College of Hospitality Management

ELEMENTS OF MARKETING PLAN

MIDTERM 2023-2024

Marketing Plan of TerraTech Innovations Company

Executing Summary

EcoGlow is a lighting company that offers eco-friendly and sustainable solutions for
residential and commercial customers. EcoGlow’s products use LED technology,
solar power, and recycled materials to provide high-quality, energy-efficient, and
durable lighting. EcoGlow’s mission is to help customers save money, reduce
environmental impact, and enhance their well-being with its innovative and attractive
lighting products.

Mission, Vision, and Values Statement

Mission

- “To offer affordable and durable lighting products that use renewable energy
sources and minimize environmental impact”

Vision

- “To be a global leader in creating and implementing lighting solutions that are
environmentally friendly, socially responsible, and economically viable”

Values

- “Sustainability, Quality, Environmental Awareness, and Integrity”

Situation Analysis

Our company was founded in 2021 with a vision to create innovative and sustainable
lighting products that can meet the needs and preferences of the modern consumers.
Our eco-friendly lighting products are high-quality, low-cost, and versatile for
different settings, such as streets, houses, etc. Our products use less energy, last
longer, and emit less harmful chemicals than conventional bulbs, which can benefit
both our customers and the environment.
Since our product launch, we have received more than 5 million orders and gained
popularity on various websites. We have achieved our current objectives ahead of
schedule, such as increasing our sales by 20%, using 90% eco-friendly materials in
our products, and raising consumer awareness of our products. Our product has a
competitive advantage in the market, as it offers more features and functions than
traditional bulbs, such as changing color, brightness, and intensity by using a
smartphone app.

However, we also face some challenges, such as competing with other lighting
product suppliers, who have a large market share, loyal customers, and low prices. We
may also encounter technological barriers, such as compatibility issues, installation
difficulties, or security risks. Moreover, we may face legal or regulatory challenges,
such as patents, standards, or taxes, that can affect our production, distribution, or
pricing.

Company’s current objectives and results are:

Objective Result

Increase sales by 20% Achieved

Use 90% eco-friendly materials Achieved

Raise consumer awareness Achieved

Decreased Carbon footprints Achieved

Increase average life span Achieved

SWOT Analysis
Strengths:
1. Use less electricity
2. Have longer life span compared to traditional bulbs
3. Can create different moods and atmospheres by manipulation the switch
 4. Can contribute to the government by promoting green technology and
sustainability
Weaknesses:
1. There are still a lot of people who are unfamiliar with the product
2. Disposal challenges
3. A little bit higher initial cost compared to traditional bulb
Opportunities:
1. Increased into the growing market of environmentally conscious tech-savvy
consumers
2. The customers might expand by targeting the schools, organizations, hotels,
etc.
3. Can collaborate with other products who have the same initiatives in
contributing to healthier environment
Threats:
1. Competition from the company with the same products
2. May encounter legal or regulatory challenges
3. Might be affected by the natural disasters or economic downfall that can reduce
the demand or supply of the products
Target Market

The Eco Glow Company is a business that offers eco-friendly lighting products for
personal use. The target market of this business is the consumer market. To engage
these businesses, the Eco Glow Company can leverage diverse marketing channels
such as online platforms, trade shows, and referrals. Establishing a robust online
presence through a website, social media, and blog showcasing the company’s
environmentally friendly offerings is crucial. Attending relevant trade events,
networking, and seeking referrals from existing customers can facilitate connections
with prospective partners or clients.

Companies within these industries are drawn to Eco Glow’s offerings due to multiple
benefits they provide. These include bolstering brand image as an eco-conscious
business, cost savings through efficient and durable products, attracting
environmentally conscious consumers, and contributing to global sustainability
initiatives. However, potential barriers to adoption by these businesses may arise from
factors such as lack of awareness, loyalty to existing suppliers, concerns regarding
product reliability, and resistance to change.
These industries’ current needs revolve around increasing sales and profitability,
boosting competitive advantages, enhancing customer satisfaction through innovative
products, and complying with sustainability regulations to reduce environmental
impact.

