We plan to open one more outlet thin the duration of a year. We use SOOT analysis to analyses our strength, weakness, opportunity and threat. We position ourselves as a restaurant that help customer reduce the hesitation needed to make choices. We also provide a changing set menu that be changed on daily basis. Our food is economical as the price set is based on the customer in that area who is consisting of mostly middle-class income customers. We are in the restaurant business which is normally distributed by giving customer service as in taking orders when they dine-in with us and we also provides livery service when needed.
We do advertising through giving out flyers, using ‘info blast’ and advertisement on our main website. Our target market is office staffs and students since there are many companies and a college nearby. Our expected starting capital will be around RMI 300,000 which covers the rent, renovation, food ingredient and equipment. We have weekly and monthly meeting with all staffs to check on the restaurant’s progress and growth. Review of current situation Review of the industry In this hospitality industry, as a service provider we are responsible to provide good revive and achieve the expectation of the customer.
Instead of that, we should fulfill customer’s needs. From my investigation, the restaurant trends nowadays will be focus on prices, quality and portion of food, a variety choices of food, good service attitude, speed service, location, environment factor which includes comfortable place, cleanliness, attractive decoration and etc. There are many restaurants which serve breakfast; lunch and dinner value set which with appropriate price. To stay competitive in this business world, the competitor used different strategy to attract customer.
For examples, old town making promotion on breakfast recently with a slogan “Pay less for more”. Besides that, Papa Rich using different strategy compared to Old Town for making promotion on breakfast with different slogan which is “The healthy way to start your day’. Economy recession nowadays, people who are low or middle income including student they will look for food that taste good and cheap. So, Old Town currently are using the breakfast promotion to attract customer who are Whatever Cafe Marketing Plan By Tan-Marcus low or middle income.
As well as Papa Rich, they currently using others strategy which more on healthiness, this attract customers who are health-conscious. Brand history Nowadays, people like to utilize the word “Whatever” in decision making, whether on food or destinations. Since 13th Century, the word Whatever’ is used. Therefore, we take the idea of “Whatever” which means anything and place the concept into food. With that, customer will not have to choose their meals as curiosity will tell them about the food. The food is different everyday and description of the food is not written in the menu, it will be notify only upon customer’s query.
Review of Competition Our major competitor will be Lowdown White Coffee. The Lowdown White Coffee is the largest capita restaurant chain in Malaysia. Its main headquarters is in IIOP, Appear, Malaysia. Established in 1999, Lowdown Bertha (“Lowdown”) manufactures instant beverage mixes and products, in addition to operating over 200 cafe outlets throughout Malaysia and the region currently. Lowdown is the proprietary owner of the special formulation of 3-in-l white coffee blend, which has been permeating Malaysian households and food service industry since 1999.
In 2005, Lowdown expanded into the food service sector with the opening of a chain of cafe outlets based on the traditional IIOP coffee shop setting and ambiance under the brand name “Old Town White Coffee”. All of the outlets are located in high traffic and high visible location. Lowdown now exports its instant beverage mixes to more than 10 countries worldwide and plans to expand its cafe outlet network in the region. Lowdown also uses TV, internet and radio to promote their coffee blend. Lowdown price their product using the psychological pricing method such as the food in the cafe outlet: supreme set RMI. Onwards, set meal from RMI. 90. A review of distribution Old Town’s history can be traced back to the incorporation of white cafe in 1999,with the intention to provide quality white coffee to Malaysian households and the food services industry/ the co-founders and Executive Directors, Mr. Gogh Chining Mum and Mr. Tan Say Yap formulated their own blend of three in one instant white coffee and commenced manufacturing in 1999. With more than ten years of experience in the coffee beverage industry, both the co-founders were instrumental in the growth of the Lowdown Group of companies.
They are supported by Mr. Lee Slew Hang, the Group Managing Director who played a significant role in implementing the overall vision, strategy and development of the Lowdown Group. In 1999, they successfully commercialese the instant three in one coffee mix under the ‘Lowdown’ brand name for the retail sector. As at 31 October 2009, the ‘Lowdown’ three in one instant coffee mix was sold in approximately 550 retail outlets in Singapore and approximately 2100 retail outlets in Hong Kong.
In 2000, they commenced their first export of the ‘Lowdown’ brand of three in one instant coffee mix to Singapore. By end of 2009, the Lowdown 3-in-l instant coffee mix was sold at 1,348 retail outlets in Malaysia, 550 retail outlets in Singapore and 2,100 retail outlets in Hong Kong. In 2005, it expanded vertically into the food services sector by opening a chain of cafe outlets based on the traditional IIOP coyote shop setting and ambiance under the O ‘ letdown White Coyote’ brand name.
Since the opening of its first cafe outlet in IIOP in 2005, its chain of cafe outlets has expanded to around 160 cafe outlets in Malaysia and Singapore. This includes fully and partially owned, and franchised cafe outlets. The management has successfully mixed tradition with modern conveniences, revamped and revived the traditional cafe concept into a successful working model with outlets conveniently located and easily accessible to customers. SOOT Analysts SOOT analysis is a method used to identify one organization’s strength, weakness, opportunities and threats.
