When people think of coffee, they think about Starbucks. The Starbucks Corporation has been around since 1971 when the first store opened in Seattle, and continues its phenomenon into the 2000’s with more than 15,000 locations world-wide. (Starbucks Corporation, 2009) In 2006, “Starbucks ranked fourth among the ‘World’s Most Influential Brands’ by Brandchannel.com” (Starbucks Coffee Company, 2008). The physical appearance of the Starbucks brand can be attributed to their siren logo which hangs outside their stores and is printed on all their carry-out cups, coffee mugs, bags of coffee beans, and other merchandise they sell. The siren logo has evolved over the years, and currently is depicted as a green circle with the words STARBUCKS COFFEE and a cropped image of the “more attractive stylized siren” (Deadprogrammer’s Café, 2005) than that depicted in the original Starbucks logo back in 1971. This logo is a major part of Starbuck’s advertising because they do not participate in conventional advertising techniques such as television and billboard ads. Starbucks Chairman Howard Schultz believes that experience actually beats advertising, and “the store experience has defined the brand” (Holmes, 2001). People go to Starbucks because they know they are going to get an exceptional cup of coffee or other beverage, high-quality customer service, and an inviting atmosphere. Meghan, I really enjoyed your write up on Starbuck. I was so surprised to learn that it has been around since the 1970’s. It is very clear that “brand awareness” (Kotler and Keller, 2009) has been a very effective marketing strategy for this company. Surprisingly, it has never been through massive TV commercials like Dunkin Donuts but via other forms advertisement (word or mouth, etc) that has really made this brand popular. Starbuck’s executive also understood the importance of social media to help keep the brand identity alive by noticing the link between “social engagement and financial performance” (Rubel, 2009). Starbuck’s have also marketed this brand very well, as everyone has heard of or seen a store in their neighborhood by now. I will admit I am not a die-hard loyalist who purchases a cup of coffee daily because that is way too expensive.
Advertisements stand as a method of persuasion in order to sell a product. Starbucks, a high-quality coffee café was originally founded in 1971 in Seattle, Washington as a coffee bean and ground retailer fine restaurants. The name, inspired by a character in the book Moby Dick, captures the romance of the high seas and the seafaring tradition and history of early coffee traders. By 1986, Starbucks had become a popular coffeehouse chain inspired by the romance of espresso bars in Milan, Italy. Starbucks claims their goal is to create a connection with the consumer. Starbuck’s advertisements engage and spark your emotions visually which in-turn evokes desires. In this advertisement from Starbucks, we see the coffee chain is promoting their seasonal Pumpkin Spice Latte.
The firm has the 35.6 million Facebook likes, 8.4 million Twitter followers, 4.8 million Instagram fans, 3.78 million Google+ followers, 188K Pinterest followers, and 77K YouTube subscribers. Consumers who participate in the company owned social media platforms receive specials and discounts posted on Twitter, Facebook, and Instagram. The posts on the social sites create an environment where coffee lovers can be social about their Starbuck’s experience. Every social media website provides the same tone, look and feel that a consumer receives in store. Starbucks utilizes its social media for market research, to increase brand awareness and recognition, to enhance customer service, to decrease marketing costs, and for easy disbursement of content.
In 2002, unexpected findings of a market research showed problems regarding customer satisfaction and brand meaning for Starbucks customers. The situation was unacceptable for a company whose overall objective is to build the most recognized and respected brand in the world. Starbucks was supposed to represent a new and different place where any man would relax and enjoy quality time, alone or with others. But the market research showed that in the mind of the consumers, Starbucks brand is viewed as corporative, trying to expand endlessly and looking to make lots of money. This huge gap between customers' perception and Starbucks' values and goals called for immediate action.
The structure of Starbucks business communication is exceptional. Rather you are in their store buying a Caramel Frappuccino®, visiting their website or watching one of their advertisements on television; as the consumer, the message is loud and clear. Pick up any newspaper and you are likely to find an article about the coffee giant. Starbucks pledges a commitment to their over 172,000 partners (employees) and the community. “We realize our people are the cornerstone of our success, and we know that their ideas, commitment and connection to our customers are truly the essential elements in the Starbucks Experience” (Starbucks, 2008).
