CASE BACKGROUND:
CASE BACKGROUND:
Bo's Coffee is known for "just-roasted freshness"—its
Bo's Coffee is known for "just-roasted freshness"—its
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delivered to its stores soon after roasting so
delivered to its stores soon after roasting so that you can
that you can
enjoy the distinctively bold, roasted flavour
enjoy the distinctively bold, roasted flavour of Bo’s
of Bo’s
Bo’s Coffee originated from a roast master name Bo in the U.S. who Bo’s Coffee originated from a roast master name Bo in the U.S. who taught Steve Benitez all about coffee. It all started with a bean bursting with taught Steve Benitez all about coffee. It all started with a bean bursting with the life-force of
the life-force of personal passion and entrepreneurial energy.personal passion and entrepreneurial energy.
In !!"# $r. Steve %. Benitez# &resident and C'( of Bo)s Coffee# In !!"# $r. Steve %. Benitez# &resident and C'( of Bo)s Coffee# dreamt of sharing his coffee e*perience in the United States and 'urope to dreamt of sharing his coffee e*perience in the United States and 'urope to the local mar+et. ,une !! saw the opening of the first store of Bo)s Coffee the local mar+et. ,une !! saw the opening of the first store of Bo)s Coffee at yala Center Cebu# Cebu City# &hilippines.
at yala Center Cebu# Cebu City# &hilippines. It
It hahas s sisincnce e grgrowown n brbrananchchining g ouout t ininto to mama/o/or r ururbaban n arareaeas s of of ththee &h
&hilipilippinpines. es. Bo)Bo)s s CofCoffee fee now now opeoperatrates es " " ououtletlets ts strstrateategicgically ally loclocateated d inin $e
$etro tro $an$anilaila# # CebCebu# u# %av%avao# ao# CagCagayayan an de de (ro(ro# # BacBacoloolod# d# IloIloilo# ilo# BohBohol ol anandd 0acloban.
0acloban.
Trademark Trademark
Co
Coffeffee e CenCentratrale# le# 0h0he e BeBean an Co.Co.# # IncInc. . is is a a dulduly y cercertifitified ed corcorporporatiationon under the laws of the 1epublic of the &hilippines. It was formed in !!2 to under the laws of the 1epublic of the &hilippines. It was formed in !!2 to own and operate 3Bo)s
own and operate 3Bo)s Coffee.3Coffee.3
3Bo)s Coffee3 is a registered trademar+ of
3Bo)s Coffee3 is a registered trademar+ of the business name of a chainthe business name of a chain of specialty coffee shops that serves espresso beverages# specialty coffee of specialty coffee shops that serves espresso beverages# specialty coffee beverages and others# in an ambiance that has been created to cater to a beverages and others# in an ambiance that has been created to cater to a lifestyle mar+et with discriminating taste.
lifestyle mar+et with discriminating taste.
Coffee System 4ranchise Corporation is an affiliate company# under Coffee System 4ranchise Corporation is an affiliate company# under license to franchise the trademar+ 3Bo)s Coffee3 and its business systems. license to franchise the trademar+ 3Bo)s Coffee3 and its business systems.
Vision Vision
Bo)s Coffee envisions itself to be the premier specialty coffee bar in the Bo)s Coffee envisions itself to be the premier specialty coffee bar in the &hilippines# roasting high 5uality &hilippine origin coffee beans# serving world &hilippines# roasting high 5uality &hilippine origin coffee beans# serving world cla
class ss cofcoffee fee bebeververageages s and and the the mosmost t dedeleclectabtable le selselectection ion of of caca+es +es andand pastries# delivering an e*cellent branded customer service in a friendly and pastries# delivering an e*cellent branded customer service in a friendly and cozy ambiance.
Mission
6e believe that the relationships we build with others are what ma+e our days full of life. It is therefore our mission to create an atmosphere where people can come and nurture relationships# ma+e new ones# or simply flourish by themselves.
(ur role is to provide that perfect cup of coffee# which has become the ideal medium to en/oy life together with others or in the comfort of one)s solitude# and deliver it with warm and friendly customer service. It)s all about human e*perience with Bo)s Coffee being a big part of it.
