shubhendu vatsa 22067, s.i.p. report
TRANSCRIPT
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Summer Internship Project
IDENTIFICATION OF MARKET
OPPORTUNITY TO IMPLEMENT BRANDING
STRATIGIES IN CHAIN DEVELOPMENT OF
RESTAURANT AND CAFÉ
Submitted in partial fulfillment of PGDM program
2014-16
Submitted by
SHUBHENDU VATSA
22/067
Corporate Mentor Faculty Mentor
Mr. Mukesh Rana Prof. Shalini Duggal
Director Faculty
Quetzal Luxury Café Apeejay School of
Management
Apeejay School of Management
New Delhi
July 2015
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CERTIFICATE
This is to certify that the project work done on “Identification of Market opportunity to
implement branding strategies in the chain development of restaurant and café“Submitted
to Apeejay School of Management, Dwarka by ShubhenduVatsa in partial fulfillment of
the requirement for the award of PG Diploma in Business Management, is to the best of
my knowledge a bona fide work carried out by him under my supervision and guidance.
This work has not been submitted anywhere else for any other degree/diploma. The
original work was carried out during 01st April 2015 to 30
th June 2015 in Quetzal luxury
café (A Venture of Plenum capital management India Pvt. Ltd.)
Date:
Seal/Stamp of the Organization
Signature & Name of the Corporate Mentor
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CERTIFICATE
This is to certify that I Shubhendu Vatsa Roll No. 22/067 have carried out my summer
internship in Quetzal Luxury Café in the area of Marketing. It is also certified that the
work done by me is original with due references of sources, and has not been submitted
elsewhere for the award of any diploma or degree.
_____________________
Signature
Shubhendu Vatsa
Date: _________________________
Countersigned by Faculty Mentor
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ACKNOWLEDGMENT
A work is never a work of an individual. I owe a sense of gratitude to the intelligence
and co-operation of those people who had been so easy to let us understand what I
needed from time to time for completion of this exclusive project. I want to express my
gratitude towards Mr. Mukesh Ranafor giving me opportunity to do this project.
I also want to express my gratitude towards Prof. Shalini Duggal, of Apeejay School of
management for helping me in the project andmaking it successful.
Last but not the least, I would like to forward my gratitude to faculty members who
always guided meand stood by me and without whom I could not have envisaged the
completion of our project.
Shubhendu Vatsa
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TABLE OF CONTENT
1) Executive Summery
Page 07-08
2) Chapter 1
Area of Internship And Learning Objectives
Page 09 - 16
3) Chapter 2
Profile of the Organization
Page 17 – 32
4) Chapter 3
Job Description And Functional Profile
Page 33– 39
5) Chapter 4
Learning Experience And Insight Gained
Page 40– 57
6) Chapter 5
Conclusion and Recommendations
Page 58– 60
7) Annexure Page 61– 63
8) Bibliography
Page 66
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LIST OF GRAPHS
Market share of HospitalityIndustry
Page 11
Indian luxury hotels on social media Page 12
Contribution of Hospitality industry in GDP of India Page 13
Segmenting, Targeting and Positioning Page 35
Perceptual Map Page 37
Data Analysis outcomes Page 60-65
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EXECUTIVE SUMMARY
The working purpose and overall goal of the Internship project was to uncover the
untapped market for Restaurants and café in Delhi-NCR region and to find the potential
customers that may serve as future prospects for Alternate Channel Development (ACD)
of the Company.
The marketing project opens with an analysis of the company's current situation,
including a review of its internal and external environment, which yields information
regarding company‟s current strengths and weakness along with the opportunities and
threats present. The primary threat is a large number of competing firms.The marketing
strategy will begin with offering high quality food and on-time service. The branding
strategy will help to sell via direct sales and to expand via word of mouth endorsements
and corporate tie-up.
Duringinternship, various functionalities related to the working of the organizationlike its
distribution system, types of product and services offered by the company were explored.
Amarketing tool called as S.T.P (Segmenting, Targeting and Positioning)& IBM SPSS
(Ver. 21) was used to conduct the marketing research and statistical analysis.
While doing the prospective search for Alternate Channel Development for Restaurants
and café,more than 50 companies including kafe Fontana, Di Ghent café, Café Lota, Mc
Donald, Star Bucks, Pizza Hut, Burger King etc. were visited by me where lot of data on
various parameterssuch as purchasing pattern, monthly marketing budget allocation,
consumer preferences, Quality maintaining process and a Market research etc. were
gathered.In this report all the aspects related to prospecting of business opportunities in
untapped are discussed below in detail.
My process of summer internship includes some of the aspects of marketing research,
sales, finance and logistics. As Quetzal luxury café is a startup company the roles of
lower level management were versatile. There was a lot of learning experience involved
in the entire summer internship process. As a marketing intern I was responsible for over
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all marketing strategies formulation and execution. My mentor Mr. Mukesh Rana
(Director of Quetzal Luxury Café) had always encouraged me to bring in new ideas for
the growth of the business.
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CHAPTER 1
AREA OF INTERNSHIP AND LEARNING OBJECTIVES
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I had done my Summer Internship in Hospitality Industry (Quetzal luxury café) which is
a start-up brand in Hospitality Sector.
Hospitality Industry
The hospitality industry is a broad category of fields within the service
industry that includes lodging, event planning, theme parks, transportation, cruise
line, and additional fields within the tourism industry. The hospitality industry is a
multi-billion dollar industry that depends on the availability of leisure time
and disposable income.
A hospitality unit such as a restaurant, Café‟, Hotel, or an amusement park
consists of multiple groups such as facility maintenance and direct operations
(servers, housekeepers, porters, kitchen workers, bartenders, management,
marketing, and human resources etc.).
