As the weather turns to summer heat, iced coffee is a great way to enjoy our favorite beverage and stay cool. While iced coffee is not new, it is rapidly growing in popularity, leading to additional options on store shelves and cafe menus. The ice coffee targets the following consumers. Adults men and women age 25 to 40 whom usually workers and faculty or this kind of consumers are the people we called “the everyday man” who are looking for a chill with their favorite taste of ice coffee to get them through the day.
This target audience grows at a rate of 3 percent in the market. The young adult aged 18 to 24, the proposed venture position itself as a place college students can hang out , study, write term papers and meet people inside the constitution. The propose business appeals to this consumer directly through introducing technology as soon as it comes available, focusing on social networking and actively cultivating a cool image in the community. The young adult audience grows 4. 6 percent in the market. Kids and teens are also a large part of the propose business.
From aged 13 to 17 since most items for kids are purchased by their parent the growth of the audience market are only 2 percent. Teens meanwhile may also use the product to chill and hang out with friends or study. Chart 1. Growth percentage of target market for Coffee (ice coffee) B. Demand The demand for coffee is growing now and it won’t stay cheaper forever. In a nation of coffee drinkers many people prefer to drink coffee than any soft drinks. In India, the coffee market is booming due to the increased of their coffee consumer both ice and hot.
In North America 30% of students drinking coffee (ice or hot) during their spare time, even in Asia now. According to the latest coffee statistics from the International Coffee Organization (ICO), it pours about 1. 4 billion cups of coffee a day worldwide. The efforts of the International Coffee Organization to raise coffee consumption around the world are paying off. Despite the fact that coffee prices have risen, there is more coffee traded, sold and enjoyed each year. Marketing thrusts by the ICO have turned coffee drinking into a fine art and encouraged people to think of coffee as an affordable luxury.
B1. Annual sales in Ice Coffee at the province of Zamboanga del Norte from 2009- 2017 Table 1. Estimated Demands from 2009 -2012 ————————————————- Quarter2009201020112012 1350378396445 2372398405465 3256275371394 4212231326350 ————————————————- Total 1190 1282 1498 1654 Table 2. Estimated Demands from 2013-2017 ————————————————- Quarter 2013 2014 2015 2016 2017 ————————————————- 800 1556 1600 1698 1890 ————————————————- 2 899 1590 1668 1712 1850 ————————————————- 3 863 1460 1559 1669 1560 ————————————————- 4 845 1356 1556 1660 1823 ————————————————- Total 3407 5962 6383 6739 7123 C. Marketing Program C1. Pricing Strategy The propose business should follow the right pricing strategy. It will be base on the production cost which is mostly used in some businessman today.
A cup of Ice coffee will cost depends upon the flavored. One cup of Ice coffee regular will cost 30 Php. Then the costumer will add 5 pesos per flavored such chocolate, vanilla and caramel, each unit will cost 35 php then. C2. Marketing Strategy The proposed venture marketing strategy will be focused at getting new customers, retaining the existing customers, getting customers to spend more and come back more often. Establishing a loyal customer base is a paramount importance since such customer core will not only generate most of the sales but will also provide favorable referrals.
Expected business competitors are other food and beverages establishments vending ice cold drinks product. In order to obtain saleable propose product the proponents will give the satisfaction of the costumers giving them the reasonable price, having a good conversation to the costumers. The propose business venture will position itself as a unique coffee cart where its patrons can not only enjoy and chill the perfectly mix coffee but also spend more time in an ambient environment. C3. Sales Strategy The propose business will handle the sales transactions.
To speed up the customer service, at least two employees will be servicing clients, while one employee will be preparing the customer’s order, the other one will be taking care of the sales transaction. All sales data logged on the computerized point-of-sale terminal will be later analyzed for marketing purposes. In order to build up its client base, the propose venture will use banners and fliers, utilize customer referrals and cross-promotions with other businesses in the community. At the same time, customer retention programs will be used to make sure the customers are coming back and spending more cup of ice coffee.