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Strategic Brand
Management
of Coffee Bean

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Table of Contents
1
...
3
1
...


Brand Proposition
...
2
...
4

1
...


Kapferer’s Brand Identity Model of Coffee Bean
...


Brand Awareness and Brand Value of Coffee Bean
...


Brand Positioning of Coffee Bean
...


Evaluation of Brand Proposition
...
1
...
2
...
10

4
...

5
...
10

Brand Proposition Knowledge
...
12
5
...


Evaluation of the Brand Proposition Communication
...


Conclusion and Recommendations to Coffee Bean
...


References
...
Introduction
Coffee Bean & Tea Leaf, simply known as Coffee Bean is a coffee chain founded on 1963
...
It was founded by Mona and Herbert
Hyman
...
In 2013, Coffee Bean
has the revenue of $500 million
...
(CBTL, 2013)

Fig: Coffee Bean Logo (Coffee Bean, 2014)

Coffee Bean was established in Los Angeles, CA in 1963 by Herbert and Mona Hyman
...
The main products dealt by Coffee Bean and Tea
Leaf is coffee, tea and food
...
In
2013, Coffee bean partnered with Hilton Worldwide as their main coffee provider and in room
coffee
...
1
...
There are many aspects to brand proposition and is not just a smile point of view
...
An
organization can only understand its Unique Selling Proposition (USP) by understanding the brand
proposition
...
(Keller, 2012)
In simple, brand proposition is the core component in the aspect of brand development
...
Brand proposition is not just about
telling what the benefits are, but providing the unique selling advantage (USP)
...
,
2011) Which also defines the aspect of emotional connection of the brand
...
2
...
Coffee Bean,
has a long history compared to many other brands such as Starbucks
...
And makes the customer loyal to the
organization
...
Apart from that Coffee Bean sets itself apart in the mind of customers by providing
the customers with grilled chicken, pastry, party packs and other foods
...
These products are the tangible aspect of the brand proposition of Coffee
Bean
...
, 2011)

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Fig: Brand Proposition Model (Adept, 2013)

Furthermore, Coffee Bean has a very unique Logo
...

It shows the coffee seed, meaning it produces coffee with superior quality
...
Coffee Bean, is shown as the coffee
boom
...
(Luttinger & Dicum, 2013)
The slogan of Coffee Bean is ‘find your flavor’, which show cases that they have large flavor, and
whatever it is that the customers want, can get it in Coffee Bean
...
And is best known for
roasting and burning excellence of coffee
...
This is acquired by Coffee Bean through their CBTL system
...
The brand proposition comprises of elements of value
proposition, brand positioning, and the brand image
...
, 2011)

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1
...


Kapferer’s Brand Identity Model of Coffee Bean
Physique:





Wider Range of Products
Warm Atmosphere
Quality Products

Personality:




Focused to Quality
CSR Efforts and Responsibility
Customer Friendly

Relationship:




Culture:


Customer Personalization
Family Oriented
Customer Satisfaction



Self-Image:

Reflection:




Customer Connection
Matured
Sociable

CSR: Environment and
People
Commitment to Quality





Responsible
Quality Oriented
Human Relationship

Fig: Brand Identify Model of Kapferer based on (Kapferer, 2012)

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2
...
It puts forth the
understanding of what the consumer’s think about the organization
...
, 2008)
The brand awareness of coffee bean is related to what customers think about Coffee Bean
...
Coffee Bean and Tea Leaf (CBTL), does not make in the top of mind for the average
customers
...
The resonance of brand for Coffee Bean is related to the individual attachment and attitudes
...
(Coffee
Bean & Tea Leaf, 2012)
Let us understand this by understanding the following Customer Based Brand Equity pyramid:

Fig: Coffee Bean’s CBBE Pyramid (Lin, et al
...
For example, customers
don’t consider the CBTL system while choosing the beverages at Coffee Bean
...
The brand awareness is high in relation to the brand recognition
which is related to the cued recall of Coffee Bean
...
Coffee Bean, is
perceived by the customers to provide the finest coffee
...
Coffee Bean’s brand awareness, gives customers
to conservative and relaxed feeling
...
Coffee Bean is a ‘Cozy Coffee Next Door’ brand rather than the standing
as an outstanding brand
...
(Lin, et al
...
And has a large innovative
reputation
...

(Flight, 2012)
Coffee Bean provides the customer with the third place, as a place for relaxing other than home
and work
...
For customers, coffee bean is not just
about coffee product but also store setting, music in the background, atmosphere and the
differentiation
...
Brand Positioning of Coffee Bean
The brand positioning, is the way the brand is perceived amongst the competitive alternative
...

(Keller, 2012)
The Coffee Bean’s brand positioning is based on Blue Ocean Strategy
...
Coffee Bean, is considered cheaper to Starbucks, and
differentiated compared to Old Town White Coffee
...
Coffee bean position itself as the organization delivering love to the globe
...
The positioning can be defined
by the Coffee Bean Brand experience based on product extensions, home, digital connection and
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beautiful stores
...
Let us observe the following figure to understand the brands position
using brand positioning map
...
Because it presents itself as ‘Cozy
Coffee Next Door’ rather than exclusive coffee
...
And the price is considered to be reasonable with the comparison of the quality
...
The target group of Starbucks and Coffee Bean
is similar
...
While
Starbucks is more about socializing
...
Who are frequent tea and coffee drinkers
...
(Lin, et al
...
Evaluation of Brand Proposition
The brand proposition of Coffee Bean is sustainable, understandable, delivers brand promise and
takes important in making customer decisions
...


