MKTG-1012-02

Wednesday April 6th, 2016

Miss Colleen G. McCauley
Quintin Volpe, Joe Okeefe, Victor Marques

SWOT Analysis

Strengths

Residents have an average

income of $99,551
Established Adult Early
spend a large portion of
their income on food and
entertainment
Family Orientated during
the day, bar themed during
late hours for students
Influx of retail space for
start up
Strong start up Capital

Opportunities

Weakness

Heavy start up costs

New employees to train
and restaurant standard
system to learn
Low Financial Resources
Weak image, needs to be
marketing hard and
effectively to grow

Michenizi, J. (n.d.). Tina's Restaurant

Brand recognition and

growth through
advertising, social media
Sales promotion on
product for each day.
Employment
opportunities for
students
Appeal to younger
Generations
Relationship-Marketing to
increase brand and
customer loyalty to
generate more revenue

Threats

National chain
Restaurants Montanas,
Kelseys, Boston Pizza
Potential of being sued
Potential of losing liquor
licence with growing fake
IDs produced

Competitive Analysis
Montanas

Kelseys

Boston Pizza

Price

Montanas price
ranges from 8.9932.99. Price is
associated highly
with food quality
(12.99 12 oz
sirloin steak).
Added price is
applicable is
adding toppings,
increase size of
drink is desired.
(0.99 for
guacamole on
nachos).
Affordable and
wide variety of
price range.

Kelseys price
averages from
5.99-14.99 which
is great for
consumers on a
budget. Added
toppings can
apply (2.99 for a
substitute of
sweet potato
fries) and the
price is
consistent with
the quantity and
quality of food
served. Price
slashes on some
key ticket items (
Steak,
Sandwiches)
make for an ideal
place to spend.

Boston pizzas
price range from
7.99-29.99
average
depending what
selection you
choose for your
meal. Price is
consistent with
quantity of food,
and affordable to
eat at. Drink
prices are also
fairly cheap with
3$ draft beer and
soda.

Place

Montanas is
located at 1345
Fanshawe Park Rd
W. Located right
near Hyde Park
Rd, has young
families
predominately
which appeals as
family based
restaurant and is
accessible and
profitable in the
area.

Kelseys is
located at 1395
Fanshawe Park
Rd W. Attraction
for high volume
of students,
business
workers, and
young families to
base their
location around
to attract
consumers for a
quick bit to eat.

Boston Pizza is
located at 1090
Wellington Rd.
Located right off
Richmond row
near western
university, it has
a high volume of
students, and
other
pedestrians
makes it an
accessible place
to eat.

Product

Montanas offers
a diverse menu
ranging from bar
food, (wings,
nachos), lunch
(sandwiches,
wraps) dinner
(steak and
burgers) and
desserts (cake,
sundaes). Easy
fast comfort to
appeal to
predominately
young families
who want to eat
out.

Promotion

Montanas
advertises
through their
website online
and on television
commercial
breaks.
Promotional sales
flashes out on the
website to grab
consumer
attention and
make an decision
to go to
Montanas such
as Legendary
Lunch

Kelseys offers
inexpensive
quality food from
their starters
(Cheesy Bread)
Mains (Chicken
Pecan Apple
Salad, Mac n
Cheese) Desserts
(Choco Loco). A
limited but
diverse menu
with variety that
appeals to
hungry
consumers
looking to
expand their
food pallet
horizons.
Kelseys utilizes
advertisements
through their
website with
finding a
location,
persuasive
labelling on sales
promotional
deals to grab
consumer
attention on an
impulse decision
to eat out.
Spring into
something
scrumptious is a
slogan Kelseys
use along side
tasty looking
meals to attract
an impulse in the
consumer
decision making
process.

Boston pizza
offers a wide
variety of food
choices with
starters, pasta,
sandwiches,
burgers,
desserts. Very
well diverse
menu with gluten
free options and
food options is
intended for all
demographics,
including child
and adult
beverages.

Boston Pizza
uses advertising
on their website
with delivery
options, menu
view, and
location used to
grab consumer
attention. Sales
promotion is
used on the
website and in
the store with a
new promotion
every day.
Boston Pizza also
uses direct
marketing
through coupon
and through
email about
upcoming deals
and events.

Montana's Menu. (n.d.). Retrieved April 04, 2016, from

http://montanas.ca/menu.php
Kelsey's Menu. (n.d.). Retrieved April 6, 2016, from
http://www.kelseys.ca/dinner.php
Boston Pizza Menu. (n.d.). Retrieved April 6, 2016, from
https://order.bostonpizza.com/#/menu/9290A432-053D-4FD7-B6EDF220FC40BDCA/ToGo/Pickup

Customer Segmentation Analysis

Segmentatio
n
Bases

Business Idea: Beavs Bar and

Grill
Potential
Customer
Profiles
1
2
Profile Name: Students
Adults
Geographic Students that live Adults that live
within the Hyde
within the Hyde
Park community
park community.
and students from
FanshaweWestern area.

