A study of business plan for developing mali - synthetic leather product brand

Abstract

The objectives of this study were to (1) to investigate the possibility of MALI - synthetic leather product brand penetration and the potential to grow in the market (2) to investigate the behavior of consumer toward the use of bags to be able to design the suitable products and (3) to get the general overview of the consumer perception towards the product features, value and build the brand around it. From to 400 female respondents, 93.2% of the respondents were interested in purchasing Microfiber leather bag. The top two most prefer types of bags were the cross-body bag and handbag with shoulder stripes. To match with the desire price range, the product prices started from 1,000 to 3,000 Baht depending on the design of the bags. As the respondents prefer to purchase a bag from both online and offline channels, the brand focused on providing our product mainly via online channels as it allowed to interact and respond with the customer immediately and build a strong relationship with them. For offline presence, the brand will have a pop-up booth at the special selling events as another channel so that the customers were able to see and touch real products. We conclude that the growth of the brand was expected to be 20% each year since Thai bags market growth rate was 10% with the investment in marketing at 30% of total revenue each year. The forecast selling of the product taking 0.3% of the market share with the IRR rate of 69%, the payback period was 4.2 years. As a result, investment in this business wass tempting.