Lingo campus restaurant
I Overview and Mission Statement
Lingo is a fresh alternative to our students by providing delicious menu options
that cater to our multicultural environment. Offering popular international dishes with
inspiration from Chinese, Japanese, Canadian and Italian foods, we will provide our
customer with an exceptional dine-in or take-out experience. Enclosed in a casual,
relaxed environment our customers can retreat in our restaurants from daily campus
activity. Our emphasis will solely be based on providing fresh and delicious menu
items ensuring our customers are exceptionally satisfied with what we have to offer.
Our dedication to total quality, service, and affordable pricing ensures our
customer will be remarkably delighted with their experience at Lingo.
- Having greater emphasis on the freshness of our ingredients and menu items.
- Providing the best possible customer experience ensuring customer loyalty.
- Ensuring our employees will be continuously motivated to reach performance levels
and be enthusiastic about what we do.
- Maintaining customer relationships to ensure what our customers want on a
continued basis. E.g. Surveys, customer comments and inquiries, etc.
II The Industry
The size and segments of the foodservice industry
Canadian foodservice industry is combined with multicultural eating habits, that are
why it is a dynamic, innovative and huge sector of the Canadian economy.
There are about 62,600 commercial foodservice units in Canada:
28,446 full-service restaurants
24,642 limited-service restaurants
4,271 contract and social caterers
5,270 taverns, bars and nightclubs
(Data’s from CRFA.ca)
The commercial foodservice takes 78% of the total market share in this industry,
while non-commercial foodservice takes the other 22%.
Major players in this industry
Most of the restaurants, cafeterias, snack bars, pubs and caterers owned by
independent entrepreneurs, they are always a small company and operate within a
small area. But in another hand, there are several leading foodservice providers across
Canada and North America.
ARAMARK—ARAMARK is a leader in professional services including food
services, and ranked #1 in Food Management Magazine 2005.
They have established partnership with Tim Hortons, PizzaPizza, Timothy’s, The
Pita Pit, Second Cup, Starbucks Coffee etc. which we can always found around the
university and college campuses, private school and secondary school.
Sodexho— The leading provider of food and facilities management in the U.S.,
Canada and Mexico.
Their foodservice offerings include:
Campus, school and corporate dining catering and special events
Concessions and arena management
Food and nutrition services
Office coffee and refreshments
Retail operations and convenience stores vending
(Sources from Sodexho)
The markets and customers for this industry
Everyday, millions of Canadian and visitors are enjoying the foodservice across
A study shows that the average Canadian spend 22.1% of their total food dollar on
As mention before, ARAMARK and Sodexho are doing excellent in foodservice field.
They divided their service into several market segments, then focus on different
customers like students, business people, and patients etc.
Total foodservice industry sales ( millions of dollars )
Total foodservice industry sales in 2006-2007 (forecast as of October 2006) is
$51,205.2 to $52,952.3
Total foodservice industry sales in 2004-2005 is $46,859.0 to $48,685.3
Total foodservice industry sales in 2002-2003 is $44,494.3 to $43,936.9
Total foodservice industry sales in 2000-2001 is $42,674.8 to $41,319.2
There is more than 20% growth from 2000 to 2006.
(Data’s from the report of CRFA)
National / economic trends have affected or might affect this industry
The total food service sales have already break the $50 billion in 2006 and seems
have continuous growth in 2007.
The average Canadian household spends 22.1% of its total food dollar on foodservice.
More and more women entry the workforce, the number of two income families are
increasing, and the disposable income are also increasing, people are more willing to
spend money for the food.
Canada currently accepts close to 250,000 immigrants per year, that’s a huge number,
and all of those people are the highly potential customers of this industry.
The long-term outlook for this industry
All in all, strong overall economic growth and strong consumer spending in this
industry will lead to a stable increase in next decade.
III Our business’s position in the industry
Our services and products:
As a participant in food service industry, our service and product are primarily
about serving various food, drinks and related services across campus. We will serve
breakfast, lunch buffet and food catering for campus events.
Unique selling proposition:
Student complains most about the existing food services in campus is that the
prices are too high, also, food are not taste good, even looking bad. However, since
they don’t have many choices within limited time, so they have to stick to the food in
campus. To distinguish ourselves from other competitors from this industry, we will
serve our food with a reasonable price and plenty of meal choices. Our products will
be fresh made everyday, with selections of low-fat, low-calories and nutritive.
Customer can choose dine in or take-out. The prices will be lower than our
To show our support and dedication to the campus, we will hire and train students as
our part-time employees. We will offer different levels of job. After them graduate, it
is possible to keep the job in our company, even have the chance to work in
Barriers to entry food service industry:
1. Competitors are already settle down in this industry, have their own style of
management and selling patterns.
2. Analysis by product life cycle, we will see this industry has already moved from
growth stage to product mature stage. Price competition can not avoid.
3. Even though profits are high, but it is hard to attain.
4. Adversting and marketing strategy have to implement in the market, which will
cost high in budget
Competitors in this industry:
Aramark, a leader in professional services including food services, and ranked #1 in
Food Management Magazine 2005.
Sodexho, a food service provider has their business across North American,
distributes in U.S, Canada and Mexico.
See details about these competitors in our industry overview part.
Market share from our competitors: (data are gathered from internet)
Sodexho: it own about $400 million profit in the food service market. Have about
130,000 employees and over 6,000 locations across North America.
Aramark, on the other hand, according to a release from Bloomberg, in 2005,
Aramark's profit rose 72 percent to $288.5 million from $168 million in 2000.
Our business competitive advantages:
from our business, we are not only looking at it as a business, but also seeing it as a
community. Because we really care about our customer’s diet, we care what healthier
for them and how to make food convenient for them. Moreover, we offer job
opportunities for them and make effort to make difference in their life. We will focus
on fast and delicious food as our goal. And the reasonable price is another strategy
that we will do to enhance our competitive advantages.
IV Keys to success:
by providing fresh, clean and nutritive food, we believe we can beat our
competitors without doubt. Students complain about campus’s food all the time, the
selection are limited and taste are bad too.
Price is another issue that bothers student dining in the campus. To lower our prices
we will try to find a unique tunnel and a group of wholesalers in order to lower our
cost which can lead to a reasonable price for the students.
3 ongoing customer relationships
This part is also leak in many existing competitors. They are not very good at keeping
a friendly relationship with their customers. However, what we will focus on is we are
not selling our products but also try to maintaining relationship with them. So it will
lead to a brand loyalty. It is a way to get customer around and they will return to us.
It definitely will be a competitive edge for our business