EXECUTIVE SUMMARY

Tofu Tiger is a retail health-food outlet in Beaumont Street, Paddington. It is owned and operated
by Belinda, Johnny and Ken Chong. Tofu Tiger primarily sells health foods and associated healthy
lifestyle products and services, including: fruit and vegetables; Chinese herbal medicines; prepared
caf meals; books and magazines; health, lifestyle and language courses; special Asian vegetarian
sauces ; and vegetarian fortune cookies. The retail store and the products have a Chinese/Asian
influence. Sales have been very good over the previous year. However, by following the marketing
plan outlined in this report, Tofu Tiger aims to consolidate its business and increase brand
awareness of Tofu Tiger.
Tofu Tigers mission is to encourage a healthy lifestyle in the community by offering a range of
goods, including raw and prepared foods, vitamins and minerals, and books and magazines, all with
a definite Asian image. Tofu Tiger hopes to consolidate its business while maintaining a focus on
quality food, competitive prices and friendly service. People who are health conscious and
interested in healthy, in particular vegetarian, eating will be the main target for this marketing plan.
There is a very competitive market for healthy food in the area, with the main direct competitors
being a fruit and vegetable store, two health-food stores and a large vegetarian restaurant, all in the
same street. Other indirect competitors include other takeaway restaurants, many fruit and vegetable
sellers, similar foods from the nearby supermarket, other quick-prepared health-food alternatives,
and so on.
To be successful in this market, Tofu Tiger needs to increase awareness among the community of
Tofu Tiger as a provider of good quality, fresh healthy foods, with a friendly service. It must also
attempt to build a good name for Tofu Tiger as a place to buy prepared foods for breakfast and
lunch, and learn about living a healthy lifestyle, such as the preparation of interesting vegetarian
food. The slogan will be Tofu Tiger: Aggressively Healthy.
Although it is recognised that the promotions budget was relatively small in the past, this campaign
will have a budget of $22,000. The promotional activities for Tofu Tiger will include newspaper
advertising, signs, posters, fridge magnets, a space in the Yellow Pages, pamphlet delivery, priceoffs and sponsorship of local social events. These promotional activities will support the product,
price and distribution strategies established in this marketing plan.
It is recommended that all the marketing activities in this plan be supported by the owners and staff
of Tofu Tiger in an attempt to increase business for the forthcoming year.

INTRODUCTION
This marketing plan has been prepared for the proprietors of Tofu Tiger, Belinda, Johnny and Ken
Chong. Tofu Tiger is a retail health food outlet located at 22 Beaumont Street, Paddington, an upmarket area of Sydney. The product offered by Tofu Tiger is primarily health foods and associated
healthy lifestyle products and services. This includes fruit and vegetables, Chinese herbal
medicines, prepared caf meals, books and magazines, health, lifestyle and language courses,
special Asian vegetarian sauces and vegetarian fortune cookies. There is a small caf with a dine-in
facility to seat approximately 40 patrons. Tofu Tigers operating hours are 7 a.m. to 6 p.m., seven
days a week, with Thursday to Sunday being the time of most sales. Sales have been increasing
during the previous year.
The activities set out in the marketing plan will follow Tofu Tigers ongoing marketing strategy,
and will form part of the companys business plan. This marketing plan will cover the next calendar
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year from January to December and focus on increasing awareness of the brand name Tofu Tiger
in the community. Responsibility for implementing the plan will be in the hands of the proprietors,
Belinda, Johnny and Ken Chong. The main limitations in preparing this plan include the
proprietors lack of experience with marketing or advertising activities, and the small promotional
budget.

MARKET ANALYSIS
Business/market definition
Tofu Tiger is in the health-food and healthy lifestyle business, particularly vegetarian-style food.
The main market for Tofu Tiger is people interested in living a healthy lifestyle, particularly
vegetarians based in the local Paddington area and nearby suburbs.
Market size
The general population of Sydney is around three million people. Paddington is an up-market area
of the city. It is an inner-city eastern suburb, and many of its older homes and terraces have been
restored, making it a well sought-after place to live. The suburb has a mixed population, with older
people as well as young people and families who like the modern, trendy-style living. The area is
known for its eateries, and the market for restaurants and cafs is strong and quite competitive.
Market potential
Paddington is a growing area with new apartment developments constantly being completed. Apart
from growth through population increase, there is a big potential for growth as an increasing
number of people are becoming interested in healthy living and Asian culture. There is another
potential for growth if Tofu Tiger expands the caf and its trading hours to include dinner
(currently, the caf is open until 6 p.m. and does not serve dinner).
Market structure
The market is composed of personal customers and home-delivery customers. Tofu Tiger
concentrates on personal takeaway customers and does not intend to expand to provide a homedelivery service.
Market trends
Last year saw an increase in sales, which it is hoped will be repeated this year. There is a greater
acceptance of healthy/alternative foods and lifestyle in the community, although there is a
perception that vegetarian food is boring and some Asian cooking has a lot of frying and additives
like MSG. There has been talk in industry magazines about a growth in healthy takeaways, such as
sushi and Subway.

