Kangen Water Business Plan [Sample Template]

Kangen Water is a brand of alkaline water produced by Enagic, a Japanese company that specializes in water ionization technology.

The Kangen Water business typically refers to the distribution and sale of Kangen Water machines, which are devices designed to ionize water through a process called electrolysis. The machines are marketed as producing alkaline water with antioxidant properties.

Enagic operates on a direct sales or multi-level marketing (MLM) business model. Independent distributors, often referred to as Kangen Water distributors or Enagic distributors, sell the Kangen Water machines and recruit others to become distributors as well.

Distributors earn commissions not only from their direct sales but also from the sales made by those they recruit into the business.

Steps on How to Write a Kangen Water Business Plan

1. Executive Summary

Joan Williams® Kangen Water Company, Inc. is a Houston, Texas-based enterprise operating in the health and wellness industry.

Specializing in the distribution of Kangen Water machines developed by Enagic, the company focuses on providing alkaline and ionized water solutions to enhance overall well-being.

Houston’s dynamic and health-conscious community presents a significant market opportunity for Joan Williams® Kangen Water Company.

With a growing awareness of the importance of hydration and wellness, our products cater to individuals seeking alternative and premium water solutions.

Joan Williams® Kangen Water Company employs a multi-faceted marketing approach, utilizing digital platforms, local events, and partnerships with health and wellness influencers.

Our sales strategy combines direct sales efforts with a robust referral and rewards program to encourage customer loyalty and expand our reach.

2. Company Profile

a. Our Products and Services

Our primary offering is the renowned Kangen Water machine, which utilizes cutting-edge electrolysis technology to produce alkaline water with potential health benefits.

In addition to direct sales of these machines, we provide educational resources on the advantages of Kangen Water consumption and its potential impact on hydration, detoxification, and antioxidant support.

Our company stands out by delivering not only superior Kangen Water machines but also a commitment to educating our customers on the science behind ionized water.

Joan Williams® Kangen Water Company is dedicated to providing personalized customer support, ensuring our clients maximize the benefits of Kangen Water for their health and lifestyle.

b. Nature of the Business

Joan Williams® Kangen Water Company will operate on a direct sales and multi-level marketing (MLM) business model.

c. The Industry

Joan Williams® Kangen Water Company, Inc. will operate in the health and wellness industry, and the food and beverage industry.

d. Mission Statement

“At Joan Williams® Kangen Water Company, Inc., our mission is to empower individuals to make informed choices about their well-being by providing access to premium Kangen Water solutions.

We are dedicated to promoting health and vitality through education, innovation, and personalized customer support. With a commitment to excellence, we strive to be a trusted partner on our customers’ journey to optimal hydration and overall wellness.”

e. Vision Statement

“Joan Williams® Kangen Water Company, Inc. envisions a world where every individual has the opportunity to experience the transformative benefits of Kangen Water.

We aspire to be a leading force in the health and wellness industry, recognized for our unwavering commitment to quality, innovation, and customer satisfaction.

Through sustainable practices and community engagement, we aim to inspire a global movement towards a healthier and more hydrated future.”

f. Our Tagline (Slogan)

“Elevate Your Hydration, Elevate Your Life with Joan Williams® Kangen Water.”

g. Legal Structure of the Business (LLC, C Corp, S Corp, LLP)

Joan Williams® Kangen Water Company, Inc. will be formed as a Limited Liability Company (LLC).

h. Our Organizational Structure

• Chief Executive Officer (Owner)
• Manager
• Accountant
• Quality Control Staff
• Administrative Assistant
• Marketing Executives
• Logistics and Shipping Staff
• Customer Service Executive.

i. Ownership/Shareholder Structure and Board Members

• Joan Williams (Owner and Chairman/Chief Executive Officer) 52 Percent Shares
• Paul Bernard (Board Member) 18 Percent Shares
• Benny Blanco (Board Member) 10 Percent Shares
• Jack Gerrad (Board Member) 10 Percent Shares
• Stella Moore (Board Member and Secretary) 10 Percent Shares.

