It has less advertise in the electronic media, print media etc. Moreover, except delighted Coffee it has Hot Chocolates of market demand, Specialty Drinks market demand, Teas and Infusions market demand, Cold Drinks market demand, Foods market demand by the choice of the people from different zone. Senior Growth Marketing Manager. Product Strategy of Starbucks Listed on 2023-04-29. This is the job responsibility of the marketing people as the marketer to create as well as design the right and correct marketing mix in response to the product mix. In addition to, it provides many attractive offers like discount offers and free coupon. 2009) When marketing FMCG the first 4P's: 1.) It also strategically lowers its prices during certain times of year when they want to promote sales. One delivery or share the name of the product. Alternatively, check out theMarketing91 Academy, which provides you access to 10+ marketing courses and 100s of Case studies. These are Product, Price, Place and Promotion. The Coffee Culture and the increase of Coffee drinkers in Pakistan show a healthy growth rate in 2005. 3. When using the 7Ps as a model to conduct a marketing audit, I look at each of the Ps. 2. The urban middle class in Eastern Europe, UK, China, and India is more likely to benefit from this boom of technology and social media and would become a vast customer base for the CCs new stores, adding more consumers to the present base. With all these features, CC has expanded from UK to the global scene where it is out to grow even more in the times to come. And it is focal of the pricing strategy to read the perception of the customer according to their mind set and if it is done successfully then it may entail to have the success pricing methodology set up that will keep the company in the focus of the customer. Thus Costa coffee is more interested in a pull strategy rather than a push strategy. Our free guide details 15 classic planning tools to help you use data and analysis to develop your marketing strategy. 3.1 The Micro Environment
It is globally recognized and reputed by its tremendous tastes of foods especially in the form of Coffee. As mentioned earlier, the brand is well-known for its richly brewed coffee and a collection of premium teas. Her expertise spans consumer touch points, online customer service, the use of reviews, the role of influencers, online engagement and digital content. The 7Ps of The Marketing Mix | Oxford College Of Marketing He is a Fellow of Advance HE (FHEA) and a full member of the Association of Business Executives (ABE). Marketing mix plan of Costa Coffee: The 4p of Costa coffee is given below: Product: The main target of Costa coffee is being the number one coffee brand. As per the popularity customer have observed about Costa Coffee, it has different exclusive discount offer for the product of Mocha which is delicious, Latte which is delicious, Americano which is delicious, Flat White which is delicious, Expresses which is delicious and Cappuccino which is delicious. Anastasia Belyh. In India, the per capita consumption of coffee is around 85 grams while it is six kg in US Developing nations are the big potential for the companies in this industry. Costa Coffees biggest competitors in the UK are Starbucks, and Caffe Nero. Similarly, with Costa Coffee app, customers can select their favorites and nearest store where the items are prepared and ready for them. It is well-known for its handcrafted coffee beverages, delicious food offerings, and warm atmosphere, all of which have contributed to its success. Since the success of this strategy the company from 2002 to 2005 opened 79 stores in international market and until February 2010 the company has 528 stores in 24 countries such as Oman, Egypt, Qatar, Bahrain, Kuwait, UAE, Jordan, Lebanon, Syria, Europe, Russia, Pakistan, Beijing, Shanghai and the other two countries mention before. Starbucks's Marketing Mix (4Ps) Analysis - Panmore Institute There is a survey of Costa Coffee to the customer where the customer shares their views regarding the Costa Coffee and shares their personal experience for Costa Coffee. The 7Ps helps companies to review and define key issues that affect the marketing of its products and services. Advertising and Marketing of Consumer Items, Positive and Negative Impact of Social Media, Role of a Leader and Function of a Manager, Recruitment and Selection Process of Tesco, Sample Contract Law Questions and Answers, Gender Pay Gap and Why do Men Get Paid More than Women. The findings above notify that Costa has very strong market intensification potential. As a result, it is the common guideline to the marketer to consider the value like perceives value of the product according to product offers. McCarthy (1960) was first to suggest the . Costa Coffee (CC) is a fast growing global coffee venture. Costa Coffee is a premium brand. Processes: More sales staff are now involved in conversion. LinkedIn. It is a subsidiary of the Coca-Cola Company. This assignment report outline strategic and marketing approach to be undertaken for the current year by the Costa Coffee, a chain- part of a UK- based Multinational conglomerate Whitbread Family. Costa Coffee should consider pursuing more international market expansions which should help it increase its revenue. to Their Promotional marketing mix strategy is the word of mouth that is done publicity. After expansion Costa will be able to establish a firm and strong foothold in all the major markets of Pakistan. Marketing Plan for Costa Coffee - GRIN (1964). Price in the marketing mix of Costa coffee Costa coffee believes in Premium pricing because of its product varieties and its quality. Any opinions, findings, conclusions or recommendations expressed in this material are those of the authors and do not necessarily reflect the views of UKEssays.com. About Costa Coffee. 5.1 Sales objectives
