YoBu Marketing Analysis: Strategic Marketing Management BABS Level 6

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Added on  2023/06/04

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This report presents a comprehensive marketing analysis of YoBu Frozen Yogurt & Bubble Tea, a Bournemouth-based tea shop. The analysis employs DEEPLIST to assess the external environment, examining demographic, political, environmental, social, technological, legal, and economic factors influencing YoBu's operations. Internally, the report utilizes McKinsey’s 7s Framework to evaluate strategy, structure, systems, skills, staff, style, and shared values, alongside a value chain analysis identifying primary activities like inbound logistics, operations, outbound logistics, marketing and sales, and service, as well as support activities such as infrastructure, human resource management, technology development, and procurement. The analysis concludes that while YoBu faces infrastructure and financial challenges, its commitment to high-quality services and unique offerings positions it for potential growth through strategic marketing and expansion opportunities. Desklib offers a platform for students to access this and similar solved assignments.
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YoBu
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Introduction
Marketing analysis is a business plan which represents the present information of the
organisation and the market. There are many tools to analyse the environment such as
DEEPLIST, McKinsey’s 7s Framework, value chain analysis and many others. In In this
report, YoBu has been taken into consideration to analyse the external and internal
environment of the shop. YoBu Frozen Yogurt & Bubble Tea is a tea shop which is located in
Bournemouth. The shop has two stores in Bournemouth and in Basingstoke, Hampshire. It
delivers the unique food and drinks that includes bubble tea, milkshakes, bubble smoothies
and East Asian styled food or snacks. In this report, DEEPLIST will be discussed to analyse
the external environment of the shop and after that McKinsey’s 7s Framework and value
chain will be used to analyse the internal environment of the shop.
External Analysis
Demographic
YoBu offers different flavours of tea which are famous in Bournemouth town. The
ingredients that are used in bubble tea are not harmful that is why it can be easily consumed
by every age of people. The taste provided by the shop can attracts the old age people as well
as children. In order to target the families with children, YoBu can provide tea with some
sports activities for children. This will help the company in attracting the children too. YoBu
should also take care of the health of children if it is selling tea to children to consume. It also
uses the advance technology to attract the young generation people.
Political
It has been seen that government of Bournemouth restricts the shop for permission letter to
open the shop. YoBu has been able to abide by the laws of Bournemouth. YoBu has to follow
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the laws and regulation in the countries from where it buys the raw material. Brexit took
place which can affect the trade conditions but it is not a big issue for YoBu and trade
agreement of the government with the other countries will also not affect the sale of shop.
Environmental
Global warming and the other environmental issues are the issues which are faced by the
shop. The use of plastic is harmful for the shop such as plastic glass and straws. It has an
opportunity to achieve growth in the market by changing the use of straws and plastic
packaging. Food miles help to measure the pollution which is caused in delivering food. It is
beneficial for the environment as well as the consumers. It protects the food from getting
waste by the distance which is beneficial for the consumers. YoBu can get help from Food
Miles.
Social
It has been seen that the shop offers the tea with the high quality and healthy ingredients
which is beneficial for the health conscious consumers. Overweight people also consume
bubble tea because it contains less sugar. The shop is very good on social media which can
easily influence the consumers for the tea. To attract the customers the shop also uses the
loyalty cards scheme which is beneficial for the shop as the shop sold 3000 cards.
Technology
It is observed that the shop is promoting their product on social media which is highly
required. Internet has become an essential tool for every business. The shop uses the
Websites to promote the product in the market by uploading the pictures and information of
their shop. YoBu is excellent in promoting its product on social media such as Facebook.
Legal
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The shop has to ensure that the laws and regulation in the home market are followed. The
shop also has the responsibility to pay the corporation tax. The shop uses sugar as an
ingredient which is imported from foreign countries that is why the shop is also liable for
sugar tax. YoBu must ensure that all the laws related to Taxation are followed.
Economical
Bournemouth is popular for its tea shops and cafes; the consumers are consuming the bubble
tea because of its taste. The shop is offering the tea in cheap prices to attract the consumer.
Due to minimum profit, it also provides the minimum amount of wages to the staff. It is also
liable to pay the sugar tax rate because it uses the sugar in high amount as an ingredient.
