CX554101 Marketing Plan: Starbucks Bubble Tea Launch in New Zealand

This report provides a comprehensive marketing plan for Starbucks' bubble tea launch in the New Zealand market. It begins with an executive summary outlining the key components of the plan, followed by a situational analysis that examines market size, customer needs and trends, competitor analysis, and both external and internal environmental factors. The report then delves into market segmentation, identifying target markets and positioning strategies. Measurable marketing objectives are established, and detailed marketing strategies are presented, including product decisions, pricing strategies, distribution plans, and promotional activities. The report concludes with a discussion of coordination and control mechanisms to ensure the plan's successful implementation. The report covers various aspects of marketing such as situational analysis, market segmentation, measurable marketing objectives and marketing strategies. The assignment fulfills the requirements of the Introduction to Marketing course, demonstrating an understanding of marketing principles and their application in a real-world business context.

Running Head: Marketing Plan 0
Starbucks
Introduction To Marketing
5/1/2019

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Marketing Plan
1.0 Executive Summary
This report has been described as the launching many products in the respective market
that is Bubble Tea promoted by the Starbucks organization. This product has been launched in
the market of New Zealand. To launch this product, the marketing plan has been described in this
report. The marketing plan consists of the situational analysis in which the various situations of
the product market have been defined. The situation is very important to launch a new product.
The segmentation of the market has been described in the report that consists of the use of the
particular product in various segments of the market and the target of the market in which the
goods can be defined. The measures of the various marketing objectives have been described in
the report. The marketing strategies are very essential in the market that has been briefly
described in the marketing plan.

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Contents
Marketing Plan.................................................................................................................................1
1.0 Executive Summary...............................................................................................................1
Marketing Plan.................................................................................................................................5
2.0 Situational Analysis...............................................................................................................6
Brief Description of Market size.............................................................................................6
Analysis of customer needs and trends in the market..............................................................6
Analysis of the competitors.....................................................................................................6
External environmental factors................................................................................................7
Internal environment factors....................................................................................................7
West Coast Marketing.............................................................................................................7
3.0 Market Segmentation.............................................................................................................9
Target Market..........................................................................................................................9
Positioning.............................................................................................................................11
4.0 Measurable Marketing Objectives.......................................................................................12
5.0 Marketing Strategies............................................................................................................13
5.1 Product Decisions............................................................................................................13
5.2 Pricing decisions..............................................................................................................14
5.3Place (Distribution) Strategies..........................................................................................15
5.4Promotional Decisions......................................................................................................16
5.5 Integration and Link........................................................................................................16
6.0 Coordination and Control....................................................................................................17
Conclusion.....................................................................................................................................18
References......................................................................................................................................19

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2.0 Situational Analysis
Brief Description of Market size
The situational analysis is the group of methods and process used to identify the
different environments to analyze the capabilities included in the business organization.
Starbucks Corporation is an American coffee company had a large market size (Cherney,
2015). The market size is very big so that the revenue growth is also increased and affects
the success of the company. The various establishments of Starbucks have been increased
which is around two thousand in the year 2017. The coffee chain industry has a large
number of stores and has many customers in the market. Starbucks also has many coffee
stores in the UK also. The market share of the Starbucks industry is approx. 39.8%
(Yeshin, 2012). The market size matters in the success of the company and help in
achieving immense growth in the business and attract more consumers towards the
organization.
Analysis of customer needs and trends in the market
The customer needs and trends are important for the organization to increase the
customers and maximize the profit of Starbucks. Starbucks increases its business by
analyzing customer needs (Byun and Dass, 2015). The situation can be properly analyzed
by analyzing customer needs. The market trend analysis helps in analyzing the potential
changes in the market so that the company can manage the changes as per the trends of
the market because customers prefer the trends of the market. The company can change
the terms and conditions as per the needs of the market and makes the process innovative
in serving the various products and services (Ostergard, et. al., 2015). The customer
needs maintenance increases the overall profit of the organization and it is related to the
requirements needed by the customers regarding product and services. Starbucks needs to
make its taste as per the requirements of the customer.
Analysis of the competitors
The competitor analysis is one of the essential processes that help Starbucks in
increasing its customers by including the strategy of the competitors. The competitor

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analysis is the process of marketing management helps in determining the strengths and
weakness of the current competitors (Fan, et. al., 2015). This process can increase the
better opportunities of the organization. Starbucks has many competitors, which affect
their business so the organization needs to do the analysis of competitors to identify their
strategy so the business is increased. The competitor of Starbuck is Costa Coffee, Café
Coffee Day, Dunkin Donuts and many more (Hutt, et. al., 2012).
External environmental factors
The external environmental factors affect the several marketing objectives of
Starbucks organization and its analysis increases the overall growth of the business. The
external environment factors include the customers, suppliers and the several government
policies that affect the overall environment of the organization (Albayrak, 2015). These
factors belong to the outside of the business so they considered as external environmental
factors. The organization needs to handle all these factors to manage the environment of
an organization and to achieve better growth in the business. Customers are the important
external factors related to the business.
Internal environment factors
Starbucks has many internal environmental factors that affect the overall
marketing objectives and make a business affected by certain environmental influences.
Starbucks has many internal factors like human resources, operational issues, business
culture, and finance. All these factors are mainly related to the internal environment. The
human resources analyze the process of the workforce and it is a key factor that affects
several marketing objectives (Capps, et. al., 2012). The operational issues are also an
important internal factor as it affects the cost and quality of the products. The culture of
the business is related to the market needs of the customer. Production-Oriented culture
results in the management setting unrealistic.
West Coast Marketing
The West Coast marketing created a unique process of developing consumer and
trade promotions and various incentive programs that response to the immediate needs
and various measures of the management. The process of west coast marketing can do
several promotions. Starbucks adopted the process of the west coast marketing to

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maintain the proper analysis of the situation (Morgan, 2012). Starbucks adopted the west
coast marketing for doing the prize promotions of the products and create services for the
proper incentives of the company.