This method will help a new organization to position themselves from other competitors. Strength is internal resources that can be used to produce a competitive advantage. Weakness is the characteristic of internal environment that will place the organization at a position that will be disadvantage in elating to others. Opportunities are revealing new opportunities that can improve the organization’s profit and growth by analyzing the external environment.
Threat is the changing external environment that might bring threat to the organization. Strength provide high quality service to the diners provide a unique environment for the diners provide unique products economy products Weakness The business is still new in the industry Require more advertising through “word-of-mouth” Not familiar to customer preferences Opportunity Concentrate on office staff and student markets Reduce diners time in thinking of what to eat
Have a chance for growth in that area as we are at a different type from our competitors nearby Threat New restaurants might come in to that area Economic slowdown Increasing resource costs Increasing labor costs Changing of consumer’s habits of dining Marketing objective and goals The main objective of this restaurant is to remove diners’ hesitation in choosing food that they want to eat. We overcome that by reducing available choices for the food and diners Just have to “pick and pair” with the menu available on that day.
This will greatly reduce the ordering time and t can be sent taster to cope Witt our main argent market diner’s short dining session. The second objective is opening one new outlet within the period of one year. This will improve the restaurant’s growth as more outlets will generate more ideas and know better about diner’s preferences. Marketing Strategy Positioning We are a new business. Therefore, to attract more customers, a strong and motivating positioning has to be made to create a positive view of the business in customer’s eyes.
In short, positioning is creating a brand that is different from others which will attract customer to the product. “Whatever” is a term that has always men used by indecisive people. Therefore, with that in mind, we used that idea and created a brand with that name. We incorporate the term into our menu. When a customer orders a “Whatever” we will give the customer the Set-of-the-Day. Hence, we want to build a strong image in customer’s mind about us by using the term “Whatever”.
When customer thinks about what to eat and having headache because of choices, they will immediately remember about our brand as we solve that problem of too many choices. In other restaurants, their menu only changes maximum every week. Normally, the menu only changes monthly or never change. Hence, customers tend to get bored with the foods served. Therefore we ensure that the Set-of-the-Day food will not be the same every day. This will keep the customer’s curiosity for the food that they will get.
Product strategy Besides the Set-of-the-Day menu, we also provide other foods if the customer doesn’t wants the set meal. The food range is from salads, soup, sandwich, rice, pasta, Western foods, dessert and hot and cold beverages. The price range is from RMI 5 onwards. Pricing strategy Our product price is economy. We put the food price cheap to make it affordable to al customers ranging from poor, middle-class to the rich. Since we are using economy strategy, it is best paired with market penetration strategy as it goes for low price to attract more customers.
We will focus on getting more customers to increase the restaurant’s turnover rate. Our food price range is from RMI 5 to RMI 20. Distribution strategy Our business is a food and beverage business which is a restaurant. We distribute our product which is food by taking order from the customer who is dining in. Then, we deliver the food to the customer through waiter’s hand to the customer’s table. We also provided delivery service to our main target market which is office staffs and students. They call us to make their order and we will deliver the product to them.
In 6 months time, online ordering will be made available for the ease of the customers. Since, there is delivery, there will be distribution costs. Hence, all delivery will be charge RMI 2 extra as the delivery charge. Marketing communication strategy Marketing communication strategy help create brand awareness, which is customers perception about the business’s product attribute in the market. One of the most molly used ways is advertising. We can give out flyers to the office staffs and students around the business location to let them know and get information about the business.
The other way is to use “into blast” method by sending intimation to customers email. We can also do advertising on our main website. Marketing strategy Our main product sold is food. It is divided into many different types. They are salads, soup, rice, pasta, Western food and dessert. As for beverage, we have hot and cold beverage. Our food price range from RMI 5 to RMI 20 depends on what type of food is being ordered. As for the beverage pricing, all is in the range of RMI 5. Our business is opened at Barbara Times Square floor LOG or 3rd Floor.
Therefore, it is located near companies and colleges. Hence, expected customers are office staffs and students. Since it will be new opening, we will be having promotion of 50% discount for the 1st week to let the customer taste the food and for us to identify customer’s preference as well. Target market? Our business is located nearby companies and colleges. Therefore, our main target markets are office staffs and students. We provided fast service on both service and reparation of the food. This is most suitable for their short dining session.
Action Plan First of all, we started with our planning which took about 6 months of time. After that, we communicate with the Barbara Times Square’s Management about having the LOG floor shop lots and about the price of the rent. Besides, we also asked about the price to show advertisement around Times Square. The estimated capital needed is RMI 300,000. 00. Hence, we borrowed a business loan of RMI 250,000. 00 and the rest by our own. Then, we contacted our suppliers to find out about the ingredient prices ND equipment prices and start to make order for them to be place at the restaurant.
Besides, discuss with designers on the renovation of the place. Next, I will create the website for the restaurant for customer to search online about us and make deliveries orders when available. When the website is ready, advertisement will start to go up to the website. Besides that, 1 or 2 employees will be asked to go around Times Square to distribute flyers. Since, this is a new start business, 1st month will be a loss as the new equipment, rent, ingredients and testing phase for the foods ND promotion when applicable.
