One base characteristic that competing coffeehouse and café style businesses can use to increase marketing success is good quality. Presenting high quality and consequently being an organization associated with high quality is broadly argued to improve customer opinion, customer return rates, pricing of products, and profitability for a business (Angrisani, 2013; Chao-Hua & Hsien-Bin, 2014; Morrisson & Zmuda, 2012; Odesser-Torpey, 2013; Russell, 2013). Within the set of literature that advocates the use of quality, two main strategies can be identified. Having superior products is one and providing improved interaction is the other.
The first set of writers discussed various ways in which superior quality products benefit a business’s success. Russell (2013), Odesser-Torpey (2013), Morrisson, and Zmuda (2012) all argued that investment into merchandise quality effectively improved business performance. Russell (2013) and Odesser-Torpey (2013), active trade publication writers, both agreed with this stance and claimed that achieving quality would be best done through focusing on a few main traits. Russell (2013) emphasized the usage of fresh and premium ingredients in coffeehouse products. He explained how higher levels of quality is essential to lure in and keep customers over time (Russell, 2013). Odesser-Torpey (2013) on the other hand, while also mentioning freshness and quality, explained how adding sophisticated, pleasant looking, and well-designed products could
Given the highly competitive nature of today’s markets we as a company must provide high quality products to survive. Quality itself has become a major competitive factor and in many ways is a contributing factor in success or failure. The intent of this memo is to identify, explain and evaluate the three types of cost associated with quality.
The “Coffee Wars – The Big Three: Starbucks, McDonald’s and Dunkin’ Donuts” article focuses on the company analysis of the Starbucks brand and how its main competitors, McDonald’s and Dunkin Donuts, has affected their brand and driven competition higher. Even though there are many companies trying to enter the specialty coffee market, these three companies own the majority of the market share. With Starbucks’ top quality and above average prices they hold a different market than the fast coffee/food market of Dunkin’ Donuts and Starbucks; yet the competitive moves Dunkin’ Donuts has made over the years in order to compete with Starbucks and surpass McDonald’s has driven competition up between all three companies. The competition has stiffened ever more in the past ten years due to the changing economy. This led to “the big three” to come up with different techniques to gain competitive advantage over the other. Although the competition between these companies is to gain most of the market share, consumers are still loyal to a certain brand; this makes it difficult to gain each other’s clientele. McDonald’s continues to appeal to customers who want value and speed, Dunkin’ Donuts focuses on the middle-class, while Starbucks a customer who desires a higher quality product along with being recognized for using the brand.
Starbucks is committed to TQD in the quality in his standard and statements ,Be Welcoming, Be Genuine,Be Considerate , Be Knowledgeable, and Be Involved. Also Starbucks first develop program with coffee growing nation to select the best and good quality products ,secondly Starbucks develop partnership training program quality for in service to boost employees performances. To develop quality standard , Starbucks take feedback from leaders, partners,and customers and use it for continuous improvement. The connection between contribution of employees help with the growing value of the
Deming, Jran, Crosby and Feigenbaum all have great theories that can applied and combined to assist with producing and monitoring quality. Macy’s Inc. has to find out what quality techniques and approach that will keep them current and competitive.
In order to make sales and have a successful running company you need to know how to market your products and or ideas to the group of people for whom it is intended. The quality of your product must also be top tier because marketing is only half of the battle. Before hearing Tripp Transou talk I was unsure about how important the quality of the product was. I was under the impression that marketing was number one because that what got people to buy it. However, he allows me to realize that if you want consumers to buy your product more than just once then you must ensure that the quality and consistency of your product is perfect. There must also be attention to detail in every aspect of your company from making sure the facilities are kept clean to the product being properly manufactured, stored, shipped and tested. This attention to detail will translate into more sales and having a more successful and efficiently run company than those who do not seem to care for their consumers. Tripp’s talk allowed me to see how much goes into running a successful business whether it is big or small. His journey of how he came to be the successful businessman he is today inspired me to never always have an open mind and never turn
My band plays occasionally at KD’s Café, a restaurant in Downtown Waycross, and I always hear stories from the owner about how “Downtown”, used to be the place for entertainment. This area was once full of people and shop, and all sorts of people roamed the streets. Due to modernization, however, a once bustling city turned into a ghost town full of abandoned buildings and empty apartment spaces.
