Marketing Mix Of Cheesecake Factory and 7Ps (Updated 2024)

The Marketing mix of Cheesecake Factory analyses the 7Ps of Cheesecake Factory which includes the Product, Price, Place, Promotion, people, physical evidence and process of Cheesecake Factory. Cheesecake Factory, Inc. is a public company in the food and beverage sector. The company was founded in 1978 by David M Overton and has its headquarters in California. The brand has targeted people from the upper and middle classes who are willing to have a delicious and hygienic meal at the price of a good restaurant. Fresh and qualitative ingredients and yummy taste served in a comfortable setting are the reason for the brand’s success. Some of its main competitors are as follows-

• McDonalds
• Big Boy
• KFC
• Subway
• TacoBell
• Domino’s Pizza

About Cheesecake Factory

• Type: Casual dining restaurant chain
• Industry: Food and beverage
• Founded: April 1978
• Founder: David Overton
• Headquarters: Calabasas, California, United States
• Area served: United States, United Arab Emirates, and Saudi Arabi
• Key people: David M. Overton (Chairman) and David Gordon (CEO)
• Number of employees: 46,250

Cheesecake Factory Product Strategy

The first Cheesecake Factory restaurant opened in Beverly Hills, and it laid down its future pattern of business, providing an eclectic menu, signature cheesecakes, beverages, and large portions.

The new Product Mix of Cheesecake Factory in 2024 is as follows (Source).

1. Starters and Appetizers: A variety of options, including salads, soups, and signature appetizers like Avocado Eggrolls, Buffalo Blasts, and Fried Macaroni and Cheese.
2. Main Courses: A vast selection of dishes across various cuisines, including American, Italian, Mexican, and Asian. This includes burgers, sandwiches, pasta dishes, seafood, steaks, and specialty dishes.
3. Salads: A range of salads, from Caesar and Cobb to more unique creations with chicken, seafood, or vegetarian options.
4. Pizzas: Hand-tossed pizzas with a variety of toppings and styles.
5. Sandwiches and Burgers: A wide selection of gourmet burgers and sandwiches, including vegetarian options.
6. Side Dishes: A variety of side options to complement main dishes, including vegetables, potatoes, and grains.
7. Desserts: The Cheesecake Factory is perhaps best known for its extensive selection of cheesecakes, including the Original Cheesecake, Oreo Dream Extreme Cheesecake, and Ultimate Red Velvet Cake Cheesecake. In addition to cheesecakes, they offer a variety of other desserts like cakes, ice cream delights, and specialty desserts.
8. Beverages: A complete beverage menu includes soft drinks, coffee, tea, milkshakes, smoothies, cocktails, wine, and beer.
9. Brunch: Available on certain days and times, offering unique brunch dishes alongside some regular menu items.
10. Kids Menu: A selection of kid-friendly dishes, including pasta, pizza, and chicken fingers.
11. Gluten-Free and Vegan Options: Special menus to accommodate dietary restrictions and preferences.

Cheesecake Factory Place Strategy

Cheesecake Factory is a restaurant company and a significant distributor of cheesecakes. It has a strong presence in the USA and has opened 185 dining restaurants and other shops; these are placed under three brand names. One hundred sixty-five are placed under Cheesecake Factory, eleven in Grand Lux Café, and one restaurant under RockSugar Pan Asian Kitchen.

It has twin facilities for bakery production in Rocky Mount and California. It also licenses menus for other food service operators. Some of its products, like baked goods and snacks, are available in the cafes and Barnes and Noble stores. In 2011, Cheesecake Factory expanded its operations to the Middle East and opened its first restaurant out of the USA at The Dubai Mall. In 2015, the company had eight restaurants in the Middle East.

Here’s the place strategy of Cheesecake Factory.

1. Strategic Location Selection: The Cheesecake Factory typically selects premium locations for its restaurants, often in high-traffic areas such as upscale shopping malls, vibrant city centers, and popular tourist destinations. This ensures visibility and accessibility to a wide demographic.
2. National and International Presence: With a strong footprint across the United States and a growing presence in international markets, The Cheesecake Factory aims to reach a global audience while adapting to local tastes and preferences where necessary.
3. Ambiance and Experience: Each restaurant is designed to offer a unique and upscale dining experience, featuring distinctive and elaborate decor. This creates an inviting atmosphere that enhances the brand’s value proposition and encourages dine-in traffic.
4. Online and Delivery Platforms: The Cheesecake Factory has partnered with various online ordering and delivery services, recognizing the shift towards digital ordering. This strategy ensures convenience for customers preferring to enjoy their meals at home.
5. Expansion and Adaptation: The Cheesecake Factory continues to explore new markets and adapt its place strategy to changing consumer behaviors and market conditions. This includes evaluating potential new locations based on demographic trends, consumer preferences, and economic factors.

