Starbucks Service Blueprint [PDF]

Zitiervorschau

Star Bucks

CONTENTS

• Channels of Distribution • Services marketing Mix • Target marketing position • Delivering of service / Service performance • Services Gap analysis • Service blue print •Conclusion

STARBUCKS - An Overview

•The Starbucks Coffee, Tea, and spices company was founded in Seattle in 1971 • It is the largest Coffee house company in the world, with 20366 stores in 61 countries.

“To inspire and nurture the human spirit --- one person, one cup, and one neighborhood at a time.” ---- Starbucks Mission statement

Target Market and Positioning

•Positioned it self as an upscale brand - not just coffee products but a “rich experience” – Selling point • Social Classes • Small towns, rural communities, ethnic neighborhood.

THE HISTORY OF STARBUCKS

SERVICES MARKETING MIX - 7P’s

PRODUCT •30 varieties of whole bean coffee to ecofriendly cappuccino, pastries, Smoothies, wraps. • Live coffee Mantra •Sodas, juices, coffee-related accessories, equipment, music CDs, novelty Items. •Varied from store to store. •JV with Pepsi-Cola for Frappucino, Dreyer’s for premium ice Creams.

SERVICES MARKETING MIX - 7P’s

PLACE •Located in high traffic, high visibility settings – retail settings, office Buildings, university campuses. •In-store at Barnes & Noble and Target. •Target - Individuals on the go. •Localization – “Stealth outlets”.

“we want to reach customers where they work, travel, shop, and dine.” -----Starbucks philosophy.

SERVICES MARKETING MIX - 7P’s

PRICE •Priced high – perceived upscale image. •Later introduced “value strategies”. •Breakfast pairings. •The average ticket price is $3.85.

SERVICES MARKETING MIX - 7P’s

PROMOTION •Starbucks card – referral system. •Corporate sales card. •Delivery to offices without restriction. •Appealing to diverse customer base – international products. •Philanthropy – contribution to non-profit organizations.

SERVICES MARKETING MIX - 7P’s

People •Core ingredient •“Happy customers” start with “happy staff” • “ we are not employees – we are partners” •Employee turnover rate of 70% compared to the fast food industry averages of 300%

SERVICES MARKETING MIX - 7P’s

Physical Evidence • Custom made cup of beverage. • Clean, friendly environment , cozy chairs, sofas. • Alluring pastries menu , “tasty” show cases, tempting coffee pictures.

SERVICES MARKETING MIX - 7P’s

Process • Legendary Service • Sequence service reducing queue. • Contact less payment – Barclay , I phone and Android app

Service Blueprint

Stage in Production Process Target time (minutes) Critical time

Obtain Seat 1 5

Take Order 1 5

Participants

Customer

Customer Waiter

Visible evidence

Furnishings

Staff Appearence

Line of visibility Invisible process

Cleaning of room

Make Order

Deliver Order

3 8

3 8

Cook

1 3

Customer Waiter

Tea, Crockery, Manner of service

Preparation of Ordering of supplies

Pay for Order

Customer Cashier Cash Collection Procedures

Accounting Procedures

Layout

Expected Service Perceived Service

Service Delivery Customer driven service designs and standards

Company perception of consumer expectations

Gap Analysis

• Customer satisfaction gap could primarily be attributed to a service gap Between key attributes and customer expectations. • Speed of Delivery considered as critical

Bridging the Gap •An additional 20 hours of labor, per week, per store •Service time down to a strict 3 minute level.

Conclusion :

“ We aren’t in the coffee business, serving people. We are in the people business Serving coffee” --- Howard Schultz (Serwer, 2004)

Starbucks claimed their leadership by focusing on a strategy of new products, A stronger connection with customers, rapid expansion, and uncompromised quality