• The Korean Journal of Franchise Management
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• v.3 no.1
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• pp.46-72
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• 2012

Currently, the service industry share in domestic industry is increasing. Especially the size and marketability of the food service industry, which satisfies with basic human desire, is growing significantly. In this food industry, the coffee industry is recognized as a different area from the traditional food industry. The age of instant coffee at low price has gone. Today, more and more customers want to drink more delicious coffee and coffee that is good to their bodies. Especially as individualism has been rambling, more and more people enjoy individualism and want their personal space. This is why coffee speciality stores have been universalized. Also, as coffee speciality stores have been generalized, their own service quality is necessary and they should satisfy and affirm their loyalty to the customers in line with the enhancement of service quality. The purpose of this research is understanding of the impact of coffee specialty shop's service quality on affective commitment and repurchase intentions. The results of an empirical study in this research are as follows: First, compassion among the execution factors of coffee specialty shop's quality has a positive effect on both of affective commitment. But typicality and reactivity don't. Second, affective commitment have a positive effect on repurchase intentions. With a base of the above research result, we should comprehend that another service quality factor exists compared to other dining-out industry and establish marketing strategies in order to contribute to enhance repurchase intentions for the customers.

• Journal of Global Scholars of Marketing Science
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• v.19 no.4
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• pp.1-10
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• 2009

The purpose of this study was to categorize the gap between coffee shop 'importance' (as perceived by customers before patronizing the coffee shop) and 'satisfaction' (perception of customers after patronizing the coffee shop) as positive or negative and to analyze the effect of these gaps on purchasing behavior. To do this, I used the gap between importance and satisfaction regarding the choice of a coffee shop as the explanatory variable and performed an empirical analysis of the direction and size of the effect of the gap on purchasing behavior (overall satisfaction, willingness-to-revisit) by applying the Ordered Probit Model (OPM). A previous study that used IPA to evaluate the effects of gaps estimated the direction and size of a quadrant but failed to analyze the effect of gaps on customers. In this study, I evaluated the effects of positive and negative gaps on customer satisfaction and willingness-to-revisit. Using OPM, I quantified the effect of positive and negative gaps on overall customer satisfaction and willingness-to-revisit. Per-head expenditure, frequency of visits, and coffee-purchasing place had the most positive effects on overall customer satisfaction. Frequency of visits, followed by per-head expenditure and then coffee-purchasing place, had the most positive impact on willingness-to-visit. Thus per-head expenditure and frequency of visits had the greatest positive effects on overall satisfaction and willingness-to-revisit. This finding implies that the higher the actual satisfaction (gap) of customers who spend KRW5,000 or more once or more per week at coffee shops is, the higher their overall satisfaction and willingness-to-revisit are. Despite the fact that economical efficiency had a significant effect on overall satisfaction and willingness-to-revisit, college and university students still use coffee shops and are willing to spend KRW5,000 because they do not only purchase coffee as a product itself, but use the coffee shop for other activities, such as working, meeting friends, or relaxing. College and university students also access the Internet in coffee shops via personal laptops, watch movies, and study; thus, coffee shops should provide their customers with the appropriate facilities and services. The fact that a positive gap for coffee shop brand had a positive effect on willingness-to-revisit implies that the higher the level of customer satisfaction, the greater the willingness-to-revisit. A negative gap for this factor, on the other hand, implies that the lower the level of customer satisfaction, the lower the willingness-to-revisit. Thus, the brand factor has a comparatively greater effect on satisfaction than the other factors evaluated in this study. Given that the domestic coffee culture is becoming more upscale and college/university students are sensitive to this trend, students are attentive to brands. In most upscale coffee shops in Korea, the outer wall is built out of glass that can be opened, the interiors are exotic with an open kitchen. These upscale coffee shops function as landmarks and match the taste of college/university students. Coffee shops in Korea have become a cultural brand. To make customers feel that coffee shops are upscale, good quality establishments and measures to provide better services in terms of brand factor should be instituted. The intensified competition among coffee shop brands in Korea as a result of the booming industry indicates that provision of additional services is needed to differentiate competitors. These customers can also use a scanner free of charge. Another strategy that can be used to boost brands could be to provide and operate a seminar room for seminars and group study. If coffee shops adopt these types of strategies, college/university students would be more likely to consider the expenses they incur worthwhile and, subsequently, they would be more likely to be satisfied with the brands of these coffee shops, with an associated increase in their willingness-to-revisit. Gender and study year had the most negative effects on overall satisfaction and willingness-to-revisit. Female students were more likely to be satisfied and be willing to return than male students, and third and fourth-year students were more likely to be satisfied and willing-to-return than first or second-year students. Students who drink coffee, read books, and use laptops alone at coffee shops are easily noticeable. High-grade students tend to visit coffee shops alone in order to use their time efficiently for self-development and to find jobs. The economical efficiency factor had the greatest effect on overall satisfaction and willingness-to-revisit in terms of a positive gap. The higher the actual satisfaction (gap) of students with the price of the coffee, the greater their overall satisfaction and willingness-to-revisit. Economical efficiency with a negative gap had a negative effect on willingness-to-revisit, which implies that a less negative gap will result in a greater willingness-to-revisit. Amid worsening market conditions, coffee shops located around colleges/universities are using strategies, such as a point or membership card, strategic alliances with credit-card companies, development of a set menu or seasonal menu, and free coffee-shot services to increase their competitive edge. Product power also had a negative effect in terms of a negative gap, which indicates that a higher negative gap will result in a lower willingness-to-revisit. Because there are many more customers that enjoy coffee in this decade, as compared to previous decades, the new generation of customers, namely college/university students, want various menu items in addition to coffee, and coffee shops should, therefore, add side menu items, such as waffles, rice cakes, cakes, sandwiches, and salads. For example, Starbucks Korea is making efforts to enhance product power by selling rice cakes flavored in strawberry, wormwood, and pumpkin, and providing coffee or cream free of charge. In summary, coffee shops should focus on increasing their economical efficiency, brand, and product power to enhance the satisfaction of college/university students. Because shops adjacent to colleges or universities enjoy a locational advantage, providing differentiated services in terms of economical efficiency, brand, and product power, is likely to increase customer satisfaction and return visits. Coffee shop brands should, therefore, be innovative and embrace change to meet their customers' desires. Because this study only targeted college/university students in Seoul, comparative studies targeting diverse regions and age groups are required to generalize the findings and recommendations of this study.