ENVIRONMENTAL ANALYSIS
Demographic factors
There is a wide range of ages and incomes living in the Paddington area, although the suburb
primarily has a large number of singles or couples on above-average incomes. It is noted that the
main age of the population near the shop tends to be older. It is hoped that this customer
demographic can be widened to include more older people. However, some people as they grow
older feel they need more protein and nutrients, which vegetarian food cannot provide.

Economic factors
The overall economy is good, with little sign of inflation and interest rate increases. Even though the
economy is steady, the prices of ingredients have increased and the owners want to be careful not to
change prices too much to make them expensive for their customers. They also cannot be so cheap
that the owners make a loss.
Technological factors
Technological advances have meant that some vegetarian food storage and preparation can be
undertaken quickly and easily at home rather than buying from takeaway outlets. In particular, nut
meat and vegetable patties are claiming to be fresh and tasty, unlike what they were like a few years
ago.
Natural factors
Some ingredients are seasonal and may not always be available in the quantity or price preferred,
and the owners prefer to use only fresh ingredients, rather than those that are pre-prepared or
canned. This may mean some degree of seasonality in what is sold. The drought has had an effect
on some product lines, although recent rains have helped break the drought in some areas. Also,
demand increases during the summer months, due to the warmer weather and people wanting to be
healthier.
Cultural factors
Chinese food is usually seen as an acceptable takeaway food in this country, although not
necessarily vegetarian Chinese food. Chinese food is not as popular as hamburgers, chicken, and
fish and chips, although these are not perceived to be healthy.
Legal/political factors
Food storage and preparation regulations may again change to ensure that food is fresh and prepared
in clean surroundings, which may include tighter rules on food handling. Recent problems in the
health supplement industry may result in tighter legislation for health products. Future changes in
small business taxation procedures will have a definite effect on business procedures.

COMPANY ANALYSIS
Company mission statement
Tofu Tigers mission is to encourage a healthy lifestyle in the community by offering a range of
goods, including raw and prepared food, vitamins and minerals, and books and magazines, all with
a definite Asian image.
Product
Tofu Tiger is a small, retail food outlet that primarily sells health food, particularly Asian vegetarian
food, and is associated with healthy lifestyle products and services. The companys product includes
fruit and vegetables, Chinese herbal medicines, prepared caf meals, special Asian vegetarian
sauces (e.g. Lemon, Lime & Chili, and Vegetarian Stir-fryan oyster sauce with mushrooms
instead of oysters), books and magazines, health, lifestyle and language courses, and vegetarian
fortune cookies.
Price

All prices at Tofu Tiger are similar to those of other small health-food outlets and cafs in the area.
However, due to its size and specialty, Tofu Tigers prices are generally a bit more expensive than
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similar meals in other cafs for example, some lunch main meals are at least $1$5 more
expensive. The average price of goods is still quite competitive.
Place (distribution)
Tofu Tiger is located centrally at 22 Beaumont Street, Paddington. The operating hours are 7 a.m. to
6 p.m., seven days a week. There is no home-delivery service.
Promotion
Promotion has been fairly limited, with the promotional budget being relatively small. The
promotional activities for Tofu Tiger have included signs, a space in the Yellow Pages, pamphlet
delivery and sponsorship of local social events. The slogan for the store was Tofu Tiger:
Aggressively Vegetarian, although there was concern that this was mainly aiming at vegetarians,
who form a small market segment and only a percentage of their actual customers.
Assessment of the companys brand image
It is believed that Tofu Tiger is perceived as a good, honest health-food outlet, with caring,
committed staff and a definite Asian vegetarian philosophy. Some may also perceive it as a busy
place that is popular with customers.
Assessment of the companys relative strengths and weaknesses
Strengths

Emphasis on Asian vegetarian food and having an overall healthy lifestyle perspective gives
Tofu Tiger an important competitive edge.

Strong brand image as a good, honest health-food outlet.

Friendly staff, with most being family members. It is very much a team effort, where staff care
about good health.

