CAFE HUB
BUSINESS TYPE :- COFFEE SHOP
BUSINESS NAME :- CAFÉ HUB
SLOGAN :- ELEVATE YOUR DAY
SEMESTER :- 7TH MORNING
ROLL NO. :- 21041521-013
DEPARTMENT :- DEPARTMENT OF ECONOMICS
LOCATION :- SARAI ALAMGIR
Course code :- ECO 452
SUBMITTED BY ;- SANA AMJAD
SUBMITTES TO :- SIR USAMA TAHIR
GOVT GRADUATE TAHNILIWALA JHELUM
1:- EXECUTIVE SUMMARY :-
Café Hub is an innovative coffee shop located in the heart of Sarai Alamgir, designed to
provide a warm and welcoming space for coffee lovers and community members. Our
vision is to become a local staple, offering high-quality coffee, freshly baked goods, and a
comfortable atmosphere that encourages social interaction. With the growing population
and urban development in Sarai Alamgir, there is an increasing demand for social
gathering spaces, particularly among young adults and families. Our target audience
includes students seeking study spaces, professionals looking for casual meeting spots,
and families wanting a friendly environment to enjoy snacks. Café Hub will feature
specialty coffees sourced from sustainable farms, a variety of teas, freshly baked pastries,
and regular community events to foster engagement. Our marketing strategy will focus on
social media, local collaborations, and hosting events to build brand awareness. With an
initial investment directed toward quality equipment and marketing, we anticipate
breaking even within the first year, with revenue generated from daily sales, catering
services, and merchandise. Led by a dedicated management team with experience in
hospitality and business management, Café Hub aims to create not just a coffee shop, but
a vibrant hub for creativity and community spirit in Sarai Alamgir.
2:- OPERATIONAL PLAN:-
1. Business Overview
Name: Cafe Hub
Type: Coffee shop
Mission Statement: To create a welcoming environment where customers can
enjoy high-quality coffee, delicious snacks, and a cozy atmosphere.
Vision: To become the go-to coffee destination in Sarai Alamgir.
Owner's Statement
As the owner of Cafe Hub, my vision is to create a welcoming space in Sarai Alamgir where
coffee lovers can enjoy high-quality beverages and fresh pastries. This operation plan
outlines how we will bring that vision to life.
1. Location and Layout
Choosing the Perfect Spot: I will secure a location in a busy area of Sarai Alamgir, ideally
near schools and shopping centers to attract foot traffic.
Designing the Space: The interior will be cozy and inviting, featuring comfortable seating
for individuals and groups. A coffee counter will showcase our offerings, and I’ll create a
small area for community events to encourage local engagement .
2. Menu Offerings
Diverse Coffee Selection: Our menu will include a variety of coffee drinks like espresso,
cappuccinos, lattes, and seasonal specials. I want to cater to all taste preferences.
Fresh Pastries and Snacks: We’ll serve freshly baked items, including croissants and
cookies, alongside light snacks like sandwiches and salads to provide options for both
coffee and meals.
Local Specials: I’ll incorporate local ingredients and seasonal flavors to keep the menu
exciting and relevant.
3. Staffing
Building the Team:
I plan to hire skilled baristas and friendly staff who are passionate about coffee and
customer service. I’m aiming for a team of [insert number] employees .
Comprehensive Training
: I will provide thorough training to ensure all staff can make drinks perfectly and create a
welcoming atmosphere for customers. Regular workshops will help maintain high
standards.
Flexible Scheduling:
I’ll create a shift schedule that accommodates peak hours while giving staff flexibility.
Diverse Coffee Selection:
Our menu will include a variety of coffee drinks like espresso, cappuccinos, lattes, and
seasonal specials. I want to cater to all taste preferences.
Fresh Pastries and Snacks
:We’ll serve freshly baked items, including croissants and cookies, alongside light snacks
like sandwiches and salads to provide options for both coffee and meals.
Local Specials:-
: I’ll incorporate local ingredients and seasonal flavors to keep the menu exciting and
relevant.
4. Supplier and Inventory Management
Local Suppliers:
I’ll establish partnerships with local suppliers to ensure we have fresh and high-quality
coffee beans and ingredients. Supporting local businesses is important to me.
Inventory Tracking:
Implementing a simple inventory management system will help me keep track of
supplies, minimize waste, and ensure we never run out of popular items .
5. Customer Service Standards
Defining Service Excellence
I’ll set clear service standards to guide my team in providing exceptional customer
interactions. This includes welcoming customers warmly and ensuring quick service.
Encouraging Feedback:
I want to create an environment where customers feel comfortable sharing their
experiences. Their feedback will help us improve and adapt our offerings.
6. Technology and Equipment
Investing in Technology:
I plan to invest in a reliable POS system that simplifies transactions and helps manage
inventory efficiently.
