“An Assessment on the Marketing Mixes

Implemented by Selected Coffee shops in Santa

Maria”
• Introduction
Success has never been that easy to achieve. There are lot of things to be considered in order for a
business to become successful. The entrepreneur must properly and discerningly use his ideas and
knowledge about the business. This includes the tools and techniques he should use in order to establish
and run his own business. And one of the most essential tools an entrepreneur must consider is the
marketing mixes. Marketing mix is often called as the 4Ps of marketing which stands for Product, Price,
Place and Promotion.

Marketing mix is an integral tool that is used to ensure the effectiveness of the company’s
strategic plans and tactics. It will assess the roles of product, price, place and promotion to the success of
the business. “Marketing mix is the mixture of controllable marketing variables that the firm uses to
pursue the sought level of sales in the target market.” according to Philip Kotler.

Coffee shop business is now a booming industry. In the few years it keeps on getting bigger and
bigger. The market shows no sign of slowing down. Just like in Sta. Maria, Bulacan where chains of coffee
shop businesses are greatly patronize by different target markets. And by that kind of successful results
with these businesses surely they have implemented a very effective marketing mix.
Background of the Study
The different coffee shops here in Santa Maria are wanted to create the perfect marketing mix to take the
town by storm through the use of the four Ps. A marketing mix is a planned mix of the four Ps within a
marketing plan. The four Ps consist of product, place, promotion and price. A successful marketing mix
must have all four elements created to reach the target market effectively.

They must create a product offering that will satisfy their target market. A product consists of
anything that is of value to a consumer and can be offered through a voluntary marketing exchange. A
product consists of the physical product, packaging, brand name, etc.

It can also be an intangible item called a service. Services are intangible and they cannot be
transported or stored. They are almost instantly perishable. Examples include lawn maintenance services,
haircuts, airplane travel, etc.
The next key component of the marketing mix is place or physical distribution. Place is the
location of where the product or service is available for purchase. It can consist of a physical
location (brick and mortar) or a virtual location, such as a website. Marketing managers must
decide on the correct location from which to offer their product or service. The product needs to
be available when the consumer wants it.

They have to decide how they will communicate with their customers. How will they
inform the target market about their coffee? Promotion allows marketing managers to
communicate their product value through media such as televisions, radio, billboards, and social
media.

Lastly, the prices need to match up with consumer demand and expectations. Examine
competitors and price accordingly. Price too high and they may have no customers, since they
will weigh cost over benefits, and value their money over their product. Price too low and
people may undervalue their products, since low price usually means low value perception as
they compare to their competition. Thus, the researchers were driven to conduct a research
study to give importance and knowledge about the marketing mix to the selected coffee shops
in Santa Maria.
Theoretical Framework
This study is focused on the marketing mix which is the 4P’s. The 4P’s include Product, Price, Promotion
and Place.
E. Jerome McCarthy explains the marketing mix in practical way. According to McCarthy,
marketers can draw up a good marketing plan and improve operating results visibly by using the right
combination and variables.

The first P in the marketing mix is the Product. The product is an item that is built or produced to
satisfy the needs of a certain group of people. The product can be intangible or tangible as it can be in the
form of services or goods. The product should fit the task or it should be what the consumers are
expecting to get.

The second P is the Price. The Product should always be seen as representing good value for
money. This does not necessarily mean it should be the cheapest available. One of the main tenets of the
marketing concept is that customers are usually happy to pay a little more for something that works really
well for them. Price is very important component of the marketing mix definition.
 The third P is Promotion. This represents all of the communications that a marketer
may use in the marketplace to increase awareness about the product and its benefits to the
target segment. Promotion has four distinct elements: advertising, public relations, personal
selling and sales promotion. Advertising may include using specialty packaging to showcase
products, utilizing promotional products for your company, or online ads. A certain amount
of crossover occurs when promotion uses the four principal elements together (e.g in film
promotion). Sales staff often plays a major role in promotion of a product.

