Start networking and exchanging professional insights

Register now or log in to join your professional community.

Follow

What are the go-to marketing techniques that will help me in this situation?

I have opened my own coffee house last year, in a really good location. The first 6 months went really great, as customers were enjoying our services. Because the venue is quiet it enabled them to study and work without interruptions, and students were coming often to study in groups. I put great efforts in choosing a really good interior design for the place.

 

6 months later, the place started to get emptier and emptier, and our list of usual customers started to get less and less. I thought of everything I can try to save the place; like changing its name, changing the food and beverage menu, hiring new people to be responsible for our marketing and advertising, and I even considered changing the location, but still nothing worked. I can't tell where I went wrong.

 

What is a good marketing campaign that will put me back in business again and what mistakes should I avoid next time?

 

user-image
Question added by Samar Saleh , Community Manager , Bayt.com
Date Posted: 2017/01/18
Kateryna Ulianova
by Kateryna Ulianova , Category Marketing Manager (Culinary) , Nestle

 

Dear Samar,

 

Let me first of all congratulate you with great job you've already done. You've managed to create nice place in a good location, which was profitable minimum 6 month. This is really great job.

 

So, let me answer your questions one by one:

 

1. I can't tell where I went wrong.

 

It happened on the month 2 or 3 after opening. Your place started to develop and you've noticed, that your clients (Target Audience - TA) are students. After this you should have done the SWOT analysis (Strength, Weakness, Opportunities and Threats) for your place for this exactly TA.

 

For this you need to know deeper your TA, check their needs. Do they really need a silent, cozy place or they need trendy place. How many places they have in their “daily pool”. Who are the Key Opinion Leaders for this TA and how can you influence them. And so on, and so, on. At the same time to check competition around you, who are targeting the same TA, what are their points of difference, etc. Even such minor things, like curriculum (which may bring you all your clients after holidays back), may influence your business. All those questions should be taken into consideration in the SWOT analysis.

 

And after this, you should decide, whether students are your right TA? Maybe you should position your place for other consumers = young Adults, or Moms with Kids, or...

 

So, your Positioning and thus choice of Place, Atmosphere, Menu, etc. should be based on the right Target Audience. And after this you should create Point Of Difference for this TA.

 

2. What is a good marketing campaign that will put me back in business again.

 

This you can answer after SWOT analysis and final TA identification.

 

3.What mistakes should I avoid next time?

 

Avoid thinking, that it is evident for you, what your consumer think and need. Always ask and ask deeply. You should know your consumer, potential consumers and your competitors better than they are. Only this will allow you to create Point Of Difference, which will attract your consumers and develop your business.

 

Wish you all the best in your further development.

 

Kateryna

Rana Falahha
by Rana Falahha , Marketing , Greenland Capital Properties, Al Barsh

Good Marketing Campaign: (Free Offers).

Provide some free muffins with each cup of coffee or cookies, send a what's app messages to your clients (cost-less)  and once they are back get there feed back to improve. My answer might not be professional as the other answers. But it's simple and with no cost almost.  

Use your emotional intelligence once you get your clients back.

 

Regards.

osama faitor
by osama faitor , مدير فرع , المصرف الزراعي

Logical question

Change and development is always required

To maintain

Customers

 

Best customer question on what they need and what they want to be provided by them where I am

Naman Joshi
by Naman Joshi , Director - Client Services , Eyestone LLC

The simplest way to earn new customers is by making your coffee shop appealing to people passing by looks still matter, as much as we’d hate to admit it. Neglecting the storefront could mean missed opportunities for coffee shops to catch the potential new customer wandering by. 

Signage goes beyond the letters hanging above a front door. Signage can help direct traffic into a coffee shop whether it’s on Main Street or on the outskirts of town.

Try to give Free SamplesIf a shop is lucky enough to have foot traffic outside the shop which is the case with your shop, slowing customers down with free samples is a great way to introduce them to the store and product.

“Offer free samples out in front of your shop. Word of mouth really works. Talk about your place of business with local business owners. Encourage partnerships with businesses who could become a part of your business.”

 

Offer free drinks for friend recommendations

There’s nothing like a little bribe, right? Shops can offer treats to customers to recommend friends.

