CHAPTER IINTRODUCTION
Nothing unites or divides us like coffee, the worlds favorite
beverage, after water. The aroma of coffee is a universal signal of
day break as the roosters crow and a far better reason to get out
of bed. The popular pick me up is a fixture at work and an
instrument of leisure. Drinkers who flip their lid because their 8
a.m. cup is a few sugar grains short are asserting their
individuality while validating this greater truth.The Philippine
Department of Agricultures Bureau of Agricultural Statistics (BAS),
reported in 2008 that the total coffee production declined slightly
from 97,340 MT (dried berry basis) to 96,433 MT. The source said
that the downtrend in coffee production of 1.02 percent was a
result of prevailing peace and order situation in Sulu and
excessive rains during the flowering stage hampered harvesting in
coffee farms. In addition, production was affected by the
low-buying price of coffee in Caraga Provinces as well as the
continuous neglect of coffee farms in Cavite and Davao del Norte.
In 2009, the total area planted to all varieties of coffee dropped
by 0.88 percent from 123 to 122 thousand hectares. The coffee shop
industry has increased its popularity in the Philippines. An
article by Anenias (2013), discussed that in our country no morning
is complete without coffee. We have our own Batangas Barako to be
proud of. Instant coffee then came into the scene, and lately,
gourmet and specialty coffee with the introduction of foreign rates
such as Starbucks, Seattles Best, and the like. Coffee drinking has
now become more than just a way to wake up ones nerves, it has
become a trend.Student as well business people find coffee houses
as a place to relax, discuss, socialize, and study. The success of
coffeehouses is reflected in the establishment of chains, such as
Starbucks as well as family-owned, independent shops.Coffee
production in year 2010 (which starts in July 2009) is projected to
decline by 2-3 percent as a result of the hot and dry weather
conditions experienced due to the El Nino phenomenon.In Cavite City
there are three competing coffee shops namely Cofftea Zone, Caf
Antix and Subi-Monte Caf wherein they serve food, gourmet coffees
and other beverages. Mr. Davy Guinto, the sole proprietor of Caf
Antix discussed that in order to provide customers with quality
service, consistency and speed should always be observed. First
impression always last, business has only one chance to make a good
first impression. If a customer doesnt like what they see and what
they pay for they wont be dropping in again. Caf Antix opened last
April, 2012. Mr. Davy Guinto decided to open a coffee shop of his
own concept because he is seeing that a lot of Caviteos are still
going to Manila just to have gourmet coffee. Their menu offers
gourmet sandwiches, pizzas, pastries. They also make specialty
coffees made from premium ingredients such as Ferrero Roche and
Cadbury. Caf Antix has an antique inspired interior design, which
is appealing to customers. Subi-Monte is owned by a group of
mountaineers. Mr. Richard Martinez who is the current supervisor of
Subi-Monte stated that, its only about the coffee that they serve,
it has also become a place where people can enjoy the music,
ambiance and the food that they offer. People appreciate the
hospitality of their staff and cleanliness of their establishment.
Cofftea Zone was conceptualized as a result of the thesis of the
owners daughter and it has a starting capital of 5 million pesos.
Mrs. Milady S. Ponsones who is the proprietor of Cofftea Zone owns
a lot of business in the Cavite City Market and it was actually her
first time to own and manage a coffee shop. Cofftea Zone is located
near the Petron gas station in Dalahican, Cavite City, which is the
same concept of most coffee shops in Manila. Cofftea Zone offers a
variety of coffee drinks and food items as well as coffee
accessories.Cofftea Zone, Subi-Monte, and Caf Antix were chosen
because these three are the most popular coffee shops in Cavite
City. Moreover, some customers consider them as interchangeable
brands; and that is why it is important to study how these
establishments differentiate themselves from each other and attempt
to improve brand loyalty among their customers.This study entitled
A Comparative Study of the Three Coffee Shops in CaviteCity aims to
compare the product, service and ambiance of Cofftea Zone, Caf
Antix and Subi Monte. The results of this study will provide Review
of Related Literature and StudiesForeign Related
LiteratureAccording to Garvey (2004), the menu is the epicenter of
your coffee shop. Everything revolves around it: the ingredients
you order every day, how you design your coffee shop, which
equipment you purchase, how you organize and train your staff, who
your barista iswhat selections are on your coffee list, even the
name of your coffee shop. Your menu should match your coffee shop
concept and atmosphere, your guests expectation. What would they
expect and demand? How can you delight and surprise them? How can
you keep them coming more?Several components determine menu price
points, including customer demographics, competition and acceptable
standards. Fix your price points and get a handle on food costs and
how they affect the menu prices. If youre charging more for your
product, you must establish a point of difference in quality,
atmosphere, service and so on to justify the price.
