Business

Help me to expand my soap business

by Sedrick Kayondo
Created Sep 10, 2022 | Kampala, Uganda
UGX 0.00 raised of UGX 200,000,000.00 goal 0.00%
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Revlon’s Choice Uganda is a licensed and standard Soap Production Company that is located in Uganda, Wakiso district.
We are in the soap line business and we produce bar soap, bathing soap, liquid soap and detergents in commercial quantities.
We also in business aim at giving our customers value for their money at a cheaper cost.
Helping the community through providing employment to the youths and women.
We are aware that there are several big-scale and small-scale soap production companies scattered all around Uganda whose products can be found in every corner of the country, which is why we spent time and resources conducting studies and market surveys so as to enable us to locate the business in an area that will support the growth of the business and also for us offer much more than our competitors will be offering.

Our soap has the following advantages over others in the market:
  • It is cheaper
  • Lather faster
  • Long-lasting
  • Treats skin diseases
Products and services
  • Snow white laundry bar soap
  • Mama bathing soap
  • Mr Fresh liquid soap
  • Happy shower gel.
Market Analysis
When it comes to selling soap and detergents, there is indeed a wide range of customers. Our target market cannot be restricted to just a group of people or organizations. In a view of that, we have conducted our market research and we have ideas of what our target market would be expecting from us. The expected number of customers cannot be even counted due to the high demand for the product throughout different regions of Uganda and outside Uganda. The number of products to be sold is expected to be in tones and tones due to the wide market we going to be reaching. We are in business to engage in the production and wholesale distribution of soaps and detergents too, for example, Hotels, Restaurants, Hospitals, Event planners, Parties, Students, Wholesalers, Corporate executives, Business people, retail shops, Laundry owners, Government officials and to every single person.
At the moment our sales are mainly focused on the Kampala area due to production limits, i.e. the demand is way higher than what we can supply. Therefore, we are looking into expanding our market throughout the whole country of Uganda once we collected funding to ramp up our production line.

Next steps/Investment Plan
The main features/next steps will be:
  • Additional production soap line machine
  • New company building and upgraded facilities to increase production capacity
  • Extended sales area with increased branding and marketing investments
  • Transportation tracks and vehicles
  • More raw material in stock to keep our production line more flexible
  • Additional highly skilled staff for specific business areas (sales, marketing, production manager, etc.)

SWOT Analysis
Strengths
  • Customer trust due to high quality product
  • Quality processes and procedures
  • Our business location is located near raw materials.
Weaknesses
  • Lack of funding to grow
  • transportation due to a lack of delivery vans
Opportunities
  • Local demand is higher than what we can produce
  • Expand market throughout the whole of Uganda
  • New international markets
  • Attract more consumer audience
Threats
  • Price wars with the competitors.
  • Competitors have superior access to channels of distribution (at the moment)
Goal
The goal of adding funds to our business is to expand our business further. By that, we want to sell our product across the whole country of Uganda and increase our monthly revenue by 2-3 times. To achieve that the production and sales amount of our product has to increase to about 2,000-2,500 boxes of various soap products per month.

Marketing strategy
Currently, we are acquiring our customers mainly through mouth-to-mouth marketing and keeping a stable customer group. We already see potential to sell more products but refuse to grow as our production facilities are limited (we won't be able to produce and deliver the number of products we sell). Upon expansion, we are looking into expanding our marketing team and strategy by acquiring the potential customers within our area (Kampala) we already know. In addition to that, the increased marketing team will be assigned to work locally in various urban areas (Nansana, Kira, Ssabagabo, Entebbe, Mbarara, Kasese, etc.) to acquire customers across the country.
Besides that, we will also expand our online marketing strategy targeted towards businesses and customers in Uganda, but also accessing neighbouring countries like Rwanda, Kenya, Congo DR and Tanzania.

Use of funds
The funds will be used to upgrade our production facilities, hire more staff for production and oversight, and expand our sales and marketing team and budget to acquire the customers we need to achieve our goal.
To upgrade the production output an increased amount of raw material will be needed as an initial investment too.
The expanded area of our business will also require an improved and expanded transportation network.

Timeline
The purchase and installation of additional production facilities are estimated to take 6-8 months.
Staff should be hired within the same timeframe to be ready and trained once production facilities are ready. Sales activities will start before to already acquire customers for the additional production output.
Therefore, we expect to double our sales within a timeframe of 12-18 months and to achieve an additional growth of 2.5-3 times the current sales amount by month 30.
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