TOPIC MARKETING PLAN FOR THE CAFE WORKSHOP MODEL AT THE COFFEE HOUSE

THE MINISTRY OF FINANCE THE UNIVERSITY FINANCE OF MARKETINGFACULTY OF MARKETING --- ---SERVICE MARKETING CLASSROM CODE: 2121702052708 TOPIC MARKETING PLAN FOR THE CAFE WORKSHOP MODEL AT

THE MINISTRY OF FINANCE THE UNIVERSITY FINANCE OF MARKETING

FACULTY OF MARKETING

-

-SERVICE MARKETING CLASSROM CODE: 2121702052708

TOPIC MARKETING PLAN FOR THE CAFE WORKSHOP MODEL

AT THE COFFEE HOUSE Major: Marketing Management

1.1 INTRODUCE 1

1.2 CORE VALUE 1

1.3 VISION - MISSION 2

2 SITUATION, MARKET & COMPETITOR ANALYSIS 2

2.1 SITUATION ANALYSIS 2

2.2 MARKET ANALYSIS 4

2.2.1 Market demographic 4

2.2.2 Market needs 5

2.2.3 Market trend 5

2.2.4 Market growth 6

2.3 COMPETITORS ANALYSIS 6

3 TARGETING CUSTOMERS ANALYSIS & POSITIONING STRATEGY 7

3.1 TARGETING CUSTOMERS ANALYSIS 7

3.1.1 Geographic 7

3.1.2 Demographic 8

3.1.3 Behavioral 8

3.1.4 Psychological 9

3.2 POSITIONING STRATEGY 9

3.2.1 Brand Positioning 9

3.2.2 Positioning Map 10

4 ANALYSE THE MARKETING MIX STRATEGIES 12

4.1 SERVICE PRODUCT STRATEGY 12

4.1.1 Core product 12

4.1.2 Supplementary services 13

4.2 PRICE 14

4.2.1 Cost-based pricing 14

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4.2.2 Value-based pricing (Customer-based pricing) 14

4.2.3 Competitor-based pricing 15

4.3 PLACE 15

4.3.1 Information and promotion flow 15

4.3.2 Negotiation flow 15

4.3.3 Product flow 15

4.3.4 Distribution options for serving customers 15

4.3.5 Place and time decision 15

4.4 CONSTRUCT A PROMOTION STRATEGY 16

4.4.1 Set communication goals 16

4.4.2 Media message 16

4.4.3 Implement the communication plan 17

4.5 PROCESS 19

4.5.1 Service Processes 19

4.5.2 Level of customer participation 20

4.6 PHYSICAL EVIDENCE 20

4.7 PEOPLE 21

4.7.1 Staff 21

4.7.2 Customer service 22

5 CONCLUSION 23

REFERENCE 1

ABBREVIATIONS LIST

1 TCH The Coffee House

2 SWOT Strengths, Weaknesses, Opportunities, Threats

TABLE LI

Table 2 1: The Coffee House's swot analysis 3

Table 2 2: Market demographics of The Coffee House 5

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Table 2 3: Competitor analysis of The Coffee House 7Y

Table 3 1: Identify target customers by behavior 9

Table 4 1: Implement the communication plan 19

Picture 2 2: Trends of handmade products 6

Picture 3 1: Positioning Map of The Coffee House 10

Picture 3 2: The space of The coffee House 11

Picture 3 3:Menu of The Coffee House 12

Picture 4 1:Physical evidence of the coffee house 20

Picture 4 2:Staff at the coffee house 21

Picture 4 3:Customer Service of The Coffee House 21

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1 INTRODUCTION

1.1 INTRODUCE

The Coffee House is a Vietnamese coffeehouse chain, created in 2014 and based in HoChi Minh city From the first store at 86-88 Cao Thang, up to now, The Coffee Housechain has been present in 6 major cities nationwide (Hanoi, Ho Chi Minh City, BienHoa, Hai Phong Da Nang, Vung Tau)

In less than 4 years, The Coffee House has opened 100 stores across the country TheCoffee House has been "redefining" the coffee experience with an inspiring space,friendly staff and good product quality at a price that suits the masses Not only that,after merging the coffee division of Cau Dat Farm, The Coffee House has officiallyoperated its own farm in Cau Dat - the golden strip of Arabica coffee beans, in order toprovide clean coffee products and quality

Picture 1 1: The Coffee House Shop 1.2 CORE VALUE

Sincerely: Starting with the mission of "Giving happiness"

Interested: Puts customers, employees and the community at the heart of every decision.

Because of you, The Coffee House is empowered to spread good values to young

Vietnamese people

Creative: The Coffee House wants to make a difference for Vietnamese coffee.

