Vegetarian Fast Food Restaurant

Business Plan

Contents
Executive Summary...................................................................................................................................4
Vision......................................................................................................................................................4
Mission...................................................................................................................................................4
Objectives...............................................................................................................................................4
 Keys to Success......................................................................................................................................5
Company Summary...................................................................................................................................5
What is Vamburger?.............................................................................................................................5
Youthful and healthy lifestyle...............................................................................................................5
Variety of food.......................................................................................................................................6
Convenience...........................................................................................................................................6
Products.....................................................................................................................................................6
Product Description...............................................................................................................................6
Menu...........................................................................................................................................................7
Sales Literature..........................................................................................................................................8
Future Products.........................................................................................................................................8
Comparison with Competitors.................................................................................................................8
Market Analysis Summary.......................................................................................................................9
Target Market Segment Strategy.............................................................................................................9
Market Needs.............................................................................................................................................9
Strategy and Implementation.................................................................................................................10
Competitive Edge.................................................................................................................................10
Marketing Strategy.............................................................................................................................10
Pricing Strategy...................................................................................................................................11
Positioning Statement..........................................................................................................................11
Sales Strategy.......................................................................................................................................11
Application Plan Summary.....................................................................................................................11
Application Marketing Strategy.........................................................................................................12
Development Requirements................................................................................................................12
Management Summary.......................................................................................................................12
Management Team..............................................................................................................................13
Financial plan..........................................................................................................................................13
Initial investment.................................................................................................................................13
Fixed Expenses.....................................................................................................................................14
Expected Sales......................................................................................................................................15
Expected Profit....................................................................................................................................15

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 Executive Summary
Vamburger is a fast food outlet that provides customers from all walks of life with healthy
vegetarian-styled fast food. We draw the picture based on three concepts: changing unhealthy
fast food culture to a healthy one, changing monotonous vegetarian culture to a tasty one, and
delivering health and taste combined food at a reasonable price conveniently.

In today’s highly competitive environment, it is vital to differentiate ourselves from other fast
food chains. We will be the only vegetarian fast food shop in the market that provides customers
with a wide range of food choices through self-mixed ingredients burgers and meals. Apart from
the variety in food, we offer convenient service to encourage regular meal launching application
for smartphones. We emphasize on raising awareness of healthy eating habit and spreading the
message through a profitable and sustainable business.

We will confine our operating expenses at a reasonable range by employing adequate but not
excessive staff, maximizing word-of-mouth marketing and utilizing free advertising. Through
membership system and prepaid reloadable cards for direct order on application for smartphones,
we will be able to retain existing customers. This is important for our development in the long
run.

Vision
Our vision is to change the general view on fast food to a healthy one while at the same time
change public impression towards monotonous vegetarian food to a tasty one.

Mission
Vamburger’s missions are to:

 Bring healthy vegetarian-styled fast food to customers conveniently.

 Operate and grow at a promising rate.
 Serve high quality food at a great value.
 Meet stakeholders’ expectations.

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Objectives
Our objectives are to:

 Provide an income for owners with growth possibilities.

 Gross margin of 50% or more.
 Net profit above 15% of sales.

Keys to Success
We strive for the following keys to success:

 Unique and quality products – create an innovative menu with quality products that
differentiates us from the competitors.
 Convenient locations – easily accessible location to get close to the market.
 Excellent services – provide heartfelt services to customers.
 Fine reputation – promote goodwill of the company to achieve word-of-mouth advertising.

Company Summary
What is Vamburger?
Vamburger holds the concept of changing the general view on fast food to a healthy one as well
as changing public impression towards vegetarian food to a tasty one by introducing healthy
vegetarian-styled fast food conveniently to customers. We sell vegetarian burgers and other
vegetarian fast food by replacing the meat ingredients with organic vegetables, and replacing the
unhealthy fast food with healthier ones to make fast food refreshing. Customers are able to
choose their own mix of ingredients to create their own burgers so as to enjoy fresh feeling
towards our food. We also provide friendly customer service to support the ambiance of youthful
lifestyle.

Youthful and healthy lifestyle

As our core target market is teenagers agers and children between 12-20, we would like to create
a vibrant youthful image towards vegetarian food, making them feel that fast food could be
healthy too. The outlets will be arranged for fast food setting with a gothic theme featuring

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vampire-related decorations for gimmicks, such as gargoyle fixtures. Our ingredients will be
placed in a transparent hip pantry to let customers see our choice of various healthy organic
ingredients. we focus on takeaway meals. In addition, we spread the idea of healthy eating to
teenagers through provision of lunch packs for primary and junior secondary schools.

Variety of food
Customers are allowed to choose their own mix of ingredients to create burgers based on their
taste and preferences. Set meal will also be provided as suggestions.

Convenience
Our store is open every day from 6am to 12am for the early travelers who have not much choice
on the street. Customers can buy their food on the way home or to the office. We will launch an
application for smartphones which allows customers to access the types of food, their nutritional
values and order in advance. With the given code number, they can pay for and take their food
when they arrive the selected outlet, or they can apply for a prepaid reloadable account to pay
automatically when they make their order.

