Chapter-1

PROFILE OF THE COMPANY

1. Company Profile

1.1 Name of the company

Cake on time

Address:

E-41 Noida-3,

Uttar Pradesh

Phone Number:

+919891833878

+918285475959

Email:

vishal@cakeontime.com

Website:

https://www.cakeontime.com/

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 Figure No-1: Logo of Cake on time

1.2 Nature of the business

Cake on Time is both a manufacturing and a servicing company as it shall both

manufacture the products and provide the services of transport to their retailers.

Manufacturing process is standardized and simple for all products. To make cakes,

wheat flour and baking powder along with cream, sugar and ghee is mixed

thoroughly till it becomes fluffy. Then mixture of beaten eggs is added to it along

with caramel colour and chopped fruits before the mixture are poured into cake pans

and baked for around 30-40 minutes. Pastries are made in different shapes like

square, rectangular etc. from thick cake sheets. Butter cream, jam etc. is placed

between layers of cake. The layered cake is then chilled and cut with sharp knife in

the required shape and size. Sides of the pieces are iced with butter cream or fudge

and topped with finely ground cake crumbs or pieces of fruits or chocolate strips and

decorated with proper design, color and garnish.

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1.2.1 Industry

The bakery sector comprises the largest segment of the food processing sector in India

and offers huge potential for growth. In India there are more than 2,000 organised or

semi organised bakeries producing around 1.3 millions tonnes of the bakery products

and 1,000,000 unorganised small-scale bakeries producing 1.7 M tonnes. Bread and

biscuits are the most popular bakery items and account for 80% of the total market.

Not surprisingly, India is the world’s second-largest producer of biscuits after the USA.

The bakery industry has achieved third position in generating revenue in the

processed food sector. The market size for the industry was estimated to be worth

US$ 7.6 Billion in 2015. Bakery products are an item of mass consumption in view of

their low price and with rapid growth and changing eating habit of people’s, bakery

products have gained popularity among masses.

1.2.2 Trends

Trends in baking continue toward lighter, healthier products, and those containing

allergen-free, organic, and whole-grain ingredients. Interest in inclusions and

fortification continues to increase among consumers of baked goods. They include

fibre, antioxidants, omega-3 oils, and vitamin and mineral fortifications. The

addition of inclusions to baked products requires modifications to the original

product formula, thus creating a new product from an existing one. Such

modifications can be challenging to bakers as changes in formulation may result in

the need for changes to equipment, processes and ingredient costs. The use of whole

and alternative grains and grain products continues to drive new product

development. In response to the demand for products that are free from gluten and

other allergens, baked goods using flours made from buckwheat, quinoa, millet,

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amaranth, flax, corn, rice, sorghum, wild rice, and other non-wheat grains remain a

popular trend in baking.

1.2.3 Functional Area

Marketing is the action or business of promoting and selling products or services,

including market research and advertising. Marketing is the business process of

creating relationships with and satisfying customers. With its focus on the customer,

marketing is one of the primary components of business management.

1.3 Company’s vision & mission

1.3.1 Vision Statement

1.3.1.1 Continually innovate in the baking industry while continuing to make

everything from scratch on site.

1.3.1.2 Educate our staff and the public about the importance of chemical

free/additive free baking and where the food comes from.

1.3.1.3 Petition Government to create more informative uses of the terms “fresh

baked”, “bakery”, “from scratch” to better educate the public about where their food

is from and what is in it.

1.3.2 Mission Statement

1.3.2.1 Create a bakery which makes the best quality baked goods on site from

scratch, fresh daily!

1.3.2.2 Create an atmosphere where we can attract, retain and motivate the brightest

and most talented people in the industry.

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1.3.2.3 Create an atmosphere where employees can learn, grow, and innovate, while

holding true to the roots of traditional baking.

1.3.2.4 To create an inviting warm atmosphere for our clients and customers to be

able to purchase their baked goods.

1.4 Product range of the company

1.4.1 Cake and brownie premixes

1.4.1.1 Tegral Sponge Egg-free

1.4.1.2 Tegral Satin Cream (with egg)

1.4.1.3 Tegral Satin Cream Egg-free

1.4.1.4 Tegral Satin Moist Dark

1.4.1.5 Tegral Gel

1.4.1.6 Tegral Brownie Egg Free

1.4.1.7 Satin Wholegrain Cake

1.4.1.8 Bavarois Netural Gelatin-Free Mousse mix

1.4.2 Easy Range (bread mixes)

1.4.2.1 Easy Multi-grain

1.4.2.2 Easy Master Bread Masala

1.4.2.3 Easy Brown Hi-Fibre

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1.4.2.4 Tegral Donut

1.4.3 Fruit Fillings, Bake Stable Fillings and Glazes

1.4.3.1 Cremfil Classic Coco

1.4.3.2 Cremfil Classic Vanilla

1.4.3.3 Cremfil Classic Irish

1.4.3.4 Cremfil Strawberry

1.4.3.5 Cremfil Pineapple

1.4.3.6 Cremfil Orange

1.4.3.7 Cremfil Mango

1.4.3.8 Cremfil Lemon

1.4.3.9 Cremfil Choco-Hazelnut

1.4.4 Belcolade The Real Belgiun Chocolate

1.4.4.1 Belcolade Dark Chocolate

1.4.4.2 Belcolade Milk Chocolate

1.4.4.3 Belcolade White Chocolate

1.4.4.4 Belcolade Dark Sugar-free Chocolate

1.4.4.5 Belcolade Milk Chocolate with no added Sugar

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1.4.5 Deli Range

1.4.5.1 Deli Caramel

1.4.5.2 Deli Orange

1.4.5.3 Deli Lemon

1.4.5.4 Belcofill hazulnut

Figure No-2: Image of cakes

1.5 Size (in terms of manpower & financial turnover) of organization

1.5.1 Size in terms of Manpower

Cake on Time is incorporated in Noida. It is equally owned by its two partners. The

company has one manager. The company also has assistant manager and assistant

decorator. The company intends to hire one full-time head baker and one head clerk.

