Starbucks opened in Seattle’s Pike Place Market in 1971 with hopes of creating a “third place” between home and work. Starbucks was created to produce premium coffee, while adhering to various core principles during economic growth. “The company has realized that people don’t only come for coffee; they come for the atmosphere,” (Kembell). Customers are able to socialize, read, study or enjoy music while drinking coffee. Starbucks strategically positions each store with hopes of matching the specific location, helping to create a unique atmosphere. Throughout this paper, I will analyze Starbucks’ current domestic and international marketing strategy through SWOT (strengths, weaknesses, opportunities and threats) analysis, to provide new ideas, leading to market segmentation.
Starbucks has been in the driver’s seat the last ten years, allowing small and large corporations to watch the marketing strategies pay off year after year. Each store delivers a unique experience, particular to each city’s culture. “The choice of furniture and fixtures, the names of its drinks, the messages on the cups, the graphics, it’s all been studiously crafted,” (Hanft).
These tactics have helped shareholders make large returns solidifying the well-established and well-rounded company. Starbucks, the industry leader has built an image around taking considerable shares of the competition, by establishing reliability with suppliers. Executives have stressed to employees that high levels of productivity will result in a financially stable company, able to take on rapid growth.
In conclusion, Starbucks has appealed to such a wide target market, it seems every product introduced w ...