Business Plan Report: Nisa E-commerce Platform Post Covid-19 Analysis

This report provides a comprehensive business plan for Nisa's e-commerce platform, focusing on its strategic adaptation in the post-COVID-19 retail landscape. The report includes an executive summary, industry analysis of the UK supermarket sector, and an examination of Nisa's operations, management team, and marketing strategies. It also details the financial plan, including revenue forecasting, financing sources, and uses of funds. The analysis highlights Nisa's strengths, weaknesses, opportunities, and threats (SWOT), along with competitive forces and the impact of the pandemic on its e-commerce strategy. The report emphasizes Nisa's focus on technology, online platforms, and customer service to maintain a competitive advantage. It projects a positive financial outlook for the company over the next five years, driven by the increasing trend of online shopping.

Business plan

Table of Contents
INTRODUCTION..........................................................................................................................3
1.Executive Summary.................................................................................................................3
2.Industry Analysis of Nisa e-commerce platform post Covid-19.............................................4
3.Operations and Management team Plan .................................................................................5
4.Marketing Plan.........................................................................................................................5
5.Financial plan...........................................................................................................................6
Projected Balance Sheet..................................................................................................................8
CONCLUSION...............................................................................................................................8
REFERENCES...............................................................................................................................9
Books and journals......................................................................................................................9
Online..........................................................................................................................................9

INTRODUCTION
Business Plan refers to the written document which shares the detail information about the start
of business or launch of new product and service by defining its objective and how the plan will
move about attaining its goals. In simple language, this business plan is the written and
determined roadmap for the company's operations, financial and marketing viewpoint.
Nisa is the one of the substantial supermarket chain in UK and have the great share in the retail
groceries market.
This report defines the complete business plan of the change in the services due to Covid-19
pandemic. Nisa retail has increased the use of technology for the ease of their business
operations, involving the health and safety of everyone.
1.Executive Summary
Nisa retail being one of the largest supermarket chain was also affected because of the global
pandemic Corona Virus as per the need of an hour, company decided to focus more on the
technology aspect and improving its services such using more of technologies as the users of app
were also increased and which lead to increase in the facility of home deliveries. For the
management digital technology, cloud, analytics, robotics, improvement on the internet speed
(for faster operations) which facilitate the business of Nisa.
History
Nisa Retail limited was founded by Peter Garvin and Dudley B Ramsden in 1977 (Nisa Story,
2020). Company offered groceries products at wholesale and retail affordable price and this was
the major reason behind its business to flourish Scunthrope and have headquarters in
Lincolnshire, UK, England. Garvin meeting with the Ramsden made the idea came into
existence and formation of the company took many years. Founders in 1984 first opened their
first distribution depot after its success after few years they expanded their business into
different countries and cities and there was no looking back.
Mission
Nisa's mission is to work regularly on enhancing the experience of standard shopping to
customers at just prices for quality products and exceeding their expectations by making their
life easier and to provide the products at wholesale price to the retailers, it focuses on increasing
both retailers and customers.
The various technologies such digital marketing, cloud, robotics etc. are incorporated post
corona virus in order to make the operations of the company easier and facilitate the needs of
customers.
Target Market
The companies target market includes everyone who uses the smartphones and digital platforms
(youngsters) but it offers the products which are essential and is required for all age groups.
Competitors
It faces the huge competition from the other supermarket brand such as Tesco, Morrisons, M&S,
Asda etc. To tackle this competition from these brands company constantly keep on launching
different food products to cater the market and facilitate more flexible and easier services in
order to retain customers.
Advantage