Product Oerin! Es"resso Be#era!es 78ot 9 Iced: Caffe mericano Caffe ;atte Caffe $ocha Caffe Cappuccino Caffe Caramel ;atte Caffe 6hite Chocolate $ocha 6orld Coffee Coffee of the %ay
$roccino Primo Caramelo Chocolate Chips Coffee Coffee ,elly 'spresso Crumble $ocha (reo 6hite Chocolate $ocha C%assic $ree&e Chocolate Coo+ies 9 Cream <reen 0ea Strawberry =anilla Pandesa%'Bread dobo 0una Corned Beef Cheese 1oll 'nsaymada Bars Butterscotch 1evel Bar
$allow 4udge Brownie 4ood for the <ods Carrot Bar ;emon S5uare Cookies Chocolate Chun+ (atmeal 4udgy >ut
Coo+ie for the <ods
Cakes
Chocolate Ca+e
>ew ?or+ Cheeseca+e >ew ?or+ Cheeseca+e 7Sugarfree:
lmond 0orte $ocha &raline (reo Cheeseca+e
A%%(da) Breakast Bi! Breakast Set
'ggs# Bacon# Corned Beef# $ini-4ran+s 9 &anca+es
'ggs# Bacon# Corned Beef# $ini-4ran+s 9 0oast
Bacon Set
Bacon# 'ggs 9 &anca+es Bacon# 'ggs 9 0oast Bacon 9 4rench 0oast Corned Bee Set
Corned Beef# 'ggs 9 &anca+es
Corned Beef# 'ggs 9 0oast Sausa!e Set 8ungarian Sausage# 'ggs 9 &anca+es 8ungarian Sausage# 'ggs 9 0oast $ini-4ran+s# 'ggs 9 &anca+es $ini-4ran+s# 'ggs 9 0oast Ome%ette Set
$ushroom 9 Cheese (melette and 0oast
$i*ed Berry
Antarteaca *B%ended Tea+ $ango
$i*ed Berry
Bre,ed -ced Tea pple
%alandan 1aspberry &assion 4ruit >umi 0ea 78ot:
$ruit .uices (range pple $ango &in+ <uava Premium C/oco%ate 8ot Iced Su!ar(ree Coffee =anilla &rimo Strawberry 4reeze =anilla 4reeze Blueberry Cheeseca+e Chocolate %ecadent Sansrival Chocolate $ousse
0riple Chocolate $ousse Banana Cream &ie
0iramisu $ango Ca+e
Strawberry Short Ca+e Carrot 6alnut Ca+e ;emon $eringue pIe Chocolate 0ruffle
Coffee and Cream Cheeseca+e
Super $oist Ca+e ;emon $eringue &ie Bailey)s 0ruffle Pasta Bolognese Carbonara Carrittierre &omodoro
glio (lio with %ried 8erring
Sand,ic/es Bo)s 0ur+ey Club <rilled Chic+en B;0 <rilled Italian =eggie 8am 9 Cheese Supreme 8ungarian Sausage and 'gg
0una Salad
(melette 9 0oast
Corned Beef (melette 9 0oast
Breakast Sand,ic/es Bacon 9 Cheese Sandwich 8ungarian Sausage 9 'gg Sandwich
Side Orders Bacon 7" pcs.: 'ggs 7@ pcs.:
4rench 0oast 72 mini-s5uares: &anca+es 1egular 7A small pcs.:
0u&on
• labang - $olito
• $a+ati - %ela 1osa Carpar+ • $a+ati - <round ;evel# <lorietta
• $andaluyong - 4 Bridgeway trium# S$ $egamall
• &araDa5ue - 'ast 0ransit ;ounge# %eparture rea# I&0# >I 0erminal
• &araDa5ue - >I A# %eparture rea • &asay - (cean %rive# S$ $all of sia
• &asay - C0E"-# <round 4loor# $ain $all 7fronting S$ ppliance:# S$
$all of sia
• &asay - >ewport
• &asig - ;evel # 1obinson)s <alleria
• Fuezon City - A@! Gatipunan 1d. cor. B. <onzales# ;oyola 8eights • Fuezon City - '. 1odriguez
• San ,uan - ;<-EA <round 4lr.# =irramall <ardens# <reenhills Shopping
