JIMMI’S BAR & GRILL MARKETING PLAN

Executive Summary

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Kristen Bak- She was the team leader. She created the summaries for Identifying Product Market, Potential Customers, Identifying Competitors, External Environment, SWOT Analysis, Elementary Research, Identifying the Product, Promotion, Price, Special Resources, Accurate Forecasts, and Identifying Specific Timing. She also made the sales graphs and the creation/summary of the Cross Tabulations. She also contributed to the survey questionnaire.

William Nicola- He designed the online survey. He wrote the executive summary. He created the survey results summary. He created the Table of Contents. He also used the marketing plan software to create the marketing plan. He created the monthly marketing plan graphs and wrote the summary for Handling Customer Service Problems. He contributed to survey questionnaires and proof read all documents.

Natalie Quiroz- She wrote the summary for the Place Objectives section. She also used the marketing plan software to create the marketing plan. She proof read all documents and designed the marketing plan template. She also made the cover page and created the bibliography. She also contributed to the survey questionnaire.

William Byerly- He contributed to the Place Objectives summary and the bibliography. He also created a graph for the Place Objectives section.

Brisa Estero- She contributed to the survey questionnaire, interpreted data from the cross tabulations and survey in order to elaborate on the findings how to incorporate them into marketing strategy. She also contributed ideas for promotions and advertising through social media sites. She also proof read the entire document in its working stages and final draft.

Jimmi’s Bar and Grill is located in Fullerton, California within two miles of the California State University of

Fullerton Campus, and very close to Fullerton Community College. Jimmi’s Bar and Grill is family owned and

operated offering alcoholic beverages. Jimmi’s Bar and Grill currently has a clientele of middle aged

consumers who typically stop by on their way home from work. Being within such a close proximity of

California State University of Fullerton and Fullerton Community College, Jimmi’s Bar and Grill would like to

attract new consumers from the local college demographic. Jimmi’s Bar and Grill has a cornucopia of local

competition including the famed Downtown Fullerton.

To find out what local college students look for when they attend bars, a survey was implemented to focus on

what attributes help them decide on where to go. After reviewing the information from the survey, the following

conclusions were drawn:

Over 85% of our survey takers are less than the age of 34

Over 55% of our survey takers make less than $30,000 annually

Over 38% of our survey takers live within 5 miles of California State University of Fullerton

Campus

Over 85% of our survey takers use word of mouth when attending new bars

Finally we learned that our survey takers main focus is on drink specials, how far the venue is

located from their residence, and what types of entertainment are available

With this valuable information, necessary actions can be determined while developing an entirely new

marketing plan for Jimmi’s Sports Bar and Grill. The plan is to use this information gathered from the current

owner of the bar to help devise an even stronger marketing plan. With a newly implemented marketing plan,

expect to see a drastic improvement operating activity and total revenues increase of $30,000 annually.

Table of Contents

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I. Identify Name of Product.........................................................................................................................6

1.1 Goal...................................................................................................................................................6

1.2 Nature of the Business......................................................................................................................6

2.0 Identify Potential Customer...................................................................................................................7

2.1 Market Segmentation Analysis.........................................................................................................7

2.2 Trends of Target Market...................................................................................................................8

2.3 Typical Buying Behavior..................................................................................................................8

2.4 Relationship with Customer...........................................................................................................17

3.0 Identify Competitors............................................................................................................................18

3.1 Competitors.....................................................................................................................................18

3.2 Competition Horizon......................................................................................................................18

3.3 Competitive Advantage..................................................................................................................18

3.4 Barriers for Entry............................................................................................................................18

4.0 Analysis of External Enviornment.......................................................................................................19

4.1 Economic Environment..................................................................................................................19

5.0 Understanding of the Company...........................................................................................................19

5.1 Position with Enviornments............................................................................................................19

5.2 SWOT Analysis..............................................................................................................................19

6.0 Conduct Elementary Level of Market Research..................................................................................20

6.1 Identify Market Location of the Business......................................................................................20

7.0 Identify The Product............................................................................................................................20

7.1 Product Class...............................................................................................................................20

7.2 Product Life Cycle.......................................................................................................................21

7.3 Branding Strategy........................................................................................................................21

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8.0 Identifying Place Objectives................................................................................................................22

8.1 Levels of Customer Service..........................................................................................................22

8.2 Channels.......................................................................................................................................23

8.3 Handling Customer Service Problems..........................................................................................23

8.4 Handling Reverse Logistics..........................................................................................................23

9.0 Promotion............................................................................................................................................23

9.1 Promotion Objectives..................................................................................................................23

9.2 Types of Advertising....................................................................................................................23

9.3 Publicity........................................................................................................................................25

9.4 Suggestions..................................................................................................................................28

10.0 Price..................................................................................................................................................29

10.1 Demand......................................................................................................................................29

10.2 Costs of Products.......................................................................................................................29

10.3 Price Flexibility.........................................................................................................................29

10.4 Price Strategies..........................................................................................................................29

10.5 Corporate Goal...........................................................................................................................31