Also, company has baker’s assistants and shop assistants to handle customer service

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and day to day operations.

1.5.2 Financial turnover

Cake on Time expects to raise ₹110,000 of its own capital, and to borrow ₹100,000

guaranteed by the SBA as a ten-year loan. This provides the bulk of the current

financing required. Cake on Time anticipates sales of about ₹491,000 in the first

year, ₹567,000 in the second year, and ₹655,000 in the third year of the plan. Cake on

Time should break even by the fourth month of its operation as it steadily increases

its sales. Profits for this time period are expected to be approximately ₹13,000 in year

1, ₹36,000 by year 2, and ₹46,000 by year 3. The company does not anticipate any

cash flow problems.

Figure No-3: Financial turnover of 3 years

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1.6 Organization structure of the company

1.6.1 Organizational structure

An organizational structure is a system that outlines how certain activities are

directed in order to achieve the goals of an organization. These activities can include

rules, roles and responsibilities. The organizational structure also determines how

information flows between levels within the company. For example, in a centralized

structure, decisions flow from the top down, while in a decentralized structure,

decision-making power is distributed among various levels of the organization.

Having an organizational structure in place allows companies to remain efficient and

focused. Putting an organizational structure in place can be very beneficial to a

company. The structure not only defines a company's hierarchy, but it also allows the

firm to lay out the pay structure for its employees. By putting the organizational

structure in place, the firm can decide salary grades and ranges for each position.

One of the challenges this structure presents is a lack of inter-departmental

communication, with most issues and discussions taking place at the managerial

level among individual departments. For example, one department working with

another on a project may have different expectations or details for its specific job,

which could lead to issues down the road.

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 Figure No-4: Organisation structure of the company

1.6 Market share & position of the company in the industry

Market share represents the percentage of an industry, or a market's total sale, that is

earned by a particular company over a specified time period. Market share is

calculated by taking the company's sales over the period and dividing it by the total

sales of the industry over the same period. This metric is used to give a general idea

of the size of a company in relation to its market and its competitors.

1.7.1 Projected Cash Flow

Cash flow forecasting is important because if a business runs out of cash and is not

able to obtain new finance, it will become insolvent. Cash flow is the life-blood of all

businesses particularly start-ups and small enterprises. As a result, it is essential that

management forecast (predict) what is going to happen to cash flow to make sure the

business has sufficient funds to survive. How often management should forecast cash

flow is dependent on the financial security of the business. If the business is

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struggling, or is keeping a watchful eye on its finances, the business owner should be

forecasting and revising his or her cash flow on a daily basis.

1.7.2 Positive Cash Flow

Positive cash flow indicates that a company’s liquid assets are increasing, enabling it

to settle debts, reinvest in its business, return money to shareholders, pay expenses

and provide a buffer against future financial challenges. Companies with strong

financial flexibility can take advantage of profitable investments. They also fare better

in downturns, by avoiding the costs of financial distress. Even profitable companies

can fail if operating activities do not generate enough cash to stay liquid. This can

happen if profits are tied up in accounts receivable and inventory, or if a company

spends too much on capital expenditure. Investors and creditors, therefore, want to

know if the company has enough cash and cash-equivalents to settle short-term

liabilities. To see if a company can meet its current liabilities with the cash it

generates from operations, analysts look at debt service coverage ratios.

Figure No-5: Total cash flow

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 Figure No-6: Initial costs

1.8 Present leadership of the company

1.8.1 Present leadership

The company (Cake on Time) is presently under the leadership of Mr.Vishal.

1.8.2 People with whom I interacted during the summer training

Mr. Ravi Khurana was the assistant manager of the company and I had all the

interactions with him during my summer training.

1.9 Objectives of study and Research Methodology including Sources of Data

Collection

1.9.1 Objectives of marketing management are as follows:

1.9.1.1 Increase Sales

Increasing sales or leads is a top level digital marketing objective for many

businesses because it improves revenues and is easy to measure. Using key

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performance indicators (KPI), it is easy to benchmark the progress towards achieving

your objective and you can track this in your spreadsheets. An example of a SMART

objective would be: “Increase sales by 10% from existing customers by Dec 2015”.

1.9.1.2 Improve Conversion Rate

This is another digital marketing objective that can be tracked in Google Analytics.

By setting up goal tracking in Analytics, reports on conversions for traffic sources,

campaigns, keywords, landing pages, locations and so on. With this data it is easy to

track a conversion rate objective like: “Improve organic traffic conversion rate by

25% by Nov 2015”.

1.9.1.3 Percentage of Return Visitors

The New vs Returning visitors are a metric that is available in Analytics and it is easy

to track. Knowing how many visitors return is an important objective because it helps

to see how effective your business is at visitor and customer loyalty. This helps to

create a specific and measurable objective that is relevant to specific industry and an

example is: “15% of visitors should be returners by the end of the year”.

1.9.1.4 Organic Traffic Volumes

Organic traffic is natural traffic from the search engine result pages. It is considered

as free traffic and is distinct from paid traffic. Lots of businesses have the objective

to increase organic visitor traffic by achieving high search engine rankings through

implementing search engine optimization. To achieve this requires making changes

to your website that are effective at improving rankings and one of the important

ones is including keywords in the content. Another important tactics is to build

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quality links that point to your website. A digital marketing objective example for

organic traffic could be: “Receive 20,000 visitors per month from Google and Bing

natural results by year end”.

