Holybelly Bean Caffe: Business Plan, Marketing, and Competition

This report presents a comprehensive business plan for Holybelly Bean Caffe, a proposed coffee cafe in Wales, UK. The plan includes an overview of the business idea, detailing the cafe's offerings of coffee, cookies, and cakes, and its commitment to quality ingredients and a minimalist aesthetic. The report evaluates the external environment using a PEST analysis, considering political, economic, social, and technological factors relevant to the UK market. It also assesses the competitive landscape, identifying key competitors and outlining the cafe's competitive advantages, such as cost focus. Finally, the report defines the target market as local residents aged 15-50 with a preference for coffee and baked goods. The business plan emphasizes the importance of adapting to the changing social preferences of the UK market and leveraging technological advancements for marketing and operations. The cafe aims to establish a strong presence in the coffee industry through strategic planning and market analysis.

Starting a Business and
Fundamentals of
Marketing

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Overview of business idea...........................................................................................................1
External environment evaluation.................................................................................................2
Competition as well as competitive advantage............................................................................4
Proposed target market................................................................................................................5
CONCLUSION................................................................................................................................5
REFERENCES................................................................................................................................7

INTRODUCTION
Business plan is said to road map which provides directions to entities for planning future
as well as helps in reducing bumps in the success path. It summarises operational along with
financial business objectives and comprises detailed plan together with budget which shows
ways all the objectives will be realized (Aslam and Hasnu, 2016). To start or carry forward
activities of company, business plan is vital. It lays down all the written plan from operational,
marketing along with financial viewpoint. It involves various aspects that keep firms on track to
go forward. The report is based on new business that is Holybelly Bean Caffe which will be
opened as coffee cafe at city of Wales, UK that will offer variants of cookies, cakes and coffee
as per customers likings. The new business will make usage of Lomi coffee beans as well as will
offer stylish minimalist furnishings. The report covers overview of proposed business idea,
evaluation of external environment, competition and competitive advantage along with proposed
target market.
MAIN BODY
Overview of business idea
In modern world, people have preferences to visit a place where they meets and gossips
with their friends, read a book, pass some time and do some workings. For this, “Holybelly Bean
Caffe” is the new proposed business idea that will be a coffee cafe to be launched in Wales, UK.
It will provide various food and beverage products to the local residents of Wales and nearby
surroundings. It will be a small business that will employ around 10 people so to perform
various activities such as preparing products, marketing the business, managing customers
relationship and many more. This business will be as sole proprietorship that have vision to
support the society where offerings will be served, promoting common humanity, becoming
leader in quality, innovation and in the market along with offering guiding principles of
relationship, integrity and service. The mission of the new coffee business is to serve with pride
as well as to work with passion for delivering the promises and to serve all people better than
others. The values of the business will be based on innovation, pragmatic, integrity, honesty,
open minded and pro active.
The products that will be offered by the new business are the baked products and
beverage drinks. It will offer variants of cookies such as peppermint shortbread cookies, lemon
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cookies, butter cookies, oatmeal raisins cookies and mojito cookies, vanillekipferl cookies,
chocolate melt-away cookies, savory parmesan cookies and bergamot cookies. In context to
cake, it will offer pound cake, butter cake, genoise cake, angel food cake, chiffon cake and baked
flour-less cake. It will also offer wide variety of coffee drinks such as Caffè Americano,
Cappuccino, Flat White, Macchiato, Irish Coffee, Vienna, Affogato and long black coffee.
All the products will be prepared by using organic raw materials or ingredients by
keeping the health consciousness of customers. To serve quality of coffees and other snacks with
relaxing atmosphere will help is providing satisfaction to customers and gaining market shares
and proportion large customer base. The business will source finest fresh roasted beans, will
have high quality machines, water filtration system and will offer mixture of wide customer
favourites as well as unique creations. It will provide counter as well as table service where
customers will make orders as per their own convenience.
External environment evaluation
External environment is assemblage of diverse outside factors which impacts activities of
an institution (Welliver, 2017.). All business types acts addition to react to its external
environment so to keep continuous operational flows. It includes events, conditions, factors and
entities which influences activities and choices of company along with determines opportunities
and risks. External environment is generally evaluated through PEST analysis.
