This is a case study of Starbucks online communities aiming to find out how does Starbucks conduct public relations online. The analysis of Starbucks’s online communities reaches following conclusions: (1) Online communities can flood negative news and unfavorable opinions. (2) A company can build a healthy image by fulfilling CSR through online communities. (3) Online communities help to maintain customer loyalty and promote the product and service. (4) Online communities can boost free publicity, add extra value to a company’s culture and attract more customers. Overall, the investigator concluded that online communities have potential to surpass the traditional public relations media and play a significant role in establishing a brand.
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5. Spiral of Silence
Elizabeth Noelle-Neumann
The model is based on three premises:
◦ a sixth-sense
◦ a fear of isolation
◦ reticent to express their minority views
6. Word of Mouth Marketing (WOM)
Word of mouth
Word of mouth marketing
Tactics:
Buzz Marketing
Viral Marketing
Product Seeding
Blogging
7. Four models of Public Relations
Press agentry/publicity model
Public Information model
One-way asymmetrical model
Two-way symmetrical model
◦ Uses communication to negotiate with publics,
resolve conflict, and promote mutual
understanding and respect between the
organization and its publics.
8. Background - Starbucks
History
◦ Began in 1971,Starbucks were a roaster and
retailer of whole bean and ground coffee, tea
and spices with a single store in Seattle’s Pike
Place Market.
◦ Today, Starbucks have more than 16,000
locations in over 50 countries.
Store
◦ Total stores 16,706 (as of Dec. 27, 2009)
◦ 8,850 Company-operated stores.
◦ 7,856 Licensed stores.
◦ Operating in more than 50 countries
Products
◦ Coffee
◦ Handcrafted Beverages
◦ Merchandise
◦ Consumer Products
◦ Fresh Food
◦ Brand Portfolio
9. Background - Starbucks
Recognition
◦ One of the “100 Best Corporate Citizens”
Corporate Responsibility Officer/Business Ethics –
2000-2009
◦ One of the “World’s Most Ethical Companies”
Ethisphere – 2007-2009
◦ One of “The 100 Best Companies to Work For”
FORTUNE – 1998–2000, 2002–2009
◦ One of the “Most Admired Companies in America”
FORTUNE – 2003–2009
◦ One of the “Best Places to Work for LGBT Equality”
The Human Rights Campaign – 2009
◦ Among the “100 Best Global Brands”
BusinessWeek – 2001-2008
◦ One of “World’s Most Respected Companies”
Financial Times – 2005-2006
14. Research Questions
How does Starbucks conduct its public
relations online?
How does public respond to Starbuck’s
online communities?
What benefits do these online
communities bring to Starbucks?
15. Research Method
Googling “Coffee”
Googling “Starbucks”
Visit and observe the Starbucks’ online
communities
Gather information from other websites
and articles about Starbucks
26. Starbucks response
Starbucks hadn't spent much time responding to Stop
Starbucks because their campaign didn't gain much
traction from Starbucks Twitter, Facebook, or MyStarbucks
community.
“Allow your workers to unionize” was the title of a post in
My Starbucks community, where each vote for an idea nets
10 points. As of today, the post has only gotten 40 points
and 8 comments.
By contrast, an idea about Dark Chocolate beverages got
5040 points and 38 comments. And one about the size of
lids on cups got 40 points.
27. Conclusion 1
Online community can balance the
negative views.
34. Conclusion 3
Encourage the conversation between the
company and customers, smooth mutual
understanding and it will help to maintain
the customer loyalty and promote the
product and service
35. Starbucks entertainment
Starbucks in movies
Buzz Marketing
40. Strategy keynote in Social Media
Influence 2010 conference
It’s about relationship, Build a coalition
not marketing Thoughtfully deputize
Be authentic Make a commitment
Don’t outsource your Ask for forgiveness,
voice not for permission
Social fits within a Become a content
larger digital and archeologist
integrated world Opening new ways to
Leading to powerful engage
results
41. “All you need is LOVE”
- Starbucks' worldwide Red project for AIDS in Africa
http://www.youtube.com/watch?v=7JHAXqwRGoI&f
eature=player_embedded
42. Starbucks va por un Shared Planet
http://www.youtube.com/watch?v=cATlA
NMv6uk
43. Conclusion 4
Attract more publicity for free, engage in
greater cause and win more customers in
return
44. Conclusion
Online communities are building
Starbucks’ company image in the
following ways:
Flood negative news and unfavorable
opinions
Fulfill CSR online, build healthy image
Maintain customer loyalty and promote the
product and service
Boost free publicity, add extra value to a
company’s culture and attract more
customers