11.0 Identify Special Resources Required for Implementation.................................................................31

11.1 People Required for Implentation...............................................................................................31

11.2 Financial Resources Required for Implemenation.....................................................................31

12.0 Forecasts............................................................................................................................................32

12.1 Sales.............................................................................................................................................32

12.2 Costs............................................................................................................................................33

13.0 Timing...............................................................................................................................................34

13.1 Future Advertising Campaigns....................................................................................................34

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13.2 Sales.............................................................................................................................................36

Bibliography..............................................................................................................................................37

Survey........................................................................................................................................................38

Jimmi’s Bar & Grill Marketing Plan

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1.0 Identify The Name of The Product Market

1.1 The Goal : Jimmi’s Bar & Grill’s goal is to increase sales and return on investment. The majority of

the customers who attend Jimmi’s Bar & Grill are middle-aged individuals, blue collar workers and

older gentlemen. Since middle-aged individuals are common consumers at this establishment, the

goal of this project is to target college students to attend the establishment. Since Jimmi’s Bar &

Grill is located within two miles of California State University Fullerton and Fullerton College

campuses, it is a significant benefit in attracting college students to the establishment. College

students are an advantage to bars because they are at the age where they want to drink numerous

alcoholic beverages and have fun with their friends. Since they are near the minimum age to

consume alcohol, college students will buy more alcoholic drinks to test which drinks they like best.

On the average, typical college students are able to spend more money as they have a greater

amount of discretionary income. The typical middle-aged individual has children, bills and expenses

each month. A survey will be created to find out the preferences and characteristics of where college

students look for when they go out to bars and clubs. In the survey, college students will answer

various questions ranging from their favorite types of alcoholic beverages, what types of

entertainment they prefer, what they like to do when they go out to clubs and what type of music

they enjoy. Using the information surveyed, the owners of Jimmi’s Bar & Grill will make necessary

changes in order to generate an increase in return on investment.

1.2 Nature of The Business : The nature of the business is the sale of alcoholic beverages to customers

for consumption. The mission statement of Jimmi’s Bar & Grill is to give the highest level of

service to ensure our customers have fun and keep coming back. The slogan of Jimmi’s Bar & Grill

is “the night you won't remember at the bar you'll never forget.” A government regulation facing

bars is that the minimum age to drink is 21 years old, which limits a major portion of the desired

target market. Many college students are between the ages of 21-34 years old. A major constraint to 6

overcome is the need to make changes to fit with college preferences. Many younger consumers like

different things than older consumers, which allows for a discrepancy between the two age groups.

It is not always profitable to give up one desired market for another market. Another constraint is an

emphasis on food/appetizers. Currently, Jimmi's Bar & Grill does not have a cook/chef to serve

food to customers. Food is a tough sell as it can easily spoil or not be used. This can cause excess

costs for the owners and allow for a decrease return on investment. This constraint is definitely a

major idea for Jimmi's Bar & Grill to analyze for future success.

2.0 Identify Potential Customers

2.1 Market Segmentation Analysis: The target market audiences are individuals between the ages of 21

to 34 years old. A geographic information system website, called ESRI, illustrated the demographics

of the zip code 92831, where Jimmi’s Bar & Grill is located. The Tapestry Segmentation feature

identified the best markets, most profitable consumer types, tailored marketing messages to fit the

target market audience, and defined product and service preferences. The top two tapestry segments

for Jimmi’s Bar & Grill are Dorms to Diplomas and Young and Restless.

A.) The Dorms to Diplomas segment consists of college students. The Dorms to Diplomas segment

are the youngest of the tapestry age segments. The majority of this segment shares residency with

one or more roommates and work part-time in the low paying jobs. These jobs include the

educational services, food service and retail industry. In addition, these segments live in dorms

and off-campus. The Dorms to Diploma residents have a carefree lifestyle and focus on education.

The median age for this segment is 21.9 years old with the median household income being

$23,807.

B) The Young and Restless segment consists of a young and on-the-go population. This median age

of this segment is 28.9 years old with the median household income at $37,235. Since only 23%

of these residents have children, it gives the segment more disposable income than segments with

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similar income levels. These individuals are educated with a background of professional sales,

service or office administration jobs. They are young, single professionals are pursuing their

careers and live a busy lifestyle. These individuals are characterized as technologically savvy and

take advantage of products and services that provide convenience.

2.2 Trends of Target Market: According to IBISWorld, the trends of the target market are high

unemployment and low disposable income. In the past 5 years, these key trends drove consumers

away from luxuries. Some examples of luxuries are trips to bars and nightclubs. The nightclub

industry has suffered as consumers cut down on spending. More and more consumers are following

the rising trend of drinking at home. This will continue to be an obstacle the industry over the next

five years; however, an increase in consumer spending will bring the industry back to solid health.

