Mystic Monk Coffee
Has Father Daniel Mary established a future direction for the Carmelite Monks of Wyoming? What is his vision for the monastery? What is his vision for Mystic Monk Coffee? What is the mission of the Carmelite Monks of Wyoming?
The future direction of the Carmelite Monks of Wyoming as defined by Father Daniel Mary is to expand the number of monks from 13 to 30 while also purchasing a sizable parcel of real estate, the Irma Lake Ranch. As the ranch is priced at $8.9M, Father Mary will need to concentrate his efforts on selling Mystic Monk Coffee to fulfill his vision of "turning the coffee into the land." His goals include transforming the ranch into a retreat center, convent for the Carmelite nuns, creation of a Gothic church and a hermitage as well. The mission of the monks is to create a new sanctuary at the Irma Lake ranch and solidify their position in the local and religious communities.
Does it appear that Father Daniel Mary has set definite objectives and performance targets for achieving his vision?
Yes, he has and they need fine-tuning in order for the monks to earn enough to purchase the Irma Lake Ranch. Within the case it becomes clear that the production levels of coffee need to be increased, as does distribution, if the monks are to attain their objectives.
1 rst Objective: To significantly increase the overall production capacity of coffee including increasing the capacity of the roaster.
Target: The monks need to road at least 780 pounds per day (6 hours of work X 130 pounds per hour) to attain their goals. Right now they are able to produce only 540 pounds in the same time period.
2nd Objective: Get better distribution of their coffee beyond their online store. They need to get their coffee into distribution channels as well.
Target: Multichannel retailing including having it sold in supermarkets and high-end grocers in addition to Catholic churches.
3. What is Father Prior's strategy for achieving his vision? What competitive advantage might Mystic Monk Coffees' strategy produce?
Father Prior wants to appeal to the Catholic communities in the U.S. And throughout North America to support the monks by buying their coffee. He has seen significant growth in sales as a result of outreach strategies to the Catholic churches. The competitive advantage that Mystic Monk coffee has is this strong association with the Catholic Church.
4. Is Mystic Monk Coffee's strategy a money-maker? What is MMCs business model? What is your assessment of Mystic Monk Coffee's customer value proposition? its profit formula? its resources that enable it to create and deliver value to customers?
Yes, the strategy is a money-maker with an assured customer base that buys their coffee to support the church. It is a highly profitable product, generating a good gross margin (11%). The customer value proposition centers on the Arabica beans and high quality process of creating the coffee, in addition to the roasting process itself. The monks have experimented with varying levels of specials and other programs, including buy three and get free shipping off of their website. All of these programs have been successful. The most compelling aspect of their business however is the focus on their being Catholic, and reaching out to parishioners and churches to support them through purchases.
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