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Transcript of AntiCafe
Why it works
AntiCafe-Current Market Situation
Now a worldwide concept
Pay for time versus specific items
One mass solution to many problems at GW
Lack of study space
Unwritten cultural rules
Not all shops provide free Wi-Fi or late hours
Price as a hindrance to study time
Students and young professionals
Potential market=about 45,000 customers
Coffee popularity in the U.S.
54% of Americans drink coffee every day
18-24 year-olds prefer coffee over soft drinks
A place designed for work and fun
Unique to other cafes because you pay for your time and receive free and unlimited drinks, snacks, Wifi, printers, and scanners
Price: $6 first hour, $3 all hours following; $15/day
Target market= students
cater hours to their schedule
Attractive because of hard economic times
Food & beverage accommodations
Special events- local artists
Dunkin' Donuts/Ivory Tower Basement
An alternative to the library
Simple payment procedures
The creation of a community
The possibility to bring your own food
Before Opening: Sales Promotions
Continue with Focus Strategy
Q & A
Events with local artists
Push for social media
Continue with events and incentives
Channels & Logistics Review
Strong social media campaign
free 30-minutes for 1st time customers
Psychological pricing with slogan, "Pay for time. Eat for free"
Competitive marketing strategy through differentiation
sells space that comes with "free" accommodations
U.S. economic crisis
Competitors (e.g. Starbucks)
Differentiation and Focus
"To students and young professionals looking for a shared space designed for work and fun, ANTICAFE is a place that provides unlimited coffee, tea, snacks, fast Wi-Fi, and an area of group or individual tables and couches"
1. What are we selling?
2. What is the value provided to customers?
3. How will the product be priced?
4. How will the product be distributed?
Customer-value based strategy
$6 for the first hour
$3 for every additional hour
Direct Marketing Channel Strategy
Marketing Communication Strategy
Online and mobile marketing
Networking launching event
Estimate revenue and costs were made using Starbucks' statistics and financials
The average revenue of a single Starbucks in 2011 was $635,000
Expected to break-even after 1 year