UNIVERSIDAD INTERNACIONAL DEL

ECUADOR
EXTENSIN GUAYAQUIL

ENGLISH PRACTICE II
INTEGRANTS:
DAVIS CANO
JOSELYNE PESANTES

CASE STUDY 3:
SUCCESSFUL ECUADORIAN
BUSINESS

SWEET & COFFEE

INDEX
SWEET & COFFEE..................................................................................................................4
INFORMATION..............................................................................................................................4
Vision...........................................................................................................................................4
Mission........................................................................................................................................4
Philosophy...................................................................................................................................4
History.........................................................................................................................................5
STORE RETAILER TYPES............................................................................................................5
Independent Store........................................................................................................................5
Food court in malls......................................................................................................................6
Islands in shopping center...........................................................................................................6
Local in mall................................................................................................................................7
Fuel station...................................................................................................................................7
Supermarkets chains....................................................................................................................8
COMPETITORS..............................................................................................................................8
Juan Valdez..................................................................................................................................8
El Espaol....................................................................................................................................9
Lattte Postre Bar..........................................................................................................................9
THE VALUE PROPOSAL............................................................................................................10
THE TARGET MARKET.............................................................................................................10
Long term objectives.................................................................................................................11
MILESTONES AND BRAND RECOGNITION..........................................................................12
STATISTICS..................................................................................................................................13
Profits.........................................................................................................................................13
Market Share..............................................................................................................................14
References.............................................................................................................................15

SWEET & COFFEE

INFORMATION
Vision
That all our customers enjoy a special moment with our friendly service and our
extensive range of coffees and sweets made for discerning tastes.

Mission
To ensure that all our customers enjoy a time in Sweet & Coffee we care permanently
aspects such as training and motivation of all employees, the quality and variety of our products,
quality service, image and cleanliness of all our local and also decorative elements and location
of each branch.

Philosophy
Sweet & Coffee put all our heart and desire to give you a unique experience every time
you visit us. We work to create a nice environment for our customers and our employees. With
this philosophy we have grown gradually, without losing the essence of being a family company
like the first time we open a store.
We are committed to providing 100% Ecuadorian coffee of the highest quality, while we
contribute to the development of various social and environmental projects, creating a positive
impact on our community.

History
The idea of founding Sweet & Coffee comes when Richard Peet and Hanna Soledad,
founders and owners, were dating. Soledad said: When Richard visited me, I started to prepare
him some homemade dessert and he liked so much that inspired him to start the company, we
have today."
When they married the business project was real. The opening of the first store was in
November 1997 in the food court of Mall del Sol. The team consisted of 15 people. Soledad, was
in charge of everything related to production and Richard took operational and strategic
decisions at all levels of the company. Three years later, the second store was opened in the
renovated Malecon 2000, Richard explained "The goal was to locate there be closer to our
customers." Enrique Len, national marketing manager commented that "since then the brand
has maintained sustained growth, We are opening 5 stores per year in Guayaquil and Quito
approximately, at the end of 2013, 58 local between Guayaquil and Quito".

STORE RETAILER TYPES

Independent Store

Each local has its own atmosphere with tables and chairs, walls covered with decorations
that provide a comfortable and safe environment for customers. Generally they located in open
places like main avenues, universities or in the outside area of shopping centers. The exterior and
the main local signage are usually very visible. They offer services such as free Wi-Fi, music,
newspapers, magazines and climate controlled environment. The customer service schedule is
fixed and administered directly by the brand.

Food court in malls

The design allows customers to approach the point of sale without the need to enter a
front door. The store is located with other local in a common area with tables and chairs assigned
by the mall. It requires less physical space to operate and less investment than a prototype
"Independent" and does not have any complementary services.

Islands in shopping center

The concept is similar to the local food court, with the difference that are located in the
corridors of the mall, the brand is exposed to high traffic of people.

Local in mall
Located in a shopping mall with a similar atmosphere like an Independent Store with
music and Wi-Fi.

Fuel station
This prototype restaurant is located inside convenience stores gas stations, goal express
market demanding customers have 24/7 opening hours. They are physically small inside which
share a common area with tables and chairs.

Supermarkets chains
This format has the same concept as the Islands in shopping centers. They are small local,
with tables and chairs for customers. They offer services such as Wi-Fi, magazines and
newspapers. They are located at the entrance of the supermarket where customer traffic is
concentrated.

