Marketing dịch vụ - Highland Coffee
Upcoming SlideShare
Loading in...5
×
 

Marketing dịch vụ - Highland Coffee

on

  • 422 views

 

Statistics

Views

Total Views
422
Views on SlideShare
408
Embed Views
14

Actions

Likes
1
Downloads
21
Comments
0

1 Embed 14

http://www.podidoo.com 14

Accessibility

Upload Details

Uploaded via as Microsoft Word

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

Marketing dịch vụ - Highland Coffee Marketing dịch vụ - Highland Coffee Document Transcript

  • i Lecturer: Mr. Tran Tuan Anh Tutor: Mr Tran Tuan Anh Tut 1 BA10 Group members: Hoàng Diệu Linh 0804000055 Tô Thanh Loan 1004000044 Phạm Thị Yến 1004000101 Phan Thị Hoàng Yến 1007040216 Hanoi University Faculty of Management and Tourism HIGHLANDS COFFEE Service Marketing Report
  • ii ACKNOWLEDGEMENT In the process of doing this assignment, we highly appreciate the contributions and suggested ideas of many people. Without their help, we could not have accomplished this report. Our great gratitude firstly goes to Mr. Tran Tuan Anh – our lecturer and our tutor of Service Marketing for their dedication and enthusiasm in teaching and guiding us in every single lecture and tutorial. All the interesting examples and precious instructions they provided have helped us very much in finishing our assignment. We would like to express my thankfulness to staffs and customers of Highlands Coffee for their co-producing our service experiences and their helpful information. We also thank our tutorial-mates in Tutorial 1 – BA10 for all their meaningful helps and timely exchange of information, as well as knowledge relating to the course. Finally, we also owe a great deal to the authors of many websites and books, especially the author of our current text-book Services Marketing – Lovelock,C., Patterson,P., Walker,R. for providing us fundamental concepts and techniques which are really necessary for the completion of this assignment.
  • iii Executive Summary Highlands coffee is a brand of Viet Thai international Joint Stock Company (VTI) and was established by David Thai with the objective is the leading high-grade retail industry in Vietnam. Highlands coffee not only gives the customers the feeling of traditional value in Vietnam but also make them experience the part of modern active lifestyle. Especially, the shop located at number 6, Nha Tho street, Hoan Kiem, Ha Noi is one the famous shop of Highlands coffee attracting many customers from Vietnamese to foreigner. According to that shop, our report draws attention to the external factors including the situation, market description and buyer behavior and finds out how these factors affect Highlands Coffee’s strategy; particularly positioning strategy, service blueprint, physical evidences, pricing strategy, promotion strategy and internal marketing.
  • iv Table of Contents 1. Situation analysis ........................................................................................................................................1 2. Target market description ...........................................................................................................................2 2.1. Highlands coffee’s target customers....................................................................................................2 2.2. Customer expectations regarding service performance .......................................................................2 3. Buyer behavior............................................................................................................................................3 3.1. Customer’s perceived risks and strategies ...........................................................................................3 3.2. Customers’ perceived benefits, motivation & involvement.................................................................3 3.3. Level of customer-provider interaction................................................................................................3 3.4. Services description .............................................................................................................................4 4. Positioning strategy.....................................................................................................................................4 4.1. The place the firm currently holds in customers’ mind .......................................................................4 4.2 The place the shop wants to hold..........................................................................................................5 5. Service blueprint.........................................................................................................................................5 6. Physical evidences ......................................................................................................................................7 6.1. Logo.....................................................................................................................................................7 6.2. Store decoration ...................................................................................................................................8 6.3. Staffs ....................................................................................................................................................9 7. Current Pricing Strategies...........................................................................................................................9 8. Promotion strategy....................................................................................................................................10 9. Analysis of service quality, satisfaction, perceived value and customer retention efforts........................11 10. Internal marketing...................................................................................................................................11 11. Conclusion ..............................................................................................................................................12 References.....................................................................................................................................................13 Appendix.......................................................................................................................................................14
  • 1 Viet Thai International Joint Stock Company (VTI) was established in 1998, the main activities are in the service sector and coffee production. With the rapid development, VTI has owned about 60 coffee shops with a famous trademark Highlands Coffee all over the country. Proud to be a Vietnamese brand, Highlands’s philosophy is to combine the modern world with traditional, classical values of Vietnam. 1. Situation analysis In this quick-changing world, along with the busy working pace and dynamic style, the way Hanoi people enjoy life is much different from the past. Consequently, the service section, includes coffee shops, has many improvements to fit this trend. According to AIM research about coffee drinking habit, 65% Vietnam consumers use coffee 7 times a week, men account for higher rate (59%). Regarding instant coffee, 21% Vietnamese consumers use it 3 to 4 times a week, female group is slightly more (52%). The rate of drinking coffee at home and outside is equal 49% - 51%. Coffee shops in Vietnam can be found in every corner to create the most convenience for customers. Hanoi has a huge number of coffee shops but not all cafés are attractive to everyone. The most popular cafés are consistent with the unique style. Hence, though quite fussy business environment, there are still many opportunities for this type of business which should be provided in a professional manner. Higher living standard leads to higher demand and expectation from customers. They are willing to pay more for products that give them technical, functional, or emotional benefits. Today, people coming to the cafés is not just for drinking but to seek interesting experience with impressive space, beautiful design and professional service delivery. As a result, adding determinacy attributes to customers is extremely essential. When dynamic, modern trends overflow into Hanoi streets, coffee shops gradually renovate in attempt to meet demand diversity. And specialization is a rising trend in this industry. Some coffee shops bring the comfortable atmosphere by the decorations. Instead of formal tables and chairs, they use only small and short tables with many buffers for sitting. Some others are designed in ancient Hanoi style or country style. Bar-coffee is a good choice for those who are interested in live music. They can also give some shows. Other kinds of coffee shops are “Cat”
  • 2 café like Ailu Cat, game coffee (Dice) and “Book” café such as Tùng book, Lollybooks, AIM, Sách which are a mix of coffee serving with another utility. It can be seen that the market for coffee shop is becoming more and more competitive, and threats to Highlands café come from both their direct and indirect competitors. Highlands’s target customers are 18 to 45 year-old people. Clearly, its core rivals are other luxurious cafés which serve the same target customers like The Coffee Bean & Tea Leaf restaurant chain, The My way coffee and restaurant chain, Ibox or ILU coffee. However, Highlands holds the strength of delicious coffee and good reputation. Besides, the growth of substitutes like tea shops (Lipton, Dilmah, Taiwan milky tea) or yogurt shops also raise the risk for Highlands. Although these kinds of shop target customers are teenagers, Highlands and other coffee shops are still under the risk of losing customers if they cannot manage their business well. 2. Target market description 2.1. Highlands coffee’s target customers The target customers Highlands coffee has been serving are the middle class, the office staffs and the active young generation because drinking coffee here with the prestigious coffee brand helps them confirm their status in the society. Moreover, Highlands coffee always focuses on creating the comfortable and exciting atmosphere for customers to enjoy coffee every day. Therefore, this is an appropriate place the office staffs who want the quiet and less luxurious space to discuss with their friends and enjoy coffee with pastry-the Western style. In addition, Highlands also targeting customer group are young businesses who used to study abroad so they are familiar with the style of European-American like drinking coffee at a chic restaurant that impress the style of the place they used to live. Another, the customers of Highlands coffee are foreigner living and working in Vietnam. 