• Title/Summary/Keyword: Coffee product quality

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New Product Marketing Strategy: The Case of Binggrae's 'a Café la'

  • Yeu, Minsun;Lee, Doo-Hee;Kim, Sang Yong;Yoo, Shijin
    • Asia Marketing Journal
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    • v.14 no.3
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    • pp.169-184
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    • 2012
  • All firms require new stimulus to spurt growth. Therefore it is necessary to successfully develop new products and to employ appropriate marketing practices for the new products to enter and settle in the market. Binggrae, a Korean company that specializes in dairy and processed dairy products, introduced a ready-to-drink (RTD) coffee product, 'a Café la' to expand its business into the coffee market in 2008. Binggrae was a latecomer in the RTD coffee market but a Café la has shown an impressive average sales growth rate of 115% as of 2011 since the launch. Moreover, it is a steady bestselling coffee brand among the Polyethylene terephthalate (PET)bottle category. Binggrae found potential and opportunity in the growing coffee market and made efforts to develop a new product that can be differentiated from the existing products. The result was PET bottle coffee, which was more portable and convenient to drink than coffee products offered in cups or cans. PET bottle coffee is produced through the patented Aseptic Filing System, thus the original coffee flavor stays fresh when combined with milk and has a longer shelf life than coffee products in cups. Moreover, as the taste of coffee consumers has become more sophisticated, Binggrae developed a premium product by differentiating the product processing method and by using higher-quality Arabica beans. After launching the new product, the company also employed a well-designed communication strategy. First, Binggrae was able to confirm the level of market demand and market potential for the product by employing BTL (Below the Line) marketing strategies through the consumers' word-of-mouth. Afterwards, the company invested its resources for a full-scale ATL (Above the Line) marketing campaign. Later a Café la's TV commercial effectively portrayed the product's characteristics, and succeeded in raising consumer awareness of the product. As a result, a Café la has become the bestselling brand in the PET bottle coffee market. The successful new product marketing strategy of Binggrae'sa Café la offers many valuable implications for companies planning to launch new products in the future.

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The Effects of Perceived Quality and Relationship Quality on Store Performance(Revisit Intention) in the Context of Coffee Specialty Shops

  • LEE, Sang Suk;LEE, Jee Eun
    • The Korean Journal of Franchise Management
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    • v.12 no.1
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    • pp.21-34
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    • 2021
  • Purpose: This study examines the structural relationship between perceived quality, relationship quality, and revisit intention in the context of coffee shop. In this model, perceived quality consists of product, service, and experience quality, and relationship quality consists of satisfaction, trust, and commitment, and performance consists of revisit intention. More specially, this study identifies whether perceived quality plays a mediating role in the relationship between perceived quality and relationship quality and the direct/indirect effects of perceive quality on intention to revisit. Research design, data and methodology: The survey was conducted from September 1 to 30, 2019. The data were collected from 320 respondents and analyzed using structural equation modeling (SEM) with AMOS program. Results: The findings are as follows. First, quality perception of coffee specialty stores had a statistically positive effect on relationship quality, indicating supports H1. Therefore, customers can know that they are aware of the quality of coffee specialty stores, including quality of service and experience as well as products, and that they form relationship quality with coffee specialty stores. Second, relationship quality between coffee shops and customers had a significant positive effect on performance. Thus, H2 was supported. The results show that if the coffee shop does not consider relationship quality as important, customer loyalty decreases, the number of customers decreases, and the number of customers who switch to another coffee shop increases, which can lead to a threat to the coffee shop. Third, in the case of hypothesis H3, it was found that there was a partial mediating effect of satisfaction and trust between quality perception and reuse intention of coffee specialty stores, so hypothesis H3 was partially supported. As commitment appears to have no mediating effect, it can be said that customers who use coffee shops are not only difficult to maintain as regular customers of a particular coffee shop, but also have ample room to move to other coffee shops. Conclusions: Although many scholars point out the importance of service quality, few studies were conducted in the context of the Korean food service industry (including coffee shops). From this perspective, this study tested several hypotheses that the quality (product, service, experience) perceived by customers can have a positive effect on relationship quality and performance (re-visit intention), either directly or indirectly. The findings of this study demonstrate that if the manager of a coffee shop understands the characteristics of quality perceived by customers and the role of relationship quality, the effect of quality perceptions on customers can be maximized in order to maintain the relationship with customers.

