Republic of the Philippines

POLYTECHNIC UNIVERSITY OF THE PHILIPPINES

QUEZON CITY BRANCH

Starbucks: Managing a High Growth Brand

(Case Analysis #15)

Submitted by:

Butch Kevin F. Adovas

BSBA-MM-4-1
 TABLE OF COTENTS

Contents
Starbucks: Managing a High Growth Brand ................................................................................. 1
(Case Analysis #15) ............................................................................................................................. 1
Starbucks: Managing a High Growth Brand ................................................................................. 3
Summary of facts:................................................................................................................................ 3
SWOT Analysis ..................................................................................................................................... 4
Issues, Conclusions, Recommendations: ..................................................................................... 5
References:............................................................................................................................................ 5
 Starbucks: Managing a High Growth Brand

Summary of facts:

Starbucks Condensed Timeline:

1971- a group of entrepreneurs first opened Starbucks in Pike Place Market.

1982-Howard Shultz (CEO) recognized the conservative business plan of Starbucks and

transformed it from coffee retailer to café business offering “best of the best” products

only, from equipments, fixtures, furnishings and even to the music and arts in the store.

Starbucks became the first coffee house which offers premium coffee to the American

market. At the same time, the company maintained its consistent quality services and

products at the same time establishing strong relationships with coffee growers around

the world. This builds the image of the brand.

1985- II Giomale was founded by the Howard

1987- II Giomale acquired Starbucks

1997- establishes Starbucks Foundation

2017- Schultz resigned and was replaced by Kevin Johnson.

STRATEGY:

1. Word of mouth- let the high-quality product and services speak for

themselves.

2. Partnerships

3. Selective fruitful location of outlets.

4. Store Clustering to achieve dominance in the market

BRAND IMAGE:

Starbucks brand image was a premium and global brand offering quality services

and products and credibility.

BRAND POSITIONING:

The brand was positioned as the “third place” besides home and work and as a

premium coffee house.

SWOT Analysis

STRENGTH WEAKNESSES
-global recognition -high price
-quality products -too quick expansions
-vissionary leaders

THREATS
OPPORTUNITIES
- saturated market
-European market
-cost of coffee beans
-partnerships with other coffee
-competitors
companies
-image threat
Issues, Conclusions, Recommendations:

Issues Conclusions Recommendations

 Based on the study,  Focus on

Starbucks have a fair strengthening the

 Increased
competition share in the market brand image of

however, the market the product by

keeps on evolving with using extensive

which competition arouse marketing

not only on coffee shops campaigns.

but also in other

beverages.

References:
 Slideshare.in
 Archive.org
 Adversion.com
 https://www.starbucks.co.uk/about-us/