How Is Beanos Cafe Now Segmenting and Targeting the Coffee Market - Essay Example

Customers who want something a little more will prefer Beano’s Café because they can get better value. Of course, the prices are also a little higher than normal to compensate for the experience that the average customer gets from spending time drinking coffee in one of Beano’s cafés.

b) (15 Marks) Discuss how Beano's positioned itself in the Egyptian local market. Also, explain how Beano's differentiated itself from the competition? (Justify your answer)
Beano’s Café has decided to offer better quality coffee than local varieties so as to attract domestic customers. Because local tea, Kahwa, and shisha are the preferred beverage of choice among the locals, Beano’s Café has to offer products that appeal to Egyptian tastes. Also, customer service is something that sets Beano’s Café apart from its competitors because customers prefer to go to Beano’s Café even though the quality of coffee may not be as great as its rivals. To combat international chains entering the Egyptian market, Beano’s Café is offering new, modern European flavors to retain its competitive advantage over these new market entrants.

c) (30 Marks) Describe what product(s) category Beano’s Café belong to? Justify your answer.
Beano’s Café’s primary focus is on coffee, but it also focuses on other products that are compliments of coffee, such as sandwiches, hot meals, and desserts. It is very rare for a customer just to purchase a coffee and not have anything else with it. Because the purpose is for customers to spend time in-store, they will need to eat something also.
Also when managers decide what product to introduce to the market they need to consider (Product attributes, Branding, Product Packaging and product support) From the case describe each of the above with some examples?
A manager needs to choose a product that has attributes that appeal to the target market. If the target consumer is an old person, then the product needs to appeal to those elderly people. For branding and product packaging, this needs to attract new customers, preferably young people. Product support can be done through Facebook and Twitter because most teenagers and young adults use these sites every day.

d) (15 Marks) Briefly outline a one marketing campaign targeting a new segment for Beano's Café? (Justify your answer)
One segment of the market that Beano’s Café has yet to really capture is young families with children. Many of Beano’s Café’s competitors already realize how important this segment of the market is, and they have coloring books and crayons for young children to use while they are in store. Beano’s Café could also adopt this strategy, but they could take it a step further. One idea to attract young kids, and ultimately their parents to is to come up with a mascot that identifies with Beano’s brand but is also appealing to children.

e) (20 Marks) What are the micro and macro-environmental factors that have contributed to the success of Beano’s Café? (Justify your answer)
Part of Beano’s Café’s success is down to rising incomes among young people. As the Egyptian economy expands, the average person will have more to spend on luxury items such as coffee. Because Beano’s Café has stores mainly located in the cities, it is able to take advantage of higher incomes.