Marketing Management Plan for Starbucks Bubble Tea

This report analyses the marketing plan of Starbucks which has introduced Bubble Tea in the entire competitive market. Proper internal and external analysis has been done with proper segmentation, targeting and positioning of the market. Furthermore, the main motive of the report is to create accurate objective for the business and develop different marketing strategies with the help and implementation of marketing mix concept.

Running head: MARKETING MANAGEMENT
Marketing Management
Name of the Student
Name of the University
Author note

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Table of Contents
1.0 Executive Summary.............................................................................................................2
2.0 Situational Analysis.............................................................................................................3
Internal Environmental Analysis............................................................................................3
Company Culture and Image.................................................................................................5
External Environmental Analysis..........................................................................................5
Mission and Vision................................................................................................................7
Objectives of Starbucks..........................................................................................................7
3.0 Market Segmentation, Targeting and Positioning................................................................7
Target Market.........................................................................................................................8
4.0 Measurable Marketing Objectives.....................................................................................10
5.0 Marketing Strategies..........................................................................................................11
6.0 Coordination and Control...................................................................................................12
Conclusion................................................................................................................................13
References................................................................................................................................14

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1.0 Executive Summary
The report has helped in analysing the marketing plan of Starbucks which has
introduced Bubble Tea in the entire competitive market. In this respective report, the different
situational analysis of the same has been performed in order to receive effective results.
Proper internal and external analysis has been done with proper segmentation, targeting and
positioning of the market. Furthermore, the main motive of the report is to create accurate
objective for the business and develop different marketing strategies with the help and
implementation of marketing mix concept. The coordination and control section has been
included as this has helped Starbucks in maintaining their position in the market.

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2.0 Situational Analysis
Starbucks is the world class coffee organization in the entire world. The Starbucks
company was founded in the year 1971 in Seattle, Washington. Furthermore, this has been
seen that Starbucks operates in more than 28000 locations in the entire worldwide. It has been
seen that Starbucks has now introduced the bubble tea product in the entire market and they
want to expand their market in the different areas (Blut et al., 2015).
Market Size
Starbucks has been trying to introduce the Bubble Tea in the market of Auckland.
This is one of the market size analyses; however, the main target will be the customers along
with the competitors in the market as well. There are different other companies which has
introduced different juices and drinks such as bubble tea stores in the market.
Trends and Customer Needs
Bubble Tea is the new trend in the market which will help the company in managing
the customer preferences in an effective manner. There are different styles and preferences of
the customers who prefer different kinds of flavours which will help the company in
managing the different tastes and preferences. The customer needs are required to be
analyzed in an effective manner which will help in managing the different issues in an
effective manner.
Competitive Analysis
There is strong competition for the Bubble tea which has been introduced by
Starbucks in the competitive market. Furthermore, this has been seen and analysed that there
are different famous food chains in the entire world and the number of customers is limited as
well and therefore, this could be a huge challenge for Starbucks as there are different Asian

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companies and the products and culture of the companies are unique in nature. Starbucks
need to different innovations in the Bubble tea there are different customers in the market
other than the Asian customers (Zhang et al., 2017).
Brand Competitors
There are different other brands of Starbucks in the entire competitive market that
includes Chattime along with Gong Cha as well. Furthermore, this can be seen that there are
different other brands which are famous in the entire worldwide (Noyan& Şimşek, 2014).
Internal Environmental Analysis
SWOT Analysis
Strengths
 The strong financial performance of the company as the most effective coffee retailers
in the entire world
 The business culture is innovative in nature and this helps the company in introducing
new products and services with new and unique changes
 The extensive supply chain in the entire globe is the other factor which helps in
managing the differences effectively (Hamari, Hanner& Koivisto, 2017)
 The accurate and diversified business of Starbucks through the different subsidiaries
has helped Starbucks in maintaining their brand image in the entire competitive
market
Weaknesses
 The pricing strategy which has been adopted by Starbucks includes the high price
which is affecting the sales of the company in a negative manner (Izogo& Ogba,
2015)

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 Furthermore, there is no such experience in the product such as Bubble tea and this
can be difficult in nature for them to manage the differences in an ineffective manner
 There is no such developed kind of menu made for the bubble tea in the company as
there are different competitors in the market who has developed various other flavours
for the needs of the different customers (Hegner et al., 2017)
Opportunities
 There is an opportunity to expand their business in the different international
countries
 The company can create huge amount of profit in the market and the Bubble tea can
help Starbucks in expanding in the entire market (Ellickson, 2016)
 Providing the customers with refreshing feeling which will help the company in
increasing the market share effectively
Threats
 The supply chain of the company is an offense and there is uncontrollability in the
currency rate in the entire market
 There are different competitors in the market which can cause a huge threat for the
Starbucks company as the other competitors are trying to implement different
strategies as to attract the different customers (Ferguson, Brown & Johnston, 2017)
Company Culture and Image
It has been seen and analysed that Starbucks is one of the most famous companies or
the coffee retailers in the entire world. When the customers think of Starbucks, they feel that
the company is of proper and accurate brand image (Choi et al., 2017). However, on the other
hand, this has been seen and analysed that when Starbucks is introducing the new Bubble tea,
the perceptions of the customers is that the company is not mainly focusing on the different

