4.

Marketing strategy
4.1 Target Market: TCH’s target audiences are young people, businessmen who come
to cafes with the intention of studying, discussion, group working, etc.
4.2 Positioning – Product Line – Price
4.2.1 Positioning:
The coffee market has been considered as the "red ocean" with many strong brands.
Among foreign brands, such as: Starbucks, The Coffee Bean & Tea Leaf, The Coffee
House chose to provide customers with products with equal quality, but with much more
reasonable prices. In addition, TCH regularly has promotions as well as creates attractive
beverage combos with a view to offer more value.
 TCH has chosen to position “more for the same” to compete in the market.
4.2.2 Product Line:
a. Coffee
b. Ice blend
c. Fruit tea
d. Fruit drink
e. Macchiatio
f. Choco-Matcha
g. Food
 The Coffee House serves a wide range of products for the purpose of diversifying its
menus as well as giving customers more options.
4.2.3 Price: 30.000 VND ~ 60.000 VND
4.3 Distribution Outlets:
The Coffee House bought the whole part of Cau Dat Farm Company in Da Lat, since this
firm has exclusively provided materials to this coffee shop brand.
4.4 Saleforces
4.5 Service:
• The Coffee House has created a mobile application that integrates features, such as:
push notifications, membership accumulation, ordering and delivery, etc.
• TCH has collaborated with food and beverage delivery applications, such as: Loship,
Momo, Tiki with a view to get closer to consumers and develop online sales.
4.6 Adverstising:
• Based on product core value:
Taking Cold Brew as an example, The Coffee House advertises this product by
describing: “Cold brew is coffee that is brewed with cold water, so it contains less acid
than coffee mixed with hot water. Therefore, anyone who has stomach problems,
heartburn easily but is addicted to coffee can still use Cold brew”. Then, the interesting
slogan: “Because Cold Brew is “softer” for a sensitive stomach” was born.

• Based on customer experience:

Nowadays, customers always come to cafes with beautiful views to check in, so
The Coffee House has created its own album containing the customers' words. Hence,
this is considered as a way of relying on customers to advertise.
Partnering with food delivery applications is also part of the TCH’s branding.
4.7 Sales Promotion:
• Loyalty program.
• Accumulate Bean to receive incentives.
• Coupon code, gift voucher.
• Buy 1 get 1 free program.
• ...
4.8 Research and Development:
TCH research the customer’s insight and market, then they build the right things:
• "Going to coffee" is no longer just an ordinary act of drinking coffee, it becomes a verb
including meeting, communicating, sharing experiences, etc.
• The segment of mid-range cafes with prices from 40,000 to 60,000 VND is still rare in
Vietnamese market. Overseas coffee shops with high prices can only be a temporatory
trend, but difficult to become familiar destinations for Vietnamese people to come
everyday.
 The Coffee House was born to meet the needs of modern customers
4.9 The Coffee House’s three level of product:
4.9.1 Core customer value product ( coffee, study and work spaces ):
Nowadays, apart from enjoy a delicious cup of drink, people also come to the cafe
because of its quiet space to study and work. Moreover, it must be a comfortable space to
connect with friends and community.

4.9.2 Actual Product:

• Capturing the needs of customers, TCH creates the most diversified and qualified
product lines to satisfy customers.
• TCH has designed spaces with warm wooden furnitures and new lighting systems to
create modern appearances. The rows of tables and chairs at the stores are arranged in
diversified ways, so customers can work privately or have an appointment with friends.
4.9.3 Augmented product (delivery, wifi, WC,…)
The Coffee House not only provides products with the best quality, but also
bring many benefits to customers. TCH’s stores are equipped with many power sockets
so that customers can charge their electronic devices while working, strong wifi speed is
a plus. In addition, the WC area is also regularly cleaned.
 To give customers the best experience at the store, TCH focuses both on products and
the attached utilities.

4.10 Marketing mix (4P)

4.10.1 Product:
Aside from the traditional coffee line, TCH also designs its menu in a diversified manner
with other different product lines, such as:
 Ice blend: Orange and raspberry ice blend, peach and blueberry ice blend, etc.
 Fruit tea: lemongrass orange peach tea, pomelo tea with honey, raspberry tea, etc.
 Smoothie: Orange mango smoothie, blueberrry smoothie
 Macchiatio: black tea macchiato, matcha macchiato, cold crew macchiato, etc.
 Choco-Matcha: iced chocolate, iced matcha latte
 Food: Vietnamese bread, cake, snack, etc.
 • The Coffee House is also constantly improving with an aims to make products
satisfied and reliable products.
4.10.2 Price:
Choosing "More for the Same" positioning, TCH gives customers the interesting
drink experience and the best service at lower prices, compared to imported brands, such
as: Starbucks, The Coffee Bean, etc. At TCH’s stores, a cup of beverage fluctuates from
40,000VND to 60,000VND.
 The price is suitable for target customers who are students, students, and employees,
etc.
4.10.3 Promotion:
The advertising contents of The Coffee House always focus on customers' stories
and emotions. The thoughts and feelings of customers are respected by TCH and spread
to more people. This has touched customer’s insight.
4.10.4 Place :
TCH always chooses ideal places to attract customers. Most of the stores are
located in the city’s center, so they are eye-catching and easy to find.
The chain of stores is spread across the streets of Saigon, Hanoi as well as major
cities.

7. Control
7.1 Employee managament:
TCH aims to make a difference in service quality and bring customers satisfaction.
Therefore, their employee management is to train the staffs to follow those missions. The
employees are also known as representative of TCH to convey the best image of the
brand to customers.
7.2 Product quality:
 The Coffee House can ensure that the product quality of each items at all branches is
similar. The same quality of products in the entire store system is the chain linking
customers with the brand.
 TCH attches special importance to research and develop new kinds of drink.
 The situations of long queues are also avoided at stores.
7.3 Brand management:
TCH manages their brand by building a positive relationship with the target market by
providing the best quality and service. Therefore, this contributes to TCH's widespread
recognition in the market. Additionally, the firm can take advantage of the brand to build
customer loyalty.
7.4 Financial management:
TCH makes a financial statement, manages the sources of money in detail and expenses
incurred during the operation. The cost of sold goods, discounts for wholesalers, revenue,
and the cost of implementing promotions must be recorded in the most accurate manner.
When there are clear reports, TCH will adjust business plans to optimize profitability for
each store.