3. SWOT Analysis

a. Strength

• Offering Enagic’s Kangen Water machines ensures a high-quality, technologically advanced product, providing a competitive edge in the market.
• A commitment to customer education distinguishes the company, fostering informed decisions and building trust among consumers.
• Joan Williams’ entrepreneurial experience and passion for health and wellness contribute to effective leadership and strategic decision-making.
• Building a positive and trustworthy brand image through personalized customer support and a dedication to excellence.

b. Weakness

• Reliance on the success and reputation of the Kangen Water brand may pose a risk if the market perception of alkaline water products changes.
• The current focus on Kangen Water machines may limit revenue streams. Diversification may be needed for long-term sustainability.
• Success heavily relies on the performance and expansion of the distributor network, which may be subject to market fluctuations.

c. Opportunities

• Capitalize on the growing trend of health-conscious consumers seeking alternative and premium wellness solutions.
• Collaborate with local gyms, wellness centers, and influencers to expand brand visibility and reach a wider audience.
• Explore opportunities for product line expansion or the introduction of complementary products to enhance the overall Kangen Water experience.
• Leverage digital platforms for targeted marketing campaigns to reach a broader audience and generate online sales.

i. How Big is the Industry?

The health and wellness industry that Kangen Water is a part of is indeed a big industry. As consumer awareness and demand continue to rise, opportunities for growth and innovation within the Kangen water sector are likely to expand.

ii. Is the Industry Growing or Declining?

The health and wellness industry has experienced significant growth in recent years, driven by increasing consumer demand for healthy products. Kangen water is now more readily available through various distribution channels.

They can be found in high-end restaurants, grocery stores, electronic stores, and specialty food stores. Additionally, online platforms have facilitated the direct purchase of Kangen water, expanding accessibility for consumers.

iii. What are the Future Trends in the Industry?

Consumers are becoming more health-conscious, seeking products that offer perceived health benefits. Kangen Water, with its alkaline and ionized properties, aligns with this trend.

There is a growing emphasis on sustainable and eco-friendly practices. Companies in the Kangen Water industry may benefit from incorporating environmentally friendly packaging and production methods.

The shift towards online shopping and digital marketing is a general trend that impacts many industries. Companies in the Kangen Water sector may focus on building a strong online presence and leveraging e-commerce platforms.

Offering tailored information, product recommendations, or services may become a key trend in the Kangen Water industry.

As with any health product, consumers are likely to seek scientific validation for the health claims associated with Kangen Water. Companies providing credible scientific evidence for the benefits of their products may gain a competitive edge.

Collaborations with influencers, wellness experts, and fitness professionals can enhance brand visibility and credibility. Partnerships with gyms, wellness centers, or health-focused events may also be part of future trends.

Continuous innovation in product offerings, such as the introduction of new features in Kangen Water machines or the development of complementary products, can contribute to market growth.

iv. Are There Existing Niches in the Industry?

No, there are no existing niches when it comes to Kangen water business because Kangen water business is a niche idea in the health and wellness industry, the food and beverage industry, and the beauty and personal care industry.

v. Can You Sell a Franchise of Your Business in the Future?

Joan Williams® Kangen Water Company, Inc. has no plans to sell franchises in the near future because the business model we are operating doesn’t allow for franchising.

d. Threats

• Increased competition in the health and wellness market may pose challenges in maintaining market share and pricing competitiveness.
• Changes in regulations related to health claims or water ionization technologies could impact product marketing and sales.
• Economic downturns may affect consumer spending on premium health products, potentially impacting sales.
• Any negative publicity or misconceptions about alkaline water could influence consumer attitudes and purchasing decisions.

i. Who are the Major Competitors?

• AquaLiv
• Tyent USA
• Chanson Water
• Life Ionizers
• Bawell
• Jupiter Science
• AlkaViva
• KYK
• Vollara
• Aqualife
• Eniva Health
• Air Water Life
• Echo H2 Water
• HydrogenX
• APEX
• iSpring
• PurePro
• BlueQQ
• IntelGadgets
• Aqua Ionizer Deluxe.

ii. Is There a Franchise for Kangen Water Business? 

No, there are no franchise opportunities for the Kangen water business.

iii. Are There Policies, Regulations, or Zoning Laws Affecting the Kangen Water Business?

There are no specific federal regulations or zoning laws directly targeting Kangen Water businesses in the United States.

The sale of water ionization machines or alkaline water falls under general consumer product regulations, and businesses in this industry need to comply with applicable health and safety standards.

However, it’s essential to note that regulations can vary at the state and local levels, and businesses should be aware of any state or municipal regulations that may apply to water treatment devices, health claims, or business operations.

Additionally, advertising and labeling claims related to health benefits may be subject to scrutiny by relevant regulatory bodies.

4. Marketing Plan

a. Who is Your Target Audience?

i. Age Range: The primary target audience for Joan Williams® Kangen Water Company, Inc. is adults within the age range of 25 to 55 years.

This age group is typically more health-conscious and actively seeks natural and beneficial products to support their well-being.

ii. Level of Education: The educational level of our target audience can vary, but a significant portion is likely to have at least a high school education or higher.

