Course Project

Marketing Management II
On

Bawarchi Marketing Plan

Submitted to:

Prof. Ateeque Shaikh

Prof. Baljeet Singh Sani

Submitted by:

Group 7
MBA20062 Adwitiy Shukla
MBA20063 Ahire Ajinkya Suresh
MBA20074 Debopriyo roy
MBA20075 Deepshikha Dabas
MBA20095 Rajkumar Karne
MBA20111 Stetson
MBA20114 Varun Kurichh

Date of submission:
December 22, 2020
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 ACKNOWLEDGEMENT

I extend my heartfelt gratitude to our professors who allowed us to work on this project. It was
under their guidance we were able to complete the project. We are grateful to them for providing
us invaluable guidance, and suggestions throughout when needed. It was due to the group’s
constant due efforts that we were able to complete the project smoothly and on time. We
experienced a great learning experience throughout the process and want to extend our thanks to
Dr. Ateeque Shaikh and Dr. Baljeet Singh Sani for the same.

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 CONTENTS

S.No. Particulars Page No.

1. Executive Summary 4

2. Bawarchis 5

3. Environmental Analysis 5-7

4. STP Of Brand 7-8

5. Marketing mix elements 9-10

6. Servitization: Where service is the new product 11-12

7. Customer Relationship Management 13-15

8. Financials 16-17

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Executive Summary
Bawarchi’s is a home-cooking service providing restaurant-style food targeted towards the
upper-middle class and the elite strata of society, in metropolitan cities. It is started by two
renowned chefs from ITC 5-Star hotels and aims at providing a unique, comfortable, and
luxurious dining experience for the customers who can customize the meal plan according to
dietary preferences and enjoy a restaurant-like feel at their homes. The service involves an online
order from the customer after which the chefs, along with the support staff and required
equipment reach the desired location to prepare, serve, and later, offer clean-up services for the
customer. This is a fairly new concept in the industry and has few competitors. The two notable
names are Garniche and Take A Chef. They too do not enjoy complete market power.
the target audience would be on niche society of tier-1 cities and people seeking lush dining
experience for a special occasion, which can be anything from small dinners to significant
functions. Further segregation is done as per the customer in the 30s-60s age group, i.e., the
working class. We will target people with a minimum of Rs.1 lakh/month income who want
convenient yet luxurious service with an overall excellent experience and personalized care. It
will also include people who do not want to do any work and want somebody to take full
responsibility for the food and dining experience.
The chefs enjoy a wide network and experience, with COVID-19 acting as an accelerator for the
demand for at-home services and would be operating their business through the online medium
of website and app and would be relying on digital marketing primarily along with other
traditional methods. We have priced our service at 4000rs per person per meal and would be
focusing on the luxury experience for our service.

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BAWARCHIS
Two renowned chefs from ITC 5-star hotels have left their job and started a startup where they
provide quality restaurant style food with the idea in mind that they will cook at your residence
(catering service) providing a fine dining experience they may be hired on both contractual basis
for a specific no. of days. Target audience being weddings and related events and superstars/
special diet (personalized).

ENVIRONMENTAL ANALYSIS
PESTEL Analysis
The current political and legal environment is favorable to the development of the food industry.
With an attempt to boost the economy, the set-up of start-ups and entrepreneurial firms has been
made more convenient and smoother. A few licenses are required to enter this industry. The food
regulatory body, FSSAI mandates the issue of FSSA license that can be easily received via a
basic registration for firms with annual turnover of up to 12 lakhs, for those with an annual
turnover of more than 20 crores, a State FSSAI and in certain cases, Central FSSAI license is
required. Besides this, an Environmental Clearance license might be required and can be granted
by the State Pollution Boards. Since the business is primarily based on providing services, at the
residence of the customers, the legal requirements to be fulfilled are minimal.
The changing economic factors, despite the uncertain situation post the pandemic, are unlikely to
affect the targeted sector, that is primarily high-income and the upper-middle class with an
established standard of living and enough disposable income, and by extension, this business.
Similarly, there is negligible technological requirements that require immense R&D in this
service and an effective and efficient web/ online interaction with a simple and compelling UI,
along with the ease of online payments is the most crucial part. Competent software developers
could easily integrate such a system.
The social and environmental factors too are favorable to the development of this idea. Post the
pandemic, people are generally more hesitant to step out for food and would prefer to have
delicious food prepared by chefs from 5-Star restaurants at their home where they can not only
relax at their place but also ensure the hygiene of the place as well as the food. Keeping the
pandemic aside, the cultural and behavioral attitudes in the present scenario are also shifting
towards a more favorable approach to at-home, luxury dining experience that complements and
accommodates with the busy lifestyle of the millennials who would now prefer privacy,
convenience, and luxury at the same time.
Industry Analysis
Within the food industry, an at-home cooking and dining service is, at present, little explored and
considerably niche. Since no large firms with considerable market power exist and there are not
many legal and regulatory hassles, the threat of new entrants is considerably high. This threat is
further propelled by the low capital requirement and easy availability of goods and services to
enter this market. Restaurants and at- home delivery services are possible substitutes. However,

