Air University

Meals on Wheels Marketing Plan

Muhammad Yasir Altaf 100745 Naeem Rao 100713 Awaisullah Khan 100737 Zubair Akber 100727

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Contents EXECUTIVE SUMMARY: ................................................................................................................................. 3

Business Description: .................................................................................................................................... 4

Introduction: ............................................................................................................................................. 4

Vision Statement: ...................................................................................................................................... 4

Mission: ..................................................................................................................................................... 4

Core Values: .............................................................................................................................................. 4

Business Goals:.......................................................................................................................................... 4

Industry Background: .................................................................................................................................... 5

Uniqueness: .................................................................................................................................................. 5

Details of Investment: ................................................................................................................................... 5

Proposed Business Legal Status: ................................................................................................................... 6

Description of the Business: ......................................................................................................................... 6

Food Truck: ............................................................................................................................................... 6

Centralized Kitchen: .................................................................................................................................. 6

Healthy and Safe Food and Service: ......................................................................................................... 7

Mobility of Restaurant: ................................................................................................................................. 7

Complete Meal in just less than Rs 200 .................................................................................................... 7

Working Class, Students, Family all are welcome: .................................................................................... 7

Delivery of Foods: ......................................................................................................................................... 7

ORDER VIA SMS: ........................................................................................................................................ 7

Place for sitting and dining Inn: ................................................................................................................ 8

Business Assumptions: .................................................................................................................................. 8

Marketing and Demographic Study: ............................................................................................................. 8

Customer Segmentation: .......................................................................................................................... 8

Competitors: ............................................................................................................................................. 9

Suppliers: .................................................................................................................................................. 9

Management: ............................................................................................................................................ 9

Human Resource Requirement: .................................................................................................................... 9

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Marketing MIX: ........................................................................................................................................... 10

Product: ................................................................................................................................................... 10

Price ........................................................................................................................................................ 11

PROMOTION: .......................................................................................................................................... 11

Place: ....................................................................................................................................................... 11

SWOT ANALYSIS: ......................................................................................................................................... 12

Customer Relations: .................................................................................................................................... 13

TOTAL ESTIMATED COST ......................................................................................................................... 13

ESTIMATED MONTHLY OVERHEAD EXPENSES ........................................................................................ 14

Financial Analysis: ................................................................................................................................... 15

MILESTONES and Future Plans:................................................................................................................... 15

EXIT STRATEGY: ........................................................................................................................................... 16

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EXECUTIVE SUMMARY:

MEALS ON WHEELS is a unique concept and innovative idea in Pakistan. It is basically to develop a Mobile restaurant that brings the best quality foods to customers which is tasty and Healthy as well as low in prices. The basic aim is to provide Quality Food by Saving Money and Time.

We have targeted the middle age people so that we can become their preference if they are eating out while they are on their working places, colleges, schools or they are on shopping, or having fun during Weekends.

The MEALS ON WHEELS idea addresses the problems which are daily faced by people that where should they go to eat when they have limited time for Lunch or Dinner or any Meal and they are away from their Homes. The existing restaurants are using substandard food items and cheap ingredients to minimize cost which is causing bad effect on the health of customers and charging them heavy prices from customers. Our plan is based on idea that we will use the same ingredients ,spices on our Restaurant which we are using at our HOME for cooking just to make sure that our customers will enjoy taste and health both at a time. On the other hand the prices we are offering are also very low. We have set a Benchmark that none of the items in our Menu will be priced above Rs 200 in order to get and Attract maximum customers.

The best Competitive edge we will get is by the Mobility of Location we will park our Food Truck at FAZL E HAQ road in the morning we will look for Busy Shopping Places like JINNAH SUPER MARKET and F10 Market and on weekends we will move to Busy PUBLIC places like Lake View Park, Japanese Park, or Near Margalla Hill Trails.

Our Idea is very practical and workable because it is addressing main cause in the society it will help people not to bring food from home when they are out of home. We will provide Delivery to Offices and Nearby Areas we will take orders by SMS. We have a large Market and Potential customers to serve.

The idea is unique and almost does not exist in PAKISTAN and it will attract customers from different classes and age groups.

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Business Description:

Introduction:

Meals On wheels are all about providing the fresh and healthy food to the general public busy in their daily tasks. The main purpose of our organization is to provide the best possible food and friendly services in the busy metropolitan areas. Our competitive advantage would be that we will provide healthy tasty food to the people on minimum price, superior taste and near to their working places and educational institutions.

We are here to provide the safe and healthy food which is tasty and affordable at the same time.

Vision Statement:

“To be a pioneer in providing the best food at nearest place with affordable prices”.

