Introduction of Cafe Culture
Coffee is the most frequently
selling product in the UK. Several companies are working in the UK to only
serve the coffee market. Café Culture is an important name in the coffee
market. Café Culture product line includes branded coffee with several types
such as cappuccinos and lattes. Presented work is about the communication plan
for Café Culture outlets in the United Kingdom market. A communication planning
report is consisting of information about the activities and actions suggested
by the Café Culture to address a highly competitive market.
Cafe Culture Overview
The café
culture is currently working in various areas of the world with a broader chain
of coffee cafes. Café culture is also working in the United Kingdom. In fact,
Café Culture network has already established with sites in 25 major cities of United
Kingdom (UK). Café Culture is mainly supported by JTA foods.
JTA Foods is a famous food group in the UK that present traditional products
and in-home cuisine environment. The key product of café culture is coffee
which is offered in several different flavors. Some most frequently selling
types of coffee by Café culture are Latte, cappuccino, and espresso coffee. Café
culture is now developing an expansion strategy for the business under which
Café Culture will promote its coffee products in the UK market through a new
marketing communication plan. The key objective of the plan is to ensure the positioning
of the brand in the UK market by strong market communication and electronic marketing.
In accordance with the decision taken by the corporate management of the Café
Culture, the plan will be implemented next year in January 2020.
Objectives of Plan for Cafe Culture
The key objective of the communication
plan is developed to manage all activities in the campaign. Some of these
objectives and goals are presented below:
1.
To develop a positive image in the targeted
audience
2.
To ensure differentiation in the UK coffee
market
3.
To capture the attention of the targeted
audience with an aim to increase sales
4.
To build a sustainable position by translating
the key advantages to the proposed customers through the use of social media
and print media.
Targeted Market of Cafe Culture
The targeted
market of Café Culture is selected on the basis of geographical segmentation
and demographic segmentation. In geographic segments, developed and crowed
areas of UK markets are selected where Café Culture will launch a news outlet.
Furthermore, in demographical segmentation Café Culture has selected population
of the United Kingdom (UK) as potential customers while considering their age,
gender, and income-related characteristics and specifications. The Café Culture
research indicates that young people are the most frequent consumers of coffee
and they always seek for the best tastes and quality. Details show that income
has limited influence over the trade of coffee as people of the United Kingdom
(UK) are enough economically strong to afford a cup of coffee in a café. Café
Culture will select this young generation as the target market.
Challenges of Market Sector of Cafe Culture
UK market is really attractive for
Café Culture to boost up sales of coffee and earn a huge profit on an annual
basis as coffee consumption rate is high in this geographical sector. Somehow,
still, there are some factors which can cause a direct influence on sales and
business operations of Café Culture. The key challenges of the market need to
be taken into consideration by the Café Culture in order to earn success in
this market. The key challenges are fluctuating prices of coffee and changing
market trends. The key challenges also include the increasing competitive
position of the UK market. New entrants and already established competitor
companies process threats for the Café Culture which are required to be managed
by the management of Café Culture through effective market communication
strategies.
Potential Competitors of Cafe Culture
Competitor
products and substitutes are difficult to manage in dynamic markets. Café Culture
is not the only company which will work in the market of UK. In fact, a number
of other competitors companies are also working in this geographical and
demographical targeted market with almost the same products and services. Potential
competitors of Café Culture includes already established companies and cafes
with coffee-related products. Furthermore, new entrants are also a reason for
increasing competition in the selected market of United Kingdom (UK). Market
analysis shows that the coffee market in the UK is already headed by some
famous coffee selling brands which include Starbucks, Costa Coffee, and the Coffee
Republic. These competitor companies have strong position and image in the
market because of which a huge market share of coffee is consist of the loyal
customers of these brands. Somehow, at the same time, new entrants are also
willing to capture the maximum share of the market by providing the best
quality featured products. New entrants such as Aroma, Café Cadbury, and Café
Nescafe are opening coffee outlets in public places like hospitals and railway
stations. The growing sales of new entrants also show threats and challenges
for the future sales of Café Culture.
Changing Market Conditions of Cafe Culture
Changing
market conditions is also a challenge for the business of Café Culture. Market
studies indicate that people of the UK are also switching to other drinking
products and beverages. Because of some research findings, it is considered
that the high consumption of coffee is not safe for the health of human being (Smartinsights.com,
2017).
As a result of this, some people are switching to fresh juices and other
available beverages in the market. Excluding this, tastes of UK people are also
changing over the period of time. People easily switch to trendy products.
Whenever a new beverage or drinks become trends in UK coffee market
automatically gets the effect. The changing market condition also covers the
changes in the prices of coffee beans and other material used in the coffee.
