Exploring the Impact of Social Media Marketing on Starbucks Ltd

This report investigates the significance of social media marketing in the service industry, using Starbucks Ltd. as a case study. It explores the background of social media marketing, emphasizing its role in promoting products and services in the current business environment. The report outlines the aims and objectives, research questions, and the inductive research approach with an interpretivism philosophy. It details the descriptive research design, sampling methods (simple random sampling), and data collection techniques (primary and secondary data). The literature review covers the concept of social media marketing, its relationship with business operations, and various techniques employed. The report is structured to include an introduction, literature review, methodology, data analysis, and conclusions, providing a comprehensive analysis of Starbucks' social media marketing strategies, techniques, and their impact on the business operations.

Research Methods and
Projects

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
Chapter 1: Introduction...................................................................................................................1
Chapter 2: Literature Review ..........................................................................................................5
Chapter 3: Research Methodology...................................................................................................8
Chapter 4: Analysis and Findings .................................................................................................10
Chapter 5: Critical Appraisal, Recommendations and Suggestions..............................................16
Chapter 6: Conclusion....................................................................................................................17
REFERENCES..............................................................................................................................18
Appendix........................................................................................................................................21

INTRODUCTION
Chapter 1: Introduction
Background of study
In present business environment, organisation's provides their focus on promotion of
products and service in market to increase their branding and recognition across countries.
Promotion is analysed as important concept that is used for expansion of sales and increasing
profitability of organisation. In current business scenario, service organisation has achieved
major growth in their operations through application of various tools and techniques for
increasing promotion of products and services in market. Some important methods used for
promotion of products and services such as digital advertisements, E commerce, company
websites, Social media application and Communication systems. Social media marketing is
considered as important form of interest marketing which has utilized social networking
website as the marketing tools and techniques (Tiago and Veríssimo, 2014).
In present research, researcher aims to analyse significance of social media marketing
in promotion of products and services in service sector. For completion of this research,
researcher has selected Starbucks Ltd which is an American coffee company and chain of coffee
house. Company has its strong brand awareness in service industry because of its quality of
products and services. For promotion of products, Starbucks has utilized various promotional
strategies and communication channels. This study will determine the importance of Social
media marketing for Starbucks Ltd in promotion of their products and services among customers.
Aims and Objectives
Project Aim: To explore the importance of Social media marketing in promotion of products
and service in service industry- A study on Starbucks Ltd.
Objectives:
 To analyse the concept of social media marketing in context of service industry.
 To ascertain relationship between Social media marketing and business operations of
Starbucks.
 To understand different techniques of Social media marketing used by Starbucks for
promotion of products and services.
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 To analyse the importance of Social media marketing in promotion of products and
service. To recommend strategies for implementation of social media marketing in promotion of
products and service to Starbucks Ltd.
Research Questions
 What is the concept of social media marketing in context of service industry?
 What is the relationship between social media marketing and business operations of
Starbucks.
 Which techniques of social media marketing are used by Starbucks for promotion of
products and services. What is the significance of Social media marketing in promotion of products and
services.
Approach and Methodology
For completion of research in appropriate manner scholar needs to apply specific
approaches and methodologies that helps in collection of data, testing assumptions and
achievement of relevant information. Research methodology is analysed as specific process or
techniques which are employed by scholar to identify, select, process and analysis of
information about the study (Brinkmann, 2014). In present study, researcher aims to carry out
analysis on importance of social media marketing on promotion of products and services in
Starbucks. Below given are approaches and methodologies that will be used by scholar for
completion of study in appropriate manner.
Research Approach
It is analysed as plan and process that consists of various steps of broad assumptions to
the detailed method of data collection, analysis and interpretation of information. There are
basically two kinds of research approaches such as inductive and deductive approach. In this
study, investigator will analyse and utilize inductive research approach which starts basically
with specific observations and relevant theories which are to proposed at the end of process of
research.
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Research Philosophy
It mainly deals with important aspects such as sources, nature and development of
knowledgable factor. There are various kinds of philosophies such as positivism, interpretivism,
pragmatism and realism. In this research, Researcher will utilize interpretivism philosophy as it
involves investigation of small samples and interpretation of information which is collected
through interview and observation (Silverman, 2016).
