The so-called strategy is how to maintain a competitive advantage in the future.
“Low price, high value”, as a way of propaganda can also attract consumers and investors, but cannot be a strategy. Quality and cheap products, in this world there is no. Because, from the corporate profitability and sustainable development of the strategic point of view, it does not have continuity. More importantly, the scale of the development of the store still need to support the profit.
85 degrees C in Taiwan’s business model is mainly Direct, competitors are Starbucks, coffee is its main category. To the mainland, is straight or joined, has been swinging. Product structure, supplemented by coffee, bread and cake-based, its competitors are not Starbucks, into the other bakery. Strategic Marketing with Cheap Advertising Feather Flags is a proven success to increase sales in short time.
Strategic development and tactical implementation of the inconsistency, resulting in corporate philosophy and market dislocation.
First of all, 85 degrees C business model is “coffee + cake + baking” of the mixed body, do not see what is unique, but it is not professional and focus.
Second, the number of stores and market share in Taiwan beyond Starbucks, does not mean anything. It is only in Taiwan, not the mainland, nor the whole world; simply from the number of shops and market share is also difficult to explain the problem, the quality and sustainability of market share, target consumers and the impact of the target population is very critical.
Once again, Starbucks consumer experience is the first. Compared with Starbucks, be sure to know what Starbucks, expressed what. Is Starbucks just a cup of coffee? No, it is an experience, it is a way of life.
A cheap coffee branding with economy Feather Flags has to be targeted at high-end consumers, this is not with their own make life difficult?
Location: 85 degrees C What is it?
Brand positioning with Feather Flags are not clear is 85 degrees C another key issue.
Positioning is to let the brand image on the Feather Banners to be printed on the minds of consumers to create a precise, the best location. 85 degrees C is clearly not doing well. Now, what is 85 degrees C? Coffee shop bakery? Consumers are afraid to answer.
Belly cuckoo, eat bread, by the way to a cup of coffee, which is to solve the problem of hunger; and in order to leisure to drink a cup of coffee, enjoy the afternoon sun or a quiet mind. This is completely different from the two states, but also the experience and perception of the fundamental difference. Starbucks offers a comprehensive experience of coffee, so what is the experience of 85 degrees C? Is cheap, product rich? Or what? Core value is difficult to reflect.
Starbucks has a good cup of coffee experience, and then began to extend, for example, the introduction of food, is a rich product line, improve store profit points. And 85 degrees C in the consumer did not form a category of strong knowledge of the case, they mixed with coffee, bread and cake, look blurred. Consumers have a consumer demand, it is difficult to first think of a positioning is not clear brand.
Extreme single product: large single product missing
Information: Every month, 85 degrees C have more than 20 kinds of new products into the market, as this line of “R & D investment” one of the highest enterprises. More than 20 kinds of beverages and coffee, more than 60 kinds of cakes, 88 kinds of bread, by the 5400 square meters of central kitchen to provide a wide range of products, far more than the general Western bread bakery, well received by consumers.
When I went to experience a bit of 85 degrees C time, found that the cake sold more, coffee, tea and other cake sales with the situation is relatively small. Usually buy a cake or buy a cup of coffee or drink, probably because the store space is small, mainly in the store, in the store is not comfortable, the experience is very general.
Product category is not the better, the general bakery sales are also high then twenty or twenty varieties, the more types of products, the more waste. Long tail theory, in the shelf life of the baked goods industry has a very high demand, does not apply.
85 degrees C of the product category has cake, mousse, cheese, moon, coffee, tea, smoothies seven categories, if the focus of each category to form 1-2 fist products will be better. Large single product is the profit point.
Return to origin: value
85 degrees C supply the average price of coffee 8 yuan, bread average price of 3-6 yuan, the average price of 8 yuan cake, per capita consumption of more than ten dollars, is the popular price positioning. Price and value, must be matched and have internal links. If you want to use cheap products to establish high-end experience, obviously contrary to the value of the law, but also in vain.
Do the scale of the next moderately profitable, or profit to maximize the scale? This is two completely different ideas.
85 degrees C choose to take the parity line, destined to pursue the scale effect, so do not compare with Starbucks, Starbucks is the pursuit of profit maximization under the scale. Starbucks and 85 degrees C’s positioning is not the same, that is, their consumer groups are not the same, companies get the proceeds of the method is not the same.
In addition, from the shop’s strategy point of view, 85 degrees C with Starbucks to compete in some prime locations, is also inappropriate, parity mode determines the 85 degrees C is the civilian route, you can fashion, but certainly not luxury, high-end.
Internet era is the era of return, marketing should back to basic with the use of Cheap Advertising Feather Flags. Or if budget affords, it would be more effective to use Feather Flag Double Sided # one economy. But back to the origin is not in place, but from a higher dimension to think about the problem and the definition of value, so as to find the road leading to the future business.
85 degrees C The most pressing thing is to solve the strategic problems, and then solve the brand positioning and value issues.
85 degrees C is what is not important, she provides consumers with what value is the most important.