1.
Marketing Plan
Prepared for:
Prepared by:
Adri Budiman
(adrib@bu.edu)
Natasha Goenaga
(ngoenaga@bu.edu)
Annie Holcombe
(annieholc@gmail.com)
Arleigh MacMaster
(arlemac@bu.edu)
Juan Montes De Oca
(juanmdo@bu.edu)
2. 2
0. INDEX
I. EXECUTIVE
SUMMARY
A. Marketing
goals
and
objectives
II. MARKET
ANALYSIS
A. Overview
of
the
Massachusetts
food
industry
B. Food
trends
C. Survey
Research
III. CURRENT
SITUATION
A. Location
Analysis
B. Internal
situation
C. External
Situation
D. Competition
E. SWOT
Analysis
F. Competitive
advantage
IV. TARGET
MARKET,
CUSTOMER
ANALYSIS,
AND
POSITIONING
V. MARKETING
INFLUENCE
STRATEGY
A. Late
Night
Q
B. Community
involvement
C. Partnerships
VI. DIGITAL
MARKETING
STRATEGY
A. Social
Media
B. Rewards
programs
C. Website
VII. MARKETING
INVESTMENTS
A. Metrics
and
measurements
VIII. APPENDIX
3. 3
IX. I.
EXECUTIVE
SUMMARY
The
Smoke
Shop,
which
opened
June
25
2016,
has
quickly
become
one
of
the
best
barbecue
restaurants
in
Boston.
Smoke
Shop’s
Chef
Andy
Husbands
has
created
a
diverse
menu
with
elements
from
Memphis,
Kansas
City,
and
Texas
style
barbecue.
Andy
also
added
Asian
influences
and
New
England
seasonality,
showing
his
20
years
of
experience
in
the
competitive
barbecue
circuit.
This
new
“City
Q”
style
of
barbecue
is
complemented
by
a
modern
design
and
an
unrivaled
bar
selection,
which
includes
more
than
100
American
whiskies.
Smoke
Shop
is
Chef
Andy’s
newest
restaurant,
joining
the
successful
Tremont
647
and
Sister
Sorel.
While
the
restaurant
has
been
a
major
success
since
its
opening,
Chef
Andy
is
looking
to
improve
its
profitability
by
capitalizing
on
the
restaurant's
1
AM
liquor
license.
In
order
to
attract
more
customers
during
the
late
business
hours,
Smoke
Shop
will
begin
to
offer
late-‐night
live
music
Thursday,
Friday
and
Saturday
nights.
Given
the
restaurant's
unique
offer
combined
with
the
objective
to
capture
The
Smoke
Shop´s
specific
target
segment,
we
recommend
several
suggestions
to
market
the
late
night
entertainment
into
success:
• Strengthen
the
restaurant's
social
media
presence
• Form
lasting
partnerships
with
local
companies
• Create
an
experience
around
late
night
music
• Attract
workers
and
residents
within
walking
distance
of
Kendall
Square
II.
MARKET
ANALYSIS
A.
OVERVIEW
OF
THE
MASSACHUSETTS
FOOD
INDUSTRY
The
marketing
environment
for
The
Smoke
Shop
offers
several
business
opportunities.
However,
there
are
also
some
challenges
that
the
restaurant
faces,
as
it
is
no
longer
the
newest
restaurant
in
Massachusetts’
food
and
beverage
industry,
but
The
Smoke
Shop
team
believes
these
obstacles
can
be
overcome.
The
Massachusetts’
restaurant
industry
is
constantly
growing
and
evolving
at
a
fast
rate.
According
to
the
National
Restaurant
Association,
Massachusetts
presented
15,397
eating
and
drinking
locations
in
2015.
This
already
competitive
market
will
see
more
than
20
restaurants
open
in
the
Boston
area
this
fall
alone.
4. 4
B.
FOOD
TRENDS
Food
trends
are
constantly
changing
each
year,
which
makes
it
challenging
for
existing
restaurant
concepts
to
keep
up
with
an
evolving
environment.
Current
trends
can
affect
The
Smoke
Shop
positively
and
negatively.
Currently,
foods
trends
are
in
The
Smoke
Shop’s
favor.
As
reported
by
the
National
Restaurant
Association,
the
perennial
favorites
in
2016
are
fried
chicken
(63%),
barbeque
(62%),
fried
(60%),
and
pulled
pork
(57%).
The
Smoke
Shop
stands
to
gain
from
this
southern
food
movement
as
it
offers
all
of
these
options
on
their
menu.
The
Smoke
Shop
team
will
be
able
to
attract
customers
with
their
cuisine,
thus
their
marketing
efforts
can
be
refocused
on
areas
that
may
be
negatively
affected
by
other
emerging
food
trends.
Also,
according
to
the
National
Restaurant
Association,
meal
kits
are
a
hot
new
trend
for
2016
and
can
be
a
potential
disruptor
for
The
Smoke
Shop.
These
dinners-‐in-‐a-‐
box
already
include
recipe
cards,
and
all
required
ingredients
measured
and
prepared
to
throw
together
for
dinner.
This
convenient
option
will
entice
potential
customers
to
stay
home
and
cook
their
own
meals.
At
nearly
$10
per
meal,
this
option
may
be
cheaper
than
takeout
(Baum
+
Whiteman).
This
is
one
trend
that
does
not
need
to
threaten
The
Smoke
Shop
though,
as
the
restaurant
can
eventually
capitalize
on
this
trend
by
creating
meal
kits
attached
to
Andy
Husband’s
brand.
This
presents
a
co-‐branding
opportunity.
Another
emerging
trend
is
food
waste
reduction
/
management
(National
Restaurant
Association).
Sustainability
is
an
emerging
consumer
trend.
According
to
Cone
Communication’s
2015
Global
Corporate
Social
Responsibility
study,
91%
of
global
consumers
expect
companies
to
not
only
make
a
profit,
but
also
operate
responsibly
to
address
social
and
environmental
issues
-‐-‐
and
84%
say
they
seek
out
responsible
products
whenever
possible.
The
Smoke
Shop
can
use
sustainability
as
a
marketing
strategy
since
there
are
opportunities
to
reduce
food
waste
by
donating
leftover
food
to
shelters
such
as
Boston
Rescue
Mission
or
Salvation
Army
Shelter
&
Day
Care.
