Starbucks Case Study

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STARBUCKS Sipping From the Well: Revenues down but customer engagement up 6-person social media team Centralized coordination of 50 department reps Using social media to engage customers, solicit feedback, and develop innovative products/ processes Offline and online channel integration Value proposition to customers: Starbucks listens and responds to feedback, ideas Invites customers to help with the company’s mission Utility: Check card balance, eCommerce

description

Case study on Starbucks' Internet marketing strategy. How SBUX keeps the brand percolating as profits drop.

Transcript of Starbucks Case Study

Page 1: Starbucks Case Study

STARBUCKSSipping From the Well:

•  Revenues down but customer engagement up

•  6-person social media team •  Centralized coordination of 50

department reps •  Using social media to engage

customers, solicit feedback, and develop innovative products/processes

•  Offline and online channel integration

•  Value proposition to customers: –  Starbucks listens and responds

to feedback, ideas –  Invites customers to help with

the company’s mission –  Utility: Check card balance,

eCommerce

Page 2: Starbucks Case Study

11 Channels

1.  Blogs (Ideas in Action) 2.  Branded community

(Starbucks V2V) 3.  Content distribution

(Facebook Connect, ShareThis)

4.  Discussion forums 5.  External social network

presence (Facebook) 6.  Photo sharing (Flickr) 7.  Innovation hub

(Mystarbucksidea.com) 8.  Wikipedia 9.  Ratings and reviews 10.  Twitter @Starbucks 11.  YouTube (Starbucks Vote Ad)

Page 3: Starbucks Case Study

MyStarbucksIdea.com

•  Online suggestion box •  Members submit, vote,

comment on ideas •  Ideas reviewed by 40 Idea

Partners •  Featured moderator manages

community •  77,000 ideas submitted (prize is

being heard) •  Implemented ideas have built-in

buy-in

Page 4: Starbucks Case Study

Facebook •  Customer engagement and

feedback channel •  Took over user-created

communities •  Built from 200,000 to 4.1M

fans (6% weekly growth rate)

•  Exclusive promotions (Free pastries with drink)

•  Part-virtual coffeehouse, part-impromptu focus group

•  Tone/voice of channels consistent with brick-and-mortar ethos

•  #1 brand page