Marketing Strategies of Wajeeh's Cafe

MARKETING STRATEGIES OF WAJEEH`S CAFE
Submitted to: Mam Saba Sattar

Submitted by: Syed Wajeeh Husain
Roll no :
236 R1
BBA (HONS) 2011-2015

project: Wajeeh`s caf (The marketing strategy)
Department Of Management Sciences
RANGERS CAMPUS
1
Contents
Acknowledgement ....................................................................................................................................... 5
INTRODUCTION OF THE COMPANY ............................................................................................................. 6
MISSON: ........................................................................................................................................................ 7
VISION:.......................................................................................................................................................... 7
Key to success ............................................................................................................................................... 7
ENVIRONMNETAL ANALYSIS: ....................................................................................................................... 8
Political factors:......................................................................................................................................... 8
Economic Factors ...................................................................................................................................... 9
Social Factors ............................................................................................................................................ 9
Technological Factors.............................................................................................................................. 10
Customer analysis- STP Analysis ................................................................................................................ 10
Segmentation: ......................................................................................................................................... 10
Targeting: ................................................................................................................................................ 11
Positioning: ............................................................................................................................................. 12
Competitive analysis: ................................................................................................................................. 12
SWOT ANALYSIS: .................................................................................................................................... 13
Strengths: ............................................................................................................................................ 13
Weaknesses: ....................................................................................................................................... 14
Opportunities: ..................................................................................................................................... 14
Threats: ............................................................................................................................................... 14
Porter`s five forces analysis: ...................................................................................................................... 15
Threats of New Entrants ......................................................................................................................... 16
Threat of Substitutes: ............................................................................................................................. 16
Intensity of rivalry among established firms........................................................................................... 17
Bargaining power of Customers: ............................................................................................................ 17
Bargaining power of suppliers: ............................................................................................................... 17
Marketing mix ............................................................................................................................................ 18
Product:................................................................................................................................................... 18
Place: ....................................................................................................................................................... 18
Price ........................................................................................................................................................ 19
Packaging: ............................................................................................................................................... 19
Channel analysis: ........................................................................................................................................ 19

Sales strategy: ............................................................................................................................................ 20
Financial plan .............................................................................................................................................. 21
Break even analysis Profit and loss. ........................................................................................................ 21
Important assumptions .............................................................................................................................. 22
Conclusion .................................................................................................................................................. 22
The Exordium
In the Name of Allah the Compassionate the Merciful
Praise to Allah,
Lord of the creation,
The Compassionate,
The Merciful,
The King of the judgment day! You alone.
We pray, and to you alone
We pray for help, guide us to straight path, the path
Of those whom you have favored, not neither of
Those who have incurred your wrath, nor of those
Who gone astray.
AL QURAN
Acknowledgement
One of the most pleasant parts of writing a report or any presentation is the
opportunity to thank those who have contributed to your efforts. Unfortunately,
the list of expressions of thanks no matter how extensive is always incomplete
and inadequate. This acknowledgment is no exceptions.
First of all we are thankful to Almighty Allah who gave us the courage to complete
this task and to our resource person Miss SABA SATTAR who stood behind us
whenever we needed her guidance and support. Her unflagging patience and
outstanding capacity work made this report possible. We also admire the efforts
of our other teachers and advisors and all other people who helped us in this
report. And yes there are many others whom we are not able to mention the
names but we really appreciate the cooperation and help provided by them. We
will remember you all.
THANKS
WAJEEH`S CAF & FAST FOOD RESTURANT
INTRODUCTION OF THE COMPANY

We are pleased to announce that we have just opened a new Caf in Bahawalpur
near Noor Mahal namely WAJEEH`S CAF.
Eating at Wajeeh`s caf is targeted to corporate executives, family, dine out and
food change lovers to satisfy their food enjoyment needs and wants with a unique
arrays of farm fresh foods at the heart of Bahawalpur for 24 hours at a value added
affordable price
We have a wide variety of chicken items mainly burgers and Pizzas. Coffee, shakes,
ice creams and desserts are also available that will surely suit your taste.
MISSON:
Our restaurant will be an inspiring one, combining an eclectic atmosphere with
excellent and interesting food.
Our main mission are as follows:
Have a great food selection.
Efficient and superior customer service.
Because customer satisfaction is our Prime objective.
Employee welfare, participation and training are equally important to our
success.
VISION:
TO BE THE MOST LOVED AND RESPECTABLE FOOD CHAIN OF PAKISTAN
Key to success
Create a unique, innovative, entertaining menu.

