15A – Figuring Out Buyer Behavior No. 2
Interview 1:
How has Starbucks advertising impacted you?
How has Starbucks advertising impacted you?
Interviewee: I see Starbuck advertising quite often in different kinds of places.
Do you use the My Starbucks Rewards loyalty program?
Interviewee: No.
How frequently do you go to, or visit Starbucks?
Interviewee: About once a week.
Did you enjoy your experience at Starbucks?
Interviewee: Yes, the service is usually pretty quick, they rarely mess my order up and the customer service is good.
How does Starbucks make you feel?
Interviewee: Good, I generally enjoy going. My one gripe is of course how expensive the drinks are.
What is your current impression of Starbucks?
Interviewee: I think of coffee and them spelling and calling out my name wrong.
What do you think has contributed to the success of Starbucks?
Interviewee: Millennials, their good marketing and quick, reliable service. I guess the way we post just about everything we do on social media, Starbucks essentially gets free marketing.
Do you think Starbucks has an advantage in the market compared to their competitors?
Interviewee: Yes, because of how well known they are. They have a solid reputation as coffee shops go.
What methods or reasons might help brands today to maintain loyal customers?
Interviewee: How often people check the reviews before going to a restaurant.
Overall, how do you rate your experiences at Starbucks?
Interviewee: Out of 10, I’d say an average of 7.5.
Interview 2:
How has Starbucks advertising impacted you?
How has Starbucks advertising impacted you?
Interviewee: I appreciate their aesthetic most of the time.
Do you use the My Starbucks Rewards loyalty program?
Interviewee: No.
How frequently do you go to, or visit Starbucks?
Interviewee: I’d say probably about once a week.
Did you enjoy your experience at Starbucks?
Interviewee: It was alright, I spend a lot of time waiting because the Starbucks on campus are always busy and crowded when I go.
How does Starbucks make you feel?
Interviewee: Anxious, both the environment in store and the effect coffee has on me.
What is your current impression of Starbucks?
Interviewee: When I think of Starbucks I think of waiting, haha.
What do you think has contributed to the success of Starbucks?
Interviewee: It’s fast food with easy and fun customizations.
Do you think Starbucks has an advantage in the market compared to their competitors?
Interviewee: Yes, there’s like ten just on campus.
What methods or reasons might help brands today to maintain loyal customers?
Interviewee: Having ethical production. By ethical production, I mean having sustainable practices, paying employees a living wage. You know, stuff like that.
Overall, how do you rate your experiences at Starbucks?
Interviewee: I personally haven’t heard of anything.
Interview 3:
How has Starbucks advertising impacted you?
Interviewee: I don’t watch cable tv, at most a YouTube ad. I don’t drink Starbucks enough to be addicted to it.
Do you use the My Starbucks Rewards® loyalty program?
Interviewee: No.
How frequently do you go to, or visit Starbucks?
Interviewee: Once every couple of months.
Did you enjoy your experiences at Starbucks?
Interviewee: I guess, it’s not great or bad.
Interviewer: How does Starbucks make you feel?
Interviewee: Starbucks makes me feel like I have caffeine jitters as a drink, and unrepresented as a company.
What is your current impression of Starbucks?
Interviewee: They are an extremely Liberally biased company that pursues profits under the guise of environmental and political progressiveness.
What do you think has contributed to the success of Starbucks?
Interviewee: Positioning sales in the right location based on their underlying political agenda.
Do you think Starbucks has an advantage in the market compared to their competitors?
Interviewee: Yes, strictly because of brand recognition.
What methods or reasons might motivate brands today to maintain loyal consumers?
Interviewee: In a capitalist society the consumer is the deciding factor when it comes to you thriving as a business or failing and go broke. Everything in our society is run by and based on money. If the money is in the hands of those who work, they will spend it on the most well-known or most seen business or advertised product lines. Simple, pretend to seek good and be well to everyone on camera, while doing everything you can behind the scenes to make as much money as possible.