The market development strategy implemented by Costa Coffee (Refer graphic N1) started in 2002 when they opened new geographical market in Dubai and Saudi Arabia, creating new market segment, adopting different price police to attract different customers. Additional loyalty cards will continue to be available at all stores for customers to pick up when they purchase their next cup of coffee. Marketing Strategy of 7-Eleven analyzes the brand with the marketing mix framework which covers the 4Ps (Product, Price, Place, Promotion). At this stage, the company launched multiplex advertising campaign to encourage people within its existing market in order to choose its product or consume more of it. A popular marketing model, the marketing mix is can also be referred to as the 7Ps framework for the digital marketing mix. Their selection of place is situated in giving the priority to the comfortable and time consuming zone. The original marketing mix concept was created during a time when the majority of businesses sold physical products and it was updated in the 1980s as more service-oriented businesses started to emerge. Costa Coffee is a British coffeehouse chain. Since their income is relatively higher than most coffee brewing companies, the time for implementation of their chosen knowledge management tools would take longer than usual, aside from being expensive. Advertising of the product describes the product features. Increasing competition from existing coffee shops is a challenge. In todays market environment, along with quality, Image and Status are also all important. Listing for: FELLOW. Place is required for the promotion of the product. Most of the awareness will be through the word of mouth of people amongst the masses. How to use the 7Ps Marketing Mix - Smart Insights What Is Marketing Mix? - The 4Ps & 7Ps Of Marketing - Feedough So, placement is the very important topics in the context of the marketing Mix. Costa Coffee sells foods which have been specially made for itself, in addition to different types of hot and cold coffees and drinks. This is a detailed SWOT analysis of Costa Coffee. Marketing Mix of Costa Coffee is the research topic for emphasizing on the marketing strategies developed by the firm. 3.2.5 Legal and Ethical, 4 SWTO Analysis
It is the pillar of marketing strategy. Promotion: Directors speak at events, webinars, useful guides that are amplified by SEO and effective with SEO. Price. Emerging middle classes in China and India hold greater promise for CCs success because this class is out to taste new flavors and feel of the other cultures (McKinsey, 2012). The company understands it very well and rewards employees accordingly. At present the company is striving to develop global brands where it can capture global coffee drinkers that find at Costa Coffee shops the touch of their local cultures and moods. Marketing mix of Costa Coffee. However, certain points have to be taken into consideration by Costa Coffee regarding knowledge management tools. In should be mentioned that Costa cappuccino has five times more caffeine than Starbucks (BBC, 2023). But the Marketing Mix has been in the market for almost 70 . Digital Marketing, Marketing Manager. Now come to the Costa Coffee product development. 2. It is vital for a business to understand its marketing mix so that it knows which elements to focus on and how to use them effectively. Costas commitment to being the dominant player amongst the regions coffee shops was reinforced. As a premium brand, its prices are generally expensive. From the view point of their marketing strategy it is very clear that their priority is make relationship with customer. It has used the marketing mix to create its own brand identity. Whitbread PLC is The UKs leading Hospitality Company with franchises all over the world. In addition to it can be talked about the ice coffee like Frsotino Coffee which is delicious, Coffee Cream Coffee which is delicious, Lemonade Coffee which is delicious, and Mocha Cream Coffee which is delicious by its flavor. The food lovers are the promoter of their company or the food item and as result they are considered as the key promotional partner to marking of the product. However, it is worth noting that reviews online have shown customers mixed feelings about its products and services with many being happy while others branding some its products and services as poor (Trip Advisor, 2022). Moreover, it has the policy of pricing at premier for Hot Chocolates by order of customer, Specialty Drinks by order of customer, Teas by order of customer and Infusions by order of customer, Cold Drinks by order of customer, Foods by order of customer etc. Traditionally, the marketing mix was "the 4Ps of marketing": product, price, place, and promotion. It is clear that CC is abreast with recent trends in technological world. The sales forecasts give you an idea about the market share of students and youngsters and the professionals increasing spectacularly over the span of these three years. Your email address will not be published. Now, with the PESTLE analysis conducted above, it is important to understand the companys internal environment so that a well-rounded understanding of the companys position can be realized with which the future marketing plan can be strategically obtained. There is a variation of price in the context of the product dimension like if anybody wants to add some additional item included in the coffee like extra chocolate, cream etc. 11 min. High profile shopping malls, good looking theatre places, busy corporate areas and the place like is chosen to the placement and distribution consideration. The professionals on the other hand, always seem to be in the hunt for calming and serene locations to carry out unofficial or official business meetings. This is also very convenient for customers who have limited time. *You can also browse our support articles here >. Therefore, there is no point of substituting product by any other brand in Pakistan. In the context of the promotion the advertising of a product comes forward. Similarly, Costa Coffee does not have a huge number of stores in total like some of its competitors. 3.2.3 Economic (global)
Whatever the product is, there is a variation of price in the context of the product dimension like if anybody wants to add some additional item included in the coffee like extra chocolate, cream etc. 4.4 Threats, 5 Marketing Objectives
