving

different kinds of kakanins and they are well known with their famous pancit

luglug.

● Nathaniel's Bakeshop - a restaurant in San Fernando,Pampanga serving

native delicacies and they are well known with their famous buko pandan

salad.

2.3.2 Indirect Competitors

● Wileepao Delights - is a pasalubong store located at Dolores junction, San

Fernando, pampanga serving native delicacies and well known with ube

halaya and siomai.

● Liza’s Homemade Kakanin - an online seller located at Bulaon, CSFP offering

puto, kutsinta and pansit on facebook.

● Maricel’s Delicacies - an online seller located at Sampaloc, Dolores, CSFP

offering puto, pichi pichi, palitaw amd lumpiang togue on facebook.

10 | Page
3.0 OBJECTIVES

3.1 Marketing Objectives

The following will be the marketing objectives of Da-Cheesy Puto:

1. Reach at least 100 potential customers for the first month of the business

operation and increase it by 25 people monthly for the succeeding months.

2. Sells 200 packs on the first month and increases it by 15% for the succeeding

months on its 1st year.

3. Sell the product at P60.00 with at least 50% mark up from the production cost.

4. Boost social media platform advertisements and aim to reach nearby villages

and in the Municipality of Bacolor also.

3.2 Financial Objectives

● To have a total sale of P 12,000.00 with at least P4,000.00 profit for the first

month.

● To have a 10 % increase in sales in the 2nd and 3rd year respectively.

(Note: 5% increase on COGS and 10% of sales as Operating Expenses)

4.0 MARKETING STRATEGY

The marketing strategy of Da-Cheesy Puto's, which promotes healthy and

nutritious merienda, will start from using word of mouth and will concentrate on

increasing customer knowledge of its provided product through the use of social

media platforms such as Facebook and Instagram.

11 | Page
4.1 Target Market

The target market for Da-Cheesy Puto Pack will be concentrating on the

customers that will provide us the greatest profit, in other words those customers

desiring to taste cheesy puto. The product covers a large number of customers.

Target customers are the students, teachers, drivers, office workers, household

workers, almost all kinds of customers are its target customers who have sufficient

paying capacity, and have sufficient interest to purchase a product that is good to

their health. Most of their target customers will be from Villa Barosa 2B, Dolores, City

of San Fernando, Pampanga and the employees and constituents of Bacolor,

Pampanga.

4.2 Positioning

The Da-cheesy Puto is positioned to be the lowest price in the market, yet has a

good product quality. The Puto will be prepared with fresh quality ingredients

everyday. Da-Delicacies will position it as one of the most renowned companies in

the food delicacies industry that provide total customer satisfaction by using existing

strategies such as simplicility and being transparent.

4.2.1 Price and Quality Positioning

Da-Cheesy Puto is less expensive than other commercial puto on the market,

making it affordable for lower to middle-class income, which will be its competitive

edge. Because it is homemade puto, it guarantees that ingredients are personally

picked by me to produce a soft, fluffy and nutritious cheesy puto.

12 | Page
4.2.2 Benefit Positioning

From the nutrition facts, notice that the cheese puto is low in cholesterol,

gives more energy, it is high in protein, and provides sufficient minerals. Puto is also

good for the digestive system, it is also beneficial to lose weight, eating puto avoid

diverticular disease, slower aging, prevent cancer, boost your immune system and

will improve your intellegence.

4.2.3 Market Positioning

For the past 16 months under the pandemic, consumers are health conscious,

they are mindful of what they eat and drink. Consumers prefer healthy and nutritious

food to strengthen their immune system to fight Covid-19. Da-Delicacies’s Da-Cheesy

Puto is the right food for what they describe. A healthy snack that is full of nutrients.

Da-Cheesy Puto is different from other puto in the market, the fact that it is my only

product, from personally buying and meticulously picking ingredients, to monitoring

the process of cooking making sure that it is soft and fluffy inside and out. And the

special personalized packaging of Da-Cheesy Puto will surely attract customers in

choosing to buy it instead of others.

