Company Starbucks Marketing Report 星巴克市场营销分析英文版

1、Company Starbucks Marketing ReportProduced byNames1. Student Number：9 Name : Grace2. Student Number：1 Name ： Ann3. Student Number:2 Name ： Tom4. Student Number:8 Name ： SerenaReport date : 2014/12/105. Student Number:16 Name : AnnaGroup ：Grace Date： December 10， 2014Executive summary The purpose of

2、this report was to identify a suitable for Startbucks to introduce into a target market. As part of this process a strategic analysis was conducted to the environment。 Strategies that mitigated threats and weakness and ones that took of these strategies a suitable new product was then developed。The

3、booming of Chinese economy nourishes a broad coffee consumption market. Against this macroeconomic background, Starbucks puts the Chinese market into the first place of its overseas market except American market。 Starbucks has made great business achievement in Chinese market， while it is also chall

4、enged by the devaluation of Startbucks brand and the downgrade of its core competitiveness。 based on the background， product and environment analysis and strategy making ,analyses on many related literatures, this paper researched on the Startbucks marketing strategies， analyses Startbucks operating

5、 environment both internally and externally and summarizes the marketing strategies of Starbucks in china. The report was based on information from a range of data sources, including Starbucks websites and the magazines about this company Group: Grace Date ：December 10， 2014Table of Contents1. Intro

6、duction52. Company Background62.1 About the company .62.1.1 History 。62.1.2 Mission.。72.1.3 Values 72。2 Products.82.1.4 Target Markets / Market Segments .。82.1.5 Market share。8 Major competitors .92.1.6 Table 1: direct competitor to Starbucks。103. Environmental Analysis .。.113.1 External。11 3.1.1 PE

7、ST/PESTL。.。113.1.2 Competitive Forces。123.1.3 External Opportunities and Threats143.2 Internal Analysis.。.153.2.1 Identification of SWOT elements.。153.2.2 Evaluation of SWOT elements173.2.3 Analyze and Rank.。183.3 Strategies。193.3.1 Strategies development.。193.3.2 Identify strategic fit203.3.3 Table

8、 2:SWOT/ Strategies Matrix。.214 Product Development.214.1 Strategy Selection。214.2 Product Selection.234.2.1 Idea generation234.2.2 Marketing Strategy.。.。.。254。2。2.1 Demographic。.。.265 Conclusion。266 Reference.。277 Appendix287.1 Idea generation .287.2 Team Report。28 7.2.1 Individual Member Activity

9、Report。28 1 IntroductionWe are not in the coffee business， serving people .we are in the people business, serving coffee. That is the philosophy of Howard Schultz, chairman and chief global strategies of Starbucks. It is a philosophy that has shaped-and continues to shapethe company. With over 11000

10、 outlets in more than 36 countries, Starbucks is the worlds number one specialty coffee retailer. In order to understand the company comprehensively， we are going to take an in-depth look at Starbucks through this topics. This report will discuss the marketing strategy being implemented by Starbucks

11、, and will evaluate the companys current marketing plan, including the products， external and internal environmental， product development, strategies and various other factors that affect its strategy。2 Company Background2.1. About the company2。1.1 History Founded in 1971 with the opening of the 1st

12、 location in Seattles Pike Place Market selling coffee beans only Howard Schultz joined Starbucks in 1982 as director of retail operations and marketing Schultz purchased the company in 1987 and Starbucks Coffee Company opened the first store to sell brew coffee and espresso beverages Completed IPO

13、on NASDAQ in 1992 under the trading symbol “SBUX, thus opening a new chapter of growth for the company Currently operating in 39 countries around the world with more than 13,000 stores and over 145，000 partners （employees) As of November 2014，Starbucks is present in 67 countries and territories2.1。2

14、 Mission Starbucks has a mission statement of structuring a pleasant work environment in which employees are treated with respect and dignity， incorporating diversity in all its business aspects to deliver fresh coffee, satisfying customers， and developing profitability for the companys success2.1.3

15、 ValuesStarbuckss net earnings in 2011 were $417。80 million, which is a significant increase from 124.570 million， Furthermore, its revenues grow from 10.383 billion in 2008 to $11。7 billion in 2011。 The increase in revenue and sales was direct result of the numerous new stores that were opened。 Dur

16、ing this period Starbucks stores grow 508 percent from 8400 stores to over 12000 across 39 countries. Now， Starbucks have more than 13000 stores and 145000 employees. And until 2013, sales had increase to $14.982 billion 2.2 Product2。2.1 Target Market The target market of Starbuck in china is locate

17、d in super-large city level, and economically developed coastal areas and relatively developed city of secondary cities with higher education, the upper middle class with higher income or random consumer and coffee lovers， this part of the population belongs to the pursuit of quality social upper cl

18、ass and the pursuit of social fashion of social middle class。 Starbucks target market is a middle class as the mainstream of social class。 Starbucks is the implementation of differentiated marketing strategy; provide a great diversity of products and services for the different cub market。 Starbucks