Whitehead (2005), found that ambient lighting is the best for
restaurant and cafes. This was largely because it made people and
food look good. It also made patrons fell more relaxed than in
similar, brighter spaces. The use of more indirect lighting also
appeared less harsh and contributed to the comfortable feel of the
spaces.
The book by Schirmbeck (2003), described the need for sequence
and subdivision within the space of coffee shop. There was the
conclusion of separated seating areas to provide a partial privacy.
For each individual table, it was suggested for agreater distance
between tables, partition through lighting or physical, differing
floor or ceiling level. The lighting was used for various reasons,
including the space separation for privacy. The variances between
light and dark within the overall space were most successful for
creating more privacy within the space. Table were given individual
overhead light, while the spaces around them were left in darkened
light.
Above all a coffee shop must have good coffee otherwise no
clients will come no matter what the environment is like or where
it is located. Location is another main factor in determining the
success of a coffee shop. It should be located in a busy area that
has lot foot traffic. The locations also affect the type of
clientele the shop will receive. The overall theme needs to be
consistent with the other businesses surrounding it. The theme sets
the mood of the place and causes it to stand out from other similar
businesses. It must have a unique atmosphere. The layout needs to
give people enough personal space to be comfortable. The furniture
should be moveable for the different size group that may come.
People like to be able to create their own space. Furniture also
should be comfortable enough for people to stay awhile but not so
comfortable that it affect those who want to study. The lighting
should be adequate for reading, but not so bright that is
overwhelming. Too much light detracts from the atmosphere and
activity. Dimness creates a more relaxed environment conducive to
conversation and a lengthy stay.The research observation and survey
of Pegler (2004) found the success of the above attributes to
determine the success of a coffee house. The coffee will get people
to come to the place, but the environment will cause them to stay.
The space should be unique, comfortable and flexible. If a coffee
house had successfully addressed all of these issues, they will
ensure a constant clientele.
Local Related LiteratureAccording to Rogo (2008), coffee
drinking, both in-home/office/school and casual coffee drinking
outside in Metro Manila has turned out to be as common a practice
as dining. This is illustrated by the proliferation of coffee shops
all around the metropolis and its outskirts, and the increased
sales of instant coffee variants. More and more people are learning
to appreciate coffee drinking not just as an after dining practice
or a morning ritual, but as part of an emerging lifestyle. Coffee
has become a convenient and easily available drink. Increased sales
of both instant coffee and coffee beans and the proliferation of
coffee shops have contributed to the growth in coffee sales in both
retails and foodservice outlets. Retail sales of coffee have
increased by 6% in volume in 2005 and more than 13% in value over
2004. This growth in the industry is remarkable considering major
economic downturns and political unrest.
Monge (2004) said that government and the private sector are
both making efforts to increase local coffee production, in order
to reduce on imports. In 2012, however, local production in the
Philippines still did not meet coffee demand in the country.The
country imports the rest of its coffee requirements from Vietnam,
Indonesia and other Asian countries. In 2012, the key player in the
coffee industry, Nestl Philippines Inc., opened a new coffee farm
in Batangas city that will increase access to new coffee farming
techniques in a bid to increase the number of coffee producers and
production in the Philippines.Nestle Philippines Inc. dominates
coffee sales with a value share nearly 90%, due to its strong
positioning and leadership in the instant coffee sector. The
companys Nescafe brand was one of the first instant coffee brands
in the country and hence was able to establish a large and loyal
consumer base through effective advertising, continuous innovation
and the good quality of its coffee products. The more widespread
health and wellness trend in the forecast period will encourage
various brand manufacturers to produce organic and decaffeinated
coffee variants to prevent a decline in the consumer base and
capture a greater share of health conscious consumers. There might
be more marketing activities that will highlight the benefits of
coffee, as manufacturers attempt to counter any negative perception
about the drink. The positive economic outlook in the forecasted
period will benefit both the instant and fresh coffee categories.
The goal of any food service institution in Philippines on in any
part of the world, for the matter, is the service of quality to
satisfied clientele at reasonable cost. The objective maybe profit
or non-profit oriented.Those who primary aim is to gain profit are
the commercial restaurant, hotels, dining rooms, fast-food centers,
coffee shops, carinderias and other food service establishment.
Presse (2010), said that after watching its neighbors become
global coffee heavyweights, the Philippines is taking tentative
steps towards regaining its status as a formidable grower of the
bean.However, that era is a long way back for the Philippines,
among the top five coffee exporters in the world in the 1880s after
Spanish friars brought beans with them to their colonial outpost?
