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Coffee Bean & Tea Leaf: Marketing Mix

Paper Type: Free Essay Subject: Marketing
Wordcount: 1991 words Published: 12th Jan 2018

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The Coffee Bean & Tea Leaf, a very popular organization around the world. It is started in 1963 and created by Herbert B. Hyman and Mona. Herbert B. Hyman is the founder of gourmet coffee in California. Today, Coffee Bean is one of the world largest privately-owned, family-run coffee and tea companies. The Coffee Bean and Tea Leaf has by far expanded their branches over 750 locations in 22 countries. The aims of Coffee Bean to their product can describe by two word, excellence and quality. From very beginning, The Coffee Bean effected their customer thinking with the idea to the Coffee Bean is a high standard of their product and image. This makes them the endurance and popularity today. More over The Coffee Bean is successful company because they have discovered the formula for a successful coffee and tea company.

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About Coffee Bean

The mission of The Coffee Bean is “To create a spirit within our company that inspires our Team Members to provide our customers with a Total Quality Experience: Quality of Product, Service and Environment.” The Coffee Bean and Tea Leaf Company’s slogan: “Simply the Best”. They believe in these basic facts can lead them through their daily lives at The Coffee Bean are being friendly with each other, respect each other’s value, opinion and individual diversity, ownership, teamwork and honesty. (Coffee Bean, 2011)


Coffee Bean Donut

Our company has produced a new product, which can perfectly match our main product. We have promoted donut as our secondary product. Coffee is usually been ordered during tea time or when someone is free or having a rest. Therefore it needs something to fulfill the customers’ relaxing needs while enjoying their favorite coffee. Coffee Bean Donut will be an ideal product specially made for this. When the customer is drinking coffee, they also can fill up their stomach or killing their free time by having donut as their dessert. Size of the donut we provide normally is in size of a man fist. More important, it is mix with many healthy ingredients which makes tastier and healthier than other normal donut. The ingredients for the donut have flour, sugar, baking powder, baking soda, salt, egg, canola oil, lemon juice, plain yogurt and vanilla extract. In order to make the customers been able to choose the flavor they want depend on their moods and needs, we provide more than 20 flavors such as Chococinno, Iceberg, Kiwi Blitz, Snowy, White Forest, Merry Cherry and others for the customers to choose to fulfill their demands.

Target Audience

Nowadays our living standard has become higher than before. Compared than quality that people used to consider it as priority, now everyone has more concern on the appearance of the product.

Among the age group, teenager group is the best target which can be easily attracted by the appearance of the product. Thus donut used to be a product which mostly preferred by the teenagers because it is one of the foods which accompany most of us since we were still young. Mostly teenager like to hang up with friend or might meet with someone at outside, Coffee Bean is one of the best choices for those who came earlier. Coffee Bean have their shop at most of the shopping complex and it have also provide free Wi-Fi and with a nice environment. While waiting for their friends, they can have order the coffee and the donuts to enjoy the free time.

Coffee has been known as one of the favorite drinks for the adults. Majority of the adults has taken coffee as their favorite, not to mention that there are some heavy consumers as well, especially the businessmen. Many businessmen drink coffee as it can help them in releasing tension or finding inspiration as most of them are working under stressful environment in their daily life. Donut can make them more enjoyable while enjoying their hi-tea hour or finding inspiration, thus giving them energy back to work with refreshed mind too. Donut is the best attachment to the coffee in order to make the businessmen having their best enjoyment.

Family group is also one of the target customers for Coffee Bean donut. It is because coffee is preferred by most of the adult while donut is a favorite by most of the children. It would be a nice place for the families to have a wonderful gathering time with their family. While the parents are having their coffee, their children will order donuts that they like, and having variety of flavors for them to choose so that they would not get bored with the limited selections. The attractive patterns of the donuts and wonderful atmosphere in the shop will definitely make a good image to both the parents and their children and it makes them having their next family gathering here again.


Marketing Communication Mix Tools


In order to outstanding the knowledge of the new donuts feature, advertising plays an important role as one of the marketing communication mix tools to acknowledge all the consumers about this latest secondary product. With the advertising tool the Coffee Bean and Tea Leaf would be able to inform and persuade the entire related market about the launching of new unique donuts. These donuts with different flavors can be advertised with different product images to attract different levels of targeting consumers.

