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This report will analyse the internal and external factors affecting United Kingdom’s restaurant and cafe Tropea Harborne. Also, the current internal analysis consisting Situational, objective, Strategy, Tactic, Action and Control plan of the digital marketing. This report will critically analyse external and internal environment of Tropea Harborne restaurant. What are marketing trends and competition and political, economic, social, technological, legal environment structure of the Tropea Restaurant have been discussed below.
Tropea Harborne is a cafe and restaurant situated in 27 Lords wood street, in Birmingham, United Kingdom. It is an Italian food restaurant started by Ben and Kasia in the year 2020, the name of Tropea was inspired by a small town Tropea situated on the east coast of Calabria in Italy (Tropea Harborne, 2022). The restaurant is specialised in seasonal and regional Italian food, wine coffee and other services.
External analysis
external analysis involves the assessment of the external factors and stakeholders of an organisation. it involves assessing the economic, political, legal demographic, social and technological environment in which an organisation operates (Corporate Finance Institute, 2022). Also, it analyses the market structures, trends and competitions pertaining within the scope of an organisational operational boundaries. The assessment is done to analyse and expect future changes and growth of an organisation.
Market trends
market trend is anything which forces an organisation to make changes and to adapt in order to cope with the change. Tropea Harborne restaurant was established in lockdown phase of coronavirus pandemic. In the time of crisis, the average spent on restaurant and café outlets increased as of 2019, but due to pandemic and lockdown effect the restaurants and cafes faced major loss and the consumer expenditure on food in restaurant declined ultimately in UK as of 2020 (S., 2021). The crisis forced the people to stay at home with strict control. It challenged the newly opened restaurant to adapt to these changes. The restaurant started its online delivery services through social media platforms. As the lockdown was over the restaurant owners set a positive remark in the minds of people through social media platform stating we have a relaxing and sun specked dine place while exploring the coastal streets of Italy in the best time of onset of autumn a holiday season ( Bains Sanjeeta, 2021). Tropea transforms in a relaxed and soft lit restaurant with the fresh launces 50% off on foods and additional of continental and regional speciality of food to the menu to attract more customers (Tropea Harborne, 2021).
Competition
People in Birmingham city are very fond of Indian food. Tropea have complemented its food offerings by adding Indian cuisine such as the Indian street food, typical chapati curry and Indian beverages to give a tough competition to its competitors (Out In Brum, 2021). Also, it has affordable dinner schemes and a perfect place for dining with family friends. Tropea is giving tough competition by holding the leading position in top 10 restaurants of Birmingham.
Digital pestle analysis
Digital pestle analysis is done in order to know the scope of marketing the organisation on various digital platforms. It is necessary to do a digital pestle analysis of a particular region for various reasons such as digital marketing strategy formulation. It is mandatory for any size of the business to do a pestle analysis. In this digital age organisations can identify threats and opportunities presented in their respective environment and can create and adapt to changes in their product and marketing strategies ranging from one place to another.
Digital Political Environment
It is necessary to consider the digital political environment of a country or reason n your organisation is operating in like what sites are banned to use and what sites are most trending in your reason also what are those political constraints and views which can alter the perception of your product, brands and ads (Smart Insight, 2020). In Birmingham it is quite common trend for restaurant owners to use social media platforms for showcasing their food dishes and Tropea Harborne is also having a very sophisticated Facebook and Instagram pages marketing its product and restaurant as well.
Digital Economic Environment
It is necessary to consider the economic environment and demographic level your brand and product can fit in. Economic constraints of a country and region such as analysing the expected disposable income groups to target and price strategies like basic, starter or premium services plan. The major challenge is price comparison between different sites of same service and product. Tropea Harborne have facilitated cheap and affordable digital menu and booking services for its customers.
Digital Social environment
It is necessary to consider social environment of a particular country or region as what is socially acceptable and understandable within a community and culture and what is of great appreciation and all of this can be known through online platforms. Such knowledge can open great opportunities for a business to accelerate. Such as special discount offers for festive season and special occasions can be made available on social on internet. Tropea has a very friendly approach, environment and quality services for the occasions and celebrations for its guests. It has access to various social groups within the city of Birmingham through social media platforms.
Digital technological environment
It is necessary to analyse the technological environment specifically the digital technology which is being used in a country or region. To set the digital marketing strategy business organisation needs to assess the technological reachability, the use of devices and all digital platforms which are being used in a particular place, also the website and how it being displayed on different platforms how customers are able to reach to your websites and pages, and what kind of customer behaviour is formed through such platforms. Tropea uses Facebook for aesthetic display of its special food dishes. Also, the owners use Facebook, twitter platforms for showcasing customers reviews about the restaurant.
Digital Legal environment
Legal obligations and limitations cannot be overlooked while setting up digital marketing strategies. It is necessary to consider the specific guidelines related to what to include and what not to include in your online adds and post. It is very important to adhere to the various laws and guidelines of different social media platforms as well as government laws related to digital platforms as it can make or break the overall brand perceptions and can affect your business at large. It is necessary to do age verification your page if you are selling alcohol in United Kingdom. Tropea is complying with the United Kingdom digital legal laws such as its product placement and promotional content as the restaurant is hardly promoting any alcoholic drink in its digital platforms.
Digital environment
It is necessary to consider the environmental factors as well as the organisation is functioning in an ecological system. In marketing the environmental consideration plays a vital role. Every organisation must make sure they are providing environment friendly product and services, it is hard to fully assess the environmental positioning as it depends on the type of product and services one is offering (Birmingham Mail, 2021). For example, food business organisation must consider the source and quality, packaging and disposable of their products. Any positive environment friendly change in your brand can boost your social profiles (James, 2020). Tropea is facilitating paper and plastic free packaging for takeaway and menu cards as it is using their cutlery in innovative way to turn them in menu. Also, the restaurant is providing clean facilities and an eco-friendly environment and all this can be known and seen on its digital media platforms. This in turn boosting their environmental-friendly image.
Internal analysis
An internal analysis is a vital part of any organisation assessment process as it focuses on internal competencies, strength, weakness of existing resources available, both operational functional (Indeed Editorial Team, 2021). Digital analysis of organisation’s marketing strategies like inventory management, content audit is also vital components which needed for effective marketing planning.
Digital inventory
Managing your inventory leads to management of revenues. Inventory management is a process of keeping track of inflow and outflow and proper management of your inventory (Tiffany, 2020). Digital inventory management refers to the process of supervising the real time inventory activities. Proper inventory management helps in forecasting demand for enhancing faster tacking and delivering (Back of House, 2020). Inventory management in restaurants is necessary in combating wastage and spoilage of food to achieve a better cost management inventory to achieve more profits margins. Digital inventory management consist of software tools to monitor the stock, raw material management, recipe management costing, central kitchen and shelf-life management and assigning roles and reporting analysis of inventory (The Restaurant Times, 2021). Tropea Harborne complying with the digital inventory management process and delivering good cost and less wastage by providing seasonal and best dishes out of available ingredients.
Content audit
Content audit involves a systematic analysis of the content available on digital platform it involves systematic assessment and audit and adapting the changes as to current marketing plans and objectives (Alina, 2020). Tropea Harborne is timely updating its content on its various platforms through search engine optimization and leveraging over social media pages to increase audience engagement through home delivery and updating the services affected due to coronavirus pandemic by mentioning its safety measures taken into to restaurant (Kristina, 2021).
Customer insight
Customer insight refers to the knowledge and understanding of customer behaviour. As the customer preferences, choices need and requirement changes it is necessary to assess the behaviour of prominent customers (Optimove, 2022). Tropea is very updated in assessing its customer insight as it does know how to treat their customers and also it knows what to give to the people at the time of different situational changes in the environment. It also assesses its online customers behaviour by timely acknowledging their queries and comments and giving feedback.
SOSTAC Model of Marketing
SOSTAC model involves current Situational, Objective, Strategy, Action and Control plan using 5 S that is Sale, Serve, Speak, Save, Sizzle. it is an effective digital marketing plan to attract and enhance customer build up (Chaffey, 2019).
Situational analysis
Situational analysis answers to where are we now. In the advance digital era internet plays a crucial role in marketing. Organisations use online digital medium to generate income. Following the covid-19 pandemic the Tropea also facing closure of dine in services. The restaurant has stated that they are closing Tropea due to covid positive cases of their staffs on their online platform. And they are in touch with their guests. Also, they stated that they are going to reopen from January 2022. Tropea’s vey concern for its staff as well as guest and come back strategy is its strong move in current situation. Tropea has a strong brand image in the city as its food is original Italian and have knowledge of a good taste of the city’s people (Instagram, 2020). It also facilitated live online order facilities for its online sale schemes. Also, the restaurant is focusing on improving customer insight changes and competitors move using social means but it lacks actively presence.
Digital strength and weakness can be measures on the presence of the business on various digital platforms (Blair, 2021)The one strength of Tropea Harborne is its sophisticate online content which made the page and restaurant’s dishes appears in aesthetic way. It has almost every special dish content available on Facebook and Instagram also the beautiful interior of the restaurant can be seen on various digital platforms. The websites have an online booking software facility and vouchers available. Tropea have greater reach to almost every demographic of the city of Birmingham through its availability on almost every digital media platform. Not just this the Restaurant have a positive, customers reviews and rating on digital media platform and websites. One weakness is that the timely update of the restaurant also it lacks offering direct discount schemes and mechanism for online customers.