1.9.1.5 Reduce bounce rate

Bounce rate in analytics is defined as people who enter your site and leave (bounce)

rather than continue viewing other pages. This is an important measure of the quality

of your website, because almost all businesses want their visitors to complete an

action like purchase, contact or download on their websites. The lower bounce rate

the better and many marketers say that a bounce rate below 50% is good, however

that differs from business to business. Here is a bounce rate digital marketing

objective example: “Reduce bounce rate below 40% for all traffic sources by Dec

2015”

1.9.2 Research Methodology

This report has been prepared on the basis of the experience and knowledge acquired

during the period of my internship. To prepare this report I have used only secondary

data.

1.9.3 Secondary Research Methods

Secondary research involves using existing information rather than finding out new

information. There are two main sources of secondary research.

1.9.3.1 Internal sources

This is the information that already exists in Cake on Time. Data records are a source

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of internal source as you will find different types of information in the Cake on Time

database. Careful analysis of a business’s data will reveal, who the existing customers

are, how much they spent, how often they make purchases and more. Cake on Time

can use this information to gain more customers for example they could send leaflets

to different to possible customers that compete with other businesses.

1.9.3.2 External Sources

This is information published by other organizations which Cake on Time can use.

Instead of conducting research Cake on Time could use existing published research.

This can save a lot of time and effort. However, purchasing an existing market

research may cost thousands of pounds. Other sources may be cheaper, such as

accessing data from the internet and government publications. Internet is the most

accessible source of information. Researchers need to be cautious when using this

source and first ask themselves what were the purposes that the information was

collected for. The way the internet is organized makes it very easy to find out

information. For example, Google will rank topics under how frequently they are

searched for. This means that when you carry out a search, for example, 'market

trends in confectionary', you are likely to find very recent information that is

valued by other researchers. The government regularly analyses business trends and

changes taking place in the economy. This information is published in reference

books and journals. Many of these sources can be accessed directly through the

internet by typing in the appropriate search terms. Examples of useful government

publication include the following:

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1.9.3.2.1 Social Trends

Social Trends draw together social and economic data from a wide range of

government departments and other organizations. It paints a broad picture of British

society and how it is changing covering key areas.

1.9.3.2.2 Monthly Digest of Statistics

This is a summary of information on monthly economic trends. Coverage includes

such standard statistical topics as producer and consumer price indices, information

on industrial output and retail sales, and financial statistics including national

accounts, government finance and energy.

1.9.3.2.3 Expenditure and Food Survey

Shows what households are spending their money on and how these patterns are

changing over time. The Expenditure and Food Survey is now the Living Costs and

Food Survey. The Expenditure and Food Survey (EFS) is a survey conducted by

the Office for National Statistics (ONS) and the Department for Environment, Food

and Rural Affairs (DEFRA) which collects data about private household expenditure

and food consumption in Great Britain.

1.9.3.2.4 Regional Trends

Regional profiles, details of households, labour market information, living standards

and so on. The Labour Force Survey provides estimates of employment and

unemployment as other standard labour market indicators such as the employment

rate and for the persons living within a particular employment insurance region.

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1.9.3.2.5 Business Monitors

Statistics on output in different business sectors. The retailing monitor is of

particular interest, covering retail sales by region. Public companies are required to

produce an Annual General Report. These reports can be ordered by Cake on Time

and supply them with details of the company's current activities. The report shows

the current strategy of the business and often, more importantly for market research

processes, outlines current market trends in the area the company operates in.

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 Chapter-2

SWOT ANALYSIS OF THE COMPANY

2. SWOT

SWOT stands for strengths, weaknesses, opportunities and threats. Identifying a

company's strengths is a key part of the SWOT analysis a small-business owner does

when preparing an annual business plan. Strengths and weaknesses are under the

control of a bakery. Taking advantage of your company's strengths and overcoming

its weaknesses lead to revenue growth and profitability. SWOT analysis is a strategic

planning technique used to help a person or organization identify strengths,

weaknesses, opportunities, and threats related to business competition or project

planning. Opportunities and threats are factors not influenced by the bakery. For

example, a competitor opening across the street is a threat, while a decrease in the

price of flour is an opportunity.

2.1 Strengths of the company

2.1.1 Product

A product is the item offered for sale. A product can be a service or an item. It can be

physical or in virtual or cyber form. Every product is made at a cost and each is sold

at a price. The price that can be charged depends on the market, the quality, the

marketing and the segment that is targeted. Whether you offer breads, rolls, cupcakes

or wedding cakes, the major strength of a bakery is the consistency and quality of its

products. Setting your products apart from the competition gives you an edge. You

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may decide to use only organic ingredients, bake the bread in small batches, or offer

unusual flavors for your cakes.

2.1.2 Social Media Marketing Efforts

Restaurants, cafes, food trucks and, of course, bakeries make use of social media sites

such as Facebook, Google+ and Twitter. Give your bakery a friendly and active

presence on social media sites to keep customers, friends and group members updated

on specials, new items and discounts. Every potential customer won't make it to your

bakery the day when a special is offered, but the offer reminds them of your cakes,

cookies and desserts for future purchases. Bakeries with a strong social media following can

count that as one of their strength.

2.1.3 Location

A high-traffic location for a retail bakery is strength. The more potential customers

that pass by the bakery the more exposure it gets. While it's expensive to change a

location, you can draw more attention to your existing location with signage,

displaying baked items in the windows and offering samples to those who walk by.

