Starbucks Harvard Business School
Starbucks Harvard Business School
Starbucks: Delivering Customer Service
MKT 690: Marketing Management
Mike DiPietro
Spring 2015
Nevin Johnson
Abstract
The following diction is an analysis of the Harvard Business School study on Starbucks coffee, titled “Starbucks: Delivering Customer Service.” There are many factors accounted for Starbucks extraordinary success in the 1990s. Though Starbucks offered great coffee and a great experience their customer satisfaction scores declined. There are many reasons why their customers are not satisfied, will a 40million dollar investment on labor boost their customer satisfaction?
There are many key factors that have let Starbucks to be one of the biggest known names for coffee in the US. Wherever you go you see a Starbucks, in often times there are Starbucks 500 feet away from another Starbucks and they both will have lines out the door. In 1992 Starbucks had only 140 stores, they were all in very high traffic areas, which is very visible to everyone. Every college, mall and business has a Starbucks close buy. When asked to review Starbucks online a trip advisor review had this to say about Starbucks “it’s right smack in the middle of a T-intersection in the mall and it 's terribly heavy with foot traffic.” This is a ploy by Starbucks to put their business in the middle of everting. Buy putting themselves in the middle of everything Starbucks became the most convenient way to drink coffee outside your home. Starbucks coffee became the hip coffee, the cup was iconic. If you had a Starbucks cup in your hand you were the cool hip smart person. Not only was it hip to drink Starbucks, be honest, the coffee was better than anything that they had on the market at that time, the coffee was richly brewed and strong. Starbucks made the competition taste like water.
The value proposition of Starbucks focused on a brand strategy that was made up of three main components. Live coffee, is a phrase that mimicked the
Starbucks: Delivering Customer Service
MKT 690: Marketing Management
Mike DiPietro
Spring 2015
Nevin Johnson
Abstract
The following diction is an analysis of the Harvard Business School study on Starbucks coffee, titled “Starbucks: Delivering Customer Service.” There are many factors accounted for Starbucks extraordinary success in the 1990s. Though Starbucks offered great coffee and a great experience their customer satisfaction scores declined. There are many reasons why their customers are not satisfied, will a 40million dollar investment on labor boost their customer satisfaction?
There are many key factors that have let Starbucks to be one of the biggest known names for coffee in the US. Wherever you go you see a Starbucks, in often times there are Starbucks 500 feet away from another Starbucks and they both will have lines out the door. In 1992 Starbucks had only 140 stores, they were all in very high traffic areas, which is very visible to everyone. Every college, mall and business has a Starbucks close buy. When asked to review Starbucks online a trip advisor review had this to say about Starbucks “it’s right smack in the middle of a T-intersection in the mall and it 's terribly heavy with foot traffic.” This is a ploy by Starbucks to put their business in the middle of everting. Buy putting themselves in the middle of everything Starbucks became the most convenient way to drink coffee outside your home. Starbucks coffee became the hip coffee, the cup was iconic. If you had a Starbucks cup in your hand you were the cool hip smart person. Not only was it hip to drink Starbucks, be honest, the coffee was better than anything that they had on the market at that time, the coffee was richly brewed and strong. Starbucks made the competition taste like water.
The value proposition of Starbucks focused on a brand strategy that was made up of three main components. Live coffee, is a phrase that mimicked the
References: Youngme, M., & Quelch, J. (2003). Starbucks: Delivering customer service. Boston, MA: Harvard Business School Pub. Stall in very high traffic area - Starbucks. (n.d.). Retrieved January 31, 2015, from http://www.tripadvisor.com/ShowUserReviews-g46712-d4111409-r243675143-Starbucks-Paramus_New_Jersey.html