SampleProposal_Balzacs

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Humber College *

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500

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Marketing

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Feb 20, 2024

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Brand Audit Proposal: Balzac’s Coffee Roasters MKT 510 - Innovations In Marketing Dr. Rishad Habib February 15, 2022 Group 11, 2 Contextualize Balzac’s Coffee Roasters was developed in 1996 in Stratford, Ontario by Diane Olsson, with currently 17 locations across the Canadian province. Balzac’s has maintained its brand resonance by creating a beautiful café atmosphere that is Parisian inspired (Balzac’s Coffee Roasters, 2020), providing consumers with a purchase experience that is unlike Starbucks and Tim Hortons, top competitors in the coffee service industry. The brand prioritizes “experience over price; Balzac’s high-quality coffees and prime locations have provided them incredible popularity across Ontario” (Allegra, 2020). Other competitors in the niche market, focusing on quality and experience are: Uncommon Grounds, Caffe Umbria, and The Roasterie (Zoominfo, 2021). The team proposed two consumer segments: the conscious student, looking for a place to work or hangout with friends (generation z – millennial) and the artisanal patriot (millennials and above). The Shark-tank winning founder espouses the brands success to her “cautious approach to growth” (Castaldo, 2019) Summarize A brand audit is a “comprehensive examination of a brand to assess its health, uncover its sources of equity, and suggest ways to improve and leverage that equity” (Keller et al., 2020). The intention of this brand audit is to leverage consumer behaviors regarding wholesale coffee purchases from grocery
retailers. Specifically, to determine whether Balzac’s can increase wholesale distribution in provinces outside of Ontario, like Quebec and Vancouver. A critical concern is that Balzac’s brand equity will be tarnished if this expansion strategy is pursued because they are a regional brand known for providing a fulfilling in-store experience. Currently, Balzac’s is selling pounds of their coffee grounds to Loblaws, Sobeys, Metro and Costco stores in Ontario (Balzac’s Coffee Roasters, 2020). The impetus to this inquiry was the brand's new financing that coincided with the start of their grocery retail distribution in 2016. In fact, “The revenue from Balzac’s wholesale business is still a fraction of what the cafés earns … At grocery stores (outside of Ontario), the brand might be entirely new to someone coming across it in the coffee aisle” ( Castaldo, 2019 ). Plan The team will conduct secondary research on coffee consuming behaviors in Quebec, and Vancouver. Given the points of parity or difference observed in the different markets, the team will reach out to a proportional number of grocery retailers in each city. They will participate in a survey asking demographic and behavioural questions about coffee consumers in their select retail stores. This will be completed independently, involving a series of Likert scale, multiple choice, and rating scale questions. Group 11, 3 Next the team will conduct qualitative interviews with current wholesale retail coffee consumers in Ontario to observe the brand resonance of Balzac’s. We will specifically conduct this research in the regions of Toronto, Kitchener, and Mississauga. These interview questions will be developed using the four principles of the Brand Asset Valuator: differentiation, relevance, esteem, and knowledge. The data will help the team understand the consumer perspective of Balzac’s brand equity in its current market and determine the feasibility of national expansion. Executed by asking demographic, behavioural and situation-based questions. Group 11, 4 Group 11, 5 Works Cited “Balzac's - Overview, News & Competitors.” ZoomInfo , ZoomInfo Technologies LLC, 3 Dec. 2021, https://www.zoominfo.com/c/balzacs/7523305. Castaldo, Joe. “Balzac's Coffee Roasters' Measured Expansion Puts Brand Equity above Size and Profits.” The Globe and Mail , 27 Sept. 2019, https://www.theglobeandmail.com/business/rob
magazine/article-balzacs-coffee-roasters-measured-expansion-puts-brand-equity-above/. “Interview: Diana Olsen, Founder of Balzac's Coffee Roasters.” Allegra , World Coffee Portal Ltd., 20 Feb. 2020, https://www.worldcoffeeportal.com/Latest/InsightAnalysis/2020/February/Interview Diana-Olsen-Founder-of-Balzacs-Coffee. Keller, Kevin Lane, and Vanitha Swaminathan. “Brands and Brand Management.” Strategic Brand Management Building, Measuring, and Managing Brand Equity , 5th ed., Pearson, Harlow, 2020, pp. 30–34. “Our Story - The Inspiration and Our Team.” Balzac's Coffee Roasters , Shopify, 2020, https://shop.balzacs.com/pages/subscribe.
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