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Rebecca Hotaling Ÿ Diana Pieretti Ÿ Patricia Yunen
Product Idea
Starbucks	
  Whipped	
  Cream	
  
Vanilla	
  Flavored	
  
Brand Permissions
• 
• 
• 
• 
• 
• 

More	
  than	
  a	
  new	
  product,	
  about	
  experience	
  
Use	
  product	
  in	
  store	
  so	
  demand	
  for	
  it	
  
Goes	
  well	
  with	
  current	
  Starbucks	
  products	
  	
  
Popular	
  brand	
  in	
  a	
  low	
  compe>>on	
  market	
  
Moving	
  towards	
  a	
  home	
  brewing	
  systems	
  
Fits	
  well	
  with	
  brand	
  values	
  
–  Experience	
  
–  Quality	
  
–  Part	
  of	
  neighborhood	
  community	
  
Competition
The	
  Real	
  Cream	
  Difference	
  -­‐	
  Experience	
  the	
  sound	
  of	
  joy.	
  
Experience	
  real	
  cream	
  goodness.	
  
	
  
	
  
Not	
  your	
  mother’s	
  whipped	
  topping	
  –	
  Truly	
  exci>ng,	
  true	
  
ingredient,	
  Truship.	
  
	
  
	
  
Cool	
  Whip	
  and	
  dessert	
  –	
  It’s	
  love	
  
	
  
	
  
	
  
Sweet,	
  fresh	
  and	
  always	
  delicious	
  

Store	
  Brands	
  
Market Potential
Whipped	
  Cream	
  Market	
  Size	
  
4,000	
  
3,500	
  
3,000	
  
2,500	
  

Sales	
  	
  
(in	
  millions)	
  

2,000	
  
1,500	
  
1,000	
  
500	
  
0	
  
2007	
  

2008	
  

2009	
  

2010	
  

2011	
  

2012	
  

Year	
  

2013	
  

2014	
  

2015	
  

2016	
  

2017	
  
Product Roadmap – Current State

RTD BEVERAGES

DRINKWARE
EQUIPMENT

COFEE BEANS & TEA

FOOD

Segments

Needs

Adults	
  

New	
  products	
  @	
  home	
  
Enrich	
  experience	
  
New	
  market	
  

OTHERS

Gaps
Compe>>on	
  
Experience	
  @	
  home	
  
Marke>ng-­‐WOM/Social	
  

Cultural Momentum
There	
  is	
  a	
  need	
  in	
  consumers	
  to	
  leverage	
  their	
  home	
  
experience	
  with	
  convenience	
  and	
  quality	
  products	
  

Opportunities
Market	
  Trend	
  
Diversifica>on	
  
Elevate	
  Experience	
  
Product Roadmap – Future State

RTD BEVERAGES
FOOD

EQUIPMENT

COFEE BEANS & TEA

New	
  
Coffee	
  
Peppermint	
  Mocha	
  

OTHERS

DRINKWARE

Flavors	
  
Caramel	
  
Pumpkin	
  Spice	
  

This	
  	
  new	
  product	
  line	
  will	
  allows	
  Starbucks	
  
diversify	
  its	
  porbolio,	
  leveraging	
  exis>ng	
  
Starbucks	
  branded	
  offerings	
  and	
  bringing	
  
indulgence	
  to	
  home	
  experience	
  
	
  
Cinnamon	
  Dolce	
  	
  

Mocha	
   Java	
  Chip	
  
Strawberries	
  and	
  Crème	
  	
  
Starbucks Whipped Cream
Product	
  Purpose	
  
•  Don’t	
  have	
  to	
  leave	
  trusted,	
  loved	
  brand	
  
•  Vanilla	
  flavor	
  compliments	
  beverage/ice	
  cream	
  
•  Convenience	
  of	
  home	
  
•  Accessibility	
  	
  
Product	
  Features	
  
•  Smooth	
  
•  Light	
  
•  Real	
  cream	
  
•  Low	
  calorie	
  and	
  fat	
  
•  Recyclable	
  can	
  
•  No	
  mess	
  cap	
  
•  Starbucks	
  flavor	
  
Starbucks Whipped Cream
User	
  Profiles	
  
•  Males	
  and	
  females,	
  18+	
  
•  Ac>ve	
  and	
  always	
  on	
  the	
  go	
  
•  Disposable	
  income	
  
•  Love	
  coffee	
  
•  Enjoy	
  “me”	
  >me	
  
•  Care	
  about	
  their	
  perceived	
  image	
  	
  
•  Tech	
  savvy	
  
	
  
