BUS FPX 4024 Assessment 5 Consumer Behavior Presentation

BUS FPX 4024 Assessment 5 Consumer Behavior Presentation

Student Name

Capella University

BUS-FPX4024 Customer Behavior

Prof. Name:

Date

AGENDA

1. History of Starbucks
2. Current Target Market
3. Emerging Market Opportunity
4. AIO (Activities, Interests, and Opinions) Analysis
5. Adapting to Meet Consumer Needs
6. New Consumer Demographics and Market Segment
7. Pricing Strategy
8. Starbucks’ Commitment to Quality and Service
9. Starbucks’ Mission and Vision

History of Starbucks

Starbucks was founded in 1971 in Seattle, Washington, by Jerry Baldwin, Zev Siegel, and Gordon Bowker. In 1987, Howard Schultz took over the company and began transforming it into a global brand. Today, Starbucks operates over 30,000 stores across 76 countries, cementing its position as a leader in the specialty coffee industry.

Current Target Market

Starbucks primarily targets individuals between the ages of 25 and 44, with a focus on consumers who value brand prestige and quality. This group, typically of higher income, is drawn to Starbucks’ modern store environments and the status associated with the brand. Additionally, both the current and potential customer base includes eco-conscious consumers who seek high-quality products and convenient service.

Emerging Market Opportunity

The need for a new market arises from the growing demand for convenience among busy, time-strapped consumers. These individuals, from various professional backgrounds, find it difficult to visit physical Starbucks locations due to their hectic schedules. A detailed AIO (Activities, Interests, and Opinions) analysis of urban areas will provide insights into how Starbucks can better serve these customers.

AIO (Activities, Interests, and Opinions) Analysis

The AIO analysis identifies the following trends:

• Convenience and Accessibility: Consumers prioritize easy access to coffee, often looking for quick delivery options to fit their busy lifestyles.
• Willingness to Pay for Convenience: High-income individuals are particularly receptive to paying for delivery services, as they value quality and convenience.
• Brand Loyalty: The target demographic shows strong brand awareness and loyalty, seeking a premium coffee experience even when not visiting a physical store.

Adapting to Meet Consumer Needs

To meet the needs of the new market segment—busy professionals who cannot easily access Starbucks locations—the company will explore practical solutions. These may include expanding delivery options, optimizing operational efficiencies, and introducing services that reduce costs associated with logistics and overhead.

New Consumer Demographics and Market Segment

The new market segment consists of professionals aged 25-44 who work long hours in fast-paced industries. These individuals, including office workers, managers, and executives, prioritize quality coffee but often lack time to visit Starbucks stores during typical hours. This demographic represents an underserved market that could benefit from more convenient coffee access.

New Market Segment

The emerging market is primarily found in bustling urban centers where industries are diverse, and employees have demanding schedules. These professionals rely on workplace environments or coworkers to conveniently access coffee, while still valuing the brand’s premium quality and reputation.

Pricing Strategy

To promote its delivery services, Starbucks will employ the following strategies:

• Online Marketing: Leverage digital platforms such as social media and the Starbucks website to raise awareness of delivery options.
• Loyalty Programs: Offer rewards and incentives for consumers who use delivery services.
• Promotions: Provide limited-time offers like discounts, coupons, and free coffee for first-time delivery orders.
• Local Partnerships: Collaborate with local businesses to promote delivery services within office environments and corporate settings.

Starbucks’ Commitment to Quality and Service

Starbucks is committed to offering high-quality beverages while fostering brand loyalty and consumer trust. The company remains focused on continuous product innovation, sustainable sourcing practices, and personalized customer experiences. By adapting to the evolving needs of its target market, Starbucks aims to maintain its reputation as a premium coffee brand.

Starbucks’ Mission and Vision

Starbucks’ mission is to inspire and nurture the human spirit—one cup, one person, and one neighborhood at a time. This mission drives the company’s focus on delivering exceptional customer experiences and community engagement. Starbucks envisions becoming the world’s leading purveyor of premium coffee, committed to sustainability, ethical sourcing, and long-term growth while providing an uncompromising coffee experience.

References

Perreault, W., Jr., Cannon, J., & McCarthy, J. (2015). Essentials of Marketing: A Marketing Strategy Planning Approach (14th ed.). New York, NY: McGraw-Hill Education.

Starbucks. (n.d.). Retrieved from https://stories.starbucks.com/press/fact-sheets/

Starbucks Coffee’s Mission Statement & Vision Statement (An Analysis). (2019, February 16). Retrieved from http://panmore.com/starbucks-coffee-vision-statement-mission-statement

BUS FPX 4024 Assessment 5 Consumer Behavior Presentation

What Are The Different Target Audiences For Starbucks? (2018, August 9). Retrieved from https://techfee.com/different-target-audiences-for-starbucks/