Executive Summary Of Bench 3w276q

Executive Summary 1. Introduction Bench - the ed trademark of Suyen Corporation is the contraction of the name of marketing maverick Ben Chan,

and

is

his

lifework,

his

ongoing

dream

and

his

motivation. As Chairman and Executive Creative Director, Chan, with Virgilio

and

Nenita

Lim,

nurtured

Bench

to

become

the

Philippines' most successful crossover in the fashion and lifestyle industry. Bench was the first in the Philippines to grasp a global phenomenal trend: the reinvention of the world's

most

innovative

fashion

labels

from

"not

just

fashion but an entire lifestyle." Because of this, it is credited

for

almost

single-handedly

spawning

an

entire

industry of its own in the country, whereby the company's firsts were also firsts for the industry as a whole. The

natural

progression

of

Suyen

Corporation

remains

faithful to its core sensitivity to global trend: it is now spearheading global

a

fashion

two-pronged and

expansion

lifestyle

brands

of

bringing

to

the

in

top

Philippines,

while maintaining a relentless momentum in bringing out the Bench brand overseas, with concentrated efforts in mainland China. The much-applauded opening of the Bench_body boutique in Shanghai in 2002, as well as the launch of the 3,000sq.m.

Superbench, esteemed

marked

fashion

a

new

age

company,

as

for it

the has

Philippines' matured

into

most atrue

global brand that holds its own in the vastest market in the world. Bench is a leading lifestyle and fashion chain in the Philippines. The trademark is derived from the acronym of the founder’s first and last names (Ben Chan). From its humble beginnings, the t-shirt offerings expanded into a whole lifestyle store, offering Fix Salon for hair products and services, stationary line Prescribe(r), Bench Brats for teenagers, Bench Body and Bath specializing in bath and fragrance products, and now HerBench offering a complete women’s line, including fragrances and cosmetics. Beginning in 1987 with a small store selling men’s tshirts, Bench grew at a unparalleled rate by being the pioneer in the use of celebrity endorsers, television ang giant

billboards

to

propel

a

fashion

brand

that

offers

quality products at affordable prices. Bench, the ed trademark of Suyen Corporation, symbolizes the fulfillment of Executive Creative Director Ben Chan's dream to create a Philippine fashion brand that would appeal to the young local market. The first Bench boutique opened in 1987 through the combined efforts of Ben Chan and his sister and brother-in-law, Nenita and Virgilio

Lim.

The

merchandise

mix

featured

a

wide

collection

of

locally manufactured men's shirts, tros and footwear. Enthusiastically embraced by the growing mall market, the Bench line has since expanded to include stationery, men's fashion accessories, toiletries and an extensive underwear range. The single boutique of nine years ago has grown into a vast network of outlets in Metro Manila, the rest of the Philippines, as well as Asia, the Middle East and the United States. II Strategic Plan and Focus The

phenomenal

success

of

Bench

is

a

result

of

continuous adherence to a simple vision: to offer quality products at affordable prices. Presently, the Bench lifestyle includes a teen line, Bench Brats, the Bench Body & Bath line of fragrances and bath

products,

Prescribe(r)

skincare

products

and

Bench

Bytes snacks. The junior ladies' line, HerBench, now also features

a

line

of

fragrances

and

cosmetics,

HerBench

Colours. Bench

has

won

several

awards

both

locally

and

internationally: 1994, Bronze Award, New York Festival for International Advertising. 1995, Merit and Excellence Awards and the Platinum Award at the Philippine Ad Congress. 1999, TV Ad of the Month/June and Print Ad of the Month/June and

November by the Creative Guild. 1999, Winner for Asia at the Regional Max Awards for Worldwide D'Arcy. 1999, Three Gold Awards and two Silver Awards for print and television at the Philippine Ad Congress. Bench has also won various retail awards:

1997

Philippine Franchise

and

1998,

Retailers of

the

Retailer

Association.

Year

by

the

of

the

1999,

Year Most

Philippine

by

the

Promising Franchisers

Association. 1999, the Golden Shell Award by CITEM. In 2000, Bench was named Franchise of the Year by PFA-DTI, ushering it into the award-giving body’s Hall of Fame. For 2001, Bench deemed it high time to honor the very unique

Filipino

spirit

and

teamed

up

with

theater

and

literary dame Gilda Cordero-Fernando and artist wiz M.G. Chavez to bring to the Filipino people the Pinoy Pop Culture Book. The first book to be written on the language and nuances of Pinoy pop culture, it was considered a landmark in the Philippine literary scene. 2002 saw Bench fortifying its hold on the underwear industry with the opening of its maiden Bench Body boutique in Glorietta. It was also in 2002 that Bench launched its highly successful Overhauled line.

Competencies

In line of franchising and apparel industry , one of the leading competitors of Bench is the Penshoppe and Human Apparel , also an industry in selling apparel Competitive Advantages For the past 15 years, Suyen's most popular brand, Bench, has been affecting Filipino lifestyle and fashion, which started with the opening of the first Bench boutique in 1987 through the combined efforts of Mr. Ben Chan and his sister and brother-in-law, Nenita and Virgilio Lim. Today, Bench is undoubtedly the country's largest retail clothing store with 53 stores, plus 18 Herbench stores, 28 local franchise outlets, and 120 distributors nationwide. And it does not stop here at home. It has thriving franchises already operating in Al-Khobar, Riyadh and Kuwait in the Middle East. The Bench label, through its authorized retailers, has also demonstrated quite a strong presence in the

cosmopolitan

cities

of

California,

Canada,

Florida,

Saipan, Brunei, Taiwan, United Arab Emirates and Palau. With the opening of the Guam and Shanghai branches, Bench has clearly established itself as a force to reckon with in the very dynamic fashion landscape, offering quality

products

at

competitive markets.

affordable

prices

even

in

the

most

Bench's secret is in the merchandise. The mix features a

wide

collection

tros

and

of

locally

footwear.

manufactured

Enthusiastically

men's

embraced

shirts, by

the

growing mall market in the Philippines, the Bench line has since

expanded

to

include

stationery,

men's

fashion

accessories, toiletries and an extensive underwear range. The Bench lifestyle also includes a teen line called Bench Brats, the Bench Body & Bath line of fragrances and bath products, Prescribe(r) skincare products and Bench Bytes snacks. The ladies' line, HerBench, now also features a line of fragrances and cosmetics, HerBench Colours. SWOT Analysis The following SWOT analysis explains the strengths and weaknesses of the company Strengths 

All the raw materials in the manufacturing of apparels comes of locally produced markets



All

their

expansion

franchises of

company

were and

given their

all store

seminars from its lowest personnel

the

needs

in

by

means

of

up to

higher

personnel 

Prices

of

competitors Weaknesses

the

products

were

low

compared

to

its



Constant changes of fashion makes them change all their nature of apparel to make it more appealing rather that to its competitors



Bench products are for franchise and not for people who want to start a small business.

Opportunities 

A sales opportunity in take out business



Ability

to

spread

overhead

over

multiple

revenue

centers Threats 

Competition from imported and low cost apparel from China



A slump on the economy reducing customer’s disposable income spent.

Industry Analysis Filipinos love dresses and fashion , they tend to save a little amount of money to spend want

in buying clothes they

in which they tend to be fashionable and they make

sure that the one that they buy has trademark. It

is

the

factor

Corporation. Competitor Analysis

or

the

target

of

the

Bench

On of the competitors of Bench is the Penshoppe , they are

also

in

line

of

selling

apparels

to

the

fashion

industry, they also put money in retailing industry , aside from apparel they also sell colognes , children apparel. Other competitors of the Bench is the local industry offering lowest prices especially com ing from china and Korea. Company and Environment Bench’s undisputed success in Filipino retail should come as a surprise. Their Chairman has a degree in interior design rather than an MBA. Their stores sell an improbable mix of items, such as bags of popcorn next to sports bras next to cologne. Yet retail

the

market

brand with

internationally.

continues 132

They’ve

to

stores won

dominate

the

Philippine

nationwide

and

14

countless

stores

competitions

for

their marketing campaigns, and they are worn across the alphabet

by

every

market

demographic,

whether

by

a

fashionista who likes Bench Body, or a supermarket cashier who likes their jeans. In the mid-80s, Ben Chan’s first venture was a home furniture store, Dimensione. He began deg children’s

clothing

for

his

sister

and

brother-in-law,

Nenita

and

Virgilio Lim, who owned a children’s clothing boutique. The pieces proved so popular that Chan started a casual men’s line of t-shirts, slacks and denim, under the label Bench, which the trio operated together. A Filipino retail giant had been born. Evolution is something the public has associated with Bench,

just

as

it

associates

the

company

with

splashy

marketing campaigns. Bench’s marketing budget is probably twice that of many local brands. Bench has a talent for choosing influential endorsers, Bench used as an unknown way back in 2002 in a Bench Body campaign.

In

fact,

Bench

has

become

so

successful

at

promoting itself that some customers have pointed out that the quality of its marketing exceeds that of its products, a charge that the company denies. However, the criticism does reveal Bench’s incisive understanding of the Filipino market: while the company’s image is perceived as cutting edge – award-winning ads, slick packaging, fun concepts – the products themselves are not. Bench still sells everyday basics, like shirts, jeans and slacks.

Furthermore,

there

is

nothing

new

about

underwear,

cologne, or marshmallows. In fact, thousands of stores in the

Philippines

sell

cosmetics,

snacks,

and

accessories

under one roof: sari-saris. Bench, however, has been the only retailer with the imagination – and bravado – to market corner grocery products under an apparel label, christening the concept as “Lifestyle”. Being able to predict and sometimes create the next hot thing,

constantly

identity–

these

evolving

qualities

and

give

expanding

Bench

a

their

brand

reputation

as

a

visionary company. The Ayala group has worked with Bench since 1988, when it opened one of its first stores in Park Square One. Over the years, they’ve watched as Bench has introduced one new product HerBench

or

concept and

after

another:

traffic-stopping

cosmetics

billboards

in in

1990, 1993,

international stores in Saudi Arabia and China in 1994, Bench Bytes in 1999, hair salons and an internet café in 2001, Jerry Yan’s presidential visit in 2003. In

2004,

Ayala

and

Bench

collaborated

on

another

innovation: Market Market’s Superbench, which measures 3,000 square meters. A new format in the retail market, Superbench

provides all anchor

for

Bench lines under one roof, serving as an the

mall.

It

draws

customers

and

other

businesses – a role that conventionally might be filled by a junior department store. To understand the conceptual jump, transpose this achievement on the popular US brand GAP. Like Bench, GAP has its own fragrances and the GAP Body underwear line. Now imagine a line of GAP snacks sold in-store, GAP hair salons and GAP publications. Then imagine all those things in a GAP department store at the local mall. All of Bench’s top officers are family. Chan’s sister Nenita Lim serves as vice-president, managing the financial and budgetary concerns; his brother-in-law Virgilio Lim acts as president, supervising logistics and systems management; and

his

nephew

Bryan

Lim

is

vice-president

of

business

development. Advertising manager Liamson refers to Chan, Nenita Lim and Virgilio Lim as the “triumvirate,” with the Lims providing Chan’s creativity with operational backbone. While most consumers only see the creative side of the business, Success in these aspects results in a smoother shopping

experience.

Details

complete for each style. VISION

like

whether

the

sizing

is

To be a recognized world brand among the best world brands. MISSION When we create, we

inspire,

When we make, we innovate, when we lead, we serve. ABOUT BENCH Beginning in 1987 with a small store selling men’s tshirts, Bench grew at an unparalleled rate by being the pioneer in the use of celebrity endorsers, television and giant

billboards

to

propel

a

fashion

brand

that

offers

quality products at affordable prices. To date, Bench has grown to include a ladies’ line, underwear, fragrances, housewares, snacks, and a wide array of other lifestyle products, with the distinction of being present in virtually every retail space in the Philippines, and with a worldwide network of stores and outlets, reaching as far as the United States, the Middle East, and China. As

it

sliced

through

demographic

divisions

--

age,

gender, socioeconomic status -- a stirring slogan, “Bench is forever”, became the company’s abiding creed. ACHIEVEMENTS 1991

