Market Analysis
The hospitality industry includes a range of different fields connected with the service industry and tourism. Its units (such as restaurants and hotels) can be found all over the world, as they can be adjusted to various demands. According to the National Restaurant Association (2016), the restaurant industry in the United States enhances its performance with time, which can be seen in Diagram 1:
Such results prove that starting a restaurant is likely to be beneficial when its operations are maintained professionally.
Taking this information into consideration, it seems to be advantageous to start an Asian fusion restaurant in a neighborhood of Seattle. Downtown, Capitol Hill is a great location within this area due to its public and popularity among the tourists. It is claimed to be one of the entertainment districts that are always full of people ready to try something new. More than 32,000 individuals are living in Capitol Hill that is known for being “an eclectic mix of families, young professionals, and students” (Capitol Hill, 2015).
In this way, the target market of the restaurant can be defined. Realizing that such a diverse population has different demands, the restaurant is planned to offer lunch, afternoon tea, dinner menu, and bar service. As a result, customers will have an opportunity not only to satisfy hunger and thirst but also to warm up when it is cold outside and to have a nice time with friends and family.
Many clients must be likely to be the representatives of the younger generations and counterculture communities. Such people tend to be in opposition to the general public that is why they like to try something new. Thus, they will not be impressed and attracted by an ordinary restaurant. Fusion cuisine is a new wave and a trend in the industry that is why it should be greeted with fervor. Except for that, Asian food is not typical for America. Due to technological development, people became interested in Asian countries, which increases the chances for the restaurant to become successful.
The Asian fusion restaurant will be opened from 11 a.m. to 11 p.m. on weekdays and Sundays. However, on Fridays and Saturdays, it will work to 1.30 a.m. (still, only beer, liquor, and light snacks will be served after 11 p.m.). Such a schedule perfectly meets the schedule of the customers, as they are working and studying in the morning, which means that they will have no time to come. Still, the restaurant will be opened before the lunchtime so that it can satisfy many workers and will not lose the potential income. Moreover, taking into consideration the fact that at night people prefer to have a rest without substantial meals, a shortened menu allows them to streamline the working process and reduce expenditures.
The benefit of the Asian fusion restaurant is also its ability to innovate. The national cuisine of different countries can be selected and adapted if customers are willing to see some changes.
Competitor Analysis
Capitol Hill is full of attractions all day and night. The majority of its population has a high income (median income is even higher than in Seattle) and attends restaurants rather often (Neighborhood guide, 2016). Being a center of parties and fashion, this district turned out to become a fueler for numerous restaurants that can be seen as competitors of the Asian fusion restaurant under investigation.
According to the information that is available on Zomato (2016), there are 376 restaurants near Capitol Hill. Of course, they differ in cuisine and are targeted at a different market, but it does not mean that there is no competition. The clients have an opportunity to try Asian fusion food in 7 restaurants located only in Capitol Hill (Yelp, 2016).
The competitors are mainly focused on several types of cuisine and offer not only Asian fusion but also particular dishes from such countries as Vietnam or Korea. Rather often they provide the vegetarian option and focus on sandwiches. Still, the customers tend to pay more attention to salads and meat, which proves that the restaurant can focus on them when designing its menu.
Monsoon Restaurant is considered to be the best one in Capitol Hill. Its uniqueness is connected with the menu peculiarities (Vietnamese and Dim Sum, except for Asian fusion). The restaurant usually works from 11:30 a.m. to 12:00 a.m., but it opens at 10:00 a.m. on weekends. The price varies from $11 to $30. Like the majority of other restaurants nearby, it has a waiter service, allows taking reservations and has a take-out option. This place is targeted at adults who come with their friends. It is even adapted to the needs of people with disabilities who cannot move without a wheelchair.
Still, our restaurant can win clients’ appreciation, as Monsoon Restaurant fails to deliver the orders to homes and workplaces, has no Wi-Fi that is valued by today’s youth and is not ready to serve individuals with children (Yelp, 2016).
References
Capitol Hill. (2015). Web.
National Restaurant Association. (2016). Facts at a glance. Web.
Neighborhood guide. (2016). Web.
Yelp. (2016). The best 10 Asian fusion restaurants in Capitol Hill, Seattle, WA. Web.
Zomato. (2016). Capitol Hill restaurants, Seattle. Web.