2.3 Typical Buying Behaviors: For understanding the typical buying behavior, cross tabulations from the

SPSS Statistics program were used. The cross tabulations were analyzed from questions pertaining

to the survey. The cross tabulations were comprised of commute, influences, drink specials, location,

entertainment, cover charge, dance floor, food specials and favorite sport. These were important

characteristics and information for Jimmi's Bar and Grill. These were important characteristics to

consider when creating the survey, as this information could be invaluable to Jimmi's Bar and Grill

in not only increasing visibility to the target market, but to understand the strengths and values this

particular market put on each category. This information can be used to help analyze the groups

behavioral intentions when it comes to making decisions on where to go out and socialize.

Commute

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47.0% of males live 1-5 miles from Cal State Fullerton

33.3% of females live 6-11 miles from Cal State Fullerton

31.2% of 18-24 year olds live 1-5 miles from Cal State Fullerton

53.8% of 25-31 year olds live 1-5 miles from Cal State Fullerton

42.8% of respondents who make $10,000-$19,999 live 1-5 miles from Cal State Fullerton

50% of respondents who make $20,000-$29,999 live 6-11 miles from Cal State Fullerton

Jimmi's Bar & Grill is located less than 2 miles from California State University Fullerton. The cross

tabulations showed males lived closer to Cal State Fullerton than females. The cross tabulations allowed greater

understanding of the demographics of people who took the survey. An interesting statistics was 31.2% of 18-24

year olds live 1-5 miles from Cal State Fullerton.

Influences

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41.1% of females felt location was most important

27.7% of males said entertainment was most important

37.5% of 18-24 year olds felt entertainment was most important

61.5% of 25-31 years felt entertainment and drink prices were important influences

42.8% of respondents who make $10,000-$19,999 felt entertainment was their greatest

influence

66.6% of respondents who make $20,000-$29,999 felt location was their greatest influence

The influences of the bar from the survey were comprised of answers such as location, entertainment, drink

prices, and atmosphere. The top two results were location and entertainment. Females ranked higher for location

being an important factor for their bar/nightclub influences with 41.1%. Males ranked entertainment was the

most important factor for their bar/nightclub influences with 27.7%.

Drink Specials

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38.8% of males thought drink prices were very important

47.0% of females said drink prices were somewhat important

100% of 25-31 year olds said drink specials were very and somewhat important (tied)

43.7% of 18-24 year olds said drink specials were very important

The survey was comprised of a question ranking the importance of drink specials. Males ranked drink prices a

very important factor for their bar/nightclub with 38.8%. Females ranked drink prices a somewhat important

factor for their bar/nightclub with 47%. Drink specials were very important to 18-24 year olds with a total of

43.7%. While these tabulations were insightful, it's important to mention that the Marketing plan needs to

ensure that Jimmi's drink specials allow a competitive advantage, and thus should be a constant reminder to

potential consumers by way of advertising on social media platforms.

Location

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55.5% of males said location was somewhat important

94.1% of females tied with Very and somewhat important

50% of 18-24 year olds said location was very important

50% of 18-24 year olds said location was somewhat important

61.5% of 25-31 year olds said location was somewhat important

50% of respondents who make $10,000-$19,999 said location was very important

66.6% of respondents who make $20,000-$29,999 said location was very important

The survey consisted of a question ranking the importance of location. Location was ranked as somewhat to a

very important factor for their bar/nightclub. Males ranked location as a somewhat important factor for their

bar/nightclub with 55.5%. Females ranked location as a tie between very and somewhat important with 94.1%.

With totals over 50%, 18-31 year olds ranked location as a somewhat important factor to the bar/nightclub they

attend. Highlighting the location would be essential to the marketing strategy as many people within the target

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group do not want to go out of their way to enjoy a night out with friends, so a campaign that features special

offers for locals could become quite beneficial.

Entertainment

55.5% of males somewhat care about entertainment

41.1% of female find entertainment very important

50% of 18-24 year olds said entertainment was somewhat important

53.8% of 25-31 year olds said entertainment was very important

42.8% of respondents who make $10,000-$19,999 said entertainment was very important

66.6% of respondents who make $20,000-$29,999 said entertainment was somewhat important

The survey contained a question ranking the importance of entertainment. Entertainment was ranked as

somewhat to a very important factor for their bar/nightclub. Males ranked entertainment as a somewhat

important factor for their bar/nightclub with 55.5%. Females find entertainment a very important factor with

41.4%. Respondents who make $10,000-$19,999 annually named entertainment a very important factor with

42.8%.

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Cover Charge

50% of males found a cover charge to be very important

58.8% of females said a cover charge was somewhat important

43.7% of 18-24 year olds said cover charge is very important

61.5% of 25-31 year olds said a cover charge is somewhat important

66.6% of respondents who make $20,000-$29,999 said cover charge was somewhat important

The survey enclosed a question ranking the importance of a cover charge. The charging of a cover fee was

ranked as a somewhat important factor to a very important factor for their bar/nightclub. Males ranked a cover

charge as a very important factor for their bar/nightclub with 50%. Females ranked a cover charge as a

somewhat important factor for their bar/nightclub with 58.8%. Respondents who make $20,000-$29,999

annually named entertainment as a somewhat important with 66.6%.

