Running head: MARKETING REPORT

Marketing Report

By

[Name of the Student]

[Name of the College]

[Date]
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TASK 1

Starbucks Coffee is a worldwide coffeemaker that first opened its doors in 1971 in

Seattle's Pike Place Industry. Numerous strategic proposals, such as strong brand formation,

premium item design, and enlargement of business to global marketplace, were mainly

accountable for Starbucks Coffee's specialty coffee marketing strategy during the 1980s and

1990s, which was founded by businessman Howard Schultz. Bryson, Edwards & Van Slyke,

(2018) noted that with over 30,000 outlets in over 80 markets across the world as of June 30,

2019, Starbucks Coffee has witnessed rapid and incredibly astonishing expansion. The purpose

of Starbucks Coffee is publicly expressed on the company's website: “to inspire and nurture the

human spirit – one person, one cup, and one neighborhood at a time.”

Initiation of Starbucks is the world's largest coffee manufacturer. Jerry Baldwin and

Gordon Bowker founded the company, which focuses on relentless marketing. It was originally

established in the United States of America, and then expanded to the United Kingdom, where

clients may receive high service in a relaxing environment (Antipov et al., 2019). Starbucks has

maintained a constant focus on improvement and progress in respect of enterprises, speedier

networking, and delivery companies, as well as other activities across the world. Starbucks is

committed to providing high-quality coffees and works with a creamy type of Italian espresso.

Pastries and other confectioneries are available from the firm. In this approach, the corporation

increases sales in the supermarket by offering high-quality items in its stores. This aims to

improve client experience while also assisting in the welcoming of clients with a high degree of

quality in company forms and procedures. As a result, the organization specializes in providing

papers, reading, entertainment, and other key types of access over the online.

Mr. Howard Schultz founded the firm in Seattle, and the corporation used a number of

concepts in order to expand its storefronts and assets (Sawhney, 2018). In this manner, the
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corporation was able to reach out to a new segment of the market while also attracting a lot of

attention in order to achieve its objectives. It was the most well-known brand, and it was also

known for producing elevated goods. It has been fiercely active around the globe and provides a

high-quality coffee service. As a result, the firm is aggressive, and it concentrates on high-end

offerings.

Starbucks' purpose is related with the development of the greatest coffee in the world,

which aids in the preservation of essential ideals during expansion. Further, the link and

relationship between strategic marketing and corporate strategy, which address principles,

trademarks, and logos, was analyzed.

Furthermore Hess (2017) added that the main methods and strategies for establishing

the strategic marketing strategy that assists to evaluate the key methods and skills of strategic

planning and marketing with the aid of the above given factors. In this approach, it's

readdressed the critical linkages between strategic positioning and marketing techniques. This

also aided in the analysis of the benefits of relationship management in the strategic marketing

plan for the well-known company Starbucks.

Starbucks Strategic Marketing Plan Fundamentals, the key technique of marketing

planning collides with strategic marketing. It aids in the analysis of the company's strongest

assets in order to delight consumers and handle earnings appropriately. Strategic planning is

the act of building and sustaining a strategic strategy between the organization’s objectives and

competencies. It is heavily reliant on meeting the level of competitors as well as fostering long-

term growth and expansion. This also aids in meeting the needs of customers and determining

the best course of conduct to get greater results.

The action-oriented innovative choice, for example, is a strategic solution for businesses

that leverages answers to the outer environment that they face. The advantages of strategic
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alternatives are founded on patterns, facts, threats, and global players (Sawhney, 2018). As a

strong five forces, Ansoff Matrix, and SWOT analysis tool, there are numerous strategic

alternatives.

A marketing strategy is critical to a business' employees. It incorporates the patient's

changing demands and expectations. It is a crucial knowledge of customer communication, and

it covers vital actions such as developing services and goods that will fulfill the customer's

needs and conveying the appropriate values in order to produce items that create value. For

evaluating the efficacy of marketing strategy, a comprehensive advertising plan also gives an

assessment of consumer products and services. According to Antipov et al. (2019), in a firm like

Starbucks, the idea of huge profitability should be used. For improved tactics, the corporation

should aim to recruit millions of individuals, and the people should have a distinctive and

soothing encounter. As a result, robust client happiness ideas should be in place. Building

creative concepts is necessary for improved strategic marketing strategy.

A firm's main objective should be to have a worldwide footprint. Starbucks' purpose is

related with the development of the best coffee in the globe, which aids in the preservation of

essential ideals during expansion (Bryson, Edwards & Van Slyke, 2018).

