• The Journal of the Convergence on Culture Technology
• /
• v.6 no.3
• /
• pp.275-282
• /
• 2020

Social interest on high-quality specialty coffee is increased due to customers' growing experience upon coffee and recent change of coffee culture, which is taking one step further from putting emphasis on not just price and quality but also psychological satisfaction. As a culture of drinking coffee and giving much value on its taste and flavor, a number of customers increasingly demand coffee which is probable to suit one's taste. Likewise, the number of specialty coffee shops is increasing with growing qualities of their coffee. Therefore, the purpose of this study is to analyze the main attributes of specialty coffee and to build a marketing system for specialty coffee shops. The text mining on domestic web portal sites by online big-data analysis is used to extract components of properties of specialty coffee and analyze the degree of how the elements affect the properties. According to the result of the study, words related to coffee taste, coffee beans and baristas were found to play a central role in the properties of specialty coffee.

• Journal of Distribution Science
• /
• v.15 no.6
• /
• pp.47-56
• /
• 2017

Purpose - The purpose of this study is to examine the viability of imitation strategy. Imitation strategy is one of the strategic options that a late mover can choose, and by selecting the strategy, the company imitates key elements of the business model of first movers, and modifies them to suit its conditions. The author attempted to explain how the elements of first mover's business models were creatively adapted to suit the conditions of late movers so that they can secure market position face-to-face market leaders. Research design, data, and methodology - For the purpose of the study, Korean coffee franchise industry was selected to compare the strategies of first and late movers and to discuss imitation strategy in detail. The author conducted in-depth case study of first mover and business model innovator Starbucks and Ediya Coffee, one of their imitators. The paper examines how Ediya has imitated and modified the business model of Starbucks to secure its unique competitive position in domestic market by using value chain and generic strategy analysis. Results - Starbucks and Ediya were compared in terms of their interior design, the price level of beverages, the variety of side dishes, and shop locations. Starbucks have invested interior design heavily to shops, offered diverse beverages and side dishes with relatively high price, the shops are located in central areas, whereas Ediya has concentrated on achieving cost leadership in all value activities as maintaining the quality of key products. Ediya succeeded in achieving best-provider strategy, in which it enjoys both cost leadership and differentiation advantages, largely by the strategic alliance with the biggest coffee manufacturer, Dongsuh Foods in Korea. Conclusions - Though Ediya is the imitator of Starbucks, it has modified Starbucks business models and succeeded in providing the 'third place' experience for budget-minded customers. Ediya has also succeeded in benefiting its franchisees by lowering costs and simplifying the various tasks of coffee shop management. Due to these factors, Ediya could become one of the largest number shops as the coffee franchise in Korea.

• Asia Marketing Journal
• /
• v.14 no.3
• /
• pp.185-197
• /
• 2012

Caffe Bene, one of the most notable coffeehouse chain brands in Republic of Korea, gives us some thought-provoking issues in terms of sustainable success. Despite harsh competition among various coffeehouse brands, Caffe Bene has been accomplished astonishing outcomes in domestic market and now ranked 2^nd place in sales among the global coffeehouse franchise in 2010 and 2011. These achievements were possible mainly because Caffe Bene adopted distinctive shop design, maintained aggressive marketing strategy, developed new menu, and combined the unique Korean culture with ordinary concept of café to make its place attractive. However, since Korean coffeehouse market is getting saturated and consumers are becoming savvy about coffee, Caffe Bene needs to find a new solution to overcome growth stagnation. Besides, many experts pointed out that irrational increase in the number of stores might hurt its business in the aspect of managing distribution channel and providing consistent services. Also, customers of Caffe Bene have shown that it has to complement its critical weaknesses: inferior coffee taste and relatively high price for a cup of coffee. Especially, some people view that the company is shifting its high rental fee, interior cost and PPL marketing cost to consumers by charging high price for coffee. To get over the problems, Caffe Bene is currently using C/S Consumer Management System though experts are questioning about the efficacy because of the conflict between purpose of the system and the headquarters' plan. Present CEO Kim also announced that the company will complete its logistics system in the latter half of 2012 to provide stores with more high quality coffee beans to improve taste of coffee. Thus, in this case, we describe how Caffe Bene succeeded in Korean market and enumerate its key success factors. Also, we specify the long-term goals of Caffe Bene and introduce the current policies and strategies to show how the company is working on to achieve its ultimate goal. By reading and analyzing this business case, students could get useful insights regarding franchise management and think about issues on competing in a saturated market. Also, it would be worthwhile to generate creative solutions for the problems that Caffe Bene is now facing to broaden the practical perspective.

