the marketing plan - j1 - belts 'r' us

8/2/2019 The Marketing Plan - j1 - Belts 'r' Us

http://slidepdf.com/reader/full/the-marketing-plan-j1-belts-r-us 1/22

Belts ‘R’

US

Section 2 PGP 1 T. A. Pai Management Institute

Manipal, Karnataka. 576 104

+91‐99‐000‐62144

[email protected]

Group J1

Arnab Roy,Mrinalini SinghKalyan Deep RayPrasenjeet AcharjeeShetty Rahul V.



Confidentiality Agreement

The undersigned reader acknowledges that the information provided by Belts 'R' Us inthis marketing plan is confidential; therefore, reader agrees not to disclose it without theexpress written permission of Group J1 PGP 1, TAPMI.It is acknowledged by reader that information to be furnished in this marketing plan is inall respects confidential in nature, other than information which is in the public domainthrough other means and that any disclosure or use of same by reader, may cause seriousharm or damage to Belts 'R' Us.Upon request, this document is to be immediately returned to J1 PGP 1, TAPMI.

___________________Signature___________________Name (typed or printed)___________________Date*This is a marketing plan. It does not imply an offering of securities.



Table of Contents

Contents 1. Executive Summary .................................................................................................... 1

2. Situation Analysis ....................................................................................................... 1

2.1. Market Needs ....................................................................................................... 1

2.2. The Market ........................................................................................................... 1

2.2.1. Market Demographics ...................................................................................... 2

2.2.2. Market Trends................................................................................................... 3

2.2.3. Market Growth ................................................................................................. 4

2.3.

The Company ....................................................................................................... 4

2.3.1. Product Offering ............................................................................................... 4

2.3.2. Positioning ........................................................................................................ 5

2.3.3. SWOT Analysis ................................................................................................ 5

2.4. Competition .......................................................................................................... 6

2.4.1. Direct Competition ........................................................................................... 6

2.4.2. Indirect Competition ......................................................................................... 7

3. Marketing Strategy.................................................................................................. 7

3.1. Value Proposition ................................................................................................. 7

3.2. Target Market Strategy......................................................................................... 7

3.3. Critical Issues ....................................................................................................... 8

3.4. Financial Objectives ............................................................................................. 8

4.1. Marketing Objectives ........................................................................................... 8

4.2. Messaging............................................................................................................. 8

4.3. Strategy................................................................................................................. 9

5.

Marketing Mix ...................................................................................................... 10

5.1. Pricing ................................................................................................................ 10

5.2. Promotion ........................................................................................................... 10

5.3. Service ................................................................................................................ 10

5.4. Implementation Schedule ................................................................................... 11

6. Financials .............................................................................................................. 11

6.1. Break-even Analysis .......................................................................................... 11

6.2. Sales Forecast ..................................................................................................... 12

6.3.

Loan Repayment schedule ................................................................................. 13 6.4. Contribution Margin ........................................................................................... 13

7. Controls ................................................................................................................. 15

7.1. Implementation................................................................................................... 15

7.2. Market Research ................................................................................................. 15

7.3. Contingency Planning ........................................................................................ 16



Group J1 - Belts 'R' Us PGP 1 – section 2

1. Executive SummaryThis marketing plan is designed to give us a blueprint for marketing our new retail store,Belts ‘R’ Us. We have included a complete market analysis, target market summaries, aSWOT analysis, a detailed milestones table, and other relevant discussions.

Our ambitions for this marketing plan include:

1. Using our existing Internet and direct-mail marketing expertise to build local

promotions and marketing literature.2. Devising lucrative promotions that will draw sponsorships from possible strategic

partners. These promotions are key to our strategy of increasing our strategicalliances through cross-promotions.

3. Identifying our strengths, weaknesses, opportunities, and threats.4. Identifying the local market forces, target markets, and promotional opportunities.

We hope this marketing plan creates a long-term growth model for our retail success.

2. Situation Analysis

Belts 'R' Us is entering their first year of operation. A comprehensive marketing plan isrequired to reach profitability and ensure future success. Belts 'R' Us offers anunprecedented selection of current fashions.

2.1. Market NeedsBelts 'R' Us is providing the market with a wide range of fashionable belts with anunprecedented selection. Currently, students must travel up to Mangalore in order tocome close to approximating Belts 'R' Us's selection. Belts 'R' Us seeks to fulfill thefollowing benefits that are important to their customers.

• Selection: The widest selection of fashionable belts in the Manipal area.