Changes in the prices of these materials also have a direct impact on the
prices and sales of coffee.
Recommended Creative Strategy of Cafe Culture
In the presence of high competition
in the targeted market Café, Culture will face challenges for its survival,
therefore, some effective strategies are required to create differentiation in
the market. Although, positive image building is also necessary to grab the
attention of the selected audience. Positive image building, positioning, and
differentiation all depends upon the communication and marketing of a company
in the selected segment. Considering this it can be said that Café Culture needs
to establish new creative strategies to ensure accomplishment of prime purposes
of a business in the UK market. The recommended creative strategy for Café
Culture relates to different areas of market communication and marketing
strategies. The recommended strategy for Café Culture is to develop awareness
in the market regarding the benefits and advantages of offered products. Café
Culture needs to educate the current market through the use of innovative
sources such as digital media and social media to understand the difference
between the products of Café Culture and another competitor. Strong
communication network will support Café Culture to elaborate on the key
advantages of its services to the customers covering quality benefits, customer
satisfaction, and prices advantages.
Media Strategy of Cafe Culture
The
selected media strategy for Café Culture is to take advantage of both printed
and digital media to spread awareness in the market. Printed media will publish
messages of Café Culture in the advertisement and articles to educate the
targeted market about the key features of Café Culture. While electronic media
will be used to post innovative and attractive activities carried out in the
Café Culture outlets on the social networks and fan pages of the brand. Café
Culture will use both media with innovative and creative ideas to support
market growth and to build an interactive relationship with the targeted
audience (ELLERING, 2019).
Communication Planning Model of Cafe Culture
Communication-related activities will
be done according to the communication planning model. The selected
communication planning model for this project is Chris Fill marketing
communication planning model. The model mainly emphasis on brand, experience,
and participation. Following this model context analysis are taken for the Café
Culture brand. The context analysis was consist of internal context, customer
context, external context, and business context. In this analysis, research is
conducted in the market on the basis of which potential segment of the audience
is targeted as the selected audience.
Furthermore, considering this model
some communication-related goals and positioning objectives are selected. These
goals and objectives are developed in the light of corporate goals, marketing
goals and communication goals of the Café Culture. While developing these goals
the main emphasis was on overall corporate goals and financial budgets to align
all activities with the organizational objective in the appropriate way. Café
Culture will follow up pull strategy for the flow of communication (Baker &
Hart, 2016).
Café Culture administration and corporate management will directly communicate
with the customers through a straight communication channel rather than relying
on intermediaries. (See the presented below communication planning model of
Chris Fill)
After the selection of marketing
communication strategies, the coordinated communication mix is developed. In this coordinated communication mix
style, media, and types of communication were selected to each kind of
stakeholder. According to the communication plan resources selection is made
along with the appropriate scheduling of activities. Resources utilization
related plan was developed in the light of selected styles of communication and
optimized budget of marketing communication for Cafe Culture.
Positioning
Strategy of Cafe Culture
In marketing
communication, positioning and branding activities are highly important. As the
market grows and eventually gets matures, different roles will be expected from
the marketing communication used by the mainstream players. For instance, in
the introduction stage focus on awareness is essential to grab the attention of
customers. While on the maturity and growth stages differentiation with
positioning is required to secure a strong and sustainable position in the
competitive market. Positioning is selected to concentrate on some areas to
ensure improvement and excel organizational performance (Fielded,
2012).
The selected areas for positioning
are quality and prices. Focusing on the quality aspect Cafe Culture will ensure
to develop a positive image in the market related to the high-quality
production system in the cafes of Cafe Culture. Cafe Culture will describe how
in the kitchen of Cafe Culture outlets quality standards are maintained. Environment-friendly
production system with a limited contribution to negative environmental impact
will support cafe culture to earn a better reputation in the market. Alongside,
quality of services will be also improved in the outlets.
Service providers will be trained
professionally particularly emphasizing on the communication skills of these employees.
Full comfortable environment and well manner service providers will provide the
best customer experiences. Good customer experience will support WOM (word of
mouth) strategy of café culture in positioning. In addition, to support
differentiation and positioning appropriate prices related strategies would be
developed. Pricing strategy translates the vision of the company therefore, the
appropriate pricing strategy can result in a good reputation.