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kinds of coffees and this can be a difficult position for the company in managing the change
effectively.
Furthermore, the diversity is essential in nature which is required to be analysed by
Starbucks which will help in managing the diversity related issues (Dhar, 2015).
Furthermore, the main culture of the Starbucks is to create a place wherein the individuals
can feel like relaxing in the coffee shop and this can be a huge difficulty for the company in
managing such change in an appropriate manner as well (Zhuang& Babin, 2015).
External Environmental Analysis
Proper PESTEL analysis is required to be adopted by the company in an effective
manner which will help them in managing the different issues related to the external
environment. The different external factors are required to be analysed effectively which will
help Starbucks in managing the differences.
Political Factors- It has been analysed that there are no such political factors that will
affect the business of Starbucks as there are different raw materials which are basically from
Asia (Mardanib et al., 2015).
Economic Factors- The economy of the New Zealand is positive in nature and this
can help Starbucks in maintaining their competitive position in the market. The GDP was
more than $88100 million till the year 2017 and this has been seen that there is GDP growth
of more than 4% in the end of the year 2018. The economy has strong growth which helps in
creating more processes which are quick in nature to manage the differences (Ortega et al.,
2015).
Social Factors- There are different social factors which is related to Starbucks
introducing Bubble Tea wherein it has been seen that Bubble tea is one of the most popular
Asian drinks and this can help Starbucks in introducing the same with implementation of

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different strategies which will help them in maintaining their brand image (Orel& Kara,
2014).
Technological Factors- There are different technological factors such as
advancement in the technology which is used by Starbucks in managing the flavour of the
drink in an effective manner. Furthermore, Starbucks can come up with different other
innovative strategies which will attract more customers and increase the brand image of the
company effectively.
Legal Factors- There are no such legal factors which are impacting the Starbucks
brand image, however there can be different copyrights which can affect the brand image of
the company in a negative manner (Lien,Cao& Zhou, 2017).
Environmental Factors- There are different environmental factors which is required
to be analysed by Starbucks in which it has been seen and managed that the Starbucks need to
handle the different environmental based rules and regulations (Kasiri et al, 2017).
There are different external factors which are required to be analysed in an effective
manner by Starbucks as this will help them in managing the competition in an effective
manner. Furthermore, there are different kinds of objectives which are required to be
followed by Starbucks in attaining the vision appropriately.
Mission and Vision
The main mission of the company is to inspire along with nurturing the spirit of the
human spirit. Furthermore, the main mission of the company is to provide committed kind of
service to the customers in the entire market and spread their presence in the entire global
world (Blut et al., 2015).
On the other hand, the vision of the company is to create a premier purveyance and
with the different uncompromising policies of the company as well. The growth of the

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company is the other factor which helps in leading to the being the best companies in the
entire world.
Objectives of Starbucks
 To develop a competitive kind of menu which will help Starbucks in gaining
competitive advantage in the market
 To become and achieve sales of more than 55% by selling Bubble tea to the
customers
 To enhance the customer relationship in an effective manner
 To expand the business in the entire world as this will improve their business
conditions effectively
3.0 Market Segmentation, Targeting and Positioning
Proper segmentation is essential to be done for Starbucks as this helps in managing
the different activities in an effective manner. The demographic variable is basically on the
situation of the individuals which includes different age, financial status, income along with
religion. The bubble tea of Starbucks is suit for the different teenagers along with the
employees and youths as well (Blut et al., 2015).
On the other hand, the geographic variable includes the division of the nations,
locations and places. The city of Auckland has helped in analysing that there is more than
30% of the population wherein Starbucks needs to include the changes which is required to
be adopted by them.
Behaviouristic variable is the other one which includes the behaviour of the different
customers in the market along with implementing the brand loyalty program in an effective
manner which is essential for the business (Cameron et al., 2016).

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Target Market
There are different target markets which are required to be analysed in an effective
manner that helps them in managing the differences in the target market appropriately.
Primary Market
The primary target market of Starbucks in New Zealand includes the different
students of different age groups. The students are basically targeted as the primary market as
they are the ones who prefer refreshing kinds of drinks which help them in maintaining
proper competitive advantage in the entire market. Furthermore, the students of colleges,
schools and universities prefer the drinks as they can hand out with the friends and they will
enjoy such drinks with their friends in an effective manner (Cameron et al., 2016).
Secondary Market
The young people are the secondary market groups wherein they are the ones who are
willing in order to try new things in the market along with different new trends which will
help the company in gaining competitive advantage. It has been seen and analysed that the
young individuals in the market and Starbucks will be targeting them as a whole as well (Al-
Dmour et al., 2016).
Universal Marketing
There are different office employees which can be adopted by Starbucks in
maintaining their position in the entire market. In New Zealand, there are different offices as
well which will help Starbucks in managing the differences in an effective manner. Bubble
tea can be a proper refresher which will drink and help them in chatting up with the friends as
well.
Market Positioning

