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Description of the industry

In this industry, there is no very specific market segmentation for as long as


a consumer is capable to buy and is being satisfied with the product. It has
been a remarkable success for the Siomai franchise industry these past few
years proving that it has acquired large number of consumers from time to
time. Furthermore, the number is continuously increasing because of the
growing demand for Siomai products though the highest level of demand still
goes to and shared by well established brands which have large market
shares. As a result, it encourages more market competition and existence of
new products and brand names. Juan Delisiomai is a sole proprietorship type
of business which offers a variety of unique and health inspired flavors to the
customers. The business does all the process and activities involved such as
production of raw materials, distribution, food processing and retailing.
Targeted markets
The main target markets of Juan Delisiomai consist of consumers who are
most likely at early to middle age (16-50 years old) whether he/she has or
hasnt tried Siomai products yet.

Table 1
Target Market
Location

Age
Occupation
Experience

Primary
Those who are inside
the vicinity of Centris
Station, Quezon Ave.
Quezon City
16-50 years old
Students and
employees
Have tried Siomai
products

Secondary
Those who are outside
the vicinity of Centris
Station , Quezon Ave.
Quezon City
Above 50 years old
Non-professionals
Havent tried Siomai
products yet

Table 2
Demand and Supply Analysis
Total
Demand
(# of
Customers
Visiting
Centris
Station)

Supply (Total
average number
of purchases
from Siomai
Stalls in Centris
Station)

2015

2,382,720

211,450

6.4%

2016

2,430,668

190,442

15.4%

2017

2,440,305

179,890

17.6%

2018

2,609,422

163,113

21.1%

2019

2,632,010

155,201

24%

Year

number of
Stalls in the

Estimated
Target Market
Share

area

Table 3
Historical Data
Year

Demand
(Customers
visiting Centris
Station)

2010

1,834,244

Supply (Total
number of Siomai
Purchases being
produced by Stalls
in Centris Station)
139,331

2011

1,783,330

154,404

2012

1,810,045

170,899

2013

2,144,341

167,216

2014

2,270,075

189,983

Increase per Year:


Demand = 2,270,075 1,834,244
4

Demand =108,958

Supply = 74,505 56,220


4

Supply = 4,571
*The increase in the demand and supply is computed using the Arithmetic Straight Line
method.

The value of the supply and demand in the year 2012 and 2008 was

subtracted and was divided by year 5 minus year 1.

Market size and trends

The industry allegedly reported that during a half day of observation in a


mall and train station, it is to conclude that there is an average of 1,324
consumers who buy Siomai(s) from just two stalls. It is also to conclude that
most of the stalls were placed in a location which is most likely to be walked
and seen by potential customers so that they would likely to standby and eat
quickly or with ease. The number said might grow by up to 40% within 3-4
years specifically in urbanizing areas.
Competition and competitive edge

Since large market brings competition, it became too saturated that


customers have to choose, try and recognize quality Siomai brand before
he/she patronizes it. The largest part of the market share is owned by
Siomai House by Bernabest products Inc. It is then followed by Master
Siomai owned by Masterrific foods Inc. and followed lastly by Siomai King
owned by JC franchising Inc. The other familiar competitors share the rest of
the parts.

The following shows specific direct and indirect competitors:


Indirect
Competitors
Hen Lin

Logo

Company
owner
M&H Food
Corporation

Dimsum n
Dumplings

ON Group

Mini Stop

Sky one Food


Inc.

Direct
Competitor
s
Siomai
House
Master
Siomai

Shanghai
Siomai
Siomai
King

Logo

Siomai
Flavor(s)
Siomai,
Beef,
Shrimp,
Sharksfin
Pork,
Sharksfin,
Crab,
Mixed

Price
Php
Php
Php
Php
Php
Php
Php
Php
Php

28
33
33
28
38
49
49
49
29

Customer Review
3
4
4
4
4
4
4
4
4

Right mix and


lean of meat
Good variation of
flavors
Very tender and
chewy and has
light sweet taste
Pretty flavorful at
its price

Company
owner

Siomai
Flavor(s)

Price

Bernabest
Foods Inc.

Pork and
Shrimp

Php 28

Php
Php
Php
Php
Php
Php

28
28
28
30
30
30

Php 28

Php 28
Php 25
Php 25

Masterrific
Foods Inc.

Pork and
Shrimp
,Chicken,
tuna,
Beef,
Japanese,
Sharksfin
Shanghai
Shanghai
Siomai Inc.
Siomai
JC Franchsing Shanghai,
Inc.
Hongkong
,
Japanese

Pcs

Customer
Review
Good and
consistent taste
from branch to
branch
Soft, large and
very fulfilling
but not
complete
without chili
garlic
Quality at an
affordable price
Quantity over
quality,
average - good
taste quality

Our competitive edge is that we offer variety of unique flavors apart from
the typical ones which are being offered from the early years of the industry
up to nowadays. Since Siomai was originated from China as stuffed dough

wrapper with ground pork, beef and chicken, we considered taking it to


much healthier taste. Customer can also choose whether it is fried or
steamed and they can rest assured on the quality of every product we offer
will be at its most acceptable price. We also train our employees to become
efficient when it comes to serving and maintaining cleanliness within the
retailing area as well as being good customer oriented personnel.

Barriers to entry

As a newbie to the industry, we seek and analyze possible problems that we


might encounter before and during our launch basically by considering the
4ps.Every product of ours should be on its best quality (appearance, taste,
smell etc.) before it has to be offered and tasted. The problem will circle
around product formulation and production. Secondly, the price will surely
affect the first impression of potential customers and so were considering
lowering it than the usual in order to enter the competition. Thirdly, the
place where it will be sold should be determined properly whether it can be
easily seen or walked by potential customers as well as setting apart from
the other competitors present in the area especially those which are well
established. Lastly, the promotion will play the most important role of all, for
it will make our products recognized and perceived by the customers.
Promotions can cost a lot of expenditures in order to bring great retention
into their minds.

