Market Research and Financial Projections for Porttle, a Portable Water Bottle

The assignment content presents a questionnaire and financial projections for a bottle that can keep water warm or cool for long duration. The questionnaire reveals that the target market is people in middle income group, aged 20-60 years, including long distance travelers, skiers, campers, and mountain climbers. Financial projections show a significant increase in sales revenue over three years, with a net profit of £2298996 in Year 3. Additionally, an STP (Segmentation, Targeting, Positioning) model is presented to demonstrate how Porttle will compete in the marketplace.

Creative
entrepreneurship
1

EXECUTIVE SUMMARY
In the present scenario, entrepreneurs are required to be highly creative in order to make a
new business venture successful in marketplace. Further before introducing any new product or
service, businesses are required to carry out in depth market research in order to understand need
and demand of people. It has been analysed that the people in UK are not able to find a suitable
products which can help them to statist their need of carrying warm or cool water with
themselves. The existing products such as Thermal Flask and plastic bottle are not able to keep
the temperature stable for very long time period. Based on this analysis, a unique and creative
bottle with the name of Porttle will be introduced in market. This bottle will feature effective
warming and cooling technology that will be able to satisfy need of people at its best. The
marketing will be carried out on social media and with the help of advertisements. The target
market for this product will include skiers, mountaineers and travellers. During the initial stage
test marketing will be carried out before introducing the bottle in market. Some of the factors
which will help in making the bottle successful includes its technology and effective marketing.
It can be recommended that if the product become a success then it can be lunched to some other
potential markets also.
2

TABLE OF CONTENTS
Introduction .....................................................................................................................................5
Main body .......................................................................................................................................5
ASSESS...........................................................................................................................................5
(1) Market Research ....................................................................................................................5
1.1 Int...........................................................................................................................................6
1.2 Primary research ...................................................................................................................7
1.3 Secondary research .............................................................................................................10
2 Models and Theories...............................................................................................................11
2.1 Pestle analysis .....................................................................................................................11
2.2 Porter five force analysis ....................................................................................................11
IMPROVE......................................................................................................................................12
Company description.................................................................................................................12
Key Success factors.......................................................................................................................14
Marketing and sales ..................................................................................................................14
Funding request .........................................................................................................................15
Financial projection...................................................................................................................16
future recommendation..................................................................................................................18
Reflective.......................................................................................................................................19
Conclusion.....................................................................................................................................20
References ....................................................................................................................................21
3

Index of Tables
Table 1: Sales estimation and accessories sales...............................................................................9
Table 2: Break-even ........................................................................................................................9
4

INTRODUCTION
This report demonstrates assessment of business plan which has been developed to
launch a new product in UK market. The product is a Bottle which will keep the water warm or
cool for long period of time. The first issues which has been observed is that people in UK are
not able to find out a particular product in market which can meet their needs of carrying hot or
cold water with themselves for long duration. The existing products which are available in
market such as thermal flask and packaged water bottle are not able to keep water on stable
temperature for more time. This makes it very difficult for people such as skiers, mountaineers
and travelers to satisfy their thirst of water. One of the major issues which have been identified in
this project is that there was no specific data which was present to determine the need and
demand of such kind of bottle in market. Approach such as primary and secondary data analysis
has been used to identify the market demand. Along with this, the report also reflects the areas
on which the business plan can be improved. At last a reflective statement has been provided in
which highlights how this business plan has helped in personal and professional development.
MAIN BODY
ASSESS
In order to produce this presentation, I have gone through in depth market analysis.
Further before presenting the business plan, information about the competitors and customers in
market was very important. One of the major obstacles which were faced during the
development of the presentation was that people in UK are not able to find out a particular
product which can meet the demand of carrying warm or cool water along with themselves.
Primary research has been carried out to get some specific need and reliable data for the bottle.
The sample size was 100 and research on more people across UK. After carrying out the primary
and secondary research it has been found that there is a great demand of bottle which can keep
water warm or cool for long time period.