Usage rate, or its inverse "vacancy rate", is an important variable for the
hospitality industry. Just as a factory owner would wish a productive asset to be in
use as much as possible (as opposed to having to pay fixed costs while the factory
is not producing), so do restaurants, Café, Hotels, and theme parks seek to
maximize the number of customers they "process" in all sectors.
This led to formation of services with the aim to increase usage rate provided
by hotel consolidators. Information about required or offered products is brokered
on business networks used by vendors as well as purchasers.
In looking at various industries, "barriers to entry" by newcomers and competitive
advantages between current players are very important. Among other things,
hospitality industry players find advantage in old classics (location), initial and
ongoing investment support (reflected in the material upkeep of facilities and the
luxuries located therein), and particular themes adopted by the marketing arm of
the organization in question (for example at theme restaurants). Also very
important are the characteristics of the personnel working in direct contact with
the customers. The authenticity, professionalism, and actual concern for the
happiness and well-being of the customers that is communicated by successful
organizations are a clear competitive advantage
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Modern Café and Hotels
Cafés may have an outdoor section (terrace, pavement or sidewalk cafe) with seats, tables
and parasols. This is especially the case with European cafes. Cafes offer a more open
public space compared to many of the traditional pubs they have replaced, which were
more male dominated with a focus on drinking alcohol.
One of the original uses of the cafe, as a place for information exchange and
communication, was reintroduced in the 1990s with theInternet café or Hotspot (Wi-
Fi). The spread of modern style cafes to many places, urban and rural, went hand in hand
with computers. Computers and Internet access in a contemporary-styled venue helps to
create a youthful, modern, outward-looking place, compared to the traditional pubs or
old-fashioned diners that they replaced.
In China, an abundance of recently started domestic coffeehouse chains may be seen
accommodating business people for conspicuous consumption, with coffee prices are
sometimes even higher than in the West.
In India, many coffee culture has gained a lot of ground in last twenty years, Indian
coffeehouse chains like: Indian Coffee House, Café Coffee Day, Barista Lavazza have
become very popular in recent years. Cafes are considered good venues to conduct office
meetings and friends hang about
Coffeehouse and coffee shop are related terms for an establishment which primarily
serves prepared coffee and other hot beverages. Café in continental Europe refers to a
traditional type of coffeehouse, but elsewhere "cafe" may refer to a tea room, small and
cheap restaurant, transport cafe, or other casual eating and drinking place. A coffeehouse
may share some of the same characteristics of a bar or restaurant, but it is different from
a cafeteria. As the name suggests, coffeehouses focus on providingcoffee and tea as well
as light snacks. Many coffee houses in the Middle East, and in West Asian immigrant
districts in the Western world, offer shisha (nargile in Turkish and Greek), flavored
tobacco smoked through a hookah. Espresso bars are a type of coffeehouse that
specializes in serving espresso and espresso-based drinks.
From a cultural standpoint, coffeehouses largely serve as centers of social interaction: the
coffeehouse provides social members with a place to congregate, talk, write, read,
entertain one another, or pass the time, whether individually or in small groups of two or
three people. A coffeehouse can serve as an informal club for its regular members.
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Industry Segments
The main segments of the HOSPITALITY sector are:
Lodging Segment: This includes hotels, motels, Inn‟s and Resorts
Food and Beverage Segment: Restaurants, Cafés, Catering companies, Fast-food
joints
Entertainment and Recreation: Clubs, Amusement Parks, Gaming
Travel and Tourism: Travel agencies, Transportation and Tour operators
As I had done my Internship in Quetzal Luxury Café which is a start-up company in Café
segment of Restaurants .It was important to know about Hospitality Industry in India.
.
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HOSPITALITY INDUSTRY IN INDIA
The Hospitality Industry in India witnessed annual growth as below
2010-11 - 16%
2011-12 -19%
2012-13-21%
2013-14 -24%
Federation of Hotel & Restaurant Association of India (FHRAI)
According to FHRAI an association which promote Restaurant segment of Hospitality
industry in India
The contribution rate of Hotels & Restaurants of Hospitality Industry in Indian GDP
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LEARNING OBJECTIVE
Learning Objectives during Internship were
Conducting a SWOT analysis for the organisation
By conducting the SWOT analysis I was able to gather internal and external information
of the organization which helped me to mark those factors that can affect the business.
Content writing for the organisation
I learned how to write effectively about the various products of the company. I also used
this skill to promote the company on social media and print media.
Data Analysis
The company had hired a firm to provide filtered data of customers based on certain
parameters; I learned how to use that data in predicting and drafting strategies for
marketing campaigns, designing the pricing of various products, introducing offers and
discounts. I used SPSS ver. 18 for the data analysis process.
Understanding the selling procedure from prospecting for new customer to
closing a sale
While prospecting I had to gather information about the existing purchase pattern of the
companies visited, along with the margins at which they are getting their products and
then only, offers and benefits were told to the customerso that they can be converted.
Understanding presentation skills
Conducting seminars for the corporates and presenting the presentations to individuals
for taking the franchisee of the company helped me to use my managerial skills
effectively. I also learned how to interact and be presentable.
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Gaining knowledge of the field sales team through participating in sales calls
and trade shows
While collecting data of the prospective customer I have learned the way sales team
works on the field. What are the challenges a team has to face while doing afieldwork.
Conducting market research
This was a major research work through which I had gathered information about the
untapped market in this particular region. Through this I had learned a lot like how the
questionnaires are prepared, how to conduct interviews, how to conduct research work
etc.
Conducting interviews and observing sessions, analyzing data, and
presenting findings in a formal report
A report was made when a particular area was covered, which gave an overview about
the prospective clients who can be targeted for information gathering for conversion.
Developing and enhancing collaborative and teamwork skills
While working as an Intern I inculcated these skills as only a team work can lead to a
successful assignment.
