Individual Business Report - Zumo Smoothie bar international Research Paper

Individual Business Report - Zumo Smoothie bar international - Research Paper Example It is on this postulation that Zummo Smoothie Bar will be founded upon. Zummo Smoothie Bar will seek to serve the underserved market of smoothie lovers who don’t have too much cash to spare. It will also seek to provide better services by allowing the customers to choose their own menus as well as offer delivery services. By giving these value-adding services to the business of smoothie, it will be easier for Zummo Smoothie Bar to create a market segment for its products and survives and overcome competition from the already existing and established competitors such as Starbucks. Introduction The Smoothie market is a big market, in terms of the various market drivers such as number of potential customers (Cross, 58). Smoothies come in all forms, qualities, and amounts. In the Camden town, London, the smoothie business is a big business as indicated by the numerous smoothie bars which offer numerous services. There is however a market segment that seems to be underserved. This market segment includes those who would want to have a smoothie without having to dig too dip into their pockets. Most smoothie bars in Camden offer very expensive products which many people may not afford. In this regard, there is an opportunity to offer the products to this market segment. This market segment is composed of the people who are willing to compromise a little in the quality of the smoothie as long as they ca get on a better price (Lerner & Roberto, 90). Competitors The main competitor in the smoothie sub sector is Starbucks which offers high quality smoothies in the Camden area within London. Starbucks is an international brand which offers different types of beverages including smoothies. Apart from Starbucks, there are also a number of other competitors such as Chaboba Bubble Tea, White Kitchen, Shake My Shake and The Espresso Bar. These businesses offer smoothies as well as other beverages such as coffee and tea. Most of them are high-end smoothie bars and offer v ery expensive products. As a result, although these competitors will be offering the same products as Zummo Smoothie bar, they will not offer direct competition to Zummo due to the fact that Zummo Smoothie bar will be looking for a subsection of the market which the rest of the bars don’t attend to. Marketing strategy for Zummo of the Smoothie bar According to Weinstein (45), market segmentation is a very important market strategy. Zummo Smoothie bar will target a market segment which is composed of the younger people in the market which will include students. This segment of the market is composed of the people who may not have enough money to send too such on a product like a smoothie. In this regard, the Zummo Smoothie Bar will offer smoothies of average quality in order to make sure that its costs are within the profit threshold. This will help the Zummo Smoothie bar to be able to offer the product at a much lower price and therefore be able to meet the needs of the marke t. Discounts As Donnelly (85) says, offering discounts is a major way to engage the customers. Zummo Smoothie bar will make use of discounts as a way to attract and maintain its customers. Since the Zummo Smoothie bar will be targeting the students, they will be given discounts for buying from the shops. Quantity discounts will be offered to the customers for being regular customers. To achieve this, the customers will be issued with a