A Means-End Chain Study Why Consumers Buy Products From Café Chains

Abstract

This thesis is based on a cross-sectional case study, where the cases investigated are Joe & the Juice A/S, Baresso Coffee A/S and Starbucks Corporation. The thesis investigates these companies in orderto answer the problem statement: “Why do consumers choose to pay extra for coffee and juice at the café chains Joe & the Juice, Baresso and Starbucks?” This problem statement is based on a wonder as to why consumers choose to pay extra, when the production price at home is substantially lower. In order to answer this question, the thesis is investigating how the case companies are affecting the consumers through stimuli, branding and what terminal values underlies when the consumers chooses to buy products from one of the case companies. Based on this analysis the thesis discusses what the case companies communicate and what the consumers appreciate in the brand building. The thesis found that the case companies are affecting the consumers through stimuli based on sight, feelings, taste and hearing. The stimuli’s impact is determined by the level of attention the consumer turns towards the specific stimuli. The most central elements in the brand structure of the case companies are found to be visible locations on central places, the experience the consumers have in the cafes including the cozy atmosphere and the employees, their broad product assortment within their core product and the quality of their products. Additionally, the case companies have an ability to facilitate proximity, interaction and friendship between people and they have respect for people and the environment. The terminal values were found through a Means-end Chain analysis and laddering interview. It was found that self-esteem as well as joy and pleasure were the terminal values underlying a visit to the case companies. Based on these analyses the thesis discuspsed that there was a link between perceived service from the customers and intended service provided by the case companies. Because the customers are appreciating the delivered service from the case companies, a cognitive dissonance reduction occurs, which thereby gives the consumers the desire to pay extra for coffee and juice.