ks Marketing AnalysisStarbucks Coffee Company is the world's leading specialty coffee retailer, roaster and brand. Starbucks' goal is to make the company the leading provider of the best coffee in the world while maintaining the organization's uncompromising principles. Additionally, Starbucks wants to expand its brand beyond just the preferred outlet for purchasing coffee and become the preferred brand among consumers. The coffee company capitalized on the new popularity of specialty coffee by adding coffee bars around the world. Starbucks' common stock rose from $3.31 per share in 1994 to $10.00 per share in the mid-1990s. Despite Starbucks' success, the company faces many challenges in continuing to grow its activity. The main strategic problem facing Starbucks is maintaining its brand quality while leveraging brand equity and addressing different sales and distribution channels. SWOT Analysis Strengths1. Is the leader in the specialty coffee industry (p7).2. Its commitment to quality (p7), its values (p8) and its principles (8).3. Its policy towards its employees (pages 8, 17).4. Its openness to innovation. Pepsi-Coal – Frappuccino.b. Separate roasting equipment and processes. (longer shelf life; p10)c. AOL Café.5. Global resources for coffee beans.a. 50% from Latin America.b. 35% of Pacific Rim.v. 15% from East Africa.d. SB trains exporters.6. Supply Chain Operation (SCO)7. Page 11: a. It's coffee.b. Employees.c. Merchandising.d. Philosophy of ownership.e. Real estate approach. (Location, construction and cluster strategies)f. Picture.8. In-depth training for Starbucks “baristas” (employees).9. Mall Kiosk Program.10. Its brand image.11. Main specialized trading partners (p14).12. Various distribution channels. Such as: a. Grocery chains.b. Dreyers.c. Pespi-Cola.d. Kiosks.e. Airlines.13. “Encore” mail order program (p16).14. The vision and leadership of Howard Schultz (pages 16-17).15. Its six guiding principles. Weaknesses1. Rapid growth is putting a strain on SCOs (p. 11; see also strengths no. 7)2. The challenge of finding good employees (p12; see also Strengths #8)3. Conform... middle of paper......it's not just for breakfast but it's an anytime drink.5. Starbucks should not just be a coffee shop, but an experience.6. The retail system is the anchor of Starbucks' brand building strategy, which can "catapult" Starbucks beyond its roots (according to a Merril-Lynch report)7. Grocery store sales are not essential to survival, but are necessary to remain a major player (Orin Smith, p15).8. Supermarket merchandising will divert customers from the cheaper categories of coffee to the more expensive specialty coffee brands (p. 13).9. “Starbucks executed its strategy almost to perfection (quote from investment firm, p19).10. Starbucks expects to have 2,000 retail stores by the year 2000. My Opinions – My opinions are embedded in the “Issues Analysis” section of the document. Assumptions – 1. Coffee sales in specialty stores will increase from 19% to 54% by 1999 (see Facts #8).2. Starbucks estimates growth of 17% by 1999 (p5).3. Starbucks expects a lower cash investment to open future stores (see chart 4).4. Starbucks plans to increase its number of stores in the Asia-Pacific region from 13 to 100 by 1999 (Ex. 5).

Essay / ks Marketing AnalysisStarbucks Coffee Company is the world's leading specialty coffee retailer, roaster and brand. Starbucks' goal is to make the company the leading provider of the best coffee in the world while maintaining the organization's uncompromising principles. Additionally, Starbucks wants to expand its brand beyond just the preferred outlet for purchasing coffee and become the preferred brand among consumers. The coffee company capitalized on the new popularity of specialty coffee by adding coffee bars around the world. Starbucks' common stock rose from $3.31 per share in 1994 to $10.00 per share in the mid-1990s. Despite Starbucks' success, the company faces many challenges in continuing to grow its activity. The main strategic problem facing Starbucks is maintaining its brand quality while leveraging brand equity and addressing different sales and distribution channels. SWOT Analysis Strengths1. Is the leader in the specialty coffee industry (p7).2. Its commitment to quality (p7), its values (p8) and its principles (8).3. Its policy towards its employees (pages 8, 17).4. Its openness to innovation. Pepsi-Coal – Frappuccino.b. Separate roasting equipment and processes. (longer shelf life; p10)c. AOL Café.5. Global resources for coffee beans.a. 50% from Latin America.b. 35% of Pacific Rim.v. 15% from East Africa.d. SB trains exporters.6. Supply Chain Operation (SCO)7. Page 11: a. It's coffee.b. Employees.c. Merchandising.d. Philosophy of ownership.e. Real estate approach. (Location, construction and cluster strategies)f. Picture.8. In-depth training for Starbucks “baristas” (employees).9. Mall Kiosk Program.10. Its brand image.11. Main specialized trading partners (p14).12. Various distribution channels. Such as: a. Grocery chains.b. Dreyers.c. Pespi-Cola.d. Kiosks.e. Airlines.13. “Encore” mail order program (p16).14. The vision and leadership of Howard Schultz (pages 16-17).15. Its six guiding principles. Weaknesses1. Rapid growth is putting a strain on SCOs (p. 11; see also strengths no. 7)2. The challenge of finding good employees (p12; see also Strengths #8)3. Conform... middle of paper......it's not just for breakfast but it's an anytime drink.5. Starbucks should not just be a coffee shop, but an experience.6. The retail system is the anchor of Starbucks' brand building strategy, which can "catapult" Starbucks beyond its roots (according to a Merril-Lynch report)7. Grocery store sales are not essential to survival, but are necessary to remain a major player (Orin Smith, p15).8. Supermarket merchandising will divert customers from the cheaper categories of coffee to the more expensive specialty coffee brands (p. 13).9. “Starbucks executed its strategy almost to perfection (quote from investment firm, p19).10. Starbucks expects to have 2,000 retail stores by the year 2000. My Opinions – My opinions are embedded in the “Issues Analysis” section of the document. Assumptions – 1. Coffee sales in specialty stores will increase from 19% to 54% by 1999 (see Facts #8).2. Starbucks estimates growth of 17% by 1999 (p5).3. Starbucks expects a lower cash investment to open future stores (see chart 4).4. Starbucks plans to increase its number of stores in the Asia-Pacific region from 13 to 100 by 1999 (Ex. 5).

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