The Fourth P is the place. Place represents the location where a product can be
purchased. Place or distribution is a major factor in developing a service marketing strategy
because of the inseparability of services from the producer
Conceptual Framework
The conceptual framework used in this research is IPO Diagram that can help visualize the study and
serve as a guide to the researcher.
The input variables are customer profile and preference, assessment of the 4Ps, and the
common problems encountered.
The process includes Data Gathering, Survey, Interview, Data Analysis and Interpretation.
These will help the researcher to obtain the necessary information.
The output is about the assessment on the marketing mixes implemented by selected coffee
shops in Sta. Maria, Bulacan.
Feedback includes the customers’ suggestion or idea regarding the companies and hoe it can
be improved.
 1. Profile and
Preference of
the customers Data Gathering Marketing mix
2. Assessment of Survey implemented by
the 4PS Interview selected coffee
3. Common Data Analysis shops in Sta.
problems Interpretation Maria Bulacan
encountered
by customers

FEEDBACK
Statement of the Problem
The main purpose of this study is to provide information and to assess the marketing mix
implemented by selected coffee shops in Sta. Maria, Bulacan.
To support the major objective of the study, the following problems were raised:
What is the profile and preference of the customers of these selected coffee shops in Sta. Maria,
Bulacan in terms of:
◦ Age
◦ Gender
◦ Occupation
◦ Civil Status
◦ Product
◦ Product Price
◦ Buying Behaviour
◦ How often the customers visit these coffee shops
How the customers assess the marketing strategies of these coffee shops in terms of the
following:
◦ Product
◦ Price
◦ Place
◦ Promotion

What are the common problems encountered by customers of these coffee shops?
Significance of the Study
To the Customers. They will have a chance to know the background and practices of these coffee
shops in Sta. Maria.
To these coffee shops. This study may serve as their guideline to know if the current marketing
mix they are using is still effective to meet the expectation of their customers.

To the Employees. This may help the management to improve their marketing mixes and be
more competitive while satisfying the needs of their customers.

To the Researchers. This will help the researcher to improve their skills in marketing and apply
their knowledge and ideas regarding the study.

To the Future Entrepreneur. This study may help as a guideline for future entrepreneurs who
are planning to establish their own coffee shop business. The study may also serve as a basis of
benchmarking on which kind of practices they may consider once they enter into related business.
Definition of Terms
Terms here are conceptually and operationally defined for better understanding of the readers.
Café- a usually small and informal establishment serving various refreshments (such as coffee)
Product- is an item that is built or produced to satisfy the needs of a certain group of people.
Price- the basically amount that a customer pays for to enjoy it.
Place- refer to position and distribute the product that is accessible to potential buyers.
Promotion- it can boost brand recognition and sales.
Marketing Mix- refers to the set of actions or tactic, that a company use to promote its brand or
product in the market.
Competitors- refer to the other café.
 Chapter 2
REVIEW OF RELATED LITERATURE
AND STUDIES
Foreign Literature
According to Doole and Lowe (2004) product image is one of the most powerful points of
differentiation for consumers. Image positioning has an influence on the consumer and buyer
behavior. Because the aspiration and achiever groups of purchasers wish to belong to particular
worldwide customers segments and are keen to purchase products which are associated with that
group. Then again, company image is becoming increasingly important aspect of international
marketing strategy in creating a central theme running through diverse product ranges that
reinforces the vision and the values of the company which can be recognized by employees and
customers alike. For this reason many companies have spent considerable effort and adequate
resources on controlling and improving the corporate identity through consistent style and
communications.
According to Miller and Cardinal (1994) This study investigates the performance implications of using
multiple organizational approaches to the development of marketing strategy while focusing on the 4Ps
elements of marketing mix. Specifically, we developed and test a model in which implementation of
marketing mix elements mediates the relationship between number of marketing strategy approaches in
reference to adaptation and standardization pursued and firm performance. Prior studies of the
implications of marketing strategy development have focused almost exclusively on direct financial
performance, with inconsistent results.