Locating the bakery near other non-competing food shops brings their customers to

you and vice versa.

2.1.4 Systems

A bakery may not seem like it requires a high-tech computer system, but having one

in place geared to bakery needs can be a major strength and a boost to productivity.

For example, financial reports may show that rye bread is sold out before the whole-

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grain bread, so the bakery should have more rye bread on the shelves. The system

would calculate how many rye bread loaves should be baked and the cost of the

bread. It would deduct the in-stock ingredients from inventory and put the needed

ingredients on the to-order list. The programming could also track employee sales to

see who is selling the most, as well as which time periods and days have the highest

sales.

2.1.5 Emotional Impact

Most people buy food, including baked goods, based on their emotions. This bodes

well for your company, especially if you sell baked goods that people buy on

impulse. On the other hand, some types of baked good purchases, such as buying

bread, are not based on emotion, and instead, are considered a staple. Yet again, this

is a strength for a bakery company that sells bread since the food is considered

necessity, not a trendy item to buy when the urge hits.

2.2 Weaknesses of the company

2.2.1 Staffing Weaknesses of a Bakery

Your employees are the face of the bakery to your customers and employees are one

of the many problems encountered in bakery business models. Employees who can't

answer questions about ingredients for the breads and cakes, about why your bakery

is better than the competition or why using real cream, eggs and butter creates a

superior product, results in lost sales. Back of the house staff, those mixing and

baking the cakes and pies can inadvertently sabotage a bakery by not paying

attention to ingredients and measuring. Baking is a science, and exact portions are

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required for the products to turn out consistently delicious.

2.2.2 Operations and Cleanliness

Bakeries are inspected and graded by county or state health authorities. Those grades

are usually placed where customers can see them. A lower grade impacts the

customer's perception of the quality of your bakery. Serious infractions may cause the

bakery to close until the problem is fixed. Inadequate equipment results in the waste

of cakes and breads not properly baked. Train employees to keep the bakery sparkling

at all times. Spot-check refrigerator and freezer temperatures to make sure they are

within allowable variances. Know what the health codes are and enforce them.

2.2.3 Financial Management Process

A bakery is a business and requires the owner to be a savvy financial manager as

well as knowing the ins and outs of baking. Baked goods are perishable inventory so

if you don't sell the bread today, it has to be marked down tomorrow. However, it

still costs the same to bake. Knowing exactly what your baked goods cost to produce

gives you a better idea of what price to charge for them. If finance isn't your strong

point, hire an accountant to set up your accounting system and show you how to use

it, what reports are standard and what the reports mean.

2.2.4 Bakery Marketing Challenges

"Bake it and they will come" doesn't work in real life, only in the movies. You may

think that your baked goods will sell themselves, but unless you let customers know

about your bakery, no one will be eating your pastries. A non-existent marketing

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plan is a weakness of a bakery. Use social media to develop a list of friends, groups

and followers. Announce specials, new breads and recipes through the social media

sites as well as on your bakery's blog or website. Create contests to name a new

muffin or bagel, awarding the winner a week's free supply.

2.3 Opportunities

2.3.1 Demand for Innovation

Nothing kills a snack attack faster than the same old routine. Consumers chase

trends, and these days the weirder, the better. Once-exotic flavors like smoke,

wasabi, and Sriracha have gone mainstream. It‟s always been a challenge for Bakery

and Snacks manufacturers to stay innovative, especially if a fad fizzles fast. Tight

margins make it difficult to keep up. Shortening the time a product moves from

research to retail is critical to staying cutting edge, even relevant. Retaining a well-

trained workforce can cut costs better spent on innovation.

2.3.2 Evolving Regulations

One big change brought on by FSMA (Food Safety Modernization Act's ) is

recordkeeping’s magnified importance in operations and inspections. Documentation

has always been important, but now it will carry even more weight in mandatory

procedures. One way to track documentation is to standardize your systems.

2.3.3 Automated Bakery Plants

In bakery plants investors can put up big automated plants for wide variety of bakery

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products. The volume is very high and caters mass population of different

geography. This model is useful for people with large amount of finances and

interested in long term and brand building exercise .Automated plants requires plant

and machinery with higher levels of supply chain networks with functions like sales

marketing, procurement, etc.

2.3.4 Bakery Retail Shop

Small Bakeries when people or entrepreneur has finance constrains then can opt for

small bakeries which caters for local and close areas for sales .cost of advertisement

are low. They can have direct relationship with customer and can produce tailor

made products for customers. Business could be good if &products are innovative

and quality superior to beat branded products produced.

2.3.5 Export/Import

This model is the simplest form of doing bakery business with either exporting bakery

products to different countries by buying from one’s own country or Importing bakery

products from other country and distributing to one’s own country. Connect2India

providers are the end to end solutions to export. Cakes from India avail post-shipment

export / import finanace by factoring the cake invoices.

2.4 Threats

2.4.1 Competition in the Bakery Business

For most bakeries out there, growth opportunities come in the form of opportunities

to buy out competitors or stealing their market share for a specific product. A viable

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strategy you can use to grow your own bakery business is to make artisan baked

goods that people won’t easily be able to find elsewhere and having a menu that caters

to special diets among your consumers. With the health consciousness spreading

around the country, bakeries that make breads for a gluten-free diet are in demand.

This is actually a helpful situation for small bakeries because they are more nimble

and flexible than larger bakeries and better able to adapt to the evolving tastes of the

population.

