Marketing Plan

BAILEN SPARKLEAN LAUNDRY MATE

Executive Summary
 BAILEN SPARKLEAN LAUNDRY MATE is a start-up business that provides
convenient and accessible laundry services to the expanding
residential, commercial and business partners within the Municipality of
Gen. E. Aguinaldo (Bailen).

 It has to be owned and operated by the Sparklean Group of

Entrepreneurs. BAILEN SPARKLEAN LAUNDRY MATE is a full-service
laundry (washing, drying, and optional folding) dedicated to
consistently providing high customer satisfaction by rendering reliable
machines and furnishing a clean, enjoyable atmosphere at a
competitive price/value relationship.

 With the expanding list of essential wants and needs of the modern
customer, BAILEN SPARKLEAN LAUNDRY MATE aims to provide simple,
convenient, efficient and quality solution to fit their fast-paced lifestyle
within the locality.
Mission
 To provide convenient, clean, fast and
friendly laundry service to the people in the
community.

Vision
 "Quality Service and Customer Satisfaction, in
a Reasonable Price"
MAJOR ASPECTS OF THE MARKETING
PLAN:
 Food
 Shelter
 Clothing
Keys to Success in our Business
 Location
◦ - the potential business is to be located in a nice and
adequate commercial center of a poor to lower-middle
class society
 Convenience
◦ - offering client services ranging from full-service
washing and drying to optional folding, and extended
business hours.
 Environment
◦ - providing an environment conducive to giving clean,
friendly, and professional service.
 Reputation
◦ - long-term reputation resulting from friendly,
professional service will encourage customers to return.
Budget Statement
 To achieve this objective, Sparklean Group of Entrepreneurs
needs to raise an amount of Php 1,100,000 for an equally
shared investments capital of Php 275,000 each from among
the four (4) members. The capital will be broken down as
follows:

Plant and Equipment:    

5 sets @
Washer Extractor & Tumbler Dryer: Php 775,000
155,000
Fixtures, Fittings & Leasehold
185,000
Improvements:  
Laundry Shop Supplies:   6,500
Opening Promotion:   12,500
Working Capital & Prepayments 100,444
Grand Total

  Php 1,079,444
BAILEN SPARKLEAN LAUNDRY MATE
OFFER
 Php 150.00 (Self-Service)
◦ Wash - Php 75.00
◦ Dry - 75.00

 Php 180.00 (Drop-Off)

◦ Wash - Php 75.00

◦ Dry - 75.00
◦ Fold - 30.00
Introduction
 BAILEN SPARKLEAN LAUNDRY MATE, will upon commencement of operations, supply full
washing, drying and optional folding services. We will also provide quality products like
laundry detergent, fabric conditioner and laundry spray products to ensure clean washing
of clothes to meet the demand for easy access for the neighborhood. What will set BAILEN
SPARKLEAN LAUNDRY MATE apart from the competition is our commitment to providing
professional, friendly, prompt, and most importantly, convenient services.

 When a laundry job is done at home, one could do it by himself utilizing his own washing
machine. Of course, he will shoulder the cost of electricity, volume of water to be
consumed and appropriate amount of laundry detergent and fabric conditioner for a usual
eight (8) – kilogram clothes to wash. It will nearly require a conservative amount of Php 80
- 120 for the whole laundry cycle. Notwithstanding the number of hours or days for its
drying period.

 On the other hand, one could look for a laundry woman (labandera) to do the laundry job
who will definitely demand payment for the job she rendered. An estimated amount of
Php 350 – 500 will be paid for her depending on the volume of laundry clothes she is
going to wash. In addition, you need to provide snack or meals for her in that particular
activity within the day plus the cost of detergent, fabric conditioner, electricity and water
that has to be consumed.
BAILEN SPARKLEAN LAUNDRY MATE
OFFER
 The most convenient feature of BAILEN SPARKLEAN LAUNDRY
MATE is that the washing, drying, folding periods will only last
for thirty-five (35), forty (40) and fifteen (15) minutes,
respectively, thereby accumulating a total laundry time of
almost one hour and a half (1 ½ hours) only. Moreover, they
will be offering free detergent, fabric conditioner and scented
laundry spray for customer satisfaction.

