Marketing analysis of Starbucks

Marketing analysis of Starbucks 0
Marketing
concepts
of
Starbucks
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Marketing analysis of Starbucks 1
Contents
Introduction...........................................................................................................................................2
Marketing Mix of Starbucks coffee........................................................................................................2
3 Cs of Starbucks...................................................................................................................................3
Differentiation and competitive advantage...........................................................................................4
Commoditisation and Total product and solution offering....................................................................5
Segmentation of Starbucks....................................................................................................................5
Service delivery of Starbucks.................................................................................................................6
Experiential Marketing; Customer Relations and Experience Management.........................................7
Starbucks digital marketing strategy.....................................................................................................8
Pricing and Cost structure of Starbucks.................................................................................................9
Cost Structure......................................................................................................................................10
Branding of Starbucks..........................................................................................................................11
Sustainability at Starbucks...................................................................................................................11
Conclusion...........................................................................................................................................12
References...........................................................................................................................................14

Marketing analysis of Starbucks 2
Introduction
Starbucks is the world famous leading coffee house chain offering premium quality products
and service to its customers. The company is able to create its market base all over the globe
by bringing innovations and effective leadership done by Howard Schultz. The brand is well
recognized for ethical sourcing, exceptional customer service and a huge variety of
beverages. The company provides a relaxing environment to the customers and uses the
marketing tools to expand its potential market by making new products for the customers.
The main mission of the company is to nurture and inspire the human spirit. The company
focuses on making continuous efforts to deliver value to its customers (Haskova, 2015).
Marketing Mix of Starbucks coffee
The company uses the marketing mix to maintain its brand identity and develop a strong
image in the market. It helps in developing the brand image of the company and expanding
the growth of the business.
Product
Starbucks has the belief of serving the best taste to its customers and the cocoa beans are
produced in diverse regions to provide the best taste to the customers. The company serves a
wide variety of coffee and tea. Some famous drinks served by the company include White
chocolate Mocha Frappuccino, Iced flat white, peppermint mocha, gingerbread latte, and
Teavana tea. The brand also sells coffee mugs and glasses, Coffee fabricators, coffee presses,
grinders, and further equipment (Haskova, 2015).
Price

Marketing analysis of Starbucks 3
The brand adopts the finest pricing policy for its quality products. The company provides
higher pricing than its competitors provide and mainly targets premium segment. It provides
a high-quality product and luxury experience to its customers so the customer does not
hesitate to pay higher prices. The company is able to maximize its profit and maintain a
strong brand image (Harrington, Ottenbacher and Fauser, 2017).
Place
The brand majorly focuses on choosing the locations for its outlet because it aims to develop
the connection between the customers and the brand. It provides a warm and welcoming
environment to its customers, has provided its product at large retail, convenience stores, and
has developed the online channel to provide its product across the globe (Haskova, 2015).
Promotion
It is analyzed that Starbucks uses extensive marketing strategies to promote its brand. It uses
the traditional and the digital method to promote its product. Apart from online stores and
website, the company uses the brand merchandise to promote its product all over the globe. It
has developed loyalty programs to retain its loyal customers and uses various marketing
channels to effectively promote its product and retain the brand image in the minds of the
customer (Haskova, 2015).
3 Cs of Starbucks
This combination determines the main competitors of the brand and describes the main target
market of the brand. It describes the vision of the brand and the competitive advantage of the
company.
Company