Quality Equipment:
We will purchase high-quality coffee machines and grinders to ensure every cup of coffee
meets our standards. Regular maintenance will be a priority.
manager
kitchen
baristas
staff
support
cashier waiters
staff
7. Risk Management
Identifying Potential Risks: I will assess possible risks, such as equipment failures or supply
chain issues, and develop contingency plans to address them.
Insurance Protection: Obtaining the right insurance will protect Cafe Hub from unforeseen
events and give me peace of mind.
8. Community Engagement
Hosting Events:-
:I plan to host regular events like open mic nights and art displays to create a vibrant
community space and attract more customers.
Collaborating Locally
: I’ll look for opportunities to partner with other local businesses for cross-promotions to
strengthen our community ties.
3:- Financial Plan for Cafe Hub
1. Startup Costs
Below is a more realistic estimate of the startup costs necessary to open Cafe Hub in Sarai
Expense Category :- Estimated Cost (PKR)
Lease/Rent Deposit :- 60,000
Renovation and Décor :- 80,000
Equipment Purchase
- Coffee Machine s :- 100,000
- Grinders:- 25,000
- Blenders:- 20,000
- Furniture (tables/chairs) :- 70,000
Initial Inventory :- 40,000
Licenses and Permits :- 15,000
Marketing and Branding :- 20,000
Miscellaneous Expenses :- 10,000
Total Startup Costs :- 430,000
2. Monthly Operating Costs
Following the startup phase, here are estimated monthly operating costs:
Expense Category :- Estimated Cost (PKR)
Rent :- 20,000
Salaries (Staff) :- 80,000
Utilities (Electricity, Water, Internet ) :- 10,000
Inventory Replenishment :- 30,000
Marketing Expenses :- 5,000
Maintenance and Supplies 5,000
Miscellaneous Expenses :- 5,000
Total Monthly Costs 155,000
3. Revenue Projections
Estimating revenue is critical for assessing profitability. Here’s a breakdown of projected
monthly sales:
Revenue Source Estimated Monthly Sales (PKR)
Coffee Sales :- 150,000
Pastry Sale :-s 50,000
Light Snacks :- 30,000
Total Monthly Revenue :- 230,000
4:- Industrial Analysis for Cafe Hub :-
As the owner of Cafe Hub, I believe it's essential to understand the industry landscape to
ensure our business thrives. Here’s my analysis of the coffee shop industry as we prepare
to launch.
1. Industry Overview
The coffee shop industry in Pakistan is growing rapidly, driven by an increasing coffee
culture among consumers. More people are looking for quality coffee and a comfortable
place to socialize or work, making this an exciting time to enter the market.
2. Market Trends:-
Growth of Specialty Coffee: Consumers are becoming more interested in specialty coffee.
They appreciate unique flavors and brewing methods, which means we can differentiate
ourselves by offering high-quality blends.
Health-Conscious Option :-
There’s a rising demand for healthier snacks and drinks, including organic products and
alternatives like almond or oat milk. I plan to incorporate these into our menu to attract
health-conscious customers.
Tech Integration:
Using technology for orders and payments is increasingly important. I’ll consider a user-
friendly app or online ordering system to enhance customer convenience.
3. Target Market Analysis
Demographics:
Our main customers will be young professionals, students, and families, particularly those
aged 18-35. This group values quality experiences and social environments.
Psychographics:
These customers enjoy spending time in cafes for both socializing and working. They are
influenced by trends and appreciate a cozy atmosphere where they can relax.
4. Competitive Landscape :-
Local Competitors:
I will analyze existing coffee shops in Sarai Alamgir, looking at their menus, pricing, and
customer service. This will help me identify gaps in the market where Cafe Hub can excel.
Unique Selling Points (USPs)
: I’ll focus on what makes Cafe Hub special, such as unique coffee blends, locally sourced
ingredients, and a commitment to creating a community-focused atmosphere .
5. SWOT Analysis
Strengths:
High-quality coffee and a diverse menu.
A welcoming environment ideal for socializing and working.
Strong community engagement plans, like events and local partnerships.
Weaknesses:
Being a new brand may mean less recognition initially.
Reliance on consistent quality from suppliers can be challenging.
Opportunities:
Growing interest in specialty coffee presents an opportunity for a niche market.
We can explore catering options and delivery services in the future.
Hosting community events could increase customer loyalty.
Threats:
Established competitors may pose challenges to gaining market share.
Economic fluctuations could impact customers' spending habits.
Supply chain disruptions could affect ingredient availability.
6. Regulatory Environment :-
Licensing and Permits:
I will ensure compliance with local health regulations and obtain the necessary business
licenses and food safety certifications before opening.
Labor Laws:
Adhering to labor laws regarding wages and employee rights is essential for creating a
positive work environment.
5:- ENVIRONMENTAL ANALYSIS :-
1. Economic Factors
Market Growth:
The specialty coffee market is expanding, driven by increasing consumer interest in high-
quality, artisanal products.
