The Choco Monarch was founded in 2015, three years ago in Dubai, by co-founders Sampat Dinusha and Amila Ranathurgain in the hopes of creating a chocolate café that was heaven for chocolate lovers of all age groups. The café specializes in Belgian chocolate treats while offering a variety of chocolate and non-chocolate-based beverages. Over the past few years, “chocolate” cafes have emerged all over the UAE as an excellent alternative to coffee shops, and the co-founders found the perfect opportunity to exploit this newfound retail category.
Strategic Position In The Market
The café primarily uses differentiation to stand out and grow. Designed with the concept of a Monarch, the café focuses on fresh and premium ingredients while creating a stylish and cosy atmosphere where customers can truly enjoy themselves like kings. Great attention is paid to the presentation of the dishes served, and the staff complies with high service standards. All desserts are generously served with pure Belgian chocolates, which come in three varieties: white, milk and dark, to suit all preferences.
Their secondary strategy is cost leadership. If we compare Choco Monarch with competitors like Dip n Dip, Ice Lab and Yummy Belgian Waffle, its menu prices are comparatively lower relative to the services provided, with an average cost of two people being 80dhs, while the latter are all priced above 120dhs. This value proposition has helped them to attain success and maintain a competitive edge in the market.
Mission Statement
The Choco monarch’s mission statement is “To offer the finest Belgian chocolate and the highest quality of fresh treats combined with top service and beautiful presentation that provides a truly gastronomical experience for our visitors.”
The statement encompasses the strategic views of the café and emphasizes quality, customer satisfaction and creativity. It aims to provide an unforgettable experience to customers and helps employees better understand the goal of the company, hence guiding them to always put their best foot forward.
Competing Sector, Changes In Sector And Key Competitors
The café falls under the tertiary sector, which is a central trade-growth driver of the UAE, comprising three-quarters of its GDP. In the tertiary sector, the café falls into the F&B category. According to Ardent Advisory, booming tourism in the UAE is the driving growth behind the flourishing F&B industry. Additionally, the expat population and increasing affluence make the UAE the third biggest F&B spender globally.
Strengths And Weaknesses
Major strengths of Choco Monarch café include its pricing strategy. Prices of their products are comparatively low compared to those of their competitors, such as Costa and Starbucks. Secondly, their innovative interior design helps them to attract more and more customers. Moreover, they always try to increase the number of items on their menu to attract consumers of different ages and backgrounds, such as the Kids menu. Like many places in Dubai, the idea of providing free Wi-Fi to their customers is proving to be an excellent strategy, as it boasts many customers. This has resulted in a significant increase in Choco Monarch café’s profits.
One of the major weaknesses of the Choco Monarch café is the lack of healthy items on its food menu. Cafes like Costa café have healthy items on their food menu as well that attract many health-conscious people in their restaurant. Secondly, its marketing strategy is just lagging behind compared to its competitors, who use a variety of media to make people aware of their products, deals and discounts.
Choco Monarch Growth And Significant Challenges
One of the major challenges faced by the Choco Monarch café is to create a brand image and expand its outlet in the presence of well-recognized local and international cafes such as Coastal, Starbucks, Dunkin Donuts, McDonald’s and other local cafes and restaurants.
Café Monarch started with a single café outlet in Dubai. They are planning to expand their outlets in Dubai as well as other cities in the United Arab Emirates. They have started to offer options for franchises to make their plan successful. It would be an excellent opportunity to expand their outlets in other cities as well. These are effective plans that will help Choco Monarch to become one of the largest coffee and chocolate products brands across the UAE. They are also planning to increase their advertising methods by using effective branding and marketing methods. If Choco Monarch café makes its advertising and branding programs better, it will be able to retain more customers and may be able to attract a large number of customers with its excellent and innovative environment and high-quality products.
It is important for the growth of an organization to use different strategies to show its presence in the market and also to expand its business in different regions. Café Monarch has shown excellent progress toward achieving its goals by introducing a variety of quality products and adding new features to their existing features. However, it is difficult to find the right strategy that supports the company and also helps in its growth.
Key Customers
Choco Monarch’s important market is the United Arab Emirates, where it started its business operations. Their major customers are young people who like to spend their time with friends and families in the café to relax. Choco Monarch presents an excellent and innovative design environment where customers find themselves comfortable. Customers always want to receive products that are high-quality and cost-effective, and Choco Monarch provides both of these things to their customers. Every item prepared in Choco Monarch has its own qualities and is made from quality ingredients to satisfy customers’ needs.
Trends In Customer Preference
Café service restaurants are one of the most popular formats in the food and beverage industry. It is considered an excellent place that is time-effective, gives value for money and provides an excellent sociable atmosphere. Nowadays, customers prefer quick service and also prefer places that provide them with a relaxed environment along with quality and interior designs. These things play a significant role in developing a positive image of the café and the responses of customers.
The food and beverage market in the United Arab Emirates has been growing by 5% since 2013. The growth is driven by a large number of factors, such as the opening of new outlets and the expansion of existing chain restaurants in different cities in the UAE. Moreover, the UAE is one of the best tourist spots in the world, and it plays an important part in boosting the food and beverage industry. Secondly, the revival of their economy led to an increase in people’s incomes, which caused people to spend more on dining out. Besides this, there are other factors that also contribute to the growth of the food and beverage industry in the UAE, such as local investment and safe conditions.
Café Monarch has a competitive advantage over other cafes in terms of their prices. They have relatively lower prices than Costa and Del Frio. Their Belgian chocolate is unique, with an excellent presentation and quality taste, which makes it one of the highest sellers of chocolate products in the market. With the expanding market of the food and beverage industry in the UAE, competition among cafes is increasing in recent years. In the last couple of years, the UAE has issued more than 2000 licenses to cafes. The market of UAE is attracting a number of business opportunities because the threat of entry is quite low. Café Monarch does not have any superior position in their items, so new entrants can capitalize on the market with proper planning and execution. Since its beginning, Choco monarch has a strong position in the Dubai and it will be a great challenge for new entrants to compete with it.
Café Monarch must spotlight item advancement as it will enable them to build their client base and brand mindfulness that will contribute towards accomplishing their objectives. Through investigation, it was discovered that a sound way of life is inclining among individuals; however, sadly, Café Monarch doesn’t offer solid decisions in their menu, which is their shortcoming. Presenting solid alternatives in the menu will draw in well-being clients, prompting an increment in the client base.
Café Monarch can utilize combo suppers to build the offer of sustenance and drink things amid the merry seasons. For instance, the presentation of the Iftar feast combo during Ramadan will quickly expand deals with the same number of individuals during that month. Furthermore, numerous organizations lead the Iftar party during the month, so Café Monarch will have the capacity to target business clients and increment their general deals. In like manner, offering exceptional combo packs to observe Christmas or New Year could be another substantial procedure to build their deals temporarily.
Cite This Work
To export a reference to this article please select a referencing stye below:
