theodore wilm • suzanna zak • carson trobich • stephanie veljacic
DESCRIPTION
Theodore Wilm • Suzanna Zak • Carson Trobich • Stephanie Veljacic. Big Dipper. Food Truck Ice Cream Milkshakes Operating Hours Convenient Location . Mission Statement. - PowerPoint PPT PresentationTRANSCRIPT
Theodore Wilm • Suzanna Zak • Carson Trobich • Stephanie Veljacic
Big Dipper• Food Truck
• Ice Cream
• Milkshakes
• Operating Hours
• Convenient Location
Mission Statement“Our Big Dipper food truck strives to provide the highest quality ice cream and milk shakes to those in the greater Philadelphia area. In
responding to customer recommendations, we provide top quality customer service from the
most personable employees while serving delicious ice cream and shakes. In addition, we
aim to create a friendly, exciting, and encouraging atmosphere for our employees
and customers to enjoy.”
SWOT Analysis
Target Market
Business Professional
s
Family Sporting Events
Villanova College
Students
Order Winners• High Quality Ice Cream and
Customer Service
• Quick, Easy and Convenient
• Location Depends on Demand
• Unique Flavors of Ice Cream
Perceptual Map
Operations StrategyFront Office Approach• High Customer
Involvement• Moderate to high
resource flexibility• Low capital
intensity• Customer Service
is the backbone of the business
Operations Strategy: ProductsBatch Process and
Make to Order• Truck will be stocked
with batches of ice cream flavors and toppings for the day
• Ingredients are assembled through a make to order strategy
Inputs From Suppliers
Equipment, Utensils, and Tools• Ice Cream Truck• 2 Freezers• 5 gallon tubs• Ice cream scoops• Milkshake blender• Sink• Spoons and Straws• Cleaning Supplies• Miscellaneous
Quality Approach• Lean Systems to eliminate wasteful
stepsTaste
ConsistencySize
Total Quality Management
High Quality Supplier
Low Cost to Ensure High
Value
Quality Circles
Quality Management
Quality CharacteristicsConformance to SpecificationsConsistency of High Quality Products, Fast Production Speed
ValueTop Quality Ingredients with Low Cost Operations
SupportHelpful, Cheerful Employees with Top Tier Customer Service and Energetic Attitudes
Psychological ImpressionCheery Positive Interactions with Employees and Friendly Environment Attachment to Brand Image
SuppliersIce Cream
Haagen Das
Dairy ProductsLancaster Farm
Fresh Cooperative
Basic IngredientsCedar Farms Corporation
Toppings and Mix-ins
JAS Wholesale
Ice Cream Serving Supplies
JAS Wholesale
Marketing MaterialsRidgway
Consulting
EquipmentJAS
Wholesale
Demand for Big Dipper• Seasonal Pattern
– Focus on the Fall and Spring semester for heavy traffic, lowest season is Winter
• Three target markets make up Main Line population– 20,000 college students in the immediate area,
creating main demand drive– 20% of area’s population is under 18, makes up
large part of customer – 33% of area’s population aged 18-34, young
professionals targeted during lunch hours• 70% of this segment, on average, eats out twice a
week
Expected Beginning Sales
Forecasting• Causal methods– Regressions
• Seasonality – Naïve forecast– Simple moving averages–Weighted moving averages– Exponential smoothing–Multiplicative seasonal demand
• Trend Progression with Regression
Sales Forecast
January
February
March
April
May
June
July
August
September
October
November
December
0 5000 10000 15000 20000 25000 30000
12400
11200
13950
24000
24800
20400
21080
22940
24000
15500
13500
12400
Forecasted Sales
sales
Sales
Months
Annual Fixed CostsAnnual Fixed
CostsAccounting and Legal Fees
2.10% 4539.57
Repairs and Maintenance
1.6% 3458.72
Advertising 1.7%Salary Expense 19.7% 42585.49Payroll Tax Expense .6% 1297.02Supplies 1.1% 2377.87Utilities 6.5% 14051.05Insurance 1.3% 2810.21Depreciation .4% 864.68
Fixed Start-Up CostsInitial Ingredients 6,753Accounting and Legal Fees 2,500Permits and Licenses 2,000Dipping & Storage Freezers 8,000Under Counter Fridge 1,600Hot Fudge Warmer 400Glass and Metal Shake Tins 350Shake Mixers 600Parking and Maintenance 300Kitchen Supplies 1,000Cash Register 300Marketing and Promotion 300Advertising 500Paper goods, cleaning supplies, office supplies 750Plumbing 1,500Insurance Premium 400iPhone with Square reader 210
Variable Costs• Cost of Goods Sold– $2.12 per milkshake– $0.47 per scoop of ice cream– $0.75 per ounce of toppings
• Fuel– Currently 3.75 per gallon of diesel– 10 miles per gallon – About 38 miles per day
Inputs• Based on $216,170 of annual
sales• Milkshake– components: 3 scoops of ice cream,
one cup of milk, 2 tablespoons of syrup, half ounce of whipped cream, to-go cup, straw, napkin
• Scoop of ice cream – Ice cream from vendor, cups, cones,
napkins, plastic spoons, toppings
Pricing DecisionOne Scoop…………$2.60Two Scoops………..$3.50Three Scoops………$3.99Milkshake…………..$4.00
Additional Toppings $.50 extra
Queues• Organized
• Menu listed on truck
• Segregate duties
• Efficient technology
• Additional staff
Questions?