According to Keller, (2003) in order to create brand loyalty, consumers’ experiences with the product must,
at least, meet, if not actually exceed, their expectations. Customer satisfaction is determined by exceeding
customers’ expectations. The image of the product is paramount to winning customers in international
markets.

According toCavusgil and Zou (1994), export marketing strategy can be defined as “the means bywhich a
firm respond to interplay of internal and external forces to meet the objective of the export venture”.

According to Philip Kotler, "Marketing Mix is the combination of four elements, called the 4P's (product,
Price, Promotion, and Place), that every company has the option of adding, subtracting, or modifying in
order to create a desired marketing strategy"

According to Principles of Marketing, 14e, Kotler and Armstrong, 2012 - "The Marketing Mix is the set of
tactical marketing tools - Product, Price, Promotion, and Place - that the firm blends to produce the
response it wants in the target market."
Local Literature
According to Llanes, et. al., (1994), all products services offered by an establishment to its
market constitute what referred to as product mix. While it is important to enzure that the
performance of the entire product mix is in accordance with the establishment's sales, growth or
profit objectives.

Once the establishment has decide to develop a particular market or a specific grouo of
customers whose need oftentimes composed of many more customer groups and customer needs
than what an establishment can serve in a competitive superior manner.

After the target market has been selected, the marketibg objectives are generally stated in
terms of increase of sales, market share and profit. The marketing mix is then develoled to achieve
the objectives of a particular target market. The strategic decision involved here is how to fit
together product, pricing, distribution and promotion strategies into a marketing program.
 According to Pagoso and De la Cruz (2000), price is a very important factor in the operational market
because this is the only element among the four P's of marketing mix that generates income.

To the marketers, interacting the 4P's attempt to influence the buying decision making process of
customer's background and their previous experience with the product/service or similar product/service.

It must be remembered that the competitive advantage is secured by providing better or best value in
the perception of customer, related all your competitors.

A definition of target customers must first be arrive at before defining what product customer wish to
own. The stage of adoption preparedness, the target market is in must also be considered at all times. This
shapes the general characteristics of the firm's marketing mix. Note that the word own is used instead of
buy. This is because in satisfying customers, marketer must consider the most complex decision making
process for most product and services.

Product may either be superior at parity with, or inferior to those of competition. A superior product
satisfies the needs and wants of the customer while an inferior product satisfies lesser needs. Parity
products on the other hand satisfy the same customer needs as competition.
According to Josiah Go and his wife Chiqui Escareal Go, marketing was largely about the marketing
mix or 4Ps. It was understanding marketing in marketers standpoint. Towards the new millennium,
marketing took on the primacy of the consumer and her priority need and values.
 Chapter 3
Research Methodology
Method of Research
The type of research method that is used by the proponents in this study is the survey questionnaire
research method. That it is focused on the study of the customers’ perception regarding the
marketing mix implemented by the coffee shop to where they are customer of.
A questionnaire is a tool to be used for a survey. When conducting a survey your list of questions is
called your questionnaire. A survey, on the other hand, encompasses all aspects of the research
process, including research design, survey construction, sampling method, data collection,
and response analysis. Fluid Surveys (2017)
Survey questionnaire method is used in the study because the study aims to help the researchers of
Polytechnic University of the Philippines, assess the current marketing mix implemented by
particular coffee shops in Sta. Maria, Bulacan.
According to Nigel Mathers, Nick Fox, et. al, the survey is probably the most commonly used research
design in health services research and the social sciences. We have all been asked to take part in a
survey at some time. As consumers we are asked about our shopping habits, as users of services we
are asked for our opinions of services. The survey is a flexible research approach used to investigate
a wide range of topics. Surveys often employ the questionnaire as a tool for data collection.
Population, Sample Size and Sampling
Technique
The respondents of the study will be the prospect customers of each of the particular coffee shop.
And also those customers that already been patronizing these coffee shops.
Slovin Formula:
𝑁
𝑛=
1+𝑁𝐸 2
Where:
n = sample size
N = population size
E = margin of error