4.3 Marketing Programs

A marketing program is a well-coordinated and well-designed collection of

actions undertaken by a firm in order to generate sales and meet marketing

objectives. Marketing objectives, on the other hand, are planned and tactical goals

that align with the product's strengths. As a result, Da-Delicacies will develop a

marketing budget and pick relevant marketing strategies to launch the product into

13 | Page
the market.

4.3.1. Product/Brand

4.3.1.1. Source of Raw Materials

All ingredients such as flour, baking powder, sugar, evaporated milk, eggs,

butter, and cheese are being supplied by the direct supplier from the market of

Dolores, City of San Fernando, Pampanga which is 4.8 km away from the house.

This supplier is one the big and reputable suppliers here in Pampanga, anytime you

want supply, they always have it and on time when delivering it.

Figure 3: Source of Raw Materials (Garbes-Dizon Supermarket)

4.3.1.2. Quality Control And Food Safety

Da-Delicacies will be practicing the proper food handling and preparation.

The cooking place, utensils are sanitized, I will be using high quality hand gloves,

hair nets, apron, and face masks from preparing the ingredients to the cooking

process..

4.3.1.2.1. Shelf and Spoilage

14 | Page
The home-made Da Cheesy Puto has a shelf life of 2 days at room

temperature (300C) and 6 days if refrigerated (160C).

4.3.1.3 Tools and Equipment

a. Gas stove - is a liquefied petroleum gas for cooking purposes.

b. Measuring cups and spoons - measuring cups for dry ingredients.

c. Mixing bowl - used for mixing ingredients.

d. Steamer - used temperatures must be kept below boiling.

e. Strainer- used to remove unwanted particles on the flour.

f. Mold - is a container used to shape the puto.

g. Spatula - used to level off ingredients when measuring.

h. Wooden Spoon - is a spoon used for mixing ingredients.

Figure 4: Tools and Equipments

15 | Page
4.3.1.4 Physical Features and Production Process

Figure 5: Ingredients

Procedures:

1. In a mixing bowl, combine flour, sugar and baking powder.

2. Add the milk and egg and mix using a whisk or electric mixer at medium

speed only until the batter becomes smooth.

3. Add the water, butter and grated cheese and mix well for a minute or two.

Grease each mold with butter and fill the molds with batter up to ¾ full.

4. Lastly, add the sliced cheese on top and fold in slowly using a spatula.

16 | Page
5. Fill the bottom of the steamer with water and bring to a gentle simmer over

very low heat. Place the molds in the steamer basket and steam for about 10

to 12 minutes or until a toothpick inserted comes out clean.

6. Remove the lid and add a strip of cheese on top of each put. Steam for

another minute or two until the cheese melts. Turn off heat and let it rest until

slightly cooled down.

7. Remove the cooked Puto Cheese from the molds, then serve on a plate.

8. Notes:

a. While mixing the ingredients, avoid using high speed of the mixer or the Puto

would rise too much and become airy.

b. You may also mix by hand using a whisk but also at moderate speed.

c. While steaming, I place a cheesecloth or clean kitchen towel in between

steamer racks and the top cover to avoid water from dripping to the batter.

d. Just double (or triple) the recipe to double the yield.

e. Molds can also be used.

17 | Page
Figure 6: Da-Delicacies Kitchen Layout

4.3.1.5 Packaging and Labelling

Packaging's main function is to protect products from damage, dust, dirt,

leakage, contamination and so on. It is also an essential way of marketing your

products.

Figure 7: Da-Cheesy Puto Packaging

4.3.2 Price / Value

Price mainly refers to the monetary equivalent of a product; it may be goods

or services. A seller or producer can determine the price, and the government can

control it.

4.3.2.1 Pricing Objectives

18 | Page
Da-Delicacies' pricing objective will ensure that the product price is affordable

and satisfying to consumers without compromising the product's quality and health

benefits. Da-Delicacies will make sure that Da-Cheesy Puto pricing is reasonable and

a less expensive yet competitive product as compared to its competitors.

