Detailed Business Plan: Coffee Shop - Strategy and Financials

This business plan presentation outlines the strategy for a coffee shop, detailing its services, marketing plan, target customers, and competitive landscape. The services offered include various coffee types, fresh beverages, and comfortable seating with designated areas for business meetings and kids. The marketing plan focuses on the 7Ps: Product (fresh, organic coffees), Place (attractive ambience), Price (competitive discounts), Promotion (social media), Physical Evidence (eco-friendly packaging), People (employee satisfaction), and Process (hygiene). Marketing strategies include promotion and distribution, along with a sales strategy to increase customer engagement and sales. The target market encompasses all customer segments, utilizing STP (Segmentation, Targeting, and Positioning) to cater to diverse customer needs. Competition analysis identifies major players like Costa and Starbucks, emphasizing the need to meet customer requirements and gain trust. The plan also addresses staffing and HR requirements, focusing on hiring appropriate personnel and ensuring a healthy work environment. A financial summary provides insights into setup costs, revenue forecasts, and profitability. The plan concludes that it helps the owner to understand the financial summary, marketing plan, competition, staffing, and HR requirements of the coffee shop.

BUSINESS PLAN FOR
COFFEE SHOP

TABLE OF CONTENT
 INTRODUCTION
 SERVICES OFFERED
 MARKETING PLAN
 TARGET CUSTOMERS
 COMPETITIONS
 STAFFING AND HR
 FINANCIAL SUMMARY
 REVENUE FORECAST
 CONCLUSION
 REFERENCES

INTRODUCTION
 Business Plan help to describe the details how business
start. It is used to defined objective and goals of business.
 This presentation help to give business plan of coffee
shop.
 Proposed coffee shop deal with different products and
services like they provide different varieties of coffees,
100% natural ingredients and peaceful place with
different section for young generation, business meetings
and for kids.

Services offered:
 The Coffee shop will offer:
 Different variants of coffees and
beverages.
 Fresh beverages with 100% natural
ingredients.
 Comfortable sitting for customers
along with special areas for
business get-together.

Marketing plan:
7Ps of marketing mix:
 Product:
 Includes all physical products and services
offered by companies.
 The proposed Coffee shop will sell all the
fresh and organic coffees and beverages.
 Different types of coffees for the coffee
lovers.
 Home delivery services with 0 delivery
charges within 5kilometres as regard to
Covid situation.

Continued…
Place:
 Includes the place of actual offering of services
and products.
 Attractive and differently designed ambience for
different purpose.
 Separately designed sections for different purpose
including the party zone and business meetings.
Price:
 Proposed Coffee shop will provide special and
delicious products at special discounts.
 100% budget beverages.
 Competitively low cost and pocket friendly deals
fresh drinks.
 High discounts on combo offers.

Continued…
Promotion:
 Using of social media with due
consideration on advertisement.
 Online and digital promotion will be more
focused by the proposed Coffee shop.
Physical evidence:
 More focus on disposable and
environmental friendly packaging.
 Safe and no leak packing of products for
home delivery purpose.

Continued…
People:
 Focus on the employees and their satisfaction.
 The Coffee shop is coming with the policy of ensuring healthy and
safe work environment for its staff.
 Proper safety measures will be taken by the Coffee shop in respect of
Covid situation.
 Financial and moral both aspect will be considered by the Coffee shop
regarding the employees.
Process:
 Focus on the actions and process taken by the company to deliver its
products.
 Hygiene element will be more focussed by the Coffee shop while
providing the services.
 All guidelines will be followed by the Coffee shop in regard to
ensuring good health of its customers and employees with respect to
Covid.

Continued…
Marketing Strategies
 Promotion and Distribution
 Proposed coffee shop can use promotion and distribution marketing strategy.
 In this strategy coffee shop can use competitive advantage by updating its menu with unique flavours.
 This strategy can help coffee shop to release news to local media and magazines to promote their
business.
 Coffee shop owner can use different media platform to promote their shop and coffee.
 They can also use unique flavours in coffee to attract new customers.
 For distribution, they can use new and unique cups for coffee and packaging.
 Coffee shop owners can also use delivery vehicles for home delivery.
 Sales Strategy
 This strategy help in distribution of coffees and also help to increase sales.
 Coffee shop owner can increase it sales by getting feedbacks from customers.
 They can also use online and phone order to save customers time and by this customer can easily

Target customers:
 The proposed Coffee shop is going to target the
customers of all the sections. However, it would adopt
STP policy while targeting its customers:
Segmentation, Targeting, and Positioning:
 Segmentation:
 Dividing whole market into different segments.
 The coffee shop is going to divide the whole market as
per the behaviour, beliefs, lifestyle of the customers.
 Benefits or demographics along with culture is also to
be considered by the coffee shop while segmentation.

Continued…
Targeting:
 It includes targeting the divided sections.
 coffee shop will make the different policies to target the segmented section of customers.
 More focus will be lied on those customers who have no interest in order to develop interest
and promote the brand.
Positioning:
 Focus on taking the views of customers towards the business and helps the companies to
know their market position.
 coffee shop will adopt the policy of taking feedbacks of the customers towards its products.
 Necessary changes will be meet in case of demand.
 Competitive position can be analysed by the coffee shop.

