開設OHANA Play咖啡館的商業企畫書 - 政大學術集成

全文

(1)國立政治大學商學院國際經營管理英語碩士學位學程 International MBA Program College of Commerce National Chengchi University. 碩士論文政治. 大. 立Master’s Thesis. ‧. ‧ 國. 學 y. Nat. er. io. sit. 開設OHANA Play咖啡館的商業企畫書 n. “OHANA Play a l Café” Kid´s Café in i v El Salvador. Ch. n U engchi. Student: Andrea Maria Gonzalez Rivas Advisor: Jason Cheng-Hsien Tsai. 中華民國一○八年五月 May 2019 DOI:10.6814/NCCU201901286.

(2) 開設OHANA Play咖啡館的商業企畫書 “OHANA Play Café” Kid´s Café in El Salvador. 研究生：龔安亞. Student: Andrea Maria Gonzalez Rivas. 指導教授：蔡政憲. 政治大國立政治大學. 學. ‧ 國. 立. Advisor: Jason Cheng-Hsien Tsai. ‧. 商學院國際經營管理英語碩士學位學程碩士論文. er. io. sit. y. Nat A Thesis. n. a l to International MBA Program Submitted iv n U i e n g c hUniversity National Chengchi. Ch. in partial fulfillment of the Requirements for the degree of Master in Business Administration. 中華民國一○八年五月 May 2019. DOI:10.6814/NCCU201901286.

(3) Acknowledgements A mi familia, en especial a mis padres y mis hermanos por siempre brindarme su apoyo y ayudarme a convertir en una mejor persona. Gracias por siempre creer en mí!. A Alexia, Dani y Sam que me inspiraron a desarrollar esta idea para que tuviéramos “nuestro lugar especial” para todas las tardes de viernes.. 立. 政治大. ‧. ‧ 國. 學. n. er. io. sit. y. Nat. al. Ch. engchi. i. i n U. v. DOI:10.6814/NCCU201901286.

(4) Abstract “OHANA Play Café” Kid´s Café in El Salvador By Andrea Maria Gonzalez Rivas OHANA Play Café is a family oriented coffee shop with an interactive indoor playground. Based in the concept of kids café, OHANA provides an space for adults to enjoy high quality coffee from a local producer, while their children play in a toddler friendly zone under the supervision of the OHANAsitters.. 政治大 but also a product that is present 立 in our daily routine. Yet, majority of the coffee shops are. Coffee culture is part of every Salvadoran, not only as a country that grows renowned coffee. ‧ 國. 學. designed exclusively for adults, without a children zone. This is a problem for many millennial parents that are forced to sacrifice quality coffee and choose instead fast food restaurants that offer a playground for their children and also sell commercial coffee.. Thus, the need to create. ‧. a coffee shop that provides a fun experience for both parents and children.. y. Nat. io. sit. The kids café market is a relatively new concept in El Salvador with few competitors. In some. er. countries, like Korea, this business has evolved into a commercial trend, appearing even as a. al. n. v i n C h models, along with incorporating ideas from the Korean e n g c h i U the Montessori teaching method,. suggestion for travel, due to their ability to offer integral entertainment for all the family. By. OHANA Play Café aims to be a healthy option were our customers feel within family.. Keywords: family oriented, quality coffee, playground, healthy, millennials. ii. DOI:10.6814/NCCU201901286.

(5) TABLE OF CONTENTS Business Motivation.................................................................................................................. 1 1. COMPANY OVERVIEW..................................................................................................... 2 1.1. Our Mission ..................................................................................................................... 2 1.2. Our Vision........................................................................................................................ 2 1.3. Our Values ....................................................................................................................... 2. 治政大 1.5. Company Ownership ....................................................................................................... 3 立 1.4. Our Company Logo ......................................................................................................... 3. ‧ 國. 學. 2. MARKET ANALYSIS.......................................................................................................... 4 2.1. The trend of Korean Kids Café........................................................................................ 5. ‧. 2.1.1. P.I.M.- Play in Museum .......................................................................................... 5 2.1.2. Lilliput Kids Café ................................................................................................... 6. Nat. sit. y. 2.1.3. Petit Mer: Mom & Kids Café ................................................................................. 8. al. er. io. 2.2. Kids Café Customer Profile............................................................................................. 9. n. 2.2.1. Millennials as Parents ............................................................................................. 9. Ch. i n U. v. 2.2.2. The market niche of Millennial women´s............................................................. 10. engchi. 2.3. El Salvador’s Market Analysis ...................................................................................... 12 2.4. Business Opportunity .................................................................................................... 14 3. BUSINESS MODEL. .......................................................................................................... 15 3.1. Value Proposition ........................................................................................................... 18 3.2. Key Activities ................................................................................................................ 18 3.3. Customers ...................................................................................................................... 19 3.4. Key Partners .................................................................................................................. 20 3.5. Cost Structure ................................................................................................................ 21. iii. DOI:10.6814/NCCU201901286.

(6) 3.6. Revenue Streams ........................................................................................................... 22 4. PRODUCTS AND SERVICES. ......................................................................................... 23 4.1. Specialty Coffee ............................................................................................................ 23 4.2. Food and Drinks ............................................................................................................ 25 4.3. Kiddie Area .................................................................................................................... 27 4.4. Event Planning............................................................................................................... 31 5. MARKETING PLAN AND SALES STRATEGY. .......................................................... 32. 政治大. 5.1. Competitors Analysis..................................................................................................... 32. 立. 5.1.1. La Luna de Mateo ................................................................................................. 32. ‧ 國. 學. 5.1.2. La Petite Maison Kindercafe ................................................................................ 32 5.1.3. Fun House Café .................................................................................................... 33. ‧. 5.2. SWOT Analysis ............................................................................................................. 33 5.3. Positioning Strategy....................................................................................................... 35. y. Nat. er. io. sit. 5.4. Pricing Strategy ............................................................................................................. 36 5.5. Promotion Strategy........................................................................................................ 38. n. al. Ch. i n U. v. 5.6. Location Strategy........................................................................................................... 39. engchi. 6. OPERATION PLAN. ......................................................................................................... 40 6.1. Production and Suppliers ............................................................................................... 40 6.2. Inventory Management .................................................................................................. 40 6.3. Legal Environment ........................................................................................................ 41 6.4. Personnel ....................................................................................................................... 41 7. FINANCIAL PLAN. ........................................................................................................... 43 7.1. Startup Expenses ........................................................................................................... 43 7.2. Sales Forecast ................................................................................................................ 44. iv. DOI:10.6814/NCCU201901286.

(7) 7.3. Projected Initial Balance Sheet ...................................................................................... 46 7.4. Pro Forma Income Statement ........................................................................................ 47 7.5. Pro Forma Cash Flows .................................................................................................. 48 7.6. Profitability Analysis ..................................................................................................... 49 7.6.1. Sensitivity Analysis .............................................................................................. 50 8. CONCLUSION ................................................................................................................... 51 9. REFERENCES ................................................................................................................... 52. 政治大. 10. Appendix ............................................................................................................................ 56. 立. ‧. ‧ 國. 學. n. er. io. sit. y. Nat. al. Ch. engchi. v. i n U. v. DOI:10.6814/NCCU201901286.