Demographic Males and

females from
ages 14+.

Males and
females from
ages 20-55 that
are either single
or in a
relationship.
Attending post
Either just
secondary
beginning their
education at
career or well
either college or
into their
university level.
working career.
This group is very This group is
social. Always out rather social. Are
socializing.
occasionally out
socializing.

Usually have low

Have full-time,

Parents
Parents that live
within the Hyde
park community.

Elderly
Elderly people
that live within
the Hyde park
community.

Males and
females from
ages 20-55 that
have children.

Males and
females from
ages 55+.

Either just
beginning their
career or well
into their working
career.
This group is
somewhat social.
Not as social as
adults without
kids because
they have more
responsibility.
Have full-time,

At the end of
their working
career or in
retirement.
This group is not
very social. They
will socialize once
in awhile.

Either have high

Customer Segmentation Analysis

Psychographi Students usually

c have a low
income. Will look
for a good deal
that benefits
them.

Adults have a
higher income
then students.
Will spend more
money if it is in
their budget.

Spend majority of Spend majority

their time
of their either
studying and
working or
socializing.
socializing.

Behavioral Like to go out and

do entertaining
things such as
partying, dining,
etc.

Somewhere to
grab a meal and
socialize at with
the availably of
our bar.

Generally, a
more matured
group that is
looking for a
more relaxed
entertainment.
Group usually
enjoys
entertainment
such as movies,
dinner, etc.
Somewhere to
grab a meal and
socialize at with
the availably of
our bar.

This group will

usually show up
on week nights
and on the
weekends. Will be
regular
customers.

This group will

usually show up
on week nights
and on the
weekends. Will
be regular
customers.

Target Market Selection

Adults have a
higher income
then students.
Have less
spending money
then adults with
no children since
they have to
support their
kids.
Spend majority of
their time either
with their
children or
socializing.

Elderly people
are either earning
the most money
in their career or
are retired and
lots of money
saved. They have
high spending
power.

Generally, a more
matured group
that is looking for
a more relaxed
entertainment.
Since this group
has children, they
will do activities
that involve their
kids

This group has a

simple and very
relaxed type of
entertainment,
will enjoy
anything that
involves personal
interaction.

Somewhere to a
grab a meal and
meet up with
friends after
work. Also can
bring their
children for
dinner.
This group will
usually show up
after work or at
night time. Most
likely will not be
regular
customers as
they have more
responsibilities
then adults
without kids and

Somewhere to sit
around, grab a
meal, and
socialize with
friends.

Spend majority
of their time
socializing with
their spouse or
friends.

This group will

show up during
the day or in the
evening since
they usually have
a light schedule
during the day.
Will be regular
customers.

Target Market Selection

identify the target market strategy to

be utilized along with the target market(s) chosen and include justification on
the decision.
The target market strategy in place to produce a profit at Beavs Bar and Grill is the
multisegment targeting strategy which is solely focused on two or more segments of the market
available to us. There are pros and cons to this strategy but in this case we are narrowly focusing
on three specific market groups, young families, the established adult early and students in the
north-west London Ontario immediate area. We focus on these two specific market groups for a
variety of reasons. Hyde park is a rapidly developing area with mainly wealthy families and
young adult individuals. This being said Beavs Bar and Grill offers classic gourmet grilled
products as well as seriously affordable drinks in to the late night! The reasoning behind the
cheap drinks is to mainly attract the students in the area that want to party but also on a budget.
The area is very dense with students that are not always on the high end of capital in the bank but
also spend an average of $1500 to $2000 on alcohol alone and approximately $880 on dining out
in a single semester. This will greatly benefit Beavs Bar and Grill and accommodate to a
monthly surplus after operating expenses. The is also a dense area with established adult early
and young families. This market group will also benefit Beavs Bar and Grill more during the
dining hours as they are in the age range of 29-49, most being settled in and not very active any
more in the bar scene. The average income of this area of families is $99,551, this being said our
gourmet selection on the menu will be affordable to this target market and at the same time will
also be able to purchase higher quality items on the menu that compete with other competitors
around. The fast gourmet grilled style cooking will be a big hit with the customers available as
they are looking for fast service because of their busy lifestyles but would also enjoy sitting

down to enjoy a gourmet meal. All of this being said Beavs Bar and Grill will prosper with the
decision on using the multisegment targeting strategy.