4.3.2.2 Price Method

Da-Cheesy Puto raw materials are not difficult to find and you can purchase

them at retail stores. The costing was done on a per pack or unit basis since it would

be easier to calculate an appropriate price strategy to impose on the products. The

selling price is determined by the cost-plus pricing or also known as markup pricing.

This approach takes into account the cost of purchasing the goods from the

producer, as well as numbers for profit and costs.Table 1 shows that Da-Cheesy Puto

has an estimate total cost of production of P 40.30 per unit and desired a markup of

50% leading to its selling price of P 60.00 per pack.

Reasonable pricing of Da-Delicacies’s Da-Cheesy Puto.

Ingredients Qty UOM Unit Cost Total Cost

All purpose flour 10 grams 0.40 4.00
Sugar 5.12 grams 0.88 4.50
Baking powder 1.7 grams 1.06 1.80
Eggs 2.5 grams 1.12 2.80
Evaporated milk 3.75 grams 0.59 2.20
Margarine 0.64 grams 3.13 2.00
Cheese 1.65 grams 1.82 3.00
Total Cost Raw Materials 20.30
Labor Cost 5.00
Overhead Cost 5.00
Packaging 5.00
Delivery Cost 5.00

19 | Page
Total Cost 40.30
Mark Up % 50%
Selling Price of 1 pack (10 pcs.) net weight: 300 60.45
grams Or P 60.00
Table 1: Da-Cheesy Puto Cost per pack

4.3.3 Distribution and Value Chain

Distribution is an action or process of supplying goods to stores and other

businesses that sell to consumers.This can be done directly by the manufacturer or

service provider, or indirectly through distributors or middlemen. A value chain, on

the other hand, refers to the actions that take place from start to end to generate a

product, such as design, production, and distribution.

Da-Cheesy Puto has a physical store located at the house of the owner,

however, still offering on-line and accepting pre orders for bulk orders. Advance

delivery of raw materials for bulk orders will be done once the order is placed. Since

the production capacity is limited only. The store can only hold limited inventory, the

raw materials stored are enough to produce and accommodate online buyers and

walk-in customers. Once the raw materials for bulk orders are completely delivered,

production will take place. This method includes preparation of ingredients,

equipment and tools, and packaging materials. Once production and packaging is

done, it'll be delivered to bulk buyers by a rider. Finally, the top of the chain is going

to be the consumption of the product by customers.

4.3.3.1 Place

20 | Page
Da-Delicacies is in Villa Barosa Subdivision, Dolores, City of San Fernando,

Pampanga, just a few blocks from Jose Abad Santos Hi-way and across from the

Holidayland Restaurant. An area where almost all public utility vehicles such as

PUJs and tricycles and private cars pass through this road making it accessible and

visible to its target market.

Figure 8: Location Map of Da-Delicacies

4.3.4 Marketing Communication

Marketing communication channels focus on any way a business

communicates a message to its desired market, or the market in general. Da-

Delicacies will use the marketing tools like Advertising, Promotion, Public Relations,

and Word-of-Mouth.

4.3.4.1 Advertising

21 | Page
Advertising is regarding reaching people who are possibly willing to pay for

your goods or services and lure them to buy. Da-Delicacies will use the new

generation's most trending way of advertising to market, also called social media

marketing. Creating a Facebook business and group page is free. Making videos

that shows how tasty and nutritious stuffed Da-cheesy puto can attract customers.

These videos will be posted to those flatforms (Facebook, Twitter, Instagram, and

others). This is a highly potential strategy considering most of the people today are

Facebook users and they can pre order..

4.3.4.2 Sales Promotion

Sales promotion is a marketing strategy where the product is promoted using

short-term attractive initiatives to stimulate its demand and increase its sales. Da-

Delicacies will use the promotional technique of bulk purchase deals, it's like buy one

get one, but it will be buy 5 packs and get 1pack instead. This sales promotion will

be included in the profile picture of Da-Delicacies FB page together with contact

number and how to order.

4.3.4.3 Public Relations

Public Relations is one of the most effective ways to build on marketing

strategies and create a solid online reputation. Companies that have caught onto

that are investing a tremendous amount of time and effort into staying on top of their

PR strategies, and they’re seeing even larger returns with better ROI. Da-Delicacies

will focus on the customer relations, handling relationships with the target customers.

