Contents

Letter of Transmittal. ...................................................................................................................... 2

Executive Summary:........................................................................................................................ 3
Introduction: ................................................................................................................................... 4
Product profile: ............................................................................................................................... 4
Mission: ........................................................................................................................................... 4
Vision:.............................................................................................................................................. 4
Situation analysis ............................................................................................................................ 5
Market segmentation: .................................................................................................................... 6
Marketing Mix ................................................................................................................................. 7
Market Needs: ................................................................................................................................ 9
Market Trends:................................................................................................................................ 9
SWOT analysis ............................................................................................................................... 10
Keys to Success: ............................................................................................................................ 11
Critical Issues:................................................................................................................................ 12
Marketing Strategy: ...................................................................................................................... 12
Financial Projections: .................................................................................................................... 12
Objectives: .................................................................................................................................... 14
Conclusion: .................................................................................................................................... 14

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January 01, 2017

To
Dr. Md. Shariful Alam
Associate Professor
School of Business & Economics

Subject: Letter of Transmittal.

Dear Sir,
We would like to submit the report that was assigned us at the beginning of the semester for this
course MKT 2320 on Crispy Chips. This report gave us the opportunity to have a thorough
knowledge about marketing product strategy of Crispy Chips. We have tried our best to fulfill
the requirements of this term paper.
We have earned much practical knowledge throughout the making of this report. This report
introduced us to the details of rational for service selection, SWOT analysis, market
segmentation, product line, mix and match, value innovation and so on. We collected
information from many sources to complete this report.
We sincerely hope that you will be satisfied to study our analysis of the report on product
strategy of crispy chips. If you need any assistance in interpreting this report please contact us at
badhonriaz@yahoo.com
Sincerely,
Md. Momazzed Hossain
Id: 114 142 003
On behalf of Group no. 5

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Executive Summary:
Crispy Chips is a business of fast-food item. It will operate its business in Bangladesh in further
time with an admirable reputation.

Chips are popular snacks item in our country now a days. With intent to provide high quality
food products in competitive price, this food will add a massive contribution to the company as
well as in economic condition. Crispy Chips will start its journey with four varieties in its
product category namely Prawn, Vegetable, Chicken, and Potato chips. Though the response will
be good, Crispy Chips will maintain its image over the time and will try to create repeat
customer. Crispy Chips will air its TV commercials before a month of product launching.
Consumer will be aware of this product before launching. So the product will be sold. Then
again when Crispy Chips will go on advertise, it will be sufficient to catch the attention of the
viewers. All these things will result in the success of a prospective product.

In this circumstance, in our marketing plan we are thinking of launching new five flavors of
Crispy Chips. We have analyzed the consumers, competitors and the companys current
conditions and compared it with the competitors in this marketing plan. There we have
mentioned about our objectives and how we can achieve these objectives. In this marketing plan
we will follow the strategy that is a combination of differentiation and mass marketing strategies.
We have also mentioned here that who will be our customers and by which we can satisfy their
needs and wants of chips. For this, reason we will create our product price line, analyses the
product situation, marketing segmentation and marketing mix. We also showed the product
SWOT analysis in our marketing plan. In short, we have given an elaborate discussion on our
marketing plan.

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Introduction:
Crispy Chips is a fast-food product and we expect that its going to be a Well-known product to
everyone. It tastes salty and crispy. We assure that its going to be such kind food that is good
enough to the people demands and as well as for the economic growth of nation. We hope that
within a short period of time it will gain success as a snack. Crispy Chips has four different
flavors like chicken, potato, prawn and vegetable we hope which are going to be highly
acceptable among the people from kids to adults.

Product profile:
Name of product: Crispy Chips
Type of product: Fast-food product.
Ingredients: There are four different type of flavor in Crispy Chips and the ingredients
also are different.
Crispy chicken chips ingredients: chicken flacks, oil, salt, spices, sugar, fats and
carbohydrates.
Crispy potato chips ingredients: fresh potato, oil, salt, spices, sugar, fats and
carbohydrates.
Crispy prawn chips ingredients: prawn flacks, oil, salt, spices, sugar, fats and
carbohydrates.
Crispy vegetable chips ingredients: vegetable flacks, vegetable oil, salt, spices, sugar,
vegetable fats and carbohydrates.
Packaging: Different type of colorful foal paper with brand name.
Packaging size: 50gm, 150gm, and 200gm.
Product price: 15gm is 5 TK., 25gm is 15 TK. and 55gm is 25 TK.
Estimated Durability: 12 Months from date of manufactured.
Machinery used: Advanced technology imported from USA, UK and Netherlands.
Brand Slogan: Healthy food for life.

