Veggie Fritters

When it comes to what the consumers eat, they are influenced not just by their personal

tastes, but also by their friends, food and diet trends, and the media. Veggie Fritters

offers a new delicious way to make vegetables appealing to the kids and also for adults

who doesn’t usually eat healthy foods. Veggie Fritters are cooked in the combination of

various vegetables and fried in low heat with egg yolk mixture plus herbs and spices to

make them tastier. Veggie Fritters comes with fried rice, which also has a selection of

sauces to dip them into. The founders of Veggie Fritters wanted to be sure that the

buyers or consumers will enjoy them to the fullest extent so they made three different

versions of their product.

The available fritters are:

1. Potato & Carrot

2. Kangkong & Squash

3. Malunggay & Corn

The sauces available for the said fritters are:

1. Avocado Yogurt Dip - Made with non-fat yogurt, garlic clove and avocado

2. Sun-Dried Tomato with Roasted Garlic Dip - Made with tomatoes, olive oil and

roasted garlic.

3. Charred Onion Dip - It is grilled onions combined with light sour cream and non-

fat yogurt. With this product, people can eat on a budget because it is affordable

both for students and adults. Veggie fritters only costs 70php but the consumers

may pay additional 10php for a glass of iced tea or lemonade and additional

10php for extra dip or sauce.

OUTSIDE-IN FEASIBILITY PROCEDURE- (PEST)

1. Political –

Factors Opportunities Threats StrategyRepublic Act No. 10611—An act to strengthen the food regulatory system in the country to protect consumer health and facilitate market access of local foods and food products, and for other purposes.

Assurance of the safety of the local foods and food products in the Philippines.

Most businesses might not be aware of this republic act and might not go further.

Publicize the rule for better safety toward the Filipinos

Republic Act No. 10611 Sec. 2 declares that the state shall protect and promote

the right to health of the people and instill health consciousness among them.

2. Socio-Demographic –

Factors Opportunities Threats Strategy

Generation Z, being the present generation, was surveyed by Nielsen Global Health and Wellness Survey (wherein they surveyed over 30,000 consumers in more than 60 countries) that, “41 percent of Generation Z stated that they would be willing to pay more for healthier products”.

Growth and profit opportunities for vegetable and health businesses

People’s consciousness on fried products (finished products)

Use of olive oil

According to Kris Gunnars, a nutrition researcher, in his article in authority

nutrition mentioned that olive oil is extremely healthy. It is the best cooking oil to

use for those who are health conscious. It is the “default” healthy fat loaded with

beneficial fatty acids and powerful antioxidants. Olive oil has also been a dietary

staple for some of the world’s healthiest populations. Olive oil is an excellent

choice for cooking, even for high heat methods like frying. Olive oil contains

mostly monounsaturated fatty acids with one double bond. As it turns out, having

one double bond in the fatty acid molecule is not a bad thing. It’s only the

polyunsaturated fatty acids (like those in soybean and canola oils) that are

harmful. Olive oil contains vitamin E and many powerful antioxidants. These

substances protect the oil from damage during high heat cooking. Many studies

have exposed olive oil to high heat for long periods of time. Even under such

extreme conditions, the olive oil does not form significant amounts of harmful

compounds

3. Technological -

Factors Opportunities Threats StrategyPortable gadgets used for cooking.

Lessen time strain expensive cost of purchase, installation, replacement and insurance

Limitation of use

Social Media can make marketing

advertising easier.

Personal Connections and brand recognition

Leaked business data

Maintain good business

impression; work ethics

According to simplyzesty, a website that conducted observations in 7 different

business industries, which includes car manufacturing companies, modern

technology are also the ones transforming the kitchen & making us all like chefs.

According to hubspot, a website that conducted a study for social media in

modern business, social media can be used for advertising as a great tactic to

use to supplement your other inbound marketing efforts.

4. Economical-

Factors Opportunities Threats Strategy

Philippines having 6,299 establishments with a total employment of 20 and over engaged in accommodation and

Chances to enter and exit at the same time to the business industry.

Enormous range of competitors.