Confidence: At the Coffee House, like-minded souls work together diligently and

together for great goals

1.3 VISION - MISSION

"Human-centered" from small things has brought huge effects Every decision and

action at The Coffee House starts with the mission "Deliver Happiness" Take customers

as the focus to create the best products/services

Becoming the leading coffee brand chain in Vietnam and reaching out to the world

Create a closed process, from the source to the product to the customer Combining

traditional and modern design, creating the unique essence of The Coffee House

The coffee house will be a gathering place for coffee lovers and enthusiasts

2 SITUATION, MARKET & COMPETITOR ANALYSIS 2.1 SITUATION

ANALYSIS

STRENGTHS

- The coffee house is one of the major brands

dominating the market in Vietnam.

- A large number of stores, widely distributed

across the country.

- Spacious, friendly, and close to customers.

- Has its own built-in application on

mobile phones (100,000 downloads after half a

month of release)

- Actively in the supply of coffee from

Cau Dat’s Farm

WEAKNESSES

- For franchising business, there will be difficulties in the form of management and control

- Enterprises suffered heavy losses (2019 recorded

a net loss of 80 billion VND)

- Concentrated mainly in big cities, not yet reaching many local customers in small provinces

- Vietnam is a country with a large amount - Under high competition from domestic and

of coffee consumption foreign brand competitors

- As a domestic brand, the coffee house - Service is still mass, not really

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benefits from offering strategies that

are more in tune with the local culture

than foreign brands

- The advantage of owning a separate

ordering application on the phone will be an

opportunity to develop many new types of services

Table 2 1: The Coffee House's swot analysis

After the pandemic, the F&B market rose strongly, especially in the online form ForTCH, being a brand has many advantages to develop, especially owning a mobileapplication and its own delivery team However, nowadays, there are more and morebrands in the same segment as TCH, the challenge especially is that TCH needs to havemore special service experiences to attract customers and increase competitiveness withrivals With a spacious, airy and friendly space, high brand awareness, this will be anideal condition to develop the Coffee Workshop service model following a greenlifestyle to help improve the customer's experience when coming to TCH and catch

up with the trend

Picture 2 1: Coffee Workshop Model 2.2 MARKET ANALYSIS

2.2.1 Market demographic

Geographic Concentrate at stores in Ho Chi Minh City such as District 1, District

3, stores with spacious space

Demographic

Gender Both male and female

Income Mainly dependent Stable, from medium to high income and high

on family and affordable forunstable

Occupation Mainly students working people, office workers, students

Psychographics

Value Experience space, Study, working, meeting, relax, talking with

talking with friends, family

friends, study

experience, fast new things, focuses doesn't care much about

Behavioral

Occasion Normal day, Normal day (afternoons and evenings of the

holiday, seasonal day), weekend, holiday, …events,

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User status None users, first Regular users, first Regular users, none

time buyers time buyes users, first time buyers

Table 2 2: Market demographics of The Coffee House

2.2.2 Market needs

According to a survey of Microsoft's global customer service (2018), up to 95% ofsurvey respondents believe that service will play an important role in choosing or beingloyal to a brand It is clear that nowadays customers are more and more interested in theservice quality of a brand

When coming to coffee brands, typically TCH, customers are often interested in: diverseproducts, affordable prices, quality and speed of service, space experience all will create

a good service for customers customer In addition, customers want more needs to meet,exchange and learn with people with the same interests and professions

2.2.3 Market trend

Today, the coffee workshop model is widely applied thanks to the more diverse needs ofthis customer This is the place to exchange and learn from people in the same industrywith the same interests, with topics discussed be it health, practice of making handmadeitems, ornamental plants, …

Along with the trend of green living, in recent years handmade goods have won thehearts of users and the demand is increasing because it shows the personality,preferences and needs of each customer

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Picture 2 2: Trends of handmade products

2.2.4 Market growth

According to a survey by market research company nielsen, up to 86% of Vietnameseare willing to pay more for products that have a positive impact on society and theenvironment

2.3 COMPETITORS ANALYSIS

The current direct competitors of TCH include: Phuc Long, Highlands Coffee Afterapplying the coffee workshop model to make handmade products, they will face 2 directcompetitors: Tòong Teeng ceramic, Beanthere cafe

1 Highlands - Recognized as a premium

- Has the highest average brandawareness

- Store locations are located inbeautiful, recognizable places

- Good facility

- The price is quite expensive

- Haven't captured the popular segment yet

- Chain of franchise brands is difficult

to control and manage

2 Phuc Long - Brand promotion is quite good

Coffee

- Various drinks

- Professional staff

- Reasonable operating time

3 Tòong Teeng - New coffee service, make a

- Nice and friendly space

- The price is quite expensive.

