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Old Town White Coffee

Paper Type: Free Essay Subject: Marketing
Wordcount: 1695 words Published: 4th May 2017

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1. Introduction

OldTown White Coffee is a famous retail chain that famous for its white coffee. The history of Old Town White Coffee began in 1999, started as a classic coffee shop of ‘White Cafe in Ipoh, Malaysia. With the intention to serve quality white coffee to Malaysian households and the food service industry, the founder, Mr. Goh Ching Mun and executive director, Mr. Tan Say Yup formulated their own blend of 3-in-1 instant white coffee. In the same year, they successfully commercialized the instant 3-in-1 coffee mix under the ‘OldTown’ brand name for the retail sector a formulated their own blend of 3-in-1 instant white coffee and commenced manufacturing in 1999 began exporting it to Singapore the following year. The OldTown 3-in-1 instant coffee mix was sold at 1348 retail outlets in Malaysia, 550 retail outlets in Singapore and 2100 retail outlets in Hong Kong by the end of 2009.

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In year 2005, OldTown Coffee has expanded vertically into the food services sector by opening a chain of cafe outlets based on the traditional Ipoh coffee shop setting and ambience under the ‘OldTown White Coffee’ brand name. Since the opening of its first cafe outlet in Ipoh in 2005, its chain of cafe outlets has expanded to around 160 cafe outlets in Malaysia and Singapore. Meanwhile, the groups of cafe outlets under the retail segment operate under the brand name “OldTown White Coffee” and “OldTown White Coffee Signature: for the premium segment which is modern version of its original coffee shop in Ipoh. This includes fully and partially owned and franchised cafe outlets. The management has successfully mixed tradition with modern conveniences, revamped and revived the traditional cafe concept into a successful working model with outlets conveniently located and easily accessible to customers.

OldTown White Coffee’s goal is to let everyone enjoy every sip of authentic Malaysian Ipoh White Coffee, anytime, anywhere. Whereas, it vision and mission is to be Asia Pacific’s Leading White Coffee Producer providing high quality products to customers globally. Besides that, they want to promote their Unique Malaysian Taste which are the authentic Ipoh White Coffee and continue White Coffee Legacy through continuous improvement and innovation that exceeds customer expectations. As a Market Leader, they take pride in distinguishing themselves to be ahead of the pack. By setting precedence, they have made a standard that equals excellence, pushing other brands to do the same.

2. Content


The Oldtown white coffee using the free form layout also name boutique layout to give the customers relaxing places to purchasing the meal and enjoying the situation and environment of the shop. The facilities of the Oldtown white coffee shop is want to give the good environment and want to give the customers feel like relaxing when spend in the shop. This is costly to the Oldtown white coffee shop to creating this environment and the facilities, because the company need to design the shop, buy the comfortable facilities such as table, chair, television, wifi and so on. The layout of the Oldtown white coffee is help the people to enjoying the shop. This is because the free form layout pattern is giving the customers relaxing and enjoying environment and the facilities is help to increase the feeling to enjoying in the shop.


The Oldtown white coffee shop’s light is the highlight of the merchandise because the Oldtown white coffee shop’s light is the yellow color and this can give the customers enjoy the meal in the good environment and facilities shop. Furthermore, the shop space is good enough to give the customers and employees to move. This can capture the customers mood to have the meal in the Oldtown white coffee shop. The fixtures are the consistent with the merchandise and the overall atmosphere, because the fixtures is helping the shop to capture the customers mood when have the meal in the shop and this fixtures are given the customers a good places to gathering and enjoying with friends and family. So, the fixtures of a shop or merchandise are important to attract the customers and increase the customers’ good mood when spend money in the shop.


Old Town White Coffee is a place where people take their time. It is the largest kopitiam restaurant chain in Malaysia which serves with their good services and quality products. Therefore, there are more people prefer to choose Old Town White Coffee instead of other coffee shops. From the information that given by the outlet manager, there will be getting more competitor come into this industry due to they can foresee the good opportunities. Besides that, the target markets that Old Town is trying to attract are those students, businessman and coffee lovers. Old Town White Coffee serves as an ideal place for these groups of people to do their assignments, engaging in chitchat session and discussion for the business purpose.

