What is a brand? What sets a company apart from its competitors is how unique they make their brand (Rockwell, 2010). In today’s market, even some celebrities have made their own names a brand. According to the American Marketing Association (AMA), a name, sign, term, symbol, design or a mixture of them makes up a brand that the public recognizes the goods and services offered as well as to be unique from other competitors. A good image is developed through professional brand management that involves maintenance, improvement and stellar customer services. As a result of professional brand management, higher sales can be achieved for that particular product as well as for other products associated with the brand (Businessdictionary.com, 2014). Hence, it is important to have a good brand management strategy as consumers, suppliers or business clients are assured by the commitments toward improving the brand and its products (Rockwell, 2010). Besides that, a brand is memorable to people only if their experiences and perceptions of the brand are positive. It is vital that a company understands its customers’ and prospects’ wants and needs by doing research, define and build their brand in order to succeed and stand out from its competitors. This is to ensure that the brand is reliable, trustworthy and is able to motivate potential customers to be a loyal consumer by delivering the message clearly. (Lake, 2014). Therefore, the brand that is chosen to be analyzed in several aspects of the brand management is Starbucks. The reason Starbucks was chosen is because it is clearly one of the world’s top coffee seller with 19,767 stores in 62 countries; it also garnered $13.29 billion in 2012 (StatisticBrain.com, 2013). Brief History B... ... middle of paper ... ...ee, selling Starbucks’ own Tazo Tea company premium teas, giving people the option to purchase Starbucks coffee through online, supply whole bean and ground coffee to supermarkets and collaborating with Dreyer’s to produce premium coffee ice creams. Works Cited http://www.catalogs.com/info/food/the-history-of-starbucks.html http://www.starbucks.com/ about-us/our-heritage http://marketing.about.com/cs/brandmktg/a/whatisbranding.htm http://www.inc.com/guides/2010/08/how-to-manage-your-companys-brand.html http://www.businessdictionary.com/definition/brand-management.html#ixzz2u9NjHVGM http://www.starbucksmelody.com/2013/05/04/what-organizational-characteristics-make-starbucks-so-innovative/ http://www.businessinsider.com/15-facts-about-starbucks-that-will-blow-your-mind-2011-3?IR=T http://www.franchisedirect.com/coffeefranchises/starbucksacoffeefranchise/74/18
In every given business, the name itself portrays different meanings. This serves as the reference point and sometimes the basis of customers on what to expect within the company. Since personality affects product image (Langmeyer & Shank, 1994), the presence of brand helps in the realization of this concept. Traditionally, brand is a symbolic manifestation of all the information connected with a company, product, or service (Nilson, 2003; Olin, 2003). A brand is typically composed of a name, logo, and other visual elements such as images, colors, and icons (Gillooley & Varley, 2001; Laforet & Saunders, 1994)). It is believed that a brand puts an impression to the consumer on what to expect to the product or service being offered (Mere, 1995). In other application, brand may be referred as trademark, which is legally appropriate term. The brand is the most powerful weapon in the market (LePla & Parker, 1999). Brands possess personality in which people associate their experience. Oftentimes, they are related to the core values the company executes.
Starbucks Corporation engages in the purchase, roasting, and sale of whole bean coffees worldwide. It offers brewed coffees, Italian-style espresso beverages, cold blended beverages, various complementary food items, coffee-related accessories and equipment, a selection of premium teas, and a line of compact discs, through its retail stores.
Brand is an image, symbol, sign or some of these, which used to create a clearly view to the product and let consumer recognize the product and discriminate it from other competitor. Jobber(2003) announced that brand could be seen as the product’s quality guarantee, a product with good brand image will have more possibility be chosen when the customer had difficult on their choice. Brassington (2007)stated that brand was a key part of the tangible product, especially in the customer market. The brand represents the one product line or a single product of the company. It also can enhance the images in people’s view and ensure the product not be forgotten by customer.
Besides, starbucks is serving more than 70 different types of drinks to their worldwide customers and they not only known for selling brewed coffee, but also best sellers for other hot and cold beverages such as espresso beverages, chocolate beverages, Frappuccino blended coffees, Frappuccino blended crème, blended juice drinks, brewed tea, iced shaken teas. They’re real delicious drinks that loved mostly by today’s adults and especially teenagers. Besides that, they also are selling drinks, smoothies, bottled drinks and fresh fruit juices as a additional
Foreign policy with foreign nations that host the Starbucks brand. Import and export tax is an expenditure that may and can become costly and profits can be lost. Other companies like McDonalds, Dunkin Donuts, and the Coffee Beanery provide consumers with an ambient environment and some specialty coffee flavors. Proximity may be the only thing required for the consumer to select the services of the rival coffee dispensing businesses.
