MK0272: Coffee Bean & Tea Leaf Marketing Report - Semester 1

This report provides a detailed marketing analysis of Coffee Bean & Tea Leaf (CBTL), focusing on its operations in Singapore and Southeast Asia. It begins with an executive summary and background, followed by an environmental analysis utilizing SWOT and PESTEL frameworks to identify internal strengths and weaknesses and external opportunities and threats. The report delves into CBTL's marketing strategies, outlining marketing, financial, and societal objectives, and discusses market segmentation and targeting. It includes primary and secondary market research findings, a marketing mix summary, and strategic recommendations for product, marketing, and mixing control. The analysis also covers micro-environmental factors, including customers, suppliers, and competitors, and concludes with a reflective statement and references, providing a comprehensive overview of CBTL's marketing approach and potential for growth.

ORGANISATION BEHAVIOR REPORT
TABLE OF CONTENTS
EXECUTIVE SUMMARY
BACKGROUND OF COFFEE BEAN AND TEA LEAF
ENVIRONMENTAL ANALYSIS OF CBTL
MACRO-ENVIRONMENTAL (PESTEL) OF CBTL
MARKETING STRATEGY
Marketing Objective
Financial Objectives
Societal Objective
Segmentation, Position and Targeted Market
MARKETING RESEARCH OF CBTL
SECONDARY RESEARCH
MARKETING MIX SUMMARY
DETAILED STRATEGY FOR PRODUCT IN MARKETING AND MIXING
CONTROL
REFLECTIVE STATEMENT / CONCLUSION
REFERENCES
EXECUTIVE SUMMARY
This report is about Coffee bean Company that operates in Singapore and South-east Asia. It
begins with an environmental analysis of the company and its marketing strategies. The company
data collection and analysis that aid in creating a good marketing plan for coffee Company Ltd.
Through research, we find out the strength and weaknesses of the company and create a strategic

solution that coffee bean used to overcome their obstacles and improve their company
altogether[AT1].
BACKGROUND OF COFFEE BEAN AND
TEA LEAF
Coffee Bean & Tea Leaf (CBTL) is one of the American largest coffee chains, owned by
International Coffee & Tea, LLC. Today, CBTL owned more than 1000 franchised stores in the
United States of America and also in other 29 countries, which include Singapore. (Our-heritage,
2018)
ENVIRONMENTAL ANALYSIS OF CBTL
It's a process of identifying the factors that affect the running of an organization both internally
and externally. The analysis usually entails accessing threat levels and the opportunities
involved. (T Tian, S Freeman, M Corey, JB German, 2017).
SWOT ANALYSIS[AT2]
Factors
Strengths
Weaknesses
Internal factors
1. Strong brand recognition – Coffee Bean Company is well recognized in the food
industry.
1. Business Model of Coffee Bean Company Ltd can be easily copied and imitated by the
competitors in the beverage. The company name needs to build a platform model that can
integrate suppliers, vendors, and end-users.
Factors
Opportunities
Threats
External factors

Increasing implementation of online service programs by coffee
Shortage of skilled human workforce - Given the high turnover of employees and growing
dependence on an innovative solution, Coffee bean can face skilled human resources challenges
in the near future.
MACRO-ENVIRONMENTAL (PESTEL[AT3]) OF CBTL
- Legal and regulatory issues – Coffee bean Company Ltd has benefitted from lower taxation
policies throughout the western hemisphere, and this has resulted in high profits and increasing
spending in the research and development. (LR Batista, SM Chalfoun, G Prado, RF Schwan,
2013).
- Economic climate – Government expenditure in Singapore has remained steady over the year's
hence increasing investment and disposable income for industries such as Coffee bean
Company[A4]. Development of infrastructure has facilitated the growth of Coffee Bean
Company since more customers can easily access their products[AT5], and this will increase the
sales of coffee bean.
- Demographic – Media plays a very vital role in building the public image of a company in
Singapore, and companies such as coffee bean can rely on this trend to market their products. (E
Yuniarti, FC Saputri, A Mun'im, 2009).
- Technological factors Technology transfer and licensing issues for Coffee bean Company
Ltd – In the Consumer sector there is no influential culture of technology transfer and companies
often are reluctant to transfer or permit technologies for fear of creating competitors out of
collaborators. Empowerment of supply chain partners – Technology has shortened the product
life cycle, and it has enabled suppliers to develop new products quickly. It has put pressure on
Coffee bean Food Company always to give their customers a wide range of products to choose
from. Coffee bean Company itself has encouraged invention and innovations among its members
to fit in the product market in Singapore. (R Urgent, MB Katan 1998).
Political factors-Coffee bean company enjoys political stability. In Singapore, government
agencies provide a peaceful environment for any business to thrive economically.
Social Factors-This involves the behaviors, values, and preferences of the people. In Singapore,
Coffee Bean Company receive positive market from the local society; hence, this has majorly
contributed to its growth and development as a company.
- Micro Environmental [AT6]– Customers: If the buyers have reliable bargaining power then
they usually tend to drive the price down thus limiting the potential of the coffee bean Company
Ltd to earn sustainable profits
Suppliers: If suppliers have reliable bargaining power, then they will extract a higher price from
the coffee bean Company Ltd. This is going to impact the potential of coffee bean Company Ltd
to maintain above-average profits in the Food Processing industry. (E Yuniarti, FC Saputri, A
Mun'im, 2000).