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Dance Floor

38.8% of males said a dance floor was not very important

Females tied with very important and not very important with 70.5% of the total results

31.2% of 18-24 year olds said a dance floor was very important

38.4% of 25-31 year olds said a dance floor is not very important

42.8% of respondents who make $10,000-$19,999 said a dance floor was very important

66.6% of respondents who make $20,000-$29,999 said a dance was not very important

The survey consisted of a question ranking the importance of a dance floor. Males ranked the availability of a

dance floor as a not very important factor for their bar/nightclub with 38.8%. Females ranked the availability of

a dance floor as a tie between a very important factor and a not very important for their bar/nightclub with

70.5%. Respondents from the ages of 18-24 said the availability of a dance floor was a very important factor for

their bar/nightclub with 31.2%. Respondents who make $10,000-$19,999 annually responded that the

availability of a dance floor was a very important factor for their bar/nightclub with 42.8%.

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Food Specials

44.4% of males said food specials were somewhat important

41.1% of females said food specials were somewhat important

37.5% of 18-24 year olds said food specials were somewhat important

38.4% of 25-31 year olds said food specials were somewhat important

35.7% of respondents who make $10,000-$19,999 said food specials were somewhat important

50% of respondents who make $20,000-$29,999 said food specials were somewhat important

The survey consisted of a question ranking the importance of food specials. Males ranked food specials as a

somewhat important factor for their bar/nightclub with 44.4%. Females ranked food specials as a somewhat

important factor for their bar/nightclub with 41.4%. Respondents overall determined that food specials were a

somewhat important factor for their bar/nightclub. Adding the availability of food to Jimmi's Bar and Grill will

increase monthly costs and be beneficial to those patrons that want a more relaxed atmosphere by being able to

munch on a few key appetizers, prolonging their stay.

Favorite Sports16

The top 3 sports for men were football, UFC, basketball and hockey. They equaled 50% of all

choices.

The top 2 sports for women were football and UFC. Football was most popular with 29.4%.

25% of 18-24 year olds said UFC was their favorite sport

23% of 25-31 year olds said UFC was their favorite sport

50% of respondents who make $20,000-$29,999 said basketball was their favorite sport

28.5% of respondents who make $10,000-$19,999 said UCF and football were their favorite (tie)

The survey consisted of a question ranking the importance of sports. The top three sports for males were

football, UFC, and hockey. The top two sports for females were football and UFC. Respondents from the ages

of 18-24 ranked UFC as their favorite sport with 25%. Respondents from the ages of 25-31 said UFC was their

favorite sport with 23%. Respondents who make $20,000-$29,999 ranked basketball as their favorite sport.

2.4 Relationship with Customer: Jimmi’s Bar & Grill will need to continue to encourage relationship

building with customers. Relationship building leads to loyal customers who will continue to

purchase products from the company. Bartenders and owners must execute strong communication

with customers. This can be done by rewarding loyal customers, offering special rewards for

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customers who bring a friend in and listening to complaints. Creating relationships with customers is

the key to success.

3.0 Identify Competitors

3.1 Competitors : Jimmi’s Bar & Grill’s biggest competitor is 601 Sports Bar, which is located right

across the street. 601 Sports Bar currently has the same demographic of consumers as Jimmi’s Bar &

Grill. Jimmi’s Bar & Grill also has significant competition from Downtown Fullerton, which is

located just a few streets away. Downtown Fullerton has a high market for college students attending

the local colleges nearby. Jimmi’s Bar & Grill is less than two miles from the Cal State Fullerton and

Fullerton Community College campuses. Location is one of the top two most popular influences

when deciding a place to go out.

3.2 Competition Horizon : The competition horizon will likely not change because college students will

continue to go to Downtown Fullerton bars and Jimmi’s Bar & Grill’s closest competitors are likely

to stay in business in the distant future.

3.3 Competitive Advantage : Jimmi’s Bar & Grill’s competitive advantage is inexpensive alcoholic

beverages. Jimmi’s Bar & Grill offers alcoholic beverages at least a few dollars cheaper than drinks

in Downtown Fullerton. This is important because the average college student does not have the

ability to spend numerous amounts of money on purchases. Jimmi’s Bar & Grill also offers live

entertainment without a cover charge fee and discounted drink specials daily.

3.4 Barriers for Entry : The barriers for entry would include costs of making an atmosphere for a

restaurant style bar, which was surveyed as the most popular type of atmosphere preferred. Having a

selection of appetizers and live musical entertainment are also costs that Jimmi’s Bar & Grill will

have to take into account in order to gain the target market for college students.

4.0 Analysis of External Environment

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4.1 Economic Environment - This is a major concern because high unemployment rates, less income,

higher interest rates, lower productivity and inflation will influence consumers buying behavior.

These factors will cause consumers to reduce their spending money and in return start saving their

income.