Mission:

To provide our customers healthy and tasty food which will not cost them much and to treat them with a smile so that they can come again and enjoy their free time at our places and enjoy their food. We will always make sure that our customers will be served with fresh food and in a courteous manner.

Core Values:

The core values of Meals on Wheels would be:

Provision of safe, healthy and tasty food. Service deliverer with a smile and in a courteous manner. Providing different cuisines and delicacies from East and West. Giving the best food with the least possible prices.

Business Goals:

The goals of the business is to provide the best food experience to the General public of PAKISTAN near to their working and educational places in the minimum prices we will try that our menu will not contain any dishes which are above the price of Rs 200.We will try to minimize our overhead expenditures with a Centralized Kitchen and Trucks used as Food Counters.

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Industry Background:

The idea is completely new as a whole, but the products and services we are offering are also offered by several other organizations. Say there are many small restaurants, Food Carts doing businesses in working places but the difference is price, quality and hygienic food at minimum prices it is not possible for them because of high overhead expenses in these working and busy areas Food Carts are one of source to get food but they use inferior quality products and cannot maintain cleanliness and hygiene so there food is not that much safe to eat. So as a new Mobile Food places and a Centralized Kitchen concept we don’t have a competitor yet.

Uniqueness:

Food Truck Concept High Quality food Healthy, clean and friendly food and service A place near working place to enjoy best food. Targeting Working class, Students and people with little amount to spend on food. Centralized Kitchen. SMS Menu and Offers. Food supply on Monthly basis. Presence on Face book and Twitter. Free Wi-Fi for Customers. Change of Location possible Targeting Customer whose are Health Conscious.

Details of Investment:

The total investment required for Meals on Wheels project will be Rs.400, 0000.The Establishment cost would be Rs 24, 47500 while the working capital required would be Rs.75, 7650 per month and nearlyRs.96800per month will be required to meet different Overhead Expenses and Rs 7, 49,350 will be deposited in bank for unforeseen and unexpected situations. The total investment would be consisting of Equity Capital contributed by 5 Partners who are establishing this business.

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Proposed Business Legal Status:

Legal status is suggested to be that of a Partnership, because it requires less legal requirements to start with as compared to a private limited company. Furthermore, a lower rate of tax is applicable to partnerships than that of companies along-with the benefit of raising capital by the introduction of more partners up to the limit of 20 as stipulated by the Partnership Act 1932.

Description of the Business:

Food Truck:

This concept is almost none existing in Pakistan. The Concept Simply helps the owners to establish their Food Stalls in Busy areas with minimum cost by establishing these restaurants in a Truck which is equipped with necessary facilities which are required for a restaurant. We will acquire a truck which will have enough space to accommodate. 1-Cooking Range 2-Fridge 3-Freezer 4- Racks for Disposable cutlery items 5-Wash basin 6-Chiller Showcase 7-Henny Penny 8-Cash Register with Computer 9-Chimney and Exhaust 10-solar Panel Installation.

Centralized Kitchen:

We will be providing food to these Food Trucks from a Centralized Kitchen. Which means that not any major cooking process will take place at the Food Truck but will take place at a Kitchen away from Food Truck? Some Ready to eat food Items will be procured by some caterers and some will be cooked by us at a distant place. And then all the food items will be supplied to both destinations by a Suzuki BOLAN Van which will make number of deliveries each day and some food may be directly delivered by suppliers at FOOD TRUCK. The concept of Centralized kitchen will help to bring the readymade food to food truck and remaining cooking process will take place at Food truck.

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Healthy and Safe Food and Service:

One the important part of the business is to make sure that the food and service we provide will be Safe from diseases caused by unhygienic conditions and we would make sure the same from where we will procure Ready to Eat Food items. There must be clearly defined rules for Staff to be followed while working at food truck or when cooking food. It should be compulsory to use gloves while cooking, serving or packing food items. The ingredients must not be spoiled and old. It would be kept in mind to use best cooking oil and spices for a better healthy food which we have in our homes. The MEALS ON WHEELS will also provide all the food items in Disposable crockery which again ensures better food in clean and hygienic way.

Mobility of Restaurant:

Meals on Wheels are a restaurant which can be moved from one place to another to have maximum number of customers. On weekdays we will park it on FAZL E HAQ Road near Blue Area Islamabad on weekends the truck will move to number of places like Parks, Picnic Spots, Tourist Areas, the prime location on weekends would be LAKE VIEW PARK ISLAMABAD.

Complete Meal in just less than Rs 200

All main course food items are priced in less than Rs 200.This benchmark is kept in mind just to make sure that were able to provide The Best food at The Best price and that we can attract more number of customers. Secondly the quantity of food would be enough as a complete meal for a person.