TASK 2

One must understand the personal preferences of your target audience in order for your

goods / services to be well-accepted by customers. Marketing findings gives one vital

information about their competition and present items. The outcomes provide knowledge into

what it takes to obtain a competitive advantage. As a result, businesses base critical business

choices, such as sales and marketing strategy, on thorough market research. It also assists you

in directing resources to where they will be most successful. Papageorgiou et al. (2018)
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highlighted six steps are included in the marketing research process: 1: problem description, 2:

construction of a problem strategy, 3: development of a study design, 4: collection of data, 5:

data preparation and analysis, and 6: report preparation and presentation.

Market research may take numerous forms, including societal influences, social media

monitoring, customer feedback, and in-store product testing. Starbucks could masterfully use

market research to design marketing messaging and keep up to date on customer mood.

Businesses in the coffee sector are vulnerable to a wide range of external hazards, the majority

of which they have no control over or influence over (Gupta, Nagpal & Malik, 2018). The list of

external challenges is extensive, ranging from weather fluctuations to sustainably sourced

coffee, and Starbucks must adopt an adaptable strategy to cope with both its internal and

exterior market environments.

Starbucks provides all of these services and more. The firm also employs social

listening, which entails analyzing digital networks such as Facebook, Instagram, Twitter, and

Reddit to learn what people are saying about the brand and get input that might help the brand

progress. Starbucks has 11.5 million Twitter followers, 17.3 million Instagram followers, more

than 37 million Facebook likes, and approximately 200,000 YouTube subscribers as of

December 2018 (Clements, 2019). This rising audience can assist in gathering helpful insights

on new product launches as well as the possibility of their success.

Starbucks tests new items in select locations on a regular basis, which enables the

companies determine whether it has to make significant adjustments before introducing them in

other areas — or whether the launch will even proceed in other countries. Before releasing a

new product, Starbucks might gather data from multiple market research organizations, as well

as data from its own stores, to develop its new product lines. Chuang (2019) noted that

Starbucks could choose to employ the following market research approaches:

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1. Cultural trends

2. Environmental factors in supply chain management

3. Social media monitoring

4. Customer preferences tracking

5. In-store product testing

If Starbucks chooses to follow any of these approaches in order for market research, it

might work for new product.

TASK 3

Starbucks' first marketing strategy was to segregate customer segments based on

socioeconomic status. Working professionals and their demand for a relaxing environment are

the focus of this project. Starbucks additionally separates its market based on geography and

demographics by establishing locations that cater to the aforementioned target clientele.

According to Liu et al. (2021), most businesses start out in a growing product by concentrating

on a particular section, and then expand into other categories if they succeed. Starbucks

followed suit, expanding its food line and social media marketing footprint to target to teens and

young people too though. Starbucks' marketing mix has aided the company in establishing a

distinct market stance for its goods, emphasizing the brand's entire distinguished encounter.

They've established themself as a well-known company.

To reach the current, innovative youth, the corporation’s marketing mix has expanded its

usage of digital technologies and online networking for advertising and consumer involvement.

Starbucks Social Media Strategy

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 On internet platforms, the majority of people are acquainted with Starbucks. The

company's numerous social media profiles are noted for their unique design, engaging

updates, and aesthetically appealing material (Erickson, 2017). Recipes, pictures,

essays, and interviews are among the many types of material available. However, there

is more to it than strikes the face. The flood of material may be composed of a number of

promotions aimed at raising company recognition and establishing a sense of belonging.

 Starbucks Product-based Marketing Campaigns

Starbucks promotes one-of-a-kind and big follower drinks. The firm is well aware of how

successful their signature goods are, but more significantly, they are also aware that

their target population is hungry for this type of material. Krishna (2018) noted that

they've also built social pages for their most popular drinks, like as Pumpkin Spiced Latte

and Frappuccino, where they share pertinent and humorous jokes with their devoted

fans. User-generated content (UGC) plays a role here as well. Public photographs of

more Instagrammable items, like the Unicorn Frappuccino, are frequently chosen to be

new via legal means and utilized in influencers marketing.

 Starbucks Corporate Social Responsibility-based campaign

Starbucks positions itself as wide and tolerant by using societal reform as a marketing

strategy. The #ExtraShotOfPride campaign, which promotes the LGBT+ population, is

one example (City, 2021).

