While coffee remains the core product and focus of Starbucks, the introduction of various new products has expanded the Starbucks product portfolio. For example, the acquisition of Tazo Tea has allowed Starbucks to provide new offerings such as tea-only stores (Blessing). Also, as part of the marketing campaign, Starbucks is making a push for its store employees to provide customer with exceptional customer service. For example, part of the campaign is highlighting Starbucks willingness to remake a drink for a customer if it is not satisfactory.
This ill ensure that Starbucks is always putting the best product forward. Pricing: Starbucks has always offered a range of products that vary In price. With the economy slowing starting to gain momentum, Starbucks’ main objective must be to keep prices on par with competitors. In addition, a market opportunity presented Itself during the recession – at home coffee drinkers.
In order to capitalize on this market segment, Starbucks must price there at home coffee selections closely to competitors such as Dunkin’ Donuts, while also balancing economic factors such as distribution costs, fair-market costs, and more. omotion: Starbucks will continue to adopt new promotional outlets in order to reach consumers. An active participation on Web 2. 0 platforms, televisions advertisements, and email marketing will all be utilized to promote products and Initiatives. Initiating contests for customers to participate in will be a main focus. These can range from coffee bag design contests, to social media contests integrating platforms such as Instagram and Twitter.
One more promotional opportunity that will be utilized Is partlclpatlon In “Daily Deal” sites such as Groupon and LivingSocial, in order to associate the Starbucks brand with affordable deals. Placement: The traditional methods of distribution will continue to operate the placement of Starbucks products to Its’ consumers. One area which shall be investigated further is how to better penetrate alternate retail outlets such as grocery stores, in order to attract the market of at home coffee drinkers. Also, other potential sites for warehouses shall be scouted and considered in order to anticipate for potential growth.
Action Programs -Initiate television ad campaign for new product launches -Initiate coffee bag design contest Organize free in store tastings for new products offering that will require email list registration -Develop “Daily Deal” site Starbucks By Manassehgall Pricing: Starbucks has always offered a range of products that vary in price. With the itself during the recession – at home coffee drinkers. In order to capitalize on this Promotion: Starbucks will will all be utilized to promote products and initiatives. Initiating contests for and Twitter.