De La Salle-College of Saint Benide

2544 Taft Ave., Manila, Philippines 1004

Marketing Plan
for
Lemon Square Cup Cake

Submitted by:

Bryan Solmayor
Mark Lawrence Alquiros
Ronie Sombese
Submitted to:
Mr. Simplicio P. Umali Jr.

LEMON SQUARE CUPCAKE

Company Background
Lemon Square's owner Dulce had always dreamed of producing the best-tasting
and the highest-quality cupcakes in the Philippines, and to make these available to
millions of Filipinos at a very reasonable price. She had worked on the vision for Lemon
Square in her college thesis in 1980. Lemon Square had its humble beginnings in 1985
when it started to offer local communities a small selection of homemade-style baked
goods. Then newly-married Dulce began baking cakes to sell to her friends. Word-ofmouth soon became the primary driving force for her cakes as demand went through
the roof. She and her husband Errol soon had to buy more cake-making machines, hire
more people, increase production and enhance its variety to keep up with demand and
to cater to the preferences of the market. In 1991, Lemon Square had to build a larger
building to accommodate its booming operation. In 1995, Lemon Square had to
thoroughly modernize its operations to keep up with the times. It did so by acquiring a
state-of-the-art baking system that enhanced its production and efficiency. Lemon
Square also adopted the latest packaging techniques used by bakers the world over.
Dulce's passion for sharing freshly-baked, high-quality goodies to her countrymen led
her to embark on another project, Frostings Cupcakes. These retail stores offer the
best-tasting cupcakes made and prepared using the same high-quality standards
employed by Lemon Square. Headed by Dulce's son Ernest, Frostings Cupcakes are
found in major malls and department stores. From its modest beginnings, Lemon
Square has steadily grown in popularity and has expanded its customer base. This is
due largely to its understanding of the tastes and preferences of its consumers. Lemon
Square is now one of the largest producers of quality baked goods in the Philippines,
offering the largest and most diverse product line to the Filipino mass market.

 Company Mission and Vision

Vision
The Big E food corporation, as an earth food creator, pursue the vision of originality
to create tasty,convenient, healthy and thoroughly enjoyable food products from the
bounty of natures goodness. The company aspires to develop marketing-leading brand
across all our chosen food categories for new market around the world.
As a 100% Filipino-owned Company, Lemon Square attained its position by
understanding the tastes of its consumers. From the very start, Lemon Squares vision
of providing people with delicious yet inexpensive bakeshop-quality bread, cakes and
pastries in the convenience of their favorite supermarkets and stores has been the
foundation of its success. This tradition of baking goodness continues today, a
testament to the dedication & passion of the people behind Lemon Square.

Mission
To provide delicious and nutritious food for the Filipino.
As a food manufactures, we aim to develop more and more satisfied and loyal customer
by nourishing them with quality food.
As an employer, we want our workforce to recognize that commitment and quality, apart
from profitability, are essential to success.
As a Filipino Corporation, we desire to inspire more Filipinos to establish their own
business and provide a good environment that exudes admirable Filipino values of
pakikipagkapwa-tao,sipag, tiwala at respeto.

 SWOT ANALYSIS
STRENGTH - A strong brand name is a major strength of Lemon square. This
gives Lemon square the ability to charge higher prices for their products because
consumers place additional value in the brand
The cupcake business has a large target market, catering to a variety of ages and
genders and therefore, the extent of the target market allows for a greater expectance
of revenue.
WEAKNESS - Lemon square can do everything here but not expecting to get high
market cause its not available outside the Philippines. Foreign people does not
recognize the brand
In terms of marketing strategy, ad campaigns not eye catching enough
OPPORTUNITIES - continuous growth of population in our country.
Offering HALAL product food in the country.
THREATS - Other cupcake company will offer a different cupcake.
Economic problems experiencing here in the Philippines.
Cost of raw materials.

 External Environment
Customers
Primary target market is the general public 4 50 years old, social classes AB, C, D &
E, from kids to teens to elders (regardless of marital status) Varies from working
professionals to full time mothers, health-conscious people, to kids who wants to enjoy
eating conveniently together with their friends and loved ones
Eaten once a day during snack or meal times and can be shared with the group, which
satisfies one's appetite depending on the desired flavor.

Government

Due to the rising cost of raw materials such as flour and sugar, packaging materials,
fuel, and electricity costs, Big E finds it challenging to reach its targets since Lemo
square highly depend on volume to be able to generate good profit. And there are no
current legislations that help brings down the prices of these basic commodities.

Economic

There is an issue that the growing consumer spending for transportation and
communications attributed mainly to spending on cell phone cards which are eating into
the consumers limited disposable income. However, Big E sees the countrys economic
difficulties could be an opportunity for growth as more consumers turn to packaged
bread, cupcakes and cookies as alternative merienda meals.