This education level enables them to understand the benefits of Kangen water and make informed decisions regarding their health.

iii. Income Level: The target audience for Joan Williams® Kangen Water Company, Inc. consists of individuals with a moderate to high-income level.

iv. Ethnicity: Our target audience includes individuals from diverse ethnic backgrounds. Kangen water has a broad appeal and is consumed by people of various ethnicities due to its health benefits and versatility in different culinary traditions.

v. Language: The primary language for communication at Joan Williams® Kangen Water Company, Inc. is English. However, considering the multicultural nature of the target audience, multilingual marketing materials or support may be beneficial.

vi. Geographical Location: The company’s primary focus is on the Houston, Texas market. However, the target audience extends beyond the local region to include customers across the United States and potentially international markets where there is a demand for Kangen water products.

vii. Lifestyle: Our target audience consists of health-conscious individuals who prioritize natural and sustainable products in their lifestyle choices.

They may actively seek out organic and plant-based options, engage in regular exercise, and adopt holistic approaches to wellness.

b. Advertising and Promotion Strategies

• Build Relationships with players across the health and wellness industry.
• Deliberately Brand All Our Vans and Delivery Bikes.
• Develop Your Business Directory Profiles
• Tap Into Text Marketing
• Make Use of Billboards.
• Share Your Events in Local Groups and Pages.
• Turn Your Social Media Channels into a Resource

i. Traditional Marketing Strategies

• Marketing through Direct Mail.
• Print Media Marketing – Newspapers & Magazines.
• Broadcast Marketing -Television & Radio Channels.
• Out-of-Home” marketing (OOH marketing) – Public Transits like Buses and Trains, Billboards, Street shows, and Cabs.
• Leverage direct sales, direct mail (postcards, brochures, letters, fliers), tradeshows, print advertising (magazines, newspapers, coupon books, billboards), referral (also known as word-of-mouth marketing), radio, and television.

ii. Digital Marketing Strategies

• Social Media Marketing Platforms.
• Influencer Marketing.
• Email Marketing.
• Content Marketing.
• Search Engine Optimization (SEO) Marketing.
• Affiliate Marketing
• Mobile Marketing.

iii. Social Media Marketing Plan

• Start using chatbots.
• Create a personalized experience for our customers.
• Create an efficient content marketing strategy.
• Create a community for our target market and potential target market.
• Gear up our profiles with a diverse content strategy.
• Use brand advocates.
• Create profiles on the relevant social media channels.
• Run cross-channel campaigns.

d. Pricing Strategy

When working out our pricing strategy, Joan Williams® Kangen Water Company, Inc. will make sure it covers profits, insurance, premium, license, and economy or value and full package. In all our pricing strategy will reflect;

• Penetration Pricing
• Cost-Based Pricing
• Value-Based Pricing
• Competition-Based Pricing.

5. Sales and Distribution Plan

a. Sales Channels

Joan Williams® Kangen Water Company, Inc. employs a diverse and dynamic sales strategy to reach our audience. Our primary sales channels include a robust direct sales approach, leveraging personalized consultations and educational sessions to connect with customers.

We harness the power of digital marketing to expand our reach, utilizing online platforms to engage a wider audience and facilitate e-commerce transactions.

Additionally, our network of dedicated distributors plays a pivotal role in building local connections and fostering community engagement.

b. Inventory Strategy

Joan Williams® Kangen Water Company, Inc. implements a strategic inventory management system to ensure efficiency and meet customer demands.

We maintain optimal stock levels through meticulous forecasting based on market trends, historical data, and anticipated demand. This proactive approach minimizes the risk of stockouts and excess inventory, optimizing our supply chain.

Regular assessments and data analytics inform replenishment decisions, ensuring a streamlined process and reducing carrying costs.

In addition, we prioritize collaboration with reliable suppliers to uphold product quality and timely deliveries. Our agile inventory strategy reflects our commitment to providing a consistent and readily available supply of Kangen Water machines.

c. Payment Options for Customers

• Cash
• Credit Card
• Debit Card
• Mobile Payment Apps (e.g., Apple Pay, Google Pay)
• Contactless Payment (e.g., NFC-enabled cards)
• Digital Wallets (e.g., PayPal, Venmo)
• QR Code Payments.

d. Return Policy, Incentives and Guarantees

Return Policy

At Joan Williams® Kangen Water Company, Inc., we stand behind the quality of our Kangen Water machines. Our return policy allows customers to request returns within a specified period, typically 30 days from the date of purchase.

To qualify, the product must be in its original condition with all accessories and documentation. Returns are processed efficiently, and our customer service team is dedicated to resolving any concerns promptly.