 

Reach out to local bloggers

Word of mouth doesn’t just start with customers. Influential bloggers in the area can start the buzz if shops give them an exceptional experience.

 

Engage Customers on Social Media

Give discounts for customers posting in Social media.

Encourage customers to post their feedback/experience in social media

 

 

Deleted user
by Deleted user

Having detailed an answer to Why do most café startups fail?, I guess it is only fair that I also provide an answer to the question about why some succeed.

There is no one secret to a successful coffee shop; in fact, most secrets in business boil down to either hard work, extensive experience, or luck or a combination of all three. I have taken success for this post to mean financially sustainable with an appropriate ROI for the owner, which means not necessarily giving the customer everything they would wish for.

I have established and managed more than fifteen coffee shops with varying degrees of success. While there may be hundreds of reasons why a coffee shop might succeed (including luck), here are the ones that I pursued in India that lead to successful outcomes for me.

 
  1. Consistently serving the finest espresso - It is rare in business to discover a product where consistently offering 100% quality is the best commercial decision you can make. In fact, I am the greatest advocate for the 80% is perfect model. But espresso coffee is one of those rare products where consistent 100% quality matters. Customers will walk past ten other competitors to get the best espresso, which is why this factor alone means you don't need the highly visible, most expensive location. So buy the best espresso coffee machine (3/4 group Italian made with e61 groupheads and set to the right pump and temperature levels), install it with a water purifier and demineralizer, use a conical grinder, and only buy top quality Arabica or Arabica 90%/Robusta 10% freshly roasted beans, and make sure every cup is made by a fully trained barista who is continually seeking the 'god shot.'
  2. Ergonomics is vital - Make sure the coffee workstation and layout is such that the barista hardly moves their feet in performing all their coffee making duties, and they are not competing for the space with other staff members. High volume coffee sales are the foundation stone of every coffee shop, so make sure this workstation is perfectly laid out with easy access to underneath bins, bean storage, and bar fridge milk, having the right height benchtop with easy access to cups, grinder, accessories, and reachable overhead storage of supplies. The best setups also have a small inbuilt sink to allow for quick and easy ongoing cleaning. Also, place the cash register on the front counter in close proximity to the barista's workstation. This allows the barista to hear the customer orders and get a head start on making them in the busy times, while allowing the barista to work alone in an efficient way in the very slow times.
  3. Use loyalty cards - I resisted using these for a long time ... but they really do work. Make sure it is a quality card that will last the wear and tear and look good in a customer's wallet. Nothing better than seeing a new customer's face light up when you give them a buy seven get the eighth one free loyalty card, but tick off six of them so that on their very next purchase they get a free one. Cheapest customer acquisition ever.
  4. Promote multiple sales - A coffee shop will never make enough money to pay the bills from coffee sales alone. Coffee may be the prime motivator for customers coming to the business, but they must leave with multiple sales if you are going to be successful. As a target, coffee should be no more than 40% of your weekly sales and two item sales per customer transaction means you are getting it about right. So make sure the traditional coffee accompaniments (muffins, cookies, cakes) are close by at the point of sale, and the coffee shop offers cold food, cold drinks, and hot food to ensure the best chance of multiple sales.
  5. Limit the assortment - Many newbies in the coffee shop game think that wide assortments and extensive product offers are a key competitive advantage. They forget that the customer is simply hungry or thirsty or both, and that a wide choice for most people creates anguish. So cover the necessary categories, but with limited and strategic offers. (e.g. three flavors are enough, three sizes are enough, three types of food/drink are enough). Every item you add to the assortment creates many multiples of management effort (costs) and mostly without adding anything to the revenue streams or customer experience.
  6. Merchandise your margins - Price according to perceived customer value, not according to accounting determined markups. For some well known items you will need to be at (coffee) or even below market price (coke can), and this loss should be made up with high margins on other items that are exclusive to you or in the 'don't-care and addictive' mindset of your customers. So don't add a blanket markup to your entire assortment, but price line by line according to customer expectations and what the market will bear.
  7. Get your beachhead strategies right - Getting traction in a competitive marketplace like coffee shops is vital, and you will need to have a clear understanding of how to get customers to initially give you a go and a plan for keeping them returning and referring you to their friends. 
  8. Counter service - Counter service is the cheapest most efficient and effective service system for a coffee shop, and it is now fully accepted by customers, thanks to the global success of McDonalds. Counter service is hassle free for both you and your customer, and it significantly reduces your wages bill. So get the customers to order and pay upfront, give them a number on a stand with their drinks, and deliver the food or better still give them a buzzer that calls them up to the counter when the food is ready. Counter service means that you can handle the peak demands that occur in coffee shops at breakfast and lunch, and it is a lot less stressful on everyone, ensuring the friendly banter can remain an important part of your offer.
  9. Pre-make as much as possible - Custom-made assortments assume that the customers know precisely what they want. They don't. Customers see you as the expert and are hoping that you will suggest to them what combination of food/drinks they should be trying. In a coffee shop context, I found it best to pre-make the food and leave the custom making to the coffee. Custom food is also a high cost option for you because you can't get the economies of scale making-to-order, and it limits your turnover in those peak periods where you should be busy pumping out the sales as quickly as possible, not spending the time making custom orders.
  10. Understand what you are really selling - Too many businesses, including coffee shop owners, don't fully understand the need they are really satisfying for their customers, and so they often concentrate on the wrong parts of their offer. Customers frequent a coffee shop for many more reasons than just hunger and thirst. There is the escape from a stressful office, the chance to maintain or grow a relationship, a place to get away to do some reflective work, a chance to engage with familiar coffee shop staff at a particularly lonely time, or as a place to do business and reach an agreement. Understanding the needs you are really catering to will help you better construct your offer and make decisions that keep your customers returning and so maintaining the coffee shop's success.
  11. Target TGT -0.39% takeaways - I know all your friends will tell you to get comfortable lounges, free Wi-Fi, table service, and lots of in-house entertainment ... but customers sitting on one cup of coffee for hours enjoying all these benefits won't pay your rent. My most financially successful coffee shops had a limited number of not-so-comfortable bench & bar stools to make the coffee shop look lived in and loved, but I concentrated on building the takeaway business. Takeaway customers pay the same price as the sit-down customer, but without any of the occupancy costs, and you will serve ten of them by the time your sit down customer has finished sipping on their first cup of coffee as they enjoy a chat with their friends on Facebook FB +% using your free Wi-Fi.
  12. Serve on the front line - Coffee shops, like restaurants, are much more a people/service business than they are a goods/transactional one. While a goods/transactional business can still succeed with a non-present owner, a coffee shop needs the owner's care, attention, and engagement. Customers expect it, and staff are far more enlivened when the owner in on hand taking orders or making coffee or is generally hovering in active care of the business.