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customers would want this service for the entire experience and not just for the product, that is,
food. Hence, no true substitutes exist. The bargaining power of the chefs is high by a significant
margin as they have the option to work elsewhere and would not find it difficult to enter this
business. The customers have moderate bargaining power as they can find substitutes for the
service even when it is differentiated. There are very few competitors, none with extremely high
market power, and are discussed in detail later.
Company Background/ SWOT
Founded in 2020 by two renowned chefs from ITC 5-star hotels, they have left their job and
started a start-up where they provide quality restaurant style food with the idea in mind that they
will cook at your residence (catering service) providing a fine dining experience. They may be
hired on both contractual basis for a specific no. of days. Target audience being weddings and
related events and superstars/ special diet(personalized).
Current Marketing objectives and performance
As the company is new it has yet to reach its breakeven point. The main objective is to capture
customer value and thereby increase its market share.
As it is a start-up the performance of the company is measured by its growth potential. In terms
of growth potential, the company is performing well in terms of the no. of people it serves.

Strengths

 Past professional experience in culinary business

 Strong network of chefs

 Strong network of potential customers

Weakness

 Low social media presence

 Lack of advertising 

Opportunity

 COVID-19

 Changing attitudes and work culture

 Rising middle class

Threats

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  Substitutes as restaurants

 New entrants

Competitor Analysis

Take A Chef

 2012, Madrid, Spain

 100+ countries

 MEDIATORS

 Bengaluru, 2018, Delhi, Goa

 Recruiting 50 chefs daily

 40000+ private chefs

 USP

 Dietary suggestions, surprise me section

Garniche

 2018, India

 5000+ customers served

 90% repeat customer ratio

These two competitors have a large market share and repeat customers.

STP OF BRAND

Segmentation
The market for Bawarchi will be segmented, keeping in mind the thought and motive of the
company, which is to provide customers lavish, customized meals prepared at the comfort of
their home and convenience by 5-star chefs, will include-
1. Demographics- based on income level

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 2. Psychological- based on the lifestyle of people and the standard of living is
3. Psychological- based on what benefits customer sort from this kind of service
4. Occasional segmentation
5. Age and lifecycle-demo Demographics- on the base of what stage of age-lifecycle are
they operating at.
6. Geographical segmentation

Targeting
A specific group of the market is more profitable than targeting everyone. The product is in its
introductory stage and is focused on highly specialized and customized service,
The initial focus for geographic segmentation would be on niche society of tier-1 cities and
people seeking lush dining experience for a special occasion, which can be anything from small
dinners to significant functions. Further segregation is done as per the customer in the 30s-60s
age group, i.e., the working class. We will target people with a minimum of Rs.1 lakh/month
income who want convenient yet luxurious service with an overall excellent experience and
personalized care. It will also include people who do not want to do any work and want
somebody to take full responsibility for the food and dining experience.

Value proposition, Branding and Positioning

The following brand architecture will provide us with the basis of the firm’s value proposition
and our focus for this service’s branding.

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Based on this brand architecture, we would position our service to the targeted audience. As
mentioned above, what we provide is more than just a good meal service. It allows customers to
experience special treatment like a celebrity with fine personalized dining by chefs specialized in
various authentic cousins worldwide, giving them exposure to world-class feast at their
residence. That will be the unique selling proposition for the service, and we will do the brand
management on this basis only.