Furthermore,
another
factor
affecting
restaurants
is
how
dining
decisions
are
made.
According
to
research
conducted
by
Summit
Marketing
(2013),
75%
of
dining-‐out
decisions
are
made
by
women.
This
data
is
crucial
to
operating
a
restaurant.
The
Smoke
Shop
can
take
advantage
of
this
statistic
by
making
sure
there
are
food
and
beverage
options
on
the
menu
more
tailored
to
women.
C. SURVEY
RESEARCH
Our
Team
wanted
to
get
a
better
idea
of
the
market
and
how
it
would
respond
to
a
live
country
music
feature
for
a
restaurant.
We
conducted
a
survey
that
has
given
us
insights
into
the
needs
and
wants
of
potential
customers.
This
lets
us
conclude
numerous
findings
about
the
live
music
industry
in
restaurants.
5. 5
Of
nearly
75
respondents,
65%
were
between
25
–
34
years
of
age.
The
demographic
details
from
the
respondents
can
be
found
in
the
appendix.
We
asked
on
a
scale
of
1-‐7
(7
being
the
strongest
score),
how
likely
they
would
be
to
go
see
live
music
at
a
bar
or
restaurant.
The
mean
of
these
responses
was
a
4.71.
That
means
over
half
of
the
responses
said
they
would
go
to
a
restaurant
or
bar
for
live
music.
Of
the
people
we
surveyed,
88%
said
they
would
want
appetizers
to
be
served
during
the
late
night
music
session:
From
the
survey
results
we
can
conclude
that
having
a
limited
late
night
menu
during
the
live
music
sessions
would
be
beneficial
to
the
operation.
The
key
to
making
this
event
successful
is
to
cater
to
customer
preference
towards
food
availability.
6. 6
However,
in
order
to
help
the
bottom
line
for
the
restaurant
it
is
in
their
best
interest
to
serve
food
with
simple
prep.
Furthermore,
North
Dakota
State
University
(NDSU)
conducted
a
survey
on
restaurant
atmospherics
and
how
live
music
impacts
that
atmosphere.
Our
survey
highlights
the
importance
of
food
in
late
night
hours.
However,
this
survey
focuses
on
customers’
receptiveness
and
genre
preferences
of
live
music.
As
seen
in
the
chart
below,
55%
of
NDSU’s
respondents
like
listening
to
live
music
while
dining.
In
addition,
NDSU
conducted
a
survey
to
see
which
genres
of
music
people
prefer
to
listen
to.
Country
and
Classical
music
were
the
favored
music
categories
at
222
votes
each.
7. 7
After
analyzing
the
results
from
both
surveys,
we
can
conclude
that
having
a
live
music
series
featuring
country
music
would
be
beneficial
to
The
Smoke
Shop’s
business.
However,
having
a
late
night
menu
during
the
music
series
is
essential
to
become
a
successful
late
night
destination.
III.
CURRENT
SITUATION
A. LOCATION
ANALYSIS
The
Smoke
Shop
is
located
in
Kendall
Square
in
Cambridge,
Massachusetts.
Kendall
Square
has
evolved
from
an
industrial
district
to
a
growing
commercial
district
with
more
than
160
companies,
restaurants,
hotels,
and
shops.
The
restaurant
is
conveniently
accessible
as
seven
MBTA
bus
lines
and
three
MBTA
Stations:
Central,
Kendall,
and
Lechmere,
run
through
the
Kendall
Square
District.
There
exists
much
local
traffic
with
an
estimated
34,577
employees
working
within
a
half
a
mile
radius
of
Kendall
Square
and
102,544
within
a
mile
radius
(Cambridge
Community
Development).
In
addition,
the
restaurant’s
proximity
to
MIT,
which
has
a
population
of
11,220
students
as
of
2014,
makes
this
an
opportunistic
area.
Furthermore,
there
is
an
opportunity
to
attract
tourists
in
the
area.
There
are
three
hotels
within
close
proximity
to
Kendall
Square:
The
Kendall
Hotel,
Boston
Marriott
Cambridge,
and
Residence
Inn
Boston
Cambridge.
B. INTERNAL
SITUATION
The
Smoke
Shop
opened
in
Kendall
Square
in
June
2016
with
a
focus
on
serving
“New
Style
City
Q.”
Andy
Husbands
serves
up
slow-‐cooked
barbeque
from
ribs
to
beef
brisket.
He
not
only
offers
traditional
barbeque,
but
also
incorporates
Korean
and
Thai
flavors
to
his
menu
items.
In
addition,
the
restaurant
features
the
largest
whiskey
selection
in
Boston,
boasting
over
100
whiskey
options.
The
Smoke
Shop
has
150
seats
and
is
open
for
brunch,
lunch,
and
dinner.
By
December
2016,
live
music
will
be
offered
from
Thursdays
to
Saturdays.
The
restaurant
has
a
business
relationship
with
the
Kendall
Square
Association
and
participated
in
their
Eat
Up
event
on
October
19,
2016.
C. EXTERNAL
SITUATION
There
will
always
be
external
forces
that
can
affect
a
company
and
its
market.
The
development
of
technology
in
the
service
industry
is
a
driving
force
in
how
restaurants
can
improve
their
hospitality
for
customers.
The
latest
revolution
comes
from
Danny
Meyer,
the
owner
of
Union
Square
Hospitality
Group
based
in
New
York
City.
Danny
Meyer
is
using
the
apple
watch
in
his
restaurants
to
improve
customer
service.
He
partnered
with
the
app
Resy,
OpenTable’s
rival.
The
restaurants’
managers
and
sommeliers
will
wear
the
watches
and
give
8. 8
customers
alerts
via
the
watch.
There
will
be
alerts
sent
when
a
menu
item
is
sold
out
or
if
there
is
a
certain
type
of
wine
that
is
out
of
stock.
An
iPad
in
the
restaurant
will
serve
as
the
central
hub
of
information.
This
use
of
technology
will
enhance
dining
experiences
because
every
visit
will
be
more
personalized.