It is an external manifestation of what is happening within the organisation. Branding of goods and services helps in identifying, differentiating them and to establish a personality to the products or services. The way that a brand speaks and behaves represents its personality and is the result of the consumer’s experience with the brand. A good brand should have an identity, image, personality and other associations.
Distinguishing one product from another depends on the target market’s ability and in turn the success of any business or consumer product (Lamb, Hair & McDaniel 2009). In the marketing industry and the business world, brand is defined as “a name, term, design, symbol, or any other feature that identifies one seller’s good or service as distinct from those of others.” (Bennett, P.D., 1995). Brands are a common part of marketing and they serve as value to consumers. Brands also give firms a competitive edge over another and a certain leverage over its customers.
Brand image is a perception in the mind of the customers a good impression of a brand. The good impression could arise if the brand has a unique advantage, good reputation, popular, trustworthy and willing to provide the best service for the consumers. The creation of a brand implies communicating a certain brand image in such a way that all the firm's target groups link such a brand (and thus the products sold using its name) with a set of associations (Iglesias, 2001).
A brand identifies a seller’s product from a competitor’s product. There are three main purposes for branding product identification, which is the most important purpose, repeat sales, and new-product sales. Branding has a lot of terms that marketers use there is brand equity, global brand, and brand loyalty. Marketers also have different brand strategies that they use for different products or customers. It all depends on the consumer for them to decide which strategy they will use. The different strategies are generic products, manufacturer’s brands, private brands, individual brands, family brands, and co-branding. The branding purposes and the branding strategy make up the importance of branding.
Starbucks is a worldwide company, known for is delicious brews of coffee and seasonal varieties of tasty drinks for any occasion. Starbucks opened with two main goals, sharing great coffee with friends and to help make the world a little better. It originated in the historic Pike Place Market of Seattle, Washington in 1971 by Jerry Baldwin, Zev Siegl and Gordon Bowker. The creation of Starbucks’ name came from the seafaring tradition of early coffee traders and the romance evoked from Moby Dick. At the time, this individual shop specialized in the towering quality of coffee over competitors and other brewing services enabling its growth to becoming the largest coffee chain in Washington with numerous locations. In the early 1980s, the current CEO Schultz saw an opportunity for growth in the niche market. After a trip to Italy he brought back the idea of a café style environment of leisure and social meetings to the United States we now see in Starbucks locations today. Schultz ultimately left Starbucks to open his own coffee shop, Il Giornale which turned out to be a tremendous success. Fast forward a year later, Schultz got wind that Starbucks was going to sell all their components of Starbucks including their stores and factories, he immediately acquired the funds to buy Starbucks and linked both operations. Within five years he was able to open more than 125 stores starting in New England, Boston, Chicago, and gradually entered California. He wanted Starbucks to be a franchise system based on the mission of telling the truth and emphasize the quality,
Branding is the most important part of any business, large or small. An effective brand strategy gives a major edge in a competitive market. When a business puts a brand out their putting out a promise to their customers. They want the people to know that their brand is right for them and it differentiates from the competitors.
What makes you choose Starbucks coffee brands over others? The question helps the consumer distinguish a brand from the rest.
However, there are franchisees and licensees operating approximately 12,375 shops worldwide, which are shopping malls, airports, and gas stations. Also, Starbucks advertises its coffee through food service customers, grocery stores, and licenses its brand for other beverage and food products. With Starbucks having so many outlets throughout the world, they have been able to branch out into other retail segments, like CDs, similar lifestyle products, and teas. Additionally, through partnerships with food manufacturers, it also licenses the Starbucks brand for products like Nestle's Dryer's Grand Ice Cream, Beam liqueur, and Pepsi's bottled Frappuccino. However, Starbucks will be shutting down all their Teavana tea retail stores that sell teapots, gourmet loose-leaf teas, and other tea related items by the spring of 2018 (Starbucks Corporation, 2017).
Brand could be anything a name, sign, term, symbol or a design that differentiate a company’s product and services it from the competitors. Brands directly affect the consumer’s purchase behavior (Erdem, et al., 2002). Furthermore, Branding is a mean for differentiation which leads to get competitive advantage over customers, brand equity helps in building a brand (pappu, et al., 2005).
Your brand is your identity and it should clearly communicate your unique selling proposition-what you do that makes you special.