...1992 (Kerin & Peterson, 2007). Gourmet coffee is a growing trend throughout the world. Keurig Incorporated was founded on the inspiration that coffee lovers should be able to brew and enjoy once perfect cup of coffee at a time (Kerin & Peterson). Excellence had been the guiding principle behind the development of its products and services. With gourmet coffee houses popping up in many areas, consumers were spending at least $1.50 more for one cup of gourmet coffee. Keurig’s launch of the single cup brewing system in the office coffee service market in the late 1990’s had benefited from coffee drinkers consistent increase of sophisticated drinks. In 2002 Keurig became the leading name in office coffee service by shipping over 33,000 units. In February 2003 Keurig was ready to launch their new B100 system targeting the at home segment all in hopes of gaining the same success Keurig found in the office coffee service, in a more competitive market (Kerin & Peterson, 2007). With the competition entering the single cup brewing market, Keurig had to think fast if they wanted to succeed in the Home market (Kerin & Peterson, 2007). Nick Lazaris, President, Chief Executive Officer and Director of Keurig, had to make the decision as to proceed with a two Keurig-Cup (K-Cup) strategy; this decision had the potential to wreck the company and their launch efforts. (Kerin & Peterson, 2007). Keurig faced a few problems during their marketing and release of the B100 brewer. In order...
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...Top of Form The Perfect Cup Business Plan for the Period Starting January 2005 Business Overview Business History The Perfect Cup is a new restaurant venture with an expected opening date in March of 2005 in Somewhereville, Texas. The business is a coffee shop located in Old Town, a newly renovated section of town, with antique shops and galleries along the main street. We will specialize in coffee, tea, cappuccino, frozen cappuccino, and homemade cookies and brownies. There are no other shops that only serve coffee in Old Town, the nearest being over five miles away. Our target audience is intellectuals/artists/writers. Currently, there are no places in the surrounding area that cater to artists and writers. The Perfect Cup will serve this area well. Vision and Mission Statement The Perfect Cup will become the foremost coffee shop in the area. We will serve a perfect product at a very reasonable price. We will also be a meeting place for artists and writers and a place for them to show off their work. We will create an atmosphere conducive to creative expression and promote the creative process. Objectives Our primary goals over the next year are: 1. Secure financing for start-up of at least $30,000 for space and equipment. 2. Renovate our space in Old Town. 3. Acquire equipment necessary for business, i.e. coffee pots, cappuccino machines, blenders, etc. 4. Make agreement with coffee distributors, and bakery vendors. 5. Create a cozy, artist...
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...internal strength of Starbucks include having an established logo and developed brand. Most people would recognize the Starbucks logo without needing the word Starbucks attached to it or some could already visualize their logo by just hearing or reading the word Starbucks. In addition to this, they already have cultivated their copyrights, trademarks, website and patents. Moreover, they have a good working environment with their valued and motivated employees as another strength. My friend who used to work as a barista in Starbucks had a pleasant experience as their employee. One can tell that Starbucks employees are very upbeat as soon as one enters their coffee shop. Furthermore, another internal strength of Starbucks is that their customers are very loyal to them. I am a very loyal consumer to them. Amongst all the coffee shops, I prefer Starbucks because they serve excellent sandwiches and pastries plus their ambience is good for studying. Their products are consistently delicious and innovative. Also, according to my research, they have good relationships with their suppliers. And last but not the least, one of the internal primary strengths of Starbucks is that they are the industry market leader 2 with a globally renowned brand. Starbucks has a very aggressive strategy: “Starbucks on every corner” which has allowed them to dominate the market. On the other hand, Starbucks has internal weaknesses too. First, there is an ever increasing...
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...Marketing Final Project Team 1 Ryan Marshall, Manuela Antonova, and Joshua Booth Mr. Coffee Smart Optimal Brew WeMo Enabled Marketing Plan Executive Summary A recent primary research survey has found that 70% of occasional coffee drinkers view the Mr. Coffee brand as an inferior or budget coffee brewing device that does not make a superior cup of coffee (Appendix, Opinion survey). Brands such as Keurig, Cuisinart, and DeLonghi inspire more thoughts of quality coffee than Mr. Coffee. Other consumers are opting to spend several dollars per cup of coffee at coffee houses such as Starbucks, Caribou Coffee, Dunkin Donuts, and even McDonalds (Appendix, Opinion survey). Mr. Coffee is a part of American iconography appearing in movies, books, and other arenas of pop culture. It appeared in loosely translated interpretations in the Back to the Future movie trilogy of the as 1980’s as “Mr. Fusion”, it was referenced in the TV show Seinfield, and in the title of the short story by Raymond Carver, “Mr. Coffee and Mr. Fixit.” According to a recently conducted survey Mr. Coffee was the most identifiable home coffee brewer. Brand recognition is not a problem in the current marketing environment. Mr. Coffee has many entries into the home coffee making market. Most of the devices are on the lower end of the price scale and easily obtained at every local big box store. These devices are sold alongside similar devices presented by direct competitors with very little differentiation. Recent...