To understand how the distribution channel works at Distributor Point
While working as an intern I learned about the distribution channel at distributor point
which includes how the goods are dispatched, how delivery of products took place etc.
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Chapter 2
Company Profile
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COMPANY’S BACKGROUND
Quetzal Luxury Café is owned by Plenum Capital Services Pvt. Ltd. Basically the parent
company is a financial firm which deals in financial management, portfolio management,
wealth management, corporate finance and real-estate advisory. The venture of Quetzal
café started on 15th
December 2014. The name Quetzal is derived from a species of long
tail bird from the natives of North-America. The idea is to promote the concept of luxury
in the café segment of restaurants. A harmonious blend of traditional and contemporary
sophistication bought up for the customers.
Quetzal Luxury Café LOCATION:
Quetzal Luxury Cafés are located in Delhi-NCR region of North India: –
NOIDA, Uttar Pradesh
Greater Kailash, New Delhi
And the company is still expanding the chain. According to the insights gained by me,
there will be seven outlets in the prime locations of Delhi-NCR by the end of FY2016,
the company has also started the process of franchising there outlets. A set of conditions
that are outlined by the company for franchising there outlet.
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Quetzal Luxury Café LOGO:
Quetzal Logo is designed by a domestic advertisement agency, The logo had two
objectives:
1. To Introduce the various color of modern cooking for the customer, like the bird
Quetzal has a colored tail
2. Create an atmosphere of Bird nest in all the interior themes of Quetzal Luxury
Café
BOARD OF DIRECTORS
Name and Designation
Mr.Khalid Mohamad Chairman
Mr. Mukesh Rana Director/Promoter/Legal Advisor
Ms. EshaRaina Director
Dr. Asif Iqbal CMO
Mr. Bijender Singh CFO
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Vision:
To dominate the luxury restaurant market in India with adistinctive range of “Class Yet
Quantity”
Mission:
To make Quetzal as a brand in the luxury café segment of restaurants.
Short-term Objective of company:
o distribute franchisee in North India
internal processes and controls
Quality control:
Quality Policy in Quetzal Luxury Caféis:
• Customer Satisfaction
• Total quality management
• Continuous up gradation of technology
• Improvement in processes
• Focus to meet emerging needs of the customers
• Environment responsibility
• Development of human resources
• Improving the working conditions of the kitchen and washing area.
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BUSINESS PROFILE:
Quetzal Luxury Café core businesses constitute of Al-a-carte and Fast food products. Al-
a-carte products account for 60% of the revenues and includes some selected cuisines
from around the world. The specialty is restricted to Italian cuisines, Mughlai Cuisines,
Chinese cuisines and Continental cuisines. Fast food products contribute to 40% of
Quetzal cafés half yearly turnover of Rs.10 lakhs. Throughout its existence, Quetzal
Cafés has operated on the principles of providing products to the consumers that are
healthy and authentic. This is brought about by the use of high quality ingredients with a
strong focus on „naturalness‟ and modern processing & storing practices. The company
today has a wide range of Al-a-carte products and fast food products. Now the company
wish to expand itself bakery products in the biscuit, bread and cake segment. It has
trimmed down its wide product portfolio by reducing the products from 35 to around 25
and began to focus on value-added instead of low-margin products.BIL (Quetzal Luxury
Cafe‟ Industries Ltd.) has decided to focus on seven corebrands in the biscuits and bakery
category.
Quetzal Luxury Café
Quetzal Quick Meal
Fast Food& Al-a-carte
(30% revenue contribution) (70% revenue contribution)
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Marketing Mix of company
A mixture of several ideas and plans followed by a marketing representative to promote a
particular product or brand is called marketing mix .elements of Marketing Mix are
Product, Price, Place and Promotion
Marketing Mix of Quetzal Luxury Caféis as follows:
Product
Quetzal Café has a wide range of products.
Quetzal café introduced a range of exclusively available cuisines from around the
world.
The product is prepared by chefs who have special specialization.
Price
Market-Penetration Pricing for the products like Pizza, Burgers and French Fries
Special-Event Pricing in festive seasons.
The pricing of the menu is set according to the competition in the market.
Place
Quetzal Luxury Café uses both i.e. pullstrategy as well as push strategy to persuade the
demand of Products
Promotion
Quetzal Luxury Café promotes itself through:
Sales Promotion – Small goodie bags are given to the customers, Special
discounts and special arrangements for regular customers on there big day like
anniversaries, Birthday‟s etc.
Events – Quetzal Student discounts, Ladies Night, Live Sufi Night etc.
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Outdoor Promotion- such as flyer distribution, road show by guitarist, sticker
advertisements, hoardings and banners on major metro stations and on road.
SWOT ANALYSIS OF Quetzal Luxury Café
STRENGHTS
Experienced and trained chefs and stewards picked from hotel industry
Wide Range of products covering major fast food cuisines
Special Cuisines that have an availability only in 5 star rated hotels
Focus on Luxury in the restaurant segment of Café
Terrace segments in café
WEAKNESSES
High cost of inventory for raw material
Packaging of food and take away option is still not introduced by the café
OPPORTUNITIES
Vast untapped market for luxury café segment
Rising income level of targeted customer
Potential to expand
Take away options are yet to be introduced
THREATS
Domestic fast food chains
International fast food chains
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5 star hotels
Rising input costs
These are the Strengths,Weaknesses, Opportunities and Threats of the Company
Corporate Social Responsibility
Quetzal Luxury Café had shown its CSR as
A Company to reduce sodium and sugar levels in most of the cuisines
Dieting-snacks menu specially created for people who are diet conscious
Support several NGOs by donating funds
Solar energy is used as the source of power for lights during night
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COMPETITORS of Company:
Generally all organizations have competitors in the market. A particular
organization always comprises with other same business and according to market share
we clarify the brand of product is giving more challenge to the product.
