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MKTG- 1012- 13

December 19th, 2017


Kathryn Walton
John Kienapple, Aiden Rice

SWOT Analysis
Strengths;
- Tina’s been in the restaurant business already from a young age by working as a server
for her family’s restaurant, and learned important skills from that experience
- Tina has a pre-existing customer base from her family’s old restaurant
- Tina as shown in the case study clearly has knowledge of how to understand the
procurement process of purchasing goods
- It also states that she has influenced the decor of the restaurant, and redesign the look
of the menu clearly showing that Tina has the ability to choose a definitive look and
aesthetic for her restaurant
- It also stated that she created new dishes that were popular with regulars so that shows
that she will be able to create a good menu for her target market
- Tina has a Marketing diploma that helps her understand the needs for her company and
most importantly her customer base
- Tina spent 3 years gaining additional managing experience at a local italian restaurant,
as well as 1 year at a Steakhouse
- Tina started managing a fine dining restaurant named Grasseau until she won the lottery
- Tina’s new found funds from the lottery can is a huge strength because it takes away
here fear of putting all her money in one investment

Weaknesses;
- Limited to a certain selection of food (Ex. Locally Grown Food)
- Competing against big names (Ex. The Keg) who have a pre existing customer base
- Tina does not have any background of Financial Management
- Closed Sundays to counteract the extra hours on Saturday & Friday
- May not appeal to non-vegan regardless if they serve non-vegan food or not
- Vegans may not trust that their food is not coming into contact with meat
- We don’t do delivery or any third party delivery like “Just-Eat”

Opportunities;
- Our restaurant has restaurant has options for vegan and not vegan customers
- Open late on Friday/Saturday to appeal to to people under the influence after the bar
who tend to spend more money
- From a online article from “Huffington Post” it states that 79% of vegans are women and
the difference between men and women vegetarian it is more equally split such as 59%
of women and 49% of men are because of these statistic it brings up the opportunity that
relationships with one or more partner being vegan or vegetarian can lead to troubling
decisions in place to eat and by having a place with both options will help to make that
decision.
- From statistics are target market being “young adults” perfectly goes along the age
group for the majority of vegans is 22-34 taking up 40% of the vegan population.

Threats;
- The change in trends toward the environment such as less awareness or care toward
saving the planet
- We don’t do delivery or any third party delivery like “Just-Eat”
- We do not offer all-day breakfast as an option

Mission Statement & Objectives

Mission Statement
Here at “Dîner Pour Deux”, we strive to give you the best locally grown and sourced
food in London Ontario! We offer a wide selection of vegan and non-vegan food options
in a upper class environment suitable for anyone and everyone!
Objectives;
- Give the best locally grown and sourced food in London Ontario
- Give an “upper class” environment
- Be suitable for Vegans and Non-Vegans
- Build a customer base
- Get our name known

Competitive Analysis

1. Globally Local
Globally Local Specializes in Traditional and Modern Vegan dishes offering products just like
the highly popular McDonalds with the same convenience but Vegan. They price their menu
from as low as $1.99 to as high as $9.98 making their menu very affordable to the average
consumer. They are located at 252 Dundas St, which is just a couple steps away from Dundas
and Wellington right downtown. They are also just 2 blocks away from the covent garden market
where people go to buy locally grown food daily. Globally Local have made themselves known
for being “Vegan Fast Food”.
2. The Root Cellar
There product is that they serve local and fresh vegetarian, vegan, and gluten free food that is
all 100% made from scratch.Their prices for their main menu is range from 15-28$ and is a little
more pricey for an everyday consumer but they promote toward higher class population.They
are located at 623 Dundas Street, N5W 2Z1. It is close to HB Beal Secondary School which is
good for business because it can attract students who want to eat healthy and or are vegan and
so it would bring them in. It is within walking distance moderately from the downtown strip which
is important for people who are looking for a place like that to eat before going out to the bars
and stuff.The Root Cellar plays off political views when it comes to promotion and claims that by
what you are choosing to eat is choosing who you support. And that this idea resonates through
the community and sustainable agriculture practices. For the more higher class of vegan eater’s
because they promote very good quality food but at the expense for higher costs. They also
promote catering which is a big selling point because there are not a lot of option for good
quality catering for the vegetarian community.

3. Abruzzi
Abruzzi offers Italian inspired cuisine and is known for producing local grown and sustainable
food. Their menus vary with season so they are always changing depending on what food is in
season.Their prices range from the 10-15 range for pastas and pizza’s and such and for their
main entrees it ranges from 20-40$ so for people looking for a high class meal it caterers to
them but for the everyday customer it may be a little pricey. Abruzzi is located 119 King Street,
N6A 1C3. This is a very good place to set up a company because, it is right at downtown core
and is very close to Richmond and Victoria Park and by being in such a core location. As well as
it is close to the bar scene in London and is easily within walking distance to the main bars and
so people who are want to have dinner before and care about where they want their food
coming from. And so they are in a prime location.Way’s that Abruzzi promote is by standing by
their “locally grown” food and this leads to a good relationship between Canadian consumers
and themselves, they also participate in Food Day Canada giving them a good sense of
community and charity.