(1) Market Research
Porttle
5

1.1 Int
The number of people which spend more than two hours of travelling from one place to
another for doing work has increased around 72%. On the other side of this, the number of
commuters travellers has increased from 500000 to 8800000 in last 10 years (Millions of people
spend two or more hours commuting a day, 2015). Areas such as south east, south west and
Wales has witnessed biggest increase in long commutes. On the other hand, the number of
travellers in caravans in England has been increased to 28% since the year 2006. 20123 Gypsy
caravans where witnessed in the year 2015 which was 604 more than what it was in January
2014. On the other hand, in the year 2000/2001 there was total 921000 skiers in UK. Every year
there are 1.5 million British public which skies. The number of climbers is also increasing as
more than 360000 walkers climb the summit of snowdon every year. These all facts and figures
clearly explain the potential opportunities for growth and development.
Market analysis is termed as the process in which business carry out a market research to
identify its level of competition and strategies which has been adopted by market players (Scott,
2006). The new product, Porttle which is warming and cooling bottle will face some sort of
direct and indirect competition in the market. Porttle direct competition will be with Thermos
flask which is commonly used by people to carry warm or cool bottle with them. Further one of
the major advantage of using Thermos flask is that it keeps drink both hot and cold (Water Vital
Statistics: Industry Data, 2015). Other than this, there is no electricity required to keep the drink
cool or hot. On the other hand, there are some disadvantages of using Thermos flask. One of the
main among those is that it does not keep the temperature of the drink consistent. After some
time, the premature of cold drink starts increasing or hot drink starts declining. In addition to
this, Thermos flask is also not durable in long run as its vacuum stops function after few years.
The flask is also heavy to carry and can retain heat only up to 4 hours which means it is not
suitable for long journeys (Bottled Water in the United Kingdom, 2015).
On the other side of this, Porttle will be facing indirect competition form kettle, baby
bottle warmer and packaged drinks. After carrying out the market analysis, it can be stated that
there are adequate opportunities for growth and development in front of Porttle. Its lightweight
and attractive sporty design will give a tough competition to Thermos flask. In addition to this,
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Porttle will also give intense competition to all its indirect competitors with the help of its
features such as safety, low boiling time and cooling time.
1.2 Primary research
From the primary data which has been collected from 100 people it has been found that there is
huge demand of bottles which can store hot or cold drink and water for long period of time up to
8 hours. The information collected randomly form people which fall in the age group of 20-55.
The respondents belong to middle class and prefer saving their money. Further it can be
evaluated that these people are already using Thermos flask and other alternatives such as
packaged bottles to satisfy their need of water and other drinks during travelling or doing any
kind of sports activity. The respondents stated that they are not satisfied by the products which
are presently available in the market as the water or drink does not stay cold or warm for long
period of time. Therefore, it can be stated that there are enormous opportunities for the Porttle in
terms of growth and development.
7
Thermal flask Packaged bottles Other than this
0
10
20
30
40
50
60
1. What are the products available in market to carry
water with you
Series1

8
2. Do you find difficulty in caring warm or cool water
along with yourself
Yes
No
3. Present products available in the market to carry water
are able to satisfy your needs
Strongly agree
Agree
Neutral
Disagree
Strongly disagree

9
Yes No
0
10
20
30
40
50
60
70
80
90
100
Do you think that the market requires a bottle which can
keep water warm or cool for long duration
Series1
What features do you want in a bottle
Portable and lightweight
Sporty design
Effective cooling and
warming technology
All of the above

EVIDENCE: APPENDIX: Questionnaire and Result
1.3 Secondary research
As per the view of Parag and Roberts, (2009) products such as bottles are increasing day
by day to carry water or other drinks. Now a day’s people are not able to find out a bottle which
can meet their need and demand for carrying the water warm or cool for long time period.
Masood and KeshavaMurthy, (2005) has explained that there are various products such as
thermal flask and packed bottles available in the market but they are not able to keep the water or
drink warm or cool for long time period. Further people such as travellers, mountaineer or skiers
need to carry water with them. They do not have time to fill the water at regular intervals. They
requires a bottle which can in which at least for 10 hours water can remain on the same
temperature as it was filled. In packed bottles temperature of water starts increasing in one or
two hours. Further it also creates harm to environment because the material used to manufacture
bottles is plastic. However Wilk, (2006) argued that people can even pay £15 to £20 for a bottle
10
6. What prices can you pay to buy a bottle which can keep
water warm or cool for long period
Below £15
Between £15 to £20
Above £20

which can meet and satisfy their needs. This means that the organizations have enormous
opportunities for growths if they can come up with such kind of bottle which can keep the
temperature of water same for long time period. According to Bartlett, (2005) people also want
that the bottle which they carry should have very lightweight. It became very difficult especially
for mountaineers and skiers to carry a heavy weight bottle. With the use of technology,
businesses can easily create such kind of products and earn higher profits as they won’t face any
kind of intense competition.