Da-Delicacies will be focusing on social media, by completing all the information that

a customer might ask on its page, and always post an updated appetizing

22 | Page
appearance of Da-Cheesy Puto and photos of your customers. Remember, the more

accessible and transparent information is for customers, the more positive an impact

you’ll make on them. Da-Delicacies will also offer a free delivery service to all target

market customers. Customer needs and expectations change over time, so keep

regularly seeking their feedback, suggestions, and reviews and make sure to always

respond and thank you for their feedback – whether it’s positive or negative.

4.3.4.4 Word of Mouth

Word-of-mouth marketing is the act of a consumer talking about your product

as part of his or her daily conversations rather than as a paid endorsement. From

customers' feedback, suggestions, and reviews on social media, Da-Delicacies will

repurpose them into marketing by posting these on its page. This will help the value

of claims of Da-Delicacies to Da-Cheesy Puto that can attract more customers. Most

people today trust testimonials or reviews online and as a sign of gratitude to the

customers who gave reviews and feedback.

5.0 FINANCIALS

In this section, Da-Delicacies financial projections, particularly sales,

expenses and profit projections, were illustrated for the detailed examination to

determine if Da-Cheesy Puto can be an overall revenue.

5.1 Sales Forecast

Sales forecasting is the process of estimating future revenue. Table 2 shows

the Da-Delicacies Projected Sales Forecast for September 2021 to August 2022 as

23 | Page
its Year 1, was computed based on its marketing objectives found in section 3.1.2 of

this marketing plan. This sales arrived from the objectives of selling 200 Da-Cheesy

puto packs for the first month and an increase of 15% which is 30 packs increase

every month within its 1st year for a total of 4,380 packs, and sold at P60.00 selling

price for a total of P262,800.00, sales for its 1st year.

Projected Sales Forecast of Da-Delicacies for Year 1

PROJECTED SALES FORECAST FOR YEAR 1

MONTH UNITS PRODUCED SELLING PRICE TOTAL
SEPTEMBER 200 60.00 12,000.00
OCTOBER 230 60.00 13,800.00
NOVEMBER 260 60.00 15,600.00
DECEMBER 290 60.00 17,400.00
JANUARY 320 60.00 19,200.00
FEBRUARY 350 60.00 21,000.00
MARCH 380 60.00 22,800.00
APRIL 410 60.00 24,600.00
MAY 440 60.00 26,400.00
JUNE 470 60.00 28,200.00
JULY 500 60.00 30,000.00
AUGUST 530 60.00 31,800.00
TOTAL SALES 4380 60.00 262,800.00
Table 2: Projected Sales of Da-Delicacies Da-Cheesy Puto Year 1
Note: Da-Delicacies will start in September 2021 to August 2022 as Year 1.

5.2 Projected Cost of Goods Sold

Projected cost of goods sold is just estimation and it is not on the basis of

actual data. It is calculated for making a better business plan and to minimize it.

24 | Page
Three (3) Year Projected Cost of Goods Solds of Da-Delicacies

PROJECTED COST OF GOODS SOLD OF DA-DELICACIES’S DA-CHEESY PUTO

DESCRIPTION YEAR 1 YEAR 2 YEAR 3
UNITS PRODUCED 4,380 4,818 5,300
DIRECT MATERIALS 88,914.00 102,695.67 118,617.98
PACKAGING 21,900.00 25,294.50 29,216.25
DIRECT LABOR 21,900.00 25,294.50 29,216.25
OVERHEAD AND
43,800.00 50,589.00 58,432.50
DELIVERY COST
TOTAL COST OF
176,514.00 203,873.67 235,482.98
GOODS SOLD
Table 3: Projected Cost of Goods sold of Da-Delicacies’s Da-Cheesy Puto

Da-Delicacies’s Da-Cheesy Puto - The 3 Year Projected Costs of Units

Produced, Direct Materials, Packaging, Direct Labor, and Overhead and Delivery

Cost are the following:

YEAR 1:

- Units produced are 4,380 (Illustrated in Table 2).

