I.

Company

Undeniably, coffee partakes a huge sum in ones everyday routine. Be it on breakfast

tables, to-go meals, business and casual meetings, afternoon snacks or even cram
sessions; WE MUST HAVE OUR CAFFEINE!

Caf-Uk Co. hooks up with the customers daily dose of freshly

vacuum-brewed energy in a cup. The company also strives hard to be on the top of
the caf service firm. In terms of their physical evidence the service firm is a multitude of
bar stools, cushioned chairs, couches, electric outlets, and 60 x 100 cm drafting tables;
these tables are for those who need to do their plates while enjoying their own cup of
joe. Caf-Uk Co also have a naturally ventilated smoking lounge. And for their Unique
Selling proposition they embedded iPad units in their caf tables these iPads are for the
people who easily get bored waiting, who wants to read books, news articles, and blogs
for their entertainment, and for the people that needs to accomplish a lot of workloads
the Ipads can be used anytime. The establishment also offers a free Wifi that has a
speed of 10Mbps this contributes accessibility and comfort for the customers. It is also
evident that this caf is built for the benefit of the students and professionals
surrounding the area.

For their menu, hot, iced, blended, decaffeinated, or with an extra shot
of espresso; whichever way you want your coffee, they definitely have something for
your tastebuds. And if youre not so much of a coffee person, they also have tea-based
drinks. In Caf-Uk Co wide array of cakes and pastries are also visible in this caf
place. All the products of Cafe-Uk Co. are patterned the own liking and preference of
the customers. The company provides the expected service what the customer ask for.
Moreover, what makes this Caf service firm for appealing to the public is their service
operation which is 24/7 people that has the habit on studying on the wee hours can go
here.

II. Target Market

Primary Target Market- Students

Secondary Target Market- Professionals

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 III. Survey Questionnaire and Survey Results

The researchers gave out 50 sheets of survey questionnaires for the 50 required
respondents on February 5, 2015 at around 12;30pm-2:00pm in the afternoon. The
respondents are just randomly selected.

These are the questions presented on the survey sheet:

When you want to visit a coffee shop, whats the first coffee shop that comes to
your mind?

Whats the last coffee shop you have visited?

What are the factors that convince you in picking your favorite coffee shop?

Per individual it took them almost 10 minutes of time in answering our survey sheet. The
researchers found out that the respondents they just randomly selected are coffee
lovers for quite some time so their answers are reliable and steadfast because their
answers are evidently based on their experiences.

These are the survey results:

1. 30 out of 50 respondents answered Starbucks and the remaining 20 answered

Coffee Bean, Caf UK and Seattles best.

2. 35 out of 50 answered Starbucks and the remaining answered Caf UK.

3. The 50 respondents answered, the politeness/friendliness of baristas, ambiance

of the coffee shop, speed of service, affordability and taste of the products
offered.

IV. Assessment of the service firm using the Service Quality Questionnaire

CALCULATIONS TO OBTAIN UNWEIGHTED SERVQUAL SCORE

Average Tangible SERVQUAL score -1
Average Reliability SERVQUAL score -1
Average Responsiveness SERVQUAL score -1.25
Average Assurance SERVQUAL score 0.25
Average Empathy SERVQUAL score -0.4
TOTAL
AVERAGE (= Total / 5) UNWEIGHTED SERVQUAL SCORE 3.15

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SERVQUAL IMPORTANCE WEIGHTS
1. The appearance of the cafs physical facilities, equipment,
personnel, and communication materials. 27
2. The cafs ability to perform the promised service
dependably and accurately. 20
3. The cafe's willingness to help customers and provide
prompt service. 15
4. The knowledge and courtesy of the cafe's employees and
their ability to convey trust and confidence. 24
5. The caring, individual attention the cafe provides its
customers. 14
Total: 100 points 100

V. Evaluation and Presentation of the Results

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 VI. Market Structure

Market Leader- Starbucks

Market Challenger- Coffee Bean

Market Follower- Cafe Shibuya,

Figaro , and Kape Manila

Market Niche- Cafe-Uk Co. and

Barkins' Blend Cafe

VII. Recommendations for the Market Leader and Market Challenger

Market Market
Leader: Challenger:

Product- Product-
COA: COA:
o Usage of local products for the o Add more choices on the sizes of
growth of the Philippines Coffee their drinks.
industry
o Offering of local dishes that can
be complementary for their
coffees and espressos

Place- Place-
COA: COA:
o Relocation of some branches in o Maintenance of the Cleanliness of
Starbucks. the store is a MUST even if it is
o Maintenance of the Cleanliness outside of their vicinity.
of the store is a MUST even if it is o Distribution of flyers that indicates

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 outside of their vicinity. the location of a specified newly
opened branch in malls.