Develop and grow the ones needed for the product

food services.A total of 258, 102 workers were employed in Accommodation and Food Service Activities section.

High productivity in food service activities.

Low chance of employment

Build better background reputation of one’s self.

According to the census of Philippine Business and Industry, 6,299

establishments with a total employment of 20 and over engaged in

accommodation and food services.

258, 102 workers were employed in Accommodation and Food Service Activities

section.

PORTERS FIVE FORCES MODEL

Factors Opportunities Threats StrategiesThreat of new

entrants Low threat Capital

requirement is high

Product differentiation in the industry is high for new entrants can easily create a new and differentiated product appearance, presentation, taste, and even image

Difficult for the entrants to enter in coffee business because of large amount of capital to start the business

New entrants can easily create product differentiation strategy

Preemptive deterrence (creation of strong brand loyalty, strong market visibility, special benefits or promotions, )

Threat of substitute High threat Consider other

healthy foods and beverages

High threat of substitution including those healthy foods and beverages offered

Product development

Customer Value

such as fruitas, teas, salads etc. Filipinos can easily substitute their product in a more practical way

in a much more affordable price

Bargaining power of suppliers

Due to many available suppliers of vegetables, buyers can easily switch from one supply to another (or free to choose)

Profitability reduction

Maintaining supplier relations

Bargaining power of consumers

A growing affluent middle class and higher purchasing power has led to a change in consumer tastes towards more unique and high end-brand concepts.

Consumers has high bargaining

power and they can easily switch brands

Quality products and better customer

service

Competitive rivalry promotions

Target Market

DEMOGRAPHICS

The proprietors are targeting to establish their stall within the LRT2 Recto station

wherein the target markets are the adolescents which can be students and workers who

uses LRT for daily errands.

PYSCHOGRAPHIC

Adolescents and adults are now turning to be more vegetarian and, hence,

turning to have healthy lifestyles and wanting to eat healthy foods. Among all of the

generations, Generation Z (1995-2012) is the one who are most health-centric group of

consumers. In fact, according to Nielsen Global Health and Wellness Survey (wherein

they surveyed over 30,000 consumers in more than 60 countries) that, “41 percent of

Generation Z stated that they would be willing to pay more for healthier products” while

for Generation Y (1977-1994), 32%. With this, it would be the great time to introduce the

Veggie Fritters to the public for it is now becoming the new trend for the generation.

The Academy of Nutrition and Dietetics states that vegetarians and vegans enjoy

a lower risk of death from ischemic heart disease, lower blood cholesterol levels, lower

blood pressure, lower rates of hypertension and type 2 diabetes, and lower body mass

indexes, as well as lower overall cancer rates. The ADA concludes that vegetarian or

vegan diets “are healthful, nutritionally adequate, and may provide health benefits in the

prevention and treatment of certain diseases.

According to Kris Gunnars, a nutrition researcher, in his article in authority

nutrition mentioned that olive oil is extremely healthy. It is the best cooking oil to use for

those who are health conscious. It is the “default” healthy fat loaded with beneficial fatty

acids and powerful antioxidants. Olive oil has also been a dietary staple for some of the

world’s healthiest populations. Olive oil is an excellent choice for cooking, even for high

heat methods like frying. Olive oil contains mostly monounsaturated fatty acids with one

double bond. As it turns out, having one double bond in the fatty acid molecule is not a

bad thing. It’s only the polyunsaturated fatty acids (like those in soybean and canola

oils) that are harmful. Olive oil contains vitamin E and many powerful antioxidants.

These substances protect the oil from damage during high heat cooking. Many studies

have exposed olive oil to high heat for long periods of time. Even under such extreme

conditions, the olive oil does not form significant amounts of harmful compounds

NICHE MARKET

1. Vegetable lovers

2. Filipinos with healthy lifestyle

3. Parents who are convincing their child to eat healthy foods

4. Customers who don’t have enough budgets to eat in a more expensive

restaurant that offers vegetable fritters (example: Tokyo-tokyo)

Awareness Target Conversion Rate Projected

Advertising strategy

Free taste personal

connections leaflets and

posters

800 40% 320

Sales Strategy Get free

onion rings or potato twist for students just present Identification Card.

