DM Final Project Final Group
DM Final Project Final Group
“Digital Marketing”
Balkumari, Lalitpur
Submission Date:
Digital Marketing
Submitted By:
ACKNOWLEDGEMENT
This report entitled “Project Report on Himalayan Java” has been prepared in partial
fulfillment for the degree of Master of Business Administration (MBA). This report is not a
work of an individual but an outcome of contributions made by many. We extend our sincerest
thanks to all the people whose contributions, generosity, and efforts have made this report
possible.
First of all, we would like to thank our course facilitator Mr. Binod K. Shrestha and Ms. Unita
Shrestha for designing the project work for us, and for striving to push us further in our efforts
with his guidance, support, and occasional pressures. This study would not have been
Finally, we would like to thank Kathmandu University School of Management (KUSOM) for
providing us with the platform, which has made it possible for us to get involved in such
worthwhile endeavors.
Sincerely,
RUSS Craftshala
Table of Contents
Acknowledgement ........................................................................................................................... I
6.2.1 Expansion..................................................................................................................... 15
References ..................................................................................................................................... 20
ANNEX I ...................................................................................................................................... 21
ANNEX II ..................................................................................................................................... 22
Himalayan Java | Digital Marketing IV
LIST OF TABLES
LIST OF FIGURES
CHAPTER 1
INTRODUCTION
Himalayan Java, founded by are Gagan Pradhan and Anand Gurung, in 1999 is the first
Specialty Coffee house in Nepal which excels in quality and customer service The started with
the first outlet opened in Heritage Plaza in Kamaladi, Kathmandu to attract the office goers but
was later shifted to current outlet in Thamel. Himalayan Java has now been doing business for
over the fifteen years when the company has grown and progressed in many areas. (Himalayan
Java, 2014).
Mission Statement: Himalayan Java is the first specialty coffee house in Nepal. With a strong
core belief of socially responsible entrepreneurship. Our mission is to promote the fledgling
Nepalese coffee industry by investing in the people from grower to consumer and to create an
awareness by promoting Nepalese coffee domestically and in the international niche market.
Himalayan java coffee: Major product that Himalayan java sells is specially brewed organic
Nepali coffee. Himalayan java sells Nepal grown specialty coffee which comes in different
variations. Along with that they also sell food and other drinks but coffee is its major product. It
Coffee Equipment: Himalayan Java is the sole distributors in Nepal for the various coffee
equipment and products. List of the coffee equipment that they sells are: 1000 Espresso Machine,
Coffee Brewer, Barista Tools, Bodum Mug and Coffee maker, La Marzocco Linea, Oscar single,
Appia (Single and Double), Mazzer : Super jolly grinder, Blendtec blender.
Himalayan Java | Digital Marketing 2
Barista Training: Himalayan Java Barista workshops are designed to give the information and
training needed to succeed in today’s highly competitive retail specialty coffee market.
CHAPTER 2
ENVRIONMENTAL ANALYSIS
Macro environment are the factors that are outside of direct control of the business. The
government policy and the political situation influence the activities of any company. Society
factor impacts on the consumers’ habit as it influence customer’s belief and psychology that lead
to the decision of buying online or not. The speed of developing internet and technology in each
country will decide the method of doing business at the modern digital era. The micro
Political
• Lack of Proper Internet Governance
• No extra tax on business for use of internet
Economic
• Affordability of Internet and digital technologies
• Globalisation of digital power allowing for increased use with same limited resources
Social
• Wide acceptance of internal and digital media for advertising
• Decrease in social exclusion in use of internet
Technological
• New generation already in early majority of diffusion model
• Peak of inflated expectation for every business
• Availability of many digital alternatives in mobiles, SMS and fast developing trends in e
and mobile commerce
Legal and Ethical
• Privacy issues on the rise
• No proper Legislation for the use of internet yet (cyber law)
• Lack of proper developed mechanism for creation of legal digital based entity
Micro environment Involves forces or organizations that a firm deals with on an everyday
basis as suppliers, competitors, customers, intermediaries and staff. All of them have direct
interest within the activities of the firm and are clearly accomplished by its actions. With the
micro environment, it's vital to notice that changes to the digital market happen internally to the
business. Macro environment factors are seen as uncontrollable whereas micro factors are seen
Marketplace
• High Competition between coffee house
• Use of Digital Marketing as a channel for information and promotion.
