Principles of Marketing
Final Report

Prepared by:
Theresa Togia, Miranda Galo & Ella Misa

Prepared for:
Professor Lam Yuen

29 November 2013

Table of Contents
Page
Executive Summary………………………………………………………………………….. 3
Situational Analysis………………………………………………………………………….. 4-5 I. SWOT Analysis II. Target Market III. Costs IV. Expenses
Strategy…………………………………………………………………………………………... 6 I. Product II. Price III. Place IV. Promotion
Summary & Conclusion………………………………………………………………………….. 7

Executive Summary
The purpose of this paper is to deeply explain the new product called, ‘Island Fruity’. According to the news, the little island of American Samoa is one of the top countries facing obesity. Recently this year on CBS News accorking to Ben Tracy (2013), the obesity rate I American Samoa is 75%. This is a big issue whereby our people’s lives are at risk and it is the reason as to why we chose to create a new product to help beat obesity. Like a smoothie or slushy, we have decided to create a new type of smoothie called ‘Island Fruity.’ By hearing these two words ‘island’ and ‘fruity’, it simply tells what the ingredients used for production are local grown fruits. Instead of buying groceries or add other imports, we chose to make use of all the available local fruits we have on island like the pawpaw, bananas, and pineapples to come up with a new product. this way, there will be an increase in savings, less in spending and able to achieve our goals. ‘Island Fruity’ will help reduce obesity in a way and help promote a healthy lifestyle simply earning its worth. Throughout this paper will be the layout of how this product will be introduced to market and all information regards to this new type of smoothie.

Situational Analysis I. SWOT Analysis
Strengths:
Our product is a locally produced product and its 100% natural. To promote ‘Island Fruity’ in a Partnership form of business, working together as a team by sharing skills and experience with one another is our strength. We are a committed group of people who have confidence on building long-customer relationships. There will be an increase in our savings and less expenditure and our negotiation skills will surely draw the attention of customers.
Weaknesses
Some weaknesses will be work life balance. We predict that we must spend time with our loved ones instead of over-working but we have no choice since time is money in the business world. Another weakness can be the customer’s complaints which will cause us to be impatient and may lead to disagreement. Other weaknesses will simply fall on us owners whereby every profit earned will be split equally and nothing can be done without majority votes.
Opportunities
We will combine our marketing ideas for improvements and create opportunities for the public like employment depending on the situation. There will be new ways of advertisement and try our very best to turn challenges into opportunities and develop new ways to advance our product to capture the attention of our target market.
Threats
One major threat will be competition among our competitors. Prices may vary when pressure is at hand as well as advertisement with our competitors using technology. II. Target Market
The target market for this new product is practically everyone, but mostly focused on the obese people. After testing our product, we believe that it really make a difference in anyone’s eating habit. As mentioned before, this new product is 100% natural and all the ingredients are locally grown on island. Therefore this was made especially for anyone who is exercising, trying real hard to lose weight; this surely will ease body pressure after a long day of running and jogging. Just because it was made especially for the obese individuals, in fact it does not have an effect on anyone who intends to dwell in a healthy lifestyle. Everyone is welcome to try this product and truthfully, it will help control your over eating habits since all you’re taking-in are fruits. III. Costs
How much will it cost to create this new product?
To create this product, there is absolutely no cost at all but just time spended to gather the ingredients needed to produce this new product.
How will you source funds to create this product?
Since our form of business is Partnership, the funds will mainly come from our pockets as investments and some profits made.
What are other costs of this production?
We believe that the only cost is our salaries for hard work, labor and time effort put into work. IV. Expenses
Our two major expenditures will be on the cups used to distribute this product and the electricity bill since we are using the blender machine to perfectly blend the fruits to create a smoothie.
Strategy
Product
The new project ‘Island Fruity ‘is one 100% natural. It is made from the papayas, bananas, juice from the pineapples and coconut milk. The richness of the coconut milk makes the product creamier and smooth. It will be packaged in foam cups with sizes of large and medium.
Price
There are two size cups which are medium and large. The medium sized cup will be priced at $1.00 and $2.00 for the large cup. However, when the standard of living rises then it will have an effect on our pricing process.
Place of Distribution
Since ‘Island Fruity’ was naturally made, the place of distribution would be at the retail stores, TJ’s Gym in Tafuna, ASCC Gym I Mapusaga, Game Plus in Nuuuli and few restaurants and sport events depending on location. For the process of distribution, the wholesaler Tautua Mo Oe will be distributing the smoothies. If there is any sport event taken place or fitness program, then we will distribute some there.
Promotion
There will be flyers and posters at the gyms, sport events and other places of distribution. We will also have ads in the newspaper. In addition, we will use the power of technology and media to promote ‘Island Fruity.’ Lastly, we will host several fitness programs to sel our product and conduct presentations to capture the interest of our target customers.

Summary & Recommendation
There is a need of a new type of smoothie for our people, which will not only cool them down after a long day of exercising but naturally made type of smoothie will help promote a healthy life style. The prices are affordable since there will be an increase in our savings and it will be distributed at our local retail stores and fitness programs. Our main goal is to promote a healthy life style whereby we create this new type of smoothie for everyone to earn how much they are worth, in terms of being healthy. we have seen and heard on the news how effective the issue of obesity is and how rapidly it is growing within our small island. Therefore, we wish for all our interested customers to try this new product and realize how important we must value ourselves. We strongly believe that this product will slowly adjust a change in your eating habits, and emphasize our people to grow local fruits to live a healthy lifestyle.