COMPETITORS
According to the latest market survey conducted in 2011 by the company Mindshare, the
leading brand competitors identified are:
Juan Valdez
Born in Colombia in 2002 with the intention to generate added value for coffee and brand
"Juan Valdez". Procafecol S.A. It is the company responsible for managing the franchise. The
first store was opened on 2008 in Ecuador. The aim of the brand market is medium high
socioeconomic level. They are an international franchise and it is one of the most important
strength.

El Espaol
It is a chain of candy store / cafe born in 2003. It has offices in Guayaquil and to date has
4 premises, which are located in Urdesa, Riocentro Ceibos, Riocentro Samborondn and Mall
del Sol. Their menu has options salt and sweet with both domestic and international products.
Your customers are medium-high socioeconomic level - high, 25 to 40 years, mainly.

Lattte Postre Bar

It started its activities from September 2011 in Guayaquil, had two locations, one
in the Ceibos and another in Samborondn. This candy store - caf owned more than 110
varieties of sweets, many of them developed based on customer suggestions. A different
activity with other market participants is that they have sweet pairing with wine, a subject
that is not in the other candy stores.

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THE VALUE PROPOSAL

"We are Positioned as a Brand Love", Our Intencion is create an intimate relationship
Between the brand and the customer. For this, we establish an interdependent triangle Synergies,
the client, the product and the environment "Said Enrique Leon.

THE TARGET MARKET

Sweet & Coffee bases its marketing strategy people looking to enjoy the moment with a
coffee cup or dessert. Its target market is consumers between 26 and 45 years, economically
active, possibly with children, or single, who value an innovative proposal that offers quality
products and friendly atmosphere.
Long term objectives

Be positioned in Guayaquil and Quito cities

Open stores in other provinces in Ecuador

Transform the brand in a franchise with a presence in several countries.

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MILESTONES AND BRAND RECOGNITION

YEAR

REASON

2006
Alliance with Supermaxi Group to
ensure local presence in that places.
2007

Alliance with Fasinarm. Project "leave

your mark", to support education.

2007
2008
2010

Alliance with Primax

Foundation of the University of Coffee,
The project is created "Planting
Commitment" We maintain an ethical
relationship with the farmer.

2010

Flame award. It was the youngest

brand in obtaining this recognition.

2010

Golden Cup Award. top 3 coffee beans

Ecuador

2010

IESS Award, for be one of the best

companies with its employees

2011

the Hall of Fame as one of the 17 most

prestigious brands in the country
Acorvol gives recognition to the brand
as a socially responsible company with
exemplary ethical code

2011

2013

Recognition granted by Ekos Group.

Bar Establishment Award as Best
Proposal with Caf.

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STATISTICS
Profits

Profits %
Profits %

Linear (Profits %)
9.22%

10.00%
8.00%

7.55%
6.38%

6.52%

2012

2013

6.00%
4.00%
2.00%
0.00%
2011

2014

2015

2016

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Market Share

Market Share
Market Share

Linear (Market Share)

10.00%

8.92%

8.00%
6.00%

6.73%
5.24%

5.73%

4.00%
2.00%
0.00%
2011

2012

2013

2014

Year: 2014

2015

2016

Year: 2015

Market Share; 6%
Market Share

Market Share; 8%

Total Market

Total Market

Total Market; 92%

Total Market; 94%

Market Share

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References
Ekosnegocios.com. (2016). Gua de Negocios Ecuador - Ranking mejores empresas
Ecuador. [online] Available at:
http://www.ekosnegocios.com/empresas/RankingEcuador.aspx [Accessed 21 Sep.
2016].
El Emprendedor. (2012). Sweet & Coffee: un dulce emprendimiento |
elEmprendedor.ec. [online] Available at: http://www.elemprendedor.ec/sweetcoffee/ [Accessed 21 Sep. 2016].
Es.wikipedia.org. (2016). Sweet \u0026 Coffee. [online] Available at:
https://es.wikipedia.org/wiki/Sweet_%26_Coffee [Accessed 21 Sep. 2016].
Revistalideres.ec. (2016). En 14 aos se levant una cadena con aroma de caf.
[online] Available at: http://www.revistalideres.ec/lideres/14-anos-levanto-cadenaaroma.html [Accessed 21 Sep. 2016].
Sweetandcoffee.com.ec. (2016). Sweet & Coffee | Disfruta el Momento. [online]
Available at: http://www.sweetandcoffee.com.ec/ [Accessed 21 Sep. 2016].