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...Final: A Starbucks Case Study Brian Davis Business Ethics BUSM 4263 Dr. Johnson April 5, 2012 Incorporating Coffee and Business the Starbucks Way The Early Years Starting a Small Group – During a business trip Howard Schultz visited Seattle, WA, investigating why a local coffee shop was outselling Macy’s in specific drip coffee makers. His visit brought him to Starbucks where he first met Jerry Baldwin, Zev Siegl, and Gordon Bowker. Inspired, Howard Schultz sought and achieved employment with Starbucks as the head of marketing, forming a small group of owners and leaders. A small group interaction is, “the process by which three or more members of a group exchange verbal and nonverbal messages in an attempt to influence one another” (Tubbs, 2007, p. 6). As a new member of the Starbucks group Schultz brought fresh new ideas and a vision for future growth and expansion. For example, Schultz helped develop customer-friendly skills that employees utilized to build better relationships with clientele. This process was the beginning of teamwork in the Starbucks Company during the Schultz era. Group Dynamics – Group dynamics is defined as, “the interactions that influence the attitudes and behavior of people when they are grouped with others through either choice or accidental circumstances” (Dictionary.com, 2012, p. 1). Over time the dynamics of the cohesive Starbucks team shifted, after hiring Schultz, causing dissention...
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...Support Pg 5 SWOT Opportunites and Support Pg 5-6 SWOT Threats and Support Pg 6 Marketing Objectives Pg 6-7 Marketing Strategies and Explanation Pg 7-9 Tactics and Action Plan Pg 9-10 Monitoring Procedures Pg 10 Sources Pg 11 Introduction Company G is offering a Single Serve Coffee maker that is able to provide the consumer improve their lives by introducing convenience and reliability to its users. The Company has a reputation of bringing innovation into its electronics and small appliances. Company G strives to uphold its goal to provide a quality product while keeping affordability in mind. We strongly feel that this outstanding product will bring convenience into the homes of many. Mission Statement “ We enable consumers to improve the quality and convenience of their lives by providing high-quality, innovative electronic solutions.” Product Description This appliance is a representation of company G’s mission statement, “ We enable consumers to improve the quality and convenience of their lives by providing high-quality, innovative electronic solutions.” The appliance that Company G is offering is a household coffee maker that is able to make single serving portions for the consumer on the go. This coffee maker is no ordinary appliance, it uses pre packaged coffee grinds and make a preset serving size of choice and brews the perfect cup of coffee. This coffee maker is the prime example of an innovative electronic solution. This appliance...
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...| 2015 | | Help University – Finance Marketing University PHAM THI THUY LINH – 13HELP02 THE ART OF UNDERSTANDING CUSTOMERS TO MAKING PROFIT | | | [CONSUMER BEHAVIOR – ASSIGNMENT 1] | | I. Introduction From: Dalton Park There is a talented marketer said that he have thought he would bring a valuable knowledge and this thing can become cornerstone for a new business and change the way American drink coffee. However, he is just a fellow marketing director who has excess energy. This guy is Howard Schultz who starts his dream in slum in Brooklyn, New York. From a shabby coffee store called Il Giornale to a biggest coffee system in the world with named “Starbucks – a character in Moby-Dick novel” and take siren become their logo. In 2014, Starbucks has more than 20,000 stores on over the world and return 8.8 mil of USD in 2013. To reach this success, Howard Schultz had to go through a restless labor and he turned coffee into passion instead of simple drink. This make Starbucks become a number 1 brand. II. The story about a giant in coffee industry - Starbucks Source: Design Observer 3.1 Understanding a process – Create more profit Customers think it simple but Starbucks knew it’s the art of understand. All of us purchase every day but we just think that is very simple such as when we wake up for a new day and go to school, you hungry and want to buy something to eat, then you buy a bread for breakfast and that all. This is thinking...