In brand reach Quetzal Luxury Café is yet to scores much above other brands in the
restaurant market with a reach to 1000 stores, as against Pizza Hut reach to 10,000 stores
and Haldiram‟s reach to 4650 stores.
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CHAPTER 3
JOB DISCRIPTION AND FUNCTIONAL PROFILE
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JOB DESCRIPTION
Job Title: Marketing Manager (Intern)
Location: Delhi/NCR
Reporting Manager: Mr. Mukesh Rana
Date of Joining: 01st April 2015
Job Family: Marketing and Sales
Job Summary:
As an intern with Quetzal Luxury café my major responsibility was to do the market
based research and also to do prospecting of the un trapped market for the company ,
which includes talking to the concerned person who deals in purchase and
understanding their purchasing pattern. My job also included to bind the non-clients to
the company, by not losing their trust ,communicating with them effectively, focus on
their queries ,to solve their queries effectively by demonstrating high integrity and at
last to convert them into clients, so that the company can supply goods and services to
them and they can contribute to the organization profits.
Job Responsibilities and Duties:
To Prepare Questionnaire
While doing the research work during Summer Internship a questionnaire was
prepared on various parameters like dining pattern of customers, buying habits,
preferred timing to dine in etc. on the basis of which information was gathered.
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To Interact with client
Client interaction was the part of project work which helped alot in my personnel
grooming.
Develop a strong understanding of company’s products and services
As client interaction was a part of research work and for that our knowledge about
products and services offered by company was must, as on the same basis the
whole range of products are represented to the clients and it also shows them how
knowledgeable the company representative is.
Sell to current customers and prospect for new business
To find the prospecting clients and new business was the main focus area of
Internship.
Coordinate with internal departments to respond quickly to customer needs,
requests and problems
While conducting survey sometimes such a situation arises where customer had to
be responded back as soon as possible, by contacting to the manager, problem
were solved so that the client become satisfied and can be converted soon
Perform market research through interviews, focus groups and surveys
Conducting a market survey was a task through which potential client can be
found and after data analysis these potential clients are interviewed and can be
converted.
Collect and analyze data on customer demographics, preferences, needs, and
buying habits to identify potential markets and factors affecting product
demand.
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Data collected was analyzed on the basis of client‟s consumption pattern keeping
in mind the other factor such as their buying habits which includes how frequently
they purchase fast food and other products.This helped me to convert the non-
clients in to clients
Gather data on competitors and analyze their prices, sales, and method of
marketing.
At the time of research work apart from gathering the information about the
buying behavior and consumption, other important information was also collected
about the products and services offered by the competitors and on that basis more
discounts are offered to the prospective clients so that they can be converted in to
the clients of Quetzal Luxury Café
Job Activities
Communicating with Supervisors and Peers
Providing information to supervisors, and co-interns by telephone and e-mail so
that queries and problem during calls can be solved.
Documenting/Recording Information
Data collected was stored in the form of records which act as the evidence of our
work and could also be used by the company for future references.
Establishing and Maintaining Interpersonal Relationships
Developing constructive and cooperative working relationships with others at the
time of meeting and building trust with them was an essential part of the working.
Getting Information
Observing, receiving, and otherwise obtaining information from all relevant
sources to know about the buying behavior and other aspects so that the analysis
can be done easily.
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Processing Information
While collecting all the relevant information data was Compiled, categorized,
tabulated, and verified so that information should become meaningful and
analysis can be done.
Communicating with Persons Outside Organization
Research work was all about Communicating with people outside the
organization, representing the organization to customers and external sources so
that information can be gathered easily.
Making Decisions and Solving Problems
After analyzing and evaluating the information gathered best solution was to be
adopted to solve the queries of the prospective clients so that they can be
converted in to clients.
Organizing, Planning, and Prioritizing Work
Developing specific goals and plans to prioritize, organize, and accomplish the
work made the research work easy.
Selling or Influencing Others
Convincing others to buy merchandise/goods or to otherwise change their minds
or actions was the main task during conversion.
Analyzing Data orInformation
Identifying the underlying principles, reasons, or facts of information by breaking
down information partially into separate parts so thatit could be analyzed
properly.
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Skills Required
Decision Making
As a marketing manager, it is very much important to take decisions. Proper
analysis of the situation and keeping in mind the mission and vision of the
company a decision to benefit the company from all aspects was important. I
learned to take managerial decisions.
Time Management
As it was a difficult task to collect data and do meeting with clients
simultaneously I learned the time management skill.
Writing
Communicating effectively and appropriately in writing, so that the information
gathered was understandable and can be interpreted with no difficulties. I also
learned how effectively one should write the report.
Active Listening
The work profile given to me demands good active listening skills which I have
learnt while talking to the prospecting clients at the time of information
gathering
Critical Thinking
Using logic and reasoning to identify the strengths and weaknesses of alternative
solutions, conclusions or approaches to problems was also required to convince
the clients
Negotiation
Bringing others together and trying to reconcile differences is negotiation and this
skill was required during the conversion stage which I inculcate during Internship.
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Persuasion
Persuading others to change their minds or behavior was needed as various clients
are only purchasing biscuits of other brand and to convince them to go with
Quetzal Luxury Café was the major challenge.
Working Hours:
Working hour was from 11 in the morning till 8 but some time it got extended due to
meeting.
Initially I had to work seven days a week and on every Saturday there was a scheduled
meeting at main office Barakambha Road, where a weekly report was submitted. But
after one month one day off was given.
Qualification Required:
Educational Qualification required by the company to be an intern was
Senior Secondary with more than 60%
Graduation with more than 60%
Higher education with more than 60% in all Trimester
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CHAPTER 4
BUSINESS PROCESS AND INSIGHT GAINED
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BUSINESS PROCESS
Business process at Quetzal Luxury Cafe‟ was to find the untapped Sector (Market) for
the Alternate Channel development of the company.
