Khadija Khan

MBA
02-322201-026
Marketing Management
Mid Term Assignment
1. Using the Marketing Plan Model, analyse Snakes & Lattes' current situation and activities:
a. Do a 3 Cs (company, competition, customer) analysis of the situation.
b. Evaluate the marketing strategy (segmentation, targeting, positioning).
c. Describe and assess the 4 P tactics (product, promotion, place, price) used by Snakes Lattes.
2. Examine the various aspects of Snakes & Lattes' business (e.g. different venues, different
business lines) and determine whether more centralization is needed.
3. Based on the responses to the first two questions, develop a marketing plan for Snakes & Lattes
for 2018. (10 Marks)
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3 Cs Analysis
Customers Analysis:
Customer inflow at S&L can be divided into three broad categories.

Families Twenties Late Twenties

coming in large groups, along
with kids
don't usually need game gurus
higher inflow during day time, Visits mostly at night
due to nearby students'
residential areas.
prefer staying for a shorter Prefer alcohol
time period

S&L provides them a cheap on a limited budget Stay for average 2-3 hours
alternative to entertain their
children

have a handful of disposable get indulge in playing games Visits upon other people's
income. in groups recommendation.

Competitive Analysis:

Direct Competition In Direct Competition

S&L has to face direct competition with huge An indirect competition was with the
coffee chain names, such as Starbucks and recreational establishments which were
William's coffee pub. becoming a focus for the young costumers.
S&L had major advantage over other cafes Other newly established venues were offering
because of it hard core and rare board games, open air ambiance and a peaceful environment
but apart from that they provide such an
atmosphere where consumers find a gateway
out of the digital world, indulging more in
social interaction.

Secondly S&L has a variety in its menu which But luckily S&L had a leverage over those
doesn't only cater costumers with coffee but because of the diversity they provide in their
also offers other beverages, which fits with board games and menus.
each age groups of consumers
Company Analysis:

External Factors Internal Factors

Located on a busy walking route, many The business just recently started making a
customers will be people who walk by and drop profit.
in to check out the store

Word of mouth marketing is important, once Higher amount of equity than debt.
one person knows about it they tell their
friends, family, partner to come there with
them

Being the only one in board game might give Access to bank loans and private investors.
an advantage over other normal coffee chains.

Comparatively cheaper place for people to Have passionate and loyal staff, and example is
hang out. Slade himself.

Special license for ‘Cards Against Humanity” Out of 49 staff members, in three years not a
single one has quit
 Marketing Strategy
Market Segmentation:
Market segmentation is a process of subdividing a market into buyers’ distinct groups with
different characteristics, needs, or behaviour that required marketing programs or separate
products. Starbucks' main approach to gain greater market share in the industry is by paying a
close attention to its market segments.
It not only uses demographic segmentation in terms of gender, income, age, and ethnic
background but also employ geographic segmentation drawing upon country or region of the
world and its market size in that specific region and climate
Based upon their customer in flow, S&L focused on young generation and families mostly, S&L’s
major goal was to evoke people's childhood through board games in an easy and less digital
environment. And for that they chose to target families and students.
Market Targeting:
According to Kotler (2016) market targeting is a process of evaluating all market segment’s interest
and selecting one or more segments to enter. S&L target market is from middle to high-income
youngsters and families with a passion of board games and social gatherings. Slade wanted to
make S&L the place where their customers could relax, gather and interact with one another. This
made them be vigilant about their quality control and meet the high expectations.
It requires a mass market approach through designing a distinct marketing and products programs
for the different segments. Concerning the homogeneous or mass marketing, the company pay no
attention to the differences in the market segment and uses one strategy to target the whole
market. They tried opening their new venues nearer to the student residencies and institutes. That
way they could have a closer interaction with their customer inflow.
Product Positioning:
Below BCG Matrix is used for product positioning
 4 Ps Analysis
Products:
Place:
Midtown:
 Housing roughly 1000 games, you'll find all the merchandise neatly organized and colour
coded according to difficulty level and number of players.
 Both casual gamers and serious fanatics are welcome here. You're just as likely to find a
couple playing Jenga on their first date as you are a group of hardcore players three hours in
to Axis and Allies.
Games span all categories – even some you didn't know existed – like strategy games,
Americana classics like Monopoly or Guess Who.
This super spacious spot has one barista station on each floor, serving roasts with beans
from Propeller. Order the Nutella latte ($5) for a rich, delicious beverage to caffeinate you
during a long Dungeons and Dragons sesh.
 They also carry tea ($3) and Italian sodas ($3.50) for a carbonated kick. Alcoholic drinks
like wine in bottles or from the tap, cocktails, and beer are on the menu too.

College:

 It's a massive expansion for the board game cafe that still operates the original location on
Bloor, but has outgrown (and shuttered) Snakes & Lagers across the street.
 Owner Ben Castanie has refurbished a couple of pool tables, and assembled a library of
games that numbers in the thousands. A retail space up front is soon to be installed.
 Amalgamating the lattes and lagers concepts, the drinks menu boasts espresso-based drinks
and teas, along with a selection of beer and wine.
 A final point of interest is that this place is all ages, so expect it to be populated with young
people as well as adults who are still young at heart.