(8) List of Figures and Tables Figure 1. P.I.M. Infinity Ball Pool next to Han River ............................................................ 6 Figure 2. Lilliput Kids Café set meal ................................................................................... 7 Figure 3. Indoor “Merry-go-round” at Lilliput Kid´s Café .................................................. 7 Figure 4. Petit Mer: Mom & Kids Cafe .................................................................................. 8 Figure 5. Petit Mer: Mom & Kids Cafe “Gym Area”............................................................. 8 Figure 6. Female Labor Force in North America 1990-2018 (% of total labor force) ......... 11 Figure 7. Female Labor Force in Latin America & Caribbean 1990-2018. (% of total labor. force)............................................................................................................................. 11. 政治大 Men (Hombres) ............................................................................................................ 13 立. Figure 8. El Salvador PEA Population 2017 divided by gender and ages Women (Mujeres) –. Figure 9. Female Labor Force in El Salvador 1990-2018 (% of total labor force) .............. 13. ‧ 國. 學. Figure 10. Finca Los Andes state entrance (left) and tools storage (right) ........................... 24 Figure 11. Finca Los Andes plantation field ......................................................................... 24. ‧. Figure 12. Ground coffee bean bags packed at Finca Los Andes state. Semi washed 100%. y. Nat. high altitude coffee bean............................................................................................... 25. sit. Figure 13. Edible art ideas for OHANA´s menu .................................................................. 26. er. io. Figure 14. Edible art ideas for OHANA´s menu .................................................................. 26. al. n. v i n C Kiddie Figure 16. Sensory wall sample for 29 h e nArea.................................................................. i U h c g Figure 17. Wooden toy case, chairs and table sample for Kiddie Area ................................ 30. Figure 15. Quesadillas from El Salvador.............................................................................. 27. Figure 18. Montessori inspired wooden lacing toy............................................................... 30 Figure 19. Super heroes themed party food plate. ................................................................ 31. Table 1 OHANA Play Café. Customer Empathy Map. ........................................................ 16 Table 2. OHANA Play Café. Business Model Canvas. ........................................................ 17 Table 3. OHANA Play Café. SWOT Analysis ..................................................................... 34 Table 4. OHANA Play Café. Startup Initial Investment....................................................... 43 Table 5. List of Social Media Followers as of May 2019..................................................... 44 Table 6. OHANA Play Café. Projected Annual Number of Visits per Customer................. 45 Table 7. OHANA Play Café. Projected Annual Forecast from 2020 to 2024. ..................... 45. vi. DOI:10.6814/NCCU201901286.

(9) Table 8. OHANA Play Café. Initial Balance Sheet .............................................................. 46 Table 9. OHANA Play Café. Estimated Income Statement ................................................. 47 Table 10. OHANA Play Café. Estimated Cash flows........................................................... 48 Table 11. OHANA Play Café. NPV Analysis. ...................................................................... 49 Table 12. OHANA Play Café. Sensitivity Analysis.............................................................. 50. 立. 政治大. ‧. ‧ 國. 學. n. er. io. sit. y. Nat. al. Ch. engchi. vii. i n U. v. DOI:10.6814/NCCU201901286.

(10) OHANA Play Café Business Motivation When I was a child, my parents used to take me to “Parque Balboa- Los Planes de Renderos”, a family park near San Salvador –El Salvador´s capital city-, with a wide open playground for children and adults to spend a weekend´s afternoon, ride a bike or enjoy some local food. Nowadays, due to El Salvador´s safety issues, families rather choose to stay at home or visit fast food restaurants that offer indoor playgrounds for the kids. Born in the millennial generation, one of the activities that we enjoyed with friends was our “tardes de café” or coffee afternoons, as El Salvador is famous for its high mountain coffee. You can find many coffee shops around San Salvador from local store chains such as “Coffee Cup”, “Viva Expresso”, “Ben´s Coffee”, to international brands like “Starbucks” or “Juan Valdez”. Thus, coffee culture is part of our daily lives. All of these coffee shops offer you either high quality coffee, a relax space or “an experience”. Designed for adults to spend their afternoons drinking coffee, while they have a meeting, finishing a paper or reading a book.. 立. 政治大. ‧ 國. 學. ‧. As we grew up, my closest friends start to have their families, which put us in the quest to find a place that would allow us continue our coffee afternoons and at the same time be toddler friendly. We soon discover that San Salvador´s market could offer us either coffee shops with no or small children´s area; or fast food chains such as McDonald´s or Pizza Hut that sell coffee and have indoor games for the kids. But these options have their own disadvantages. Coffee shops gave us a quality product in a nice environment, but designed for adults where children get bored with no games or activities for them. The second option, fast food restaurants, offer low to intermediate quality coffee, since it’s an additional service and not their main product. In addition, although the children will be happy in the games, parents need to pay attention to their kid´s safety, since most of the games are used for children ages 2-10. Overall, there is too much noise and screams for parents to enjoy coffee or talk in the children zone.. n. er. io. sit. y. Nat. al. Ch. engchi. i n U. v. Thus, the need to create a business that provides an integral experience for both parents and children. A coffee shop that allows parents to enjoy high quality coffee and adult time, while their kids are playing in safe indoor playground areas divided by ages with interactive educational toys. In other words, we aim to create a space for adults and kids to feel within family or Ohana -as the Hawaiians say-. Hence, the idea behind OHANA Play Café.. 1. DOI:10.6814/NCCU201901286.

(11) 1. COMPANY OVERVIEW. OHANA Play Café will be a specialty coffee shop with an interactive indoor play area for kids from 10 months to 8 years old. The design of the playground will be inspire by Montessori education method for children to self-develop their thinking skills through games and activities. While their parents can enjoy food and quality coffee from small and mid-local estates that grow coffee beans in Apaneca. It will be located in San Salvador city, El Salvador´s main urban area.. 1.1. Our Mission. 治政 place where both adults and kids will have fun within a 大 family. 立. We seek for our customers to experience a coffee lifestyle while creating family memories. A. 1.2. Our Vision. ‧ 國. 學. We aim to be pioneers in the kids-oriented coffee market in El Salvador and Central America, by offering an integral service in a leisure and learning co-environment.. ‧. 1.3. Our Values. y. Nat. A creative interactive space for a learning community. n. al. er. io. Quality service Your daily coffee in an friendly environment Consciousness. sit. Innovation. i n U. v. We believe in a healthy choice for your family. Ch. Safety Feel as free as in your home Make a difference. engchi. We support small and medium producers to promote community. sustainability. 2. DOI:10.6814/NCCU201901286.

(12) 1.4. Our Company Logo. 學. ‧ 國. 立. 政治大. 1.5. Company Ownership. OHANA Play Café will be established as a corporation under Salvadoran Law (Sociedad. ‧. Anonima de Capital Variable -S.A. de C.V.-). The law requires a minimum capital of $2,000. y. Nat. USD to start a corporation. The issued stock can later be sold in “Bolsa de Valores de El. io. sit. Salvador”, the main stock market. All companies are required to prepare their accounting. er. records in Spanish, which need to be approved by a certified public accountant.. al. n. v i n C h entrepreneurs. The enterprises and also encourage women e n g c h i U category of micro or small enterprise In addition, Salvadoran Law has established a special regimen to promote micro and small. or MYPES -as they are called- is given not by the type of ownership –partnership, corporation, etc.- but for their number of employees and annual gross sales. Hence, according to Salvadoran Law, a micro enterprise has annual gross sales up to 482 minimum monthly salaries or $144,600 1 USD and less than between $144,600 USD up to. ten employees. A small enterprise has annual gross sales $1,445,100. USD -4,817 monthly minimum salaries- and no. more than 50 employees. To be registered as a MYPE grants companies access to benefits in tax processes and tariffs, and also protection under the consumer law with their suppliers.. 1. Current monthly minimum salary for El Salvador is $300 USD for commerce and services. http://www.mtps.gob.sv/avisos/salarios-minimos-2018/. 3. DOI:10.6814/NCCU201901286.

