!

Charity Drive Report

Group Members : Low En Huey

Lee Yih

Lovie Tey

Darren Sia

Khor Hao Xiang

Subject : Introduction To Business

Course : Foundation in Natural and Built Environment

Intake : February 2014

School : SABD

a. Executive Summary

The purpose of the charity event is to raise funds for SPCA (Society for the Prevention of Cruelty to Animals). Besides that, we will get to learn how to run a proper business. The net profit that we earned is RM2546.00. In this report, we analyse the target market of our products as well as the competition that we faced during the charity week. The products that we have sold throughout the charity drive are Onigiri (Japanese Rice Balls), Curry puffs, Kuih and Phone Accessories. We sold our products by twice the amount of the cost price in order to gain our profit. Posters and promotions are made to promote our products to the customers. Furthermore, we got sponsors from teammates’ parents as a form of support for this project. This report also shows how we deliver our products to our customers so that they are satisfied with our products. Green measures like minimizing the usage of plastic bags are executed to reduce the waste and proper human resource planning was conducted so that each of us work and coordinate as a team.

b. Objective

The reason we choose SPCA (Society for the Prevention of Cruelty Animals) is because:

• We personally love animals a lot , seeing many people now a days in the society neglect the existence of stray animals and abusing them is just a very non humanity act, and we , not just the lovers of animal, as human we have the responsibility to protect them I give them as complete shelter and food as possible. Therefore, we choose SPCA as our society to donate because we want to help solve this problem. For this charity week, we want to earn as much as possible not just to get good grades, it is also to get more funds to donate to SPCA. Our target donation amount will be RM500 and target sales of our product will be RM2000.

c. Target Market

Our group focused our marketing activities on reaching the Taylor’s University students as well as staffs and on the sophisticated youngsters. After the charity drive, we found that these were the customer groups that are most likely to buy Japanese rice balls, bakeries, phone cases and phone cables from us.

!

Product 1 : Onigiri (Japanese Rice Ball)

For this product, our main target market group is Taylor’s students. This customer group aged between 18 years old to 24 years old and the size of this target market group is big. They are our target market because we are running our charity drive in the university. Besides that, our store is located in front of Student Life Centre, where most of the university students can hang out or study. For us, this has provided a great opportunity for building a loyal client base. University students are usually daring and generous in spending. Students who do not know about the Japanese rice balls would dare to experiment as Japanese rice balls is something new to us. Furthermore, their spending power is low because they are still students. Our price for Japanese rice balls (RM5) is affordable for them as most of the students do not have income yet .The Japanese rice balls are packaged in a way that students can just grab and go while they are on the way to their classes. They can either choose to eat on the way to their classes or keep it in their bags until their classes are over. After the first two days of selling, we found out that we have loyal customers. They are usually Japanese food lovers. Besides that, our Japanese rice balls are tasty and filling which made us more loyal customers.

University staffs and lecturers are our minor target market group as the size of this market group is small. They are usually aged 29 and above. We also found out that some staffs and lecturer who aged 50 and above are less likely to buy from us because they are more concern of their health as Japanese rice balls consist a lot of carbohydrates. They would probably go for a healthier and light meal. However,

Target Market

Students Uni Staffs

young lecturers and staff would buy from us. For this target market group, their spending power is high because they have steady income compared to students.

Product 2 : Curry Puff and Kuih

After two days of selling, we have managed to pin point the periods of time where customer crowd is at its peak. First period would be in the morning, from 7.30 am to 8.30 am. This is when most of the students are walking or rushing to their classes. Most of them have not have their breakfast yet. Thus, we decided to sell breakfast such as scones, kuih and curry puffs as our Japanese rice balls only arrived at 10 o’ clock. Besides that, most of the restaurants at the Syopz Mall do not operate at this early hour. The target market groups are students and staffs who are hungry and have not have their breakfast yet.

Product 3: Phone Accessories (Cases and Cables)

The target market group for this product is university students and most of them are females. We made our phone cases ourselves in different designs and patterns. Females are more likely to be attracted by beautiful and cute phone cases compared to males. Besides, females usually spend more on changing phone cases while males tend to stick to simple and plain cases. Thus, our target market group for this product is really small, it is consider a niche market.

d. Competition Analysis

For this charity week drive,we have two main competitors, the first one will be the store who is selling the same product with us but source from different company, the SUMO onigiri shop as well as the store who is directly opposite of our store who is selling nasi lemak , Maggie goreng and so on at the same price as our product.