With many other players in the ready to drink coffee arena, Starbucks is able to utilize the strength of their strong brand recognition which allows the customers' to recognize their beverage options instantly by their logo alone. While other companies that offer on-the-go coffee options have logos Starbucks is probably the most recognizable. Starbucks is seen as being a step above other coffee retailers and this is part of their selling point. Many repeat customers will grab for the Starbucks branded logo that they know over another brand which displays the strength their brand has over the competition. An asset Starbucks possess is a large network of partnerships with other companies such as grocery stores, universities, hotels,
Starbucks is currently the industry leader in specialty coffee. They purchased more high quality coffee beans than anyone else in the world and keep in good standings with the producers to ensure they get the best beans. Getting the best beans is only the first part, Starbucks also has a “closed loop system” that protects the beans from oxygen immediately after roasting to the time of packaging. They did this through their invention of a one-way valve which let the natural gasses escape but keeping oxygen out. This gave them the unique ability to ensure freshness and extended the shelf life to 26 weeks. Starbucks isn’t only about the coffee, it’s also about a place where people can escape to enjoy music, reflect, read, or just chat. It is a total coffee experience. The retail outlet has been responsible for much of Starbucks growth and has contributed substantially to their brand equity.
Overall, how satisfied are you , with [PRODUCT/SERVICE]? Please answer using the rating scale where (5) means "extremely satisfied" and (1) means "very unsatisfied."
Did you know that Starbucks was started by three former students at the University of San Francisco? For my paper, I decided to choose Starbucks. There are many reasons why I chose it, some of the reasons I chose it is because it is tangible- meaning that you can go out and get it. Also, it has a simplified, condensed Marketing Mix which I will partly talk about in my paper. Throughout this paper, it will cover the Marketing Mix, how Starbucks markets for its customers, the environmental issues, its position in the marketplace, how they implement different marketing techniques, and if their marketing works or does not work.
Starbucks traces its origins to a single store opened in 1971 in Pike Place Market, Seattle, WA. In 1982, Howard Shultz joined the Starbucks team. He traveled to Italy in 1983 and experienced the environment of its coffee bars. His love and appreciation of the Italian coffee bar setting motivated him to reproduce it in the United States. In 1987, Shultz gathered a group of investors and purchased the company. Over forty years since its humble beginnings, Starbucks has expanded to 62 countries with over 18,000 stores.
Outside, Starbucks’ signature goddess beckons thirsty patrons of a bustling shopping plaza. The bookend establishment receives a steady stream of visitors seeking the iconic coffee throughout the day. A small number of customers occupy the outdoor seating to enjoy their coffee in the remaining warmth of October’s sun. The familiar green signage, recognizable world wide, reads STARBUCKS COFFEE. Prominently displayed above the door, the sign is a beacon to coffee lovers everywhere. Consumers have numerous options when it comes to feeding their ...
Another essential system for Starbuck 's development has been its global procedures of venturing into key created and developing markets to topographically broaden, and it has been very effective with operation spreading over 60 nations. Every one of these procedures have determine significant upper hand for Starbucks over its
Starbucks has over the years sought to create and strengthen long-lasting relationships with their clients. The company does not just aim at offering coffee alone to the customers but also making sure that the customers get a sense of homeliness with the business that the company terms as “Starbucks Experience.” The demonstration of the “Starbucks Experience” and feeling of homeliness is from the great ambiance designs that the company has in all its locations around the world. When dealing with customers, Starbucks Company has created a Starbucks Rewards Card for its clients who purchase products from them. The Rewards Card is one of the many things that the company uses to entice the customers to come back to them for purposes of making purchases. Through the Rewards Card, the company can build loyalty with the
Starbucks is a worldwide company, known for is delicious brews of coffee and seasonal varieties of tasty drinks for any occasion. Starbucks opened with two main goals, sharing great coffee with friends and to help make the world a little better. It originated in the historic Pike Place Market of Seattle, Washington in 1971 by Jerry Baldwin, Zev Siegl and Gordon Bowker. The creation of Starbucks’ name came from the seafaring tradition of early coffee traders and the romance evoked from Moby Dick. At the time, this individual shop specialized in the towering quality of coffee over competitors and other brewing services enabling its growth to becoming the largest coffee chain in Washington with numerous locations. In the early 1980s, the current CEO Schultz saw an opportunity for growth in the niche market. After a trip to Italy he brought back the idea of a café style environment of leisure and social meetings to the United States we now see in Starbucks locations today. Schultz ultimately left Starbucks to open his own coffee shop, Il Giornale which turned out to be a tremendous success. Fast forward a year later, Schultz got wind that Starbucks was going to sell all their components of Starbucks including their stores and factories, he immediately acquired the funds to buy Starbucks and linked both operations. Within five years he was able to open more than 125 stores starting in New England, Boston, Chicago, and gradually entered California. He wanted Starbucks to be a franchise system based on the mission of telling the truth and emphasize the quality,
With clear core values towards providing quality coffee, the best service, and atmosphere, Starbucks has enjoyed great success since it was founded 30 years ago. The company has being doing very well for last 11 years with 5% or more store sales increase, even with the rest economy still reeling from the post-9/11 recession. However recent research, conducted to Starbucks, have showed some concerns regarding company’s problem meeting customers’ expectations.