7Stars

The name 7Stars is inspired by the Pleiades constellation, also known as the Seven Sisters. It is the
brightest stars in the formation that glow a hot blue color. 7Stars is a pop-culture-themed coffee shop
located in Bonifacio Global City, Taguig that is designed to resemble a galaxy. It provides a relaxing
atmosphere for people to come together and engage in conversations.

7Stars Coffee Shop offers a variety of hot and iced galaxy-themed coffee, beverages, desserts and
pastries. Our coffee shop is all about quality, hence why we’re ethically sourcing the finest coffee
beans, roasting it with great care and helping our local coffee bean farmers in expanding their craft
and future. As well as homemade desserts and pastries for customers to feel at home whenever they
indulge in our desserts and pastries that they buy along with our main product, our coffee.

7Stars has a modern and stylish feel, with sleek furniture and geometric shapes. The walls are painted
a soft purple color, and there is a large mural of a galaxy on the walls or painting of galaxies. The shop
is well-lit with themed minimalist chandeliers as planets, and there is plenty of seating, both at tables
and on comfortable armchairs that can capture instagrammable moments. A kitchen and a bar area
where customers can order and see firsthand as their ordered coffee is being made along a glass case
display of our pastries and desserts.

As for our Market, it is basically people who drink coffee on a daily basis and coffee lovers/enthusiasts
who enjoy drinking coffee in a stress-free environment. Our target market is based on the people of
our location which is located in BGC, Taguig is specified on the table below. Target Market by:

Income Class Social Unit Demographics

Middle Teenagers Ages 18 and above

Upper middle Young adults Any gender

Upper middle but not rich Gen Z, Millennial, Gen X Female or male

Gen Alpha Office workers, local and

international students

Tourists, local celebrities. etc

The reason why this is the target market of 7Stars is because of the given location, Bonifacio Global
City or better known as BGC in Taguig, it is the center of businesses and the people or the
population that resides and visit BGC are mostly elites and middle class people, there are a lot of
tourist and international students that resides on BGC, as well as office workers, local students that
are either residing or working on the said location the same situation are for the local students,
there are also local celebrities residing and visiting BGC frequently so it is no doubt that the place
will be a bustling place for business owners to have a better chance to build a business as not only
the market but also as said it is the center of business, given that the place is modernized that it can
actually compete with New York City that is located in U.S.

Competitor Analysis

Competitors Address Product Pricing Pricing ISIC

Range Strategy

Starbucks BGC Corporate Hot and iced ₱90 - ₱260 Value-based 5630
Center, 30th St., Coffee Pricing Beverage
cor 11th Ave, Tea Premium- Pricing serving
Bonifacio Global, Baked goods Price Skimming activities
Taguig, 1634 At Home Coffee Bundle Pricing
Metro Manila Merchandise Promotional 1071
Pricing Manufactur
Psychological e of bakery
Pricing products
Tiered Pricing

Tim Hortons Uptown Mall, 9th Hot and Iced ₱15 - ₱420 Value-based 5630
Ave, Taguig, Coffees Pricing Beverage
Metro Manila Other beverages Penetration serving
Breakfast and Pricing activities
Lunch Competitive
Sandwiches Pricing 1071
Donuts and Bundle Pricing Manufactur
Timbits Promotional e of bakery
Baked Goods Pricing products
Retail packs Psychological
Pricing

The Coffee Bean Unit 5 Tower 2 Espresso ₱105 - ₱425 Value-based 5630
Tea & Leaf Ground Level Latte pricing Beverage
High Street South, Iced Latte Psychological serving
9th Ave. Cor. 26th pricing activities
Ice-blended
Street, BGC, Bundle pricing
Taguig City Drinks Promotional 5610
Non-coffee pricing Restaurants
Tea Latte Tiered pricing and mobile
Iced Tea Latte food service
Signature Tea activities
Signature Blends
Fresh Juices
Ristretto
Banana Caramel
Delight
Pastries
All Day Breakfast
Pastas
 Cakes