- Best Cinematography - Bench "Sculler" Campaign 12th Advertising Congress - Araw Awards 1994 - New York Festival International Advertising Bench "Air/Water/Fire" Campaign - The New York Festivals 1995 - Platinum Award - TVC Bench "Fire" Campaign - 14th Philippine Advertising Congress 1997 - World Class Retailer (Medium Scale Apparel Category) - Philippine Franchise Association 1998 - Outstanding Filipino Retailer - Bench (Medium Scale Fashion) - Philippine Franchise Association

1999 - Most Promising Filipino Franchise of the Year – Bench (Non Food) - Philippine Franchise Association - Outstanding Filipino Retailer - Bench (Non Fashion) Philippine Franchise Association 2000 - Outstanding Filipino Franchise of the Year - Bench (Non-Food) - Philippine Franchise Association

- Golden Shell Award for Marketing Excellence Department of Trade and Industry - Ayala Malls Grand Store of the Year - Ayala Malls Merchants Rewards Program 2001 - Franchise Excellence Award - Hall of Fame in Retail Philippine Franchise Association - Finalist - Bench Underwear "Breathable" Campaign 2001 London International Advertising Awards 2003 - Bronze Award Bench Response Deo "Beauty Pageant" Campaign - 18th Philippine Advertising Congress 2004 - World Medal Bench Response "Beauty Pageant" for TV & Cinema Advertising - The New York Festivals 2008 - Global Filipino Franchise Award - Philippine Franchise Association 2009 - Outstanding Filipino Retailers Awards Night Bench Body - Fashion category - Philippine Retailers Association - Global Filipino Franchise Concept of the Year -Retail Category - Philippine Franchise Association IV Market Product Focus Marketing and Product Objectives

Marketing Objectives 1. maintain positive , steady , growth each month 2. increase in new customers Target Market The

market

can

be

segmented

into

three

target

populations. 

A buyer that can back because of satisfaction on the products.



Individual person who chooses market corner grocery products under an apparel label



Fashionistas who loves apparel at a low prices.

Positioning Bench

has

132

stores

nationwide

and

14

stores

internationally, they prefer to it franchises who has stall in the mall or in the department store , they believe that the real market are in the area whereas people loves sometimes to hung out in the mall , together with their family and friends Bench positioning leverage their competitive edge: 

Product- product will assures client that it is all high

grade

fitted

and

to all

lifestyles.

imported,

creative

design

that

best

people who have different status and



Service- prioritize customers service. All employees assures client excellent service provided by the staff of the Bench store.

V. Market Program Strategy and Tactics Product Line Bench's secret is in the merchandise. The mix features a

wide

tros

collection and

of

footwear.

locally

manufactured

Enthusiastically

men's

embraced

shirts, by

growing mall market in the Philippines. Bench Line: Bench Body – offering line of men and women apparel The Bench line has since expanded to include 

Stationery



men's fashion accessories



toiletries and an extensive underwear range.

Bench Lifestyle The Bench lifestyle also includes a teen line called 

Bench Brats



KinderBench

the



Bench Bytes



Bench Body & Bath line of fragrances and bath products



Prescribe(r) skincare products



Bench Bytes snacks.

The ladies' line 

HerBench

-

which

also

features

a

line

of

fragrances and cosmetics, HerBench Colours. Bench opened Bench FIX Salon, a chain of beauty hubs for public. Together with this, B/ Connected Internet Café were

opened

giving

the

latest

state-of-the-art

computer

technology Promotion Each year, Bench executes several multimedia campaigns to promote the season’s leading product or concepts and they are: 

A large billboard (50’ x 60’) along a major route like C-5 or EDSA rents for about P200,000 – 300,000 per month.



Bench has many. A 30-second primetime TV commercial on a local network costs about P180,000.



A full-page magazine ad in a monthly glossy, Around P70,000-100,000

Bench image

value

models.

the

In

concept

1988

with

of

celebrity

its

first

endorsers

dedicated

and

Bench

boutique, Bench hired young new actor then by the name of Richard Gomez, as its first image model. As Gomez's fame increased, so did Bench's, paired with increasingly large and beautiful images of Mr Gomez along highways and malls in the Philipines. Other endorsers have included Gomez's wife Lucy Torres, models Marc Nelson and Borgy Manotoc, as well as actors Diether Ocampo and Richard Gutierrez. Besides beautiful young image models, Bench has also pioneered in featuring more mature endorsers, including Ben Cab,

the

artist,

Marixi

Prieto,

the

socialite,

and

Congressman TeddyBoy Locsin. Internationally Chinese supermodel Lu Yan, the runner up

in

Cosmopolitan

World’s

International

Super-Model

Competition held in Paris was selected by Bench to be the image model of Bench in China. In 2003, Asian superstar Jerry Yan became its image model in Asia. Actor-singer Peter