Nisa has the USP that it offers the broad portfolio of products and services around the several
segments from clothing to financial services and its services focuses considering all the class
groups of UK and that provides the company competitive advantage over its rivals.
2.Industry Analysis of Nisa e-commerce platform post Covid-19
Nisa has adapted itself towards the new trends in shopping by its customers during and
post Covid 19 era. It has achieved a sales figure around 7 million by adopting such technological
innovations in their supply chain system. This part of the report states the analysis of industry in
which Nisa operates. As Nisa operates in a highly competitive supermarket industry of UK, the
pandemic has forced each and every company of this industry to incorporate some innovative
steps towards the provision of their products and services. Nisa has also taken a step ahead to
fight with the typical time of this pandemic (Isabelle and et.al., 2020). Nisa has been benefited a
lot through providing and reaching its customers through online platform. Threat of new entrants: A highly competitive retail industry of UK has a lot of
profitable opportunities for new entrants to explore and exploit the same. Nisa in order
to manage and safeguards its position has come up with an idea of online platform for its
various products and services. Thus, in a dynamic industry like retail where a popular
giants like Nisa and its competitors are enjoying established position usually discourages
new entrants due to the absence of extraordinary profits.
 Bargaining power of suppliers: By developing a large base of suppliers, Nisa can reduce
the bargaining power of their suppliers. This can also be helpful for Nisa in increasing its
profitability by negotiating better terms with their suppliers. Even post Covid if they
continue to offer their products through its online platform they can do so with greater
profitability if they have dedicated base of suppliers (Sanchez-Torres and Juarez-Acosta,
2019).
 Bargaining power of Buyers: Due to the increased demand of safety and security during
pandemic times along with smaller base of customers, Nisa has a powerful customer base
demanding best alternatives in offering and delivering at a minimum prices. But during
Covid 19, Nisa has developed its large base of customers by making its products
available on its online platforms, this has decrease the bargaining power of its customers
along with less switching of its customers for competitive firms.
 Threats of substitutes: Threat of substitutes is quite higher for Nisa as it operates in a
highly competitive supermarket industry of UK. It has wide base of its competitors to
whom its customers can easily switched to. But it has understood its customers needs
soon by becoming service oriented through initiating its platform for online shopping
((Isabelle and et.al., 2020)). Through this it has reduces the threats of its substitutes both
during and post Covid era.
 Competitive rivalry: Nisa is operating in a very competitive industry which reduces the
opportunities of charging higher prices and profitability for a very long period. So the
differentiating offers and innovative delivery systems must be in place to cope up with
competition both during and post pandemic era (Mlelwa and Yonah, 2017). As the
pandemic itself has provided retailers with various opportunities for increasing its
profitability and customer base, Nisa online platforms would be a good steps towards its
long term sustainability.

SUMMARY of industry analysis
Competitive forces Threat to industry
profitability
Low
Threat to industry
profitability
Medium
Threat to industry
profitability
High
Threat of substitutes Medium
Threat of new entrants Low
Rivalry among existing firms High
Bargaining power of suppliers High
Bargaining power of buyers High
The present industry that retail industry of UK is quite unattractive for encouraging new entrants
and generating extraordinary profits for longer term.
3.Operations and Management team Plan
Locations and facilities: Due to the pandemic now consumers are less interested in visiting
departmental stores and convenient stores, so Nisa has decided to provide online facilities by
providing e-commerce platform for online shopping (Hayman, 2018).
Technology: Technology required by Nisa for going online are- website development, digital
marketing tools, payment mechanism, that is “Maro Money” for making payment.
Equipment and tools: CRM software, email marketing platforms, digital payment systems and
various other tools for managing operations, finances and logistics.
Nisa retail is co-operative company which is an autonomous association of persons that
come together voluntarily and is democratically owned by its members to fulfil their social,
cultural and economic aspiration and needs.
Nisa possesses the great talented experts who help the company in making the business plans
and in taking the such strategic decisions by considering all the factors, that give company
completive edge over its competitors and contributing in its growth(Schermerhorn, Bachrach
and Wright, 2020). Company has the complete management team which helps in smooth
functioning, satisfying the customers and works for accomplishing business goals. With the help
of Nisa experts managers, company made such strategies and plans of grabbing the opportunity
of defining its e-commerce platform which provides the ease and increase its online customer
base at such serious situation of pandemic.
4.Marketing Plan
Aim –
To increase the sales by 10%.