Estimated market share and sales

The following shows the estimated possible market share of Juan Delisiomai
within two years. Sales are also expected to grow by up to 50% within its
next consecutive years. This will definitely takes a lot of time and marketing
effort to compete with the other well established brands.

Estimated Market Share

Siomai House

Master Siomai

Other brands

Year of
operation
1st year

Estimated
day sales
100 orders of
Siomai and
90 orders of
Buko drinks
over 12
hours

Estimated
annual sales
100 x 340
=34,000
90 x 340 =
30,600

2nd year

115 Siomai
104Buko
Over 12
hours

115x 340
days =
39,100
104 x 340 =
35,360

3rdyear

132Siomai
120 Buko

132 x 340
days =
44,880
120x 340 =
40,800

4th year
Selling price
increases

152 Siomai
138Buko
over 12
hours

152 x 340=
51,680
138 x 340 =
46,920

Juan Delisiomai

Gross annual
income
34,000 x
30/each =
1,020,000
30,600 x
18/each
=550,800
(1,570,800)
39,100 x
30/each =
1,173,000pesos
35,360 x 18
=636,480
(1,809,480)
48,880 x
32/each
=1,346,400
pesos
40,800 x 18 =
734,400
(2,080,800)
51,680x
32/each
= 1,550,400
pesos
46,920 x

5th year

175 Siomai
159 Buko

175 x 340
days =
59,500
159x340 =
54,060

18/each
= 844,560
(2,394,960)
59,500 x
32/each =
1,785,000
54,060 x 18 =
973,080
(2,758,080)

Marketing strategy
Juan Delisiomai is in need of excellent playing tactics in order to endure
heavy competition in the market nowadays. Well established brands still
dominates while others remain inferior and unrecognized. This only explains
that what drives the market leader to lead lies on the efficiency of its
Marketing strategies.

Product line and Price


Juan Delisiomaibasically offers Siomai in two different flavors: Veggie pork
and Veggie chicken. Furthermore, drinksuch as Fresh Buko is being offered
too.
Product/Flavor Price
Veggie pork
and shrimp
Veggie
chicken

Php 30
Php 30

Veggie Beef

Php 30

Fresh Buko

Php 15

Positioning

As a new entrant to the current market competition, we are confident


enough that our brand and products will make a distinguishing position to
create its own space. What sets apart from our brand to any other brands is
the unique quality of every product we offer. It is with pleasure to serve not
just for satisfaction but with such benefits our products have. Our brand can
soon be recognized as healthy Siomai with unique twist.
Distribution Channels
We do the production, food processing and even the selling of product.

Juan
Delisiomai

Customer

Advertising and Promotion


Time

Activity and
Mechanics

Cost per Unit/


Total Units

One week before

Give leaflets or

3.00 each

opening

flyers

(P3.00x100pcs)

Total Cost

300.00

one (1) week


before opening
(100 pieces)
-

Tarpaulin

8.00 each
(P8.00x100pcs)

800.00

4ft by 6ft
To be placed

600.00

outside the mall


vicinity

First set of 50
customers
Opening Day

Give-a ways for


the first 100
customers.

Advertisement on
Social Media
websites

(T-shirt
P100.00x25pcs)

2,500.00
750.00

(Fan P30 x
25pcs)
Next set of 50
customers

250.00

(Ballpen
P10.00x25pcs)

625.00

(Button
badge/pin button
P25x25pcs)

Total

Php 4,125.00

2nd year

Time

Activity and

Cost per unit/

Total Cost

2nd week of
January 2015

Mechanics

Total units

Advertise the
product by using
of leaflets and
flyers (100pcs)

( 100xPhp5.00)

500.00

4ft x 6ft

600.00

T-shirt P100x25
pcs
Fan P30x25 pcs

2500.00
750.00

Tarpaulin
Improvisation of
Advertisement in
Social Media
Websites
Juan Delisiomai 1st Give-a ways to
year Anniversary
random customer
within 1 week
Total

Php 4,850

3rd year - 5th year


Activity

Mechanics

2nd month of
2016

Advertise again
(
the product by
200xPhp5.00)
using of leaflets
and flyers 200pcs
Personal website

Juan Delisiomai
2nd year
Anniversary

T-shirt
Fans
Wrist bands
Tarpaulin

Unit and Unit


Cost

(Fees)
T-shirt
(P100x10pcs)
Ballpen P10.00
(10X10pcs)
Fan (P30.00
x10pcs)
4ft x 6ft

Total Cost
1000.00

2,000.00

1000.00
100.00
300.00
600.00

Total

Php 5,000.00

Sample advertising and Promotion tools

BANNER

Flyer

Wrist bands

PINS

Sales tactics

This involves day to day selling from 10am to 10pm. Payment is made only
in form of cash. There are major discounts for senior citizens and PWDs. The
generation of sales will depend on the effectiveness of strategic marketing
efforts. If perceived and appreciated, there will be several new customers to
serve.
Service and warranty policies
Once the food is served, the customers got the full responsibility of it.
If there will be issues and problems regarding the service or product, we are
ready to face, investigate and compromise with full understanding about the
situation.

Sales force
Our personnel are trained with proper orientation and knowledge about
excellent customer service. They are equipped with full communication
ability and being guided with principles of respect and honesty. They are
being given daily, monthly and quarterly quotas to reach. The compensation
package will depend on how well they perform their job.

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