The Philippine Coffee Board, an industry group spearheading the
revival attempt, knows the country cannot compete with the likes of
current regional exporting giants Indonesia and Vietnam in
volume.So they are aiming for niche markets and targeting the
fast-growing number of young Filipinos who crowd cafes across the
country of 93 million people.
Foreign Related StudiesThe social, political, and economic
relationships that constitute the global coffee industry and the
many links between many points of production and consumption is
stated in the study of The Evolution of Coffee Markets for
Sustainable Development: A Honduran Cooperatives Experience with
Fair Trade by Smith (2010). This study contributed toward an
understanding of coffees role in society, the conditions of growers
who produce it, and the relationship between markets based
economics and politics as they affect small producers. It explored
the coffee value chain, patterns of consumption, producer
strategies and adaptations, and the increased globalization of
trade to inform its discussion of fair trade and the meaning of
alternative markets for disadvantaged growers. This has been done
partly by highlighting the friction that exists between Northern
and Southern participants in the coffee value chain. According to
the study of Sommer (2006) there was a connection found between
level of light and noise level and how affected the duration of
stay at a caf. As the level of light increased so did the level of
noise, both decreasing the amount of time people remained in the
establishment.Smith also emphasizes several important trends: The
fragmentation of the coffee supply base as new growers enters the
market; increased concentration in the roasting and international
trading segments of the coffee value chain, market liberalization
and the loss market power for producing countries; emergence of
future markets and coffees sold based on graded quality attributes;
and most importantly for this study. Recent differentiation of
consumption and the emergence of fair trade and other sustainable
coffees.
Stanley (2005), said that cafes have certain areas where they
have been consistency performing well. These are essentially the
strengths of the brand, and the Barista & Caf Coffee Day need
to capitalize on these strengths to increase their market and brand
loyalty. Barista has a strong and clear brand image. Their
customers can easily identify and relate to barista brand. This
helps increase and maintains brand loyalty. Another significant
area of excellence is the kind of ambiance and dcor Barista cafes
have. Barista Caf Coffee Day is projected as an affordable brand.
This strategy has worked extremely well so far, and Caf Coffee Day
got a high rating, both for their prices and for their value for
money, in the market survey.There is huge potential for them to
attract customers, just based on the taste and quality of products.
This is also helped by the fact that they grow their own coffee
beans, and this provides an important base for future expansion and
growth. Barista Caf Coffee Day even won the Barista Coffee- Making
Championship for the best coffee.
Local Related Studies Based on the findings of Alonzo (2006), on
his study entitled The Business Performance of Starbucks Coffee
Company, Starbucks Coffee Company received a very satisfactorily
rating from its customers in terms of product, ambiance, price,
sales promotion, facilities and customer service. The taste of
beverages and food offered by the company fits the consumers tastes
and the customer find the prices of the products to be reasonable
in connection to its product quality. The visibility and
persuasiveness of the stores ad and the attractiveness and how
frequent their promos are and the participation of customers in the
said promotions received good ratings. The perception of the
customers to the overall facilities of the coffee shop is
excellent. The store is very clean and it is well ventilated. It is
very convenient for all the customers to just sit, relax and have
fun while drinking their favorite coffees. According to the
respondents, the employees are friendly and approachable as well,
the management is very cooperative in case of inquiries, problems
and complaints reported by the customers and the service that they
offer are all very fast, the customers do not have to wait that
long for their orders. The proposed study entitled Coffee Pandan
Tea Production by Arica (2006), will become a data bank and
information for researchers who may desire to use the results of
this study in terms of organization and management aspect,
marketing aspect, production aspect, financial aspect and
socio-economic aspect in the operation of coffee-pandan tea
production or related business. Based from findings especially on
the area of viability, it can be reasonably concluded that there is
a great prospect for success in the production of coffee-pandan
tea.
According to Lambino (2006), the customers of coffee shops are
satisfied in terms of courtesy of the staff, friendliness of the
staff, well groomed and sensitivity to the guests needs. Customers
are satisfied in terms of accessibility of the coffee shop and they
are also satisfied when the food and beverages a reserved in their
right temperature but not with its price because it is quite
expensive for just a cup of coffee.Advertisement should be clear
enough and eye catching to attract more customers for them to have
more profit and to maintain the operation stable. Brochures is used
more often by the coffee shop business in promoting their business
so that it must be improved more to catch the eye of the
customers.Prices of the products are expensive according to the
customers so that promotional strategies like Combo Meals and
Discount Coupons must also be given emphasis because it makes the
products become affordable that will have great effect to the
satisfaction of the customers. The location of the coffee shop
should be accessible to its target market and the ambiance should
also be considered to satisfy its customers. Attentiveness and
courtesy of the staff meets customers satisfaction. Managers must
prefer to choose skilled and efficient employees to avoid problem
during the operation.To hold the customers, the business should
give them very satisfactory service, extra attention, personalized
service and products/services innovations. From the interview
conducted, the managers believe that people still want a cozy and
chic atmosphere, thus they promise to give extra attention to the
service to their discerning market expects and deserves.