Objectives –
To increase the online customer base.
To build such features which increases the security of its online platforms its own website and
app, other social media platform (Chernev, 2020).
To maximize the profits' ad gain competitive advantage.
Situational Analysis(Swot)
Strength
Have great human resources believes in hiring
right and professional talents.
Low cost of overheads.
Growth of digital businesses.
Weakness
Less funding.
Opportunity
Technological Advancement will to more
growth in business.
Availability of many funding options.
Threats
Many competitors.
Marketing Strategy -
Product – It offers the wide variety of product catalogue in order to accomplish or try fulfilling
almost every need of the market and customers. Nisa offers products from food to clothing to
home products to financial services and many more. It has updated its services and now the
company has decided to offer almost all its products online through its website and apps. It uses
various technologies to improve and redesign its website.
Place – Place includes the features of location and it has the systematic process where through
which it receives and process the orders. The softwares and the talented managers ensures that
there is availability of all the products at its nearby stores and warehouses so that the delivery
person can easily collect the products and provide the fastest deliveries to its customers
(Hollensen, 2019).
Price – Nisa retail tries to provide all it products at just and lowest possible price so that it can
increase its customers base. To increase its customer base for its e-commerce business, company
has given advantage of free home deliveries. It always comes up with such features such low
cost and diverse pricing strategy in order to attract customers.
Promotion – Company promotes its products through the help of its innovative marketing
strategies that it formulated that by its talented experts. These days it completely relies on the
digital marketing but also uses the traditional market to some extent in order to make everyone
aware of their new services that are more facilitates the customer needs with more ease. To
attract the young generation who spends so much time on the social media platform like
Facebook, Twitter, Instagram etc. to attract that target group it uses various strategies such as
content marketing, freebies, vouchers, discount coupons to make and maximise its online
customer base (Weedon, Nuland and Stamos, 2017).
5.Financial plan
Revenue forecasting of Nisa from e-commerce platform for the upcoming five years
Particulars Year 1 (in Year 2 (in Year 3 (in Year 4 (in Year 5 (in

millions) millions) millions) millions) millions)
Revenue from
operation
7.5 8 8.25 8.5 9
Cost of revenue 5.3 5.7 5.9 6 6.3
Gross profit 2.2 2.3 2.35 2.5 2.7
The above table indicates the five year projected revenue of Nisa through its online platform.
The management has decided to continue for this online selling even post pandemic. Also, the
projected figures are developed on the basis of past and present performance of the company
(VIJITMETHAVANICH, 2017). The figures depicted above ensures that the company has a
sustainable growth in the years to come. The company has been expected that its bottom line
profit would be going to improve in the upcoming years even after pandemic as the online
shopping is in a trend nowadays and will be expected to remain as it is (Jo, 2017).
Financing
Sources of funds: The present business will require an additional investment of 5 million for
which the available sources are issue of new equity shares in the market, own capital up to 1.5
million and retained earnings of around 2.5 millions will be utilised.
Uses of funds: The money so collected from various sources stated above would be utilised for
the following additional expenses for going online:
 Development of website for online platform (Towbin and et. al., 2018)
 obtaining permission and payment of license fee
 shipping charges
 costs associated with refunding and returning of goods
 digital marketing expenses
 hiring delivery man and charges associated with them
 Costs incurred for protecting customers from frauds and criminals, that is cybersecurity
(Ďurišová, Kucharčíková and Tokarčíková, 2019).
Statements
Projected profit and loss (in millions)
Particulars Year 1 Year 2 Year 3 Year 4 Year 5
Revenue from operations 7.5 8 8.25 8.5 9
Direct costs 5.3 5.7 5.9 6 6.3
Gross margin 2.2 2.3 2.35 2.5 2.7
Operating expenses
salary 0.9 0.8 0.9 0.95 1.0