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...Goals 3 SWOT Analysis 4 MARKET ANALYSIS 4 Marketing Mix 4 COMPETITION ANALAYSIS 5 External Environment (PESTE) 5 CONSUMER ANALYSIS 6 Positioning Map 7 CASE KEYS 7 ALTERNATIVES – need more pros and cons 8 RECOMMENDATIONS 8 ACTION PLAN - TBD 9 CONTINGENCY PLAN -TBD 9 APPENDIX A – Competitor’s strength and weakness 10 APPENDIX B – Segmentation 11 REFERENCES 12 EXECUTIVE SUMMARY Founded 1971, Starbucks started off as a bean roasting company. After a visit to Italy by Howard Schultz, he was determined to open an Italian style espresso bar. For the next 20 years, after the name had been purchased by Howard in 1987, there was a vast growth and expansion. With little competition, Starbucks was able to open a total of 15,011 stores in globally in which two-thirds were in the USA. In 2007, Starbucks was hit with a financial crisis that plunged its shares around $19-$20. With a negative working capital caused by increase financial debt both short and long-term, the sharp expansion due to strategy shift may have caused targets in 2007 not to be met. As shareholders expectations were high, Shultz reclaimed is seat as CEO with intentions to steer the company back to focus on the customers and commitment to its community. During the years of great success for Starbucks, there was little competition globally. Its direct competition in Canada was Second Cup and in the US was Pete’s Coffee & Tea. Both serving Italian style coffee and providing a warm home feeling, the competition...
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...International Marketing Assignment One Student No: B00630158 Word Count: 3020 Words Date of Hand in: 08/02/13 Content Page Section No Page No 1. Introduction 4 2. Product Information 4 3. Current Situation Analysis 6 3.1 Market Summary 6 3.2 SWOT Analysis 7 3.2.1 Strengths 8 3.2.2 Weaknesses 8 3.2.3 Opportunities 8 3.2.4 Threats 8 3.3 Competition 8 4. Market Entry 9 5. Marketing Strategy 10 5.1 Mission 11 5.2 Marketing Objectives 12 5.2.1 Segmentation 12 5.2.2 Targeting 12 5.2.3 Positioning 12 5.3 Communications Plan 13 5.4 Pricing Plan 14 6. Summary 14 7. References 15 1. Introduction This report will give information about the marketing plan of exporting Turkish coffee to the UK. The main information will be some background information about the coffee and the rest will be outlining and justifying the market and customer information, market entry methods, competitors and distribution channels. At the same time, the following plan formulates a new business strategy that will lead the way for future success. The most important part of a business plan is the Marketing Plan. To keep business on course this plan must...
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...Draft #1 Section I Starbucks In 1971, three friends with a passion for coffee opened a gourmet shop ? Starbucks was born. The coffee shop's name comes from Herman Melville's 19th century novel about the whaling industry, Moby Dick. The seafaring name seemed appropriate for the small shop, which imports the finest coffee. The cold weather and thirsty Seattle community seemed to be a perfect match for this endeavor. Starbucks caught on and, in less than a decade, became Washington's largest coffee roaster. In 1982, Starbucks coffee changed forever. While traveling in Milan, Italy, head of marketing Howard Schultz was intrigued by the coffee shop atmosphere ? patrons sitting, relaxing and chatting over café latte. Wanting to incorporate what he had experienced into Starbucks, Schultz brought the idea home. Starbucks owners balked at the change, so Schultz opened his own coffee shop, IL Giornale ? nearly an overnight success. In 1987, Schultz purchased Starbucks for $3.8 million. Today, Starbucks has approximately 12,440 locations, consisting of 8,836 stores in the U.S. and 3,604 internationally located in 37 different countries. The future of the corporation looks bright for the 2007 fiscal year; Starbucks plans to add 2,400 new stores in calendar year 2007 this is based on a global basis. The company goal of 30,000 stores has been modified to 40,000 stores worldwide. The plan is to have half the stores in the U.S and the other half internationally. With record net earning...
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...constructed on the concept of coffee brewing systems, and their focus was to serve high quality, fresh coffee. Keurig's groundbreaking single cup brewing system, presented in 1998, allows people to brew the perfect cup of gourmet coffee in less than a minute, without having to grind beans, measure coffee, handle filters or clean up (The Keurig Story, 2013). In 2002, Green Mountain Coffee Roaster Inc., a Vermont company, paid $14.4 million for 41 percent of Keurig. Four years later, it purchased the remainder of Keurig, selling the brewers at a sensible price and creating money on the K-Cups, which only worked with Keurig machines (Purpose, Mission & Values, 2013) Green Mountain’s vales, which can be found on their website, are; We Partner for Mutual Success, We Innovate with Passion, We Play to Win and We Brew a Better World. In 2008, Keurig made it to the Forbes ‘200 Best Small Companies’ list, but 2011 was the pioneer year. From January to September, sales rose over three hundred percent. This was due to their K-cup agreements with Starbucks and Dunkin Donuts (Badenhausen & Settimi, 2011). Today, the corporation is a leader in specialty coffee and coffee makers, and is known for its award-winning coffees, innovative Keurig Single Cup brewing technology, and publicly respectable business practices. Green Mountain supports local and global communities by “off-setting one hundred percent of its greenhouse gas emissions, investing in sustainably grown coffee and donation at least five...
