Colloquy Grog Shop's competitive edge is based on their unique approach to getting singles together using the structured conversation system. This system was detailed in the Product and Services section, please refer to that section for more information.
This system is a competitive edge because most bars/taverns to not have a niche that they are truly concentrating on. While every bar or coffee shop has a certain "flavor" and that is why someone will choose one bar or another, the flavor is only surface deep. The business model of the establishment is to sell alcohol and provide a social setting. Beyond these two values, there is little other genuine value that the establishments try to provide.
Colloquy Grog Shop is distinguished by the fact that their business model concentrates on developing value for customers beyond serving drinks. The Grog Shop develops an effective, albeit inherently structured or artificial, social setting that encourages meeting like-minded individuals. Providing the drinks is the source of income, an ancillary part of the business model. Generating value for the customers is the main focus, if the customers are happy then the revenue will follow (assuming of course that proper marketing and financial controls are employed). Concentrating on the client's needs beyond serving alcohol is the distinguishing characteristic that will allow Colloquy Grog Shop to rapidly gain market share.
Stated in an earlier section, the competitive advantage of the structured conversation system is what will drive people to Colloquy Grog Shop and will develop long-lasting customer relationships. What will drive the bottom line beyond creating loyal customers, is revenue generated from sales of drinks and food.
Providing a rotating selection of premium micro beers will be one sales strategy. Micro beers, particularly on tap, have great profit margins. The servers will be well trained in the different beer offerings to provide the customers with in-depth information. Offering a rotating selection will encourage people to visit often and try new beers.
Offering an ever changing selection of tapas encourages repeat visits. Additionally, the choice of tapas encourages people to order several, increasing the per person bill because 1) the tapas offer a reasonable portion of one thing that in itself is not filling for a meal by itself, and 2) tapas are a community food where the table can order many tapas and everyone gets to try some.
Acknowledging that the food and drink are the revenue drivers, the servers will be well trained in the products as well as upselling.
The first two months will be used to set up the physical location, hiring personnel, as well as establishing vendor relationships getting an alcohol license. The third month will be the grand opening. Business during the second month will be understandably slow as a steady customer base takes time to build. By month four it is forecasted that sales will steadily grow. Profitability will be reached by year two with sales exceeding $450K.
Colloquy Grog Shop will have several milestones early on: