Market Analysis

INDUSTRY TRENDS

CUSTOMER PREFERENCES

There are four broad food attitude segments among today’s restaurant patrons and these

are the adventurous diners, traditional diners, health-conscious diner’s, care-free diners. Based

on our location and concept we will focus more on the adventurous to health-conscious diners’.

Adventurous diners are the most experimental and are more of trying something new to

their taste and eyes. They are often students and young-professionals who enjoy comfort foods.

And Traditional diners are the ones who are more of enjoying local Filipino foods

NUTRITIONAL FOOD

Customers are swiftly shifting towards products that are sugar free, gluten free, lactose free

and have a low calorific value. There has been a complete shift in focus by manufacturers in

procuring natural ingredients and substituting them for artificial flavours and substances.

People are more conscious about their health and wellness now. This explains their diet shift

from red meat to predominantly fish and seafood in recent years. This gastronomic

phenomenon has thus inspired them and their cook to explore more creative possibilities

with not just fish and seafood but also other local and healthy raw ingredients that they

gathered in their city province. So we came up with the idea of innovating nutritious food

products and raw ingredients such as Desiccated coconuts and Canistel

FAST-CASUAL
 Customers prefer fast and efficient service. These prove that speed is very important in

restaurant industry. Customers want to eliminate any waiting so we came up with the idea of

building a fast-casual restaurant. A semi fast food restaurant but offers high quality food

products and much healthier that will suit the preference of the customers.

QUICK SERVICE RESTAURANT

We decided to be a limited service restaurant in which our customers order at a cash

register, a fast casual restaurant that will have a significant share in the quick service.

INNOVATIVE PACKAGING

The business is designing innovative and sustainable ways of packaging to present the

products for takeout. The business provides a personally created design and environment

friendly packaging for takeout food and beverages.

MARKET AREA ANALYSIS

Based on the information obtained from MIS Office of the TARLAC STATE UNIVERSITY

The University has 17,255 total populations (See table 1 for break down)

In connection with the proposed site which is located at Zamora St. San Roque Tarlac City

which is a walking-distance (230meters) from Tarlac State University

TABLE 1. The population of Tarlac State University

AFFILIATION POPULATION

STUDENTS 15,967

ADMINISTRATIVE PERSONNEL 112

FULL TIME FACULTY 255

UNIVERSITY PERSONNEL 921

TOTAL 17,255

MARKET SEGMENTATION
A. Geographic
*Location : Zamora Street San Roque
*Barangay : San Roque
*City : Tarlac City
*Region : III
B. Demographic
*Age : 19-60 years old
*Gender : Male & Female
C. Psychographic
*Personality : Curious
*Lifestyle : Outgoing, Adventurous
COMPETITIVE ANALYSIS

Our location is at Zamora Street San Roque where most of our secondary competitors are

canteens that offer affordable product and fast food restaurant near the location. The secondary

competitors in the industry are all small to medium sized players that have an established

presence in the market and we cannot see any primary competitor that offers the products that we

have. Cafroozo may not be our primary competitor but it is one of the most visited restaurants

near the vicinity and that is why we get the Historical Demand.

Historical Demand

2013-2017

CAFROOZO
YEAR
DAILY MONTHLY YEARLY INCREASE %
DEMAND OF DEMAND OF DEMAND OF OF
CUSTOMERS CUSTOMERS CUSTOMERS CUSTOMER

2013 65 1,950 23,400

2014 77 2,310 27,720 4,320 15.6%
2015 89 2,670 32,040 4,320 13.5%
2016 102 3,060 36,720 4,680 12.7%
2017 130 3,900 46,800 10,080 21.5%
TOTAL AVERAGE INCREASE 15.8%
SITE ANALYSIS

Our proposed site is located at Zamora Street San Roque Tarlac City, along the highway

in front the College of Business and Accountancy Tarlac State University. The Philippine

National Bank is beside us. We are also located near Ecumenical Christian College (High School

Department)

Our potential target markets are segmented into Students from Tarlac State University,

Ecumenical Christian College, Employees from Tarlac State University and workers from City

Walk Tarlac. On the other hand our secondary potential markets are people from near Tarlac

West Elementary School teachers, and government employee of the Municipal hall or Provincial

Capitol

The traffic volume of our location is in corner, which is near in the pedestrian lane and

across the bus and jeepney stop of commuters. It is accessible to travellers who have their own

vehicles especially families who want to grab a quick meal.