MARKETING MIX ELEMENTS

Product
Our offering is not just the product, i.e., food, but it's a combination of both product and service
along with additional services according to customer's needs. With our website, we provide
home-cooking service, which is restaurant-style by renowned 5-star chefs. This service can be
availed by people looking for specialized and customized food service for a special occasion,
specific diet, or just to make an event special. The service is a full-fledged dining experience
along with optional table service and after-cleaning service.
Our service is based on four aspects-
 Prestige
 Convenience
 Luxury
 customization
WHAT WE OFFER

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We give customers the option to choose from a wide variety of cuisine such as Italian, authentic
Thai, Japanese, and Indian. Customers even decide to opt for specific dietary preferences as per
their requirements, such as keto, low-carb diets, etc. It includes a planned dietary routine in
bundle packages as per the customer's need and demand. Keeping in mind distinct food priorities
of people, we provide a variety of food choices, be it vegetarian, non-vegetarian, and vegan food
choices. A unique and unusual option is also available that customers can either choose to use
their utensils or decide to use the cutlery provided by us.
Apart from this basic product, our service will give customers the same prestige and luxury they
get from a 5-star hotel. Our service will provide the customers with the convenience of
customizing their products at the best-suited price with the best service available.
Body transformation diet services- we also offer customized package schemes under which
people, usually celebrities, can book a chef for a required number of months to achieve a specific
desired look for a movie/show. Individuals who want to get into their desired body shape can
also opt for such diet packages.

Pricing
Based on the cost estimation and our USP I.e., High-end dining experience, we are pricing our
service at 4000rs per person per meal at the initial level.
Place
As we are in the service industry, we need to select firsthand the place to conduct business. We
are thinking of doing our business online primarily through our website and app for mobile users
for this business. We will build a comprehensive yet user-friendly website with all the
customizations available to our customers and the Call To Action(CTA) approach to provide the
customer with straightforward communication. They can book the service they want through our
website. All they have to do is visit the website and cherry-pick the company’s variety of
services and bundles.
We would be working on our social media handles to have a better reach, and the CTA approach
would be followed here too to direct customers directly to our website.
4. Promotions

Digital marketing-
 SEM followed by SEO- Our primary source of businesses is through our website, so, in
the starting, we would do SEM for better reach and growth and to come up at the top in
search results, followed by SEO in the long run when we are an established enterprise.
 Social media marketing- we need to be active on social media handles both in
engagement and promotion. We can take the help of famous influencers to gain
popularity too.

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  YouTube marketing- in the long run, we suggest opening a YouTube channel too,
uploading cooking videos, videos of events to show how good we are and what we have
done.
 Word of mouth- One of the very lucrative ways of promotion is word of mouth. As our
chefs have experience working in 5-star hotels, they are renowned for their expertise and
have good connections with customers they have served earlier. We can put that to use to
increase our clientele.
 Sales promotion- We also plan to give some discount offers on the first few bookings as
initial promotional techniques. Customers can get pre-booked services in package
schemes, saving them time and energy for repetitive bookings. Package schemes also
include preferable dietary routines for several months as per their requirement.
 Magazine advertisement- We would also spread awareness about our brand and its
offering through specific renowned magazine and newspaper advertising to better reach
and successfully grasp the market with our clients’ testimonials, creating demand and the
right image for our company.
 Celebrity endorsements- As we would be playing a critical role in helping celebrities
achieve desired looks through their customized diet as part of their “body transformation
diet plan,” we might get huge public recognition by celebrity endorsements on various
platforms, including their social media handles.

SERVITIZATION: WHERE SERVICE IS THE NEW PRODUCT

In the modern age of commoditization companies are now focusing on using services as a
growth driver. This is a reality most companies face nowadays where their products are just
commodities due to ever changing customer needs, globalization and ease of copying products.
Companies which are struggling to differentiate from their customers are using servitization to
reduce market time to stay relevant in the market. Studies have shown show that transforming a
product business from manufacturing or selling products to a mix between selling products and
delivering services can help in drastically increasing revenue as well as profit margins, drive
higher customer loyalty and also providing a more stable source of income for the companies.
This whole transformation process from selling products as well as delivering services is called
servitization.
Benefits of Servitization:
· Building of newer revenue streams.
· Setting barriers to other competitors in the market.
· Better and improved responses to customer needs.

