Transcript Slide 1

Shake
Away
About the Place
Shake Away is the original re-inventor of
Milkshakes.
They take real ingredients, blend them and
pour into a Colourful Shake Away cups. The
company sells Milkshakes made of Ice
cream, Milk and a flavour chosen by the
customer. The categories are fruity, sweety
and chocolaty. Shake Away have a large
range of dairy-free milkshakes suitable for
vegans and lactose intolerant people, using
soya milk instead of cow's milk. This makes
Shake Away the UK's largest supplier of
vegan milkshakes.
Rewards
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Lower Risk: While 75% of all new businesses that start up will
last for two or more years, the figure is closer to 95% for
franchise businesses.
Rapid Expansion: The business is more likely to grow quicker
as the more popular the brand becomes, the more franchises
will be sold.
Lower Capital Investment: Franchising includes putting in less
capital as each individual franchise owner will invest their own
capital in the franchise.
Buying Power: Buying from suppliers and vendors in bulk will
allow to get volume discounts, resulting in higher profits for all
franchise owners.
Mass Advertising: Each franchise owner has to contribute a
percentage of their sales towards advertising and marketing
this will allow for larger advertising campaigns that will
increase brand recognition to potential customers.
Motivation: As the franchisees invest their own capital they are
better motivated to make the business a success with their
own capital a risk.
Risks
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The Franchise Fee and Start-up Costs can involve a very large
initial costs, often more than what it would cost to start your own
business.
Royalty Payments. For as long as you are a franchisee, you will
have to pay some percentage of the monthly gross back to the
franchisor, reducing your profit potential.
Marketing/Advertising Fees. To receive the wonderful marketing
support from the franchisor, franchisees must pay these fees,
according to some contracts.
Limited Creativity/Flexibility. Most franchise contracts have very
explicit standards, allowing little or no alterations or additions to
the brand, stifling any creativity on the part of the franchisee. You
must use their system, follow their rules.
Sole Sourcing. Some franchise contracts stipulate that
franchisors must buy supplies only from an approved list of
suppliers, possibly at a higher cost.
Locked into Operation by Long-Term Contract. If you don't do as
much research as you should have and find yourself with the
wrong franchise, you may be stuck for many years.
Dependent on Franchisor Success. The reputation of your
franchise is only as good as that of the franchisor, so any
difficulties that the franchisor encounters will have a direct impact
on you.
False Expectations. Opening a franchise rather than starting your
own business offers no guarantees of success. You still need to
be a sharp businessperson to make it work.
Why this place?
At this point of the presentation you are currently thinking “why should
I choose Shakeaway to franchise with?”
ShakeAway within Sutton is a ideal example of how it can become successful
if placed in the right area.
Sutton’s Shakeaway attracts customers from all round the region, from the
college and locals.
With the amazing menu which appeals to everyone's taste buds ,
ShakeAways menu alone attracts people into there stores.
The attractive bright colours (below)
Making it stand out from the surrounding shops, definatly an eye catcher.
This amazing idea is well known though out Sutton and the menu with a wild
imaginative list of milkshakes from inventions such as :
Norah
Delicious hot, "Hot Norah" is a Chocolate Muffin and Daim® Bar dream team
with Maltesers® added on top for perfection!
If you decide to invest within this business it would be an upcoming new trend
, appealing to a wide range of people from Young children all the way to the
older generation.
This is a business which it going to stand out and has found a gap in the
market and took the risks to get it self known in Sutton already.
I would be a trend starter in the use of milkshakes both inventive but also for
the normal versions.
Why this place?
Examples
Places such as Birmingham Bull ring shopping centre could be an
attractive area for a ShakeAway to be started up.
For example:
The Bullring attracts visitors from around the UK and offers a wide
range of shops.
This is a good example of the prime areas in which you could decide to
open a Shakeaway store.
Not only is it a good shopping experience the bullring has yet to
experience the use of a milkshake store.
Yet another gap in the market.
All over the UK places such as the bullring have a gap within the market
in that area , this could be filled by a Shakeaway store.
Been the only Shakeaway store within that area will mean that your
exclusive and the customers will have only your Shakeaway to choose
from.
Sounds promising.
Policies
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To help the growth of the business there
needs to be:
Punctuality,
To dress appropriately for the work place,
To be trust worthy,
Give a quality of service to every customer,
To increase turnover and profitability,
To treat customers and suppliers fairly,
To promote honesty and integrity within the
company
Business
Plan
The Executive
Summary
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ShakeAway is determined to become the most successful
milkshake bar in the UK. A place to meet with friends, chill out and
relax to try to escape form the stresses of life. We plan to situate
our bar on the high street, so we are able to attract passing trade,
and also be able to capture repeat customers.
We aim to offer the best milkshakes, with a multiply of flavours, by
which the customer is able to create for themselves and make the
perfect drink to suit them.
