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Kitchiehelp Sdn

Bhd
Nicer Dicer product

Intro
A start up kitchen appliance supplier
A trading company
Imports directly from manufacturer in
China
Nicer Dicer Interchangeable kitchen
blades attached to a container
Reduces the time to slice vegetables &
fruits greatly

Existing Strategies Stance


Vision
To be the best Kitchen Appliances Provider in the world.

Mission
To always provide excellent service to our customer with
quality kitchen appliances.

Objective
Focus on selling kitchen tools and machineries.
Market and selling all range of products related to kitchen
appliances in order to achieve the maximum margin.
Expanding the market share continuously.

Current Challenges and


Issues
Limite
d
Retail
ers

Produc
t
Durabil
ity

No
Versatil
ity

Challen
ges and
Issues

Imitati
ons and
Frauds

Produ
ct
Safet
y

SWOT Analysis
Strengths

Weaknesses

Unique product
Wide range of
sales channel
High-quality
components.
Instruction and
demonstration.

Dangerous.
Retailers in
Germany.
Product design
Unclear
instructions and
demonstrations.

Opportunities

Threats

Improve safety
features
Worldwide open
market
After sales
services.
Face-to-face
demonstrations.

Imitations and
similar products.
Online frauds
Hard to get
spare parts.
Not all users are
well informed

TOWS Analysis

External Factors/Internal Factors Strengths


S1 Kitchiehelp introduces Nicer Dicer which is a kitchen appliance
that overcomes the natural cooking problems and unique.
S2 - The company has wide range of sales channel including retailers
and online shops.
S3 - The product uses high-quality components.
S4 - The company provides instruction manuals and online
demonstration clips for their products.
Opportunities
SO Strategies
O1 - improve safety features on
S3O1 Use high quality products that is safe and high durability.
the product.
S2O2O3O4 The wide range of sales channel can be used as a
O2 - Worldwide open market
platform to find good retailers worldwide. Hence, it will be easy for
including retail shops.
the company to give after sales services in respective countries and
O3 - Increase the effectives of
easy to demonstrate in worldwide exhibitions, plus, fast
after sales services.
troubleshooting replies.
O4 -Face-to-face demonstrations
through public exhibitions and
fast online troubleshooting
replies.
Threats
ST Strategies
T1 - Too many imitations and
S1T1 The uniqueness of the product can help the users to
similar products.
distinguish between the real ones and the imitations.
T2 - Prone to online frauds and
S2T2 The wide range of sales channel can be the triangulation
faulty products.
basis for the customers to distinguish the fraud and faulty products.
T3 - Hard to get spare parts.
S3T3 The high quality product used can reduce the need for spare
T4 - Not all users are well
parts replacements.
informed in how to use and
S4T4 A more detailed instructions that can be given through videos
online reviews let other users
and manuals will be able to guide the users on how to use the
influence each other.
product properly. Thus, overcomes the bad online reviews.

Weaknesses
W1 - The product is very dangerous and full of
sharp blades.
W2 - Retailers only available in Germany.
W3 - The product design is very fragile and
easily broken.
W4 - Unclear instructions and fast
demonstrations of product.
WO Strategies
W1O1 The products safety features can be
improved from time to time in the upcoming
product versions.
W2O2 Find good retailers worldwide outside of
Germany.
W3O3 The company should provide good after
sales services due to the weakness in product
design.
W4O4 The company should make road shows in
order to present clear use instructions.
WT Strategies
W1T1 The product should be redesigned.
W2T2 Promote through regional shops
worldwide to provide legal products.
W3T3 Spare parts should be given together
with the products.
W4T4 Develop more detailed yet simple
instruction videos and manuals.

Place (Distribution
Strategy)
Direct to Corporate Customer
Kitchiehelp Retail Store
E-Commerce
Logistics

Promotional Strategy
Demonstrate the product and enhance the

retail store
Engage local artist
Non Traditional marketing
Kitchiehelp Tour
Attend Bicycling and Rock climbing competitions
Kitchiehelp design contest
Social Media
Advertisement in Newspapers

Recommendation

To achieve more success in the kitchen appliances industry, Kithchiehelp should realign
the Vision, Mission and Objective in the future without compromising the core values
of the original purposes:

Vision

To be the number one preferred kitchen appliances provider in the South East Asia
Region

Mission

Excellent services and in depth understanding of our customers needs will enable
us to deliver quality and value to our customer.

Objective

Shifting business focus on high quality and user friendly kitchen appliances

Expanding market share by introducing new products.