Incentives:

We believe in rewarding our valued customers and distributors. Our incentive programs include referral bonuses, discounts on future purchases, and exclusive promotions.

Distributors enjoy commission-based incentives and bonuses for achieving sales milestones, fostering a mutually beneficial relationship.

Guarantees

Joan Williams® Kangen Water Company, Inc. is committed to customer satisfaction. Our Kangen Water machines come with a quality guarantee, ensuring they meet rigorous standards.

We stand by the effectiveness of our products, and in the rare event of any issues, our responsive customer support team is ready to address concerns promptly.

e. Customer Support Strategy

Customer support is a crucial aspect of any business, including Joan Williams® Kangen Water Company, Inc. Hence we will make sure to provide multiple channels for customers to reach out and seek support.

This can include a dedicated customer support phone line, email address, and online chat option on the company’s website.

We will implement a system that allows customers to track their orders and receive regular updates on the status of their deliveries. This transparency helps build trust and reduces customer anxiety about the progress of their purchases.

We will create a detailed Frequently Asked Questions (FAQ) section on the company’s website that addresses common customer queries. This can help customers find answers to their questions quickly and reduce the need for direct support.

We will regularly evaluate and analyze customer support metrics, such as response times, customer satisfaction scores, and complaint resolution rates. Identify areas that require improvement and implement strategies to enhance the overall customer support experience.

6. Operational Plan

Joan Williams® Kangen Water Company, Inc. executes a comprehensive operational plan to drive success. Our foundation lies in the distribution of premium Kangen Water machines, leveraging a multi-channel sales approach encompassing direct sales, digital marketing, and a network of dedicated distributors.

We prioritize inventory efficiency through meticulous forecasting and supplier collaboration, ensuring a steady supply chain. Customer satisfaction is central, supported by a responsive return policy and robust incentive programs.

Educational initiatives enhance brand awareness, and our commitment to innovation includes continuous product improvement.

The operational plan emphasizes adaptability, agility, and a commitment to excellence, positioning us for sustained growth in the dynamic health and wellness market.

a. What Happens During a Typical Day at a Kangen Water Business?

A typical day at Joan Williams® Kangen Water Company, Inc. involves a dynamic blend of activities centered around promoting Kangen Water machines and fostering customer well-being.

Our team engages in direct sales efforts, conducting personalized consultations to showcase the benefits of Kangen Water. Digital marketing strategies are implemented to reach a broader audience, driving online sales.

The distributor network plays a vital role in expanding local connections and community outreach. Customer inquiries and orders are efficiently managed, backed by a responsive customer support system. Continuous educational initiatives keep the team updated on product advancements.

b. Production Process (If Any)

There is no production process when it comes to the Kangen water business.

c. Service Procedure (If Any)

At Joan Williams® Kangen Water Company, Inc., our service procedure is meticulously designed for customer satisfaction. The journey begins with personalized consultations, where our team educates clients on the benefits of Kangen Water.

Seamless online transactions are facilitated through an intuitive e-commerce platform. Distributors, integral to our network, provide local support and community engagement.

A responsive customer support system promptly addresses inquiries and ensures swift conflict resolution. Our return policy guarantees customer confidence, allowing hassle-free product returns when needed.

Continuous training keeps our team abreast of product advancements. Overall, our service procedure prioritizes excellence, education, and customer-centricity, reflecting our commitment to delivering premium Kangen Water solutions.

d. The Supply Chain

Joan Williams® Kangen Water Company, Inc. operates a streamlined and efficient supply chain to ensure the consistent availability of our premium Kangen Water machines.

Our supply chain management begins with robust forecasting based on market trends and historical data, minimizing the risk of stockouts and excess inventory.

We maintain close partnerships with reliable suppliers, prioritizing quality and timely deliveries. Agile inventory strategies optimize stock levels, reducing carrying costs.

These measures collectively contribute to a responsive and adaptable supply chain. Our commitment to excellence extends to every link in the supply chain, ensuring the reliable delivery of Kangen Water machines to meet customer demands and market dynamics.

e. Sources of Income

Joan Williams® Kangen Water Company, Inc. will make money from selling and distributing Kangen water machines.

7. Financial Plan

a. Amount Needed to Start Your Kangen Water Company?

Joan Williams® Kangen Water Company, Inc. would need an estimate of $250,000 to successfully set up our Kangen water company in the United States of America. Please note that this amount includes the salaries of all our staff for the first month of operation.

b. What are the Costs Involved?

