Starbucks Situational Analysis

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Situation Analysis

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Prepared By: Christopher Kiernan

Brand Analysis

1. Product Attributes:

• Starbucks Company is a dominant leader in the spectrum of coffee today was brought on Seattle historical values of Freshly brewed coffee to accompany the life by the shores.

1. Starbucks name was influenced by the well-known story of “Moby Dick.”
2. Traditional upbringing and only the finest ingredients are composed of the Starbucks products.

• Specification of Types of Coffee’s and beverages sold at stores:

1. Freshly/ daily brewed coffees (Hot/ iced)

1. Cappuccinos, Café Lattes and even High-Quality Specialty coffees.

1. Diverse and specialty teas are available (even basic teas such as green and black)
2. Soda’s and Juices are available

• Specifications of Types of Foods sold at stores:  

1. Candies, baked goods, pastries, and even sandwiches are available.
2. Oven toasted baked goods accompany Starbucks delicious coffee well and tend to sell a lot of breakfast items

• Merchandise affiliated with Starbucks and whole -Sale ground coffee is available at some stores as well.

Sizes:

• Original foundation of cup sizes:

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• Starbucks provides different types of sizes to help accommodate the amount of daily brewed coffee or other beverages (Revised/ Newer cup sizes):

• The coffees or teas cane be hot or iced
• Coffees can also be blonde, medium, or dark in regards to taste and caffeinated content.

1. Communication Style:

• Advertising for Starbucks is generally low because the label and brand itself is well known on a Global scale. The logo for Starbucks on the cups provided to drink out of is one of the highest forms of advertisement.

1. Word to Mouth is the dominant advertising style other then televised viewings that are usually not paid for, just displays Starbucks on coffee cups for example.

•  High standard and recognition of the value of Starbucks is well known and is shown through the Worlds Media, Social- Medias such as Facebook and Twitter, and even in association of celebrities, in effect, develops free advertisement for Starbucks.
• Starbucks thrives to portray their products as High-grade quality, finest selections throughout the world, and delicious.
• The environment intended to be “Friendly” and “Wise/ Trustworthy.”
• Starbucks implies that they have a mission as merchants:

“Our mission to inspire and nurture the human spirit – one person, one cup, and one neighborhood at a time”

1. Media Spending:

• Year of 2014-2015

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• Total Spending on Media equals to 2784.4 million dollars in the year of 2015.

1. Brand News:

• Starbucks has just released news of expansion of new stores to be developed and established in the residency of Trinidad and Tobago in the current year of 2016. This expansion has made Trinidad and Tobago another market In Latin America the 16th market in this general region.
• The launching of a mobile app for payments of goods through the use of smartphones has been initiated in Brazil. This makes Brazil the first of the Southern America regions to have accessibility of the new mobile app and online purchases of Starbucks beverages and flavorful foods. Since the initial opening of the first Starbucks in Brazil in December of 2006, there now is over 100 different stores throughout the South American regions consisting of places such as Rio de Janeiro, Guarulhos, Santos, and many more.
• Music has played a key role in developing a high grade and peace of mind atmosphere for the past 40 years in all most if not all Starbuck locations.  As of January of 2016, Spotify and Starbucks have developed a contract that allows the use of Spotify through the Starbucks mobile app. The app through Spotify allows customers to view the playlist being played overhead in the stores, view upcoming and inspiring artists, and also allow them to take Starbucks music anywhere and everywhere they go. This personalized mobile app feature is a setting a new standard in the overall experience of Starbucks customers to more than 7500 company-operated stores.  
• A new store format was developed in the year of 2015 that is progressively making its way throughout all of America and eventually the world. The new format is Starbucks very first express store. First express store was established in New York right by Wall Street. The point of the express store is to uphold a standard of a fast pace ordering for customers who know exactly what they want and receive the finest quality beverages and foods in a fast manner so that they may continue on with their days.
• As of October of 2015, aspirations to develop a way to deliver Starbucks goods have finally been formatted and tested in The Empire State Building. Through the efforts of the “Green Apron Delivery Services”, tenants of The Empire State Building can now order online and receive their Starbucks beverages or foods delivered to a set location within a average time of 30 minutes after order was made.  

1. Web Analytics:

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• Starbucks released Christmas playlists available on their website for the first time in December of 2014. Striving for uniqueness through classical Christmas songs and more current Christmas songs with the development of seasonal coffee cups and mugs may have influences current visitors to check out the new material and possible purchase new seasonal products.
• Visitation of the website through current users were numbered 10,428,915 visitors of the month of November 2014. Current visitors increased dramatically in the following month of December to 15,921,741 visitors.
• Unique Visitors of November 2014 totaled 5,909,032 and increased in direct correlation to the increase of regular visitors in the following month of December to 7,103,376.

Industry Analysis

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