 Community-based campaigns

 
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#RedCupArt

campaign

 Starbucks' digital approach also places a premium on spotlighting persons and

community. Consider the #RedCupArt initiative, which not only boosts interaction but

also creates a repository of user-generated material. City, (2021) mentioned that they

localize the information by using narrative to demonstrate examples of bravery and

charity in American neighborhoods. Starbucks makes an attempt to humanize the

corporation by posting tales on their Instagram account that emphasize the individuals

who serve an important role, notably when customers are wary of major companies.

 Festive Marketing

Starbucks has also launched a new season whole-bean coffee, the #StarbucksDiwaliBlend,

for customers in the United States and certain international regions. Custom and obtained from

Tata Estates in Karnataka and Tamil Nadu, the current excellent mix is a must-try. Starbucks
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Diwali Mixture pays homage to the town's unique espresso legacy and skill

Starbucks Digital Marketing Presence

Starbucks recognises that its customers are digitally savvy, making a solid digital marketing plan

essential. Starbucks clearly favours advertising on media that allow for two-way contact over

channels that only allow with one interaction, such as tv ads.

• Starbucks updates its online network accounts on a regular basis and creates tasks and

activities to attract clients and grow its fandom.

The latest Flipkart Starbucks Twitter war demonstrated how dynamic and enjoyable a

corporation like Starbucks is, and it demonstrates why the company is so popular among its

target population, particularly millennial (Krishna, 2018). Outside of campaigns, they show
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numerous images on their platforms of friends and family enjoying drinks of Starbucks coffee

together, interspersed with high-quality content that promotes seasonal products. 

. Marketing

During Covid-

19

We've

all seen

how

quickly

the

Covid-

19

outbreak spread around the planet. Suddenly, every company in the world was

impacted. And they had to find a way to stay afloat in these uncharted waters. The

epidemic had a significant influence on the market, but Starbucks was continually

improving to lessen the commercial effect. These were the actions made by the coffee

behemoth throughout the epidemic, demonstrating why it is the utmost valuable

(Erickson, 2017)

 Expansion
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CEO Navin Gurnaney announced that they are launching drive-thrus to encourage people to

engage with them, and home delivery to make sure they are connected with their customers

during the pandemic. The first drive-thru was at Ambala Chandigarh Expressway in Zirakpur.

They have also launched their app – Starbucks India App so that customers can easily navigate

and purchase their offerings (Liu et al., 2021).

Starbucks is an expert at using valuation marketing to optimize revenues, and they

utilize study and user analytics to develop focused price hikes that collect the maximum amount

of money customers are inclined to pay before sending them away. Although this may sound

self-evident to everyone working in company, value-based price is rarely used to successfully

reveal the utmost price a client group is prepared to pay on their goods.

In the example of Starbucks, pricing rises over the years have already discouraged the

most valuation clients, creating a devoted, elevated existing people that view these coffee

products as an attainable indulgence. Bryson, Edwards and Van Slyke, (2018) noted Starbucks

hikes costs to account for consumers loss to cheaper rivals like as Dunkin Donuts, in addition to

maximize earnings from these cost averse users who have come to rely on its robust gourmet

coffee.
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The company has a valued customer based due to their constant connection with their

clients maintaining their loyalty through online marketing equipping Twitter, Instagram,

Facebook, Snapchat and any trending app. They follow most of the trends while catering to their

target audience through social responsibility posts making their loyal customers comfortable and

relatable upon which they can price it according to their profit maximization value.

While launching a new product, Starbucks could employ their social media influence to

promote and convince their target audience to purchase the trending new launch. As previously

evidenced, Starbucks incorporates festivities and CSR to promote and in their new launch they

could use New Year in the recent launch throughout the promotional product cycle till their loyal

client base adapts to the taste of it (Gupta, Nagpal & Malik, 2018).

TASK 4

Starbucks' globalization policy takes a multi-domestic business method. Multidomestic

businesses are known for their close relationships to surrounding people. This MNC kind is a

separate entity from the parent company and other subsidiary. Multi-domestic corporations have

a significant level of local reactivity, suggesting that their strategic planning responds to local

population expectations or requirements. Azriuddin et al. (2020) affirmed that multi-domestic

organizations use a model that combines minimal absorption with strong reactivity.

Starbucks' internationalization policy consists of three components: fully owned

companies, partnerships, and licensing. When Starbucks wishes to expand quickly in a specific

nation, the licensing method is employed. In order to introduce its commercial techniques to the

regional industry, Starbuck employs a joint venture approach. Starbucks employs the fully
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controlled subsidiary strategy when it has extensive market expertise of the region it serves,

such as the United States and Canada (Clements, 2019).