Statement of the ProblemThis study generally aims to compare the
three coffee shops in Cavite City namely Cofftea Zone, Caf Antix
and Subi Monte in terms of food,service, and ambiance.
Specifically, this paper attempts to answer the following
questions:1. What is the profile of the customers in terms of:1.1
Age;1.2 Gender;1.3 Address;1.4 Weekly Allowance;1.5 Course; 1.6
Frequency of visit?
2. How do the customers evaluate the three coffee shops in terms
of :2.1 Food; 2.2 Service; 2.3 Ambiance?
3. What are the customers comments and recommendations to the
coffee shops?
Assumptions of the Study The theoretical framework is answered
to be an accurate reflection of the phenomena being studied.The
Researchers assumes that the variables under investigation are
measurable and the instrument being used is valid and reliable
instrument to measure those variables.The Researchers assumes the
methodology is appropriate to the problem being addressed and the
purpose of the study.Before conducting the analysis, the researcher
assumes that the analysis selected and the size of the sample is
sufficient to detect significant difference/relationships if they
exist in the population.
Scope and Delimitation of the StudyThe study compares the three
coffee shops in Cavite City namely Cofftea Zone, Subi-Monte, and
Caf Antix in terms food, ambience, and service. The study also
includes HM Students of San Sebastian Recoletos de Cavite enrolled
this second semester, 2013-2014.The study does include HM students
who have not yet experienced the three coffee shops mentioned
above.
Significance of the Study Present Coffee Shop OwnersItcan save
you many hours of research, help you avoid some common mistakes,
and give you information you need to enhance your coffee shop
business.Future Coffee Shop ownersThe findings of this study are
also invaluable to would-be coffee shop owners in conceptualizing
the product, service and ambiance of their own coffee shop.
Present CustomersThey can be able to voice out their comment and
suggestions which concerns the business performance of the three
coffee shops mentioned above.
Future CustomersTo determine the quality of the coffee shop to
their visit.
Present Researchers It will broaden their knowledge on the
significance of good product, service and ambiance of a coffee shop
to its consumers.
Future Researchers Hope that the findings of this comparative
study will also benefit future researchers in conducting their own
study.
Definition of TermsAmbiance: The special atmosphere or mood
created by a particular coffee shop.Barista: Person whose job
involves preparing and serving different type of coffee.Coffee: A
drink made from the roasted and ground beanlike seeds of a tropical
shrub, serve hot or iced.Coffee Shop: A small restaurant that is
either independent or attached to a hotel and where the light
refreshments or regular meals are served.Competitors: One selling
or buying goods or services in the same market as anotherCustomer
satisfaction: Depends on the product/service performance given by
the coffee shop relative to the buyers expectation.Cyber Caf: A caf
or coffee shop providing computers for access to the
internet.Entrepreneur: A person who organizes and operates a coffee
shop, taking on greater than normal financial risks in order to do
so.Espresso: Coffee brewed by forcing a small amount of nearly
boiling water under pressure through finely ground coffee
beans.Iced Coffee: A drink made from coffee mixed with ice and
milk, or a glass of this drink.Manager: A person responsible for
controlling or administering all or part of a coffee shop.Service:
An act or a variety of work done for others, especially for
pay.
Research ParadigmFigure 1.1 Input, Process, Output Model
OutputCredibilityStandingProcessInterviewQuestionnaireInputProductServiceAmbience
The comparative of three coffee shops will provide information
in terms of their product, service and ambience. Identify their
similarities and differences, it will classify the areas of
excellent and the areas need to improve.This study entitledThe
Comparative study of three Coffee shops in Cavite City. Consist of
the three major elements input, process and output. The input
refers to the areas of survey, it includes the product, service and
ambience. These are the fields the respondents will evaluate with
regards to their performance. The process refers to interviews.
These are the methods to be practice by the researchers .The
interaction of the input and process transforms the output. The
output or the outcome refers to the credibility and standing of the
three Coffee shops in Cavite City which is Cofftea Zone, Subi-monte
and Caf antix.