Overall, how do you rate your experience at Starbucks?
Interviewee: 8/10 because I go there for coffee and it’s good. Otherwise, I ignore everything else.
Alternative Evaluation: Customers purchase Starbucks products mainly out of convenience and because the brand utilizes their quick services to provide beverages for customers on their daily commute to work. Many college students purchase Starbucks due to it containing caffeine, along with its prevalence through social media such as Facebook, Twitter, and Instagram. The needs and motivations of consumers include a quiet environment to hold a conversation with family, friends, and colleagues, private time to his or her-self with free Wi-Fi and something to drink, or a unique present or gift for a friend. Starbucks has gained conventional consumers who have a strong sense of brand loyalty, which has been fortified by the corporation through its delivery of high-quality products and services throughout years. As customers purchase more coffee, the brand has switched towards premium and higher-quality coffee. The main points that Starbucks focuses on when advertising include quality-based differentiation, excellent customer service, and a high focus on customer orientation. Consumers tend to lean towards Starbucks not only for the products- mainly the beverages, but for the experience as well. What sets Starbucks products aside from its competitors is the fact that the corporation offers limited edition drinks, along with Instagrammable menu items that customers often post on social media.
How/where do they buy?
The geographics for Starbucks consists of three regional divisions for the global market, Americas, China and Asia-Pacific, and Europe, Middle East, and Africa. Within the United States, it is further divided into Western, Northwest, Southeast, and Northeast regions. The segment is more likely to buy in a store, due to the nature of the product. Customers are more likely to use cash or the My Starbucks Rewards® loyalty program. One of the current goals of the corporation is to reinforce customer interaction with the mobile app and strengthen brand loyalty through this program by frequently offering deals and discounts to the target audience through social media, such as Facebook, Twitter, and Instagram. The target market is involved heavily on arts and charity and making great efforts to be environmentally and socially responsible. To appeal to the target audience and encourage them to purchase merchandise, the products should be highlighted through social media posts or viral marketing campaigns. Partnerships and collaborations with more brands and retailers can also be done, such as deepening partnerships with overseas businesses in order to significantly elevate the “Starbucks experience” for foreign customers who are new to the brand and integrating multiple platforms across both the Starbucks and foreign market ecosystems, enabling a user-friendly interface and personalized experience. This would also appeal and increase the market share of non-coffee or caffeine-free drinkers.
Post-Purchase Evaluation: What matters most to Starbucks customers when they think back on the ‘rightness’ of the purchase is the price and quality of the product that they have received. The corporation is in the mature stage and has a 1.4% annual growth rate. However, Starbucks is constantly adapting to changing consumer tastes, due to trends, such as the “unicorn trend” which targets a younger and more tech savvy audience. Starbucks has also begun to incorporate food, such as sandwiches and bagels, into their menu, transforming the coffee shop into a one stop shop. Starbucks offers a large variety of products including specialty coffees, foods, teas, and coffee accessories. The corporation’s goal is to increase the market share of non-coffee or caffeine-free drinkers by introducing product lines targeted towards this segment and repositioning one of its current products, the Frappuccino, to include a crème variation with no coffee. Starbucks treats consumers like family due to the store’s welcoming environment- while a majority of the target market goes to the physical stores for the beverage products, some also go for the experience as well. By maintaining superior customer service and the “Starbucks experience,” the brand will continue to be successful as one of the most popular stores that customers will prefer.
Summary: Overall, what I learned in the interviews was that the people that fall under the target segment, midscale younger mostly without kids, frequently visit Starbucks due to convenience and the fact that the brand is a dominant chain globally. The consumer market for Starbucks is predominantly located in North America, followed by China and Japan, and the brand is number one in coffee marketing in the United States. One of the major weaknesses affecting Starbucks are their prices, the price of coffee can be high at times and some people may not be able to afford it. A segment of Starbucks consumers consists of people with positive life attributes and are concerned with their image and status, as opposed to the cost of the actual product. However, the three people that I interviewed all fell under the college student category, who purchase the product out of convenience and a need for caffeine. Starbucks can increase the market share of non-coffee or caffeine-free drinkers by handing out free samples of select beverages at locations such as college campuses and sponsoring events by providing bakery products for participants at the event. Content marketing campaigns are created that reflect on certain events, such as the holiday season and summer vacation. Starbucks can utilize them to increase demand and awareness of the limited-edition beverages during the times in which they are available.
