Final Marketing Project: Tina’s Restaurant

Group Members
Mackenzie Soares
Emma Sohla
Taylor Slaats

Professor
Anne Wilson

Date
December 19th, 2017

Course
MKTG 1012 Section #17
1.SWOT Analysis
Strengths:
● Ethnic food is a growing trend-Romeo’s Restaurant falls under the current trend
of ethnic foods. This is an advantage because it will attract more customers who
wish to dine on Italian food.
● Good pricing-The food at Rome’s will be reasonably priced. This will attract
students, families and the elderly who are all on a budget.
● Specials-Every day of the week, Romeo’s will have a different special going on
for customers. This includes specials such as: All you can eat pasta, early bird
deals and senior discount day.
● Entertainment night- once a week, on Fridays or Saturdays, Romeo’s will host
an entertainment night. The entertainment for the night will change each night,
and could include performances such as comedy acts, karaoke and acoustic
bands.
● Location- Romeo’s will be located in the Masonville area. This is to attract
families, adults and students. According to statistics, 31% of residents in the area
are within the ages of 45-64, 49% of the residents are married with families and,
geographically, Masonville area is within close proximity to the two major post-
secondary schools in London.
● Casual dining- Romeo’s Restaurant is a casual restaurant that does not require
formal attire or reservations. This will attract customers who prefer to dress
casual while eating and are more last-minute in regards to dining out.

Weaknesses:
● Location- In London, there is already 127 Italian food restaurants (Zomato, n.d.),
and at least 10 of which are in the Masonville area (Yelp, n.d.). With so many
other options, Romeo’s Restaurant may not always be the customers first choice.
● New Restaurant- Since Rome’s is a not a franchise, it will have to build up a
good reputation on its own in order to compete with the competition. Until it has
established good reputation, consumers may choose other Italian dining options.
 ● Menu- The menu at the restaurant consists strictly of Italian food. This may be
unappealing to consumers in the area who do not like Italian food or to those
looking to eat at a restaurant that has more than one style of food.

Opportunities:
● Ethnic food- According to a survey, Italian cuisine is one of the most consumed
style of ethnic food in Canada, ranking at 84% (Harris, 2016). This could attract
customers looking to try a new restaurant serving their favourite ethnic food.
● Specials- Every day of the week Romeo’s has a new special. This means they
can be created and changed to attract new customers.
● Italian environment- If Romeo’s is successful enough and continuously makes
enough profit, the restaurant good use the extra funds to make it have even more
of an Italian atmosphere to it. This could include hiring a musician to play Italian
acoustics every day of the week during the peak dinner hours.
● Target market socialization habits- Statistics show that 88% of people ages 18-
29, 84% of people ages 30-49 and 72% of people ages 50-64 are all active users
of the social media app, Facebook (York, 2017). Consumers may choose to post
and share with their friends about their experience at the restaurant, which could
attract new customers.

Threats:
● Other Italian restaurants- There are many other already established Italian
restaurants in the area. Customers could already have a favorite and decide not
to try out the new restaurant in the area.
● Low prices- Since the food at the restaurant is typically inexpensive, it may be a
challenge to pay expenses while still making a sufficient profit.
● Current Food Trends- The menu at Romeo’s does not follow apply to current
food trends such as healthy and gluten free eating. This could be unappealing to
consumers looking for those options when eating at a restaurant.
2. Competitive Analysis: Three restaurants chosen that could be competitors with
Romeo’s are, East Side Mario’s, Pasto’s Grill, and Angelo’s Italian Eating Place. The
evaluation of each restaurants product, place, price, and promotion will show how these
places can be competition to Romeo’s.