Cheesecake Factory Pricing Strategy

Cheesecake Factory has successfully adopted the concept of providing complete customer service. Its restaurants generate high revenues because of the high-quality dining experience in comfortable settings and with varied food options. The company has kept a moderate pricing policy for its products, and hence are in great demand. Its items are reasonably priced, so an average person can easily afford them. The brand has adopted a penetration pricing policy to increase its customer base and kept its prices lower than its competitors.

The Cheesecake Factory employs a multifaceted pricing and marketing strategy that balances premium value perception with costs and market accessibility, ensuring competitiveness and customer satisfaction. Here’s an overview of their approach:

1. Premium Pricing: Reflecting its positioning as an upscale casual dining restaurant, The Cheesecake Factory sets prices higher than average quick-service restaurants but competitive within the casual dining sector. This pricing reflects the quality of ingredients, portion sizes, and the unique dining experience it offers.
2. Value Perception: Despite its premium pricing, The Cheesecake Factory emphasizes value through large portions, often making customers perceive they receive more value for their money. This strategy encourages repeat visits and sharing on social media, enhancing its value proposition.
3. Menu Diversification: The extensive menu caters to a wide range of budgets and dining preferences, including higher-priced items like specialty steaks and seafood and more affordable burgers and salads. This diversification allows The Cheesecake Factory to attract a broad customer base without diluting its premium branding.
4. Dynamic Pricing: The Cheesecake Factory may adjust prices based on location, reflecting the cost of living and real estate prices in different markets. This geographical pricing strategy ensures the brand remains competitive in diverse markets while optimizing profitability.
5. Promotional and Seasonal Offerings: The Cheesecake Factory occasionally introduces promotional items, limited-time offers, and seasonal menus, which allow it to attract price-sensitive customers and encourage trial of new menu items. These strategies help maintain customer interest and can lead to increased footfall during off-peak times.

Cheesecake Factory Promotion Strategy

Cheesecake Factory has focused on branding its store and marketing its products. Its secret formula of successful marketing lies in word-of-mouth publicity. During the inauguration of its 120th store, the company offered free dinner to all its invitees. The brand relies on its guests to create awareness about its restaurant and its products. At its opening, free cheesecakes were also provided to staff members and media persons. Customers are also allowed to leave with their leftovers, which has dramatically impacted its customer base, as 80% of people prefer to take them home to eat later.

The company has set up a training and performance program for their employees so that better services can be provided. Incentives, promotions, and other perks are given to staff members with high-score cards. This motivates them to perform better. Restaurants are spacious and decorative, customer service is top-grade, and the menu offers many options. One of the unique features of the Cheesecake Factory is that it provides catering services. These takeout platters serve at least eight people and are launched in a boxed package.

Some Recent Video ads and Print ads for Cheesecake Factory are:

Cheesecake Factory People Strategy

The “People” element of the Service Marketing Mix for brands at The Cheesecake Factory is a critical component that significantly influences customer satisfaction and brand loyalty. Here’s an in-depth look at how “People” play a crucial role in The Cheesecake Factory’s service marketing mix strategy.

1. Staff Training and Development: The Cheesecake Factory invests heavily in the training and development of its staff, ensuring that employees are well-equipped to provide exceptional service. This training covers the technical aspects of their roles, such as cooking and service protocols, and soft skills like communication, problem-solving, and customer service excellence. The aim is to create a team that delivers a consistently high level of service, enhancing the overall dining experience.
2. Employee Satisfaction and Retention: Recognizing that happy employees lead to happy customers, The Cheesecake Factory strongly emphasizes employee satisfaction and retention strategies. This includes competitive compensation, benefits, and a positive work environment. High employee morale contributes to lower turnover rates and more experienced, knowledgeable staff who can better serve customers.
3. Customer-Centric Culture: The Cheesecake Factory cultivates a customer-centric culture throughout its organization. Employees at all levels are encouraged to prioritize customer satisfaction, going above and beyond to meet diners’ needs and exceed their expectations. This culture is ingrained in the company’s ethos, ensuring customer satisfaction is at the forefront of every interaction.
4. Diverse and Inclusive Workforce: The brand prides itself on employing a diverse workforce, reflecting its wide range of customers. This diversity is not just in terms of ethnicity and culture but also includes a range of ages and backgrounds. Having a diverse team allows The Cheesecake Factory to understand better and cater to its clientele’s varied preferences and expectations, fostering a more inclusive and welcoming dining environment.
5. Empowerment and Accountability: The Cheesecake Factory empowers its staff to make decisions that enhance the customer experience. This empowerment allows employees to resolve issues swiftly and efficiently, increasing customer satisfaction. Accountability is also emphasized, with staff taking ownership of their roles and impacting the customer experience. This approach encourages a proactive attitude towards service quality and continuous improvement.