2 Models and Theories
2.1 Pestle analysis Political factors- Changing tax rates and changing acts of legislation will be the major
political factors that will affect the operations and activities of Porttle. Economic factors- The country is growing slowly with a good rate of 2.9% in the year
2014. The economic conditions in UK are also stable which means that there are
adequate opportunities for growth and development for Porttle. Social factors- It can be also stated that the taste and preference of people in market as a
direct impact on sales and profitability of business enterprise. The increase in number of
travellers means that there will be a great requirement of products such as Porttle. This
will help people to carry warm or cool drink or water along at the time of travelling.
 Technological factors- The brand will be also affected by technological advancement in
the country. High rate of technological up gradations will be very beneficial for products
such as Porttle. Further online platform will be used to promote and sell the product to
people in the market.
2.2 Porter five force analysis Supplier power- Porttle is a unique product and therefore, its supplier will be very less.
The cost of switching form one particular supplier to another will be very high. Buyer power- The power of buyer will be less as there are very less number of the
alternative available. People in market are not able to find a product which can help them
to carry warm or cool water or drink. Further the products available in market such as
Thermos flask and packaged bottle are two options in market. These products are not able
to meet the demand at its best.
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 Competitive rivalry- The competitive power will be also less as the two main competitors
of Porttle are Thermos flask and packaged bottle. Products in market are not equally
attractive which means there is a great opportunity for Porttle. Threat of substitute- Threat of substitute will be very low for Porttle as it won’t be easy
for other companies to make a substitute of the bottle. This will be one of the major
strengths of Porttle as its substitution won’t be that easy. Threat of new entry-There will be a high threat of new entry as the investment required to
enter this market is very low. Therefore, Porttle will be required to put lots of efforts in
order to make its people in market loyal. Along with this, the design and technology
which will be used in Porttle will be patent. This will act as a biggest barriers for other
companies to copy the design and technology of the bottle.
IMPROVE
Company description
The company will be selling warm, cool and boiling bottle by the name of Porttle.
Further it will be light weight and portable bottle which means that it will be very easy to carry
the Bootle. The company will be offering very attractive and sport design in its bottle. The
technology for warming and cooling will be used for the customers without electricity. The
accessories which will be required to purchase with Porttle are detachable filter tube, spare slat
filament, car cable and pad lock. The target customers will be long distance travellers, skiers,
campers and mountain climbers. Further it can be stated that with the help of Porttle, the
company will be able to satisfy the need of carrying water or other drink of the above stated
peoples. On the other hand, it can be stated that EP 2601869A1, US 3804076 A has been
patented for baby bottle warmers. US 5233914 A has been patent for coffee makers which are
using car battery power. Till date, there has been no combination of both the above stated
technology in terms of bottles. Thus, Porttle will be also having advantage of being the first
mover in the entire industry. The brand will be also required to patent its technology so that no
other business can copy this idea and technology. This will also results in creating barriers in
entry for new market players.
Organization and management
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In terms of organization and management it can be stated that functional structure will be
followed by Porttle. In this structure all the departments will be groped in accordance with their
functions and purposes. There will be 5 partners and each will have 25% share. The brand will
be headed by CEO, and all the department will work under the CEO. The major department
includes administration and finance department, distribution department, R & D and quality
control and the last one marketing and sales department.
General partnership will be carried out in terms of management. Porttle will share its
ownership along with all profit and losses equally among all its partners. All partners will be
actively involved in the business and decision making process. One of the major advantages of
partnership is that taxes will be more simplified as the tax will not be applicable on income but
will be applicable on profit and loss. Further the responsibility will be shared among all the
partners.
It can be stated that there are some areas which needs to be improved in order to make the
product successful. As per the provided presentation, it has been observed that each and every
department is headed by their heads. This means that the employees working different
department will have no link with each other. Further if they have any kind of idea or
suggestions then, they will be required to first present the same to their heads. They will
communicate the same to CEO. It can be argued that such kind of system or process may create
dissatisfaction among all the employees. This area needs improvement which can be done by
adapting an open door policy where all the staff members will be left free to present their ideas
and views directly to CEO.