The Café at Rosemont is located in a sweet and lovely building that will feel like a home away from home. Produce is locally sourced and can be tasted in the dishes. There are also many vegetarian and vegan options as well, making it a great place for everyone to find something tasty to eat. The Café at Rosemont serves breakfast and lunch, with pop-up dinners thrown in there as well.
This market dominance shows just how important the larger chains are in the coffee shop market.” (Keynote, 2012).
We live in a culture where we want everything fast and easy, and in recent years we have seen the fast and casual restaurant business increase. This fast and casual increase has not just been in the pizza market, but in Mexican, Chinese, burgers, etc. Fast-casual has become the new buzz word. Independent pizza chains have fared worse than the larger pizza chains with sales declining by 5%, but the larger pizza chains showing growth of almost 3.8%. A case study on competitive service quality improvement (CSQI) in the fast food industry was conducted and the results revealed aspects of service, rather than product, were key in differentiation in the saturated market This is not surprising since it becoming more and more difficult to differentiate product. The competitive advantage opportunity lies within the ability to personal and accommodate the customer's experience (Seok-hoon, Yong-pil, 2004). Changes in the next decade will center around increased technology for improving the customer experience along with providing fast and easy service. Pizza chains will focus on quick service while maintaining quality that includes fresh ingredients, and ramping up the delivery
Furthermore, Starbucks always involves with its customers and the community, providing customers with everything they want, and being continuously loyal to the customers while providing products that are good quality. Moreover, Starbucks also makes sure that the provided products are good at the beginning, rather than provides low quality products and makes improvement in the future. In order to do this, Starbucks gets the best ingredients possible and trains its partners properly so that is can prevent any defects in the products. To ensure that all products are with good quality, Starbucks always listens to feedbacks from its partners and its customers in order to better the process in which the products are made and the end result itself (Sandhu, M., Singh, R., Ratra, R. et
Starbucks’ lead in the specialty coffee industry exemplifies the result of deftly executing a well-planned business strategy. Moreover, Starbucks is well positioned for what is expected to be a continuing rise in the popularity of specialty coffee products. The question before Starbucks’ leadership, however, is what avenues will lead to Starbucks’ goal of remaining true to its core, the highest quality coffee products while providing a “total coffee experience” for its customers?
Starbucks has put heavy concentration on product innovation, new product launches and branding strategies and as a result, the company has lost sight of the customer’s wants and needs. Ultimately, Starbucks is not properly or correctly measuring customer satisfaction. They are basing these scores on characteristics affecting the product, and not precisely measuring the quality of their services. As Exhibit 10 from the case study shows, Starbucks’ customers ranked a clean and convenient store as the most important attributes of creating customer satisfaction. As marketing research is beginning to reveal, this should not be the only focus. Starbucks needs to shift their priorities and rank fast service, customer experience, and atmosphere as most important, as new studies suggest.
Distribution of the products is very important as this is how they are going to be delivered to the target audience. There might be different channels to distribute a product as well as intermediaries (Srivastava 2006). In Mauritius, there is only a franchisee that will sell LUX* products to the consumer. The Café LUX* Trademark can be used only by this franchisee.
This case assignment discusses the history of Starbuck’s accomplishments as they entered the American coffee culture heritage. In 1983, The chairman and CEO Howard Schultz traveled to Italy and had a dream to carry the Italy coffeehouse ritual back to the United States. Schultz was focused on creating an environment meeting company that makes good coffee but also be a social experiment. Starbucks today opened more than 19,000 stores functioning in 62 countries. Starbucks has numerous rewards that globalization has offered and they have significantly benefited from it, while in the coffee industry. Starbucks has a wide-range in marketing strategies to benefit the customers. During the different obstacles that Starbucks has encountered, they must stay reliable in quality and uphold to adjust to different customer values.
People want to get their daily cup of great-tasting coffee in a relaxing atmosphere. Such customers vary in age, although most of clientele are college students and faculty. My market research shows that these are discerning customers that gravitate towards better tasting coffee. Furthermore, many college students consider coffee bars to be a convenient studying or meeting location, where they can read or meet with friends without the necessity to pay cover charges. For Café , this will provide a unique possibility for building a loyal client base. In addition, location of all three Bon! Café in city located to most visited places by young