East Side Mario’s

Product - With a huge variety of foods, East side Mario’s is known for their pastas,
pizzas and other Italian meals. They have a large menu with a lot of options, which
attracts customers because people will have a lot of choices. They have 12 popular
pasta’s on the menu, including a ‘build your own’ pasta option. Consumers might take
something unique like this into consideration when trying to decide where to go for
dinner. East sides goal was to “bring a bit of Little Italy to their guests” (East Side
Mario’s, n.d.) by showing customers the hospitality and passion for great food Italians
are known for around the world.
Price - East side Mario’s has a great selection of prices and deals to offer to their
customers. They have all you can eat pasta Wednesdays, everyday lunch meal deals,
and kids meals for only $2 on Tuesdays. These are just a few deals they have for
pricing. Overall, their pricing is very reasonable for large filling meals. Romeo’s will also
have deals for customers, however might not be as well-known as East side’s deals.
Place- East Side Mario’s is a very large franchise with restaurants in 9 regions all over
Canada (East Side Mario’s, 2017). In London alone, they have four East Side Mario’s
locations spread out in each part of town. This means there is easy access to the
restaurant for consumers. This could mean people going to East Sides instead of
Romeo’s because it is easy to get to.
Promotion - East side Mario’s was first opened in 1987 ( East Side Mario’s, n.d), so it
has had a lot of time to generate customers as well as build and promote the company
name. For marketing and advertising, they have done things such as radio contests with
communities and engaged in advertising partnerships with other large companies, such
as Budweiser. Because they are very well known by most people, this might impact
Romeo’s simply because it will not be as popular and well known as East side Mario’s.
Pasto’s Grill
Product - Pasto’s Grill offers a variety of Italian foods such as pizza and a multiple
kinds of pasta. All of their meals are Italian inspired throughout the whole restaurant.
This will be one of the main reasons that Pasto’s can be a competitor to Romeo’s.
Price - Pasto’s is a little bit more expensive than the average restaurant. They have
deals for “happy hour” and there is half priced appetizers from 3pm-6pm everyday
(Pastos Grill, n.d.), but that is all the deals they offer. They do not have many deals for
prices. This could be good for Romeo’s because Romeo’s plans on having many deals
and promotions going on almost every day of the week and offers good pricing to attract
a variety of consumers. This could mean more people wanting to come to Romeo’s
instead of Pasto’s.
Place -Pasto’s grill has only one location, it is not a franchise or chain restaurant which
is very similar to Romeo’s. It is on the south-west side of London. The restaurant is not
located near downtown or Masonville area, therefore it will be opposite of where
Romeo’s restaurant will be. This is good for Romeo’s because it means they will not be
competing for the customers in the same area.
Promotion - Pasto’s doesn't have many promotion techniques. It stands on its own and
does not go much further than that. Since it's not a large franchise, the name itself isn't
very well known and the restaurant will mostly be heard of by people who have already
been there and share their experience. Pasto’s, unlike East Side Mario’s, is not as big
so it probably cannot afford billboards or to advertise with other large companies. Since
Pasto’s does not have much advertising and promoting techniques, that is something
Romeo’s can excel and do better at than Pasto’s. Promoting a restaurant intensely can
really help gain customers.

Dolcetto
Product – Dolcetto’s focuses on Italian courses at their restaurant. The basic meals are
served such as pizza and pasta, which are always very common meals, however they
have some different options such as Pollo parmigiana, Vitello marsala, and Agnello
(Dolcetto, 2017) These meals are very interesting and unique. Since these meals are
very Italian and not served often, people may go to Dolcetto’s instead of Romeo’s
because they want to try new things.
Price - The meals at Dolcetto are a little bit expensive. The meals that are served seem
to be more fancy and unique, making sense for them to cost a bit more. This could
benefit Romeo’s if people are looking for basic Italian meals for cheaper. However, if
people are looking for a more high end fancy dinner night, they may choose Dolcetto’s
over Romeo’s. Romeo’s could lose customers who are more wealthy and don't worry as
much about money to Dolcetto.
Place - Dolcetto is located on the West side of London, and only has one location. This
restaurant is also fairly new so may not be very known in the area as of right now.
Dolcetto’s is not that close to Romeo’s, but is a close enough drive to one another that if
people were to be picking an Italian restaurant, they might have to choose between the
two. Since they will be decently close, Romeo’s might lose customers to Dolcetto due to
decision making by consumers.
Promotion - Dolcetto is a new restaurant. The restaurant is doing few things to let
people know about the new Italian eatery in London. They are involving themselves in
things like the London free press, who said “London's Dolcetto ranked among top 100
Italian eateries in Canada” (The London Free Press, 2017) as one of the headlines.
Also, Dolcetto is in yellow pages as well as TripAdvisor with good ratings. These are
very big things many people in the London area will see. With the restaurant being new,
people will be curious to try it out. This is a competitor with Romeo’s because people
will see the good rankings of the restaurant and see the headline stating its top 100 in
Canada and might pick to try an Italian meal there instead of Romeo’s.

