STARBUCKS– Invites You for ” LIVE COFFEE”

History:::

 1971, the beginning.

 1982, idea of “Third Place”

 Howard Schultz became the owner.

 Flourishing city with new stores.

 Company going Public.

Begins the Journey...

 Strategy is what all we will

talk about from now on........

Core Values...

 Costumer Satisfaction
 High Quality Product
 Excellent + Speedy Service
 Offering a 3rd place after office and home
 Product differentiation with vide range of
coffees and add-ons
 Innovation to stand still in world
 Constant in terms of PRICE
Marketing...
 Branding
- “Live Coffee Mantra”
- Product Quality
- Service
- Ambience
 Distribution
- Product mix
- Retail (company & non-company oriented)
- 3rd party relationship
 Employee- Work force
- Partners & baristas
- Partner satisfaction = customer satisfaction
- Lowest employee turnover
- Perquisites
 Service
- Hard skill & Soft skill training
- “Just say Yes” policy
- Basic Service criteria
- Legendary Service
- High efficiency motive
The Competitive World...

 Caribou Coffee

 Peet’s Coffee & Tea

 Dunkin Donuts

 Plus 1000 more independent small players.

Challenges-
Shaking the backbone of Starbucks

 Lack of Advertising + Strategic marketing

 Moving away from ethical value

 Changing Customer

 Declining Genuine Image

 Intimidating Store Presence

The Very next Question that
comes to our mind is----

How to overcome this

challenge ? ? ?
Measures to be adopted...

 Implementing a sound Advertising style

- Product Advertising
- Institutional Advertising

 Improvement in Customer Satisfaction area

- Speedy Service
- Introduction of improved innovations

 $40 million dollar investment plan to comein

The Success Story...

 Starting as a small coffee shop in Seattle’s Pike Place

Market with selling whole arabica beans to niche market
of coffee pursuits....with merely 140 coffee stores
catering Northwest & Chicago by 1992, Starbuck has
flied up to around 5000 stores catering 20 million unique
costumers covering almost North America to Africa to
Central & South America to Asia-Pacific regions, with 300
owned stores in UK, Australia & Thailand, + about 900
licensed stores in countries like Asia, Eroupe, the Middle
east, Africa & Latin America.... and this doesnt end up
here... The company still aims at having 15000
international stores....
 With initial MENU card having just whole beans &
premium-priced coffee beverages with just creme &
sugar as add-on, Starbuck has emerged as to add up
wide range of coffees as in rich-brewed coffees, Italian-
style espresso drinks, cold-blended beverages, and
premium teas with Mocha, Latte, Frappuccino, espresso
& Macchiato offering add-ons as flavoured syrups,
toppings, whipped cream foam & even extra shots of
espresso with varities of pastries, sodas and juices.....
 Starbusk now opens almost 3 new stores a day
 The net income has almost been thrice in last 5 years...
Conclusive Statement....

We’re not in the coffee

business serving people…

We’re in the people

business serving coffee.