• Journal of Distribution Science
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• v.9 no.4
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• pp.5-13
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• 2011

This study provides analysis of the effectiveness of domestic marketing strategies of the Korean coffee shop "Caffe Bene". It bases its evaluation on statistical outputs of 'choice attributes,' "market segmentation," demographic characteristics," and "satisfaction differences." The results are summarized in four points. First, five choice attributes were extracted from factor analysis: price, atmosphere, comfort, taste, and location; these are related to coffee shop selection behavior. Based on these five factors, cluster analysis was conducted, with statistical results classifying customers into three major groups: atmosphere oriented; comfort oriented; and taste oriented. Second, discriminant analysis tested cluster analysis and showed two discriminant functions: location and atmosphere. Third, cross-tabulation analysis based on demographic characteristics showed distinctive demographic characteristics within the three groups. Atmosphere oriented group, early-20s, as women of all ages was found to be 'walking down the street 'and 'through acquaintances' in many cases, as the cognitive path, and mostly found the store through 'outdoor advertising', and 'introduction'. Comfort oriented group was mainly women who are students in their early twenties or professionals, and appeared as a group to be very loyal because of high recommendation to other customers compared to other groups. Taste oriented group, unlike the other group, was mainly late-20s' college graduates, and was confirmed, as low loyalty, with lower recommendation activity. Fourth, to analyze satisfaction differences, one-way ANOVA was conducted. It shows that groups which show high satisfaction in the five main factors also show high menu satisfaction and high overall satisfaction. This results show that segmented marketing strategies are necessary because customers are considering price, atmosphere, comfort, taste, location when they choose coffee shop and demographics show different attributes based on segmented groups. For example, atmosphere oriented group is satisfied with shop interior and comfort while dissatisfied with price because most of the customers in this group are early 20s and do not have great financial capability. Thus, price discounting marketing strategies based on individual situations through CRM system is critical. Comfort oriented group shows high satisfaction level about location and shop comfort. Also, in this group, there are many early 20s female customers, students, and self-employed people. This group customers show high word of mouth tendency, hence providing positive brand image to the customers would be important. In case of taste oriented group, while the scores of taste and location are high, word of mouth score is low. This group is mainly composed of educated and professional many late 20s customers, therefore, menu differentiation, increasing quality of coffee taste and price discrimination is critical to increase customers' satisfaction. However, it is hard to generalize the results of study to other coffee shop brand, because this study have researched only one domestic coffee shop, Caffe Bene. Thus if future study expand the scope of locations, brands, and occupations, the results of the study would provide more generalizable results. Finally, research of customer satisfactions of menu, trust, loyalty, and switching cost would be critical in the future study.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.16 no.5
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• pp.91-107
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• 2021