500 60% 300

Projected Sales: 300 x 80.00php = 24, 000php

COMPETITORS CHECK

Competitors Product Place Price Promotion

1. Edgy Veggie

Rice Meals Makati Rice Meals220-370 php

Advertising

Example:a. Mushroom

burger patties, topped with onion gravy and pumpkin spice vegetable rice.

b. Pan-seared tofu with applesauce mushroom bulgogi, spicy bibimbap style vegetable rice and kimchi.

Cold Drinks

Example:a. Calamansi Juiceb. Malunggay Juice

Cold Drinks100-125 php

- Through internet (blogs, facebook page and official website)

- Brochures and Leaflets.

- Newspaper Ads

2. Tokyo-Tokyo

Rice Meals

Example:a. Prawn & Veggie

Tempurab. Chicken &

Veggiec. Beef & Veggied. Pork & Veggie

SM Malls

University Belt

Ala Carte115-265php

Bento Upgrade (with drinks and California Maki)170-320php

Advertising

- TV Commercial

- Through internet (blogs, facebook page and official website)

- Newspaper Ads

- Brochures and Leaflets

MARKETING SURVEY

All of the 19 respondents surveyed were students having the age of 20

represented by 42.1%

Out of 19 respondents, 8 or 44.4% of them says that they eat

vegetables followed by neutral having 7 or 38.9%. Respondents also

answered the same on their willingness to buy vegetable food products

However, larger number of respondents answered that they find

vegetables delicious garnering 10 or 55.6%. More of the respondents

answered that they prefer to eat in food chains offering healthier

products having 12 or 70.6% on the scale.

The next questions are only to supplement our data in the outside-in

Analysis or PEST analysis. 9 out of 19 say that employees engaged in

food services have a better chance of entering and exiting the

business industry. On the other hand, 8 or 44% out of 19 respondents

says that advancement in technology really makes a difference in the

food industry.

As part of our 4 p’s analysis of promotion, a significant finding in here

is that consumers are really into the new products of a business. Based

on the survey, 50% or 9 out of the 19 respondents answered that they

always prefer if a company will inform them of new products and

promotions

Next is that customers are inclined with the special offers a food chain

would make available for them. 8 or 47.1% of our 19 respondents

answered that they eat in food chains because of its special offers

followed by ‘always’ garnering 5 or 29.4%.

The next answer of the respondents in terms of availing completing

loyalty cards is diversified. Neutral and always having the same results

(5 or 27.8% out of 19 respondents). This only means that not all

customers are inclined to loyalty cards.

The existence of social media sites is a very important means of

connections in businesses. 10 out of 19 respondents answered social

media sites in terms of knowing a new product having 55.6%

How often do you eat beside LRT Recto station?

As part of our 4 p’s analysis of place, 8 out of 19 respondents

answered that they always prefer to eat beside LRT Recto station

having 47.1% followed by ‘sometimes’ having 7 or 41.2%

Out of 19 respondents, 7 answered that they eat in food chains only

because they got inclined with its store design. This only means that

having a clean environment and store design is also a factor to have

customers attracted even if not for the food.

As part of our 4 p’s analysis of price, 7 out of 19 respondents answered

200-250 as their allowance followed by 300-500php having 33.1%

With the kind of allowance the respondents have, they are usually

willing to spend 100-150 for a food followed by 50-100php having

44.4%

It is significant to note that the respondents always eat in food chains

which offer food in affordable prices but on the other half, they are

willing to pay more for healthier products. This can be a great

supplement for this business plan and our Outside-in feasibility

because we offer our product at 80php per rice with veggie toppings.

All of the respondents are willing to try out a new product which is an

important data we need to know for our business plan. On the other

hand, the additional last two questions is to supplement our data in

making up website online in which customers may order online and

have it delivered to them; cash on delivery. 4 being the highest,

garnering 6 or 33% out of 19 respondents says that they buy food

online while 16 out of 19 respondents want convenience with the food

stating that they want their food be delivered to them, having 88.9%