Sugar Mix Dessert Bar

Sugar Mix Dessert Bar

Sugar Mix Dessert Bar is an independent owned dessert bar. It is a self-service store for people who love Chinese and Western dessert and beverage. Sugar Mix provides a comfortable and relaxing atmosphere for customers’ gathering.

1. Situation Analysis

1. Organization mission: A new style dessert bar selling a wide range of desserts to meet everyone appetite in a relaxing atmosphere.
2. Ownership and management alternatives: Sole proprietor, independent store.
3. Goods/ service category: Chinese sweet soups, patisseries, beverage.

1. SWOT Analysis

1. Strength:

• Convenient and low-rent location: Jordan (near Tsim Sha Tsui, with high pedestrian flow). The neighborhood stores are eden, Eu Yan Sang (余仁生), Chow Tai Fook (周大福), etc.
• Wide range of dessert. To satisfy different customers’ taste.
• New selling style – We will weigh the dessert for each customers and charge them by grams. Customers’ can consume the exact quantity they want.
• Affordable price at mid-range price.

1. Weaknesses:

• Risky in trying new selling style.
• Not hygienic in someone’s eye. It is because everyone takes their food on the same plate like buffet.
• Wasting food as it is prepared before ordering it (high cost).
• Do not have loyal employees, customers and supplier relationship (low bargaining power).

1. Opportunities:

• The first one to use this selling method, people feels interest in our restaurant.
• Hong Kong people love dessert and to try new things. We offer Chinese sweet soup, Western dessert, Beverage
• Many dining place nearby, create pedestrian flow like Cherry Garden Restaurant (桃園餐廳), Tack Hsin Restaurant (德興火鍋), ShangHai Yat Ping Heung Restaurant (上海一品香菜館) and Wishing Kitchen (許願樹).

1. Threats:

• Many competitors in dessert industry like Cong Sao Dessert (聰嫂), Awfully Chocolate, Sweet Tooth, Tong Pak Fu, Cova Ristorante & Caffe, etc.
• Many uncertainties in the successfulness. For example, the ability to maintain customers’ loyalty and the accessibility of our store location in customers’ eye.

1. Objectives

1. Sales: Achieve sales volume of $ 230,000 per month
2. Profit: achieve net profit of $ 40,000 per month
3. Positioning:

• Provide high quality of food with flexible selling style
• Pleasant store atmosphere

1. Satisfaction of publics:

• Build a good relationship with all customers, suppliers and employees

1. Identification of Consumers

1. Choice of target market approach

• Mass marketing: we are a mass-market restaurant. Offering wide-range of Chinese and western dessert and beverage and satisfy all people needs.

1. Overall strategy

1. Controllable variables

• Goods/service strategy:

1. Chinese sweet soup: black sesame paste, sago, mung bean soup and steamed egg soup.
2. Western dessert: lemon tart, cheesecake, macaroon and assortment of pastries.
3. Beverage: fruit juices, milk shake and smoothies.

• Location strategy:

1. Relatively low rent: $90 per feet (size of our store: 1000 ft.).
2. With high pedestrian flow: near Tsim Sha Tsui, many dining place nearby.
3. Has good visibility from the road: near MTR station, bus stations.

• Pricing strategy:

1. Chinese sweet soup- $15/250g.
2. Western dessert- $15/200g.
3. Beverage- $15/150g.

• Promotion strategy:

1. Encouraging sharing on the social network platform: to check-in at our store or upload the photos of our dessert on their Facebook can receive a $5 coupon.
2. Giving discount for first month opening at 15% off: To attract pioneer customers and referral.

1. Uncontrollable variables

• Consumer environment: Uncertainty of the acceptance of new selling style about the desserts by the target market.
• Competitive environment: Competitors may imitate our new selling style and affect our sales.
• Legal environment: Follow all Hong Kong regulations like Restaurant Licence, Bakery Licence, Frozen Confection Factory Licence, Food Factory Licence, etc.
• Economic environment: Dessert is not a compulsory food. People will cut the expenditure on dessert when Hong Kong is experiencing recession.
• Technological environment: Implement self-check-out service. Customers can weight their dessert by themselves and pay by octopus card.

1. Specific Activities

• Daily and short-term operations:

1. Launch some promotions at the initial period to tackle our competitors.
2. Evaluate our performance every day. Correct it or appreciate our staffs according to their behavior.

• Responses to environment:

1. Understand the latest trend of Hong Kong and react promptly. E.g., People are more aware of the healthiness issue and we can put our promotion efforts in fruit juices and dessert with less sugar.
2. Monitor the competitor’s action and defend ourselves.