5.0 Understanding of the Company

5.1 Position with Environments: Jimmi’s Bar & Grill is a family owned bar serving the community of

Fullerton, California. It is a neighborhood “cheers” type bar with many regular customers who come

in after a long day at work. Jimmi’s Bar & Grill is currently open Monday through Sunday from the

hours of 12 noon to 2am. Jimmi’s Bar & Grill offers a wide variety of alcoholic beverage including

different types of beers, wine and liquor products. Jimmi’s Bar & Grill has live entertainment, access

to numerous televised sporting events and a jukebox with countless songs including the newest top

40 songs. Jimmi’s Bar & Grill offers inexpensive alcoholic beverages and discounted drink specials

daily.

5.2 SWOT Analysis: Jimmi’s Bar & Grill has numerous advantages including the ability to serve drinks

at inexpensive prices, the capability to have live musical entertainment and a large parking lot. It is

also located on a busy street so oncoming traffic can see the business from public view. The biggest

disadvantage of Jimmi’s Bar & Grill is the outside building does not look like a restaurant style bar.

It is located in an industrial complex. The owners should have the renting company update the look

of the building with new paint and decorative outside additions. The outside smoking section of the

building should also be updated. The figure below is a picture of the outside of the building.

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6.0 Conduct Elementary Level of Market Research

6.1 Identify Market Location of the Business : The population of Fullerton consists of 138,574 residents.

Females of consist of 50.9% of the population. The population of Fullerton consists primarily of

white, Hispanic and Asian origins. The population ages of 20-34 years old consists of 31,105 of the

138,574 in the total population. This is a key demographic to target. 14,929 out of 138,574 residents

are currently in undergraduate and graduate college programs. The median age of Fullerton residents

is 34 years old. The median household income is $67,696. This information was gained by using the

City of Fullerton Community Development Demographic and Income Profile Report.

7.0 Identifying The Product

7.1 Product Class : The industry product class comprises of establishments known as bars, taverns,

nightclubs, or drinking places. These establishments primarily engage in the preparing and serving

of alcoholic beverages for immediate consumption. These establishments may also provide limited

food services. Bars depend on the ability to drive traffic and develop a loyal clientele. Small

companies can compete effectively by serving a local market, offering unique products/

entertainment, and providing superior customer service.

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7.2 Product Life Cycle : The product life cycle is fairly lengthy due to the fact it takes numerous amount

of time for alcoholic beverages to spoil.

7.3 Branding Strategy :

Current Logo:

Above is the logo for the establishment. Since auto racing was the least watched sport surveyed, the

logo should be altered without the checkered flag in the background. The logo should include a beer

mug and a martini glass on each side. It would show that Jimmi’s Bar & Grill is a bar that sells beers

and mixed drinks just by looking at the logo. It will also increase brand identity because consumers

will know what Jimmi’s Bar & Grill sells based on the logo of the company.

A) Quality Positioning: Jimmi’s Bar & Grill is committed to earning the highest quality in the

serving of alcoholic beverages. Jimmis Bar & Grill has passed all sanitary safety certifications

with flying colors. Drinks and shots that are most expensive have the best quality and hold

luxurious value. Jimmi’s Bar & Grill is known for their cherry whiskey infused energy drink shot.

This type of mixed shot is known as a Cherry Bomb. Jimmi’s Bar & Grill has a special on

Saturdays for this particular drink at a discounted price.

B) New Branding Strategy : Based on the information that was surveyed, drink specials have been

created to accommodate students drinking at the establishment. Since students like to go out on

Friday and Saturday nights, it would be a good idea to have live rock and country music on those

nights. These are the top two types of music surveyed. The appetizers that Jimmi’s Bar & Grill

should have on Friday and Saturday nights are French fries, wings and mozzarella sticks. The

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team has determined that Jimmi’s Bar & Grill can sell a basket of French fries for $2, a basket of

wings for $5 and 6 mozzarella sticks for $3. These are the top three choices for appetizers.

Tequila was the most popular shot surveyed and since there is a small selection of tequila at

Jimmi’s Bar & Grill, the team determined that a few more types of tequila it can increase sales.

Next, Jimmi’s Bar & Grill should televise the UFC fights. It was the most popular televised

sporting event that students enjoy watching. The top beers chosen are Shock Top, Sam Adams

and Corona. Since Jimmi’s Bar & Grill does not sell Sam Adams beer, having Jimmi’s Bar &

Grill purchase a few cases can increase revenue. The most popular mixed drinks students prefer

are vodka, margaritas and Jack & Coke. Instead of having a Cherry Bomb special on Saturdays

there should be a margarita special for $4.

8.0. Identifying Place Objectives

8.1 Levels of Customer Service : Bartenders must possess excellent customer service skills and have the

ability to build relationships with consumers. By building an employee-consumer relationship,

customers will continue to return and make the establishment the choice of where they want to consume

their alcoholic beverage. In addition to appropriately handling customer service, Jimmi’s Bar and Grill

will be implementing an “Employee Feedback System” where each employee will answer a series of

questions after their shift regarding the customer service they provided and how it can be improved.

Based on the sales projection of $250,000, Jimmi’s Bar and Grill must reach a customer service level of

96%. Using the customer feedback would allow Jimmi’s Bar and Grill to lower the expected shortages

(4%) and predict future demand. Below, is a chart explaining the characteristics of future demand and

costs.