KEY SUCCESS FACTORS
Marketing and sales
Marketing and sales are termed as very important aspect of any organization. Further
with the help of effective and strong marketing, businesses are able to attract more and more
customer (Arroyo-Vázquez, van der Sijde and Jiménez-Sáez, 2010). This directly results in
increasing the sales and profitability of business enterprise. Marketing and sales will be an
important part of Porttle overall strategy. In order to promote the product, various kinds of tools
and techniques will be taken into consideration. 30% off will be provided to first 2000 online
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customers of Porttle which will make purchase through online website. Ads will be also
displayed on travel and sports magazines to attract sports persons and travellers which is one of
the main target market segments of Porttle. Promotion will be done on social media sites such as
Facebook, Twitter..etc... .Other than this, Porttle will be also promoted in sports events such as
Tour De France. Online price of Porttle will be £19.99 and for the suppliers the price charged
will be £15.99. The product will be made available on online portals such as Amazon, also in
Sports Direct and Boots. Some improvements are also required in the marketing and sales plan.
It can be argued that such kind of marketing and advertisement will be very costly at the initial
stage. Therefore, it will be more beneficial for Porttle to increase its promotion on social media
and decease its spending on advertisement of magazines and newspapers. Further improvement
is also required in pricing strategy as there should not be such kind of gap between the price
offered to suppliers and what is offered to customers.
Four P's of marketing
 Product- The product will be launched with the name of Porttle. It will be a light
weight bottle having attractive design. Its warming and cooling technology will keep
the liquid filled in it warm or cool for long durations.
 Price- During the initial stage, Porttle will be sold to suppliers on the price of £15.99
and its online prices will be £19.99. Thus, it will be sold at prices which are around
the price of thermos flask which will be its direct competitors. The price of flask in
UK varies from £17 to £20.
 Place- The management will make sure that Porttle is easily available to the people in
market. Further people can buy the bottle from online portals such as Amazon, in
Sportsdirect and Boots. It will be also sold in supermarkets and petroleum stations.
 Promotion- Both online and offline platform will be taken into consideration for
marketing and promoting the bottle. Promotion on social media sites such as
Facebook and Twitter will be carried out. Other than this, ads will be also displayed
in trucks and buses. In future sports events such as London games and Olympics will
be also taken into consideration for promoting the bottle.
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 People- Skilled and effective workforce will be hired to make the products successful.
There will be total 5 people which will be going to manage the work. In addition to
this, human resources will be also hired for various departments such as marketing,
sales, finance etc.
 Process- The deliver of bottle will be done with the help of departmental stores.
Further it will also made available on medical stores and via online. The entire
process of manufacturing and delivering the product will be well tailored so that the
entire cost of operations can be lower down.
 Physical evidence- The physical evidence of Porttle will be its unique and special
characteristics. The services and delivery system which will be provided by Porttle
will be also considered as its physical evidence. When people will think of a bottle
which can satisfy their need and demand of carrying hot or cool water along with
themselves
Funding request
To establish new business of Bottles there are various sources of finances available.
Further some of the common sources include bootstrapping, bank loans and venture capital. For
the present business enterprise, venture capital and bootstrapping will be taken into
consideration. Bootstrapping is the process of starting company with your own finances and
venture capital is the money which has been invested by other parties or individuals in a
particular business or projects. For the business of Porttle initially bootstrapping will be done
where each partner will bring £2000. After some time funds will be raised with the help of
venture capital. Further it can be also stated that concept of venture capital will be risk but will
provided the business with high and potential growth.
Financial projection
Sales estimation: (ski resort, visitors, long distance drivers…) 1.000.000 people.