Product	
  Principles	
  
•  Quality	
  topping	
  
•  Experience	
  driven	
  
•  Connec>vity	
  
Pricing Strategy
Approaches	
  
•  Internal	
  -­‐	
  marke>ng	
  objec>ves,	
  costs	
  
–  Product	
  quality	
  leadership	
  

•  External	
  -­‐	
  nature	
  of	
  market/demand,	
  compe>>on	
  
–  Oligopolis>c	
  compe>>on	
  
	
  

Strategies	
  
•  Demand	
  Oriented	
  
–  Target	
  
–  Bundle	
  Pricing	
  

•  Compe>>on	
  Oriented	
  

–  Above-­‐,	
  At-­‐,	
  Below-­‐Market	
  Pricing	
  
	
  

Suggested	
  Price:	
  $4.29	
  
Positioning
For	
  those	
  who	
  appreciate	
  a	
  lille	
  indulgence,	
  
Starbucks	
  Whipped	
  Cream	
  is	
  the	
  one	
  perfectly	
  
flavored,	
  smooth	
  and	
  sweet	
  topping	
  that	
  will	
  
uplim	
  not	
  only	
  your	
  treats,	
  but	
  your	
  mood	
  by	
  
bringing	
  you	
  enjoyment	
  at	
  the	
  speed	
  of	
  your	
  life	
  
and	
  the	
  comfort	
  of	
  your	
  home.	
  	
  	
  
Core Messaging Strategy - Problem
•  Having	
  to	
  go	
  to	
  a	
  coffee	
  shop	
  or	
  bakery	
  to	
  get	
  
a	
  truly	
  indulging	
  and	
  quality	
  treat	
  
•  Expanding	
  Starbucks	
  home	
  experience	
  
Engrained in Customer’s Life
We	
  are	
  bringing	
  coffee-­‐house-­‐quality	
  whipped	
  cream	
  
to	
  your	
  home,	
  allowing	
  you	
  to	
  indulge	
  without	
  having	
  
to	
  walk	
  beyond	
  your	
  refrigerator.	
  	
  
How are you creating a relationship?
Leveraging	
  the	
  exis>ng	
  Starbucks	
  brand	
  equity	
  
Focus	
  on	
  superior	
  quali>es	
  (taste,	
  ingredients)	
  
Concentra>ng	
  on	
  convenience	
  without	
  sacrificing	
  taste	
  
Emphasize	
  on	
  how	
  product	
  compliments	
  other	
  exis>ng	
  
Starbucks	
  products.	
  	
  
•  Appeal	
  to	
  adult	
  audience	
  
• 
• 
• 
• 
How are you overcoming objections?
Stages

I want whipped
cream

I should buy
whipped cream 
I should be
canned and
organic
I should buy
Starbucks
whipped cream

Audience
Anyone with a sweet
tooth

Anyone with the facility
to buy it

Practical
Food conscious


Good Taste
Quality
Flavor variety

Objections/ Barriers
- I can have regular cream or milk
- It has fat and sugar
- I can skip the topping
- I can make my own

- The store is far away
- I’ll never finish the whole can
- I can just get something with whipped
cream and not buy the whole can

- It’s less filling than other types of WC
- It will spoil faster
- The can can loose pressure
It has to be refrigerated
- 
- Why not buy RediWhip?
- Too expensive
- Don’t they make coffee?
- My grocery store doesn’t carry the brand
Marketing Plan
Strategies
ObjecDve	
  
Introduce	
  Starbucks	
  Whipped	
  
Cream	
  product	
  into	
  market	
  by	
  
leveraging	
  exis>ng	
  Starbucks	
  
branded	
  offerings	
  
	
  
Goals	
  –	
  FY13	
  
	
  
Revenue:	
  
	
   	
  	
  
Incremental	
  revenue	
  of	
  an	
  
es>mated	
  $500K	
  will	
  be	
  
generated	
  from	
  this	
  launch	
  
	
  
Incremental	
  Units:	
  	
  
	
  	
  
Gain	
  15%	
  of	
  market	
  share	
  in	
  first	
  
year.	
  