4
...


Point of Difference (POD)

Coffee Bean presents itself as a coffee joint, which offers meals
...
Coffee Bean also offers the
customers to order custom made cakes and pastries in the store and online
...
Coffee Bean introduced CBTL system, which is a multi-beverage machine
...
The CBTL system is an easy to use system, and a single serve
system
...
(Coffee Bean & Tea Leaf, 2012)

4
...


Point of Parity (POP)

Coffee Bean provides quality coffee, to the coffee café market
...
Coffee Bean was the first one to introduce ice blended coffee, which was first lunched
during 1989
...
Which is nurtured and planted in local communities, and also the international communities
...
These are unique to the Coffee Bean
stores
...


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4
...


Brand Proposition Knowledge

The brand knowledge can be understood by understanding the word association map, which
consists of brand image and brand awareness
...
The association map helps to evaluate the brand
proposition
...
But Coffee Bean does not have unique selling points as its
competitors, so to an average customers, Coffee Bean is still not on the top to the mind, and
immediate recall
...
, 2011)

Fig: Coffee Bean Brand Association Map (Lin, et al
...
Communication of Brand Proposition
Coffee Bean, has shifted the communication of brand proposition
...
And is increasingly adapting to digital audience
...
Coffee
Bean uses credible and approachable mediums for gaining audience of the attention
...
Coffee Bean uses all global communication arsenal for multilayered campaign
...
Generally the platform includes Vine Videos,
Pinterest, Instagram, Facebook, Twitter, Hashtag and Sentiment Based Banners
...
Coffee Bean’s
advertisement involves press adverts, billboards, television ads, and filers
...
Personal Selling involves feedback, communications,
and customer relationship
...
And was very successful
...
It also partnered with MTV’s reality show
such as The Hills
...
1
...
Coffee Bean would use the information gathered from its customer’s inflow in the
stores
...

Coffee Bean would also conduct various focus group to understand the success and usefulness of
the communicated brand proposition
...
Primary research would also conduct various surveys to evaluate the success of brand
proposition
...
But it must
be made sure that the survey is reliable and useful for understanding the brand proposition
...

Furthermore, the potential increase of sales and revenues would also be the reliable way to evaluate
the success of brand proposition
...
Conclusion and Recommendations to Coffee Bean
Coffee Bean, has developed an extensive customer base who are loyal and dedicated
...
Which makes it differ from
its competitors
...
Coffee
Bean has built an extensive international platform over the span of 50 years
...
Coffee Bean has a global resonance and huge brand heritage
...
Rather than just selling the product, the Coffee Bean should
focus on selling the purpose
...
This can be done by capitalizing
the trend of serving the single espresso machine and fine tuning it with the rich brand
heritage
...
This would also help to improve Brand Experience by emphasizing on the
organizational heritage through décor and layout
...




Improve Point of Difference (POD) by leveraging on the distinguishable brand elements
and aligning differentiated brand promise and purpose
...


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7
...
M
...
Brand Proposition and Baseline, Ho Chi Ming: Adept Media
...
, 2014
...
Bevarage World Journals , 133(6), pp
...

Case, J
...
Investor group acquires significant equity position in The Coffee Bean & Tea
Leaf, Boston : Advernt International
...
Coffee Bean & Tea Leaf Annual Report 2013, US: Coffee Bean & Tea Leaf
...
Simply the Best for Coffee & Tea Leaf
...
103-103
...
The Coffee Bean & Tea Leaf; The Coffee Bean & Tea Leaf(R)
Parlays Consumer Enthusiasm for its CBTL(R) Single Serve System Into Aisles of Three New
Retail Giants
...
1923
...
Coffee Bean Overview
...
coffeebean
...

Flight, G
...
Grinding Out Success Next to Starbucks, US: CNN
...
International Coffee Organization: A review of the markets, challenges and
opportunities facing the sector
...

INC, 2014
...
[Online]
Available at: http://www
...
com/profile/the-coffee-bean-tea-leaf
[Accessed 4 August 2014]
...
-N
...
The New Strategic Brand Management: Advanced Insights and Strategic
Thinking (New Strategic Brand Management: Creating & Sustaining Brand Equity)
...
Gee
Street, London: Kogan Page
...
, 2012
...
2nd ed
...
l
...

Keller, K
...
Strategic Brand Management: Building, Measuring, and Managing Brand
Equity
...
NJ: Prentice Hall
...
, Armstrong, G
...
& Saunders, J
...
Principle of Marketing
...
NJ:
Prentice Hall
...
et al
...
Brand Positioning: Coffee Bean , Singapore : Singapore Management
University
...
& Dicum, G
...
The Coffee Book: Anatomy of an Industry from Crop to the
Last Drop
...
Florida: New Press
...
, Pritchard, A
...
, 2011
...
3rd ed
...

Saettler, M
...
Coffee Bean & Tea Leaf aligns native advertising with multichannel push !,
New York, NY : Napean LLC
...
, 2014
...


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