Beano’s Cafe

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COMPANY BACKGROUND
Beano's Cafe, one of the most successful and popular cafe chains in Egypt, has branches throughout the country including locations in Cairo, Alexandria, and Giza. At Beano's, customers can enjoy excellent quality coffees, soft drinks, shakes, and infusion drinks, as well as a wide variety of sandwiches, hot meals, and desserts. Beano’s Cafes aim is to offer its customers a convenient, relaxing place where they can purchase food and beverages of a high quality at an affordable price. The cafes have a distinctive layout and style which is achieved through a combination of contemporary design and warm colors that give them a pleasant atmosphere. The cafe’s environment is characterized by simplicity, elegance, cleanliness, and a modern design. It is known as a place where young people can gather and where people can enjoy an affordable outing, listen to the latest music, and use wireless Internet.

The creators of the Beano's Cafe Group had wanted to open a new coffee shop in Egypt for a long time but they saw problems in entering the Egyptian market. They believed that the Egyptian population would not be keen on coffee made from unfamiliar, new ingredients. The Egyptian market was locally driven toward oriental cafes, Turkish coffee, and shisha (water pipe); thus, Beano's' marketing strategy was to introduce the Egyptian consumer to a new café experience. There was also fierce competition from other coffee shops, including Cilantro Café and Costa Cafe, and from other small, local cafes. Despite these concerns in 2000, Beano’s opened its first café in Egypt, introducing new coffee products such as cappuccino and espresso to the Arabic market. Beano’s wanted to increase its market share and target a new segment—senior citizens—along with maintaining and/or increasing its appeal to the youth segment, which represents the majority of its customers. The senior citizens represented the higher socio-economic class; however, Beano’s discovered that young clients represented up to 70 percent of their daily clients. Beano’s Cafes higher management wanted to retain its satisfied clients while also increasing its share of the customer base. They therefore put together a new marketing strategy. Beano’s Cafes management team knew through customer surveys carried out in their chains that 60 percent of their customers keep coming back because of staff friendliness, 20 percent because of the quality of the service, and 20 percent because of theoverall atmosphere at Beano’s Cafe. The café's new marketing strategy was divided into three parts: The first was 13 percent value (offering more for the same price), the second part was 17 percent quality (offering an affordable, quality cafe experience, and improving the taste of the coffee), and the final part was 67 percent service (improving the face-to-face interaction with customers inside the cafe). Beano’s placed the greatest emphasis on improving the level of customer service in its cafes. The company did this in a number of ways. First, management decided to speed up the serving process by allocating one minute for taking orders, seven minutes to make the order, and a final one minute to give the table the bill. Therefore, the whole process took a very fast nine minutes. Beano's also improved its communication with customers by greeting them and paying attention to their needs. Beano's has an ultimate advantage that none of its competitors have—the kitchen. Having a kitchen allows Beano's to offer a larger menu selection. Customers can also ask for items not included in the menu or can modify their chosen item. These options are not available in most cafe’s in the region and impress consumers. Having the advantage of a kitchen allowed Beano's to discontinue using ready-made food and instead making every meal to order, thereby differentiating itself from its closest competition Cilantro Café. This enabled customers to modify their orders. It also permitted customers to...
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