2.2. Customer expectations regarding service performance Expectations occur at the pre-purchase stage of a service which have much affected on customers’ satisfaction evaluations. To Highlands coffee, it is always evaluated as high quality coffee shop. Consequently, customers who choose Highlands usually have formed this prior attitude toward this coffee shop. Furthermore, Highlands also has done very well in using marketing communications. Customers know Highlands through words of mouth, blogs, magazines and TV interviews. Thanks to the good service quality, it aids to build a very outstanding image in customers’ mind. All those things contribute to enhance customers’ expectation regarding Highlands’s service performance. Before they come to this coffee shop,
  • 3 they expect to receive good drinks, affirm their status and enjoy a quiet space for relaxing or talking to their friends. The more expectation they have the more dissatisfied they are if Highlands can not satisfy their requirements. Therefore, it is not an easy job for Highlands coffee to please customers constantly. 3. Buyer behavior 3.1. Customer’s perceived risks and strategies When the customers going to Highlands coffee are overcrowded, there will be no longer blank tables for them and the mixing drink unit may overload which make the waiters of the restaurant serve slowly then the customers wait for them and feel anxious. Moreover, Highlands is equipped the cool air so some customers sense too cold. Therefore, Highlands coffee has some strategies to reduce customer risks. Firstly, as the customers are crowded and the restaurant has not enough tables to serve Highlands coffee prepare additional tables and chairs to guarantee that the customers will have enough seats. However, if customers are overcrowded with large numbers and the Highlands does not have ability to serve, the Highlands coffee does not make customers wait too long with a bad impression. Therefore, the staffs are willing to notice the overloaded of the restaurant and then introduce them to other Highlands coffee at discounted price so that they do not go to the restaurant of competitors. Another, Highlands always follows the sale of drinks that were best-selling in order to estimate in case of overload. Additionally, Highlands Coffee also bases on the sale of previous periods to make predictions about period that will have the largest customers to pre- mix drinks in the bottles or cups and increase the number of the staff to serve customers on the peak hours. 3.2. Customers’ perceived benefits, motivation & involvement Highlands coffee will give the precise experiences to customers when they drink coffee because it is created by finest coffee beans. Whereby, they feel differently from other coffee shop because of combining the quintessence of the modern world with the charming and traditional values of Vietnam. Especially, Highlands creates the comfortable, cheerful atmosphere, warm style of service, friendly smile and enthusiastic of staffs to customers. 3.3. Level of customer-provider interaction Since coffee shop services belong to high contact that involves much contact between provider and customers. If customers have any problems or complaints, most of them will be solved through face to face. So, there is an implication for Highlands coffee that building up a good team to solve the problems that happen at times.
  • 4 3.4. Services description According to four characteristics of a service, Highlands coffee’s service can be described in terms of intangibility, heterogeneity, perishability and inseparability. Firstly, to intangibility feature, customers do not obtain ownership of the drink or food they order. What’s more, different customers may perceive Highlands’s services in different levels of performance quality. Since the quality of services are varied by many factors, not only originating from customers themselves but also from employees. Maybe one employee is very gentle or helpful in answering the customers’ complaints but another may be arrogant or unhelpful. Those factors make it hard for Highlands to control their quality and offer a consistent service. In term of perishability feature, in time when the demand of customers is very high, normally it’s hard for them to go into Highlands coffee since the shop uses up all their capacity and no vacancy. A very important point is that customers are a part of the service performance. When Highlands coffee provides services, customers also need to take part in process by ordering the drinks and cakes. 4. Positioning strategy Clearly drawing up the positioning strategy at the very first stage of developing a business project plays a critical role in enhancing the business success. The positioning strategy focus on the two important questions: which place the firm is currently on the customers’ mind and which place they want to hold on the market. 