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Coffee Shop Retailing - Essay Example

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Coffee Shop Retailing

The Starbuck coffee still leads its competitor, Costa in the market share. A survey conducted on the market performance of the two brands showed that Starbucks commanded a market share of 27% compared to Costa which commands 15 % of the market while the rest of the market is being shared between the small companies. In rating the market of the coffee with the substitute beverages, coffee in general comes third behind tea and Juice. 70% of the adults in UK takes coffee, 81% take juice while 83 % of the adult population takes tea (Kolk 2012). 2011 is a year where coffee experienced more innovations in its brands. The culture of taking coffee has been entrenched among the UK consumers and it is considered as the luxury which is affordable to all users. The quality of the product has been greatly improved by innovation through product development. The leading manufacturer of coffee is Nestle UK. The company’s product enjoys a market share of 42%. Basically the presence of instant coffee is the major reason behind success of the Nestle Company in the manufacturing sector. The coffee pods also have contributed to the growth of coffee consumption in general (Kolk 2012). Findings A coffee shop serves not only coffee but also tea, light lunch and some deserts. A local coffee shop can attract a large market by ensuring the frequent customers remains loyal. Commitment is required in order to accomplish a successful marketing. Usually most of the marketing and is done through the interaction with customers. Existing customers invite new customers; coffee shops provide a good social experience among the customers thus it is ideal for interaction. Some common coffee brands in the UK markets includes, Maxwell House coffee, Nescafe, Lavazza, Starbucks, Melitta, Kenco coffee among others. The market of these brands has depended mainly on the marketing of the brand. Retailers benefit from brands which have already established in the market. The main coffee brands in the UK market are Starbucks and the Costa brand. The famously world brand (Starbucks) carries the larger coffee market as compared to the Costa brand. The brand has several outlets throughout the country (Kolk 2012). A part from the coffee business, the coffee offers food together with the coffee, in order to increase income and also increase convenience to the customers. Though selling of food stuffs have been expanding among the coffee shop, the challenge is competitions from the established bakers and other competitors in selling the foodstuffs. Research shows that selling of foodstuffs within the coffee shops has been on the increase in the UK market and therefore the trend in coffee shop development has changed the marketing strategies shops rendering the services Quality of services A successful marketing would start with the kind of products and services being offered. Development of a variety of services would beneficial to the coffee shops than sticking to just offering coffee. Variety of services that are customer friendly benefits in expansion since advertisements is more efficient when done orally. Some the benefits that would ensure more customer base is ensuring the customers comfort. Ensuring that every table has a supply of electricity enables the customers to have a comfortable cup of coffee while using the laptops. Other services which are essential in increasing the customers include introducing live entertainment and uniqueness in provision of services. ...Show more


Coffee Shop Retailing Name Subject Professor Date Introduction For nearly decade, coffee market in the UK nearly doubled according to a research done on the consumption of the product. The brands with chain market command over 3,000 outlets allover the country and a turnover exceeding ?…
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