Conclusions: I would describe this segment as men and women ages 25 to 40. The target market is affluent or high-income consumers, but multiple Starbucks are also surrounded by middle-income neighborhoods, due to these people spending their discretionary income on the brand’s beverages. The corporation targets the working class, or people who are occupied in their daily lives. Due to their immersive lifestyles, customers can grab a drink “on the go,” and Starbucks also offers bottled drinks for convenience. Technology also plays a role in determining the target audience, a majority of the market is tech savvy, implying that they use social media frequently. Starbucks is also flexible with their target audience, but knowing that changes arises with growth, the company views changes as opportunities, rather than burdens in the future. By creating “an image to which customers want to associate themselves with,” this generates a sense of belonging among the audience and can be leveraged to achieve success. By opening primarily in upscale neighborhoods, Starbucks target demographic is urban and affluent, on-the-go professionals who tend to work office jobs. This is the demographic audience due to the fact that consumers with higher income have higher disposable incomes compared to those with lower incomes. This allows them to spend more money towards luxuries, such as Starbucks beverages.
Summary: Overall, what I learned in the interviews was that the people that fall under the target segment, midscale younger mostly without kids, frequently visit Starbucks due to convenience and the fact that the brand is a dominant chain globally. The consumer market for Starbucks is predominantly located in North America, followed by China and Japan, and the brand is number one in coffee marketing in the United States. One of the major weaknesses affecting Starbucks are their prices, the price of coffee can be high at times and some people may not be able to afford it. A segment of Starbucks consumers consists of people with positive life attributes and are concerned with their image and status, as opposed to the cost of the actual product. However, the three people that I interviewed all fell under the college student category, who purchase the product out of convenience and a need for caffeine. Starbucks can increase the market share of non-coffee or caffeine-free drinkers by handing out free samples of select beverages at locations such as college campuses and sponsoring events by providing bakery products for participants at the event. Content marketing campaigns are created that reflect on certain events, such as the holiday season and summer vacation. Starbucks can utilize them to increase demand and awareness of the limited-edition beverages during the times in which they are available.
Conclusions: I would describe this segment as men and women ages 25 to 40. The target market is affluent or high-income consumers, but multiple Starbucks are also surrounded by middle-income neighborhoods, due to these people spending their discretionary income on the brand’s beverages. The corporation targets the working class, or people who are occupied in their daily lives. Due to their immersive lifestyles, customers can grab a drink “on the go,” and Starbucks also offers bottled drinks for convenience. Technology also plays a role in determining the target audience, a majority of the market is tech savvy, implying that they use social media frequently. Starbucks is also flexible with their target audience, but knowing that changes arises with growth, the company views changes as opportunities, rather than burdens in the future. By creating “an image to which customers want to associate themselves with,” this generates a sense of belonging among the audience and can be leveraged to achieve success. By opening primarily in upscale neighborhoods, Starbucks target demographic is urban and affluent, on-the-go professionals who tend to work office jobs. This is the demographic audience due to the fact that consumers with higher income have higher disposable incomes compared to those with lower incomes. This allows them to spend more money towards luxuries, such as Starbucks beverages.
Hi Arlene,
ReplyDeleteI think you have done an amazing job doing and analyzing these interviews. I liked how you not only did the evaluations but you also included the specific answers and questions of the interviews. When it came to the analysis, I think you considered every possible aspect and your answers show that you have done the necessary research and are knowledgeable on this Starbucks topic.