CHAPTER IIRESEARCH METHODOLOGYResearch DesignThis research made
use of comparison method to compare the three coffee shops in
Cavite City namely Cofftea Zone, Caf Antix, and Subi Monte in terms
of food service and ambiance.Comparison study (Lorenzo, 2003) is
often used in the business world as means of identifying how a
given good or services compares to similar products offered by a
competitor.The comparison method is the method applicable to this
study because it aims to identify the similarities and differences
among the three coffee shops.
Population of the StudyThe respondents of this study were the
selected HRM and Tourism students of San Sebastian College
Recoletos de Cavite who have experienced visiting the three coffee
shops in Cavite City and have tried buying its products and
services.Table 2.1 Respondents of the StudyYear level and
courseTotal number of studentsNumber of respondents
1st Year HRM3634
1st Year Tourism3210
2nd Year HRM269
2nd Year Tourism224
3rd Year HRM154
3rd Year Tourism188
Total14969
The total number of students who experienced visiting the three
coffee shops in Cavite City is presented on the table on the
previous page. The samples of this study consist of 69 HRM and
Tourism students of San Sebastian College Recoletos de Cavite who
filled up the survey questionnaire correctly.
The Research InstrumentThe researchers used primary and
secondary data in this study.The primary data was taken from
informal interviews with the owner, researchers observation,
researchers actual experience in the three Coffee shops and the
results of the survey questionnaires that were filled out by
selected student experience the three Coffee Shops.The secondary
data collected for this research were taken books, journals thesis,
and some internet websites that contain related information about
the study. Books, journals as well as local studies used in the
study were searched from San Sebastian College Recoletos de Cavite
- St. Thomas of Villanova Library.The researchers used the
questionnaire for gathering the primary data needed to know the
differences of the three coffee shops as perceived by is selected
customer. The questionnaire as designed by the researchers,
included items from published and unpublished thesis and research
papers. Formal interviews on November 12, 2013 with the owner and
actual experiences of the researchers were also included in
creating the questionnaire on part II.The study used a
self-administered survey questionnaire. This was used by the
researchers because it is cost effective and can be analyzed
statistically.Part I of the questionnaire covered the student
profile such age, gender, weekly allowance, frequency of visit,
time spent in the coffee shop, address, and course/year level.
These are the factors that the owner and the researchers have set
to distinguish the student profile.Part II is all about the
evaluation of the student regarding the service, food, ambiance of
the three coffee shops, with the following rating scale: 4 -
excellent, 3 very good, 2 good, 1 poor. To asks the post purchase
actions of the customers.Part III of the questionnaire their
comments for improvement. In this part, the researchers have
included items based on past related researches to determine the
suggestions of the respondents to better improve the strategies of
the establishments under study.
Data Gathering ProcedureGathering of data was done through the
following procedures:1. An interview was conducted with the manager
on November 12, 2013. To know the history, and the quality of food,
service, and ambiance.
2. A survey questionnaire was constructed by the researchers on
December 11, 2013.
3. Final draft of the questionnaire was constructed on December
16, 2013 after including all necessary variables in the
questionnaire as approved by the research adviser.
4. Questionnaires were distributed to the respondents and
collected on December 17, 2013. The respondents were instructed on
how to answer the questionnaire and those respondents who have
questions regarding the contents of the questionnaire were also
given attention.
5. When all the questions were retrieved, the data collected
were tallied and presented on December 20, 2013.
CHAPTER IIIPRESENTATION, ANALYSIS AND INTERPRETATION OF DATA
Part I. ProfileTable 3.1 Distribution of Customers According to
AgeAge Number of CustomersPercentage
15-185580%
19-221116%
23-2623%
27 above11%
Total69100%
Age:Table and Figure3.1 show the distribution of customers
according to age. Eighty percent of the customers are under the age
bracket of 15 to 18; and 16% comes from 19 to 22 years old;
followed by 3% which is 23 to 26 years old; and the remaining 1%
comes from 27 above.Table 3.2 Distribution of Customers According
to GenderGenderNumber of CustomersPercentage
Female5072%
Male1928%
Total69100%
Gender:Table and Figure 3.2 shows that there are 50 female
customers and 19 male customers. The majority of customers are
females which comprise 72% while male customers consist only
28%.This shows that female students wants to socialize and most of
the students of Hospitality Management were females.
Table 3.3 Distribution of Customers According to Weekly
AllowanceWeekly AllowanceNumber of CustomersPercentage
Php 250-5004058%
Php 500-8001826%
Php 800 above1116%
Total69100%
Weekly Allowance:Table and Figure 3.3 show the distribution of
customers according to weekly allowance. Most of the customers have
a weekly allowance of Php250 to Php500 which represents 58% of the
respondents; followed by Php500 to Php800 with 26%; and Php800 and
above which is 16% of the customers.Customers who fall under the
highest allowance bracket are most likely to visit the coffee shops
in a more frequent basis because of their purchasing power.