(13) 2. MARKET ANALYSIS. As one of the most popular choices for beverages, Coffee plays an important role as a daily commodity good for many consumers. According to a study from Euromonitor International, Coffee represented the largest spending for the hot drinks global industry in 2017 for all of the leading markets 2. The International Coffee Organization reported that the world consumption of Coffee last year was 165,185 thousand 60-kg bags, an increase of 2.1%. in comparison of. 2017. From that quantity, 5,233 thousand 60-kg bags were consumed in Mexico and Central America 3. Despite being a market in maturity stage,. coffee consumption around the world keeps rising. 政治大 Coffee waves are cycles in which the market experienced a renovation. New trends in coffee 立 every year. This phenomenon can be explained by what is commonly known as “coffee waves”.. display, sales channels or even flavors, developed into new business opportunities and market. ‧ 國. 學. players. In the first wave, coffee was just another beverage and consumers were discovering its benefits. The second wave, marked by coffee shops, gave birth to companies like Starbucks. ‧. who reinvented the concept of drinking a cup of coffee. A third wave focus in innovation to. y. Nat. remain important in a highly competitive market. We´ve experience the introduction of coffee. sit. pods, specialty coffees, new machines, etc. We are currently living in the fourth coffee wave. al. er. io. which, according to Euromonitor International, has “no definite limits” , as coffee belongs in. v i n The fourth coffee wave, just likeC itshpredecessors, creates e n g c h i U new business opportunities and the n. “almost every point in the life of consumers” 4.. possibility to reinvent existing models in the market. Thus, some countries already began to develop the concept of coffee shops that are kid friendly or kids focused. One of the countries which has succeed in this business model is South Korea.. 2. Euromonitor International. “Hot Drinks Global Industry Overview”. 2018.https://blog.euromonitor.com/hotdrinks-global-industry-overview/ 3 International Coffee Organization. “Coffee Market Report”. February, 2019. http://www.ico.org/documents/cy2018-19/cmr-0219-e.pdf 4 Euromonitor International. “Discover the top 5 coffee markets”.2018.https://blog.euromonitor.com/discoverthe-top-5-coffee-markets/. 4. DOI:10.6814/NCCU201901286.

(14) 2.1. The trend of Korean Kids Café In recent years, Seoul has become a niche for coffee shops designed with a kid friendly concept. You can find them in every district, in different sizes –from a museum to a small coffee place-, prices –luxury for kids- and themes. These kids cafés or “Ki-ca” –Korean nicknameincorporate the idea of a coffee shop with an indoor playground area. Some also have staff that looks after the children. In a busy and crowded city like Seoul,. Kids cafés have become a. solution for parents to take their children to a clean, spacious and fun place, while they can enjoy a cup of coffee. From the kids perspective, Ki-ca´s offer them a place to run, play with many toys and interact with other kids.. 政治大 introduce them not only to local parents, but also as travel recommendations for foreign visitors. 立 Among these, is important to consider three different models that can serve for the concept of There is a clear tendency for kids cafes in Korea; as more and more social media channels. ‧ 國. 學. OHANA Play Café.. ‧. 2.1.1. P.I.M.- Play in Museum. y. Nat. Located in the artificial island of Solvit, P.I.M. has achieved a renowned popularity as one of. al. er. This kids café claims to have the first and largest infinity ball pool in Korea with. io. attractions.. sit. best playgrounds for children. Solvit is a cultural space over the Han River, one of Seoul´s main. v i n C hof different ages. ItUalso offers the rental service for private rooms, with a variety of toys for kids engchi events. The entrance fee per children costs approx. $13 USD for 1 hour and $5 USD per adult. n. a view of the Han River – as seen in figure 1-.. It has both indoor and outdoor playground. These fees are in addition to the food and beverage consumption. You can purchase a children´s ticket for up to 30 hours in P.I.M. for the price of. $221USD approx. 5. This café benefits from its prime location and big size, as the name resembles is a cultural museum for kids. It is often recommended as a must stop for tourists with children.. 5. Some Solvit. http://www.somesevit.com/en/business/solvit/pim.do. 5. DOI:10.6814/NCCU201901286.

(15) 立. 政治大. ‧ 國. 學. Figure 1. P.I.M. Infinity Ball Pool next to Han River 6. ‧ y. Nat. sit. 2.1.2. Lilliput Kids Café. er. io. Labeled under a concept of “premium” café, Lilliput Kids Café focus in serving high quality. al. n. v i n environment. Figure 2 shows theC type can find in Lilliput Kids Café- a pasta meal h eof nfoodg you chi U. food in a fancy playground. Their vision is to create a dining restaurant-cafe in a kid friendly. with an adult restaurant style display-. They have more than four branches distribute around Seoul´s districts.. Lilliput Kids Café is a franchise, which allowed the business expansion. The. entrance fee for kids is $11 USD on weekdays and $13 USD on weekends, per two hours. Parents enter for free, but need to consume drinks or food. 7. 6. Source: Some Solvit P.I.M. website Bringing up the Parks. “Lilliput Kids Cafe, Cheongdam”. cafe-cheongdam/. 7. 6. http://www.bringinguptheparks.com/lilliput-kids-. DOI:10.6814/NCCU201901286.

(16) Figure 2. Lilliput Kids Café set meal. 立. 政治大. 8. ‧. ‧ 國. 學. n. er. io. sit. y. Nat. al. Ch. engchi. i n U. v. Figure 3. Indoor “Merry-go-round” at Lilliput Kid´s Café 9. 8 9. Source: Bringing up the Parks Source: Lilliput Kid´s Café Facebook page. 7. DOI:10.6814/NCCU201901286.

(17) 2.1.3. Petit Mer: Mom & Kids Café This kids café is located in a shopping center. It is much smaller than the previous cafes, yet includes a nursing room and diaper changing area. It has two playground areas to separate babies from older kids, each filled with interactive toys. The child entrance fee is $7 USD approx. for two hours with a free drink. Adults need to consume a minimum of $5 USD in food or beverages. This café is a cheaper option for younger kids. They also have staff that entertains the children. Figure 4 shows the playground area for toddlers. Figure 5, on the other hand, has the gym area for older kids.. 立. 政治大. ‧. ‧ 國. 學. io. sit. y. Nat. n. al. er. Figure 4. Petit Mer: Mom & Kids Cafe 10. Ch. engchi. i n U. v. Figure 5. Petit Mer: Mom & Kids Cafe “Gym Area” 11. 10 11. Source: Bringing up the Parks Source: Bringing up the Parks. 8. DOI:10.6814/NCCU201901286.

(18) 2.2. Kids Café Customer Profile The kids cafes target a segment within the coffee consumption market. They focus in parents with younger kids. Their purpose is to create an environment. for parents to consume coffee. and kids to entertain themselves with toys and activities. Thus,. it´s fair to delimit the kids age. up to ten years old. After this age, kids become more independent and will have a preference over a phone or electronic games, rather than an indoor playground. Every year, millennials are becoming the largest population of parents with younger kids. Therefore, for our business to succeed, we need to understand the millennial customers behavior.. 2.2.1. Millennials as Parents. 政治大 generation characterized by change and adaptability, millennials are driven by technology and 立 seek of self-accomplishment. Millennials value experiences and often use social media to. Business are reinventing their customer´s experience to become “millennial-friendly”. A. ‧ 國. 學. express and show everything they discover -posting pictures about food, places, quotes, etc.-. Millennials in the US are becoming the most important consumers “with a spending power that. ‧. is estimated to be worth $10 trillion over their lifetimes” 12. According to an article in Forbes. y. Nat. from Micah Salomon, Millennials are important customers for two powerful reasons their. sit. spending capacity and their impact in trendsetter. Millennials expect co-creation in their. er. io. customer experience, the ability to express their own ideas, convenience and socially interaction. al. v i n C h or gender equality about environmental, animal protection issues. engchi U n. online-offline. They will support companies that share their values, as they are more conscious. Just as millennial customers think differently than previous generations, millennial parents are also behaving in a different way. For starters, millennials are taking longer to get married or have children. For example, my parents got married when they were 22 years old. Nowadays, in El Salvador people will usually get married between 26 to 30 years, and will wait an average of two years to start a family. An article from the New York Times suggests that millennial parents or “parennials” 13 –as they are called- are reinventing the traditional beliefs about families. For instance, they will use Google and social media to seek for advise, as many. 12. Forbes. 2018. “For Small Business Week: All About Millennial Consumers And Millennial-Friendly Customer Experiences”. Micah Solomon https://www.forbes.com/sites/micahsolomon/2018/05/03/for-smallbusiness-week-all-about-millennial-consumers-and-millennial-friendly-customer-experiences/#24a764fd2f91 13 The New York Times. Bruce Feiler. “App Time for Nap Time: The Parennials Are Here”. 2017. https://www.nytimes.com/2017/11/04/style/millennial-parents-parennials.html?_r=0#nws=mcnewsletter. 9. DOI:10.6814/NCCU201901286.

(19) Millennials like me think “if it´s not in Google then it doesn´t exist”.. They are also looking. for life as co-parents, leaving behind the traditional female role of housewife and mother, who assumes the lead responsibility of taking care of the children. After all, professional women are more and more in vogue, and with a rise in the cost of life both parents need to work to support a family. In addition, the article reveals that not only gender roles, but other social norms such as religion are challenged by “parennials” 14. Millennials are more open-minded and accept to marry people of different religion, race or culture. These values are transmitted to their children. Thus, a kids café needs to focus in the “parennials” preferences and what they expect for themselves and their children.. 政治大 2.2.2. The market niche of Millennial women´s 立 In seek of self-accomplishment and personal development, Millennial women´s constantly. ‧ 國. 學. challenge the traditional female gender role. They had better opportunities to pursue a career, to fulfill professional achievement and keep looking for equality with man. When it comes to. ‧. start a family, many had decided by choice or necessity to continue working, and so they balance their personal life and work as “career moms”.. y. Nat. sit. Over the years, there has been an increase of women in the labor force. As we can see in Figures. al. er. io. 6 and 7, in 2018 the percentage of females workers represented the 46.0% and 41.1% in North. n. America and Latin America & Caribbean, respectively. An article from Euromonitor. Ch. i n U. v. International suggests that “women are an emerging global consumer group”, as they´re joining. engchi. the workplace and increasing their disposable income. It reveals that from “2000-2017 female disposable income increased by 37% in real terms, faster than the 34% rise in male disposable income” 15 . As millennial women increase their disposable income, opportunities to create experiences through services and goods appear, now with a distinctive note of including their children.. 14 The New York Times. Bruce Feiler. “App Time for Nap Time: The Parennials Are Here”. 2017. https://www.nytimes.com/2017/11/04/style/millennial-parents-parennials.html?_r=0#nws=mcnewsletter 15 Euromonitor International. Stefano Botter. “The Impact of Women as the Driving Force of Sho pping” . 2019. https://blog.euromonitor.com/the-impact-of-women-as-the-driving-force-of-shopping/. 10. DOI:10.6814/NCCU201901286.

(20) 立. 政治大. ‧ 國. 學. Figure 6. Female Labor Force in North America 1990-2018 (% of total labor force) 16. ‧. n. er. io. sit. y. Nat. al. Ch. engchi. i n U. v. Figure 7. Female Labor Force in Latin America & Caribbean 1990-2018 (% of total labor force) 17. 16 17. Source: The World Bank Source: The World Bank. 11. DOI:10.6814/NCCU201901286.

(21) 2.3. El Salvador’s Market Analysis El Salvador has a population of over 6.5 million people, according to a study in 2017 from DIGESTYC –El Salvador´s Statistics Government Agency-. Almost four million live in the urban area, representing the 60.2% of the population 18. With the increase of people moving from rural areas to the cities and the expansion of new districts, San Salvador -El Salvador´s capital city- has merged into what is known as AMSS 19. AMSS is composed by fourteen cities, including San Salvador, Santa Tecla and Antiguo Cuscatlán –cities where people with medium and high income tend to live-. According to DIGESTYC´s study, 25.7% of El Salvador´s population live in AMSS, that is around 1.69 million. The study reveals that El Salvador´s. 政治大 who is older than 60 years old. There are also more women in El Salvador -85 man for every 立 100 women in the urban area-. population is mainly young, with 53.6% under 30 years old, in contrast to a 12.6% of population. ‧ 國. 學. The average monthly household income in the urban city is $641.13 USD, increasing to $699.18 USD in the AMSS region. The average monthly household expense is $358.58 USD, leaving. ‧. around $341 US dollars as disposable income for consumption or savings. The study also reveals that Salvadorans spend a monthly average of $81.93 in food purchased at restaurants or. y. Nat. sit. businesses. The family members per home has reduced to 3.59.. Yet, there are over 1.08. er. io. million of children from ages 0 to 9, which represents the 16.5% of the population in El Salvador.. al. About the population economically active PEA 20 , the census showed that 63.4% is in the urban. n. v i n area and 56% are between 16-39C years old. As we can see in figure 8, there are more men than hengchi U women in the PEA. Yet, men PEA population seems to fluctuate between the ages, while women´s PEA quantity remains steady for the range of 20 to 44 –mostly millennials-. Following Latin America tendency, El Salvador´s female labor force reached 47% in 2018 and keeps increasing, with more young women accessing the labor market –see figure 9 below-.. 18. DIGESTYC. 2018. “Encuesta de Hogares de Propositos Multiples en 2017”. http://www.digestyc.gob.sv/index.php/temas/des/ehpm/publicacionesehpm.html?download=652%3Apublicacion -ehpm-2017 19 AMSS: Area Metropolitina de San Salvador (San Salvador´s Metropolitan Area). 20 Population Economically Active –PEA the population from 15 years old that works in any economic activity.. 12. DOI:10.6814/NCCU201901286.

(22) 立. 政治大. ‧ 國. 學. Figure 8. El Salvador PEA Population 2017 divided by gender and ages Women (Mujeres) – Men (Hombres) 21. ‧. n. er. io. sit. y. Nat. al. Ch. engchi. i n U. v. Figure 9. Female Labor Force in El Salvador 1990-2018 (% of total labor force) 22. 21 22. Source: DIGESTYC Source: The World Bank. 13. DOI:10.6814/NCCU201901286.

(23) In addition, is important to mention that El Salvador´s middle class continues to grow, as more women access the labor force. The term middle class has been defined by the World Bank as families that have a daily household income between $10 to $50 US dollars per person. The World Bank establishes a monthly base of $1,216.66 US dollars for a family of four member to be middle class. Although the growth is still moderate compared to other countries in the region, 20% of the population in 2000 to 25% in 2013, El Salvador´s basic Food Basket is the lowest in Central America $185.56, which means that a middle class family of 4 members could cover up to 6.56 times the Food Basket 23 . Thus, having more disposable income to spend in other leisure. 政治大. activities, such as restaurants, cafes and travels.. 立. ‧ 國. 學. 2.4. Business Opportunity. Coffee plays an important role in El Salvador, not only as one of our main exporting products, but also as part of our daily life. Last year, El Salvador’s coffee consumption was 300 thousand. ‧. of 60kgs bags, an increase of 2.3% compared to 2017, according to the International Coffee. y. Nat. Organization 24. And with a population in its majority young and many millennials in the PEA-. io. sit. Population Economically Active-, El Salvador has an attractive market for Kids Café. El. n. al. er. Salvador’s has also experienced a rise in female labor force, thus increasing the disposable income for many women.. Ch. engchi. i n U. v. Millennials parents in El Salvador have very few places that offer a fun environment for both parents and kids, where the adults can enjoy specialty quality coffee and the children play in a safe indoor playground. Although El Salvador’s coffee shops haven’t tendencies, such as Britain where in some cafés. adopt yet restriction. kids under 12 years are not allowed 25; it is. still bothersome for parents and other customers to take small kids to a coffee shop. Thus, OHANA Play Café will take advantage of that unexploited niche market.. 23. The Economist. Pablo Balcaceres. “Centroamérica aspira por ser de clase media”. May 2019. https://www.eleconomista.net/economia/Centroamerica-aspira-por-ser-de-clase-media-20190506-0033.html 24 International Coffee Organization. “World Coffee Consumption statistics”. February, 2019. http://www.ico.org/prices/new-consumption-table.pdf 25 Kerry Potter. “No kids allowed: Is Britain becoming an anti-child society? “. 2017. https://www.telegraph.co.uk/family/parenting/no-kids-allowed-is-britain-becoming-an-anti-child-society/. 14. DOI:10.6814/NCCU201901286.

