PROPOSED MARKETING STRATEGY TO INCREASE SALES PERFORMANCE OF COFFEE SHOP IN MAKASSAR (CASE STUDY: JC COFFEE)

• Main Author: Rehta Rorimpandey, Rosevana
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/71685
• Institution: Institut Teknologi Bandung

Coffee is more than just an energy booster and a stress-reliever for Makassar residents. Since the beginning, coffee shop has been lasting as a space for social glue and even though technology has revolutionized coffee brewing, kopi susu is still favorited. In the era of the fourth wave of coffee industry with the rising of es kopi susu beverages, the size of market in Makassar city drives the increased number of coffee shop brands both national and local brands. JC Coffee is a Micro, Small and Medium Enterprise (MSME) that in the last 8 months of operating, JC Coffee experienced a poor sales performance by only achieving in average 30 percent per month of sales expectation. The coronavirus pandemic shapes a new trend of coffee industry. It changes consumers’ lifestyle behaviors, forcing changes in business model of the coffee shop. Furthermore, as Makassar starts to recover from the pandemic in which coffee shop has been preparing for something resembling a return to normalcy, JC Coffee must be able to survive and win the competition under these conditions. This issue can be resolved by conducting a thorough analysis in JC Coffee’s SWOT through external and internal factors analysis. Firm performance is determined primarily by two factors: external and internal factors. External effects explain the underpinning economics of the sector, while internal effects link strategic decisions to firm performance. This analysis is able to evaluate and develop JC Coffee’s stance in creating a value in the future through marketing strategy that turns weak forces into opportunities and mitigates strong forces to attain the overall goals and objectives of the company. The methods used in this research were qualitative and quantitative approaches with descriptive analysis method. External analyses were undertaken with PESTEL Framework, The Five Forces Model, competitor, and customer analyses, whilst internal analyses used STP framework, Marketing Mix 4Ps, VRIO Framework, and Value Chain analyses to evaluate SWOT and determine the root cause. The research done resulted in the design of SWOT Matrix in conjunction with market segmentation and Marketing Mix 4Ps to generate and select marketing strategies which can target marketing efforts more precisely that can be applied by JC Coffee which is hoped to be able to improve sales performance from product line extensions, implementation of competition-based and value-added pricing, distribution expansion, sales promotion activities, loyalty program, awareness building with personal influence, social media and event marketing.