Cheesecake Factory Process Strategy

The “Process” element within the Service Marketing Mix of The Cheesecake Factory encompasses the operational and service delivery methods that define the customer’s dining experience. This aspect ensures efficiency, performance, customer satisfaction, and consistency across all locations. Here’s how the “Process” facet plays a significant role in The Cheesecake Factory’s service marketing strategy.

1. Streamlined Ordering System: The Cheesecake Factory implements a simplified ordering system that allows for easy ordering, whether customers are dining in, ordering takeout, or requesting delivery. This system minimizes wait times and errors, ensuring that orders are processed efficiently and accurately. Integrating digital platforms and mobile apps for reservations and orders further enhances customer convenience and operational efficiency.
2. Table Management and Seating Protocols: Efficient table management and seating protocols are in place to manage the flow of customers, especially during peak dining hours. This includes waitlist management and the option for guests to check wait times and add their names to the waitlist remotely. Such processes aim to reduce wait times, improve table turnover rates, and enhance customer experience.
3. Quality Control in Kitchen Operations: The Cheesecake Factory has rigorous quality control processes for its kitchen operations, from sourcing ingredients to food preparation and presentation. These processes ensure that each dish meets the brand’s high taste, quality, and presentation standards, contributing to a consistent dining experience across all locations.
4. Feedback and Continuous Improvement: Customer feedback is integral to The Cheesecake Factory’s process. The company actively seeks out and analyzes customer feedback through various channels, including in-person, online reviews, and social media. This feedback informs continuous improvement efforts, helping the brand to refine its service processes, menu offerings, and customer service practices.
5. Employee Roles and Responsibilities: Clear definitions of employee roles and responsibilities ensure that each staff member understands their part in the service delivery process. From front-of-house staff like hosts and servers to back-of-house roles such as chefs and kitchen staff, everyone is trained to perform their duties efficiently and contribute to the seamless operation of the restaurant.
6. Health and Safety Protocols: Given the importance of food safety and hygiene, The Cheesecake Factory implements strict health and safety protocols throughout its operations. This includes regular training for staff, adherence to food handling guidelines, and cleanliness standards in both kitchen and dining areas. Such measures are crucial for maintaining customer trust and ensuring a safe dining environment.

Cheesecake Factory Physical Evidence Strategy

The “Physical Evidence” component of the Service Marketing Mix for The Cheesecake Factory plays a crucial role in shaping customer perceptions and enhancing the overall dining experience. Physical marketing evidence refers to the tangible aspects of the service environment that customers interact with, which help to form impressions and judgments about the quality of the service provided. For The Cheesecake Factory, physical evidence includes.

1. Distinctive Architectural Design: The Cheesecake Factory’s restaurants are known for their distinctive and elaborate architectural designs, featuring exquisite exteriors and interiors with unique decorative elements. This architectural styling makes the restaurants visually appealing and memorable and sets the stage for a premium dining experience.
2. Interior Decor and Ambiance: Inside, the decor is opulent and eclectic, with attention to detail in every design aspect, from the lighting and furniture to the artwork and table settings. This creates a warm, inviting atmosphere that enhances customer comfort and improves the dining experience.
3. Menu Presentation: The extensive menu itself is a significant piece of physical evidence. Despite its length, it is presented in a way that is visually appealing and easy to navigate, with clear sections and high-quality images of some dishes. This helps to set expectations for the food quality and variety on offer.
4. Food Presentation and Quality: Food presentation is critical to physical evidence. The Cheesecake Factory pays close attention to the plating and presentation of its dishes, ensuring they are not only delicious but also visually appealing. This attention to detail reinforces the brand’s commitment to quality and excellence.
5. Cleanliness and Hygiene: The cleanliness of the restaurant, including the dining area, restrooms, and kitchen, is physical evidence of the brand’s standards for hygiene and safety. Maintaining a clean and well-maintained environment is essential for customer trust and satisfaction.
6. Branding Elements: The Cheesecake Factory’s branding elements, including its logo, signage, and promotional materials, are consistently displayed across all touchpoints. These elements reinforce brand identity and contribute to a cohesive customer experience.
7. Staff Uniforms and Appearance: The appearance of the staff, including their uniforms, name tags, and overall grooming, is another form of physical evidence. This contributes to a professional image and helps customers quickly identify staff members, enhancing service efficiency.
8. Takeaway Packaging: For customers ordering takeaway or delivery, the packaging of the food serves as physical evidence of the brand’s quality. The Cheesecake Factory uses high-quality, branded packaging that ensures food remains fresh and is presented consistently with the in-restaurant dining experience.

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