2.

5 Marketing Mix

Once the target customers have been segmented and positioned, it is necessary to formulate the
right marketing mix strategy for them. The marketing mix provides the set of tools needed to create
and develop a marketing strategy to enter a new market. It encompasses the full range of strategies
and activities employed to ensure the success of a specific brand's product within its target market
(Business 50 Minutes, 2015). The elements of the marketing mix are fundamental tactical
components of a marketing strategy and are the key factors that organizations must consider when
expanding globally. When venturing into international markets, companies must first decide
whether to customize or standardize their marketing mix (Magnani, 2022). It is crucial for MADO
to decide what approach it will take before it begins to work on formulating the marketing strategy,
as this influences all other components.

In this section, first MADO's marketing strategy in Turkey is analyzed, then the market
environment in South Korea is evaluated and the underlying assumptions are identified. Next, It is
determined whether the strategy should be adapted or apply the same one to the South Korean
market. Finally, the creation of the elements of the marketing strategy adapted to South Korea is
explained.

2.5.1 Product Marketing Strategy

2.5.1.1 Product offer in Turkey

The development of the global product mix entails determining the variety and quantity of products
and services to be provided (Berndt et al., 2023, p.250) . MADO has a wide range of products in
Turkey. When reviewing the menu, it was noted that 104 dishes are offered for all types of meals.
They provide their customers with servings for breakfast, brunch, lunch and dinner. In addition,
various types of sweet delicacies can be ordered. In total, one can choose from 102 desserts, ice
creams and cakes. Mado also serves drinks to accompany main courses or to enjoy separately. They
have seventy offers in terms of beverages including coffee, juice, tea, smoothies and others. It is
worth mentioning that the offer may vary depending on the branch visited (MADO, n.d.) . The café
and restaurant chain is known for its delicious Turkish products. The Coffee Shop first gained
popularity for its Turkish ice cream, which continues to be advertised as one of its signature
products. However, the menu does not only include Turkish specialties. They also include Caeser
salad, pasta Bolognese, pizzas of various flavors, burgers and other well-known international dishes.
To better comprehend the product portfolio, we will represent it using Kotler and Keller's 5 product
levels (2022, p.409) .
 Core benefit Need for food and beverages
Basic Product Variety of turkish dishes and drinks
Expected product Tasty products with fresh ingredients
Augmented product Friendly food establishment with nice
enviroment.
Potential Product Interactive cooking experiences and classes

2.5.1.2 Adaptation or standarization

In the environment of global marketing, managers are often faced with the challenge of deciding
between standardization and adaptation. An effective international marketing strategy is based on
combining the two and determining the appropriate level of uniformity and adaptation of each
country's marketing mix and marketing tactics (Magnani, 2022, p.35) . Mado will bring Turkish
food and beverages to South Korea. Since we are marketing the Café as a Turkish experience, the
taste of the products should be as close as possible to the original flavors. However, we believe that
adapting the promotional strategies and venue environment is the right approach. It is well known
that the success of global marketing lies in balancing the adaptation to local market preferences with
the advantages of standardized global products (Green, 2020, p.19) . Therefore, we will use a
strategy of product adaptation and communication to enter the South Korean market.

Figure taken from Hollensen, 2019 p.471

2.5.1.3 The concept of MADO in South Korea.

The first decision to be reached is the range of products to be brought to South Korea. Planning the
product offering involves deciding on the number and type of products to be offered in each country
(Berndt et al., 2023, p.250) . In our market research we found that, in Korea, coffee shops are
great places for friends to get together and catch up over coffee instead of a full meal. It is very
common for Koreans not to stay long in restaurants and then go to a coffee shop because they have
a safe house feature This means they can stay as long as they want without being asked to order
again, something difficult to find in places such as restaurants (Jang, 2016) . As mentioned above,
in Turkey Mado is both a restaurant and a cafeteria. Nonetheless, this finding makes us consider that
it is better to focus on the cafeteria component of the business and offer snacks, desserts and
beverages rather than full meals. To be completely certain, we have decided to conduct a further
analysis of the products offered by our competitors, mentioned in Chapters 1 and 3. The comparison
has been carried out by consulting the websites, social networks and Google profiles of each of the
competitors. On the one hand, Kervan Bakery and Alpedo Bakery sell mostly Turkish bakery and
pastry products, the former also offers a short variety of ice cream. They as well include typical
beverages such as coffee and tea, however no main course is found on their menus. Sand coffee
Nonanto offers only coffee and limited food accompaniments. So all indications suggest that we
should reduce the product mix on Turkey, focusing on products that are typically found in a coffee
shop in Korea.

