Executive Summary The ABC company has come up with a new restaurant concept known as Blossom, and this concept is one of a kind because it has rare menus Americans have ever come across

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Executive Summary

The ABC company has come up with a new restaurant concept known as Blossom, and this concept is one of a kind because it has rare menus Americans have ever come across. The restaurant plans to have a menu with fresh food products and plant-based material grown locally to give back to society. This restaurant plans to have all kinds of meals, be it you're a vegetarian, vegan, or even non-vegetarian, making it a must-try place for everyone. Consequently, eating something not made from animals but has the same taste or somehow even a better taste than the non-veg food sounds like an amazing idea and pocket-friendly. Blossom has a goal to earn approximately $ 360000, which is expected to rise to $ 520000 by the end of 2 years. Therefore, this infers that the restaurant has plans to generate more profit by about 69% in two years; hence this will enable the restaurant to attain a break-even point (Varadarajan,2015).

Current market situation of restaurants in the USA

1. Food trends in the US.

Food is a basic need to everyone's life; in the global trend food and restaurant report by S, lock, 2021, The CEO of the company selected top food to look out in the year 2020. The president of the company picks animal-based products as the first choice. Based on the report that chicken was the most ordered food item in the United States of America, ate more than 300% of the total food (Cho et al.,2020). Waffle fries, steak, fish, and chips are also the most trending meals; hence we can conclude that the current market for Blossom Restaurant is full of new opportunities and growth because the people in the US are both vegan and non-vegan. Notably, most of the restaurants are either vegan or non-vegan. Therefore, with both selling vegetarian food and animal-based product food, Blossom will have a competitive advantage over the other restaurants.

1. Full-service restaurants

The food industry in the united states has been growing over the past decades; for instance, the US food industry sales have more than tripled since 2000. Unfortunately, since the outbreak, this industry has been counting losses due to sessions of movement and lockdowns to avoid the spread of the disease. Statistica (S. Lock) statistics show that the sales revenue of full-service restaurants in the US from 2013-2020 has been increasing gradually; for instance, in 2019 estimated output was $76.5 billion. A full-service restaurant that offered all the service started with breakfast, lunch, and dinner. However, over 45% of restaurants in the US are full-service restaurants. This is good news to the Blossom company because it a full-service restaurant, the market is now serving well, and the chances of development are higher. The restaurant needs to furnish quality food with its remarkable style and taste (Cho et al.,2020).

1. Competition

Direct competition is when a company's product is similar to another company, meaning the company is competing for a potential market. At the same time, direct competition is the conflict between businesses that are selling the same products. However, numerous restaurants are selling the same food as Blossom intends to start selling; therefore, there is potential direct and indirect competition. Notably, Blossom is a full-service restaurant selling vegan and non-vegan food, plus its dedicated staff increases its competitive advantage in the market. However, Blossom is experiencing direct and indirect competition from other restaurants regardless of whether they are limited service or full-service restaurants.

1. Pricing

Notably, the total revenue collected by US restaurants in 2019 amounted to approximately $ 863billion this year; however, in 2020, the sale has been reported to increase by 3.6%. The advancement in technology is one factor causing this growth rate to be high; confidently, we can refer to the growth as solid growth; the industry is performing better than other industries. Generally, the food industry generates income from different sales of food staff, such as fast food products. As a result, costs are higher than any time in recent memory, and activities are improved compared to previous times.

3. Swot analysis

Swot analysis enables restaurant owners to gauge their position in a specific market, and it's important to know the strengths and weaknesses of a particular company and the opportunities and threats the business may suffer. Therefore, it is essential to incorporate everyone's ideas and views during swot analysis, starting from managers, chefs, assistant managers, and other stakeholders (Abdel-Basset et al.,2018).

Strength	Weakness	Opportunities	Threats
Blossom is selling high-quality food and also offers home delivery services which will help attract more customers.	Lack of proper channel of advertisement or promotion to increase awareness of the restaurant	Providing different of food and beverages	Health concerns such as hygiene, obesity, increased media concerns on identifying unhealthy food
Food sold has low calories	Lack of enough employee training	Offering delivery services and take out	Competition from well-established restaurants around your area
Food products are pocket friendly; therefore, everyone can afford it	Lack of consistent supply of raw materials	Carrying out operations in a high growing market	The rise in the cost of raw material, hence increase in the cost of production
Selling healthy organic food that is trending in the USA	Limited options of the food product category	Earning high revenue by offering service to people with high ranks or government officials	Finding new suppliers might affect the business.

4. Objectives

Year 1.

One of the objectives of opening blossom restaurants is to create a positive customer experience that will enable the customer to come back next time by making them feel that they matter since they entered the restaurants until they leave (Su et al.,2019). On the other hand, it important to establish customer loyalty to make them regular customers. For instance, the restaurant should place a reward system that allows customers to build up points when they visit the restaurants and use the point by redeeming them to win free meals. However, the restaurants have a task to increase brand awareness, Blossom being a starting and small business its important to consider objectives such as increasing brand awareness. This can be through promotion and social media platforms.

