Marketing Plan: Papparich Cafe's Dubai Market Entry Strategy

This report details an international marketing plan for Papparich, a Malaysian cafe, aiming to expand into Dubai. It begins with an evaluation of the Dubai market, highlighting its growth in the coffee and food sectors. The report then explores suitable market entry methods, recommending joint ventures and franchises. It justifies these choices based on their potential to increase sales and brand presence. The marketing strategy section outlines generic strategies, including cost leadership and differentiation, and suggests a focus on segmentation by geographic region, demographics, and psychographics. The marketing mix is then discussed, covering product offerings, premium pricing strategies, distribution channels, and promotional activities, with a focus on social media. The report emphasizes the importance of adapting strategies to the Dubai market to achieve competitive advantage and enhance brand value. The report is a detailed marketing plan that provides a clear roadmap for Papparich's expansion into the Dubai market.

Marketing Plan

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Contents
Introduction.................................................................................................................................................2
Evaluation of target market.........................................................................................................................2
Suitability of market entry...........................................................................................................................4
Recommendation of Market strategy...........................................................................................................5
Generic Strategy......................................................................................................................................5
Marketing Strategy..................................................................................................................................6
Market Mix..................................................................................................................................................8
Conclusion.................................................................................................................................................10
References.................................................................................................................................................11

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Introduction
Marketing Plan is a report that summaries the marketing strategy of the company for the up-
coming year that should be implemented to achieve the objective. Marketing plan contains
analysis, market entry methods, market strategy, recommendations and the others. It is required
to evaluate the market environment before implementing the effective strategies in order to attain
objective (Meyer and Peng, 2016). In this report, the discussion is made on the topic
international marketing plan. Papparich is Malaysian café that has been taken into consideration
as it operates the business in Malaysian market and wanted to expand the business in Dubai.
Papparich is a traditional coffee and food shop in Malaysia gives the taste of Malaysian culture
and cuisine to customer (Papparich, 2019).
In the beginning of this paper, evaluation will be done on target market. After that, the selection
of market entry will be discussed which is good for the company. There are also some marketing
strategies that will be used to achieve the objective. At the end, marketing mix will be
recommended.
Evaluation of target market
Papparich is a Malaysian coffee and food shop which is expanded in Dubai market. Coffee shop
industry has been continuously growing in the market. The sales of coffee powder have been
increases and grow with the 8.4% from the year 2011 to 2016. The increasing sales reach at
around AED2.25billion. In Dubai, the consumption rate of per person of coffee is 3kg a year
(Statista, 2019b). It states that the Papparich can operate the business in Dubai market.

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(Source: Statista, 2019b)
It has been seen that strength of the market is its sales which is increasing on the continuous
basis. The consumption of per person in Dubai has been increases due to which the company
attains the high success in the business. The main objective of Papparich is to enhance the
volume of sales of Coffee and it also wants to become the market leader in the market.

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(Source: Statista, 2019a)
Apart from coffee, the food market of Dubai is also growing in the market. Food and beverage
sector of Dubai market is high in the year 2018 such as it is 13.2 which is increasing from the
previous year.
Suitability of market entry
The Café has to set the market entry in order to achieve the success in Dubai market. Market
entry is essential for the company to think and implement as it assist to enlarge the business at
the global level.
Market entry method
There are various ways in which the Cafe can enter the Dubai market such as Joint Venture,
Partnership, franchise and sole proprietorship. It has been seen that the company achieve the high
success by implementing the joint venture and franchise strategy in order to attain the objective
in the Dubai market. The joint venture and franchises are the best way of market entry method
for Papparich as it helps to increase the volume of sales (Tech target, 2018)
It is suggested that the company has to merge with the café who have high value and also
delivers the quality of food to customers. Franchises are also one of the options to enlarge the
business in Dubai market. In franchises method, the company opens its various stores in different
locations in order to grab the market and large number of customers towards its facilities
(Franchises, 2018).
Justification

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The company has to implement the joint venture as an entry method as it helps to achieve the
competitive advantage in the market. The option of franchises helps to provide the services to
wide range of areas and covers the entire youngsters of Dubai.
It has been seen that the objective of both the entry methods is to provide grasp the market share
or enhance the volume of sales. The main strength of Joint Venture is the capital. In the case of
Joint venture, both the companies invest in establishing the business in the market. Papparich can
also uses its brand image while entering the market and distribution its coffee’s services. It is
beneficial to serve the services to the customers of Joint Venture Company in the market. The
main strength of franchises is to deliver the services to more customers by increasing its
availability in Dubai market (Glowik, 2016).
Recommendation of Market strategy
Generic Strategy
As the company wants to enlarge the business at the worldwide level due to which it requires to
implement the marketing strategy to achieve the objective. Generic strategies were founded by
porters for the competitive market. There are three strategies of porters generic such as cost
leadership, focus and differentiation strategy (Mind Tools, 2018)
Cost leadership strategy: The firm has to adopt the cost leadership strategy while expanding the
business in Dubai market. The company has to adopt the premium price strategy in order to
become the cost leader in the market. Premium price strategy assists to attract the consumers to
attain the advantage. The company has to adopt the premium price strategy in which it has to
provide the coffee services with the high cost. Premium price strategy enhances the brand value

