Maven Coffee Challenge: Analysis of Survey Data

Overview:

"Analysis of Survey Data" involves scrutinizing data collected from a survey pertaining to coffee preferences and habits. The objective is to derive actionable insights and formulate informed decisions regarding coffee-related offerings and strategies. The data contains survey responses from ~4,000 Americans after a blind coffee taste test conducted by YouTube coffee expert James Hoffmann and Cometeer. This first-of-its-kind experiment was designed to provide a largely identical tasting experience for people across the country.

Challenge Objective:

For the Maven Coffee Challenge, I play the role of an Analytics Consultant hired by a group of investors aiming to penetrate the US coffee market. Their goal is to leverage insights from "The Great American Coffee Taste Test" but lack the analytical expertise to do so. My task involves providing an explanatory report furnishing a data-driven strategy for launching their inaugural coffee shop. The investors have expressed interest in three key areas:

1. Target Audience: Identifying the customer profile and their preferences.

2. Product Offering: Determining the types of coffee beans and drinks to offer.

3. Pricing Strategy: Aligning prices with customer value perception.

Dashboard Structure:

The landing page of the dashboard, titled "Strategic Overview: Navigating Maven Coffee's Market Entry," addresses the above three questions. Subsequent pages delve into more detailed analyses of each question with accompanying recommendations.

Key Findings and Recommendations:

• Coffee Choice Recommendation: Coffee D is favoured for its high tasting popularity, despite varied preferences. Coffee A provides a safer option with fewer dislikes and more neutral responses.

• Target Audience for Coffee D: Predominantly white/Caucasian, educated males aged 25-34, without children, employed full-time.

• Target Audience for Coffee A: Native Americans, aged 35-44, with larger families, lower education levels, and higher unemployment rates. However, this demographic represented less than 1% of the respondents. Therefore, conducting an additional survey with a larger percentage of respondents from this demographic is recommended if choosing option Coffee A.

Marketing Strategies:

• Coffee D: Concentrate marketing efforts in office-rich areas to cater to the target demographic's workplace presence. Offer medium to strong coffee varieties, as preferred by the audience who typically purchases 1-2 cups daily from local cafes or specialty coffee shops.

-Beans preference: mild bitterness and high acidity.

-Menu options like pour-over, latte, espresso, and regular drip are suggested. Coffee D could benefit from including Cortado as it's popular for this type of beans. Further exploration into flavor preferences such as chocolate, caramel, fruity, nutty, and dark notes is advisable as majority of respondents talking about it in their notes.

Pricing Recommendations:

Based on the analysis, the optimal coffee price is estimated to be between $8-$10, reflecting the willingness of most respondents to pay. While many currently spend $6-$8, the gap isn't substantial.

Additionally, 32% of respondents spend $20-$40 monthly on coffee, and 46% consume coffee twice daily, likely indicating home or office consumption. To attract these customers, introducing loyalty cards could enhance retention and encourage repeat purchases.

Moreover, majority of respondents feel they are getting good value for money when paying within the $8-$10 price range for coffee.

In summary, setting prices within the $8-$10 range, offering loyalty programs, and ensuring perceived value can optimize sales and foster customer loyalty in the coffee market.