Starbuck Marketing Issues 2022

Running Head: STARBUCKS 1
Marketing

Running Head: STARBUCKS 2
Introduction about Starbucks
Marketing concept is said to be the philosophy that the companies sues in order to analyse the
customer’s needs. According to the different needs of the customers, company make
decisions. Starbucks proved to be successful coffee shop chain across the several parts of the
World. Starbucks has around 24500 outlets ion China, USA, South Korea, and Japan. It is
majorly famous for its roasted coffee followed by quality, customer experience, and taste. In
the further section, discussion is carried on the place and promotional element of the
marketing mix.
4PS of Starbucks (Place and promotion)
Place: Starbucks has wider market reach by having presence in more than around 70
countries. It has taken the license of around 5000 locations from which maximum outlets are
available in USA. Starbucks sell its products with the help of coffeehouses (Gupta, Nagpal
and Malik, 2018). However, it has also started offering some of its products with the help of
online store. As compare to this, mobile app also allows the customer to effectively place its
products online so that they can easily get the drinks and food. It sues different places for
doing the distribution of its product. The major distribution channels are online store, Cafes,
retailers, and Starbucks app (Krishna, 2018). Mostly; it sold its products with the help of
Starbucks Cafes. However, it has also started using the internet in order to offer some of its
products with the help of online stores. Besides this, it also allows the customers to place
their order through Starbucks App. In different parts of the World, it has opened its outlets. In
spite of this, it has not reached to that many customers that it should reach (Honack and
Waikar, 2017).
In Australia, Starbucks has faced several issues due that which it has also accumulated the
loss of around $143 million. Due to several reasons, it has faced in Australia such as
sophisticated coffee culture in Australia (Tisdell, 2017). IN Australia, public also do not feel
that they have enough knowledge regarding their product selling. In Australia Starbucks has
entered in the quite competitive market. Due to this, it is clear that Starbucks can also add
more outlets in order to add more customers in its brand.
Promotion: