Tuesday, November 2, 2010

Advertising Techniques

As I mentioned in the Starbucks Experience post, there are not a whole lot of commercials for Starbucks, and those that are available aren’t geared towards drinks that are available to customers when they go to an actual Starbucks location versus a grocery store. Starbucks is a word of mouth advertiser as well as the walking billboards they have, also known as their coffee cups. 

Starbucks appeals to several different demographics and in turn use several different persuasive strategies. They can use the plain folks pitch if for instance a college student has rolled out of bed after a long drinking weekend, and are just getting their morning coffee in their sweatshirt, sweatpants, and Ugg boots. On the other side of the spectrum, Starbucks uses the business demographic to put out the snob appeal.

Many times when there are commercials, they are shown on the company’s website. If the customers go and look at the website on a regular basis then I think those advertisements can be very effective, but if they aren’t being seen, how can they be effective?

Because Starbucks doesn't do a whole lot of billboard advertising or commercials, a lot of their products are purchased because of the word of mouth. The company does not do a whole lot of public advertising. When you walk into the Starbucks, you notice they are promoting specialty drinks or products within the store, but the way most people hear about these products is from friends, family, or just from seeing the product while being out and about. The signs or samples that are promoting new drinks or specials help a lot. So many times, there are people who are stuck on their morning muffin and house coffee that they don’t realize there is a new promotion happening. When there are signs, usually with a picture, customers are more likely to try it.

Another way Starbucks advertises is through Twitter and Facebook, but this is mostly a way for social networking, and a way for the company to receive feedback from their customers including positive and critical feedback. Starbucks also has a website where all their products are available for sale, and for customers to discover what drinks fit best with their taste buds. 

Many other coffee places do advertising similarly to Starbucks. Dutch Bros, for example, has not done many commercials beyond promoting a grand opening for a new location. One thing that Dutch Bros does different is the fact they have several decals for cars, allowing people to get the Dutch Bros' logo in their head. 

Monday, October 18, 2010

Starbucks as a Lifestyle

Starbucks appeals to many different people. I encounter customers throughout that can have a bubbly personality, and carry on a conversation with them by simply just asking what is on their docket for the day. 

There are a couple college age "besties" that won't come in daily, or at the same time, but they always want the same drink: a tall caramel frappucchino in a grande cup with extra whipped cream and extra caramel sauce. Another demographic comes in talking about what level they beat in their current video game. Others are students simply in need of some caffeine.

There are also couples that come in everyday at the same time, for the same drink. They'll order it the same way, and we'll give it to them in the same order; always the wife first. Then there are the business men and women that meet at Starbucks for their weekly meeting, and just want their coffee treat to get them through another meeting.

The thing is though, not all college students, married couples, and executives can really afford the sweet taste of Starbucks coffee. I personally am not a black coffee type of person. Many people would say I like the "frilly" drinks, but that's just because I don't like it when coffee has a bitter bite to it. Starbucks has some smooth blends, but I just cannot brave coffee alone.

Starbucks is a lifestyle. The money, the laptops drawn in by free wi-fi, the strong tin cans that hold the loose leaf Tazo tea, the insulated coffee travelers, and the several choices of coffee mugs. Before I worked at Starbucks, I thought Starbucks equaled money, happiness, and success. But now I realize that Starbucks let us capitalize on the things that we do have, even if it isn't on that list.

Starbucks is able to do this because it is such a large company. They have 16,000 locations in over 50 countries. When looking at a competitor such as Dutch Bros, there really is no comparison. Yes, Dutch Bros has better prices, but for what quality? I personally can only drink their coffee on ice because their milk is so thick, and their coffee isn't as strong. The biggest factor is that Dutch Bros is only in the US, and with that, they only have 156 total locations. And people wonder why Starbucks is leading the coffee industry. 

Uh oh. Espresso Malfunction!