As for the first competitor, they are selling the same product as us, which is Japanese rice balls but they are from the different company source which is SUMO onigiri and ours is from NIKO NIKO. Their strength will be the location of their stall because their stall is located at the entering point of our charity week drive walkway, therefore at the earlier time of the day when people arrive to the walkway will notice their shop first before us, and this leads to us losing some potential customers as our shop is located and the further end. But, they have vulnerabilities as well, their decoration for the shop is a bit lacking so it will not attract customers’ attention. As we observed, their store does not have any marketing posters. As for pricing, their pricing for

Japanese rice balls are at RM7 on the first day, but we are only selling at RM5 therefore more customers will buy ours rather than theirs which is at a higher price. From the location aspect, their store will also lose potential customers because during the middle of the day, when most of the students are dismissed from classes, they will pass by our store first before passing by theirs.

For the second competitor will be the store opposite of ours which is selling nasi lemak ,Maggie goreng and beverages. Their strength is that they are selling a bigger portion of food product at a same price with us, for example they are selling Nasi Lemak Chicken Rendang at RM5, therefore more people will think that buying their product are more worth the price as it consist of rice,sambal, anchovies and Rendang chicken rather than ours ,a Japanese rice ball that cost the same price. Besides that, they started selling their food early in the morning, about 8.30 in the morning when most of the students have not have their breakfast. Their store has provided various choices of food for breakfast and thus they have more customers in the morning. Another strength of their store is that they sell diversities of food compared to our store which only sell one type of food. As for their vulnerabilities , their product are mostly served for breakfast or brunch, so if their product is not completely sold by the afternoon ,lesser people will buy theirs cause the products are not that fresh anymore and less suitable to be eaten as lunch.

e. Product and Packaging

1. Onigiri (main product)

It is a Japanese rice ball made from plain boiled rice formed into triangular and usually wrapped in nori (seaweed). Onigiri is very popular in Japan and a variety of different flavours and fillings can be found. The common fillings include fried salmon, teriyaki chicken, octopus, ebiko, sakura denbu and so on. It was originated from the ancient time in Japan when the people use this method to keep the rice fresh longer by filling it with salty or sour ingredient as natural preservatives.

Features • Made with Japanese premium short grain rice • Wide range of flavourings and fillings • Can be served as breakfast or lunch • Non-preservative - can be kept for one day • Grab and go - instantly can be served, doesn’t need heating up using microwave.

Packaging

• Packed with a transparent plastic sheet - customers can see how it looks inside, it

can also be kept for hours in the bag without spilling out.

• Wrapped with a specific folding technique - customers can open it easily

• Branding : a logo of Niko Niko Onigiri is sticked at the front side - customers able to recognise out

• Name of the fillings or flavourings is written in front

3 Steps to open Onigiri :

2. Handmade Phone Case

Iphone 4/4s/5/5s unique phone cases decorated with charms, pearls and diamonds by ourselves. Two colours are available: black and transparent. 100% DIY phone cases to keep the iPhones protected and the owner delighted. Might as well bring out as much of your personality as possible in the decoration!

Features • Unique style designed and handmade by ourself • Protect the fragile glass phone • No repeating design - each design is only used once for each casing

Packaging

• Placed in a transparent plastic bag - clearly shows what’s inside • Plastic bag with sealing sticker - prevent products falling out when it’s being carried

Phone Cables

Iphone 4/4s/5/5s and Samsung short phone cables. Colour available is blue, white, grey, purple, and black.

Feautures • Built in magnet at the connecting part - easy for storing, prevent tangles formed • Can be connected to a MacBook

Packaging

• Placed in a packaging box with name of brand written on it • Rectangle casing - can be stored together easily • Packaging box with a transparent sheet in front - customer able to see what’s inside

Curry Puff

A small fried pie consisting the special prepared curry and added with potato or sometimes sardin. It doesn’t contain any preservative. The curry puff was freshly made by the food stall auntie every morning and can be preserved for one day long.

• Can be kept until evening • Suitable to served as breakfast or tea time food

Packaging

• Packed in a small transparent plastic bag • Sealed with cellphone tape to ensure the cleanliness of food • In the serving of 2 curry puff per plastic bag

Kuih Seri Muka

A two-layered dessert with steamed rice forming the bottom layer and a green layer on top made of pandan juice. Coconut milk is added to impart creamy taste in it. One of the popular Malay kuih can be found selling at the roadside food stall.