Other than that, Old Town White Coffee used the same store layout, design and visual for all their outlets in order to get the customers awareness where lead to the effect of brand positioning. Old Town White Coffee used the color of dark brown and yellow in the logo and the physical store to create the feeling of warm and comfortable. Besides, Old Town White Coffee used up yellow color lighting and wooden furniture to create relaxed and classic atmosphere. Not only that, the wallpaper that used in the store was the full size picture which is mainly about the history of Old Town White Coffee. According to their manager, all the store of Old Town White Coffee were located at high traffic, high visible location in each Asia Market for example in the shopping complex or shop lot in order to let people can actually having a break and have a cup of coffee or some snacks.

Lastly, the ambience of any Old Town White Coffee outlet gives that straightforward warmth and friendliness whether you are just taking a cup of coffee or enjoying a plate of nasi lemak. In general, it shows that Old Town White Coffee always consistent with their best services and also the food or beverage.


White coffee series is the signage of the Old Town White Coffee. There is variety flavor of coffees such as original, “Gao”, Mocha, Hazelnut, Cham and also Old Town Nan Yang coffee. According to outlet manager, Old Town White Coffee successfully beat their competitors down by the brand itself. Old Town White Coffee also using some advertising media such as radio, TV and billboard to advertise their product in order to gaining more awareness from consumers. Besides, the brand positioning is too strong customer mind. When people think of drinking coffee, will definitely think of Old Town White Coffee. Besides, Old Town White Coffee also post their menu on the wall space in order to attract the customer to buy the food and beverage pictures.

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Besides, there is some trainings provided by Old Town White Coffee to their servicing staffs in order to give out the professionally services. One of the training is called suggestive selling. According to outlet manager, their staffs are practicing suggestive selling skill during placing an order with the customers. The staff will try to recommend or give suggestion on the customer preferences due to some new customer unfamiliar with their products. Therefore, this will gain the customer loyalty and also build a good reputation from customers.

The staffs all are well trained by Old Town White Coffee. Without a doubt, the staffs are helpful and cheerful enough to serve the customer. The image of the staffs bringing a feeling of warm, comfortable and relax. So it is totally tally with the image of the store itself. Old Town White Coffee also offering a few promotion foods set such as breakfast, lunch, tea and supper set. All these can attract more customers to having a meal in Old Town White Coffee which indirectly bringing more sales.


Merchandising is refers to the practice which contributes the sale of products or services to a retail consumer. At a retail in-store level, merchandising refers to the variety of products available for sale and the display of those products in such a way that it stimulates interest and entices customers to make a purchase.

According to the Old Town White Coffee Kopitiam’s official website, what we understand towards its merchandising is the well known and most hot item product which is the coffee series. It means that they are more focused in serving the coffee lover and they also creating a very comfortable and memorable traditional coffee shop style for its retail customer. In other words, Old Town is designed with the full of traditional Ipoh coffee shop setting and ambience which providing a very comfortable environment to those coffee lover or customer would like to enjoy in such classic environment.

Not only that, Old Town Kopitiam also includes the localization in food serving. Old Town offering a plenty of local foods which are very famous and well known in Malaysia. For example Asam Laksa, Chicken Hor Fun, Rendang Chicken Rice, Curry Mee, Nasi Lemak, so on and so forth. All these are the preferences of Malaysian and also became the attractiveness of the Old Town Kopitiam in today’s time.

Besides, according to the Old Town Group Chairman Datuk Dr Ahmed Tasir Lope Pihie, it declared that as the Malaysia’s largest Kopitiam chain, they also taken the initiative to request the Malaysian Islamic Development Department (JAKIM) to get certify with the HALAL Certificate. This is one of the merchandising strategy used by Old Town Kopitiam, this is due to Malay is the largest portion among the races in Malaysia, in other words, it means they would be one of the largest category of consumers to Old Town. By applying this, it enables Old Town to reach one of big segment of consumers in Malaysia.


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