Starbucks Corporation is a well-known coffeehouse and coffee company that was founded in 1971. It has a global presence with 16,120 stores across 49 countries, including around 11,000 stores exclusively in the United States (Starbucks Corporation: Starbucks Company Description). The roots of Starbucks can be traced back to a small coffee shop in Seattle, Washington. It was established by Jerry Baldwin, an English teacher, Zev Siegel, a history teacher, and Gordon Bowker, a writer.
Initially, Starbucks purchased coffee from Alfred Peet, the founder of Peet’s Coffee and Tea. Later on, they established their own roasting operations. Their success in opening three additional Starbucks stores by the early 1980s was attributed to their commitment to high-quality coffee and exotic tea as well as their business savvy. Instead of relying on mass marketing and mass media outlets, the promotion mix of Starbucks Company focuses on creating a personal connection with consumers. They prioritize intimate communication strategies to maintain strong customer relationships. As a result, Starbucks does not use television commercials, magazine ads, or radio commercials for promotion. Their only form of public relations and mass media is through press releases published directly on their website, typically issued three months before launching a new product.
Starbucks utilizes a range of direct marketing methods, which include podcasts, advertising on social media platforms like Facebook and Twitter, in-store posters and chalkboards, as well as email campaigns. They also employ sales promotions by distributing coupons via online mailing lists and in-store distribution. Furthermore, they provide informational pamphlets and cards to customers. In-store employees play a role in personal selling by offering samples to customers. Starbucks keeps an active email list to keep customers updated about new products, promotions, and events at their retail stores.
Inside the email, there is a link to Starbucks’ website, as well as a call for customers on the email list to connect with Starbucks on Facebook.com and Twitter.com. Furthermore, each promotion includes an accompanying audio Podcast.
A podcast is a type of media file that can be downloaded from the internet (via platforms like iTunes, Zune, Juice, and Winamp). It can be either audio or video and is released in a series of episodes. The purpose of a podcast is to provide information that would typically be found in printed pamphlets but in a spoken format. Additionally, a podcast may include visuals, such as videos showcasing new products, their ingredients, and the production process. This use of podcasts is beneficial for reaching potential consumers who may not frequently visit stores or have access to printed materials. Starbucks has successfully utilized this promotional strategy.
Starbucks, a renowned global brand, has established a strong reputation for its exceptional products and services. It has effectively become the most well-known coffee brand worldwide and remains a prominent player in the industry with significant profitability. To enhance its presence further, Starbucks should focus on reaching Generation Teens by expanding its market segmentation. This can be achieved through offering complimentary internet access at all Starbucks coffee shops and introducing new personalized beverages such as fruit blenders with an assortment of enjoyable ingredients specifically catered to teenagers.
Starbucks can support environmental sustainability by offering eco-friendly options to its customers. For instance, they can promote the use of ceramic cups instead of plastic ones, which helps reduce plastic waste. In addition, providing free internet access at their coffee shops would not only attract customers but also offer them the convenience of staying and enjoying their food or drink.
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starbucks.com. 2009. Retrieved 5 May, 2011
