This means we will spend every month on advertisement

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This means, we will spend every month on advertisement as: a) RM 110 438 will be spending for advertisement on 1 st month. b) RM 105 220 will be spending for advertisement on 2 nd month. c) RM 109 220 will be spending for advertisement on 3 rd month. d) RM 100 000 will be spending for advertisement on 4 th month. e) RM 100 000 will be spending for advertisement on 5 th month. f) RM 4 508 will be spending for advertisement on 6 th month. g) RM 4000 will be spending for advertisement on 9 th month. h) RM 110 438 will be spending for advertisement on 12 th month. i) RM 110 438 will be spending for advertisement on 2 nd year. j) RM 100 000 will be spending for advertisement on 3 rd year. k) RM 100 000 will be spending for advertisement on 4 th year. l) RM 100 000 will be spending for advertisement on 5 th year. By this time, our number of customers will increase significantly. The expected figures are; a) For 1 st month: 50,000 new customers. (Will generate sales of RM1, 245,000) 62 | P a g e
COMPANY: F & V Sdn. Bhd PRIVATE AND CONFIDENTIAL BUSINESS PLAN b) For 2 nd month: 50,000 existing customers (Will generate sales of RM1, 245,000) c) For 3 rd month: 50,000 existing customers (Will generate sales of RM1, 245,000) d) For 4 th month: 50,000 existing customers and another 50,000 new customers (Will generate sales of RM2, 490,000) e) For 5 th month: 100,000 existing (Will generate sales of RM2, 490,000) f) For 6 th month: 100,000 existing customers and another 50,000 new customers (Will generate sales of RM3, 735,000) g) For 7 th month: 150,000 existing customers (Will generate sales of RM3, 735,000) h) For 8 th month: 150,000 existing customers and another 50,000 new customers (Will generate sales of RM4, 980,000) i) For 9 th month: 200,000 existing customers (Will generate sales of RM4, 980,000) j) For 10 th month: 200,000 existing customers and another 50,000 new customers (Will generate sales of RM6, 225,000) k) For 11 th month: 250,000 existing customers and another 50,000 new customers (Will generate sales of RM7, 470,000) l) For 12 th month: 300,000 existing customers and focus in existing customer (Will generate sales of RM7, 470,000) At the end of these 1 year, the total sales which collected amount to RM 47,310,000, 2 nd year: RM 115,785,000, 3 rd year: RM 159,360,000, 4 th year: RM 160,107,000 and 5 th year: RM 160,605,000 The conclusion on this forecasting is the high spending on advertisement for the first six months cost RM2.4 million while the revenue generated is RM3.68 million. The revenue will overcome the expenses for the advertisement. We need to spend very high on the advertisement because we are newly introducing our product into the market at this time. This high spending to ensure 63 | P a g e
COMPANY: F & V Sdn. Bhd PRIVATE AND CONFIDENTIAL BUSINESS PLAN we can grab high numbers of customers within this medium period of 6 months with the help of advertisement. Long Term Forecasting The period for this long term forecasting is 5 years. The forecast take position from beginning of year 2014 until end of 2018. In the year 2014, our estimated number of customer is 300,000 at the end of the year. This is the first year of product introduction. In this one year time, we will gain up to 300,000 customers which mean 15% of the detergent market in Malaysia. To achieve this point, our company will be spending a lot on advertisement. This to ensure our product can capture and attract customers. The advertisement spending will be at

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