The Effects of Service Qualities on Customer Satisfaction and Behavioral Intention in Coffee Shops (커피전문점의 서비스품질이 고객만족과 행동의도에 미치는 영향)

  • Kim, Ho-Sik;Shim, Jae-Hyun
    • The Journal of Industrial Distribution & Business
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    • v.8 no.5
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    • pp.95-109
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    • 2017
  • Purpose - The purpose of this study is to classify the quality factors of coffee shop customers with the service quality based on the SERVQUAL, selection attributes, and service qualities used in previous studies. The path structure of coffee shops' quality factors → customer satisfaction → trust → behavioral intention was analyzed in order to confirm the system of coffee shops' quality factors. Research design, data, and methodology - The survey of was conducted with college students of Kangwon University. A total of 250 questionnaires were distributed, with 232 collected. Of them, Excluding 36 respondents' because of incomplete answers and missing values, 196 responses were used in the final analysis. Empirical analysis was made through factor analysis, correlation analysis, multiple regression analysis, simple regression analysis and mediating regression analysis by using Statistics Package SPSS 19.0. Results - The results are as follows: Firstly, coffee shops' quality factors were classified into seven categories like service encounter quality, product quality, cleanliness, overall interior, purchase quality, convenience, and aesthetics. Secondly, service encounter quality, product quality, purchase quality, and aesthetics had a positive effect on customer satisfaction, respectively. Thirdly, it showed that service encounter quality, product quality, overall interior, purchase quality, and aesthetics had a positive effect on trust, respectively. Fourthly, customer satisfaction had a positive effect on behavioral intention. Lastly, after verifying the effect relations of trust between customer satisfaction about coffee shop and behavioral intention, customer satisfaction has a positive effect on trust and trust has a positive effect on behavioral intention. On the other hand, trust did not have a mediating effect between customer satisfaction and behavioral intention. But, cleanliness, convenience, and overall interior did not have a positive effect on customer satisfaction. Conclusions - Coffee shop consumers put importance on price, discount systems, taste, and freshness, but more on courteous and kind services of coffee shop staff or comfortable and calming atmosphere of inner space. Thereby, coffee shop marketers need to take factors like service encounter quality and aesthetics into more consideration. In addition, customer satisfaction has an effect on trust, while trust on behavioral intention, even though trust is not mediated between customer satisfaction and behavior intention.

Manufacture of Sea Salt Coated with Coffee Oil and Quality Characteristics by Storage Period (커피 오일을 코팅한 천일염의 제조 및 저장 중 품질특성)

  • Kang, Chu Kyung;Shin, Tai-Sun;Jung, Bok-Mi
    • Journal of the Korean Society of Food Science and Nutrition
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    • v.43 no.9
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    • pp.1400-1406
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    • 2014
  • This study investigated the quality characteristics of sea salt coated with coffee oil (SCO). Three-year-old salt was used after drying in an oven at $105^{\circ}C$ for 2 hours. Product A was composed of 100 g of sea salt and 8 g of coffee oil, product B was 100 g of sea salt and 16 g of coffee oil, and product C was 100 g of sea salt, 8 g of coffee oil, and 0.3 g of shell powder. The moisture content, ash content, color, peroxide value, acid value, and sensory evaluation of sea salt coated with coffee oil were determined monthly during 5 months of storage at room temperature. The contents of moisture and ash of SCO were 2~3% and 81~83%, respectively, but not significantly different during the storage period. Calcium content of product C was higher than that of product A or B. Coffee flavor in all SCO products was retained for 3 months. Hunter L, a, and b color values in SCO decreased with increasing storage period. However, redness and yellowness of product B were higher than those of other products. The peroxide and acid values of products A and C were lower than those of product B during storage period. Sensory evaluation during the storage period showed that quality of product A and C was maintained for 4 months, whereas product B was preserved for 3 months.

