MARKETING PLAN Introduction

The marketing concept is the philosophy that firms should analyze the needs of their customers and then make decisions to satisfy those needs, better than the competitors and at the same time achieve the targeted profit. Marketing plan is crucial because it will give guidance on how to implement activities and work with efficiency and increase the company sales. It is a tool that used to satisfy customer needs and wants, setting rules and strategies to achieve goals and contribute the profit for the company.

Marketing Objectives
The marketing objectives of Sound Garden Studio are; a. We aim to achieve 75% customer awareness of our studio in our target markets by the first half year of operating. b. We aimed to achieve market share of 35% by the first 6 months of operating.

Profile of Service and Product

Service and Product Description Sound Garden Studio provides jamming studios for jammers and music instruments rental. Both of these business activities that we offered to customers are on a walk-in basis and by appointment. The following is a detailed description of what we provide to our customers;

a. Jamming Studios This is our core service that we provide to our customer. We have three jamming studios: Studio A, Studio B and Studio C. Studio A and Studio B are of the same kind, in term of its instruments quality (moderate instruments quality), whereas Studio C have high quality and additional of few instruments. In Studio A and B, each one we provide a full drum set with single pedal, a bass, two electric guitars, two distortions, a microphone complete with stand, speakers, guitars amplifiers and a mixer. On the other hand, in Studio C we provide a full drum set with double pedal, a bass, two electric guitars, two distortions, a tambourine, a keyboard, two microphones complete with stands, speakers, guitars amplifiers and a mixer. In addition, to ensure a great sound quality all these studio rooms are all soundproof and also each one of it has an air conditioning unit. We charge customer **

b. Rental of Music Instruments This is basically our side business. We are offering this service to any individual or entities that are in needs of renting music instruments for events or whatsoever. The instruments for renting purpose are those instruments that are available in the jamming studio rooms. So, customers have choices to rent high quality instruments or the moderate ones. We charged customer based on what type of instruments and how many*.

Target market

The target market of business is the group customers who are capable of playing music instruments with the needs for a jamming studio and/or wants for music instruments that can be satisfied by the business through the supply of goods and services we provide. This target market is set so that we can focus on activities on attracting the core group of customers that has the highest potential to purchase the service and goods we offered. After segmenting the market, by compiling the geographical, demographical and psychographic factors of the market, we break the total market into smaller market segment based on identified common traits and buying preferences. Then, we have targeted several market segments in which it have higher sales potential and profits. The following are the market segments we have identified; For jamming service; a. Adolescence (42%) Demographical
y Male and Female y Age between 12 to 18

Geographical
y Living in the area

Psychographical
y Have wee aged band y New to music

nearby.
y Studying

years old
y Student

in

area

y Developing playing

nearby

skill

b. Young Adult (58%) Demographical

y Male and Female y Age between 18 to 28

Geographical
y Working in Samariang

Psychographical
y Have

established

area and nearby.

y Living in Samaring

band
y Well in music y Developed

years old
y Student and working

area and nearby.

playing

skill

For music instrument rental service: Event Demographical

y Event is business or

Geographical
y .Event is held in Petra

Psychographical
y Event

required

entertainment oriented.

Jaya area and nearby.

music instruments

Marketing Size
Market size refers to the total potential purchase of the target marked. This includes the purchases of competitors product within the same market. The market size is totally depending on the customers taste and interest. Market size can be calculated in daily, weekly, monthly, or yearly depending on the situation. Samariang, Petra Jaya is located in the north part of Kuching city and it is a rapidly developing area in Kuching city. It is also surrounded by workplaces, colleges, schools and residential areas. Each part within Petra Jaya is linked by public transportation. During festival seasons like Eid ul-Adha, Eid ul-Fitr and other events, this area will be very crowded. From the report from >>>>>>, the population in Petra Jaya is ...... Total Population in Petra Jaya = Services a. Jamming for Studio A and Studio B Target market = Adolescent (42% of the population) = 42%

= Market Size = 25% of targeted adolescent = 25% = Potential Sale in a year = 12 months RM 28.00 =

Target market = Young Adults (58% of the population) = 58% = Market Size = 30% of targeted young adults = 30% = Potential Sale in a year = 12 months RM 28.00 =

b. Jamming for Studio C Target market = Adolescent (1.5% of the population) = 1.5% 196,100 persons = 2941 persons Market Size = 1.2% of targeted adolescent = 1.2% 2941 persons = 35 persons

Potential Sale in a year = 35 persons 12 months RM 35.00 = RM 14,700.00 Target market = Young Adults (3% of the population) = 3% 196,100 persons = 5883 persons Market Size = 3% of targeted young adults = 3% 5883 persons = 176 persons Potential Sale in a year = 176 persons 12 months RM 35.00 = RM 73,920.00

c. Music instrument rental Target Market = Event (4% of the population) = 4% = Market Size = 1% of the targeted event = 1% = Potential Sale in a year = 12 months RM =

