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SSD Group Assignment (Starbucks vs. Tim Hortons)

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Vương Nguyên

on 14 July 2014

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Transcript of SSD Group Assignment (Starbucks vs. Tim Hortons)

Starbucks versus Tim Hortons
Place - Starbucks
12,973 stores
Starbucks has strategically located its retail locations
Target potential customers
Promotions - Starbucks
Business of communicating with customers
Successful brand image
Uses technology to promote their brand
Social media marketing
Rewards program
Background
Headquarters at Seattle, Washington, United States
Opened first restaurant in the United States. in 1971, Pike place market, Seattle
Trades on NASDAQ
Background
Headquarters at Hamilton, Ontario, Canada
Opened first restaurant in the U.S. in 1984, Tonawanda, New York
Trades on the NYSE and TSX (THI).
Place - Tim Hortons
807 stores
Located at places of foot traffic
Highways
Drive through
Promotion - Tim Hortons
Brand presence pales in comparison to competitors
Usually advertises at hockey rinks
Desperate attempt to emphasise fresh offering by branding as Tim Horton's cafe and bake shops
Product - Starbucks
Core product is coffee
Also offers pastries, juices, sodas, games, seasonal novelty items and coffee related equipment
Sells roasted coffee beans worldwide to grocery stores and
large hotels
Pricing - Starbucks
Product - Tim Hortons
Core products are coffee and donuts
Baked goods, breakfast, lunch
Inability to adapt to US customers
Pricing - