Coffee Shop Target Market Segment Strategy

Welcome to the Coffee Shop Sample Business Plan Target Market Segment Strategy

Table Of Contents
MARKET ANALYSIS SUMMARY   MARKET SEGMENTATION   TARGET MARKET SEGMENT STRATEGY   INDUSTRY ANALYSIS

THE LOST TREASURE OF ‘ARABICA’ Coffee Shop target market is the mobile individual who has more money than time, and excellent taste in a choice of beverage, but no time to linger in a cafe. By locating the Drive-Thru in high traffic/high visibility areas.
To penetrate the target market for the Mobile Cafes, these units will do what they were designed to do.
THE LOST TREASURE OF ‘ARABICA’ will take the cafe to the customer!
By using the community support program THE LOST TREASURE OF ‘ARABICA’ is instituting, arrangements will be made to visit a high school, college campus, or a corporate campus once or twice a month.
For every cup or baked good sold, a portion is returned to the high school or college. It becomes a tremendous, painless way for the institution to gain a financial reward while providing a pleasant and fulfilling benefit to their students or employees.
4.2.1 Market Needs
The United States is a very mobile society. With the introduction of the automobile, we became a nation that thrived on the further freedom of going where we wanted when we wanted. It has only gotten worse. There are over 250 million men, women and children in America, half of whom are too old, too young, or too poor to drive an automobile. Yet, there are more licensed vehicles in the country than people. And that mobility has created a unique need in our society. Our market is made up of consumers who have busy schedules, a desire for quality, and disposable income. As much as they would like the opportunity to sit in an upscale coffee house and sip a uniquely blended coffee beverage and read the morning paper, they don't have the time. However, they still have the desire for the uniquely blended beverage as they hurry through their busy lives.
4.2.2 Market Trends
Nearly twenty years ago, a trend towards more unique coffees began to develop in the U.S. There had always been specialty coffee stores, such as Gloria Jeans and others, but people began to buy espresso machines for their homes and offices, and people began to have coffee tasting. Then espresso bars began to appear and, inevitably, along came Starbucks ... the quintessential bastion of the upwardly mobile professional who wanted to take control over how their beverage would taste and smell. However, we have also become more rushed for time during that same period. Those same consumers who helped push Starbucks to $2.2 billion in global sales are now rushing kids to soccer and basketball games, running to the grocery and trying to get to work on time and back home in time for dinner ... or to get to the next soccer game. Yet, they still have the desire for that refreshing, specially blended coffee each morning. Lately, we've seen the introduction of beverage dispensers at convenience stores that spit out overly-sweet, poorly blended cappuccinos in flavors such as french vanilla or mocha, and consumers are paying as much as $3.00 for these sub-standard beverages. The market is primed for the introduction of a company that offers a superior quality, specially blended product in a convenient, drive-thru environment at a price that is competitive to the national coffee houses.
4.2.3 Market Growth
According to industry statistics, the consumption of coffee and flavored coffee products is growing rapidly. The largest national brand for retail coffee outlets achieved $2.2 billion in sales in 2000 with 3,000 retail outlets. They are anticipating opening 7,000 more outlets in the next five years and increasing revenues to over $6 billion. That is the coffee consumer market. The segment of that market we are targeting is the commuter and that number is increasing. In the metropolitan area, as with many metropolitan areas in the country, there is a migration away from the cities. It is estimated that there are well over 2.5 million commuters driving to and from work each day in our market. Statistically, at least 50% of those are coffee drinkers. That gives THE LOST TREASURE OF ‘ARABICA’ a significant daily target for its products. Those numbers are growing by 6% per year.