We want to be on the safe side of the business.
Sell the products that are of the highest quality.
Provide 100% satisfaction to our customers.
7
Encourage the two most important values

Brand & Image
Promote good values of culture and business philosophy.
ENVIRONMNETAL ANALYSIS:
PEST analysis is a valuable while analyzing external environment where a business
is conducted or where an organization is planning to start a business (Henry, 2008).
This section studies the environmental factors that have an impact on operation of
Wajeeh`s caf.
Political factors:
Political forces have a direct impact on any business. Halal issue is very important
in Pakistan. Government always concern of Halal issue of the food in the country.
The word Halal came from an Arabic word which means lawful. Actions, food &
drinks and things that are allowed by Shariah law is called Halal and can be safely
use or consume by Muslims (Halal Definition 2007). So, we have taken a HALAL
food certification from the government of Pakistan.
The other major problems are the tax rate regulations which can make us difficult
to maintain our prices and strikes or road blockage that can cause delay in supply.
Economic Factors
Economic Growth/Drop
Economic rate is very important in doing business. It will affect the currency
exchange rate in Pakistan which impacts on businesses costs and operations. When
come to outsourcing currency is a determination of companys success. If there is
positive growth in economy, that means businesses are doing great in the market.
So the profits could be low as poor economy of Pakistan.
Buying power of people is low here in Pakistan so we have set very economical
prices for our foods.
Economic growth is adversely affected by the increasing crime rates and terrorism
in Pakistan but we have started our business from Bahawalpur which is considered
to be a safe place in Pakistan.
Interest rate
Interest rate is the rate charged or paid for the use of money and usually not a fixed
rate. It is normal that a company borrows money from the bank. So if there is any
change in the interest rate, it will somehow affect debt repayment and also the
incentive to borrow. Little changes in the interest rate will affects the operating
profit of Wajeeh`s cafe and the debt ratio.
Various macroeconomic factors such as inflation and labor price would impact
operation of Wajeeh`s caf.
Social Factors
Culture
Culture refers to the way people live their life. Every country has different culture.
The way how Pakistani perceived food is changing from the past till present. People
now a days tend to look at the quality of food. This is a change from past behavior..
All fast food items are considered as unhealthy as they increase fats. But we are
trying to provide our customers healthy and clean food that would be accepted by
everyone
Education
The population in Pakistan started to improve their educational level. People are
getting smarter by increasing in literacy rate.
Technological Factors
Improvement of internet uses

The uses of internet have grown more and even shopping is done online. It is so
convenient that enable businesses to operate in the internet world due to
increasing of computer users. For instance, Wajeeh`s cafe website http://www.wajeehscafe.com.pk my provide all the information about them and
their products. We have also provided a facility to book your orders online.
Latest machines and new processes:
New machines and processes impact the manufacturing operation. Adoption of
new machinery allows company to manufacture more efficiently, with better
quality and in greater quantity.
Customer analysis- STP Analysis

This section illustrate how our company views its customers and the way it design
the consumer strategy. Customer analysis is done through segmentation, targeting,
positioning
Segmentation:
The process of dividing a potential market into distinct subsets of consumers and
selecting one or more segments as a target market to be reached with a distinct
marketing mix.
Common Bases for Segmentation:
1. Geographic
2. Demographic
3. Psychographic
4. Behavioral
10
Geographic:
The division of a total potential market into smaller subgroups on the basis of
geographic variables (e.g., region, state, or city)
Our geographic segments will be:
Model town A B & C .

