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Starbucks & brand equity
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Their brand equity
Brand Equity
A brand's power derived from the goodwill and name recognition earned over time
Built on:
- their value proposition
- the high visibility (+ convenience)
- product & service innovation
- large offer & by-products
(- joint ventures that increased awareness and visibility)
Higher sales volume & profit margin against competing brands
Employee training
Consider Starbucks Coffee.
Consumers sometimes bond very
closely with their preferred brands. What type of brand equity do you
believe they have established over
the years?
How did this happen?
Procedures & customer intimacy
Are you a customer of Starbucks?
If yes, what do you like there?
What do you think they could improve?
Starbucks
Their value proposition
Based on brand strategy:
- coffee quality
- service
- atmosphere
A coffee retail shop from 1971 to 1987
Taken over by Schultz in 87
Coffee bar
Great place to work
Success in the USA in the 90's
Satisfaction decreased in the late 90's
Expansion in Europe in the 2000's
Today, Starbucks represents 15 000 cafés in more than 50 countries