• Easy digital marketing tools in disposal used to create additional values such as online
order and booking
Customers
• Increase in usage of internet due to decreasing cost and easy availabillity in urban areas
• Consumers are open to being influenced from online channel
• Confident shoppers and Bargain hunters dominating the urban areas in terms of e-
commerce transactions
• easier to create customer personas by more accurate targeting within social media.
Competitors
• Many coffee houses already using Internet especially Social Media for Marketing
• Competitors taking up deals with various online dicount schemes.
• Easy to keep a close eye on its competitor using internet.
Suppliers
• Poor Internet Service Providers with flutuating service
Himalayan Java | Digital Marketing 5
Intermediaries
• Massive use of Social Media for everything from ordering till information on
delivery
• Development of new channels for service delivery with the advent of online order.
• Local Search Engine Optimization on the rise
• Paid Advertisement provided by many online intermediaries with direct link to the
consumers
• Emergence of rating sites providing clues for consumers on service before they
visit or order online
Coffee houses
• Easy model of Marketing especially through Social Media already established
• Current Trend of hiring photographers for content
• Everyone (employees) are mostly aware of how to use social media
• Trend of Check-in already on the rise
• Availablity of Internet Services in coffee houses.
CHAPTER 3
MARKETING STRATEGIES
The following is the segment that Himalayan Java has targeted in Nepal through its
marketing strategies.
McKinseys’ 7S is good model to analysis the wellbeing of the company’s marketing, its
capabilities, and gaps (Waterman Jr. & Peters, 1982). Here are the 7S to support digital
3.3.1 Strategy
They have a niche market strategy for major outlets with newer segmented approach
coming in as they move ahead into different target segments at once. Himalayan Java’s strategy
is driven towards sustainable business eco system by supporting local farmers and Nepali
They use digital platform to showcase and educate the customer about the coffee creating
awareness about the product. Creating liking and preference and ultimately consumption, of the
customer. Certain budget is allocated to required maintenance of the digital media decided by the
3.3.2 Structure
Himalayan Java has a matrix structure. (Annex) Developing the website was given to
freelancer webpage developer. Social media is handled in-house buy a designated marketing
employee, along with access to the managerial level employees. The structure well equipped to
3.3.3 System
The entire digital aspect is taken care buy the marketing person mentioned above. So
effectiveness, it is done by this particular person. However, when it comes to campaign planning
Himalayan Java | Digital Marketing 9
approach it is integrated with other levels in the organization, so, area managers are involved.
3.3.4 Staff
The staffs in Himalayan Java are required to have certain qualifications. A Barista needs
+2 pass certification for getting hired. This is taken care by AVID Consultant Group who have
frequent in Himalayan Java, the required skills are enriched and build. So, going digital is not as
farfetched.
3.3.5 Style
The vision provided by the mangers here is “Prioritize learning more than earning” so an
environment of self-development is always there. But aligned with the companies vision of
providing best quality coffee experience to the customers. This goes to the digital platform too.
Nepal is still young when it comes to true coffee drinking culture and developing it through brick
3.3.6 Skills
Employees in Himalayan Java are carefully hired. There are certain skills they should
possess along with high commitment toward work, coffee knowledge, good handling of pressure
and most importantly communication skills and hospitality. In addition to this, the person
delegated for the digital marketing needs to be well equipped with the required skills for running
the digital aspect of entire Himalayan Java, in collaboration with many intermediaries.
They have the shared value of growing together with opportunities for growth provided
for both up and down the chain line. The rise in digital platform significance is being felt by the
Himalayan Java | Digital Marketing 10
upper management. This is why the digital presence (one of the best & subtle website) is there.
The only problem is that the shared value is more leaned towards the tangibility of the product
rather than its digital presence. The webpage beautifully reflects the Himalayan Java values of
heritage, simplicity and passion for coffee. Now, it’s time to be serious in digital platforms and
CHAPTER 4
DIGITAL PLATFORM
Himalayan Java is using Facebook and their website as a digital platforms to inform
and stay in touch with existing and potential customers. The main reasons for using digital
4.1 Facebook
URL: https://www.facebook.com/himalayanjava/
Himalayan java has been using Facebook to promote their products, providing
information about the products, location etc. By conducting different contest, guessing games it
has been success to create awareness and stimulate the demand. Through various schemes and
offers the success rate of retention of its customer and attraction rate of new customer is high.
4.2 Website
URL: https://himalayanjava.com/
Customer can get information and detailed about the company through its own website.