Key Tactics

UDlize	
  current	
  brand	
  equity	
  to	
  reach	
  
targeted	
  segments	
  at	
  key	
  trigger	
  points	
  
Leverage	
  research	
  and	
  Starbucks	
  
learnings	
  to	
  introduce	
  product	
  and	
  key	
  
messages	
  
	
  
	
  
Align	
  product	
  offering	
  to	
  convenience	
  
of	
  home	
  
Show	
  how	
  this	
  product	
  will	
  compliment	
  
other	
  Starbucks	
  products	
  already	
  in	
  the	
  
home	
  
	
  
	
  
Communicate	
  relevance	
  to	
  adult	
  
audience.	
  Test	
  marke>ng	
  media	
  to	
  
iden>fy	
  most	
  effec>ve	
  acquisi>on	
  levers	
  
	
  

• 	
  In-­‐store	
  tas>ngs	
  
• 	
  In-­‐store	
  collateral	
  
• 	
  Leverage	
  exis>ng	
  marke>ng	
  efforts	
  
• 	
  Leverage	
  social	
  proper>es	
  
	
  
	
  
	
  
• 	
  Bundle	
  promo>ons	
  
• 	
  Message	
  with	
  other	
  Starbucks	
  products	
  
• 	
  Crea>ve	
  messaging	
  that	
  emphasizes	
  
how	
  products	
  compliment	
  each	
  other	
  
• 	
  Create	
  online	
  marke>ng	
  videos	
  
	
  
	
  
• 	
  Test	
  combina>on	
  of	
  rich	
  media,	
  
educa>onal,	
  and	
  targeted	
  content	
  site	
  
marke>ng	
  levers	
  
• 	
  Communicate	
  indulgence	
  in	
  marke>ng	
  
messages	
  
Collateral
In-Store Signage
Advertising
Success Story
	
  For	
  years	
  you	
  have	
  been	
  coming	
  into	
  ours	
  stores	
  and	
  by	
  
now	
  you	
  know	
  exactly	
  how	
  much	
  mocha	
  to	
  put	
  in	
  your	
  
lale,	
  how	
  much	
  vanilla	
  crème	
  makes	
  your	
  frapuccino	
  
perfect	
  and	
  how	
  many	
  shots	
  of	
  espresso	
  you	
  really	
  need	
  to	
  
get	
  through	
  your	
  day.	
  We’re	
  honored	
  to	
  be	
  an	
  important	
  
part	
  of	
  your	
  days	
  and	
  we	
  know	
  some>mes	
  you	
  can’t	
  come	
  
to	
  our	
  stores,	
  so	
  you	
  need	
  to	
  be	
  your	
  own	
  barrista.	
  Now,	
  
you	
  have	
  our	
  roasted	
  coffee	
  in	
  you	
  cupboard,	
  you	
  have	
  our	
  
frappucinos	
  in	
  your	
  fridge,	
  you	
  use	
  our	
  Verismo	
  brewer	
  to	
  
make	
  the	
  perfect	
  espresso,	
  and	
  your	
  Starbucks	
  mug	
  is	
  
always	
  present	
  in	
  every	
  dishwasher	
  load.	
  You	
  only	
  need	
  one	
  
more	
  thing	
  to	
  become	
  your	
  own	
  best	
  barrista,	
  the	
  
Starbucks	
  final	
  touch,	
  Starbucks	
  Whipped	
  Cream	
  is	
  now	
  
available	
  in	
  a	
  store	
  near	
  you.	
  	