Research Design
It is considered as complete set or combination of various procedures and method which
have been used for collection and analysis of measures of some variables which are specifics in
problems related to social media marketing. Mainly there are two kinds of research design
which are available to the scholar for identification of importance of social media marketing for
promotion of products and services which are mainly exploratory and descriptive research
design. In this, scholar will utilize descriptive research design as it helps in completion of aims
and objectives in appropriate manner. It will also depict various observation of population.
Sampling
It is considered as specific principle utilized in research for selection of sample size of
population that needs to be included in the study. Further, sampling has been divided in to two
categories such as probabilistic and non probabilistic sampling. In this research, Scholar will
utilize simple random sampling method for selection of members of population (BNS and HV,
2013). Sample size of 30 employees of Starbucks will select to carry out study on analysis of
importance of social media marketing in promotion of products and service of Starbucks.
Data collection
It is process used in research for gathering of data relevant to the study by using different
sources in order to make study more reliable and accurate. Mainly sources of data collection has
been divided in to two categories such as primary and secondary data collection. In this study,
researcher will collect data from the employees of Starbucks related to application and
importance of social media marketing for Starbucks by using both primary and secondary
method of data collection. Questionnaire will be made to carry out primary analysis and
secondary articles, journals, books and other reliable online articles will assess to get secondary
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data or information. It helps the scholar in developing understanding and making research more
reliable (Panneerselvam, 2014).
Data analysis
It is also involves a specific process that involves interpretation of relevant data collected
from selected sample size of population. It also involves transformation of data of in to useful
information so that users can easily understand outcomes of study. Thematic analysis method
will be used by scholar for analysis of research and data by using different charts, figures, graphs
and diagrams etc. It will provide support in clear representation of data in tables and
determination outcomes (Smith, 2015).
Chapter review
Chapter 1: Introduction
An appropriate structure of selected topic of research will be provided by scholar in this
study. It will also consist of an overview of overall study which is based on specific aims and
objectives. Along with this, essential link of topic with selected business enterprise is also
defined. Analysis of Starbucks Ltd has been carried in this chapter and some specific research
approaches and methodologies will be discussed along with their importance for carrying out
study.
Chapter2: Literature Review
In this chapter, critical analysis of various key literatures will be accomplished by
scholar to outline the significance and concept related to social media marketing. Moreover,
different techniques which are used by Starbucks in social marketing for promotion of products
is also discussed. In this segment, researcher will emphasize on covering aims and objectives of
study (Saravanakumar and SuganthaLakshmi, 2012).
Chapter 3 Research methodology
In this segment, a detailed description about various methods will be provided that will
be utilized by investigator for taking research ahead in correct direction. Further, validity and
reliability of using various techniques will be defined effectively. This particular chapter will
also determine limitation and important ethical consideration along with resources utilized by
scholar (Bauer, 2014).
Chapter 4 Data analysis and Findings:
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In this chapter, data collected from different sources will be analysed by Thematic
analysis method which involves representation of data and creation of theme of response
provide by participants.
Chapter 5: Conclusion and recommendations
This chapter will present also determine appropriate findings which is derived after the
collection and appropriate analysis of data. Moreover, appropriate information is also provided
by scholar.
Chapter 2: Literature Review
Concept of social media marketing in context of service industry
According to Ledford and Gast, 2018, Social media marketing is related with the
utilization of social media platforms and websites in order to promote the products and services.
In present scenario, it is becoming more popular tool for organisation to identify its potential
customers which are interested in buying their products and services. As per the reviews of
(Bryman and Bell, 2014), With nearly Half of world's population is using the social media
platforms, they are a natural place in order to reach new and highly targeted potential customers.
Continuous increase in use of social media users across the world have provided major
opportunities to marketers of organisations to promote their products and service by using
various applications such as Facebook, Instagram, Twitter and other messengers etc.
According to (Miller and et.al, 2012), Social media network directly large number of
people through application and people also share information and experience about different
products and services with each other. Advertisements have been provided by organisation to
deal with different customers. This method of promotion is important and its helps in increasing
profitability of organisation and develops its competitive advantage overall rivals. It is also
analysed important method that is used for collection of information and accomplishment of
various important techniques at workplace. On contrary to this, (Reynolds and et.al., 2014) stated
that Social media marketing is not only associated with social media applications but it also
involves promotion on different websites which are directly accessed by majority of people and
Web pages of organisation. For service sector, Products advertisements and prices are directly
shared to customers through internet and social media which is effective in collection of
information.