Quality Characteristics of Instant Coffee with Probiotics and Microground Coffee (Probiotics와 미세분쇄 원두커피가 첨가된 인스턴트 커피의 품질적 특성)

  • Ko, Bong Soo;Lim, Sang Ho;Han, Sung Hee
    • Culinary science and hospitality research
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    • v.23 no.8
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    • pp.153-162
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    • 2017
  • Bacillus coagulans was added as probiotics in instant coffee with microground roasted coffee which is recently rising premium coffee and the instant coffee (ProBio coffee) was compared with 3 commercial instant coffees with microground roasted coffee in quality characteristics to understand the competitiveness of ProBio coffee. In sensory evaluation, ProBio coffee had inferior aroma intensity and overall acceptance compared with control group (brewed coffee) (p<0.05) but it had equal quality or more compared with 3 commercials. Total polyphenol content, chlorogenic acid content, DPPH free radical scavenging activity and caffeine content were $110.72{\pm}1.99mg/g$, $2,700{\pm}20mg/g$, $146.22{\pm}3.62TEAC\;mg/g$, $28.1{\pm}3.2ppm$ respectively. In general quality characteristics, water content, solubility, particle size and particle strength of ProBio coffee were similar to general instant coffee but had darker color than it. In safety assessment, acrylamide content was $502{\pm}10ppb$, and residual pesticides and ochratoxin A were not detected. Over 70% of B. coagulans were maintained in 4 months of storage and 16 months of shelf life was predicted in ProBio coffee by $Q_{10}$ model. Therefore, ProBio coffee was confirmed to have a sufficient product competiveness compared with 3 commercials.

The Effect of Bakery Customers Product and Service Quality Factors on Value Perception, Customer Satisfaction and Behavioral Intentions: Focused on Famous Bakery Customers

  • HONG, Pil-Tae
    • The Korean Journal of Franchise Management
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    • v.11 no.3
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    • pp.7-18
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    • 2020
  • Purpose: Recently, information on 'Delicious Restaurants (Mat-zip)' and 'Famous Bakeries' can be obtained through various media such as TV, Internet search, and SNS, and the culture of finding and sharing them has become a trend. Since PZB's SERVQUAL, there have been many studies measuring service quality, leading to hotels, restaurants and coffee shops. These studies of service quality include product quality in the service quality dimension. Hotels, restaurants, and coffee shops are provided with intangible services while customers visit and stay, but 'Delicious Restaurants (Mat-zip)' and 'Famous Bakeries' often stop by to buy products and return home. Therefore, the study on the effect of quality on customer behavior on 'Delicious Restaurants (Mat-zip)' should consider product quality separately. In this study, we want to study how each quality element affects the perceived value and response of customers by separating product quality and service quality. Research design, data, and methodology: This study tested the structural model of how the quality of products and services of famous bakeries affect customers' perceived value and response. As the quality factors, products, tangible services, and employee services were adopted, and perceived values adopted utilitarian and hedonic values, and customer responses adopted customer satisfaction and behavior intention. For this study, 203 survey data with experience using famous bakeries were analyzed using SPSS 22.0 and AMOS 22.0. Result: The research results are as follows. First, product quality positively influenced utilitarian value, hedonic value, and customer satisfaction, tangible service quality positively influenced utilitarian value, and employee service quality positively influenced hedonic value. Second, utilitarian value had a positive effect on behavioral intention, and hedonic value had a positive effect on customer satisfaction. Conclusions: In a famous bakery, it is basic that product quality should be given priority, and for customer satisfaction, employee service quality is half as important. In addition, for Behavior Intension (revisit by the customer), in addition to product quality, the quality of tangible services and employee services should be maintained at a quarter level.

Effects of Service Quality on Customer Satisfaction, Brand Image, and Customer Loyalty of Female University Students in a Coffee Shop (여대생들의 커피 전문점 서비스 품질 인식이 고객 만족, 브랜드 이미지, 고객 충성도에 미치는 영향)

  • Kim, Byoungsoo;Yoon, Jimi;Moon, Shin-Young
    • The Journal of the Korea Contents Association
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    • v.13 no.12
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    • pp.428-438
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    • 2013
  • In the highly competitive coffee market, each coffee shop is striving to improve customer loyalty by providing a high level of service quality. To deepen our understanding of service quality in the coffee shop market, this study identifies the key elements of service quality of coffee shops and investigates their impacts on decision-making processes of female university students. This study also investigates the effects of customer satisfaction and brand image on customer loyalty in a coffee shop market. Moreover, it considers the two critical customer loyalty: repurchasing intention and recommendation intention. Data collected from 206 female university students were empirically tested against a research model using partial least squares. Analysis results showed that service product and service delivery significantly affect customer satisfaction and brand image whereas service intangible and service environment do not significantly influence on them. Customer satisfaction and brand image play an important role on the formation of repurchasing and recommendation intention.

