Marketing Plan
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Table of Contents
Mission Statement...........................5 SWOT Analysis...............................6 Marketing Objectives.....................11 Target Customer.............................12 Marketing Mix................................20 Implementation..............................22
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Mission Statement Savannah Coffee Roasters is a local cafe that provides a warm and inviting enviroment for our customers to enjoy gourmet coffee from around the world, fresh homemade pastries, as well as many other speciality items. We work hard to provide quality products and exceptional service that will change the way our customers approach coffee.
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Internal Factors
Strengths
- Carry a wide range of products
- Host a wide array of events weekly for their customers to enjoy - Provide lower and consistent -Online prices for their coffee beans (all are a flat rate of $11.99) - Small local business appeal - Strong branding on their signature coffee cups
WEaknesses
-Interior lacks a cohesive layout and theme (layout is choppy and confusing to consumer) -Weak and basic website, lack of strong presence on social media -Weak branding (undeveloped and unidentifiable) -Small private owned business with a lack of outside funding that provides company with financial security -Poor product placement -Lack of clear business plan and vision (attempts to expand into other markets and failed)
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EXternal Factors
Opportunities
- Expand into other local markets (Bluffton, Palmetto, Hilton Head, Charleston) - Collaborate with Local Companies - Create a Loyalty Rewards card for their customers - Expand into other Social Media Platforms besides their pre-existing Facebook - Advertise towards the College Market (Accept SCAD Cash) - Offer a Mid Day Happy Hour on Caffeinated Drinks
Threats
-Established competition
-Coffee bean industry (rising costs and labor issues) -Non coffee drinkers -Economy
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Marketing Objectives 1) Increase Instagram followers by 500 a month to reach 6,000 followers within a year.
2) Increase customer base by getting a table at the Forsyth Farmers Market once a month and give out free samples to 100 potential customers.
3) Increase customer loyalty by distributing out 50 loyalty cards a month to create 600 loyalty card holders a year.
4) Increase sales in college market by 30% in 6 months, by accepting SCAD cash and implementing a 10% student discount.
5) Open a new store location in Midtown in 2 years, and 2 more within 5 years (3 in total). 11
Target MArket
Savannah Coffee Roaster’s target market focuses on the mature college students and working professionals who around 20-28 years old. This group of people is mainly in their junior or senior year of college or in their young stage of working professionals. Our target market has a habit of drinking coffee everyday or regularly. That means we will have a group of constant customers to enjoy our service. Most of our target market is of legal drinking age so we will also supply wine and beer. We will keep our target market engaged throughout the day by not only providing coffee but also providing alcoholic beverages in a dining experience at night where customers can bring their significant others.
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Demographics
Age: 20-28 (Millennials) Sex: Male and Female
Income: $15,000-$50,000/ year Education: college graduates or working towards a bachelor’s Occupation: mature college student or working professional Race: all races
psychographics
- Individuals who enjoy spending time with groups of friends and socializing - Enjoys personal time - Values a good education - Finds fulfillment in successful career - Enjoys being connected to internet/social media - Leisure activities involve being outdoors
GEographic Segmentation
Savannah Coffee Roasters Location: 215 W Liberty St. Savannah, GA 31401
Month Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Dec
Low 38.0°F 40.9°F 47.5°F 52.9°F 61.3°F 68.1°F 71.8°F 71.3°F 67.3°F 56.1°F 46.9°F 40.1°F
High 60.4°F 64.1°F 71.0°F 77.7°F 84.3°F 89.5°F 92.3°F 90.3°F 86.0°F 78.1°F 70.5°F 62.6°F
Market Density: Downtown Savannah population density: 7,368 people per square mile although population density fluctuates during tourist seasons. Market size: People who are in the Downtown Savannah either residing, working, or visiting. Savannah Coffee Roaster (Two floors/ near 151 chairs) can offer services to over 150 people at the same time. 50% of U.S. population consumes coffee which is equivalent to 150 million people. Climate: Weather temperature determines what type of coffee beverage is being purchased during certain seasons. For instance, in the summertime people are more likely to purchase iced coffees and other cold beverages while in the winter people are more likely to purchase hot coffees and teas such15as lattes.
Customer Profile 1
Malory is a 22 year old heading into her senior year at the Savannah College of Art and Design. Although not a huge coffee drinker she has found a few flavors that she likes at Savannah Coffee Roasters after some suggestions from friends. She attends often due to her increased need for caffeine in her hectic final year of college. She has found that it is a very relaxing place to go to clear her mind and also to get work done, sometimes staying for three or more hours at any given visit. She loves the fact that they have many events but seldom has time to attend them due to her schedule. She does have a job, but sometimes finds it hard to allocate extra money for pleasures so she appreciates the fact that Savannah Coffee Roasters has reasonable pricing. She sometimes drops in for breakfast on her way to her 8am class, usually ordering the ham and gruyere croissant sandwich. She would love to see them open a new location maybe closer to where she lives on the other side of town, but until then plans to remain a loyal customer.
