Marketing Plan: Starbucks - Essay Example

? Marketing Plan: Final Paper and Presentation Marketing Plan: Final Paper and Presentation Outline Organizational overview………………………………………………………..6 a. Name of organization b. Mission statement - organization’s basic values and philosophy c. Geographic location d. Product mix 1) Single product 2) Product line(s) 2. New product description…………………………………………………….6 3. SWOTT analysis…………………………………………………………….6 a. Strengths (internal) b. Weaknesses (internal) c. Opportunities (external) d. Threats (external) e. Trends (external) 4. Marketing research…………………………………………………………..7 a. Consumer analysis 1) Demographics 2) Psychographics 3) Behaviors (e.g. purchase behaviors) 4) Geographical considerations b. Industrial analysis, if applicable 1) Competitor Analysis 5. Segmentation……………………………………………………………….8 a. Criteria b. Target market(s) 6. Differentiation and positioning…………………………………………..…8 7. Stage of the product life cycle………………………………………..…….8 8. Marketing mix………………………………………..……………………..9 a. Product/service 1) Type - good, service, idea, etc. 2) Features - how will it be different from the competition? 3) Identification - brand name, label, and packaging 4) Production method/delivery of service b. Price 1) Pricing strategy a) Profit-oriented b) Sales-oriented c) Status quo c. Place 1) Channels of distribution - manufacturer, wholesaler, retailer 2) Product location availability 3) Physical distribution/location of facilities/modes of transportation 4) Cost a) Production b) Distribution c) Overhead d) Sales e) Marketing 5) Markup 6) Suggested selling price 7) Profit margin 8) Price and quality relationship - perceived value d. Promotion 1) Personal selling 2) Advertising a) Direct mail b) Internet c) Telemarketing d) Television e) Radio f) Others 3) Sales promotion - sale prices, discounts, coupons, contests, sweepstakes, tradeshows, etc. 4) Public relations 5) Web site 9. Control/monitor………………………………………..………………………9 a. Feedback mechanism to monitor progress b. Evaluation process c. Performance objectives (quantifiable elements) 1) Profit margin 2) Market share 3) Promotional effectiveness 4) Market penetration 10. references ……………………………………………………………………11 Organizational overview Starbucks juice bars are located in many regions now with the very first one opened in the early 2012 in Bellevue, Washington (Zafar, 2012). As a company Starbucks strives to be a unique king of company. It effects to explore and popularize cultural forms of drinks in the modern society bringing connection between cultures and individuals. It objects to ensure that it can supply the market with fresh juice forms further promoting their safe health agenda. Starbucks juice bar concentrates mainly on the production of different types of juices form fruits and vegetable. In this line it also produces other forms of products form these fruits and vegetables such as smoothies, salads, and bottled fruits. New product description The new product in the production line of the Starbucks juice company is that of powdered fruit supplements. These are just like powdered energy boosters only that they are made from pure fruits with no chemical additives. These supplements can be taken as dietary supplements, health supplements or energy boosters. They are created of different fruit flavors and fixed fruit flavors. The concentrations of fruits are measured in accordance to health standards and indicate the proper dosage amount for different individuals to uptake. Swot analysis Starbucks major strength in the market is its already established vast network and financial ability. This means that it is able to popularize this new product across it network chains. Being financially stable also makes it able to invest hugely thus cumulating benefits of economies of scale to its competitors. However, it is at the disadvantage of late investment into this industry. This means popularizing the product over an already loyal to other brands will be a major challenge. In operational and administrative means, it also has the advantage of already available research on the market and regions form its already established product lines such as coffee. As such costs are reduces in terms of product production and this can be further reflected on the final price of the product. A lower product price in the market will give it consumer preference in terms of the constraining economic conditions prevailing in the world today. In view of the increasing outcry for safe and healthy aspect in living especially in America, Starbucks has the opportunity to establish itself in this potential market base. People have become too busy and engaged with many stresses and simple natural fruit supplement would be a welcomed aspect in both society and health standards. The threat to this is that such large scale and diversified production for one company may prove difficult to manage. Investment in such new industries may cause a slack and fall in earlier established product industries like coffee; threat of wiping itself out. Current trends are towards healthy living with scramble for naturally produced products; the essence of the new product. Marketing research To establish the success of the juice bar and its range of products various market research. Hs can firs be established for the large number of consumers that are currently buying other juice products from other companies such as Jamba Company. The publicization of the intent for Starbucks new product juice bar stores also is a market analyzer in checking the effect of the news in the industry. Jamba juice company stock value dropped by 3.5% for this announcement as announced by the owners (Peterson, 2011). The target consumer purchase behavior form Starbucks coffee bars indicates they go for the brand quality and accessibility which Starbucks hold highly. Geographically consideration s given of the social status of individuals in the region which is a fairly upstate with already established businesses from other companies such as Jamba. Segmentation The market for this product targets all consumers. They can be divided in accordance to status and requirements. Those needing the products as health supplements and the social consumers. As such the strategy focuses on reaching both in terms of quality and variety. Differentiation and positioning In accordance to the two target groups of the product the company can differentiate and position its products in their accordance. This is through producing two lines of supplement; those that are meant for medicinal purposes and those that are purely social. This will also reduce speculations on the health effect of the products on health individuals. The two lines can either be under the same product description or different depending on observations made in the marketing process of the two as different products. Stage of the product life cycle This differentiation is done from the production to the marketing stages. This is to say that the two lines will be produced differently branded differently and marketed differently. This will also enable for the company to research on various additional ways to better the two production lines in accordance with requirements and emerging demands with time. Marketing mix In marketing the products the pricing has also been already largely determined by the already established competitors. This means it can not exceed those of the competitors. The difference therefore will be to strive to fix much lower prices due to low production costs due to large scale production, superiority in quality, and the indication of the dosage requirements to appeal more to health requirement and health needs of different consumers. As a result costs of production will be factored to fit within reasonable margins of the selling price for revenue generation. Marketing methods in line with other Starbucks products can be integrated thus sharing the costs of these marketing strategies such as advertising. In marketing other promotional services are offered in view that it is a new product that requires proper popularization. This is through the attachment to other product lines within Starbucks such as coffee. Taking for instance a consumer of large qualities of coffee may be offered the chance to freely sample the new products. It can also be offered for sale and free sampling in other various leading store within the region such as supermarket. This will greatly increase is recognition and popularity in the market. Control/monitor Controlling of the market and product interaction with the consumer is though monitoring consumer reactions. This is through personnel interactions with consumers to accept advice and opinions. Also the reaction on industry surveys such as product consumer rankings and popularity. Monitoring of the stock value of the company and their trends also provide a very thorough way to notice what is going on in the industry and marketing of the company’s products. References Peterson, K. (2011). Starbucks eyes juice-bar business: Expanding the cafe menu could help bring more afternoon traffic and repeat customers. MSN Money. http://money.msn.com/stock-broker-guided/article.aspx?post=3a6b417d-dcf2-401e-bda9-ac7a02215756 Zafar, A. (2012). Move Over, Juice Bars: Starbucks Is Coming For You. Time Newsfeed. http://newsfeed.time.com/2012/03/19/move-over-juice-bars-Starbucks-is-coming-for-you/ Read More