Starbucks Marketing Strategy

Introduction

Starbucks is the leading retailer for roaster and brand specialty coffee in the world. It has over 7,500 stores, which are located in the United States, Canada, Europe, Asia and the Middle East. Besides high quality coffee drinks, Starbucks sells bottled coffee drinks, such as Frappuccino and Starbucks DoubleShot.

Starbucks revenue is growing by 20% a year and is opening approximately three stores every day. Starbucks is capable of managing its successful operations by having steady market growth. It achieved this by financing through their cash flow instead of franchising, selling stock or increasing their financial leverage.

The current international situation for Starbucks seems to be an emerging part of their business and the reorganization of this is proved by their aim to become a leading global company through making a difference in peoples lives all around the world. This goal is quite close to being achieved as proved the Starbucks current locations in international markets and the successfulness of these ventures.

Vision

‘Establish Starbucks as the most recognized and respected brand in the world.'

This is a fitting vision because it is a broad comprehensive picture of what the company wants Starbucks to become. First the vision is built on a foundation of the organizations core values. Starbucks only uses the finest coffee beans when brewing its variety of blends and therefore wants to be looked at with the respect of a company that uses and provides the best. Secondly, the company desires a top of the mind recognition. Starbucks not only wants consumers to remember who it is, but think about Starbucks first, having a shining image. Third is a summary of what the organization does. Starbucks is lacking in this component because it fails to provide a statement announcing what exactly what business Starbucks is in. It assumes that as a recognized brand it does not need to specify what business the company is in. Finally, the vision states broad goals of what the company could be. Starbucks wants to be the most recognized and most respected brand in the world. The most recognized and the most respected are the two broad areas of this statement.

The overall company operations are based around purchasing and roasting high-quality whole bean coffees and selling them along with fresh, rich-brewed, Italian style espresso beverages, a variety of pastries and confections, coffee-related accessories and equipment. This is achieved through the huge number of company operated retail stores, a specialty sales group, supermarkets, and a direct response business and also through online website at www.starbucks.com. The attainment of this goal is boosted by the rapid expansion of new retail stores, in addition to the development of many new opportunities in terms of products and distribution channels.

Mission

The mission of Starbucks is to establish Starbucks as the premier purveyor of the finest coffee in the world while maintaining their uncompromising principles while growing. None of this success would have been possible without a set of goals that the company aimed to achieve and a set of principles, which governed the decision making process.

Starbucks has a clear set of guidelines which has to be followed and uses these as a direction tool for the future of the business. Traditionally, the guidelines would more appropriately be connected to the vision; however the company has set them with the mission statement.

The six principles of Starbucks are stated as:

• Provide a great work environment and treat each other with respect and dignity.

• Embrace diversity as an essential component in the way we do business.

• Apply the highest standards of excellence to the purchasing, roasting and fresh delivery of our coffee.

• Develop enthusiastically satisfied customers all of the time.

• Contribute positively to our communities and our environment.

• Recognize that profitability is essential to our future success.

Application of these principles can be used as a guideline for all employees from managers to workers to aim to achieve the company's goals, while maintaining a certain type of standard. This mission statement along with the set of guidelines provides a focus for employees as they make strategic decisions. It not only supports the employees, but supports the customers as well, making a note