Comple*
• 0aguig - <round 4loor# Unit E2E!# Bonifacio 8igh Street# <lobal
City Visa)as
• Bacolod - <4 C0E7a:# S$ City Bacolod# &oblacion# 1eclamation
rea
• Bohol - 0orralba St. 7fronting 1izal &laza:# 0agbilaran City
• Bohol - Upper <4# 'ast 6ing# Island City $all# 0agbilaran City • Cebu - 1ain 0ree $all# 4. 1amos St.# Cebu City
• Cebu - Upper <4# 1obinson)s &lace# 4uente (smeDa cor 4. 1amos
St.# Cebu City
• Cebu - Upper <4 $ain $all# 7Beside >ational Boo+store:# S$ City
Cebu# Cebu >orth 1eclamation rea
• Cebu - 4iesta Strip# S$ City Cebu# Cebu >orth 1eclamation rea#
Cebu City
• Cebu - Ard floor 7near the Cinemas:# S$ City Cebu# Cebu 1eclamation
rea# Cebu City
• Cebu - Unit <-E# Synergis I0 Center# 4. Cabahug St.# Bgy.
Gasambagan 74ormer $abolo &roper:# Cebu City
• Cebu - (utside rcade 7Slot >o. <4-":# <aisano 0abuno+# 0abuno+#
0alisay City
• Cebu - %omestic &re-%eparture rea# $actan International irport#
;apulapu City
• Cebu - <4 i Bldg.# siatown I0 &ar+# Barangay pas# ;ahug# Cebu • Cebu - (smeDa Blvd. cor %on Cui St.# 7across Cebu %octors 8ospital:#
Cebu City
• Cebu - Banilad 0own Center# rchbishop 1eyes ve.# Banilad# Cebu • Cebu - yala Center ctive Hone. yala Center Cebu# Cebu City
• Cebu - ;ower <4 $ain $all# &aseo =erde# yala Center Cebu# Cebu
• Cebu - <@E <arden ;agoon# yala Center Cebu# Business &ar+#
Cebu City
• Cebu - 4ully Boo+ed yala Center# Cebu Business &ar+# Cebu City • Cebu - 2-(uano venue# $andaue# South 1eclamation rea#
$andaue City
• Cebu - 1obinson)s Cybergate $all# 4uente (smena# Cebu City
• %umaguete - 1obinson)s %umaguete# %umaguete Business &ar+#
South 1oad# Galindangan
• Iloilo - Upper <4# S$ City $anduriao# $anduriao City# Iloilo
• 0acloban - <4 Salazar Bldg.# venida =eterans St.# 0acloban City
• 0acloban - @4 1obinson)s &lace 7near cinema entrance:# >ational
8ighway# 0abuan# $arasbaras# 0acloban City Mindanao
• Cagayan de (ro - 1 B# ;im+et+ai Center# Cagayan de (ro • Cagayan de (ro - <round 4loor# Big 1# Cagayan de (ro
• Cagayan de (ro - =elez cor. . 8ayes Sts.# %ivisoria rea# Cagayan de
(ro
• %avao - $etro ;ifestyle Comple*# 4. 0orres cor ,acinto Sts.# %avao City • %avao - <4 S$ City %avao# Fuimpo Blvd.# 'coland Subd.# $atina#
%avao City
STATEMENT O$ T1E PROB0EM:
0o increase mar+et share locally and further e*pand to international mar+et but at the same time augment profitability.
ACT-ON P0AN:
Com"etitors:
a2 0oca% 3 4igaro Coffee Company# $ocha Blends# and 0he Coffee Beanery
42 $orei!n ( Starbuc+s# UCC Coffee# Caf >escafe# 0he Coffee Bean 9 0ea ;eaf# %ome Caf# <loria ,ean’s Coffee# $c Cafe# San 4rancisco Coffee Co.# Seattle’s Best Coffee# Segafredo Hanetti 'spresso# and Illy’s Caf.