If we target half 50% of 1.000.000 people = 500.000 people
1st year 10% of 500.000 = 50.000 a year = 4.166 bottles a month
2nd year 20% of 500.000= 100.000 a year =8.333 bottles a month
3rd year 35% of 500.000= 175.000 a year = 14.583 bottles a month
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Average monthly costs:
 Marketing services 500£
 Lawyer 300£
 Accountant 1500£
 Utility bills 70£
 Shipment of goods 0.28£ a bottle
 Insurance 300£
 Storage 550£ (2 garages /68£ pound a week)
 Others expenses 1000£
 Drivers 3000£
 Vehicles 833£
 Expenses of vehicles 640£
 Salaries 10000£
 Production : (0.6 £ filament + 2.95 £ a bottle) = total cost 3.55£ a bottle
Accessories costs: 3.1£
 Filter 0.7£
 Car cable 2£
 Padlock 0.4£
Sales estimation of accessories:
 1st year (1000) =84 a month
 2nd year (2000) = 167 a month
 3rd year (3000) = 250 a month
Accessories sales: total 8.5£
 Filter2.5£
 Car cable 4£
 Padlock 2
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Sales 60% of bottles a year online
Sales 40% of bottles a year by suppliers
Particular Year 1 (£) Year 2 (£) Year 3 (£)
Sales Revenue
Online@19.99 (60%) 599700 1199400 2098950
Supplier@15.99 (40%) 319800 639600 1119300
Accessories 8500 17000 25500
Total sales revenue 928000 1856000 3243750
APPENDIX: Cash flow projection and Profit & Loss Projections
Breakeven Point
Breakeven Point Amount (£)
Sales 77.326
Less: VC 18.968
Contribution 58.358
Fixed cost 119627
Breakeven point (Fixed cost/contribution) 2050 Units
After carrying out the review of offers, it can be stated that the products will meet the
demand of people in market very easily. It is analysed that there is a great demand of a bottle
which can keep the water warm or cool for long time period. Thus, the cooling and warming
technology which is present in bottle will meet the needs of people at its best. The light weight of
bottle and its design will be proved as an added advantage. There are some changes or
improvements which are required in the entire plan. The first improvement is in marketing plan
where the brand will need to increase the use of social media and online marketing. Other than
this, some improvement is also required in sources of finances as bank loans will be more
suitable as the brand will not be required to more amount in case if the sales increases. There will
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be fixed amount and rate of interest applicable which is more beneficial as compared to venture
capital. A proper carry bag can be provided to customers to carry the accessories of bottles.
FUTURE RECOMMENDATION
 It can be recommended that in the future, Porttle will need more research and
development in term of technology. Also it can raise funds with the help of bank loans.
Further it will be more convenient source as the brand will be required to pay interest and
instalments over fixed rates.
 It can be recommended that the brand can also launch new products if the bottle becomes
successful in the market.
 It can be recommended that the company should conduct customer survey at regular
intervals in order to understand the need and demand of people in the market. Along with
this, it is suggested that the company should make modification in its products and
services as per the changing market trend.
 It can be stated that the company should also starts offering its products to other markets.
This will help in enhancing sales, profitability and brand image of the company.
 It can be recommend that before entering the market, test marketing can be carried out to
understand the response of people at market place. This will help the bottle to make sure
that there is adequate need and demand of it in the marketplace. The concept of test
marketing will also support in getting aware about the fact that whether the bottle
requires any kind of changes or modification.
You could have been more critical and cautious about the product and identified ways
(models) to test it more. We have used a model for testing new products you could refer to it
or any other model.
REFLECTIVE
Personal development
This research has helped me in developing personal as well as professionally. In personal
aspect, it can be stated that it has helped me in how strongly believe in myself, have confidence
in my personal capacity and be competitive without fair of failure. Also, in improving my skills
related to business ideas, creativity and innovativeness. Other than this, this research has helped
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to evaluate my personal abilities and to discover my strengths and weaknesses to be a good
entrepreneur.
Professional development
On the other hand, it can be stated that this project has also helped me in professional
terms. While carrying out this report, I learned how to develop a vision and translate it into a
mission statement, test the feasibility of my product to determine viability of a business
opportunity and develop an effective business plan. I become aware about market research,
competitors analysis and about various kinds of marketing strategies which can be used to
promote and sell products and services. Along with this, it has also enhanced my knowledge in
the field of finance by making me attentive about various sources from where businesses can
raise their funds. This project has not restricted me to one particular field but has assisted me in
getting knowledgeable around different fields such as sales, marketing, management, operations
and finances.