Probably worth mentioning why I haven't included high traffic location on the list. The reason is that it doesn't necessarily work for coffee. Sure, you have to be located in the area where there are a sufficient number of people, but you don't need the high traffic location in that area. For a start, it will carry the most expensive rent, secondly you will be competing for that space with A1 tenants (Banks, telcos, fashion houses, franchise chains), making it near impossible to get as a stand alone coffee shop business anyway and thirdly, high traffic dose not always translate into high turnover for coffee. I made that mistake once, failing to realize that coffee is a destination rather than an impulse purchase and too much traffic can mean that people are more focused on getting somewhere else rather than stopping to enjoy your offer. Believe me, my #1 will overcome the need to get that high traffic location, and the lower rent will make your coffee shop far more financially sustainable and successful.

This is not an exhaustive list but it will give you some ideas on what you should be considering if you want to build a successful coffee shop. See also What is it like to own/run a coffee shop?, which provides further insights into the coffee shop business.

 

1. Passionate people who start it because they are passionate and talented with coffee, not because they want to start a business.

2. Product that tastes better than any other nearby.

3. Don't act like you're in the coffee business. When you're in Retail, you're in the people business.

A lot of the other things usually take care of themselves.

ARNAB BANERJEE
by ARNAB BANERJEE , VP , Overseas Infrastructure Alliance (I) Pvt. Ltd

Look let me first tell you what has gone wrong with your business!! It is the mismatch of Purpose & Action!! When actions do not meet the purpose, a business fails.