Buyer Personas
Marketing Objectives and Performance
These are the five objectives of EcoGlow company:
1. To increase the sales of eco-friendly lighting products by 20% in the next six
months by launching a digital marketing campaign that targets environmentally
conscious customers and highlights the benefits of sustainable lighting
solutions.
To track the performance of the objective of boosting sales by 20% through a digital
marketing campaign, sales data related to eco-friendly lighting products will be
analyzed. The marketing campaign’s effectiveness will be evaluated by monitoring
digital platforms for website traffic, conversion rates, and engagement metrics.
2. To ensure that 90% of the materials used in Eco-friendly lighting products are
recyclable or biodegradable within 18 months.
The goal of achieving 90% recyclability or biodegradability of materials used in
products within 18 months will be measured by conducting regular audits of
materials sourcing and production processes. The recyclability or biodegradability of
these materials will be verified by certifications and assessments from relevant
environmental organizations.

3. To increase consumer awareness and adoption of Eco-friendly lighting

products by 40% within one year

The increase in consumer awareness and adoption by 40% within a year will be
assessed by conducting surveys, analyzing market penetration rates, and tracking
sales attributed to increased consumer awareness. Progress toward this objective will
be indicated by regular customer feedback, website traffic analytics, and the success
of educational outreach efforts.

4. Decrease the overall carbon footprint of manufacturing eco-friendly lighting

products by 20% in the next three years.

The objective of reducing the carbon footprint of manufacturing eco-friendly lighting

products by 20% in three years will be tracked by measuring energy consumption,
emissions, and waste generation throughout the production process. Carbon
emissions will be quantified and reduced by implementing environmental
management systems and conducting regular environmental impact assessments.

5. Increase the average life span of Eco-friendly lighting products by 30% over
the next 2 years.

The objective of extending the average lifespan of eco-friendly lighting products by

30% over two years will be tracked by measuring product return rates, conducting
longevity tests, and gathering customer feedback on product durability. Progress will
be assessed by comparing the longevity of current products to the targeted increase.

Pricing Strategy
The company have set 5 strategies in pricing the product. These are; Value-based,
Penetration, Psychological, Skimming, and Subscription-based.

 Value-Based Pricing: Charge customers based on the perceived value of the

products, not the cost of production.
o Offer different tiers of products with different features and prices to suit
different customer segments and preferences.
 o Create bundles of products that offer more value and savings to
customers than buying them separately.
 Penetration Pricing: Charge a low price initially to enter the market and attract
customers, then increase the price gradually over time.
o Use a low price to gain a competitive advantage and a large market share
quickly.
o Raise the price once the brand is established and the demand is high.
 Psychological Pricing: Use pricing techniques that influence the customer’s
perception and behavior.
o Use prices that end in .99 to make the products seem cheaper and more
affordable.
o Use anchor pricing to show a contrast between a high-priced product and
a lower-priced product to make the latter seem more attractive.
 Skimming Strategy: Charge a high price for innovative or specialized products
that offer unique features or cater to niche markets.
o Use a high price to reflect the quality and exclusivity of the products and
to target customers who are willing to pay a premium for them.
o Use a high price to recover the research and development costs and to
maximize the profit margin.
 Subscription-Based Model: Charge a recurring fee for access to regular
upgrades, maintenance, or discounts on the products.
o Use a subscription model to create a long-term relationship with the
customers and to generate a steady and predictable revenue stream.
o Use a subscription model to offer more value and convenience to the
customers and to encourage repeat purchases.