Figaro Coffee B5 Bonifacio High Hot and Iced ₱95 - ₱290 Competitive 5630
Street, Taguig, Coffee Pricing Beverage
Metro Manila Specialty Menu Value-based serving
Juice & Tea pricing activities
Healthy Psychological
Smoothies pricing 5610
Frappes Bundle pricing Restaurants
All-Day Meals Promotional and mobile
Pasta pricing food service
Sandwiches activities
Salad
Soup
Pastries

As shown on the table 7Stars Coffee shop have a 4 top competitors and based on the table above
each competitors have either the same or different kinds of pricing strategies when it comes to their
products that affects their pricing range based on location and Target market, each competitors also
have different set of menus to offer their customers and some fell on two classes in the ISIC.

1.Starbucks - Starbucks is a Coffee shop chain that is originally located in the U.S, and has made
a name all over the world. One of the branches of Starbucks here in the Philippines we are talking
about is also located in BGC. their price range for their products are from ₱90 to ₱260 and will be
explained why from their pricing strategy. It also falls in the 5630 Beverage serving activities in the
ISIC as Starbucks is classified under the Coffee shop business, as well as in the 1071 Manufacture
of bakery products as they also sell pastries.

Pricing Strategy of Starbucks:

Premium Pricing: This is their core strategy, positioning them as a high-end brand with prices
reflecting quality and experience.

Price Skimming: charging a premium for new, exclusive offerings before lowering prices later.

Value-based Pricing: While they have a premium image, they occasionally offer deals like
breakfast combos or paired food and drink options at BGC locations. This bundles items at a
discounted price, appealing to cost-conscious customers seeking a complete meal deal.

Bundle Pricing: They encourage add-ons with Optional Product Pricing, increasing the average
transaction value.

Promotional Pricing: They use Limited-Time Offers and discounts to attract customers and try new
products.

Psychological Pricing: Using odd-ending prices like ₱195 for their tall sized drink and ₱200 for
their grande sized drink which creates a perception of better value.
Tiered Pricing: Their rewards program creates Multiple Pricing tiers with discounts and exclusive
offerings for more loyal customers. Just like their Qr promo card where customers can collect
stickers to get a limited edition starbucks cup or something similar.

2.Tim Hortons - Tim Hortons is a Canadian coffee shop that also sells baked goods, they have also
made a name all over the world. One of the branches of Tim Hortons here in the Philippines we are
talking about is also located in BGC. They fall in the 5630 Beverage serving activities in the ISIC as
Tim Hortons is classified under the Coffee shop business, as well as in the 1071 Manufacture of
bakery products for their baked goods.

Pricing Strategy of Tim Hortons:

Value-based Pricing: Their core strategy is affordability, attracting budget-conscious consumers

with lower prices than Starbucks and CBTL.

Penetration Pricing: They sometimes use this for new items or store openings to gain market
share quickly. Just like in the given location in BGC, Taguig

Competitive Pricing: They monitor and stay competitive with other coffee chains like Starbucks,
CBTL, Figaro Coffee and other similar chains.

Economy Pricing: Their streamlined menu and focus on value fit this category.

Bundle Pricing: They frequently offer Combo Meals & Deals at discounted prices.

Promotional Pricing: They use frequent Deals & Discounts to drive sales volume.

Psychological Pricing: Similar to Starbucks, they might use odd-ending prices to appear more
affordable.

3.The Coffee Bean Tea & Leaf or CBTL - CBTL is established in Southern California and just like
Tim Hortons and Stabucks they have become popular all over the world. One of the branches of
CBTL here in the Philippines we are talking about is also located in BGC. They fall under the 5630
Beverage serving activities in the ISIC as CBTL is classified under the Coffee shop business, they
also fall under the 5610 Restaurants and mobile food service activities as they offer All-Day Meals,
Pasta, Sandwiches, Salad, Soup and Pastries

Pricing Strategy of CBTL:

Value-based pricing: Their core focus is on offering competitive prices within the "premium coffee"
segment.

Psychological pricing: Odd-ending prices and size variations influence customer perception of
value.

Bundle pricing: Offering combo meals and drink pairings incentivizes larger purchases.