As there are three Channels in which company deals in
General trade
Modern trade
Alternate channel development
General Trade
General trade refers toretailing the products and services through kirana stores and
through other retail outlet
Modern Trade
Modern trade as opposed to traditional retail shops refers to retailing the products and
services to big stores likeBig Bazar
Alternate Channel Development
Alternative Channel Development refers to retailing goods and services to offices and
HORECA (Hospitals, Restaurants, Educational Institutes and Caterers)
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My project was to find the untapped market for the company by gathering in information,
analyzing the findings, then focus on the potential groups of clients and finally convert
them.
What is Untapped Market?
Untapped Market is that portion of market that has been untouched or left unnoticed by
the sellers.
Identification of untapped Market is very much important from company‟s point of view,
as it leads to the following points:
Expanding customer base
Increasing Sales
Increase in Market Share
STP (Segmenting, Targeting and Positioning) Analysis is done to find the untapped
market (Refer fig 1)
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The first rule of STP is Segmenting.
SEGMENTING
Segmenting is the process of dividing the market into segments based on customer
characteristics and needs.
The main activities in segmenting consist of four sub activities. These are:
Figure 2
The first, second and fourth steps are described as Market Segmentation. The third step of
analyzing the intensity of the competitors is added to the process of segmenting. When
different segments are identified, it is not necessary that these segments are attractive to
target. A company is almost never alone in a market; competitors have a great influence
on the attractiveness of entering a certain market. When there is a high intensity of
competitors, it is hard to obtain a profitable market share and a company may decide not
to enter a certain market. The third step of segmenting is the first part of the topic of
competitor analysis.
By following the above segmenting rule and sub activities I was able to come across that
Offices and Horeca are best Segments to be focused on (Refer Figure 3)
Determining the actual and potential customers
Identifying segments
Analyzing the intensity of competitors in the market
Selecting the attractive customer segments
SEGMENTING
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.Figure 3
The need for segmenting a market is based on the fact that no market is homogeneous.
For one product the market can be divided in different customer groups. The variables
used for this segmenting in these groups are usually geographical, psycho graphical,
behavioral and demographic variables. This results in segments which are homogeneous
within and heterogeneous between each other. When these segments are known, it is
important to decide on which market to target. Not every market is an attractive market to
enter. A little filtering has been done in this activity, but there are more factors to take in
account before targeting a certain market segment. This process is called targeting.
The Second Rule of STP is Targeting
Targeting
The Second step is of targeting. After the most attractive segments are selected, a
company should not directly start targeting all these segments, other important factors
come into play in defining a target market.
Four sub activities form the basis for deciding on which segments will actually be
targeted.
Determining the actual and potential customers-
Students and HNI's
Identifying segment-
Geographical
Analyzing the intensity of competitors in the market-
Mc Donald, Haldiram
Selecting the attractive customer segments
Where there is Cafetaria
SEGMENTING-
Un tapped Market
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Figure 4
The first three sub activities are described as the topic competitor analysis. The last sub
activity of deciding on the actual target market is an analysis of the company's abilities to
those of its competitors. The results of this analysis lead to a list of segments which are
most attractive to target and have a good chance of leading to a profitable market share.
Figure 5
Defining the abilities of the company and resources needed to enter a market
Analyzing competitors on their resources and skills
Considering the company’s abilities compared to the competitors' abilities
Deciding on the actual target markets.
Targeting
Defining the abilities of the company and resources needed to enter a market-
Benifits and services provided by Quetzal Luxury Cafe
Analyzing competitors on their resources and skills
Discounts and Services offered by Competitors
Considering the company’s abilities compared to the competitors' abilities
Discounts and services given by Quetzal Luxury Cafe
Deciding on the actual target markets.
Students and HNI's
Targeting
Un tapped Market
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Obviously, targeting can only be done when segments have been defined, as these
segments allow firms to analyze the competitors in this market. When the process of
targeting is ended, the markets to target are selected, but the way to use marketing in
these markets is not yet defined. To decide on the actual marketing strategy, knowledge
of the differential advantages of each segment is needed.
Positioning:
The third step is of Positioning. Positioning helps in identifying who you are in the
marketplace vis-à-vis the competitors
When the list of target markets is crated then the company will try to identify its products
image in the mind of consumer or image of its brand in the mind of the customer. Every
segment is different from the others, so different customers with different ideas of what
they expect from the product. In the process of positioning the company
Positioning is done on the Basis of Awareness level and Product Preference
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The above figure shows the positioning of business in reference to Awareness and
Preference.
Quetzal Luxury Cafe‟ is Facing its Major Competition from McDonald‟s, pizza hut,
dominos and they are not facing any trouble from any brands like café coffee day,
Haldiram, Bikaner and un register local restaurants which are also promoting their
products by spending more towards creating their brand awareness
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INSIGHT GAINED
Insight Gained during the Business Process are
Develop a strong understanding of company‟s products and services
Perform market research through interviews, focus groups and surveys
Collect and analyze data on customer demographics, preferences, needs, and
buying habits to identify potential markets and factors affecting product demand.
Prepare reports of findings, illustrating data graphically and translating complex
findings into written text.
Gather data on competitors and analyze their prices, sales, and method of
marketing and distribution.
Establishing and Maintaining Interpersonal Relationships
Develop a strong understanding of company’s products and services:
While working as an Intern for Quetzal Luxury Cafe‟ I got full knowledge regarding the
products and Services offered by the company which helped me in getting knowledge not
only about the products offered by us but also about the products offered by the
Competitors
Perform market research through interviews, focus groups and surveys:
Conducting a market survey was a task through which potential client can be found and
after data analysis these potential clients are interviewed for conversion
41
Collect and analyze data on customer demographics, preferences, needs, and buying
habits to identify potential markets and factors affecting product demand:
While doing Surveys and collecting information through interviews my major challenge
was to identify the buying habits of potential clients.