- Direct materials cost P20.30/pack (Illustrated in Table 1), multiply to unit

produce of 4,380. The total direct materials cost is P88,914.00.

- Packaging cost is P5.00/pack (Illustrated in Table 1), multiply to unit produce of

4,380. The total packaging cost is P21,900.00.

25 | Page
- Direct labor cost is P5.00/pack (Illustrated in Table 1), multiply to unit produce

of 4,380. The total direct labor cost is P21,900.00.

- Overhead and delivery cost is P10.00/pack (Illustrated in Table 1), multiply to

unit produce of 4,380. The total overhead and delivery cost is P43,800.00.

- For Year 1 units produced of 4,380, the direct materials cost is P88,914.00,

packaging cost is P21,900, direct labor cost is P21,900.00, and overhead and

delivery cost is P43,800.00. The total Projected Cost of Goods Sold in

Year 1 is P176,514.00.

YEAR 2:

- Units produced in year 1 are 4,380 add the objective of 10% increase in sales in

year 1 is 438. The total units produced in year 2 are 4,818.

- Direct materials cost in year 1 is P20.30/pack , add the estimated 5% increase in

COGS in year 1 is 1.015, the direct materials cost in year 2 is P21.315, multiply to

unit produced of 4,818. The total direct materials cost in Year 2 is

P102,695.67.

- Direct labor cost in year 1 is P5.00/pack , add the estimated 5% increase in

COGS in year 1 is 0.25, the direct labor cost in year 2 is P5.25, multiply to unit

produced of 4,818. The total direct labor cost in Year 2 is P25,294.50.

- Packaging cost in year 1 is P5.00/pack , add the estimated 5% increase in COGS

in year 1 is 0.25, the packaging cost in year 2 is P5.25, multiply to unit produced

of 4,818. The total packaging cost in Year 2 is P25,294.50.

- Overhead and delivery cost in year 1 is P10.00/pack , add the estimated 5%

increase in COGS in year 1 is 0.50, the Overhead and delivery cost in year 2 is

26 | Page
P10.50, multiply to unit produced of 4,818. The total Overhead and delivery

cost in Year 2 is P50,589.00.

- For Year 2 units produced of 4,818, the direct materials cost is P102,695.67,

packaging cost is P25,294.50, direct labor cost is P25,294.50, and overhead

and delivery cost is P50,589.00. The Total Projected Cost of Goods Sold in

Year 2 is P203,873.67.

YEAR 3:

- Units produced in year 2 are 4,818 add the objective of 10% increase in sales in

year 2 is 481.8. The total units produced in year 3 are 5,300.

- Direct materials cost in year 2 is P21.315/pack , add the estimated 5% increase

in COGS in year 2 is 1.06575, the direct materials cost in year 3 is P22.380, multiply

to units produced of 5,300. The total direct materials cost in Year 3 is

P118,617.98.

- Direct labor cost in year 2 is P5.25/pack , add the estimated 5% increase in

COGS in year 2 is 0.2625, the direct labor cost in year 3 is P5.5125, multiply to

units produced of 5,300. The total direct labor cost in Year 3 is P29,216.25.

- Packaging cost in year 2 is P5.25/pack , add the estimated 5% increase in COGS

in year 2 is 0.2625, the packaging cost in year 3 is P5.5125, multiply to units

produced of 5,300. The total packaging cost in Year 3 is P29,216.25.

- Overhead and delivery cost in year 2 is P10.50/pack , add the estimated 5%

increase in COGS in year 2 is 0.525, the Overhead and delivery cost in year 3 is

P11.025, multiply to unit produced of 5,300. The total Overhead and delivery

cost in Year 3 is P58,432.50.

- For Year 3 units produced of 5,300, the direct materials cost is

P118,617.98, packaging cost is P29,216.25, direct labor cost is P29,216.25,

27 | Page
and overhead and delivery cost is P58,432.50. The total Projected Cost of

Goods Sold in Year 3 is 235,482.98.