As competition in the domestic franchise industry is more heated than ever, we examined the factors that affect the profitability of the coffee franchise industry, which has grown rapidly over the last decade, and explored what effect preparatory startup education has on the profitability of coffee franchise stores. Specifically, this study looked into whether preparatory startup education can increase store competitiveness, provide insight into store location selection, generate innovative management, and ultimately contribute to store profitability. To test these hypotheses, we employed structural equation modeling. Results showed that preparatory startup education has a significantly positive (+)effect on 1)business characteristics: taste, quality, price affordability, menu diversity, store ambiance, 2)location characteristics: suitability, and 3)innovation management: accessibility, delivery service, and SNS marketing. The factors with a significantly positive (+)effect on store profitability were taste, quality, and price affordability with regard to business characteristics, suitability in terms of location characteristics, and SNS marketing in respect to innovation management. We expect that this study will have practical implications for increasing the profitability of coffee franchise stores, which are facing excessive competition, and its findings will be useful for coffee franchise head offices as well as government when making relevant policy decisions. In addition, it is intended to deliver a message to franchise head offices, central government, and local governments that they should provide institutional support to coffee franchise stores such that delivery services can lead to substantial improvement in profitability, even when delivery costs are considered.

• Culinary science and hospitality research
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• v.22 no.3
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• pp.44-54
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• 2016

This study examined the factors that affect the relationship between low price coffee shops service quality and brand image, and rrevisit intention. A total of 225 questionnaires were distributed to consumers, of which 210 were deemed suitable for analysis after the removal of 15 unusable responses. In order to perform statistical analyses required in the study, the SPSS 18.0 Statistical Program was used for frequency analysis, factor analysis, and reliability analysis, correlations, and regression analysis. The results of exploratory factor analysis showed that four factors regarding service quality were extracted from all measurements with a KMO of 0.864 and a total cumulative variance of 73.235%, With regard to brand image, one factor was extracted with a total cumulative variance of 66.497% and a KMO score of 0.885. One factor for revisit intention was extracted that accounted for a total cumulative variance of 60.192% and a KMO score of 0.845. All factors were significant to 0.000 and the correlation between variables was significant. Thus, based on the results, the main research hypothesis that identifies the relationship among service quality, brand image and revisit intention was partially adopted.

• Journal of the East Asian Society of Dietary Life
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• v.9 no.4
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• pp.501-513
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• 1999

In order to investigate consumption pattern and image of beverage, this study was performed by using questionnaire based on stratified random sampling about 200 students from September 6, 1999 to September 18, 1999. The result was as followings: 1. For the reasons of each beverage consumption, coke, soda pop and sport drinks were for quenching thirst. And coffee and juices were for dessert and milk.yoghurts, dietary beverages, green tea and ginseng tea were for health. 2. For the priority in selecting each beverage, trademark was dominant factor for choosing coke. And the dominant factor of choosing milk.yoghurts and ginseng tea was nutrition and in case of other beverages taste was the first factor. 3. For the place of taking beverages, coffee, coke and sport drinks were mainly consumed in school and milk.yoghurt and juices in home. 4. The college students loved or liked milk.yoghurt and juices, and they liked or enjoyed coke, soda pop, sport drinks and green tea moderately, and enjoyed ginseng tea and black tea moderately or disliked them. 5. For the frequency of each beverage, many of them consumed coffee and milk.yoghurt once or twice a day. and consumed coke. soda pop. sport drinks and juices once or twice a week. And they answered that they did not consume dietary beverages, green tea, ginseng tea and black tea so often. 6. There was significant correlation with frequency of drinking and preference score of beverage. 7. For the consumption of the Korean traditional beverages, more than 50% of the subjects had no experience in taking sangwha tea, omiza tea, and Kugiza tea. Among them, many answered that they would try the Korean traditional beverages, if they had an opportunity, and that their price was moderate. 8. The results from the analysis of the image of those beverages were as followings; \circled1 Coffee, coke, sport drinks and dietary beverages had a modern image and green tea, ginseng tea and black tea had a traditional image. \circled2 Coke, sport drinks and ginseng tea had a manly image and juices, dietary beverages, green tea and black tea had a womanlike image. \circled3 The students recognized coffee, coke, milkㆍyoghurt, sport drinks, juices, dietary beverages and green tea to be daily and catholic. \circled4 Milkㆍyoghurt, juices, dietary beverages, green tea, ginseng tea and black tea were recognized to be good for health and coffee and coke bad for health. \circled5 Coffee, coke, soda pop, sport drinks, juices and green tea were slightly concerned with a change. \circled6 Coke, soda pop and sport drinks had a dynamic image and coffee, juices. green tea, ginseng tea and black tea had a little static image.

