International marketing project on coffee café launch in

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International marketing project on coffee café launch in

  1. 1. 1 Chetan Panara, Xcellon Institute,Ahmedabad 31-12-2011
  2. 2.  Country: Norway  Capital: Oslo  History: 9th to 11th century was Viking kings period From 1387 Norway was under of Denmark By 1586 Norway become part of Danish Kingdom In 1814 Norway become part of Sweden 1905 Sweden recognize Norwegian freedom  Area: 323802 sq km Natural Resources:  petroleum, natural gas, iron ore, copper, lead, zinc, titanium, pyrites, nickel, fish, timber, hydropower  Environmental issue: water pollution; acid rain damaging forests and adversely affecting lakes2 Chetan Panara, Xcellon Institute,Ahmedabad 31-12-2011
  3. 3.  Population:48,85,240 (2010) Population growth:0.329%  Major City: Oslo ( 8,75,000)  Language: Bokmal ,nynorsk and Sami  Religion :  church of Norway 85.7%, Pentecostal 1%, Roman Catholic 1%, other Christian 2.4%, Muslim 1.8%, other 8.1% (2004)  Birth Rate:10.84/1000 Death Rate:9.24/1000 (2011 ,July)  Life expentency:80.2  Health Expenditure: 9% of GDP  Education Expenditure: 6% of GDP Literacy Rate : 100%3 Chetan Panara, Xcellon Institute,Ahmedabad 31-12-2011
  4. 4.  GDP:$414.5 billion (2010 est.) Growth rate:o.4%(2010)  Budget surplus:11.4%(2010)  Unemployment rate:3.6%  Inflation rate:2.5%  Export: petroleum and petroleum products, machinery and equipment, metals, chemicals, ships, fish  Import: machinery and equipment, chemicals, Coffee, metals, foodstuffs  Per capita income: 72300$  Main Industries :petroleum and gas, food processing, shipbuilding, pulp and paper products, metals, chemicals, timber, mining, textiles, fishing4 Chetan Panara, Xcellon Institute,Ahmedabad 31-12-2011
  5. 5.  Government type:constitutional monarchy  Legal system:mixed legal system of civil, common, and customary law; Supreme Court can advise on legislative acts  Head of government: Prime Minister Jens STOLTENBERG (since 17 October 2005)  Cabinet: State Council appointed by the monarch with the approval of parliament  Main political party:Christian Peoples Party, centre party, Labour party5 Chetan Panara, Xcellon Institute,Ahmedabad 31-12-2011
  6. 6.  Company: Café Coffee Day  Product: Coffee Café  Reason for selecting café coffee shop:  There are many reason for selecting this product  1: There no big competitor in the market  2: Norwegian coffee consumption is very high  3:Norway import coffee from India  4:Ability to pay high price6 Chetan Panara, Xcellon Institute,Ahmedabad 31-12-2011
  7. 7.  Product  Wide range of products appealing to Indian coffee and snack lovers  Indian taste  Eatables adapted to Indian taste buds like samosa, biryani, masala sandwich, tikka sandwich etc. Indian taste along with classic coffee  Merchandising includes funky stuff like t-shirts, caps etc.  People  People at C.C.D. believe that “People are hired for what they know but fired for how they behave”  Motivation and personal skill are laid emphasis upon.  Process  Order process - Based on services (Customer read menu and order).  Flexible delivery process (Customer can go directly, take the order placed or order delivered on his table).7 Chetan Panara, Xcellon Institute,Ahmedabad 31-12-2011
  8. 8.  Sales Promotion  Offer coupons, Gifts vouchers, Café Citizen Cards  Café Beat- an in-house magazine.  Tie-up with World Space & Micro sense to provide satellite connectivity  Physical Evidence  Logo, Colours, Images  RED signifies leadership, vitality and passion . The GREEN signifies coffee growing heritage and the coffee plantations that they own. WHITE SWIRL signifies purity of purpose, invigorating properties of growing coffee.  Signifies that Café Coffee Day pioneered the café concept in India way back in 1996.C.C.D. will like to own the word “café” in the minds of its customers.  Décor & Architecture  Literature New Logo8  Dress Code Chetan Panara, Xcellon Institute,Ahmedabad 31-12-2011