Cantt and hashmi gardens
Circular road and trust colony
Commercial areas and etc
Demographic:
Demographic segmentation is dividing the market according to age, gender,
occupation, education, religion, income, nationality, social class, race, family
lifecycle.
Each person has different taste. Teenagers like spicy foods while aged like normal
food. We have made a special segment for children under age 12. Family lounge is
separate for family people so that they can feel comfortable in dinning.
Psychographic:
Psychographic segmentation is dividing the market according to social class, life
style and personality.
Behavioral:
Market segmentation is done according to the occasions, benefits, user status,
loyalty status and attitude towards product.
Targeting:
WAJEEH`S CAF target different segments with different strategies. Primary market
of our caf is the younger people in the age bracket 12 to 35 with people from 35
to 65 and children from 4 to 12 comprising of secondary market.
Our major target areas are cantt, Hashmi gardens and model Town A.
11
We target mostly middle, upper middle and executive class. Special discounts are
available for members. For health conscious people fresh pure juices are also
available.
Behaviorally we target on occasions like birthdays, Eids, meetings, get togethers or
any other occasions.
Positioning:
For a product to occupy a clear, distinctive and desirable place relative to
Competing products in the minds of target consumer.
In WAJEEH`S CAF feedback is taken from the customer in order to know the
customer demands and then improvements are made in products.
Wajeeh`s cafe focuses on pure and fresh food in order to create a distinct and clear
position in the minds of customers Wajeeh`s caf has a strong brand name and
they are leading the market in fried chicken as well as in shakes and pastries.
Competitive analysis:
This section includes company`s internal strengths and weakness and external
opportunities and threads
12
SWOT ANALYSIS:
A technique that enables a group or individual to move from everyday problems

and traditional strategies to a fresh prospective.
SWOT analysis looks at your strengths and weaknesses, and the opportunities and
threats your business faces.
The SWOT Analysis framework is a very important and useful tool to use in
marketing Management and other business applications
As a basic tool its mastery is a fundamental requirement for the marketer,
entrepreneur or business person.
A clear understanding of SWOT is required for business majors.
Strengths:
STRENGTHS are the Characteristics of the business or a team that give it an
advantage over others in the industry.
Wajeeh`s caf strengths are as follows:
Delicious and well liked recipes.
We provide our customers the best and delicious taste and our recipes are unique.
Economical prices
We offers our products at very economical prices with a great taste.
Quality products
We provide best quality foods to our customers.
Huge parking area
We have a large parking area for our customers and employees vehicles.
Safe and sound place:
We have well trained security guards and CCTV cameras for safety.
Healthy and clean environment
Providing our customers the healthy and clean environment is our first priority.
13
Weaknesses:
Weaknesses are the factors which do not meet the standards we feel they should
meet. However, weaknesses are controllable. They must be minimized and
eliminated.
Wajeeh`s caf weaknesses are:
Low marketing budget
We have a low budget for our marketing related programs.
Negative publicity arises as a new entrance
As we are new to this market we are facing problems in creating publicity.
Well settled competitors
Our competitors are well experienced and are settled.
Opportunities:
Chances to make greater profits in the environment - External attractive factors
that represent the reason for an organization to exist & develop.
New food taste with different crust sizes and flavors.
We have an opportunity to introduce a new taste with different delicious flavors.
Fast home delivery
We have the best opportunity to provide our customers foods at their doorstep
anywhere in the city within just 25 minutes.
Threats:
External elements in the environment that could cause trouble for the business External factors, beyond an organizations control.
Threat from other competitors
There are a lot of other competitors that provides the same products are the major
threats for Wajeeh`s cafe
14
Health conscious people.

Health conscious people do not prefer to eat outside food. Moreover pizzas and
burger are considered to be as a junk food
The rising prices of special ingredients like chicken, cheese etc, used in foods
Prices of raw material and other items are increasing day by day that make us
difficult to maintain our prices.
Porter`s five forces analysis:

Porters five forces help to identify the key structural factors determining an
industrys competitive position in the market and its profitability. They highlight the
strengths, weaknesses opportunities and threats along with their significance of
the industry. Analysis helps to understand the current competitive position the
industry occupies, animates positioning and clarifies areas of improvement. It will
also help determine intensity of industry competition and the forces impacting
strategy formulation. The following factors defines the competitive landscape for
the Wajeeh`s caf.
15
Threats of New Entrants

