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Thirdly, high employee loyalty is also a key factor to success in specialty coffee cafe industry. Employees are the asset of a company under the accounting theory. Employees help on every day operation of the cafe, their working attitude directly impact the impression given to the customers and also affect the company’s image. In 1991, Schlesinger and Heskett added employee loyalty to the basic customer loyalty model, and developed the concept of “cycle of success”. That is, a virtuous circle could be got if the company invests in their employees’ ability to provide superior service to customers. Starbucks understands well on how important the low employee turnover is. In the Starbuck case, it mentioned “Schultz believes that happy employees are the key competiveness and growth.” Starbucks offers the industry-leading benefits packages to the employees, even those part-timers. Starbucks believes “If we treat them (employees) right, we feel they will treat (the customers) well.” Starbucks also trust their employees by giving them freedoms on making decision and Starbucks will stand behind their staffs. Undoubtedly, high employee loyalty leads to low employees turnover and benefits the business in long run. It is a key factor to success in specialty coffee cafe industry.
Furthermore, brand building is one of the strategies to success in specialty coffee cafe industry. The brand building assignment including the design of logo, the works on corporate social responsibility (CSR) help on distinguishes a cafe from others in the industry. Building a good and modern image may attack more customers. Starbucks evolved its logo for building a modern image for the company. Starbucks also work on lots of CSR for building a good image by supporting gay marriage and against gun carrying law. Brand building improves the image of the company and attracts customers’ support is also one of the strategies to success in specialty coffee cafe industry.
At last, innovation is also a key factor to success in specialty coffee cafe industry. Changing the menu from time to time and introducing new dishes to customers are both impressing to the customers. Being success in specialty coffee cafe industry should follow the trend of the industry, bringing new concepts and flavors to the customers can impressed and maintain customers in long-run.Starbucks has about 20 thousands stores all over the world, its innovative location selection strategy also provides a strong support to Starbucks’ rapid expanding. Starbucks normally considers location selection strategy from several aspects. First, it will analyze the target population. Starbucks’ target population is medium and high income community with good education background. Secondly, Starbucks will divide the whole city into several sub-regions, which is called mini-market; in each mini-market, Starbucks subdivides into several business circle and then further divides into several functional areas. Finally it will select location according to priority.
In conclude, offering high-quality coffee, building long-term relationship with customers, high employee loyalty, brand building and innovation are the key success factors to success in specialty coffee cafe industry.
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