Mission:
To provide highest quality chips.

Vision:
To stable in competitive market and serve the people of all class.

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Situation analysis
Target Market:
Our target market for our product is Bangladesh.

Chips are a kind of mouthwatering food. This food is very popular in Bangladesh. Initially the
market was very small. But in course of time the size of the market has been expanded at a
significant rate. Now there is a widespread market of chips in Bangladesh. The demand is so
high that chips are coming from other countries. Though the common belief is that chips are a
child food but the reality is people of all age have chips frequently. So we will introduce a new
quality of crispy chips. Our chips will be easily found in the luxurious shopping mall in the city
as well as in the grocery shop in a remote village of the country. From upper class to lower class,
people of all strata of the society will have demand for this product. In general, people of middle
class to upper class will be the major consumer of our product. A major portion of kids under 10
years of age want chips. Sometimes they take the purchase decision but most of the times
decision is taken by their guardians. But their brand preference play role here. We have
consulted with 50 people of different ages to identify the different ages consumers of chips.

A complete diagram of Crispy Chips for the target market according to age perception is here in
below:

Respondents Age Frequency Percent Cumulative

(%) Percent

Below 10 6 16 16

10 to 20 22 44 60

21 to 30 18 36 96

Above 30 2 4 100.0

Total 50 100.0

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Market segmentation:
Geographic:

For the urban and sub urban and rural areas citizen of all over the country.

Especially for the convenient transportation areas.

Demographic:

Children generally under teen-age.

Young generation generally under age range 13-25.

Educated people and conscious parents

Psychographic:

The lower middle class, middle class, and upper middle class.

The conscious people.

Behavioral Factor:

Those who have negative idea about the traditional chips.

Those who seek good quality.

The non-users and regular users of the chips.

Those who are aware about the bad effect of the traditional chips

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Marketing Mix
Product:

As the market condition of our existing brands is not good enough and our relative market share
and market growth rate is low, thats why we want to add the production of new product with the
existing products. Than we want to introduce our five new brands with the market. These are:-

Crispy Tomato ketchup flavor chips.

Crispy Magic Masala flavor chips.

Crispy Salsa Masti chips.

Crispy Hot & Spicy chips.

Crispy Onion & Sour Cream chips.

Price:

Regarding the pricing researchers view there is flexibility in the market price of our existing
product. Chips could be priced between ranges of tk.10 to tk.25 provided that its packaging and
product quality are ensured. Color of packet is very important here. In our marketing plan, we
have shown the reasonable and competing price of our existing product as well as we set the
price for our upcoming new five products.

New products name Price(gm)

Crispy Tomato ketchup flavor chips 5 (15) 15 (25) 25 (55)

Crispy Magic Masala chips 5 (15) 15 (25) 25 (50)

Crispy Salsa Masti chips 5 (15) 15 (25) 25 (55)
Crispy Hot and spice chips 5 (15) 15 (25) 25 (55)
Crispy Onion & Sour Cream 5 (15) 15 (25) 25 (50)

Place:

Place selection is one of the hardest jobs for product marketing. As we describe before that we
are going to add five new flavor of chips product. It is important to select a perfect destination
for our product. By observing demand of product destination availability we will divide it into
two steps. For a perfect product distribution destination of the competitors, we can comment that

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most effective distribution destination for chips item is two steps kind of like one shown in the
bellow:

On the other hand, another destination of product distribution is below too and the main
objective of this network is to establish snacks item as a strong brand in the local market and also
in the international boundaries.

Promotion:

It plays an important role in the exchange process by informing customers often organizations
product or service and convincing them of its ability to satisfy their needs or wants. There are
many promotional activities those are available for our product and we will take the following
promotional activities to increase our sales-

Sampling in different places like in schools, colleges and in other market places.

Involving in some social welfare .such as-scholarship, charity, and donation.

Sponsoring in different cultural, educational or sports programs.

Advertising in electronic, print media, billboard.

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Market Needs:
Crispy Chips is providing the food community with a wide range of food for all variations of
food. The company seeks to fulfill the following benefits that are important to its customers:
Quality product: The customers work hard for their money and do not enjoy
spending it on bad test or bad quality product.

Well-thought-outlets: The market has filled with different kind of chips with
different test. So we will make 5 new and tasty products.

Customer service: New concept for the food industry. We want to receive customer
feedback and opinion for our product

Market Trends:
According to our market survey, the market has a demand of this kind of product. At present, a
lot of chips are available in the market. But there is an idea in the market that chips are very
harmful for the teeth. Therefore, many conscious people do not take chocolate or chips and
many parents do not feel comfort to give this to their children. So people have a latent demand
of harmless chips.

