Running Head: Kakui Sushi Restaurant Marketing Plan

Running Head Kakui Sushi Restaurant Marketing Plan1kakui Sushi Resta

Identify and analyze a problem faced by Kakui Sushi Restaurant and develop strategic recommendations to enhance its competitive advantage by improving customer satisfaction through diversified services, based on market research and customer preferences.

Paper For Above instruction

The hospitality industry, especially restaurants that target tourists, is highly competitive. Kakui Sushi Restaurant, situated in Oakland, California, faces significant challenges in maintaining its market share and increasing customer loyalty amid rising competition from nearby Japanese eateries like Kotobuki Japanese Restaurant and Oni Sushi. Addressing these challenges requires a comprehensive understanding of customer needs and preferences, particularly from the key demographic of Japanese and Asian tourists. This paper explores the core problem of limited service offerings at Kakui Sushi and proposes strategic solutions grounded in market research to enhance customer satisfaction and competitive edge.

Introduction and background context highlight Kakui Sushi’s unique positioning as a Japanese restaurant integrating authentic Japanese cuisine with local ingredients, seasonal menu changes, and an ambiance reflective of Japanese culture. Despite these strengths, the restaurant operates in a saturated market where customers increasingly seek variety, convenience, and additional services beyond mere dining. The growing trend in the hospitality sector involves providing holistic experiences through multi-service establishments—spas, entertainment, event hosting—that enhance customer satisfaction, loyalty, and referrals. These trends are exemplified by Japanese onsen facilities that incorporate restaurant, spa, and wellness services, which greatly appeal to tourists seeking comprehensive leisure experiences.

The core problem identified is Kakui Sushi's limited scope, primarily focusing on Japanese cuisine without offering supplementary services that influence customer satisfaction and loyalty. This restriction hampers its ability to attract repeat customers, generate positive word-of-mouth referrals, and establish a competitive advantage. As customer preferences evolve, there is an urgent need for the restaurant to diversify its offerings and align them with contemporary tourist expectations.

Research methodology involved conducting a survey of 50 customers, predominantly Japanese tourists, utilizing questionnaires distributed via Survey Monkey. The survey aimed to capture demographic data and customer preferences regarding additional services that would improve their dining experience. Both qualitative and quantitative data were analyzed to identify patterns and key areas for strategic intervention.

The findings are revealing. Customer satisfaction levels are notably low, with only 2 respondents reporting full satisfaction and nine indicating some satisfaction, while the majority expressed dissatisfaction or only slight satisfaction. This indicates a pressing need for service enhancement. When asked about their ideal restaurant features, respondents ranked service and product quality and variety of services as highly desirable, with an average rating of 4.8 out of 5 and 5 out of 5 respectively. Interestingly, only a small fraction had been referred by acquaintances, and about 34% indicated they would refer others, reflecting low customer loyalty likely linked to the limited nature of services offered.

Additional data on preferred extra services revealed a significant interest in spa and massage services—14 respondents favored this—along with live entertainment and exercise facilities, which only a handful of customers expressed interest in. This underscores a noteworthy opportunity: blending dining with wellness and entertainment services aligns with current tourism trends and customer expectations, thus providing avenues for diversification.

The analysis underscores that Kakui Sushi's core issue is the narrow service package, which fails to meet evolving customer desires for multi-faceted leisure experiences. To rectify this, the paper recommends a phased approach to service diversification, beginning with the integration of spa and massage services, given their popularity among respondents. Such services should be developed without compromising the restaurant's core Japanese cuisine offerings, ensuring a harmonious blend that enhances overall customer satisfaction.

Implementing these strategies involves operational planning, market positioning, and effective marketing communications. Kakui Sushi can leverage its existing infrastructure and cultural ambiance to create a holistic guest experience encompassing relaxation, entertainment, and gastronomy. This approach is corroborated by industry cases that show multi-service establishments see increased traffic, higher customer retention, and improved financial performance (He et al., 2014; Mok, Sparks & Kadampully, 2013). Moreover, targeted marketing campaigns emphasizing these new services can stimulate curiosity among prospective customers and encourage repeat visits.

In addition to service diversification, Kakui Sushi should enhance staff training to deliver superior customer service and tailor offerings based on ongoing feedback. Monitoring customer responses over time can help optimize the service mix and ensure alignment with tourist preferences. Establishing exclusive packages, seasonal promotions, and loyalty programs tied to the extended services will further solidify customer relationships and foster positive referrals.

The implementation of multi-service offerings must be accompanied by strategic marketing and branding efforts that highlight the restaurant’s commitment to providing a comprehensive Japanese cultural experience. Such positioning can differentiate Kakui Sushi in a crowded market, attract tourists seeking value-added experiences, and ultimately lead to increased profitability. The restaurant's capacity to adapt to trends and customer demands will determine its long-term sustainability amid fierce competition.

References

• He, L., Li, X., Harrill, R., & Cardon, P. W. (2014). Examining Japanese tourists' US-bound travel constraints. Current Issues in Tourism, 17(8), 641-658.
• Mok, C., Sparks, B., & Kadampully, J. (2013). Service quality management in hospitality, tourism, and leisure. Routledge.
• Nieves, J., & Segarra-Ciprés, M. (2015). Management innovation in the hotel industry. Tourism Management, 46, 51-58.
• Pascual-Fernández, P., López-Sánchez, J., Reynoso, J., & Santos-Vijande, M. L. (2016). Innovativeness and market orientation as forerunners of the new service added value and performance in the hotel industry. In Rediscovering the Essentiality of Marketing (pp. 87-105). Springer International Publishing.
• Seaton, P., & Yamamura, T. (2015). Japanese popular culture and contents tourism – introduction. In Japan Forum, 27(1), 1-11.
• He, L., Li, X., Harrill, R., & Cardon, P. W. (2014). Examining Japanese tourists' US-bound travel constraints. Current Issues in Tourism, 17(8), 641-658.
• Mok, C., Sparks, B., & Kadampully, J. (2013). Service quality management in hospitality, tourism, and leisure. Routledge.
• Nieves, J., & Segarra-Ciprés, M. (2015). Management innovation in the hotel industry. Tourism Management, 46, 51-58.
• Pascual-Fernández, P., López-Sánchez, J., Reynoso, J., & Santos-Vijande, M. L. (2016). Innovativeness and market orientation as forerunners of the new service added value and performance in the hotel industry. In Rediscovering the Essentiality of Marketing (pp. 87-105). Springer International Publishing.
• Seaton, P., & Yamamura, T. (2015, January). Japanese popular culture and contents tourism– introduction. In Japan forum (Vol. 27, No. 1, pp. 1-11). Routledge.