Advertisement of Cafe Culture
Advertisement
will be made in the selected market to promote coffee products. Advertisement
will work as a supportive strategy for communication. Through this Café Culture
management will translate the key objective and messages in the market to
ensure their attraction and attention towards the offered product portfolio of
Café Culture in the UK market. Innovative content with attractive designs will
be used to capture the attention of coffee consumers. Advertisement will also
provide information about new discount offers, expansion in the product line,
changes in policies, special offers, and different prices of offered products. Advertisement
will also use as branding activity to tailor a successful ad campaign and
preemptive unique selling propositions. Media strategy used in the
advertisement is media dispersion approach. Under this media strategy, most
innovative resources will be utilized and different media categories will be
employed to reach the targeted audience. Advertisement will be published in
weekly magazines and newspapers (Hanlon, 2016).
PR strategies of Café Culture
Cafe Culture will also take advantage of the public relation
strategy. Café Culture will develop a relationship with the press and media to
release something newsworthy about the inauguration event and other promotions
related events organized in the Café Culture. Somehow, in the beginning, Cafe
Culture will pay limited attention to PR strategies because of the high budget
requirement for PR strategies. In the limited budget of Cafe Culture, PR
strategies are difficult to manage. However, the carried-out strategies for
public relation will develop a connection to the campaign focus, aims, and
targeted market requirements (Smith & Taylor, 2004).
Digital Marketing of Cafe Culture
Digital marketing is the innovative marketing style which
enables the companies to interact with the customers. Café Culture will use
digital marketing strategy for the purpose to support two-way interaction. Digital
marketing will be made through social media platforms e.g. Facebook, Twitter,
and Instagram. Furthermore, a fully responsive website will be used to
communicate with the customers. Website and social media activities will also
include feedback collection to bring improvement and betterment in the offered
products and services.
Budget and Evaluation of Cafe Culture
The budget set out for this communication campaign is
limited to £2 million. The total duration set out for the communication plan is
12 month (a year). Budget will cover all costs and expenses related to the
marketing and communication campaign excluding the expense of salaries for the
marketing team. The costs and expenses to be covered in the budget are
presented below:
|
Duration
|
Cost/expense
|
Marketing Activities
|
|
|
Social Media
Marketing
|
12 month
|
£ 6,000
|
Public Relation
|
3 times (December, January, October)
|
£1500000
|
Advertisement
|
6 Month (December, February, April, May, July, September,
November)
|
£ 120,000.00
|
Agency Cost
|
12 month
|
£ 16,800
|
Total Budget
|
12 month
|
£ 1,642,800
|
The advertisement
related activities will be carried out 6 times a year. While on the other hand,
public relation strategy and promotional events will cost £1500000. Agency cost
is £16,800 for a 12-month duration. Somehow, the one-month agency cost is £1400.
The social media marketing activities will be carried out through the support
of a professional social media agency on the contract of £500 per month. The
social media page will include SO writing for the website and social media
platforms including Facebook, Twitter, and Instagram.
Success of Campaign of Cafe Culture
The success of the communication
campaign will be measured and evaluated at each stage to identify weakness and
limitation for further modifications and improvements in the communication
plan. The accomplishment of communication-related objectives developed in the
communication plan will be used as a success measurement matrix. Furthermore,
improvement in sales percentage over the period of time will also explain the
successful of the campaign.
Conclusion on Cafe Culture
The whole discussion and above-stated
information conclude that Cafe Culture is working in the highly competitive
market, therefore, there is need to ensure working on communication and
marketing plans to grab the attention and attraction of targeted market of UK.
The communication plan will cover all important activities related to promotion
and direction communication or interaction with the selected audience. A budget
of £2 million will be utilized to work on the campaign and communication plan
while aligning all activities with the corporate objectives and communication
goals. The selected activities and media strategy will be considered as
successful strategies and action in case the outcomes result in the increase of
profit or sales. Furthermore, the accomplishment of organizational objectives
will also indicate the success ratio of cafe culture.
References of Cafe
Culture
Baker, M. J. &
Hart, S., 2016. The Marketing Book. s.l.:Routledge.
ELLERING, N., 2019. How
To Make The Best Integrated Marketing Communications Campaign In The World With
Multiple Teams. [Online]
Available at: https://coschedule.com/blog/integrated-marketing-communications/
Fifield, P., 2012. Marketing
Strategy. s.l.:Routledge.
Hanlon, A., 2016. Digital
Marketing model: Lauterborn’s 4 Cs. [Online]
Available at: https://www.smartinsights.com/marketing-planning/marketing-models/digital-marketing-model-lauterborns-4-cs/
Smartinsights.com,
2017. Marketing communications planning using the PASTA model. [Online]
Available at: https://www.smartinsights.com/managing-digital-marketing/planning-budgeting/marketing-cdommunications-planning-using-pasta-model/
Smith, P. R. &
Taylor, J., 2004. Marketing Communications: An Integrated Approach. s.l.:Kogan
Page Publishers.