Annex:

 Snakes & Lattes Annex is a fun, unique venue offering food and drinks alongside a library
full of tabletop games. Snakes & Lattes is a great spot to have fun with family and friends,
whether you’re feeling nostalgic and dive into a classic board game or in the mood to try
something new, there are games here for everyone
 Snakes & Lattes Annex has a large and open concept space.
 There are three options for seating: tables with removable seating, tables with removable
seating on one side and bench seating on the other, and banquettes
  As for the games, for only $6 per person, you can play all the games you can possibly want!
If you are having trouble deciding what to play, just ask a resident “Game Guru” for
assistance. Snakes & Lattes’ staff is friendly and always willing to help you find the perfect
game.
Promotion:
Word of Mouth
o Mostly operated through word of mouth and loyal customer’s recommendation to others.
o Staff is supposed to establish 3 customer’s contacts with 90% of store visits and a minimum
of two contacts with 60% of visitors engaging in friendly conversations, demonstrating
game rules and recommending games.
Social Media
o YouTube was the most active channel of S&L’s interaction through social media platforms.
Using daily or weekly podcasts.
o Each outlet of S&L has its own FB or twitter handle, which is mostly used to spread the
word of upcoming events or themed parties.
Variety in Menu
o Servers are constantly refilling drinks and they even go into detail about the menu which is
great. Their menu has a lot of vegetarian and vegan options
Marketing
o S&L has never used any paid media for its promotion such as TV, Newspaper etc.
o In July 2017, Snakes & Lattes announced the formation of its own board game publishing
division.
Price:
 The admission fee is $8 but that allows you unlimited play for as long as you like to stay.
You can make a full day out of it or have a few hours of fun for a small fee.

Need of Centralization
Now that S&L has entered the retail business of its own introduced board games, it ought to focus
additional on increasing its selling business by adopting backward and forward integration. As this
business will alone earn them an enormous chunk of revenue, they must bring diversification in
their business by introducing new card games still. However, deed remainder of the business and
focusing solely on selling has its own risks. First, it doesn’t align with the initial goal of S&L second
its potential continues to be unknown

Now that new competitor's area unit is coming into the market with good ideas of indoor game
cafes, S&L ought to conjointly specialise in increasing their shops in London. That manner they're
going to be able to collect large discount from bulk distributors and can facilitate increase revenue.

As the company is running alternative several non-café revenues generating business, it's quite not
possible to own a centralized promoting arrange. with the exception of that every of the cafés was
totally different thanks to its location, clientele, games, and history. With every venue having its
own character there's space for additional decentralized promoting.

Marketing Plan
Branding:
Logo:
Logo style and stigmatization is a crucial side. It helps in promoting your complete recognition and
awareness that ultimately results in increase in your business sales. whether or not huge or little,
having an emblem provides a plan to your potential customers regarding the merchandise and
services offered by your business.
Stick to Your Mission Statement:

“We were really focusing on this: making it a social place instead of just a game place geared
towards a very specific type of population,” says Castanie.
Mission statement defines the aim of your work and also the impact you plan to possess on the
planet around you. It states what you are doing for others and also the approach you follow as you
aim to attain the aspirations you've got set for yourself, your organization, or your business
Target Audience:

Marketing:
Social Media:
S&L should start targeting their audience through social media platforms, using influencers and
other media celebrities that way they’ll be attracting more costumers.
Video:
They already are running their own podcast on YouTube, making it more interacting through live
sessions and games would help attract more costumers
Offer Friendly Customer Service on Social Media:
Friendly offers such as check in get a meal free, or a game hour free would be getting them more
and more costumers.
Use FOMO to Your Advantage with Limited-Time Products:
Fear of Missing Out is the kind of fear that this generation faces the most, S&L should introduce
limited time offers and games.

Decentralized Marketing:
In an organization where the marketing department is decentralized, the operations of the
department are determined by each of the individual constituent divisions within the department
itself. Decentralization encourages free thinking and the use of creative solutions, especially in
departments where there is little centralized control.

Café:
New store in London
 Expand into a new market
 The store is projected to be almost as successful as Toronto immediately
 It would be even more work and stress to deal with two locations
 He would go into debt to finance the new location
  He would have to give up some equity to outside investor’s, he does not want to give up
control of his company very much and $100,000 would give them a majority share
Franchise in London
 Extra revenue without much extra work
 Would have to spend a considerable amount on legal assistance
 Lose out on potential revenue that the franchisee would earn instead
 The franchisee might not be as passionate as you are and hurt the business’s reputation
Daytime Coffee Shop
 Move more aggressively into the coffee market
 Increased daytime customers
 It is a low-cost option, only $5000 in marketing upfront and two new employees would be
needed
 The coffee business is very competitive with Tims and Starbucks
 Coffee sales for the business have actually been declining, it is not the businesses strong suit
so they should focus their capital elsewhere.

Retail Business:
Forward Integration:
Increase control by the direct distribution or supply of a company's products. This will
ultimately help in reducing the cost and will also improve quality, and timely distribution of the
product.
Diversification:
Adding new product lines, such as seasonal card/board games on different occasions/holidays,
or entering a new market is one way to reignite growth, this will help open up new markets and
new customer groups which will ultimately improve company's performance.
Develop CSR:
Establish a thoughtful leadership among the board game community and adapt a social
responsibility in marketing involves focusing efforts on attracting consumers who want to make
a positive difference with their purchases. For ex. introduce Eco friendly board/card games.