The main target market are the elderly, and the population aged 60+ in our geographic area is approximately 60,000. Of these, 20,000 live in adult communities where our marketing will be most effective and the other 40,000 are less concentrated. We feel that we will be able to achieve penetration of 5% in the adult communities in the first year, and 2.5% penetration outside of those communities, for a total customer base of 2000. We take 30% of the bill for our services as our margin, and expect an average delivery of $100. The average deliveries per customer for the first year is expected to be 6, since many customers will not come on board until the latter half of the year and we expect monthly deliveries on average for each customer. This gives us gross sales of 12,000 deliveries, for $360,000 in revenue.
             The cost of goods sold, including labor and gas, is estimated to be $20 per delivery, for a total of $240,000. This yields a gross margin of $120,000. The cost of sales is expected to be $30,000, resulting in a net profit of $90,000 for the first year of the service.
             The local newspaper advertising contract runs for 3-month intervals, so this will be our timeframe for the control plan. Every three months we will examine business growth and compare this to our estimates. This will be the basis of our control plan. Should the control plan yield two consecutive quarters of sub-par performance, we will make adjustments to our promotional program. Because the program includes specific targeting of adult communities, we should be able to identify by breaking down our customer base geographically which components of the program are the most and least successful.
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