• It’s cut into small cube size - easy to hold • Suitable to buy as breakfast • Convenience - can be served straight away

Packaging

• Placed into a normal size plastic bag • sealed with cellphone tape - keep cleanliness of food • Can be kept in the bag after buying • The plastic bag keep the hand clean all the time when eating the kuih

f. Pricing

Product 1 : Onigiri

! Selling Price : RM5.00 per piece Cost Price : RM2.50 per piece

Two days before the charity week, we had a test market to test the attractiveness of this product. We bought 60 pieces per day. The response was good as we managed to sell all of them for that two days. The original selling price for this product at their outlet is RM 3.80 per piece. We got discounted price which is RM2.50 per piece because we bought in bulk. In order to earn more, we sell the product at a price of RM5.00, which is two times of the cost price. We decided not to raise the selling price of this product although the market was good.

!

Based on the graph above, it shows a steady increase of Japanese rice balls that were ordered and sold in 7 days. On the 17th of November, we ordered 100 pieces of rice balls and sold all of them in 3 hours’ time. The product was sold at a faster rate and thus we decided to order more in the next day in order to increase our sales. On the last day of charity drive, we ordered 200 pieces of rice balls, and faced difficulties in selling them because the choices of flavors for the rice balls were less and most of the university students do not have classes on Friday. However, we still managed to sell all of them at a slower pace. In order to sell all of the rice balls that we have ordered, we lowered down the price of this product at the end of the day to prevent wastage. For example: we sell 4 rice balls for RM15.00, 3 for RM 12.00, 2 for RM8.00 and 1 for RM5.00. This promotional has helped us to sell all of our rice balls on the last day of sales. This promotion has helped us to sell all of our rice balls on the last day of sales.

Numbers of Onigiri Sold and Ordered

0

50

100

150

200

12 NOV 13 NOV 17 NOV 18 NOV 19 NOV 20 NOV 21 NOV

ONIGIRIS SOLD ONIGIRIS ORDERED

Product 2 : Phone cases

Selling Price : RM10- RM 35 Cost Price : RM6 – RM 25

The sales for phone cases were bad. Only a few cases were sold. However, the profit that we could gain is high if we managed to sell all the phone cases.

Product 3 : Curry Puff and Kuih

Selling Price : RM 1.50 per piece Cost Price : RM 0.50 per piece

g. Promotion Main Marketing Message

Funds to the Rescue! This is the slogan we used for our business. We donate all the profits we earned from this business to SPCA (Society for the Prevention of Cruelty to Animals). By buying an onigiri from us, this means doing charity for a good cause, giving back to our own society. The money earned from an onigiri sold can provide two meals to a dog who doesn’t have a healthy home to stay, or has been constantly beaten up by the heartless men. The is the least that everyone can do, by giving help to those who need!

Poster Posters are created using Photoshop and displayed on our charity drive’s booth. Informations such as slogan of business, types of food, pricing and name of organisation is included for better understanding.

• Easily visible to gain attention from the onlookers • Important information can be seen from quite a distance • It can be placed at anywhere • Can be printed out easily in one copy or more

Menu

Pictures of the fillings and the name of onigiri is printed on a menu, placed on the table of our stall. Black colour is used as background to contrast the informations out.

• Customers able to see the variety of choices • More informations on the detail of the fillings inside the food • Pictures of food act as reference to promote

Social Media - Instagram

Posters created and photos of the actual charity event were uploaded to Instagram, added with a caption to briefly promote our stall.

• Instagram acts as one of the popular online photo-sharing service • Friends will be able to read the message, our stall is then at the same time being promoted

Video link : http://youtu.be/l7AIOefdlPI

h. Sponsors

For this project, we have approached the owner of NIKO NIKO ongiri shop in SS15, Mr Mike, for sponsorship as he was the supplier of our rice balls. We called him to enquire about the sponsorship as he was not at the shop when we visited. However, through the phone call, Mr Mike could not sponsor us the products but he was willingly to sell the rice balls to us at a lower price, from RM3.80 to RM2.50.

Besides that, we have successfully got sponsorship from our teammates’ parents. Our parents showed great support for this project. They have sponsored us by giving us cash.

These are the name of the parents that have sponsored us:

Lovie Tey’s Mother , Chong Hui Lin : RM100.00

Khor Hao Xiang’s Mother, Annie Lai Chuey Har : RM100.00

Lee Yih’s Father, Lee Kwee Choy : RM100.00

A great thanks to the parents who are generous enough to sponsor us money for this project.

i. DISTRIBUTION

In distribution of our products, first we chose to get our stocks from the nearest place possible from Taylor’s Lakeside campus so that we can save time as well as transportation cost to deliver the stocks from shop to campus. So, we got our stock from ss15 NIKO NIKO Onigiri shop as it is the nearest shop that provides the stock we want around. Other than saving time and transportation cost, we intend to get the stock fresh every day for customers, therefore we requested the NIKO NIKO onigiri shop to make the fresh onigiris every morning . We approach their shop to get the stocks every morning so that we can sell fresh products throughout the day and keep constant of this method for the whole Charity Drive Week event. But, fortunately the boss of the NIKO NIKO Onigiri was kind enough to deliver the stock to Taylor’s Lakeside campus for us during the last two days of the events due to us buying in bulk of their products for almost the entire week.