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All bartenders employed at Jimmi's Bar and Grill will be certified by completing a bartending school,

become T.I.P.S. certified, and ServSafe certified. The nationally known T.I.P.S. program encourages

bartenders and other employees to intervene if they believe patrons are on the verge of consuming too

much alcohol. Implementing the T.I.P.S. program will keep Jimmi's Bar and Grill socially responsible

for their clients and public safety. All employees handling food at Jimmi's Bar and Grill will be

ServSafe certified. ServSaf focuses on the handling of raw food, how to properly cook for a safe and

healthy consumption. By having employees become ServSafe certified, Jimmi's Bar and Grill can ensure

a very low possibility of food poisoning and contamination.

8.2 Channels : Jimmi’s Bar and Grill is a family owned business whose prices greatly affect the consumers

buying behavior. Receiving cost efficient alcoholic products from distributors is the key objective to

offering inexpensive alcoholic beverages to consumers. Only a large increase in the cost distributors

place on alcohol per bottle will cause a minor increase to the menu price. A slight increase in the cost of

alcohol per bottle will not change the cost to consumers.

8.3 Handling Customer Service Problems : In order to ensure excellent customer service, employees will be

trained to service customers in a professional and appropriate manner. Should a customer service issue

arise; each situation will be handled individually and with the highest attention by the servicing

employee or the on-site manager. In addition, implementing the “Employee Feedback System” will help

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identify weak customer service points in order to understand and develop more efficient customer

service techniques.

8.4 Handling Reverse Logistics: There will be few reverse logistics for Jimmi’s Bar and Grill due to the

products and services being consumed. Information will be returned from feedback through Yelp,

Twitter, Facebook, Instagram and Google+. The information and feedback from these social media

websites will be reused for brand promotion. Recycling cans and bottles will increase waste efficiency.

9.0 Promotion

9.1 Promotion Objectives : The objective of promotion is to increase brand identity. The goal is to have

consumers instantly recognize the name Jimmi’s Bar & Grill and automatically know what is offered.

With a strong brand identity, it will increase sales and consumers will continue to return.

9.2 Types of Advertising : Jimmi's Bar & Grill uses many forms of advertising to promote their venue. The

Jimmi’s Bar & Grill’s website [www.jimmisbarandgrill.com] is primarily used to promote the bar when

searched online by providing customers with information on upcoming events as well as alcoholic

beverages offered. Below is a figure of Jimmi’s Bar & Grill’s website.

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Jimmi’s Bar & Grill’s website has a high visibility on Google. When searching through Google.com,

Jimmi’s Bar & Grill’s website was listed fifth on the first page. The diagram below is a screenshot of the

visibility of Jimmi’s Bar & Grill when typed into the Google Search box.

9.3 Publicity: A large amount of Jimmi’s Bar & Grill’s marketing is on social media. Jimmi’s Bar and Grill

uses Facebook as their main social media platform. Jimmi’s Bar & Grill also uses a combination of

Twitter, Google+ and Instagram for their social media. Jimmi’s Bar & Grill has over 700 friends on

Facebook and 900 followers on Twitter. Jimmi’s Bar & Grill also uses flyers, posters, and a marquee

sign on the property as part of their marketing strategy. The flyers/posters are posted inside the bar to

inform customers of events and specials. The marquee sign is in front of the complex, which is visible to

passing vehicles and vehicles stopped for period at a train passing. Jimmi’s Bar & Grill has the ability to

change the marquee sign to market different advertising specials.

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The figure above is a picture of the marquee sign.

This is Jimmi's Bar & Grill's Twitter page (ww.twitter.com/jimmis_bar). The Twitter social media

website is used to promote daily specials, events and the website. The Twitter account posts pictures of

the daily specials and events to further draw attention to the venue.

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This is Jimmi's Bar & Grill's Google + page. This is a fairly new form of advertising for Jimmi's Bar &

Grill as the Google + page was made less than a month ago.

This is the Jimmi's Bar & Grill Facebook Fan page. Jimmi's Bar & Grill has two Facebook pages to

promote their business with their customers.

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This is Jimmi's Bar & Grill's Instagram profile. Jimmi's Bar & Grill posts about promotions and events

with daily updates.

9.4 Suggestions: Jimmi’s Bar & Grill should implement a promotion when a customer brings in a new

customer, the older customer will get a free beer. Jimmi’s Bar & Grill can also reward customers who

become a “friend” of Jimmi’s Bar & Grill’s Facebook page. These rewards can be a free alcoholic

beverage or a free appetizer. Jimmi’s Bar & Grill should also have customers write a review on Jimmi’s

Bar & Grill’s Yelp page to get a higher level of satisfaction. Yelp is a new interactive social media

website where members write reviews on their experiences going to specific places. Jimmi’s Bar & Grill

only has 2 ½ stars out of 5. A high-quality number would be 3.5-4 stars. The figure below is a screen

shot of the review of Jimmi’s Bar & Grill on Yelp.com.

