Starbucks APA Paper Final
Starbucks
Jeremy Sigler
Eva Stefferud
Pamela Zipfel
Natonya Wachs
Herzing University
Starbuck’s History
The first Starbucks opened in 1971, in Seattle’s historic Pike Place Market. The name, inspired by Moby Dick. Howard Schultz (Starbucks chairman, president and chief executive officer) had first walked into a Starbucks store. “He had a vision to bring the Italian coffeehouse tradition back to the United States. A place for conversation and a sense of community.” A third place between work and home. From the beginning, Starbucks set out to be a different kind of company. One that not only celebrated coffee and the rich tradition, but that also brought a feeling of connection. ("Company Information | Starbucks Coffee Company,")
The Consumer & Consumer Issues
To increase customer satisfaction, the company is re-evaluating as to whether they should increase the amount of labor in the stores, which should ideally increase speed-of-service. “However, the impact of the plan (which would cost $40 million annually) on the company's bottom line, is unclear.” (Moon & Quelch, 2006) The company spent minimal dollars on advertising to promote a brand model. Starbucks implements coffee standards by controlling the supply chain as much as possible, and maintain control over the operations at the retail level. Starbucks research indicated that customers did perceive many independent coffee houses as a “third place”, but Starbucks was seen more as a convenient, quick, and consistently good coffee provider. (Bukhari, 2012) This is in different to the way Starbucks management views the company. Due to recent warnings that customer satisfaction was declining due to the response time and quickness of being served and employees’ attitude. Starbucks had a system set up to track customer satisfaction. Starbucks had no centralized marketing program. Sales data was collected, and it was the responsibility of management and executives request that specific data be
Jeremy Sigler
Eva Stefferud
Pamela Zipfel
Natonya Wachs
Herzing University
Starbuck’s History
The first Starbucks opened in 1971, in Seattle’s historic Pike Place Market. The name, inspired by Moby Dick. Howard Schultz (Starbucks chairman, president and chief executive officer) had first walked into a Starbucks store. “He had a vision to bring the Italian coffeehouse tradition back to the United States. A place for conversation and a sense of community.” A third place between work and home. From the beginning, Starbucks set out to be a different kind of company. One that not only celebrated coffee and the rich tradition, but that also brought a feeling of connection. ("Company Information | Starbucks Coffee Company,")
The Consumer & Consumer Issues
To increase customer satisfaction, the company is re-evaluating as to whether they should increase the amount of labor in the stores, which should ideally increase speed-of-service. “However, the impact of the plan (which would cost $40 million annually) on the company's bottom line, is unclear.” (Moon & Quelch, 2006) The company spent minimal dollars on advertising to promote a brand model. Starbucks implements coffee standards by controlling the supply chain as much as possible, and maintain control over the operations at the retail level. Starbucks research indicated that customers did perceive many independent coffee houses as a “third place”, but Starbucks was seen more as a convenient, quick, and consistently good coffee provider. (Bukhari, 2012) This is in different to the way Starbucks management views the company. Due to recent warnings that customer satisfaction was declining due to the response time and quickness of being served and employees’ attitude. Starbucks had a system set up to track customer satisfaction. Starbucks had no centralized marketing program. Sales data was collected, and it was the responsibility of management and executives request that specific data be
References: Bukhari, A. (2012, June 6). Starbucks-delivering-customer-service-final. Retrieved from http://www.slideshare.net/AlyBukhari/starbucksdeliveringcustomerservicefinal Company Information | Starbucks Coffee Company. (n.d.). Retrieved from http://www.starbucks.com/about-us/company-information The Customer Experience – Spotlight on Starbucks [Web log post]. (n.d.). Retrieved from http://www.nbrii.com Hoyer, W. D., MacInnis, D. J., & Pieters, R. (2012). Consumer Behavior, 6e, 6th Edition. [VitalSource Bookshelf version]. Retrieved from http://online.vitalsource.com/books/9781285529165/S1/0 Jacobson, L. (2015). Starbucks Case Study | Lauren M Jacobson. Retrieved from https://laurenmjacobson.wordpress.com/case-studies/starbucks-case-study/ Moon, Y. E., & Quelch, J. A. (2006, July). Starbucks: Delivering Customer Service - Case - Harvard Business School. Retrieved from http://www.hbs.edu/faculty/Pages/item.aspx?num=30176 Starbucks Advances Latin America Expansion. (2014). Starbucks Newsroom. Retrieved from https://news.starbucks.com/news/starbucks-advances-latin-america-expansion Starbucks - In Photos: The 10 Worst Restaurant Chains for Customer Satisfaction - Forbes. Retrieved from http://www.forbes.com/pictures/fgdi45hfeg/5-starbucks/