Daily Delight Tea Shop

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Daily Delight Tea Shop

• Zach Bateman, James DeMar, Matthew Garrett,
  Tabitha McGuire and Christopher Robinson

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Executive Summary

• Located in high growth Marietta with owners that
  are very highly motivated
• The Owners have many years of experience in the
  retail coffee and tea industry
• Will offer over 150 different teas
• Clientele mainly to be local residents
• First customers to be existing tea drinkers
• Atmosphere will be very important

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Opening July 2005

• No existing competitors will help generate a
  loyal base of customers
• Sales projected at over 220,000 in the first
  year alone
• Moderate increases in the following three years
• Expected profit in the first year 21,000
• Owners will invest 5,000 of their own money and
  then seek 50,000 to fund startup costs

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Products and Services

• Daily Delight will specialize in
• loose teas, tea beverages, tea ware and tea
  cookies
• 150 different types of tea
• Available hot or cold and even loose
• Food will be offered in a small selection to
  cater to those who prefer something to eat with
  their tea
• Local bakery pastries, chocolates, and coffee

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Market Analysis Summary

• Tea market is growing rapidly with 15 a year
  increase in tea shops
• America considers hot beverages a luxury and are
  looking for something different than coffee
  drinks
• Tea is considered a more natural, sophisticated,
  and civilized drink

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Market Size

• Over 106,000 people within a 5 mile radius of
  Daily Delight
• 63, or 66,922, are between the ages of 25 and 64
  - our target age group
• Our target market though is 44,614
• Those that are not already committed to another
  establishment
• Tourists could possibly make up 20,000 customers
  for Daily Delight in a year

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Market Segmentation

• All members of our target market are between the
  ages of 25-64
• Have moderate disposable income

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Segmentation Strategy

• Will provide the local upper-middle-class
  community with a place to socialize, indulge
  themselves with fine teas, tea cookies, and tea
  sets
• Tourists will find it as a place to take a break
  from shopping
• Customers are willing to pay a premium price for
  the high quality teas and for the great taste you
  cant get anywhere else
• People associate higher prices with higher
  quality
• Those who seek a wide range in products will be
  happy at Daily Delight

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Other Potential Customers

• New Tea Drinkers (who have never tried good tea)
• Health-Food Aficionados

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Problems and Opportunities

• Opportunities
• No other shop geared toward tea drinkers
• Daily Delight will provide a great atmosphere and
  knowledgeable service
• Word of mouth alone will drive sales
• Problems
• Getting grocery store tea drinkers to come
• Advertising brings in few new customers

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Marketing Goals and Objectives

• Introduce the Daily Delight Tea Shop to the
  Marietta, Georgia area in 2005
• make our target market aware of our opening to
  obtain sales of over 220,000 in the first year
• Inform our target audience to obtain a 9
  increase in sales within a year
• Attract and maintain a large range of customers
• Achieve 30 return on investment

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Strategy and Implementation

• Advertise special events and promotions
• Will use print advertising heavily
• Train employees on proper care and brewing of the
  wide range of teas
• Advertise in the food section of local newspapers
  within a 20 mile radius
• Send out flyers and brochures to residents
• Promote within Kennesaw State University

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Product Life Cycle Analysis

• Introductory Stage
• introduce our products and services to our
  customers (build product awareness)
• promotion will be aimed at innovators and early
  adopters
• Growth Stage
• Loyalty will develop and bring us into growth
• Increase customers, sales, and market share
• Variety of products will be increased along with
  store hours

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Product Life Cycle Analysis

• Maturity Stage
• Competition increases and sales increase slowly
• Product differentiation will be key to success
• Niche marketing will also be used
• Decline Stage
• Determine if the products can survive
• Continue to use niche marketing to hold onto
  loyal customers

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Marketing Tactics

• Sales Strategy
• Every customer to be treated graciously and with
  respect
• Educate about tea and brewing
• Never make the customer feel ignorant or
  uncomfortable
• Tea Profiles
• Cards for customers with all 150 teas so that
  they can broaden their tea drinking experience
  with other teas that are geared toward their taste

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Thank You For Your Time
Daily Delight Tea Shop