Competition

The direct competitor of Lemon square are when it comes to mamon Lemon square-are
also distributor of dry package goods .Lemon Square products have also been popular
as baon for school kids and as snack and dessert items in picnics and parties .

Product Lemon Square Assorted Cupcakes pack is a mouth-watering selection of some

our well-loved snack cakes. It contains 1 piece each of our signature Brownies,
Cheesecake and Cream Caramel snack cakes, and 1 piece each of our tasty Pandan,
Ube, Mocha and Buttermilk snack cakes.

Marketing
Lemon square (Big E food corporation) prides itself with an efficient sales force that
ensures nationwide distribution. The outlets being served are as follows: wholesale,
distributors, sub-distributors, supermarkets, convenience stores, and groceries. The
distributors handle the orders of smaller retailers and sari-sari stores. Lemon square
cupcakes are being advertised through television and radio. Big E food corp. rarely
uses prints and billboards to communicate others products to consumers. To name a
few of its latest television ads, some 30-second commercials were done for Monde
Mamon, Sky Flakes, Fita, Bingo Peanut Butter, and Bingo Choco Mint.

Market Segmentation

Demographics
The demographics who patronize Package food especially cupcakes are people coming
from the ABCDE market and brands being purchased are relative to the socio-economic

profiles. Also, research findings show that package foods are impulse-buying items
because a person needs not to think long to purchase one. Consumers easily switch
from one brand to another. Brand loyalty is rarely seen in the package food category.

Social
The package food industry, specifically cupcake, is now being seen as an alternative for
meryenda and viewed as a healthy source and substitute for fatty foods. People who
are into the alternative lifestyle and who seeks a good low-in-calorie snacks are the
social group that the biscuit industry is serving.

Technology
Due to the increase of competitors, technological change was seen through the cutting
edge research and development departments created by these companies to create
innovative products to serve the Filipino consumers better. More variations are now
present to distinctly stand out from competition.

Target Market And Profile

Socio-economic class CDE looking for an alternative and affordable source for
snacks. These are the people who are budget conscious and would choose value for
money VS high quality. The middle class is any class of people in the middle of a
societal hierarchy. In weberiansocio-economic terms, the middle class is the broad
group of people in contemporary society who fall socio-economically between the
working class and upper class

Behavioral Segmentation
Lemon square did a loyalty base behavioral segmentation. They acquire new
costumers and they retain their existing costumer by giving the best quality to their
products. More customers tend to buy their product and customers offer it to others
because of the satisfaction of the taste and quality lemon square did to their loyal
customers.

Product Service Description

Product Line
Cheese Cake - Lemon Square Cheese Cake is a delightful cheese-flavored cupcake
that's rich in butter and milk. This Vitamin A and Calcium-rich treat is a sure hit among
snack lovers everywhere.
Brownies - Lemon Square Brownies is a rich and flavorful fusion of soft and chewy
chocolate cake, thick chocolate fudge and crunchy chopped peanuts. Simply delicious!
Pandan Cake - Lemon Square Pandan Cake is a tasty pandan-flavored cake that's rich
in butter and milk. This is one treat that will surely leave you craving for more!
Ube Cake - Lemon Square Ube Cake is a creamy, ube-flavored cupcake that's oozing
with real goodness. It is a taste that will surely remind you of your childhood.
Mocha Cake - Lemon Square Mocha Cake is a soft and creamy butter cupcake oozing
with rich, thick mocha, and studded with chocolate chips. A perfect dessert!
Cream Caramel Cake - Lemon Square Cheese Cake is a delightful cheese-flavored
cupcake that's rich in butter and milk. This Vitamin A and Calcium-rich treat is a sure hit
among snack lovers everywhere.
Lava Cake - Lemon Square Choco Lava Cake was lemons squares first bake at home,
Its work hard perfecting recipe using only freshest ingredients and natural chocolate.

Product Objective
To produced honest-to-goodness flavor, we use to top-of-the-line technology combined
with the warmth and taste of home-style baking.
To find satisfaction in bringing real goodness to every product we make. Using only
fresh ingredients, our baked treats satisfy even the most discriminating taste buds.

Product Positioning

Lemon Square aims to produce the best-tasting and the highest-quality cupcakes in the
Philippines, and to make these available to millions of Filipinos at a very reasonable
price.

Product Strategy
The increasing demand for halal-certified products in the international market
poses a huge opportunity for the ASEAN community. While the neighboring ASEAN
member states undertake efforts to promote and develop their halal industries, the
Philippines likewise takes advantage of this advancement by carrying on development
programs for the industry through the Department of Trade and Industry (DTI). The
Philippine Export Development Plan (PEDP) identifies halal food exports as one of the
growth areas that could trigger a 30 percent increase in the export figures for food by
2016. So Lemon Square also took that advantage and registered it and became cetified
HALAL products. With its certification Lemon Square can be easily distributed to ASEAN
countries and around the world.