45571542 marketing end term project presentation on starbucks
TRANSCRIPT
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Name: wisam
Course: DICT
ID number:
IIC120801987
Date:
27/3/2013
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Contents
Introduction of StarbucksStarbucks Malaysia
SWOT Analysis
4 Ps
Strategy
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About Starbucks
Overview
Starbucks Malaysia
Starbucks Vision
Starbucks MissionStatements
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Starbucks Overview
Specialty Eatery in the Quick-Service Restaurant sector
Established in 1971 in Seattle,Washington
Known for its quality coffee and
store ambiance
Over 14,000 locations in 40countries
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Starbucks Overview (Cont)
1971First Starbucks coffee shopopened in Seattle USA
1985Howard Schultz became CEO
1987Changes name to StarbucksCorporation
1992listed as a public entity with
trading symbol SBUX
1996Starbucks Coffee Internationalwent international in Japan andSingapore
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Starbucks Overview (Cont)
1999Acquires Tazo Tea company and
Hear Music company.
2003Acquires Seattles Best Coffee.
2005Introduces Starbucks Coffee
Liqueur; Acquires Ethos Water.
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Starbucks Malaysia
The first Starbucks opened 17th of December 1998 in KL Plaza, Kuala
Lumpur, Malaysia
Berjaya Starbucks Coffee Company Sdn Bhd is jointly owned by
Starbucks Coffee International and Berjaya Corporation Berhad. The
company operates Starbucks retail locations throughout peninsular
Malaysia.
To date, the company has 100 outlets in Malaysia.
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Starbucks Stores in Malaysia
Starbucks Stores in Malaysia
58
11
412
212
3 1 3
Klang Valley
Penang
Johor Bahru
Pahang
Malacca
Negeri Sembilan
Perak
Kedah
Sabah
Saraw ak
Genting Highlands
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Starbucks Vision
Create one of the worlds greatest brands.
Maintain an uncompromising commitment to coffee quality.
Create a great work environment and believe in the power of
our people.
Lead with integrity, courage and passion.
Maintain our commitment to our communities and the
environment.
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Establish Starbucks as the premier purveyor of
the f inest coffee in the world while maintainingour uncompromising principles as we grow
Mission Statement
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Provide a great work environment and treat each other withrespect and digni ty
Embrace diversity as an essential component in the way we do
business
Apply the highest standards of excellence to the purchasing,roasting, and fresh delivery of our coffee
Develop enthusiastically satisf ied customers all of the time
Contr ibute positively to our communities and our environment
Recognize that profi tabil i ty is essential to our future success
Guiding Principles
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S.W.O.T
Analysis
Strengths
Weaknesses
Opportunities
Threats
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S.W.O.T Analysis
Strengths Starbucks is the Most Trusted Brand . Global presence, as of July 2007 the company had over 14000 outlets in 40
countries.
Socially responsible reputation committed to socially responsible coffee buying
practices
Employee Satisfaction focuses on maintaining employee happiness
Starbucks annual revenue growth in Malaysia is 30%.
The Starbucks logo is recognized by most, which also helps to retain customers
that travel internationally, allowing them to get the same Starbucks coffee in the
same Starbucks cup that they enjoy back home.
Starbucks was one of the Fortune Top 100 Companies to Work For in 2005. Thecompany is a respected employer that values its workforce.
Starbucks Holds 45% of the gourmet coffee market share.
Starbucks Corporation is a very profitable organization, earning $600 million and
generating revenue of $5 billion in 2007.
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S.W.O.T Analysis
Weaknesses
Reliance on in house selling.
Starbucks has a reputation for new product development and
creativity. However, they are dependant on a main competitive
advantage, the retail of coffee.
Overcrowding the Market: If Starbucks has two stores close to
each other, they potentially take business away from each other.
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S.W.O.T AnalysisThreats
Stiff competition in the
gourmet coffee market.
Intense competition
from local coffee
specialists as well as
fast food operators like
McDonalds and
Dunkin Donuts
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S.W.O.T Analysis
ThreatsOne wow move form international
players like Coffee Beans can pose a big
threat.
Volatility of coffee prices in the
international market.Premium brand higher expectations
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S.W.O.T AnalysisOpportunities
Expansion in Asia,specifically in Asia Pacificand China
Increasing popularity ofgourmet coffee-drinking indeveloping countries
Opportunity to extendfurther its distribution andproduct range
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Four Ps AnalysisProducts
DoubleShot is deliciousintensity of rich espresso,
mellowed by a touch ofcream.
DoubleShotLight is thedelicious intensity of rich
espresso, mellowed by atouch of cream with halfcalories.
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Four Ps Analysis
Price The Price of Starbucks Double Shot
Per Unit is Rm 3.50. The price for
6 pack of cans Rm 20.
LocationsStarbucks Ready to Drink coffee
will be available in the big retail stores like Carrefour,Jusco, Tesco, Giant, Metrojaya
and other retail chains stores in Malaysia.
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Promotions
Now you can feel Starbucks anywhere,anytime. (Starbucks always be with you)
Television Advertisement.
Print Media
Billboard Event Sponsor (Akademi Fantasia)
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Marketing Objectives
Strengthening Brand image aiming to be theleading coffee retailer in each market
Enhance Malaysian market leadership even
in the ready to Drink coffee segment
To achieve 25% market share in ready to
drink coffee segment in the first year.
To achieve sales target 17,500,000
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Target market
Referring to rate card provided by thecompany, the age group of 20-35 contribute
the largest portion (68%) of the total
population in Malaysia. As such, the age group of 20-35 definitely
will be our target.
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Positioning
We want to position DoubleShot as a premium brand in
the Ready to Drink coffee market in Malaysia.
Distinguished from traditional to Ready to Drink coffee
available in the market.
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Strategy
Our strategy is to establish as the most recognize and respectedbrand in the region, specifically in Malaysia.
To achieve this, selectively pursue opportunities through the
introduction of the new products and development of new
distribution channel
Strategy Implementation Introduction of Double Shot will help company to penetrate the
other bigger segment
Joint venture with Coco-cola for production and distribution ofDouble Shot in the Malaysian market.
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Starbucks Financial Performance
(2007 FY)
Financial Ratios Starbucks
Profit Margin 6.88%
Return on Equity 28.80%
Return on Assests 11.89%
Current Ratios 0.771
Quick Ratios 0.332
Net working Capital 1.46 Billon US$
Price Earning Ratios 19.52
Earning Per Share 0.89
Market Capital 13.32 Billon US$
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Thank You