Published by MBA Skool Team, Last Updated: March 04, 2017
Marketing Strategy of Barista analyses the brand with the marketing mix framework which covers the 4Ps (Product, Price, Place, Promotion). There are several marketing strategies like product innovation, pricing approach, promotion planning etc. These business strategies, based on Barista marketing mix, help the brand succeed in the market.
Barista marketing strategy helps the brand/company to position itself competitively in the market and achieve its business goals & objectives.
Let us start the Barista Marketing Strategy & Mix to understand its product, pricing, advertising & distribution strategies:
The product strategy and mix in Barista marketing strategy can be explained as follows:
Barista is one of the leading coffee chain outlets. Barista provides a wide range of products primarily focused towards coffee drinkers as a part of its product strategy in its marketing mix. Their products comprise of types of coffee (espresso, cappuccino, latte, affogato), cold coffee, iced teas, smoothies, indulgent coffee, lemonade, mojitos, tea (Darjeeling / Assam) and coffee add-ons. Each product is available in two types; i.e. large and regular; except for the add-ons. Barista has positioned itself as experts in espresso. All of Barista coffee products has the base made with espresso.
Image: company website
Barista Price/Pricing Strategy:
Below is the pricing strategy in Barista marketing strategy:
Barista’s pricing is dependent on the type of your consumption preferred by customers.
Regular is low priced while large is high priced. Since it started its operations Barista has lowered its price and its price is set at a standard just like its competitors by implementing the skimming policy. On comparing the prices, it is found that Barista prices its products a bit lower than its competitors like Café Coffee Day. By providing a wide range of products with attractive pricing for its customers, Barista is able to serve and cater across a variety segments of the society. Hence, this gives an overview on the pricing strategy in the marketing mix of Barista.
Barista Place & Distribution Strategy:
Following is the distribution strategy in the Barista marketing mix:
Barista provides delicious coffee only through its outlets. No home delivery service is undertaken. The primary segment of its customers is in the age bracket of 15 to 30 years. Thus, majority are students. Therefore, Barista outlets are strategically located in and around colleges, shopping malls, hospitals and in and around most happening places of metropolitans. Barista has most of its outlets at the Northern part of India followed by South India. There are fewer number of stores catering in the eastern and western India. Barista has approximately 200 outlets across India, primarily concentrated in the major cities viz Kolkata, Mumbai, Delhi and Bangalore.
Barista franchises its stores like most of its competitors do.
Barista Promotion & Advertising Strategy:
The promotional and advertising strategy in the Barista marketing strategy is as follows:
Barista is actively involved in promoting its brand. Primary customer segment of Barista is of the age group of 15 to 30 years. So, in order to cater to their requirement, Barista always upholds the quality and uses fine Arabica beans and uses Italian method of brewing. It advertises its brand as a place “where the world meets”, which attracts people who like to socialize. Its “Beanoholic” card which will be integrated with their services soon, is aimed to be a loyalty card and gift card. It will provide discounts to repeat purchases from Barista. Barista promotes itself to deliver the highest level of experiential services. It strives for excellence in providing the apt environment where coffee lovers enjoy the time spent over it.
Since this is a service marketing brand, here are the other three Ps to make it the 7Ps marketing mix of Barista.
The espresso bar industry is choked up with fierce competition; Barista understands this fact. So, in order to survive this Barista maintains a high quality of services and product offerings. This is achieved only by having a superior quality of employee base. Competent employee base helps them maintain high standard of offerings. Thus, further enhancing the commitment and maintain good relationship with their customers.
Barista stores are its biggest aspect of physical presence. The physical presence of Barista can be felt in and around places where people hang out. It serves its offerings only through its café centres. These can be found in any metro city in India, especially in shopping malls, theatres and business areas. With quality staff and state of the art café centres Barista provides its customers the best way to enjoy espresso drinks. Thus, customers tend to visit its café regularly and make multiple purchases.
From entering a Barista counter till leaving it, Barista provides an experience which customers tend to recall. This is achieved only by maintain high standards and ensuring step by step processes being met out. Barista focuses in reducing waiting time for the customers, this factor is one of the most important consideration in case of bars. Barista also focuses in reducing the error while serving to minimum cases by charting out error historical error cases to its employees, so that they are able to keep a note of it and not repeat it again. Thus, overall the processes which help Barista keep running is in place and tend to improve over the years as they gain experience of customer handling. Hence, this concludes the Barista marketing mix.
Barista is a chain of expresso bars. It started in the year 2000 and is head quartered in New Delhi. In 2007, it was taken over by Lavazza, which is an Italian manufacturer of coffee products. Barista is one of the largest retailers of expresso coffee in South Asia. Headed by Partha Duttagupta, with a market share of 5% approximately, it is growing at a very fast pace.
Barista’s major competitors are Café Coffee Day, Dunkin Donuts and Starbucks. Barista position their brand as a place “where the world meets”, which is apt in the expresso bar industry where people enjoy the coffee and socialize more over it.
This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.
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