The Impacts of the Service Quality of Coffee Shop Adapting the CoffeeSERV on Customer's Perceived Value, Customer Satisfaction, Behavioral Intention: Focusing on Regulatory Focus Theory (CoffeeSERV측정모형을 활용한 커피전문점 서비스품질의 가치지각, 고객만족, 행동의도의 영향관계 연구: 조절초점동기의 조절효과를 중심으로)

  • KANG, Hwa-Seok
    • The Korean Journal of Franchise Management
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    • v.10 no.3
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    • pp.37-52
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    • 2019
  • Purpose - This study examined the relationship between service quality, perceived value, customer satisfaction and behavioral intention of coffee shop using CoffeeSERV scale. In this model, CoffeeSERV scale consists of fundamental characteristics, physical environment, confidence, beverage characteristics, and representation factors. In particular, this study tried to demonstrate the moderating effect of customer's regulatory focus orientation among in the relationships between service quality, perceived value, customer satisfaction and behavioral intention. Research design, data, and methodology - This study intends to expand the existing service quality research by using the coffee shop service quality measurement tool developed by domestic researchers. I wanted to find some implications for the trend. In particular, this study applied the regulatory focus theory to identify individual differences of customers regulatory focusing motivation. In order to verify several hypotheses, the data were 227 college students and analyzed with SPSS/PC 21.0 and SmartPLS 3 program. The moderating role of customer's regulatory focusing motivation was tested using multi-group analysis with SmartPLS 3 program. Results - The resutls are as follows. First, the fundamental characteristic factors only had a significant influence on the utilitarian value perception, but in the hedonic value perception, all other service factors except for the beverage characteristic had a statistically significant effect. Second, utilitarian and hedonic value had significant effects on customer satisfaction. Third, customer satisfaction had a significant effect on behavioral intention. Finally, the regulatory focus orientation played a moderating role in the relationship between beverage characteristic - utilitarian value, representation - utilitarian value, fundamental characteristic - hedonic value, physical environment - hedonic value, confidence - hedonic value, and utilitarian value - behavioral intention. Conclusions - The results of this study show that the various service quality factors that make up the CoffeeSERV scale have different effects on utilitarian and hedonic value. This means that perceived benefits from product and service experience have different impacts on the customer's experience. Therefore, marketers should identify the impacts of service quality dimension that customers who use coffee shops consider important, understand the impact process of these quality factors on experience value, customer satisfaction, and behavioral intention, and allocate limited marketing budget. The results also show that it is possible to establish differentiatied response strategies using customer's regulatory focus orientation to find ways to enhance utlitarian and hedonic value, customer satisfaction, and behavioral intention using various Coffeeshop service quality factors. At the end of this paper, some limitations and future research directions were suggested.

The Effects of Customer Satisfaction Based on User Experience on Commitment, Loyalty and Repeated Use in Franchise and Chain Coffee Shops (프랜차이즈와 체인 커피전문점의 이용경험에 따른 고객만족이 몰입, 충성도, 반복적 이용에 미치는 영향)

  • Yang, Jeong-Yeong;Kim, Tae-Hee;Kim, Mi-Ja
    • Culinary science and hospitality research
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    • v.19 no.5
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    • pp.206-224
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    • 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).

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The Effect of the Gap between College Students' Perception of the Importance of Coffee Shops and Their Satisfaction after Patronizing Coffee Shops on Their Purchasing Behavior (대전원교학생대가배점중요성적감지화타문광고가배점지후적만의도지간적차거대타문구매행위적영향(大专院校学生对咖啡店重要性的感知和他们光顾咖啡店之后的满意度之间的差距对他们购买行为的影响))

  • Lee, Won-Ok
    • 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.

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