Competitors: Current players should be willing to earn lower profits to reduce the risks from new
players if there is a substantial threat of new entrants in the Food Processing industry. Channel
members: It becomes difficult for existing players such as Coffee bean Company Ltd to earn
sustainable profits if the competition is intense.
MARKETING STRATEGY
Coffee bean Company needs to incorporate the following key focus areas to grow its brand in
Singapore and all over the world.
• Product packaging: Product packaging is one of the most crucial marketing strategies on which
marketers focus on in the food industry as consumers will always judge the product by their
packaging, especially in the food and beverage industry It helps the customers to choose their
products, and in case of food service industry, brand logos, menu card design, and food
presentation and color are the aspects that get a consumer's attention. ( I Ahmad, AS Pertiwi, YH
Kembaren,2008).
• Social media marketing: People love clicking pictures of food, so Coffee bean should utilize
this opportunity to market themselves online. Instagram and Pinterest are one of the biggest
platforms where Coffee Bean Company can thrive through social media.
• Partner or Associate with Other Brands: Brands can offer the opportunity of a more marketable
product by merely making sure that you highlight their product in your marketing campaigns.
Affiliations always give consumers more confidence to try your product offering. (I Ahmad, AS
Pertiwi, YH Kembaren,2008)
Marketing Objective
1. To increase sales by at least 15% by the end of the year.
2. Build brand awareness in social media and other platforms.
3. Launch new products or services gradually.
4. Target new customers in other parts of the world.
5. Enter new markets internationally or locally by the end of the year.
6. Improve stakeholder relations by holding meetings and events annually.
7. Enhance customer relationships by giving out gift vouchers and other giveaways.
8. Improve internal communications and technology to stay ahead of the game.
Financial Objectives[AT7]

1. Obtain financing to expand manufacturing capabilities, increase distribution, and introduce
new products into the market.
2. Grow business revenue. The results are typically measured in terms of percentage increase.
For example, Coffee bean should increase its revenue by 50 percent over the next two years.
3. Increase the return on investment. Coffee bean can use strategies such as raising its prices or
purchasing more efficient equipment to reduce production costs, seek ways to cut your expenses
and establish processes that increase efficiency within the company. Switching suppliers too can
help lower its costs and increase its profit margin. (H Peker, MP Srinivasan, JM Smith, BJ
McCoy, 1999).
4. Market share. Coffee bean can measure the meeting of their objective through the increase of
market share. This will involve creating tables that show how profitable a geographic area
market is and what proportion of that market has been secured by the company.
5. Customer complaints. Coffee Bean Company can always track the type, and magnitude
complains lodged by clients always to allow them to identify their weaknesses in the customer
delivery arena.
6. New and repeat customers. Coffee bean company can measure new customer volume in order
to be able to evaluate its various marketing strategies. Also measuring the rate of repeat
customers can help a company measure its customers delivery service and satisfaction levels.
Societal Objective
1. Production and Supply of Quality Goods and Services: Coffee Bean Company should
maintain excellent standards to retain its customer base.
2. Adoption of Fair-Trade Practices: Misleading advertisements often give a false impression
about the quality of products deceiving the consumers, and this is considered undesirable by
society. This is an unfair trade practice, and no company must create artificial scarcity of
essential goods or raise prices for the sake of earning more profits as it will eventually make you
a bad name.
3. Contribution to the General Welfare of the Society: Business units should work for the general
welfare and uplifting of society. Coffee should do more of community works through the
running of schools and college's better education opening of vocational training centers to train
the people to earn their livelihood, establishing hospitals for medical facilities and providing
recreational facilities for the general public like parks, sports complexes and other examples. (JB
Ndayambaje, A Nsabimana,2019)
Segmentation, Position and Targeted Market
[AT8]