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3.0 Market Segmentation
The market segmentation is one of the important processes used in the process of
marketing. Starbucks uses several segmentation factors to utilize the segmenting of the
areas (Bucherer, et. al., 2012). There is various segmentation of Starbucks Coffee, which
is used to maintain the brand equity in the industry. The demographic segmentation of
Starbucks targets several people. Therefore, the company decided to modify the
segmentation to the target students.
The geographic segmentation of Starbucks is used to target the individuals, which
go to the mall, hotel, college or any restaurant (Wu, et. al., 2015). The other segmentation
is psychographic segmentation that targets the sophisticated individual who aware
regarding the lifestyle and needs to maintain healthy lifestyles. The last segmentation is
the behavioral segmentation is related to the individuals that paying off the extra price for
the higher quality products.
Segmentation variables of Starbucks are Male and female in the demographic
segmentation, people go to mall and hotel in the geographic segmentation, and the people
aware regarding the lifestyles mainly female included in the psychographic segmentation
The sub-variables of Starbucks in demographic segmentation are people between the ages
of 24 and 44.
The Sub variables of Starbucks in geographic segmentation are people between 18 to 50.
The sub-variables of Starbucks in psychographic segmentation are female among the age
of 20-40.
Target Market
The group of the people who are interested consumers on which the product and
service are aimed is included in the target market. The people who are interested in
buying the products of the company are included in the target market (Cross, et. al.,
2015). The end market on which the company focus to sell the various services. The

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Target market is a very important process in the marketing perspectives of the company
because by this concept of the target market the consumers are decided and increasing
day by day.
The primary target of Starbucks is people including age between 25 to 40. Many
activities of the business can be managed by this primary target market of the company
(Venter, et. al., 2015) The Starbucks need to promote the increase of the market. The
three possible target market of Starbucks are described below-
 Adults
In this target market of Starbucks, the age group of 25 to 44 included which offer
several drinks. Half of the business can be managed by this target market only.
The specific age group can use the products to maintain the balance between the
work and experience.
 Young adults
The young adults also included in the target market of Starbucks and the people aged
between 18 to 24 will come in this specific target market (Paramentier, et. al., 2013).
The college students need to hang out so the Starbucks can place in these minds of
students also.
 Kids and Teens
The kids and teens are also included in the target market of Starbucks. The kids
and teens are a large part of the target audiences. The age group 13 to 17 will
come in this specific target market.

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Positioning
The positioning strategy is also important in the business of Starbucks. The
organization uses unique product positioning as their particular strategy that is used to
present the company brand in the market. This is the main task of marketing perspectives
(Eckles, 2015). This strategy is used to analyze the competitors in the specific process
and this helps in the present the brand in a proper way so that the consumers attract
towards it. This strategy gives the proper competitive advantage to the organization of the
in the coffee retail market.

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4.0 Measurable Marketing Objectives
The Smart process of marketing objectives used to define the particular objectives
related to the specific results and the particular company. The goals of the organization
are needed to define the marketing objectives. As per the SMART strategy, it is important
to make the objectives specific and measurable to grow the market (Sorger, 2011).
Starbucks needed to make measurable marketing objectives so that the organization
achieves proper growth in the market. The measurable marketing objectives are described
below-
 Growth of market share
The market share is one of the measurable marketing objectives, which is most
important in terms of the business of Starbucks. The market share growth can
increase the overall growth of an organization and this improves the business
profit.
 Target new customers
The targeting of new customers is also included in the measurable marketing
objectives because new customers can improve the overall business and help in
getting the success of the company.
 Build brand awareness
Starbucks needs to build brand awareness among the consumers so that the
business achieves proper growth in the market. This also comes in the measurable
objective as brand awareness can increase the consumers in the market.

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5.0 Marketing Strategies
5.1 Product Decisions
The decisions regarding the goods and services are very essential in the growth of
the organization. The decisions strategies consist in the marketing mix strategy, which is
one of the most important marketing strategies (Milichovsky and Simberova, 2015). The
decisions are taking as per the various perspectives of the marketing mix like decisions
regarding product, price, promotions and many more. Product decisions are the most
crucial decisions that affect the growth of the market. The product decisions can increase
the attraction of the consumers and improves the overall growth of the market. The
product decisions are related to the product designs, quality of products, the process of
production, specification of products and many more (Chen, et. al., 2015). The product
decisions of Starbucks are related to the design of goods and services, which should be
made as per the needs of the customers and make the taste as preferred by the customers.
The other main decision is quality management, which increases the quality of the
products and increases the customers of an organization. The product decision of
Starbucks is also related to the process and capacity design. The location strategy is also
matters in the product decisions, which is most important for the purpose.
The several recommendations are needed regarding the product decisions, which are
described below-
 The design of the products is according to customer requirements.
 The products include several qualities as per the taste of the target audiences.
 The product needs to be more specific and have a good taste so that it attracts the
customers.
 The product should include better qualities as per the marketing perspectives.
 The main recommendation of product decisions is related to the main process of
product management, which increases the use of the product.