The commercialization of Asia Pacific countries, as well as the desire of the younger

population to emulate the western way of life, drew Starbucks to these regions. Before

approaching a new business, Starbuck conducts market survey. Starbucks begins by testing

promotion in a small number of locations, and regional baristas are educated in Seattle.

Starbucks' approach for approaching the Asian markets was to collaborate with Sazaby Inc.

Starbucks was popular in Japan because of its corporate methods, such as no smoking tenets,

which attracted to younger Japanese girls. City (2021) emphasized that Starbucks benefited

from this cooperation since Sazaby was well-versed in Japanese espresso consumption habits

and traditional customs, such as the Green Tea Frappuccino, which became popular. Starbucks

took Sazaby's market expansion and acceptability counsel to heart. Starbucks was successful

in attracting a youthful population in all of its Asian countries, since young people in these

industries were eager to emulate American culture.

To increase market recognition, Starbucks goods embraced regional ethnic customs.

For instance, Asian customers consume espresso with a side of curry puffs or meat buns, thus

Starbucks catered to this regional tradition with curry puffs and meat buns. Starbucks in

Vietnam sticks to its strategy of making Starbucks into the "third family" of consumers after the

homes and offices, but it must adapt to the high-setting Vietnamese culture (Gupta, Nagpal &

Malik 2018). Not only do the Vietnamese adore cappuccino, but they also enjoy investing hours

speaking and taking in the scenery. As a result, when Starbucks came to Vietnam, it sought to

adapt fast to the Vietnamese society. Starbucks locations, for example, are equipped with

power outlets, Wi-Fi, and comfortable seating.

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Starbucks learnt to be socially conscious and cognizant of foreign cultures and their

beliefs as part of its globalization plan. Starbucks, for one, had a linguistic barrier as well as

social, religious, and behavioral disparities in the Chinese market. In China, the American

espresso habit seemed strange. Starbuck's takeout espresso is well-known in America, and it

includes on the third place for interface. The businesses are organized similarly to other

locations in the United States. Tea is served with traditional Chinese desserts in China. On the

other hand, Chinese people rarely go to a bistro by themselves. According to Hess (2017) and

statistical polling, they like to travel in groups of 10 people, which would put a burden on

western espresso shops that are designed to cater to solitary customers and two-person

gatherings. Starbucks Espresso operates differently in China than it does in the United States.

The complexities of the Chinese industry inspired a global alliance to aid Starbucks'

development in China. Starbucks was able to localize to a variety of regions because to these

collaborations, which gave consumer insight into the interests and inclinations of Chinese

customers. Beijing Mei Da teamed up with Starbucks to break into the market in northern China.

Starbucks' collaboration with Uni-President aided market expansion in eastern China. Antipov et

al. (2019) highlighted Starbucks was able to educate about and adjust its goods to the cultural

milieu of southern China because to its partnership with Maxim Caterers. Starbucks works hard

to preserve its trademark image because it is a worldwide product, and brand management is

an important part of the internationalization process. Starbucks brand ambassadors in China

helped Starbucks build its image in the Chinese industry and ensured that strong client service

requirements and food excellence were met in each new location.

Starbucks has been able to adapt to shifting markets because to its constant market

study procedures. Starbucks had to diversify and tailor its goods to suit the local industry after

establishing a worldwide reputation (Azriuddin et al., 2020). Personalization was the marketing

method used in China to cater to the heterogeneous goal audience of Chinese consumers.
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Starbucks built a comprehensive customer taste assessment that was sufficiently flexible in

allowing them to react to the industry and generate an attractive east meets west products

combination. The translation attempts were sufficiently adaptable to allow each retailer to

choose from a diverse array of expressions.

TASK 5

Gibbs Reflective Cycle

The reflexive learning cycle encourages a clear description of the situation, sentiment

analysis, experience evaluation and analysis to understand the experience, to know what you

would do if the situation arises. Starbucks marketing strategy uses print and media advertising as

a proven channel to deliver marketing messages to existing and potential customers. Liu et al.

(2021) worthy noted that Starbucks has continued to launch several new products while retaining

their loyal customer base at profit maximization strategy they have greatly incorporated social

media’s strength to market in local and international economies.

In today's competitive economy, marketing strategies are a must-have tool for businesses.