Table 3.4 Distribution of Customers According to Frequency of
Visit Days in a WeekNumber of RespondentsPercentage
1-35988%
4-6710%
722%
Total69100%
Days: Table and Figure 3.4 indicate how often the customers
visit the coffee shops in a week. 88% of the customers visit 1 to 3
times, 10% of the customers visit 4 to 6 times and the remaining 2%
of the customers visit 7 days in a week. The highest percentage of
customers are considered regular purchasers in 1-3 days in 1 week,
the second highest percentage are occasional customers 4-6 days in
1 week whereas the lowest percentage of customers are infrequent
buyers.
Table 3.5 Distribution of Customers According to Hours Spent in
a Coffee ShopHoursNumber of CustomersPercentage
1 or less5175%
2-31522%
4 and above23%
Total69100%
Hours: Table and Figure 3.5 represent the distribution of
customers according to hours spent in the coffee shops. 75% of
customers spent an hour or less, 22% of the customers spend 2-3
hours, and only 3% of the customers spend 4 hours and above.
Majority of the customers spent an hour on a single visit in a
coffee shop to grab a cup of coffee, spend time with friends or do
some work.
Table 3.6 Distribution of Customers According to
AddressAddressNumber of CustomersPercentage
Cavite City4565%
Noveleta1116%
Rosario710%
Others place69%
Total69100%
Address:Table and Figure 3.6 indicate that 65% of customers live
in Cavite City; followed by 16% of customers are from Noveleta; 10%
of customers reside in Rosario; and 9% of customers live in other
places such as Tanza, Naic, Las Pias and Imus.Most of the customers
reside in Cavite City, thus it will be more convenient for them to
visit the three coffee shops.
Table 3.7 Distribution of Customers According to
CourseCourseNumber of CustomersPercentage
HRM4768%
Tourism2232%
Total69100%
Course:Figure3.7Table and Figure3.7 show the distribution of
customers according to their course. Sixty-eight percent are HRM
students of San Sebastian College-Recoletos de Cavite; and 32% of
the students are Tourism major.Most of the customers who have
visited the three coffee shops are HRM students since they are more
into food and beverages thus they are more eager to explore
establishments related to food and beverages.
Table 3.8 Distribution of Customers According to Post Purchase
Actions in Cofftea ZoneResponseNumber of CustomersPercentage
Yes 6391%
No39%
Total69100%
Table and Figure 3.8 shows that 91% of the customers would like
to visit Cofftea Zone in the future, whereas the remaining 9% do
not have any plan of repeating purchase. According to data 91% of
customers are willing to come back and visit again and the 3% of
customers said who claims not visit again cofftea zone.
Table 3.9 Distribution of Customers According to Post Purchase
Actions in Subi-Monte
ResponseNumber of CustomersPercentage
Yes 5275%
No1725%
Total69100%
Table and Figure 3.9 shows that 75% of the customers would like
to go back in Subi-Monte in the future and the remaining 25% do not
have any plans to go back.According to the above data, majority of
the customers were satisfied about the quality of service that
Subi-Monte offers, and thus willing to repeat purchase.
Table 3.10 Distribution of Customers According to Post Purchase
Actions to Caf AntixResponseNumber of CustomersPercentage
Yes 6289.86
No710.14%
Total69100%
Table and Figure 3.10 shows that 90% of customers like to visit
Caf Antix in the future and the remaining 10% are not willing to
come back again. Based on the results of the survey, a large
portion of the customers plan to do some future transactions with
Caf Antix.
Table 3.11 Distribution of Customers According to Positive
RemarksVariableNo. of CustomersPercentage
Food535%
Service215%
Ambiance750%
Total14100%
Table and Figure 4.1 shows that 35% of customers gave positive
remarks on food, and in terms of service 15% customers make
positive remarks, last would be the ambiance with 50%
respondents.It only shows that customers look more on the ambiance
of a coffee shops rather than the service, because the first
impression of the people will be the place.
Table 3.12 Distribution of Customers According to Negative
RemarksVariableNo of CustomersPercentage
Food450%
Service112%
Ambiance338%
Total8100%
Table and figure 3.12 indicates that 50% of the customers
respond negative remarks on food, and 12% customer gave negative
remarks, and in terms of ambiance 38% customers came up with a
negative interpretation. It shows that customers demand to lower
the price of food, because some products are too expensive and it
is not worth for the quality of food and beverages.