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Relationship between Social media marketing and business operations.
(Green, Camilli and Elmore, 2012) describes that with the increase in competition in market,
organization have provided their major focus on the changing the process of regulating business
operations. In this, marketing and promotion is analysed as most important part of business
operation which is directly connected with increasing sales of products and services of
organization in market. By using social media application and websites, companies will be able
to improve their promotion practices in market. They will also be able to increase their sales
revenue by developing direct relationship with large number of customers.
According to (Dang and Pheng, 2015), business operations of companies directly related
with social media marketing because it is helps in getting required customers and analysing their
preferences as well as perception towards products and services. Social media eases the process
of delivering and getting feedbacks. If the customers of organization have their concerns about
the problems with what organization offers then they let customer know in timely manner. It
provides customers a convenient and accessible ways to state their feelings towards products and
services of organization. However, it can be said that the social media has changes the process of
company to deal with their customers which is considered as part of business operations.
Different techniques of Social media marketing
There are various important strategies of social media marketing which can be used by
companies for promotions of products and services in service sector such as:
Social media Brand management: (Tuten and Solomon, 2017) stated that, it is the most
common technique that the experts of organization promise to perform. This involves creation
and maintaining a blog and twitter account and connecting with people who are interested and
sharing information about new products and services on internet. Through this, company can
also eventually develop its followers, visitors and trust among customers. This technique is
effective as it fully utilizes the social part of social media.
Social media targeting: As per the view of (Laroche, Habibi and Richard, 2013), It is the
technique in which organization finds individuals on the social media platforms and make efforts
to engage them in own services. This involves finding and tweeting people on the twitter based
on their description, contacting directly on LinkedIn for B2B sale of products and services.
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Market gamification: It is considered as most direct and prominent way of social media
marketing in which the organization tends to create their own rival content which usually
indirectly promotes their brand or services in market. This involves creating a viral video,
creating a novel site, hosting a competition which just gets peoples attention. Some examples are
“T mobile plaza dance”, “Compare The Meerkat”. On contrary (Erdoğmuş and Cicek,
2012Wilson and et.al, 2012), difficult thing about this technique is that it is usually bigger scaled
campaigns and very few social media consultants offer this service and there it will be difficult
for organization to coordinate all things.
Social Bookmarking promotion: bookmarking sites are considered as services in which people
share their resources Via reference URL rather than content itself. These sites involve Digg,
Stumble, Mix, Stumble and delicious. The main objectives of this technique are to get the front
page or get the top ranked on these websites, driving tons and other tons on traffic.
Influencer Campaign: According to (Aral, Dellarocas and Godes, 2013), It is technique in which
organization identify influencer who popular bloggers, tweeters, video makers and such will
promote their products and services. This probably is the most effective and powerful ways of
doing social media marketing.
Importance of Social media marketing in promotion of products and service
According to (Ngai, Tao and Moon, 2015), social media marketing has its important role in
increase brand awareness of organization among large number of customers across countries.
Now a day, marketers of company make attractive advertisement of their new products and
services, share these advertisements on social media applications and other websites through
which people can directly consider it and get information. Writing blog post on twitter and other
webpage is also a part of social media marketing which helps in increasing customers of café and
restaurant by sharing discount offers and other extra benefits. (Trainor and eta.l, 2014) describes
that 91% of marketers claimed that their social media marketing efforts are greatly increased by
their exposure.
According to (Trainor and et.al, 2014), social media is also important in gaining information
about customer’s requirements, experience, promotion and other practices. Through company
can analyse demand of products and services along with effectiveness of price charged by them
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from customers. In order to improve sales, company can also improve their products and service
by taking feedback of customers.
Along with this, (Paniagua and Sapena, 2014) specifies that social media is networking and
communication platform which is important for company to analyse issues of their customers
and also help in finding ways to meet customers requirements. Through this, company will be
able to attain satisfaction of customers towards products and services. Hiring influencers can also
be beneficial for company to increase it sales and promotion products by making viral videos
which can be directly accessed by large number of population. However, it is can be said that
there is major important social media marketing in promotion of products and services.