(24) 3. BUSINESS MODEL. An empathy map is a useful tool that helps putting ourselves in the head of our prospective customer, with the purpose of getting an deeper insight of what their needs are. This tool is a first step to develop a business model. Table I shows an empathy map of our potential clients a working mother, in her early thirties, married and with a toddler. After having a clear view of our customer’s needs, we proceed with a second step a Business Model Canvas. This an important tool to define and express a business idea in an easier visual chart. Table II shows OHANA Play Café business model canvas, including our value propositions.. 立. 政治大. ‧. ‧ 國. 學. n. er. io. sit. y. Nat. al. Ch. engchi. 15. i n U. v. DOI:10.6814/NCCU201901286.

(25) sit. io. n. al er. y. ‧. ‧ 國. 學. Nat. Table 1 OHANA Play Café. Customer Empathy Map.. 立政治大. Ch engchi. 16. i n U. v. DOI:10.6814/NCCU201901286.

(26) sit. io. n. al er. y. ‧. ‧ 國. 學. Nat. Table 2. OHANA Play Café. Business Model Canvas.. 立政治大. Ch engchi. 17. i n U. v. DOI:10.6814/NCCU201901286.

(27) 3.1. Value Proposition  Entertainment for both parents and children. A fun place where parents can take their children to spend a coffee afternoon. A weekend destination of easy access in the city.  Relaxed Atmosphere. A harmonious and relaxed environment for adults to enjoy a cup of specialty coffee and snacks without the need to look after their children. At OHANA Play Café parents can sit and talk at the adult zone, while their kids are playing in the kiddie area under the supervision of our trained staff of “OHANAsitters”.  Kiddie Area. An interactive indoor playground area for kids to have fun and learn as. 政治大 years old and the other one from 3 to 6 years old. There will also be a Reading Corner 立 with interactive books and tablets for older kids to play.. they play. The Kiddie Area is divided in two sections, one for babies from 10 months to 3. ‧ 國. 學.  Playground Special Design. Playground design based on Montessori teaching method. Toys and books at OHANA Play Café will help kids to develop self-learning and. ‧. cognitive skills, to discover and explore by playing with materials and blocks.  Various Cultural and Entertainment Program. We will promote special activities for. y. Nat. sit. popular seasons such as Easter, Christmas, Mother’s Day, etc. for parents to bring their. er. io. kids. Also, special offers for grandparents and seniors who bring their grandchildren. al. v i n Coffee Bags Sales. Opportunity coffee producers that work with C hfor the micro and small U i e h n c to promote their brand in exchange for g them us to promote their products. A chance for n. during weekday afternoons. . small fee of intermediator.. 3.2. Key Activities  Indoor Playground. Two sections in the kiddie area according to age range, and a reading corner. This activity will provide our customers entertainment, as the kids will have an interactive playground to play and learn. The kiddie area will have the Montessori toys and books, to have an special design.  Specialty Coffee. Produced with high quality from our local farmers.. In addition to. consume our coffee at the shop, our customers will be able to purchase coffee bean bags. 18. DOI:10.6814/NCCU201901286.

(28) from our producers. The coffee aroma along with the comfortable chairs in the adult zone will create the relaxed atmosphere for our clients.  Healthy Food. Diverse menu with healthy options for kids and adults. Vegetarian and gluten free options available.  Customer Service. Qualified staff to make feel our customers valued. To guarantee entertainment for both parents and kids, we will promote trainings for our human talent our company values and culture. In addition, our OHANAsitters who are in charge of looking after the kiddie area will receive courses about Montessori teaching method and techniques.. 治政大programs for special seasons like our venue. In addition to the cultural and entertainment 立 Christmas workshops, etc..  Event Planning. The opportunity to celebrate birthdays, kids parties and baby showers at. ‧ 國. 學. 3.3. Customers. ‧.  Customer Segment. sit. y. Nat. OHANA Play Café main target is families with small children up to 8 years old. Within this group, we aim to attract millennial parents, specially working mothers that seek for a place. io. er. to relax and enjoy “ME time”, where their children are welcomed and will be happy as well.. al. n. v i n C h represents theU46.9% of the whole PEA population. 44 years old is 1.38 million, which engchi In the case of El Salvador´s market, the working population PEA between the ages of 25 to. Among these 1.38 million, 43% are women –potential working mothers-. In addition, we will offer special promotions for seniors to attract grandparents who take care of their grandchildren, while their parents are working.  Customer Relations and Channels At OHANA Play Café we want our customers to feel welcomed and valued. Thus, we aim for high quality in our customer service. We will have certified baristas to prepare the coffee drinks and qualified OHANAsitters, who will be trained in the Montessori teaching method, so they can guide kids to play and explore in the kiddie area. In addition, we will have special offers for our loyal customers and followers, such as frequent client card for coffeebeverages and OHANA kiddie membership.. 19. DOI:10.6814/NCCU201901286.

(29) As millennials rely on social media and online search, we´ll build a strong social media network. Our Facebook page will promote events, activities and special offers. In addition, we´ll post recommendations and trends about kid´s food, toys, learning techniques and the Montessori method. In addition, our website will have a blog section for our customers to share their experiences, ask questions in a parent community.. In addition to a coffee shop, OHANA Play Café will offer the venue rental for event. We will have co-creation with our clients about the ideas they have to celebrate their kids birthday party, school graduations, religious ceremonies, baby showers, etc. Also, ask our. 治政 Our main communication channels will be social 大 media Facebook, Instagram and our 立 website. We will also promote our business in the private schools or kindergartens. customers opinions about future events or programs they would like us to host.. ‧ 國. 學. 3.4. Key Partners. ‧.  Suppliers. Establish a strong relationship with our raw materials suppliers, such as. sit. y. Nat. PriceSmart wholesaler and local farmers to guarantee fresh products at an accessible price. In addition for event planning, we need to outsource with an kids entertainment agency to. io. n. al. er. offer clown, entertainers or face painting, etc. Also, outsourcing security services, as El. i n U. v. Salvador violence rate requires a private security guard at the entrance to guarantee customers and staff safety.. Ch. engchi.  Coffee Micro and Small local producers. “Make a difference” is one of our core values. Thus, we will support small producers by buying their coffee beans to promote community sustainability. In addition, our coffee suppliers will have the opportunity to sell their coffee bean bags at our coffee shop. Therefore, collaboration and transparency in communication are vital to keep the flow of coffee beans between the estates and our café.  Salvadoran Coffee Agency. This is the official Government´s agency for coffee promotion. They offer certifications and have established a “coffee school”, where our staff can learn to become baristas or new techniques. In addition, they organize the National Barista Championship –a competition that is becoming more and more popular-.. 20. DOI:10.6814/NCCU201901286.

(30) The person who wins this not only gains recognition for themselves, but for the coffee shop they work.  CONAMYPE. El Salvador´s Government Agency for promotion and protection of micro and small enterprises. Despite being registered as a corporation, OHANA Play Café currently qualifies as a MYPE 26, due to our staff quantity that is less than 10 employees. Thus CONAMYPE promotes activities for entrepreneurs and is in charge to apply and supervise MYPEs benefits in tax and others.  Private schools. We can promote our company at certain private schools, offering special discounts for kids studying there. As our target customers have middle and upper class, is. 治政大 an alliance with these schools schools promote the Montessori teaching method, therefore 立 is a win- win marketing opportunity for both. expected that their children will attend specific schools, mostly bilinguals. Many of these. ‧ 國. 學. 3.5. Cost Structure. ‧.  Equipment. For kitchen appliances, coffee makers and utensils.. sit. y. Nat.  Furniture and Décor. Two type of decorations one for the adult zone and another one for. io. event planning service.. er. the kiddie area. In addition, it has to be flexible furniture to be able to adjust for different. al. n. v i n C Also, the space for older kids 7-8hinethe ReadingiCorner n g c h U with books and tablets..  Playground toys and facilities. Different type of toys according to the two sections.  Labor expenses. Fixed salary for employees with two annual bonus. Rotational schedule for baristas and OHANAsitters.  Facilities. Monthly rental fee.  Raw materials expense. Food, drinks and coffee beans purchases.  Logistics and Outsourcing. Contract for private security services and alarm with COSASE security company. . Debt. The monthly payment for bank loans or our sponsors..  Event management. Special supplies for parties, entertainers, cake, etc.. 26. MYPE: Micro y Pequeña Empresa. Micro and Small Enterprise. 21. DOI:10.6814/NCCU201901286.

