Starbucks Case Analysis

1391 Words Feb 23rd, 2014 6 Pages
A. Current market situation (SWOT)
Strengths
* Successfully promoted Blonde Roast in Canada along with the “Name Your Blend” promotion (Maloney, 2013) * Customers proven to be loyal to starbucks through Loyalty programs, with a majority of 63% saying they would return just for the rewards program (Horn, 2013) * Digital storefront promotion for teas proved to be successful (Laird, 2011) * Partnership with evergreen encourages Canadians to “go green” (Starbucks Encourages Canadians to Pledge to do some Green, 2010) * Partnership with AT&T Inc. to include free and paid wireless internet coffee shops in the united states (Associated press, 2008) * Partnership with Bell Canada to include free wireless internet in
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Product * Starbucks ice cream served at their locations by the scoop or coffee popsicles * Starbucks energy drinks served like expresso shots * Start serving fresh fruits and berries as well as salads (maybe by the cup/ Fruit salads) * Start selling Starbucks merchandise such as mugs, thermoses, coffee machines * Start selling loafs of bread (home-made, quality, needs to worth buying over grocery store companies) * Start selling wrist bands and key chains
Promotion
* Create a lottery type promotion similar to roll up the rim, maybe a scratcher on the side of every cup with various prizes available * For a limited time give away a free latte during the morning (daily until 9 AM) * For a limited time include a small pastry give away with a purchase of a coffee to promote the desserts * Half priced coffee if you bring your own reusable cup (go green promotion as well as coffee promotion) * Partnership with apple to have permanent computers or laptop for customers to use * Limited time holiday products (Christmas cookies, holiday coffees) * Student discount with a student ID present

Price * Value menu, similar to McDonald’s $1.69 menu * Generally cheaper coffees

Place * On Airplanes * On trains in Europe

E. Selection of Best Alternatives
Product
The best product alternative for Starbucks

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