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Starbucks: Delivering Customer Service !!Case Write-Up 2 “Hamayun Khan In der krümm 8 65934 Frankfurt E-Mail: [email protected] ID: 6495923 16.11.2017 ” Submitted to J.-Prof. Simone Wies Strategic Market Management M.S. Program Marketing Analytics Goethe University Frankfurt Faculty of Economics and Business Administration Winter Term 2017/2018
Success is the best when it shares, according to case study Starbucks branding strategy, was live coffee which associates to keep national coffee culture and also provide high quality coffee. Starbucks ´´Service´ ´to customize the drink that customers want. Their brand strategy was a big large location to make an environment to gathered peoples, in order to pursue customer satisfaction. One of the distribution strategies in high traffic areas was retail centers, and university campuses etc.
Depending on stores, size and it offers a variety of coffee accessories. To reach their customers Starbucks creates third parties distribution like joint venture with Pepsi. Delivering quality service, well-trained workers are important as Starbucks focused. Just say ´yes´ policy to deliver best service to the customer. The main problem that Starbucks faced is that their customers customized their products which also affects product quality and customer focus for the company. Mystery shopper program, which is called Customer snapshot, was also a good tool to monitor better service, product quality, speed of service and the most important is cleanliness, that also customers rated high importance in creating customer satisfaction. A great move of the company´s growth is R&D in product innovation and Starbucks also innovates 3rd waves coffee experience which is also a good move for better service, that new fancy reserve stores which are large. Starbuck introduce a concept in urban areas an evening program.
Also a mobile app which offers to customers order and pay from their smartphone. Another big idea to brews up delivery service, which is not free but according to research suggests that people will pay additional surcharge but its riskier too like Frappuccino loses cream balm in some time and whipped cream also it mild into hot drinks. If it fails it will be a huge dark spot in a company. The campaign ´´Halo´´ effect also increased sales of bottled Frappuccino. This successful campaign also affects business model. I think its possible to deliver customer intimacy through different strategies like customer loyalty programs or music event because most of customers are young and university students. And increasing customers touch points.
The Starbucks cards and reward programs brought a big change for customer loyalty and retention, and also to investigate customer´s need and want. Another way to gain competitive advantages as well as customer satisfaction is low cost leadership and high quality product and service. In today’s business world most of the companies focus more on CSR activities like not only to sell a product or provide service but also to do something for the community. Fairtrade is the best way. Consistent customer base and tailored marketing campaign is also possible way to achieve customer satisfaction. Starbucks always pride in retail service but not meeting customer experiences in area of customer satisfaction. To improve speed of service, reduce employees stress increase customer satisfaction. Because companies who build customer intimacy they understand customer´s world which also helps to closer and trustful relationship with customers.