Starbucks marketing

Brief history of the term “marketing-mix”

1964’ Neil H. Borden published “The Concept of the Marketing Mix”

“Marketing-Mix” included: product, planning, price, branding, distribution channels, personal selling, advertising, promotions, packaging, display, servicing, physical handling, and fact finding analysis

Brief history of the term “marketing-mix” 1940’s James Culliton “marketing manager=mixerof ingredients”

Brief history of the term “marketing-mix” E. Jerome McCarthy grouped each

aspect into 4 categories The 4P’s of Marketing:product, place, price,promotion

The 4 P’s of Starbucks Marketing1. Product

Must meet customer requirements Products should meet expectations The goal is to satisfy consumers needs

The 4 P’s of Starbucks Marketing1. Product

Starbucks is known for one product: extremely good coffee

No more breakfast sandwiches because does not compete with coffee aroma

The 4 P’s of Starbucks Marketing 2. Price

Discounts, financing Price decisions: profit margins and

response of competitors Determined by the quality of the

product and the target consumers

The 4 P’s of Starbucks Marketing 2. Price

Starbucks has achieved the highest price point for cofee in the restaurant industry

Consistent high quality beverage Threat of competitors: McDonald’s-

McCafeDunkin Donuts- Dunkachino Starbucks counter offer: $1 cofee item

The 4 P’s of Starbucks Marketing 2. Price

The 4 P’s of Starbucks Marketing 3. Place

Channels of distribution Distribution decisions include market coverage,

channel member selection, logistics, and levels of service

The 4 P’s of Starbucks Marketing 3. Place

Starbucks has strategically located its retail locations

Target potential customers

The 4 P’s of Starbucks Marketing

3. Place College campuses Irreplaceable real estate Helpful mobile applications with store locations

The 4 P’s of Starbucks Marketing

4. Promotion

Business of communicating with customers

Promotion decisions involve advertising, public relations, media types

Successful promotion increases sales

The 4 P’s of Starbucks Marketing

4. Promotion Starbucks is an overall success story

when it comes to promoting their products and services

Brand image: “the third place”, unique & relaxing atmosphere

The 4 P’s of Starbucks Marketing

4. Promotion Use technology to promote their brand Social Media Marketing: Facebook

daily notices Free wifi Loyalty cards

Starbuck’s ads

Starbucks: Make a Difference. Take The Pledge: http://www.youtube.com/watch?v=KRFofwu-0o4

Starbucks new TV advert, UK: http://www.youtube.com/watch?v=19r4I70fZRU

Starbucks "Mondays Can Be Great" Campaign: http://

www.youtube.com/watch?v=sj5NxPryPXE

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