Relational development
This business has assisted me to develop in every aspect as after carrying out this
research, how to closely be connected to innovation. I have been able to understand various
aspects of business. Further with the help of this project, I became aware of the importance of
decision making. This research has also helped me to understand the significance of market
research. At the time of developing new products and launching the same, businesses are
required to carry out in depth research regarding the need and demand of people in market.
Further products should be designed in such a manner that they can meet the needs at their best.
Thus, it can be stated that the entire business plan has developed me rationally and as made me
more competent.
CONCLUSION
From the above report it can be concluded that the number of travellers, skiers and
climbers in UK are increasing day by day. Therefore, Porttle which is a new bottle launched to
carry hot or cool water will be very successful. It can be also concluded that the brand will not
face any kind of intense competition in the market and will have direct competition with
Thermos flask. On the other hand, it can be evaluated that the bottle will be promoted on both the
platforms which is online and offline. In order to launch Porttle, partnership will be formed and
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there will be five partners who will have equal rights and duties. It can be concluded that, the
travellers and people in middle income group will be mainly targeted by Porttle.
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REFERENCES
Arroyo-Vázquez, M., van der Sijde, P. and Jiménez-Sáez, F., 2010. Innovative and creative
entrepreneurship support services at universities.Service Business. 4(1). pp.63-76.
Bartlett, S., 2005. Water, sanitation and urban children: The need to go beyond “improved”
provision. Children Youth and Environments. 15(1). pp.115-137.
Bottled Water in the United Kingdom. 2015. [Online]. Available through:
<http://www.euromonitor.com/bottled-water-in-the-united-kingdom/report>. [Accessed
on 30th December 2015].
De Miranda, P.C., Aranha, J.A.S. and Zardo, J., 2009. Creativity: people, environment and
culture, the key elements in its understanding and interpretation. Science and Public
Policy. 36(7). pp.523-535.
Masood, S.H. and KeshavaMurthy, V., 2005. Development of collapsible PET water fountain
bottles. Journal of materials processing technology. 162. pp.83-89.
Millions of people spend two or more hours commuting a day. 2015. [Online]. Available
through: <http://www.theguardian.com/money/2015/nov/09/million-people-two-hours-
commuting-tuc-study>. [Accessed on 2nd January 2016].
Parag, Y. and Roberts, J.T., 2009. A battle against the bottles: building, claiming, and regaining
tap-water trustworthiness. Society and Natural Resources. 22(7). pp.625-636.
Scott, A.J., 2006. Entrepreneurship, innovation and industrial development: geography and the
creative field revisited. Small business economics. 26(1). pp.1-24.
Water Vital Statistics: Industry Data. 2015. [Online]. Available through:
<http://www.britishbottledwater.org/vital-statistics.asp>. [Accessed on 30th December
2015].
Wilk, R., 2006. Bottled Water The pure commodity in the age of branding.journal of Consumer
Culture.6(3). pp.303-325.
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QUESTIONNAIRE
Name
Gender
 Male
 Female
Age
 Below 25
 25-35
 35-45
 45 above
1. What are the products available in market to carry water with you?
 Thermal flask
 Packaged bottles
 Other than this
2. Do you find difficulty in caring warm or cool water along with yourself?
 Yes
 No
3. Present products available in the market to carry water are able to satisfy your needs?
 Strongly agree
 Agree
 Neutral
 Disagree
 Strongly disagree
4. Do you think that the market requires a bottle which can keep water warm or cool for
long duration?
 Yes
 No
 If yes then why____________________________________
5. What features do you want in a bottle?
 Portable and lightweight
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 Sporty design
 Effective cooling and warming technology
 All of the above
6. What prices can you pay to buy a bottle which can keep water warm or cool for long
period?
 Below £15
 Between £15 to £20
 Above £20
7. Your suggestions on the improvement of existing products available in market
_____________________________________________________________________________
_____________________________________________________________________________
Thank You for your cooperation
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Primary research
1. What are the products
available in market to carry water
with you?
Number of
respondents Percentage
Thermal flask 55 55
Packaged bottles 30 30
Other than this 15 15
2. Do you find difficulty in caring warm or
cool water along with yourself? Number of respondents Percentage
Yes 80 80
No 20 20
3. Present products available in the market
to carry water are able to satisfy your
needs?