• Accessibility: The central location and wide range of business hours designed to

accommodate all customers’ needs.• Customer service: The patron will be impressed with the degree of care that they

receive.

• Competitive pricing: All products will be priced competitive to theManipal/Udupi market.




Both markets for the Belts ‘R’ Us service are growing at a relatively fast pace. We'refaced with a large number of potential customers, and we're offering a needed service.

Target Market Growth:

• University students continue to grow at nearly 11%

• Teens continue to play a major role in foot-traffic, growing at 9%

Market Analysis

Year 1 Year 2 Year 3 Year 4 Year 5Potential Customers Growth CAGRMale Students 9% 12,457 13,578 14,800 16,132 17,584 9.00%Female Students 8% 14,544 15,708 16,965 18,322 19,788 8.00%Total 8.47% 27,001 29,286 31,765 34,454 37,372 8.47%

Market Analysis

2.2.1. Market DemographicsThe profile for Belts 'R' Us customer consists of the following geographic, demographic,and behavior factors:

Geographic

• The immediate geographic target is the city of Manipal with a population of 44,000.




• 65% of the customers are men.

Behavior Factors• Fashion conscious.• Tend to eat out at least once a week, typically more.• Live the motto "fashion over function."• Are always aware of the different fashion trends.• Subscribe to, or at least read, several students’ magazines that are fashion orientated.

Market Demographics

Market Segments Gender Out of Area

Avg. AnnualAllowance

Focus Age

Male Students .65 .95 75000 Image &Climbing

21-35

Female Students .35 .96 92000 Social & HighProfile

21-32

2.2.2. Market Trends

The market trend for fashionable belts is toward a wider selection of common designelements. Over the last few years, there has been a proliferation of several designvariations from a base design.

A base design is released and then there are many different spurs that have common

elements but include a few distinctive characteristics. While this is great for the customerbecause it allows them to be fashionable but distinctive, it is tough for most retailersbecause it increases their overhead in the form of inventory. This trend is ideal for Belts'R' Us who has a business model that allows for stocking many different styles.




2.2.3. Market GrowthThe market for fashionable belts is a strong, steady growing market. It is generally notaffected by economic downturns. Students seem to consume belts regardless of theeconomic climate. In a popular mini-series, a students’ habit of buying fashionableaccessories was described as a release when they are feeling bad, a way to make themfeel better, similar to eating chocolate. While this stereotype might not be entirelyaccurate, students love their accessories and cannot seem to get enough.

Market Analysis (C.A.G.R)

2.3. The Company

Belts 'R' Us's mission is to provide Manipal with an upscale selection of belts andoutstanding customer service. We exist to attract and maintain customers. When weadhere to this maxim, everything else will fall into place. Our services will exceed the

expectations of our customers.

2.3.1. Product Offering

Belts 'R' Us sells upscale belts. The general categories of belts that will be sold are:

• Durable.

• Stylish work belts.




is available) the style in the needed size. This will be accomplished through a specialrelationship with the wholesaler who is able to send out on demand the right size in the

right style. Often a wholesaler will be unwilling to ship out individual belts all the time.Belts 'R' Us was able to secure an exclusive arrangement with a particular wholesaler tomeet our needs.

Students generally care more about style then usability. This is evidenced by the fact thatthere are so many fancy, flashy belts that look incredibly un-functional. With thisrecognized, Belts 'R' Us will meet the customer's needs by providing an unmatchedselection of student's fashion belts. The customers will truly appreciate the selection that

will allow them to find the perfect belt to complement any outfit.

2.3.2. Positioning

Belts ‘R’ Us will position itself as the premier outlet for fashionable Belts, providingManipal with the largest selection, rivaling some of the boutiques in Udupi. Belts ‘R’ Uswill leverage their competitive edge to achieve this desired positioning. Belts ‘R’ Us'competitive edge is an unmatched selection in Manipal.

This selection will be achieved in two ways. The first is a very specific effort to carry asmany styles of belts as possible. Belts ‘R’ Us recognizes that Manipal currently does nothave a single store that offers a wide selection of decent quality belts for the fashionconscious student consumer. The competitive edge is the recognition of this un-servedniche and the serving of this demand. Belts ‘R’ Us will be able to offer a large selectionthrough a unique inventory model that stocks a large number of styles with only one sizeper style. The advantage to this is that for the same amount of money that Belts ‘R’ Usinvests in overhead, they can offer far more styles.