• Journal of the East Asian Society of Dietary Life
• /
• v.25 no.5
• /
• pp.911-921
• /
• 2015

This study aimed to examine the choice motives for organic coffee and investigate how these motives influence consumer attitudes and purchase intentions regarding organic coffee. A survey was administered to people visiting organic coffee shops in Seoul. Analyses of frequency, descriptive statistics, factor and reliability, ANOVA, correlation, and regression were conducted using SPSS 20.0. Six factors were demonstrated as motives for choosing organic coffee: health, price, reliability, familiarity, sensory appeal, and environment friendliness. Among six factors, "reliability" and "environment friendliness" were positively associated with consumer attitudes, which had a significant impact on purchase intentions. This study is one of the first to examine the relationship between consumer attitudes and purchase intentions focusing on organic coffee. Although the organic coffee market has high potential, its theoretical background has been under developed. By revealing choice motives for organic coffee, this study could provide basic information on how to satisfy consumer needs and promote purchasing. In addition, by understanding needs of diverse and specific coffee consumer groups, effective marketing strategies can be developed with a focus on organic coffee. Especially, environment-friendly and reliable organic coffee can satisfy consumers, maximize profits, and improve brand value.

• Culinary science and hospitality research
• /
• v.22 no.5
• /
• pp.37-51
• /
• 2016

The purposes of this study were (1) to investigate the important selection attributes of coffee brands and the relative positions of major coffee brands on the positioning map through similarities and preferences of coffee brands that customers perceive and (2) to provide Korean coffee brands with strategic information about how to differentiate themselves from existing competitors in the Chinese market. A total of 268 samples were used for data analysis that comprised frequency analysis, descriptive statistics, ALSCAL, and regression analysis. The results showed that among 8 coffee brand selection attributes the most important was atmosphere, followed by cleanness and sanitary condition, and convenient location and transportation. Friendly service, taste of coffee, price and variety of menu were next and brand was the least important among 8 selection attributes. The results of positioning map showed that Maan Coffee was evaluated the highest iin atmosphere, cleanness and sanitary condition, and convenient location and transportation compared to other coffee brands. Marketing strategies for Korean coffee franchisers (Angel-in-us Coffee and Caffe Bene) were provided for successful repositioning in the Beijing coffee market.

• Culinary science and hospitality research
• /
• v.17 no.5
• /
• pp.30-41
• /
• 2011

This study investigates coffee consumers' perceptions of coffee shops, using the Importance-Performance Analysis and the Fishbein Attitude Model approach. A survey was carried out in coffee shops(2010, 12/6~12/20), and 175 out of 200 copies of questionnaire were returned from the coffee shops. After excluding 27 unusable cases which had an unacceptable level of missing data, 148 cases were used for analysis. The IPA showed that an attractive facade, toilet cleanliness, coffee freshness, coffee taste were included in the area of maintaining good results while coffee price was in the area of concentrating efforts, which coffee shop managers should improve. Also, the analysis using the Fishbein attitude model showed that coffee taste, an attractive facade, toilet cleanliness, and coffee freshness were in order of importance, and Starbucks, Angelinus, Caffebene, and Pascucci are in order of brand preference. Although this study has some limitations(such as self-report, common method bias), it shows significant implications to coffee shop managers.