2.4.2 Health and Safety Standards

Different healthcare standards or initiatives serve the different healthcare segments

effectively in delivering critical information between systems. Now, on the one hand,

it may seem like an advantage that a small bakery does not have to comply with

some regulations that large bakeries have to comply with health and safety.

However, there is a serious risk component to all of this if you think a little more

deeply about it. There was a time when bakers had a widespread belief that the very

high temperatures applied in the baking process could eliminate any pathogens that

may otherwise find their way into the bread. However, better knowledge has led us

to learn that this isn’t always true.

2.4.3 Limited Growth Opportunities

There are already a lot of bakeries in the leading to a market saturated with bakery of

all sizes and specialization which makes competition in the bakery business high. A

specific characteristic of the industry is that a lot of bakeries specialize in specialty

breads, which are more expensive than regular breads. Consumers may or may not

be willing to pay that premium for specialty baked goods, depending on how the

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economy is performing at that time. The bakery industry also happens to be limited

by population growth. With a growth in population there will naturally be more

people to buy baked goods. Unfortunately, it is a slow process and the bakery

industry is still growing by single percentage points annually.

2.4.4 Bottom Line

These price fluctuations can have serious consequences for the bottom line of a

bakery business, as profit margins become slim, and sometimes the bakeries are

forced to pass some of those costs on to the consumer, to avoid going out of

business. A common way to avoid the risk of price fluctuation in your bakery

business is to negotiate contracts so that you buy all of your raw materials in bulk

and at fixed wholesale prices. This allows you to budget for the future and also

to be able to accurately and consistently forecast your costs and profit margins for

the future.

2.5 Our USP (Unique Selling Prepositions)

2.5.1 Personal attention to each cake to make it perfect

Cake requires a lot of personal attention as it can end up with cake problems. Like

the cake made can be too dense, too dry or too sunken in the middle. Pay close

attention to the type of pan the recipe calls for, and stick as closely to that as you can.

2.5.2 Best quality ingredients used

Good quality of ingredient is the main foundation of a cake. Ingredients combine to

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form baked goods and turn out the best cookies, pies and cakes ever. Each ingredient

has its own important function.

2.5.3 Guaranteed freshness, each cake is baked after receiving orders

Cake on time always delivers fresh cakes which are made after receiving the orders

from its customers. It delivers orders with an assurance that freshness is guaranteed

by the company. Freshness is measured when developing long shelf life cakes to

ensure goals which can also be a future guide for our product development.

2.5.4 Customisations offered as per customer requirements

Customized cakes are made as per the requirement of the customer. It customizes

cupcake, cakes, cookie with free shipping along with the instant delivery.

customized products are those products that are uniquely designed according to

customer specification. They may differ in shape, size, logo, image, colour etc.

These products are different from generally available product in the market.

2.5.5 Themes

Theme cakes are extremely exciting, and a cake with the theme of what the person

likes, can bring a smile to his face. A themed novelty party cake will always create a

fabulous surprise for someone that follows a great interest or loves a pet. Princess,

Frozen, Unicorn and Peppa Pig are some popular themes for a birthday cake for girls.

A cartoon birthday cake is an apt choice for a birthday cake for a baby girl.

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2.5.6 Delicious and healthy as mother’s preparation

The cake just tastes like made by mother. Extremely yummy and pleasingly moist

cake, Modern cake flour is made from "soft" wheat with low protein content.

Memories of eating fresh out of the oven cakes baked by the mother makes food

more brilliant and brings nostalgic about cakes without fuss and frosting.

2.5.7 Doubles the happiness

Money can’t buy happiness as rightly said, but Ice cream or a piece of delicious cake

can bring happiness in everyone’s life. Some people really derives happiness from

any shape, size and color.

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 Chapter-3

FUNCTIONAL ANALYSIS OF THE COMPANY

3. Digital Marketing

Digital marketing is the promotion of products or brands via one or more forms of

electronic media such as search engines, websites, social media, email, and mobile

apps, differs from traditional marketing in that it uses channels and methods that

enable an organization to analyse marketing campaigns and understand what is

working and what isn't typically in real time. Digital Marketing is an umbrella term

for the targeted, measurable, interactive marketing of products or services using

digital technologies to reach and convert leads into customers and retain them. The

key objective is to promote brands, build preference and increase sales through

various digital marketing techniques. It is embodied by an extensive selection of

service, product and brand marketing tactics, which mainly use the Internet as a core

promotional medium, in addition to mobile and traditional TV and radio. Digital

marketing is the fastest and most effective way to promote and advertise a business.

3.1 Digital Marketing Planning Process

A digital marketing plan is a document sharing the details for all the planning

for your digital marketing campaigns or actions. It details, among other things.

When developing a digital marketing plan have to include components such as

determining your target audience, business objectives, and an adequate value

proposition. According to Philip Kotler, considered one of the fathers of

modern marketing, a traditional marketing plan serves “to document how

the organization’s strategic objectives will be achieved through specific marketing

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strategies and tactics, with the customer as the starting point. It is also linked to the

plans of other departments within the organization.”

3.1.1 Structure a digital marketing plan step-by-step

Step 1: Situational Analysis

The first thing needs to be done is developing digital marketing plan is to carry

out an internal and external analysis of the firm. A useful framework for this is

the SWOT analysis that allows you to look at the strengths, weaknesses,

opportunities, and weaknesses for your company and the market at large. We

need to be familiar with the ecosystem we operate in, what our customers' needs

are, and where they get addressed. This analysis is equally qualitative as it is

quantitative through looking at factors such as digital habits, intermediaries,

influencers.

