Starbucks is a great place for college students and avid readers to go because it offers a warm environment to sit down, plug in that laptop and study or just spend a day with your nose in a book 2. Starbucks has been around for over 40 years now and its only getting bigger and better by the year Conclusion: Link Conclusion back to Introduction: As it gets colder we all want something warm and refreshing. Review Main Points: Now that you know the history of the company, how it grew and where it is now, Audience Response: I hope there is something that everyone was able to take away from this speech that stood out to you. Concluding Statement: Let’s all go to Starbucks sometime soon and get that cup of coffee to keep us awake through the rest
Customers appreciate its ethical sourcing of raw materials and are happy to pay more for Starbucks products. Even though the company does not hold the first place in the UK market, which is held by Costa Coffee, they have acquired a strong customer base of students, as well as their normal target group of working class. Based on the findings from the Marketing Mix, Starbucks has successfully created value for their customers. (Shubber, 2015) They have succeeded in growing their cafes into experience and a place for people to meet to spend their time. In the recent years Starbucks has expanded their sales channels from cafes to smaller pop-up units inside shopping areas, bookstores, college campus and airports.
a. Introduction about the industry and why quality is important there. Starbucks is one of the firstly operates and contend in the retail coffee and snacks store industry. This industry experienced a prime drop in 2009 according to the economic crisis and change in customer tastes. The coffee industry had a decade of growth consistent.
This is to ensure a smoother flavor, which can produce a bitter taste (Dana, 2010). Costa defines itself as the ‘Real Coffee’; lesser choice, higher price but their coffee is smooth, aromatic and delicate. Although this could reduce the production of the coffee beans, Costa still insists on its way to retain the coffee oil and aroma of the coffee. As a consequence, their target market is limited because the lack of flexibility. In contrast to that, Starbucks always try to integrate to local cultures in different country.
Originally, Starbucks was a trendsetter with its unique brand positioning and differential values. It offers not only food and services, but most importantly, experiences. Starbucks can gain high customer motivation to pay with relatively low cost and earn reasonable profits. Its "non-brand" decisions, such as licensing arrangements, store locations and drive-through service, may financially make sense over a short period of time (Ferrell and Hartline, 2014, p. 527- 528). However, such short-term financial growth is in sacrifice of brand positioning and equity in the long term.
They know that they can expect quality products and there are a variety of options to select from. They also know that their experience will be consistent regardless of which location they visit as Starbucks locations all have similar décor and offer the same menu, regardless of where they are
The smell of fresh-brewed Starbucks coffee is one of those things that makes my heart beat faster than usual probably because it promises many other good things in the air: lively conversation, pleasant thoughts and inspiring music. When I go to Starbucks I usually stand in a long line waiting for people to finish their complicated orders, and then when it is my turn I order a Grande (Medium) Java Chip. Just the taste of the Mocha in my mouth shows that I am a happy customer. Its logo, known as Siren, is widely recognized and can be found in places from Indiana to India. It is used in movies, and celebrities are often pictured with this coffee in their hands.
However, the company must work to address the identified threats, especially the threat of substitution linked to the increased availability of home-use specialty coffee machines. On the other hand, Starbucks cannot do much but to avoid the threat of bureaucratic red tape. Overall, the PESTEL/PESTLE analysis framework indicates that Starbucks Coffee has plenty of room for further global growth. The preceding analysis proves the point that Starbucks is operating in a relatively stable external environment. The main reason for this is the fact that it operates in the Food and Beverages space which means that despite the recession, consumers cut down on the consumption to a certain extent and not completely.
They offer great customer satisfaction; employees do their best to please the customer. Starbucks is also environmentally friendly. The products they use are made from recycled materials like there tissues and cups, other coffee shop does not do that. Key competitors Starbucks main competitors are Caribou Coffee, Coffee Bean & Tea Leaf, Costa Coffee, and Dunkin Donuts. 6) Some ways to better compete in the market International