This model is effective because students will buy belts based on style. The way a belt fitsis of little consequence if it looks good. For this reason students are willing to order a pairof belts sight seen but not fitted. Belts ‘R’ Us offers two day delivery with an additionalexpense rush overnight option.

2.3.3. SWOT Analysis

1. Strengths

a. Extremely strong relationships with Suppliers.b. Excellent staff who are well trained and customer attentive. They also get

great discounts, increasing job satisfaction.c. An efficient, stylish retail store.

2 W k




b. An industry that seems immune to recessions.c. The ability to operate on lean overhead relative to competitors.

4. Threatsa. The introduction of a competitor to the Manipal market with a similar

business model.b. Completely misjudging where fashion is headed.c. Constant delays in the shipment of product or the unavailability of many

of the advertised designs.

2.4. Competition

2.4.1. Direct Competition

Belts ‘R’ Us has three direct competitors in Manipal:

1. (Name omitted): This is a students’ only clothing and shoe store. They have a niceselection of clothing but a poor selection of belts. The shoe styles tend not to becutting edge. The price point for the belt is Rs.300-Rs1200.

2. (Name omitted): This is a large, complete, department store. The store however,suffers from cluttered displays and a general sense of disorganization. Belts hereare Rs.300-Rs.1200.

3. (Name omitted): This is a national franchise that only sells belts and Belts, forboth men and students. This company will sell knock offs, belts just like namebrands, but with their name on it. While this store has a huge selection, the qualityof the belts leaves a lot to be desired. This is somewhat understandable asthe belts typically sell for Rs.130-Rs.500. While the belts are often good copies of

famous brand, the execution is sometimes off. Many of the belts that are made outof p-leather and look like they were dipped in wax, giving them a tackyappearance.

The two major competitors in Udupi are:1. (Name omitted): Mid- to high-end department store known for their outstanding

customer service. The belt price point is Rs.600-Rs.3000.2. (Name omitted): This department store caters to the high class, older crowd. Belts

range from Rs.750-Rs.4000.

The buying habits for fashion-conscious students consist of typically buying at leastone belt per three months. Students generally purchase a belt to go with a specific dress.Once the student purchases the dress they will then begin the long search for the perfectpair of shoes and belts that complements the ensemble.




C4 Rs.1,800 14% 20%C5 Rs.2,530 8% 7%

Average Rs.1,256.00 9.00% 16.00%Total Rs.6,280.00 45.00% 80.00%

Growth and Market Share Table

Competitor by Growth and Share

2.4.2. Indirect CompetitionAn indirect competitor is a shoe smith that will dye belts. The belts are typically dyed tomatch a specific dress. Not all colors can be dyed, and dying in general is not the idealsituation. Dying belts creates a new belt color that is acceptable only 20% of the time.

3. Marketing Strategy

Manipal has a seasonal student population of around 24,700. The company expects toreach students through campus activities and marketing, as well as by sponsoring specialstudent events.

3.1. Value Proposition

Belts ‘R’ Us sells more than belts, we sell a personalized and unique complement for




1. Male Students: these are full time studying men. They typically get an allowanceof more than Rs.45,000 p.a. themselves. They will purchase belts for the collage

as well as for leisure time. This group is being targeted as they study full time andtherefore have the need for many different pairs of belts for all of their differentoutfits. They also have the money to spend on belts and will take advantage of this reality as students typically love to collect lots of belts.

2. Female Students: this segment has plenty of disposable income because of theirlower spending habits on other things (relatively much lower spending on alcohol,dinning out etc…). These students love belts, and spend fair amounts of timeshopping for belts and clothing. The average allowance of this group is Rs.60k-

Rs.150k p.a., generally toward the higher end of this range. This group isattractive because they have the money and the time to shop for belts. With bothmoney and time, there is no limit to the number of cool belts that they would liketo own.

3.3. Critical Issues

Belts ‘R’ Us is still in the speculative stages as a retail store. Its critical issues are to

continue to take a modest fiscal approach; expand at a reasonable rate, not for the sake of expansion in itself, but because it is fiscally prudent to.

3.4. Financial Objectives

1. To always maintain a minimum cash balance of Rs.1,00,000.2. To maintain year-end minimum contribution margins of 40%.

3. To grow direct retail sales by a conservative minimum of 12% per year.4. To achieve sales of Rs.19,00,000 in year one.

4.1. Marketing Objectives

1. Increase repeat customers by 7% per quarter.2. Decrease customer acquisition costs by 8% per year.3. Build an effective pull campaign, bringing in new customers at an increased rate

of 9% per quarter.

