Business Plan for Loco Bakers: Overview, Market Analysis, Marketing and Sales Plan

This business plan covers the overview, market analysis, and marketing and sales plan for Loco Bakers, a bakery business in the UK. It includes details on the products and services offered, target audience, marketing strategies, and goals.

Business Plan

Contents
INTRODUCTION......................................................................................................................3
Main body..................................................................................................................................3
Business overview.................................................................................................................3
Market analysis....................................................................................................................4
Marketing and Sales plan....................................................................................................5
Conclusion..................................................................................................................................5
References..................................................................................................................................5

INTRODUCTION
The business plan is the plan that is in the form of a written document that gives the
details of why and how to start the business. As it defines the start-up that defines all the
ideas on how the company will do its job so effectively (Caiati, V., Rasouli, S. and
Timmermans, H., 2020). The business plan is primarily viewed as the company's written
roadmap from the areas of marketing, function and finance. The report covers on the business
plan of Loco Bakers which was as bakery business of cakes in UK. It covers business
overview, market analysis, marketing and sales plan.
Main body
Business overview
Business overview- The business plan comprises of several actions and planning for the
business setup. In the present time bakery is very famous which is started by several people
providing products according to customers choices, preferences and demand. The business
name is Loco Bakers.
Products and services- The Loco bakers will offer vegan cakes, pastries and vegan
confectionery products. It will also provide handmade cookies with several flavours such as
Chocolate Truffle Sandwich Kessler Cowboy, Walnut Chocolate Chip (Kock, A., and et.al.,
2020). It will provide high quality product and facilities to consumers so that they get more
influenced towards the brand.
Theory or model- To start the business porters five forces model will be used for analysing
the threats, availability of substitutes, bargaining power etc. This helps in understanding
competitive environment in the market. It involves five forces which are as under-
 Internal rivalry- The power will be high as there will lot of customers in the bakery
industry. The business has to compete with the competitors in terms of its price, quality,
differentiation and relationships with key suppliers. In the market there are lot of
competitors offering variety of services and at great location so that they can attract
more customers for revisit.
 Barriers to entry- The power will be low for barrier of entry as economies of scale is
beneficial. This helps the business to enter with the relatively small amount of capital in
context to Loco bakers. For the success of bakery two main determinant is leaders’
ability for acquiring sufficient distribution channels for covering operating cost and
ability of building brand recognition and loyalty.

 Bargaining power of buyer- The power is moderate as the customers for the bakery
products are supermarkets, grocery stores, hotel chains and convenience store which are
suitable for the industry profit. The buyers are command low prices and volume
discounts.
 Bargaining power of supplier- The power is low as supplier do not have negotiating
power in the bakery business because of well-developed market and commoditized
nature in selling. The Loco bakery can be affected with the change in prices of raw
inputs due the global supply and demand determinants (Sampath, S., and et.al.,2021).
 Threat of Substitutes- The power of substitutes is moderate as in the market their
several bakeries exit which offers substitutes products. The individual also has option of
making baked products at home such as of potatoes.
Market analysis
A market analysis refers to the term industry analysis which refers to an element of
the business plan that is used to authorize the profitable viability of the company. It has
been discussed that bakery is the business that provides baked, handmade cookies and cakes
to events and the positions to consumers. It can be traded as an individual or more than on
an individual basis.
The target audience is the subsequent stage to target the sections which are segmented
for distinguishing business opportunities. To start the business of bakery there is need of
taking particular size of business which helps in knowing is the business is worth pursuing.
In the context to Loco bakers, it will target to all age group and class of people for offering
its products in accordance to the taste, preferences, and purchasing power (Sarnataro, M.,
Barbati, M. and Greco, S., 2020). As the teenagers, children love more bakery products of
cakes, cookies, pastries etc which are purchased for several purposes and occasions.
The target people will be benefited as the Loco baker is providing quality product
with unique flavours, in the cakes, pastries and cookies, brownies. By focusing on the
product line of specific the perfect recipe and manufacturing can be made. The larger
number of people will enjoy their eat and will get numbers of varieties for consuming as the
bakery is providing fresh products that are prepared as very nutritious and tasty keeping in
heath in mind.
The mission statement of Loco bakery is to become great leader by offering quality
products with varieties. It wants to have team of talented individuals so that superior quality
product can be offered. The talented team of chefs will use the purist of ingredients and

cutting-edge techniques for creating product that is greater in quality. There are lot of
competitors for Loco baker which are existing business owners of large bakery with the
recognised brand. The competitors are such as Cake Plate, EI Paso bakery.
The Loco bakery is better with the competitors due to its innovation offering of
products with unique design, packaging which differentiates from other competitors. This
also provides great quality cakes with different flavours and also provide facility of making
customized cakes.
Marketing and Sales plan
The marketing is the activity of promoting products in market by taking use of several
techniques which is offered to final consumers. The sales are related to selling of products to
target customers for the given time period and cost incurring on delivering product is called
as sales. To make the brand known in market the business is required to develop marketing
and sales plan. ‘
The customers will learn about the business by taking use of online banners, advertising,
social media marketing on Facebook, Instagram. The Loco baker will provide free sample for
tasting products and it will give more personalized experience. The bakery can also take use
of several promotional techniques such as public speaking. The company is financed and
financed by family and friends or other financial institutions. Then the owner takes funds
from the banks and the shareholders are funded in the business. Hence, it will be so effective
in making the money in the business. The capital is need is 20.000 to 25.000 £ for setting up
the business and covering the start-up cost.
The customers will be encouraged for telling to others regarding the bakery and its
products by offering them facility of custiomized cakes, unique flavors with new design and
offering some discounts or offers on purchase. The bakery will also take feedback from
customers so that it can make modification and improvised product and services can be
offered.
The Loco bakery have short- and long-term plan for the promotions and offers of product
as the short term is to earn enough to cover day to day cost of business (van der Werff, N.,
2021). The Long term is to expand locally and eventually move internationally with a strong
brand name and position
The bakery will be operated with the physical stores with unique interior so as to attract
more customers and at the location of there where the crowd is more so that it can easily

attract more colleges, school’s students etc. With the help of e-commerce, it can operate its
business and providing facility of online ordering.
The three objectives or Goals of bakery are as follows-
 To establish a strong in the domestic market
 To have a huge brand in the next 2 years of the launch
 To cover day to day cost of business and earn enough profits in next 12 months to
pay off any debts and liabilities.
Conclusion
From the above report it was concluded that the business plan is the most important
document drawn up by the managers and the executive who are working on the creation of
the new company to collect and plan the actions, all in the source of the information that are
desired in the company. In this report above, there is an overview of Loco bakers where
funding is being topped up by some government support and some internal or external
business sources. Then the marketing plan is accompanied by actions such as market
alignment and product mix by the marketing directors in relation to promoting their products
and facilities.
References
Caiati, V., Rasouli, S. and Timmermans, H., 2020. Bundling, pricing schemes and extra
features preferences for mobility as a service: Sequential portfolio choice
experiment. Transportation Research Part A: Policy and Practice, 131, pp.123-148.
Kock, A., and et.al., 2020. Project portfolio management information systems’ positive
influence on performance–the importance of process maturity. International journal of
project management. 38(4). pp.229-241.
Sampath, S., and et.al.,2021. A generalized decision support framework for large‐scale
project portfolio decisions. Decision Sciences.
Sarnataro, M., Barbati, M. and Greco, S., 2020. A portfolio approach for the selection and the
timing of urban planning projects. Socio-Economic Planning Sciences, p.100908.
van der Werff, N., 2021. Enabling informed decision-making in strategic portfolio
management: A human centered approach to supportive tool design.