Year 2.

Maximizing sales revenue

The restaurants can offer a diverse menu, and this is after doing market research to identify which kind of food customers like consuming to come up with a diverse menu. The restaurants should have a menu that accommodates different food and recipe types to ensure customer satisfaction and increase sales revenue. After gaining customer insight, historical data, location, and how seasonality affects the restaurants, it's important to develop marketing strategies that will increase sales revenue.

5. Marketing Strategies

a. Positioning.

The value proposition marketing strategy should state the problem and how the organization can offer the goods or services to solve it. For example, Blossom's value proposition statement "We are committed to serving you the best quality meals for a healthy lifestyle."

b. Targeting.

It is important to understand the demographics, psychographics, and behavior of the population segment that the restaurant intends to attract (Morgan et al.,2019). Blossom intends to attract a customer who is vegan and non-vegan customers. However, it also has a bigger target, such as

1. Those customers who prefer fresh and organic food

2. Those who value family dining

3. Those people who spend a lot of money eating out.

4. Those who are influenced by locally sourced food

5. Tourist and those who like adventures

6. Those who like eating fast food

7. People who work more hours

8. Those who like to order food online.

9. Regular customer

10. High income, middle- and low-income level customers.

c. Integrated market mix.

Product.

Product is one of the vital elements of the marketing mix because it is what is sold to the customers. Blossom restaurant has a different product that is the solution to hunger and other recreational purposes for many customers in the USA (Thabit & Raewf,2018). The restaurant intends to sell many products that are unique and of high quality in all the markets. However, the restaurant product and service meet the requirement of the department of health and government agencies. In addition, the product will offer a competitive advantage because the meals produced at Blossom will be unique in such as fresh and sourced locally, free from calories, best quality, and affordable prices.

Pricing

The most effective pricing model is a cost-plus pricing strategy, where all of the cost that goes into a plate of food, including fixed costs such as rent and wages for employees, is accounted for. When the different meal cost is determined, the profit margin should be added on top, but the price must be reasonable. This strategy enables decision-makers to make an informed decision by giving them a range of prices to work with. However, another triple pricing strategy is commonly known as (good, better, and best). This strategy tends to incorporate all-income customers where good quality meals are cheaper, better quality a middle-income customer can afford, and best the high-income level customers (Thabit & Raewf,2018).

Place /distribution

The restaurant's location is important to consider before opening it, which helps the organization understand current trending food, the culture of the customers, and their preferences and taste. However, the restaurant should develop a distribution system that will be used to offer delivery services for clients who order food online. The convenience, consistency, and accessibility of the restaurant are important in marketing products to gain customer loyalty.

Promotion

To increase customer awareness of Blossom restaurant and increase competitive advantage, the organization should invest some money in promotion and advertisement. The advertisement can be done through social media platforms because most people nowadays carry out their transactions online due to technological advancements. Furthermore, the company should develop a reward system where customers can earn points after eating at the restaurant, and these points can be redeemed after some time for free meals or other prizes.

Marketing control.

Analysis of market shares

Blossom should have well-trained accountants who will be doing financial analyses of the restaurants. Analysis of market shares will be used to measure, compare and correct results obtained from the analysis. Although market share refers to the company's total sales, according to Reid & Tadj (2018), the analysis will help determine how the restaurant performs compared to its close competitors.

Quality control

The organization must ensure that their meals are of high quality and the quality remains constant all the time. In addition, the restaurant officials must ensure the restaurant is in line with state rules concerning food safety. Finally, the officials should ensure the food and meals meet the need and customer expectations for them to continue being loyal customers of the restaurants.

Surveys and feedback from customers.

The restaurant should have a strategy to collect customer feedback to gauge the services that Blossom provides. This enables the restaurant to measure its performance and understand its weakness to make necessary corrections where needed.

Sales analysis

After the analysis, a detailed report should be formulated to show blossom restaurant sales performance, customer data, and generated revenue (Reid, & Tadj2018). The report will outline strengths and weaknesses, opportunities, and threats of the restaurant by comparing historical data and current trends to determine emerging trends relevant to the restaurant.

 

 

Elevator pitch

I am considering opening a full-service restaurant in New York because few such restaurants offer quality, clean and best service to all kinds of customer. The restaurant is designed and well-prepared, starting from committed employees passionate about delivering the best quality meals for a healthier lifestyle. Also offering fresh food, family dining, fast foods, vegan and non-vegan, delivery services, plant-based and locally sourced food. Besides, committed to selling pocket-friendly meals that accommodate low, medium and high-income customers by having the best pricing strategy. The restaurant is planning to give back to the community by responsibly sourcing most of its supplies locally, which will help generate revenue for the community, leading to the community's economic growth and providing job opportunity to the local people.