We have secured this location for a three year lease, with the
option of extending. We have obtained £140,000 of the required
start up fund of £170,00, which will be provided through the loans
from HSBC bank.
We feel we will be able to bring a multiple of skills to the workforce;
for example when It comes to recruiting a team, we will hope to
recruit a wide range of the ages, as this will mean different
experiences in the working environment, as they would be able to
learn from each other different techniques of selling the drinks and
promoting the store.
To help motivate the staff, we would offer rewards for the use of
innovation, punctuation, and all round good work.
The Executive
Summary
Objectives
ShakeAways objectives for the first year of operations are:
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Win the “Vegan Environmental Award” for our vegan soya shakes.
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Become recognised as competition to other milkshake bars.
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Maintain a 65% gross margin.
Keys to Success
The keys to success will be:
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A store design that will be both visually attractive to customers, and
designed for fast and efficient operations.
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Employee training to insure they know the best milkshake preparation
techniques.
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Marketing strategies aimed to build a solid base of loyal customers.
Our Mission
ShakeAway will make its best effort to create a unique place where
customers can socialise with each other in a comfortable and relaxing
environment while enjoying the best made milkshake in town. We will be
in the business of helping our customers to relax after their daily stresses
by providing piece of mind through great atmosphere, convenient
location, friendly customer service, and products of consistently high
quality. ShakeAway will invest its profits to increase the employee
satisfaction while providing stable return to its shareholders.
The Business
Start up date:
27th July 1993 - Rob and Peter worked in Legend Bar
.. Dreamed of making milkshakes and Peter decided
the crazy idea of using rolo’s and tries to make a
milkshake out of them .. creating a delicious
milkshake.
History:
11th March 1999 first Shakeaway opened , over the
next 11 years 42 ShakeAways have been opened in
England alone. Stores also open in the U.S , Ireland ,
Cyprus and U.A E . Having there own ITunes app also
enabled them to be known to the whole iTunes
market.
Us:
As you’ve probably already realised we have decided
to use a colour scheme of pastel blue and yellow for
our shop. This is to catch the attention of passerby's
and will suit all genders and age groups.
Our slogan is:
“TakeAway A ShakeAway”
which is very catchy and will stick in peoples minds.
Product/Service
How is it differentiated: Shakeaway is different from his competitors,
by the way ShakeAway allows its customers not only to chose from the
wide range of milkshakes that are on offer, but they offer thee
opportunity to create the wildness of combinations or the subtlest flavors
of their dreams.
They don't even stop there , they allow the customers to put any topping
they would like onto their milkshakes.
Why will it sell : Thousands of children , teenagers and the older
generation eat their favourite foods, but ShakeAway gives them the
opportunity to turn these into a delicious milkshake.
Being one of only a few business that offer to turn you dream in to
milkshake reality gives ShakeAway the competitors edge in any market.
Do you have a copyright, trademark of patent : Shakeaway does
have copyright laws which state that all the copyrights in and to the
services but is limited to all the music and software are owned by them
and also there licensors.
Also they have a trademarks on the logo , slogans etc throughout the
business.
How will you develop your product: They continue to launch
competitions world wide to create new flavours for their customers, along
with trying random and strange combinations of there imaginations to
see if they blend well.
Along with even diversifying the business to branch off into new ideas to
continue ShakeAways huge impact on the world
The Market
Market Size
The market for this kind of product is quite large as there are not many stores offering a
product like ours. It is also likely to grow considerably as our product is likely to be
successful as it is unique and individual and so it will be able to expand quickly by
setting up new stores in certain locations.
Competitors
Our competitors include businesses such as:
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Muffin break
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McDonald’s
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CookieShake
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KFC
How can we take market share off them or attract custom in growing market?
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We could do this by maybe lowering prices of the product to compete with other
businesses, this could lead to more customers.
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We could also expand on advertising and find new ways to advertise the products in a
way the competitors don't e.g. using billboards or TV. as no other milkshake companies
advertise this way.
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We could also give special offers and money off vouchers for loyal customers, which
will bring new customers and keep the regular customers.
Target Market
Our milkshakes are made for the whole family to enjoy, so we are aiming our products
at people of all ages. We are able to do this as all kinds of people can enjoy our
milkshakes with the wide variety of flavours and toppings. This means we have a mass
audience as our product appeals to everyone.
Marketing Strategy
The following is the marketing mix for ShakeAway which focuses on the
elements of product, price, place and promotion for our business venture.
Product
The ShakeAway product are cold drinks/shakes consisting of different flavours
such as fruity, chocolaty, sweet, biscuits and cakes. Shakes are made to suit
customers needs with options such as Vegan and Dairy free shakes.
Price
The price of a regular shake is £2.80 and a large shake is £3.80 and any extra
flavouring is 40-50p extra.