Consumer Segmentation Analysis

Company Characteristics Buying Process

Geographic Ontario based company Making sure the product


with 100% locally produced we are buying and serving
food with the geographical is grown in Canada.
target market for young
professionals who live in
London, Ont.

Demographic Our demographic is 22-28 By making our store high-


year olds who are out of class as well as more
college, have a career trendy it will appeal to this
starting job and have more market, with high
income for extra expenses. advertising more based
through social media as
opposed to print.

Psychographic The lifestyle of our market With our store focusing on


is healthy and high class both vegan and non-vegan
people, who care about the options and mainly based
environment and as well as on where are food comes
vegans/vegetarians who from it will create the idea
are always looking for a that our food is healthy as
locally grown place to eat. well.

Benefit Appealing to the customer The benefit of our buying


base of individuals who process is that everything
partake in a is bought local meaning
Vegan/Vegetarian lifestyle that everything can be
to live a healthier life,as delivered fairly quickly, and
well as the average we can support local
consumer who is not a businesses compared to
Vegan or Vegetarian. businesses across the
world.

Usage Rate Marketing our restaurant Putting our producers on


so that customers will want the menu at the back to
to come back and enjoy ensure our customers
the food enough to know what they are
become a regular. Gaining getting, with a 100% locally
trust from our company by grown stamp on the front
allowing them to see where of the menu to create a
each product comes from. sense of trust.
Target Market Selection

Young Professionals
The target market we have chosen is “Young Professionals” because these young people, who
are in the age range of 22-28, have the majority of overall disposable income because they are
not married and tend to live with one or more roommates. Thus, these young professional’s tend
to live in the downtown core which is where our restaurant is located. For people looking to go
out for a night to the Budweiser Gardens, they may be incentivised to eat at our restaurant
because the Budweiser Gardens does not offer Vegan/Vegetarian options and we do offer such
selections and are within walking to distance. As well as since we are open late on Fridays &
Saturdays we appeal to the nightlife community who tend to crave food and have impaired
decision making after long nights of dancing and drinking. In addition, there are more large
multi-unit residential buildings currently being developed to further advance our customer base.
Because this group tends to be right out of college or university they are beginning to have
much higher paying jobs and are more likely to spend the extra amount of money on higher end
restaurants and other luxuries because they are not as focused on their retirement and savings
at this point in their lives.
Because recent trends in today’s society starting back to 2010 have an upward trend of people
who are more inclined to make decisions based on whether or not their choices affect the
environment. This is very prominent in younger adults with influences leaning toward becoming
vegetarian or vegan, which will inturn help more define our business and create a sense of trust
in our company. Furthermore, people are starting to pay more attention to where their food is
coming from because of movies like “Food Inc” and “Cowspiracy” causing more and more of an
outrage about mainstream businesses, and where their product is coming from as well as what
is in their food. So, with all these new trends leaning toward environment activistism and trust,
when it comes to where companies are getting their produce from, and when it comes to our
target market of young professionals, it is clear that our restaurant is ideal because of our locally
grown food as well as with our vegan and vegetarian options.

Product
Dîner Pour Deux: Menu

Vegan Hamburgers/Cheeseburgers ~ 17.50$ Appeals to Vegan customers who want to


continue to eat hamburgers but want to stay vegan. Comes with your choice of Potato (Baked,
Mashed or Fries).

Regular Hamburgers/Cheeseburgers ~ 18.75$ The patty’s in these burger are all 100%
Canadian Produced beef and Appeals to Non-Vegan customers coming to dine at our
Restaurant. Comes with your choice of Potato (Baked, Mashed or Fries).

Spaghetti ~ 18.50$ A classic dinner choice for consumers looking for a nice meal, pasta made
in house with ontario produced flour. Appeals to both Vegan & Non-Vegan customers, Non-
Vegan customers can choose the Meat Sauce option whereas Vegans can opt for Plain or
Vegetable sauce.
Poutine ~ 16.60$ This classic in Quebec cuisine is perfect for lunch always is served with our
amazing both real and vegan cheese curds and appeals to both Vegan & Non-Vegan
customers. Vegans can choose our Vegetarian/Vegan Gravy and Cheese whereas Non-Vegan
customers can choose Beef or Chicken Gravy and regular cheese.

Soy Bean & Quinoa ~ 21.75$ This bowl of soy beans, quinoa, corn, fresh cilantro, red onions,
served all together with a slight amount of grated vegan cheese is perfect for the vegans a
looking for a healthy alternative well also eating out.

Steak Tartare ~ 27.80$ The most elegant meals on our menu steak tartare served with
homemade fries. Appeals to Non-Vegans coming to our restaurant with no Vegan option
available. Comes with a side of your choice of potato (Baked, Mashed or Fries) & Vegetables.

