Starbucks Marketing: Principles, Practices, and Buying Process

This report analyzes Starbucks' marketing principles and practices, focusing on the application of key marketing concepts such as the production concept, product concept, and societal marketing concept. It highlights Starbucks' emphasis on societal welfare and delivering valuable services to its target market. The report also outlines the consumer buying process, from initial need recognition to the final purchase decision. Starbucks' operational focus on societal marketing and its impact on product marketing decisions are discussed, providing a comprehensive overview of the company's marketing approach.

Marketing
Principles and
Practice

Organisation Background
• Starbucks which is an American coffee company and which was founded in Seattle, Washington
in the year 1971.
• Starbucks is considered as the main representative of second wave coffee which differentiates
the brand from other coffee serving venues in the US. Starbucks operates worldwide in more
than 24,464 locations.
• In order to make the business differentiated, Starbucks nowadays uses automated espresso
machines for efficiency and safety reasons.

Marketing Concepts
• Production concept: The concept believes in the philosophy that cost of production
needs to be reduced so that distribution system of organization could be enhanced.
This is also useful apparently only when demand exceeds the supply aspect.
• Product concept: As per this concept, organization believes in producing and
selling quality products so that customers can be easily persuaded towards the
variety of products and services.

Contd…
• Societal marketing concept: This specific concept stresses not only on
customer satisfaction; but also it gives more importance to consumer and
social welfare. The main motive of adopting this concept is to show that
Starbucks is highly emphasized towards social welfare.

Operation
• Starbucks is focusing on Societal marketing concept in which the entity emphasizes on
needs and wants of target markets and according to that they deliver valuable services to
the clients.
• Starbucks views this concept as a practice through which better decisions related to
product marketing can be done. The concept holds that Starbuck’s task is to determine the
needs and interest of the target market so as to deliver better amenities to the customers.

Buying Process
 At the initial stage, consumers focuses on the reason that
drives to purchase any specific product or service. At this
stage, their desire is specific and this clarifies what they
want to purchase.
 Next is to search for different options that are available to
buy a product; hence focus is laid on all such sources.
 At the next stage, consumer evaluates the alternatives so as
to select the best option to purchase the requisite product
and service.

Contd…
• Afterwards, deciding the source, consumer makes purchase decision which states that
finally the end user needs such product.
• At last, a need has been created and the process of search completes which then leads to
purchase of a product.

References
• Brady, D. L., 2014. Essentials of international marketing. Routledge.
• Dibb, S. and Simkin, L., 2013. Marketing essentials. Cengage Learning.
• Reynoso, J., 2013. Essentials of Services Marketing. Journal of Service Management.
• Silver, L. and et.al., 2012. The essentials of marketing research. Routledge.