My purpose for this assignment is to analyze the success of Chatime and what else they can make to be better, the trade name Chatime has become kind of the Starbucks and Coffee Bean & A ; Tea Leaf. My research inquiry is hence what is their trade name advertisement scheme?
Recently in Malaysia, when we walk in a shopping promenade and see a long waiting line line in forepart of a drink stall, people waiting to acquire their cup of tea served in fictile cup, really high opportunity that it is Chatime. Chatime is a bubble tea franchise from Taiwan ( tea-time.com.tw ) , it appears to be the latest hot subject and brush the state with gross revenues of one 1000000s cups of tea monthly! They have about 50 mercantile establishments in merely a short period of 1.5years. ( facebook.com/chatimemalaysia, 2012 )
How can a cup of iced tea with merely an extra of tapioca ‘pearls ‘ , usually can be found in the pasar malam ( dark market ) , all of a sudden become so celebrated and everybody is craze about it? Furthermore they are selling at double/triple the monetary value compares to dark market! Bubble tea already exists in Malaysia in the early 2000 ‘s, tardily so it faded off due to wellness concerns over the chemicals taint. Last twelvemonth, the Malaysia authorities has confirmed a contaminated bubble tea merchandise sold in Klang Valley, with a unsafe plasticiser ( DEHP, diethylhexyl phthalate ) which may take to malignant neoplastic disease if over consume ( Lee Yee Mun, 2011 ) . It is of import to cognize what the stigmatization scheme is behind Chatime to get the better of such discourage intelligence. There are more than 30 trade names of bubble tea supplier in Taiwan. Now with the success of Chatime, many other trade names are seeking to capture the market and portion the pie. I was approached by my friend for taking up franchise of another trade name. They merely had their first mercantile establishment open at Sunway Pyramid Shopping Center. They offer waiver on franchising fees for the first 10 mercantile establishments in the first two old ages of concern. It is a really attractive trade and I would wish to cognize the possibility of success for this new trade name by analyzing the market leader, Chatime.
Advertising Brands Internationally
With presents extended globalisation, trade name advertisement is presently carried on in the whole universe which crosses state, state, and cultural barrier. Organizations are attracted to standardising the trade name advertisement scheme across the whole universe due to the possible cost film editing and bid over the trade name image. However, it is really ambitious pass oning to assorted civilizations. ( Hackley, 2005 )
Advertisers need to be really sensitive to the civilization of the mark market, such as utilizations of gestures and behaviour of peculiar aiming audience. Gestures, for illustration, made a circle with pollex and index finger and the other three fingers up means “ All right ” in most of the state, but it means money in Japan. Behavior, for illustration, in China gift-giving contribute to important portion of their concern relationship edifice civilization but it is uncommon in western state in the context of concern relationship. Sexual activity and nakedness portrayed in advertisement is non a job in more open-minded Europe state but non the instance of Muslim states. The advertisement has to follow a criterion of dress codification of behavior.
One really of import determination that an organisation has to do is to what extent they have to standardize/localize their trade name advertisement throughout the universe. Harmonizing to a survey by Taylor & A ; Johnson ( 2002 ) , after research and evaluated a important aggregation of the international advertisement literature of the 90 ‘s, they concluded:
“ it is evident that MNCs have moved toward combination attacks in which wide schemes of selling propositions are standardized but specific executings are adapted when it is needed and some facets of advertizements such as linguistic communication and nationality of the theoretical accounts utilized are about ever adapted. ”
This suggested that an organisation should non move to the polar side of standardized/localize but move along in between. Place the linguistic communication and theoretical accounts but at the same clip standardise their merchandising proposition is merely an illustration.
On the other manus, Onkvisit and Shaw ( 2002 ) have illustrated conditions it is “ Universal or alone ” with respects to the marketing/advertising constructs and rules in the international context. Their survey is best summarized in Figure 1. Organization should follow cosmopolitan selling subject and using alone selling mix schemes in different state.
