1. The aim of this project proposal is to introduce a new café in coffee industry. The approval is required to open a coffee shop at Melbourne Central Shopping in Melbourne, Australia; because of its great location and highest number of passing shoppers supported by a large population. Since, there are a limited number of coffee shops in that area, that is why the location is perfect to attract people and with a well-structured company model, the business will have the potential of expanding into a chain of coffee shops at different shopping malls in Melbourne. For this project, a loan of AUD$90,000 is required at this stage.
2. Proposal Details
The details of the project are discussed below:
2.1. Product Offering
The main activity of the company includes purchasing, storing, preparing, selling and serving light food and coffee based beverages to all the customers. Coffitaly expects to serve more than 5,000 customers on a monthly basis. Coffitaly Coffee Shop will be providing dine-in as well as take-away facilities to all the customers. The company will offer healthy and high-quality strong beverages (hot and cold), light food, and desserts.
2.2. Mission and Vision Statement
- It is the mission of the company to satisfy the needs and wants of customers for high-quality coffee, delicious meals and efficient customer service.
- The vision statement of Coffitaly is to become the Café of preference, for the customers of Melbourne Central Shopping Mall.
2.3. Goals and Objectives
Following are the goals and objectives of Coffitaly Coffee Shop:
- To achieve net profit of at least 50% by the end of the first year.
- To build a brand a strong brand name.
- To open at least 4 coffee shops by the end of fourth year.
- To become able to attract shopping customers as well as normal residents of that area.
2.4. Company Location
Coffitaly will open its first shop at Melbourne Central Shopping Mall on La Trobe Street, Melbourne, Australia. It is a diverse shopping mall and dining destination. The place has over 300 retail shops including international brands. Since, there is only one small coffee in the mall that is why the location is perfect for Coffitaly.
2.5. Marketing Strategy
Coffitaly Coffee Shop will target the customers in the mall. People usually get tired while shopping; the aim of Coffitaly is to provide energy to the customers in terms of good quality strong coffee, comfortable ambiance and affordable prices. The company will also use various marketing promotional activities to attract and retain customers.
2.6. Risks
There are chances that market leaders in the coffee industry will open their outlets in the mall or close by the mall. Besides that, recession also causes a harmful impact, especially on new businesses. This will have a negative impact on Coffitaly. However, prices can be reduced and different marketing strategies can be adopted to maintain the market position.
2.7. Competitive Comparison
The major competition of Coffitaly Coffee Shop will be Gloria Jean's Coffee, The Coffee Club, and Zarraffa's Coffee. There is also a major competition from local shops. The competitive advantage for Coffitaly will be its amazing location, comfortable environment, high quality coffee and excellent customer services.
2.8. Financial Analysis
Financial analysis of Coffitaly Coffee Shop is very promising. Once the business recovers its initial start-up investment (AUD$90,000), it will become self-sustained. No additional capital will be required.