The case for business expansion is undisputed. One critical raison d'être of a company is making profits. Making profit is, however, a complex and enduring process which can be maintained by multiple manners. For current purposes, business expansion is one most viable option of interest. If anything, Dubai is an increasingly diverse city in demographic makeup and business practices. Turning into a global hub for business and leisure, a growing number of local, regional and international enterprises are opting for a foothold in Dubai's bustling business and life scene (Balakrishnan, 2008). Scoopi Cafe, located in iconic Ibn Battuta Mall, is at crossroads of business evolution. The success by offerings of Scoopi Café has offered so far is making a case for a potential expansion into a second possible Dubai location more viable. This success, maintained by solid growth rates and customer satisfaction, has, moreover, been consolidated by favorable national and international marketing of a new ice cream offering, world's most expensive ice cream scoop (Business Insider, 2015) at $ 817, a scoop. In order to better examine a potential expansion opportunity for Scoopi Cafe, a more detailed proposal is required. The proposal is based on proper market research using well recognized data collection and sample surveying methodologies. For current purposes, a preliminary data-oriented proposal is offered. This proposal aims, hence, to offer a detailed data collection and sampling methodology proposal in order to confirm (or not) a business case for a second Scoopi Cafe in Dubai.
This proposal is made up of four sections in addition to introduction: (1) Data Collection Plan, (2) Sampling Methodology and Segments, (3) Sample Questionnaire and (4) Further Remarks. The Data Collection Plan section is preliminary primary and secondary data collection plan intended to explore market opportunities for a new outlet. The Sampling Methodology and Segments section outlines proposed methods in sampling exiting and/or potential Scoopi Café customers as well as customer segmentation. The Sample Questionnaire section is a preliminary survey form intended to outline main required data. The Further Remarks section is an additional section including more insights and/or recommendations for proposed data collection plan.
Data Collection Plan (DCP)
The main proposed DCP is made up of primary and secondary resources. The primary resources are actual, up-to-date and (largely) in person data sources proposal's author adopts for more informed insights into existing and potential customer's current and projected buying behavior, particularly for Scoopi Cafe's specialty offerings. The secondary resources are broader in scope and offer insights not readily offered, if at all, by primary data collection methods.
Given current best-in-industry practices and Scoopi Cafe's customer comparative receptiveness (more on customer profile and segmentation under ("Sampling Methodology and Segments"), a combination of Test Marketing Methods and group, structured interviews are used to collect primary data on existing and potential customer's receptiveness to a planned new Scoopi Cafe outlet. A delicacy offering, Test Marketing is one most effective method in exploring customer's feedback on Scoopi Cafe's products in a different, new location. Indeed, Test Marketing has proven an effective branding method, particularly for Scoopi Café's latest and most expensive offering, Black Diamond. Building on Black Diamond's favorable reception, a Test Marketing method for company's different products is apt to identify, on-spot, company's customer's preferences as to flavors, blends or service. Not least, filming and/or photographing sampled persons (after permissions) can, indeed, help boost brand's image in social networks, particularly as company's customers fall mainly into younger age bracket segment (as is detailed shortly). In addition, sampled persons can be invited to Scoopi Cafe in Ibn Battuta Mall, in company's headquarters or in a special, pre-marketed venue. The invited persons are offered samples of company's products and are seated in casual, friendly settings and are interviewed (in focus-group format or individually) on a viability of a new Scoopi Cafe location. For a more immersive experience, interview settings can be specially restructured and/or decorated. This simple layout can, if anything, help enhance Scoopi Cafe brand and, significantly, convert interviewees into company's marketers.
For secondary resources, a combination of online surveys and business literature are proposed. For online surveys, Scoopi Cafe is required to compile an accurate database of existing and potential customer's contact information, particularly e-mails. Then, an approved, finalized database is sorted out into categories based on each customer's preferences for communication (e.g. by e-mail or phone). For broader overview of best-in-industry practices and insights, a limited subscription service to academic and industry journals should help gather data not readily offered on-spot and/or is only discussed in more depth and informed analysis by industry's analysts and experts. (The final, complete list of proposed journals is available prior to performing primary research and in a later phase after initial approval of current proposal.)
Sampling Methodology and Segments
A proposed sampling method is a combination of Quasi-Random Sampling and Stratified Sampling methods. These methods combine a double benefit of randomly selecting persons for Test Marketing and on-site interviews as well as an adjustment for randomization errors by stratifying sample persons into more meaningful, analyzable customer segments. If anything, errors are projected for using proposed sampling methodology. These errors arise, most notably, from age, ethnicity, residence area and in-store periods. Given population's diversity in Dubai in respect to all said variables, a combination of more variables can complicate, if not, generate significant errors in sampling analysis. For example, a young Indian "expat" can pose a particularly problematic stratification issue. Specifically, Indians come to UAE in general and Dubai in particular as, roughly speaking, highly skilled expats posted in isolated multinational quarters or low skilled workers. This dichotomy is further complicated by an additional "young" variable. Thus, caution is required for specific ethnic groups in stratifying randomized population samples.
The sampled population falls into 20-30 age bracket. This selected sample is justified by decision-making process. Although, children constitute one of company's biggest customer segments, parents (not children) are ones who make purchasing decisions, let alone entry into Scoopi Cafe's space. (Indeed, according to consistent and documented observations, parents are noted to "lead" children into Scoopi Cafe's space, not children, as is commonly perceived. True, children's signal initial moves into shop's space. However, parents are consistently observed to make a final decision in case of a married couple and a man in case of a couple unaccompanied by children.) The sampled population is, according to current proposition, drawn from populations in Jebel Ali area. If anything, Jebel Ali is a bustling hub of business and social activities. The area's closeness to current Scoopi Cafe's shop in Ibn Battuta Mall, high income of residents and visitors and area's housing of a number of major hospitality companies and facilities as well as shopping venues – all combine to make a new Scoopi Cafe in Jebel Ali a viable option. Generally, sampling activities should be carried in or around rush hours for (particularly for working professionals) and quiet hours in late morning (for visitors and shopping mothers).
The following, adapted questionnaire ("Market Research Survey Template," n.d.) is proposed for customer surveying purposes for a new Scoopi Cafe shop in Jebel Ali and should not be used for different purposes:
Balakrishnan, M. S. (2008). Dubai – a star in the east: A case study in strategic destination branding. Journal of Place Management and Development, 1(1), 62 – 91. Emerald Insight. doi: 10.1108/17538330810865345
Business Insider. (2015, April 15). The most expensive ice cream in the world is sold in Dubai — and it costs $817 a scoop. Business Insider. Retrieved from http://www.businessinsider.com/most-expensive-ice-cream-world-dubai-gold-2015-4
Market Research Survey Template. (n.d.). Survey Monkey. Retrieved from https://www.surveymonkey.com/mp/market-research-survey-template/