MS_PPT

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Final Paper

Final Paper

Description

MySpace is a new coffee shop that started less than three months ago. It has captured a reasonable size of customers who are impressed by their services. MySpace has advanced into the local café market. It is popularly known for coffee, and it aims at using the growing internet interest to their advantage. Therefore, the market demography is divided into two; the first group interested in accessing the internet and the interest to enjoy a coffee in an inviting atmosphere outside their homes or offices. The majority of these customers are the students of the University of California. The second group is customers that are not familiar with the internet. The majority of these customers are from the California retirement centers. However, MySpace identifies this as an opportunity since the older adults represent a growing segment of internet users (Hiriyappa, 2018)

MySpace provides services such as a meeting place for business people. Business people are driven by the desire to share internet-based business ideas (Clarke et al., 2016). Also, it shall be a social hub for the students and young adults. The business attracts these customers to share beverages and internet experiences with friends. Another service is a gathering place for older adults. They come to the MySpace coffee shop to learn about the internet. Moreover, they learn about communication methods through the internet. Lastly, the business serves as a stopping point for travelers that need an internet connection.

MySpace one of the major strongholds in its knowledgeable and friendly staff. The staff is passionate about sharing and teaching their internet experiences. Another strength is its best equipment such as flat-screen displays and fast machines (Paul & Donnelly, 2003). The MySpace place has a perfect hideaway for meetings and small friendly gatherings. The quality cappuccino machines and glass pastry display case improves the customer experience. The last strength of MySpace is its clear vision. The MySpace Internet Coffee Shop understands what it takes to build an upscale cybercafé. For example, the business knows both the customers and the technology and how to build services that bring them.

Problems and Opportunities

However, some problems are faced by the MySpace Internet Coffee Shop. For example, the cost of internet access rapidly falls. The cost of access to the internet becoming cheap and affordable will make no one want to pay to access it. Therefore, MySpace has identified this as a potential threat, and it makes close monitoring of the costs. Another problem is emerging local competitors. Additional competitors force the MySpace Internet Coffee Shop to be prepared for their entry. The solutions that are being worked on are building quality service and upscale ambiance that is hard to match. Moreover, the dependence on fast-changing technology is also a potential problem. MySpace provides a place for people to enjoy the internet; however, the technology changes rapidly. MySpace is forced to keep up with these technologies (Hiriyappa, 2018).

However, the growing number of internet users will result in the number of people in need of internet services at MySpace (Hiriyappa, 2018). Therefore, this is an opportunity for the MySpace business. Additionally, the new internet communities foster social bonds. Internet is popular for bringing a lot of people together than any other medium. Therefore, MySpace can take advantage to capitalize on this social trend. This can be implemented by setting up places for smaller and local communities. These communities will serve as chat areas and help build customer loyalty.

MySpace Marketing Objective

Promote New Services and Products

MySpace targets to provide additional products and services such as private working space, café serving snacks, healthy meals, beverages, and copy center services. The coffee shop shall consider the expenses associated with these new products and services so that they can comply with the company's financial goals. The core service that MySpace targets to achieve is to sell coffee to customers while providing good internet to its customers. Through these actions, the coffee shop shall ensure that it has made its existing and new customers satisfied, entertained, and happy (Strengell, 2017). The major products that are currently offered include brewed coffee, espresso drinks, and tea. The products that MySpace targets to introduce include cold blended beverages, soft drinks, desserts, and bakery items to attract new customers.

Grow Digital Presence

One of the most important things that MySpace is considering is the accurate identification of its locality. To capture a new market, especially from those who are traveling using the busy highways around the café, is by listing the restaurant on Google Map and ensure that everyone who might need any refreshment along the way can easily locate us and enjoy MySpace services at an affordable cost (Lee & Kozlenkova, 2015). A Google Map will also ensure that new people visiting California can also easily locate the café. As we plan to make My Café a classic restaurant, affordable and reliable to everyone, we will also heavily rely on Goggle Map reviews, which we hope will increase the number of customers due to positive feedback. This review will help us venture into new markets in the future and might even compete with other big restaurants in the future. We are hoping to do a great job and become great competitors in the market.

This is one of the factors that small businesses tend to overlook and ignore the fact that every business deal with people, and it is necessary to capture their attention by using a website (Lee & Kozlenkova, 2015). A website will help market My Space and being situated next to the University of California. It will help create awareness of the number of students who aren't aware of the new venture. The creation of a website doesn't only assist in the marketing of the café. It is also essential in ensuring that customers and competitors can now understand that MySpace will be in existence for a long and it is there to stay.