Turkish cuisine is widely known for its richness and ranks among the top three culinary experiences
in the world. This not only boosts the destination branding, but also helps create a strong image
through precise positioning (Batu & Batu, 2018) . Furthermore, at the beginning of 2019, the
number of South Korean tourists in Turkey increased by 40% compared to the previous year. The
main drivers of tourism are culture, history and deep-rooted ties with the country
(Nilay Kar, 2019)
. We assume that it might be a good strategy to promote Mado as a place to experience
Turkish culture and authentic Turkish cuisine, as South Koreans show interest in traveling to
Turkey to learn about its culture. Although we have also decided to offer drinks and refreshments
that a customer could buy in a standard coffee shop, we can highlight traditional Turkish drinks and
desserts on the menu to encourage their consumption. We have chosen to highlight three Turkish
products: Coffee, Ice Cream and Baklava.

 Turkish coffee is distinguished from other types of coffee by its unique aroma and its thick
texture obtained by the traditional method of preparation.The most consumed coffee drink in
South Korea has been until now the “Americano” (Statista, 2023a) . Iced Americano, a shot of
espresso served with ice and water, has gained popularity as an unofficial national drink. South
Koreans refer to the iced Americano as "Ah-Ah," and its loyal drinkers are called "Eoljuka."
This nickname suggests that customers endure sub-zero temperatures for their beloved drink
(South China Morning Post, 2023) . This leads us to assume that it would be good to offer a
Turkish iced coffee only for the South Korean market.
 Turkish ice cream has long been a significant aspect of Turkish culture. It is known for its
distinctive texture and delicious taste. The South Korean ice cream market is primarily
influenced by product innovations, especially in flavors and varieties. Artisanal ice creams
made with natural ingredients, without preservatives or artificial flavors, have gained much
popularity. In addition, there is growing interest in vegan and lactose-free alternatives
(Expert Market Research enterprise, 2023) . This is the reason market leaders like Baskin-
Robbins introduce a new local snack-inspired flavor at the beginning of each month
(Soo-Jung, 2023)
. In addition, the "New Retro" trend in Korea has led ice cream manufacturers
to introduce nostalgic flavors such as corn, black sesame and tofu. These traditional flavors
evoke memories for older consumers, while offering new experiences to younger
generations (USDA, 2020) . We believe it would be a good approach to adapt and offer
unique flavors tailored to the Korean market.

 Baklava is a tratidional dessert obtained by putting hazelnut, pistachio, and walnut, sliced,
cooked, and slurred on thin flakes between very thin pastries and spilling sugar syrup on it
(Akkaya & Koc, 2017) . The same “Newtro” Trend affecting ice cream, is afecting
traditonal south koreans sweets (Min-sik, 2023) . Yakgwa is a traditional honey-glazed
cookie that has been regaining population thanks to the retro trend among the younger
generation. In general, yakgwa is perceived to be handmade, which leads young people to
see it as a "classy" and unhealthy type of dessert (Min-sik, 2023) . This sweet is sometimes
compere with the taste of a baklava (Marshall, 2023) . We assumed that since traditional
sweets are making a comeback, they would be interested in trying baklava. In addition,
handmade desserts such as baklava have a positive image among Koreans.