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Jimmi’s Bar & Grill averaged 139 views in the month of June on the Yelp.com page. It generated 31

customer leads, with the combination of mobile phone calls, mobile check-in’s, asking for directions and

links to the website. The goal is to increase the number of customer leads and page views to Jimmi’s Bar

& Grill’s website.

10.0 Price

10.1 Demand: Jimmi’s Bar and Grill has an elastic demand on products. When drink prices increase,

consumers notice and will not purchase as many alcoholic beverages as before. The same can also be

said for higher priced alcoholic beverage products which usually do not sell as much as lower priced

alcoholic beverages.

10.2 Costs of Products: The prices of the alcoholic beverages are fairly flexible. Large increases in

the price to purchase alcoholic beverages from a distributor will cause slight increases in the prices that

the establishment will charge to consumers. Slight increases in the price to purchase alcoholic

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beverages from a distributor will not cause any increases in the price the establishment charges to

consumers.

10.3 Price Flexibility: Jimmi’s Bar & Grill is committed to having inexpensive prices. In a recession,

Jimmi’s Bar & Grill knows that customers are struggling to have ends meet. While conversing with the

owners of the company, prices of drinks have been only changed twice in the past five years with an

increase of seventy five cents per drink.

10.4 Pricing Strategies: Jimmi’s Bar & Grill offers discounts on drinks daily. Jimmi's Bar & Grill

uses drink special graphics throughout the bar as well as social media sites. The following is a list of

the drink specials currently offered and the flyers Jimmi’s Bar & Grill is currently using to promote

these drink specials:

Monday: $5 Patron Shots

Tuesday: $3 Well Drinks

Wednesday: $5 Jager Shots

Thursday: $4 Jack and Cokes

Friday: $5 Washington Apples

Saturday: $5 Cherry Bombs

Sunday: $4 Fireball Shots

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10.5 Corporate Goal: The corporate goal of Jimmi’s Bar & Grill is to price products correctly.

Jimmi’s Bar & Grill offers drinks at inexpensive prices compared to bars in Downtown Fullerton. The

goal is to make sure that the products are priced fairly to consumers but the business also needs to make

enough of a profit to cover monthly expenses. It is important to understand how much the product needs 31

to be marked up and how much of a product needs to be sold to turn a profit. The product costs needs to

include overhead costs not just the literal cost. Jimmi’s Bar & Grill has prices that are significantly

higher and lower than competitors. Jimmi’s Bar & Grill needs to make sure the prices of alcoholic

beverages are near competitors prices.

11.0 Identify Special Resources for Implementation

11.1 People Required for Implementation: The people required for implementation are any paying

customers who like to consume alcoholic beverages, devour appetizers and listen to live musical

entertainment.

11.2 Financial Resources Required for Implementation: Jimmi’s Bar & Grill’s return on investment

this year has been improving significantly than prior years. Jimmi’s Bar & Grill recently added a

credit/debit card machine. This has been a great asset to the company. In order for Jimmi’s Bar & Grill

to become a profitable tavern, the owners need to take into account the answers from the survey that

was completed for this project. Input from people who are going out to different bars and restaurants in

Downtown Fullerton, Downtown Brea and Los Angeles have a great knowledge of the type of

atmosphere and products they are looking for when they go out. Based on the answers received from

the survey, this demographic of people are willing to spend at the minimum $20 a night and a maximum

of $250, which can increase return on investment considerably.

12.0 Forecasts

12.1 Sales: The goal is to increase annual sales by $30,000 to a total of $250,000. Right now, Jimmi’s

Bar & Grill makes enough in sales to pay the bills. The goal of a business to make a profit. By using the

suggestions from the survey, Jimmi’s Bar & Grill can increase return on investment. With an extra

income of $30,000 it can be used to make renovations and remodeling. Below is a diagram of the

monthly sales from the year 2012.

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January

Febru

aryMarc

hApril

MayJune

July

August

Septem

ber

October

November

December

0.00

5,000.00

10,000.00

15,000.00

20,000.00

25,000.00

2012 Sales

Series1

The diagram below is the sales for 2013 and the forecasted sales for June through December.

January

Febru

aryMarc

hApril

MayJune

July

August

Septem

ber

October

November

December

0.00

5,000.00

10,000.00

15,000.00

20,000.00

25,000.00

2013 Actual and Expected Sales

Series1

12.2 Costs: There are many costs to running a bar. The monthly costs of running Jimmi’s Bar & Grill

are about $20,000. Below is a table of all the expenses that Jimmi’s Bar & Grill pays monthly. The

costs that need to be decreased are the amount of money spent on payroll, rent, alcohol and grocery

supplies. Payroll needs to decrease to $2000 a year. This can be done by switching payroll companies.

Jimmi’s Bar & Grill currently pays over $200 on payroll services monthly and there are other payroll

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services that cost significantly less. Jimmi’s Bar & Grill also needs to consider negotiating a lower price

for monthly rent. The rent is the biggest expense that is costing the company the most money. Jimmi’s

Bar & Grill should find another location, which the cost is less expensive, or have the landlord decrease

the amount on the monthly rent. Decreasing the amount at grocery stores to $400 a month and

decreasing the monthly cost of alcohol to $3000 can increase profits as well.