4.1. The place the firm currently holds in customers’ mind Interviewing customers in Highlands Coffee shop and collecting judgments from many forums, we found out that in customer’s mind, Align offers a rendezvous, a good coffee and a beautiful view. Located at the first floors of Asian Tower, Highlands Coffee is an ideal place for officers coming during their time break or even for business meeting. During our interview time we also took notice that nearly half of the customers were the youngster, which is rare comparing to other Highlands coffee shops. Phong, a young customer explained that because this Highlands coffee shop is located on the centre of the city, it would be more convenient to him to meet his friend here. The supplementary services such as toilet, music and food are also highly rated (Foursquare, 2012) However, there are many complaints regarding to the service quality at Highlands coffee 6 Nha Tho, mostly about the long waiting time or the noise. “The serving is too slow”, “I normally have to wait about half an hour to enjoy my coffee”, “This place has the most annoying blender machine on earth”, said the customers. From some information from customers that the reporters collected during the shop visit and websites, it can be seen that Highlands Coffee shop is really a special coffee shop to customers,
  • 5 since they offers high quality core product to customers and has the variable supplementary services; however they needs to professionalize the staff to build better image on customers’ mind. 4.2 The place the shop wants to hold. Highlands Coffee Shop positions itself as a high price, high quality coffee shop. The shop owners want to emphasize that, the high price means high service quality as well. Since customers are enjoying a more special service, so they should also pay a higher price for what they are getting. 5. Service blueprint Highlands Coffee’s service is of high contact one. Almost activities are visible to the customers. Business is done through face to face communication. For example, the waiter brings the menu to the table, the customer read the menu then order foods or drinks, if they have any question or any request, they speak immediately. These characteristics put pressures on the setting up a clear blueprint in which stages in service production and delivery are shown. The blueprint on the operation of Highlands Coffee cafe is represented as follows: Trung Nguyen Coffee High priceLow price High quality High price Low quality “Bệt” Coffee Highlands Coffee Coffee
  • 6 The coffee shop’s document determines that the customers are welcome at the gate by the guards who are required to say greeting to visitors, keep the motorbike and guide them to come into. Then, the waiter staff opens the doors for customers, say hello and give the menu. After taking note the order from customers, they go into the bar and pass that order to kitchen staff for preparing. Then, the drinks or foods are brought to customers. When customers want to go, they ask the waiter to take the bill and pay money afterward. The very clear and detailed description on the tasks, duties, responsibilities make it easier and quicker to deliver the services. Highlands coffee
  • 7 Located on one of Hanoi’s centre old street, with a small front space, sometimes, especially peak time like weekends, there is no vacancy to park the motorbike and the car. In that case, the staff has to apology the customer that they are full. Moreover, the service delivery process seems to take place in short time period, almost time is spent on producing the services. Therefore, critical and potential bottlenecks likely occur in this phase. For instance, at weekend, customers have to wait a long time for their drinks and the service is poor due to the limited capacity. Kurtz, a foreign customer complained: “It took 45 minutes to get a menu, 20 minutes more to get served. Nobody seemed to care”. In some extents, it is unavoidable for a coffee shop. To reduce the bottlenecks and critical incidents, Highlands Coffee should have the policy to increase the number of waiter when the shop is too crowded for better services. In summary, Highlands Coffee cafe is one successful service business, the clear blueprint has helped its staff implement their tasks easily and effectively. However, the issues including are the time consuming in the producing process, always full in weekends and poor services are the main factors that can lead to the customer losing. So, it is suggested that the shop manager should pay more attention in improving the system that will help it to deal more quickly and effectively with the situation. 6. Physical evidences Physical evidences are the environment in which the service is delivered and where the firm and customer interact. It includes any tangible commodities that facilitate performance or communication of the service. To Highlands Coffee, physical evidence plays a key role. It is represented by logo, store decorations and staffs. 6.1. Logo
