Studio 3 – 5 C’s of Marketing

Culture, Graphic Design, Marketing

Another marketing concept we’re learning about is the Five C’s. They are used to analyse five key areas of a company and is useful when developing a marketing strategy. The five C’s are company, customers, competitors, collaborators and climate.

I have looked at each of the five C’s in relation to the cafe branding I’m working on. Check it out below.

  1. Company
    • Grinders is a new cafe opening in Brisbane. They specialise in coffee but offer breakfast, lunch and a range of other drinks. There will be a large focus on building relationships with the loyal customers.
  2. Customers
    • Target audience: the range of the target audience is quite large; from young families to young adults and even through to the older generation. Coffee lovers. Low income and high income.
    • Frequency: Daily (hopefully)
    • Quantity: Coffee (or other drink purchase), coffee and a meal, delicious snacks.
  3. Competitors
    • Grinders will have a number of competitors – like every other cafe in Brisbane (especially the surrounding area).
    • Any cafe that specialises in coffee.
    • Cafes in West End come and go a fair bit so it would be important to stand out from the competitors.
  4. Collaborators
    • Grinders would have a few partners
      • Coffee supplier (fair trade, ethically sourced)
      • Tea supplier
      • Food supplier
    • We’d like to be able to support and build relationships with local small businesses who are in the same or surrounding area to our cafe.
  5. Climate
    • I believe the cafe market is growing at the moment.
      • Especially trendy, hipster ones.
    • People seem to spend more time at cafes these days – buying behaviour is increasing.
    • New technology for taking orders (apps).

Using this, along with the SWOT analysis I did previously, can help show a picture of what it would be like to enter into the cafe market and help to develop a strategy that could help the process.

Studio 3 – Slogans

Design, Graphic Design, Marketing

Sooo…I may have forgotten to post this blog a few weeks ago when we were looking at slogans. But better late than never, right? A slogan can be really useful for your brand. You may already know what a slogan is but I’m going to define it for you anyway. It’s “a catch phrase or small group of words that are combined in a special way to identify a product or company” (Small Business Encyclopaedia, n.d.). A slogan is used to convey the vision of the company – a brief and catchy phrase that can be used in advertising, poster, uniforms, etc. It becomes a reminder of what makes the company special.

This article (22 Companies With Really Catchy Slogans & Brand Taglines by Lindsay Kolowich) had list some characteristics that make a great slogan:

  • memorable
  • includes a key benefit
  • differentiates the brand
  • imparts positive feelings about the brand

Here’s a few examples of slogans I found:

Nike – ‘Just Do It’ (classic)

Apple – ‘Think Different’

L’OrĂ©al  – ‘Because you’re worth it’

Maccas – ‘I’m loving’ it’ (another classic)

Adidas – ‘Impossible is nothing’

Energizer – ‘Keep going and going and going’

 

 

Studio 3 – Porter’s 5 Forces

Design, Graphic Design, Marketing

Another marketing tool – Porter’s 5 Forces. This tool can be used to identify and analyse the competitive forces that are shaping different industries. By knowing and understanding where the power lies in the industry you are entering, you can gain a competitive edge over the competition.  These are the five forces:

1. Competition in the industry;

2. Potential of new entrants into the industry;

3. Power of suppliers;

4. Power of customers;

5. Threat of substitute products.

Again, using this tool for my cafe, this is what I’ve come up with (using a worksheet from mindtools.com):

Screen Shot 2016-08-03 at 11.11.01 AM

And from this worksheet I have concluded the following:

  • The competition in the industry is extremely high as there are numerous cafes, that are similar in style to Grinders Coffee House.
  • The threat of substitution is strong because customers can choose to go to other cafes for their coffee.
  • Buyer power is weak as there are a high number of them and they are a fragmented audience (customers vary). Therefore the industry (the cafes themselves) can set the price.
  • Suppliers would have some power as there are a lower number of them in the market.
  • The threat of new entry is medium. There are costs involved in setting up a new cafe, a lot of time to put into it and some specialist knowledge would be required.

References:

  • Investopedia  –  http://www.investopedia.com/terms/p/porter.asp
  • Mindtools       – https://www.mindtools.com/pages/article/newTMC_08.htm

Studio 3 – SWOT Analysis

Design, Graphic Design, Marketing

Today we are looking more at marketing and the tools that can be used to improve your business. The first one is SWOT analysis. This is a good tool because it looks at your business’ strengths, weaknesses so you can understand them and then determine any opportunities that exist and threats you might be facing.

I found this website useful in developing my analysis and they had a handy worksheet too:

SWOT Analysis at mindtools.com

For my café, Grinders Coffee House, this is the SWOT analysis I developed:

STRENGTHS WEAKNESSES
  • It’s a new and different cafĂ© opening up — some people like to try new ones
  • It’s new — can create hype of the new cafĂ©s grand opening
  • Ethically sourced, good quality coffee
  • Family based cafĂ©
  • Good customer service
  • The cafĂ© has little market presence or reputation
  • Similar product range to other cafĂ©s
  • New staff who will have to get to know each other well in order to create a good atmosphere
  • Cash flow could be unreliable when cafĂ© is first opened
OPPORTUNITIES THREATS
  • CafĂ©s are very popular at the moment — booming market
  • Location – key to building up regulars
  • A place where people can come to relax
  • Efficient ordering system with new technology (apps)
  • Choosing a fair-trade coffee bean supplier (or sourcing a new one) and ensuring the workers are being treated ethically
  • Competition of surrounding cafĂ©s
  • Finding a suitable location where the cafĂ© will thrive
  • Funds needed to start the cafĂ©
  • Ensuring the cafĂ© meets OHS standards before opening — cost of that
  • Meeting government regulations