Customers
will
be
able
to
invite
all
of
the
members
of
their
dinner
party
to
the
reservation
so
the
restaurant
can
know
all
the
names
of
the
people
in
their
party.
In
addition,
customers
can
text
ResyOS
if
they
are
running
late
and
the
restaurant
will
be
alerted.
There
is
also
a
payment
feature
that
will
allow
customers
to
split
the
check
and
pay
individually
on
their
phone
(Eater).
D. COMPETITION
According
to
the
Kendall
Square
Association,
there
are
20
restaurants
in
the
Square
area
ranging
from
coffee
shops
to
fast,
casual
restaurants.
During
lunch
hours,
the
quick
service
restaurants
are
a
concern
because
they
appeal
to
the
employees
in
the
area
who
are
looking
for
fast
lunch
options.
According
to
the
New
York
Times,
62
percent
of
professionals
say
they
typically
eat
lunch
at
their
desks.
Therefore,
quick
service
options
are
ideal
for
workers
so
they
can
bring
their
food
back
to
their
desks
to
eat.
This
segment
includes
Bailey
and
Sage,
Bon
Me,
Beantowne
Coffee
House,
and
Tatte
Bakery.
The
peak
hours
for
lunch
are
from
11am
to
1pm.
According
to
their
website,
Bon
Me
will
not
accept
big
takeout
orders
during
those
peak
hours.
Another
source
of
competition
are
other
barbeque
and
southern
themed
restaurants
that
have
been
established
in
the
Boston
area.
In
the
summer
of
2011,
Tiffani
Faison,
a
season
1
finalist
of
Top
Chef,
opened
Sweet
Cheeks
in
the
Fenway
area.
Additionally
Loretta’s
Last
Call,
which
is
known
for
its
live
music
segments
and
line
dancing,
rivals
The
Smoke
Shop’s
upcoming
live
music
addition.
Loretta’s
menu
boasts
southern
food
and
includes
a
beef
brisket
on
the
menu.
Soulfire
has
two
locations
for
its
BBQ,
strong
ratings
on
Yelp,
and
is
listed
in
Zagat’s
Best
BBQ
in
Boston.
With
the
addition
of
a
live
music
segment,
there
also
comes
more
competition.
In
Kendall
Square,
State
Park
boasts
a
live
music
series
on
Thursdays,
Sundays,
and
Mondays.
The
venue’s
events
calendar
is
planned
out
weeks
in
advance
so
guests
can
see
who
is
performing.
They
also
have
a
late
night
menu
serving
guests
until
midnight.
Beat
Brasserie
has
music
acts
lined
up
for
Thursday
and
Friday
nights,
but
its
calendar
is
not
planned
as
far
in
advance
as
State
Park’s.
Beat
Brasserie
serves
food
until
midnight
on
Thursdays
and
until
1:00am
on
Fridays
and
Saturdays.
The
Beehive
on
Tremont
Street
hosts
musical
acts
almost
every
night
of
the
week
with
a
focus
on
reggae
and
jazz
music.
Its
kitchen
is
open
until
midnight
on
Thursdays,
and
1:00am
Fridays
and
Saturdays.
And
Loretta’s
Last
Call
in
the
Fenway
area
9. 9
boasts
a
wide
range
of
country
music
acts
throughout
the
week
as
well
as
line
dancing
segments.
Unlike
the
previous
restaurants,
Loretta’s
Last
Call’s
kitchen
closes
the
earliest.
On
Thursdays,
it
closes
at
midnight,
but
on
Fridays
and
Saturdays
it
closes
at
11pm.
E. SWOT
ANALYSIS
The
Smoke
Shop
SWOT
Strengths
·∙ Accessibility
by
Public
Transportation
·∙ Take-‐out
·∙ Reservations
·∙ Outdoor
seating
·∙ Owner’s
involvement
·∙ House
made
ingredients
·∙ Extensive
whiskey
collection
·∙ Unique
spin
on
BBQ
with
Korean
&
Thai
infusion
·∙ Andy
Husband’s
reputation
·∙ Serve
brunch,
lunch,
and
dinner
·∙ Sunday
football
menu
·∙ Seasonal
drinks
·∙ Recent
good
press
Weaknesses
·∙ Lack
of
Loyalty
program
·∙ Not
viewed
as
healthy
by
the
consumers
·∙ Relatively
expensive
(
$11-‐$30)
compared
to
competitors
close
to
Kendall
Square
Opportunities
·∙ Attracting
lunch
demand
from
employees
in
the
area
·∙ Social
responsibility
·∙ Improving
social
media
sites
such
as
Instagram
·∙ Corporate
catering
·∙ Campus
event
catering
(MIT
is
nearby)
·∙ Attracting
tourists
from
hotels
Threats
·∙ Staying
fresh
when
there
are
20+
restaurants
opening
this
fall
alone
·∙ More
recognizable
restaurant
names
such
as
Tatte
nearby
Competitor’s
SWOT
State
Park
Strengths
·∙ Take-‐out
·∙ Location-‐
lunch
&
accessibility
·∙ Catering
·∙ Quick
service
·∙ Seasonal
menu
Weaknesses
·∙ Limited
seating
·∙ Inconsistent
food
&
service
·∙ Inconsistent
reviews:
Yelp
2.5
stars
&
Facebook
4.5
stars
·∙ Relatively
pricey
-‐
$11-‐$30
10. 10
.
Diverse
Cocktail
menu
.
Parking
validation
offered
.
Offer
pool
and
arcades
within
the
park
.
Diverse
late
night
menu
.
Large
groups
cannot
split
bill
Opportunities
·∙ Attracting
tourists
from
nearby
hotels
·∙ Website
could
be
updated
to
look
better
.
Attracting
more
demand
during
lunch
hours
.
Kendall
Square’s
increasing
appeal
as
a
late
night
destination
Threats
·∙ Popular
area
for
new
businesses/restaurants
.
New
bar
openings
could
take
demand
from
incumbent
restaurants
.