PEST Analysis
It is one of evaluation tool with the help of which organisational managers assess major
factors that resides outside business boundaries. It is generally acronym for political, economic,
social along with technology that is useful in monitoring surroundings or circumstances while
taking initiations for new business idea (Baines and Et. Al., 2017). By using this analysis, new
entities generally access and monitor markets for specific commodity or businesses at
predetermined time duration. In context to Holybelly Bean Caffe, PEST analysis will help in
formulating strategic decisions, product development as well as research, planning promotional
activities and many more. By using the analysis tool, the new business will determine the ways
in which dimensions of external environment may affect its activities and performances. The
PEST analysis for Holybelly Bean Caffe is as evaluated:
Political: The factor are concerned with the ways and extent to which political systems
intervenes in economy addition to certain industry. In other words, all influences which
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government has on organisation are classified in political factor that involves corruption,taxation
policies, government policy, trade restrictions, labour legislations, political stability and foreign
trade policies (Brannback and Carsrud, 2015). In UK, political system is generally fair and have
stability that may impact in positive manner the new business. For opening new business of
Holybelly Bean Caffe in UK, it is essential to analyse political conditions in the nation. At
present, the nation is dealing with unstable conditions because of occurrence of Brexit that has
impacted the entire territory as well as businesses in negative manner. For Holybelly Bean Caffe,
it will be tough situation for opening new coffee cafe in successful manner in the pertaining
conditions. To deal with such circumstances, the management team needs to collect detailed
information about practices and policies that are changed and are changing by government due to
Brexit occurrence and then prepare business policies and strategies for establishment.
Economic: Factors which are determinants of definite economy's performance are
economic factors. They have indirect or indirect influences on long term existence of institution
as it affects consumers purchasing power and changes demand-supply economic model. It
includes consumer disposable income, unemployment rates, inflation rates, economic growth and
changing business cycle. With the help of economic factor, new businesses examines pertaining
economic issues or problems which are bound to impact an entity. As Holybelly Bean Caffe will
be new business in UK so it is essential to analyse economic growth of UK so that development
opportunities can be properly analysed. In UK, per worker output is considered to be between
10% and 15% that is much lower than other countries (Economic condition of UK, 2019). For
taking initiations of establishing new business, it is crucial for administrators to frame policies,
strategies and plans after considering economic factors so that effective plans is prepared to
achieve success results that will result in positive outcomes.
Social: Dimensions within general environment that represents customs, values,
demographic characteristics and norms of population within which operations of company are
executed. It involves population trends like health consciousness, age distribution, safety
emphasis, lifestyle attitudes, cultural barriers and income distribution. For marketers of new
business, it is important to consider all social aspects while targetting customers. Moreover,
social factors also states about local workforce along with their willingness to execute workings
under particular conditions. To open nee coffee cafe in UK, it is significant for Holybelly Bean
Caffe to pay attention towards changing or emerging social preferences within the territory. At
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present, preferences and demand for citizens of UK are changing as they are moving towards
nutritiousness and healthy eatable commodities. As the new business will prepare and offer
products according to customer preferences that will impact positively in the business and all
social factors will be considered by managers for achieving successful establishments.
Technological: These factors pertain to technological innovation that influences
operations of company in the industry along with market in favourable or unfavourable manner.
It includes innovation level, research and development activities, technological awareness,
technological incentives and awareness about new technology (Cadotte, 2016). In UK,
technological aspects changes rapidly so it is very essential for managers of Holybelly Bean
Caffe to focus on the new trends so to enhance the demand that will result in positive impacts.
To promote or market the new business, managers can use innovative aspects in order to enhance
awareness of large sized customers about the business and its offered products. By gaining
knowledge about the aspects that are emerging in market as per technology-wise will impact
positively on the new business as it will be able to prevent huge investments on such technology
that have became obsolete or could become obsolete in limited duration because of disruptive
changes elsewhere. With this, Holybelly Bean Caffe can make suitable investment for adopting
latest technology or machines through which they can bake cookies, cake and make variants of
coffee.
Competition as well as competitive advantage
In coffee industry, various companies serves offerings in the market. In UK, diverse
number of coffee chains work to provide products like coffee and other eatables. In addition
there are other food service operators like quick service restaurant and outlets that serves various
bakery commodities and has enhanced their coffee sales rapidly that is at 63%. there are various
pubs in UK that serves to 18% of population with coffee. Coffee shops have generated around
27% traffic in the industry (Competition in UK coffee business, 2019). The UK coffee cafe
industry involves around 45500 outlets having combined annual sales around £45 billion. As
Holybelly Bean Caffe is a new business which will provide bakery products and variants of
coffee as per taste of customers will make their position in the competitive market.