Part of Belts 'R' Us's marketing strategy will be based solely on location. Belts 'R' Us islocated on a busy road that receives abundant walk-through traffic. This location will costa premium and will not be directly linked to the marketing budget as rent has beencategorized under general overhead.




The message that Belts ‘R’ Us will seek to communicate is that they offer the largestselection of fashionable belts in Manipal. Students no longer need to travel to Mangalore

to find nice belts. The first method that Belts ‘R’ Us will use to communicate this islocation. Belts ‘R’ Us has chosen an upscale, trendy shop that receives a lot of walk through traffic. This generates large amounts of visibility for Belts ‘R’ Us.

Another method of communication is advertisements in Manipal's weekly student’snewspaper. The advertisements will be placed in the weekly fashion section whosereadership is primarily students. The last method of communication will be through astrategic relationship Belts ‘R’ Us will develop with one of the upscale students’ clothes

stores. The two stores will be co-branding their products as clothes and belts areintuitively linked. Often belts are purchased to go with the new outfit. The strategicalliances will be used to acquaint customers of the trendy clothes stores with Belts ‘R’ Usas the customer demographics are quite similar. The alliances will include discountswhen both belts and clothing are purchased as well as display some of each company'sproducts at the other store. These activities are all designed to develop visibility on behalf of the marketing plan.

Target Market Messaging

Market Segments Messaging

Male Students Get out and play!

Female Students New friends, new opportunities!

4.3. Strategy

Our strategy is to focus on our main area of expertise. We have plenty of competition inlocal marketing and in product introduction expertise, but nobody can match us when westay focused on introducing a quality product into student markets.

Our tactics to make this real?

First, the quality of work. Second, expertise-based marketing. Third, we rest on heavy useof the newest technologies in international communications.

In the employee room, large banners ask employees:• What do we want customers to think of us?

• Why are you here?

• You are an owner, what is your plan?

• Why do our customers keep coming back?




This strategy will play itself out through fast service, great customer service, upbeat andfriendly presentation. By keeping it simple, the strategy won't produce a lot of "noise" for

customers and employees, and all goals will be met.Advertising strategy will focus on special offers provided through various tie-ups andbusinesses, and special offers targeted towards building a larger base of return customers.

5. Marketing Mix

Belts ‘R’ Us marketing mix is comprised of the following approaches to pricing,distribution, advertising and promotion, and customer service.

• Pricing: Belts ‘R’ Us pricing is designed to be competitive to the other fashion

shoe retailers.• Distribution: All belts will be distributed to Belts ‘R’ Us store front. While this

will necessitate a second trip for the customer to come and pick up the belts, itallows Passion

• Strive to offer a much wider selection than any of the competition.

• Advertising and Promotion: Location, targeted advertising in the newspaper andstrategic alliances will serve as the foundation of Belts ‘R’ Us advertising andpromotion effort.

• Customer Service: Exceeding customer's expectations is the company's mission.

5.1. Pricing

Our pricing needs to match our positioning. We cannot be cheap or economical; we mustbe at the high end of the pricing scale, job for job, project for project. We aim to be 25%more expensive than similar products for continued profitability.

Price List

Item Description Per Unit PriceDurable. Heavy leather belts for jeans Rs.1100Stylish work belts. Stylish slim leather belts Rs.1100Casual. Casual Belts, maybe canvas Rs.1100Dress belts. Formal Belts for Women Rs.1100

We would have like to have to some control over final pricing.

5.2. Promotion

Our promotion strategy focuses heavily on Public Relations, with very little or noemphasis on advertising or direct marketing.




5.4. Implementation Schedule

We will be tracking plan-vs.-actual results for each of these programs and discussing

them at our monthly marketing meetings. The programs will be revised each year. Thisyear's plan includes only the programs to be implemented this year.

6. Financials

Our marketing plan requires annual revenues of Rs.1,600,000 for this year. We anticipatethat we will have revenues of more than Rs.2,500,000 within 5 years. Our marketingexpenses will equate to an average of 2.5% of total sales throughout.

The marketing plan is based on these three parameters:

• Increasing our efficiencies through better use of our facilities and expertise.Variable costs will be reduced, as we are able to make use of the capital

investment we have in our systems. We will invest in these systems with theexpectation that we will benefit as we have in the past from their capabilities. Itprovides us a competitive edge many of our competitors cannot afford.

• We will continue to invest in marketing activities based on a percent of totalrevenues. As our revenues increase, so will our marketing resources.

