Executive summary

The business plan is for “Al-Saddan” a restaurant that will supply healthy eating foods to the consumer market as for the market for the healthy foods is growing within Bahrain and thus it is important that the use of marketing should be done appropriate manner. The objectives of the report are to analyze the market and financial plan that will be used by the management in dealing with the uncertain value. This also mentions that business plan for Al-Saddan is important that they should opt for push promotion and social media marketing for accomplishing the targets.

Industry analysis

Al-Saddan will operate in the hospitality industry and thus the level of competition is also high. The industries are developing as more restaurant businesses are getting established due to the increase within growth rate of restaurant businesses and will thus also require that the focus should be over sustaining quality standard. The business trends are positive and are expected to grow by 5% to 7% in the coming year 

Company description

All-Saddan restaurant will be a healthy restaurant chain that will be providing the basis for operating in the market of Bahrain. The restaurant is going to provide healthy eating items to the consumers as this will help them in sustaining a competitive position in market. The changing consumer needs will require that it is essential for businesses that they should make sure that they are complying with the changing needs wants of market.

The business will act as a sole trader and will require the initial investment of BHD 150,000. This investment of BHD 150,000 will be arranged from both the equity and debt resources as this will make it important for the business to make sure that it maintaining an optimal business position in the market. An amount of BHD 100,000 will be generated as equity finance and remaining BHD 50,000 will be generated from the debt financing. The analysis of the financing option reflect on the fact that rely is not mainly over the debt as initially this will put pressure over the business. The restaurant will provide an option to the business in which they will rely mainly over the way through which the tasks are performed.

Market analysis

Having appropriate and effective marketing options in place is essential and it has been witnessed that the development of market should be considered as the market need. For Al-Saddan the market is present as the consumers living across Bahrain are becoming more aware about the way through which the healthy eating options will be provided to them.

The change within the consumer behavior towards eating is providing an option to Al-Saddan to attract the market on the basis of products which they believe to be essential in providing the consumer with the high quality of items that will be used for accomplishing the business position. The analysis about the market needs and conditions also reflect on the fact that for people if the changing policies are not in place then it is not going to be an easy task to accomplish the market position.

The market needs for Al-Saddan will be managed simply by having STP analysis in place as this is going to be an easy and essential element that will be used for managing the way through which different business tasks are performed. The STP analysis for Al-Saddan is as follows:

Segmentation – The segmentation is based on the ways through which the tasks are divided into the different segments and this refers to the fact that for consumers if they are not managing their desired market segment than it is going to be difficult for them to even sustain their operational activities. The demographic segmentation is important as the decision making on the basis of demographics is essential and it also reflects that the demograph like personal interest and age of the consumer market needs to be analyzed in an appropriate manner as this will help in providing them with the dishes that are high in quality. The segmentation on the basis of geographic area is also relevant for Al-Saddan as the country of Bahrain is specified as the consumers in the market are more aware and inclined towards adopting the healthy eating habits as this will be used for managing the way through which tasks are performed.

Targeting – Target market is essential as this will highlight the way through which the tasks are performed in respect of reaching to the market. For the consumers in Bahrain it is important that the desired market niche should be targeted by keeping in mind that the consumers will require direct target marketing approach. This also refers to the fact that for changing consumer perception it is becoming essential that the changing needs are identified and managed appropriately and for this in Al-Saddan the use of direct marketing and mass marketing will help the management in reaching to their target market

Positioning – The aspects of product positioning are essential as it has been witnessed that this will help business in understanding and realizing the position at which they stand is based on price and quality factor. This also explains that for the health eating items within the market the use of cost-differentiation is highly important as this will help in managing the working position in an effective manner. The positioning factor for Al-Saddan clearly mentions that it is essential that the cost items are retained within the organization and along with this it will also make sure that the quality standards for dishes are high as only organic materials are used within the business. The analysis about the positioning strategy will also reflect that the restaurant will establish its brand name in the market.

Goals/objectives/strategy

Revenue forecasts

For businesses like Al-Saddan it is important that the revenue forecasts should be developed that will be used for managing the way through which the revenues will be generated for the business. The revenue forecast for 3 years i.e. 2021, 2022 and 2023 is mentioned in the table below:

Marketing plan

For businesses it is important to have an effective plan in place that will contribute in the factor that the operational targets are met. The change within analysis and perception of consumers will also need to identify that with the change in business policies it is integral that the policies should be designed that will be used for reaching to the global market.

Use of 7P’s is essential for establishing an effective marketing mix and it will be based on the following components:

Product – This will look into the products that are supplied by Al-Saddan. The quality aspects will need to be managed and along with that the innovation in dishes and combination of different food ideas will also help the business in accomplishing the business targets.

Price – This will help the business in managing the price factor within Al-Saddan and it is explained that the pricing strategy must be based on competitive and complementary pricing strategy as this will make it easy for business to retain its competitiveness.

Place – The place factor for Al-Saddan is important and it is located in the area that is easily accessible in the consumer market. It is also ensured that the pricing factors are established that will make it easy for business in retaining their competitive market position as well.

Promotion – The promotional campaigns will look into ways through which the services offered by Al-Saddan are made available for the consumer market. Use of push promotion initially along with the social media campaigns is also essential as this will make it easy for business in accomplishing their targets.

People – This will refer to the aspect through which the people i.e. employees and management within Al-Saddan is hired and the way through which the targets are accomplished. Skills and expertise in the area of restaurant for atleast 5 years is the criteria for Al-Saddan

Processes – Within Al-Saddan it is ensured that the business is going to look into ways through which the processes can be made effective. This will also help business in making sure that the effectiveness in terms of processes and procedures should be kept in mind for accomplishing the business targets.

Physical evidence – The ambiance of restaurant will help in giving evidence about what customers can expect from Al-Saddan.

Advertising and sales promotion

For Al-Saddan initially the only types of advertising and sales promotion will be in place that will help them in reaching to their target market. It is explained as follows:

Development plan

The restaurant will be developed on the basis of providing healthy eating items to the people and will thus also require that the decision making should be done accordingly. The development plans will also focus over defining and determining ways through which the high quality of chefs will be hired as they will make sure that the quality standards are retained

Operational plan

The operations will b conducted within Bahrain as this will help the businesses in ascertaining that the operational efficiency is achieved. The focus of operations is over maintaining their operational standards that will help the people to easily visit the restaurant and purchasing power will be increased as well.        

Financial plan

Note:

2021, 15%

2022, 25%

2023, 40%

Note:

2021, 15%

2022, 25%

2023, 40%

Financial analysis

The financial analysis predicts that it is expected that the business will achieve growth year on year but keeping in mind that maintaining capital structure is important. From year 2021 till year 2023 an increase of 15% till 40% is expected and thus it is believed that the business will be in the position to perform in a better way. Along with this, the financial projections mentioned above also represent an effective working condition of restaurant as their assets and financial position is expected to be in a better position. Making thorough analysis about the financial projects will reflect that the decline within the push promotional techniques in future will also help the business in saving a certain amount of money for Al-Sadaan as well that is going to help restaurant in having an effective position in market.