Asian Development Foundation College

P. Burgos St., Tacloban City

THE BUSINESS PLAN OF

“FLAVORED PUTO”

In Partial Fulfillment
Of The Requirements in E-COM
(Electronic Commerce)

Submitted by:

MARELLE MARIE T. MENDOZA

BSBA - 4 Marketing Management

Submitted to:

MR. ALBERT I. CHUA

Instructor
 A. INTRODUCTION OF THE PRODUCT

Puto, a Filipino version of a steamed cake, is one of the favorite snacks in the
country that has definitely become a food staple. Traditionally, puto is made with
ground rice and topped with cheese or salted egg but because of its delicious sweet
taste, it has been adapted to be made with white flour and made with variations of
flavorings such as pandan and ube. Flavored puto is the first of its kind in Tacloban
City. Most establishments you see selling the very popular steamed rice cake only offer
the plain kind and the ​puto cheese. As a proponent of this study, this is an attempt to
introduce a new variety of flavors to the market.

Due to its low capital requirement and the very easy method it takes for it to
make, many Filipinos enjoy the profits of selling puto. It does not need heavy marketing
for it to sell and its supplies are very easy to acquire and wouldn’t result to a very high
profit. Advertising through social media is the best method used for this product. Firstly,
the social media marketplace is the go-to place of the market nowadays when they
need to buy something in particular. Not only do they get a chance to haggle, they are
also given a wide variety of options without leaving the comforts of their homes.
Another way to advertise would be through flyers and tarpaulins and lastly, is through
franchise marketing.

The market for flavored puto is quite large as it has no definite target market. It
may be homeowners trying to serve the snack for fiestas and birthdays to even
students just wanting to have something to nibble at while projects are being done. It
could be anyone from all walks of life and it has a stable demand in its market share all
year round.
B. MARKET

The flavored puto is a Filipino food staple, therefore, it has a wide market it can
be sold to. The business will be targeting all travelers and homeowners of residential
areas in the city. Students and revellers are also being targeted for this project. To be
specific, below is the graph showing the target market of the product:

Since the heart of your business success lies in its marketing, most aspects of the
business will depend on a successful marketing which makes it the overall marketing
umbrella that covers advertising, public relations, promotions and sales. The following
marketing strategies will be applied:

1. Social Media. These platforms have become marketing giants, offering

businesses valuable data about their customers and a free way to reach them.
This will definitely increase brand awareness and loyalty as well as make it easier
for the customers to find and connect with the proponents. By this, it is more
likely to increase customer retention and brand loyalty.

2. Website. In this modern era, people and companies are on the internet for
information. A website will most likely help the prospect customers provide
 information about the products and services. They may also be able to check the
balance of their prepaid cards here.

3. Tarpaulin/Streamers​. Since tarpaulins are made of polyester or plastic, they

weather incredibly well. Billboards and posters on public roads are also eye
catching especially if the quality of the promotional content is exceptional and will
make it more effective.

4. Flyers. It will be another way of making consumers aware of the new products
and services of the business.

Despite being the first of its kind in Tacloban City and its solid marketing plan
presented above, flavored puto can still be compared to the traditional puto being sold
by Goldilocks, Panny’s Bakeshop and Elena’s Bakeshop to name a few. This threatens
the whole operation of introducing the product to the market as these are brands that
have already established their names in the pastry industry. The innovation behind the
flavored puto also poses a risk especially since it is being introduced to a kind of
market that are not very fond of trying products that are new.

However, it is guaranteed that the product will sell within one month of its
introduction because of its price range and the variety it offers. Below is the projected
sales expected from the product within its first month up to the 10th year:
Below shows the products 10-year sales projection:
C. MARKETING STRATEGY

Three different marketing tactics shall be implemented to increase customer

awareness of the flavored puto. The most important tactic will be “word-of-mouth” and
in-store marketing which is already being practiced. This will be by far the cheapest
and most effective of the marketing programs because of the high traffic in its location.

The second tactic will be local store marketing. These will be low-budget plans
that will provide community support and awareness of the facility. For this strategy,
social media will be the medium for the advertising of the product. This is good but
Facebook Ads doesn’t usually reach the audience desired especially when you use it
without the knowledge of how a niche and algorithm on Facebook works. It could be a
waste of money for the part of the owner so the best choice for marketing is through
advertising through radio and print media.