  • 8 Highlands Coffee’s logo is a quite eye-catching design with 2 main colors: red and white. White letters are put on red background which is easy to recognize. Logo’s shape is oval and quite Western style is. At first, Highlands Coffee chose red as their identified color to differentiate themselves with other coffee brands which often attach with brown- the color of café. It also fits with their positioning strategy which brings not only coffee products to customers but a friendship space as well. Later, when Highlands had acquired a certain position in customer’s minds, Highlands added ecru curve representing wave in a cup of coffee. It helps to identify Highlands as a specialized coffee brand deeper and deeper. (Thanh Van, 2007) 6.2. Store decoration Highlands Coffee focuses lots on placement. Highlands Coffee stores are located at center of city or famous shopping malls, which are all crowded areas. The first impression when coming to a Highlands Coffee store is a luxury space with two main colors: red and black. The red lanterns which are strongly attached to Highlands Coffee store network createthe warmness and orient. Besides, HighlandsCoffee brings Western values to their stores through the wooden tables & chairs, large armchairs. With outdoor stores, HighlandsCoffee put emphasis on the big white umbrellas, which reminds of outdoor coffee shops in Italia or France. Tables & chairs of such stores are smaller and easy to move. However, they are still wooden and in consistent style with the indoor stores. Especially, when coming to Highlands stores in luxury buildings such as Vincom, Parkson, customers may notice Highlands Coffee with wooden floor separate from the surrounding area. In particular, the indoor stores are also equipped with high tables with swivel chairs like bar, facing the street, to serve those wishing to contemplate the streets. The Eastern-Western layout is a distinct feature of Highlands Coffee. Visitors to the restaurant, in addition to the drinks and delicious food, also receive value from the comfortable, luxurious and high class space. The allocation of different areas at Highlands Coffee is quite reasonable. The preparation counter is placed at store’s center. Therefore, customers can easilyobserve the preparation process, hygiene etc. As for Highlands’ staff, it helps them to capture customer’s needs and serve quickly. The preparation counter is equipped with modern coffeemakers, which
  • 9 makes the area professional. There are also nearbyshop windows full of various types of cakes and other food. 6.3. Staffs Highlands Coffee’s staff all wears uniform which includes red clothes and black aprons. Different people may experience different serving in different Highlands Coffee stores. My group experience in Highlands Coffee at 6th NhaTho street is general delighted. The staff was young, dynamic, polite and helpful. When entering the store, we were greeted with gentle smile. Then a waitress guided us to the appropriate seat, brought menu. We got our drinks five minutes after ordering. It was quite quickly comparing to other coffee shops that we had come by. While waiting, we were served a glass of cold water. The staff was all around the stores and quite near customers. When we leave, they do not forget to enclose a thank you and see you next time. We observed that the staff could communicate rather well in English with foreigners. However, staffs receive some negative feedbacks from customers. Some complain that the store is too crowed and serving is too slow. 7. Current Pricing Strategies It is obvious that formulation a price strategy in a service organization is a difficult decision which requires careful consideration about many issues. And Highlands price approach is the same as the way Starbucks has done in the US and other markets in the surrounded region. It is to provide high quality coffee in a special atmosphere for medium income class. Highlands price standardization policy works very efficiently. This helps Highlands set a clear position in
  • 10 customers’ mind. And customers seeking for a cozy and comfortable place can be satisfied with Highlands. They select Highlands as a reasonable price in Western-style place. In Highlands, price of coffee and other beverages fluctuates from 25,000 to 50,000 VND, as shown in the appendix. It is not cheap in comparison with other coffee shops. But Highlands’s target customers are middle class, office workers and youngsters, so setting a high price based on customers’ feeling is acceptable. At 45% operating capacity, Highlands has total cost of 6,500,000 VND per day which means 18,000 VND per cup. Therefore, a Highlands shop gains average revenue about 7 millions per day. In addition, the cost of making a cup of coffee and service is not low, so Highlands charges that level of price, on the one hand, to cover the cost, on the other hand, to assert brand against other competitors. Furthermore, Highlands coffee shop chain applies a price strategy which depends on place of the shop. The shop located at big commercial centers charges a different price with the shops on the street. Similarly, the shop has nice view charge differently. 