The Projected Cost of Goods Sold Costs of Da-Delicacies’s Da-Cheesy Puto in

Year 1 - P176,514.00, Year 2 - P203,873.67, and Year 3 - P235,482.98.

5.3 Projected Pricing Method

With the Da-Delicacies objectives of this marketing plan.

● To sell 200 packs on the first month and increased it by 15% to the

succeeding months on its 1st year.

● To have a 10 % increase in sales in the 2nd and 3rd year respectively.

(Note: 5% increase on COGS and 10% of sales as Operating Expenses)

Da-Delicacies estimated Selling Price of Da-Cheesy Puto for the 2nd year and

3rd year, using the price method of cost-plus pricing or also known as mark-up

pricing with desired 50% markup. Same price method used in 1st year. This

approach takes into account the cost of purchasing the goods from the producer, as

well as numbers for profit and costs.

Table 4 below shows the Selling Price of Da-Cheesy Puto for 3 years

PRICING OF DA-DELICACIES WITH DESIRED 50% MARK-UP FOR 3 YEARS

DESCRIPTION YEAR 1 YEAR 2 YEAR 3
UNITS PRODUCED 1 1 1
DIRECT MATERIALS 20.30 21.32 22.38
PACKAGING 5.00 5.25 5.51
DIRECT LABOR 5.00 5.25 5.51
OVERHEAD AND DELIVERY
10.00 10.50 11.03
COST
TOTAL COGS/PACK 40.30 42.32 44.43
50% MARKUP 50% 50% 50%

SELLING PRICE 60.45 63.48 66.65

PER PACK OR P 60.00 OR P 63.00 OR P 66.00

28 | Page
Table 4 : 3 Years Selling Price of Da-Cheesy Puto

Da-Delicacies objective is an increase of 5% of COGS for the succeeding 2

years.

Da-Cheesy Puto selling price per pack in Year 1:

- direct materials cost is P20.30; packaging cost is P5.00;

- direct labor cost is P5.00;

- and overhead and delivery cost is P10.00.

- Total COGS is P40.30, and 50% markup. The Selling Price is P60.45,

- Final Selling Price is P60.00 per pack in Year 1.

For selling price per pack for Year 2:

- Direct cost from Year 1 of P20.30 and an increase of 5% is P1.02, direct

materials cost in Year 2 is P21.32;

- Packaging cost from Year 1 of P5.00 and an increase of 5% is P0.25,

packaging cost in Year 2 is P5.25;

- Direct labor cost from Year 1 of P5.00 and an increase of 5% is P0.25, direct

labor cost in Year 2 is P5.25;

- Overhead and delivery cost from Year 1 of P10..00 and an increase of 5% is

P0.50, overhead and delivery cost in Year 2 is P10.50;

- Total COGS is P42.32 and 50% markup. The Selling Price is P63.48,

- Final Selling Price is P63.00 per pack in Year 2.

For selling price per pack for Year 2:

- Direct cost from Year 2 of P21.32 and an increase of 5% is P1.066, direct

materials cost in Year 3 is P22.38;

29 | Page
- Packaging cost from Year 2 of P5.25 and an increase of 5% is P0.2625,

packaging cost in Year 2 is P5.51;

- Direct labor cost from Year 2 of P5.25 and an increase of 5% is P0.2625,

direct labor cost in Year 2 is P5.51;

- Overhead and delivery cost from Year 2 of P10.50 and an increase of 5% is

P0.525, overhead and delivery cost in Year 3 is P11.025;

- Total COGS is P44.43 and 50% markup. The Selling Price is P66.65,

- Final Selling Price is P66.00 per pack in Year 3.

5.4 Projected 3 Year Sales

A sales projection is the amount of revenue a company expects to earn at

some point in the future.

With the Da-Delicacies objectives of this marketing plan. To sell 200 packs on

the first month and increased it by 15% to the succeeding months on its 1st year.

The Table 5 below shows the Projected 3 Year Sales of Da-Cheesy Puto.