The easier it is for new companies to enter the industry, the more cutthroat
competition there will be.
The threat of new entrants in the fast food industry is high because there are no
legal barriers. The economies of scale and the access of the distribution are the
major barriers that firms face in the industry. Firms must spend a large amount of
capital on advertising and marketing in order to enjoy successful existence and long
life of a fast food outlet.
Large established companies with strong brand names such as McDonalds make it
more difficult to enter the market because new entrants are faced with price
competition from existing chain restaurants. But here in Bahawalpur there is no
such big chains so there will always be a threats of entering well settled brand like
McDonalds, KFC, Starbucks or Gloria jeans caf.
Threat of Substitutes:
Threats of Substitute in the Porters theory actually means goods and services that
does similar functions
ALMAIDA, ZENZIBAR, CHICKEN COTTAGE, DATA, VICTORIA LOUNGE etc. are the
brands in Bahawalpur that make the substitutes or similar products like Wajeeh`s
caf. So it will always be a risk of losing customers, or loss of sales
Wajeeh`s caf has found another alternatives to reduce the threat of substitutes
products by providing caf a.m. where they are operating in the morning to provide
breakfast for customers.
Other than that, we also provide free high speed wifi for our consumer who eat in
our caf. This will attract and also make the customer comfortable since they can
easily surf the internet. Wajeeh`s caf is also open for 24 hours.
This will ease the customer who is starving at the late of night to find some food.
Wajeeh`s caf also provides drive thru service to those who are rushing.
Porter recommends that by doing product quality improvement, marketing, R&D
and product distribution, an industry can improve its collective position against the
substitute.
16
Intensity of rivalry among established firms

Intensity of rivalry means how many close competitors exist in the industry and
what are the sizes of your close competitors?
In Bahawalpur fast food industry, Almaida is ranked as the most favorite fast food
in Bahawalpur and follows by zenzibar and chicken cottage.
And there is also one caf namely Victoria lounge, due to which we can have to face
a great rivalry but we are the only company in Bahawalpur who offer our customer
with fast food and caf items inside a single roof.
To minimize the rivalry Wajeeh`s caf has implemented loyalty program to attract
its consumers attention to their brand. We have provided our customers a
membership card. The card is useful to obtain a discount in Wajeeh`s caf.
Bargaining power of Customers:
A lot of food restaurants have opened here in Bahawalpur which have made a high
bargaining power of customers. A customer have a lot of choice they can go to any
restaurant. It also makes the loyal and potential customer to decline and this causes
a big loss to any company.
Customer can go to any fast food restaurants that offers more affordable price
especially to students which require a lot of money to survive.so to attract our
consumers, we have set very economical prices and give a discount on the products
to the consumers.
Bargaining power of suppliers:
The presence of powerful suppliers reduce the profit potential in an industry.
Suppliers increase competition within an industry by threatening to raise prices or
reduce the quality of goods and services.
There are a very few suppliers available for Wajeeh`s cafe raw materials. We cannot
easily switch our supplier to another supplier so they can charge high prices
Suppliers available for Wajeeh`s caf are:
K&NS
Menu
Sufi chicken
17
Due to few suppliers we have to pay heavy rates to K&Ns
Marketing mix
Marketing mix is putting the right product in the right place, at the right price, at
the right time.
The marketing mix are
Product
Place
Price
Promotion
Packaging
Product:
Product is anything that can be offered to a market to satisfy the needs and wants
of the customers
Wajeeh`s caf places considerable emphasis on developing a menu which
customers want. Market research establishes exactly what this is. However,
customers requirements change over time. In order to meet these changes,
wajeehs has introduced new products and phased out old ones, and will continue
to do so
Our main products are burger pizza chicken items like nuggets hot shots wings etc,
desserts and shakes.
Place:
Place, as an element of the marketing mix, is not just about the physical location or
distribution points for products. It encompasses the management of a range of
processes involved in bringing products to the end consumer. Drive in and drive
through options make Wajeeh`s caf products further convenient to the
consumers. Moreover noor mahal road is easily accessible to everyone within the
city. The theme behind choosing this location is the availability of large area.
18
Price:
The customers perception of value is an important determinant of the price
charged. Customers draw their own mental picture of what a product is worth. A
product is more than a physical item, it also has psychological connotations for the
customer. The danger of using low price as a marketing tool is that the customer
may feel that quality is being compromised. It is important when deciding on price
to be fully aware of the brand and its integrity.
So we have set very economical prices for our products
Zinger deal is only for rs 220 where as it is of rs 260 at almaida
Packaging:
Different packing is used for different products
For chicken items Paper packaging is used that helps in keeping the chicken Crip by
wicking away excess moisture as well as a polyester box which keeps the product
hot
For shakes we use fiber glasses containing our logo.
Channel analysis:
Communication (promotion)
We are using every medium available for communication to give awareness to the
public.
Our marketing media will be as follows:
Billboard advertisement.
We have placed the billboards at the prime lactation of Bahawalpur like Saraiki
chowk, fawara chowk and university chowk
19
Distribution of pamphlets.
we are distributing our caf`s pamphlets door to door.
Advertisement in local newspaper.
We are giving our advertisement adds on newspapers like jung, dawn, dunia etc
Advertorial on local cable channel.
We are giving our company`s add on cable networks. Our adds will also be run on
star plus and sony tv through our local cable
Sponsorship in the University.
We have sponsored the marketing event of DMS
Banners and small posters in the sectors
We have placed our banners and posters at every 3rd pole of circular road,
university road and noor mahal road.
Online advertisement via social media like Facebook and thorough own
website.
We have made our website thorough which customers will be able to place their
orders as well as we have a Facebook page (facebook.com/Wajeehcafe ) we are
giving quizzes and games to our customers and the winner will get exciting
prizes and discounts on our products.
Sales strategy:
Our sales strategy requires consistently high quality food service, speed and
atmosphere. We can accomplish this by:
Hiring employees who genuinely enjoy their jobs.
Continually assessing the quality of all aspects mentioned above.
Interacting with our customers personally, so they know that their feedback
goes directly to owners.
Evaluating food choices for popularity.
Management summary
20
Owner (restaurant manager)

