Mkt 420 Preliminary Marketing Plan

Chris Moolayil

MKT 420

Section 4 D-F preliminary marketing plan

D. Promotion Mix

        1. Advertising

1. Objective – One of QT’s main goal is to expand brand internationally and to connect to many customers and provide all their needs when needing a quick stop for refreshments.
2. Media Mix – There are may ways to promote QT and their items with TV, internet, radio, posters and also with magazines and news paper ads.
3.  QT continues to constantly across the United States with high quality services in food and drinks. QT is also known to have a great relationship with employees as well.
4. The advertising fee is usually calculated by the amount gross profit earned and then is the base is between 300,000 to 400,000 you then multiply by .45 minus 12,000 divided by the gross profit.

2. Sales promotions

1. Objective – One of QT’s main goal is to provide unique and high quality goods and convenient services for customers to enjoy
2. Just like out competitors we provide many coupons to encourage our customers to come and enjoy our quality food and drinks. One example would be…..Buy one food product and get a free 20 oz. fountain drink with your purchase.
3. For premium item promotions we will offer a free dessert such as a banana roll when spending over 20 dollars.
4. Premiums and coupons are issued to increase sales and in order to get a confirmation liability it when the customer redeems their coupon or premium only then we can get a accurate costs on coupons and premiums.

3. Personal selling

• With personal selling we can always have employees hand out ads and coupons to promote certain specials the store is offering in order to generate a higher volume of customers. Another way to promote the store is when a customer walks in the store the employees can also promote a new item such as a new brew of coffee or food item.

4. Other Promotional methods

• Another way we can promote is also by giving rewards points. With a certain amount of points we can give certain amounts of cents of on a gallon of gas.

E. Distribution

        1.Port Selection

                Origin Port

• Anywhere in the west coast mainly California because we don’t have to pay taxes on the product till we sell it.

          Destination Port

• Shanghai port which located in the middle of the coastline in China, has a great advantage when it comes to location. The area has good weather and has a good inland infrastructure  for distribution.

2. Mode Selection

1. Railroads – Advantages of using railroads is that they are cost effective, fast delivery, large capacity, safe mode of trans port and finally they are very reliable. Disadvantages are, there are times of delays and you have to rely on the freight operators time table.
2. Air carriers – advantages include it’s the fastest shipping method, reliable arrival and departure times, you can ship to anywhere around the world, less need for warehousing. Disadvantages include costs, can you can be delayed due to bad weather and finally there only a limited amount of space.
3. Ocean carriers – Advantages include, cost effective, durable in any weather and it’s a good way for heavy loads. Disadvantage is that it takes time for shipments to get to point A to point B and most companies want and rely on fast shipping.
4. Motor carriers – Advantages are: cost effective , fast delivery, great for short distances, great for transporting foods and other perishables. Disadvantages include traffic could cause delays, there are chances that the truck could break down and also bad weather could also cause delays for goods to be transported.

3. Packing

1. Marking and Labeling – China requires that all products sold in China must be in the Chinese language. Also all items that are imported and exported must have labels that say they have been tested for quality.
2. Containerization – The ISO containers and non ISO containers are all nearly exported from China.  This container industry plays a key role in China’s economy.
3. Costs – The China Compulsory Certification is the national and safety and quality mark and fees could include up to $4,500 in fees.

4. Documentation required

1. Bill of Lading – The document comes in many different forms depending on the type of transport, payment used and also the ownership of the merchandise that’s being shipped.
2. Dock receipt – In order to use a ocean carrier in China it is required that a dock receipt is issued when the final merchandise is delivered.
3. Air bill – Similar to bill of lading and is used as a receipt for goods as shipments.
4. Commercial invoice – For any kind of general cargo it required that  you have import license, the shipment with payment terms on a commercial invoice.
5. Pro Forma – Even though it is an agreement between buyer and seller it does not have the same legal protection as does a sales agreement.
6. Shipper’s declaration – In order to send your shipment in China you need: commercial invoice, packing list, then submit the SED, must have a proper packing material that does not include wood and finally have  The China Compulsory Certification on the select products.
7. Statement of Origin – In order to have a statement of origin you must have to meet the custom requirements, the customer or buyer must request it, and finally you must comply with the trade finance requirements.
8. Special documents- If you are importing any kind of special products such as medicines you would a document called a fumigation certificate.

5. Insurance Claims -  You can get your products insured  and its highly recommended to get the insurance through the freight forwarder.

6.  Freight forwarder – There are many advantages you get when having a freight forwarder for starters it is very cost effective, you also get personal customer service  and flexibility.