Starbucks 's Marketing Plan For Starbucks

McDonald’s, in addition to several other fast food vendors like Burger King, Dunkin’ Donuts, Panera Bread and independent coffee houses remain Starbuck’s toughest competition (Adamy). McDonald’s began introducing its espresso beverage products in 2001, and offers its product at a price between two and three dollars to compete with Starbucks between three and four dollars a cup coffee (Adamy). Similarly, Dunkin’ Donuts has recently implemented a plan to expand nationally (Adamy). On average, Dunkin’ Donuts coffee products cost approximately 20 percent less than Starbucks’ (Ball and Leung). In response, Starbucks has announced recent

Starbucks, a key performer in the gourmet coffee sector and also in the specialty Eateries industry is segmented in the service industry. Starbucks was first introduced in Seattle, Washington USA in 1985, and then worldwide. Starbucks specialises in brewed coffee, hot chocolate, espresso – based drink, teas, frappuccinos and fruit smoothies. From 2008 onwards Starbucks owned over 16,226 stores worldwide, along with 11,434 stores located in the United States.

In the last few year the degree of competition in the coffee shop market increased a lot, while in the 1990s Starbucks had kind of a monopole as the only coffee shop chain, while nowadays there are more and more competitors. Like Tim Hortons a Canadian chain providing coffee and cakes with more of 3000 locations worldwide or McCafé. Also if Starbucks is until today the worldwide leading brand in this kind of segment, it is not that easier anymore. For example McCafe: McCafes are coffee shops included into McDonalds restaurant or also alone standing. They provide as same as the Starbucks coffee shops a wide range of bakery, hot and cold beverages and snacks. The only difference between them is the price, McCafe is focused like McDonalds on cost leadership, so they try that the prices are as small as possible, while

Compared to the other coffeehouses, Starbucks has a greater augmentation layer. Now, Starbucks has provided ice creams, alcoholic beverages, teas and juices in addition to coffee. Not many companies has this wide range of products sold in the market.

Starbucks has become the world leader as the largest coffeehouse company in the world, with 23,132 stores in 65 countries, including 12,937 in the United States, 2,004 in China, 1,416 in Canada, 1,135 in Japan and 849 in the United Kingdom (www.starbucks.com). Since its creation in Seattle, 1971, the coffee giant has several different product lines from pastries, flavored hot and cold drinks, whole-bean coffee, micro ground instant coffee, bear, wine (at some locations), entertainment to include music, books and grocery store packaged products. Their mission is to establish Starbucks as the premier

Founded in 1971, Starbucks Coffee Company’s first location was in Seattle’s Pike Place Market and after 35 years, Starbucks has grown to over 11,500 outlets worldwide serving approximately 40 million customers every week

The threats to the Starbucks Corporation are associated with competitive rivalries in the coffee market, rise in price of raw materials, cultural and political factors related international business.

As a consultant for Starbucks, it was interesting to review a multinational company that operates in 62 countries and has 19,000 stores (Starbucks Corporation, 2013). It is apparent that success lives within the offerings of high quality coffee with a 3 billion base of customers enjoying the products. The company has a strong commitment to buying and serving high-quality coffee and consumers have savored the coffee and the prestigious brand. Starbucks arsenal not only consists of the signature Starbucks brand but also goods and services under names such as Teavana, Tazo, Seattle’s Best Coffee, Starbucks VIA, Starbucks Refreshers, Evolution Fresh, La Boulange and Verismo. All of the intricacies that make Starbucks a big success also offer challenges to the company that puts more weight on an effective strategic management process.

Starbucks Corporation is an American global coffee company and coffeehouse chain based in Seattle, Washington. Starbucks is the largest coffeehouse company in the world, with 20,366 stores in 61 countries, including 13,123 in the United States, 1,299 in Canada, 977 in Japan, 793 in the United Kingdom, 732 in China, 473 in South Korea, 363 in Mexico, 282 in Taiwan, 204 in the Philippines, and 164 in Thailand.

Starbucks is the largest coffeehouse company in the world. It was founded by three very unusual entrepreneurs, an English teacher Jerry Baldwin, History teacher Zev Siegel and a Writer Gordon Bawker. They came with this brilliant idea of getting into the coffee business inspired by an entrepreneur who sold high quality coffee beans and equipments, named Alfred Peet. The first Starbucks store was opened in Pike Market Place in Seattle on March 30, 1971. It is a for profit company.

Starbucks is the leader in the coffee retailing market, with purchasing and roasting top quality coffee beans. It has created a well respected brand with a dynamic

Starbucks’ top competitors include McDonald’s (MCD), Dunkin’ Donuts (DNKN), and Caribou Coffee (formerly CBOU). As competition and the number of rivals increase profitability decreases. Starbucks has continued to diversify its products as a result of its competitors targeting the larger customer market. According to most recent quarter closes, Starbucks (SBUX) has maintained a fair percent of the market and shows a quarterly revenue growth year over year by 0.18. These metrics compared to other publicly traded competitors are quite good and just at industry averages. See table 1 below.

Founded in 1971 at Pike’s Place Market in Seattle, Washington, Starbucks coffee went from a high-quality, do-it-yourself whole bean retailer to an international 6.4 billion dollar empire. As of 2005, there were 10,500 stores worldwide where customers could enjoy a cup of the internationally recognized coffee at a convenient location. Starbucks achieved this through a series of strategic movements all while offering a great in-store experience and quality coffee.

most coffee drinkers because it is where most of the educated professionals are located as

Starbucks’ story began in 1971 with a single outlet in Seattle, USA. From the onset, Starbucks set out to be pioneer in coffee industry and it offered one of the finest roasted coffee beans. Now, Starbucks operates in 67 countries and has opened over 22,000 stores. Currently, it is the largest coffeehouse chain in the world. It is estimated to have an operating income of $3 billion and employees around 191,000 people around the world. (Starbucks Company Profile | Starbucks Coffee Company, n.d.)