Moving forward, we propose that Ya Kun pursue a new product strategy in the form of line extension. Through our research, we found that Ya Kun’s limited menu offerings were severely restricting the times that consumers would visit the store with the majority of customers coming in during breakfast, brunch and tea-time. Thus, we believe that a line extension would be the best strategy as there is currently a significant amount of untapped potential in other meal times especially lunch and dinner. Furthermore, we feel that Ya Kun should focus on its present markets to further develop them especially the “youths” market segment which represented the smallest of Ya Kun’s three target markets.
- Address weak breadth of brand awareness and increase behavioral loyalty by increasing purchase situations.
- Differentiate itself further from its competitors in a way that is relevant to changing needs and valuable to consumers.
- Close the Brand Imagery gap by creating new associations.
When considering how Ya Kun can extend its product offerings, we had two criteria that had to be met. Firstly, our recommendations must not be presently offered by Ya Kun’s close competitors Toastbox and Killiney Kopitiam. Secondly, the food items must be able to be served quickly so as to not compromise the speed of service that Ya Kun presently offers.
We suggest that Ya Kun can offer traditional full meals such as steamed rice with braised meat. Such offerings are targeted at drawing customers to Ya Kun during lunch and dinner time where more substantial meals are consumed.
Also, with globalization, society’s tastes continue to change and it is essential to adapt to these changes to remain relevant and attractive to customers. During the talk by Mr. Richard Eu, one of the points he made really connected with us. He said that “Singapore is the crossroad of East and West” and that our unique location allows local brands such as Eu Yan Sang to adopt an East-West approach. Similarly, we wanted to integrate the East-West approach into Ya Kun Kaya Toast by offering products which have elements of both the East and the West such as pancakes or waffles with kaya or gula melaka syrup! The inclusion of these items would facilitate the formation of new brand associations and close the brand imagery gap by linking Ya Kun to a more contemporary and modern image.