Starbucks Case Study
Joshua J. Anderson
Case 6
Starbucks-Early 2005
1. What is Starbucks' product?
Starbucks' Corporation is the world's largest coffee retailer and has continued its phenomenal growth into 2014. Starbucks product line includes more than 30 blends and single-origin coffees, espresso, blended beverages, Tazo teas, a line of bottled Frappuccino coffee drinks and Starbucks DoubleShot. In addition it offers an exclusive line of Starbucks Barista home espresso machines, coffee brewers/grinders, freshly baked pastries, a line of super-premium ice cream, chocolate, sandwiches, salad, coffee mugs and coffee accessories. It also offer a highly successful Starbucks Card, a reloadable stored-value card, which allows consumers to prepay the purchase of Starbucks products.
2.What changes in society have helped Starbucks be successful?
Starbucks success is based on a recent study found that there are over 166 million coffee drinkers in the United States, and the number of them has increased steadily since the mid-1990s. A significant trend in U.S. coffee drinking has been the increase in the amount of coffee drinking in the out-of-home segment. However, while more consumers are drinking coffee in the workplace, they are increasingly getting their coffee from outside the office. This means the percentage of at-work coffee being sourced from within the workplace has declined dramatically. Schultz also attributes the company's success to the 96,700 employees working worldwide.
3. What strategic factors account for Starbucks success in developing brand equity?
Starbucks has made coffee drinking a social phenomenon by offering consumers a comfortable atmosphere in which to drink a premium beverage while either chatting with friends, reading a newspaper and magazine, or working on their laptops. The company has created a place between home and work where people can go for personal time out or to relax with friends.Starbucks has been established as the premier purveyor of the
Case 6
Starbucks-Early 2005
1. What is Starbucks' product?
Starbucks' Corporation is the world's largest coffee retailer and has continued its phenomenal growth into 2014. Starbucks product line includes more than 30 blends and single-origin coffees, espresso, blended beverages, Tazo teas, a line of bottled Frappuccino coffee drinks and Starbucks DoubleShot. In addition it offers an exclusive line of Starbucks Barista home espresso machines, coffee brewers/grinders, freshly baked pastries, a line of super-premium ice cream, chocolate, sandwiches, salad, coffee mugs and coffee accessories. It also offer a highly successful Starbucks Card, a reloadable stored-value card, which allows consumers to prepay the purchase of Starbucks products.
2.What changes in society have helped Starbucks be successful?
Starbucks success is based on a recent study found that there are over 166 million coffee drinkers in the United States, and the number of them has increased steadily since the mid-1990s. A significant trend in U.S. coffee drinking has been the increase in the amount of coffee drinking in the out-of-home segment. However, while more consumers are drinking coffee in the workplace, they are increasingly getting their coffee from outside the office. This means the percentage of at-work coffee being sourced from within the workplace has declined dramatically. Schultz also attributes the company's success to the 96,700 employees working worldwide.
3. What strategic factors account for Starbucks success in developing brand equity?
Starbucks has made coffee drinking a social phenomenon by offering consumers a comfortable atmosphere in which to drink a premium beverage while either chatting with friends, reading a newspaper and magazine, or working on their laptops. The company has created a place between home and work where people can go for personal time out or to relax with friends.Starbucks has been established as the premier purveyor of the