Higher
focus
from
competitors
on
the
bar´s
target
segment
Beat
Brasserie
Strengths
·∙ Take-‐out
·∙ Live
Music
·∙ Full
Bar
·∙ Customer
Service
·∙ Cocktail
Menu
·∙ Location
·∙ Atmosphere
·∙ Accepts
Reservations
Weaknesses
·∙ No
loyalty
program
·∙ Lack
of
consistency
with
live
music
on
its
calendar,
sometimes
it
is
Thursday
nights
or
just
Friday
nights
Opportunities
·∙ Delivery
·∙ Increase
interactions
on
Facebook
–
posts
rarely
get
likes
or
comments
Threats
·∙ Boston’s
weather
·∙ New
restaurants
and
bars
opening
around
the
area
Beehive
Strengths
·∙ Vegetarian
options
·∙ 4
star
review
on
Yelp
·∙ Takes
reservations
·∙ Catering
·∙ Continuously
updates/changes
menu
·∙ Service
Weaknesses
·∙ Facebook
Page
·∙ Relatively
pricey
at
$11-‐30
on
Yelp
·∙ Located
more
than
a
½
mile
from
the
T
station
11. 11
.
Provides
music
calendar
on
their
website
Opportunities
·∙ Delivery
·∙ Take-‐out
·∙ Increase
interactions
on
Facebook
–
posts
rarely
get
likes
or
comments
Threats
·∙ Boston
Weather
Loretta’s
Last
Call
Strengths
·∙ Live
music
&
line
dancing
·∙ Location
·∙ Takes
Reservations
Weaknesses
·∙ Cover
charge
on
the
weekends
·∙ Social
Media
Interaction
·∙ Food
Opportunities
·∙ Catering
·∙ Increasing
social
media
interactions
Threats
·∙ Staying
fresh
when
there
are
20+
restaurants
opening
this
fall
alone
Secondary
Competitors’
SWOT
Sweet
Cheeks
Strengths
·∙ Takes
reservations
·∙ Take-‐out
·∙ Outdoor
seating
·∙ Location
·∙ Catering
·∙ Gift
cards
Weaknesses
·∙ A
lot
of
competition
in
the
Fenway
area
·∙ Relatively
expensive
$11
-‐
$30
Opportunities
·∙ Update
social
media
more
regularly
Threats
·∙ Staying
fresh
when
there
are
20+
restaurants
opening
this
fall
alone
Gyu-‐Kaku
Japanese
BBQ
Strengths
·∙ Chain
·∙ Management
responds
to
reviews
on
Yelp
·∙ Take-‐out
Weaknesses
·∙ 3.5
star
rating
on
Yelp
·∙ Service
·∙ Beer
&
Wine
Only
·∙ No
outdoor
seating
Opportunities
·∙ Catering
·∙ Delivery
·∙ Full-‐bar
license
Threats
·∙ Staying
fresh
when
there
are
20+
restaurants
opening
this
fall
alone
12. 12
Soulfire
Strengths
·∙ 4
star
rating
on
Yelp
·∙ Delivery
·∙ Takeout
·∙ Quick-‐serve
·∙ Easily
accessible
by
MBTA
Weaknesses
·∙ Restaurant
website
not
aesthetically
pleasing
·∙ No
outdoor
seating
·∙ Relatively
pricey
$11-‐$30
·∙ Lack
of
events
Opportunities
·∙ Update
Facebook
&
upload
high
quality
pictures
·∙ Catering
·∙ Community
partnerships
·∙ Student
discounts
·∙ Social
Responsibility
Threats
·∙ Staying
fresh
when
there
are
20+
restaurants
opening
this
fall
alone
F. THE
SMOKE
SHOP’S
COMPETITIVE
ADVANTAGE
Despite
impressive
competition,
The
Smoke
Shop
stands
out.
It
is
the
only
restaurant
to
offer
diners
the
option
to
order
a
whole
hog,
which
is
a
unique
selling
point.
In
addition,
The
Smoke
shop’s
chef
and
owner,
Andy
Husbands,
boasts
a
first
place
title
in
the
world
champions
of
barbecue
competition.
He
belonged
to
the
first
non-‐southern
team
to
win.
At
the
bar,
one
can
find
the
largest
American
whiskey
selection
in
New
England.
The
Smoke
Shop
earned
significant.
In
its
first
two
months,
the
restaurant
earned
more
than
$5
million
in
sales.
The
restaurant
has
also
generated
rave
reviews
on
food
websites
including
Yelp.
The
Smoke
Shop’s
diverse
whiskey
selection
and
its
ability
to
cater
to
large
groups
makes
it
stand
out
from
the
competition.
One
Yelp
user
wrote,
“This
is
a
great
place
for
groups,
as
the
menu
can
even
accommodate
a
whole
pig
or
brisket
for
a
group
of
10-‐12
people!”
Another
Yelp
user
raved
about
The
Smoke
Shop’s
alcohol
selections
saying,
“Amazing
selection
of
American
whiskey
and
craft
beers.”
The
Smoke
Shop
is
surrounded
by
corporate
offices
and
the
Massachusetts
Institute
of
Technology,
which
when
combined,
offer
the
potential
for
active
foot
traffic.
Employees
of
local
businesses
could
be
enticed
by
The
Smoke
Shop’s
lunch
options,
while
live
music
on
the
weekends
may
attract
a
wider
target
market.
Furthermore,
the
new
live
music
segment
gives
The
Smoke
Shop
a
competitive
advantage
over
it
competitors
because
of
its
potential
to
create
a
unique
dining
and
bar
atmosphere
ultimately
driving
profits.
According
to
the
National
Restaurant
Association,
people
“chewed
food”
nearly
a
third
faster
when
listening
to
high-‐volume,
fast-‐tempo
music,
potentially
increasing
table
turnover.
Not
only
does
music
help
people
eat
faster,
but
people
consume
beverages
quicker
as
well.
According
to
the
National
Restaurant
13. 13
Association,
a
French
study
observed
that
as
decibel
levels
increased,
men
not
only
consumed
more
drinks
but
also
finished
each
drink
in
less
time.
The
possibility
of
faster
table
turnovers
and
a
greater
profit
margin
on
beverages
gives
The
Smoke
Shop
a
competitive
edge
with
its
live
music
series.
