Essay on Pettigrew tea rooms

Submitted By azri707
Words: 3319
Pages: 14

A Marketing Plan for the Pettigrew Tea Rooms

INTRODUCTION
Pettigrew Tea Rooms are an independent business which was established at the main entrance to Bute Park in Cardiff City in March 2012. The business operates seven days throughout the year. This marketing report gives a detailed market and competition audit of the business and outlines its mission statement and objectives directed to achieving the mission. The specific marketing strategies adopted by the company in achieving its objectives by implementing the appropriate marketing mix. Additionally, this report gives an outline of 12- month integrated marketing communications mix action plan.
A. MARKETING AND COMPETITION AUDIT
Pettigrew Tea Rooms are located at the heart of the Cardiff City center targeting customers from the city and the surrounding regions. The business, despite that was established recently, has attracted a great deal of customers with its wide range of products and high quality customer services. Pettigrew Tea Rooms accepts advanced table reservations only for their delicious afternoon tea. The business opens daily from nine in the morning to five in the evening but closes on Christmas day, Boxing Day, and New Year's Day. The business targets the general market by selling their tea at about £13.50 for one, £24.95 for two. In addition to tea, the business offers snacks, sandwiches, cakes, and scones. When a customer buys tea in the business, he or she gets a bucket load of food and drink. As a result, the business is very competitive in the market with a market share of more than 15% in the Cardiff City. Pettigrew Tea Rooms business is positioned as the choice of every customer serving fantastic homemade cakes and a great selection of teas in a very beautiful location. As noted by Baker (2012, p. 32), the success and performance of a business is determined by the products and services offered and the choice of the market. Pettigrew Tea Rooms mainly targets students and working consumers for their products. According to the 2012 Mid Year Estimates, Cardiff City has a population of 348,500 people with 20% being students. The city is the capital of Wales and attracts more than 17 million visitors annually according to the tourist estimates in 2011 (Cardiff Council 2013). This offers the Pettigrew Tea Rooms an opportunity to target the tourists. The business is best known for the afternoon tea where many customers from across the city meet in the rooms to take tea as they interact with their friends. This is one of the competitive advantages of the Pettigrew Tea Rooms business. Smith (2012, p. 36) argues that marketing is facilitated by the activities undertaken by a company. In this case, the way a company behaves determines its performance. Pettigrew Tea Rooms are positioned as the best place to socialize with friends in the afternoon and after work thus attracting large number of customers. According to Richard and Wilson (2012, p. 16), tea and coffee business is very competitive in the UK with five brands dominating the market as indicated in the figure below. Tetley has the largest market share of 27% while Bettys & Taylors has the smallest with 6%.

However, small tea rooms and vendors are very competitive in the market offering their products at relatively lower prices but having high levels of innovation. Proctor (2013, p. 138) indicates that innovation is a key competitive advantage for every business especially in the current technological marketing arena. In Cardiff, Pettigrew Tea Rooms faces stiff competition from other businesses such as Terra Nova Cafe and Cafe Citta.
a) Terra Nova Cafe Terra Nova Cafe is located along the Lake Rd West and offers a wide range of products and dining services. The business opens from six in the morning and closes at ten at night thus getting some customers who would like to dine before nine and after five. According to the tripadvisor.com, Terra…