Description
Sale Price
Availability
Customer Service
Maintenance of a Positive Brand Image
Various Styles and Flavors of Specialty Beverages
Financial Employee Productivity
International Markets
Narrow Product Mix
Volatile Coffee Markets
The “Hear” Music Label
Starbucks Competitive
Assessment
BA 311 Presentation
Team 3 (Hamza Khan, Tuan Le,
Kass Sepich, Ama!a Sharan,
"oe! Thannicka!#
$ebruar %, &''(
Primar Competitive )ssues
?
Sa!e Price
?
Avai!abi!it
?
Customer Service
?
*aintenance o+ a Positive Bran, )ma-e
?
.arious St!es an, $!avors o+ Specia!t Bevera-es
?
$inancia! /mp!oee Pro,uctivit
?
)nternationa! *arkets
?
0arro1 Pro,uct *i2
?
.o!ati!e Co++ee *arkets
?
The 3Hear4 *usic Labe!
Si-ni+icant Tren,s in the Co++ee )n,ustr
•
Co++ee rei-ns above ener-
,rinks an, so+t ,rinks as the
pre+erre, ca++eine bevera-e
• American ,emo-raphic -roups
sho1 continua! increase in co++ee
consumption
• Lar-e corporate competitors are
innovatin- creative 1as to take
a piece o+ the Starbucks pie
Starbucks5 Competitors
•
Loca!! o1ne, co++ee carts an, shops
•
0orth1est Base, Chains
6 Peet5s Co++ee
6 Stumpto1n
6 "ava Bean
6 Tu!!5s
6 7utch Brothers
•
Corporate Businesses
6 *c 7ona!,5s *c 7ona!,5s
6 6 7unkin5 7onuts 7unkin5 7onuts
6 Krisp Kreme 7onuts
Starbucks vs8 The Litt!e *an
?
Sma!! businesses an, co++ee carts9
6 Connect 1ith the communit
6 Have ,iverse menus
6 Are -oo, on the -o
6 Create a reason to return
?
But Starbucks sti!! contro!s the market
because o+9
6.ast number o+ stores
6/2tra amenities sma!! co++ee retai!ers ,o not
o++er
6Creative co++ee b!en,s
6Stron- marketin- strate-ies
S:;T Ana!sis Chart
ST
•Accessibi!it
•/conomies o+ sca!e
•$inancia! -ro1th
•Positive bran, ima-e
:/AK0/SS/S>
•Lo1 +inancia! emp!oee
pro,uctivit
•0arro1 pro,uct mi2
•:eak comp!iance +unction
•Corporate ima-e
•Hi-h price points
;PP;
•=ro1th in ne1 internationa!
markets
•/2pansion o+ ne1 +!avors
an, st!es o+ co++ee
bevera-es
•The 3Hear *usic4 !abe!
TH
•)ntense competition
•?nstab!e co++ee markets
•Controversies an, criticism
•Possib!e over6saturation o+
the market
Competitive Lan,scape
?
Product Form Competition
?
Product Category Competition
?
Core Benefit Competition
?
Budget Competition
$eare, Competitors> *c7ona!,s
1) Cost
Advantage
2) Strong Cash
Flow
3) Strong Brand
$eare, Competitors> 7unkin5 7onuts
1. Cost Advantage
2. Complements
the main
Product.
The critics sa it best9
)+ an *BA 1ere a ,octor an, our compan
a patient, ou5, be ,ia-nose, 1ith a most
common sn,rome o+ commercia!
success> maturit98 *emories -ro1
+on,er, knees soun, noisier, an, eah,
+o!ks take ou +or -rante,84
6 Ben Santaris an, Laura =un,erson
The ;re-onian
r,s o+ :is,om9
3) have sai, +or &' ears that our
success is not an entit!ement
an, no1 it@s provin- to be a
rea!it8 Let@s be smarter about
ho1 1e are spen,in- our time,
mone an, resources8 Let@s -et
back to the core84
6 Starbucks C/; Ho1ar, Schu!tz
Schu!tz saves the ,a9
:ith the return o+ Ho1ar, Schu!tz as C/;,
Starbucks 1i!!>
•
Cut +oo, items +rom the menu that inter+ere
1ith the co++ee aroma
•
C!ose stores that are not meetin-
e2pectations
•
$ocus on )nternationa! /2pansion
•
Sale Price
Availability
Customer Service
Maintenance of a Positive Brand Image
Various Styles and Flavors of Specialty Beverages
Financial Employee Productivity
International Markets
Narrow Product Mix
Volatile Coffee Markets
The “Hear” Music Label
Starbucks Competitive
Assessment
BA 311 Presentation
Team 3 (Hamza Khan, Tuan Le,
Kass Sepich, Ama!a Sharan,
"oe! Thannicka!#
$ebruar %, &''(
Primar Competitive )ssues
?
