STARBUCKS CASE - ACTIVITY 4

● Apply the flower of service model to this business case. Describe the flower
model: core and supplementary components.
Core product:
- Coffee

Supplementary:
- Tea
- Pastries
- Frappuccino beverages
- Smoothies
- Merchandise (mugs, instant coffee, etc.)

Flower of service

● Which is the branding strategy that Starbucks is following?

Corporate branding, specifically Branded House, Starbucks has built a corporate image by
associating their products with the well established company name. Also, providing its
customers a unique experience based on service quality. Its marketing campaign is
developed to bring consumers closer to the coffee producers and to the coffee production to
the region where it is cultivated. They are also using the branding policy by capturing
customers with all their senses, not only with visual advertising but also with the other
senses such as smell, so that people get attracted with the aroma when they pass through
the stores or by offering comfortable seats so people think of Starbucks as a place for
making a break of their routine and relax.

● Can you improve the business case incorporating the 3 additional P for
services?

There are always new ways of improvement although we think they are already constantly
improving their business. For the people, they are hiring skilled people who are trained to
perform an excellent service and whose motivation arises from Starbucks’ values and
corporate responsibilities which make the employees proud to be part of the company.

Moving to the Physical Evidence, we can see that the service is well-delivered since the
customers get their food and their drinks which always look nice and tasty. They also have
cosy and well-situated stores where customers can enjoy comfortable seats and free Wifi.
The physical evidence also includes how a business and its products, services are perceived
in the marketplace. Starbucks benefits from a strong presence and establishment in the
marketplace. For instance, Starbucks’ has gained an international recognition and is now a
global brand. When we think of “coffee shop”, we think of Starbucks. Their challenge is to
penetrate international markets such as Italy, where people prefer small italian coffee shop.

For the Process, Starbucks have experienced and dynamic employees who divide important
tasks. For example, one person of the staff is taking customer's orders and managing the
payment process while one or two employees are making the drink. A possible
enhancement of the process would be the creation of a smartphone application so that all
clients could order their drink in advance and pay their bills on the application. Consequently,
they could get at the Starbucks’ shop without waiting. This would enable Starbucks to get
more orders since the line can sometimes stop customers from getting their drinks there.