Baked Creamed Corn ~ 12.75$ Appeals to both Vegans and Non-Vegans as it is a very good
and made with 100% vegan ingredients and yet taste as if the cream is made from real milk, as
can have regular cheese substituted for the vegan cheese.

One-Pot Chicken & Mushroom Pasta ~ 19.80$ For the non-vegans and vegans this pasta is
made from our homemade farfalle pasta. Served with 1 ½ Chicken breasted neatly diced mixed
in with a mushroom and veggie mix all prepared in the same pot so keep all the flavour
together. With the option to opt out of chicken this pasta goes complementary without and with
chicken.

Crispy Skinned Lamb ~ 36.40$ This delicious locally produced lamb(frenched) baked and then
seared in pan to be served with lamb broth fried potatoes is amazing for the non-vegans looking
for a perfect traditional dinner.

Pricing
Selling Price:
Because our competitors prices range from 15-30$ for most meals, as well as the high cost of
locally grown produce instead of imported from other countries we have chosen to go for a high
end company and price our menu based on the cost of the produce as well as a high margin of
profit due to our company having a “high-end” appeal to our target market. Our target market
having more disposable income means they will be more willing to pay more as long as they
know our produce is locally grown and better quality.

Prices To Get Our Produce:


Beef - 12.11$ per 1kg
Wheat - 190-210$ per tonne
Lamb(frenched) - 27.46$ per kg
Corn - 180-210$ per tonne
Potatoes - 6.69$ per 4.49kg
Soybeans - 450-470$ per tonne
Dairy - is based on the producers costs depending on season

Transportation Costs & Tariffs:


We do not need tariff costs because our restaurant is locally grown produce, all of our selections
product is only tranportant from other provinces in Canada. As well the cost to transport produce
province to province includes automatically registering to collect HST. We have very low cost for
transportation and only include the flat rate of a transportation company and what they are going
to charge us to transport produce.

Insurance:
As a restaurant we will need various types of insurance, those types being General Liability,
Liquor Liability, Product Liability, Cyber Liability, Property Coverage, Workers compensation,
Employment Practices Liability Insurance (EPLI). Altogether these will amount to somewhere
around $1480 - $7720, which varies depending on your history of claims, how long you’ve been
in business, number of customers you attract, annual revenue, number of employees, security
system, value of the overall contents, type & age of the building, etc.

Taxes:
We will have to fill out a Form 941 which is quarterly tax return form that all employers fill out to
show the income made that quarter by the business. In this form employers report income
taxes, social security tax or Medicare tax withheld from employee’s paycheck. As well as have
to fill out an 8027 Form which is for tips based on a restaurant that has more than 10 employees
that work 80 hours combined on any given work week.

Reference List

(November 17, 2017).Government of Canada, Statistics Canada. Food and other selected
items, average retail prices (Prices). Retrieved from
http://www.statcan.gc.ca/tables-tableaux/sum-som/l01/cst01/econ155a-eng.htm

(December 16, 2017).SCIC. Prices. Retrieved from


http://www.saskcropinsurance.com/ci/prices/

(December 16, 2017).TaxTips.ca. What tax does my business have to charge when shipping to
another province?. Retrieved from
http://www.taxtips.ca/pst/outofprovincesellers.htm
(December 16, 2017).How Much. Restaurant Insurance Cost. Retrieved from
https://howmuch.net/costs/restaurant-insurance

(December 16, 2017).Marketing. Average Commodity Prices. Retrieved from


http://gfo.ca/Marketing/Average-Commodity-Prices

(December 16, 2017).Statista. Consumers who are vegan or vegetarian by age U.S. 2016 |
Statistic. Retrieved from
https://www.statista.com/statistics/738851/vegan-vegetarian-consumers-us/

(December 06, 2017).HuffPost Canada. Veganism Is A Woman's Lifestyle. Retrieved from


http://www.huffingtonpost.ca/entry/vegan-woman-lifestyle_n_5063565

(December 16, 2017).JUST EAT CANADA - Order Food Delivery & Take-Out Online. Globally
Local (Dundas) Menu | Order Delivery Online at JUST-EAT.ca. Retrieved from
https://www.just-eat.ca/restaurants-globallylocal-london/

(December 16, 2017).Abruzzi Ristorante. Welcome. Retrieved from


http://abruzzi.ca/#italian-inspired-cuisine

(December 16, 2017).The Root Cellar. Fresh, local and organic food in Old East Village,
London, Ontario. Retrieved from
http://rootcellarorganic.ca

(April 16, 2016).Vegan Bits. Vegan Demographics. Retrieved from


http://veganbits.com/vegan-demographics/

(October 24, 2017).Resources for the Future. Are We Becoming Greener? Trends in
Environmental Desire
 . Retrieved from
http://www.rff.org/research/publications/are-we-becoming-greener-trends-environmental-desire

(December 16, 2017).SimpleOrder. Which Taxes do you Need to File for your Restaurant?
 .
Retrieved from
https://simpleorder.com/restaurants-101/1871/

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