3. Customer Segmentation

Customer Segment Segmentation Bases

Students Geographic:
● Live around Fanshawe College (East London) and
Western University area (North London)
● Approximately 46,000 students
● Live in the area from September to April
 Demographic:
● Age range typically from 17-23
● Each student contributes approximately $4,000 to the
local economy each year
● $880 of their contributions goes towards food and
entertainment
Psychographic:
● Enjoy socializing on the weekends
● Typically look for entertainment at restaurants, bars
and nightclubs
Benefit:
● Affordable prices for students who are on a budget
● New restaurant to try out with friends
Usage Rate:
● Potential users
● Usage would be highest on weekends during free
time
● Usage would be highest from September to April,
during the academic year
Analysis:
It is very likely that students would become frequent
customers at Romeo’s restaurant due to the affordable
menu items. In order to target to students more specifically,
Romeo’s would have to appeal more to their entertainment
needs, and offer more than just affordable food. This could
include becoming more of a “social scene” or “hangout”
spot. In order to do so, Romeo’s could have drink specials
and multiple entertainment nights, where students could
come with friends for food, drinks and to watch performers.

Young Professionals Geographic:

● Majority of the population lives in or around the
downtown London area
Demographic:
● Age range typically from 22-28
● Early in their careers
● Do not have a high average income
● Unmarried with no kids
● Fairly large amount of disposable income
Psychographic:
● Lifestyle includes socializing, friends and dating
● Many live with roommates
Benefit:
● Affordable prices
● Good spot for a date or to get dinner with friends
Usage Rate:
 ● Seen as potential, heavy users of Romeo’s
restaurant
● Usage would be highest during the week after work
hours and on weekends
Analysis:
Young professionals would be considered one of the easier
segments to target to. This customer segment prioritizes
their social lives a great deal and Romeo’s restaurant would
be a great place to go on a date or get dinner with friends.
Although young professionals can appreciate a more casual
atmosphere for their socialization needs, they still enjoy
going to places with more to offer. In order to target to their
entertainment needs, Romeo’s could offer a weekly
entertainment night with performers for them to watch. This
would be a great addition in order to attract both young
professionals who are looking for a more easygoing night
and those who are seeking more amusement.

Young Families Geographic:

● Scattered all throughout the city
● Main locations are White Oaks, Hyde Park, Hamilton
Road
Demographic:
● Age range typically from 29-35
● Income relatively low, but growing
● Dual-income families
● Two full time working spouses
● Married with young children
Psychographic:
● Value convenience
● Value reinvigorating activities
Benefit:
● Affordable prices
● Convenient place to get dinner, no reservations
needed
Usage Rate:
● Potential customers of the restaurant
● Usage would be highest on weekends when the
whole family has free time
Analysis:
Young families can be seen as potential customers at
Romeo’s Restaurant. They would be attracted to the
affordable menu items and the convenience of not having to
make reservations or dress formally. In order to target to
young families more specifically, Romeo’s would have to
become more family oriented and kid friendly. In order to do
 so, the restaurant would need a kids menu and possibly
crayons and colouring sheets for their entertainment.

Established Adult Early Geographic:

● Highest population
● Live mainly in the Hyde Park area
Demographic:
● Age range typically from 36-49
● More established in their careers
● Higher income and amount of disposable income
Psychographic:
● Value new experiences
● Spend a large sum of money on food and
entertainment
● Eat out frequently, averaging two times per week
Benefit:
● Benefit from the entertainment nights
● Romeo’s is a new restaurant with new food and
entertainment experiences to offer
● Affordable menu items so they will not overspend
while eating out multiple times a week
Usage Rate:
● Can be seen as frequent customers
● Usage would be highest during the week after work
hours, on the weekend and on entertainment nights
Analysis:
The established adult early population would be one of the
easier markets to target to. Romeo’s already has a lot of
things to offer that they would find the most attractive. In
order to appeal to them even more, Romeo’s could have
more than one entertainment night. The adult early
population highly values entertainment and new
experiences. The addition of more entertainment nights
would allow them to experience fun while dining out,
multiple times a week, with a new performer each time.

Established Adult Late Geographic:

● Live mainly in the Masonville area
Demographic:
● Age range typically from 49-59
● Highest average income
● Children are already grown and starting their
education and careers
Psychographic:
● Has the most free time
● Their tastes are more refined and sophisticated
 ● Value connections to the community and the
environment
Benefit:
● Romeo’s restaurant is in the Masonville area,
therefore within close proximity to where they live
Usage Rate:
● Can be seen as light, infrequent users
● Usage would be anytime throughout the week
Analysis:
The established adult late population would probably be the
most infrequent users and the most difficult segment to
market to. In order to target to them, Romeo’s Restaurant
would have to be less casual, and more sophisticated. This
could be done by creating a more formal atmosphere where
proper attire and reservations are required. The restaurant
would also have to get rid of entertainment nights, unless it
included more sophisticated performances.

