Starbucks' Duetto Visa
Starbuck’s Duetto Visa
Starbuck’s Duetto Visa
Abstract
For this assignment, students are asked to select the case Starbucks Duetto Visa from the site http://highered.mcgraw-hill.com/sites/dl/free/0073373702/855246/Starbucks_duetto_Visa.pdf and answer the questions at the end of the case.
Like many other merchants, Starbucks the leading retailer, roaster and brand of specialty coffee in the world, offered its customers a pre-paid stored-value card known as the Starbuck’s Card. This came as a direct off-shoot from their customer focused/customer satisfaction aspect of their business model. This card was a tremendous success. In their quest to build on that success they sought to expand the functionality of the card by creating a product that would marry the functionality of the store card with that of a major credit card. The new product was established and solidified through four primary research projects together with a number of other secondary ones. The primary researches were undertaken to achieve the following;
1. Finding and Assessing the Right Card and Bank Partners;
2. Testing the Concept – a determination of how much the customers could understand the value of the dual functionality of the new card;
3. Measuring the early intent of their customers to participate in using the new card;
4. Measuring Return on the Market Investment
Question 1: What type of research was done at each stage? Discuss the strength of each different type given the stage of the project.
Finding and Assessing the Right Card and Bank Partner: Starbucks was cognizant that they must find the right partners that shared their vision and was willing to make a commitment to top-quality customer service that their customers had come to expect.
The Methodology Used – Starbucks approached card service companies Visa, MasterCard and American Express; they conducted interviews with bank executives, visited call centers
Starbuck’s Duetto Visa
Abstract
For this assignment, students are asked to select the case Starbucks Duetto Visa from the site http://highered.mcgraw-hill.com/sites/dl/free/0073373702/855246/Starbucks_duetto_Visa.pdf and answer the questions at the end of the case.
Like many other merchants, Starbucks the leading retailer, roaster and brand of specialty coffee in the world, offered its customers a pre-paid stored-value card known as the Starbuck’s Card. This came as a direct off-shoot from their customer focused/customer satisfaction aspect of their business model. This card was a tremendous success. In their quest to build on that success they sought to expand the functionality of the card by creating a product that would marry the functionality of the store card with that of a major credit card. The new product was established and solidified through four primary research projects together with a number of other secondary ones. The primary researches were undertaken to achieve the following;
1. Finding and Assessing the Right Card and Bank Partners;
2. Testing the Concept – a determination of how much the customers could understand the value of the dual functionality of the new card;
3. Measuring the early intent of their customers to participate in using the new card;
4. Measuring Return on the Market Investment
Question 1: What type of research was done at each stage? Discuss the strength of each different type given the stage of the project.
Finding and Assessing the Right Card and Bank Partner: Starbucks was cognizant that they must find the right partners that shared their vision and was willing to make a commitment to top-quality customer service that their customers had come to expect.
The Methodology Used – Starbucks approached card service companies Visa, MasterCard and American Express; they conducted interviews with bank executives, visited call centers
References: Cooper, D., & Schneider, P. (2011). Business Research Methods. New York, N.Y.: McGraw-Hill / Irwin. Starbucks ' Duetto Visa. (n.d.). Retrieved from http://highered.mcgraw-hill.com/sites/dl/free/0073373702/855246/Starbucks_duetto_Visa.pdf