ExecutiveSummary Tinidor Foods is a start-upcompany that will manufacture Filipino-style pickles called “atsara” (pronouncedat-chara).
Products will be marketed andpositioned at the high end in terms of price and quality. It will use natural and non-GMO ingredientsin its unique offerings. The company wanted to bring a familiar taste toFilipino communities in the Portland Metro Area; yet, introduce new products tothe pickle fanatics that already exist in Portland.Tinidor Foods would like tocomplete several of its objectives within its five years of operation. The first objective is to have products to besold at the local grocery stores and farmers market. The second objective is to increase sales andimprove gross margin. The otherobjective is to have different outlets that will distribute their product.
Lastly, Tinidor Foods would like to become a Filipino pickle producer with anexpanding geographic distribution area.Currently, Tinidor Foods hasthree main line of products. Theirflagship is the pickled papaya and mango, which would be the traditionalpickles.
These pickles would stand outdue to its freshness, uniqueness, and quality ingredients. Then there is fusionline, which would include pickle watermelon rinds.Tindor Foods would like totarget three possible customer groups to sell their products to. The first group would be the grocery stores,which will sell directly to the end consumer.
The second group would be wholesale distributors. The last group would be the restaurantcustomers.There are many picklecompetitors at various price points that already exist both locally andregionally, but they don’t offer the same type of product. Tinidor Foods has anadvantage to establish itself as a premier brand of traditional Filipino-stylepickles.Tinidor Foods has a strongmanagement team consisting of Joe Cuaresma and Krissel Aromin, who will ensuresustainable growth.
Joe is the Co-Ownerand has over ten years of experience in the food industry along with BA inAccounting and Master’s in Business Administration. Krissel is also the Co-Owner and has fiveyears in the food industry. Krissel’sstrong personal skills will be an asset to marketing and building rapport withcustomers.
· Objectives:1. Increase sales within thenext three years.2. Improve and sustain gross margin with currentproduct line.3. Add products and servicesto meet market demand.4.
Improve inventoryturnover, reduce cost of goods sold and maintain high product quality.5. To provide jobs locallyand support local farms.
· Mission:Tinidor Foods was established to offer high qualityFilipino-style pickles made locally. Accordingto PDX Eater (Eater Staff, 2015), pickles and Portland are “almost synonymous,”and so it would be advantageous for Tinidor Foods to produce a unique andethnic product to the market. · Keys to Success:1. Deliver high qualityproducts which set them apart from others in taste and value.2. Provide service, support,and above average margin to dealers.
3. Increase gross marginpercentage.4. Bring new products intothe mix to increase sales volume. Company SummaryTinidor Foods is in its firstyear of operation, will manufacture pickles to be sold in Portland andsurrounding areas. Tinidor Foods will mostly use locally sourced ingredients tomake its pickles from local vendors and farms. Tinidor Foods is in its initialstages of setup and operations.
Theremight be a hindrance in lack of working capital as it progresses in salesvolume. Therefore, additional capital isneeded to purchase ingredients and processing in larger volumes. Management PlanLegalForm of BusinessTinidor Foods will operate as LimitedLiability Company (LLC) in the state of Oregon.
The business will be co-owned and managed by Joe Cuaresma and KrisselAromin. ManagementTeamJoe Cuaresma has a combined tenyears of fast food experience with Rice King; McDonalds; Boston Market; andJack and the Box in various positions. Joe also has three years of fast foodmanagement experience; managing a kitchen staff of five-ten; responsible forinventory/equipment purchasing; maintaining employee schedules; and ensuringrestaurant safety compliance. Joe received his Master’s in BusinessAdministration (MBA) from Ashford University in 2016 and has a passion forculture and food.Krissel Aromin has a combinedfive years in fast food with Carl’s Jr., Chamorro Grill, and Honey BakedHam. She also has over eight years inadministrative experience and over ten years in customer service. OperationsPlan Weekly Operations PlanOperational efficiency will becrucial for the success of Tinidor Foods.
Ingredients will be purchased through localvendors and purveyors. Operations will comply with food handling safety regulationsof Oregon Department of Agriculture (ODA) and Food and Drug Administration(FDA). It will follow rules in accordance to local, state and federal laws. Products TinidorFoods will sell its traditional Filipino pickled papaya and mango to an ever-growingclientele. Originally it was gearedtowards the local Filipino community, the market has expanded to include picklelovers in Portland area.
We areselling high quality and product-uniqueness in a market segment filled withcompetition. Our approach is to take ourproduct image up-market because of our unique and exotic offering. We believe there is void in the market andour product will fill that need. Afterfurther research and review of other pickle products, we will positionourselves accordingly to similar fashion.· ProductDescription:1. Traditional Pickled Green Papaya2. Traditional Pickled Green Mango3.
Fusion Pickled Watermelon Rinds · CompetitiveComparison:TinidorFoods will differentiate itself from others by offering a unique andtraditional product. The high-qualityingredients are wonderful blend with a twist of culture. These products are unique and must bepresented to encourage customers to try our product. Thereare no similar food items, so premium charge can be applied. The market has shown there are other localand readily known brands, but none offer a unique style of pickles.
· Sourcing:Costsare part of margin squeeze. As ordersincrease, production must increase that also increases our margin. We need tofind additional opportunities to lower cost of production maintaining thequality of product. · FutureProducts:We are researching and developing otherproducts to complement our product line. We are also considering other ways ofmarketing the overall product line. Industryand Target Market Analysis Summary Industry ProfileRecent studies have shownpotential link between eating fermented foods and decreased social anxiety(Eater Staff, 2015).
In Portland, thereare a variety of places that offer pickles ranging from Russian, Korean, andAmerican (Eater Staff, 2015). There is a need to introduce Filipino foods andculture to an ever-growing city.As of 2010 Census, there werealmost 27,000 Filipino residents in Oregon with only three Filipino restaurantsand no local Filipino food distributor. Filipino Cuisine is making its presenceknown to foodies (Rodbard, 2016). Forexample, Washington D.C. has called Filipino Food to be the “Next It Cuisine,”(Rapuano, 2015).
MarketSegmentation Thereare many pickle items from various vendors, Tinidor Foods will approach themarket as a Specialty Retailer provider of high quality pickles. We have opportunities with local grocers toprovide us with a market presence. Weare initially focusing on pickle lovers and the Filipino community. They will be able to appreciate theavailability and uniqueness of the product.
The market will observe theproducts they choose and will indirectly become promoters of our products. MarketGrowth Themarket analysis shows us broad range of prospective clients covering more thanone ethnic group or body. IndustryAnalysis Filipinofood industry is new and its popularity is still making its way inPortland. The taste and ingredients arenot common in the pickling industry, which give Tinidor Foods an advantageagainst the competition. TinidorFoods would like to capitalize on the consumer’s desire for somethingdifferent, high quality, and unique. Specialty food items that have health benefitseem to find its path in the market place even in a troubled economy.
Marketing PlanMarketingObjectiveTinidor Foods will capitalize on its unique andhigh-quality product line. We want tofocus on the consumer through grocery stores giving Tinidor Foods continuousexposure.MarketingMix.o Place: FarmersMarket, Local Grocery Storeso Price: Wewill price our products competitively, but maintaining low enough price willhelp us build a market share. As long as our supplier prices remain stable, wedo not anticipate price increases.
o Promotion: Long-rangegoal is to gain enough visibility to leverage the product into otherdistribution sites within our area, then move to other geographical regionsbased on inquiries and distribution requests.