Target New Customers and Retain Existing Customers

The MySpace Coffee shop customers are looking for a local coffee that has a unique taste. MySpace coffee shop offers products that are unique and high quality to attract new and existing customers. The coffee shop also targets to integrate technology to remain completive in the market. MySpace shall provide outstanding customer services to maintain and increase its market share. The shop will make use of customer care and after-sales service to build a loyal customer base (Hiriyappa, 2018).

Brand Awareness

MySpace targets to promote its brand awareness through a visibility strategy. The coffee shop will use online advertising platforms such as Google ads and social media platforms to market its products and services (Ashley & Tuten, 2015). The branding strategies will consider essential factors, including the efficacy of the advertisement and budget.

Market Research

For MySpace to remain competitive, there is a need to conduct market research. The primary data about the services and products offered will be collected through online surveys by conducting competitor analysis, online questionnaires, and online PESTLE analysis (Paul & Donnelly, 2003). Additionally, the MySpace coffee shop shall conduct market research through gathering information from professional periodicals, statistical data, and relevant market reports.

Conducting market research is essential because it will help MySpace understand its marketing environment, and it will be able to analyze its competitors through a marketing mix strategy (Paul & Donnelly, 2003). Marketing research will help MySpace coffee shop understand its opinion, the market in which they operate, and if the products offered to satisfy its consumers.

Target Market

MySpace intends to provide its products and services to three groups of people, including students, middle and upper-class consumers, and prosperous empty nesters (old individuals enjoying retirement).

Students

This target market entails young families who have an upscale and busy lifestyle. This age group usually wants to spin around the internet and indulge their passion for computers in a social setting; hence, they will be attracted by MySpace coffee shop's internet services. The students usually desire to check their email from time to time for messages and other school work in a friendly atmosphere; hence MySpace will provide this conducive environment. Computers surround this generation, and today, they cannot afford to ignore computers and internet services (Rahardjo et al., 2019). The majority are students from the University of California.

Middle and Upper-Class Consumers

This target population includes enterprising professionals who can be working professionals with median age and median household income. These individuals love to exercise, travel, and heavily rely on phones and PCs; thus, they will require good internet connectivity and a coffee as a refreshment.

Prosperous Empty Nesters

These individuals are not familiar with the internet, and most of them are customers from the California retirement home. It also includes members who are educated, experienced, and display interest in communities (Rahardjo et al., 2019).

MySpace’s Marketing Mix

The project’s marketing mix aims to formulate and combine procedures and practices that will yield a trend in trading services for consumers’ consistent want of them at expenses that will ultimately profit the business (Morgan et al., 2019). MySpace aims to adopt strategies of management that will meet the contemporary market conditions which the business will operate under in California. The mix has to consider the constant paradigm shift of market practices that will lead to the business up-scaling to market trends in the area (Išoraitė, 2016). The intended procedures and policies will include product strategies, promotion, distribution channels, pricing, branding, advertising, packaging, display, servicing, handling, and market analyses.

Product Strategies

Product Lines

Since MySpace shall mostly be dealing with food products, there will be two lines of product. One line will offer beverages such as coffee, blended beverages, and soft drinks, while the other will be of eatables with a bakery and desserts.

Product Market

MySpace will have identified the target market and categorized it into one being students from the nearby University, and the other being middle and upper-class consumers who include young working folk and retired able men and women. Both categories have preferences based on health and diet limitations, so MySpace shall consider it.

Product Research

MySpace will influence IT-learned friends who will be willing to collaborate in collecting online and local area market data and trends to keep the business on toes in case of an eventual paradigm shift in consumer preference (Išoraitė, 2016). MySpace will also commit to doing the groundwork of face-to-face analyses of the competitive market and consumers to improve product quality constantly.

Promotion

MySpace will set in motion to collaborate with a few close friends, help take up the burden of special and distinctive selling strategies. This will involve making them wear T-shirts and hats labeled ‘MYSPACE-the ultimate food restaurant’ at least once a week to increase brand awareness. The other mode of the promotion will be giving incentives in the form of free-bee desserts or soft drinks to early visitors, and this will make them want to come even more as they also will inform others.

Distribution channels

Since MySpace anticipates many college student walk-ins given the proximity of MySpace to the University, this alone will minimize the cost of transportation to this particular target market. However, there will be a call-to-order number by the entrance for those that prefer delivery to their doorsteps. My Space’s small team of close friends has agreed to deliver using their bicycles and scooters in this case. Bicycles and Uber will also act as the transportation mediums for relatively long-distance orders via the MySpace website and social media pages.