Chapter 3: Research Methodology
In this project, researcher has clearly specified the methods which are used to complete
research on analysing importance of social media marketing in promotion of products and
services. Below given are the key research methods which are used by scholar such as:
Research Philosophy:
It is analysed as belief of scholar towards the ways through which the data related to the
phenomenon can be gathered, analysed and evaluated for completion of research. It is based on
the getting analysis of various theories which helps in development of better understanding about
impact of social media on business and promotion of products and services (Neuman, 2013).
There are various kinds of research philosophies such positivism, pragmatism, realism and
interpretivism. Positivism philosophy is based on the assumption data related to study us relevant
when it is collected through interview or observation. Whereas, interpretivism philosophy is
based on analysis of theories and assumption which is used to carry out research on small
samples. In this research, scholar has utilized interpretivism philosophy because it helps in
collection of information and accomplishment of objectives appropriately.
Research Design
It is analysed as overall strategy which is selected by researcher for integration of
different components in of the study in appropriate manner. It helps in ensuring effective
resolution of research problems. There are two kinds of research design which are commonly
used such as exploratory and descriptive. In present report, descriptive research design is used by
scholar as it aimed at casting light on the present information or problems through a process of
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data collection which enables scholar to clearly describe the issue related to the situation more
completely than was possible without employing this method. This research helps in resolving
research problems and achievement of objectives (Mackey and Gass, 2015).
Research Approach:
Effective research approaches consist of plan and process which clearly determines the
information and also consists of steps which are used for broad assumptions towards the detailed
method of data collection and information which effected for collection of information. There are
only types of research approach such as inductive and deductive research. In this report, scholar
has carried out analysis on importance of social media marketing on business operations.
However, deductive approach is used for testing of hypothesis which is not included by scholar
in this research. Therefore, inductive research philosophy is used by scholar which is based on
theories and helps in testing assumption of scholar which are taken for collection of information
(Taylor, Bogdan and DeVault, 2015).
Sampling:
It can be explained as a specific principle used to select members of population which are
required to be included in the study. In present report, scholar has carried out analysis on
importance of social media marketing in promotion of products and services in service industry.
Sampling techniques are mainly classified in to two categories such as probabilistic and non-
probabilistic sampling. It is selected because in this each member of population is
equally likely to be chosen as a part of sample. Through this method, 20 employees are
selected as sample size from Starbucks to collect information. It is appropriate as
employees are the source of getting relevant information about organization.
Data Collection:
Both primary and secondary method of data collection is used by scholar in this research
because it is useful for resolving problems and getting relevant data related to importance of
social media marketing in promotion of products and services. In primary analysis, researcher
has collected by framing questionnaire on the basis of aim and objective of research. Close ended
questions are asked from employees to get relevant and reliable data about Starbucks. However,
various books, journals, articles and websites are used to get secondary and information which is
already published. Getting information from secondary information help in completion of
qualitative research more effectively.
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Data analysis:
This implies to the process of transforming data collected from questionnaire in to useful
information for interpretation of valid outcomes. Different techniques of data analysis have been
classified in to two categories such as; Qualitative and Quantitative. In this research project,
scholar has utilized thematic analysis method for interpretation of information by using charts,
tables and diagrams. Themes are prepared on the basis of response of 30 selected employees of
organization (Glesne, 2015).
Ethical consideration
While carrying out research, it is important for scholar to analyse importance of ethics in
collection of information. In this report, scholar has taken information after taking permission
from supervisors of employees in Starbucks and consent of employees is also taken for
completion of research. Secondary data collected from books, articles, journals and literatures
have been cited properly.
Research limitations
There are various issues have been faced by scholar in carrying out research which can
also be considered as limitation. Due to lack of understanding, scholar has faced difficulty in
selection of research methodologies. Limited time for completion of research has also created
issues in finding more relevant information and difficulties in framing questionnaire
(Papasolomou and Melanthiou, 2012).
Chapter 4: Analysis and Findings
Theme1: Social media communication method is used by Starbucks in marketing functions
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