Firm: Hong Kong Cafe
Description: Dine-in/Take-out/Delivery Asian restaurant (lunch/dinner)
Location: Corner of Mills & Regent
Address: 2 S. Mills St., Madison, WI 53715
Telephone: 608-259-1668, Fax: 608-259-0368
URL: http://www.foodspot.com/hongkongcafe
The Hong Kong Cafe's exterior is a brick structure with large windows, above which green and white striped awnings display the name and logo for the restaurant.
The restaurant's interior had a modern design, created by partitions and overhanging wooden structures that conceal the bare walls and corners of the original structure. There were several well cared-for plants throughout the restaurant, and a minimal amount of Asian decorations. Their well-stocked bar is visible upon entering the restaurant. Aside from the bar and stools, the only other furniture in the restaurant were the basic, functional 4 person tables.
The atmosphere was fairly casual. The subdued lighting helped to create a cozy atmosphere. Formal dress is not required. Silverware, rather than chopsticks, is brought to the table by the wait staff.
The restaurant's staff was friendly and busy, always moving. Service was fast; even during the dinner rush there was not a long wait for the food, and my water glass was never empty. When I arrived, all of the tables were filled, but the waiter suggested that we might want to sit and eat at the bar rather than wait for a table. It definitely showed that the staff took pride in their work.
I believe that the Hong Kong Cafe is a successful restaurant, based on the following considerations. The restaurant has a valuable location: it is very near to campus and downtown, and is therefore accessible to students and businesspeople for lunch and dinner, as well as having lower lunch delivery costs to downtown office locations. The 1999-2000 Isthmus Annual Manual lists the Hong Kong Cafe as the #2 Madison Favorite for Chinese Restaurants, and qualifies this with the statement: "This category remains unchanged for the third year in a row, with loyal partisans for the Hong Kong Cafe keeping it in second." This means that the Hong Kong Cafe has a good incidence of repeat/loyal customers. I see this restaurant's focus as good food and fast, friendly service. A Capital Times columnist, in a review on the restaurant's web site, agrees: "Restaurants don't need to wow customer with fancy furnishings or to attract them with flashing lights. Good food and reasonable prices are enough to lure."
The Hong Kong Cafe maintains its competitive edge amongst other restaurants in the area with its reasonable prices and friendly atmosphere. Specifically, they offer free delivery (orders greater than $10, limited area), and Lunch and Dinner Group and Family specials.
The restaurant competes with other area restaurants on two main fields: dine in and take-out/delivery. The Hong Kong Cafe fits into two different categories of dine in restaurants: campus/downtown area dine in restaurants in general, and campus/downtown area dine in Asian restaurants. Likewise, for delivery, the restaurant competes on both levels, against restaurants that deliver in general, and against other Asian restaurants that delivery. Competing in all of these categories helps to ensure good business for the restaurant: people who purchase from and are satisfied with the Hong Kong Cafe for their office lunch will be more likely to visit the restaurant rather than another area Asian restaurant.
I believe that a series of radio ads promoting their lunchtime delivery service would be most beneficial. Given the limited seating and limited availability of parking for the restaurant, emphasizing the delivery service makes the most sense. Radio ads would reach the target customers, the office workers, better than, for example, television ads, because more offices allow radios than televisions, and many office workers listen to the radio on the drive to and from work. These radio ads can emphasize the delivery services and the deals offered on deliveries. Then, as with all their deliveries, the Hong Kong Cafe can attach their lunch/dinner menu sheet, as an encouragement to get the office workers to consider dinner at the restaurant.
The restaurant should continue its print ads in the Madison area restaurant guides, and word of mouth will continue to be a valuable means of building market awareness. The restaurant could also increase its marketing efforts toward the more techno-savvy college students by building up its Internet presence. For only a few hundred dollars a year, the restaurant can register its own Internet name, as well as find an ISP to host their site, perhaps with pictures of the meals, nutritional information, and other useful information. An online delivery order form may be key to keep the firm competitive in the coming months and years.