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 · Increased customer loyalty.
· Growth in overall revenues and profits.
For the purpose of our project, we try to create value by using the concept of servitization.
Bawarchis is the name of the company which is opened by two renowned chefs from ITC 5-star
hotels who have left their jobs to start this company where they provide quality restaurant style
food with the differentiating concept that they will cook at the customer’s place of convenience.
The cooking team may be hired on a contractual basis as well as for a certain number of days.
The main target is converting parties, weddings and other extravagant events organized by richer
class of the society. Bawarchis is using to concept of servitization as a differentiator because
there are plenty of food delivery services present in our country but adding the service of
cooking at your place along with the waiters and props adds more value to the entire process.
One important takeaway from the entire concept of servitization is that a company should not
perceive itself as a product based or service-based entity but try to find the perfect balance
between selling products and delivering services.
Service mix elements
Services Marketing is the nothing but the strategy for marketing for accommodating the
provision of services both in context of B2B and B2C business operations. A service is any
activity that is not tangible and hence does not result in transfer of ownership. It is rather
consumed immediately as the given service is provided hence three additional P’s are added to
the traditional marketing mix to determine the customer satisfaction.
People: In any kind of service activity people who are involved play a very crucial role in
service encounter. These includes all the chefs, frontline workers, customers etc. Attitude of
employees does certainly affect the success of the service. Thus, it is always important to have
employees with the required skills, positive attitude, commitment in dealing with all sorts of
customers. Our service mainly has the chefs, waiters, organizers etc. who are responsible for
cooking at the customers chosen place of convenience. All the waiters must have good
communication skills and be polite to customers whereas the chefs would be cooking at a live
counter so it would be beneficial if the chefs can add a visually attractive notion to their whole
preparation of food .This would help engage other future customers who would come to the
parties hosted. Especially for our company we are dealing with rich people so word to mouth
promotion of our business must be our top priority. So, creating an ambience at these parties is a
must to catch the eye of everyone who is at the party.
Process: Important aspect of marketing is concerned with identifying the needs and wants of
customers so that services can be designed to fulfil these needs. Our company Bawarchi does this
same thing in identifying how celebrities and other rich people want a live counter cooking
experience with 5-star chefs at their own residence or in some cases preparing personalized diet
food. The whole process of working of Bawarchi is done by first receiving the booking and
marking the dates in the calendar. If it is for a party purpose, then the team of chefs and waiters
along with the cutlery reach at the customer’s residence and set up all necessary arrangements.
They are responsible for creating a feisty live cooking experience that everyone out there can

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enjoy. Also, for diet food to be prepared for celebrities and other rich people proper notes are
recorded and timely cooking of food at their residence is provided
Physical Evidence: Considering the intangible nature of our services it is tough for potential
customers to judge our services beforehand which increases the risks involved in the purchase
decision. Thus, we must focus on reducing this level of risk for potential customers by offering
tangible evidence of the nature of our service. We can put of videos of our past experiences for
other customers. We can make sure customers are aware of the two 5-star renowned chefs who
are involved in the service to increase trustworthiness. Photos and videos as well as word to
mouth promotion are ways to make sure people can feel what services we are providing even
though our services are intangible in nature.

Customer Relationship Management

In every business customer are the ones who create value. One can have all the products or
services in the world, but if there are no customers, there is simply no business.
1. Plans to covert first 100 customers:

 Free Service to first few customers: We will be offering free service for first few
customers; this will help us in amplifying demand. Also, we will get crucial feedback
about our product.
 Referrals are the key: Every new customer we get, he can be the means of getting another
one. We will try to impress the initial customer with our service and try to encourage then
to anyone who they know who could be benefitted from our service.
 Friends and family: Friends and family is by far the easiest network to sell our service. If
some of them are not interested in the product, then they might know someone else who
would like to try our service.

