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Registered users can give ideas to improve the coffee experience Users can vote and popular ones get implemented
Follow up on MyStarbucksIdea.com
Oct. 20. 2009 Facebook fan page with photos and messages
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Engaging social like minded Starbuck fans is different from their own corporate social responsibility program
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App #1 MyStarbucks StoreLocator Bookmark favourite locations Search for opening hours and amenities Including menu and nutritional info drink builderdisplays nutritional info based on selections made 20
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http://www.youtube.com/watch?v=75sHpVWBUC8&feature=related 24
Thanks to whyhire.me
http://www.youtube.com/watch?v=Vx4x3i63Gfw&feature=related
Thanks to Northwest Recruiters Association and Amy Bethhale
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Consumer respons
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STRATEGY How Do They Buy in the Category? 2006 Ideal Coffee Provider 1. Loyalty Drivers in order of importance.
High = Differentiator
2. Percent contribution to future purchase/loyalty. 3. Customer Expectation level for each Driver.
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Customer Expectation Levels
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Low = Table Stakes
Ideal
Percent of Contribution Highest
TACTICS Percent-Contribution of Individual ABVs Driver #2: Service & Surroundings (28%)
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Loyalty Drivers Order of Importance Highest Brand Keys, Inc. 2010 Lowest
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What Happened?
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Over the past ten years, in order to achieve the growth, development, and scale necessary to go from less than 1,000 stores to 13,000 stores and beyond, we have had to make a series of decisions that, in the commoditization of our brand. Many of these decisions were probably right at the time, and on their own merit would not have created the dilution of the experience; but in this case, the sum is much greater and, unfortunately, much more damaging than the individual pieces. For example, when we went to automatic espresso machines, we solved a major problem in terms of speed of service and efficiency. At the same time, we overlooked the fact that we would remove much of the romance and theatre that was in play with the use of the La Marzocca machines. . . .
Loyalty Drivers Order of Importance Highest Brand Keys, Inc. 2010 Lowest
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In-Market Validation
Year Brand Equity Index Brand Keys Rankings In-Market Realities
109 2006 113 115 2007 109 115 2008 107 118 2009 106
Dunkin institutes new strategy Starbucks is a thriving brand Dunkin 11% system wide sales. 5.2% same-store sales Starbucks share price 43%
Dunkin Restaurant Marketer of the year. Same-store sales 7% Starbucks closes 1,000 stores Dunkin opens 1,500th store Starbucks to close 600 stores. Same-store sales 5%
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Offering Coupons
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Advertising
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And Finally
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To create loyalty, first find out what makes it happen . . . then implement the right strategy, using the right tactics!
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Starbucks
Goal
Engage with customers/prospects using social media and ask what they would like from you
Tactics
Launched the My Starbucks Idea website
Metrics
Number of good suggestion that Starbucks hadnt thought of, % of the above that Starbucks actually implements
Results
Results not known, but Starbucks generated over 70,000 ideas in its first year of implementation alone! 50 of the ideas have been implemented already.
Webgraphy
www.sladeshare.net www.starbucks.com/ www.grain.org/ Starbucks.aspx www.slate.com www.consumerreports.org/ en.wikipedia.org/wiki/Starbucks www.fbworld.com/ tutor2u.net/ www.unsnobbycoffee.com./ www.wikinvest.com/stock/Starbucks_(SBUX) www.nytimes.com/ www.atimes.com/