(31) 3.6. Revenue Streams Our main revenue is from the sale our services that include: food, drinks, coffee, fee to enter kiddie area, rental fee for event and event planning. In addition, we will receive a small commission in the sale of the coffee bags.. 立. 政治大. ‧. ‧ 國. 學. n. er. io. sit. y. Nat. al. Ch. engchi. 22. i n U. v. DOI:10.6814/NCCU201901286.

(32) 4. PRODUCTS AND SERVICES. OHANA Play Café aims to provide an integral experience for our customers, entertainment for both adults and kids. Thus, we´ll provide four main products and services. 4.1. Specialty Coffee One of OHANA´s company values is to “make a difference”, by purchasing our coffee from small and medium producers, we will support and promote community sustainability. Thus, we´ll begin with one coffee bean supplier “Finca Los Andes”. Finca Los Andes is a small state located in Apaneca, a town located on the west border of El Salvador. With a latitude of 1455. 治政 recognized by its highly coffee quality. Los Andes state 大grows Arabica coffee beans in four varieties Bourbon, Catimor,立 Pacas and Pacamara. The last two varieties are original from El. meters above sea level and surrounded by the mountains of Apaneca-Ilamatepec, this town is. ‧ 國. 學. Salvador, being Pacamara a main variety to promote.. Pacamara is a hybrid cross between Pacas and Maragogipe coffee beans, developed by the. ‧. Salvadoran Institute for Coffee Research (ISIC) in 1958 27 . The name Pacamara is the. y. Nat. combination of the first four letters of the two coffee bean parents “PACAs” and. sit. “MARAgogipe”. Pacamara has a fragrance of jasmine and peach, a honey aroma and sweet and. n. al. er. io. complex chocolate flavor. Its vibrant acidity and honey-cinnamon aftertaste, makes Pacamara. v. an attractive option for Salvadoran consumers that enjoy high quality coffee.. Ch. engchi. i n U. The high quality in Finca Los Andes not only comes from the varieties of coffee beans, but also from their eco-friendly production process, using an artisan method of handmade sun dried and roasting of the coffee bean. Finca Los Andes has an extension of 25.2 hectares, producing 10 to 15 golden quintals 28 of coffee per hectare. Finca Los Andes production capacity allows to supply OHANA Play Café for a year. They also pack ground coffee bags for final consumption, which we´ll sell in our store. In addition, Finca Los Andes is an small hostel entrepreneur with three wood cabins that promote ecotourism, gaining brand awareness among customers. This. 27. Salvadoran Coffee Agency. Coffee Varieties in El Salvador. http://www.csc.gob.sv/variedades/ Golden Quintal is a unit mass to measure the coffee beans that are ready to consume. In El Salvador, a quintal –referred also as hundredweight- is equivalent to 46kgs. 28. 23. DOI:10.6814/NCCU201901286.

(33) state has also received support from the Government to establish a school for farmers “ECA”, to promote sustainable coffee agriculture in the Apaneca region. The following are photos taken at Finca Los Andes that show the state, fields, coffee beans production and final product.. 立. 政治大. ‧. ‧ 國. 學. n. al. er. io. sit. y. Nat. Figure 10. Finca Los Andes state entrance (left) and tools storage (right) 29. Ch. engchi. i n U. v. Figure 11. Finca Los Andes plantation field 30 29 30. Photographer: Diana Lemus Photographer: Diana Lemus. 24. DOI:10.6814/NCCU201901286.

(34) 治政大Los Andes state. Semi washed Figure 12. Ground coffee bean bags packed at Finca 100% high altitude coffee bean 立 31. ‧ 國. 學. 4.2. Food and Drinks. ‧. One of OHANA´s key activities is to provide healthy food to our customers. The definition of “healthy snacks” is under constant shaping from the millennials. As millennials have become. Nat. sit. y. more conscious consumers, there is a tendency in choosing organic, less processed products,. io. er. where fruits and veggies are replacing the sugars and saturated fats. In this line, millennials parents want their kids to consume healthier snacks. When it comes to choose a snack,. n. al. i n U. v. consumers will focus in two main reasons enjoyment and nutrition 32. They want a snack that. Ch. engchi. satisfies their hunger and also are nutritious. Yet kids prefer to eat chocolate and candies, rather than veggies and fruits. Nonetheless, at OHANA we believe that kids can enjoy the healthy option as long as they perceive it as fun. Thus, we incorporate the element of edible art to our products. There are many easy and fast ideas to transform a fruit or veggie. By using shape cutters, we can use fruits to create a flower or animal. For example, figure 13 shows caterpillars and snails made with celery, tomatoes, grapes and cream cheese. And figure 14, has fruit brochettes with the shape of stars and hearts.. 31. Photographer: Diana Lemus Jeff Fromm. “Snacking Habits Of Millennial Parents Are Shaping The Category For Future Generations”. 2015. https://www.forbes.com/sites/jefffromm/2015/09/09/snacking-habits-of-millennial-parents-are-shapingthe-category-for-future-generations/#ab34ef541834 32. 25. DOI:10.6814/NCCU201901286.

(35) 政治大. Figure 13. Edible art ideas for OHANA´s menu 33. 立. ‧. ‧ 國. 學. n. er. io. sit. y. Nat. al. Ch. engchi. i n U. v. Figure 14. Edible art ideas for OHANA´s menu 34. As Salvadorans drink a cup of coffee, it is also common to enjoy a small dessert or pastry. With the new trend of healthy eaters, we aim to offer our customers options of guiltless sweet treats. Thus, we will continue offering cakes but that are produced with less fat and more fresh ingredients. Some of our options will be gluten and vegetarian friendly. As we also expect to attract a different segment of customers “grandparents” –a generation less focus in calories and health-, we will provide a couple of traditional sweet options such as pineapple pastry and “quesadillas” which are the most popular options for enjoying the afternoon coffee.. 33 34. Source: Pinterest. https://www.pinterest.com/pin/482729653794068368/ Source: Pinterest. https://www.pinterest.com/pin/226517056244949680/. 26. DOI:10.6814/NCCU201901286.

(36) Figure 15. Quesadillas from El Salvador 35. 立. A sample of OHANA´s Play Café. 政治大 menu can be found in Appendix A.. ‧ 國. 學. 4.3. Kiddie Area. At OHANA Play café we are not just a coffee shop, we are a kids café. Thus, one of our key. ‧. differentiation elements is our indoor playground. Its design will be inspired by some of the Montessori teaching method ideas.. y. Nat. sit. The Montessori teaching method was created by Doctor Maria Montessori, who observed that. er. io. children evolved into adulthood in four different phases or “Planes of Development”. Among. al. v i n C h Mind". In thisUphase, children associate experiences, characterized by the children's "Absorbent engchi n. these phases, we´ll focus in the first one that is from birth up to six years old. This period is. images and language,. absorbing with their senses all the good and bad in the environment 36.. The Montessori method groups the children by periods of three years. Dr. Montessori believed that grouping the children in different ages, encourages them to develop socialization skills and independence, as they interact with mature or younger playmates. Therefore, we will divide our kiddie area into two parts. One zone for children from 10 months to 3 years old, we choose 10 months because at that age most babies will be able to sit down and cradle by themselves. Another zone for children from 3 to 6 years old. The majority of restaurants that provide. 35 Quesadilla: A traditional sweet savory pastry made of cheese and butter original from El Salvador. Source: Pinterest. https://www.pinterest.com/pin/615233999073211150/ 36 FAMM. Montessori Foundation in Argentina. https://www.fundacionmontessori.org/the-montessorimethod.htm. 27. DOI:10.6814/NCCU201901286.