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  Exploring existing networks: We will try to Make a conscious effort to engage with
people who are relevant to our business, our main targets will be influencers and potential
business partners.
 Engage in community: Community gatherings are very common now a day. We will be
try to engage in community activities and try to share our product ideas.
 Blogs: Content marketing is very useful tool now a days. We will be providing useful
content about our product to the readers in order to generate free traffic over a period.
 Google Ads: It is one of the most cost-effective ways now a days to communicate with
the target audience. We will be using google ads as it is very effective, and we can see the
results immediately.
.
 Social media: Every business is using Facebook page and a Twitter account. It is an
effective way to increase the reach and that too for free. We will also be using social
media to attract new customers

2. Plan to retain customers: Customer retention is basically concern with keeping

customer stay with our brand. The aim behind customer retention is to make sure you are
retaining your customers for the growth of the business.
 Customer experience: Customer retention is directly related to service and experience.
We will try to create a memorable experience, which is also consistent. This will surely
help us in retaining the customers and providing a good experience. We will also try to
create emotional connection with our customers. It is a established fact that Businesses
that creates emotional connections have up to 85% more sales growth than competitors.
 Response to customer issues: The main reason for the customer dissatisfaction is
“LONGER RESPONSE TIME to the ongoing issues. We will be looking to solve
customer issues instantly. Using support number are few are the alternatives. Customers
are most likely to use the service if provider answers the queries within a minute.
 Deliver real time customer engagement: We will be looking to empower our customer
support team with tools like co-browsing and video chat. By doing this we can deliver
faster solutions. By using some visual tools, we can guide our customers through some
complex information which they want regarding our service.
 Customer feedback: Our unhappy customers can prove to be one of the best sources of
learning. To determine if customers are happy or unhappy with our products and
services we will be asking for feedback. this feedback is vital for our business and we
can judge the growth of your business from the feedback. We will be getting
customer’s perceptions about our overall business from the business and do the
necessary changes.
 Consistent customer service: We want to fulfil Customers expectations. They expect
engagement and seamless transitions between mediums like phone, social channels,

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 website. We will be focusing on providing seamless and consistent customer service
through all these channels.
 Surprising customers always: Surprising customers with special offers is an excellent
way to retain them. It will indicate we are willing to do something extra to fulfil their
expectations and make their experience memorable. We will also try to deliver better
service at a less price, do something more than they were expecting.

3. Plans to make customers loyal: Customer loyalty does not depend upon the size of
business. It is very important to gain their trust. This can be achieved using following
ways

 Increasing the communication: Regular conversations with the customers make them
remember us and it will help us to give them important information. Collecting the
personal information of the customers to send them emails, reminders, gifts, etc.
Communicating through social media platforms, but the limiting the advertisements
sent per day.
 Giving extra benefits: This can be achieved without investing a lot of money.
Rewarding customers who are dependent and regular will ultimately make them happy
and visit again. This will help other customers to want to match them.
 Consider different payment plans: Providing a scheme where customers can buy early and
pay in instalments will help customers by giving them sufficient time to make remaining
payments. This will ultimately increase the sales as happy customers will refer the shop/product
to others.
 Giving regular customer service: This is like a ‘Give and Take’ relationship. If we
provide a good service to customers, they are more likely to take more products from
us. Customers share their experiences with others, which can increase our business or
lose the customers.
 Technology is Not Everything: Everybody wants to get their problem solved as early as
possible. This can’t be achieved entirely using automated systems. Human
representatives are important to increase trust.
 Smile is the key to success: It is a small thing but matters a lot.

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Financials
Cost Sheet
Salaries Support Staff 25000
Support Staff 25000
Cleaning service 15000
Transportation 13000
Software and Marketing 3000
Telecommunications 1200
Electricity 1800
Total (per month) 111000
Total (yearly) 1332000
Groceries 180000
200/meal/person (900 people,
150 days)
1512000

Materials
Set up 300000
Transportation 300000
Software 50000
650000

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 Revenue Estimation
Year 2021 2022 2023
Growth 10% 10%
Demand 900 990 1089
Price (per person) 4000 4000 4000
Total Revenue 3600000 3960000 4356000

Cost Estimation
Year 2021 2022 2023
Increase in costs 5% 5%
Costs 1512000 1587600 1666980
Set up Cost 650000
Total 2162000 1625400 1706670
Profits 1438000 2334600 2649330

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