Prepare reports of findings, illustrating data graphically and translating complex
findings into written text:
After every week a reportwas prepared on the basis of information gathered and then it
was analyzed. This helped me in strengthening my analytical skills.
Gather data on competitors and analyze their prices, sales, and method of
marketing and distribution:
While gathering information I also learned how to gather information about discounts
which are offered by the competitors so that we can give them a better deal.
Establishing and Maintaining Interpersonal Relationships
I had learned how to maintain Interpersonal skills with the Managers in Purchase and
interpersonal skills enhanced my -
Communication skills
Personality Development
Confidence
Problem Solving and Decision making Skills
Listening Skills
42
EVALUATION OF BUSINESS PROCESS
Work given to me was more Customer Oriented. Customer Orientation means
A group of actions taken by a business to support its sales and servicestaff in considering
clientneeds and satisfaction their major priorities. Business strategies that tend to reflect a
customer orientation might include: developing a qualityproduct appreciate by
consumers; responding promptly and respectfully to consumer complaints and queries;
and dealing sensitively with communityissues.
Advantages of doing a customer orientation business:
Product Development
A customer-centric focus helps throughout the marketing process, which includes product
research and development as well as promotional communication. A customer-centric
focus typically leads to companies maintaining closer contact with core customers. Focus
groups and other research methods are used to maintain awareness of customer feedback
on products and desires for improvements. Tailoring products and services to fit the
strongest desires of your target market helps you establish a more marketable product
concept.
Build Loyalty
Running a customer-focused business helps organizations build a loyal customer base.
Customers are more willing to purchase from companies that they feel consider their
needs when they create products and services. Customers also are frequent patrons to
businesses that place a high value on training their staffs to emphasize customer service
Increase company’s business credibility
Business credibility is the amount of trustworthiness or expertise that a company has in
the eyes of its clients, customers, business partners, and financial resources. Customer
oriented business increases business credibility.
43
Increase in sales
One of the biggest advantages of having customer orientated market is increase in sales
as business can only grow if it can attract more customers.
When I visited the company I came to know that there was a package meal for the
company and they are purchasing products from a whole seller at discounted Prizes. I
talked to the concern person who deals in purchase and try to gather as much information
as I can and while gathering the information I came to know that it can be converted but
the major challenge was that they are already getting their products at a good Margin
Now my main focus was to convert that client,for this I had talked with my corporate
mentor he understood my point and gave me the permission to gave him some extra
benefits.
By this way I convert that client and realize that company cares about existing and new
client.
After the delivery of products when the feedback was taken he was satisfied from the
way he was introduced with the company and he has also appraise me for the deal
This was an incidence of one ofmy client who is know dealing with the company and had
given a business of approximately around 12000 1n fifteen days and can give more
business in future. This also shows that how customer oriented is the company.
Disadvantages of Customer oriented business
Lack of Innovation
Customer-focused businesses operate solely on customers' needs and wants, which can
have a negative impact on a company's creativity. When companies are customer-
focused, they may resist coming up with ideas to improve products or create new
products, so they begin to lack innovation. While customers may know what they want,
companies should use research and development to come up with ideas customers may
not think of on their own when surveyed about their needs.
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Ever-Changing Customer Needs
Customers' needs are ever-changing, which means your customer-focused business needs
to have the resources, such as financing, staffing and time, to constantly keep up with
customer demands. This may be problematic for small business, as it can be expensive
and lead to employee burnout
Time Consuming and Expensive
The activities involved in carrying out a customer-focused business operation add time
and expense. Research before, during and after product or service launches takes
significant time and investment. Product-oriented companies are often using this time to
further product research and development. Additionally, customer-focused businesses
often invest in customer care and service activities such as follow up, returns and other
efforts to satisfy customer demands. While the hope is that these efforts garner more
customers and greater loyalty, they take time and money to manage.
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RESEARCH METHODOLOGY
Research
Research is an investigation in any field of inquiry that is Systematic, Patient and Careful.
Research Process:
Define Problem- Findingun tapped Market and converting prospective
Research Plan - Preparing of Questionnaire
Research Design Formulation –Segmenting, Targeting and Positioning
Collect Information - Survey
Present Finding – Analysis of Finding
Make Decision - Conversion
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Type of Study:
The Research was based on Primary Data Analysis. Primary Data is a data originated by
the researcher for some specific purpose
Advantages of Primary Data Analysis
Accuracy in information
Information is Genuine
Primary data are of Two types
In the research Quantitative Research Data is used
Quantitative Research is done where
Sample size is large
Data is structured
Statistical Data Analysis
Recommend Final course of action
In the research work done I had applied Quantitative Research Data because the sample
size of untapped market is big and the questionnaire prepared is in structured form and on
the basis of the analysis of the report we have to decide whether the prospective clients
can become our client or not.
Qualitative Research Data Quantitative Research Data
47
Methods for conducting Quantitative Research Data are
Survey Methods
Telephonic Interview
Personal Interview
Mail Interview
Electronic Interview
Observational Method
Personal Observation
Mechanical Observation
Audit
Content Analysis
Trace Analysis
Survey Method
Personnel Interview and
Telephonic Interview are adopted during survey
Personal Interview: In Personal interview information was gathered personally. Like I
had collected the information by visiting personally at the client side
Telephonic Interview: In telephonic interview Information is collected with the help of
telephone. As when clients are not available at their office then I used to call them and
gather information through phone
In Observational Method
Audit and Trace Analysis are adopted during survey
Audit: In Audit data are collected on the basis of count of Physical products. Like some
time I had to analyze the potential of the customer by seeing their Food and Beverages
storage room.
48
Trace Analysis: In trace Analysis data collected was based on physical trace or evidence,
of past behavior. Like some time I had to see the bills of clients to know about their
consumption pattern.