• Korean Journal of Community Nutrition
• /
• v.17 no.4
• /
• pp.494-503
• /
• 2012

The purpose of this study was to examine the effect of sustainability management (SM) at coffee houses on customers' store image and behavioral intention. In addition, customers' willingness to pay a premium for sustainable coffee houses was studied. During October 2011, a web survey was conducted via an on-line research company with customers aged 20 to 39 visiting one of the top five coffee houses in Korea at least once a month. A total of 300 targeted customers responded and all the data were analyzed. An exploratory factor analysis derived two dimensions of SM: SM in Social and Environmental Perspective and SM in Economic Perspective. The result of structural equation modeling indicated that SM in Economic Perspective at coffee houses had a significant positive effect on customers' behavioral intention with mediating effect by store image, but SM in Social and Environmental Perspective did not have such effect. Approximately one-third (31%) of the respondents were willing to pay a premium for a sustainable coffee house in a scenario. approximately 84% of the respondents unwilling to pay a premium for the sustainable coffee house chose the cost-related reasons including "Coffee price at the coffee house that they most often visit is already expensive (62.3%)" for such unwillingness. The results of this study showed that SM of coffee houses, especially that in Economic Perspective, could contribute to store image, and therefore increase customers' favorable behavioral intention, although the additional cost resulted from such SM practices might not be easily accommodated by customers.

• Journal of the Korean Society of Food Culture
• /
• v.27 no.2
• /
• pp.95-104
• /
• 2012

The purpose of this study was to develop definite and practical marketing strategies for coffee shop managers or preliminary founders through empirical analysis of the effects of desert menu quality characteristics a mainstay of coffee shop-on store choice and revisit frequency. The results of this study are summarized as follows. The results showed that the menu quality characteristics taste, price, hygienic conditions, and health had significant effects on store choice and repurchase frequency through customer satisfaction, whereas originality was rejected due to the lack of menu originality. Both shop choice and repurchase frequency through customer satisfaction were also significant. This suggests that there is a need for the development of a diverse desert menu to increase competitiveness, creation of new customers, and regular customer management.

• Culinary science and hospitality research
• /
• v.19 no.5
• /
• pp.206-224
• /
• 2013

The purpose of this study was to examine the formation of customer's repeated use that is real long-term commitment in franchise/chain coffee shops. 457 effective samples were analyzed using PASW 18.0 and AMOS 18.0. The results of the analysis of the relationships between user experience, customer satisfaction, customer commitment and repeated use are as follows. First, it was presented that atmosphere, price fairness and coffee product quality had a positive impact on customer satisfaction. Second, customer satisfaction had a positive impact on customer commitment and repeated use. Finally, there was the mediating effect of continuous commitment between customer satisfaction and repeated use. Based on the results of the above analysis, the managerial implications for increasing repeated use of coffee shops are as follows. First, the strategy for enhancing performance of user experience is to try to improve atmosphere(facilities, ambient/lighting), price fairness, coffee product quality(taste, flavor, temperature). Second, the strategy for forming repeated use is to enhance customer commitment(affective commitment, continuous/normative commitment).

• Culinary science and hospitality research
• /
• v.21 no.6
• /
• pp.312-330
• /
• 2015

Domestic coffee franchise market in South Korea has been rapidly growing along with developing the global coffee franchises as well as entering domestic franchise companies into the beverage market. Competitions in the markets are getting more accelerated and local franchises and owner-operated coffee shops are losing their market shares gradually as a result. Local franchises and owner-operated coffee shops in Daegu, however, are notable in that they are maintaining the competitiveness in the markets. This is a unique phenomenon, which deserves to be analyzed to identify the successful attributes as a case study. Important Performance Analysis (IPA) method has been employed for analyzing and its gap(i.e., difference between importance and performance) analysis shows that the price and quantity of coffee are the most important differentiating attributes of local and owner-operated coffee franchises in Daegu.