Mission Statement
Mission Statement: Here at Beavs Bar and Grill, our goal is to provide an exciting environment
for families in the area while providing an entertaining night for young adults after restaurant
hours. Beavs Bar and Grill provides top quality entertainment, great tasting food, and excellent
customer service.

Objectives:

Make the customers welcomed to the environment, make the customer feel like they
belong at the establishment.

Satisfy the customer, give the customer what they expect from Beavs Bar and Grill.

Providing an unforgettable experience by providing top quality entertainment and great

tasting food from our unbelievable menu.

Product

Product

Pricing
The pricing strategy to be used will be odd-even psychological pricing. Consumers will feel as
if there are paying for a lower price with odd numbered items, and are more susceptible to pay.
Hyde park area has high competition, and consumers will price match, evaluate their options to
make a final decision on where to eat, therefore psychologically making consumers believe
theyre paying less will be an advantage over our competitors. Most consumers are also less
likely to price match when it comes to restaurants, and have less time to evaluate their options.
A recent study done by Robert M. Schindler and Lori S Warren at the University of Chicago,
with subjects in a 5-course meal from a menu had a greater likelihood of choosing odd priced
items than even priced items. The number of items on the list did not also affect the size of odd
pricing item, which is most probable for our restaurant to apply this strategy.

(Robert M. Schindler and Lori S. Warren (1988) ,"Effect of Odd

Pricing on Choice of Items From a Menu", in NA - Advances in
Consumer Research Volume 15, eds. Micheal J. Houston, Provo,
UT : Association for Consumer Research, Pages: 348-353.)

Distribution Decisions
Location of Restaurant: Hyde park

Hyde Park is the perfect location due to the fact the area is currently under expansion. The area
would definitely appreciate the opening of a new restaurant with the potential of converting to a

bar at night time since it is relatively close to Western University. By having a restaurant/bar
setup in Hyde Park, we are capturing both food and entertainment markets in the area, which is
where the established adult spends a good portion of their income on.
Name of the restaurant: Beavs Bar and Grill

The name for our location is Beavs Bar and Grill. The name Beavs is a friendly name
towards families that are looking for an exciting place to eat while at the same time is an
attractive bar name for local university students in the area.

Floor Plan:
With this floor plan design, it allows our bar and grill to be very flexible when
transitioning from a restaurant to a bar. With the bar in the centre, and all
the seating placed around the bar, it allows us to easily move the tables
aside to allow us to open up as a bar, providing customers with a large dance
floor with easy access to our massive bar. We also have booths on the side to
allow customers to comfortably enjoy bottle service while providing a VIP
room for exclusive privacy with friends during bar hours. This layout for our
bar and grill will pay off big time when we are trying to achieve our overall
revenue goal.

Marketing Communication Plan:

Our plan on advertising and getting our name out to society is going to be a
cost-friendly approach that is also strongly affective. We will start off with
adding our business to all social media sites we know including Twitter,
Facebook, Instagram, etc. are used by the majority of young adults in the
immediate area and abroad. Using social media will benefit our restaurant
greatly, effectively, and cost friendly. By adding it, we are expanding our
customer range by the minute as personnel will begin to speak about our
restaurant. Beavs young and sophisticated theme attracts our young
students especially with the transition to a night time bar but at the same
time bring the attention to early established families with our great dining

service and warm welcoming community. We will have monthly coupons that
will be offered to customers after dining in, enjoying a bar night, and will also
be emailed/mailed to the ones that agree to sign up for our special offers!
Our website will also be a great asset to our restaurant as customers can
easily sign up and order, its as easy as that! The website is very user
friendly and will offer customers great satisfaction. Delivery will be a topic to
be discussed later on after revenue has been coming in at a surplus level for
1-2 years. We will also have opportunities to be offered to students looking
for a part time job as we will hire a minimum amount of promoters to go
around and simply let people know that we are new and we want you! In the
end you will not be able to say no once you see or should I say smell Beavs
Bar and Grill so come on in and have a remarkable time!

Works Cited

Robert M. Schindler and Lori S. Warren (1988) ,"Effect of Odd Pricing on Choice
of Items From a Menu", in NA - Advances in Consumer Research Volume 15, eds.
Micheal J. Houston, Provo, UT : Association for Consumer Research, Pages: 348353.
Michenizi, J. (n.d.). Tina's Restaurant
Montana's Menu. (n.d.). Retrieved April 04, 2016, from
http://montanas.ca/menu.php
Kelsey's Menu. (n.d.). Retrieved April 6, 2016, from
http://www.kelseys.ca/dinner.php
Boston Pizza Menu. (n.d.). Retrieved April 6, 2016, from
https://order.bostonpizza.com/#/menu/9290A432-053D-4FD7-B6EDF220FC40BDCA/ToGo/Pickup