Step 2: Establish Digital Marketing Goals

Once business occupies a place in the market and the strong points are in mind,

next step is establishing some goals to have a clear idea of where your actions

should take you. Everything you plan has to work towards meeting those goals.

Work can be done on developing this part of your digital marketing plan with

the smart goals framework in mind: specific, measurable, attainable, relevant,

and timely goals.

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Step 3: Define the marketing strategy

Personalization is becoming increasingly important in digital marketing.

Therefore, when it comes to defining your strategy for carrying out your plan,

keep some factors in mind such as segmenting the target audience, positioning,

keyword search, content calendar.

Step 4: Digital Strategies and Tactics

Based on objectives (attraction, conversion, and loyalty), we’ll start to carry

out different strategies: email marketing campaigns, social media, CRM, web

optimization, SEO strategies, Paid Media advertising, etc. Considering today

that the number of channels to manage is multiplying and the amount of

information we get about our customers is increasing, it’s critical we use

Marketing Automation tools that let you automate your marketing campaig ns.

Step 5: Measuring Results and KPI’s

The work doesn‟t stop after you‟ve designed and implemented your digital

marketing strategy. The next step is one of the most important: analyzing the results.

Analytics has turned into a critical pillar for successfully optimizing digital

marketing performance and spending. We have to measure every action using KPI’s

to figure out if we earned the ROI we expected. Measuring the effectiveness of the

strategies and activities we implemented in our digital marketing will help us correct

what doesn‟t work to achieve the goals we set.

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3.2 Components of Digital Marketing

3.2.1 Social Media Marketing

Social media refers to the means of interactions among people in which they create,

share, and exchange information and ideas in virtual communities and networks.

Social Media Marketing is the process of gaining website traffic or customer

attention through social media sites like Facebook, Pinterest, Google+, Instagram

etc. in order to achieve marketing or branding goal.

3.2.1.1 Facebook Marketing

Facebook marketing is the process of engaging, involving and retaining customers

through advertisements and attractive contents. Facebook is a powerful marketing

tool and this is the most used social networking site where you can find customers of

all ages and tastes. It's a great space to keep customers informed, develop brand

identity, and broaden your reach. There are some terms that are highly used when

doing task of Facebook marketing or social media management.

3.2.1.2 Advertising Objectives

Facebook offers many advertising objectives to help you reach your business goals.

Your advertising objective is what you want people to do when they see your ads.

For example, if you want to show your website to people interested in your business,

you can create ads that encourage people to visit your website. When you create an

ad, you first choose your objective. The objective you choose aligns with your

overall business goals and moreover, objectives must generate interest in your

product or service, objectives that get people to start thinking about your business

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and look for more information about it, objectives that encourage people interested

in your business to purchase or use your product or service.

3.2.1.3 Page Views

Page views are the number of times a Page's profile has been viewed by people,

including people who are logged into Facebook and those who aren't. It is an instance

of an Internet user visiting a particular page on a website. A page view is a visit to a

page on your website. If the visitor reloads a page, this counts as an additional page

view. On balance, page views refer to a number of pages viewed or clicked on the site

during the given time. Page views may be counted as part of web analytics.

3.2.1.4 Reach

This is the number of people who saw any of your Page posts. Reach can be broken

down into people who saw your posts with or without advertising (paid or organic

posts). In digital marketing, this can refer to the number of unique users reached in

a digital campaign, not the total number of impressions delivered. Reach is usually

accompanied by frequency: while reach will tell you how many users you have hit,

frequency tells you how many times that user was hit on average.

3.2.1.5 Impressions

It measure how often your ads were on screen for your target audience. An

impression is counted as the number of times an instance of an ad is on screen for the

first time. (Example: If an ad is on screen and someone scrolls down, and then

scrolls back up to the same ad, that counts as 1 impression. If an ad is on screen for

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someone at 2 different times in a day that counts as 2 impressions). Since

impressions are counted the same way for ads that contain either images or video, a

video is not required to start playing for the impression to be counted.

3.2.1.6 CPC (COST PER LINK CLICK)

The average cost for each link click. CPC shows how much, on average, each link

click costs you. CPC is a metric used in the online advertising industry for

benchmarking ad efficiency and performance. The metric is calculated as the total

amount spent divided by link click. The terms pay-per-click (PPC) and cost-per-

click (CPC) are sometimes used interchangeably, sometimes as distinct terms

3.2.1.7 CPM (Cost per 1,000 Impressions)

The average cost for 1.000 impressions. CPM is a common metric used by the online

advertising industry to gauge the cost-effectiveness of an ad campaign. It's often

used to compare performance among different ad publishers and campaigns. CPM

measures the total amount spent on an ad campaign, divided by impressions,

multiplied by 1,000. (Example: If you spent $50 and got 10,000 impressions, your

CPM was $5.)

3.2.1.8 Insights

With insights it can be overviewed how many people liked, shared or commented on

your ad. One of the great things about digital advertising is that it's so

trackable. Insight offers expert digital targeting of clearly defined audiences for your

message. Our experienced digital marketing strategists work together to ensure your

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budget is utilized where it will give you maximum ROI. Customer

centric marketers use all kinds of tools to get a better prediction.

3.2.1.9 Post Engagement

The total number of actions that people take involving your adverts. Post

engagement indicates that your ads are relevant to your target audience, which helps

your ads perform better. When people see ads that are relevant to them, they're more

likely to interact with those ads. This metric lets you measure these interactions and

compare them to engagement from other ads or campaigns. Post engagement

includes all actions that people take involving your ads while they're running. Post

engagements can include actions such as reacting to, commenting on or sharing the

ad, claiming an offer, viewing a photo or video, or clicking on a link. Post

Engagements are the number of times people have engaged with anything posted on

the Facebook page. Engagements can be anything from likes, to comments, to

shares. Most businesses strive for a high number of likes, when in fact, they should

be striving for higher engagement. Facebook engagement is any action someone

takes on your Facebook Page or one of your posts. The most common examples are

likes, comments, and shares, but it can also include checking in to your location or

tagging you in a post. First, engagement helps boost your News Feed placement

based on the Facebook algorithm.

