Cafe Nero Environment, Swot Analysis, Smart Objectives

Topics: Marketing, Coffee, Coffeehouse Pages: 10 (2794 words) Published: March 11, 2011
Page Content

Caffè Nero Facts 3

Environment Analysis 3
SWOT Analysis 5
Marketing strategies 7
7Ps 8
Monitor and evaluating plan 10
Conclusion 10

Gerry Ford set Caffe Nero up in 1997. His ambition was to bring a continental-style café to Great Britain with authentic Italian coffee, extremely good customer service, fresh delicious food in a neighbourhood setting with a friendly, relaxing environment. The group moved outside London for the first time in 1999, opened in Manchester as well as being rated "The best coffee house".In March 2001, Caffè Nero took part in the London Stock Exchange and then became the most popular coffee house organization in the UK. By the end of the year, Caffè Nero had 80 coffee houses in 24 cities and towns. From 2002 to 2004, it has purchased stores from other suppliers to expand the product lines and locations. In October 2005, Business Week magazine assessed Caffe Nero was the 20th fastest growing company in Europe.In early 2007, Gerry Ford led a management buy-out of Caffè Nero and it became the largest privately owned, independent coffee house brand in the UK valued at circa £250m ($500m).

Up to now, Caffè Nero have already more than 400 coffee houses in total, approximately 3,000 staffs, and has developed into one of the best recognised, most satisfied food and drink brands in all of Britain. | | (History 2008)| |

Environment Analysis
There are certain forces, inside and outside a business that influence marketing management’s ability to create and uphold successful relationships with target customers. Caffè Nero has such forces around it; marketing environment is made up of micro environment and macro environment as well as all other companies.

Micro Environment
Caffè Nero is the multinational company that has chains of the Italian coffee all over Europe. In Europe it has 400 stores out of which, Caffè Nero is increasing significantly, by making their strong relationship with their customers and the trust which they have improved, from many years, employees are the dearest possession of the company, so they are truly taken care of. The company has very organized check and balance system, which is also used for the assessment of the employee and the individual outlet.

Suppliers play an important role to the success of the company. By maintaining a close relationship with suppliers, Caffe Nero can ensure the best quality coffee beans and food delivered to stores. Customers

Customers are the keys to any business’ success. They are the base for any business. Caffè Nero put a lot of focus on customers’ satisfaction and strive to provide the best coffee and food to their customers. The market in the United Kingdom is growing with Competitors

Their main competitors are
1. Costa
2. Starbucks
3. BB’s Coffee & Muffins
4. Puccino’s
To make sure that the group can gain sufficient market share, they have to compete with these competitors on product prices, convenient locations and quality of food. Employees
Employees are asset for the organization so if they are not satisfied there is some problem and we see here is service problem because they failed to maintain good relation with employees.

Macro Environment
These are not controlled by the company and are environmental forces. Demographic Factor
Caffe Nero provides food and drink according to taste of the population. They influence...

References: :
History 2008. Retrieved June 5, 2010, from
Dibb, S.; Simkin, L.; Pride, W; Ferrel, O. (1994). Marketing Concepts and Strategies (2nd European ed.). Boston: Houghton Mifflin Company.
Boyd, H., & Walker, O. (1990). Marketing Management: A Strategic Approach. Boston: Irwin.
Kotler, P., & Armstrong, G. (2004). Principles of Marketing (10th ed.). New Jersey: Prentice Hall.
Dalrymple, D., & Parsons, L. (1986). Marketing Management: Strategy and Cases (4th ed.). New York: John Wiley & Sons.
SMART Objectives n.d., Retrieved June 7, 2010, from
Caffe Nero ADD 2006. Retrieved June 10, 2010, from
Caffè Nero website. Retrieved May 25, 2010, from
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