Essay on Starbucks : Delivering Customer Service
1476 WordsMar 22nd, 20136 Pages
Starbucks: Delivering Customer Service
Starbucks: Delivering Customer Service
The elusive goal of customer satisfaction has long provided companies with endless headaches and difficult decisions. In the end, associating specific customer satisfaction metrics to company profit and loss would provide the undeniable proof needed to make changes, and then invest the required capital to address any concerns. Starbucks, not unlike the rest of the business world, has found itself in the same situation. At a basic level, the argument that more investment in customer service creates higher customer satisfaction has already been fundamentally agreed upon. However, more specifically, Starbucks must decide if a reinvestment of $40M annually in…show more content…
If the service is excellent and the customer has a memorable experience, there will be an emotional aspect that connects the customer to Starbucks. Excelling in service also benefits existing customers and deepens customer loyalty.
As a well-established coffee retailer and over 35 years of success, Starbucks is at the maturity stage in the product life cycle. It is in this stage that Starbucks needs to shift gears and focus on marketing program modifications by increasing the number of customers and customer visits (Kotler, 2009, pg. 185). While improving service will attract first-time customers and retain current ones, further marketing modifications will need to be made if it wants to continue to grow. More advertising, distribution, sales promotions, and personal selling are a few of the ways to modify the marketing program.
Starbucks Global Consumer Products Group (CPG) strives to extend the Starbucks Experience to their customers outside the retail store environment through a number of channels and products. Originally, Starbucks’ smart marketing strategy is to continue to target the young, more educated working class of ages 18-34. Starbucks has positioned its brand as cool, trendy, healthy, and the premium experience of coffee drinking. Starbucks’ strategy for expanding its retail business was to open stores in new markets, while geographically clustering stores in existing markets. When it came to selecting new retail sites, the company considered a
STARBUCKS ACTION PLAN 2Starbucks Action PlanThe action plan for the initiative for a new product line at Starbucks provides a discussionof several the most important aspects of the project. It begins with an examination of the processes utilized for data collection. This analysis leads to the development of the processes based on various levels that include reaction, learning, application, and impact. This paper also evaluates inputs for a variety of measures that are crucial to the success of the project. Then an analysis of the process used within the project to convert data to monetary value is discussed. Rounding out the action plan is a discussion of the utilization of all this information.Data Collection ExaminationBy examining the various data collection processes, it is clear that they mainly involve gathering information on the variables of interest and measuring it. Data collection is a systematic way of answering the stated research question, the hypothesis, and evaluating the outcome. Data collection application is a component of the investigation in all fields of study such as in social and physical sciences, humanities, and business in schools. Also, data collectionprocesses require an emphasis on ensuring accurate, realistic, and honest data collection. This phenomenon is of great importance since it helps maintain the integrity of the research.According to Donald Kirkpatrick, the data collection process involves four levels which include reaction, learning, behavior, and results. Kirkpatrick's four-level training model plays a role in the approach of measuring the training effectiveness of the learner (Praslova, 2010, p. 219). In this case, the four-level training model will be used to generate a budgetary report on Starbucks business plan to determine appropriate use. Also, the model will analyze the Starbucksbusiness plan and assess whether there will be a way to improve it in the future. The data collection process for Starbucks will evaluate the new product lines designed to be appealing to those that are health conscious. The four-level model will be studied and analyzed carefully to