3.2.2 Web Analytics

The other major task was to implement Google Analytics so that the consumer

behavior on the website may be studied in detail. Using this data, proposals were to

be made to improve conversion rates as well as bring down bounce rate. In this

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discussion, Conversion rate is the percentage of web visitors to the site who initiate

and complete a purchase. Bounce rate is the percentage of web visitors who leave the

website at the landing page without browsing through any other pages. These two

terms are KPIs (Key Performance Indicators) for any e-commerce business and

represent the efficiency of the marketing campaigns employed. A digital marketing

campaign may result in a large number of visitors to the page; however without

steady conversions and limited bounces, these may not provide any economic value

to the company. Web analytics is the process of analyzing the behavior of visitors to

a Web site. The use of Web analytics is said to enable a business to attract more

visitors, retain or attract new customers for goods or services, or to increase the

dollar volume each customer spends.

3.2.3 Google Analytics

Google Analytics provide free digital analytics for any firm with a web presence and

is free of cost. This combination makes it the most popular solutions for web

analytics currently under use. The following represents a summary for quick

reference about Google Analytics. Google Analytics lets you measure your

advertising ROI as well as track your Flash, video, and social networking sites and

applications. Google Analytics gives you the tools you need to better understand

your customers. You can then use those business insights to take action, such as

improving the website.

3.2.3.1 Actionable Insights

An actionable insight is a piece of information that enables an individual to make

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well-informed decisions. Google Analytics provides a plethora of actionable

insights. Actionable insights are direct, meaningful actions that can be taken from

analyzing any type of raw data. They're often the result of data analytics that

provides enough data for organizations to make a well-informed decision. Not

all insights are actionable though.

3.2.3.2 Support Quality

Though Google does not provide direct support; extensive trouble-shooting guides

and support are available online through several forums, including their official

product forums site.

3.2.3.3 UI and Accessibility

The tool is easy to use, and the dashboard quality is also quite high. An overview of

the fundamental web accessibility requirements for websites, labels for form controls,

input, and other user interface components.

3.2.3.4 Implementation

The basic implementation is quite easy, as it just involves adding a line of code in to

the page. For advanced implementation such as sub domain, cross domain tracking,

e- commerce tracking, event tracking, custom variables, virtual page views and

filters, requires specialized professionals.

3.2.3.5 Pricing

Google Analytics is free up to 10 million hits per month. Google Analytics offers a

free option and one premium suite, Analytics 360 (customized pricing), which, as per

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a third-party site, costs $150,000/year. The Google Analytics cost is very reasonable.

3.2.3.6 Acquisition

Acquisition data is information on how people land up on our site and how they

engage with our pages. We directly get the information on the breakup of different

sources of traffic. Further, we can see the engagement data for each segment of

users. Digital marketing is an efficient and useful customer acquisition strategy that

Data Driven in Digital marketing can help your business grow. Acquisition strategy

that encompasses online marketing efforts.

3.2.3.7 Behaviour

With this segment in Google Analytics we came to know about the number of users

who are returning to our sites and who are new visitors to our sites. People making

online purchases tend to make decisions based on other people's reviews, the better

the reviews, the stronger the decision making. In such cases, promoting the brand

with improvised digital marketing techniques to build loyalty amongst consumers

helps in increasing sales.

3.2.3.8 Mobiles/Desktop/Tablets Overview

By this, we can recognize that how many users are visiting cakeontime.com via

mobile or desktop or tablet. Mobile marketing is a multi-channel, digital strategy

aimed at reaching users on a target audience on their smartphones, tablets, and/or

other mobile devices, via can be done on a desktop computer is now available on

a mobile device.

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3.2.3.9 Audience

On the basis of age and gender, we can examine that which age group and gender are

interested in visiting cakeontime.com. Targeting the right set audience is extremely

crucial to the success of your business. Otherwise, if you are not reaching the

right audience, then all your digital marketing efforts from SEO and PPC to social

media and content marketing have no point and your budget is just going down the

drain.

3.2.4 E-mail Marketing

According to Wikipedia, Email marketing is the act of sending a commercial

message, typically to a group of people, using email. Email marketing isn't

something marketers do just because they can and it's easy. The tactic is very

effective at helping business owners and consumers stay connected. In fact,

consumers often seek out email marketing campaigns from their favourite brands

and local stores. It is the use of email to develop relationships with potential

customers and/or clients. Email marketing is one segment of internet marketing,

which encompasses online marketing via websites, social media, blogs.

3.2.5 Google AdWords

It is an online advertising service developed by Google, where advertisers pay to

display brief advertising copy, product listings, and video content within the Google

ad network to web users. Online ads on Google can help you reach more customers

and grow your business.

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3.2.6 Search engine optimization

Search engine optimization (SE0) is the practice of increasing the quantity and

quality of traffic to your website through organic search engine results. It mainly

depends on meta keywords tagging. Meta keywords are the words with which

audience search for something. A website requires meta description, meta keywords,

meta titles for effective search engine optimization.