Sa!e Price
?
Avai!abi!it
?
Customer Service
?
*aintenance o+ a Positive Bran, )ma-e
?
.arious St!es an, $!avors o+ Specia!t Bevera-es
?
$inancia! /mp!oee Pro,uctivit
?
)nternationa! *arkets
?
0arro1 Pro,uct *i2
?
.o!ati!e Co++ee *arkets
?
The 3Hear4 *usic Labe!
Si-ni+icant Tren,s in the Co++ee )n,ustr
•
Co++ee rei-ns above ener-
,rinks an, so+t ,rinks as the
pre+erre, ca++eine bevera-e
• American ,emo-raphic -roups
sho1 continua! increase in co++ee
consumption
• Lar-e corporate competitors are
innovatin- creative 1as to take
a piece o+ the Starbucks pie
Starbucks5 Competitors
•
Loca!! o1ne, co++ee carts an, shops
•
0orth1est Base, Chains
6 Peet5s Co++ee
6 Stumpto1n
6 "ava Bean
6 Tu!!5s
6 7utch Brothers
•
Corporate Businesses
6 *c 7ona!,5s *c 7ona!,5s
6 6 7unkin5 7onuts 7unkin5 7onuts
6 Krisp Kreme 7onuts
Starbucks vs8 The Litt!e *an
?
Sma!! businesses an, co++ee carts9
6 Connect 1ith the communit
6 Have ,iverse menus
6 Are -oo, on the -o
6 Create a reason to return
?
But Starbucks sti!! contro!s the market
because o+9
6.ast number o+ stores
6/2tra amenities sma!! co++ee retai!ers ,o not
o++er
6Creative co++ee b!en,s
6Stron- marketin- strate-ies
S:;T Ana!sis Chart
ST
•Accessibi!it
•/conomies o+ sca!e
•$inancia! -ro1th
•Positive bran, ima-e
:/AK0/SS/S>
•Lo1 +inancia! emp!oee
pro,uctivit
•0arro1 pro,uct mi2
•:eak comp!iance +unction
•Corporate ima-e
•Hi-h price points
;PP;
•=ro1th in ne1 internationa!
markets
•/2pansion o+ ne1 +!avors
an, st!es o+ co++ee
bevera-es
•The 3Hear *usic4 !abe!
TH
•)ntense competition
•?nstab!e co++ee markets
•Controversies an, criticism
•Possib!e over6saturation o+
the market
Competitive Lan,scape
?
Product Form Competition
?
Product Category Competition
?
Core Benefit Competition
?
Budget Competition
$eare, Competitors> *c7ona!,s
1) Cost
Advantage
2) Strong Cash
Flow
3) Strong Brand
$eare, Competitors> 7unkin5 7onuts
1. Cost Advantage
2. Complements
the main
Product.
The critics sa it best9
)+ an *BA 1ere a ,octor an, our compan
a patient, ou5, be ,ia-nose, 1ith a most
common sn,rome o+ commercia!
success> maturit98 *emories -ro1
+on,er, knees soun, noisier, an, eah,
+o!ks take ou +or -rante,84
6 Ben Santaris an, Laura =un,erson
The ;re-onian
r,s o+ :is,om93) have sai, +or &' ears that our
success is not an entit!ement
an, no1 it@s provin- to be a
rea!it8 Let@s be smarter about
ho1 1e are spen,in- our time,
mone an, resources8 Let@s -et
back to the core84
6 Starbucks C/; Ho1ar, Schu!tz
Schu!tz saves the ,a9
:ith the return o+ Ho1ar, Schu!tz as C/;,
Starbucks 1i!!>
•
Cut +oo, items +rom the menu that inter+ere
1ith the co++ee aroma
•
C!ose stores that are not meetin-
e2pectations
•
$ocus on )nternationa! /2pansion
•