Operations manager.
Finance manager.
Marketing manager.
Supply manager.
Legal advisor.
Chartered accountant.
Inventory manager.
Cashier cum receptionist.
Financial plan
Financial plan Restaurants financial model is based on a business concept to
plan for the worst, but manage for the best. Restaurants financial plan will
include: Important assumptions. Risk analysis Break even analysis Profit and loss
statement Cash flow statement Balance sheet
Break even analysis Profit and loss.
Fixed and Variable Cost:
Restaurant Hiring Expenses (Advance and Rent) =10, 00,000 and 1, 00,000.
Salaries to the kitchen team
= 1, 50,000.
Interior and Furniture Cost (20 tables)
= 15, 00,000.
Appliances and tools
= 4, 00,000.
Documentation (insurance, permits etc.)
= 1, 50,000.
Raw materials needed
= 40,000.
Cost Incurred For Grand Opening
= 5, 00,000.
Cost incurred in marketing
= 4, 00,000.
21
Cash in hand
= 1, 00,000.
The total fixed cost
= 43.4 lacks
Maintenance Cost (monthly)
= 3.0 lacks
Monthly sales
= 8, 57,142.
Marketing include 15% of sales in first 3 months and then 7 % of sales.

Monthly profit for first 3 months = 2.42 lacks per month
After 3 months
= 2, 85,714 lacs
With this sales we can reach B.E.P at 16 months (1.3 years)
Important assumptions
Economy
Business growth
Annual growth rate percentage
Seasonal sales variance
Industry & start-up
Pricing & cost control
Cost control
Inventory turnover and accounts payable
Conclusion
One may dream of gleaming marble counters, a top notch kitchen, and a prime
downtown location, but starting small can often be the best first step into fast food
restaurant ownership. Thats the reason we follow the agenda. Not only will it give
us a view of the basic fundamentals that apply to the business, but it also requires
less capital and therefore we can deal with the less risk.
22

Marketing Strategies of Wajeeh's Cafe

Hochgeladen von

Dokumentinformationen

Originaltitel

Copyright

Verfügbare Formate

Dieses Dokument teilen

Dokument teilen oder einbetten

Freigabeoptionen

Stufen Sie dieses Dokument als nützlich ein?

Sind diese Inhalte unangemessen?

Copyright:

Verfügbare Formate

Marketing Strategies of Wajeeh's Cafe

Hochgeladen von

Copyright:

Verfügbare Formate

MARKETING STRATEGIES OF WAJEEH`S CAFE

Submitted to: Mam Saba Sattar

BBA (HONS) 2011-2015

Department Of Management Sciences