Buckingham Coffee Corner: An Innovative Business Plan for London

This report details a business plan for Buckingham Coffee Corner, an innovative coffee shop concept located near Buckingham Palace in London. The unique selling point lies in allowing customers to prepare their own coffee and utilize a self-checkout system. The plan includes a company description, outlining the geographic location, unique selling proposition, and business goals. A comprehensive services description details the offerings and atmosphere, highlighting differentiating elements such as infrastructure and promotional strategies. The market analysis incorporates a PESTEL analysis, potential customer identification, and competitor assessment. The marketing plan covers the marketing mix and promotional mix, including advertising, direct marketing, sales promotion, personal selling, public relations, web presence, and social media strategies. The report also touches on organization and employees, a financial plan outlining startup costs, and a SWOT analysis identifying strengths, weaknesses, opportunities, and threats. The primary goal is to establish Buckingham Coffee Corner as a leading coffee destination in London, focusing on customer engagement and convenience.

Innovative Business Plan
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1. Executive Summary
A Business Plan can be defined as a written document that explains the type, nature, sales
as well as marketing strategy of a business. This report is based on Buckingham Coffee Corner
which is situated in United Kingdom, near the Buckingham Palace. It provides a brief overview
of the company, its customers, organisational structure as well as employees. It also explains the
various services that are provided to the customers with a PESTEL analysis that helps in
identifying various external factors as well as the impact they can have on its performance.
Lastly, a marketing mix, promotional mix as well as financial plan are also incorporated to
facilitate better understanding.
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Table of Contents
1. Executive Summary.....................................................................................................................2
INTRODUCTION...........................................................................................................................4
2. Company Description..................................................................................................................4
2.1 Geographic Location........................................................................................................4
2.2 Unique Selling Point.........................................................................................................4
2.3 Business Goals and Mission.............................................................................................4
3. Services Description....................................................................................................................5
4. Market Analysis...........................................................................................................................5
4.1 General aspects of the sector............................................................................................5
4.2 PESTEL Analysis.............................................................................................................5
4.3 Potential Customers..........................................................................................................6
4.4 Competitors......................................................................................................................6
5. Marketing Plan.............................................................................................................................6
5.1 Marketing Mix..................................................................................................................6
5.2 Promotional Mix...............................................................................................................7
6. Organisation and Employees.......................................................................................................8
7. Financial Plan...............................................................................................................................8
7.1 Start up cost......................................................................................................................8
SWOT Analysis......................................................................................................................9
REFERENCES..............................................................................................................................10
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INTRODUCTION
The business ideas which is taken into consideration is a coffee shop. The name of coffee
shop will be Buckingham Coffee Corner which is famous for its innovative idea and good
geographical location. The innovative idea of this shop is that customer can make their coffee on
their own and it also facilitate self checkout system to there customer. For this, shop have
managed traditional machineries which are arranged on tables for customer serving where
customer can prepare coffee by their own (Baldassarre and et. al., 2017). The location of
company is also act as benefit to its innovative idea as it is situated near Buckingham palace
which is a tourist place in London. The staff of this shop is only used for guiding customers
about the process of making coffee. Interior design of coffee shop is also acts as an attraction to
tourists as it is designed in that way which facilitate customers to see the great heritage of
Buckingham palace and to know the brief history of queens of London with the help of
paintings and statue. Cafe has also managed different types of machinery which can make 20
types of roasted as well as non roasted coffee according to need of customers.
2. Company Description
2.1 Geographic Location
The chosen organisation, Buckingham Coffee Corner is located in London, which is the
capital of England. The coffee corner is situated near the Buckingham Palace which attracts a lot
of tourists.
2.2 Unique Selling Point
The Unique Selling Point of Buckingham Coffee Corner is the customers can prepare
coffee themselves and also, there is a system to facilitate self-checkout to help customers with
their orders.
2.3 Business Goals and Mission
The primary goal of the company is to involve customers in the process of making coffee
as well as ease out the process of delivery of orders (Greasley, 2017). On the other hand, the
mission of Buckingham Coffee Corner is to become one of the leading coffee places in London.