• Journal of the Korean Society of Food Science and Nutrition
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• v.42 no.9
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• pp.1499-1512
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• 2013

The purpose of this study was to compare the coffee shop visits of Koreans and Mongolians, and to determine the quality attributes that should be managed by Importance-Performance Analysis (IPA). The survey was conducted in Seoul and the Gyeonggi Province of Korea, and at Ulaanbaatar in Mongolia from April to May 2012. The questionnaire was distributed to 380 Koreans and 380 Mongolians, with 253 and 250 responses from the Koreans and Mongolians, respectively, used for statistical analyses. From the results, Koreans visited coffee shops more frequently than Mongolians, with both groups mainly visiting a coffee shop with friends. Koreans also spent more time in a coffee shop than Mongolians. In addition, they generally used a coffee shop, regardless of time. In terms of coffee preference, Koreans preferred Americano and Mongolians preferred Espresso. The most frequently stated purpose of Koreans for visiting a coffee shop was to rest, while Mongolians typically visited to drink coffee. The general price range respondents spent on coffee was less than 4~8 thousand won for the Koreans and 2~4 thousand won for the Mongolians. Both Koreans and Mongolians obtained information about coffee shops from recommendations. According to the IPA results of 20 quality attributes of coffee shops, the selection attributes with high importance but low satisfaction were quality, price, and kindness for Koreans, but none of the attributes was found for Mongolians.

• Journal of the Korean Wood Science and Technology
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• v.46 no.1
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• pp.48-59
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• 2018

This study was conducted to suggest the effective management and recycling processes of coffee waste, which can be easily obtained from coffee shops and coffee-related products industries. Prior to the fabrication of pellets, the potential of coffee waste as a raw material of pellet was investigated through the examination of its chemical compositions and fuel characteristics. Major gradient included in coffee waste was holocellulose, followed by fat/oil and protein. Coffee waste contained a small quantity of ash (0.7%), such as calcium, sodium, potassium and magnesium. Interestingly, coffee waste was easily dried probably due to its porous structure. Pellets fabricated with coffee waste and larch sawdust showed good fuel characteristics, such as moisture content, ash content, density and durability. The pellets exceed greatly the minimum requirements of $1^{st}$-grade wood pellet standard designated by National Institute of Forest Science (NIFOS). Particularly, the high calorific value of coffee waste showed the potential as a raw material of pellet. However, owing to high nitrogen and sulfur contents, coffee waste is like to be used as a raw material of wood pellet for combined heat and power plants equipped with a reduction system of $NO_x$ and $SO_x$ gases. On the other hand, 91 wt% larch sawdust and 9 wt% coffee waste are required to fabricate the $1^{st}$-grade wood pellets designated by NIFOS. Pellets fabricated with the conditions are estimated to have nitrogen content of 0.298% and sulfur content of 0.03%. Lastly, if amounts of coffee waste and sawdust in the production of wood pellets are adequately adjusted according to its purchasing price, the manufacturing cost of pellet can effectively be reduced. In addition, it is expected tp prepare the effective recycling process of waste and to relieve the environmental burden with the reduction of waste from the commercialization of coffee waste/larch pellets.

• The Journal of the Korea Contents Association
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• v.15 no.2
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• pp.433-443
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• 2015

This study aims to analyze key antecedents of customer loyalty based on dedication-based and constraint-based mechanisms. Our framework provides a theoretical lens of how two distinctive mechanisms influence customer loyalty in a coffee chain context. In this regard, this study examines the effects of customer satisfaction and switching costs on customer loyalty in a coffee shop market. In order to test the proposed model, data collected from 263 university students were empirically tested by using partial least squares regression. The analysis results reveal that customer loyalty is jointly influenced by both a dedication-based and a constraint-based mechanisms. Coffee quality service quality, price and value, and service atmosphere significantly affect user satisfaction. Habit and brand image were found to be the key factors of forming perceived switching costs.

• Journal of Industrial Convergence
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• v.16 no.1
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• pp.27-33
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• 2018

Today, each company focuses on maximizing customer satisfaction by providing the best service. This study examined the effect of coffee shop on customer satisfaction. In addition, we examined the effect of customer satisfaction on revisit intention and word of mouth. The results of this study are as follows: First, in order to investigate the satisfaction of customers using coffee specialty shops, data were gathered through questionnaires and 142 customers were analyzed using statistical analysis, It is important to have a positive image of the company and to influence the decision to repurchase, and should not overlook the role of generating new customers through word of mouth. Second, customers tend to be price-oriented, practical and reasonable. To meet these customers' needs, it is important to attract a large number of products at the same time to attract customers.