THE
SMOKE
SHOP
WAY
• Passion
Project
• Original
• Fresh
• Innovative
• New
Style
City
Q
• Warm
&
Welcoming
• Experience-‐Oriented
NOT
• Traditional
• Conforming
• Processed
• Outdated
• Bland
• Rigid
IV.
TARGET
MARKET,
CUSTOMER
ANALYSIS
AND
POSITIONING
The
Smoke
Shop
already
designated
a
specific
segment,
male
and
females
25
to
35
years
old,
as
its
primary
target
for
the
live
music
hours.
Our
team´s
market
analysis
focused
on
how
to
further
identify
this
demographic
into
different
segments:
local
residents,
area
employees
and
greater
Boston
residents.
We
have
chosen
to
focus
our
marketing
efforts
on
local
residents
because
of
Late
Night´s
hours.
This
segment
is
the
most
likely
to
turn
into
frequent
customers
because
of
the
close
proximity
to
the
restaurant.
Area
employees
and
greater
Boston
residents
are
also
heavily
emphasized
in
our
marketing
plan.
Employees
who
work
close
to
Kendall
Square
also
have
the
potential
to
be
great
customers
for
Late
Night
@
The
Smoke
Shop.
This
segment
can
play
a
dual
role
in
our
marketing
campaign-‐
1.
as
customers
and,
2.
as
promotional
agents
who
have
experienced
Smoke
Shop
in
various
roles
(restaurant,
take-‐out
and
bar).
Local
Residents
• There
are
over
17,000
residents
within
1
mile
radius
of
Kendall
Square
between
25
and
34
years
of
age
(Community
development
department):
o Mostly
college
students
and
young
professionals
who
are
looking
for
new,
exciting
experiences
(MIT
has
a
population
over
11,000
students).
o Close
residence
to
Kendall
Square
can
translate
to
multiple
visits
to
The
Smoke
Shop
every
month.
o This
segment
can
be
targeted
through
mail
marketing,
Facebook
events
and
word
of
mouth.
Area
Employees
• There
are
over
100,000
workers
within
1
miles
radius
of
Kendall
Square:
14. 14
o Higher
disposable
income
than
college
students.
o Likely
to
be
familiar
with
the
restaurant
options
in
the
area,
most
specifically
the
late
night
entertainment
scene.
o Great
source
of
word
of
mouth
advertising,
since
they
are
likely
to
bring
friends
and
family
if
they
enjoy
their
previous
lunch
or
dinner
experiences.
o This
segment
can
be
targeted
through
take-‐out
and
delivery
promotional
cards,
Facebook
events,
local
partnerships
and
word
of
mouth.
Greater
Boston
Residents
• Boston
is
home
for
more
than
665,000
people,
although
the
greater
Boston
area
has
over
4,5
million
residents:
o Not
likely
to
spontaneously
visit
bars
away
from
home
because
of
the
large
amount
of
bars
and
clubs
all
over
Boston.
o Will
be
attracted
to
visit
the
restaurant
if
there
is
a
“buzz”
around
Late
Night
@
The
Smoke
Shop.
o Can
be
targeted
through
Facebook
events,
tour
operator
partnerships,
country
102.5
partnership
and
word
of
mouth.
V.
MARKETING
INFLUENCE
STRATEGY
The
Smoke
Shop
is
where
fond
memories
are
created.
We
propose
the
live
music
series
be
launched
as:
Late
Night
@
The
Smoke
Shop.
This
is
the
place
to
start
and
end
your
night.
In
order
to
effectively
attract
and
attain
our
target
clientele
for
Late
Night
@
The
Smoke
Shop,
we
recommend
a
variety
of
marketing
and
influence
strategies.
A. LATE
NIGHT
@
THE
SMOKE
SHOP
LOGO
In
designing
the
logo,
we
wanted
to
stay
true
to
The
Smoke
Shop’s
brand.
This
led
us
to
the
simple
and
classic
design
that
can
be
perceived
from
the
image.
We
also
wanted
customers
to
immediately
feel
a
rustic,
old-‐time
vibe,
that
was
in
line
with
the
old
country
music
that
will
be
featured
during
Late
Night
@
The
Smoke
Shop.
This
led
us
to
choose
a
vintage
microphone
as
the
main
image.
The
vintage
microphone
blatantly
states
that
Late
Night
@
The
Smoke
Shop
is
centered
around
music,
while
subtlety
stating
the
music
will
be
classic,
or
vintage,
much
like
the
microphone
itself.
15. 15
B.
LATE
NIGHT
Q
In
our
survey,
nearly
90%
of
people
said
that
serving
food
during
the
hours
of
10
PM
to
1
AM
during
a
live
music
series
was
a
necessity.
We
propose
that
Late
Night
@The
Smoke
Shop
has
a
limited,
late
night
menu
beginning
at
10
PM
and
ending
at
12
AM.
We
suggest
that
the
menu,
branded
as
Late
Night
Q,
be
the
starters
section
of
the
Lunch
&
Dinner
menu,
minus
the
two
salad
options.
We
also
suggest
some
more
“feminized”
drink
options
in
order
to
become
a
more
attractive
late
night
option
to
women.
Our
design
for
the
limited
menu
and
the
additional
drink
options
can
be
found
below:
16. 16
C.
COMMUNITY
INVOLVEMENT
In
order
to
promote
Late
Night
@
The
Smoke
Shop
we
plan
to
target
nearby
businesses
and
residents
through
the
use
of
promotional
cards.
Whoever
comes
to
the
restaurant
with
the
cards
is
able
to
redeem
one
complimentary
appetizer
from
the
Late
Night
Q
menu.
This
promotion
will
be
handed
and
mailed
out
during
the
first
quarter
of
next
year.
The
nominal
costs
for
these
promotional
cards
and
the
delivery
can
be
found
in
the
financial
section
of
the
plan.
1. CARRY
OUT
&
DELIVERY
The
promotional
cards
will
be
stapled
to
the
bag
of
every
order
that
is
carry-‐out
or
delivery
order.
It
is
imperative
that
the
cards
be
stapled
to
the
bag,
so
that
consumers
have
to
look
at
the
promotion
card
and
physically
take
it
off
the
bag
before
being
able
to
open
the
bag
for
their
food.