Products
Not only vegetarian burgers are provided, but also snack and juice of a number of choices to
complement. We choose fresh and healthy organic vegetarian ingredients for customers to
choose from and a vital point to be noted is that customers are allowed to mix their own choices
of ingredients, thus increasing the combination of products to offer customers novelty.

Product Description
Special names are given to the organic soy meat we use to imitate and replace the usual meat
choices, e.g. fakon for bacon, neat sauce for meat sauce.

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 Menu
A. Burger (with eggs or milk, unless specified)

(I) vegetarian meat (choose any one kind)

 God Fish (cod fish, without egg and milk)

 God Fish (cod fish)
 Cheat ken (chicken)
 Veef (beef)

(II) Vegetables (choose any two kinds)

 Lettuce
 Mushroom
 Bamboo shoot
 Onion
 Hash brown
 Cheese

(III) Sauce (choose any one kind)

 God fish sauce

 Vegetarian Kyoto sauce
 Italian sauce
 Meat sauce

B. Snacks

 Sweet corns
 Fruit salad
 Caesar salad
 Skewered mushroom

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 C. Drinks

 Spinach juice
 Ginger juice
 Tomato juice
 Watermelon juice
 Apple juice
 Lime juice
 Orange juice

Sales Literature
Our main sales literature consists of flyers with coupons distributed around. They contain
information including company background, comprehensive menu and nutritional values.
Moreover, we will update our information on food websites like the Open Rice.

Future Products
In Year 1, we focus on providing basic types of vegetarian burgers. However, as we extend
further, we will introduce seasonal products that are only available for a specified time period.
We will also introduce special burgers in different series, like honorable series with truffle
topped burger.

Comparison with Competitors

The main competitions we face are from large fast food shops, including McDonald’s, KFC,
Burger King, Subway and many others. Vamburger is selling its special vegetarian burger at the
price range of around Rs 1000-1200 per burger. This low-price strategy has already helped us
stand out above our vast competitors. Furthermore, our products are of high nutritional values,
with taste, appearance and price more appealing to those sold by our competitors.

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Market Analysis Summary
Vamburger’s target customers are:

Teenagers, the main circle for fast food customers, especially for those pursuing groundbreaking
new products.

Students and office workers with busy schedules seeking convenience for breakfast and lunch.

Families looking for take-out food, particularly for families with young children to strike a
balance between children’s desire for fast food and their health.

Target Market Segment Strategy

Vamburger caters for the needs of teenagers that they mostly look for value-priced food due to
their limited source of income. Teenagers are also important in our brand building that we need a
youthful style and image. We utilize much information technology in marketing, such as Face
book, Open rice and application, which are easily accessible for teenagers. For students and
office workers, they will buy from us much during breakfast and lunch hours and one crucial
point to note is that our opening hours is as early as 6 a.m.

Market Needs
Our market segments are compound of customers with different desires, including value-priced
and healthy foodstuff, variety and innovation in products, convenience, as well as a hip, yet

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comfortable environment. However, we focus on takeaway instead of dine in with spacious
environment in the first phase of business.

Strategy and Implementation

Competitive Edge
Vam-Burger has the following advantages over its competitors:

 Unique concept of vegetarian fast food.

 Choice of healthy organic ingredients, compared to most fast food with low
nutrition values.
 Our innovative concept of self-chosen mix of ingredients by customers
according to their own preferences.
 Convenience in making orders and payments.
 Launching of applications as a way to attract customers.

Marketing Strategy
In the first year, Vamburger’s promotion strategies tend to be less costly and are divided into in-
store promotion and local promotion. We believe that word of mouth advertising and local
promotions are better to bring customers to our locations.

The first year’s in-store promotions are mostly

 Wall posters.
 Brochures with company introduction, comprehensive menu and nutritional values.
 QR codes for downloading our application and Discount codes via smartphones.
 Delivering flyers with coupons outside the Metro stations and Universities/Colleges.

There will be other special promotions as follows

 Media promotion: Contact different media like newspapers, magazines and television
broadcasting to welcome them to interview us.
 Online and free advertising: We will utilize Facebook, Twitter and other social
networking sites by creating accounts and updating information or interacting with
customers through promotion activities.

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  Food websites: We will update our information on food websites, online forums, and
encourage customers to give us comment and vote for us. We can receive customers’
opinions to improve our service and products too.
 Talks in schools: Vamburger will invite dieticians to give talks on vegetarian diets and
healthy eating in schools, which helps spread our business idea and makes Vamburger
accessible for more teen customers and also there will be special discounts offered to
students and children.

Pricing Strategy
As reflected from our market research, most people expect our burgers to be priced at around
800-1200 PKR and this is the price that they are willing to pay for a value-priced product like
Vamburger.

Positioning Statement
Vamburger is the only fast food shop in the market that delivers health and taste combined food
for all groups of people at a reasonable price within few minutes.

Our brand “Vamburger” shows customers our unique concept of vegetarian burgers by mixing
“vegetarian” and “hamburger” into one new word, which is fun and youthful, and is geared
towards our core target market, i.e. teenagers.