Sampling Design
Probability Sampling Design was used at the time of research work.In Probability
sampling design each and every Segment had an equal chance of being selected without
any biasness.
Simple Random Technique was used doing the survey. As in Simple random Probability
sampling each element in population has a known and equal probability of Selection
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PROFESSIONAL SKILLS
Professional skills acquired through internship are
Time Management Skill
As it was a difficult task to collect data and do meeting with clients simultaneously I
learned the time management skill.
Writing Skill
Communicating effectively and appropriately in writing, so that the information gathered
was understandable and can be interpreted with no difficulties. I also learned how
effectively one should write the report.
Active Listening Skill
The work profile given to me demands good active listening skills which I have learnt
while talking to the prospecting clients at the time of information gathering
Critical Thinking
Using logic and reasoning to identify the strengths and weaknesses of alternative
solutions, conclusions or approaches to problems was also required to convince the
clients.
Negotiation Skills
Bringing others together and trying to reconcile differences is negotiation and this skill
was required during the conversion stage which I inculcated during Internship.
Persuasive Skills
Persuading others to change their minds or behavior was needed as various clients are
only purchasing biscuits of other brand and to convince them to go with Quetzal Luxury
Cafe‟ was the major challenge. I learned Persuasion skill at the time conversion.
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CHAPTER 5
RECOMMENDATION AND CONCLUSION
51
RECOMMENDATIONS
According to my finding I would like to recommend the following points:
As Quetzal Luxury Cafe‟ has expertise in biscuit manufacturing hence Quetzal
Luxury Cafe‟ should concentrate more on business apart from other products.
Since Quetzal Luxury Cafe‟ has fast food and Al-a-carte in every category and
price range so it should stress on reaching to the customers in every section of the
Delhi-NCR and this can be done using effective servicing.
Consumers in Delhi-NCR generally go for dining on weekends. Thus weekends
are the most appropriate time for outdoor advertisement at malls and areas like
offices where there is more crowd as these are the hot spots.
The way products are kept on display in the facility, mostly affects the sale of the
product as product should be vastly and easily available to the customer.
Proper advertisement is the key to tap potential consumers. Innovative ways
of advertisements like outdoor marketing, print media advertisements and flyer
distribution should be used by the company toachieve its goals.
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CONCLUSION
After doing the summer internship for two months my experience with Quetzal Luxury
Cafe‟ was great and learning one. For those three months I thought as if I was a regular
employee of Quetzal Luxury Café not a student as I got a thorough real world experience
of the environment which prevails in the industry. I learned various aspects while doing
the internship such as – how to deal with people, how the management of the
organization works, what are the servicesof a company, how the distribution channels
works and many others.
As per my project was considered I had to find the business opportunities in untapped
market for Quetzal Luxury Café. Marketing research software called IBM SPSS® version
18 was used for making the work easier.
While talking about Quetzal Luxury Cafe‟ as an organization, I would say that it was a
well organized industry where in each and every employee knows his/her role and what
exactly is expected from him. Quetzal Luxury Cafe‟ is having high volume assets
among its competitors. Company preserves the non-seasonal food and makes it
available all throughout the year. Company distributed dividend and company‟s
profits have been increases year by year. Company h a s w e l l d ed i ca t ed
m an agem ent t e am to e f f i c i en t l y l e ad th e com p an y always to the next level.
Quetzal Luxury Cafe‟ has well developed services through which it meets its distribution
and selling demands.
Overall all I would like to say that it was a learning journey for me as an intern with
Quetzal Luxury Café .Where I inculcated lots of skills like Negotiation, Persuasion,
Analytical etc which will definitely going to help me in future.
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BIBLIOGRAPHY
http://www.business-standard.com/article/companies/restaurant-will-be-significant-for-s-
growth-md-110053100202_1.htmlaccessed on 17 June 2013
http://en.wikipedia.org/wiki/Hospitality/Industriesaccessed on 17 June 2013
http://www.rediff.com/money/2006/jun/28spec.htmaccessed on 23 June 2013
www.iseindia.com/ResearchPDF/FMCG_Update1.pdf accessed on 23 June 2013
http://smallbusiness.chron.com/advantages-disadvantages-company-becoming-
customerfocused-business-26150.htmlaccessed on 23 June 2013
Marketing Research book Sixth Edition by Naresh k. Malhotra and Satyabhushan Dash
Marketing Management book Fourteen Edition by Philip Kotler
http://www.hindu.com/fline/fl2322/stories/20061117004812200.htm
http://www,quetzalcafe.in on 26th
June
http://www.expresshospitality.com/20071130/market22.shtml
54
ANNEXURE
Market survey Questionnaire
Data analysis using IBM SPSS ver.18
55
Sample Questionnaire
The questionnaire distributed by the researchers is as follows:
Dear Respondents,
I am the marketing intern at Quetzal Luxury Café, as per the research requirements of my
summer internship project I wish to conduct a feasibility survey of setting up a Luxury
Café outlet, here in Hauz Khas Village, New Delhi. Being a future customer, I would be
greatly obliged if you could spare some time for us and fill this questionnaire.
Quetzal Luxury Café is an existing fast food and luxury fine dine establishment which is
quite famous and we feel that Hauz Khas Village needs such an establishment so as to
cater to the needs of the growing consumer trend as exhibited by the people.
This survey is purely educational. We assure you that your personal information will not
be disclosed under any circumstances. Please feel free to attach your business card below.
Thank you,
Shubhendu Vatsa
Marketing Intern
56
Name: ……………………………………………………………………………………..
Occupation: ……………………………………………………………………………….
Gender: …………………………………………………………………………………….
Age: ……………………………………………………………………………………….
Contact No.: ……………………………………………………………………………….