CONCEPT DEVELOPMENT

A new concept of food establishment will soon arise at Zamora Street, San Roque Tarlac City

where the combination of adventurous diners and traditional diners are going to offer by our own

“Kitchen Rules”.

As an independent affiliation it’s hard for us to get into the level of other fast food establishment

but as the first fast-casual establishment that offers innovated products we see big opportunity

ahead of us. Our theme is a combination of modern and traditional concept. It is modern in a way

that the facilities and services we offer are modern and traditional because of our menus.
Our menus are composed of high quality and much healthier than fast-food restaurant that

typically offers. We will present our menu through a menu board so that our customers will

easily see their list of options. And one way of entertaining our customers is to play background

music with the aim to make the customer not to feel bored and for the ambiance to be livelier.

Our operational hours starts at exactly 10am since this is the time where the target markets are

having an AM Snacks furthermore our closing time is 10pm since potential customers are only

until this time and this are all based on our observation.

POTENTIAL TARGET MARKET

PRIMARY

TARLAC STATE UNIVERSITY

15,967
STUDENTS

FULL-TIME 112

FACULTY

ADMINISTRATIV 255

E SUPPORT

UNIVERSITY 921

PERSONNEL 17,255

ECUMENICAL CHRISTIAN

COLLEGE high school department

STUDENTS 560

TEACHERS AND

PERSONNEL 45 605
SECONDARY

Tarlac Municipal Hall 1,208

Provincial Capitol Employees 2466

San Roque Residents 6,894

TOTAL

*http://nap.psa.gov.ph/activestats/psgc/municipality.asp?muncode=036916000&regcode=03&pr
ovcode=69
*https://en.wikipedia.org/wiki/Tarlac_State_University
*Ecumenical Christian College high school department Principal’s office
*Provincial Capitol Human Resource Department
*Tarlac City information office

PRIMARY

MIDDLE
PEAK SEASON OFF PEAK SEASON
SEASON

TOTAL POPULATION 17860 17860 17860

TAPPED CUSTOMERS

(%) 20% 15% 10%

NUMBER OF TAPPED

CUSTOMERS IN A

MONTH 3,572 2,679 1,786

 SECONDARY

MIDDLE
PEAK SEASON OFF PEAK SEASON
SEASON

TOTAL POPULATION 10568 10568 10568

TAPPED CUSTOMERS

(%) 10% 5% 5%

NUMBER OF TAPPED

CUSTOMERS IN A

MONTH 1,056 528 528

PRIMARY SECONDARY TOTAL CUSTOMERS A DAY

PEAK SEASON 3,572 1,056 4,808 160

MIDDLE

SEASON 2,679 528 3,207 107

OFF PEAK

SEASON 1,786 528 2,314 77

*PEAK SEASONS – March, April, September, October, and December

*MIDDLE SEASONS – January, February, and November
*OFF PEAK SEASONS – May, June, July, and August
 NO. Of
CUSTOMERS/ Customers
days in a Average Sales
DAY in a month
month PRICE

JANUARY 107 31 3317 75 248775

FEBRUARY 107 28 2996 75 224,700

MARCH 160 31 4960 75 372,000

APRIL 160 30 4800 75 360,000

MAY 77 31 2387 75 179,025

JUNE 77 30 2310 75 173,250

JULY 77 31 2387 75 179,025

AUGUST 77 31 2387 75 179,025

SEPTEMBER 160 30 4800 75 360,000

OCTOBER 160 31 4960 75 372,000

NOVEMBER 107 30 3210 75 240,750

DECEMBER 160 31 4960 75 372,000

TOTAL PHP 3,260,550

Projected Sales

2018-2022

KITCHEN RULES
 YEAR PROJECTED AVERAGE PROJECTED INCREASE
YEARLY PRICE OF SALES %
DEMAND OF THE
CUSTOMERS PRODUCTS
2018 43,474 75 3,260,550
2019 50,342 75 15.8%
3,775650
2020 58,296 75 15.8%
4,372,200
2021 67,506 75 15.8%
5,062,950
2022 78,171 75 15.8%
5,862,825