- The quality of the garment is rated as not good

- Unequal service quality

- The brand is not widely recognized

- The price is quite high

4 Beanthere cafe - Large space - The brand is not widely

- Providing hand-made goods recognizedmaking service at the new shop - The price is quite high

- Open and clear space

Table 2 3: Competitor analysis of The Coffee House

3 TARGETING CUSTOMERS ANALYSIS & POSITIONING STRATEGY 3.1 TARGETING CUSTOMERS ANALYSIS

Age: 19-30 years old

Income: stable, from middle to high income, about 6M-18M vnd

Occupation: working people, university students,

Generation: Gen Y & Z

3.1.3 Behavioral

Pre- Need Customers are looking for a spacious space with affordable

stage

set locations, spaces, and styles fit their needs And then they chose

The Coffee House

Search attribute

Open space, wide seats, attentive service and mid-range pricesare the advantages of The Coffee House In addition, the shoparranges a lot of electrical outlets and provides a strong wifinetwork, providing the best support for customers coming tothe shop to study and work

Service

encounter stage

The Coffee House is a combination of "optimal experiencespace" with "reasonable prices" It becomes a place to meetfriends, an open working space that the service quality is top-focused The beautiful restaurant layout also stimulatescustomers to take pictures at the shop and post it on socialnetworks, indirectly promoting the brand in a positive way.Besides, The Coffee House's menu is also continuouslyexpanded and improved, bringing many quality products thatare very popular with young people This has brought manyalternative options for customers to come to The Coffee House,greatly contributing to consumers retention

Post-encounter stage Customers after using the service are satisfied with the values that

The Coffee House brings From small details such as a glass of water that is always filled or a car taken to the door, these

simple things have successfully won the hearts of consumers.Thereby, these customers are likely to return to use The CoffeeHouse's services, make repeated purchases, be loyal to thebrand, and spread word of mouth about The Coffee House'sgood quality.

Benefits sought Meeting and working space, good service, affordable prices,

3.2 POSITIONING STRATEGY

3.2.1 Brand Positioning

The Coffee House positions itself as a place to bring customers a luxurious experience at

an acceptable price

For customers: The Coffee House is a home, a place to relax, work and chat

With products: The Coffee House is a place to manufacture, supply and distribute coffee

products with quality and reliable services at reasonable prices for customersWith the market: The Coffee House is ambitious to supply Vietnamese coffee products not only in the Asian market but also compete with other brands in the world In the immediate future is the domestic market and China

3.2.2 Positioning Map

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Picture 3 1: Positioning Map of The Coffee House

a) Mid-range price

As a brand that entered the market late, competing with many big brands, TheCoffee House was very keen to see the blank in the price segment and seized thatopportunity to rise to become one of the major coffee chain in our country Currently,the products in the shop have an average price of 55,000 VND, this is an affordableprice compared to competitive brands in the market

b) Ideal space

The Coffee House space is designed in the mainstream Industrial style Thecombination of warm colors and yellow lights brings a feeling of closeness tocustomers In the design of The Coffee House, everything is meticulously calculated,from the height of the table and chair to the location of each electrical outlet Thedetails are arranged in harmony to create a dynamic open space so that each customerwho comes here can study, work or simply come to "eat cake, drink tea" to relax.These represent The Coffee House's motto: "Putting customer experience first"

Picture 3 2: The space of The coffee House

c) Good services

Service quality is probably The Coffee House's brightest plus point in the minds of customers compared to competing brands The sophistication of The Coffee House's team is not shown in an ostentatious way, but with the dedicated care of the staff here, from waiters, cashiers to security guards This is reflected in detail such as a glass of filtered water that is always filled, the car is brought to the place, the toilet is clean,

The staff always pay attention to observing so that they can assist guests in a timely manner All create convenience for customers and increase the great experience here

d) Diverse menu

The Coffee House's menu includes both drinks and food Drinking water at The Coffee House is extremely diverse, divided into 3 main groups:

Group A: Coffee

Group B: Fruit tea, milk tea

Group C: Crushed ice

In addition, during the holidays, or Christmas, The Coffee House always launches newseasonal drink menus such as apple pear cinnamon latte, cantaloupe, extremely new

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This helps buyers feel excited and not get bored with familiar drinks In terms of food, there are cakes and snacks here, meeting the needs of consumers at the restaurant.

Picture 3 3: Menu of The Coffee House

e) Widely distributed

Since its launch, The Coffee House has continuously impressed with its rapidgrowth rate The location of the shop system network is located in the best location,usually in a commercial center or in a prime location, with a beautiful street view,creating freedom and convenience for buyers Up to now, The Coffee House hasreached 170 shops covering 14 provinces, usually big cities, of which the mostconcentrated in Ho Chi Minh City

4 ANALYSE THE MARKETING MIX STRATEGIES 4.1 SERVICE PRODUCT STRATEGY

4.1.1 Core product

The combo Workshop and drink is the core product Attendees can "do it yourself" (DIY) old clothes into tote bags Participants will be instructed to measure and cut old pieces of clothing into qualified pieces to make tote bags Then they can custom (embroidery)