Competition:
 Face strong competition in the
market.
 Major competitors may includes
Costa, Starbucks and various other
with strong positioning in the
market.
 Market and consumer needs are
continuously changing which will
creates more difficulties for the
coffee shop.
 Meeting the customer requirement
along with gaining of trust is going
to be very competitive for coffee
shop.

Porter's five forces:
Porter's five forces:
Competition in the industry:
 Intensity of this force is very high in the market.
 Helps the coffee shop to critically and deeply analyse the intensity of market competition.
 Impact of competitors over the coffee shop will be analysed.
Potential of new entries:
 Intensity is said to be moderate for this force.
 Helps in knowing the situation of market regarding entry.
 Great impact over the coffee shop and its business if the entry policy requires less cost and procedures
for other competitors.
Threat of substitute:
 coffee shop will face this force at a greater intensity because of the already presence of substitutes.
 Strong competition may occurs because of various substitutes and competitors.

Continued…
Power of suppliers:
 Intensity of this force is usually medium in reference of
this industry.
 Works in favour if there are more number of supplier of
raw material.
 Earn high profits and sales if this force is favourable.
Power of buyers:
 Intensity is very high in regards to this force.
 Proves to be very tough if the market is consumer
oriented and consumer supported.
 Consumer power may even lead to drop the pre decided
pieces and affect the targeted profits.

Staffing and HR requirement:
 The cafe will firstly focus on appointing the
appropriate HR for its business.
 The HR will be required because it plays an
important role in appointing the new employees
or staff as per the requirement of the cafe.
 Basic categories of employees including the
waiters, chefs, cashier, computer operator,
receptionist, delivery boys, and helpers will be
required to run the cafe.
 Apart from appointing the employees for the
cafe HR will also be required in order to ensure
that the cafe will run in the desired direction
only along with keeping a watch on existing
employees regarding there working.

Financial summary:
Income Statement Total
Set up Cost 200000
Rent 96000
Staffing Cost 300000
Marketing cost 5000
Utilities 9000
Cleaning supplies 1400
Total $611400

Revenue Forecast
(NTD) 1st Year 2nd year 3rd year
Cost 338000 3228000 2218000
Sales revenue 600000 800000 1000000
Total expense (Per month) 280000 350000 450000
Net profit (Per month) 350000 420000 650000
Net profit(Per year) $1360000 $3250000 $5055000

CONCLUSION
 This presentation help to understand that proposed coffee shop business plan and by this plan
company can get rough idea about its financial summery which include setup cost, staff salary and
revenue forecast etc.
 It also helps to understand marketing plan such as marketing mix, target market etc. and how
company can use this plan, so they can get maximum profit.
 By this presentation coffee shop owner also can get idea about its competitors and how much
competition present in current market.
 It also helps to understand that how to select Staff and how much staff required for coffee shop by
previous slides it also explains Human resource requirement and how HR help in success of coffee
shop.
 In the end by basic financial summary this presentation give a abrasive idea about expense and
revenue of the coffee shop to its owner.

REFERENCES
 Books and journals
 Abdul-Hamid, and et.al., 2017, June. Sustainability Marketing: The 7ps Perspectives. In 5 th International Conference on Contemporary
Marketing Issues ICCMI June 21-23, 2017 Thessaloniki, Greece (p. 595).
 Barrow, C., Barrow, P. and Brown, R., 2018. The Business Plan Workbook: A Step-By-Step Guide to Creating and Developing a Successful
Business. Kogan Page Publishers.
 Camilleri, M.A., 2018. Market segmentation, targeting and positioning. In Travel marketing, tourism economics and the airline product (pp.
69-83). Springer, Cham.
 Carraher, S.M., 2018. An examination of an instrument to measure Porter’s Five Forces Model. In International Journal of Arts & Sciences
Conference at Harvard University.
 Davis, P.J., 2017. How HR can create competitive advantage for the firm. Human Resource Management International Digest.
 Grunert, K.G., 2019. International segmentation in the food domain: Issues and approaches. Food Research International.115. pp.311-318.
 McKenzie, D. and Sansone, D., 2019. Predicting entrepreneurial success is hard: Evidence from a business plan competition in
Nigeria. Journal of Development Economics. 141. p.102369.
 Saidani, B. and Sudiarditha, I.K.R., 2019. Marketing Mix-7Ps: The Effect on Customer Satisfaction. Jurnal Pendidikan Ekonomi Dan Bisnis
(JPEB).7(1). pp.72-86.
 Sheth, J.N., 2018. How social media will impact marketing media. In Social media marketing (pp. 3-18). Palgrave Macmillan, Singapore.
 SOFICĂ, A. and Cosma, S., 2018. Extended Marketing Mix (7Ps) and HRM Recruiting. How to Sell a Job. Studia Universitatis Babes-Bolyai,
Negotia.63(3).
 Thabit, T. and Raewf, M., 2018. The evaluation of marketing mix elements: A case study. International Journal of Social Sciences &
Educational Studies.4(4).
 Witek-Hajduk, M.K. and Grudecka, A., 2018. Positioning strategies of retailers’ brands in the emerging market–a cluster
analysis. International Journal of Emerging Markets.