In this regard, Starbucks' current marketing strategy is a good example. They have not only

grabbed foreign markets, but they have also kept a devoted consumer base by designing and

comprehending a well-thought-out marketing plan that takes into account their audience's input

(Hess, 2017). Furthermore, it will encourage innovative product concepts, such as effective and

efficient research analysis and other current market situations. The Gibbs Reflection Cycle
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Model can aid in the construction of specific models that will aid in the accomplishment of their

joint venture.

These are some of the elements of the Gibbs thought cycle that our experts know.

• Description

Starbucks' launch strategy should be thoroughly crafted by the corporation. It is also

critical that the product quality and kind be appropriate for both offline and online marketing.

This is what prompted our author to investigate the Gibbs reversal cycle, and understanding

Gibbs' thinking cycle model will have a huge influence on the whole research (Krishna, 2018).

• Feelings

Starbucks should consider major topics such as why they would introduce a new product

and what sort of product they would launch. It also includes several issues that the organization's

management should take into account while developing specific measures.

• Evaluation

Continue this step by discussing your thoughts, how things are progressing, and

describing a specific circumstance (Sawhney, 2018). It is beneficial to include other writers'

thoughts and efforts. In reflective writing, it is critical to incorporate reflexive periodical

references and Gibbs resources. Our author took no chances in emphasizing this passage.

• Analyze
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The analytics section should provide content that can either help or hurt the event. They might

also compare the experiences to their own. When creating thought-provoking articles, the Gibbs

Thinking Course professionals make sure to mix theory with personal experience.

•Conclusion

The conclusion comprises of the company’s decision to launch new products dependent

on the feedback and surveys gathered by market research. Starbucks uses in-depth market

research to maintain a loyal customer base while using latest trends to market the brand and its

products regularly to keep pricing at profit maximization. Gupta, Nagpal and Malik (2018) noted

that this is an excellent tactic since consumers now realize Starbucks is known for its premium

products rather than its low prices.

• Action Plan

There should be a proper action plan may feel that you need to learn something or gain

professional knowledge. Starbucks presently sells edibles and beverages. Their goal is to expand

their target audience while maintaining loyal customer base by retaining their attention through

new product launches as well as following all latest trends proving that they are indeed a high-

end brand (Hess, 2017).

Starbucks caters to high-income consumers and Starbucks Finest was founded. All Starbucks

products are "premium" ingredients hence the price is acceptable to their loyal customer base.
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References

Antipov, V.Y., Kurokhtina, O.Y., Maksutkan, S.M. and Anyushenkova, O.N., 2019. Some

essential features of strategic planning. Наука и образование: новое время, (1),

pp.178-183.

Azriuddin, M., Kee, D.M.H., Hafizzudin, M., Fitri, M., Zakwan, M.A., AlSanousi, D., Kelpia, A.

and Kurniawan, O., 2020. Becoming an international brand: A case study of

Starbucks. Journal of the Community Development in Asia (JCDA), 3(1), pp.33-43.

Bryson, J.M., Edwards, L.H. and Van Slyke, D.M., 2018. Getting strategic about strategic

planning research.

Chuang, H.J., 2019. Starbucks in the World. HOLISTICA–Journal of Business and Public

Administration, 10(3), pp.99-110.

Chung, Y.C., Liao, S.H. and Chang, W.J., 2018. Long live friendship? Relationships among

friendship, trust and brand loyalty: a study of Starbucks. International Journal of Web

Based Communities, 14(4), pp.335-352.

City, Q., 2021. STARBUCKS CORPORATION.

Clements, M., 2019. Strategic Audit: Starbucks.

Erickson, G.S., 2017. New methods of market research and analysis. Edward Elgar Publishing.

Gupta, P., Nagpal, A. and Malik, D., 2018. Starbucks: global brand in emerging

markets. Emerald Emerging Markets Case Studies.

Hess, E., 2017. Starbucks Corporation (a).

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Krishna, C.G., 2018. Starbucks Communication Strategies–More Than Just a Cup of

Coffee. IUP Journal of Soft Skills, 12(3), pp.23-53.

Liu, X., Wang, X., Zhou, X., He, X., Pan, D. and Feng, L., 2021, June. Analysis of

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Conference on Enterprise Management and Economic Development (ICEMED

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Papageorgiou, G., Demetriou, D., Balamou, E. and Maimaris, A., 2018, June. Market research

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Sawhney, M., 2018. Starbucks: Driving Growth Through New Dining Occasions. Kellogg School

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