This mix is concerned with all aspects of service performance that create value. In other words, this element of the service marketing mix is concerned about managing the human side of the Beer Garden. The owner has to ensure that the business has the right customer contact and also that employees are performing their tasks well. This is vital to attract potential customers towards the Beer Garden. To ensure that the right personnel are obtained, the owner will put much emphasis on the job design, recruitment and selection, training, motivation, evaluation and reward together with empowerment and team-work. This will helps the firm to have the right customer contact employees. Finally, customers whom the sports bar can manage their behavior will be targeted.
Furthermore, the firm will try to create and maintain an adequate physical appearance with regard to the building and the landscaping. Much attention will be given to the interior design and the furnishing will be adequate one. Besides, managers will also pay attention to the firm’s vehicle and equipment staff grooming and clothing, sound and smell in order to be able in attracting the largest number of customers.
3.8 Pricing Strategy
Pricing is the only mix that brings revenue to the organisation. The price relates to decisions and actions associated with establishing pricing objectives and policies and determining product prices. The business recognised that customers’ outlays involved more than the price paid.
Penetration pricing will be used at the start of the sports bar’s operation so as to encourage customers to buy the local beers and to be more competitive on the market.
However, the organisation will be using competition based pricing for the grill foods. This strategy is based on what competitors are pricing for the product. In other words the firm will use the ceiling or limited pricing where price will be set low enough to discourage competition but high enough to generate desired profit. The low price will act as a barrier to new entrance on the market.
For the international beers, the firm will be using the...