The researchers have chosen to ask 50 respondent for each of the coffee shops. There are 5 coffee
shops to be assessed and it will total into 250 respondents. Each respondents will be ask questions
regarding the marketing mix of each coffee shops.
Respondents will be given survey questions which has content about the Pricing, Product, Place and
Promotion of each coffee shops and how well they are satisfied in patronizing each of those.
Description of Respondents
The respondents are those customer that already been patronizing these coffee shops.

TOTAL NUMBER OF STUDENTS

COFFEE SHOPS SAMPLE SIZE

KOPI AVE 50 Respondents

BUENA CAFE 50 Respondents

HOUSE OF HUGOT 50 Respondents

CAFÉ MADERA 50 Respondents

OG CAFE 50 Respondents
 Table No. 1. Total number and sample size of the respondents
The total number of respondents in the study is 250 customers.
Research Instrument

The study used survey and questionnaires in gathering data. A survey is defined as the measure of
opinions or experiences of a group of people through asking of questions. This is opposed to a
questionnaire, which is defined as a set of printed or written questions with a choice of answers,
devised for the purposes of a survey or statistical study.

The research instrument were the survey and questionnaire. Researchers will use rating scale as part
of their survey. A possible scale is then: “Strongly Satisfied,” “Satisfied,” “Neutral,” “Dissatisfied,”
“Strongly dissatisfied,” numbering 5 to 1 as an interval scale.
The respondents will choose from these 5 point rating scale and put a check on the corresponding box
which will be based on the level of satisfaction that they are experiencing.
The researchers obtained the respondents’ idea and perception regarding the products, services and the
other 4Ps implemented by each coffee shops.
5 – Strongly Satisfied
The respondents have outstanding satisfaction rate on the current marketing mix implemented by this
coffee shop.
4 – Satisfied
The respondents have average satisfaction rate on the current marketing mix implemented by this coffee
shop.
3 – Neutral
The respondents have fair satisfaction rate on the current marketing mix implemented by this coffee shop.
2 – Dissatisfied
The respondents have poor satisfaction rate on the current marketing mix implemented by this coffee
shop.
1 – Strongly Dissatisfied
The respondents have very poor satisfaction rate on the current marketing mix implemented by this coffee
shop.
Data-Gathering Procedure
The researchers personally administered the survey questionnaires to the respondents and provided
them with clear instructions on how to answer. The respondents answered the test questionnaire at
their convenient time and place.

The questionnaires were retrieved on the same day of the administration after it is being
answered by the respondent. Data that was extracted from the questionnaires will be classified,
organized and tabulated accordingly.

The researchers tabulated the data gathered from the answered questionnaires. Analyzation
and interpretation of data helped to formulate findings, conclusions and recommendations.
Statistical Treatment of Data
For the purpose of analysis and interpretation, the responses to the terms on the questionnaires
were tallied and recorded accordingly and the following assessment tools will be used:

Frequency and Percentage. This is used to determine the proportion of students who answered in a
certain way.
Formula
𝐹
P= 𝑋 100
𝑛

Where:
P = Percentage
F = Frequency
n = No. of respondents
Weighted mean. It is the mean of each weighted value when it is multiplied by some weight.

Formula
σ 𝑓𝑖 𝑥𝑖
𝑥ҧ = σ 𝑓𝑖

Where:
𝑥ҧ = Weighted mean
σ = Summation
𝑓𝑖 = Frequencies
𝑥𝑖 = Items given
Group 12

Rodnie Reyes
Michael Domingo
Johnica Aldea
Diana Bernardo
Jennilyn Cruz