Ho was hired in 2005 and the following year actress-model Qu Ying was hired as the chain's female endorser in China. Pricing Bench is a manufacturer and distributor of casual clothing, accessories and cosmetics. Established in 1987, Bench today is the leader the Philippine in industry. The brand

is

found

in

over

500

boutiques,

concessionaires,

franchise outlets and authorized wholesalers.

The

success

or

Bench

lies

in

its

collection

of

fashionable high quality products and competitive prices. The brand has garnered numerous awards for its innovative and aggressive marketing and advertising promotions. It has also

received

recognition

for

visual

merchandising

and

franchising. The pricing of the Bench Products are depnding n the Franchises , however the franchises fee 1.5 million and it

amounting to P

includes seminars , designs of the

location and all the benefits that they will obtain from the Suyen

Corporation

in

line

of

customers . VI

Financial Data and Projections Expense Distribution

better

services

to

the

Expense Distribution

include direct materials, direct

labor and manufacturing overhead. The Expense Distribution

on 2011 is estimated to be

Php89,166.12. The cost will reach Php 82,894.69 on 2015. Table III-C Production Costs note

2011

2012

2013

2014

2015

Direct Material Perfume

A

9611.25

9611.25

9611.25

9611.25

9611.25

Clothing

B

23283.33

23283.33

23283.33

23283.33

23283.33

Design Paint design

C D

4864.4 6657.14

4864.4 4285.71

4864.4 4285.71

4864.4 4285.71

4864.4 4285.71

Patches Host

E F

120 60

120 60

120 60

120 60

120 60

Thread Fuel Expense

G

300 4800

300 4800

300 4800

300 4800

300 4800

49696.12 13970

47324.69 13970

47324.69 13970

47324.69 13970

47324.69 13970

4900 8600

8600

8600

8600

8600

12000

12000

12000

12000

12000

25500 89166.12

20600 81894.69

20600 81894.69

20600 81894.69

20600 81894.69

Direct Material Cost Direct Labor Manufacturing Overhead Production Suppliesdepreciation Equipment-depreciation Utilities Manufacturing Overhead Cost Production Cost

ing Computation Note A no. of Apparel/12= answer/4 x price 2794/12=233/4x165=9611.25 Note B no. of Apparel /12=answer x price 2794/12=233 x 100=23283.33 Note C

no. of Apparel /12=answer/25 x price 2794/12=233/25 x 520=4864.40 Note D no. of Apparel /12=answer/14x price 2794/12=233/14 x 400=6657.14 Note E no. of Apparel /12=answer/150 x price 2794/12=233/233 x 120=120 Note F no. of Apparel /12=answer/150 x price 2794/12=233/233 x 60=60 Note G no. of Apparel /12=answer/150 x price 2794/12=233/233 x 300=300 Note H no. of Apparel /12=answer x labor Cost/unit 2794/12=233 x 60=13970

VII Implementation Plan Promotion Schedule The promotion schedule of the Bench Corporation under the Suyen Corporation of the Philippines is based on the projected and scheduled promotion of Ben Chan , he is

the

pioneer and over all in charge of the promotion of the Bench

company, he continued to hire local and foreign models to represents the Bench. VIII Evaluation and Control Quality Control The quality of the products that Bench are offered to the people were tested by its concessionaires , first

the

Bench corporation under Ben Chan design the apparel

and

ed to their tailor , not mentioning that there are people

who

chooses

what

kind

of

materials

that

they

emphasize on the apparel. Second Ben Chan hire people who will design and made the apparel and upon ing the taste of Ben Chan it will be ready for production and for distribution to all their retailers and franchise company. Risk Analsyis The Bench

company posses

many

risk in the industry

and among them are: 

Sudden rise of raw materials costing him to double the price of their products



There are people who make fake Bench products and sold to the market making their company fall back and be affected