Coffee bean company target market, according to data collected and analyzed, is mostly middle
class and high-class consumers. They, however, have snacks like apple chips and mango crisps
for kids and teenagers to snack on.
The main target audience is individuals between the age of 18 to 24 and 24 to 34 years; this is
because its group that mainly wants to try unique, quality products each and every time and they
adapt to changes at a very fast rate.
MARKETING RESEARCH OF CBTL
PRIMARY DATA
We used a questionnaire to collect the primary data, and the results were as follows:
1. Participants are not entirely loyal to Coffee bean Company and can use other products as
an alternative in case of anything.
2. Participants like eating healthy hence can choose to buy Coffee bean products as it makes
them feel good.
3. Participants are sometimes influenced by their friends and family to use certain products.
4. Participants are sometimes influenced by social media to use certain products through
advertisements and promotions.
5. The coffee bean is an emotional brand and appeals to the participants' senses and induces
strong feelings and sentiments.
6. Participants had an idea about coffee bean products ingredients and had positive
comments on the products.
The implications for coffee bean company ltd from this analysis is as follows:
The primary data above helped in developing the report in a number of ways including;
developing a more detailed description for products marketing strategies, it shows how plans
would be put into motion and make adjustments for the projects in order to create a reasonable
control for the marketing plan; creating marketing strategies and objectives including financial
and social goals. It also aided in making a good marketing mix summary and analyses the
environmental analysis of the company, among other uses.
SECONDARY RESEARCH
We got the secondary data from a couple of sources listed here; government statistics available
online, trade publications like business times and strait times and other business journals, coffee
bean company's website that had annual reports, regulatory findings and presentations about their
products and services and published market reports that contain information about a lot of
companies including coffee bean Company. (M Fischer, S Reimann, V Trovato, RJ Redgwell,
2001)
We found out significant discoveries, including:

 There is a current rise in demand for organics products.
 Middle-class consumers are now more affluent consumers who are becoming
increasingly more health-conscious.
 Once consumers get wealthier, they eat less meat and focus more on fruit and organics.
 Some of coffee bean products are out of stock.
 Coffee bean delivers its products to its consumers at the doorstep.
Secondary data implications for coffee bean Company include; the company know what the
consumers want and hence can manufacture better products to increase its fan base in Singapore
and the rest of South-east Asia and the world; the company needs to produce more products in
order to cater to its demand or risk losing consumers to rival companies; the company should
better its delivery services to its consumers ; the company should manufacture products for other
classes and age groups in order to increase its profit.
MARKETING MIX SUMMARY
Product
Coffee bean distributes and markets branded coffee products worldwide.
The products are fresh, and the company tries to sell all of it before any of it goes wrong to avoid
wasting the products.
Price
The coffee company uses a range of pricing strategies associated with adding value for money.
Their products are affordable for all classes as it uses the market prices for most of its products
and prices the goods in demand a little higher to make a profit.
Customers may be ready to pay more for a product that is unique or produced ethically and
sustainably as the products in sun moon are.
Place
Coffee bean distributes products through supermarkets, convenience stores, online and wholesale
channels, airlines, and food services.
Promotion
Coffee bean provides information for consumers through both online and offline channels such
as social media and retailers on promotion campaigns.
DETAILED STRATEGY FOR PRODUCT
IN MARKETING AND MIXING