• Business Registration Fees – $750.
• Legal expenses for obtaining licenses and permits – $1,300.
• Marketing, Branding, and Promotions – $3,000.
• Business Consultant Fee – $2,500.
• Insurance – $2,400.
• Rent/Lease – $55,000.
• Other start-up expenses including, commercial satellite TV subscriptions, stationery ($500), and phone and utility deposits ($1,800).
• Operational Cost (salaries of employees, payments of bills et al) – $30,000
• Start-up Inventory – $65,000
• Store Equipment (cash register, security, ventilation, signage) – $1,750
• Furnishing and Equipping – $45,500
• Distribution Trucks – $75,000
• Website: $600
• Opening party: $5,000
• Miscellaneous: $5,000

c. Do You Need to Build a Facility? If YES, How Much will it cost?

Joan Williams® Kangen Water Company, Inc. will not build a new facility for our Kangen water company; we intend to start with a long-term lease and after 8 years, we will start the process of acquiring our own warehouse facility.

d. What are the Ongoing Expenses for Running a Kangen Water Company?

• Ongoing costs for the salaries, wages, and benefits of staff.
• Expenditures for ongoing marketing campaigns, digital advertising, and promotional activities
• Costs related to the distribution network, including shipping, packaging, and transportation of Kangen Water machines.
• Ongoing payments for the rental or lease of office spaces, warehouses, or any other facilities required for business operations.
• Regular expenses for utilities such as electricity, water, heating, and internet services necessary for daily operations.
• Investment in ongoing training programs to keep staff updated on product knowledge, industry trends, and customer service skills.
• Regular payments for insurance coverage, including liability insurance, property insurance, and other relevant policies to mitigate potential risks.
• Costs associated with maintaining and updating technology infrastructure, software systems, and digital platforms used for various business functions.
• Ongoing expenses for legal services and compliance efforts to ensure the company adheres to industry regulations, contracts, and other legal requirements.

e. What is the Average Salary of your Staff?

• Chief Executive Officer – $68,000 Per Year
• Manager – $45,000 per year
• Quality Control Staff – $40,000 per year
• Accountant – $38,000 per year
• Administrative Assistant – $35,000 per year
• Marketing Executives – $33,000 per year
• Logistics and Shipping Staff – $32,000 per year
• Customer Service Executive -$30,000 per year.

f. How Do You Get Funding to Start a Kangen Water Business?

• Raising money from personal savings and sale of personal stocks and properties
• Raising money from investors and business partners
• Sell shares to interested investors
• Applying for a loan from your bank/banks
• Pitching your business idea and applying for business grants and seed funding from the government, donor organizations, and angel investors
• Source for soft loans from your family members and friends.

8. Financial Projection

a. How Much Should You Charge for your Product/Service?

The price of Kangen Water machines can vary based on the model and features offered by Enagic, the company that produces Kangen Water machines.

b. Sales Forecast?

• First Fiscal Year (FY1): $445,000
• Second Fiscal Year (FY2): $750,000
• Third Fiscal Year (FY3): $1.5 million

c. Estimated Profit You Will Make a Year?

• First Fiscal Year (FY1) (Profit After Tax): 20%
• Second Fiscal Year (FY2) (Profit After Tax): $25%
• Third Fiscal Year (FY3) (Profit After Tax): 30%

d. Profit Margin of a Kangen Water Company Product/Service

The ideal profit margin we hope to make at Joan Williams® Kangen Water Company, Inc. will be between 15 and 35 percent depending on the packaging size.

9. Growth Plan

a. How do you intend to grow and expand? By opening more retail outlets/offices or selling a Franchise?

Joan Williams® Kangen Water Company, Inc. will grow our Kangen water company by opening more retail outlets and recruiting more independent distributors in key cities in the United States of America within the first five years of establishing the business.

b. Where do you intend to expand to and why?

Joan Williams® Kangen Water Company, Inc. plans to expand to the following cities.

• Austin, Texas
• Burlington, Vermont
• Madison, Wisconsin
• Des Moines, Iowa
• Kansas City, Missouri
• Asheville, North Carolina
• Seattle, Washington
• Sacramento, California
• Portland, Oregon
• Ithaca, New York.

We are expanding to these cities because these cities have a high demand for Kangen water products.

10. Exit Plan

The founder of Joan Williams® Kangen Water Company, Inc. plans to exit the business via family succession. We have positioned structures and processes in place that will help us achieve our plan of successfully transferring the business from one family member to another and from one generation to another without difficulties.

The company has successfully developed a detailed transition plan to smoothly hand over responsibilities to the new successor.

This includes transferring ownership, training key personnel, and communicating with employees, customers, and suppliers about the change.