Consumer behavior is the study of how individuals# groups# and organizations select# buy# use# and dispose of good services# ideas or e*periences to satisfy their needs and wants.
consumer’s buying behavior is influenced by cultural# social# and personal factors. Cultural factors e*ert the broadest and deepest influence.
BO’S COFFEE :
!n the hili##ines, most of us start their day with a cu# of coffee and some even drink during lunch and merienda $o analy%e the behavior of &ili#ino in terms of drinking coffee, it became #art of the daily routine
Consumer 4e/a#ior is in%uenced 4) t/ree actors: 72 Cu%tura% $actors
Culture is the fundamental determinant of a person’s wants and behavior. 0hrough family and other +ey institutions li+e school and wor+ will influence the values.
Companies have capitalized on $ulticultural $ar+eting because a lot of countries have diversified culture.
Social stratification# in the form of social classesJ 7: lower lowers# 7@: upper lowers# 7A: wor+ing class# 7": middle class# 7: upper middles# 7: lower uppers# and 7K: upper uppers.
BO’S COFFEE :
&ili#ino loves drinking coffee and regardless of their economic status, everybody still drinking coffee but it will de#ends on the #rice eo#le in the working class u# to u##er u##ers, they can afford to drink coffee in the caf (hile the u##er lower and lower lowers, they drink ) in * coffee which can be bought in the su#ermarket
+ince the owner of Bo’s Coffee is from Cebu, all Cebuanos are #atroni%ing the brand
82 Socia% $actors
Social factors such as reference groups# family# and social roles and statuses affect the buying behavior. person’s reference groups are all the groups that have a direct 7face-to-face: or indirect influence on their attitudes or behavior.
&rimary groups with whom the person interacts fairly continuously and informally# such as family# friends# neighbors# and cowor+ers. &eople belong to secondary groups# such as religious# professional# and trade union groups# which tend to be more formal and re5uire less continuous interaction.
(pinion leader is the person who offers informal advice or information about a specific product or product category# such as which of several brands
is best or how a particular product may be used. (pinion leaders are often highly confident# social active# and involved with the category. $ar+eters try to reach opinion leaders by identifying their demographic and psychographic characteristics# identifying the media they read# and directing message at them.
4$I;?
0he family is the most important consumer buying organization in the society# and family members constitute the most influential primary reference group.
0wo families in the buyer’s lifeJ
. 4amily of orientation L consists of parents and siblings
@. 4amily of procreation L one’s spouse and children# more direct influence on everyday buying behavior.
BO’S COFFEE :
$he family is very influential in terms of deciding where to go or what to buy !f a Cebuano will come to anila to study or work, definitely they will choose Bo’s Coffee over +tarbucks because of the family orientation
92 Persona% $actors
buyer’s decision is also influenced by personal characteristics# this includesJ
. ge and stage in the life cycle L the taste in buying behavior depends on age
&sychological life-cycle stages may matter. dults e*perience a certain MpassagesN or MtransformationsN as they go through life. ?et# the behavior people e*hibit as they go through the passages# such as becoming a parent# is not necessarily fi*ed but changes the times.
@. (ccupation L this is also influences consumption patterns. $ar+eters try to identify the occupational groups that have above-average interest in their products and services and even tailor for certain occupational groups.
&roduct choice is greatly affected by economic circumstancesJ spendable income# savings# and assets# debts# borrowing power# and attitudes of spending and saving.
A. &ersonality and Self-Concept L each person has the personality characteristics that influence his or her buying behavior.
By personality# we mean a lot of distinguishing human psychological traits that lead to relatively consistent and enduring responses to environmental that may be evo+ed differently in different situations or around different types of people.
". ;ifestyle and =alues L people from the same subculture# social class# and occupation may lead to different lifestyles.
lifestyle is a person’s pattern of living in the world as e*pressed in activities# interests# and opinions. It portrays the Owhole personN interacting with his environment. $ar+eters search for relationships between their products and lifestyle groups.
