Loman Energizing Inc' Business Plan

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Loman Energizing Inc. Business Plan

• Eva Pearson Natalie Mies Skylar
  Van Blarcom

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I. Executive Summary
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1.1 Company Objectives

• Provide over 100 different types of energy drinks
  to consumers including diet energy and sports
  drinks as well as more natural ones.
• Advertise our energy drinks in newspapers,
  magazines, as well as popular online sights that
  reach teens and adults throughout the
  northwestern part of the United States.
• Through advertisement we hope to increase our
  sales of our energy drinks during the winter
  seasons by 25 our first year and introduce our
  new products to the consumers as we add them to
  our inventory. Our advertisements will sell our
  energy drinks as sporty, fun, and essential to a
  busy lifestyle.

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1.1 Company Objectives (Contd)

• Increase sales of our power and sports drinks by
  creating a specific use for different kinds (i.e.
  working out, staying up late, morning
  pick-me-up). We will also sell more healthy ones
  for those who wish for a more natural energizer.
• Start our own line of energy drinks a year and a
  half after opening.
• We will only sell energy drinks that have been
  tasted and approved by our company or products
  that have already found success in the market. We
  plan to find and sell new, innovative types of
  energy and sports drinks that are fun and tasty

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1.2 Company Description

• Loman Energizing Inc. is a company that will be
  fully run by Willy and Biff Loman. W. Loman will
  hold 75 ownership while B. Loman will hold 25
  ownership. B. Lowman will act as manager. W.
  Loman will hold control of most executive
  decisions and will also act as lead salesperson.
  W. Loman will also have the responsibility of
  finding new products to add to the stock of
  energy drinks. Because Loman Energizing Inc. is
  determined to be the best in their field with a
  wide variety in both widely available and the
  more rarer products all available at one place at
  a low price.

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1.3 Mission

• The mission of Loman Energizing Inc. is to sell
  our energy drinks to consumers who are looking
  for a non-expensive way to wake up and a change
  from the regular morning coffee. We plan to sell
  an energy drink right for every consumer and at a
  price reasonable for all-income customers.

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1.4 Keys to Success

• Loman Energizing Inc. keys to success
• We will be the first business to provide a wide
  array of energy and health drinks that are well
  known and unknown.
• Our business will be located a large city near
  corporate offices and schools but located in a
  spot where our specialty store will have minimal
  competition from other convenient stores.
• We will only sell ensured quality energy and
  sports drinks that come in a wide variety of
  flavors, sizes, and types. We will also sell
  figure friendly drinks for those on a diet.
• We are able to expand once our business is known
  to other parts of California and the United
  States.

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II. Market Analysis
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2.1 Market Segmentation Growth

• Energy drinks are starting to become a staple
  in the lives of hundreds of thousands of people.
  The average consumer of our product is usually a
  teenager or someone in their twenties. These
  people are looking for a pick me up that tastes
  good and lasts for more than a quick fix. The
  popularity of energy drinks in rapidly increasing
  and the demand is continuing to rise. The
  nutrition value of these drinks are important to
  a percentage of the consumers and we take this
  into consideration. We will offer diet
  versions of most of our products as well as have
  a wide variety of energy drinks that use natural
  ingredients.

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2.2 Industry Analysis

• Industry Participants
• Grocery Stores
• Convenience Stores
• Gas Stations
• Our Advantage
• We specialize in our product
• Wide variety
• Stock both popular and lesser known products
• Fun events?

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2.2 Industry Analysis

• Currently there are no stores in the area with
  that are the same as a Loman Energizing Inc.
  store. The product we are selling (energy
  drinks) is available at many grocery and
  convenience stores, but no stores specialize in
  our product such as we do. There is currently a
  niche for our product that isnt being properly
  filled. We plan to not only filly that niche,
  but we wish to expand it. We will stock a wide
  variety of energy drinks including ones that are
  popular as well as the lesser known products. An
  option of hosting events relative to our products
  is available as well. These events could bring
  more popularity to the store(s) and bring in more
  consumers.

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2.3 Pricing Strategy

• We will be outsourcing for our own line of
  energy drinks once we get our business up and
  running. If order to save time, money, and shop
  space, we will outsource the making of the drinks
  to a company who is specialized in doing that. We
  fell that if we make the drinks ourselves, we
  would have to pay for additional labor, items,
  and machine rentals. Outsourcing will allow the
  production of the drinks to take place without an
  excess of extra costs. Our prices will vary
  depending on how well the product sells. We will
  probably sell our product for around 2.00 for a
  regular sized can. It will take a while to get
  our initial costs back, though our current
  estimate is 1 to 2 years before a profit is made.
  We will remain competitive in this industry by
  selling a wide array of drinks and offer
  incentives to customers in the form of sales and
  prizes.

