Customers and my competition
Customers buy from my competitor because of two simple factors: branding, atmosphere, and affordability. Some of my main competitors include Starbucks and Bo’s Coffee within the Woodley Park area of Washington D.C. Both of these franchises are well known to the general public and, as such, their brand presence alone would result in more customers choosing to patronize their stores instead of my own. When it comes to affordability, franchises such as Starbucks have an elaborate supply chain that enables them to sell their products at a far lower rate than what my store can compete against.
From a value-based perspective, Starbucks is simply the more affordable choice, however, in comparison grocery store-bought coffee is far cheaper yet the quality is much lower. It should also be noted that the variety of coffee-based products that are available at Bo’s Coffee and Starbucks (i.e. cappuccinos, espressos, etc.) makes it more appealing to patronize such locations since customers can enjoy different product types instead of having to deal with a limited selection. Another factor that causes consumers to buy from my biggest competitors is the atmosphere of Starbucks and Bo’s Coffee which is one of the selling points of either chain.
The interiors are nice and relaxing, the chairs are comfortable and soft music is playing in the background. This creates an atmosphere that encourages people to stay, drink coffee, and buy more of the products that the coffee chain is offering. The last factor that causes people to patronize Starbucks over my coffee is the chain is the concept of brand association. Under this concept, people patronize a particular brand because they want to be associated with it. Starbucks within the past few years has reached a considerable degree of popularity in modern-day popular culture as a “hip and stylish” place to buy coffee and relax. It is due to this that people want to be associated with such qualities and, as such, patronize the various Starbucks chains that are near their home.
Customers and my Store
There are two distinct problems with Starbucks and Bo’s Coffee that I address with my dessert café concept that gives me a competitive advantage. The first problem with Starbucks that many of its customers can attest to is that during the mornings when people need a cup of coffee to wake them up for work, Starbucks, unfortunately, has incredibly long lines. As a result, some people cannot get their morning “fix of coffee” to perk themselves up for the long day ahead. The same problem can be seen in Bo’s Coffee wherein the long lines in the morning make it almost impossible to get a cup and make it to work on time. I address this problem through the use of a drive-through window at my café.
Through the use of such a service, customers do not need to line up and can instead order their coffee through the use of a small LCD screen that is the same height as their car window and pay for it at the end of the drive-through. Customers would thus patronize my café due to the sheer convenience of being able to give them coffee without having to wait in a very long line. The second problem that I address is the sub-par quality of the dessert offerings that Starbucks and Bo’s coffee have. By selling quality desserts to customers using a blend of innovative ideas with old-fashioned concepts, I set my store apart as a place where customers can go to order good desserts with a nice coffee in a way that is quick and convenient.