Local Economy:
Economic conditions in the local area influence disposable income and spending patterns
on non-essential items like coffee.
Cost of Goods:
Fluctuations in coffee bean prices and supply chain issues can impact profitability.
2. Social Factors
Consumer Preferences:
There is a growing trend towards sustainability, with consumers favoring eco-friendly
practices and ethically sourced products.
Lifestyle Changes:
The rise of remote work and flexible schedules has created demand for comfortable,
versatile spaces where people can work and socialize.
3. Technological Factors
Digital Ordering:
The rise of mobile apps and online ordering platforms enhances convenience and can
increase sales.
Social Media Influence
: Effective use of social media can drive brand awareness and customer engagement,
particularly among younger demographics.
Point-of-Sale Systems:
Advanced POS systems can streamline operations, improve inventory ma 4.
Environmental Factors
Sustainability Practices
: Implementing eco-friendly practices, such as using biodegradable packaging and energy-
efficient equipment, aligns with consumer values and reduces environmental impact.
Local Sourcing:
Sourcing ingredients from local suppliers can minimize carbon footprints and support the
local economy.
5. Regulatory Factors
Health Regulations
: Compliance with local health and safety regulations is crucial for operating a food and
beverage business.
Labor Laws:
Adhering to labor laws regarding wages, working hours, and employee benefits is
essential for maintaining a positive work environment and reputation.
6:- MARKET STRATEGY:-
Quality Coffee:
Source high-quality, locally roasted coffee beans and offer a diverse menu, including
espresso, cold brew, flavored lattes, and seasonal specialties.
Complementary Products
: Pair coffee with freshly baked pastries, light snacks, and healthy options to enhance the
overall customer experience.
2. Pricing Strategy
Competitive Pricing:
Set prices based on market analysis to ensure competitiveness while reflecting the quality
of our products. Consider tiered pricing for specialty drinks.
Promotions and Discounts:
Implement daily specials, happy hour discounts, and student promotions to attract cost-
conscious customers and increase foot traffic.
3. Distribution Strategy:-
In-store Experience:
Create an inviting atmosphere that encourages customers to stay and enjoy their coffee.
Comfortable seating and free Wi-Fi can enhance the experience.
Takeaway and Delivery:
Offer takeaway options and partner with local delivery services to reach customers who
prefer enjoying coffee at home or work.
4. Marketing and Promotion
Social Media Campaigns:
Utilize platforms like Instagram and Facebook to showcase our coffee offerings, share
engaging content, and run promotions. User-generated content can enhance engagement.
Influencer Partnerships:
Collaborate with local influencers or coffee enthusiasts to reach a wider audience and
generate buzz about Cafe Hub.
5. Customer Engagement
Loyalty Programs:
Introduce a loyalty program where customers earn points for every purchase,
redeemable for free drinks or discounts, encouraging repeat visits.
Feedback Collection:
Actively seek customer feedback through surveys and social media, using insights to
refine our offerings and service.
6. Community Involvement
Events and Workshops:
Host coffee-tasting events, brewing workshops, and community gatherings to educate
customers about coffee while fostering a sense of community.
Local Collaborations:
Partner with local businesses for cross-promotions, such as featuring local artists’ work in
the café or collaborating with bakeries for exclusive treats.
7. Branding and Identity
Unique Branding:
Develop a strong brand identity that emphasizes quality and community, ensuring
consistent messaging across all marketing channels.
Storytelling:
Share the story of our coffee sourcing, preparation methods, and commitment to local
community engagement to create an emotional connection with customers.
APPENDIX:-
This appendix provides essential information about Cafe Hub, including its mission,
offerings, operational details, and community engagement initiatives. Cafe Hub aims to
create a warm and inviting environment where customers can enjoy high-quality coffee
and freshly prepared food while fostering a sense of community. The menu features a
variety of coffee beverages, including espresso, lattes, and specialty drinks, along with
freshly baked pastries, sandwiches, salads, and seasonal specials. Operating hours are
Monday to Friday from 7:00 AM to 7:00 PM and Saturday and Sunday from 8:00 AM to
8:00 PM, conveniently located at 123 Coffee SARAI ALAMGIR. Our target audience
includes local residents, students, and professionals seeking a cozy space to relax or meet.
Community engagement is a priority for Cafe Hub; we collaborate with local bakeries and
suppliers to source fresh ingredients and host events like coffee tastings and barista
training workshops. Our loyalty program encourages repeat business and strengthens
customer relationships. Marketing strategies include active social media engagement on
platforms like Instagram and Facebook, regular email newsletters with updates on menu
items and events, and local advertising through flyers and posters. Financially, Cafe Hub
involves startup costs for equipment and inventory, with diverse revenue streams from
coffee and food sales, catering services, and merchandise. This comprehensive overview
highlights Cafe Hub’s commitment to quality, community, and customer satisfaction.