Competitors:

Crispy Chips has some hard competitors. After some days of launching Crispy Chips, it was in
the leading stage of this market. But now its position in the market is very competitive. The
main competitors of Crispy Chips are Bombay Sweets, Meridian, Ruchi, Sun, Pringles, uncle
chips and Lays. After all research, Crispy Chips stands fourth position in the domestic market
and in a privilege position in the international market.

Customers:

Chips are generally taken for granted that chips are a kind of kids food. But it is found that
people of all age enjoy chips and a large market segment for chips lies on the age group of 10 to
20. To the college and varsity students, this product has huge popularity.

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SWOT analysis
Strengths:
Expert and experienced management.

High quality product offerings that will exceed the competitors price, quality and
services.

Maintain strong delivery schedule.

Strong financial support and stability.

Company has strong manpower.

Crispy Chipshas a great company reputation.

Customer loyalty of the company.

Availability of capital.

Use of modern technology.

Product has the brand personality.

Weaknesses:
Chips is a new product of the company.

Crispy Chips has many different kind of flavor product. But for this new type of product
distribution and promotion it will be face a small trouble in selling.

As it is a new flavor product, it will be difficult to manage customers for the company.

Lack of proper knowledge about the market and the demand.

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Opportunities:
There is a demand for this kind of product.

Company has good image in the market.

There are no existing chips like our new flavored Chips.

Good and initiative employees.

Mature retail market in Bangladesh.

Developed communication channel.

Company has a lot of vehicles to deliver the product.

Threats:
The present chips manufacturers are also strong competitors.

As it is a new product, there is a chance of rejection by the market.

It may fail to fulfill the expectations of the customers.

High cost of the raw materials.

Political environment of the country.

Keys to Success:
The keys to success are designing and producing products that meet market demand. In
addition, Crispy Chips must ensure total customer satisfaction. If these keys to success are
achieved, it will become a profitable, sustainable company.

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Critical Issues:
Some of the critical issues are:

Establish itself as the premier chips company.

Pursue controlled growth that dictates that payroll expenses will never exceed the
revenue base.

Constantly monitor customer satisfaction, ensuring that the growth strategy will never
compromise service and satisfaction levels.

Marketing Strategy:
As this time Crispy Chips is coming with a great hope we have to maintain some strategy to
grave the market. To make the product acceptable and also to increase its acceptability we
have to follow some techniques. These can be-

Selling the product with the low price than others.

Provide better quality.

Give free gifts with each packet.

Can involve in some social welfare.

Sponsor in different cultural, educational or sports programs.

Sampling in different places like in schools, colleges and also in other market places.

Financial Projections:
This section will offer a financial overview of Crispy chips. as it relates to the marketing
activities. We have addressed all expenses forecasts with fixed costs and variable costs and
with first six months estimated costs, sales forecasts with the first six months estimated sales,
and the possible profit after six months.

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Expenses Forecast:
Estimated total Cost for the first Six Months:

Fixed cost Tk.13,00,000

Raw materials Tk. 12,00,000

Rent Tk. 1,60,000

Employee (Operation & Sales) Salary Tk. 15,00,000

Packaging Tk. 2,00,000

Promotional Expenses Tk. 7,00,000

Distribution Tk. 1,50,000

Commission Tk. 10,00,000

Operational Expenses Tk. 1,70,000

Administrative Expenses Tk. 2,50,000

Insurance Tk. 15,000

Interest Tk. 50,000

Miscellaneous Expenses Tk. 1,00,000

Total Tk. 67,95,000

Sales Forecast:
There will not be enough sales in first month. In the second month the sales will be increasing
at a satisfactory rate. From the third month the increasing rate of sales will be high. That means
from month three there will be a steady increase in production and sales. Our sales forecast is
1000000 packet chips for the first six months. On an average per piece of chips will be sold for
Tk.10.

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Objectives:
We have a defined mission that goes a long way in explaining what we are and how pursue our
business. The objectives of Crispy Chips are:

Providing better services to the people.

Affordable pricing and maximizing profit through increasing total sales volume.

Achieving 30% market share within one year.

Conclusion:
We have prepared the marketing plan of Crispy Chips. In the above we discuss the strengths of
our company that will help in future because without strengths a company cannot exit. Our
company solves its weakness and overcomes its threats, as well as describes the whole function
of marketing. Our company adds exclusive taste in chips and our product has some exclusive
characteristics that will help us to acquire position in the minds of the customers. Our chips
contain such advantage or features that will achieve its customer satisfaction.

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