19、implemented the strategy of these differences of target market for different market segments to customize different products and services, and to develop different marketing strategies, to meet different consumer needs, better to expand sales.2。2。2 Market ShareStarbuck is the fifth largest consumer

20、food service brand in the world. Starbuck opens three new stores every single day。 Now 15,269 outlets of Starbuck operated, As of November 2014, Starbucks is present in 67 countries and territories。 However, 61 of its 84 locations were closed in Australia 2008。 Besides, the traffic volume and sales

21、is continually decreasing recently. Therefore， it is vital to examine the reasons for declining market share， and to offer approach to improve the market performance and increase its market share.2。2。3 Major CompetitorsStarbucks belongs to market follower, facing the competition can be divided into

22、four categories.a) Coffee competition： such as, Dietrichs coffee, Petes coffee, and Caribou Coffee company。 These companys product is similar to Starbuck and the price and qualities are also same. b) Convenience store competition: these type of coffee store are more attractive than Starbucks for the

23、 customers who are in college and office worker. Due to these store you can find in every corner of street and the cost for these stores to open is lower than Starbuck.c) Fast food restaurants sell coffee ： such as McDonalds， KFC， Pizza Hut and Dunkin Donuts. These fast food company are more common

24、in every city。 In addition, these stores coffee are more cheaper than Starbuck and they can provide many kinds of food and drinks。d) Fixed coffee machine: this way to shell coffee can save cost of employees and store rent。 For the customer, it is more convenient and quick, also the price is cheaper

25、than the coffee are sold in coffee shop。2。2.4 Table 1: direct competitor to Starbucks StarbucksHigh10,70727%Dunkin DonutsModerate5,50014%McDonaldsModerate2，4006%Green Mountain Coffee RoastersLow8032%Kraft Foods ， Inc.Low3，1008%Nestle S.A。Low17,700443 Environmental Analysis 3。1。1 PESTl 3。1。1。1 Polity

26、: The relationship between China and American has improved , thus the prospect of development between two countries is visible。 The Chinese policy also provide a wide market for Starbucks。l 3。1。1。2 Economic: the residences consumption level is increasing in China which provide a wide market for Star

27、bucks。 Also with the improve of citizens salary, Chinese purchasing power gradually increased , a cup of 3 coffee is not a luxury any more.l 3。1。1.3 Social: Chinese culture affects Chinese action and thought。 Moreover, the Starbucks core value is also emphasize kindness bring people a lot。 So， it al

28、so advocate environment is the same important as coffeel 3。1。1.4 Technology : Starbucks hold advanced coffee bake skill which appealed Chinese attraction mode a stable technology foundation. Besides， via the internet advertise its can spread their coffee culture.3.1。2 Competitive Forces3。1.2.1 Custo

29、ms:Starbucks initially targeted young student, social classes and neighborhoods that would be most reparative to the idea of buying 3 a cup of coffee and spending time with friends at their stores。 With rapid growth and expansion， Starbucks target market expanded rapidly to include every individual

30、of every age. Starbucks can provide customers a comfortable release place which they can reading, thinking, writing, or even a daze。 The coffee giant achieved these using creature comforts, such as comfortable furniture, wireless internet relaxing music and common area for collaboration. While Starb

31、ucks stores are positioned as locations where customers can spend time in a comfortable setting， their product lines are positioned at the higher in regards to prices and quality 3。1。2。2 Supplies The major suppliers to the industry are countries from Africa, South America， and Asia。 This is due to t

32、he fact that tea leaves and coffee beans must be grow in a certain climate. As such， many of these supplying regions are lower economic countries. Coffee beans are a commodity product and coffee prices are dictated by supply and demand。 The power of supplies is also deemed to be moderate3。1。2。3 New

33、Entrants Asforthethreatofnewentrants,itwillbediscussedfromthreeaspects.Firstly，differentiationandinnovationaretheimportantelementsinthespecialtycoffeeindustry.Inthissaturatedindustry,itishardfornewentrantsto differentiate from existing competitors by just providing better quality， customer services

34、and different styles of the retail stores。 It lowers the threat of new entreant。 Additionally,brandloyaltyisalsoasignificantbarriertonewentrants。ManycompanieslikeStarbuckshasgainedmanyloyalcustomers byprovidingexcellentexperienceandservicesthroughtheseyears.Allthesepointshavemadeitdifficultfornewent

35、rantstoenterinto thisindustry.Therefore,thethreatofnewentrantsismoderate.3.1。2.4 Substitution The major substitution of Starbucks must be milky tea, juice etc，However, Starbucks has its unique competitive advantages。 Firstly, the comfortable environment that Starbucks supplies to customer is difficu

36、lt for those juice or milky tea store to offer。 These shop are usually narrow and capacity is small. Secondly, those juice or milky tea shop have a low awareness of product brand， and dont have a complete brand system。 While Starbucks are well-known all over the world and has a profound brand market

