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RESEARCH : Coffee Houses

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Both quantitative and qualitative research on the behaviors of Starbucks, Dunkin Donuts and independent coffee house coffee drinkers.

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RESEARCH : Coffee Houses

  1. 1. Purpose of StudyOur firm seeks to find what makes for a good coffee house in the Western Massachusetts and Northern Connecticut region. Research Question Do you have to have a certain atmosphere, location, products and service in order to make a good coffee house in Western Massachusetts and Northern Connecticut? HypothesisA good coffee house does not depend upon the taste of thecoffee served. Instead, other contributing factors based on atmosphere, location, products and service make a good coffee house.
  2. 2. Research ProceduresThe following research procedures have been implemented in our study:1. Research thoroughly reviewed on the history of coffee and how it hasevolved since inception.2. Critical analysis of the history of coffee houses and how and why theyhave survived through so many years.3. Details on the past and present market trends of coffee houses.4. Implement the research through observation strategies in the field.5. Analyze the observable data through methods of coding.6. Draw interpretations and conclusions from all the research collected to thepurpose of this study.
  3. 3. The History of Coffee
  4. 4. Growth in the Coffee Market _____Coffee Sales - $11 Billion _____Coffee Sales - $19 Billion _____50 Coffee Houses _____14,000 Coffee Houses
  5. 5. Initial Data Collection• Observation Notes: The actual text written to describe the observer’s experience.• Observer: The person observing and writing the text.• Category: Some responses were categorized by the observer and we did not want to lose this fact thus we kept it in the case we needed it.• Address: The address of the establishment observed.• Date: The date the observation was made.• Start Time: The beginning time of the assumed half hour observation.• The name of the independent shop visited. This column was left blank for the Dunkin’ Donuts and Starbucks observations.
  6. 6. Move into MSAccess Database Format • Standardize Addresses • In the 1st Column, an Observation ID which uniquely identifies each row of data. • In the 8th Column, the Place Type which was mentioned previously. • In the 10th Column, the Weekday derived from the Date field. • In the 11th Column, the Time of Day derived from the Start Time field.
  7. 7. Rate the Response
  8. 8. Response Categories
  9. 9. Data Possibilities
  10. 10. Research Limitations• Time Constraints – Lack of time did not allow for further investigations. With more time the consultants would have performed more field work including: customer, employer, employee interviews and questionnaires. • Determining Customer Motivations – This could not be determined with observable data.Surveys and questionnaires for the customers on reasons why they wouldstay and/or leave must be conducted.• Customer Demographics & Socioeconomic Status – A study of this information must be conducted to further analyze if this has an effect on a good coffee house.• Observers – The participant observers are untrained and were able to visit the coffee houses any day of the week and at any time.
  11. 11. Research Limitations• Coding – Based on two consultants and their interpretation of the data.• Area Researched – Observations were taken from a large area span from Western Massachusetts and Northern Connecticut. This cannot be generalizable to the nation as a whole.• Definition of Coffee House – Each observer has their own definition of a coffee house. This could have been a problem when choosing an independent coffee house.
  12. 12. Observable Data  12 observers • 971 observations Rank CatGroup Category Total • 1,659 ratings 1Atmosphere and Location Ambience 213 • 32 coffee house locations 2Other Clientele Type/Demographics/Class 211 3Service Procedural - Competency, Accuracy, Quality 171 4Products The results Presentation top ten categories show the 97 mentioned by the observers include the following: 5Atmosphere and Location Décor 95 6Atmosphere and Location Lounge - Comfortable Seating 81 7Atmosphere and Location Facility 75 8Service Personal - Feel Welcomed and Valued 69 9Products Variety 66 10Products Coffee 57
  13. 13. Observable Data CatGroup Category Total Negative PositiveAtmosphere and Locationresults show The Ambience the top ten categories mentioned 45 99 54Service by the observers only including negative and positive ratings: Procedural - Competency, Accuracy, Quality 83 32 51Service Personal - Feel Welcomed and Valued 52 3 49Products Presentation 45 19 26Products Variety 36 1 35Atmosphere and Location Lounge - Comfortable Seating 32 7 25Products Coffee 31 1 30Atmosphere and Location Decor 31 7 24Products Take Home Items Available 25 1 24Atmosphere and Location Accessibility 25 2 23
