The target market of the said business is the college students of the Ateneo de Zamboanga University located at La Purisima St., Zamboanga City. The segment and its description are:
Students – These are the college students of the university, heterogeneous when it comes to defining their courses and in terms of demographics, there is no limit on the age bracket and there is no gender bias.
With this market, the proposed business would have an advantage, since the target market is readily available and has the buying power, thus, with significant calculations and marketing strategies, the business would be profitable.
But the proponents are not limiting the possibilities of having other markets such as walk in clients like parents of grade school, faculty and staffs and others.
Nature of Demand
The total population of the desired market is 3,598 based from the enrolment data of 2nd semester, S.Y. 2012-2013 for ADZU College students. The proponents of the business surveyed a hundred individuals from the total population; derived from the Slovin’s formula to get the required basis and reference for the study. Chart 1.1
Based from the conducted survey 56% of the sample population which is 2,015 have already been to a spa and 44% which is 1,583 have not been to a spa. Comparing the two percentages, we can see that there is a demand of a spa service in Ateneo main campus. Projected Demand
The projected demand of the proposed spa business was derived from multiplying the 56% which represents those respondents who have already been to a spa to the total population of the target market. For the succeeding operating years a 2% average increase in population growth rate of the college students was applied (this is based on a 10-year average increase, see Annex A for the computation).
Chart 1.2 – Willing to Avail
Chart 1.2 describes how many of the target market are willing to avail the...