4.Although Romeo’s Restaurant has the ability to target to each customer segment, the
main target markets would be young professionals and established adult early. These
two segments are the easiest for Romeo’s to appeal to because they seek the benefits
the restaurant provides. Both of the segments would be attracted to Romeo’s affordable
menu, and the weekly entertainment it hosts. Young professionals are still in the
beginning stages of their career, meaning they do not earn a high enough income to be
spending all their disposable money at overpriced restaurants. Young professionals also
value socialization. The weekly entertainment nights at Romeo’s are great events to get
together with friends for a night of food and fun, without overspending. The established
adult early segment values entertainment and enjoys eating out multiple times a week.
This means Romeo’s Restaurant would appeal to them as a great new place for food
and fun. With that being said, the target market strategy that Romeo’s would use is the
multi-segment marketing strategy. Multi-segment marketing is when a business
chooses two or more segments and develops a marketing mix for each. Using multiple
segments, rather than one, is a good strategy to attract multiple kinds of customers, and
increase chances of making a higher profit. Since the two target markets are attracted
to the same things that Romeo’s has to offer, the marketing mixes that would need to be
developed would be very similar. Similar marketing mixes would avoid cannibalization of
one market, and would ensure we are always appealing to both.

5. At Romeos, we desire to achieve satisfaction from customers in the highest way

possible. The authentic Italian cuisine will enlighten your taste buds with the best
flavours and ingredients. But it goes further than just the food, the team wants to
connect with the community and work to take care of you. The quality of food and the
quality of the service they receive is what Romeos is all about.
Objectives:
● Customer Satisfaction and Loyalty: Romeo’s restaurant wants to keep our
customers satisfied and build lasting relationships with them. For Romeo’s, it’s
not just about what we put on the guests plates. It’s about providing such
exceptional service that they want to come back and ultimately become their
number one choice for where they dine. This is Romeo’s most important
objective, as this will be the biggest supporting block for keeping the restaurant
running.
● Generating Restaurant Traffic: Romeos will only be specific to providing lunch
and dinner, therefore the goal is to generate large amounts of traffic at this time.
If Romeo’s continues to build the amount of people that come to the restaurant,
the success will increase and the restaurant will continue to grow. By providing
everyday specials and entertainment, Romeo’s will achieve their goal to
generate traffic and continue to grow a customer base.
● Building the Restaurant Brand: The final objective at Romeos is to build a
restaurant brand. Romeo’s will be starting off as an unknown restaurant with
nothing to the name. By building customer satisfaction and bringing in more
customers, they will eventually start to develop a brand for Romeos and become
a household name. Romeo’s wants to hold a standard in the community that they
are in, having quality, authentic Italian cuisine and great service will build the
reputation and brand. Romeos will also want to give back to the community that
supports them and partnering with charitable organizations to achieve a brand to
attract new customers.
6. At Romeos, the restaurant will be offering Italian cuisine. The food will be authentic to
Italy and will focus it on traditional Italian dishes, but still selecting the most popular
dishes. Romeo’s will provide lunch and dinner, with starters, main courses, and dessert
all in Italian theme. Each section of the menu will have multiple options to choose from
to appeal to different tastes of guests. Italian cuisine is also one of the most consumed
style of ethnic food in Canada and falls under the current trend of ethnic food (Harris,
2016). This trend works to our advantage, many students, young families, and young
professionals will be drawn to Romeo’s for what it offers.

Menu Example:

Romeos Menu
Starters

Italian Salad

Garlic bread

Pork Meatballs

Italian Sausage Cheese Balls

Tomato Bruschetta

Main Course

Spaghetti with Meatballs

Lasagna

Meatball Sandwich

Alfredo Pasta

Risotto

Ravioli

Parmigiana

Tortellini
 Dessert

Tiramisu

Cannoli

Panna Cotta

Pandoro

Bombolone

7. The pricing strategy that will be used for Romeo’s restaurant will be penetration
pricing. Because Romeo’s is just opening, it is good idea to use this pricing strategy
because keeping prices low for a new product will hopefully attract more customers.
Romeo’s will offer good meals for low prices, as well as daily meal specials, therefore
giving customers an opportunity to save money. Having lower prices compared to the
competitors could attract more customers to Romeo's who are looking for a cheaper,
casual meal. This pricing strategy strongly relates to our target market; young
professionals and established adults early. The target consumers would appreciate this
pricing strategy because their incomes are not high yet, or because they eat out multiple
times a week, meaning they do not want to spend a lot of money on a fancy meal. It is
important for the restaurant to keep its prices fairly lower than our competitors because
it is what makes Romeo’s stand out and can then hopefully attract more consumers in
our selected target markets.
 References

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