Focus on selling our core products to improve on margins


Explore opportunities in overseas market for home users and culinary sector.
Retain on current market share and increase shares revenues of kitchen appliances in
other region

Recommendation
Simplified and straightforward sales strategies
Decentralized marketing department to cater specifically
for SEA market and will embark on the following
strategies.
Focus on core products.
-focus on the current product nicer dicer and two more
product lines for our business.
-sales team shall initiate an advertisement which will
make users
to understand on how to use the product
correctly.
- Product manual also will be printed and available in local
languages

3.0.2 Recommendation
Sell deep into each account
-Based on existing Kitchiehelp customer base, the sales team
shall introduce to them the companys products / solutions in
kitchen and
culinary.
-Sales person to conduct direct demonstration on all products
Business Development
-Sales team will be encouraged to develop projects for the longer
term and address the immediate needs of the customer.
-develop further understanding on the customers perception
towards our products.
-Sales team to expand their relationship to cover the home users
as well as culinary department of restaurants and hotels.

3.0.3 Recommendation
Distribution Channels
-To reduce the initial operational cost, we start selling via Online
channels or E- Commerce portals such as other discounted channels
at a later stage.
-As the company grows, the company needs to look at expanding
the market awareness by promoting the products in hypermarkets

Market Segmentation (Demographic and Geographic)


-In the beginning to target middle to low family households.
-Young families which consist of a working couple and their
young children, to middle-sized extended families of up to 68 people.

3.0.4 Recommendation
Pricing
-target middle to lower income families

4.0 Implementation

4.1 Action plans for focusing


on core product Nicer Dicer
Sales staff training
Develop product manual and sales kit in
several languages (Malay, English,
Chinese, Tamil)
Develop an integrated marketing
communication plan including online
marketing strategies

4.2 Action plans for selling


deep into each account
Use an account management
information system to track activities
and development in each account
Understand customers business and
develop specific proposals to introduce
them to other product lines and
solutions available from Kitchiehelp.

4.3 Action plans for


Business Development
Develop long term business with major
customers in the next 12 to 18 months
after initial purchase
Expand to cover the home users as well
as to target culinary department of
restaurants and mid-sized hotels.

4.4 Action plans for


Distribution Channels
Initial
Aggressively develop and build online distribution channels
such as Mudah, Lelong, Lazada.for the core products.
Use online marketing and promotions Google Adwords,
Facebook, YouTube and targeted advertisement strategies to
attract customers to product and redirect customers to
online purchase sites.
After 6 months
Develop retail distribution channels via major hypermarkets
and chain stores, such as Aeon, Tesco, Giant.

4.5 Marketing
Segmentation
Online: Align online marketing strategies and targeted
advertisement to the needs and behaviours of the identified
market segments of middle to low income households.

Retail distribution: To develop suitable promotions and


on-the ground events targeted at middle to low income
households, at hypermarket located in geographical zones
with high population of middle and lower income
households

Geographic focus: City suburbs like Cheras, Kajang,


Kepong, Puchong and Setapak.

Product
Brand Name----->Kitchie Help Nicer Dicer
Quality------->High Moulded plastic and Stainless steel cutting Blade
Scope of product line----->Cutting, Dicing, Grating, Slicing
Warranty---->1 year
Packaging---->Attractive colour (green environment)

Price
Market penetration pricing strategy
Suppliers --->RM16
Direct selling/online---->RM20

(below range of competitor prices)

Financial plan
a)Start-up Costs
b)Break-even analysis- Direct selling
c)Projected Cash Flow statement (12 month)-Direct
selling
d)Return on investment (ROI)-Direct selling

a)Start-up Costs
Start-up costs
Food Cost
Paper Cost
Food Cost Delivery Fees

Budgeted
24% of monthly sales
4% of monthly sales
0.3% of monthly sales

39530
9487
1581
119

Wages (Hourly Mgmt)


Wages (Hourly)
Bonus

6.25% of monthly sales


14% of monthly sales
RM250

2471
5534
250

Hiring and Training Expense


Payroll (taxes etc.)
Benefits
Bank Service Charge
Outside Services
Repair & Maintentance +contracts
Cash Over/Short
Supplies (operation)
Supplies (office & postage)
Smallwares
Uniforms
Car, Delivery
Telephone (and Internet)
Utilities - Electric
Utilities - Gas
Security
Company Automobile Expense
Accounting and Legal
Rent
Capital Loan Expense Interest
Insurance
License & Permits
Newspaper inserts
Direct Mail (or letters)
Door Hanging
Target Marketing - bulk
Printing
Virtual World (online)
National Adv

0.75% of monthly sales


4.2% of monthly sales
RM300
RM50
RM65
$125
$30
$100
$50
$100
$100
$200
$410
$375
$850
$50
$350
$250
$2,800
$1,800
$450
$100
$600
$1,000
$500
$500
$350
$400
2.5% of monthly sales

296
1660
300
50
65
125
30
100
50
100
100
200
410
375
850
50
350
250
2800
1800
450
100
600
1000
500
500
350
400
988

3.5% of monthly sales

332
34624

Regional / Co-Op Ad
TOTAL

b)Break-even analysis- Direct selling

cted Cash Flow statement (12 month)-Direct selling

Return on investment (ROI)-Direct selling

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