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III. Company Growth Plans
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3.1 Future Products Growth Plans

• Based on Loman Energizing Inc.s success, we are
  looking to eventually develop our own energy
  drinks. We will be researching the preferences of
  our customers and develop a line of energy drinks
  that will fit their taste and preferences.
• We also plan to develop other products such as
  mints and candies that energize and satisfy a
  sweet tooth at the same time. Variety is a
  priority to us because our customers should be
  able to walk into the store and find an energy
  drink that suits their specific wants and needs.

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IV. Organization Management
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4.1 Willy Loman

• Willy Loman Owner
• Willy is allowed many options as to what to do
  with his company. If he is so inclined, he can
  travel to search out and test different products.
  Some of his other options include staying at the
  store and taking control of the daily running of
  the store. Willy also has the option of
  remaining passive in his position and letting his
  management run the business.

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4.2 Biff Loman

• Biff Loman Store Manager Part Owner
• When Willy is not at the store, Biff is given
  authority of all immediate and relevant decisions
  as to how to run the store. All major decisions
  that are made must be approved by Willy. Biff is
  responsible human resources, production
  management, and day to day store operations.

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4.3 Happy Loman

• Happy Loman Bookkeeper Accountant
• Happy is in charge of all of Loman Energy
  Inc.s finances. He is responsible for payroll,
  revenue, profit, shipping payment, and any other
  financial situations.

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4.4 Employees Standards

• We need good employees who know the energy drinks
  and the customers. As an incentive to these
  employees, we will give a grand prize to the
  employee of the month to reward them for their
  work for the month. We will also provide our
  full-time employees with benefits as another
  incentive for them to work for us, do a good job,
  and feel comfortable with their job.
• Its important to our business that we run it
  with the employees in mindtheir safety is their
  happiness. We have paid close attention to and
  are working with the standards that OSHA has set
  for a safe workplace. We also follow the
  guidelines set by the EEOC for equal job
  opportunity. As much as we protect our employees,
  we also are proud to say that we have the best
  interest of our customers in mind as well. We
  follow all guidelines set by the FDA and CPSC.
  While following these guidelines may cause us
  extra expenses, we feel that it will pay off in
  the long run.

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V. Marketing Sales
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5.10 Target Group

• Energy drinks are a fairly new product that are
  practically becoming a daily necessity for teens
  and young adults. Both of these age groups are
  continually on the go and in need of an extra
  supply of energy in their sleep deprived lives.
  We plan on providing them with that extra supply
  of energy.

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5.11 Marketing Strategy

• Energy drinks arent a competitive field.
  There are a hundreds, possibly even thousands, of
  different kinds of energy drinks. None of these
  products are particularly well advertised. We
  plan on being competitive in our field and
  advertising our products to be sporty, fun,
  energizing, affordable, and essential to a busy
  lifestyle. We plan on putting a lot of energy
  into marketing and are confident that it will
  increase our sales and customer satisfaction.

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5.2 Advertising

• Projected Annual Advertising Rates
• Online 500
• Newspaper 2,500
• Buttons 200
• Stickers 500
• Movie Theaters 3,900
• Total 7600

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5.3 Lo-man Energy

• After turning a profit and developing our own
  line of energy drinks, we will promotionally
  offer them in other stores such as grocery stores
  and convenience stores for a limited time of
  6mo.-1yr. After the promotional period we will
  no longer sell our drinks to these stores and be
  the sole provider of our drinks.

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5.4 Products We Sell
Including, but not Limited to

• Bawls
• Jolt
• Buzzwater
• Red Bull
• Monster
• Rockstar
• Full Throttle
• Diablo
• MDX
• SoBe Adrenaline
• Hype
• Kabbalah
• Happy Bunny Spaz Drinks
• Whos Your Daddy
• Red Dragon
• Vamp
• Venom
• Wired

• Battery
• NOS
• BooKoo
• Amp
• Pink
• Tab
• Kronik
• Socko
• Hype
• Rip It
• XS
• Red Stallion
• Freedom
• Xcyto
• Shark
• US
• Base
• Cocaine (Note not the drug)