  9. 9.  USP of brand is it‟s considered a highly affordable brand.  Excellent brand name and brand visibility  Huge young crowd as target group  Excellent ambience and service  Over 1000 outlets and 300,000 visitors per day  It produces/grows the coffee it serves hence reducing the cost  Products of extremely good quality and taste.  Its a youth oriented brand , hence huge potential since 40 % population is below 20  Variety and wide choice  good hospitality9 Chetan Panara, Xcellon Institute,Ahmedabad 31-12-2011
  10. 10.  Annually consumption:40,000 tones  Per capita consumption 10.7 kg per year in 2010  Key supplier of coffee:, Peru, Guatemala, Brazil and Papua, New Guinea, India. East Timor, and Bolivia  Key factor of coffee in Norway Quality of cup Consistent and reliable supply Price relative to conventional coffee Awareness of consumers about these coffees10 Chetan Panara, Xcellon Institute,Ahmedabad 31-12-2011
  11. 11.  There are three major player in Norwegian market  1:Friele  2:coop café  3: Tim Wendelboe  These three major player have approximately 50 to 55% Market share in Norwegian coffee market  Friele is Domestic player and Coop and Tim Wendelboe are  international player  45 to 50% market share is cover by small player in Norwegian market11 Chetan Panara, Xcellon Institute,Ahmedabad 31-12-2011
  12. 12.  Friele:  Friele is the largest Coffee shop company in Norwegian market  Company was started in 1799  Friele coffee brands have a total national market share of 35%  Friele have main focus in two city: Oslo and Bergen  Friele import coffee from seven country  Company goal is to create the perfect "coffee moment" for as many as possible12 Chetan Panara, Xcellon Institute,Ahmedabad 31-12-2011
  13. 13.  Coop café  It was came Norwegian market in 1953  subsidiary of Coop Industrier  Coop café establish his café in only Oslo  Coop café import coffee from Brazil  Tim Wendelboe  Started his business in 2007 from Oslo  The goal of Tim Wendelboe is to “be among the best coffee roasteries and espresso bars in the world.”13 Chetan Panara, Xcellon Institute,Ahmedabad 31-12-2011
  14. 14.  Target Market Generation x, y and Young boomers Means Age from 14 to 34.  Segmentation:  Student who go to collage every day  Teenagers  Young couple  Positioning:  Main three city of Norway14 Chetan Panara, Xcellon Institute,Ahmedabad 31-12-2011
  15. 15.  IMC plan  Focus on primary target  „Word-of-mouth‟ advertising  offering a loyalty card targeted at the primary target with the intent to increase sales.  Increase top of mind recognition by 0% of 20%  Sponsorship of local philanthropic events  To increase Top of Mind in the minds of both the primary and secondary targets.  Ads in newspaper and Magazine15 Chetan Panara, Xcellon Institute,Ahmedabad 31-12-2011
  16. 16.  Population  Demography and geography  Political and legal environment  Investment opportunities  Competitor analysis  Company analysis  Marketing mix of café coffee day  Coffee café in Norway16 Chetan Panara, Xcellon Institute,Ahmedabad 31-12-2011
  17. 17.  Entry Strategy:  Launch CCD‟s own coffee shop in Norwegian market  Raw material will export from India  Land will take on lease  4p‟s:  Product:  Mixed taste Indian and Norwegian  ccd‟s existing product which is suitable in Norwegian market  Norwegian product which is used by Friele ,coop café and other major player  menu contains brewed coffee, espresso traditions and favourites, cold-hot beverages, coffee alternatives, frappuccinos, and the sale of whole beans17 Chetan Panara, Xcellon Institute,Ahmedabad 31-12-2011
  18. 18.  Place :  Main focus in three city : Oslo ,Bergen and Stavanger  5 café in each city  a place where people can come together  Store will placed near crowed area Promotion :  Advertising in Newspaper and Magazine  The company spends very little on advertising  word-of-mouth promotion  Sponsorship in local events18 Chetan Panara, Xcellon Institute,Ahmedabad 31-12-2011
  19. 19. 2012 2013 2014 Sales $584,000 $642,400 $706,640 Operating expenses $243,730 $273,194 $290,782 Net Profit $99,308 $106,530 $124,491 Total liability and capital $270,303 $369,921 $490,040 Net profit Margin % 17.00% 16.58% 17.62%19 Chetan Panara, Xcellon Institute,Ahmedabad 31-12-2011
  20. 20. 20 Chetan Panara, Xcellon Institute,Ahmedabad 31-12-2011
  21. 21. THANK YOU! Happy new year21 Chetan Panara, Xcellon Institute,Ahmedabad 31-12-2011

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