The website of Himalayan java has got neat and artistic touch. It provide various information
about the company, the product its offering, services and location. It help the company to
CHAPTER 5
Himalayan Java has a very small yet noticeable digital footprint. Their platform of digital
presence include Facebook and their website. Given their strategy to incorporate all the
demographics through introduction of newer product lines, this seems to be a bit lacking. Their
primary target consumer in age of 18-34 with middle or high income, generally employed seems
to be catered to by the platforms they are part of. But, newer target markets in lower income
people, students and even adults who prefer a sip of good yet affordable coffee is not being dealt
with properly by these platforms. Even their current target market could be reached better
5.1 Facebook
Himalayan Java due to its franchise structure has many Facebook pages for each of its
separately owned outlets. This seems to have divided the likes and follow to their page. So, their
main page (Himalayan JAVA) has 18838 likes and 18792 follows (Himalayan JAVA, 2018), as
compared to their Himalayan Java Pokhara page which has 37638 likes and 37615 follows
(Himalayan Java Pokhara, 2018). Their page seems to have a very low engagement for such a
big brand at an average of 30-35 likes and reactions per post. They seem to bit inactive because
new posts are updated at an interval of 2-3 days in average. There does not seem to be any plan
regarding what to post and building up coordinated campaign. In their wall, the posts relating to
opening of outlets, some offers, some updates and even a vacancy was seems in just a single
page. There does not seem to be a proper plan in place which is obvious considering they have
5.2 Website
The aesthetics of the website is immaculate and provides a feel of the Nepalese culture
along with Coffee being the core of their entire message plan. In terms of Search Engine
Optimization, their website due to lack of their focus on digital marketing is not well optimized.
Here, is the list of actual keywords that are used to go to this website:
Further analysis through Alexa.com, we can see that the website is 18.953th in terms of
popularity. They have a 40.60% bounce rate which is high for such company based websites.
The daily page view per visitor is 2.00 and daily time on site is 2:21. There is much more to be
desired. The lack of popularity from its competitors such as Redmudcoffee.com and
Himalayanexpresso.com has made Himalayan Java still a formidable digital presence. (Alexa,
2018)
Their contents are crisp and provide the right information needed about their business,
outlets, products and services, coffee, coffee cultivation in Nepal and their efforts in bringing
Nepalese coffee to the world. The charm of this dynamic website brings back visitors. They also
In our interview with one of the managers of Himalayan java, we asked about the
availability of resources to go fully digital. The owner replied by saying even if they could they
wouldn’t in terms of product and place complementing system. He reasoned that to have the best
flavor from the coffee, it has to be consumed within certain period or it will go bad. So, thinking
of something like a digital order and delivery is wrong for their specialty coffee image. He also
pointed out that the outlet are out for promotion itself, and they are in such a level that the use of
digital marketing is to just aware and keep the people in touch. But, he believes that there is
chance that Himalayan Java can go towards a promotional aspect when it comes to going digital.
He wanted to learn more about how they can create a digital presence matching their image in
physical world and this report will provide some suggestion on how that can be achieved.
Himalayan Java | Digital Marketing 15
CHAPTER 6
6.1 Conclusion
Himalayan Java does not do huge promotion and this can be seen in their digital
marketing platforms too. They claim to be the best specialty coffee outlet in Nepal but their
claims are not matched by their digital profile. They are missing a large chunk of their target
customers by just focusing on Facebook and Website, which also they have neglected in use. The
newer and more engaging options in Instagram, Snapchat, Pinterest, YouTube, Twitter and even
LinkedIn are not even thought of. There seems to be a huge gap. Given, they do not use much
budget for promotion, this digital platform seems to be the cheapest and the most effective
They do have the right organizational support processes and systems in place for a great
digital marketing front but their ignorance of these media is surely baffling and needs to be
addressed right away. Their competitors are also lagging and this surely provides an opportunity
6.2 Suggestions
There is a lot to be done for projecting the image of Himalayan Java properly in the
digital landscape. The entire suggestion has been categorized into expansion, refinement and
initiation.
6.2.1 Expansion
Himalayan Java is suggested to create their Instagram profile, Twitter profile and Pinterest
profile.
Himalayan Java | Digital Marketing 16
1. Instagram is the most used social networking application by their target group of 18-34 and is
2. Sharing pictures by their target customers is a key social trend of these days and place to tag
is necessary for all those who visit their outlet. Majority clicks a picture of their gourmet and
share it. So, having their presence in this platform is very necessary.