Marketers refer to “products” not only as physical items, but also services, locations, individuals,
organizations, data, or concepts (Schlegelmilch, 2022, p.162) . Offerings are complex mixes of
concrete objects, rendered services and customer participation (Hollensen, 2020, p.454) . As
mentioned in Chapter 3, our target customers care more about experiences than just products.
Our offering is not merely going to be based on the physical product portfolio, but also on the
atmosphere that South Koreans will feel when they go to MADO store. In addition, a successful
establishment should not only pay attention to the quality of its food and drink, but also to the
 ambience and atmosphere it offers (Heung & Gu, 2012) . For these reasons, it seems pertinent
to analyze and plan the designs and aesthetics of the site.

We analyzed photos of 5 Mado's stores found in Google search. After comparing them, we found
that the environment and ambiance of the stores in Turkey are consistent. The main variation we
found is in the color and shape of the chairs. All other shades of the tableware and walls were
constant with the same color palette as the logo: white, dark blue, gold and other neutral colors such
as black, beige and gray. Small pictures of the tableware are hung on the walls. All the tableware
included the logo label in blue or gold. The tables are made of wood and have a minimum of two
seats. At all entrances the customer can find showcases displaying Turkish sweets, cakes and ice
cream. On the facade of the premises there is a large Mado sign in blue and on the sides some dishes
from the menu are displayed. All the spaces have windows with access to natural light and only two
of the five stores had outdoor seating. The menus were mostly in Turkish, only two stores had ice
cream and coffee offerings also in English.

The environment achieved in Turkey is already in line with what we are aiming to offer in South
Korea. However, we believe that some adaptations are necessary. The first one would be the
language of the menu. As mentioned in Chapter 2, not many Koreans speak English, so the menu
should be translated into Korean. The name of the traditional Turkish dishes will remain the same,
but all the ingredients will be translated. The second adaptation concerns the design of the premises.
In Chapter 3, we highlighted the affection for the trends of our target group. Koreans tend to
showcase their shopping habits on online platforms such as blogs and social media. Consequently,
there is a growing demand for visually appealing desserts, as their images circulate on social
networks, generating a word-of-mouth marketing impact (Youn, 2017) . We assume that our
customers care about the aesthetics of a coffee shop and it is important to create an Instagram-worthy
place to share on social media. The design should also illustrate the ornamentation typical of Turkish
culture, as Koreans show interest in learning about other cultures besides their own
(Euromonitor Int., 2023, p.28)
.

Using Microsoft's Image creator AI tool, we created an estimated design of the store in South
Korea. The input for the image was to "create a charming corner of the coffee shop dedicated to
highlighting the vibrant Turkish culture. The focal point is a beautifully decorated wall with a mix
of traditional Turkish motifs and iconic Istanbul landmarks. The main feature of the wall is a large
mural depicting Istanbul's famous Blue Mosque, with intricate detailing and vibrant colors.
Surrounding the mosque are hand-painted Turkish tea cups and plates." In addition, we created an
adaptation with a less ethnic setting, adding only a few details on the walls, to compare the
preference for both settings based on empirical research. Both images can be found in the appendix.
The ambiance in ethnic dining establishments goes beyond the food and décor, and encompasses
unique elements such as bright colors, amenities, lighting, aroma, and culturally relevant
background music (Yang, 2015) . The third adaptation would be the way coffee is brought to the
table. MADO in Turkey serves Turkish coffee in a white fincan and also includes the traditional
copper "cezve" coffee pot. However, customers dining at ethnic restaurants are not only interested
in ethnic food, but are also looking for an authentic cultural experience (Wen et al., 2020) . We
believe that an additional experience of preparing
Turkish coffee at the table would be interesting for
South Korean customers looking for new experiences.
It is clear that this offering would also be a good
Instagrammable point of our coffee shop. We can use
this experience to promote it on social media, as we
will see in the next section.
Figure 1 Traditional Turkish Coffee Sand Making
(Hyperli, 2024)
The fourth adaptation would be the music played in
the café. Thanks to the videos posted by customers on google search and social media we were able
to listen the environment in Mado’s stores in turkey and realized that most of the videos did not
have any music on the background. We want to enhance even more the cultural experience with
typical music from Turkey. However, this one is not the only music is gonna be played in the café
since the most prefered music type in South korea are Ballads and K-pop idol (Statista, 2023b).

2.5.1.4 Mandatory adaptations for products in South Korea

We have to mention that we did not find any mandatory adaptation of the products sold. However, it
is mandatory to comply with the regulations of places offering food for human consumption. The
Ministry of Food and Pharmaceutical Safety regulates the control of false advertising related to food
services, participates in the regulation of food sanitation and regulates the management of food
standards and specifications (Korea Ministry of food and Drugs Safety) .

2.5.2 Promotion Marketing Strategy

Promotional activities significantly influence consumers' purchasing behavior through effective

communication strategies aimed at informing, persuading and reminding potential buyers about a
product to modify their perceptions and perceived value. (Magnani, 2022, p.37) . In this section
we will analyze the advertising strategies implemented by MADO in the country of origin, then we
will analyze how to adapt or create this to South Korea, develop the Unique selling point and
choose the media we will use for advertising.

2.5.2.1 Strategy in Turkey

Regarding MADO's communication strategy in Turkey, it was difficult for us to find information
about the marketing strategies done. What we noticed was the existence of a website in English and
Turkish, as well as an instragram and global facebook account where they post photos and stories
regularly. They seem to be up to date with international holidays such as Mother's Day, New Year's
Day and Christmas as they make related posts on their social media. Additionally, they have a blog
where they post about the characteristics of their products, highlighting for example the natural
ingredients of their ice cream. From what we could find on the internet, it is clear that MADO does
not invest too much in advertising as they have stores all over the country and have a long-standing
reputation. What they highlight in their platforms is the quality of their flavors, in fact their slogan is
"real flavors".

2.5.2.2 Communication Strategy in South Korea

Since we did not find a clear message or something distinctive on MADO's platforms, what we will
do is to determine a strategy adapted to South Korea. Everything but the brand elements will be
done in Korean, taking into account the same logic as for menu adaptation. To create a successful
communication strategy, an organization must adhere to a methodical approach that involves
establishing objectives for the campaign, determining the intended target audience, formulating the
content, choosing media channels, and evaluating performance (Kotler & Keller, 2022, p.291).
The first thing we have to accomplish is to define the objective of our strategy. Taking into account
what we mentioned in chapter 3, MADO is not a well-known brand in South Korea, so the initial
thing is to develop a brand recognition strategy and at the same time drive visits to our cafe. Earlier
we also mentioned our target audience: people who enjoy experiences, have a high purchasing
power and follow market trends.

Now what we have to be able to do is to create and tailor the message we want to share to our target
market. Every ad must present a unique offer to the consumer. It should not consist of mere words,
product hype or superficial advertising. The offer must be something that the competition cannot
offer or does not already offer (Belch, 2020, p.290) . This concept is called the unique selling point
(USP) that should be emphasized in all advertising strategies of the brand. In short, for our Café, the
unique selling point is to bring the turkey experience and traditions into a comfortable space for
socializing and instagrammable. We will promote the café as an authentic place where you can
experience the culture first hand through drinks and desserts. We will highlight that UNESCO
declared Turkish coffee culture and tradition as Intangible Cultural Heritage of Humanity. Turkish
coffee is a symbol of hospitality, friendship and fun. It is served in small cups and enjoyed in
common places, such as coffee shops, or on social occasions, such as engagement ceremonies and
vacations (UNESCO, n.d.) .

2.5.2.3 Selection of the media

There are 6 types of communication strategies such as Advertising, Public Relations, Sales
Promotion, Direct Marketing, Personal Selling and Social Media Marketing (Green, 2020, p.631) .
During the research, we found that most South Koreans discover new products through search
engines, word-of-mouth and television advertising (Statista, 2024b) . Furthermore, as mentioned in
chapter 1, South Koreans have an Internet connectivity level of 98%, so we assume that most of our
efforts should be focused on the online marketing environment.

