EDIT Marketing Plan_2

8/3/2019 EDIT Marketing Plan_2

1/13

Marketing Plan for Green Paper Mills

Situation Analysis:

In the situation analysis we are going to talk about the background of our business,

Green Paper Mills; accompanying with the strengths and weaknesses of our product.

We will also talk about the market opportunities and threats for our product. We will

also do a competitor analysis for our product in market.

Background of our venture:

We are trying to commence a business with environment friendly recycled paper

which is a common utility product in our country. Paper is always in demand and we

believe the low cost high effiency production plan we are employing would enable

us to produce quality paper, with less cost in an eco friendly environment. Thus the

name Green Paper Mills.

Strengths of our product:

The strength for our product is that we are using all international technologies, which

majority of our competitors do not understand. As we will be targeting mass market,

so our production is massive as well, thus our production cost goes down, making

our product more affordable for the consumers. Also we shall be incorporating eco

friendly technology to produce recycled paper, which will keep costs down and help

the environment at the same time.


2/13

Weakness of our product:

As we are using a new technology, we do not have enough dependable workers to

operate our machines. They are not dependable because, they are used to working

with older technologies. To them recycled paper created in an eco friendly procedure

is a new concept. Therefore the introduction of this new technology can be a

weakness for our venture as well.

Opportunities for our product:

We all know that there are many existing companies who are selling paper to the

market. Therefore, the need and want and demand of these customers has already

been studied and known. So, we do not need to spend an extra budget for our

research and development section. Thus, this advantage is an opportunity for us. This

is because the product can be priced less compare to the competitors as they spend

on R&D and we did not.

Threats for our product:

The important threat for our product is that the duplication of technology. As we

have stated before in our strength which is reusing old paper to keep costs down, part

that our important attribute is the introduction of new technology. Now, after seeing

we to be successful if our competitors imply this change then this might turn into a

threat as they can hire my workers who are expert in the field of paper recycling, but

we did not get such advantage.


3/13

Competitor analysis:

Paper industry is a massive industry in our country. However, there are very few

large scale paper manufacturers in our country other than Karnafuli and

Bashundhara. There are other minor brands which are not even known to many

people, they targeted a small sector and they are happy serving those petite group.

Some of the producers differentiate themselves by offering superior quality but with

high prices. Since paper is a commodity product, so to sustain in the market the

competitors need to price them less, so they try to be cost leader in the market by

providing the good in a cheaper price by compromising its quality and uniqueness.


4/13

Target market:

The errand market is untapped and has a large customer base. The target market for

our product will be basically all the businesses that are willing to buy large amounts

of paper in bulk. Our outlets will be located in every business and commercial areas

of Dhaka and Chittagong, where the access for our target group will be easier. This

high accessibility will be convenient services that we can provide for our target

market, which are large corporations and businesses who require massive amounts of

paper in bulk.

Marketing goals:

To meet the growing needs of the target market (B2B Consumers

of Paper) defined on the basis of geography, demographic,

lifestyle, and buyer intentions.


5/13

To evaluate the competitive environment and continue to

establish a differential advantage for our product.

To establish an effective and profitable marketing mix of

product, price, place and promotion.

Marketing objectives:

To establish a customer base of 10 percent of the defined target market in

the first year.

To increase sales by 10 percent annually for the first three years.

To go global with our eco friendly recycled paper by the end of the first

five years.

Size of the market:

Size of the market is reasonably large as we plan on servicing all business units that

require paper, be they small medium or giant corporations. We are primarily

interested in B2B consumers who will require large amount of paper in bulk on a

regular basis.

Marketing Strategies- What is it actually?


6/13

Ansoffs Product-Market Expansion Grid

The above diagram shows the strategies that a business may adopt and same is the

case for our organization. However, the diagram can be illustrated as follows.

Market penetration strategy

The first strategy company is looking to adapt for increasing their sales and profits.

Marketing efforts of the company to offer their existing products in the current

markets is called market penetration strategy. The best way to do is to attract

competitors customer and looking for potential customer for the existing products.


7/13

Market development Strategy

Developing a new market for the existing company product is called market

development strategy. This is the process of finding new market for the

new customer to increase company performance by increasing sales and profits.

Companies can develop market on geographical such as city,country,region,stateetc

and demographical such as age, sex, gender, class etc.

Market Development Figure

A marketing manager has to think about the following questions before implementing

a market development strategy: Is it profitable? Will it require the introduction of new

or modified products? Is the customer and channel well enough researched and

understood? The marketing manager uses these four groups to give more focus to the

market segment decision: existing customers, competitor customers, non-buying in

current segments, new segments.

Product Development Strategy

Developing or modifying new products and offering to the existing market is called

product development strategy. This strategy takes time and money for developing a

new product. Marketing Manager must conduct a detailed survey to find out whether

it is feasible to introduce new product in the current market.

Diversification Strategy

Diversification Strategy is the development of new products in the new market.

Diversification strategy is adopted by the company if the current market is saturated

due to which revenues and profits are lower. At the corporate level, it is generally


8/13

very risky and interesting strategy for entering a promising business outside of the

scope of the existing business unit.

What does the Ansoff-Matrix look like for Green Paper Mills?

Green Paper Millsis going to start its business initially with market development

strategy which is with an existing product and in a new market. But gradually the plan

is to capture the existing chunk of the industry along with the newly developed

market by market penetration by proving our product to be better than our

competitors. Then we plan for a product development strategy which is capturing the

existing market with a completely new range of recycled paper product. We plan on


9/13

going for our product development strategy from the fifth year of our business plan by

introducing high quality low yield paper products (notebooks, calendars, diaries) etc.

The Market:

The initial target market of our product are business units who buy paper in bulk. We

will be more than happy to work at a contractual basis that is taking contracts from

the big corporations who require paper in large amounts. Eventually we will expand

to the mass market and proceed to selling quality paper and paper based products

produced in an eco friendly manner. We hope to bank on our high efficiency low cost

production facilities to keep costs down and at the same time provide a superior

quality product.

Pricing strategy:

The pricing of our products are relatively low compared to our competitors because

we are going to be recycling old used paper to manufacture new ones. As already

mentioned, we have a wide range of products, different types of papers and bulk

purchasing packages designed to satisfy different levels of customers thus we have

different preferential treatments for them as well. As we plan on expanding the

business with the introduction of new range of product (notebooks, calendars, diaries,

other paper based products) thus our start up costs can be covered at least, so that we

can carry on our business efficiently.


10/13

Distributions strategy:

For the distribution & placement of Green Paper Mill products we shall use the push

and pull strategies. We will start with our retail centers in 7 metropolitan cities of

Bangladesh like (Syllhet Khulna Barisal JessoreRajshahi). From 2nd year onwards we

will expand our existence by introducing outlets in various places. Since our target

customers are B2B consumers we hope to have outlets in all the commercial areals of

the country.

Push Strategy:

This strategy will offer the dealers with a trade incentive, where they a sales

commission will be allocated based on the per unit sales.

Pull Strategy:

Once consumers use it, there will be a demand for the product by the early adopters,

whoever it may be. The word of mouth of the existing consumers can still be a great

way to get new user.

Product Strategy:

Green paper mills will prepare its products keeping the target markets in mind. The

objective of the product will be to satisfy the B2B consumers. Paper is considered to

be a necessity in Bangladesh because even in giant corporations a lot of the records

are documented on paper. Considering the welfare and the capability of our customers

we design our products in such manners that it not only fulfills their needs but also

satisfies their demands. We offer five different product ranges, (different qualities of


11/13

paper) from which our customers have the liberty to choose their desired product or

the product that best serves their purpose.

Promotional Strategy:

This is the most crucial part of the marketing initiatives which would be completely

liable for creating & capturing our market. We would go for several media to reach

our targeted market through promotion. The major media would be Print, Radio,

Billboards and Activation. Initially we do not prefer to go for television commercial

as this might not return as much as its cost of airing because of the targeted market.

However TVC & other promotional media can be introduced later on after 5 years

when the company would go for market penetration.

Initially Green Paper Mills will be launched with a campaign which will show its

arrival in the industry for B2B consumers. On the second year we are planning to

develop a completely new campaign with our existing customers to increase our sales

yet further and to pursue yet more customers. Few other creative campaigns can be

executed to show its existence and to promote its offers. The advertisement frequency

will tend to increase in the peak season (summer mostly) with billboards,

commercials on radio and printed advertisements. However year long activations and

involvements in CSR responsibilities will always keep us in focus and also in front of

our customers eyes always. This continuous involvement in activities will help

customers to recognize our brand and also work as the stimulus to let people know

about Green Paper Mills, the only eco friendly paper manufacturer in Bangladesh.


12/13

Measuring and monitoring the marketing planning process

There is no planning without control. Marketing control is the process of monitoring

the proposed plans as they proceed and adjusting where necessary. If an objective

states where you want to be and the plan sets out a road map to your destination, then

control tells you if you are on the right route or if you have arrived at your

destination. Control involves measurement, evaluation, and monitoring. Resources are

scarce and costly so it is important to control marketing plans. Control involves

setting standards. The marketing manager will than compare actual progress against

the standards. Corrective action (if any) is then taken. If corrective action is taken, an

investigation will also need to be undertaken to establish precisely why the difference

occurred. In a nutshell, we hope to have an integrated marketing plan which will

highlight the importance of recycled paper and how it not only saves electricity, trees

and other valuable natural resources but also helps provide low cost high efficiency

paper products for the consumers. We believe if we can communicate this effectively,

we shall be able to get massive responses from our target market.


13/13

EDIT Marketing Plan_2

Documents

Transcript of EDIT Marketing Plan_2