Home > Free Essays > Business > Company Analysis > A Dr. Cafe Coffee

A Dr. Cafe Coffee Case Study

Exclusively available on IvyPanda Available only on IvyPanda
Updated: Sep 29th, 2019

Introduction

The idea of dr. café coffee came up after its founder Yousef began exploring the world in search of the best tasting coffee. In fact, he traveled from one state to another visiting various coffee houses different cities. He went to Yemen in order to understand about coffee since Yemen is known to have discovered coffee. He visited coffee plantations and observed all processes involved in production and roasting of coffee.

Then after developing interest in the berries he decided to enquire more about the trade. Then he went ahead to find out different species of coffee and how they can be prepared to offer different tastes (Corte swearingen, 2010). Therefore, dr. café coffee started from a small kiosk where coffee was brewed using finest coffee beans.

The first coffee kiosk was set up in a shopping mall where guests would walk in and have their favorite coffee. At that level, the shop had no name, and for a long time Yousef referred to it as his “small sport of joy”. In fact, the name was decided by his guest after being requested to give their favorite joint a name of their choice. After considering the many names proposed, they settled on dr. cafe coffee.

Product

The company offers services as their products where they offer coffee to their guest. In order to ensure that they keep ahead of their competitors, they ensure that they offer quality coffee for their customers. This is extremely powerful because if customers feel dissatisfied with services offered by dr. café coffee, chances are high that they will shift their loyalty to other players in the market.

Product differentiation is another aspect the company uses to ensure that their customers do not run away from their business. This is where the company ensures that they brew coffee in accordance to their customer preferences (Lantos, 2010). Their qualified staff ensures that every brand of coffee meets the requirement set by customers with the aim of ensuring guests enjoy their favorite tastes.

The management makes sure that they collect enough information from the customers regarding their preferences and expectations. This strategy is vital in product development because customers know what they want from coffee shops.

Tastes and preferences of customers should be given priority since they shape the future of the business. Once customers are satisfied with the services offered by any business enterprise they keep on returning to them for their products. Therefore, quality of the products should be looked upon by the management in order to keep the business.

Price

Pricing is another tremendously vital aspect of the marketing mix that determines how business enterprises win customers from a competitive market. In the case of dr.cafe coffee, the management ensures that they provide drinks affordable to all.

For example, they have expensive and cheap coffee to ensure that people across all classes afford to taste their favorite coffee. The organization makes sure that their prices are such that they keep their customers, hence avoiding instances where their competitors take away customers from their enterprise (Jeff, 2006).

The company uses customer feedback system to find out how customers feel about their pricing. This is notable because it helps the coffee shop to understand how their customers react to their prices. Furthermore, they carry out research to find out the prices of their competitors in order to strategize on how to balance their profitability and customer loyalty.

In fact, this company balances between quality of services and pricing to ensure that the company does not operate at losses. This means that the company does not have to operate at losses to impress their customers. Therefore, they might be expensive and still earn customer loyalty since they retain high quality of their products.

Place

When it comes to location of their shops, dr. café coffee ensures that its shops are strategically placed in order to be accessible by its customers. They have their coffee outlets situated in shopping malls to target shoppers in such places. When people go shopping in the shopping malls and come across a coffee outlet, they might decide to walk in and have a cup of coffee to relax their bodies.

In fact, many people like meeting in shopping areas, therefore, locating a coffee outlet can target most of potential. The company located its outlets in places where public offices are located at target workers who are particularly tired at the end of the day. These customers pass by the outlets to sip their favorite coffee brands to refresh their bodies after busy days in the offices (Corte swearingen, 2010).

Locating businesses in places where customers can access increases chances of enterprises to beat their competitors. Customers prefer going to places where they can have quick access to and receive quality services. A place accessible by public transport is another crucial aspect to be considered when locating a coffee outlet. This ensures that customers can use public means to and out of the premises all the time.

Promotion

Promotions are essential for any organization since they play a key role in creating awareness of the organization and its products to potential customers. dr. café coffee uses different tools of promotion in order to ensure that it acquires the right market share in the competitive coffee market. For example, they might come up with a plan of rewarding regular customers by giving discounts on their purchases.

Giving price cuts to customers makes customers feel like going back to the company for another cup of tea another day. This increases sales of the company hence increasing its revenue (Lantos, 2010). The company advertises its products in various media hence enhancing many people to know about their existence.

In order, to promote its new product, the company gives free gifts to its customers hence encouraging many more to come for their products. For example, they give snacks for free as an accompaniment to coffee bought.

Customers prefer dr. café coffee because they know that they will get free snacks when they buy coffee from the enterprise. This gives dr. café coffee a competitive advantage as customers prefer going to their outlets as opposed to those of their competitors.

Conclusion

Marketing mix is vital for every organization as the 4Ps cover all aspects to be considered for success in business. When an organization takes care of the quality of their products, they impress customers by satisfying their need hence building consumer loyalty. This company knows how to price its coffee hence ensuring that everyone can afford coffee from their outlets attracting customers across all income brackets.

Their location selection is strategic to ensure that the target population has easy access to their outlets. This means that their shops are in places where potential customers can notice and prefer visiting for a cup of their favorite coffee. Finally, they have proper promotion strategies that ensure all customers are happy about the services and long to return to the premises.

References

Corte swearingen (2010).Creating a powerful marketing communication strategy. Web.

Jeff, M. (2006) Introduction to business. London: Cengage Learning.

Lantos, P. G. (2010). Consumer Behavior in Action: Real-Life Applications for Marketing Managers. New York: M. E. Sharpe.

This case study on A Dr. Cafe Coffee was written and submitted by your fellow student. You are free to use it for research and reference purposes in order to write your own paper; however, you must cite it accordingly.
Removal Request
If you are the copyright owner of this paper and no longer wish to have your work published on IvyPanda.
Request the removal

Need a custom Case Study sample written from scratch by
professional specifically for you?

801 certified writers online

Cite This paper
Select a referencing style:

Reference

IvyPanda. (2019, September 29). A Dr. Cafe Coffee. https://ivypanda.com/essays/a-dr-cafe-coffee-case-study-case-study/

Reference

IvyPanda. (2019, September 29). A Dr. Cafe Coffee. Retrieved from https://ivypanda.com/essays/a-dr-cafe-coffee-case-study-case-study/

Work Cited

"A Dr. Cafe Coffee." IvyPanda, 29 Sept. 2019, ivypanda.com/essays/a-dr-cafe-coffee-case-study-case-study/.

1. IvyPanda. "A Dr. Cafe Coffee." September 29, 2019. https://ivypanda.com/essays/a-dr-cafe-coffee-case-study-case-study/.


Bibliography


IvyPanda. "A Dr. Cafe Coffee." September 29, 2019. https://ivypanda.com/essays/a-dr-cafe-coffee-case-study-case-study/.

References

IvyPanda. 2019. "A Dr. Cafe Coffee." September 29, 2019. https://ivypanda.com/essays/a-dr-cafe-coffee-case-study-case-study/.

References

IvyPanda. (2019) 'A Dr. Cafe Coffee'. 29 September.

Powered by CiteTotal, easy bibliography maker
More related papers