Competitive advantage: It refers to the condition that all businesses wants to achieve so
to reach desired success. It is an attribute which allows companies to outperform against
competitors (Deepak and Jeyakumar, 2019). As Holybelly Bean Caffe is a newly business in
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UK, hence, it is essential for it to adopt specific framework. For this, Porter's generic Model can
be implemented which will direct the owners to adopt suitable strategic direction for the
proposed business to achieve success. The elements of the model in context to new business are
as follows:
Cost leadership: Through this strategy, Holybelly Bean Caffe will prepare the eatable
products at low cost and will establish the business in successful manner in UK. In this aspect,
the coffee cafe will be needed to exploit resources in proper manner.
Differentiation: By opting this strategy, small business like Holybelly Bean Caffe will
require to introduce unique commodities in market for grabbing wide customer attention. It will
help the new business in enhancing its market share.
Differentiation focus: Through this strategy, unique, nutritious and healthy bakery
commodities would be introduced by Holybelly Bean Caffe so to offer products within niche
market. It will provide advantage of attracting diverse customer base.
Cost focus: By opting the strategy, new proposed business like Holybelly Bean Caffe
would launch its coffee cafe in small market area by offering products at low prices. It will
provide sustainable competitive advantages to the new business.
For achieving competitive advantage, Holybelly Bean Caffe would opt cost focus
strategy as being a new business it will introduce the coffee and baked products on lower cost
within small market which will help in satisfying requirements to the customers and gaining
competitive advantage by business.
Proposed target market
To target suitable market segment is the key responsibility of marketers of new business.
In context to Holybelly Bean Caffe, the proposed targeted market are local people of Wales and
its surrounding locations that are between age of 15 years to 50 years who have preferences for
tasting variants of coffee, distinct types of cookies and flavoured cakes. In addition, the new
business will target upper and middle class clients as the prices for the offered products are
affordable.
CONCLUSION
The above report concludes that business plan is one of important tool for all businesses
as it helps in guiding decisions. It is considered as road map which provides huge clarity about
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all business aspects such as marketing, financing, operational and details of products. Effective
application of PEST analysis helps in evaluating external environment so that further activities
can be carry forward to start new business. Competitive advantages allows businesses to achieve
superior profit margins, market share and large customer base compared to competition as well
as generates value of entity in competing market.
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REFERENCES
Books and Journals:
Aslam, S. and Hasnu, S. A. F., 2016. Issues and constraints perceived by young entrepreneurs of
Pakistan. World Journal of Entrepreneurship, Management and Sustainable
Development. 12(1). pp.50-65.
Baines, P. and Et. Al., 2017. Fundamentals of marketing. Oxford University Press.
Brannback, M. and Carsrud, A., 2015. Fundamentals for becoming a successful entrepreneur:
From business idea to launch and management. FT Press.
Cadotte, E. R., 2016. Creating value in marketing and business simulations: An author’s
viewpoint. Journal of Marketing Education. 38(2). pp.119-129.
Deepak, R. K. A. and Jeyakumar, S., 2019. Marketing management. Educreation Publishing.
DeNoble, A. F. and Zoller, T. D., 2017. Is the business plan really dead and should it be?: a case
for the lean start-up approach. In The Great Debates in Entrepreneurship (pp. 21-34).
Emerald Publishing Limited.
Koester, E., 2016. Green entrepreneur handbook: the guide to building and growing a green
and clean business. CRC Press.
Matsheke, O. and Dhurup, M., 2017. Entrepreneurial-related programmes and students’
intentions to venture into new business creation: finding synergy of constructs in a
University of Technology. Science, Technology and Society. 22(2). pp.259-283.
Reason, B., Løvlie, L. and Flu, M., 2015. Service design for business. Wiley.
Welliver, M. C., 2017. Marketing Landscape, Tools, and Definitions. In Marketing Organization
Development (pp. 13-30). Productivity Press.
Online:
Economic condition of UK. 2019. [Online]. Available through:
<https://www.pwc.co.uk/services/economics-policy/insights/uk-economic-
outlook.html>
Competition in UK coffee business. 2019. [Online]. Available through:
<https://www.comunicaffe.com/new-research-reveals-intense-competition-in-the-uk-
coffee-business/>
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