PROJECTED 3 YEAR SALES OF DA-DELICACIES’S DA-CHEESY PUTO

DESCRIPTION YEAR 1 YEAR 2 YEAR 3
Unit Produced 4380 4818 5300
Selling Price 60.00 63.00 66.00
Total Sales 262,800.00 303,534.00 349,800.00
Table 5: Projected 3 Year Sales of Da-Delicacies’s Da-Cheesy Puto

- In Year 1, units produced are 4380 (illustrated in table 2) multiplied to the selling

price of P60.00 (illustrated in table 1).

- Total Projected Sales Year 1 is P262,800.00.

30 | Page
- In Year 2, units produced are 4818 (illustrated in table 2) multiplied to the

selling price of P63.00 (illustrated in table 4).

- Total Projected Sales Year 2 is P303,534.00

- In Year 3, units produced are 5300 (illustrated in table 2) multiplied to the

selling price of P66.00 (illustrated in table 4).

- Total Projected Sales Year 2 is P349,800.00.

5.5 Projected Income Statements

An income projection statement is an income statement for the future. It

shows how much you expect in revenue over the coming year or so, and how much

in expenses.

With the Da-Delicacies objectives of this marketing plan.

● To sell 200 packs on the first month and increased it by 15% to the

succeeding months on its 1st year.

● To have a 10 % increase in sales in the 2nd and 3rd year respectively.

(Note: 5% increase on COGS and 10% of sales as Operating Expenses)

Table 6 below shows The Projected Income Statement for three (3) years.

PROJECTED INCOME STATEMENT

DESCRIPTION YEAR 1 YEAR 2 YEAR 3
Net Sales 262,800.00 303,534.00 349,800.00
Less: Cost of Sales 176,514.00 203,873.67 235,482.98
Gross Profit 86,286.00 99,660.33 114,317.03
Less: Operating Expenses 26,280.00 30,353.40 34,980.00
Net Income (Loss) 60,006.00 69,306.93 79,337.03
Table 6: Projected 3 Year Income Statement of Da-Delicacies’s Da-Cheesy Puto

31 | Page
● In Year 1, total Sales of P262,800.00 (Illustrated in table 5), less total COGS of

P176,514.00 (Illustrated in table 3), is a Gross Profit of P86,286.00, less

Operating expenses of 10% of sales (P262,800.00 x 10%) is P26,280.00.

- The Total Projected Net Income in Year 1 is P60,006.00.

● In Year 2, total Sales of P303,534.00 (Illustrated in table 5), less total COGS of

P203,873.67 (Illustrated in table 3), is a Gross Profit of P99,660.33, less

Operating expenses of 10% of sales (P303,534.00 x 10%) is P30,353.40.

- The Total Projected Net Income in Year 2 is P69,306.93.

● In Year 3, total Sales of P349,800.00 (Illustrated in table 5), less total COGS of

P235,482.98 (Illustrated in table 3), is a Gross Profit of P114,317.03, less

Operating expenses of 10% of sales (P349,800.00 x 10%) is P34,980.00.

- The Total Projected Net Income in Year 3 is P79,337.03.

6.0 Controls

Control is essential in business. It is the process of evaluating and evaluating

the results of marketing strategies and plans and taking corrective actions to ensure

that marketing objectives are achieved. Companies must monitor and evaluate

marketing plans and strategies and make adjustments to adapt to the changing

market environment, market demands, and market opportunities. Regular review of

these controls will help you improve your performance as you adjust your programs

to better meet the plan objectives.

32 | Page
GOAL PERFORMANCE PERFORMANCE CORRECTIVE
SETTING MEASUREMENT DIAGNOSTIC ACTION
What do we want What is Why is it What should we
achieve? happening? happening? do about it?

Figure 9: Marketing Control

6.1 Implementation

This is the stage at which strategies and plans are transformed into actions in

order to achieve strategic objectives and goals. Implementing the strategic plan is as

vital, or even more crucial, than the strategy.

The implementation of the strategic plan is as important as, if not more

important than, the strategy itself. In the case of Da-Delicacies’s Da-Cheesy Puto, the

methods for implementation will be constantly watched and monitored for its

successful goal.

