Evaluating the Feasibility of Marketing Honey Farm Coffee In the United Kingdom

Marketing Honey Farm Coffee Dissertation – Honey Farm Coffee is a coffee growing company based in India. The company is a third-generation family run organization that has been producing high quality specialty coffee beans since 1908. The company’s coffee estates are nestled on forested mountain slopes in the fertile and picturesque Coorg region of South India. Crystal clear streams fed by seasonal monsoon rains water the coffee estate. Immense care is taken during the cultivation stages of coffee.

The coffee fruits are ripened on the bush, hand harvested, sun dried and processed with a perspective of quality. Traditionally, all the coffee grown on the Honey Farm Coffee plantation has been sold either at the farm gate or at the local commodity auctions. The coffee commodity markets have seen a great deal of fluctuations over the years with prices driven by supply and demand and at the mercy of the weather pattern in high volume growing countries of Brazil, Colombia and Vietnam. India produces around 5% of the world coffee crop, but as a producer is mainly a price-taker.

Currently, coffee commodity markets are at a 30-year low mainly due to over production in the coffee growing countries and a high level of warehouse stocks in the consuming countries. Currently, commodity coffee prices are below cost of production, which has led to a lack of profitability for Honey Farm Coffee. As a result, the company is considering a diversification strategy to enhance the profitability of the company.

To assist in the decision making process, this project was conducted to evaluate the feasibility of marketing Honey Farm Coffee in the United Kingdom. In order to evaluate the feasibility of marketing a value added coffee product in the United Kingdom; first, a value chain analysis for coffee was conducted along with an analysis of the quantum of value addition achieved through the various stages of the value chain.

This analysis was followed by an evaluation of the macro and micro environmental factors in the target market in the United Kingdom. This study, used secondary sources of information where available, and collected primary data to evaluate the coffee consumption pattern in the Indian restaurant sector. A product trial was conducted on a random sample of restaurants in the target sector and feed back evaluated to assess the uptake of an “Indian” coffee product by these restaurants.

Finally, an analysis of the “fit” between the strengths and weakness of Honey Farm Coffee and the threats and opportunities provide by the macro and micro environmental factors was conducted and gaps in competencies identified. Finally, conclusions are drawn regarding the feasibility of marketing Honey Farm Coffee in the United Kingdom, and recommendations made to enable the company to embark on a diversification strategy. Research Objectives:

  1. Evaluate the value chain of Honey Farm Coffee: Currently, the produce of Honey Farm Coffee is sold as a commodity in the local auctions. An understanding of the value-addition in the value chain of coffee will be a useful input into the decision of marketing a value added product in the United Kingdom.
  2. Market level analysis: An evaluation of the macro and micro-environment of the coffee consuming market in the United Kingdom. This study will reveal the dynamics of the coffee market in the United Kingdom and will include a customer survey analysis of the selected market. A random sample of restaurants will be selected for conducting a product test, and to validate the results of the customer survey. In addition, this would test the hypothesis that value addition of commodity coffee can be gained by targeting the Indian restaurant sector in the UK.
  3. Company level analysis: An evaluation of Honey Farm Coffee, its strengths and weaknesses, and the fit between the company and the opportunity presented by the environment. Objective 2 above would validate the business proposition and environmental factors in favour of value addition of coffee, while this objective attempts to determine whether Honey Farm Coffee as an organization has the skills and competencies that would enable it to benefit from a market opportunity, and if not, which competencies need to be developed to benefit from the opportunity presented to the company based on the outcome of objectives 1 and 2 above.
  • 12,000 words – 66 pages in length
  • Good use of literature
  • Good analysis of subject area
  • Well written throughout
  • Ideal for business and marketing students

1. Introduction
Honey Farm Coffee
The Strategic Objective
Research Objectives

2: Review of Literature
World Coffee Scenario
Indian Coffee Scenario
Value Chain
Environmental, Market and Company Analysis

3: Methods
Value Chain Analysis
Environmental Analysis: Coffee Scenario in the UK
Survey of the Indian Restaurant Sector
Defining Problem
Research Plan and Implementation
Random Sample and Product Trial Evaluation
Company Level Analysis

4: Results and Discussion
Value Chain Analysis
Market Level Analysis
Micro environmental analysis
Customer Survey Results and Analysis
Product Trial
SWOT Analysis
Strategic Fit

5: Conclusions


Appendix Section

Marketing Honey Farm Coffee Dissertation
Marketing Honey Farm Coffee Dissertation

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