Good location. Tofu Tiger is located in Beaumont Street, Paddington, and has a good passing
trade.

Competitive prices. The prices are similar to, although at times a bit more expensive than, other
health-food outlets and cafs in the area.

Weaknesses

Limited budget. As a small business, Tofu Tiger has a limited budget to spend on marketing
activities.

Lack of promotional experience. The managers have experience in the food and restaurant
industry; however, they have had little experience with promotions until establishing this outlet.

No large formal dining area. Due to the size of Tofu Tiger, there is no large formal dine-in
facility, although there is room to sit 40 patrons. The main competitors have areas where
customers can comfortably sit down, relax and eat their meal.

No dinner service. As Tofu Tiger is a small outlet with a small staff, it was decided not to
provide a dinner service. Also, the caf space was cleared at night to provide space for some of
the classes.

CUSTOMER ANALYSIS
Although there is a wide range of customers, from young to old, it has been noticed that the main
customers are primarily young singles. Most sales occur between Thursday and Sunday and the
decision to buy appears to be a spur of the moment decision or a regular decision.
The customers appear to like the Chinese vegetarian philosophy and there is a high rate of loyal
customers making repeat purchases. Tasty, healthy vegetarian food seems to be an important factor,
as well as the speed of being served. The quality of the food appears to be more important than
price. No research has been undertaken to confirm this assumption.
Apart from singles, other segments include families and older (60+) customers who are health
conscious, and there could be an opportunity to expand in these market segments.

COMPETITOR ANALYSIS
The main competition is the large number of cafs and restaurants located in the Paddington area.
Within walking distance there are two other, more traditional, health-food stores and one large
vegetarian restaurant. The restaurant also has a good name as a place to sit and eat vegetarian food,
although some customers have said that Tofu Tigers food is tastier and better quality, and that the
service is friendlier at Tofu Tiger.
There is a Subway outlet nearby that provides fast food, including vegetarian toppings, and is very
popular for dining and takeaway. Tofu Tiger does not directly compete with Subways range of
products and pricing. Subway is very competitive in all its marketing activities. Tofu Tigers owners
feel their customers are different to the usual Subway customers.
Other potential competitors include other takeaway restaurants (not necessarily selling vegetarian
food), frozen vegetarian food from the nearby supermarket, other quick-prepared food alternatives,
and so on. The managers are concerned about all types of competition.

SWOT ANALYSIS
SWOT matrix for Tofu Tiger
STRENGTHS

WEAKNESSES

* Chinese vegetarian philosophy

* Limited budget

* Strong brand image

* Lack of promotional experience

* Friendly, caring staff

* No formal dining area

* Good location

* No dinner service

* Competitive prices
OPPORTUNITIES

THREATS

* Young families

* Price of supplies increasing

* Widen age of customers (more from 60+

age group)

* Increasing competition by local cafs

* Home-prepared food from supermarkets

* Increase hours of trading

* Passing trade

OBJECTIVES
Company mission statement
Tofu Tigers mission is to encourage a healthy lifestyle in the community by offering a range of
goods, including raw and prepared foods, vitamins and minerals, and books and magazines, all with
a definite Asian image.
Company objectives
Tofu Tigers objectives are:

To consolidate the business while maintaining a focus on quality vegetarian food, competitive
prices and friendly service.

To increase brand awareness of Tofu Tiger.

To increase customer traffic by at least 20 per cent on last years figures.

To increase sales by 10 per cent over the next year.

Marketing objectives

Product objectives: To provide customers with a quality range of Asian vegetarian food and
healthy lifestyle products.

Price objectives: To maintain prices and company profits at the current level, despite the
increasing cost of supplies.

Distribution objectives: To meet customers expectations in terms of reliable service and speed
of food preparation.

Promotion objectives: To increase the awareness of the store while maintaining an image that
focuses on quality food, competitive prices and friendly service.

Marketing strategies
Sales have been increasing over the previous year, so there is a desire to increase sales further. Tofu
Tiger wants to consolidate the business while maintaining a focus on quality vegetarian food,
competitive prices and friendly service. The message about Tofu Tiger will be communicated by a
number of activities, including newspaper advertising, signs, posters, fridge magnets, a space in the
Yellow Pages, pamphlet delivery, price-offs and sponsorship of local social events. The aim is to
build a name for Tofu Tiger as a good, honest health-food outlet, with caring, committed staff and a
definite Asian vegetarian philosophy.