8. Promotion strategy Information about Highlands Coffee is updated and publicized on the website of company www.Highlandscoffee.com.vn. In addition, advertisements of new products like Espresso Full City Roast are put on e-newspapers such as on VnExpress, Zingme, Dantri. A Facebook Page Community Coffee was created to post information about coffee, event or discount promotion. Highlands Coffee delivers customers that information through e-mails and SMS as well. Besides, Highlands Coffee sold voucher on the website: www. Nhommua.com. With the expansion of large-scale stores and to develop brands, Highlands Coffee made a wide variety of occasion promotions. On 3rd September, the Board of Directors of the Mercure- new brand of International Hotels group Accorhad announced collaboration with Highlands Coffee on co-brand advertising. Customers when drink Jelly Freeze coffee product have the opportunity to win many awards such as vacations at one of three Mercure hotels in Dalat, Hue and Ha Noi. The prize package includes airline tickets,airport shuttle,golf service, spa service, and city tour. To celebrate 11th birthday of Highlands Coffee on November, customers get a promotion of 22.000đfor milk coffee and ice coffee (regular prices are respectively 33.000đ and 35.000đ. In addition, Highlands Coffee is also an active sponsor of a series of charity, culture, and sports events. The list of programs that
  • 11 Highlands Coffee has been funding can be named as American Independence Day, Australia Day, Canada Day, Terry Fox Run, Fun Run for Charity, International School Charity, French Dinner Charity, Soccer for The Streets, Saigon Cyclo Challenge, Saigon Ultimate Frisbee Tournament. 9. Analysis of service quality, satisfaction, perceived value and customer retention efforts. Highlands coffee is running its business well, is one of top coffee store chains in Hanoi. There are more and more new as well as loyal customers coming to Highlands for its appealing services cape and good service quality. This partly indicates high customer’s satisfaction with Highlands. However, as we observed, there is no confidential box for customer’s feedbacks at any Highlands store. The waiter also said that they rarely deliver evaluation sheet to customers. On Highlands’ website, there is no separate section for customers to complain or communicate with Highlands their problems. In conclusion, the measures of quality, satisfaction; perceived value of Highlands is so limited. To improve the situation, it is suggested that company should adjust the website to make it easier for customer to give their inquiries. Besides, they should have periodic assessment from their customers through survey or confidential box. To build customer relationship, Highlands has currently offer 2 kinds of cards: VIP card with price-offs, free goods, gifts, rewards etc. for VIP customers and discount card for loyal customers or on special occasions. To make customers feel more closely with Highlands and want to come back to it more frequently, employees should be encouraged to be more tactical in handling customers’ urge for drinks. Waiters and waitresses should improve their English as well. The services cape should be changed according to different times of the year to create new, romantic and classical feeling to the customers. The quality of drinks must be maintained as good as possible. 10. Internal marketing According to the information provided by one of the waiter, Highlands’ culture pays quite much attention on the customer orientation. As being aware of the fact that Highlands is a popular place of foreign customers, Highlands implement English course to their employees. Employees
  • 12 in the stores are young and dynamic. Therefore, they perform well in greeting and better at serving. Employees’ wages consists of two parts. One is the fixed salary and the other is bonus which is based on the total revenue of the month. The managers find it very hard to tie the bonus to customer satisfaction or loyalty since there is no clear criteria to base on. As long as Highlands has a clearer evaluation of customers’ satisfaction, they can tie the bonus to customer satisfaction to improve employees’ serving quality. 11. Conclusion In summary, with the shoestring budget and the enthusiasm of young Hanoians, the owners’ dream of a chain of coffee shop has become true. Its big success today is a fruitful reward for their efforts in creating not just another coffee shop but building a place for the businessman to gather. They come to Highlands Coffee not only to have a drink but also to deal with their clients, chat with friends, to think about life and to find a quiet space of their own after a stressful working day. Understanding this customers’ need and providing them with a very good service, Highlands Coffee deserves to be one of the best choice for its customers.
  • 13 References  ThanhVan. 2008. Mạn đàm về thương hiệuViệt- những cuộc trò chuyện thú vị với một Doanh nhânViệt trẻ. [ONLINE] Available at: http://www.slideshare.net/ThanhsBrading/cafe-ban-tron-thuong-hieu. [Accessed 01 November 2012].  Vi.scribd. 2012.Highlands Coffee. [ONLINE] Available at: http://vi.scribd.com/doc/75872466/Highland-Coffee. [Accessed 01 November 2012].  Bút chì, 2009. Chấm điểm 10 quán café ngon tại Hanoi. [Online] available at: http://afamily.vn/an-ngon/cham-diem-10-quan-cafe-ngon-tai-ha-noi- 20090101102544884.chn. [Accessed 04 November 2012]  Highlands Coffee 6 Nha Tho Street_Customers’ comments. [Online] available at: https://foursquare.com/v/highlands-coffee/4b52d944f964a520358927e3 [Accessed 02 November 2010].
  • 14 Appendix  Highlands Coffee menu
  • 15