A Brief Marketing Audit of

Starbucks Coffee, Inc.

Group E, The Brewers: Didier Acevedo, Justin Martel,
Daiskue Takesako & Jonas Wongsriskulchai
Schultz Arrives, 1982
Visionary
Visits Italy
Very Ambitious
Rapid Growth
Snowball Effect
5,800 Stores
Financial Power
Employee Benefits
Target Market
A Place/Company for Everyone
Local Marketing
Cultural Awareness
Company Mission
Relationship with Target Market
Website
Atmosphere
Wireless Accessibility
Personal Experience
Supplier Relationships
Fair Trade Coffee Act
Giving Back
Resulting Brand Equity
Products and Promotion
Distinctive Lingo
Word-of-Mouth
Sweet Escape
Product Handout
Non-Traditional Promo
Pricing Strategies
Value-Based Pricing
Inelastic Demand
20% Avg. Price Increase
Lets Do a SWOT
SWOT Analysis
Strengths
Weaknesses Threats
Opportunities
Delivery or Street Vendors
Keep Expanding
Better Protection from Volatility
Consumer Trends
Growth of Market Saturation
Loss of Protection against Volatility
Corporate Control
Visible Locations
Low Turnover
Cannibalization
Marketing Myopia?
Lack of Decaf Products

Conclusions and Recommendations


2002

2001

2000

1999

Contribution
Margin
Ratio

.589

.579

.558

.556

Current
Ratio

1.57

1.33

1.47

N/A

Inventory
Turnover
Ratio

12.49

9.43

10.79

N/A

Asset
Turnover
Ratio

1.43

3.512

4.752

N/A

Debt-to-
Equity Ratio

.000411

.000506

.000592

N/A

Net Profit
Margin

6.5%

6.8%

4.3%

6%

Conclusions and Recommendations
Continue Standards
of High Quality
Non-Intrusive Methods
of Advertisement
Avoid McDonalds Mistake
Grocery Promotions
The End
Thanks for Listening