Distribution Plan

The company will use online platforms to reach and serve its customers, as online
shopping is convenient, cost-effective, and popular among consumers. The company
will have its own personal website, where customers can learn more about the
product, its features, benefits, and testimonials. Customers can also order the product
directly from the website, and the company will deliver it to their address. The
company will also use other shopping websites, such as Shopee, Lazada, TikTok, etc.,
to increase its exposure, visibility, and sales. These websites are popular among online
shoppers, as they offer a variety of products, discounts, reviews, and payment options.
Customers can browse, compare, and purchase the product from these websites, and
the company will pay a commission or fee to the website for each sale. The company
will also use social media, email marketing, and online advertising to promote the
product and drive traffic to its website and other shopping websites. The company will
monitor and measure the performance of its online distribution channels, and optimize
them accordingly.

Promotional Plan

The company will use Facebook, YouTube, and TikTok as online platforms to market
or advertise the product, which can instantly spread the products since a lot of people
are using it. In relation, the company create engaging and informative content, such as
videos, photos, testimonials, and reviews, that showcase the features, benefits, and
value proposition of the product. The company also use paid ads, hashtags, and
influencers to reach and attract my target audience, who are those in a government, a
parent, business man, who are health-conscious and tech-savvy. The company expect
that these platforms will help increase the company brand awareness, customer
loyalty, and sales, as they have a large and active user base, a high level of
engagement, and a variety of tools and analytics to optimize my marketing strategy.
The company think that these platforms are the right ones for our product, as they are
popular among our target market, and they allow us to showcase our product in a
creative and interactive way. However, there is always a chance that these platforms
may not be the most effective or suitable for our product, due to factors such as
competition, algorithm changes, user preferences, or regulations. Therefore, we will
constantly monitor and evaluate the performance and feedback of our online
campaigns, and adjust them accordingly. We will also explore other platforms that
may offer better opportunities or advantages for our product. We will pursue these
platforms as soon as possible, as we want to take advantage of the current market
trends and consumer demands. We will involve our marketing team, our product
development team, and our customer service team in this process, as they will help us
create, deliver, and support the product online.

Budgeting Plan

Costs of Production:

1. Materials: Identify all the materials needed to make the lighting products, such
as LEDs, casings, circuitry components, etc. Also, include their unit prices and
the estimated amounts required.
2. Labor for Manufacturing: Estimate the number of workers needed for
assembly, their hourly pay, and the total hours required to produce a certain
quantity of lighting units.
3. Machinery and Equipment: Include expenses for machinery, upkeep, and
depreciation if applicable.
4. Utilities: Costs for electricity, water, and other utilities used during the
production process.
Costs of Promotion:

1. Promotional Campaigns: Set aside funds for advertising, online marketing,

social media promotion, influencer partnerships, etc.
2. Design and Printing of Packaging: Expenses for creating and producing
packaging materials for the products.
3. Industry Events: If attending trade shows or exhibitions, include expenses for
booth rental, promotional materials, travel, and lodging.
4. Website Development and Maintenance: Costs related to creating and
maintaining an online store if applicable.

Other Costs:

1. Salaries for Employees: Include wages for staff members, such as

administrative, sales, marketing, etc.
2. Lease/Rent: Expenses for renting facilities for manufacturing, office, or
storage.
3. Taxes and Insurance: Business insurance, property taxes, and other relevant
taxes.
4. Development and Research: Funds for innovation, product development, and
enhancements.
5. Logistics and Transportation: Costs for shipping materials and products,
warehouse expenses, distribution, etc.

Sample Budget Breakdown

--Raw Materials: P50,000
- Manufacturing Labor: P30,000 (based on 1, 000 hours of work at an average of
P30/hour)
- Equipment and Machinery: P20,000
- Utilities: P5,000
- Marketing Campaigns: P40,000
- Packaging Design and Printing: P10,000
- Trade Shows/Exhibitions: P15,000
- Website Development and Maintenance: P8,000
- Employee Salaries: P60,000
- Rent/Lease: P25,000
- Insurance and Taxes: P15,000
- Research and Development: P12,000
- Transportation and Logistics: P20,000
Total Budget Estimate: P300,000