Competition
There a few competitors that Sound Garden Studio have about where it is located. Two major competitors which Sound Garden Studio looks at are Apple Seed Jamming

Studio and Flying Rock. We look competitors as an incentive to improve our company to be good in providing the best services to the customer. Sound Garden Studio too takes competitors as healthy challenge to provide a great service so that customers expectations and satisfactions are met. We need to identify the strength and weakness of the competitor in term of size, experience, number of years in business, financial ability and product line. Thus, it will give us a guideline which helps us to come out a suitable strategy to deal with expected competitors. We made some observations on our competitors and their strength and weaknesses are identified as follows; For jamming service: Apple Seed Jamming Studio Strength
y y y y y y y

Weakness
y y y y

Have cheap price Good sound system All instruments are provided Operating until the wee hours Have regular customer Good customer service Strategic place

No Signboard The jamming room too small No car parking lot The instrument are not in its best state

Flying Rock Strength Weakness

Very comfortable place for launching EP, party, small scaled gig, etc.

y y y

Guitars and bass are not provided The price is too expensive No wash room

y y y y y

Have stage Very good sound system Selling music instruments Have lounge for hang out High quality instrument

For music instrument rental service:

Market Share
Market Share refers to the portion of the market that Sound Garden Studio can control after taking into consideration market size and the competitors position in the same market. The market size that we estimate for the jamming studio in our target area to be _______. As we have identified two competitors, which Apple Seed Jamming Studio and Flying Rock. From the observation we made it is revealed that each of our competitor controls a percentage of the market as shown below; Market Share before Entry of Sound Garden Studio; For jamming service: 100% RM.... Apple Seed Studio Flying Rock 65% RM 35% RM

For music instrument service:

After analysing the competitors strengths and weaknesses, Sound Garden Studio is confident to control 23% of the market. This will mean that our competitors will lose some of their market share after Sound Garden Studio entry. Therefore, etimated market share for Studio Garden Studio is 23% or RM.... per month (...). Market Share after Entry of Sound Garden Studio; For Jamming Service: 100% RM.. Apple Seed Studio Flying Rock Sound Garden Studio 52% RM 25% RM 23% RM

For music instrument service:

Sales Forecast
Sound Garden Studio is still new in the field, so we must estimated business and its resource requirements for that year. In general, customer awareness of a business that

has just started operations will take some time. While the costumer familiarizes themselves with our business and services, we can expect sales to be less than expected. But with intense marketing effort and aggressive promotion, we think we could speed up costumer awareness. Our target efforts are mainly focus on promoting the services, giving discount between the target market and customer. We are confident that we could at least achieved 23% of market share which is equivalent to RM .... Certain seasons that occur within a particular business period will influence our customers purchase. These include festivals such as Hari Raya Puasa, Chinese New Year, Deepavali, Christmas, Gawai Dayak and others. YEAR Year (2012) 1 MONTH January RM February RM March RM April RM May RM Jun RM July RM August RM September RM October RM November RM December RM SALES REMARK

TOTAL Year (2013) Year (2014) 3 Increased % RM 2 Increased % RM

RM

First Year Sale

Year 2 Sale Forecast We assume that our sales will increase by 5% in second year. This is based on the number of customers that we obtained. Furthermore, we still in process of promoting our product and hopefully to provide a good service that will make our customer stick with our company. Increasing percentage sale forecast = 5% Total sale forecast: = (5% sale forecast for first year) + sale forecast for the year = (5% RM ....) + RM .... = RM .... Market share for second year is RM ....

Year 3 Sale Forecast We assume that our sales will increase by 5% in third year. This is based on our financial stability. Furthermore, we provide a quality product and good service that

will make our customer will stick with our company. Our previous experiences also influence us to handle our business well. Increasing percentage sale forecast = 10% Total sale forecast: = (10% sale forecast for second year) + sale forecast for the second year = (10% RM...) + RM = RM Market share for third year is RM

Marketing Strategy
Marketing Strategy is the important element to market the organisations services. As Sound Garden Studio is still new in the market, it is important strategy for us to implement certain strategy to attract customers. Marketing strategy is a step to ensure the organizations objective are achieve in a short time. Hence, we have outlined some marketing strategy to attract our customers attention to be our loyal customers. The strategies that we have considered are as follows; a. Quality

b. Pricing

c. Subservice

d. Place

e. Promotions

Marketing Budget
Marketing is very important but also costs money. Our company, therefore, will have to allocate money for the marketing activities. The marketing budget summaries all marketing expenses and is useful for financial planning. Our marketing budget as shown below: