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Starbucks Corporation“One Cup at a Time” Elizabeth Billingsley BUSN 319 Marketing DeVry University March 23, 2010
Company History March 30, 1971 – original Starbucks is opened in Seattle, Washington April 1986 - Schultz starts the Il Giornale coffee bar chain 1987 – Baldwin, Siegal, and Bowker sell Starbucks to Schultz
Marketing Mix
Subsidies Aside from Starbucks Corp… Tazo Tea Company Seattle’s Best Coffee Torrefazione Italia Hear Music Ethos Water
Products What does Starbucks really sell? -A lifestyle- Officially…drip-brewed coffee, espresso-based hot drinks, other hot/cold drinks, coffee beans, quick snacks and meals, ice cream,  and accessories And through Hear Music… books, music, and film
Channels of Distribution RETAIL LOCATIONS  KIOSKS WITHIN DIFFERENT STORES ONLINE MEDIA
Pricing Structure Luxury product Buying out surrounding competitors NON-licensing
Target Markets At first… 	…young college students, social classes, and neighborhoods that would be most receptive to the idea of buying… A LIFESTYLE!
Target Markets (cont.) Now… 	…Starbucks wants to include EVERYBODY* *Ignorance of very definition of TARGET MARKET
Promotional Efforts Starbucks Card Coffee services delivered to offices and drive-thru connivance Appealing to a diverse customer base; more than just coffee! Philanthropy Corporate Social Responsibility
Controversies US Army viral email scandal ‘The Way I See It’ Labor disputes Industrial Workers of the World -> UNIONIZED! Market strategy Saturating the market Anticompetitive attitude
Recent Changes Opening of 900 stores internationally announced in 2009…but 900 store closures throughout US since 2008 Price increases… in a suspicious economy? New competition!
Final Assessment Starbucks is going strong and fighting to stay at the top!
Questions ?

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Starbucks Corporation

  • 1. Starbucks Corporation“One Cup at a Time” Elizabeth Billingsley BUSN 319 Marketing DeVry University March 23, 2010
  • 2. Company History March 30, 1971 – original Starbucks is opened in Seattle, Washington April 1986 - Schultz starts the Il Giornale coffee bar chain 1987 – Baldwin, Siegal, and Bowker sell Starbucks to Schultz
  • 4. Subsidies Aside from Starbucks Corp… Tazo Tea Company Seattle’s Best Coffee Torrefazione Italia Hear Music Ethos Water
  • 5. Products What does Starbucks really sell? -A lifestyle- Officially…drip-brewed coffee, espresso-based hot drinks, other hot/cold drinks, coffee beans, quick snacks and meals, ice cream, and accessories And through Hear Music… books, music, and film
  • 6. Channels of Distribution RETAIL LOCATIONS KIOSKS WITHIN DIFFERENT STORES ONLINE MEDIA
  • 7. Pricing Structure Luxury product Buying out surrounding competitors NON-licensing
  • 8. Target Markets At first… …young college students, social classes, and neighborhoods that would be most receptive to the idea of buying… A LIFESTYLE!
  • 9. Target Markets (cont.) Now… …Starbucks wants to include EVERYBODY* *Ignorance of very definition of TARGET MARKET
  • 10. Promotional Efforts Starbucks Card Coffee services delivered to offices and drive-thru connivance Appealing to a diverse customer base; more than just coffee! Philanthropy Corporate Social Responsibility
  • 11. Controversies US Army viral email scandal ‘The Way I See It’ Labor disputes Industrial Workers of the World -> UNIONIZED! Market strategy Saturating the market Anticompetitive attitude
  • 12. Recent Changes Opening of 900 stores internationally announced in 2009…but 900 store closures throughout US since 2008 Price increases… in a suspicious economy? New competition!
  • 13. Final Assessment Starbucks is going strong and fighting to stay at the top!

Notas do Editor

  1. Retail locationsKiosksOnline
  2. young college students, social classes, and neighborhoods that would be most receptive to the idea of buying $3 a cup of coffee and spending time with friends at their stores