Pricing

The project’s/business’ initial intent is to provide customers with affordable, high-quality meals and drinks. This doesn’t necessarily mean cheap, but buy-able, considering service quality intended. The pricing will also consider the business margin expected by the end of each quarter, 25% of the initial input (Morgan et al., 2019). This will consider the fact that MySpace intends to achieve a break-even after a year. There will be price lists indicating the menu involved. The charges will run as indicated in the table below;

Product	Price
Regular Coffee	$4
Latte	$6
Soft drinks	$2 to $6
Ice-cream	$2 to $6
Cake	$5 to $30
Blended Beverages	$10 to $30

Branding

MySpace will be the brand name and also the trademark as it is. The brand name will be privatized and not to take any form of family name or individuality (Morgan et al., 2019). Every person walking in to receive MySpace services will relate to the name given their different circumstances at a point in time and that it will be easy to remember whenever the urge to consume a drink or foodstuff kicks in. This, in a way, will boost the business’ competition ability in the contemporary market.

Advertising

Capital will be set aside for running ads electronically via local affordable radio stations at least 10 to 30 hours monthly (Mahrinasari & Pandjaitan, 2020), and online platform ads such as Google ads, Facebook and Instagram, and other local blogger ads. This will essentially sensitize the community and beyond of an existing MySpace in California. It will also be necessary to emulate how more successful stores and stops conduct their community presence awareness to boost clientele.

Packaging

It will be important to lay strategies on efficient and effective packaging tools (Morgan et al., 2019), such as reusable carrier-bags and food carton boxes labeled to improve brand outreach sensitization. The packaging will also play a crucial role in consumer preference.

Display

The best way to display MySpace products and make sales is by installing signage just above the entrance. The signage will have pictorial representations of the products and services offered. The signage will also be connected to power to incorporate eye-catching neon lights that will have any person’s attention passing by. The other way will be to display a see-through glass casing of nice aromatic cakes and spices that will also capture viewers’ attention both through their vision and sense of smell. This element will lead consumers right in beyond doubt.

Servicing

This will include offering free Wi-Fi connectivity to visitors to encourage their visits frequently. All customers will also be well treated in terms of fast delivery and kindness. That way, both parties will have a good rapport with each other.

Handling

Since the business involves perishable goods, there will be installing some affordable refrigerators and a backup electrical generator in power outages. This will preserve food and drinks for the long term and avoid losses.

Market Analyses

This will establish contemporary market facts that consider consumer wants and needs, alongside value for money for the business, consumers, and the society in equal measure (Londhe, 2014). Market analyses will lead to conceptualizing methodologies of MySpace brand marketing that wouldn’t only address the wants and needs of today but the future likewise.

References

Ashley, C., and Tuten, T. (2015). Creative strategies in social media marketing: An exploratory study of branded social content and consumer engagement. Psychology & Marketing, 32(1), 15-27.

Clarke, A. E., Professor of Sociology Chair and Adjunct Professor of History of Health Sciences Adele E Clarke, Friese, C., and Washburn, R. (2016). Situational Analysis in Practice: Mapping Research with Grounded Theory. Routledge.

Hiriyappa, B. (2018). Analysis of Business.

Išoraitė, M. (2016). Marketing mix theoretical aspects. International Journal of Research-Granthaalayah, 4(6), 25-37.

Lee, J. Y. and Kozlenkova,Y. (2015). Structural marketing: Using organizational structure to achieve marketing objectives. Journal of the Academy of Marketing Science, 43(1), 73-99.

Londhe, B. R. (2014). Marketing mix for next-generation marketing. Procedia Economics and Finance, 11, 335-340.

Mahrinasari, M., & Pandjaitan, D. R. H. (2020). The Influence of Marketing Mix on Subsidised Kpr House Buyer Satisfaction with Buyer’s Value As A Mediation Variables. International Journal of Economics and Management Studies.

Morgan, N. A., Whitler, K. A., Feng, H., and Chari, S. (2019). Research in marketing strategy. Journal of the Academy of Marketing Science, 47(1), 4-29.

Paul P. J. and Donnelly, J. H. (2003). A Preface to Marketing Management. McGraw-Hill/Irwin.

Rahardjo, B., Hasbullah, R., and Taqi, F. M. (2019). Coffee shop business model analysis. Integrated Journal of Business and Economics, 3(2), 140-152.

Strengell, J. (2017). Marketing plan for coffee chop.