(37) children playground, don´t make an age difference. In the same space, there can be kids of 8 years old running along with 4 year olds. One of the main concerns of parents is that their toddlers will be hit or pushed by older kids, so they choose to stand next to the playground to prevent any injuries. By dividing the playground into two zones, we guarantee safety for the kids and their parents can relaxed and enjoy their coffee and snacks. In addition, by having two zones in the kiddie area, we can equip them with the accurate toys according to the ages. Montessori method promotes the use of wooden furniture and toys that helps the child to develop speaking, coordination and independence. For the 10 months to 3 years olds zone, we´ll use toys that stimulate self-learning and discovery through senses. Toys. 政治大 16 shows a sensory wall panel, that can be customized in wooden and wool materials. The 立. that are designed to encourage motor skills, color and sound identification. For example, figure. different shapes and textures in the surface attracts the kids attention to explore and experience. ‧ 國. 學. smooth or rough surfaces. We will collaborate with local producers such as “Mueblecitos”, that specialized in costumed wooden furniture.. ‧. As for the children of 3 to 6 years old, the Montessori method proposes an approach in sensorial,. Nat. sit. y. language and practical life activities. Thus, children in the first plane of development learn to. io. er. associate their own environment activities. Familiar tasks such as cleaning, washing, cooking, bringing the plates to the table, are part of these practical life activities. Overall, any room that. n. al. i n U. v. incorporates the Montessori method will design furniture that matches the size of the children.. Ch. engchi. Therefore, we will create a small kitchen with a table and chairs that resembles a dining room, with utensils and wooden food toys for the kids to act a visit to a dining. There will also be building toys and drawing boards, for those kids that prefer to play alone. Figure 17 shows an example of kid´s size wooden furniture and toys. Finally, we will have a small reading corner. In this area, we´ll place books and two tablets for interactive games for older kids 7-8, along with chairs and a table with stationary for their entertainment.. 28. DOI:10.6814/NCCU201901286.

(38) OHANAsitters One of OHANA´s key differentiators are the OHANAsitters at the Kiddie Area. There will be two, one for each of the zone. They will be trained in the Montessori method to guide the kids in the games. They will look after the kids, so the adults can spend free time while they drink the coffee. Thus, creating the relaxed atmosphere. Since the Kiddie Area is separated by ages, parents don’t need to be taking care of the kids or stand by the area, as the OHANAsitters will remain in the zone.. 立. 政治大. ‧. ‧ 國. 學. n. er. io. sit. y. Nat. al. Ch. engchi. i n U. v. Figure 16. Sensory wall sample for Kiddie Area 37. 37. Source: Pinterest. https://www.pinterest.com/pin/507217976780184586/. 29. DOI:10.6814/NCCU201901286.

(39) 立. 政治大. ‧. ‧ 國. 學. Figure 17. Wooden toy case, chairs and table sample for Kiddie Area 38. n. er. io. sit. y. Nat. al. Ch. engchi. i n U. v. Figure 18. Montessori inspired wooden lacing toy. 39. 38 39. Source: Pinterest. https://www.pinterest.com/pin/426434658465477692/ Source: Pinterest. https://www.pinterest.com/pin/506021708128749491/. 30. DOI:10.6814/NCCU201901286.

(40) 4.4. Event Planning “Piñatas” or kids birthday´s parties are part of El Salvador´s culture and tradition. Parents will plan their children birthdays with months ahead. Due to limited space inside the houses, parents choose to celebrate the parties in restaurants, party venues or private clubs, according to their budget. Thus, fast food chains such as Pizza Hut, McDonalds, Wendy’s and so on, offer affordable birthday packages that include both food and exclusive use of indoor playground, along with entertainment for a period of two hours. Yet, this option though convenient and not expensive, limits its menu to pizza, hamburgers and soda. Therefore, the opportunity to provide millennials parents an alternative venue to celebrate a party with a healthy menu.. 政治大. In OHANA Play Café, we will offer birthday and celebrations package. Our customers can. 立. book our venue and have exclusive access to our Kiddie Area for two hours. Our party package. ‧ 國. 學. will include sweet and salty snacks from our menu and drinks. Customers can choose a themed from our catalog, along with the option of adding a cake or entertainment. This process of cocreation with our customers, will make them feel valued as they can design their event. We will. ‧. collaborate with “Variedades Evita”, one of the largest party suppliers of El Salvador for. sit. y. Nat. decorations and supplies. And for entertainment, we will outsource this service to provide face. io. themed-.. n. al. er. painting and character entertainer - entertainers are usually dressed up according to the party. Ch. engchi. i n U. v. Figure 19. Super heroes themed party food plate. 40. 40. Source: Pinterest. https://www.pinterest.com/pin/490118371942463414/. 31. DOI:10.6814/NCCU201901286.

(41) 5. MARKETING PLAN AND SALES STRATEGY. To complete our market analysis and develop a marketing strategy is important to review first our current competitors. Follow by the proposal on four marketing decisions of price, position, place and promotion. The product portfolio has been already detailed in section 4.. 5.1. Competitors Analysis El Salvador’s kids café market is still in early stage with few coffee shops that offer a more kid friendly environment that could be consider competitors for our business. Here is a short description of our three main competitors 41.. 政治大. 立. 5.1.1. La Luna de Mateo. More than a café itself, “La Luna de Mateo” is a children´s development center and library. It. ‧ 國. 學. was designed with the purpose of promoting creativity and imagination through art and educational games. The indoor playground also follows a Montessori inspired design. With. ‧. areas to develop motor skills, mathematics and crafts. They offer workshops for kids and adults,. y. Nat. similar to an afterschool learning place. They have a limited menu, with a few drink or snack. sit. options. Kids pay an entrance fee of $5 USD, which includes unlimited time in the playground. n. al. er. io. and material for the craft´s workshop. Adults pay an entrance fee of $3 USD. They offer rental venue and summer camp.. C. hengchi 5.1.2. La Petite Maison Kindercafe. i n U. v. This is a family oriented café located in San Salvador. They have a small indoor playground and an outside garden playground with slides and swings. Their playground design is more traditional, similar to the ones provide by fast food chains. They provide a full menu for breakfast, brunch, sandwiches, pizzas, coffee and natural juices. They promote four special events during the year: Easter egg hunt, Children´s Day, Christmas and costume´s party. They also offer the rental venue and event packages for parties.. 41. El Diario de Hoy. “Four places to visit for both kids and parents”. 2019. https://www.elsalvador.com/entretenimiento/turismo/565729/diversion-al-maximo-4-lugares-fuera-de-lo-comunpara-ninos-que-tambien-disfrutaran-los-papas/. 32. DOI:10.6814/NCCU201901286.

(42) As for prices, “La Petite Maison Kindercafe” charges $5 USD per kid. The entrance fee can be consumed in food for adults or kids from Tuesday to Friday, and on the weekends this amount can be used only for kid´s menu.. 5.1.3. Fun House Café This is potentially our main competitor. This business has a concept of both café and kids playground. In addition to coffee and drinks, they offer breakfast and afternoon meals such as hamburgers, sandwiches and pizzas. They want to provide a healthy option with a yogurt based drink that has no sugar but the option to add Oreos or Nutella. Their Facebook page shows images of fried food options–beans, French fries, plantains, etc.- They´ve designed a baby. 政治大 is a balls pool. They also have 立an older kids area and outdoor playground with both wooden room area, where parents can enter to play with their toddlers. The baby room main attraction. ‧ 國. children 0 to 2 and another one for children 2 to 5.. 學. toys and traditional swings-slides. Their playground is divided into two areas a baby zone for. ‧. They charge an entrance fee of $5 USD per kid to use the playground area. Adults pay only their food or drink´s consumption. The kid´s entrance fee is non consumable, except for special. Nat. sit. io. er. camps.. y. dates when it includes a “Fun meal”. In addition, they offer rental venue for parties and summer. al. v i n C h to San SalvadorUand are categorized as high income Mascota. These two districts belong engchi neighbors. The houses are big, with large inside gardens. These places were founded between n. All the above places are located inside houses either at Colonia San Benito or Colonia La. 2014 and 2016, being “La Luna de Mateo” in the market for over four years. Annex B contains a table with the addresses, website and operations schedule of each competitor for any reference.. 5.2. SWOT Analysis After having an overview of our potential competitors, a SWOT analysis is a useful technique to have a clear view of where OHANA Play Café stands, in order to plan our strategy as a startup business. Table III shows a SWOT Analysis with OHANA´s current position to enter market.. 33. DOI:10.6814/NCCU201901286.