Promotional pricing: Limited-time deals and discounts attract customers and promote specific
products.
Tiered pricing: Their loyalty program creates a multiple pricing system with rewards and discounts
for loyal customers.

4.Figaro Coffee - Figaro Coffee is a local Filipino coffee chain that was first established in Makati,
Philippines and over the years has become popular worldwide. Based on the location chosen which
is located in BGC. They fall under the 5630 Beverage serving activities in the ISIC as Figaro Coffee
is classified under the Coffee shop business, they also fall under the 5610 Restaurants and mobile
food service activities as they offer Pastries, All Day Breakfast, Pastas and Cakes.

Pricing Strategy of Figaro Coffee:

Competitive Pricing: It is more affordable and generally has bigger servings than its competitors.
In its location BGC there are certainly many coffee shops and similar chains and in terms of
affordability and servings Figaro coffee stands out.

Value-based pricing: Core strategy focuses on affordability while maintaining perceived value
through larger servings and quality ingredients.

Psychological pricing: Odd-ending prices and size variations influence customer perception.

Bundle pricing: Combo meals and drink pairings incentivize larger purchases, attracting
price-sensitive customers.

Promotional pricing: Frequent deals and discounts drive sales volume and attract new customers.

Pricing

3.a Product Life Cycle

Introduction Stage: In this Stage, 7Stars is only new to the market hence why it’s only in the
introduction stage where marketing and pricing strategies are heavily implemented to introduce
7Stars to the market with its unique theme that contrast the usual theme of coffee shops within the
location and in general. The chosen location which is Bonifacio High Street in BGC is the perfect
location as it is the business center and is bustling with people that reside in BGC. It is also perfect
as 7Stars will be the first themed coffee shop to be established in the said location.

Growth Stage: 7Stars is currently in its growth stage because of it being a new business that only
began a year and a few months ago, the number of curious customers that comes to the coffee
shop has increased due to the unique style of the coffee shop which is a galaxy themed coffee shop
which also serves galaxy themed products.

3.b Pricing Strategy

Being a new business that is only a year and a few months old 7Stars these are the pricing
strategies that 7Stars Coffee shop implements from its establishment to the current year.

Premium pricing: The reason why premium pricing is one of the pricing strategies that suits
7Stars coffee shop is because it can charge slightly more than competitors for specialty drinks and
high-quality beans, highlighting the unique experience and ethical sourcing of the coffee shop,
furthermore, it is suitable because the coffee shop is a pop-culture-themed which has a galaxy
themed from the design of the coffee shop to its products

Bundle pricing: Along with its unique style 7Stars can use this pricing strategy to offer discounted
combo deals for its galaxy themed coffee and pastries thus, encouraging higher purchase value.
This is for price conscious customers and students, this can increase the range of customers and
will also increase the possible profit.
Psychological pricing: Using this pricing strategy 7Stars can use odd ending prices like ₱99 for a
Starry night blueberry muffin instead of ₱100 or for cup sizes for example a small sized drink is
₱185 and for a regular sized drink is ₱190, with this 7star can create a perception of affordability
despite being slightly premium.

Value-based pricing: 7Stars use this strategy to emphasize the quality of its product and services
as well as the unique galaxy theme of the coffee shop adds more to the value of its product and
services as well as to the design and ambiance of the coffee shop.

Competitive pricing: 7Stars uses this strategy to monitor its competitors like Starbucks, CBTL,
Figaro Coffee and Tim Hortons for its prices and adjust accordingly to maintain the competitiveness
while still considering the unique theme of the coffee shop and possible offerings.

Promotional pricing: Using this pricing strategy 7Stars offers limited time discounts, happy hour
deals, or special event pricing that will attract new customers and boost sales. It will also form
customer loyalty.

Tiered Pricing: Using this pricing strategy 7Stars offers its customers a rewards program which
creates multiple pricing tiers for discounts and exclusive offers for its loyal customers. One example
is if they complete collecting stickers they would get a free drink and a pastry that is off the menu
and only available for those who completed the sticker collection.
Income statement