The last marketing effort will be utilizing local media. Although, this will be the
most costly, this tactic will be used sparingly as a supplement where necessary. The
current outlet being looked into for the product is the social media and this will become
the “market testing area,” and as it go further, the product should open another kiosk in
the nearby shopping mall. In attracting customers to try the puto, it should provide a
see-through kitchen, so that people will see how they are committed to freshness in the
products.

Aside from the strategies, the brand positioning articulates why customers should
choose the flavored puto instead of the traditional ones and how this differs from
others. As such, it helps ensure the product stands out from the competition and
stands up to competitive attacks. The main focus in marketing will be to increase
customer awareness in the surrounding community. It will direct all of the tactics and
programs toward the goal of explaining who it are and what it are all about. It will price
the products fairly, keep the standards high, and execute the concept so that
“word-of-mouth” will be the main marketing force.
D. SUPPLY OF MATERIALS

PROFITABILITY
Revenue
Income P 33,600.00

Operating Expenses
Ingredients 23,956.
80
Transportation Expense 56.00 24,012.80

Operating Income 9,587.20

Profit for the month P 9,587.20

LIST OF PRODUCTS
ITEMS
Ube (Bite-Size) - 30 pcs
Melon (Bite-Size) - 30 pcs
Banana (Bite-Size) - 30 pcs
Pandan (Bite-Size) - 30 pcs
Strawberry (Bite-Size) - 30 pcs
Mango (Bite-Size) - 30 pcs
Original (Bite-Size) - 30 pcs
Ube (Regular Size) - 12 pcs
Melon (Regular Size) - 12 pcs
Banana (Regular Size) - 12 pcs
Pandan (Regular Size) - 12 pcs
Strawberry (Regular Size) - 12 pcs
Mango (Regular Size) - 12 pcs
Original (Regular Size) - 12 pcs
Assorted (Bite-Size) - 30 pcs
Assorted (Regular Size) - 12 pcs
PROCESSES
Step 1 Put water into steamer and pre-heat to bring into a boil.
Step 2 Beat the egg white until smooth and set aside.
Step 3 Mix all dry ingredients, then egg white, and evaporated milk in
one direction.
Step 4 Add water gradually to the mixture until smooth.
Step 5 Add flavoring.
Step 6 Pour mixture into a molding pan and add slice cheese on the top.
Step 7 Steam for about 10-15 mins at 100 - 150℃.
RAW MATERIALS
1 kilo All purpose flour 55.00
1/2 bar Cheese 24.50
8 tablespoons Baking powder 6.00
4 pcs Egg whites 32.00
1 kilo White Sugar 57.00
2 cups Evaporated milk 7.19
11 cups Water -
1/2 teaspoons Flavoring 6.00
1 pc Styrobox 0.50
- Charge per cook Gas 5.00
TOTAL 193.19
*Makes 60 pcs of bite-sized and 30 pcs of regular.
SUGGESTED RETAIL PRICE (SRP)
ITEMS CAPITAL MARK-UP SRP
PER PACK
Ube (Bite-Size) - 30 pcs 96.60 3.40 100.00
Melon (Bite-Size) - 30 pcs 96.60 3.40 100.00
Banana (Bite-Size) - 30 pcs 96.60 3.40 100.00
Pandan (Bite-Size) - 30 pcs 96.60 3.40 100.00
Strawberry (Bite-Size) - 30 pcs 96.60 3.40 100.00
Mango (Bite-Size) - 30 pcs 96.60 3.40 100.00
Original (Bite-Size) - 30 pcs 96.60 3.40 100.00
Ube (Regular Size) - 12 pcs 77.30 2.70 80.00
Melon (Regular Size) - 12 pcs 77.30 2.70 80.00
Banana (Regular Size) - 12 pcs 77.30 2.70 80.00
Pandan (Regular Size) - 12 pcs 77.30 2.70 80.00
Strawberry (Regular Size) - 12 pcs 77.30 2.70 80.00
Mango (Regular Size) - 12 pcs 77.30 2.70 80.00
Original (Regular Size) - 12 pcs 77.30 2.70 80.00
Assorted (Bite-Size) - 30 pcs 90.60 4.40 95.00
Assorted (Regular Size) - 12 pcs 71.30 3.70 75.00