The Product Advertising would be a good option to advertise the new donuts as this option promotes benefits of specific goods and services. Within Product Advertising the best method to advertise the donuts is the Pioneering option which defines as stimulating the primary demand for a new product that offers consumers in-depth information about the benefits of the product class. The company could hire different advertising agencies or even a suitable well-known celebrity as the spokesperson of the new donuts products and command the related advertising department in order to advertise the donuts information including planning, creating, producing the advertising, performing research, and selecting media.

For advertising, there are six major types of media which include the newspaper, magazines, radio, and television, outdoor media and the internet and World Wide Web. The Coffee Bean Donuts are normally attracted by those younger generations. With this, we can decide what type of media we should use for the advertising. Based on the target customer, the television and the internet and World Wide Web are the best and effective media type use to advertising this new product.


Sales Promotion:

In communication mix tool, sales promotion are defined as activities that motivates consumers or member of the distribution channel to purchase a good or service immediately, either by lowering the price or by adding the value. The Coffee Bean and Tea Leaf can promote the new features of donuts in several ways of sales promotion.

Sales promotion can be done by launching a promotion like “Buy 1 Free 1” featuring purchasing an ice-blended drink and a free choice flavor of donut will be offered, or even a 40%-50% enjoy of discount if a particular amount of donuts have been purchased. These are effective ways in fulfilling the missions of sales promotion by increasing trial purchases, consumer inventories, repeat purchases, and most importantly raising the awareness of consumers about the donuts product.

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Furthermore, providing free gifts to loyal customers and consumers who supported the new secondary donut products are important. This method can motivates them a lot in helping the company to pull customers by sharing their product experiences and knowledge to the others. Giving coupons and rebates away is a “must” as this type of sales promotion can not only attract more consumers to visit the company’s retail stores and franchises, it also able to acknowledge them that they get to enjoy many offers and promotions if they purchase the donuts.

Effectiveness of Marketing Mix Tools

By using such effective marketing mix tools as their methods in promoting and increasing their sales, Coffee Bean & Tea Leaf is hard to beat out by other marketers and stand at the top rank of the coffee manufacturer industry.


Pioneering advertising method is one of the most effective methods in promoting a new product. By using this advertising method, the new product’s brief information and customers’ benefits gained from the product will implant into their mind and distribute the information to different groups in a shorter time and wider area. Besides, hiring celebrity as the new product promoter can also attract those who idolize them and convince them to buy the product. Nowadays the mass media make an imaginable influence to the public. By using this as a method to promote new product, for example, hiring a celebrity, will attract more audience to the new products because of the posters or the images of the celebrity on the product. And taking advantage on the audience madness phenomenon on the celebrity, it will definitely raise the awareness thus increase the sales of the product. Although these advertising method is in heavy usage during the new production promotion period and it involves expensive and sustained advertising expenses, but with the well-known company image and the qualified quality of the coffee drinks, Coffee Bean & Tea Leaf is able to spend on those heavy advertising expenses and make it out with a greater interest and profit.

Sale Promotion

Sales promotion is another marketing tool used by Coffee Bean & Tea Leaf in the new product introduction period. For example, one of the basic tactics used in the sales promotion is either giving a lower price or add up the value. With the lower price as promoting method, it can easily trigger customers’ curiosity and attracting the customers come and have a try on the new product. In one hand, using low price method, compared with the normal prices for the usual products in Coffee Bean & Tea Leaf, it is not only affordable for most of the customers and the quantity of the products they purchase will increase as well. While in other hand, by adding up the values of the product, those customers with rational thinking or having a budget in their mind will come and purchase the products. By using these promoting methods, the promotion product information and news will be spread by the customers from one to another, and this bring Coffee Bean & Tea Leaf more customers to purchase their products and make them aware of the company brand and the products. Free gifts for the loyal customers will make them having concern on the products and company. Coupons and rebates give away method can make sure that the customers will come to make a purchase thus it can share with their friends and families. By making chain sales from one to another, customers’ concern will be rise and more customers coming to purchase the product lead to greater sales.


The type of communication tools that The Coffee Bean and Tea Leaf use for the new product is the advertising and sales promotion. As a result it is much more effective than by using the other two ways of communication tools which is personal selling and public relation. As the company which their product is food and drinks, the better way for it to promote the new product is using the advertising and sales promotion because it is faster and easy for them. More prefer to choose the way to let customer go to the place to purchase the product than take out the product to outside and promote it to public. By advertising and sale promotion, the new product will fast spread to everyone and attract them to buy it.


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