Yesterday at the Fred Meyer Starbucks in Corvallis, the espresso machine was down. Some people didn't even know what that really meant, and how it would effect their order, but just to clarify, we were only making hot or iced tea, hot or iced coffee, or frappucchinos. This meant no espresso shots, no lattes, no mochas, no apple cidar, and no hot chocolate. It was so sad to watch a child's face change from a very toothy grin to a droopy sad lip when we told them hot cocoa wasn't available until our machine was fixed.  


For some people, this meant their morning is over. For others, life went on and they went without coffee for the day. However, for the most part, people compromised their drink. Instead of ordering a vanilla latte, they would have a house coffee with room for cream and vanilla syrup. Not only did the Fred Meyer Starbucks not charge customers for the extra syrup used in the drink, we also handed out a free drink coupon to anyone who seemed bothered by the inconvenience. 


Starbucks really does value the customer, and yesterday we did an excellent job of showing that. Not only did we give suggestions for drink substitutions, but we also were opening the eyes of the customer to find a drink that tastes fairly similar, but wasn't quite as expensive. A lot of customers were surprised at the chunk of change they were saving. 


As grateful as I am for the business we received yesterday, I couldn't help but think, why don't people go get coffee somewhere else? There are several coffee shops in Corvallis, including several other Starbucks locations. Maybe people didn't want to make the drive to another coffee shop, but Coffee Culture is not even a minute away from the Fred Meyer. Why don't people try coffee somewhere else? Coffee Culture has great coffee as well, and I hate to say, their white mocha is going to taste pretty close to ours. Especially on a day where we aren't able to draw espresso shots. What does Starbucks offer that Coffee Culture or the other surrounding coffee shops in Corvallis do not? Could it be the welcoming customer service, or the fact that many of our returning customers are greeted by name, and have less than a minute wait time on their drink? Maybe I should ask, what draws people to a coffee shop and where do you draw the line between service and the product itself?

Wednesday, October 13, 2010

The Starbucks Experience

When walking into a Starbucks, customers notice several things: soothing music, the aroma of freshly ground beans, friendly baristas waiting to make a tasty drink, and a menu with endless options. Recently Starbucks has made some serious changes to its menu to accommodate for every customer. All frappucchinos are now available with a cream base instead of a coffee base. All drinks can be made with nonfat milk, half and half, soy milk, whole milk, or low fat milk. Mochas, Lattes, White Mochas, Passion Tea Lemonades, Americanos, and all other items on the menu can also have multiple espresso shots added, and any flavoring. 

Many customers find a drink they like, and apart from the seasonal drink, they usually come in asking for the same drink several visits in a row. Not only does Starbucks have delicious drinks, it also has pastries, sandwiches, fruit, and yogurt parfaits. Most Starbucks locations also have free wi-fi internet making it a perfect spot for students to study, or business men and women to do business online. Starbucks tries to provide an environment that welcomes all people, and serves every customer with a positive attitude making their positive experience continue throughout their day. 


Starbucks is one of the most popular coffee houses in America, and is the largest coffee chain in America. Yet they've only had a few commercials air on television. There is a Michael Buble commercial that was used to promote the Starbucks Frappucchinos that are sold in stores, this campaign was focused on having "you time." Another commercial promoting Starbucks Frappucchinos emphasized that work can wait. Another product that hit the grocery store was the Starbucks Doubleshot espresso and cream. Starbucks used a couple famous artists such as Survivor and Gary Glitter to show Starbucks customers how to bring on the day.


Starbucks is more than just it's coffee though, Starbucks is about it's people. They had a commercial to show how important they felt it was to vote. Starbucks also gives to Africa 5 cents every year to help find a cure for AIDS. They were able to do this through their (STARBUCKS)RED products.

How is Starbucks so successful without advertising? People talk and even when they don't, the cup will talk for them. Someone will walk into class, a meeting, a hair appointment, or the grocery store with a cup of coffee labeled with the Starbucks emblem. If a colleague, a passing shopper, or a hair stylist asks about that cup of coffee, there is usually a smile, a "mmm" face that comes across the face of the Starbucks customer, and then from there on out, there is utter curiosity about the Starbucks company. 

Doesn't the "mmm" face make you curious?