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3. Services Description
Buckingham Coffee Corner offers various services to its customers including an option of
self-checkout and also, the customers have the access of preparing their own coffee. Other
services offered by the company include different flavours of coffee drinks that are made using
the best quality coffee beans. The atmosphere of the cafe is very light and cozy with a friendly
staff.
The differentiating elements of Buckingham Coffee Corner are its infrastructure as well
as promotional strategies that include offering customers a free sample whenever the cafe
launches a new flavour (McKeever, 2016). Another differentiating element of the cafe is that the
customers can prepare their coffee order themselves. Also, the infrastructure of the cafe is such
to provide the customers a quiet feeling where they can sit for hours and chat.
4. Market Analysis
4.1 General aspects of the sector
The coffee industry is currently experience an exponential growth in various markets of
the world. This is because of an overall increase in urbanisation as well as the demand for the
product also rising with each passing day. This is leading to expansion of the industry.
4.2 PESTEL Analysis
The PESTEL analysis of Buckingham Coffee Corner is described below -
 Political Factors – Political factors play an important role in identifying factors that can
impact the functioning of an organisation. The United Kingdom is a politically stable
country with a proactive government which means that it will be beneficial for the cafe to
expand in other parts of the country.
 Economic factors – The United Kingdom also has a strong economic position as
compared to other countries (PESTLE Analysis of UK, 2020). Like it has a high GDP
with comparatively less issues prevailing in its system.
 Social Factors – The working population within the company is very high which means
that the buying power of the people is also high. This can act in favour of the cafe as the
sales and profitability will increase.
 Technological Factors – Being one of the most technologically advanced countries in
the world, the people living in the United Kingdom have an access to high speed internet
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as well as smartphones which will make it easier for the company to carry out promotions
as well as other marketing activities.
 Environmental Factors – People are increasingly becoming aware about the
environment and this gives Buckingham Coffee corner an opportunity to market its
products using ways that are not harmful for the environment in order to attract more
customers and generate revenue failing which it will not be able to build a sustainable
business and achieve desired goals as well as objectives.
 Legal Factors – Buckingham Coffee Corner should incorporate various laws in order to
carry out its business in an ethical manner (Pedersen, Gwozdz and Hvass, 2018). This
will help the company not only in attracting customers but also potential employers.
4.3 Potential Customers
The potential customers of the coffee corner are young people who seek places to enjoy
and relax. They can chat for hours without any kind of interference from anyone. The cafe also
targets local tourists as well as international customers who visit the Buckingham Palace and
then need a place to sit back and relax. Buckingham Coffee Corner's other potential customers
include tech-savvy and urban people who have an authentic taste for coffee drinks.
4.4 Competitors
Buckingham Coffee Corner faces an intense competition from both local as well as other
regional competitors. This is because the cafe is situated near the Buckingham Palace, which is
among the biggest tourist attractions across the country (Rosati and Conti, 2016). The cafe, in
order to overcome competition, implements various innovative strategies so that it can gain
advantage against them. Some competitors of Buckingham Coffee Corner include The English
Rose Cafe and Tea Shop, The Garden Cafe etc.
5. Marketing Plan
5.1 Marketing Mix
The marketing mix of Buckingham Coffee Corner is as follows -
 Product – The product mix of the cafe include a variety of coffee drinks that are
prepared keeping in mind the customer segment. Most of the snacks as well as beverages
are prepared using authentic ingredients.
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 Price – All the products in the cafe, including snacks as well as coffee beverages are
priced at very affordable and pocket friendly rates (Sarder, 2016). There have been only
minor changes in the prices from the time cafe was opened.
 Place – Buckingham Coffee corner is situated near the Buckingham Palace so as to
attract as many visitors as possible. This will help it in increasing sales as well as overall
profits.
 Promotion – In order to promote itself, the cafe uses posters,pamphlets and small tie-ups
with other local competitors to catch eye of the tourists.
