Written below is an integrated marketing analysis of Keurig’s current business. Information such as the background, market research, branding, services, and marketing are covered on the Keurig company. Keurig Today’s world runs on speed and efficiency. The same necessities are required out of people. When one needs to get an energy boost, they will usually turn to coffee.
How will the initiative affect sales? Describe risks associated with the initiative and financial effects they may have. Starbucks Strategic Initiative Your Name Here University Name FIN/370 Date Instructor Name Here Starbucks Strategic Initiative In this paper, Team C will describe the relationship between strategic planning and financial planning for Starbucks Corporation. The first topic covers Starbucks strategic planning initiative and identifies a strategic initiative discussed in the organization’s annual report; from this report Team C will describe how this initiative affects Starbucks financial planning. Team C will break down and address how Starbucks initiative directly affects costs and the sales of the company’s financial plan.
This includes marketing items such as their Via® Ready Brew instant coffee product, and their Seattle’s Best Coffee brand (Starbucks, 2011). Their strategic plan also includes a focus on innovating appropriate new products, such as the coffee brewing machine mentioned earlier. Another component of their strategic plan is to increase their global products line. In order to do this they had to dissolve a distribution agreement with their former distributor. They are also focused on advertising.
Starbucks is an international coffee business from the United States and has over 20000 shops over 62 countries. The business first shop opened in 1971 in Seattle, Washington. The business has started by Jerry Baldwin, Zev Siegl and Gordon Bowker. The Starbucks sell a variety of cold and warm drinks. They have different types of warm and cold coffee, lemonade, sandwiches, salads, pastry, candy and they also sell cups that they designed.
2) Improve the quality of their financial statements by a) implementing improved systems to track inventory and b) updating the manner in which royalty revenue is classified. 3) Increase operational efficiencies by leveraging assets of newly acquired firms while putting a hold on future acquisitions. Who was Green Mountain? Humble Beginnings Now a billion dollar publicly traded company, Green Mountain Coffee Roasters began as a local café in Waitsfield, Vermont. The small business venture roasted their own top quality Arabica coffee beans, distributed coffee to local restaurants and inns, and positioned themselves as coffee roasters, not just distributors.
The environment in which the specialty coffee industry compete is made up of both product based competition because of the products that Starbucks offers and environment-based competition because of the atmosphere of the locations that Starbucks offers. There are large amounts of competition in the industry because of the variety of coffee introduced to the market. The product based competition is primarily with the basic coffee companies, who could attempt to enter the specialty coffee segment and some of the larger basic coffee companies, who made most of their sales in grocery chains, but who could introduce their own specialty versions of already popular supermarket brands. Competitors include specialty coffee restaurants and beverage outlets, regional specialty coffee companies, espresso stands, carts, stores, whole-bean coffee sales with franchise
Top executives at Starbucks realize the importance of preparation and planning. The link between these two words promotes sound business decisions and goals for the company. This is defined in their mission statement “To establish Starbucks as the premier purveyor of the finest coffee in the world while maintaining our uncompromising principles as we grow (Starbucks.com, 2009) defines how the company sells the highest quality coffee beans and best tasting coffee products by following firm yet practical standards to acquire the highest quality of coffee beans throughout the world. Starbucks overall mission is “To inspire and nurture the human spirit— one person, one cup, and one neighborhood at a time” (Starbucks.com, 2009), further defining how management interprets employees as well as how their coffee affects the community through interaction, whether just for one moment or over a period of
Additionally, Starbucks has distribution agreements with office coffee supplier, hotels, and airlines. Using a variety of distribution channels allows the company to reach a wider market, however the company needs to be careful with this approach due to the potential channel of conflict. Implementation of Pricing Strategy Starbucks is the leader of the coffee market. As an individual company, it controls several times more market than any of its competitors. More than just a high priced coffee shop, Starbucks offers a combination of quality, authority, and relative value.
Despite this intense competition Starbucks is estimating that by 2005 would own approximately 20.5% of the US retail coffee market (Exhibit 6 in Case Study). Crucial to the Starbucks’ success are its employees or partners; the company’s value proposition revolves around 3 axes and this is one of them. Quality of coffee and nice atmosphere are the other 2 components. Partners connect to the level of service and “customer intimacy. It is important to note that the employee
Formulate strategies 9. Implementation plan 10. Evaluation plan Introduction In my previous assessment I have started to look and analyze one of the most popular and know coffee shops in the world “STARBUCKS”. At this period and economical situation company is issuing a big competition in the market and there has to be changes done within all the company to make sure that company is able to hold it’s place within the market. That is why in my assessment I will try to look closely to the company, see how it operates as well as will try to implement company strategic plan while comparing it to other similar brands in the market.