Tactical Gaps

In Assignment 1, it was determined that YKKT has strong brand recognition and recall with the majority (76%) of respondents naming YKKT when they were asked for the first kaya toast brand that came to mind. However, the breadth of brand awareness is relatively weak, due to the limited usage situations, namely breakfast (60%), brunch (16%) or tea-time (22%) as found through the survey we conducted. These limited usage situations are a result of the limited product offerings which are mainly restricted to various toast options, eggs and coffee and most customers would not eat such food for meals such as lunch or dinner since they are not filling enough. The weak breadth of brand awareness is a significant constraint on YKKT’s potential since it gives rise to many non-peak periods where their outlets are running severely under capacity. As such it is imperative that YKKT improve the breadth of brand awareness and this can be done by expanding its current menu to offer items which cater to all the different consumption times of the day with an emphasis on the lunch and dinner demand.

Currently there is a very distinct perception of YKKT as a traditional place which is family-friendly. This was shown through our survey findings when respondents were asked to describe how they perceived YKKT, and the general consensus was that YKKT is a very traditional F&B establishment which many of the consumers usually associate with families and it evokes nostalgia within consumers.

However, with globalization, we find that there is an increasing Western influence on the Singaporean culture. Therefore, in order to remain relevant and continue to appeal to customers, it is essential that YKKT goes beyond portraying a traditional image and instead aim to be traditional yet contemporary at the same time. Emphasizing this need to close the gap between where it presently is and where it wants to be is the importance of youths as the market segment with the largest growth potential as seen in Assignment 3. The results from both our survey as well as in-depth interviews show that youths associated YKKT with words such as “old”, “Chinese” and “grandparents” as such demonstrating that they have a strong perception that YKKT is for an older market.

Furthermore, there is a very strong association between YKKT and their physical products as interviewees commonly brought up words such as “kaya”, “toast” and “coffee”. However, with reference to Maslow’s hierarchy of needs, YKKT aims to address more than just the basic hunger needs of its consumers as it hopes to bring people together by encouraging consumers to build and strengthen relationships while consuming its products and thus fulfil a higher level need of belongingness. As such, YKKT also needs to close the gap so that consumers will see it as a place to meet up with relatives, friends and colleagues to build bonds.

Behavioural Loyalty

Through our survey, we found that there is a low purchase frequency amongst the consumers with the 50% of consumers visiting YKKT 1-3 times a month and 40% of consumers who do not even visit YKKT once a month.  This is partly due to the limited menu offerings as customers do not have the habit of regularly eating toast and eggs. Although coffee is also one of the main offerings at YKKT, coffee is widely available and consumers are able to purchase it from numerous different avenues. Hence, YKKT faces the challenge of inducing customers to make more frequent repeat purchases.

Attitudinal loyalty

Our in-depth interviews revealed that the relationship many consumers formed with YKKT was that of a casual friend, which indicates that although respondents go to YKKT for its quality toast, they are not truly loyal to the brand. Convenience is still the key factor which explains why they patronize YKKT. This is undesirable for YKKT as it indicates that it is very easy for consumers to switch to their competitors. Therefore, YKKT needs to increase switching costs by increasing the attitudinal loyalty of its customers.


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