The first aspect to take into account, would be the creation of our website and the attraction of
organic and paid traffic to our website or social networks.a big difference of korea with the rest of
the world is that the most used search engine is not google, but it is called Naver (Statista, 2024c) .
This company has 6 different platforms besides the search engine. It has a blogging platform, a
community discussion platform, a portal for experts and industries, an eCommerce platform, a
Q&A platform and finally something similar to wikipedia. To be visible to new customers we have
to create content about our coffee on Naver Blog. To do this we will encourage people who come to
our cafe to write a review about their experience of Turkish culture and coffee, in return they will
receive special discounts on our products. Additionally, our web page should be optimized for the
use of cell phones since they are the medium that consumers use the most to search on the internet
(GWI, 2020, p.282) .

Following with online strategies, we now focus on social networks. In 2023, 92% of the population
used social networks, which emphasizes the importance of social networks (Kemp, 2023) . It is
essential to create all accounts for south korea, for language reasons. in Korea, there are a lot of
social networks. The most used global platforms in South Korea are Instagram and Facebook.
Additionally, there are local social networks that are only used in Korea such as KakaoTalk, Naver
band and Daum Café (GWI, 2020) . The idea is to have a mix of global and local social networks.
We will continue with Instagram and facebook as in our home country, and additionally we will
open accounts in local social networks. Characteristic of Korea's social networks is common group
chats or forums where communities with similar interests are created. The groups are categorized
by type of interest. This is an opportunity for MADO to interact with locals in a more informal
environment by encouraging discussions among users and getting them to interact with the brand's
social networks. So creating a forum about coffee shop interests and Turkish culture is a good
approach. Similarly, video content type is very common in South Korea. The most used streaming
platform is Youtube so posting content here can also help us to capture the attention of our target
market.

To maximize the reach and growth potential of our social networks, we will work with influencers.
Earlier, in Chapter 2, we highlighted the importance of trends in Korea and the influence of social
influencers on purchasing behavior. Therefore, in our communication strategy, we will work with
some influencers in the field of coffee shops and vloggers. The types of influencers that South
Koreans bought a promoted product from were youtubers and Instagram influencers
(Statista, 2024a)
. In our search we found two influencers who make content inside coffee shops are "Zoe's"
and "Nebokgom". They both work inside coffee shops and show the process of creating different
coffees, desserts, cakes. Our proposal would be to invite them to create their content inside our
coffee shop and show their followers how it works, the atmosphere and motivate them to visit the
store. Another way to accelerate growth in networks is the use of paid advertising. Combined with
the organic search that our blog can attract, we plan to use advertising on search engines such as
Naver and google. Keywords will include "coffee shop" "coffee experience" "specialty cafes". In
summary, in our communication strategy we will rely mainly on online marketing such as SEO,
paid support, social media and collaborations with influencers that will allow us to achieve brand
recognition and visits to the coffee shop.

2.5.2.4 Sales promotions

Consumers in Korea love to receive promotions and discounts tailored especially for them. They
like to feel that their favorite brands are special to them and they love exclusivity (Yon, 2023) . In
addition, in chapter 3 we highlighted that although our chosen consumers have a high income, they
also pay attention to prices. We assume that having a rewards and discount program will help us to
increase visits to our café. The most common incentives are price reductions, coupons, price packs,
frequency programs, cash refunds, tie-in promotions, prizes, and other incentives
(Kotler & Keller, 2022)
. The first one we will use would be price packs where we would make packages of Turkish
coffee and baklava and ice cream that are more economical in order to incentivize the testing of the
three products. We are also thinking of creating a loyalty and frequency program for regular coffee
customers. This could be combined with the creation of a social networking community as an
incentive to be part of the group. Both would be strategies that would be constantly active at all
times. These strategies are most effective when the café has already built up a network of
customers, however we need a strategy that we can apply from the beginning to attract customers,
so we plan to offer a discount and coupons for the first time you visit the store and create a database
for other campaigns.

2.5.2.5 In-house Marketing or Advertising Agency

An important decision to make is whether to use the services of a marketing agency. In our case, we
recommend to take the advice because South Korea is a market that we do not know well, the
culture is different and the language is a big barrier. In fact, only large companies can carry out all
the internal marketing operations.
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