Introduction
The study has been concerned with the strategic change plan of the organization named Costa Coffee. The strategic change plan has been considered as the factor that includes the assessment of the organizational strategy and hence it reviews the organizational strategy. Consequently, the accession of the organizational strategy can help to evaluate the changes that have to be embraced to establish the performance of Costa Coffee and to influence the positive behavioral change for every individual in the context of Costa Coffee. Hereby, the essay focused on the Costa Coffee that is founded in London and also operated in more than 2600 coffee shops in the UK and nearly about 1300 coffee shops in the international markets. The discussion of the strategic audit, strategic change option as well as the action plan has been influenced in the study. The action plan is the specific way that ensures the concerned organizational vision and also defines the utmost way the organizational group has to maintain to achieve the concerned organizational objectives.
Strategic Audit
The concerned company named Costa coffee has been observed to utilize the demographic and Geographic segmentation strategy to satisfy the consumer needs and to target the potential consumers in the market. A selective strategy that is utilized by Costa Coffee has been observed to be present in the various nations which are geographically separated. The following strategy assists the concerned company to cater the consumer needs. However, the strategic audit aims to assess the current strategies of the concerned company and to make the change in the strategies is required. With the incorporation of this specific strategic auditing process, the concerned company named Costa coffee can introduce innovative and new products according to consumer needs (Traynor, 2017).
Brand equity strategy
Whether it is a social or digital platform, the company named Costa Coffee has an effective presence in the context of the media. This has been identified as the unprecedented strategy utilized by Costa Coffee as it helps the company to create awareness and consequently, it helps the company to determine the consumer needs. Moreover, the presence in the media also helps the company to gather various information of the competitors in the market. Through the accession of the various information based on the foremost competitor named Starbuck, the issue that has been evaluated is the concerned company has to increase the brand value to compete potentially against Starbuck. The major issue is that many potential consumers are moving to another coffee shop and thus it can lead the concerned organization to downflow. Although, the political environment of Costa Coffee and the opponent star buck are the same. So, there is huge space for the concerned company named Costa Coffee for China’s coffee market development. With the development of the brand, the concerned organization can utilize the brand equity strategy. On the contrary, the concerned organization named Costa Coffee can influence its brand value and compete potentially against Starbuck,
Distribution strategy
It has been identified as another effective strategy to be followed by Costa coffee. It has been assessed that Costa Coffee has nearly about 3000 outlets and more than 4200 Costa-Express outlets expanded across the 29 countries throughout the world (Borgarino et al. 2016). However, there is an issue in the creativity in the distribution strategy and eventually the company needs to brighten the creativity and innovation in the distribution strategy as then the distribution strategy can help the company to expand its outlets in more countries throughout the world. The concerned company needs to influence the stock control and also need to embrace creativity in the advertisement process. Eventually, it can promote its sales and expand the outlets in more countries throughout the world.
Consumer analysis
The specific strategy has been opted by the concerned organization named Costa Coffee to analyze the consumer base. It has been observed in the context of Costa Coffee that maximum consumers of the concerned company are millennial and their ages are around 15-45 years. Moreover, it also has been assessed that the people under the age group of 15-45 years like the creativity and innovation in the organization. However, the millennials also like to get the blended beverages that are offered from the concerned company named Costa Coffee. Apart from that there are various psychological factors that include perception, motivation, learning, attitudes, beliefs and so on (Humburg et al. 2018). The personal factors include the life-cycle stage, age, occupation, economic status, personality, self-concept and so on. The culture also plays the pivotal role in the context of the concerned company named Costa Coffee. Hereby, it can be stated that the concerned organization is not much concerned on the psychological, personal and cultural factors of the consumer. Eventually, it can help Costa Coffee to identify the specific needs of the consumers and to attract the consumers of various age groups, not only the millennials.
Competitive analysis
Companies in the food and beverage industry always have to face the exit and entry barriers because of the branding cost and infrastructure involved in the concerned company set up. Hereby, if the concerned organization is not capable enough to meet the consumer needs and to satisfy the consumers, then consequently, the concerned company has to face the huge loss that can impact on the economic growth of the organization. In consequence, the concerned organization has opted for an effective marketing strategy named Competitive Strategy to analyze the brand value, cost rate of the competitors. However, it has been seen that the culture of coffee is quite new to the developed nation as well as developing nations. Apparently, there are a lot of potential competitors in the market between the national, local, and international players, and the company not influence the competitive analysis strategy. This has been identified as the specific issue that can lead the competitors to beat Costa Coffee.
Generation of strategic change option
A strategic change plan has been considered as the plan that helps the concerned organisation named Costa coffee to implement the new and innovative strategies. On the contrary, the new and innovative change in the strategies includes substantive changes and innovation beyond the organisational normal routines. The strategic change mainly refers to the movement of Costa Coffee away from the present state of the concerned company. Eventually, it can lead the company named Costa Coffee to increase its competitive advantage and to compete potentially against the competitors. The following changes have to bring in the strategy that has been undertaken by the company named Costa Coffee and eventually, it can help Costa Coffee to lead the market and expand rapidly throughout the world.
Enhancing the brand value
This has been evaluated as the change that has to be embraced in the corporation context and eventually, it can influence the brand value. It has been observed that the concerned organization named Costa Coffee presents in the social and digital media platform to increase awareness and to meet the needs of the consumers. However, Costa Coffee has to produce the creativity that mainly concentrates on the feel-good feelings of the consumers. Eventually, the Company has been focused on developing the diet product. In the modern era, the maximum consumers are very conscious about their health and the consumers want to have the food that can help the consumers to maintain the diet. With the inclusion of the diet product in the organisation, Costa Coffee can satisfy the consumers and make the economic growth rapid. Moreover, it can be stated this specific change option can lead the concerned company to lead the market and to expand its outlets in various countries throughout the world.
Innovation in advertisement
Costa Coffee already utilizes the distribution strategy to develop its brand value in various outlets. Although there are various potential competitors in the nation and thus the concerned company named Costa Coffee has to bring more innovation and creativity in the distribution strategy. Thus, the involvement of the print advertisements and the TV advertisements can influence its distribution value in various countries throughout the world. Moreover, it has been observed as the major change that has to be brought to influence emotional engagement. Eventually, it can facilitate the consumer base in the various places where the company has been expanded. On the contrary, the concerned company can influence its movement forward to communicate with the potential consumers regarding the individual reason to buy the organisational products.
Reorganization
The concerned company observed to utilize the consumer analysis strategy to identify the needs of the consumers. It has been observed by the company to implement the strategy to evaluate the needs of the millennials. However, there are also various factors such as the psychological factors, personal factors and the cultural factors and the company has not implemented any strategy to assess the psychological, personal needs of the consumers. Hereby, the scope arises to implement the strategic change and in order to assess the psychological, personal needs of the consumers, the company has to bring the new executives with knowledge. Thus, the knowledgeable executives can focus on the consumer’s psychological, personal needs and hence it can lead the concerned company to expand more outlets in the market (Pranzini et al. 2020).
Undertake the multiple scenario analysis
The coffee culture of the concerned organization is new to various developing and developed countries. However, the company is not using any effective competitive analysis strategy that can help the company to recognize its competitors and its cost rate of the product in developing countries. Through the analysis of the specific scenario, it can be stated, the company needs to develop the multiple scenario analysis strategies as it can focus on assessing the competitors, cost rate of the product in competing companies as well. On the contrary, it can lead the company to execute more effectively in the market and satisfy the consumers by creating cost-effective products (Daxini et al. 2019).
Action Plan
Task
Assigned to
Due Date
To ensure the organizational history effectively transpired in each and every cup
Foodservice supervisor
1.11.2020
To influence the diet food and to reduce the sugar in the products
Executive chef
2.11.2020
To establish the advertisement process
Chief executives
3.11.2020
To assess the psychological and personal needs of the consumers
Catering manager
4. 11.2020
Table 1: Action Plan
(Source: Self-Created)
The first task of the action plan has been assigned to the foodservice supervisor. In order to ensure the organizational history that effectively transpired in each of the coffee cups, the assigned individual will supervise appropriately to the foodservice department to influence the coffee taste and make it unique than any other coffee of other coffee shops.
To influence the diet of food and to satisfy the consumers concerned about their health, the assigned individual will reduce the sugar in the beverages and also have to maintain the hygienic procedure to ensure a healthy diet.
The chief executives will develop the advertisement process through the print ads and to increase its presence in the social as well as digital media
The assigned individual or the catering manager will recruit more knowledgeable employees, those employees can evaluate the psychological, personal needs of the consumers.
Conclusion
The essay can be concluded with the various strategies that have been utilized by the concerned organisation named Costa Coffee. The major strategies include, brand equity strategy, distribution strategy, competitive and consumer analysis strategy. However, there are improper ways of implementing these strategies and thus the scope to change the plan in implementing the strategies has been involved. The change that can help the company to maintain its innovation in an unique manner and eventually it can promote its outlets in more countries throughout the world.
References
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Daxini, A., Ryan, M., O’Donoghue, C., Barnes, A.P. and Buckley, C., 2019. Using a typology to understand farmers’ intentions towards following a nutrient management plan. Resources, Conservation and Recycling, 146, pp.280-290.
Humburg, D.D., Anderson, M.G., Brasher, M.G., Carter, M.F., Eadie, J.M., Fulton, D.C., Johnson, F.A., Runge, M.C. and Vrtiska, M.P., 2018. Implementing the 2012 North American Waterfowl Management Plan revision: populations, habitat, and people. The Journal of Wildlife Management, 82(2), pp.275-286.
Pranzini, E., Cinelli, I., Cipriani, L.E. and Anfuso, G., 2020. An integrated coastal sediment management plan: The example of the Tuscany Region (Italy). Journal of Marine Science and Engineering, 8(1), p.33.
Traynor, C., 2017. Data management plan: Empowering indigenous peoples and knowledge systems related to climate change and intellectual property rights. Research Ideas and Outcomes, 3, p.e15111.