BO’S COFFEE :
$he age and occu#ation are very im#ortant factors in the selection of brand because it will be the deciding as#ect if they can afford luurious coffee such as Bo’s Bo’s coffee should do a market research within the area and make a survey of the buying #owers of consumers
!n akati, we can say that it is the best #lace to #ut u# a coffee sho# because the lifestyle there is they go to a coffee sho# for meetings, and discussions
KE5 PS5C1O0OG-CA0 PROCESSES $our ke) "s)c/o%o!ica% "rocesses:
72 Moti#ation &reud’s $heory
Sigmund 4reud assumed that the psychological forces shaping people’s behavior are largely unconscious# and that a person cannot fully understand his or her own motivations.
aslow’s $heory
braham $aslow sought to e*plain why people are dri ven by particular needs at particular times. 8is answers is that human needs are arranged in a hierarchy from the most to least pressing L physiological needs# safety needs# social needs# esteem needs# and self-actualization needs. &eople will try to satisfy their most important needs first.
.er%berg’s $heory
4rederic+ 8erzberg developed a two-factor theory that distinguishes dissatisfiers 7factor that cause dissatisfaction: from satisfiers 7factors that cause satisfaction:. 0he absence of dissatifiers is not enough to motivate a purchaseP satisfiers must be present.
/rinking coffee has been #art of the #hysiological need of a #erson 0ccording to aslow theory it is the first need to be fulfilled
82 Perce"tion
It is the process by which we select# organize# and interpret information inputs to create a meaningful picture of the world. 0he +ey point is that it depends not only on the physical stimuli# but also on the stimuli’s relationship to the surrounding field and on conditions within each of us.
In mar+eting# perceptions are more important than the reality# as it is perceptions that will affect consumers’ actual behavior.
&eople can emerge with different perceptions of the same ob/ect because of three perceptual processesJ
a. Selective ttention L attention is the allocation of processing capacity to some stimulus. =oluntary attention is something purposefulP involuntary attention is grabbed by someone or something.
. &eople are more li+ely to notice stimuli that relate to a current need
@. &eople are more li+ely to notice stimuli they anticipate
A. &eople are more li+ely to notice stimuli whose deviations are large in relationship to the normal size of the stimuli
b. Selective %istortion L the tendency to interpret information in a way that fits our preconceptions. Consumers will often distort information to be consistent with prior brand and product beliefs and e*pectations.
c. Selective 1etention L people remember the good points about a product they li+e and forget good points about competing products. Selective retention wor+s to the advantage of strong brands. It is also e*plains why mar+eters need to use repetition L to ma+e sure their message is not overloo+ed.
BO’S COFFEE :
Bo’s Coffee’s ambiance of the dee# mahogany chairs, the rich wood #anels and the friendly atmos#here has hel# in their marketing because #eo#le tend to have selective attention on the #lace like that
;earning includes changes in our behavior arising from e*perience. ;earning theory teaches mar+eters that they can build demand for a product by associating it with strong drives# using motivating cues# and providing positive reinforcement.
BO’S COFFEE :
Bo’s Coffee does not engage in advertising and #romotion, the com#any just relies on word of mouth and C+1 activities
2 Memor)
ll the information and e*periences we encounter as we go through life can end up in our long-term memory. Cognitive psychologists distinguish between short-term memory 7S0$: L a temporary and limited repository of information L and long-term memory 7;0$: L a more permanent# essential unlimited repository.
In this model# we can thin+ of consumer brand +nowledge as a node in memory with a variety of lin+ed associations. 0he strength and organization of these associations will important determinants of the information we can recall about the brand.
BO’S COFFEE :
$he training of the barista is very im#ortant to make sure they are com#etent to handle and serve customer in order to make a good consumer brand knowledge
RECOMMENDAT-ON:
%on’t treat the strong coffee shops as a competitor rather as an inspiration to improve its company.
Innovate on their product that is healthy and good for weight watcher.
Be more aggressive in $etro $anila area and other parts of the country by putting more branches but they should do mar+et research and analysis first.
Strengthen the &hilippine mar+et before e*panding internationally.
Bo’s Coffee believes that being aggressive is not a solution to gain mar+et share. 0he company ta+es one step a timeP first it ma+es sure to strengthen the organization and then e*pand to local and followed by the international mar+et.
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