  
Total	
  indulgence	
  is	
  here,	
  and	
  you	
  can	
  take	
  it	
  home.	
  
Questions?

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Starbucks final 1

  • 1. Rebecca Hotaling Ÿ Diana Pieretti Ÿ Patricia Yunen
  • 2. Product Idea Starbucks  Whipped  Cream   Vanilla  Flavored  
  • 3. Brand Permissions •  •  •  •  •  •  More  than  a  new  product,  about  experience   Use  product  in  store  so  demand  for  it   Goes  well  with  current  Starbucks  products     Popular  brand  in  a  low  compe>>on  market   Moving  towards  a  home  brewing  systems   Fits  well  with  brand  values   –  Experience   –  Quality   –  Part  of  neighborhood  community  
  • 4. Competition The  Real  Cream  Difference  -­‐  Experience  the  sound  of  joy.   Experience  real  cream  goodness.       Not  your  mother’s  whipped  topping  –  Truly  exci>ng,  true   ingredient,  Truship.       Cool  Whip  and  dessert  –  It’s  love         Sweet,  fresh  and  always  delicious   Store  Brands  
  • 5. Market Potential Whipped  Cream  Market  Size   4,000   3,500   3,000   2,500   Sales     (in  millions)   2,000   1,500   1,000   500   0   2007   2008   2009   2010   2011   2012   Year   2013   2014   2015   2016   2017  
  • 6. Product Roadmap – Current State RTD BEVERAGES DRINKWARE EQUIPMENT COFEE BEANS & TEA FOOD Segments Needs Adults   New  products  @  home   Enrich  experience   New  market   OTHERS Gaps Compe>>on   Experience  @  home   Marke>ng-­‐WOM/Social   Cultural Momentum There  is  a  need  in  consumers  to  leverage  their  home   experience  with  convenience  and  quality  products   Opportunities Market  Trend   Diversifica>on   Elevate  Experience  
  • 7. Product Roadmap – Future State RTD BEVERAGES FOOD EQUIPMENT COFEE BEANS & TEA New   Coffee   Peppermint  Mocha   OTHERS DRINKWARE Flavors   Caramel   Pumpkin  Spice   This    new  product  line  will  allows  Starbucks   diversify  its  porbolio,  leveraging  exis>ng   Starbucks  branded  offerings  and  bringing   indulgence  to  home  experience     Cinnamon  Dolce     Mocha   Java  Chip   Strawberries  and  Crème    
  • 8. Starbucks Whipped Cream Product  Purpose   •  Don’t  have  to  leave  trusted,  loved  brand   •  Vanilla  flavor  compliments  beverage/ice  cream   •  Convenience  of  home   •  Accessibility     Product  Features   •  Smooth   •  Light   •  Real  cream   •  Low  calorie  and  fat   •  Recyclable  can   •  No  mess  cap   •  Starbucks  flavor  
  • 9. Starbucks Whipped Cream User  Profiles   •  Males  and  females,  18+   •  Ac>ve  and  always  on  the  go   •  Disposable  income   •  Love  coffee   •  Enjoy  “me”  >me   •  Care  about  their  perceived  image     •  Tech  savvy     Product  Principles   •  Quality  topping   •  Experience  driven   •  Connec>vity  
  • 10. Pricing Strategy Approaches   •  Internal  -­‐  marke>ng  objec>ves,  costs   –  Product  quality  leadership   •  External  -­‐  nature  of  market/demand,  compe>>on   –  Oligopolis>c  compe>>on     Strategies   •  Demand  Oriented   –  Target   –  Bundle  Pricing   •  Compe>>on  Oriented   –  Above-­‐,  At-­‐,  Below-­‐Market  Pricing     Suggested  Price:  $4.29  
  • 11. Positioning For  those  who  appreciate  a  lille  indulgence,   Starbucks  Whipped  Cream  is  the  one  perfectly   flavored,  smooth  and  sweet  topping  that  will   uplim  not  only  your  treats,  but  your  mood  by   bringing  you  enjoyment  at  the  speed  of  your  life   and  the  comfort  of  your  home.      
  • 12. Core Messaging Strategy - Problem •  Having  to  go  to  a  coffee  shop  or  bakery  to  get   a  truly  indulging  and  quality  treat   •  Expanding  Starbucks  home  experience  
