TM603- Strategic Management, ID: 21702912
The Taylors Sourcing Approach is a scheme that Taylors of Harrogate have devised to ensure sustainability within the supply chain by building strong relationships with the farmers (Taylors of Harrogate, 2022). Broken down, this scheme allows for contracts to be made with suppliers on a long term basis, whilst being paid fairly for their work (Taylors of Harrogate, 2022). Long term contracts (which Taylors say are rare to find in this industry) allow suppliers to feel that they have security financially therefore can plan their business into the future (Taylors of Harrogate, 2022). Secondly, fair pay should be a standard practice, however, often isn’t within this industry. Taylors of Harrogate have made a commitment to pay a sum which will offset production costs for the supplier so that they are able to remain supported even when “markets fall to unsustainable levels” (Taylors of Harrogate, 2022). This supports fairtrade, and increases GDP in areas that are less developed as well as contributing to local infrastructure.
This is the most recent advancement on their product and branding strategy that could be found publically. In 2017, Taylors of Harrogate found that there was a higher demand for a more premium product. They wanted to discover new ways to convey the company ethics and values so, they rebranded their products. They wanted to show that the company values "craftmanship" and creativity, so they enlisted local artists to help them accomplish this (Brazier, 2017). In the linked video, Dom Dwight who is the director for marketing for Taylors of Harrogate explains why this change is necessary and how it has been done.
There are a number of recommendations that could be suggested for this company. One is begin to sell their products to supermarkets, restaurants, cafes, and bars internationally. The only This would be done by using organic growth: the company could start with having an office in a European country such as France (which is in the top 5 coffee consumers according to World Population Review, 2022), then begin to spread further.
The main suggestion that could be made after reviewing the history of the organisation and the SWOT analysis is that the kiosks could be brought back into operation. As seen from the history, Taylors operated Kiosks to sell their teas and coffees from. Currently, Taylors of Harrogate have Bettys Tearooms to sell their fresh produce however, this isn’t convenient as it is exceedingly popular and busy.
Due to COVID there was a 175% rise in pub, restaurant and café closures in 2020 to 2021 in comparison to the 2019 figure (Sillars, 2021). The use of a kiosk would be sustainable and convenient as there is no indoor seating, there would only be a takeout option. A kiosk would also reduce building rent or leasing fees as it would be smaller than a cafe. To reduce this cost more, there could be an option for these kiosks to be pop-ups rather than a permanent fixture. With this comes the opportunity to make them seasonal, offering the best seasonal drinks Taylors of Harrogate has to offer.
As well as costs being cut on rent, as it is a small space, less staff would be needed therefore costs of employment would be lower. To link this to core values, a smaller space also means less heating and electricity would be used which firstly reduces energy bills and secondly is environmentally conscious. Although these attributes correspond to the core values, a small space could restrict operation.
To further support core values, they should not use single-use plastics but should use recycled cups (as well as incentives for bringing their own travel cups), and have plant-based milk alternatives from sustainable sources. For their community based values, communal seating areas could be used around the kiosk and another interesting concept would be to have a "pay forward" scheme, a concept used by the LGBTQ+ Center in London. This is where a customer will pay forward for a drink, then a customer who cannot afford a hot drink when they need it can use the (LGBTQ+ Centre, 2022), please see the photograph shown. This is a great community tool to help those in need, especially through cold seasons.