Starbucks Marketing mix
THE MARKETING MIX
Below is a table for you to apply the elements of marketing mix (7P’s) to your selected business organisation.
Starbucks
Product and service
-Starbucks stores offer a choice of regular or decaffeinated coffee beverages, a special "coffee of the day," and a broad selection of Italian-style espresso drinks. In addition, customers could choose from a wide selection of fresh-roasted whole-bean coffees.
When you walk into the Starbucks, you notice they are promoting specialty drinks or products within the store. For example they promote their new coffee by giving free samples to their customers and that maximise the publicity of the product and generate revenue for the business.
Packaging
Creative and innovative packaging is what Starbucks does so that they can be seen and get noticed in the crowded market of coffee.
For Example they redesign the packaging of their coffee to recreate the shopping experience and quickly identify the coffee by roast.
The new packaging of their coffee gets the attention of new customers because customers can choose what kind of coffee you want just by looking at the package (different colour, message).
Price
-Price and pricing is one of the most important elements of the marketing mix, as it is the only mix, which generates a turnover for the organisation/business. In July 2013 Starbucks decided to raise the price of their beverage by 1%, they claim that the price increase is due to rising labour and non-coffee commodity costs. Starbucks raise prices to maximize profits from these price insensitive customers who now depend on their strong gourmet coffee. Rather than trying to compete with cheaper chains like Dunkin, Starbucks uses price hikes to separate itself from the pack and reinforce the premium image of their brand and products.
Place
-Starbucks takes a thoughtful and strategic approach when choosing their store locations, carefully considering many factors including community
Below is a table for you to apply the elements of marketing mix (7P’s) to your selected business organisation.
Starbucks
Product and service
-Starbucks stores offer a choice of regular or decaffeinated coffee beverages, a special "coffee of the day," and a broad selection of Italian-style espresso drinks. In addition, customers could choose from a wide selection of fresh-roasted whole-bean coffees.
When you walk into the Starbucks, you notice they are promoting specialty drinks or products within the store. For example they promote their new coffee by giving free samples to their customers and that maximise the publicity of the product and generate revenue for the business.
Packaging
Creative and innovative packaging is what Starbucks does so that they can be seen and get noticed in the crowded market of coffee.
For Example they redesign the packaging of their coffee to recreate the shopping experience and quickly identify the coffee by roast.
The new packaging of their coffee gets the attention of new customers because customers can choose what kind of coffee you want just by looking at the package (different colour, message).
Price
-Price and pricing is one of the most important elements of the marketing mix, as it is the only mix, which generates a turnover for the organisation/business. In July 2013 Starbucks decided to raise the price of their beverage by 1%, they claim that the price increase is due to rising labour and non-coffee commodity costs. Starbucks raise prices to maximize profits from these price insensitive customers who now depend on their strong gourmet coffee. Rather than trying to compete with cheaper chains like Dunkin, Starbucks uses price hikes to separate itself from the pack and reinforce the premium image of their brand and products.
Place
-Starbucks takes a thoughtful and strategic approach when choosing their store locations, carefully considering many factors including community