employee related expenses 0.1 0.1 0.1 0.1 0.1
Operating income 1.2 1.4 1.35 1.45 1.6
Interest incurred 0.5 0.5 0.5 0.5 0.5
Net profit before tax 0.7 0.9 0.85 0.95 1.1
Income taxes (50%) 0.35 0.45 0.43 0.48 0.55
Profit after tax 0.35 0.45 0.43 0.48 0.55
Projected Balance Sheet
Particulars Year 1 Year 2 Year 3 Year 4 Year 5
Cash 3.5 3.25 3.75 3 2.5
Inventory 4 4.5 4.25 2.5 3
Total current assets 7.5 7.75 8 5.5 5.5
Long term assets 5.1 5.2 5.3 5 5.3
Total assets 12.6 12.95 13.3 10.5 10.8
Accounts payable 1.5 1.6 1.9 1.0 1.2
Short term debt 2.1 2.2 2.3 2.3 2.4
Total current liabilities 3.6 3.8 4.2 3.3 3.6
Long term debt 2.2 2.2 2.2 2.2 2.2
Total liabilities 5.8 6 6.4 5.5 5.8
Equity capital 5 5 5 5 5
Retained earnings 1.8 1.95 1.9 0 0
CONCLUSION
The above report has been concluded by saying that in a time both during and post
pandemic the idea of e-commerce business by Nisa is a viable one as it is generating profits over

and above the existing level. The above report is all about a blueprint for Nisa in going online
for selling its departmental stores products. As customers are demanding each and every
necessities online rather than going to shops for buying their daily requirements, so Nisa should
go for this strategy which would be relevant even after pandemic.

REFERENCES
Books and journals
Chernev, A., 2020. The marketing plan handbook. Cerebellum Press.
Ďurišová, M., Kucharčíková, A. and Tokarčíková, E., 2019. TOPICAL TRENDS WITHIN THE
DEVELOPMENT OF FINANCIAL PLANNING IN AN ENTERPRISE. New Trends
in Sustainable Business and Consumption, p.76.
Hayman, S., 2018. Is It Worth Having a Financial Plan?. Wealth of Wisdom: The Top 50
Questions Wealthy Families Ask, pp.47-54.
Hollensen, S., 2019. Marketing management: A relationship approach. Pearson Education.
Isabelle, D., and et.al., 2020. Is Porter's Five Forces Framework Still Relevant? A study of the
capital/labour intensity continuum via mining and IT industries. Technology Innovation
Management Review, 10(6).
Jo, O. H., 2017. STRATEGIC FINANCIAL PLANNING OF COMPANIES ACTIVITIES IN
THE CONDITIONS OF ECONOMY BASED ON KNOWLEDGE. SUSTAINABLE
DEVELOPMENT OF ECONOMY, p.44.
Mlelwa, K. L. and Yonah, Z. O., 2017. Requirement’s for Proposed Frameworks for Secure
Ecommerce Transactions. Communications on Applied Electronics, 6(9), pp.1-15.
Sanchez-Torres, J. A. and Juarez-Acosta, F., 2019. Modelling SME e-commerce with
IMAES. Journal of Business & Industrial Marketing.
Schermerhorn Jr, J.R., Bachrach, D.G. and Wright, B., 2020. Management. John Wiley & Sons.
Towbin, A. J., and et. al., 2018. Building and implementing an operational
plan. Radiographics, 38(6), pp.1694-1704.
VIJITMETHAVANICH, M.S., 2017. MARKETING STRATEGY, SALE STRATEGY AND
FINANCIAL PLAN (Doctoral dissertation, THAMMASAT UNIVERSITY).
Weedon, J., Nuland, W. and Stamos, A., 2017. Information operations and Facebook. Retrieved
from Facebook: https://fbnewsroomus. files. wordpress. com/2017/04/facebook-and-
information-operations-v1. Pdf.
Online
Nisa Story, 2020[Online]. Available through: <https://www.nisalocally.co.uk/the-nisa-story/>