STARBUCKS COFFEE Facebook Case Study By Jalaluddin Khan
Starbucks Facebook CommunityStarbucks is the firstconsumer brand toachieve the impressivenumber of 10Millions fans onFacebook
Competition• As the company was preparing for the annual rollout of its beloved Pumpkin Spice Latte, Starbucks decided to let Facebookers make the call on which U.S. and Canadian cities would get to enjoy the holiday-themed beverage for a week prior to the national launch. A Pumpkin Spice Latte app let fans earn points for their cities through activities like doing a city shout-out or solving a daily challenge. It was a clever way to reward and empower the brand’s most passionate fans.
Competition • The real-time leaderboard on Starbucks’ Page kept the competition steaming—all the way to the end of the match, when Chicago and Calgary took home the foam.
Consumer Relationship Building• STARBUCK STARTED ENGAGING PEOPLE ON FACEBOOK• More important than the number of fans the coffee chain is beginning to see sales lifts following social- media promotions.
New OffersThe chain partnered with Pandora to sponsor holidayplaylists, staged a Facebook sing-a-long and leveragedits partnership with Project RED to drive traffic to adedicated microsite -- and its stores, offering a free CDwith a $15 purchase.
Promotion of New ProductsThe first time Mr. Bruzzo noticed thisintersection was on Starbucks "Free PastryDay" last summer, when consumers couldvisit the company website or its Facebookpage and download a voucher for a freepastry. He said the impetus for free pastrieswas the volume of faithful online followersasking to be included on new productsor other company news
Ability to Quickly Manage RumorsAn added benefit of Starbucks social-media progresshas been the ability to quickly manage rumors thatcould have dogged the company for days. Last January,a story spread that Starbucks was donating its profits inIsrael to fund the countrys army -- even thoughStarbucks doesnt have any cafes in Israel. These days,Mr. Bruzzo said, when misinformation gets out, itseasier to nip it in the bud.
Mobile Applications Starbucks launched two iPhone apps in September, one for general cafe purposes, with store locators, details about specific blends and nutrition information, and the other to support its loyalty card.