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...E-Business Professor Phillips May 3, 2016 Chris Boich EBUS308: Intro to E-Business Professor Phillips May 3, 2016 Convenient Coffee Convenient Coffee Table of Contents Executive Summary 2 Mission Statement 2 Descriptive New Business Concept Summary 2 Justification of Relevance of New Business Concept 3 Role of the Internet in the New Business Concept 3 Description of the Business Model 4 Description and Justification of the Stakeholders & Target Market 5 Consumer Relationship Management 7 Description of the General Customer Touch Points 7 Description of the Customer Profile & Psychographics of the Target Market 10 Important Image Goals to Ensure Target Market Attraction 11 Internet Branding and Marketing Plan: Strategies for Web Pages 12 Market Analysis Summary 12 Brand Strategy 14 Customer Engagement Plan 15 Description of the Various Technologies That Were Used 18 Recency, Frequency, Monetary (RFM) Analysis 20 Description and Importance of Performance Metrics 23 Internet Branding and Marketing Plan: Integrated Communications Strategies 26 Customer Engagement Plan 26 Social Network Marketing 26 Internet Video Marketing 31 Explanation of How the Communications Represent Integrated Communications 33 Development of Lasting Customer Relationships 36 New Virtual Marketing Strategy 36 Strategy for Developing a Lasting Customer Relationship 39 Justification of the Strategy for Developing a Lasting Customer...
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...Marketing Strategies Misty D Staggs-Perraut MKT 500 016Winter 2012 Marketing Management March 13, 2013 Dr. Benjamin Bao Strayer University Executive Summary of my Marketing Plan My Cup of Joe coffee will introduce a new world to this small town that has never really seen anything like it. This coffee shop will offer a variety of coffee that that will appeal to almost anyone that walks through the door that loves that flavor. The coffee shop will reside in a large home that will be bought by the company instead of a strip mall. The house will be bought to have a better way of staying cost friendly. The utilities will be lower as well as the mortgage verses the rent. Instead of a strip mall this will give the people who really want to come and get what they want and what they need, from that feeling of belonging. The coffee shop will have décor from consignment shops and coffee cups from the dollar tree. It will have over sized love seats and couches that are spaced for those who might want to relax or sit somewhere comfortable. People will have the option to sit or to go with their beverage. People can eat a muffin made from the local bakery where a deal was made to get the muffins at a discounted price. Coffee will be sold at a cheaper price than start bucks but a little higher than the small local café’s. There will be an area set up for people to doctor their coffee to suit their needs. Instead of regular sugar” My cup of Joe” will offer liquid sugar which gives a sweeter...
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...Marketing Mix Fontineese Green MKT/421 November 11, 2013 Jeff Lewis Marketing Mix Marketing mix is defined as a planned mix of the controllable elements of a product’s marketing plan commonly termed as 4Ps: product, price, place, and promotion. These four elements are adjusted until the right combination is found that serves the needs of the products customers, while generating optimum income (Business Dictionary.com, 2013). When a company is marketing their products, it is useful to reduce all the variables in the marketing mix to four basic ones: * Product * Place * Promotion * Price In order to create the most effective marketing mix, the product has to have the right features. Keep in mind that Product is not limited to physical goods. For example, the Product of H & R Block is a completed tax form (University of Phoenix, 2011). Place is concerned with all the decisions involved in getting the “right” product to the target market’s Place. This happens through a channel of distribution. A channel of distribution is any series of firms (or individuals) that participate in the flow of products from producer to final user or consumer (University of Phoenix, 2011). Distribution decisions include market coverage, channel member selection, logistics, and levels of service (“Quickmba”, 1999-2010). Promotion is the business of communicating with customers. It will provide information that will assist them in making a decision to purchase a product...
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...Financial Economics 1/369 The price of coffee beans increases by $0.20 per pound. The increase in the price of coffee beans means that the price of roasted coffee also increases. In such a situation the demand for roasted coffee will decline. This follows from the law of demand. Now if one pound produces 50 cups of coffee the price of a cup of coffee may not rise by $0.01. The change in the price of a cup of coffee will depend on the elasticity of demand for cups of coffee. There are not too many substitutes for a cup of coffee. Tea is a substitute but it is not a close substitute. Next there is a very low percent of income spend on cups of coffee. Further, a cup of coffee is a necessity, the brand loyalty is high, and in several firms the employer pays for the coffee. In other words the price elasticity of demand for a cup of coffee is low. In this case the increase in cost of coffee can be passed on to the customer though not fully. 2/369 The article mentions J.M. Smucker. Co that plans to increase its coffee prices by 9 percent. Now if the brand loyalty is very high, say it is because of tradition or because the quality supplied by it cannot be matched by its competitors. If the brand loyalty is high the customers of J.M. Smucker.Co will not leave the company. The profits of the company will not increase by 9 percent but by a lower percent depending on the elasticity of demand. On the other hand if the brand loyalty is low and the customers of the company buy products...
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