TARGET MARKET
Market segments
The main market segments for Tofu Tiger, based on the type of purchase, are personal customers in
passing trade and regular customers who are health conscious. Other market segments are families
and older people (60s+) in the local area.
Target market
Passing customers who are health conscious in the local area will be the main target for this
marketing plan.

Positioning
Customers will view Tofu Tiger as a good, honest health-food outlet, with caring, committed staff
and a definite Asian vegetarian philosophy.

MARKETING STRATEGY
Product strategy
The product offered by Tofu Tiger includes a variety of health foods and associated healthy lifestyle
products and services, including fruit and vegetables, Chinese herbal medicines, prepared caf
meals, special Asian vegetarian sauces, books and magazines, health, lifestyle and language courses,
and vegetarian fortune cookies.
Price strategy
The prices are to remain competitive, although at times a little dearer than other food retailing
outlets in the area.
Place (distribution) strategy
Tofu Tiger is located at 22 Beaumont Street, Paddington, which is a busy area with very good
passing trade. The opening hours are 7 a.m. to 6 p.m., seven days a week. There is no homedelivery or dinner service, although this may be considered in the future.
Promotion strategy
The promotion strategy for Tofu Tiger aims to promote it as a provider of health foods and
associated healthy lifestyle products and services by friendly, caring staff, with an overall theme of
Asian vegetarian. The slogan for this campaign will be Tofu Tiger: Aggressively Healthy. The
activities to be used for this campaign period are as follows:
Advertising

Print medianewspaper: An advertisement has been organised to run weekly in the local paper.
The advertisement will appear in the Food Guide every Friday. It was decided to advertise every
week to be consistent and build awareness of the name. The agreement with the paper includes a
free article on Tofu Tiger every six months.
Support mediaoutdoor: An eye-catching sign has been placed outside Tofu Tiger, and posters
have been placed both inside and outside the shop. They have a very Asian theme, and a number of
customers have commented on them in the past. Some have even asked for their own copy. It is
planned that these will have a life of at least one year.
Promotional products (or specialty items): Fridge magnets were decided on as a form of
promotional product, as they are not intrusively located on the fridge and would be a constant
reminder when it comes to healthy food. These are thought to be very cost-effective and would
be available to customers next to the cash register.
Yellow Pages: A small Yellow Pages listing is important, as many customers use the Yellow Pages
to find Tofu Tigers address and telephone number for booking tables or classes. The advertisement
will be for this year, and there must be plenty of time to order the listing for next year.
Direct marketing

Direct mail: Each month a pamphlet giving details about Tofu Tiger, and with particular specials or
news items, will be delivered to a different part of the local area. Always choosing different areas
helps stop any overexposure in an area and possible annoyance to people who might regard Tofu
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Tiger as a producer of junk mail. The pamphlets will be printed on recycled paper. This has proved
to be successful in the past.
Sales promotion

Price-offs: It is felt that passing customers are usually interested in value for money, so there will be
regular sales of certain goods, such as price-offs if the customer purchases multiple items. The
products chosen will vary depending on expiry dates and what is perceived to be a popular item.
Public relations/publicity

As mentioned above, the agreement with the local paper includes a free article on Tofu Tiger every
six months. This will be in the style of a restaurant review and will be good publicity. A copy of the
article will be on show in the window. Also, Belinda has become a well-known activist for a
number of causes, including being against genetically modified (GM) foods, the use of heavy
chemicals in farming and the cruel treatment of animals, particularly in the food and fur industry.
She will continue to be interviewed by the local radio and newspaper about healthy eating.
Corporate advertising

In such a community, it has been decided that Tofu Tiger will be a sponsor for local events. During
this campaign Tofu Tiger will assist in sponsoring a dragon boat, which both Johnny and Ken row
at special times, such as Chinese New Year. Also, they will sponsor a soccer team at the nearby
university. The sponsorship arrangement entitles the team members, who are primarily southeast
Asian students, to wear a badge with Tofu Tiger on their uniform, and encourages team members
and their friends to buy from Tofu Tiger. This year is the second time that Tofu Tiger has sponsored
a sporting team, and so they are interested in determining whether it will be successful.
Personal selling

All staff, who are primarily family, are always encouraged to be friendly, caring and welcoming to
customers. The friendly service is seen as an important part of Tofu Tigers communication
strategy. Staff are also encouraged to suggest add-on sales, such as drinks, vitamins or classes,
depending on the customers interests.