3. Coffee is associated to quick fix and Twitter is the best example of quick fix and quips.
Twitter shout out of a celebrity with their twitter handle can provide a huge real-time traction
than their Facebook page or website can ever garner. The only backside is the lack of use of
Twitter in Nepal but as they have already expanded abroad, this is a must for the micro-
4. Himalayan Java believes Coffee is an art. The best place to showcase art and creativity is
Pinterest. Their creative target segment along with many students and even some
professional are users of this platform. A venture into this platform is needed for aligning the
interest of their target market with them through their pins. The close connection made in this
6.2.2 Refinement
1. Their website needs to have a Search Engine Optimization makeover. The website is very
aesthetically pleasing and sure to garner lower bounce rate as people will surf through it
because of the slick animation and crisp content with visually appealing theme. So, leading
a. They need to increase their link backs which is just 38 at the present. This can be
done by allowing many smaller news portals, variety websites, blogs and other
Himalayan Java | Digital Marketing 17
websites to use Himalayan Java’s link in their page. Partnering initiative in various
b. They need to increase the use of keywords in their website. They seems to be lacking
the basics of SEO. (The recent development of new algorithm by Google does
provide a better chance for this website because of its verified status and a genuine
business image.)
c. They already have digital marketer, so the workload, as well as, resource provided to
this person should increase for better optimization. They need to be on respectable
positions when searching for the keywords mentioned above because they claim to be
the best and they need to show they are the best.
a. Post daily about various topics related to Coffee, their outlets, products and service
b. Create a campaign in bi-monthly basis which will use key features of Facebook such
d. All the outlets must post same post at least once in 2-3 days and must share the same
campaign plan
6.2.3 Initiation
The following initiation are suggested for Himalayan Java in terms of their digital presence:
1. Screenshot and share in Instagram: They need to share a story in Instagram regarding their
offers or products or service which if someone screenshots and shares will be eligible for a
a. Share the page and post for offers : To increase the likes and follow
b. All Facebook pages to share each other’s page: To transfer valid likes and follow for
c. Weekly Quiz: Increase the engagement through comments; also there is need for
d. Photoshoot and share: Encourage customers to click photos of their coffee with them
and share it in Facebook along with proper mention to page and tags; to increase
engagement
3. Sponsor YouTube channels, Bloggers and Articles by variety news portals. This will create
buzz in terms of YouTube. This will also directly target their potential customer base. The
bloggers and variety news portals will add credibility to the business and their website which
after the newest algorithm release of Google search seems to be more important than
CHAPTER 7
REFLECTION
seems to a sense that digital marketing is needed. Marketing Managers are feeling they need
to be everywhere but they are not providing the resources and support or structure to these
managers.
2. In terms of Coffee Outlets, much is to be desired where there could be possibilities to engage
more with their customers and create the much desired coffee culture.
3. There were many learning in the class but not all these are relevant or in use in the current
digital marketing context. SEO has not been taken seriously by majority of the companies the
4. Coffee outlets believe that Digital Marketing is another hassle which they do not need to take
REFERENCES
Alexa. (2018, August 5). himalayanjava.com Traffic Statistics. Retrieved from Alexa:
https://www.alexa.com/siteinfo/himalayanjava.com
Himalayan Java. (2014). About Us: Himalayan Java. Retrieved from Himalayan Java:
http://himalayanjava.com/about/
Himalayan Java. (2014). Himalayan Java: Nepali Coffee Industry. Retrieved from Himalayan
Java: http://himalayanjava.com/nepali-coffee-industry/
Himalayan Java. (2014). Himalayan Java: Services. Retrieved from Himalayan Java:
http://himalayanjava.com/category/services/
Himalayan JAVA. (2018, August 5). Himalayan JAVA. Retrieved from Facebook:
https://www.facebook.com/himalayanjava/
Himalayan Java Pokhara. (2018, August 5). Himalayan Java Pokhara. Retrieved from
Facebook: https://www.facebook.com/himalayanjavapokhara/?ref=br_rs
Waterman Jr., R. H., & Peters, T. (1982). In Search of Excellence. HarperBusiness Essential.
Himalayan Java | Digital Marketing 21
ANNEX I
MD
Finance Operations
Area
Outlet Accountants Area Manager/Training
Manager/Marketing
ANNEX II
Mix, People at work, Process in place and the Physical evidence of every service outlet.
If yes, could you elaborate on how you are using the platforms?
Do you believe your company has the resources to go fully digital both in operations and
marketing?
In your opinion, what would be the best digital strategy when it comes to Himalayan
Java?
Could you please provide information regarding your Strategy, Staff, Structure, System,
Skills, Style and Shared values? (this question have many parts for ease of viewing the
What would you want to know more about Digital Marketing and what would you want