Starbucks Coffee company or Starbucks cooperation has a strong marketing mix 4Ps which supports the firm’s industry position like leading coffeehouse chain in the world. However, the marketing mix shows the main components of the company’s marketing plan, product, place, Promotion, Price (4Ps), and name.
The marketing mix or 4P is essential and works as a marketing tool to establish a unified and systemic approach. This approach helps bring the Starbucks corporation’s products to the beverages and food market worldwide.
It is doing effectively so much support operational effectiveness in various areas of businesses. But, for Starbucks, achieving goals and objectives relies on any business’s marketing strategy. In this article, we will discuss the marketing mix 4ps of Starbucks. So, let’s start!
How Does Analysis of Starbucks’ Marketing Mix Help Us 2022?
In terms of business analysis of Starbucks, we can say that it uses its marketing mix as a way to develop its brand image and popularity. As the strongest brand in the industry, Starbucks refers to a compelling marketing mix that supports brand development & global business growth.
Starbucks has changed its marketing ix over time to respond to the strategic challenges in the market, including many competitive forces. These competitive forces are involved in many firms like McDonald’s, Wendy’s, and Dunkin’ Donuts.
These changes in the marketing mix emphasize Starbucks company’s need to get various business operations to maintain effectiveness against the growing competition. Here, we will discuss how Starbucks promotes advertising products and how it makes public relations.
Marketing Mix (4Ps) of Starbucks in 2022
In the context of the marketing mix of Starbucks, it is essential to apply a suitable combination of approaches to promote the right products that are offered at the right places and at the correct prices.
These marketing mixes support various strategies in various business areas and modernize the attainment of Starbucks corporation’s mission & vision statements.
However, the marketing mix is a vast mixture of marketing techniques that any company uses to achieve its marketing objectives in a target market. It refers to a business model that only focuses on the product, pricing, place, and promotion.
Starbucks Coffee Company’s products Strategy
This first component of the marketing mix focuses on what the business offers its customers. Starbucks corporation is continuously innovating its product mix to capture many food and beverage markets.
It adds or modifies its product lines to increase its market reach and grow its market share. There are some main categories of Starbucks products that we have mentioned below.
- Baked goods
- Merchandise (mugs, instant coffees, etc.)
- Other foods & beverages
Starbucks coffee company’s product mix results from many years of business innovations. For example, the company added the Frappuccino line after the coffee connection in almost 1994.
This business has an ongoing product innovation process that only aims to offer to attract customers and keep growing its customers. Especially in this case because the company attracts a diverse population of its customers in the international market.
So, Starbucks’s marketing mix contains beverages, foods, merchandise that is carefully selected and designed to satisfy the needs & preferences of target consumers worldwide.
Starbucks Price Strategy in Marketing
Starbucks usually uses a premium pricing strategy. And in the marketing mix, this strategy takes advantage of the behavioral tendency of people to buy expensive products based on correlations between high & low values.
Starbucks’ coffee products are more expensive than other competing products like McDonald’s premium roast. However, with the help of a pricing strategy, Starbucks maintains its high-end specialty image.
This company strives to make and provide high-quality products and satisfactory customers experience in the coffee-house. This marketing mix component directly relates to the Starbucks corporation’s generic competitive strategy to find a business to maintain a premium brand image.
Starbucks Place Strategy in Marketing
The second essential component of marketing mix 4Ps of Starbucks is the price. It determines the venues where customers can easily access the product. For example, it offers many products at cafes or coffee-houses.
Moreover, there are a lot of other places and channels of distribution available for its products. So, in this case, we have mentioned below some of the venues or locations that Starbucks corporation mainly uses to reach its target customers.
- Cafes or coffee-houses
- Mobile apps
At first, Starbucks sold its products through their coffeehouses. Then this company offered some of its products through online stores. This approach serves as a significant integration of e-commerce into Starbucks’ strategies.
In addition, Starbucks ended its online store operations in about 2017. Its changed strategy reflects the company’s shift to focus on in-store experience in brick-and-mortar coffee-houses or cafes. Some of Starbucks’s merchandise items are also available through retailers.
On the other hand, mobile apps help allow its customers to conveniently place orders online to quickly get food and drinks at the coffee-house of the company. Starbucks’ marketing mix component shows how the firm adapts to change times, technologies, and other market conditions.
Starbucks Marketing Promotions
this component refers to the communication strategies used to disseminate information about its products and encourage customers to purchase them.
Starbucks corporation promotes its products with the help of interpersonal relations and communications, as advertising is a part of the promotional approach. For this case, its promotional mix is following here.
- Word of mouth marketing
- Sales promotions
- Public relations
It has become famous through word-of-mouth marketing. But in the marketing mix, word of mouth focuses on providing the best customer experience to encourage people to spread positivity with positive comments about the business. The corporation sometimes uses public relations, which is not successful for business
The company advertises its products through TV, print media, and the internet. Sales promotions are also used in Starbucks rewards, a program involving newcomers that customers can avail of after buying a certain amount of the company’s products.
Starbucks foundation helps to solve a lot of challenges in society. This foundation helps many communities while promoting the company’s brands. It helps in the promotion component of the marketing mix of Starbucks corporation.
It shows the core significance of word-of-mouth marketing, advertising, and other supporting roles of public relations & sales promotions for cafes or coffee-house chain businesses.
Many businesses can learn from Starbucks’s marketing strategy as it is the mission of Starbucks to inspire and nurture the human spirit of all people with one cup and one neighborhood at a time.
- Coffee is always about quality
- Treating coworkers with respect
- Creating community
- Shareholders and partnership
- Brand marketing and innovation
- Connection with customers
For many, Starbucks is not about coffee. It is all about the experience with and for customers. This company has a mission to create an experience because millions of people worldwide love Starbucks.
This article is all about the marketing mix 4ps of Starbucks with full details of this mixture’s strategies.