 Due to the increasing demand for laundry, it is expected to

gain twenty (20) to thirty (30) loads per day during the first two
(2) months of the laundry operation that will be collecting a
revenue ranging from Php 3,000 to Php 4,500. It will earn a net
profit of Php 60,000 to Php 90,000 monthly.
SITUATIONAL ANALYSIS
 At present, there is no laundry shops that we can find in Gen. E.
Aguinaldo (Bailen). This town is typically a rural municipality that is
continuously developing.
 They did wash their clothes with the fresh water flowing from the
river during dry periods and rely much from the rain during wet
season.
 Due to the very fast changing times, basic services are already
installed for the water system. At present, they no longer drink in
the faucet but rather, they prefer to pay for the refilling stations
for their drinking water.
 They used to rent tents for their home party needs or pay for the
food catering services.
 The foregoing developments in the lives of the people and
economic status of this town really indicate the potential targets in
rendering laundry service.
Marketing Plan
 Marketing Objectives
◦ The BAILEN SPARKLEAN LAUNDRY MATE aims to
introduce to the people of Bailen this new scheme of
laundry service. Upon formal opening, we will endeavor
to achieve 50% awareness of the total households within
the barangay where the shop is located. For the first
three (3) months of business operation, it is expected
that the people within the town proper will be the source
of the 75% of our valued customers. We also foresight an
additional 25% customers from the nearby barangays for
the next six (6) months until we dominate the majority
of the people of Bailen as the satisfied customers
patronizing our laundry business after a year.
Marketing Plan
 TARGET MARKET
◦ BAILEN SPARKLEAN LAUNDRY MATE target market is
every household that badly needs laundry services
due to their hectic activity schedules. This includes,
but not limited to, the government employees and
officials, educators or teachers, senior citizens,
pensioner and retirees from local and abroad,
active military servicemen and other uniformed
personnel, visitors practicing profession in Bailen
and students in the tertiary level.
Marketing Plan
 Marketing Mix
◦ In marketing, we will implement the Triple “A”
Approach:

 Awareness
 Advocacy
 Action
Marketing Plan
 Product
◦ BAILEN SPARKLEAN LAUNDRY MATE will
be known for the clean, fast,
and good customer service reputation.
With the reasonable amount to be collected,
the quality of service will not be at
stake. Instead, we will utilize User-
Friendly machines for easy operations with high
quality detergents and fabric conditioners offered
for free. At the final stage of washing and drying,
we will apply laundry scented sprays for additional
laundry protection during stowage.
Marketing Plan
 Promotion
◦ BAILEN SPARKLEAN LAUNDRY MATE would like to set itself
apart from other options that the local folks used to adopt. We
wish to offer our clients the convenience of these services in
one location. These include folding in a cheaper cost under
the Drop-Off scheme and potentially pick-up/delivery
services, as well as online or SMS reservation.

◦ We will allow our customers to have an impression for BAILEN

SPARKLEAN LAUNDRY MATE as service oriented over a profit-
oriented business. With this, we will offer free high-quality
detergents, fabric conditioners and laundry scented sprays.
Loyalty Cards will be issued for the customers to avail free
laundry charges.
Marketing Plan
 DISTRIBUTION
◦ The BAILEN SPARKLEAN LAUNDRY MATE will tap
organized groups after identifying reputable
organizations and will seek their partnership in
achieving a common goal for social obligation in
rendering social services and civic actions. We will
introduce the laundry venture as an instrument of
charitable deeds in order to win their hearts and
minds of patronizing our business as the end state.
Marketing Plan
 Price
◦ It is reasonable to impose such prize of Php 150 for
wash and dry laundry services, benefiting from our
good customer services, laundry results and
availing freebies and promotional offers.
Marketing Plan
 MARKETING RESEARCH
◦ In order to sustain quality result in laundry, we will
continue to conduct market research on other
laundry machines, detergents, fabric conditioners
and laundry sprays for further improvement in our
service. It can also be obtained thru random
surveys and evaluations from among our
customers. Existing laundry protocols are subject
for improvement as experienced from daily
undertakings.
IMPLEMENTATION AND CONTROL OF
MARKETING PLAN
 One of the very reasons why we chose to conduct a marketing plan for
a Laundry Business is that, it is easy to manage with less stress and less
management. With the advent of modern communications, we can
easily monitor the sales. Delivery of supplies are arranged thru phone
calls and payments are done thru automated banking.