Table 3.13 Customers Evaluation of Cofftea
ZoneVariableMeanDescriptive Interpretation
Food
Taste of food3.36Excellent
Taste of coffee/beverage3.40Excellent
Variety of coffee flavors3.26Excellent
Price3.00Very Good
Service
Friendly employee3.50Excellent
Timeliness of service3.06Very good
Service attitude3.27Excellent
Ambiance
Convenient location3.17Very Good
Cleanliness of the shop3.32Excellent
Enjoyable atmosphere3.27Excellent
Spacious area3.04Very Good
Table 4.3 indicates that Cofftea Zone provides high quality of
food and beverages, which allowed it to earn an excellent overall
rating. Cofftea Zone got its lowest rating of 3.00 in terms of
price. This shows that Cofftea Zone needs to work on price
reduction, provided that the customers are college students who
have limited budget, but not to the extent that profit margin will
be affected.
Table 3.14 Customers Evaluation of
Subi-MonteVariableMeanDescriptive Interpretation
Food
Taste of food3.36Excellent
Taste of coffee/beverage2.67Very Good
Variety of coffee flavors3.00Excellent
Price2.96Good
Service
Friendly employee 3.14Excellent
Timeliness of service3.20Very Good
Service attitude 3.23Very Good
Ambiance
convenient location3.05Very Good
Cleanliness of the shop3.28Excellent
Enjoyable atmosphere3.07Very Good
Spacious area3.11Very Good
Table 4.4 shows that Subi-Monte got its highest rating for the
cleanliness of the shop with a rating of 4.28 which renders it
excellent and the lowest rating is in terms of price which is 2.96.
It implies that the customers has earned satisfaction on the
quantity, service and taste of food and beverages since they expect
more from what they pay for.
Table 3.15 Customers Evaluation of Caf
AntixVariableMeanDescriptive Interpretation
Food
Taste of food3.54Excellent
Taste of coffee/beverage3.49Excellent
Variety of coffee flavors3.44Excellent
Price3.02 Very Good
Service
Friendly employee 3.28Excellent
Timeliness of service3.38Excellent
Service attitude 3.39Excellent
Ambiance
Convenient location3.44Excellent
Cleanliness of the shop3.38Excellent
Enjoyable atmosphere3.32Excellent
Spacious area3.33Excellent
Table 4.5 shows that Caf Antix has an edge over its two
competitors when it comes to taste of food, with an excellent
rating of 3.54. It earned its lowest rating of 3.02 in terms of
price. It shows that customers liked the quality of the food,
service, and good ambiance in this coffee shop.
Table 3.16 Summarized Evaluations of the Customers of the Three
Coffee ShopsCoffee ShopFood Service Ambiance Average Descriptive
Interpretation
Caf Antix3.373.353.373.36Excellent
Cofftea Zone 3.263.283.203.25Very Good
Subi-Monte3.003.193.133.10Very Good
Caf Antix ranked first with a weighted mean of 3.37 in terms of
food; followed by Cofftea, 3.26; and Subi Monte, 3.00. In terms of
service quality, Caf Antix earned an average of 3.35; followed by
Cofftea, 3.28 and Subi-Monte with a weighted mean of 3.19.The most
appealing environment to them was Caf Antix with a weighted mean of
3.37; second was Cofftea, 3.20 and Subi-Monte with an average of
3.13.Generally, Caf Antix got the highest average rating of 3.36;
followed by Cofftea Zone, 3.25; and Subi-Monte with 3.19. These
three coffee shops are consistently performing well in all areas
regarding the quality of food, service and ambiance.It indicates
that respondents would not want to only pay for the product itself,
but also for other factors such as ambiance and overall experience.
It also shows a clear shift of consumer focus from service factors
to price factors.
CHAPTER IVDISCUSSIONSummary of Findings Problem 1: What is the
profile of the customers in terms of age, gender, weekly allowance,
frequency of visit, time spent in the coffee shop, address, course
and year level?Based on the results of the survey, majority of the
customers belong to the age bracket of 15-18, are female, and
reside in Cavite City. Most of the customers are HRM students, have
a weekly allowance of Php250 to Php500, visit the coffee shops once
to thrice a week and spend an hour or less per visit.
Problem 2: How do the customers evaluate the three coffee shops
in terms of food, service and ambiance?The survey shows that the
strongest point of Cofftea Zone is service with a mean of 3.28 and
a descriptive interpretation of excellent food got a mean of 3.26
which is also interpreted as excellent; then ambiance got a mean of
3.20 or very good.As to the evaluation of customers on Subi-Monte,
it also got its highest rating in terms of service with a mean of
3.19; followed by ambiance with a mean of 3.13; then food with a
mean of 3.00, by which all aspects have a corresponding descriptive
interpretation of Very Good.Caf Antix consistently earned excellent
ratings of 3.37, 3.37 and 3.35 in the areas of food, ambiance and
service, respectively.Generally, Cafe Antix with an average of 3.36
got the highest evaluation among the three coffee shops with
regards to the food, ambiance and services. Majority of the
customers are willing to have some future transaction with the
three coffee shops in Cavite City.