Our products are delivered to the stall every day before 10 a.m. by us, which is the time before our stall opens. It is not needed for customers to wait for their products when buying from us our products are well packaged and customers just pay, take and go from our stall.

The number of customers we can reach effectively is quite high, this is proven by the sales of our products as we sell about 150-200 onigiri per day and they are all sold out by the end of the day and each customers who brought our product will buy around 1-7 onigiri per day, therefore the number of customers we have per day is approximately 100 people. For our donations, we have two of the SPCA donation box therefore more people are willing to donate to us as it is well proven a legit donation box. The efficiency of customers and donators are also increased as we have 5 people in the group, therefore we always take turns to walk around campus to sell our products and get donation at a 2 person per time and 2-3 times walking around the whole campus frequency. Other than selling onigiri, we also sell custom made phone case personally made by us and these products can be ordered online from social sites such as Facebook and Instagram, whereas onigiri we also provide booking services as customers can book the product they want and we will reserve some of the products for the customer the next day actually via phone calls as well as on our stall itself.

j. Green Measures

We chose Japanese rice ball as our main products because it is a conveniently packaged food that is made fresh in the morning. The second products of our store are phone casing and phone cable

Our product is not made in an environmentally conscious manner as the packaging of the rice balls are made of plastic. Plastic is a non-renewable and it is difficult to decompose. It is a threat to the environment and living things especially marine animals. However, the supplier minimized the usage of plastic in the packaging of the rice balls. The wrappers of the rice balls are made so that it is in thin layers of plastic. This thin plastic does not contribute much to carbon footprint. The second product of our store will be phone cases and phone cables. Our phone cases are packaged with a transparent plastic bag to minimize the waste of plastic and the plastic bag can be reused. The packaging used for the phone cable is cardboard; the packaging of the cable can be recycle or be reused.

The wrappers of the Japanese rice ball are very thin layers of plastic so that it does not contribute much to carbon footprint and that’s a label printed on the wrappers so that the consumers will dispose the trash properly. Besides that, the packaging of the phone casing and phone cable also has a printed label to make sure customers will dispose the trash properly. Besides that, we did not provide plastic bags for the customers. For customers who buy a lot of the products, we will reuse the plastic bags we got from the suppliers. This method of reusing plastic bags has helped a lot in reducing carbon footprint.

The product’s wastes after use or consumption will be throw into the dustbin. In our store we did not use any electricity because our group did not need to use any electrical gadgets. There were not much paper waste as we used the same posters throughout the entire week.

k. Human Resource Planning

! Project Manager : Plans things that need to be done, making sure that the project

is running on time, observe the changes in project and what is need to be corrected, make sure that the team reached the targeted sales.

Accountant : prepare financial records, make sure accuracy of the records, monitors the flow of money, pay money to the suppliers.

Advertising Executive : Designs posters, plan promotional activities, in charge of the decoration of booth, promoting products.

Sales Executive : Approach potential customers to sell products, negotiates with customers

Supply Chain Manager : Manage distribution of products, communicate with suppliers, obtaining products from supplier.

Project Manager • Accountant • Advertising

l. Evaluation of Results

!

There is no loss in this project. We have earned a net profit RM2546.00.

In this project, the thing that we did correctly is that we chose to sell Japanese rice balls which is the main sales of our group. We have earned a lot by selling Japanese rice balls and it is easy to sell because it is delicious and got the liking of students. Our team members only have to contribute a little amount of money to buy the product. On the other hand, the thing that we did wrongly is that we did not plan properly at the start of the project where we decided to sell customized phone cases and phone cables. We bought the products before testing the market and the response was really bad even after we tested. The prices of the phone cases are RM15 and above which cause us to lose customers due to the high price.

If we were to repeat the event one more time, we would have only invest in the Japanese rice balls instead of the phone accessories. Besides that, we would also sell more variety of food to increase our sales.

PROFITS AND COST

0

250

500

750

1000

12 NOV 13 NOV 17 NOV 18 NOV 19 NOV 20 NOV 21 NOV

PROFIT COST

Reference

1. (EXECUTIVE SUMMARIES COMPLETE THE REPORT, 2007) 2. Small Business : Canada Expert . How to write a business plan . Retrieved

from :http://sbinfocanada.about.com/cs/businessplans/a/bizplanmarkanal.htm