Starbucks And Its Marketing Decisions

As the world’s number one specialty coffee retailer, Starbucks sells coffee drinks, food items, coffee beans, and coffee-related accessories and equipment. In addition, Starbucks sells whole-bean coffees through a specialty sales group and grocery stores. Starbucks has grown beyond coffee into related businesses such as coffee-flavoured ice cream and ready-to-drink coffee beverages. The purpose of this paper is to analyze Starbucks business strategy, customer value proposition, company’s operations and the risks to financial results and reporting in the short term.

Howard Schultz had the perfect plan to create a successful coffee company. He got people to pay more for a premium coffee then to just go to a local coffee shop and pay a lot less for a cheaper coffee. He did this by creating an experience around purchasing your coffee. Starbucks focused on creating relationships with its customers while providing one of the best premium coffees out there. Also being able to customize your own drink was a big success in getting people to purchase the product. A high quality coffee was one key component to Starbucks value proposition. Another was service and

The main aim of the corporation remained the same: to be the leading company at selling exclusive coffee and increase market share in the North America, which was prosperously achieved. As a customer-oriented entity Starbucks place their clients in the centre of the business activity, having satisfaction of customers’ needs as a priority (Boşcor & Tălpău, 2011). Howard Schultz explains, “We are not in the coffee business serving people, we are in the people’s business serving coffee” (Schultz & Yang, 1999). Starbucks does not just sell coffee; it sells the “Starbucks experience”. The store designers with the HR and Operations departments have created a place where people would come back again and again. As of November 4, 2015 there are 23,132 Starbucks stores operating all over the world (Loxcel Geomatics, 2015) and they are not planning on stopping the rapid expansion. However, due to the cultural differences people have diverse needs, which cannot be met by using one universal international standard for every store in every country. Therefore, in order to gain necessary competitiveness in local markets Starbucks Corporation has to adapt its marketing mix so it could correspond to the existent demand. What strategies Starbucks Corporation applies entering new markets (like in Japan and Australia instances) will be discussed in the following

Starbucks also constantly introduce new and promising supply strategic strategy along with ethical environmental goals such as C.A.F.E. Practices. Those strategic moves allow them to gain control of their own coffee suppliers which will drives its business to grow tremendously in the international market for the next few years to come. Strong business model is also a key factor which allows Starbucks to take the right steps to ensure their long term goals are successful, as they own a multinational business model which allows them to have a widespread of products that can be customized to suit national requirements. Nevertheless, having such robust business model, Starbucks ought to have continuous improvements and continue building its goals and expectations else their business will be in a downfall situation; therefore, it is important for them to set their objective and strategies clearly and react decisively for any challengers they may face in the dynamic

At present, the coffee house market in India is estimated to be over INR 10 billion with an annual growth rate of almost 30%. This market space is characterized by a few known competitors like Barista and Costa Coffee in the competitive landscape for CCD. CCD is the market leader based on the annual turnover. It also has the largest number of outlets in India leaving Barista as the distant second in the Indian market.

After considering several factors, I have decided to choose topic 18: review of the marketing strategy of an organisation and its effectiveness for this research and analysis project (RAP). The organisation that I have chosen for this RAP is Starbucks Corporation (Starbucks).

The company competes with other sellers, like Dunkin Donuts and McDonalds, in the coffee market, but ultimately is overwhelmingly dominant. In the monopoly, Starbucks has had to create a unique identity and brand image for itself in order to succeed amongst competitors. Starbucks has been able to successfully differentiate itself from its competition by priding itself in quality assurance to its customers as well as its distinctive brand marketing strategy, which includes a large number of stores and little to no paid advertising; the company feels their high quality products speak for themselves and a high presence of storefronts allows customers to purchase their products at their own

In this Assignment it is going to be analyzed the marketing strategies adopted by Starbuck Coffee and Virgin Group of companies. They have used, different strategies to expand the business activities. In terms of Starbucks they have used market penetration strategy to grab the market and when increasing sales revenue. With reference to Virgin Group of companies, they follow differentiation strategy and therefore, they have entered in to variety of markets. Due to these differences they have adopted variety of pricing strategies to reach the customers.

Has Starbucks has done well in Turkey? What are some of the common growth drivers in terms of consumer characteristics, market characteristics, and entry strategies across USA and Turkey that might account for Starbucks’ success?

Proper implementation and execution of a strategic marketing plan is essential to the success of any company.

This particular case starts off by telling the background of Starbucks as it is today. 30 years ago, Starbucks was a single store in Seattle 's Pike Place Market selling premium roasted coffee. They decided to change their traditional customer experience in the 1980s. When the company 's director of marketing, Howard Schultz, came back from Italy, he felt enchanted with the coffee house experience of Italy. Mr. Schultz wanted to duplicate this experience in his own coffee stores.  The new strategy consisted of selling their already proven products in a tastefully designed coffee house setting. With this strategy, Starbucks became one of the best-known brands in the country in a decade. There stores became places for relaxation, reading the newspaper, holding business meetings, or even browsing the web.

Starbucks is ensuring that its marketing strategy never goes too far outside it 's culture. Composed of two key points. The first key point is Starbucks ' image. When an individual walks in to Starbucks, there is a friendly face to greet customers, color scheme is very cool and earthy, and same thing goes for smell too. Starbucks is ensuring that customers feel relaxed and comfortable in the coffee house. The second key point is the individual himeself/herself. According to Starbucks, individual is its culture. That is why Starbucks knows how to reach out to their customers. It may be through mobile phone application, website, or in-store.

can order and pay for their drinks in a flash while stacking up rewards for each purchase made. This Strategy has significantly drawn people to Starbucks due to its highly anticipated services, products, and marketing strategies that differ from most fast food restaurants. The next service is the Starbucks webpage where the customers can go onto the site and view product and also make purchases. This service is quite excellent for those that want to checkout items online through the site, because it incorporates a similar process as the application on your smartphone. Starbucks also incorporates equipment and drinkware to their massive line of products. First their Drinkware consists of cups and mugs that are affordable to the customers. These cups come in many colors and aesthetic values, which make people interested in purchasing. Starbucks had the right idea when they decided to manufacture these cups out to their customers because not only were they a huge success for the business, but it also made Starbucks distribute more merchandise. Cold cups, which were from stainless steel containers. These containers made a rise once the popularity rose for other merchandise. These containers were sold very often to customers and once again made a surprise since it was from the same line of cups and mugs category. As more popularity grew in their products so did the equipment used to make customers coffee. First Starbucks decided to manufacture coffee makers, presses, and expresso

Answer: The controllable factors that I believe Starbucks has encountered entering the global market are similar to the controllable factors they have encountered in their domestic market. The controllable factors are product, price, place, and promotion. Starbucks has millions of consumers around the globe and is able to adjust to fit the different tastes and expectations of different cultures based on their products, prices, places Starbucks is available and how Starbucks markets themselves. The marketing research group of Starbucks also can evaluate to make sure the products they

Today, Starbucks is a well-established and successful phenomenon every year that improves its performances without giving any sign of slowing down. It is important at this point to try to understand what are the "current" factors of its ongoing development, which we can summarize in some key