 The audit procedure is so simple with the aid of different stationery

forms like the Job Order, Customer Info Sheet, Daily Inventory of Sales
and Record Book. There is no need to make a daily inventory of the
items since everything is fixed in nature except from the fast-moving
items like the laundry supplies.

 Deterrent measures against the laundry attendant for continuous

monitoring will be installed like Close Circuit Television (CCTV) that can
be viewed live thru the internet highways and android mobile phones.
SUMMARY
 Advantages Of Opening A Laundromat Business
1. Laundromat Businesses Provide a Steady Income
2. Easy To Operate And Low Labor Costs
3. No Receivables And No Inventory
4. Laundromat Businesses Offer Flexibility
5. Create A Hybrid Laundry Business
6. Increase Profits By Offering Extra Services

 laundry business is stable, reliable and grows

steadily with time.
APPENDIX: FINANCIAL ANALYSIS
 References
◦ LG Machines Specifications;
◦ Meralco Billing;
◦ GEA (Bailen) Water District Billing;
◦ Petron GASUL SRP;
APPENDIX: FINANCIAL ANALYSIS
 LAUNDRY SHOP FEASIBILITY STUDY
◦ DESCRIPTION OF OPERATION

◦ Equipment Recommendation:
◦ Washer Extractor (Front Loading) - 5 x LG – F1069FD2(8 kgs capacity)
◦ Tumbler Dryer (Gas Heated) - 5 x LG – RP1329A7S (8 kgs capacity)
◦  
◦ Laundry Operation:
◦ Type of Laundry - Self – Service Operation
◦ Working Hours - 15 hours a day (7 A.M. – 10 P.M.)
◦ Total Washed Volume- 12 loads per day per set (5 sets of washer &
Dryer) for a total of 60 loads per day
◦ Working Days - 360 days per year (including Saturday & Sunday)

◦ Cost of Services:
◦ Wash and Dry - Php 150.00 per load
◦ Drop – Off - Php 180.00 per load

◦ Manpower Requirement:
◦ Cashier / Recorder - 1 @ Php 8,000 per month
◦ Machine Operator - 1 @ Php 8,000 per month
APPENDIX: FINANCIAL ANALYSIS
 LAUNDRY SHOP CAPITAL INVESTMENT
◦ Plant and Equipment:
◦ Washer Extractor & Tumbler Dryer: 5 sets @ 155,000 Php 775,000.00

◦ Fixtures, Fittings & Leasehold Improvements:

◦ Shop Refurbishments and Furnitures Php 70,000.00
◦ Machine Installation 85,000.00
◦ Water Heater and Pressure Tank 25,000.00
◦ Signages 5,000.00
◦ Sub-Total Php 185,000.00

◦ Laundry Shop Supplies:

◦ Laundry Basket Php 1,000.00
◦ Receipts & Stationery 2,000.00
◦ Wall Clock 500.00
◦ Weighing Scale 1,000.00
◦ Electric Fan 1,000.00
◦ Exhaust Fan 1,000.00
◦ Sub-Total Php 6,500.00
APPENDIX: FINANCIAL ANALYSIS
 LAUNDRY SHOP CAPITAL INVESTMENT
◦ Opening Promotion:
◦ FlyersPhp 1,000.00
◦ Opening Day Promo 8,000.00
◦ Streamers 2,500.00
◦ Other Related Expenses 1,000.00
◦ Sub-Total Php 12,500.00

◦ Working Capital & Prepayments

◦ Attendants Uniform Php 3,000.00
◦ 2 months Advance + 2 months Deposit 20,000.00
◦ Working Capital (2 months Overhead) 75,444.00
◦ Miscellaneous & Contingency 2,000.00
◦ Sub-Total Php 100,444.00

◦ Grand TotalPhp 1,079,444.00

APPENDIX: FINANCIAL ANALYSIS
 LAUNDRY SHOP WORKING CAPITAL (2 MONTHS
OVERHEAD) (PHP 75,444.00)

