Starbucks uses big data analytics and artificial intelligence to make business decisions. They collect data from over 30,000 stores worldwide completing close to 100 million transactions per week. Starbucks uses data on population density, average income, and traffic patterns to determine optimal store locations. Menu design and digital menus are optimized using customer purchase data. Registered loyalty program members receive personalized offers and rewards based on their purchase history. Tools used include data on customers, sales, marketing and operations to boost revenue and reduce costs while anticipating customer demand and tailoring the customer experience.

1. S U B M I T T E D T O : P R O F. A N I TA S I N G H
S U B M I T T E D B Y : S I T E S H U PA D H YAY
R E G . N O . - 1 9 1 3 4 0
KNOWLEDGE MANAGEMENT ASSIGNMENT ON
BIG DATA ANALYTICS USED BY STARBUCKS

2. CONTENT
About Starbucks
Type of analytics used
Tools or techniques
used
Outcomes
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3. 3
ABOUT
STARBUCKS
 Starbucks Corporation is an American multinational chain of
coffeehouses and roastery reserves.
 It is headquartered in Seattle , Washington , USA and founded in
year 1971 by Jerry Baldwin, Zev Siegl, and Gordon Bowker.
 Starbucks demonstrates the relationship between data, technology,
and business better than most.
 It has over 30,000 stores worldwide and completes close to 100
million transactions per week.
 After the 2008 crisis Starbucks realized they need data analytics for
store location.
 Prior to this Starbucks decision based on human driven, experience
and judgement.
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4. S T A R B U C K S U S E D B I G
D A T A A N A L Y T I C S A N D
A R T I F I C I A L I N T E L L I G E N C E
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BIG DATA
Big Data is a term used to describe
a collection of data that is huge in
volume and yet growing
exponentially with time. In short
such data is so large and complex
that none of the traditional data
management tools are able to store
it or process it efficiently.
Example
 Social media
 Bombay stock exchange
ARTIFICIAL INTELLIGENCE
A machine with the ability to
perform cognitive functions
such as perceiving, learning,
reasoning and solve problems
are deemed to hold an artificial
intelligence.
Example
Cortona
Siri

5. R e a l e s t a t e d e c i s i o n s
 U s e d m i x t u r e o f a r t
a n d s c i e n c e t o e n s u r e
t h e i r s t o r e l o c a t i o n .
 U s e s d a t a l i k e
p o p u l a t i o n d e n s i t y,
a v e r a g e i n c o m e &
t r a f f i c p a t t e r n
M e n u d e s i g n &
o p t i m i z a t i o n
 U s e s d a t a t o h e l p a l i g n
i t s m e n u a n d p ro d u c t s .
 U s e s d a ta t o d r i v e i t s
m e n u d i g i t a l m e n u
b o a rd s .
P e r s o n a l i ze d
At t e n t i o n
 U s e s re g i s t e re d u s e rs t o
d a t a fo r ro y a l t y re w a rd
p ro g ra m s .
 P ro v i d e s o f fe r i n g
a c c o rd i n g l y.
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6. T O O L S A N D T E C H N I Q U E S U S E D

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Customer and company tuning and delivering accordingly.
 Launching new product lines.
 Defining store locations.
Boosting sales and marketing activities.
 Anticipating customer demand.
 Customizing order suggestions.
Optimizing back end operations.
 Optimizing supply chain management
 Staffing and staff scheduling in a smart way
Eye on competitors.
 New ways of delivery service.
Increasing revenue and reducing costs.

8. THANKYOU