Promotion
As we are starting a business we are limited on funding so the possible
promotions are radio advertising, website, facebook, leaflets/flyers and instore promotions.
Place
The store will be opening on the lower floor of the Bullring shopping centre in
Birmingham town centre.
Operations
Location and Facilities
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The ShakeAway milkshake bar will be located on the ground
floor of the bullring shopping centre in Birmingham town
centre.
The floor plan will include a 200 square feet back office and a
2,300 square feet space for the milkshake bar, which will
include a seating area with 15 tables, a kitchen, storage area
and two toilets. The space in the milkshake bar will be
approximately distributed the following way, 55% of the total
area for the seating area, 26% for the production area, and
the remaining 19% for the customer service area where
orders will be placed and received.
This property is located in the heart of Birmingham where
thousands of people pass each day. These people include
tourists, children going to and from school, workers
commuting to and from work and shoppers. The Bullring is a
commercial area within a walking distance from Aston
University, New Street train station, The NIA and Broad
Street.
The commercially zoned premises have the necessary water
and electricity hook-ups and will require only minor
remodelling to accommodate the milkshake bar, kitchen and
storage area. The milkshake bar's eye-catching interior design
with intense and dazzling decor will put across the quality of
the milkshakes served. The clear window will allow for
passerby’s to see customers enjoying their beverages, and
outside bright electric colours will be aimed to grab the
attention of potential customers.
Financial
Forecasts
Cash Flow forecast :
This is where the inputs , outputs and overall costs of the business are
taken into considerate to create the forecast of future profit, loss or if the
business should in fact break even.
This allows the banks and also the others to see where the business will
be in the few months. this can allow banks to see if the business is able
to repay the loans which they would need.
Forecast Profit and Loss:
This uses the annual profit/loss amount of the business over the year
and takes the amount of sales into account, breaks it down through the
business to enable them to figure out a percentage of whether or not the
business with have a profit or loss in the next quarter.
Sales Forecast :
It breaks down the amount of sales into months and the products
separately, this then allows us to see which products sell best and also it
what months.
this in turn allows the business to the predict what the sales of that
particular products should be in the months to come.
Also lets help them to predict the forecasts for profit and loss.
Market
Research
What is Market
Research?
Market Research:
Is the process of systematic gathering, recording, and
analyzing of data about customers, competitors, and
the market. Market research can help create a
business plan, launch a new product or service and
fine tune existing products and services into new
markets.
Why Is It Important?
It is important as it helps us to find the kind of people
we would aim our product or service to, and find out
how successful our business could potentially be. It
also brings light to any problems with our product and
gives the opportunity to better and diversify the product
or service. Market research will also help with the
business plan as it can give a good estimate of how
much profit the business could make.
Types of
Research
Market research can be split into two sections:
Primary research: Research that is original and did not exist
before.
This can be done through things such as : questionnaires,
focus groups, telephone surveys and customer markets.
Secondary research: This is data that already exists and has
already been done by another organisation.
This can be done through things such as: Internal sources
(company accounts, stock analysis and retail data) and
external sources ( Government stats,trade publications and
commercial data).
In this case we could use primary methods due to the business
not having a lot of research done on it before.
But also we could use a small it of secondary data as it would
boost our current information but also be cheaper.
The techniques that we would use are :
Samples.
Giving the public free samples of the milkshakes to try,
enabling us to find out new flavours etc.
Focus groups
this can allow us to find out what the consumers think of the
product and help us to develop the product.
Sampling
Methods
Sample: a group of respondents whose views
should be representative of the target market as a
whole.
There are three different types of sampling which are
used for different reasons, when undertaking primary
market research:
1) RANDOM SAMPLING - this is where each member
of the target population has equal chance of being
chosen, for example every tenth person who passes
on the street. This sample is cheap, however it’s less
useful if the company is targeting a specific market. It
can also be lead to be biased.
Sampling
Methods
2)QUOTA SAMPLING - a group of respondents
including several different segments, each sharing a
common factor, e.g. age or gender. If they needed to
survey 200 people, then 40% of them should be males
aged between 20-29. once this quota has been
established then no more interviews are needed for
this segment. This method provides results that are
suited to be business's needs as it matches the
background of the target consumers, however it takes
more time and care.
3)STRATIFIED SAMPLING - This is similar to quota
sampling, however the are 2 main differences:
The units are selected randomly giving everyone an
equal chance.
The segments may not match their size in the target
market.
To be effective the stratified method needs good
population information.
Qualitative or
Quantitative
Qualitative Research – This is the gathering of
non-statistical information.
Quantitative Research – This is the gathering of
statistical data.
Which we intend to use…
In this case I believe carrying out quantitative
research would be the best way to conduct our
research as we are interested in the figures. We
want to know what will sell and how much of it.
We may also need to know why it will sell. We
intend to carry out surveys and questionnaires as
this will be the best way to collect information.
Questionnaire