As the branded coffee market is expected to substantially grow in the future, more and more competitors are expected with the market trends getting more sophisticated. A company's marketing mix is a series of actions, or techniques, that it employs to promote its brand or product in the marketplace. Costa Coffee first ventures in Pakistan are greatly anticipated and it intend to meet and go beyond these expectations. If your specific country is not listed, please select the UK version of the site, as this is best suited to international visitors. One plain proofs is the companys to Rainforest Alliance laws where growth or coffee is ensure with all the social, environmental, and legal procedures. Copyright 2003 - 2023 - UKEssays is a trading name of Business Bliss Consultants FZE, a company registered in United Arab Emirates. The creator of the 7Ps of marketing is E. Jerome McCarthy in 1960. We've created the graphic below so you can see the key elements of the 7Ps marketing mix. Homewood, IL. Manna: Hand: the skill of the Barista influences the "Perfect Cup" Hi, I am an MBA and the CEO of Marketing91. The club of loyalty program allows getting discount on foods. It is found from the survey result where customer is telling it has a lot of variation in the combination of element mixtures or the different elements mixtures increase the tastes of Coffee and thats why it is implied that the Coffee has lot variation. Marketing Analysis Report for Cafe Nero 3000 words But Costa coffee also has many other varieties of products which are loved by people. [Online] Available at: http://www.redbrick.me/lifestyle/10-facts-costa/ [Accessed 11 January 2018]. They plan to deliver this key message through world class branding and marketing. It has used the marketing mix to create its own brand identity. After thorough research, and competitive analysis the perfect locations in terms of exposure, accessibility and competitive edge have been acquired. 6.3 Place and Positioning
Services | Marketing Strategy & Mix | MBA Skool After the emergence of the service economy, the 4Ps were promoted to 7Ps of Marketing Mix. The theme has been designed specifically with the Costas consumers in mind to invite them to enjoy the best coffee in the true Italian style. The flat white may appear to be just another cup of coffee, but aficionados plead otherwise. On the legal front, CC has proved to be consistent with the pertinent laws and policies with regards to its raw materials and products. While this will increase its business, it may also impact on its profit margins once those delivery companies take away their fees. Moreover, it has always running dimension for its ice coffee like Frsotino by customer choice, Coffee Cream customer choice, Lemonade customer choice, and Mocha Cream customer choice. Looking for a flexible role? Your email address will not be published. Costa Coffee has over 4000 stores and 10,000 Smart caf machines worldwide (Costa Coffee, 2022). The Extended Marketing Mix - The 7Ps of Marketing. It is this sense of responsibility that is reflected in the title responsible coffee (Costa Coffee, 2012). This is due to the quick adaptation by our youth and their fondness towards the new trends. Five forces analysis assumes that there are five important forces that determinate competitive power in the business. Marketing Mix Strategy is the combination of 4P. it helps to define the tactics to make the marketing plan happen. Handcrafted Beverages :Fresh -brewed coffee ,hot and iced espresso beverages , Frappuccino coffee and non-coffee blended beverages, smoothies and Tazo ' teas . Besides these they use the bill board in different occasions to promote their product. Also, graduated from Leeds Metropolitan University with a BA in Business & Management Studies and completed a DTLLS (Diploma in Teaching in the Life-Long Learning Sector) from London South Bank University. To export a reference to this article please select a referencing stye below: If you are the original writer of this essay and no longer wish to have your work published on UKEssays.com then please: Our academic writing and marking services can help you! This in turn helps increase sales as customers tend to buy more when they spend more time at the coffee shop. This strong brand recognition has allowed it to build a loyal customer base and gain a competitive advantage over other coffeehouse chains. when marketing 4P's strategy is enough the marketing mix is used when assessing the tools that can be used to influence buyer decisions (Kotler et al. It is practically the main profit provider of the company in the broad markets of UK. Therefore, as consumers become more conscious of their eating patterns, the demand for high sugary coffees has declined. The 7Ps of marketing include: Product Price Promotion Place People Process Physical evidence Here's how the 7 Ps of marketing can be applied to everything in your marketing mix: 1. Government policy changes could also interrupt the supply chains. Costa Coffee is predominantly located in developed economies. Although it's sometimes viewed as dated, we believe the 4Ps are an essential strategy tool to select their scope and is particularly useful for small businesses. Costa coffee faces competition from already present competitors such as Starbuck as well as from new entrant in both the UKs market and elsewhere like India and China. The 4Ps marketing mix was designed at a time when businesses were more likely to sell products, rather than services. Costa Coffee (2022) Our history, available at: https://www.costa.co.uk/behind-the-beans/our-story/history (accessed 23 January 2022), Trip Advisor (2022) Review of Costa Coffee, available at: https://www.tripadvisor.co.uk/ShowUserReviews-g1634202-d6522529-r246340559-Costa_Coffee-Pocklington_East_Riding_of_Yorkshire_England.html (accessed 22 January 2022), Sky News (2021) Costa Coffee dishes out 5% pay rise to 14,500 staff in return for pandemic hard work, available at:https://news.sky.com/story/costa-coffee-dishes-out-5-pay-rise-to-14-500-staff-in-return-for-pandemic-hard-work-12403442 (accessed 23 January 2022).