Starbucks Value Proposition

In 2015, Denis and Mirjana took over the café and in a relatively short time have transformed it from a good suburban café with great coffee to a top drawer inner-city establishment that draws its broad customer base from happy locals to serious coffee aficionados who came for the coffee and stayed for the food, ambience and the buzz. The marketing objectives of the business is to build the brand as a unique inner-city ‘hip’ café with great ambience and gourmet food and real coffee. The owners understand inherently that their marketing mix must satisfy their target market while still meeting their marketing objectives. Strategic plan and objectives

Having a good customer satisfaction will help increase their customer base, which will increase revenue and allow more profit and this will give the business a good name and reputation. Customer satisfaction means the level of how pleased your customers are. Tesco ensures they have great customer satisfaction by training their employees to the best

Meanwhile, many consumers dislike ‘super size’ high sugar/fat mentality of America (Julie Anne Allan, 2015). Therefore, it should promote smaller drinks. Australian coffee drinkers are discerning and think highly quality of coffee. It should change the previous model of vacuum-packaged and push bottom coffee but employs professional barista to provide full-barista service, and give consumers augmented sensory benefits of watching grinding and ritualistic preparation of coffee, and hedonic aroma (Benedict Brook, 2016). Starbucks’ previous value proposition is unique customer experience and servicescape.

With Nordstrom’s being a department store selling a large selection of types, brands, and styles of product, the aspect of customer service is as important for company sales as product is (with the intentions of building lifelong connections and loyalty with their customers). Nordstrom’s marketing strategy used customer experience as they way to make a difference in the market. This company is known as much for their product as it is for the shipping experience it portrays for each customer, therefore making service its clearest selling point. Nordstrom as a whole company strives for the customer leaving with a satisfactory shopping experience. Nordstrom makes each moment right with the customer by making sure the store, sales people, and

In the 1970s, the first Starbucks opened. The name originates from Herman Melville 's Moby Dick, a fantastic American novel about the nineteenth century whaling industry. Today, with stores around the globe, the constitution is the chief roaster and retailer of strength espresso on the planet. Starbucks has about 20,184 stores open with 182,000 workers working with Starbucks in 62 nations. Their point, blend incorporates simmered and carefully assembled high- quality/premium evaluated espressos, an assortment of crisp nourishment things and different drinks.

They are focused on their suppliers such as coffee beans farmers and customers. Starbucks through the fair transition to keeping coffee beans market position and provide high-quality coffee as well as a comfortable place to customers enjoy Starbucks’ coffee and food. Also, Starbucks has involved a lot of community activities, so they are created a long-term relationship with the community. Moreover, Starbucks also focus on environment development. Such as cycling activities and water Conservation.

They do achieve customer satisfaction by the experience of their customers when finding a good quality

(Jacoby, 1971; Jarvis & Wilcox, 1976). Dick and Basu (1994) propose that customer will be loyalty to the brand is the result of psychological processes and has behavioral manifestations. Therefore it should incorporate both attitudinal and behavioral. Satisfaction is recognized as an important element for loyalty in both the consumers and business marketing. Satisfaction with previous purchase experiences plays an important role in determining the future purchase behaviors particularly call as an effort-minimization strategy (Jones and Suh, 2000: Pritchard et al, 1999).

The brand name of the Starbuck is popular are no longer depending on the quality of the coffee only, but also the customer service. A study shown that the turnover rate of employee at Starbuck was 65% which compare to the other national chain retailer with the average range of 150% to 400%. This indicates that Starbuck have a good work environment that allows them to retain employees and emphasized in term of the employee motivation. One of the motivation theory that Starbuck had been applied is the Maslow’s need hierarchy theory.

In order to avoid Starbucks in the process of mistakes, so rely on the procedure responsible for ensuring that there is no conflict between the strategy and policy, so that every action Starbucks can proceed smoothly Human Resource Cycle  Recruitment & Selection  Starbucks will be based on the existing staff of the generous conditions to develop employment requirements and selection criteria. Starbucks will require that candidates be polite, have the potential to provide customers with quality service, to ensure that the basic performance of the service. The Starbucks selection criteria will hope candidates have a strong learning ability and can continue to learn in the workplace as their current employees

Therefore, it is essential for Starbucks to establish different platforms to share their company information to different stakeholders in order to let them realize the current business situation of Starbucks. In the following paragraphs, we would introduce the

Starbucks sells high quality food and brands for affordable prices. Recently, the company launched a wine collection in addition to the coffee. Now, customers can enjoy a coffee in the morning and a wine after work. This strategy will bring more revenue to the company and will put the Starbucks on the map with other great small shops. The brand has also positioned itself best coffee brand in the market by providing attractive store design, unique environment, elegant taste and high quality coffee beans (Kotler & Keller, 2009).

The Industry demand has changed due to a shift in consumers’ attitudes towards healthier products. This placed Starbucks’ coffee culture at risk and threatened the company’s future. Starbucks has tailored their menu to include more organic and healthy product mixes, venturing into tea, bread and fresh juice products (Geereddy, n.d). Starbucks’ cornerstone product differentiation strategies and Human Resource Management are the main impacts to strategy formulation.

Starbucks and Tim Hortons Nowadays, the number of coffee drinkers are increasing. As the demand for coffee grows, the number of coffee chains is also increasing. Of that, the representative coffee chains in North America are Starbucks and Tim Hortons. Starbucks has the highest brand awareness amongst the world coffee chains. It started in Seattle, the United State in 1971.

Literature review Introduction Within this chapter I will discuss customer service and its benefits. What Customer Loyalty is and factors that influence customer loyalty and rewards. What is Customer Service The concept of Customer service can be multifactorial, but I feel that ultimately it involves customer’s satisfaction and how companies strive to retain their customer base by implementing certain customer service procedures to keep the customer happy, in the hope that they can retain their custom and that the customer will then spread the news about the excellent service that was provided by the company.