In the marketing mix, products are the essential element as the other P's revolve around it. Coffee
bean Company products should be unique and different and satisfy the consumer to stand out in
the competitive food market. From the data results, we find out that:
 Consumers are becoming more interested in organic products.
 The target group is the middle class and the wealthy.
 Consumers prefer fresh products delivered to their doorsteps.
 Coffee bean offers not only fresh produce but also crisps and other products as well.
Strategy for Improving Marketing Activities and the Expected Outcomes[AT9]
1. Consumers are becoming more healthy-minded, and hence, the coffee bean should
produce more high quality and satisfactory consumer goods. (K Iwai, N Kishimoto, Y
Kakino, 2006).
1. Coffee bean should come up with new products to keep its consumers and make them
spoilt for choice and also keep up with the competitive market, which is producing a lot
more than coffee bean Company.
2. Coffee bean Company should improve on its delivery and packaging as those are what
consumer-first looks. This should attract especially new consumers who have had no
experience with coffee bean Company.
3. Coffee bean Company could also expand its boundaries after improving on its brand and
products. This will generate more funds for the company but will also be expensive and
risky.
4. Coffee bean Company can employ the idea of always communicating with their
customers giving them buying ideas via email, in-store displays, phones, and newsletter.
5. Coffee Bean Company can always conduct special events to educate existing customers
on any additional products offered, or that can be introduced.
CONTROL
Marketing control is the process of checking predetermined plans and making the necessary
changes to suit a particular organization or company. There are four types of marketing control:
strategic control, financial analysis control, annual plan control, and efficiency monitoring, as
shown in the diagram below. (T ISWANTO, M SHOVITRI, ALI ALTWAY, 2014).
Type of Control
Prime Responsibility
Purpose of Control
Approaches
Annual plan control

Top management
Middle management
To examine whether the results are being implemented according to plan.
Sales analysis
Market-share analysis Sales-to-expense ratios
Financial analysis
Profitability control
Marketing controller
To shows where an organization profits and loss are.
Profitability by product territory Channel order size
Efficiency control
Line and staff management
Marketing controller
To evaluate and improve the spending efficiency and impact of marketing expenditures
The effectiveness of the sales force
Advertising sales promotion distribution
Strategic control
Top management
Marketing auditor
To examine whether, concerning markets, products, and channels, the company is pursuing its
best opportunities.
Marketing effectiveness rating instrument
Marketing audit
REFLECTIVE STATEMENT /
CONCLUSION

In conclusion, coffee bean Company Ltd is a well-known company in Singapore, and it should
expand its boundaries globally. However, it has a lot of room for improvement, including
branding its name and improve its marketing strategy. It could focus on growing its brand and
get into more partnerships to improve its cash flow and become a global company.
After gathering enough data about coffee bean I have improved my marketing plan and report
by; showing how the plan will be put into action and how the performances could be measured in
order to increase revenue for the company; developing a more detailed description of the
products offered by coffee bean Company while listing the marketing strategies and the expected
outcome of the plan; described the implications of the primary and secondary data results in my
marketing strategy among others.
Below is a list of core ethical principles that are important in survey research:
 Respect for persons – Respect the autonomy, decision-making, and dignity of
participants.
 Respect for communities – Protect and respect the values and interests of the community
as a whole and protect the city from harm.
While collecting primary data, the above ethics and the highest ethical standards were upheld,
and the research plan describes the measures that were taken to protect the participants involved.
All information gathered was anonymous, and participants had the right to not complete any
particular items in the questionnaire and to withdraw at any point during the study. I stored the
data, and no one else had access to it and only used the data to aid me in writing the report.
During the data collection process, I had a little difficulty establishing rapport with participants
as some were resistant to participate in filling out the questionnaire due to personal reasons. I
was also unsure if I had to dress formally or casually in the interview to create an excellent first
impression and make the participants comfortable. I also faced challenges on how to choose
participants, how to locate possible participants, how to convince them to participate, and then
making them feel comfortable enough to fill in the questionnaire. More specific challenges
occurred when dealing with sensitive topics such as their loyalty to the brand. Participants also
had concerns about the confidentiality of the information they gave as they had to reveal
personal information in the questionnaire, but I assured them of the ethics in data collection.
Otherwise, the participants all filled out the questionnaires without leaving blanks.
Through this research, I realized I have a few areas yet to explore as the above results are mainly
from secondary research material. If the proposed suggestion/ solution is favorable to the higher
management, I will recommend a funding and project group are put together to study more in-
depth into the relevant topic. Mostly because primary research is expensive and requires an
external party to conduct and interaction with people hence training on how to interact with
people and get them to give their opinions comfortably, an online survey can also be used to
gather information online as most people spend their free time there. The polls could be paid or
not depending on the intensity of the information required. Primary research methods collect
first-hand information and are very accurate.

