Case Recap
Savor is an upper middle class restaurant located in Omaha, Nebraska. Savor also caters. Savor has been able to setup an ambiance that is often compared to that of a stylish New York or European bistro and it is also especially proud of the fact that it avoids “corporate” appearances. Savor contributes to the growth of local community by purchasing the freshest ingredients whenever possible from local business. Emphasis on wine pairing lies at the heart of the restaurant. Savor employees a prestigious culinary chef by name Rob. Recently Savor hired Anna as restaurant and catering manager. Savor uses Integrated Marketing Communication approach utilizing social media and wine tasting events to prosper the catering business. The problem Anna faces is that despite the current market strategy, Savor’s catering business is often unknown to potential clientele and it has become a challenge improving Savor’s catering business.
Problem Identification
From a restaurant standpoint, Savor is successful but it is struggling when it comes to growing catering business. It also has problems relating to space limitations, ineffective marketing strategy, catering business competition from strong competitors and tight budget. Considerable attention needed in the above mentioned problem areas to grow and prosper the catering business.
Root Problem Components
Savor’s problem lies in several key areas. The first problem area is space limitation. The current Savor restaurant location has the space to accommodate a maximum 115 seats. With this capacity, the restaurant is fully packed and has customers waiting during the lunch hour. In order to increase the restaurant capacity, it must move to a larger location within Rock Brook Village and also lease another building specifically for catering. But the move can backfire if the anticipated catering sales do not happen.
The second problem area is ineffective
References: Kerin, R. A., Peterson, R. A. (2013). Strategic marketing problems cases and comments (13th ed.). New Jersey: Pearson Prentice Hall