● Setting a clear objective

Starting with an objective statement is a smart approach to know what is the

process of the product you are trying to sell, how you are going to go about it, and

what results you are aiming for. For Da-Delicacies’s Da-Cheesy Puto, the goal is to

deliver high-quality homemade puto cheese at a reasonable price to fulfill the needs

of middle-to-upper-income customers. From there, it will need to create techniques

to identify which aspects of the marketing plan will be effective and will manage to

pursue strong marketing campaigns, particularly social media platforms to meet its

overall goal.

● Reliable resources are always available

33 | Page
Ensuring that all required materials, equipment, ingredients in the

manufacturing of puto cheese are accessible at all times so that delivery of the

products to target consumers are on time.

● Document Implementation Strategy

The most effective marketing is documented before the plan is implemented.

Da-Delicacies will document its entire marketing strategy, will spend more time in

planning each task and give each a time frame. Carefully and effectively channeling

its efforts towards achieving its goal.

● Create a Timeline for Tasks

Da-Delicacies will create a timeline because it is essential in marketing

strategy. This will help in tracking tasks if finished on time. Da-Delicacies will break

down each of its tasks and assign deadlines to each. It will help you stay on the top

of its progressa project timeline of activities in order to monitor the progress of the

plan. This will assist the business to track down activities and deadlines to manage

the business well.

● Monitor Progress Regularly

Da-Delicacies needs to monitor and track its progress regularly. Monitor its

progress in order to see whether it can meet its next target in terms of time,

resources and budget.

● Make Necessary Changes to Optimize Results

Apart from monitoring progress regularly, Da-Delicacies will also need to

consider external factors, including market trends and economic factors. Onced

identified, look for new ways to improve its tactic and approach the issue.

34 | Page
6.2 Contingency Plan

All companies are vulnerable to a certain degree of risk. Contingency plan is

an action process designed to help companies deal with events that may or may not

occur. It is called "Plan B" because if things don't go according to plan, it can serve

as an alternative action and help prepare for unforeseen events and minimize their

impact. The following are the risks associated with Da-Delicacies’s Da Cheesy Puto:

● Price Fluctuations

In the business sector, the update on demand and supply is the main reason

for price fluctuation. If the supply of shares is lower than the market demand, the

price of such shares goes high. On the other hand, if the supply exceeds the market

demand, the price falls. Da-Delicacies will negotiate and make an agreement with

certain suppliers to purchase raw materials in batches at a wholesale uniform rate,

so as to budget for future expenses and accurately predict future costs and profit

margins. Da-Delicacies also developed a plan to evaluate product prices in the event

of increased direct material and operating costs. You will look at the sales price, the

profit margin that will be added to the product, to ensure that the business does not

suffer losses in response to price fluctuations.

● Competition

This will definitely affect the success and profitability of the company. Da-

Delicacies’s plan is to continue the production of Da-Cheesy Puto, but will enhance it

like, adjusting the size of the puto cheese, or will add salted egg on top of it, or

improve the flavor by adding banana which will make it more nutritiuos. Da-

Delicacies will engage in more aggressive promotional campaigns and will increase

social media advertising to attract more customers. Da-Delicacies will create

35 | Page
promotional strategies like buy more, save more, discounts, personalized or

customized puto cheese, and free shipping for online orders.

● Limited customers -

Due to limited contacts, this is a struggle for all small and new businesses like

Da-Delicacies. Da-Delicacies will be starting to find target customers with friends,

existing customers, relatives, who know who your ideal customer actually is. Will

start communicating with the right people. Figure out what they do, their interests

and where they spend their time (both online and off) and from there, you can

already ‘talk’ to your target market through brochures, direct mail or digital

advertising campaigns. This can result in more customers, and when more

customers chances are more sales. Da-Delicacies will make and upload more videos

and photos of Da-Cheesy Puto, to show how tasty and nutritious stuffed Da-cheesy

puto can attract customers. These videos will be posted to those flatforms

(Facebook, Twitter, Instagram, and others). This is a highly potential strategy

considering most of the people today are Facebook users.

36 | Page