Alternative methods of data collection include one on one interviews with participants,
discussion surveys with a group of same-age individuals or just individuals with same
characteristics, business journals that have pages on interviews with the company employees or
articles about the company, food magazines with articles about the food company, specific
internet sites and from observation for example going to a store and taking note on how many
people buy the particular products from coffee bean Company. Next time I will try to understand
the strengths and weaknesses of the data collection methods, and that will aid me in making
better decisions on the right way or plans for the research effort.
To conclude, our research methods both secondary and primary, aided us sufficiently to draw out
a lot of useful information that could help coffee bean Company Ltd improve its business and
formulate a good marketing plan to attract more consumers and increase sales by 15% by the end
of the year as mentioned earlier. The marketing plan also could be used to improve the coffee
bean Company's reputation in the food industry and also increase its profit by a significant
margin.
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REFERENCES
All Singapore Stuff - Real Singapore News. (2018). Retrieved from STUDENT PENS
COMPLAINT AFTER COFFEE BEAN STAFF SHOOED HER FROM SEAT:
https://www.allsingaporestuff.com/article/student-pens-complaint-after-coffee-bean-staff-
shooed-her-seat
Buy Online. (2018, October 27). Retrieved from The Coffee Bean & Tea Leaf (Singapore):
https://www.coffeebean.com.sg/order-online
Comparison of Starbucks with The Coffee Bean & Tea Leaf. (2018, October 27). Retrieved from
Academia.edu:
http://www.academia.edu/8921637/Comparison_of_Starbucks_with_The_Coffee_Bean_and_Te
a_Leaf
Customer Satisfaction Index. (2011). Retrieved from SMU:
https://ise.smu.edu.sg/sites/default/files/ises/pdf/csisg2011q3_executivesummary.pdf
DANIELLE ISAAC, S. (2018). Singapore Business review FOOD & BEVERAGE; Online food
delivery and grocery goes physical. Retrieved from
https://sbr.com.sg/food-beverage/in-focus/online-food-delivery-and-grocery-goes-physical-it-
worth-it

Franchisepool. (2010). Retrieved from http://www.franchisepool.org:
http://www.franchisepool.org/wcms/Clients/139200744121221/Documents/39/Brochure-Coffee-
Bean-Tea-Leaf-brand.pdf
Giving recycling efforts a boost. (2018, April 02). Retrieved from The Straits Times:
https://www.straitstimes.com/singapore/environment/giving-recycling-efforts-a-boost
Lifting Productivity in Singapore's Retail and Food Services Sectors. ( 2018). Effectiveness of
Cash Management Technologies and Cashless Payments in the Retail and Food Services
Sectors.
MBA Skool-Study.Learn.Share. (2018, October 27). Retrieved from Rank 7 The Coffee Bean &
Tea Leaf: Top 10 Coffee Chains in the World 2015: https://www.mbaskool.com/fun-corner/top-
brand-lists/13833-top-10-coffee-chains-in-the-world-2015.html?start=3
Our-heritage. (2018, AccessedOctober 27). Retrieved from The Coffee Bean & Tea Leaf
(Singapore): https://www.coffeebean.com.sg/our-heritage
STAFF REPORTER, S. (2016). Singapore Business review - INFORMATION TECHNOLOGY;
Singapore is the world's second-best country for digital connectivity. Retrieved from
https://sbr.com.sg/information-technology/news/singapore-worlds-second-best-country-digital-
connectivity
The Coffee Bean & Tea Leaf (Singapore). (2018, Oct). Retrieved from Our Stores:
https://www.coffeebean.com.sg/stores
The Coffee Bean Competitors, Revenue and Employees - Owler Company Profile. (2018,
October 27). Retrieved from Owler: https://www.owler.com/company/coffeebean
Titbitinc. (2014). Retrieved from TITBIT Whitepaper:
http://www.titbitinc.com/wp-content/uploads/Atlanta-Airport-_-Case-Study.pdf
ZDNet. ( 2017, April 04). Retrieved from Consumers would pay more for a product if guaranteed
a better experience: https://www.zdnet.com/article/two-thirds-of-consumers-would-pay-more-
for-the-same-product-if-guaranteed-a-better-experience/
A-1
[AT1]Too many "and" in one statement.
[AT2]SWOT – first to identify the SWOT then matching internal strengths and weaknesses to
external opportunities and threat.
[AT3]PESTEL analysis – pls map the sub-para to Politic, environment, social, tech, economic
and Legal

[A4]
[AT5]What is the linkage between infra and access to coffee?
[AT6]This is to analysis the microenvironment of the Coffee Bean – not explaining the
microanalysis.
[AT7]Provide measurable financial obj
[AT8]How do you get this?? Explain why this is your targeting audience – the company seems to
target everyone…
[AT9]Will the under 4 strategies increase revenue?? What is the actual expected outcome??