In the same survey, they have done a thorough comparing of the selectivity on advertisement media ( wireless, telecasting, newspaper, magazines and cyberspace ) in the international context excessively ( Onkvisit & A ; Shaw, 2002 ) . The advertizer must analyze the mark market really good on the effectivity of media chose before establishing their advertizement.
Another research has shown that international advertisement is greatly affected by the technological revolution and digital divide, broad distribution of information and communications engineering in the center of socio-economic instability across and within state ( Hill & A ; Dhanda, 2002 ) . It suggests that advertizers shall place the chances and dainties, and their duties in used of the Internet to publicize their trade name worldwide.
A survey on on-line advertisement effectivity by Brettel & A ; Attig ( 2010 ) besides shown that civilization of different state has an consequence on how internet advertisement drive the behaviour of consumers. They found that in between on-demand channels and push-channels, the aforementioned have a greater consequence on passing success.
Market Context: Malaysia – Tea market environment.
Malaya is good known of its multiethnic and multi-culture. Malaysia population as of recorded by indexmundi.com/Malaysia ( 2012 ) , has reached about 28.7 million people. The three chief cultural groups are Malay/bumiputra ( 62 % ) , Chinese ( 24 % ) , Indian ( 7 % ) . GDP per capita is about USD $ 14,700 ( indexmundi.com/Malaysia, 2012 ) . Malaysia ‘s Internet users are estimated to be 17.5 million. It is interesting to cognize that Facebook has 12 million users in Malaysia, approximately 70 % incursion rate. ( Lim Yung Hui, 2011 )
It is of import to cognize that Malaysia is a Muslim bulk state and there are criterions to follow when advertisement utilizing the chief watercourse media. A halal mark is ever placed in the advertizement to emphasize that it did non travel against the Muslim regulations on nutrient & A ; drink use. ( Hackley, 2005 )
Traditional tea imbibing civilization of Malaysian is ‘teh tarik ‘ at ‘mamak stall ‘ ( Gregory Rogers, 2012 ) . Malayan merely has this option in the old yearss until the first Starbucks shop clear in twelvemonth 1998, which now give them a different pick of java and tea imbibing experience ( starbucks.com.my, 2012 ) .
Company Factors: Chatime
“ Cha ” in Chinese agencies tea. “ Good Tea Good Time ” is the tagline of Chatime. Here is their trade name narrative: –
“ Dawn of the dawn, at an height of 800meters on the mountain, tea agriculturist carefully pick a piece of “ emerald, green, clear, liquid ” as one of two foliages, pure tea odor, from the aggregation the first visible radiation of nature, a cup of full hearted made good tea, to reconstruct the memory of the original esthesis. ”
“ “ Good tea ” , is to do each sort of different tea manner, to the full demonstrated. We search for Taiwan ‘s best mountain tea, work with fruit agriculturist, base on different features of tea we combined it with fresh fruit which its beginning is direct bringing from fruit farm, gave good tea a new manner, refined tea sweet, and all Taiwan fruit aromas. We let you savor the olfactory property of tea and fruit objectively.
We attached to quality of each cup of tea, wage great attending to every item that influence the gustatory sensation, merely desire to set the tea most crude and beautiful spirit “ sweet, pure, smooth ” , presented to you wholly. Injected a fresh Sweet into the tasteless life ; added a touch of tea leisure into the tired bosom, bask the entirely yours good tea, good times. ”
Translated from ( tea-time.com.tw, 2012 )
By utilizing the hi-tech tea doing rule, through the mechanisation of a individual scene, Chatime purpose to function standardised same quality pearl milk tea – Taiwan national drink, over the universe, as it is serve fresh from Taiwan.
In an interview with the proprietor of Chatime trade name Mr. Henry Wang, he has shared the narrative of constructing the Eastern Starbucks in the Pearl Milk Tea industry with shortest clip frame. ( ourawesomeplanet.com, 2012 )