Repairs $832.89

Directv $125.99

Insurance $767

Gas $61.97

Rent $4,405.30

Edison $582.79

At&t $103.01

MG Disposal $161.44

IRS $527.00

Bands $560.00

City of Fullerton $80.00

Alarm System $75.00

State Fund $1,188.75

Straub $1,997.35

Monarch $61.00

Southern $1,189.77

Harbor $372.65

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Young's $532.40

Smart & Final $839.19

Payroll & Taxes & Fees $3001.54

Grocery Stores $400.35

Other Receipts $766.28

13.0 Timing

13.1 Future Advertising Campaigns:

1) Put flyers around the California State University Fullerton and Fullerton College campuses

2) Create mobile ads on Google and Facebook

3) Pass out brochures, menus and a events page to local residents in Fullerton

4) Create business cards and hand them out to residents in Fullerton so they are able to have easy

access to the business’s website, telephone number and Facebook page

5) Create banners with daily drink specials to put on the outside of the building so people who are

waiting at the railroad tracks for the train to pass can look at the sign and learn about Jimmi’s Bar &

Grill.

Marketing Calendar:

Daily- Update all of Jimmi's Bar and Grill's social media outlets (Facebook, Instagram, Twitter) with

daily drink specials and happy hour specials.  Collect coupons and gather data regarding advertisement

and Jimmi's "Bring a Friend" program. 

Monthly- Review the data collected to see which advertising mediums are most successful and how

Jimmi's Bar and Grill is bringing in consumers.

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Annual- Review and analyze collected monthly data from all forms of advertising and marketing to see

which mediums are most effective and where Jimmi's Bar and Grill needs to improve.  Finally, set an

advertising budget for the upcoming year from previous baseline data.  

The diagram below is a marketing schedule for Jimmi’s Bar & Grill to use in order to advertise the business.

Months Marketing Theme

JulyUse Valpak to reach 10,000 local home in Fullerton.  This push before summer should encourage consumers and college students to visit Jimmi's Bar and Grill.

AugustAs school semester prepares to begin, Jimmi's Bar and Grill will create an ad in California State University Fullerton's Daily Titan Newspaper to encourage college students to visit.

SeptemberImplement use of OC Weekly magazine for advertising as a secondary summer push to encourage consumers to visit Jimmi's Bar and Grill.

October Contact Atomic Outdoor Media to start advertising on local bus benches in Fullerton.

November Implement an ad in the Orange County Register for advertising for a one month trial.

DecemberPrepare to contact California State University of Fullerton’s Daily Titan Newspaper to begin advertising when the Spring semester starts in January.

Advertising Costs for the Marketing Calendar:

Advertising Medium Distribution Cost/Ad

Orange County Register Local Area newspaper $412 weekly (B/W)

(500,000 homes)

Daily Titan CSUF Newspaper $163.53 (year) 1/8 page

OC Weekly Magazine Local area coupon magazine$129 weekly

(67,000 homes)

Atomic Outdoor Media Local bus bench advertising $1500 (year) bus bench

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ValPak Local coupon distribution mailer$350 weekly

(10,000 homes)

13.2 Sales: The goal is to increase sales by $30,000 this year. This will be done through the

advertising plans in the section above. Sales will start increasing gradually daily by $50-$100. By

concentrating on a day to day basis focus will be created. By creating focus daily, it will create a push

system. As a result of creating a push system, bartenders will get an incentive when the goal for daily

sales is met.

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Bibliography

"Bars & Nightclubs in the US: Market Research Report." Bars & Nightclubs in the US Market Research. N.p.,

n.d. Web. 02 July 2013.

“Demographic and Income Profile Report." City of Fullerton Community Development. ESRI Forecasts, 14

Nov. 2011. Web. 25 June 2013.

"Determining the reorder point: How low should I let my inventory level go before I reorder?”

Excel Office.com. Office.com.

http://office.microsoft.com/enus/excelhelp/determiningthereorderpointhowlowshouldiletmyinventory-

levelgobeforeireorderHA001124602.aspx (accessed June 20, 2013).

"Esri - GIS Mapping Software, Solutions, Services, Map Apps, and Data." ESRI RSS News. N.p., n.d. Web. 25

June 2013.

"Inventory Management Review: Safety Stock." Inventory Management Review.

http://www.inventorymanagementreview.org/2005/06/safety_stock.html (accessed June 20, 2013).

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Jimmi’s Bar & Grill Survey

An online survey was created for Jimmi’s Bar & Grill to find out psychographic and demographic information

about positive changes that could be made to increase revenue and attract a new target market. A 37 question

survey was created with the majority of the questions in multiple choice formats. Several questions required a

free response, to better understand what consumers want when they go to a nightclub/bar. Along with the

survey, graphs were created for each question for easy interpretation for everyone. Some questions asked were

very basic just to reaffirm some information that was already made aware, while other questions provided

results which were very surprising.

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