Business Plan: Branding of Sugarcane Juice

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Business plan

Branding of sugarcane juice


Business idea

 Sugarcane juice in tin packed or pet bottles.


 Our initial product to start is:-
 500 ml in tin pack
 1 ltr. in pet bottles
Brand

 Brand name – Fresh Mania


 Tag line – “Live healthy
drink better”
 Initial launch – Delhi NCR
Mission

 To refresh people of all age groups with our product by


providing them a fresh, hygienic and value for money drink.
Vision

 To evolve as one of the best Producer of quality sugarcane


Juice, extract juice scientifically and serve a totally natural
and hygienic DESI refreshment in our country.
Problems

1 Lesser shelf life of sugarcane juice


 Solution- Sodium benzoate and ammonium hydroxide
can be used as preservative
2 Our main issue is about the perception of people
about the sugarcane juice
 Solution- We must invest heavily on promotion of
juice and also marketing plan will change time to time
because we are new in the market so we have to
create awareness in customer about our product and
to attract them.
Industry

 Fruit and vegetable industry


 Top four sugarcane producer -11 June 2008 are:
Potential customers

 Every kind of individual


 We will segment our market on the basis of priorities
and attitudes of our customers towards hygienic
products
 Target customers include:-
 Students at every level
 Employees working in hot conditions
 Households, passengers
Market demographics
Market trends

 In target market there is trend of soft drinks and juices.


People use juices to have a fit life and also to serve their
guests as well. Because juices are hygienic and nutritious
and have a good taste then soft drinks. In summer its usage
is more so the availability should be increased to meet the
demand of customers.
Market growth

 Juices market expands very fast


 A new research proves that by 2014 every person will
consume 95.5 liters juice every year

Source - Wikipedia
Organization structure

 Our organization will be legally formed as partnership


firm
 Partners will be Kamran, Priyasha, Subhamay and
Amrita
Key management personnels

There will be 4 departments


 Purchasing and logistics- it will be taken care by
Subhamay
 Production and financial operation- it will be
taken care by Priyasha
 Marketing- Kamran will be responsible for
marketing. He will design promotional campaign
and will do art work for advertisement.
 Warehouse management- Amrita will be
responsible for this
Total investment in the initial stage

RS.50,00,000
Capital investment

Fixed asset cost Amount


 Security payment for the building  Rs.1,00,000 (so per machine is
 plant and machinery single unit Rs.25000)
(4units)  5,05,000 (4 * 5,05,000)
 labeling machine
 Lid ceiling machine  Rs. 45,000
 Working capital  Rs. 55,000
 Rs. 23,00,000
TOTAL
Rs.45,20,000
 Misc. cost
• Rs.30,000
TOTAL (A) Rs.45,50,000
Operating investment before
earnings (B)

particular cost
Surplus figure

 Adding (A+B) = Rs.45,50,000 +


Rs.1,60,000
= Rs.47,10,000
Therefore,
surplus = Rs. (50,00,000 – 47,10,000)
= Rs. 2,90,000
This surplus will be used to purchase operating
materials for starting period
Projected financial

 Initial capacity of the firm is to process approx.


2000 lts a day. And 4000 cans in a day. One can
(500ml) cost Rs.20 including all operating costs
and will be sold for Rs. 35 with a profit of Rs. 10.
 Capital investment will be recovered in one year
on sale of 1,34,572 units. First year expected sales
revenues will be 1,50,000 units. This means first
peak seasons will recover our initial capital
investment to some extent
COGS/can

 Items  Price
 Tin sheet / can  Rs.5
 Sodium benzoate  Rs 0.09
 Ammonium hydroxide  Rs.0.10
 Rs.0.30
 H.R cost
-6 seasonal workers hired
for 4 months @ Rs.6000 pm
 Rent (Rs,250000p.m)
Rs.0.52
Cont.

 Items  Cost
 Sugarcane single unit Rs. 10.50
(Rs.3.50 ) 500ml needs 3
sugar cane
administration Rs. 3.49

TOTAL COST Rs. 20


Company profit

 Selling price = Rs.35


 Retailers commission = Rs. 5
 Cost of good sold = Rs 20

 Profit = Rs 10
Profit percentage

 Profit percentage = net profit /cost price*


100
= 50%
Promotion strategy

 We have decided to use integrated marketing


communication in which there will be blend of
different marketing promotional tools that will
convey clear and consistent message of our product
to the customers. These Promotional tools will be:
 Newspapers
 Billboards
 Promotional vans
Competition Overview

 Direct Competitors :
Nestle (guava, grapes nectar)
Coca cola (pulpy orange)
 Indirect competitor :
Coca cola
Pepsi
ADDRESSES OF MACHINERY AND
EQUIPMENT SUPPLIERS

 Alfa Engineering Works


8, Annees Chambers Annex
Carnae Road, P.B. No. 1284
Mumbai – 400 001
 B.Sen Berry & Co.
65/11, New Rohtak Road
New Delhi – 110 005
 Peenya Engineering Industries
492, 1 phase,
Peenya Industrial Area
Bangalore – 560 059
Future prospects

 Will try to buy the patent of cane fresh


 Diversification in other juices
 Expansion in major cities of India
Thank you

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