In your case people came to your coffee shop more to have an undisturbed time to do their personal work and less to enjoy their coffee!! It was like a free office/study center and less for the ambiance created over coffee.

 

So their purposes are getting fulfilled and they do not turn back because they hardly noticed the coffee!! they simply drank it!!

You got to re-position your coffee shop by talking "coffee kind of lifestyle" more which means that you have to bring in the energy that is synonymous to coffee!!

The following things can be done as per your budget and as per the laws of the country:

1.Keep some music playing as per the time, soft romantic during the day and can try hard rock in the evenings to give it a party kind of atmosphere.

2. If you can get a live band occasionally, it would create a lot of interest.

3. Create a place where people can write a few lines, romantic, sports,whatever like an in-house twitter/ facebook for more customer engagement, but make sure they are not offensive and just for fun.

4.Bring in energy by putting the photos of Elvis, Shakira, etc. in performing mode as it gives in an aura of energy.

5.Create a few good menus with coffee which make interesting every day to drink.

6.FM is big in Dubai, pet up in FM and create a story line about your coffee shop and all that interesting things happen there all day.

7.Tell people that your coffee shop is a place where it recharges you. make the communication funny and modern like connecting it like a recharge station of an electric car and it runs 100 miles.

8. If possible turn it into a Coffee night club after 10 PM by readjusting the furniture and playing jazzy music. It will create a difference among similarities among other coffee joints.

 

I short your business is suffering from an identity crisis and low energy just change it, create a niche identity and add energy to it.

 

All the best for the future. If you need anything else do contact me.

Garth Sutherland
by Garth Sutherland , Independent Marketing Lecturer , Independent Institute of Education

A simple answer. In your situational brief  you use the word "I" often. What you think is not important! What do the customers think? But YOU must talk to them. Then you will feel their emotions, their feelings, their needs, Their wants and desires? And where are they now going to? What are nearby coffee shops doing to attract these people? YOU MUST TALK TO THEM

 

Karym Bentebbal
by Karym Bentebbal , Open for an opportunity to bring onboard a wealth of experience and a positive attitude , Private Company

Think about how Starbucks did it. Reverse engineering is key to understand any successful marketing efforts. Why did Starbucks succeeded in a country that doesn't have a strong culture of coffee drinking? Is it about coffee? Nooop. It is about filling a need in a society that was missing that very social space found elsewhere called: café. And it turned out this missing cultural element became a new cultural element in countries that had the coffee culture for centuries! (even Italians now have their Starbucks!)

So look into your target audience but also about a potential missing needs in your society and fill it up with your new idea. It could be anything but don't just think about food and beverages because people won't come to your place only for that. Give them something they wish they had. Study them beyond knowing what they like to drink or eat.

 

abdallah dadda
by abdallah dadda , مدير مبيعات , بيات كاترينغ

There are many marketing techniques to mention

Web Marketing

Marketing via media

Internet Marketing

Marketing through social media

Direct marketing

Target Marketing

 

Asghar Ali
by Asghar Ali , Events & BTL Manager , Outofbox Marketing Solutions

Hi,

in a very short answer you must go with brand identity development in with you must have to work on your company logo(face lift) & little bit development in the theme.Take part in the food products exhibitions,lunch a promotion for only 01 month. 

TARIG BABIKER AL AMIN
by TARIG BABIKER AL AMIN , Head of Planning and Studies Unit , Sudanese Free Zones and Markets Co.

Thank you for the invitation ... There are values ​​or standards for clients such as: quality, price, availability, functionality provided by the café or commodity, interdependence between the customer and the cafe, the partnership - post opinions about what is provided by the caféScarcity of customers in the cafe may have a number of reasons, and in order to use strategy of go-to  market you have to answer these questions    Who we target are active in the market    What list of our products which are targeting their customers    What quantity of products that ship them to various clients    What how to promote our products targeted to customers    Where are we promoting those products targeted to customersYou should also review the speed at which the submission by the café products to customers, quality and the area surrounding the cafe

More Questions Like This