Starbucks Value Propostion

Starbucks uses several digital tools and platforms to promote and market their services.  Here are some of them:

      Social Media including Facebook, Twitter, and Foursquare

 .          Mobile Application which includes a mobile payment app for iPhone, Android, and Blackberry

3.      Starbucks Digital Network allows customers to use free, unlimited Wi-Fi in its stores.  

     

      In a partnership between Starbucks and Yahoo, Starbucks delivers premium content on their web page.  When a customer is in Starbucks stores, they can use the free Wi-Fi network.  When logging on to the Wi-Fi, you are led to a landing page, and then greeted with a landing page for the Starbucks Digital Network where that premium content is available.  (Adkins, 2017)

(Christian, 2014)

Starbucks Value Proposition and its brand strategy are centered on the “Live Coffee” mantra.   They make the experience of drinking coffee memorable.  There are several methods of how Starbucks does business that explains why Starbucks is so successful. Starbucks created value in the “process of the coffee drinking experience.  Starbucks placed value in their customers first in its value proposition.”  (Moon, 2017)  

Starbucks success is also because of the atmosphere that they create by making Starbucks a place where customers can enjoy their social interactions.  Drinking coffee has become more than just drinking coffee; it’s also about the experience of enjoying coffee.

One of the components of a value proposition is quality.  Starbucks puts value in the quality of the coffee used and ensures that their “coffee is grown under the highest standards of quality, using ethical sourcing practices.”  (Starbucks.com, 2017)  Starbucks creates an inviting atmosphere and a quality coffee.

Another component of Starbucks value proposition is service.  Starbucks trains its employees on how to connect with the customer by doing such things like smiling and greeting regulars with their names.  “Starbucks places the customer and the service delivered to the customer above everything else.” (Moon, 2012)

Starbucks is also successful because of the value they put on their employees.  The company has several philanthropic endeavors where they help children, veterans, the farming community, and many opportunities to help overseas.  Starbucks only uses ethical and environmentally safe methods in harvesting their coffee beans.

Starbucks mission is “to inspire and nurture the human spirit – one person, one cup, and one neighborhood at a time.” (Starbucks.com 2017)

References

Adkins, A. (n.d.). Starbucks & Its Use of Technology. In Chron. Retrieved February 13, 2017, from http://smallbusiness.chron.com/starbucks-its-use-technology-28272.html

Christian, A. (2014, October 7). IMD Starbucks Delivering on Service. In Slide Share. Slide 18 of 52 Retrieved February 14, 2017, from http://www.slideshare.net/AlexanderMartinusChr/imdstarbucks-delivering-on-service

Moon, Youngme. "Starbucks delivering customer service." WordPress, Harvard Business School Professor, May 2012, 

https://businesstrueormyth.files.wordpress.com/2009/05/m512_starbucks_alkismarangos.pdf. Accessed 16 Feb. 2017.

Starbucks Company Profile, https://www.starbucks.com/about-us/company-information/starbucks-company-profile. Accessed 16 Feb. 2017.