• We will forecast and track revenues on a detail basis to provide objectivefeedback regarding progress in the areas of industry expertise, specialization, andclient revenue sources by type.

6.1. Break-even Analysis

The break-even analysis is based on running costs, the "burn rate" costs incurred to keepthe business running, not on theoretical fixed costs that would be relevant only if Belts‘R’ Us closes.




Fixed Costs

CostRent or Lease Rs.9,500Professional Services Rs.1,000Payroll Rs.30,000Interest Payments Taken into consideration in Payback schedule:

Appendix 2Utilities & Telephone $3,000Non-discretionary Marketing Expenses $2,500

Other $1,000Total Fixed Costs $42,000

Break-even Analysis

Monthly Revenue Break-even $46,154

Assumptions:Average Percent Variable Cost 9%Estimated Monthly Fixed Cost $42,000

($50,000)

($40,000)

($30,000)

($20,000)

($10,000)

$0

$10,000

$20,000

$30,000

$40,000

$0 $16,000 $32,000 $48,000 $64,000 $80,000

Monthly break-even point

Break-even point = where line intersects with 0




Given both factors, we project our contribution margin to increase from 36% the firstyear, to 66% the last year.

Contribution Margin

Year 1 Year 2 Year 3 Year 4 Year 5Sales Rs.

5,92,000.00Rs.9,00,000.00

Rs.11,50,000.00

Rs.15,00,000.00

Rs.18,25,000.00

Direct Costs of Goods Rs.1,59,000.00

Rs.1,56,000.00

Rs.1,53,000.00

Rs.1,52,000.00

Rs.1,62,000.00

Costs of Goods Rs.6,000.00

Rs.12,000.00

Rs.25,000.00

Rs.35,000.00

Rs.50,000.00

------------ ------------ ------------ ------------ ------------Cost of Goods Sold

$165,000 $168,000 $178,000 $187,500Rs.

2,12,000.00

Gross Margin$427,000 $732,000 $972,000 $1,312,500

Rs.16,13,000.00

Gross Margin % 72.13% 81.33% 84.52% 87.50% 88.38%

Marketing ExpenseBudget

Rs.2,006.00

Rs.2,007.00

Rs.2,008.00

Rs.2,009.00

Rs.2,010.00

Name me Rs.57,000.00

Rs.65,000.00

Rs.75,000.00

Rs.90,000.00

Rs.1,00,000.00

Name me Rs.10,500.00

Rs.15,000.00

Rs.20,000.00

Rs.25,000.00

Rs.30,000.00

Other Rs.40,000.00

Rs.50,000.00

Rs.55,000.00

Rs.60,000.00

Rs.65,000.00

Rs.45,000.00

Rs.55,000.00

Rs.60,000.00

Rs.75,000.00

Rs.1,00,000.00

Total Sales andMarketing Expenses

Rs.30,100.00

Rs.34,500.00

Rs.41,500.00

Rs.35,000.00

Rs.41,500.00

Percent of Sales Rs.

12,000.00

Rs.

25,000.00

Rs.

40,000.00

Rs.

50,000.00

Rs.

60,000.00------------ ------------ ------------ ------------ ------------Contribution Margin Rs.

1,94,600.00Rs.2,44,500.00

Rs.2,91,500.00

Rs.3,35,000.00

Rs.3,96,500.00

Contribution Margin / Sales

32.87% 27.17% 25.35% 22.33% 21.73%




7. Controls

The control environment will be a result of monthly employee meetings during which we

will discuss the current marketing activities, sales, promotional activities, and ideas thatwill lead to improvement.

Marketing ideas have little value until they are implemented, and they must beimplemented by individuals who believe in them 100%. Through these monthly meetingseveryone should feel vested in the decision making process, and in the long-term successof the company.

7.1. ImplementationThe purpose of Belts ‘R’ Us' marketing plan is to serve as a guide for the organization.The following areas will be monitored to gauge performance:

• Revenue: monthly and annual.

• Expenses: monthly and annual.

• Repeat business.

• Customer satisfaction.

Campaign Details

Flyers Billboards

Total Impressions 4,500 6,000

Total Program Cost Rs.46,000.00 Rs.196,000.00

Response Rate 46.00% 75.00%

Conversion Rate 29.00% 21.00%Average Customer Purchase Rs.1,200.00 Rs.1,200.00

Response

Total Responders 2,070 4,500

Total Buyers 600 945

Revenue Generated Rs.7,20,360.00 Rs.11,34,000.00

Costs

Cost per Response Rs.22.22 Rs.43.56

Cost per Sale $76.63 Rs.207.41

Total Campaign Profit Rs.6,74,360.00 Rs.9,38,000.00




An additional source of market research is a comprehensive survey that has beendistributed to an upscale student’s clothes retailer's customers. A MBA post graduate

student with a background in pure mathematics was employed in the development of thesurvey ensuring the survey was statistically significant and relevant.

