Starbucks 4ps

starbucks 4ps

1. Starbucks 4 P’s Rishi (20475) Srivats (19454) Sai Prem (20484) Guna Sai (20460) Akhil Sharma (20451)

2. Analyse marketing program of Starbucks using 4P’s frame work ?

3. Starbucks’ Mission To inspire and nurture the human spirit – one person, one cup and one neighborhood at a time. “ ”

4. PRODUCT Coffee as a culture...connected with experience (benefits) rather than just features. Product customization offered to meet each individual customer needs. Superior quality of product because of sourcing of beans. offered coffee and other related beverages and snacks. Product innovation by starting new variants.

5. PLACE This component of the marketing mix determines the venues at which customers can access the products. Starbucks offers most of its products at cafés or coffeehouses. However, there are various other places or channels of distribution available for these products. In this case, the following are the main venues or places that Starbucks Corporation uses to reach its target customers: Coffeehouses/Cafés Retailers Mobile apps Starbucks’ omnipresence plays an important role in its success. Besides brick-and-mortar stores, Starbucks has also been expanding into the online sphere. The Mobile app combines e-commerce and e-payment functions. Customers can use their mobile phones to pay, reload their Starbucks card and track rewards. They can even use the app to place orders and make payment before picking up their orders at the store. This is perfect for time-strapped customers and people who hate waiting in line.

6. 6 Promotion Training employees to connect to the consumer. Making eye contact, smiling, asking them their preferences. Offering internet services in select Starbucks retail outlets. They evaluated the functioning effectiveness of the three Marketing groups and ensured that there is co ordination. There was a separate department for promotional activities. Personalizing service to customers..

7. Price

8. Case As on September 2020, Starbuck’s hiked it’s prices by an average of 1% for the first time in 18 months. It didn’t affect the prices of certain Grande and Venti brewed coffees but affected Tall (ironically their smallest sized serving) by 10 cents. The company’s third quarter net income rose 25% to $417.8 million from $333.1 million a year earlier, and green coffee prices have plummeted. How did they do that?? Reasons for the Price Increase Rising Labour Rising Commodity costs The price hike was applied to less than a third of their beverages and only targets certain regions.

9. Since Starbuck’s employs Value Based Pricing a 1% increase in price raises profits by 11%

10. Study your customer personas Justify the exchange rate for your product. Use product differentiation to put your company in the lead. Don’t increase the prices of the products with the highest margins. Price Strategies