2. BUSINESSES
There
are
a
plethora
of
other
businesses
in
Smoke
Shop’s
1
Kendall
Square
location.
Companies
such
as
Ascent
Technology,
Genometry,
Inc.,
and
the
MIT
Kavli
Institute
present
tremendous
opportunities
for
Late
Night
@
The
Smoke
Shop.
We
recommend
that
through
personal
selling,
the
restaurant
invites
these
businesses
and
others
to
Late
Night
@
The
Smoke
Shop.
The
card
is
a
reminder
of
the
day
and
time,
as
well
as
an
incentive
through
the
“second
appetizer
free”
offering.
We
also
propose
that
once
a
night
each
week,
Late
Night
@
The
Smoke
Shop
has
a
night
dedicated
to
a
business
in
the
area.
These
employees,
with
proof
of
their
employment
through
an
employee
ID,
can
receive
one
discounted
or
featured
drink.
This
shows
the
level
of
care
and
respect
that
The
Smoke
Shop
has
for
its
community
neighbors
and
it
creates
local
relationships.
3. RESIDENTS
The
1
Kendall
Square
location
is
highly
saturated
with
businesses,
while
the
geographic
radius
is
primarily
residential.
We
propose
that
the
promotional
cards
also
be
mailed
to
these
residences
in
a
series
of
waves
that
target
different
geographic
areas
close
to
the
restaurant.
For
each
wave,
the
cards
should
be
a
different
color
in
order
to
track
and
analyze
the
effectiveness
of
each
marketing
effort.
As
you
can
see
in
the
map
below,
we
selected
four
target
areas
within
a
½
mile
radius
of
The
Smoke
Shop.
The
first
wave
will
be
sent
during
the
first
week
of
January,
and
the
following
ones
every
three
weeks.
This
will
help
promote
Late
Night
@
The
Smoke
Shop
during
the
typically
slow
first
quarter.
After
allowing
some
time
for
residents
to
use
their
cards,
management
then
should
look
at
which
geographic
section
was
most
responsive
to
the
promotion.
If
management
decides
this
was
an
effective
strategy,
a
second
promotional
campaign
could
be
focused
towards
the
most
responsive
grids.
17. 17
The
second
map
shows
an
example
of
a
hypothetical
second
promotional
campaign
if
the
northeast
grid
had
the
best
response
rate
the
first
time
around.
These
secondary
campaigns
will
be
targeted
to
smaller
areas
that
have
shown
high
response
rates,
maximizing
the
money
spent
on
the
cards
and
mailing.
18. 18
D. PARTNERSHIPS
Partnerships
are
a
great
way
for
The
Smoke
Shop
to
build
relationships
with
city
businesses
that
will
attract
us
new
customers.
The
partnerships
we
recommend
are
as
follows:
1. LOCAL
TOUR
OPERATORS
Local
tour
companies
are
a
great
way
to
get
The
Smoke
Shop
on
the
mind
of
a
consumer
who
may
not
be
an
easy
target.
It
is
also
helps
create
The
Smoke
Shop
as
a
“must
go”
for
a
visitor
or
tourist.
In
addition,
it
adds
Late
Night
@
The
Smoke
Shop
as
a
destination
for
bar
crawls.
Tour
companies
such
as
Boston
Crawling
and
El
Tour
Events
exist
to
plan
bar
crawls
through
Boston.
Each
year
they
plan
events
such
as
Santa
Crawl
and
Drink
to
Fall
Bar
Crawl.
A
partnership
with
one
of
these
events
will
bring
consumers
in
as
the
last
destination
on
a
crawl,
so
that
new
customers
are
experiencing
Late
Night
@
The
Smoke
Shop
through
the
use
of
the
tour
companies’
expertise
in
planning
and
marketing.
2. COUNTRY
102.5
We
propose
that
three
months
from
the
launch
of
Late
Night
@
The
Smoke
Shop,
we
partner
with
Boston
Country
Radio
Station
102.5.
This
will
get
the
word
out
to
new
customers
who
enjoy
country
music
after
the
initial
buzz
around
our
late
night
entertainment
tones
down.
3. MUSIC
PERFORMER
The
music
performer
is
a
key
partnership
for
Late
Night.
.
During
the
first
month
of
the
music
series,
we
recommend
the
musician
should
perform
a
small
series
of
songs
at
5
PM
on
Thursdays
in
1
Kendall
Square
as
a
way
for
potential
customers
to
preview
the
music,
and
to
spread
the
word.
The
performer
will
have
the
promotion
cards
and
will
also
announce
the
details
of
the
series.
The
performer´s
contract
should
also
ensure
that
the
musician
promotes
the
music
series
on
social
media
and
at
other
events,
in
order
to
attract
the
performer’s
fan
base
to
Late
Night
@
The
Smoke
Shop.
VI.
DIGITAL
MARKETING
STRATEGY
A. SOCIAL
MEDIA
1. FACEBOOK
Facebook
is
the
largest
social
networking
site
in
the
world.
The
platform
has
1.71
billion
monthly
active
users
worldwide
and
continues
to
grow
every
year.
Of
the
1.71
billion
monthly
active
users,
1.57
billion
are
mobile
users
(Facebook
2016).
The
Smoke
19. 19
Shop
can
use
Facebook
to
gain
awareness
and
interact
with
current
customers.
Facebook
also
has
a
variety
of
marketing
tools
that
are
the
most
cost-‐effective
way
to
digitally
advertise
to
the
public.
First,
we
recommend
promoting
The
Smoke
Shop
Facebook
page.
This
will
target
people
living
and
working
in
the
Kendall
Square
area
-‐-‐
both
new
customers
and
those
who
have
already
visited
the
restaurant.
The
Facebook
page
will
grow
organically
after
this
original
investment.
As
more
customers
“like”
the
page,
the
restaurant
will
spend
less
on
geo-‐targeting
and
promotions,
eventually,
using
the
Facebook
page
alone
to
appeal
to
our
customer
base.
We
suggest
that
the
Facebook
page
be
boosted
once
a
month
for
one
year.
This
will
keep
the
restaurant
in
the
minds
of
those
Facebook
users’
ages
24
to
35
close
to
Kendall
Square.