Problem 3: What are the customers comments and recommendations
to the coffee shops? Cofftea ZoneSome of the customers positive
remarks were the following: good and refreshing place, excellent
location, and good taste of coffee and food. However, some
customers commented on high pricing and slow service. They also
suggested for more choices in the menu.
Subi-MonteA number of customers gave positive remarks on good
quality of food and beverage, and high sense of security on the
part of customers. On the other hand, they stated negative comments
on high price and lack of knowledgeable crew. Additionally,
customers recommended necessary renovation and extension of the
shop.
Caf AntixThis coffee shop received the most number of
compliments among its two competitors. According to the customers,
Caf Antix offers very good food, maintains perfect ambiance, has a
spacious area, and gives excellent customer service.
RecommendationsThe research would like to recommend the
following:
Implement Customer Loyalty ProgramSince the respondents have a
common perception of high price on the three coffee shops, the
researchers recommend that the three coffee shops can launch a
customer loyalty program. This marketing strategy will help them
attract customers from purchasing more products in a more frequent
basis. For instance, some coffee shops like Starbucks hand out
punch cards which entitle customer to avail free food and drinks
after a specific amount of purchase accumulated over time. This
will give a dual effect on the part of the customers and the
seller. As to the consumer, reward points add justification to the
price they are paying for. On the other hand, the seller will gain
more loyal customers.
Offer Complementary Pricing StrategyAnother method that will
increase their value in terms of pricing is by means of
complementary pricing. This is a strategy in which one of the
complementary products is priced without profit or cost
considerations. Consequently, this will stimulate the demand for
the other product. Its ultimate objective is to maximize the volume
of sales; thereby generating profit that adequately covers losses
sustained by the first product.The coffee shops can change their
products at the price lower than those of competitors. For example,
they may set the price of coffee at a cheaper price. Then, they
will raise the price of sandwiches to just a little more than of
their competitors in order to compensate. The low-priced item will
draw customers in, and once they are in the caf, they are more
likely to also buy the slightly-priced item. This is
anothermarketing strategy that may increase customer value since
they will have this perception that the price of their primary
products is affordable.
Enhance of Ambiance in Subi-Monte One of the factors to consider
in defining customer-perceived value is the experience which
customers get out of the most of the time they stay in the coffee
shop. Based on survey results, Subi-Monte has the lowest rating in
this area. Thus, it will be beneficial for them to further develop
an appealing and enjoyable environment.
Train the employees of Subi-Monte Specifically, Subi-Monte got a
low rating based on the friendliness of employees, which also
yields a significant difference compared with the other two coffee
shops. Since employee-customer relationship is a very important
element of service entitles, it is recommended that Subi-Monte can
pay more attention on this. Provided that employees or the service
crew are well-informed on how they are going to deal with their
customers, indirectly, this will increase customer
satisfaction.
Conduct Further Research and StudyThis study can be more
developed by using other typesof data collection such as
interviews, focus groups and observational study. This will provide
a more comprehensive basis for comparison and analysis since
resources would not be limited only to survey ratings.
Conclusion
Based on the findings of this study, the researchers deduced the
following conclusions:As perceived by the customers, Caf Antix got
an excellent rating which is highest among the three coffee shops
while Cofftea Zone and Subi-Monte both got a Very Good.The
customers find the services offered by Caf Antix as the most
competent one, having a rating of Excellent. Cofftea Zone also got
an Excellent while Subi-Monte earned a Very Good.The perception of
the customers to the overall facility of Caf Antix bears an
excellent rating. On the other hand, Cofftea Zone and Subi-Monte
got a rating of Very Good in this aspect of performance.Generally,
the researchers conclude that Caf Antix excelled among its two
competitors, considering food, service and ambiance as the basis of
comparison. Cofftea Zone ranked second in the overall rating,
followed by Subi-Monte.
APPENDICES
BibliographyHeather Dismore, Andrew G. Dismore and Michael
Gravey , Running a restaurant for adummies 2004Douglas brown, Lora
Arduser and Elizabeth Godsmark Coffee espresso and tea shop
2004Grace Perdigon P., Food Service Management in the Philippines
2004wisegeek.com 2013euromonitor.com 2012Studymode.com 2012
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