7.3. Contingency Planning

1. Difficulties and risks:

1.1. Problems reaching the break-even point due to lack-luster sales.1.2. A break down in the just in time (JIT) business model.

1.3. Consumers who are unwilling to wait a day or two to get their belts.2. Worst cast risks may include:

2.1. Determining that the business cannot support itself on an ongoing basis.2.2. Having to liquidate equipment/inventory to cover liabilities.

7.4. Marketing Organization

We are a small company where sales and marketing consist of two to threepeople. Kalyan Deep Ray will lead and implement the marketing programs, while part-

time employees will carry out many of the tasks.

The marketing organization is very informal, but tightly managed, with clear obtainablegoals, and a thorough list of deadlines. Details are very important to the implementationof our marketing plan, the most important being those that are unseen. Marketing will doit’s very best to plan for the unforeseeable.



Appendix

Page 17

8. Appendix

8.1. Contribution MarginContribution Margin

2006 2007 2008 2009 2010

Sales Rs.5,92,000.00

Rs.9,00,000.00

Rs.11,50,000.00

Rs.15,00,000.00

Rs.18,25,000.00

Direct Cost of Sales Rs.1,59,000.00

Rs.1,56,000.00

Rs.1,53,000.00

Rs.1,52,000.00

Rs.1,62,000.00

Costs of Sales Rs.6,000.00

Rs.12,000.00

Rs.25,000.00

Rs.35,000.00

Rs.50,000.00

------------ ------------ ------------ ------------ ------------

Total Cost of Sales $165,000 $168,000 $178,000 $187,500 Rs.2,12,000.00

Gross Margin $427,000 $732,000 $972,000 $1,312,500 Rs.

16,13,000.00Gross Margin % 72.13% 81.33% 84.52% 87.50% 88.38%

Marketing Expense Budget Rs. 2,006.00 Rs. 2,007.00 Rs. 2,008.00 Rs. 2,009.00 Rs. 2,010.00

Advertising Rs.57,000.00

Rs.65,000.00

Rs.75,000.00

Rs.90,000.00

Rs.1,00,000.00

Graphics and Printing Rs.10,500.00

Rs.15,000.00

Rs.20,000.00

Rs.25,000.00

Rs.30,000.00

Public Relations Rs.40,000.00

Rs.50,000.00

Rs.55,000.00

Rs.60,000.00

Rs.65,000.00

Travel Rs.45,000.00

Rs.55,000.00

Rs.60,000.00

Rs.75,000.00

Rs.1,00,000.00

Website Expenses Rs.30,100.00

Rs.34,500.00

Rs.41,500.00

Rs.35,000.00

Rs.41,500.00

Other Rs. Rs. Rs. Rs. Rs.



Appendix

Page 18

12,000.00 25,000.00 40,000.00 50,000.00 60,000.00

------------ ------------ ------------ ------------ ------------

Total Sales and Marketing Expenses Rs.

1,94,600.00

Rs.

2,44,500.00

Rs.

2,91,500.00

Rs.

3,35,000.00

Rs.

3,96,500.00

Contribution Margin Rs.2,32,400.00

Rs.4,87,500.00

Rs.6,80,500.00

Rs.9,77,500.00

Rs.12,16,500.00

Contribution Margin / Sales 39.26% 54.17% 59.17% 65.17% 66.66%

8.2. Loan repayments Scheduling

EMI Payment Interest Principle Repayment Balance Loan Year 1 INR 119,326.00 INR 60,000.00 INR 59,326.00 INR 340,674.00

Year 2 INR 119,326.00 INR 51,101.00 INR 68,225.00 INR 272,449.00



Year 5 INR 119,326.00 INR 15,564.00 INR 103,762.00 INR ‐



Appendix

Page 19

References

1. http://www.mplans.com/womens_shoe_store_marketing_plan/situation_analysis_fc.php

2. http://www.mplans.com/

3. http://freeworking.hubpages.com/hub/EXCEL-BASED-CALCULATOR-FOR-LOAN-EMI

the marketing plan - j1 - belts 'r' us

Documents