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Customer Profile 2
Tom is a 28 year old male living in the Savannah area. He is a young working professional with a college education. In the past two years, he began earning a salary of $50,000. He is in a serious relationship with plans to propose in the near future. Tom is an avid coffee drinker and stops by Savannah Coffee Roasters every morning before work. When he’s not in a rush he likes to pick a fresh pastry from the cafe’s assortment. On the weekends he prefers to make his own coffee in the comfort of his home. He buy’s Savannah Coffee Roaster’s Colombian coffee beans to brew. On occasion his girlfriend and him will check out one of the Savannah Coffee Roaster events to attend. They both enjoy music and try to make it to the cafe’s Open Mic Nights where they will order a glass of wine. Tom also enjoys walking to the Farmer’s Market on the weekends with his dog, Mason. Another hobby of his is playing baseball every Sunday morning with a large group of friends
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MArketing MIx
Product : Savannah Coffee Roasters offers a variety of coffee blends, fresh homemade pastries, wine and beer, other gourmet dinner dishes, as well as travel mugs and other coffee accessories branded with our logo. Also, Savannah Coffee Roasters provides their customers with quality, timely counter service. Price: Savannah Coffee Roaster has a moderate price point. While still being in line with our surrounding competitors, we offer a fair price that is reachable to our target market. Prices of beverages vary from $1.50-$6. Bakery items are priced from $2.95-$10. Our dinner menu ranges from $8-$16. Place: Savannah Coffee Roasters imports their beans from three major countries: Peru, Colombia, and Ethiopia. The beans are picked and sent straight to the store in 50+lb burlap bags. They come on pallets on small trucks, the trucks come to the store every two weeks. From there the beans are roasted and individually packaged in store. If there is a product that is not on the shelf, the customer can have it ground and it takes about a day to get it to them. Customers do have the option to order online, from there the process is similar, the beans are roasted, packaged, boxed and then shipped from the store. They can order in 3 different sizes (1lb,2lb, or 5lb) anything over 5lb is shipped in 5lb increments, the beans can be shipped either ground or whole. The orders are filled within 7 days and it could take up to two weeks to reach the customer depending on global location. Promotion: Savannah Coffee Roasters will promote their brand through many different outlets. They will use social media such as Instagram, Facebook, and Twitter to advertise their daily specials as well as upcoming promotions and events. To reach our college target customer, we will place flyers in local college dorms advertising our 10% student discount. We be creating personal relationships with our customers by selling our goods at the Forsyth Farmer’s Market. This will allow us to advertise and promote our brand by word of mouth. 21
Implementation We will implement Objective 1 by posting daily about new product and upcoming Savannah Coffee Roaster events. Give customers incentive to follow Savannah Coffee Roaster’s Instagram account by providing a free cookie with the customer’s next purchase when they show proof of their following. After a month, look at the amount of followers in comparison with the company’s objective. Alter strategy and reevaluate approach if goal of 500 followers has not been met at that time. We will implement Objective 2 by contacting the Farmer’s Marketing Board of Directors to secure a monthly table at the market. Every month provide different coffee roasts for the customers to sample with the option of buying the coffee beans or a cup of coffee right then and there. After each Farmer’s Market event, we will count and make certain 100 samples were distributed to a potential customer. If not enough samples were given out, we will reanalyze our strategy and make sure the expense of the Farmer’s Market is bringing in increased profits for the company. We will implement Objective 3 by encouraging employees to distribute out loyalty cards to customers at the register. Employees will be given an incentive to distribute out loyalty cards by receiving $5 for every card distributed. Through the bar code on the loyalty cards, we will collect information about our customers. With this data, we will reanalyze our strategies based on who are customer is.
Objective 4 will be implemented by posting a sign outside Savannah Coffee Roaster’s about the 10% student discount and ability to accept SCAD Cash. Savannah Coffee Roasters will be added to the list of businesses that accept SCAD Cash on SCAD’s website. We will also advertise this new promotion on our website and social media accounts. After 6 months, we will evaluate our college market growth to see if we reached our goal of a 30% increase. Based on the results, we will reanalyze our strategies accordingly. Objective 5 will be implemented by securing a storefront in Midtown within the year. The following year construction and renovations will begin. By the end of the second year, Savannah Coffee Roasters in Midtown will be open for business. If this is successful, the same process will occur for two more locations. It is necessary throughout this process that we evaluate our revenues to make sure the business is able to afford opening these new locations, ultimately leading to a large profitable brand.
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By The Jitter Bugs: Paige Homberg, Sophie Litow, Tiffany Lu, Madeline McBride, Manfei Li, and Kim Moore BUSN 265 Principles of Marketing Professor Ronald Williams