Sales Strategy
The sales strategy aims at converting potential customers and first-time customers into long-term
customers to support the sustainable development of Vamburger. The tactics include
membership system. Customers can apply for membership and have discounts in purchases.
They will receive our most updated information through email too. Moreover, the prepaid
reloadable account system is a way to keep existing customers to use up the balances in their
accounts and then look for reloading discounts.

Application Plan Summary

Launching applications (apps) for smartphones to promote our products is the current trend in
marketing. According to a research done by Google and Ipsos Research in March to July 2011,
35% of mobile phones users are using smartphones. Another survey done by Hong Kong

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Productivity. Council in August 2011 shows that 54% of smartphones users are interested in
purchasing through apps, 58% of them will go to the outlets to purchase after using their apps.
We believe that launching our apps for smartphones will boost sales.

To meet market demand, the apps will include order service, waiting time, types of food
available and their nutritional values, as stemmed from the result of our market research13. With
the given code number, they can pay for and take their food ready made at the selected outlet, or
they can apply for a prepaid reloadable account for direct debit when they make their order. This
convenient service can attract customers who are always on the run, yet promote the importance
of having meals regularly. The apps will also feature our newest promotional items and
discounts offers, some of this information will only be shown in the apps to encourage apps users
to check for extra discounts regularly.

Application Marketing Strategy

We will increase the accessibility of our apps by displaying the QR codes for downloading our
apps in the stores and other health food stores. As mentioned, some special discounts will only
be available for apps users, that will also be highlighted in our brochures, wall posters and flyers.

Development Requirements
Nowadays, apps development is popular and the technology required is not rocket science.
Therefore, the entire development and design of the app will be entrusted to our information
officer and co-founder, Calvin Chung. The app will send orders directly to the computer system
of our sales outlet to facilitate services provisions.

Management Summary
Initially Vamburger is a small company with management team depending on the founders with
little back-up. Our employee categories include cashiers and waiters, while waiters may need to
perform various job duties like handling orders and serving dine-in customers. Thus, there will
be changes in the number of front-line workers during different periods to achieve efficiency. As
the start-up of a new business, we focus on the review and appraisal systems of our employees.

We plan to conduct monthly performance appraisal in the year one. This may seem tight but we
believe it is needed for the healthy and sustainable development of a new business. The system

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will be been entrusted to our co-founders Alice Lam, who is responsible for human resources
management.

Management Team
Initially, the management team depends on the 6 co-founders. We all will be monitoring the
business activities and some will specify in a particular area. Current plan is to have our
accounting functions done by Ivan Leung, marketing planning by Irene Yeung, information
technology support directed by Calvin Chung and human resources handled by Alice Lam. 7.3
Personnel Plan We plan to have 3 cashiers and 7 waiters per location while they will be working
on shift such that there will be 1 cashier plus 3 waiters working during peak periods (breakfast,
lunch and dinner hour) and 2 waiters for non-peak hours. Each worker will work for 36 hours per
week, which is considered an acceptable working hours system by most workers, as labor unions
have suggested14. As such, workers are believed to perform better in their positions to bring
better services to our customers.

Financial plan
Initial investment
As we are planning to open the restaurant in sector F-7 gol market Islamabad so first we have to
buy or rent up a shop which can fulfill our requirements. Four-month advance rent and
rs1000000 will be given as security to the building owner as we are going for a rental shop.
Monthly rent of the shop will be almost rs450000 per month. We will pay rs2000000 to interior
decorator and for furniture (table’s chairs etc.).

Kitchen accessories will be purchased in amount of rs500000. An inventory of rs100000 will be

purchased to run the business properly and smoothly. Behind every success full business there is
a good marketing strategy so we are allocating RS 3000000 on marketing. We will market our
restaurant by calling good food vloggers famous actors and actresses it will make a good impact
over a large number of our targeted audience.

So, the total investment will be around RS 8850000.

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Fixed Expenses
We will hire almost 4 waiters,1 restaurant manager, 1 cashier, 2 chiefs, 2 helpers, 2 dressers, 1
sweeper, 1 guard, 1 inventory manager, and 1 accountant. So, the total count of our staff will 16.

Salaries are as follow

Restaurant manager RS 40000

Cashier RS 35000

Chief RS 30000

Helper RS 15000

Dresser RS 17000

Sweeper RS 12000

Guard RS 21000

Inventory manager RS 30000

Accountant RS 17000

TOTAL Salaries RS 217000

Rent RS 450000

TOTAL FIXED EXPENSES RS 667000

VARIABLE Expenses

Electricity bill RS 25000 - 70000

Gas bill RS 40000 – 80000

Internet bill RS 6000

Phone bill RS 500 – 1000

Monthly purchases RS 700000 – 1200000

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Expected Sales
The restaurant management is expecting a sale of RS 70000 to 150000 on daily basis and around
1800000 To 220000 monthly sales due to much healthier food offerings then the competitors.
And management is looking towards much larger no after one year.

Expected Profit
The expected profit of the restaurant will be around 270000 to 400000 per month in year one and
after some time it will increase with more speed and it will gather a huge part in food industry
market capital.

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