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Starbucks try to position themselves by making the prices reasonable in nature as this
will help them in attracting more customers in the market. The positioning of the respective
restaurant or the café will be done in such a manner that will help them in gaining
competitive advantage. Starbucks is the world-famous brand which will help the company in
managing the different support from different kinds of products as well (Cameron et al.,
2016).
There are different other bubble tea products in the entire market and regarding this,
Starbucks need to position the respective product in such a manner which will help the
company in managing the differences in an effective manner. Furthermore, this will help the
customers by providing them a top class feeling and this will create competitive advantage
for the company as well 9Huhman, Kelly & Edgar 2017).
4.0 Measurable Marketing Objectives
There are different marketing objectives which are required to be analysed by the
company in an effective manner. The SMART objective is required to be analysed in an
effective manner which will help Starbucks in analysing their strengths along with the
objectives which is required to be achieved by them in an effective manner as well.

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Specific – The goals which are adopted by Starbucks is required to be specific in
nature as this will help the company in gaining a huge market share in the entire
competitive market. Furthermore, with the implementation of such goal, this will help
and assist the company in clearly analysing the market along with the different
competitors as to gain more competitive advantage.
Measurable- This is the other objective wherein the respective café needs to analyse
the different kinds of objectives which can be measured such as proper
implementation of different sales or revenue percentage which can be gained by the
company in an effective manner.
Achievable- This is the other objective which is required to be adopted by the
company in an appropriate manner. The goals are required to be achievable which is
required to be achieved by the company in an effective manner.
Realistic- The goals which will be achieved by Starbucks needs to be realistic in
nature as these will help the company in managing the differences effectively.
Timely- There should be a specific time period for the company in achieving the
different objectives. The target for revenue and sales is required to be analysed by the
company in such a manner which will help the company in measuring the same in an
appropriate manner.
5.0 Marketing Strategies
In order to analyse the marketing strategies adopted by Starbucks, this is essential in
nature for the company in analysing the entire marketing mix of the company along with
analysing the decisions which is gained from the same as well. The marketing mix of
Starbucks includes the following:
Product: Starbucks need to analyse the local market needs and develop the product
which will help them in increasing the market share. In case of Starbucks, the company will

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investigate the different products of the other companies who are the major competitors and
this will help them in analysing the strategies to stand out against the other competitors in the
market. Furthermore, bubble tea is something special which is required to be adopted by
Starbucks in providing better products to customers.
Price: The pricing is the other factor wherein it has been seen and noticed that the
Starbucks need to find out the different competitors and this affected the entire position in an
ineffective manner. In the entire New Zealand market, this will help Starbucks in introducing
Bubble tea in an effective manner.
Place and Distribution: The distribution technique is essential wherein all the
different products are required to be adopted as to implement such strategies which will help
them in making the process effective. The central location is required to be adopted by the
company as this will help the customers in purchasing the products from anywhere in the
economy.
Services provided to customers: Proper customer retention is the other mantra
which is required to be followed by Starbucks. The philosophy of Starbucks helps them in
increasing the profit and sales of the company effectively.
Promotion: The promotional activities help Starbucks in increasing the entire sales of
the product in an appropriate manner. The promotional activities will focus mainly on the
different channels such as Instagram, Facebook and Twitter along with TV and magazine.
The social media effectiveness is essential in nature which is required to be followed by
Starbucks as this creates strong influence on the company. The main and primary objective of
Starbucks is to position themselves in such a manner which will assist them in attracting
different age group customers along with assortment of different strategies effectively (Tobey
et al., 2016).

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Integration and Link
Proper integration and link is essential in nature which is required to be done by the
company in managing the marketing mix of the company effectively. Furthermore, there are
different SMART objectives which are required to be analyzed and adjusted accordingly and
this will create proper integration and link between the various objectives.
6.0 Coordination and Control
The business research is required to be analysed in an effective manner which will
make the objective more accurate and clear in nature. The control and benchmarks which are
required to be analysed by Starbucks include the following:
Proper examination is required along with surveys which will help in analysing the
wants of the market
In order to measure the overall adequacy as to make the distribution network more
effective in nature
The items will be assessed each and every month as this will help them in maintaining
the benefit which can be gained by the company in an effective manner
Furthermore, control the plans of spending is essential in nature which will help in
maintaining proper effectiveness

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Activities Mar-
18
Apr-
18
May-
18
Jun-
18
Jul-
18
Aug-
18
Sep-
18
Oct-
18
Nov-
18
Proper development of
the menu in Starbucks
for introducing Bubble
tea
Proper survey among the
public
Proper measures to
improve the product
Launching of the
specific product in the
shop
Proper research of the
value of the market and
the price of the different
competitors
Social Media
Advertisements
Conclusion
Therefore, this can be concluded that marketing plan for Starbucks has been
conducted by introducing Bubble tea in the entire market. Furthermore, the marketing mix of
the company has been analysed which has helped them in maintaining their profit in the
company effectively. The segmentation, positioning and targeting has been done which
helped the company in maintaining their position in the entire competitive market as well.

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