The Starbucks brand has become a household name. Even if someone is not customer, they have likely seen at least some sort of media publication. The fact is, Starbucks hasn’t been without controversy regarding public relations since its inception. During the winter season, Starbucks traditionally offered their iconic logo on a red cup. In November of 2016, Starbucks released a non-traditional “green cup” at the advent of the winter holiday season. Jason Mudd (2016) reported that Howard Schultz’s team created the cup as “a symbol of unity and as a reminder of our shared values, and the need to be good to each other” (2016). However, there was criticism related to the now infamous “green cup.” Upon release of this cup, some in the public took …show more content…
If the company’s objective was to stir controversy, arouse social awareness, or use the “even bad publicity is good publicity” formula, I believe all missions were accomplished. This controversy got people talking about Starbucks. Good or bad, visibility is a key for success, and free press is great for visibility. “Cupgate” as I like to call it, must have worked. After previous controversies, Starbucks launched, yet another, controversial “holiday” cup. According to Liam Stack “the online video that introduced the 2017 holiday cup…featured a diverse cast of Starbucks customers, including a pair of cartoon women who were shown holding hands” (2017). Some “wondered if Starbucks was using its holiday cups to promote homosexuality” (Stack, 2017). More free press. Lauren Gensler stated that “Starbucks may have stirred up controversy…but it didn’t keep coffee lovers away.” Apparently, it didn’t. She backs up her claims by revealing “revenue during its December quarter surged 12% to $5.37 billion…” (2016). Whether one agrees with the positions of Howard Schultz and his company or not, or if one believes the company is using theirs as a position of influence or not, or consumers just like the product, is personal …show more content…
Or, perhaps they could raise controversy at the beginning of the summer, to increase sales of their iced coffee and tea beverages. Based on reports, it does seem their revenue did rise after the holiday, but was it due to the controversy, or just people’s desire for a warm beverage while shopping? These controversial cups went viral through the news and social media, and, Howard Schultz, knowing how effective these tools were, used them to his company’s advantage. I know that Schultz will continue to hire the best and brightest public relations people, and continue to use any and all social and digital media avenues available to advertise his product, or, if one believes, to advance his positions. Schultz counted on consumers’ overwhelming love and need for coffee to expand his company, not just in the U.S, but also overseas. Their locations include not only stand- alone stores, but they also have retailers in many supermarkets, bookstores, airports, and even hospital gift shops. In addition to being able to enjoy a cup of your favorite drink while grocery shopping, you can usually pick up a bottled iced latte to go at the checkout counter, or pick up some K-cups for your Keurig
The author then says “Please. With all else going on in the world, this doesn 't need to be a controversy. Starbucks never had Christ or Christmas on its holiday coffee cups, just general holiday images such as snowmen, reindeer, pine trees and snowflakes.” With this, they are saying that there are so many more problems in the world than just a plain coffee cup that never had Christ or Christmas on it to begin with just some general holiday images. They then immediately follow with more disappointment with people’s views on the cup stating “That somehow is big whoop? The company is
In 2002, unexpected findings of a market research showed problems regarding customer satisfaction and brand meaning for Starbucks customers. The situation was unacceptable for a company whose overall objective is to build the most recognized and respected brand in the world. Starbucks was supposed to represent a new and different place where any man would relax and enjoy quality time, alone or with others. But the market research showed that in the mind of the consumers, Starbucks brand is viewed as corporative, trying to expand endlessly and looking to make lots of money. This huge gap between customers' perception and Starbucks' values and goals called for immediate action.
The structure of Starbucks business communication is exceptional. Rather you are in their store buying a Caramel Frappuccino®, visiting their website or watching one of their advertisements on television; as the consumer, the message is loud and clear. Pick up any newspaper and you are likely to find an article about the coffee giant. Starbucks pledges a commitment to their over 172,000 partners (employees) and the community. “We realize our people are the cornerstone of our success, and we know that their ideas, commitment and connection to our customers are truly the essential elements in the Starbucks Experience” (Starbucks, 2008).
Starbucks claims “We’ve always believed that businesses can and should have a positive impact on the communities they serve.” This aggressive attack on a small business simply attempting to add another coffee to their merchandise, suggests otherwise. Most people would agree that small businesses are a vital part of any community. If Starbucks can’t support and encourage a family owned business attempting to further their company, then they clearly don’t understand what it means to make a positive impact in a
Everything became very difficult for the company. At the time, their coffee prices were shown as extremely ridiculous and their sales began to decline. Other companies took this as their time to join the coffee business and gave Starbucks a run for it’s money. As for the people buying their products, bloggers began discriminating against how Starbucks handled some things in their stores, like wasting water while washing their equipment. Since publicity relates to a lot of the company’s success, this took an even bigger toll on Howard’s decision-making process as CEO.
Starbucks is currently the industry leader in specialty coffee. They purchased more high quality coffee beans than anyone else in the world and keep in good standings with the producers to ensure they get the best beans. Getting the best beans is only the first part, Starbucks also has a “closed loop system” that protects the beans from oxygen immediately after roasting to the time of packaging. They did this through their invention of a one-way valve which let the natural gasses escape but keeping oxygen out. This gave them the unique ability to ensure freshness and extended the shelf life to 26 weeks. Starbucks isn’t only about the coffee, it’s also about a place where people can escape to enjoy music, reflect, read, or just chat. It is a total coffee experience. The retail outlet has been responsible for much of Starbucks growth and has contributed substantially to their brand equity.
Business was good, but it was not without its problems. There was the political upheaval in the Middle East, followed by further tension after then CEO Howard Schultz commented on growing anti-Semitism in the region. Their integrity came under fire when certain Non-Governmental Organizations (NGO's) accused them of purchasing coffee beans under questionable social and economic conditions. These situations, together with difficult economic times globally, meant that Starbucks was likely going to take a hit somewhere. Eventually, they shut down their Israeli operations altogether.
Kluyver (2010) mentions that Starbucks maintains sole decisions making power over “brand, product line advertising and corporate communication”. Although though the choice o...
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,
The improvements to coffee brewers and the innovation of Keurig has allowed for Starbucks to repackage their products and distribute it as a home product. Many of the flavors consumers could only get from the Starbucks espresso machine in the store can now be duplicated in the home. The opportunity for continued expansion is present. Coffee is quickly being consumed in almost every country in the world, Starbucks has a legitimate opportunity to influence those countries without the Starbucks brand to open their doors.
There are many topics that arise throughout the case with Starbucks Corporation. Starbucks Coffee is located worldwide and there are many different ways to look at this situation. The company offers a unique range of coffee, lattes, espressos, and café style drinks. The company intended to reach a specific target audience, but has ended up in many different markets and has been growing rapidly. Starbucks has greatly used the “youth appeal” strategy to gain entrance into new markets. However, such enthusiasm cannot be counted on indefinitely; other strategies are always in the works. Over time Starbucks has been able to acquire a solid brand reputation and has a world renowned company logo.
Bruss (2001) argues that the company hopes as well to make new investments in new coffee types. Starbucks has recently developed a new type of coffee called green-coffee. These strategies are created with the objective of support Starbucks’ commitment to buy coffee that has grown and processed by suppliers. They meet certain conditions of social, economic and quality standards. In addition to that, the company is paying additional premiums to those vendors who meet the specific requirements that the company wants.
As we know, Starbucks has made a name for itself making and selling coffee and specialty coffee drinks. It has made its biggest impression by becoming the espresso expert and public educator of how to make the perfect espresso; "Roasters" of the company are trained for one year.
The strategic vision that Howard Schultz had for Starbucks was "Establish Starbucks as the premier purveyor of the finest coffee in the world while maintaining our uncompromising principles while we grow". This s...
When I saw this discussion, I couldn’t help but think of Starbucks and the impact they’ve made throughout their 45 years of establishment. I worked with them for about 7 years and saw how unique they were from your everyday coffee and latte spots. A retail company with thousands of coffee shops in the US as well as in other countries, this particular retailer has been able to catch the eyes of all ages as well as locations throughout the world. For example, today college students utilize Starbucks locations to study rather than go to a nearby library. Starbucks is also known for its best coffee and espresso drinks (Latte or Frappuccino) and with one of its delicious espresso 's any student or just a person stopping in to enjoy its lounge area where there is free Wi-Fi is awesome! Starbucks lifecycle has made a 360 turn around and been revamped twice to accommodated the growing market. Customizing their brand to fit more in with everything and not just one thing. By doing this they’ve created multiple product lifecycles within their own lifecycle as a corporate company.