5.2 Promotional Mix
It can be defined as a combination of various activities like personal selling, sales
promotions, marketing, advertising, direct marketing etc. The promotional mix of Buckingham
Coffee Corner is described below -
Advertising – The cafe advertises itself through various means like pamphlets, word-of-
mouth, brochures etc. It also used newspapers as well as radio to advertise its products and
services among tourists. Flyers are also used to reach out to as many customers as possible.
Direct Marketing – The most common ways used by Buckingham Coffee Corner
include Internet marketing, face-to-face selling, kiosk marketing etc. All these options provide
the cafe a way to promote itself among tourists and other people and thus increase sales.
Sales Promotion – Sales Promotion is used whenever the cafe launches a new product in
its menu (Suess-Reyes and Fuetsch, 2016). It can be as simple as a new flavour in the coffee
drinks or a completely new product to attract traffic.
Personal Selling – In order to expand its business, Buckingham Coffee Corner has also
incorporated different methods of personal selling like through discussions, door-to-door selling
etc.
Public Relations – In order to promote its products, the company can hire bloggers as
well as influencers on various online platforms.
Web Presence – The respective cafe should increase it web presence by developing a
website that is attractive as well as innovative.
Social Media – Social Media is one of the fastest emerging ways of doing promotions.
Buckingham Coffee Corner should debut its presence on various social media apps in order to
gain attention of different customers.
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6. Organisation and Employees
The organisation has a friendly culture wherein employers as well as employees share
healthy relations with each other. All departments function in coordination with each other with
the main aim of attaining business objectives (Viorica-Mirela and Diana, 2016). The employees
of the company are also hard working and put in their best efforts to satisfy the needs of the
customers by being polite to them.
7. Financial Plan
7.1 Start up cost
SWOT Analysis
A SWOT analysis is a strategic framework that can be used by both organisations as well
as individuals to identify their strengths and weaknesses. The analysis also provides an access to
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various business opportunities and an insight into the threats that can impact on the overall
performance. The SWOT analysis for Buckingham Coffee Corner is explained below -
 Strengths – The major strength of the coffee corner is that it is situated near the
Buckingham Palace due to which the foot fall is large. Also, it offers customers an option
of making their own coffee as well as a self-checkout option.
 Weaknesses – Since the coffee corner only operates near the Buckingham Palace, it
does not have a large customers base and is less popular among them.
 Opportunities – The coffee corner can utilise opportunities of expansion and thus grow
its business in different locations and one of the options to do this starting a franchise.
 Threats – There are a lot of coffee shops that are popular than Buckingham Coffee
Corner and have a large customer base. Therefore, they pose serious competition which
can act as a threat. Changing tastes of customers in the market can also pose threat.
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REFERENCES
Books & Journals
Baldassarre, B. and et. al., 2017. Bridging sustainable business model innovation and user-driven
innovation: A process for sustainable value proposition design. Journal of Cleaner
Production. 147. pp.175-186.
Greasley, A., 2017. Simulation modelling for business. Routledge.
McKeever, M., 2016. How to write a business plan. Nolo.
Pedersen, E. R. G., Gwozdz, W. and Hvass, K. K., 2018. Exploring the relationship between
business model innovation, corporate sustainability, and organisational values within the
fashion industry. Journal of Business Ethics. 149(2). pp.267-284.
Rosati, U. and Conti, S., 2016. What is a smart city project? An urban model or a corporate
business plan?. Procedia-Social and Behavioral Sciences. 223. pp.968-973.
Sarder, R., 2016. Building an innovative learning organization: A framework to build a smarter
workforce, adapt to change, and drive growth. John Wiley & Sons.
Suess-Reyes, J. and Fuetsch, E., 2016. The future of family farming: A literature review on
innovative, sustainable and succession-oriented strategies. Journal of rural studies. 47.
pp.117-140.
Viorica-Mirela, P. and Diana, N., 2016. Designing a business plan of developing an innovative
product meat. Scientific Papers: Animal Science and Biotechnologies. 49(2). pp.225-229.
Online
PESTLE Analysis of UK. 2020. [Online]. Available
through:<https://www.ukessays.com/essays/economics/a-pestle-analysis-of-the-united-
kingdom-economics-essay.php>.
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