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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?
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
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.
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
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
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.
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.
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.
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
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.
There are many marketing techniques to mention
Web Marketing
Marketing via media
Internet Marketing
Marketing through social media
Direct marketing
Target Marketing
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.
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