Exchange rate affects the behaviour of visitor towards the tea. Thus, it can be said that YoBu
needs to revisit its economic conditions and take actions accordingly.
Internal Analysis
McKinsey’s 7s Framework
Strategy
YoBu implements marketing strategy to gain the competitive advantage such as Loyalty
Programs, advertising to promote the shop on digital and social media.
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Structure
A structure is used to define the hierarchy in an organisation. The structure of YoBu is as
follows:
General Manager- Controls the entire operation of shop from the table of customer to
public relations and marketing.
Table Room manager- The manager takes care of the customers and servers in a table
room.
Captain- This individual takes orders and assists the servers.
Host/ess- He/she greets the customer; provides the seats and menu card. He/she also
reserves the seats on the Phones.
Sommelier- This takes care of the inventory of tea and recommends the tea to
customer as per their taste.
Head waiter- He has the responsibility of teaching and supervise the serving staff.
Servers- They have the responsibility to serve the customer as per their demand.
Brusser- These individuals has the responsibility to keep the service area clean.
System
YoBu uses the system to serve the quality tea to customers such as water temperature,
Filtration systems and so on. It also uses the electronic machines to prepare the bills. It also
uses the digital media to communicate with the customers and receive feedback.
Skill
YoBu appoints the individuals who have the experience of serving the services to customer.
It also appoints the experienced individuals for preparing the tea by maintaining the quality of
tea.
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Staff
YoBu appoints the male and female employees in the shop. The number of people appointed
by the company depends on the business cycle. 12-20 are average numbers of employees
appointed by the shop. The shop provides training and hire the staff with the proper selection
process that result the customer satisfaction.
Style
The shop follows the East Asia Culture to influence the young generation customers. Senior
management plays the role of inspiring model for the lower level of employees and
managers.
Shared values
The shop delivers the quality of services to the customer. The servers discuss the quality of
the tea with the customers and improve accordingly. YoBu takes care of the value of
consumers along with its own business values.
Value chain
Primary Activities
Inbound logistic:
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YoBu has a limited budget for marketing to maintain and manage its supply chain better.
The shop ensures that it could get a continuous supply of different flavours of tea.
Operations:
The tea shop is offering the high quality of tea to customers. It operates in two physical
locations such as Dorset and the other in Basingstoke. Innovative products and
benchmark leading competitive products is sold in London pricing.
Outbound logistics:
The tea shop serves its tea to the customers through the tea shop and its licensed stores
mainly. It keeps the stocks in its warehouse and has distribution centres where they serve
the tea with the different types of flavours.
Marketing and sales
Being a small start-up business, it has limited marketing budget. All the items are made as
per the order of customer in the shop so that the quality of services maintained. Due to
high quality of services, the sale increases.
Service
Customer services are the first priority of the shop over the other things. As discussed, it
invests less in marketing but it has created the brand image by delivering the high quality
of services.
Support Activities
Infrastructure
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YoBu has less space and limited space for the large number of consumers at a time. The
brand image is strong because of its excellent leadership and management.
Human resource Management
It provides the training to the staff and the head waiter also supervises the servants. Apart
of Training and development program, it also focuses on human resource policies of the
shop that provides satisfaction to the staff.
Technology Development
Technology plays a major role in the tea shop. It uses Wifi in the shop to attract the
consumer by providing the high standard services. Electronic devices are used for the
billing purpose and the other devices are used to prepare the tea.
Procurement
Procurement management has become highly important in the 21st century. The shop is
focusing on the quality and profitability. The procurement of the tea shop received a lot of
attention. The shop has always focused on the raw material from suppliers for the quality
of material.
Conclusion
From the above analysis, it has been concluded that the shop faces the infrastructure and
financial issues but it has an opportunity to improve this situation. DEEPLIST, Mc’s 7
Framework and value chain analysis help to analyse the external factor and internal factor of
the shop. The shop has different flavours of tea which is highly appreciated by the customer.
However, the shop can expand the business in the market by providing tea to big restaurants
as a sample. It can expand the business through promoting its products in the market. From
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the above analysis, it has been evaluated that the shop will achieve high growth in the market
due to its high quality of services.
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