We
also
suggest
promoting
specific
Facebook
posts
regarding
Late
Night
@
The
Smoke
Shop
once
a
week
for
the
first
three
months.
Below
is
a
screenshot
of
the
advantageous
use
of
Facebook
ads.
It
shows
how
many
people
are
reached,
both
through
organic
and
paid
searches.
Facebook
also
allows
a
deeper
analysis
of
results
on
each
“boosted”
post.
This
specific
post
garnered
almost
4,500
more
people
through
a
$25
boost
than
it
would
have
if
just
posted
organically.
20. 20
2. INSTAGRAM
Instagram
is
another
widely
popular
site
that
businesses
use
to
show
off
the
art
and
tastefulness
of
their
products.
It
is
also
a
way
to
show
the
feel
and
culture
of
the
business
to
customers
and
potential
customers.
Tatte
Bakery
is
a
great
example
of
how
an
eating
establishment
should
portray
itself
on
Instagram.
The
screenshots
below
show
how
Tatte
Bakery
uses
its
bakery
aesthetic
to
appeal
to
its
customer
base.
21. 21
Every
picture
is
well
thought
out,
strategically
planned
for
lighting,
and
looks
professionally
done.
Tatte
Bakery
also
uses
captions
effectively
by
describing
the
scene
and
using
emoticons
to
convey
its
friendly
atmosphere.
Hashtags
are
implemented,
but
not
overdone,
so
other
Instagram
users
that
may
not
follow
the
account
can
stumble
upon
Tatte
Bakery’s
page.
We
recommend
the
following
“rules”
when
posting
a
picture
to
The
Smoke
Shop
Instagram.
• Every
picture
should
match
the
restaurant’s
brand
and
should
be
photographed
and
edited
to
look
as
pleasing
and
professional
as
possible.
• Hashtags
should
be
short
and
effective.
Some
examples
of
potential
hashtags:
#thesmokeshop,
#cityq,
#latenightq,
#andyhusbands,
#bestfoodboston.
• The
location
of
the
Instagram
picture
should
always
be
added.
• Always
add
caption
to
the
images;
this
is
where
we
connect
to
our
customer
base.
3. YELP
According
to
Yelp,
92%
of
future
consumers
read
online
reviews
to
determine
the
locals’
perception
of
the
business
(Yelp,
2016).
On
Yelp,
there
are
73
million
monthly
users
via
desktop
and
92
million
monthly
users
via
mobile.
Right
now,
The
Smoke
Shop
is
rated
three
stars.
We
recommend
having
management
respond
to
every
review,
good
or
bad,
so
they
are
aware
of
customer
comments
and
concerns.
According
to
Yelp,
answering
consumer
reviews
has
a
positive
effect
on
the
restaurant´s
rating,
since
consumers
feel
that
their
input,
both
positive
and
negative,
is
to
be
heard
by
management.
Our
final
social
media
recommendation
is
to
hire
an
unpaid,
social
media
intern
to
execute
the
majority
of
the
work
above.
Many
of
the
universities
in
the
area,
such
as
Boston
University
School
of
Hospitality,
have
career
services
that
send
out
regular
emails
to
inform
students
about
internship
and
job
opportunities.
Students
are
also
highly
versed
in
social
media
and
are
willing
to
work
for
the.
The
intern
would
be
in
charge
of
interacting
with
consumers
through
different
social
media
platforms,
curating
social
posts,
and
keeping
management
aware
of
the
restaurant’s
perception
online.
B. REWARDS
PROGRAM
Whether
it
is
a
punch
card
that
rewards
every
ten
coffees
purchased
with
a
free
serving
or
a
mobile
app
that
racks
up
points
for
rewards,
many
businesses
are
developing
loyalty
and
rewards
programs
to
recognize
and
treat
their
customer
base.
We
are
recommending
that
with
the
announcement
of
the
second
restaurant,
The
Smoke
Shop
also
launch
a
rewards
program
through
a
mobile
app.
Since
it
can
be
costly
to
develop
and
app,
we
recommend
The
Smoke
Shop
starts
its
loyalty
program
with
a
third
party
rewards
system.
Preferably,
an
app
that
allows
restaurants
to
personalize
the
reward
programs,
such
as
Belly
or
Spendgo.
This
app
will
allow
customers
to
rack
up
22. 22
points
and
keep
track
of
their
current
balance.
Every
dollar
spent
is
a
point
earned.
The
following
are
the
reward
incentives
we
suggest:
·∙ 500
points:
an
appetizer
of
their
choice
·∙ 600
points:
a
drink
of
their
choice
·∙ 900
points:
a
dessert
of
their
choice
C. WEBSITE
The
website
of
any
business
is
one
of
the
first
consumer
touch
points.
We
recommend
that
the
website
be
continuously
reviewed
and
to
update
it
as
promotions
or
events
are
added.
This
ensures
that
events
such
as
the
football
menu
and
Late
Night
@
The
Smoke
Shop
are
being
marketed
on
every
platform
the
restaurant
is
active
on.
VII.
MARKETING
INVESTMENTS
The
Smoke
Shop
Marketing
Strategy
Expected
Cost
Promotion
Cards
(Carry
Out
&
Delivery)
$
60.00
per
500
cards
Promotion
Cards
(Businesses)
$
60.00
per
500
cards
Postcard
Mailing
Service
(Residents)
$
273.99
per
500
cards
Partnerships:
Local
Tour
Operators,
Country
102.5
Upon
Contract
Facebook:
Page
Boost
(once
per
month)
$
10.00
per
page
Facebook:
Post
Boost
(once
per
week)
$
25.00
per
post
Instagram
&
Yelp:
Social
Media
Intern
$
0.00
Rewards
Program:
Mobile
App
(Firebase
Google)
$
25.00
per
month
Website:
Social
Media
Intern
$
0.00
Total
Predicted
Monthly
Budget
$528.99
(excluding
partnerships
fees)
This
monthly
budget
accounts
for
all
our
recommendations.
Therefore,
this
budget
is
an
estimate
for
January,
February
and
March
2017.
After
the
conclusion
of
the
promotional
cards
campaign,
the
monthly
budget
will
lower
to
$
135.00
per
month.