57
1. Which age group do you fall
under?
o 12-24 years
o 25-35 years
o 35-50 years
2. What is your income like? (Not applicable for
students) o Upto 5000
o 5000 – 10000 o
10000 – 15000
o 15000 and above
3. What is your pocket money like? (Students please tick the applicable option)
o Less than 500
o 500 – 1000
o1000 – 1500
o1500 – 2000
4. How would you categorize you’re eating habits?
o Vegetarian
o Non-Vegetarian
o Both
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5. How often do you visit any fast food establishment?
o Once a week
o Twice a week
o Thrice a week
o More than twice
6. How much time do you spend in a fast food establishment?
o Less than 30 Minutes
o 30 Minutes – 1 Hour
o More than 1 Hour
o More than 2 Hours
7. How much money do you spend in a fast food establishment on an average?
o 100 – 200 Rupees
o 200 – 300 Rupees
o 300 – 400 Rupees
59
8. How would you rank any fast food joint of your choice based on: (Rank them
from 1-6)
Ambience Service Food Entertainment Hygiene Location
Quality & Parking
9. With whom do you generally visit the fast food establishment?
o Friends
o Spouse
o Family
o Alone
10. When you visit a fast food joint, the reason is….
o Occasion
o General
o To Break Monotony
o Habitual
11. At what time do you generally prefer going to fast food establishments?
o 11am – 3pm
o 3pm – 6pm
o 6pm – 10pm
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12. When do you visit fast food establishments?
o Weekday
o Weekend
13. What kind of advertising media do you prefer?
o Print
o Television & Theatre
o Radio FM
o Word of Mouth
14. How far do you agree with this statement:
``I love to try out new and different places``
Strongly Disagree Strongly Agree
1 2 3 4 5
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15 Which other fast food establishments in Delhi-NCR Area do you visit? Rank
them on a scale of 1-5 based on which you prefer going to the most. (1 being
lowest, 5 being highest).
My favorite eating place 1 2 3 4 5
1.
2.
3.
4.
5.
16. How far do you usually travel to visit a fast food establishment?
o Less than 2 km
o 2km – 4km
o 4km – 6km
o 6km – 8km
o More than 8km
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Data Analysis
1. Which age group do you fall under?
Correspondents
50
40
30 Value in %
20 Correspondents
10
0 12-24 years 25-35 years 36-50 years
Age Group
Observation: Correspondents of the age group 12-24 have responded more in comparison
to the other age groups.
Inference: The age group of 12-24 is the age group that is dominating the food &
beverage market of Hauz Khaz Village, New Delhi
3. Which Income Bracket do you fall in?
Income Distribution
50
40
30 Value in %
20 Correspondents
10
0 <5000 5000 – 10000 11000 - 150000 15001 >
Income Brackets
63
Observation: A high amount of correspondents fall in the less than Rs.5000 bracket,
followed by those in the range from Rs.5000 and onwards.
Inference: The average income distribution is less than Rs.5000 in the city of New Delhi
4. What are your Eating Habits?
Eating Habits
60
50
40
Value in %30 Correspondents
20
10
0 Vegetarian Non-Vegetarian
Preference
Observation: More vegetarian consumers in comparison to non-vegetarian consumers
Inference: The people of Delhi-NCR prefer to have vegetarian products more in food and
beverage outlets.
5. How often do you visit any fast food establishment?
Frequency of Visit
45 40 35
30
Value in %
25
20 Correspondents
15
10
5
0 Thrice Twice Once
Frequency
64
Observation: The frequency of visits by a major share of the populous is once a week.
Inference: The people of Hauz khaz village visit most frequently to the current food &
beverage establishments.
6. How much time do you spend in a fast food establishment?
Time Spent
40 35
30
25
Valuein%20
15 Correspondents
10
5
0 <30 Minutes 30 Mins to 1 Hrs. More than 1 Hr
Time
Observation: Most correspondents have the tendency to spend 30 minutes to an hour at
the food and beverage establishments.
Inference: The turnover at the current food and beverage outlets is greatly hampered
because of the prolonged duration of stay by most guests.
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7. How much money do you spend in a fast food establishment on an average?
Average Per Cover
35
30
25 20
Valuein%
15 Correspondents
10
5
0 Rs.200 Rs.300 Rs.400
APC
Observation: Most correspondents seem to spend around Rs.200 on an average
Inference: The average expenditure on food & beverage establishments is majorly from
middle class families which prefer to spend a little amount of their money on outside
food.
8. At what time do you generally prefer going to fast food establishments?
Time Slot
70 60
50 40
Value in %
30
20 Correspondents
10
0 1100 hrs.- 1500 1500 hrs- 1800 1800 hrs- 2200
hrs Hrs hrs
Hour of Visit
66
Observation: The correspondents don’t seem keen on visiting fast food establishments in
the morning or the afternoon.
Inference: The outlets must have more manpower in the evening to be able to cope with
the rush hour time preference of 1800hrs – 2200 hrs.
9. When do you visit fast food establishments?
Time of the Week
70 60
50 40
Valuein%30 Correspondents 20
10
0 Weekday Weekend
Week Slot
Observation: Very few people visit fast food establishments during weekdays.
Inference: The outlet must ensure that there are enough resources available to cater to the
weekend rush of the guest.
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10. How far do you usually travel to visit a fast food establishment?
Distance Travelled
30
25
20
Valuein%15
10 Correspondents
5
0 Less Than 2 to 4 Km 4 to 6 Km 6 to 8 Km 2 Kms
Distances
Observation: There is a general distribution of the will to travel amongst the correspondents
Inference: The people in Aurangabad will and can travel in order to access good fast food
establishments across the city
Guest Perception Analysis
I 40
30 Ambience VI
II 20 Service
10
Food Quality
0
Entertainment
V
III Hygiene
Location &Parking
IV
Fig.3 Guest Perceptions from Fast Food Establishments