BUDGET
Promotional budget
Tactic

When

Cost: Production +

Media =

Total

Advertising
Newspaper

Fortnightly

150

1850

2000

Outdoor

Year long

2000

5000

7000

Fridge magnets

Year long

500

500

Yellow Pages

Year long

1000

1000

Direct marketing
Pamphlet

Monthly

2000

2000

Discretion of manager

5000

5000

February (New Year)

2500

2500

Sales promotion
Price-offs
Publicity/PR
Sponsorship

Soccer season

Contingency

2000

TOTAL

IMPLEMENTATION
Activity

When

Person responsible

January
Newspaper ad

Fortnightly

Belinda

Pamphlet drop

Monthly

Belinda, Johnny & Ken

New Years Day

1 January

Belinda/Staff

Australia Day

26 January

Belinda, Johnny & Ken

Newspaper ad

Fortnightly

Belinda

Pamphlet drop

Weekly

Belinda, Johnny & Ken

Valentines Day

14 February

Belinda

Chinese New Year

February

Belinda, Johnny & Ken

Dragon boat

February

Johnny & Ken

Newspaper ad

Fortnightly

Belinda

Pamphlet drop

Weekly

Belinda, Johnny & Ken

Newspaper ad

Fortnightly

Belinda

Pamphlet drop

Weekly

Belinda, Johnny & Ken

Easter

2nd week

Belinda, Johnny & Ken

Newspaper ad

Fortnightly

Belinda

Pamphlet drop

Weekly

Belinda, Johnny & Ken

Mothers Day

2nd week

Belinda & Mai

Newspaper ad

Fortnightly

Belinda

Pamphlet drop

Weekly

Belinda, Johnny & Ken

Newspaper ad

Fortnightly

Belinda

Pamphlet drop

Weekly

Belinda, Johnny & Ken

Newspaper ad

Fortnightly

Belinda

Pamphlet drop

Weekly

Belinda, Johnny & Ken

Newspaper ad

Fortnightly

Belinda

Pamphlet drop

Weekly

Belinda, Johnny & Ken

February

March

April

May

June

July

August

September

2000

$22,000

Fathers Day

2nd week

Belinda & Mai

Soccer finals

1st week

Johnny & Ken

Newspaper ad

Fortnightly

Belinda

Pamphlet drop

Weekly

Belinda, Johnny & Ken

Newspaper ad

Fortnightly

Belinda

Pamphlet drop

Weekly

Belinda, Johnny & Ken

Newspaper ad

Fortnightly

Belinda

Pamphlet drop

Weekly

Belinda Johnny & Ken

Christmas

25 December

Belinda, Johnny & Ken

New Years Eve

31 December

Belinda, Johnny & Ken

October

November

December

CONTROL PROCEDURES
Measuring effectiveness

Customers will be asked to comment on their degree of awareness and perception of Tofu Tiger,
particularly in relation to the product range and service. This will determine whether the
communications objective has been achieved.

Customer traffic will be monitored to determine whether it has increased by at least 20 per cent
on last years figures.

The number of weekly sales will be monitored to determine whether the sales objective of a 10
per cent increase has been achieved.

If the opportunity arises, staff will ask any new customers how they heard of Tofu Tiger or why
they chose to come to Tofu Tiger.

All customer compliments and complaints will be written down and monitored.

Product testing

Discussions have taken place regarding the range of products available. Before introducing any
new products/services/classes and so on, tests will be made on customers to ask their views on
the potential new offering. This will also assist in spreading goodwill with customers.

An attempt will be made to determine the benefits and cost of expanding the physical space in
the store or moving premises.

Advertising research

Once the pamphlets and fridge magnets have been made available, staff have been instructed to
try to ask customers what they think about the design and whether they have any suggestions for
improvement. No formal focus groups and so on will be organised, as management feel that they
are not necessary.

Sales will be monitored weekly to determine and compare any differences between when the
newspaper advertisement is running, when it is not and when there has been a change in the
advertising copy.
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CONCLUSION
The written marketing plan for Tofu Tiger, 22 Beaumont Street, Paddington, has now come to an
end. This report has set out a plan for Tofu Tigers marketing strategy for the next calendar year.
Keeping in mind the budget, a clear list of objectives, target audience, marketing strategy, budget,
and implementation and control procedures have been suggested. It is now up to the managers of
Tofu Tiger to agree and implement this plan. This is the responsibility of the owners/operators,
Belinda, Johnny and Ken Chong. It is believed that following this plan will assist Tofu Tiger to
grow the business, achieve all the objectives and be perceived as a good, honest health-food outlet,
with caring, committed staff and a definite Asian vegetarian philosophy.

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