Number of
respondents Percentage
Strongly agree 10 10
Agree 15 15
Neutral 5 5
Disagree 20 20
Strongly disagree 50 50
4. Do you think that the market
requires a bottle which can keep water
warm or cool for long duration? Number of respondents Percentage
Yes 88 88
No 12 12
5. What features do you want in a bottle? Number of respondents Percentage
Portable and lightweight 20 20
Sporty design 10 10
Effective cooling and warming technology 10 10
All of the above 60 60
6. What prices can you pay to buy a
bottle which can keep water warm or
cool for long period? Number of respondents Percentage
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Below £15 12 12
Between £15 to £20 58 58
Above £20 30 30
There are many factors upon which the existing questionnaire can be criticized. This
questionnaire do not disclose the fact that why people have need for such a bottle which can
satisfy tier need for keeping water cool or warm for long time period. Other than this, the
questionnaire also not explains the demographic factors which can present the actual need and
demand of people in the market.
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Appendix
Financial Projections
Cash flow projections
Particulars
Pre-operating
year (£) Year 1 (£) Year 2 (£) Year 3 (£)
Cash inflow
Opening balance 10000 474605 1663401
Sales Revenue 0 928000 1856000 3243750
Owner's fund 10000 0 0 0
venture-capital investors 50000 0 0 0
Total cash inflow 60000 938000 2330605 4907151
Cash outflow
Infrastructure & Designing 20000 0 0 0
Assets 30000 0 0 0
Cost of goods 227616 250378 250378
Marketing service 0 6000 6000 6000
Lawyer 0 3600 3600 3600
Accountant 0 18000 18000 18000
Utility bills 0 840 840 840
Shipment of goods 0 14 14 14
Insurance 0 3600 3600 3600
Storage 0 6600 6600 6600
Others expenses 0 12000 12000 12000
Drivers 0 36000 36000 36000
Vehicles 0 9996 9996 9996
Expenses of vehicles 0 7680 7680 7680
Salaries 0 12000 12000 12000
Production 0 173 173 173
Production accessories 0 3125 3125 3125
Tax@20% 0 116151 297199 574749
Total cash outflow 50000 463395 667204 944754
Closing Balance 10000 474605 1663401 3962398
Profit & Loss Projections
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Particular Year 1 (£) Year 2 (£) Year 3 (£)
Sales Revenue
Online@19.99 599700 1199400 2098950
Supplier@15.99 319800 639600 1119300
Accessories 8500 17000 25500
Total sales revenue 928000 1856000 3243750
Less: Cost of goods sold 227616 250378 250378
Gross profit 700384 1605622 2993372
Marketing service 6000 6000 6000
Lawyer 3600 3600 3600
Accountant 18000 18000 18000
Utility bills 840 840 840
Shipment of goods 13.9978 13.9978 13.9978
Insurance 3600 3600 3600
Storage 6600 6600 6600
Others expenses 12000 12000 12000
Drivers 36000 36000 36000
Vehicles 9996 9996 9996
Expenses of vehicles 7680 7680 7680
Salaries 12000 12000 12000
Production 172.50 172.50 172.50
Production accessories 3124.80 3124.80 3124.80
Total operating expenses 119627 119627 119627
Profit before tax 580757 1485995 2873745
Tax@20% 116151 297199 574749
Net profit 464605 1188796 2298996
Profit between 5 partners
1 Partner 92921.07 237759.22 459799.22
2 Partner 92921.07 237759.22 459799.22
3 Partner 92921.07 237759.22 459799.22
4 Partner 92921.07 237759.22 459799.22
5 Partner 92921.07 237759.22 459799.22
STP Model
This model will demonstrate the link between overall market of Porttle and how the
bottle will be going to compete in marketplace. The model includes three main things which are
segmentation, targeting and position.
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 Segmentation- It is defined as the process in which the entire market is divided in small
groups of people which have same identical needs. Market segmentation for Porttle will
be the people in middle income group.
 Targeting - Porttle will target people which falls under the age group of 20 to 60 years.
Long distance travellers (Truck, bus and car drivers), skiers, campers, mountain climbers
will be the major targeted individuals.
 Positioning- The product will be positioned with its benefit which is satisfying the needs
to carrying warm or cool water or other drink. Porttle will be promoted stating that it will
keep the water warm or cool for long period of time as compared to the present
alternatives available in the market.
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