  14. 14. Observable DataPOSITIVE This shows the rank order of codes.Rank Coffee House Total Rankings1 Starbucks 2282 Independent 1653 Dunkin’ Donuts 110NEGATIVERank Coffee House Total Rankings1 Dunkin’ Donuts 782 Independent 603 Starbucks 26NEUTRALRank Coffee House Total Rankings1 Dunkin’ Donuts 3522 Independent 3313 Starbucks 309
  15. 15. Coffee House AddressesIN 598 Sumner Avenue, Springfield, MAIN 60 Masonic Street, Northampton, MAIN PlaceTp Hopmeadow Street, Simsbury, CT 712 AddressIN DD College Highway, Southwick, MA CT 155 Hazard Avenue, Enfield,IN DD Enfield1600 Northampton Street, Holyoke, MA Sqare, 90 Elm Street, Enfield, CTIN DD Pleasant Steet, Road, East Windsor, CT 17 North Northampton, MAIN DD 3 Allen Street, Hamden, MA Suffield Village 68 Bridge Steet, Suffield, CTSB DD 1089 EastPark Street,Avenue, Springfield, MA 44 Columbus West Springfield, MASB DD 54 Hazard Avenue, Enfield, CT 280A East Main Street, Westfield, MASB DD 55 Maple Street, East Longmeadow, MA 42 North Main Street, East Longmeadow, MASB DD 50 HolyokePage Boulevard, Springfield, MA 694 Street, Holyoke, MASB DD 620 Memorial Drive, Chicopee, MA CT 760 Park Avenue, Bloomfield,SB DD 852 Cottage Grove Avenue, West Springfield, MA 85 Memorial Road, Bloomfield, CTSB DD 93 Main Street, Westfield, MA 9 Hazard Avenue, Enfield, CTSB DD 930 Hopmeadow Street, Simsbury, CT CT Albany Avenue, West Hartrford,SB IN 1344 Memorial Avenue West Springfield, MA Springfield, MA IN 185 Main Street, Northampton, MA IN 226 Broad Street, Windsor, CT IN 462 Main Street, Wilbraham, MA
  16. 16. Coffee House Addresses
  17. 17. Top Four Coffee House Elements
  18. 18. REFERENCESArticlesCoffee. (1999). NationalGeographic.com. Retrieved February 17, 2008, from http://www.nationalgeographic.com/coffee/legend2.htmlCoffee history. (2006). CoffeeResearch.org. Retrieved February 17, 2008, from http://www.coffeeresearch.org/coffee/history.htmEllis, M. (2002). The devil’s ordinary: consuming public culture in the coffee-house. CabinetMagazine Online. Retrieved February 15, 2008, from http://www.cabinetmagazine.org/issues/8/coffeehouse.phpGale Group (2007). Specialty coffee. 11-10. Retrieved February 3, 2008, from http://galenet.galegroup.com/servlet/BCRCGupta, N. (2004, September). Grande Wi-Fi: understanding what Wi-Fi users are doing in coffee-shops. Retrieved February 16, 2008, fromhttp://www.newburyopen.net/pubs/Thesis_NeetiGupta.pdfHistory of the coffee house, part I. (2006, December). SupermarketGuru.com. Retrieved February 17, 2008, fromhttp://www.supermarketguru.com/page.cfm/31270Montalvo, K. V. (2006, June). A gourmet coffee nation?. Gourmet Retailer, 27(6), 74.Little known facts about coffee. (n.d.). National Coffee Association of U.S.A., Inc. Retrieved February 17, 2008, from http://www.coffeescience.orgSuter, K. (2005, February). The rise and fall of English coffee houses. Contemporary Review, 107. Retrieved from Expanded Academic ASAP database.The history of coffee. (n.d.). Retrieved February 17, 2008, from http://www.ncausa.org/i4a/pages/index.cfm?pageid=68Thompson, C. J., & Arsel, Z. (2005, October 7). The Starbucks brandscape and the discursive mapping of local coffee shop cultures. Retrieved February4, 2008, from http://www.bus.wisc.edu/nielsencenter/research/docs/brandcoffeejcr-7.pdf.Waxman, L. K. (2004). More than coffee: an examination of people, place, and community with implications for design. Retrieved February 16, 2008,from http://interiordesign.fsu.edu/symposium/2007/2007Proceedings.pdfMapsAll Mapquest maps retrieved from http://www.dunkindounts.com44 Park Street, West Springfield, MAhttps://www.dunkindonuts.com/aboutus/store/Results.aspx?hdnLatitude=42.107353&hdnLongitude=-72.617059&hdnType=ByLocation&rdoUnit=Mi&txtPostalCode=&txtAddress=44+park+street&txtCity=west+springfield&selStateProvince=MA&selCountry=NN&txtDistance=10&txtMatchesperPage=51600 Northampton Street, Holyoke, MAhttps://www.dunkindonuts.com/aboutus/store/Results.aspx?hdnLatitude=42.20994&hdnLongitude=-72.630049&hdnType=ByLocation&rdoUnit=Mi&txtPostalCode=&txtAddress=1600+northampton+street&txtCity=holyoke&selStateProvince=MA&selCountry=NN&txtDistance=10&txtMatchesperPage=555 Maple Street, East Longmeadow, MAhttps://www.dunkindonuts.com/aboutus/store/Results.aspx?hdnLatitude=42.063508&hdnLongitude=-72.516377&hdnType=ByLocation&rdoUnit=Mi&txtPostalCode=&txtAddress=55+maple+street&txtCity=east+longmeadow&selStateProvince=MA&selCountry=NN&txtDistance=10&txtMatchesperPage=5ObservationsAll observations were submitted by students at The Graduate School at Bay Path College, Longmeadow, Massachusetts for the Fall 2007 MBA 607Methods of Business Research and Analysis Wednesday night class with Dr. James M. Wilson, III.

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