(43) Table 3. OHANA Play Café. SWOT Analysis. .. Strengths. Opportunities. •Healthy menu •Food presentation- edible art •OHANAsitters •Playground design •Location •Co-creation with customer •Sustainable brand. •Increasing market of Millennials parents •Growth of women´s disposable income •Healthier lifestyle trend. 政治大 Weaknesses Threats 立 •Weak brand recognition •Presence of strong competitors •Potential Price War •Nature or economic conditions that affect coffee production. ‧. ‧ 國. 學. •Limited budget as start up •Less advertisement expenditures •One coffee suplier. er. io. sit. y. Nat. n. a. iv. Strategies for exploiting lstrengths and opportunities n C •. Build brand differentiation. hengchi U. o Emphasis in healthy food displayed in creative art. “OHANA Play Café where eating fruits and veggies is fun”. o Advertise as a café that promotes coffee suitability. “OHANA making a difference in families from the bean to your cup”. From OHANA Play Café value “Make a difference” a commitment to support small and medium producers to promote community sustainability. •. Focus entertainment for both adults and kids. A café for adults and playground for kids.. 34. DOI:10.6814/NCCU201901286.

(44) o OHANA Play café offers the OHANAsitters as a plus to release parents of looking after theirs kids while they drink the coffee.. Strategies for minimize weaknesses and threats •. Promote brand awareness. o Choose efficient channels to reach our target customers. Allocate advertise expenses according to our customers main communication channel –social media and word of mouth. o Collaborate with kindergartens that teach the Montessori method. Offer special discounts for theirs students in exchange for publicity in their schools.. •. A combined price strategy.. 立. 政治大. o Price penetration strategy lower the cost of our service as an opening. ‧ 國. 學. promotion to gain market share.. o Bundled pricing. Special prizes for events package and entrance fee with food. Create customer experience. Reinforce customer relationship management. We don’t. ‧. •. sell coffee, we create a relaxed space. We want our customers to feel within family.. sit. y. Nat. er. io. 5.3. Positioning Strategy. al. v i n C h we need to promote Yet, to create a competitive advantage our Café as something different. A engchi U n. With established competitors in the market, OHANA Play Café needs to build brand awareness.. perceptual map is a practical tool to visualize the market position that OHANA aims to reach. Figure 20 shows a perceptual map of OHANA´s main competitors positioned according to two categories. The vertical line represents the business customer focused orientation tendency for adults or children. The horizontal line stands for a food option of healthy and fast food.. 35. DOI:10.6814/NCCU201901286.

(45) La Luna. Fun. La Petit Maison Kindercaf. 立. OHANA. 政治大. ‧. ‧ 國. 學 y. Nat. To differentiate our business, OHANA Play Café will position as a healthy food option, focus. sit. in both children and adults. Although one of our main features is our playground design, it is. er. io. also intended for the children to play independently. Having the OHANAsitters will allow. al. v i n C fun At the same time that we promote for the kids in special holidays, we can also h eactivities ngchi U n. parents to enjoy our quality coffee and spend adult time, not having to worry about their children.. have events for parents, for instance live music, cooking workshops about healthy snacks, working moms pep talks etc.. 5.4. Pricing Strategy To enter the kids café market, we need a combined price strategy. As we´ve seen, most business in the kids café market charge an entrance fee for the use of playground. In El Salvador, our three main competitors charge $5.00 USD per kid, which can be consumed in food or not depending on the place. Children entrance fee. We´ll begin with a special promotion for the kid´s entrance fee at $4.50 USD for the first three months, as we need the “word of mouth” to spread among customers.. 36. DOI:10.6814/NCCU201901286.

(46) The kid´s fee will include a selected drink or snack from the menu for the kid. After the promotion period, we´ll raise the price at $5.00 USD, this price will still include a snack or drink from the menu. This fee will be charge for kids from 1 to 6 years old. Children from 7 to 8 will pay $2.00 USD if they want to use the tablets at the Reading Corner. Adult entrance fee.. There won´t be an entrance fee for adults. But, we will request a. minimum consumption fee of $4 USD per table. Senior´s discount. As we want to attract grandparents and to boost up the customers on the weekdays, we´ll offer a special senior discount. There will be a happy hour in selected desserts. 政治大. buy 1 get 2 –grandparents will usually go in pairs, grandmother with another grandmother, etc.-. In addition, if they order American Coffee, we will have one free refill on the house. In El. 立. Salvador is pretty common for restaurants to offer unlimited refills of black coffee during. ‧ 國. 學. breakfast. Thus, offering one refill of black coffee is a plus for attracting customers. OHANA Kiddie Membership. To make our customers feel valued and to build loyalty, we. ‧. will create a membership for kids. It will be a small printed ID card with the name of the kid. Many adult coffee shops in El Salvador offer frequent client reward cards, for instance collect. y. Nat. sit. 10 stamps and receive a free drink. In the case of OHANA, if the kid collects 8 stamps, they. er. io. can receive a free snack or drink. In addition, we can give a special discount if it´s the kid´s. al. v i n special week discount or benefitCthat our customers can have by using the OHANA Kiddie hengchi U Membership. For instance, buy 1 get 2 promotions, receive one dessert by buying two drinks. In special seasons or slow months, we will post in our Facebook page a. n. birthday month.. etc. Bundled Price. As we will promote the venue rental for birthday parties or other celebrations, we can offer bundle price for the cake and entertainment, when buying the food package.. 37. DOI:10.6814/NCCU201901286.

(47) 5.5. Promotion Strategy Advertising of OHANA Play café will be done by two main channels digital and physical. Social Media. Facebook and Instagram will be our mainstreams to promote our brand and concept. Facebook provides a platform to interact with our customers, receive feedback, questions, reviews and expand our customers network. Instagram, on the other hand, will give us the opportunity to show our edible art, to attract our customer´s eyes. We want to create plates that are Instagram story. In Taiwan, coffee shops pay a lot of attention to food presentation, everything has to be cute, clean or perfect to meet their customers’ demands. In El Salvador, millennials are starting to adopt the Asian food photo tendency. Therefore,. 政治大. OHANA´s healthy menu will be presented with creative edible art.. 立. We will create a website to promote our brand, share our company values and specially develop. ‧ 國. 學. the Blog section. In this blog, we will post trends in healthy food, how to balance work and parenthood, testimonials, etc. Customers can submit their questions and share their experiences.. ‧. Publicity in stores. With a limited budget for physical advertisement is important to invest in. y. Nat. places where our target customers go. Thus, we´ll start with the collaboration with kindergarten. sit. and private schools that follow the Montessori teaching method. Among these, “Mi Casita. er. io. Montessori” –kindergarten- and “Acton Academy El Salvador” –preschool through 8th grade-. n. al. v. will be our main focus. These two schools leads the Montessori teaching method in El Salvador,. i n C parents that send their kids there arehpotential customers. engchi U. In addition to schools, we´ll place publicity in main beauty salons and yoga centers. We are targeting millennials parents, within these the working moms whose disposable income is increasing. Yoga classes are rather expensive in El Salvador, in some places up to $90 USD the monthly fee 42. People than can afford yoga classes has the disposable income to visit Kids café. Also if they take yoga classes, they will most likely have a tendency for healthy food. In addition to working moms, at yoga centers we can promote the brand as an alternative for those single women that want to enjoy a coffee with her friends that already have kids.. 42. Reference from “Yogashala”. Yoga Center in El Salvador. http://www.yogashala.com.sv/precios. 38. DOI:10.6814/NCCU201901286.