Objectives
This stage answers questions like where we want to be. Every organisation wants to fulfil the demands and requirement of its customer as customer satisfaction is vital goal for achieving success and generate more profit and income. Building reputation and brand awareness for the products and services by identifying where the most valuable set of customers can be available Gaining advantage of online business affiliates for capitalization and exponential reach and richness. Based on the situational analysis the organisations need to focus on development for overcoming the present threats and weaknesses. Setting objectives must include SMART objectives model which is based Specific, Measurable, Actionable, Relevant and Time Related (Cowley M., 2016). Specific includes particular challenges and problem which an organisation is facing. Measurable involves assessment of the performance based on quantitative and qualitative criteria. Actionable involves if the plan can assist in improving the performance and relevant involves will this plan is relevant to the problem in the context of digital marketing tools and timeframe involves how much time will it take the plan to cultivate expected results (Digital marketing, 2020).
Smat objectives for Tropea Harborne restaurant:
Strategies
It answers to questions like how to achieve the set objectives. It also identifies which segment of the market the organisation needs to focus on for achieving the targeted aim. It focuses on developing suitable set of strategies and for the strategies to be aligned with the objectives, a digital marketing plan must be needed, it must be comprehensive efficient more focused. it is necessary to identify the targeted market segment and medium (Dave, n.d.). The plan also must focus on the marketing message it wants to present to various digital marketing channels and platforms. Such plan can be executed by registering business on various platforms. Patenting logo, phrase, inbuilt software for direct communication, and sales and purchase, creating pamphlets and to build many marketing materials consistently irrespective of which media platform is being used.
Strategies to be used to implement objectives:
Tactics and action
Tactics answers to questions like do we get there. It contains specific tools of the digital mix that are planned to use in strategies phase. it involves the whole sum of every possible tool available in digital media to facilitate the action plan. Also, the selection of the specific market segment the organisation aims to target. For example, it is identified what objectives Tropea Harborne wants to achieve despite being one of the best Italian restaurant in the city it aims at reaching to more customers varying from region to region irrespective of their income profile (Swan, 2021). Using various digital marketing tactics from hiring to paid promotions. From software development to timely posting and advertisement and email campaigns all aims at increasing market presence through digital means for the purpose of achieving set objectives.
The schedule for action plan is as below:
|
Action plan timeline |
Phase 1 (1-6 month) |
Phase 2 (1-3 months) |
Phase 3 (1-9 months) |
|
expansion |
Search for better digital tool for research and development of targeted region and city |
Hiring personnel for analytical research work through recruitment portals. |
Facilitating all possible resources for the research work. |
|
Advertisement campaigns |
for social media advertisement, a paid partnership is established with Instagram using tags and also paid influencers for promoting the restaurant services. |
For television advertisement outsourcing adds services to various channels. |
for magazines and newspaper advertisement paid digital press and publication promotional plan. |
|
Email campaign |
email marketing by sending emails to existing customers for special offers and services based on the food preference. |
Unique buy one get one offers. Discount vouchers email cart. |
A push message for referral to a friend with incentives schemes. For example, send this email to 5 of your contacts to get 20% discount on your next order. |
|
Digital media posting |
Hiring photographers for clicking beautiful and aesthetic photographs of the inventory for posting on all digital platforms. |
content audit and timely updating and posting of the required content. |
content can be posted tagging business partners and hashtags in captions and making reels. |
Control
|
Action plan |
Tools used Phase 1 |
Measurement criteria Phase 2 |
result Phase 3 |
|
expansion |
digital R & D (McKinsey’s model) |
Digital enablement like automation and advanced analytical tools for research (Brennan, et al., 2020), target location for acquisition marking |
Moderate result for tapping the source need is 60%, Fewer locations with satisfied level of scope for expansion |
|
Advertisement campaign |
Google analytics 360, power BI |
Instagram -no of tags used and forwarded messages to users around the county, likes on post of influencers and comments and reviews and forwarding advertisement stories and posts. Traffic on digital publication press, Tv add running time |
80% success results,3000 tags and 2000 forwarded messages, 30,000 likes on post. Best result of tv ad is between 7-10 pm. 70% traffic recorded on digital publication adds, satisfies results |
|
Email campaign |
Wireless devices such mobiles, tablets, laptop, apps like Gmail, mail, outlook |
no of follow ups and new user subscription, discharge of discount vouchers, |
80% open the emails 70 % clicked rate, 65% forwarded emails, 50% discounted vouchers |
|
Digital media posting |
Google, Facebook, Instagram |
no of likes comments, sharing of post contact via post |
moderate number of likes and shares 50 %, follow back and 40% new order placed |
Conclusion
Tropea Harborne is a sophisticated and beautiful restaurant in the coastal reason of Birmingham city, United Kingdom. The restaurant was established in lockdown phase of coronavirus spread. But it stands out because of its food and interior services it is actively present on digital media platforms. All the internal and external environmental factors affecting the restaurant pose a major challenge as well opportunities for greater benefits. Currently, the restaurant is overcoming the loss of pandemic by online live order facilities. It needs, its availability on digital platform is saving the boat. Strategy Implementation of SOSTAC model is been done for Tropea for better approach at marketing.
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