Furthermore,
social
media
costs
will
decrease
as
we
grow
our
internet
presence,
lowering
our
need
to
boost
posts.
23. 23
Metrics
and
Measurements:
Key
Performance
Indicators
We
have
identified
a
few
key
performance
indicators
to
measure
the
success
of
the
strategies
mentioned
in
this
marketing
plan.
• Sales
Revenue:
o Growth
in
revenue
in
the
restaurant´s
late
night
hours:
from
10pm
to
1
am.
• Social
Media:
o Increase
Instagram
followers,
likes
and
photo
tags
from
other
users.
o Increase
Facebook
likes
on
The
Smoke
Shop
page
and
posts.
o Increase
Yelp
rating
to
at
least
4
-‐
4.5
stars.
• Facebook
Advertising:
o Significant
increases
in
customers
are
actually
reached
by
the
boosted
page
/
boosted
post
as
opposed
to
an
organic
post.
o More
organic
consumer
interaction
after
the
boosting
campaign.
• Promotion
Cards:
o Increase
in
customers
coming
to
Late
night
@
The
Smoke
Shop
specifically,
those
who
come
with
promotion
cards
given
from
take-‐out
/
delivery,
businesses,
and
residents.
Each
segment
is
color-‐coded
making
it
easier
to
track.
o Grid
success
percentage:
The
percentage
of
residents
from
a
specific
grid
that
came
to
Late
Night
@
The
Smoke
Shop
to
claim
their
complimentary
appetizer.
This
calculate
by
dividing
the
number
of
residents
who
used
their
cards
by
the
number
of
cards
sent
to
that
same
grid
(e.g.
respondents
from
Grid#1
/
total
cards
sent
to
Grid
#1).
• Partnerships:
o A
new
stream
of
revenue
specifically
from
a
local
tour
operator
such
as
Boston
Crawling.
o Increase
exposure
towards
interested
target
through
radio
station
(Country
102.5).
o A
significant
increase
in
traffic
from
rival
musical
acts
performing
close
to
the
restaurant.
24. 24
APPENDIX
A:
SURVEY
RESULTS
Default
Report
Restaurant
&
Bar
Live
Music
Survey
November
9th
2016,
7:16
pm
MST
Q1
-‐
What
is
your
age?
# Answer % Count
1 21
-‐
24 26.32% 15
2 25
-‐
34 64.91% 37
3 35
-‐
44 3.51% 2
4 45
-‐
54 3.51% 2
5 55+ 1.75% 1
Total 100% 57
Q2
-‐
What
is
your
current
occupation?
# Answer % Count
1 Undergraduate
Student 19.30% 11
2 Graduate
Student 15.79% 9
3 Full
Time
Worker 43.86% 25
4 Part
Time
Worker 1.75% 1
5 Unemployed 1.75% 1
6 "I
have
my
own
business" 17.54% 10
Total 100% 57
Q3
-‐
How
often
do
you
eat
dinner
in
bars
or
restaurants?
# Answer % Count
1 Never 0.00% 0
2 Once
a
Week 15.79% 9
25. 25
3 Twice
a
Week 45.61% 26
4 More
than
Twice
a
Week 28.07% 16
5 Once
a
Month 1.75% 1
6 Twice
a
Month 3.51% 2
7 More
than
Twice
a
Month 5.26% 3
Total 100% 57
Q4
-‐
How
often
do
you
go
out
for
a
drink
socially?
# Answer % Count
1 Never 1.75% 1
2 Once
a
Week 33.33% 19
3 Twice
a
Week 31.58% 18
4 More
than
Twice
a
Week 29.82% 17
5 Once
a
Month 3.51% 2
6 Twice
a
Month 0.00% 0
7 More
than
Twice
a
Month 0.00% 0
Total 100% 57
Q5
-‐
A
restaurant
plans
to
offer
live
music
till
1
am
on
Thursday
to
Saturday
night.
If
you
decided
to
stay
at
the
restaurant/bar
for
the
live
music
from
10
pm
to
1
am,
how
important
is
it
that
the
restaurant
serves
food
during
that
time?
Field Minimum Maximum Mean Std
Deviation Variance Count
Food
Importance 0.00 7.00 4.71 1.83 3.35 56
Q6
-‐
Who
would
you
go
to
see
live
music
with
at
a
bar/restaurant?
# Answer % Count
1 Friends 75.44% 43
26. 26
2 A
Date 8.77% 5
3 Co-‐workers 7.02% 4
4 Other: 8.77% 5
Total 100% 57
Q7
-‐
On
a
scale
of
1-‐7,
how
much
would
the
availability
of
live
music
make
you
want
to
go
to
a
restaurant
or
bar?
Field Minimum Maximum Mean Std
Deviation
Variance Count
Live
Music
0.00 7.00 4.18 1.43 2.04 56
Q8
-‐
Would
you
want
a
full
menu
or
just
appetizers
with
your
drinks
between
11pm
to
1am
when
listening
to
live
music?
# Answer % Count
1 Full
Menu 7.02% 4
2 Appetizers 87.72% 50
3 Neither 5.26% 3
Total 100% 57
Q9
-‐
On
a
scale
of
1
to
7,
how
much
would
you
like
listening
to
live
country
music?
Field Minimum Maximum Mean Std
Deviation Variance Count
Live
Country
Music 0.00 7.00 3.57 2.13 4.54 54
Q10
-‐
Which
generation
of
country
music
would
you
prefer
to
listen
too?
# Answer % Count
1 Classic
Country
(Willie
Nelson,
Johnnie
Cash,
Hank
Williams) 8.77% 5
2 Newer
Country
(George
Strait,
Garth
Brooks,
Kenny
Chesney,
Tim
McGraw)
12.28% 7
27. 27
3 Modern
Country
(Jason
Aldean,
Luke
Bryan,
Miranda
Lambert,
Sam
Hunt)
54.39% 31
4 All
of
the
Above 24.56% 14
Total 100% 57
Q11
-‐
Would
you
pay
a
cover
charge
to
see
the
live
music
at
this
bar/restaurant?
# Answer % Count
1 Yes 14.04% 8
2 Maybe 42.11% 24
3 No 43.86% 25
Total 100% 57