37、ing. In nutshell the threat of substitutes is consider being very weak in this industry。3。1.2。5 RivalryIn China， the major competitors are Taiwan Shang Dao coffee, Japan really pot of coffee, Pacific Coffee and other coffee later into China, Starbucks coffee among all as its biggest competitor， “cof

38、fee wars” royalties have become inevitable.Starbucks mission statement is “Establish Starbucks as the premier purveyor of the finest coffee in the world.” The threat of substitutes is consider to be very weak in this industry. Facing with the competition from the coffee industry, the convenience sto

39、re， fast food restaurants and coffee machine， Starbucks have a long way to go in the future。3。1。3 External Opportunities and Threatsl Opportunities: 1. Starbucks has previously occupy the Chinese coffee markets, it is can assist company to extend their market easier， and Starbucks has set its sights

40、 on the one billion plus Chinese tea drinkers, and looks to change preferences to gourmet coffee beverages. 2. The company has the opportunity to expand its global operation。 New markets for coffee such as India and the Pacific Rim nations are beinginng to emerge3. C0-branding with other manufacture

41、s of food and drink， and brand franchising to manufactures of other goods and services both have potential.l Threats1 Starbucks success has lead to the market entry many competitors and copycat brands that could pose potential threats。 How they combat these threats will determine their future.2 Star

42、buck is exposed to rise in the cost of coffee and dairy products3。2 Internal Analysis3。2.1 Identification of SWOT elements(1) Strength： 1: It is famous for high quality coffee beans and good taste 2: It cooperates with the tea culture and coffee culture 3： It provides a elegant environment， good ser

43、vice, and favorable price。(2) Weakness： 1 the organization structures efficiency is not enough。2 the pressures on supply chain 3 experience and service level is decrease 4 prices is high(3） Opportunity: 1 the vacancy of marketing entrance 2 the chances of this time background 3 the potential of coff

44、ee market in China is visional（4） Threat： 1 too many competitions 2 substitute goods are abundant and promote increasingly 3 the rise of material cost 4 regional developments imbalanced 5 the financial storm impact(5) SO： 1 the expansion strategy of market occupancy 2 brand extension (6） ST: 1 diffe

45、rentiation strategy 2 public relations strategy 3 raise the price 4 flexible price systems(7） WO： 1 direct sales strategy 2 brand crises reverse strategy 3 differentiation strategy（8） WT: 1 product line shrinks strategy 2 turn down the unprofitable or deflect stone 3 looking for much lower prices su

46、pplier3。2。2 Evaluation of SWOT elementThe SWOT analysis that Starbucks is a large company with a competitive advantage that is shrinking because of huge success. This is because Starbucks model has been copied successfully by its competitors and this poses serious threat to company.With majority of

47、stores concentrated in USA， Starbucks is also limiting its growth and exposing itself to risk。 If Starbucks can retain its strength and build on opportunities, while suppressing weakness and extinguish threats， it will be able to grow throughout the world market。The SWOT analysis also gives a starti

48、ng point for discussion on what Starbucks can do to reduce its weakness。 Due to its large size， Starbucks sets trends for the industry that can be backed up by the volume of their delivery.The company has managed to maintain the competitive advantages because it has offered conveniences an atmospher

49、e customers can enjoy. As long as Starbucks fulfils its customers wants and needs， Starbucks will continue to create more value at its stores。3.2.3 Analyze and RankThrough analyze the SWOT of Starbucks, we can find that the strength of Starbucks are the special comfortable environment, the unique co

50、ffee, and the brand advantages. Also ,with the development of economy， the opportunities for Starbucks are increased, due to it has already be known by the whole world, it may be easier for Starbucks to open a new market in all of worldIn terms of threat and weakness for Starbucks， the first thing n

51、eed to be considered is the how to attract more customers. Starbucks target customers in China are the upmiddle-classes， who are affluent and attach great important to quality of life。 How to attract other class people may become a problem for Starbucks development。 In addition， expect coffee there

52、are many other product which are sell in Starbucks， these product are not familiar with people， should Starbucks only fuscous on coffee? Or development all products they have。 Thirdly， more and more coffee shop have emerged in current market, some of them have a similar business pattern with Starbuc

53、ks, their coffee, environment， desert are all similar to Starbucks. How can Starbucks remain its status in coffee market must be a huge problem for it。3。3 Strategies3.3。1 Strategies developmentChina is the most important， and potentially the largest market for Starbucks outside North America. Taking

54、 a longterm vision in China, Starbucks remains confident in its success in the Chinese market， as it views in China exactly at the time when the Chinese people are looking for more leisure lifestyle and when the company ideals mesh perfectly with Chinas aspiration to develop a “harmonious society.”

55、The fact that corporate social responsibility is at the heart of our companys value is greatly appreciated by Chinese people and society。In China, Starbucks maintains the unique character of serving the finest coffee in the world and high quality globally appreciated food。 While continuing to offer the best coffee, it is also leading in China in spreading coffee knowledge and expertise, and creating a coffee culture in a traditional tea-drinking society. The Starbucks store atmosphere is one which is similar to the old teahouse of China-a gathering place and a gathering place and