1. Marketing Management - I
A case study on StarBucks
Group – 8
Nishanam Jonah Kamalakar
Lalit Choudhary
Sahil Grover
Chaitanya Burri
Raghvi Maheshwari
Ambreen Shah
2.
3.
4. • Main idea was to create a “third place”
between home and work.
6. Value Proposition
• Adopted ‘Experiential Branding’ Strategy
– Highest Quality and Supply Chain Control
– Service component in the form of “Customer
Intimacy”
– ‘Ambience’ is what makes the customer stay.
• Channels of Distribution:
– High traffic, high-visibility settings
– “Specialty Operations” through non-companyoperated channels
8. Delivering on Service
• Two types of training:
– Hard Skills
» How to use Cash Register
» How to mix drinks
– Soft Skills
»
»
»
»
»
Connect with Customers
Welcome Enthusiastically
Establish Eye Contact
Try to remember Names and Orders for Regulars
Smile
• “Just Say Yes” Policy
• VERISMO Machines
9. Measuring Service Performance
• “Customer Snapshot”
1.
2.
3.
4.
Service
Cleanliness
Product Quality
Speed of Service
• Legendary Service
– A memorable experience
10. Caffeinating the World
• Aggressive growth strategy
– Retail Expansion
» Cannibalization and Opening up new Stores
» International Expansion
– Product Innovation
» New products were launched every Holiday Season
» 12 to 18 month product development cycle
– Service Innovation
» Smart Card
» T-Mobile Hotspot Wireless Internet Service
11. Trouble Brewing?
• Lacked a Strategic Marketing Group
• Starbucks’ Brand Meaning
– Interpreted as “Starbucks cares primarily about
making money”
• The Changing Customer
• Customer Behavior
• Measuring and Driving Customer Satisfaction
13. Rediscovering Starbucks Customer
Recommendations:
We believe that Starbucks should only invest the money in labour wherever needed
and in what amount needed. A good way to do that would be to do a more
thorough analysis of its customer base and identify areas where people are less
satisfied because of the speed of service and then invest in those locations only.
Hopefully the addition of extra labour in those locations would eliminate problems
associated with fast service and treating the customer as valuable.