Working Class, Students, Family all are welcome:

The space of Restaurant may be small but the menu has a lot to offer to every age group it’s not fully a Fast food restaurant but also offer salads, sandwiches, which is for the people who are more diet and health conscious.

Delivery of Foods:

The Business will also offer delivery of Food Items but subject to Monthly Supplies and Minimum order of Rs 500.

ORDER VIA SMS:

The Meals on Wheels will offer SMS order option in which the customers have to register with the restaurant (Free of Charge) and will be allotted with a unique code

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which he has to mention in Text message it is used for Home delivery and Take Away orders. For the Take away orders it will save more time of customers.

Place for sitting and dining Inn:

Along with the Food Truck there will be a shaded place for the customers who want to enjoy their food at spot.

Business Assumptions:

Meals on Wheels will entertain 250-350 Customers each day.

Parking Rent would be around Rs 10000 per month.

There will be 5% increase in sales each year.

There will be 5% increase in Utilities expense Each Year.

The Cost will decrease by 5% each year.

Depreciation on Truck Fixture and fittings will be 10% each Year on written down value.

Marketing and Demographic Study:

Customer Segmentation:

SEGMENTATION BASE SELECTED SEGMENTATION VARIABLES

Geographic Segmentation

Region Islamabad

City Size Islamabad: 349.81 square meter and

Rawalpindi: 154 square kilometer

Population Nearly 2 Million of Islamabad and nearly 40000

to 50000 people from different parts of

country visit ISLAMABAD.

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Climate Temperate, hot, humid, rainy

Demographic Segmentation

Age 8 Years to 65 Years

Sex Male, Female

Income Rs 5000 to Rs 150000

Social class Middle class and upper middle class

Competitors:

There are number of restaurants in the areas we are going to park and serve. There are Fast Food, Local Food restaurants, Different Cafes, canteens,cafeterias,Bakeries,stalls but the competitive advantage we will get will be the Offering of Diverse Menu with best possible Hygienic conditions, Lowest price and courteous service.

Suppliers:

Dawn Bread.

K&N’s.

Bread and Butter Bakery and Confectioneries.

Tasty Catering Services.

Salem Disposable Stores.

Mezbaan Super Market.

Management: The Whole Management will be responsibility of the five partners they will fix

their duties and obligations with consultation with each other. There will be shuffle duties so that one may not get tired or lose interest in business.

Human Resource Requirement:

The business operations will be run by the all four partners and 3 more employees will be recruiting in order to deliver and execute the customer’s order more fastly and swiftly. The details of the required staff are mentioned below.

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Employee Designation Duty and Responsibility Salary

1-Chef Will responsible for cooking, Frying and serving or packing food.

Rs 5000

2-Assistant Chef cum waiter Will help the chef in his duties and also work as waiter for dine in customers?

Rs 5000

3-Waiter Take orders from cars and tables and serve the with smile.

Rs 5000

Marketing MIX:

Product: In MEALS ON WHEELS we have tried to provide Maximum variety of Food Items

which are also tasty to eat. We have designed the menu in such a way that every person from every class and every age group must come and enjoy our food. We have provided Diet Food items for the people who are health conscious .The product which are offered by Meals on Wheels are consist of following Food Items;

MENU (MEALS ON WHEELS)

No ITEMS PRICE (Rs)

1 Chicken Bryani 140

2 Fried Chicken Meal 165

3 Zinger Burger 200

4 Sandwiches 60

5 French Fries 50

6 TACO 85

7 MAMTOO 100

8 Nuggets 120

9 Roll Pratha 90

10 Chicken Franks 65

11 Brown Bread Sandwiches 60

12 Fresh Salad 120

13 Coleslaw 55

14 Russian Salad 55

15 Pastries 70

16 Donuts 50

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17 Moose Cups 50

18 Éclairs 35

19 Cold Drinks 25

20 Mineral Water 25

Price Pricing is the process of determining what a company will receive in exchange for

its products. Pricing factors are manufacturing cost, market place, competition, market condition, and quality of product. Pricing is also a key variable in microeconomic price allocation theory. Pricing is a fundamental aspect of financial modeling and is one of the four Ps of the marketing mix. The price MEALS ON WHEELS offering is also unique all the products are Under the Price of Rs 200.Which shows the concern for the customers and will definitely become an attractive factor for MEALS ON WHEELS.

PROMOTION: There will be number of ways to Promote MEALS ON WHEELS. For this purpose

Amount of Rs 50000 is allocated in establishment cost which will include Following;

A Website

An Official Face book Page

An Official Twitter Account

Advertisement through Pena Flexes.

Banners at different prime Locations.

Brochures and Leaflets & SMS advertising.

Place: Meals on Wheels are a unique Business and will travel and work on different

points in ISLAMABAD.