  • 13. Engrained in Customer’s Life We  are  bringing  coffee-­‐house-­‐quality  whipped  cream   to  your  home,  allowing  you  to  indulge  without  having   to  walk  beyond  your  refrigerator.    
  • 14. How are you creating a relationship? Leveraging  the  exis>ng  Starbucks  brand  equity   Focus  on  superior  quali>es  (taste,  ingredients)   Concentra>ng  on  convenience  without  sacrificing  taste   Emphasize  on  how  product  compliments  other  exis>ng   Starbucks  products.     •  Appeal  to  adult  audience   •  •  •  • 
  • 15. How are you overcoming objections? Stages I want whipped cream I should buy whipped cream I should be canned and organic I should buy Starbucks whipped cream Audience Anyone with a sweet tooth Anyone with the facility to buy it Practical Food conscious Good Taste Quality Flavor variety Objections/ Barriers - I can have regular cream or milk - It has fat and sugar - I can skip the topping - I can make my own - The store is far away - I’ll never finish the whole can - I can just get something with whipped cream and not buy the whole can - It’s less filling than other types of WC - It will spoil faster - The can can loose pressure It has to be refrigerated - - Why not buy RediWhip? - Too expensive - Don’t they make coffee? - My grocery store doesn’t carry the brand
  • 16. Marketing Plan Strategies ObjecDve   Introduce  Starbucks  Whipped   Cream  product  into  market  by   leveraging  exis>ng  Starbucks   branded  offerings     Goals  –  FY13     Revenue:         Incremental  revenue  of  an   es>mated  $500K  will  be   generated  from  this  launch     Incremental  Units:         Gain  15%  of  market  share  in  first   year.   Key Tactics UDlize  current  brand  equity  to  reach   targeted  segments  at  key  trigger  points   Leverage  research  and  Starbucks   learnings  to  introduce  product  and  key   messages       Align  product  offering  to  convenience   of  home   Show  how  this  product  will  compliment   other  Starbucks  products  already  in  the   home       Communicate  relevance  to  adult   audience.  Test  marke>ng  media  to   iden>fy  most  effec>ve  acquisi>on  levers     •   In-­‐store  tas>ngs   •   In-­‐store  collateral   •   Leverage  exis>ng  marke>ng  efforts   •   Leverage  social  proper>es         •   Bundle  promo>ons   •   Message  with  other  Starbucks  products   •   Crea>ve  messaging  that  emphasizes   how  products  compliment  each  other   •   Create  online  marke>ng  videos       •   Test  combina>on  of  rich  media,   educa>onal,  and  targeted  content  site   marke>ng  levers   •   Communicate  indulgence  in  marke>ng   messages  
  • 20. Success Story  For  years  you  have  been  coming  into  ours  stores  and  by   now  you  know  exactly  how  much  mocha  to  put  in  your   lale,  how  much  vanilla  crème  makes  your  frapuccino   perfect  and  how  many  shots  of  espresso  you  really  need  to   get  through  your  day.  We’re  honored  to  be  an  important   part  of  your  days  and  we  know  some>mes  you  can’t  come   to  our  stores,  so  you  need  to  be  your  own  barrista.  Now,   you  have  our  roasted  coffee  in  you  cupboard,  you  have  our   frappucinos  in  your  fridge,  you  use  our  Verismo  brewer  to   make  the  perfect  espresso,  and  your  Starbucks  mug  is   always  present  in  every  dishwasher  load.  You  only  need  one   more  thing  to  become  your  own  best  barrista,  the   Starbucks  final  touch,  Starbucks  Whipped  Cream  is  now   available  in  a  store  near  you.     Total  indulgence  is  here,  and  you  can  take  it  home.