  Type Qty Kw-Hr Loads Days Kw-Hr

per per Day per 2 Total

Load Months

Electricity Washer 5 0.08 12 60 288

Dryer 5 0.19 12 60 684

 Total Kw-Hr 972

 Cost per Kw-Hr 12
 Cost per 2 months 11,664
APPENDIX: FINANCIAL ANALYSIS
 LAUNDRY SHOP WORKING CAPITAL (2 MONTHS OVERHEAD) (PHP
75,444.00)

  Type Qty Cu. Mtr Loads Days Cu-Mtr

per per Day per 2 Total

Load Months

Water Washer 5 0.049 12 60 176

 Total Cu-Mtr 176

 Cost per Cu-Mr 30
 Cost per 2 months 5,280
APPENDIX: FINANCIAL ANALYSIS
 LAUNDRY SHOP WORKING CAPITAL (2 MONTHS OVERHEAD) (PHP
75,444.00)

  Type Qty Kgs per Loads Days Kgs

Load per Day per 2 Total

Months

L.P.G. Dryer 5 0.125 12 60 450

 Total Kgs 298

 Cost per Kgs 50
 Cost per 2 months 22,500
APPENDIX: FINANCIAL ANALYSIS
 LAUNDRY SHOP WORKING CAPITAL (2 MONTHS OVERHEAD) (PHP
75,444.00)

  Designati Qty Salary No. of Salary

on per Months Total

Month

Manpower Cashier / 1 8,000 2 16,000

Recorder

Machine 1 8,000 2 16,000

Operator
 Total Cost in 2 months 36,000
APPENDIX: FINANCIAL ANALYSIS
 LAUNDRY SHOP PROFIT CALCULATION
Daily Machine Utilization Capacity in 15 Hours Operation
Projection

CAPITAL INVESTMENTS A 40% B 55% C 70%

Plant & Equipment 775,000 775,000 775,000

Fixtures, Fitiings & Leasehold 185,000 185,000 185,000

Improvements

Laundry Shop Supplies 6,500 6,500 6,500

Opening Promotion 12,500 12,500 12,500

Working Capital & 100,444 100,444 100,444

Prepayments
APPENDIX: FINANCIAL ANALYSIS

 LAUNDRY SHOP PROFIT CALCULATION

PROFIT PROJECTIONS A 40% B 55% C 70%

Projected Sales Volume per Day

Total Loads per Day 24 33 42

Projected Sales per Annum

Wash & Dry Load 1,296,000 1,782,000 2,268,000

TOTAL NET SALES 1,296,000 1,782,000 2,268,000

APPENDIX: FINANCIAL ANALYSIS
 LAUNDRY SHOP EXPENSES CALCULATION
◦ Daily Machine Utilization Capacity in 15 Hours Operation
Projection

OVERHEAD EXPENSES A 40% B 55% C 70%

Direct Cost

Electricity 27,994 38,492 48,989

Water 12,672 17,424 22,176

L.P.G. 54,000 74,250 94,500

Salaries and Wages 272,000 272,000 272,000

Fab Con & Detergent 21,600 29,700 37,800

(100 ml / load) @ Php 2.50

APPENDIX: FINANCIAL ANALYSIS
OVERHEAD EXPENSES A 40% B 55% C 70%

Fixed Cost Cost

Local Advertising & Promotion 3,000 3,000 3,000

Rental 60,000 60,000 60,000

Depreciation Cost (5 years)

Plant & Equipment 77,500 77,500 77,500

Fixtures, Fittings & 18,500 18,500 18,500

Leasehold Improvements

Insurance 1,500 1,500 1,500

Postage & Stationery 2,000 2,000 2,000

Telephone 1,000 1,000 1,000

General Expenses 3,000 3,000 3,000

TOTAL FIXED COST 166,500 166,500 166,500

APPENDIX: FINANCIAL ANALYSIS
 LAUNDRY SHOP RETURN ON INVESTMENT CALCULATION
◦ Daily Machine Utilization Capacity in 15 Hours Operation
Projection

  A 40% B 55% C 70%

Total Net Sales 1,296,000 1,782,000 2,268,000

Total Overhead Expenses 585,006 639,946 694,885

Net Profit/(Loss) Before 710,994 1,142,054 1,573,115

Income Tax

Less 8% Annual Income Tax 56,880 91,364 125,849

Net Profit / (Loss) After 654,114 1,050,690 1,447,266

Annual Income Tax

“Pictures speak a thousand words”
References
 www.LGnewsroom.com