Price- Price-
COA: COA:
o Offering of SBs Caffeine Boost o Reduction of their price by 3%
Bundles that are offered best for o Offering of discount coupons that
groups. This marketing tactic has indicate 20% discount on every
done wonders in increasing the 1000php purchased of Coffee Bean
sales of the service firm, not just food items.
for the benefit of the company
but it also helps the customers to
spend frugally.
Promotion- Promotion-
COA: COA:
o Online Penetration: Uploading o Online Penetration: Liking the
your selfie with your purchased Facebook page of Coffee Bean and
food item in Starbucks on the Tea Leaf and uploading the item
Instagram and stressing out the you purchased in their store. The
hashtag #IloveSTARBUCKS. The winners that will be picked out
winners that will be picked out randomly can win a free tumbler
for having the best selfie will engraved their names in and will be
have a free tumbler engraved an automatic member of Coffee
their names in and a discount Bean.
coupon of 15% in any of the o Events: Conduction of Fun runs.
Starbucks menu. This will The jerseys that will be worn by the
happened every month people is a statement shirt
o Emotional Permeation: indication I heart Coffee Bean and
Personalized mugs and tumblers Tea leaf
are already available.
Personalized messages equipped
in a cup of coffee for your special
someone will be offered also.
Physical Evidence- Physical Evidence-
COA: COA:
o Adding of more chairs o Adding of a book shelf equipped
o Adding of a book shelf equipped with Classic Literature and history.
with Classic Literature and
history
Process- Process-
COA: COA:
o There will be a person assigned o Making their serving time faster by
to take the orders of the giving out the menus when the
customers so that when the customers is in their chairs.
customer is already in front of
the counter they can present the

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 order in a meek of time. This
strategy is necessary for
Starbucks because usually they
have long lines of waiting
customers.
o There will be a required time to
dwell on the chairs and tables of
Starbucks. Some people make
the a loitering place for them.
People- People-
COA: COA:
o Employment of students as their o Employment of students as their
trainees. trainees.
o Conduction of more trainings o Employees must be more
especially on the side of CSR and approachable, polite, friendly and
CRM. courteous in order to build customer
relationships.

VIII. Brands RSOM

Factors that determine the Relative Share of Market of Caf-UK Co:

Online Penetration:

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As you can they currently has 19, 769 likes in their facebook page.

The Caf-Uk Co. operates 24/7, it has a seating capacity of maximum 50 people.

Working hours: 10am-10 am

Peak hours: 10am-2pm (4 hours) 50 people

(50)(4) = 200 people

Slow hours: 2pm-4pm (2 hours)- 20 people

(20) (2) = 40 people

Peak hours: 4pm-7pm (3 hours) 50 people

(50) (3) = 150 people

Slow hours: 7pm-9pm (2hours) 20 people

(20) (2) = 40 people

Slow hours: 9pm-6am (9 hours) 10 people

(10) (9) = 90 people

Peak hours: 6am-9am (3 hours) 30 people

(30) (3) = 90 people

Slow hours: 9am-10am (1hour)- 5 people

(5) (1) = 5 people

This just estimates how many customers they have per day.

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 IX. Evaluation of the result of the serv-qual questionnaire and
Recommendations:

Market Niche:
Product-
COA:
o In terms of their products they should offer seasonal products. Like a New
Flavor of the month. Offering of Occasional Flavored products are also
necessary. They should also need to improve more the taste and quality of
their drinks like coffee/blended drinks. Sizes of their drinks should also be
increased to satisfy more customers.
o In terms of their Packaging: They should make their cake box more
appealing its too plain and dull.
o Usage of local products for the growth of the Philippines Coffee industry.
o Offering of local dishes that can be complementary for their coffees and
espressos.

Place-
COA:
o They should hire people that will distribute flyers to the masses stressing
out the location of Caf UK because their location is too secluded.

Price-
COA:
o Offering of Caf Uk membership card. The acquired points can be
converted to a payment for Caf Uk co. products.
o Proposing of Caf UKs Caffeine Boost Bundles that are offered best for
groups. This marketing tactic has done wonders in increasing the sales of
the service firm, not just for the benefit of the company but it also helps the
customers to spend frugally.

Promotion-
COA:
o Proposing of Seasonal discounts for Customers and Back to School
discounts for the students.

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 o Online Penetration: Uploading your selfie with your purchased food item in
Starbucks on the Instagram and stressing out the hashtag #IloveCafeUK.
The winners that will be picked out for having the best selfie will have a
free planner engraved their names in and a discount coupon of 15% in any
of the Caf UK menu.
Physical Evidence-
COA:
o Increase the brightness of lights
o Playing of theme song of Caf Uk in every hour so that it can catch the
attention of customers. And the retention of the brand to their minds will
prevail.
Process-
COA:
o Per table there will be an indication of number that will be taken by the
waiter for the improvement of process. The table number will be noted by
the waiter. This tactic can increase the lead time of the serving process of
Caf Uk Co.
o Late orders will have complementary freebies and discounts for the
customers
People-
COA:
o Conduction of more trainings especially on the side of CSR and CRM.