Salad Bar Financial Plan And Objectives Marketing Essay

Salad Bar Financial Plan And Objectives Marketing Essay The salad bar financial model will be based on the business concept of managing for the best, and planning for the worst. The projections of the first year will anticipate for a sales volume below average, salad cost above average, and seat turn below average. This will help us ensure adequate financial planning to cater for a ramp-up period that is reasonable, success of the business, and ensure that the business is not under-capitalized (McKeever 2008). Financial Pro Forma Besides the $70,000 of owner investment and $90,000 grant monies, The Salad Bar is seeking $150,000 in loans that are long-term and $100,000 in renovation investments, kitchen equipment, furniture catering license, legal fees, working capital, , food restaurant supplies, personnel and marketing. Investment Opportunities The Salad Bar Investment Program assigns equity position of 30% for a $100,000 total in investor capital. Investment Opportunity Total Investor Grant Opportunity:     $100,000 Minimum Amount of Investment $5,000 Investment Term 2-4 Years Maximum Total Equity Offering 10% Starting Year 2 Silver: Projected Annual IRR on Investment of $15,000 $49,000 10% Gold: Projected Annual IRR on Investment of $50,000 $99,000 11% Platinum: Projected Annual IRR on Investment of $100,000 or more 12% + Residuals Our financial plan is based on the assumptions that there will be a slow-growth economy that will be recovering from an economic decline. It also assumes that the business will experience a modest growth in the future. The Salad Bar business intends to increase profit margins per day. The businesses aims at reducing the variable operation cost as well as achieve a double growth rate annually. The Salad Bar marketing strategy will be aimed at developing visibility among the members of the community. This strategy will be achieved through a targeted advertising campaign. There will be advertisements placed in various newsletters. Its hoped that the advertisements will yield a reasonable amount of product enquiries since they are beleaguered toward the target population that uses Salad Bar products/services (Young 2007). The Salad Bar Marketing Objectives Salad Bar aims at reducing market costs as a sales percentage. The business intends to maintain steady and positive growth every month. In addition, Salad Bar plans to experience new customers increase and consequently have them as long-term customers. Marketing Strategy The Salad Bar marketing strategy will be aimed at developing visibility among the members of the community. This strategy will be achieved through a targeted advertising campaign. There will be advertisements placed in various newsletters. Its hoped that the advertisements will yield a reasonable amount of product enquiries since they are beleaguered toward the target population that uses Salad Bar products/services (Abrams Kleiner 2003). Target marketing The Salad Bars target population includes the middle class clients and the upper-class clients. The middle-class population has minimal disposable income. It recognizes that its expensive to get salad from a salad bar but its prepared to incur expenses though they will attempt to minimize them. On the other hand, the upper-class clients are characterized by high income level and its willing to have salad from a bar. This strategy will require a different menu for the two groups since the upper-class salad menu will be cost prohibitive for the middle class population (McKeever 2008). Positioning The Salad Bar will position itself as a high quality, innovative salad business. The members of the society will recognize the high quality and unique service/product offerings of The Salad Bar. The Salad Bar competitive edge will be founded in  its customer inventive and customer approach to members of the society. The Salad Bar customer attention will make it different from other salad bars that have a lot of demand. The disadvantage of having a high demand is that the business experiences a decreased pressure to accommodate extra clients. When The Salad Bar will start having plenty of customers, we will modify our business plan in order to handle them effectively McKeever (2008). The Salad Bar will approach the market as if there is considerable competition between the different product providers. We aim at making customer satisfaction our priority, and through this, local clients will come to be pleased about the attention given to their need and establish long-term relationshi ps with The Salad Bar. The main objective is to position The Salad Bar as the premier Salad business within the area, authorizing a market share majority in four years. The marketing strategy will aim first at creating customer awareness concerning its products, build up a customer base, and focus on building customer referrals and loyalty (Young 2007) Marketing Mix The Salad Bar marketing mix will consist of pricing, distribution, advertising and promotion approaches. The pricing scheme of the business is based on per person or per bowl charge. The Salad Bar aims at making product deliveries for customer far from the shop. On the other Hand, advertising and promotion will be done through television and radio adverts as well as brochures (Young 2007). Marketing Research Several focus groups were established and held during the initial marketing plan development phase so as to gain insight into a number of potential customers. The groups provided useful insight into potential customers decision making. Additional dynamic market research source is a feedback system based on a proposal card system. The proposal card will have numerous statements that clients are asked to rate as per a given scale. There will be numerous open ended questions that will enable a client to offer constructive criticism freely. The Salad Bar will focus on implementing suggestions that are reasonable so as to improve its product offerings as well as demonstrate its commitment to customer suggestions (Abrams Kleiner 2003).