3.3 Digital Marketing Strategy

3.3.1 Developing Digital Marketing Strategies

A successful digital marketing strategy plan example must be realistic, multi-faceted,

and consistently implemented over time. There are no shortcuts for reaching the end

results. Nevertheless, it actually depends on your resources. There are several ways

by which you can accomplish every step. Spend only what you can afford and ensure

that your team has the time to develop the creating a digital definition of digital

marketing strategy without casting any negative impact on the current business.

3.3.2 Setting the Goal

Whatever it is, having a fixed goal in mind will bolster your chances for success.

Digital marketing plan example is a great way for businesses to prosper. However,

diving headlong into it blindly can leave you in a mess. A lot of precision and

marketing strategies goes into digital marketing and having a clear goal helps you to

retain focus.

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3.3.3 Setting up a Marketing Channel

All successful businesses have a marketing channel in place. A marketing channel is

where you map a customer’s journey from the point he/she is a complete stranger to

when they become a lead, and then put relevant marketing strategies in place to

encourage them to move forward in the channel.

3.3.4 Creating Effective Lead Magnet

A lead magnet can be used either singularly or with a CTA. It will be used either

with your marketing channel or for driving potential customers to your channel.

Provide your prospective clients with relevant information about your product or

service. Use offers to collect more information about potential buyers while taking

them into your marketing fold at the same time. It will bring them closer to become

quality leads that are ready to spend money on your product or service.

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 Chapter-4

LESSONS LEARNT

4.1 My experience about the working environment obtaining in the company

My internship has definitely reinforced my passion for Digital Marketing. It is

definitely something I want to do, specifically in the Digital Marketing sphere. It was

working in that professional environment and having the opportunity to interact and

contribute to such a fast growing business like that was such a brilliant experience

for me. I gained priceless skills and learning other things like a professional way to

interact with clients. I have got the skills and experience that I have gained from your

internship and I also have the confidence to perform. I understood the aspects of the

role you're there to do. Personally, it gave me more insight into how Digital

Marketing and Marketing works as a profession. It has given me the confidence in

areas that I hadn't studied at university, like interacting with clients, advising clients

and suggesting how to improve campaigns. In terms of Digital Marketing I have just

got to immerse myself in it and I will soon pick things up. I will gain priceless and

lifelong skills if I approached it in a right way. I did Affiliate Marketing which is

marketing through client sites and leading generation for emails. I would take the

campaign of one of our affiliate sites and watch it, then report back on how it has

done and how it can be improved.

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4.2 Recommendation

4.2.1 More Investment on Digital Marketing

Cake on Time needs more investment in this sector. Company want to increase their

investment in social media marketing and a website because it is easy to measure

these channels results. Social media and websites are easy investments for businesses

and don’t take too much effort. For example, MyCorporation, which helps customers

file online documents to form a corporation or limited liability company, sees social

media and a website as essential to its success. MyCorporation uses social media

channels such as Twitter to engage with other companies through humor and an

approachable voice.

4.2.2 Digital presence on all platforms

Online presence refers to all activity and content that an entity - a person or a

business is under their name on the internet. This includes accounts, assets,

interactions, and any pieces of information created by or about the person or

business. Many small businesses and startups get caught up in chasing “viral” and

“cool” marketing and SEO strategies, and take their online presence for granted. By

creating a website and a Facebook profile, they assume that they control the online

presence of their business. However, „online presence‟ is more than just a website

and social media profiles; it is distributed across multiple channels and platforms on

the internet.

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4.2.3 Showcasing more products

Wide range of products is also an important factor to build a business online.

Customers want different varieties of products. Presenting all products is the best

one can do. Marketing tactics like stating the functionality of the product and

showcasing and more marketing and sales processes can take place on these

platforms.

4.2.4 Mobile user friendly website interface

Mobilization means building mobile platforms by using latest technology (XHTML,

HTML5 and CSS3) while adhering to mobile UX best practices. With the changing

user habits and preferences, your website can’t just be mobile friendly; it needs to be

built for mobile. Choosing between a responsive website, adaptive website or mobile

app is the first step towards mobilization.

4.3 Limitations

4.3.1 Downside of Digital advertising

It's just profitable for consumer products. We can't market the industrial products or

pharmaceutical products via Digital channels. Consequently, should you want to

marketize any pharmaceutical or industrial products, it's not possible to market

through Digital advertising. So, there's absolutely no extent to market each of the

goods.

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4.3.2 Chief drawbacks of Digital advertising is piracy

It's frequently seen any firm reproduces your merchandise and market them as their

merchandise. Copying of a picture isn't hard. Additionally, they can make an adverse

impact on your products which will damage your online reputation. There are several

hackers to monitor or replicate the precious advertising and marketing approaches.

Thus, to continue to keep your promotion plan is must. But very often it will not

secure in the piracy manufacturers. Piracy manufacturers are constantly there to

replicate your enterprise plan.

4.3.3 High contest of brands

A consumer and customer must know more about the high rivalry of brands. When a

client searches for a particular goods or merchandise, then the professional services

using the exact same advertising technique, look on the customer's home page. Thus,

this gives the client and provides a much better and more affordable quality product of

another business. For this reason, some clients lack their confidence on a lot of ads

and take them. In case the price of same excellent product fluctuates, anyone may be

victim of its own tricks.

4.3.4 Limitation of internet accessibility

The Digital marketing mostly is based upon the World Wide Web. In this

contemporary world, there are still a few places in which the centre of the World

Wide Web isn't accessible or the online connection is quite poor. In those distant

locations, digital advertising doesn't have any function. It's quite tricky to target

those clients who reside in these areas. Digital marketing is only a puppet, because of

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no internet. This is a significant issue of Digital advertising. There's absolutely no

means of escaping out of it.

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