On Weekdays from 12AM to 5PM the Truck will be Parked and work at FAZL E HAQ Road near Blue Area.

ON Weekdays From 6PM to 10Pm it will work in JINNAH SUPER MARKET or F10 Markaz.

ON Weekends the working area would be LAKE VIEW PARK.

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SWOT ANALYSIS:

(Weaknesses)

Less Staff

Partnership Business

Long Working Hours

High Administrative

Cost

(Strengths)

Mobility of Location

Unique Place

Diverse Menu

Lower Prices

(Threats)

If Concept Copied

Competitors may

decrease prices

Fuel Prices

Government

Regulations

(Opportunities)

More Cities and

Locations

Changes in Menu

Catering Business

More Mobile Canteens

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Customer Relations:

Building up relations with our customers is a key to success of a business. Customers are our main focus therefore taking care of relations with them is very significant.

For this purpose we will first provide our customers with value through maintaining our standard and cost so that we can meet the perceived value in the minds of customers. We will work hard to achieve customer satisfaction and customer commitment by providing quality food and service and different benefits to increase employee commitment. We will make record of committed customers will issue them membership cards to offer them discounts, and Food Delivery services.

A strategy of customer retention is designed to make it in the best interest of customers to stay with us and consider us for their outdoor eating.A partner will fulfill duties of updating Twitter and Facebook accounts and sending text messages to loyal and registered customers to keep them update with latest offers and menu additions or location of FOOD TRUCK.A mobile number will be given for any complaints and suggestions and a Suggestions and Complaints Box will be placed at the Food Counter

TOTAL ESTIMATED COST

TOTAL PROJECTED ESTABLIHMENT COST

Requirements Price In (Rs.)

Master 6 Ton Capacity Truck 1700000

Truck Structure 25000

Truck Decoration 5000

Graffiti Art On Truck 5000

Chimney 15000

Haier Fridge 35000

Haier Freezer 35000

Deep Fryer 25000

Cooking Range 12000

SUZUKI BOLAN VAN (USED) 350000

PANS,UTENSILS 8000

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Henny Penny 5000

Showcases (2 Nos) 15000

SOLAR PANEL ELECTRICITY (With Installation) 100000

Wiring for Electricity 7000

Cooking GAS Cylinder 4000

Wifi Device 2500

Computer + Cash Register 10000

Uniform (3 Nos) 4500

TABLE,CHAIRS,FURNITURE 12000

Plastic Shades For Tables (2 Nos) 8000

Mist Fans (2 Nos) 26000

Exhaust Fan 2000

Pedestal Fan 3500

Small AIR COOLER 8000

Petrol Generator 25000

TOTAL 24,475,00

ESTIMATED MONTHLY OVERHEAD EXPENSES

Name Of Account Estimated Monthly Expenditure In (Rs)

Salary Of 3 Persons 15000

Electricity Charges 8000

Fuel Expenses (1000 Daily) 30000

Wifi Charges 1800

Water Charges 1500

Misc Expense (200 Daily) 6000

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Disposable Gloves,Caps,Accessories,Tissue Rolls

2500

Cooking GAS Expenses 20000

Maintenance Expenses 2000

Rent 10000

TOTAL 96,800

Financial Analysis: According to Projected Financial Statements the project will recover its

establishment cost Rs 3250656 in near about 1 year and 2 months if the things work according to the assumptions. Its breakeven point will be when sales will be made of Nearly of Rs.100,000.we have made assumptions that our Sales will increase by 5% Annually due to change in population and inflow of people in Capital City of PAKISTAN. And we have assumed 5% decrease in cost keeping in mind the cost curve. And we have assumed that every year utilities expenses will be increased by 5%.

MILESTONES and Future Plans:

In Future we have a plan to start other Meals on Wheels food truck in Rawalpindi the location might be near Satellite Town Murree Road.

Once we are on the expansion stage we will made customized Mobile Canteens for Different customers according to their needs.

We can also start licensing or franchising once we become established and recognized brand.

We will renew, update and change our Menu with passage of time according to needs and wants of potential and existing customers. We will start a separate Catering Company to cater big orders.

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EXIT STRATEGY:

If MEALS ON WHEELS will not be able to run its operations and achieve its goals successfully we will adopt following strategies to exit. 1-Selling Of Whole Business: We can sell the whole Business to some interested parties who can invest more in this business and run it more successfully and swiftly. 2-Partly sell the Equipments and Assets: We will sell the assets of the business in parts to different people in order to recover maximum amount we have invested. 3-Giving MEALS ON WHEELS ON CONTRACT: We may give the whole restaurant on contract to interested parties and can ask for fix monthly Amount or ask for certain percentage in Profit earned by them.

That’s all

Thank You