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and also makes the services attractive to gain the competitive advantage in the market (Zapf, and
Zoephel, 2018)
Differentiation strategy: Differentiation strategy defines that the Cafe has to provide the new
flavors in the coffee and also has to add some new taste and dishes to attract the customers. New
flavors of coffee and wide varieties of food help to attract the consumers and also encourage
them to taste it. The Café has to implement this strategy to gain the competitive advantage in
competitive world. The coffee flavors should be different from the other coffee shops. It is also
recommended that the shop has to add some new snacks with the new flavors of coffee and it can
also offers the starters for evening. These services help the company to differentiate their product
from the others.
Focus strategy: According to focus strategy, the firm has to focus on different activities. It is the
mixture of two strategies such as differentiation and cost leadership strategies. The company has
to focus on serving the services and addressing the guest in order to develop the trust and loyalty
of guest towards the shop.
Marketing Strategy
Segmentation Type
Segmentation Criteria
Target Customer Segment
Geographic Region Papparich offers the services to
those cities in which there are large
number of teenagers in the Dubai

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market such as Abu Dhabi, Kalba,
and Sharjah (World Coffee World,
2019).
Density It has to target the urban areas
Age There is no specific age of guest
But the Shop can target the
customers above the age of 18
Demographic Gender Woman, Man, and others
Occupation Not compulsory in food services but
teenagers and professional are
invited.
Life Cycle Stage Lifespan
Loyalty High brand loyalty image as it
delivers the services with high
garnishing and tasty food
Behavioural Behavior The customers who live far away
from their homes, visitors and the
professionals.
Psychographic
Social class, and
lifestyle
Middle and upper class are the
main targets guests of the Shop
(Zenger, 2018).

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It has been seen that the firm has to implement the strategy while expanding the business in
Dubai market. It is recommended that the company has to develop a plan and follow the generic
strategies. The market plan will be developed to gain the advantage in order to summarize the
activities that can be followed in the coming future. Generic strategies assist the firm to gain the
competitive advantage in the market of Dubai. The company has to implements the strategies
otherwise it face the challenges in the coming future during the expansion of business in new
market.
Market Mix
Marketing mix is main strategic framework which contains the outline that represents that the
company works and path that have been follow in the coming future. The marketing mix
contains the four elements which is necessary for the company to set with the motive to gain the
advantage in the competitive market (Lake, 2019). The company has to implement the marketing
mix framework for design the strategies in order to attain the objective in the market.
Product
Papparich offers the services to customers. The company offers the coffee and food services to
consumers which is the main service. It is required for the shop to differentiate the coffee
services as compare to the others. It has to add the new flavors and taste in coffee and new dishes
that helps to attract the more or more customers towards the organization. These new flavors
attract the consumers to taste new coffee flavors and new ingredients for food helps to grab the
market share of market. Coffee is the core service of the café in drinking due to which it has to
main focus on it and provides the excellent services to customers. The Shop also has to offers

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biscuits or cookies with the coffee as a complimentary to make the good experience for the
guest.
Price
Price defines the amount of price in which the company sells its services to guest. It is
recommended that the company has to set the premium price strategy as it helps to grasp the
share in the market. Premium price strategy states that the shop provides the services to upper
and middle class. Premium price strategy essential for the company as it helps to enhance the
brand value in the Dubai market as it can earn the high revenue. Premium strategy sets the
consumers mind that the Shop provides the quality of services with the other facilities that is
why; the more or more upper class or middle class attracted towards it to gain the competitive
advantage in the market. Premium price strategy assists the company to become the leader in
terms of setting pricing which is essential according to cost leadership strategy of porter’s
generic strategies (Išoraitė, 2016).
Place
Place defines the distribution strategy of the company. The Shop has to deliver the services in
different locations by using the distribution strategy. It has been seen that the company has to
implements the wholesalers to retailer channels for distributing the services in the market. The
Café has to enter the market as a joint venture or franchises due to which it can easily distribute
the services from one place to another and also able to supply the goods to grab the customers.
Franchises should be established by the company in different locations that helps to supplies the
services in large area. It has to implement the restaurant website-online bookings, third party site
(agents), telephone bookings; email, social media, search and chat are the distribution channels

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that the restaurants has to implement in order to grasp the market share in the Dubai market. The
distribution channel supports the firm to deliver the coffee and food services in various locations
of Dubai. The more or more consumers attracted towards it due to which it can grab the market
share (Lake, 2019).
Promotion
Promotion defines the spreading the awareness in the market related to the product. It is observed
that there various small or big coffee shops and restaurants in the market due to which it can face
the challenges related to competitiveness (UAE, 2019). It is suggested that the company has to
uses the different communication channels to advertise the activities in the market. There are
several integrated communication channels such as social media, traditional channels, television
and the others in order to promote the services in the market. These communication channels
help to spread the awareness among the customers to spread the awareness about the services of
the company in the market. The best communication channel for the company is the social media
as nowadays people uses the social media for their entertainment. If the social media has been
used to promote the services than with a single picture or update can promote the product which
is easy and beneficial for the shop for long time. Television advertisement shoots are also useful
for the company to promote the services in Dubai market (Tech target, 2018).
Conclusion
At the end of the paper, it is concluded that Papparich has to enter the Dubai market for
providing its coffee and food services. It has been analyzed that the consumption of coffee has
been increases in Dubai market due to which it is an opportunity for the Shop to enter it. It has to
enter the Dubai market with the help of mode of method of joint venture and franchises method.

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The Shop has to adopt the generic strategies to attain the benefit in competitive market.
Marketing mix also has been design for the Shop that states the work that the shop has to
implement to attain the advantage.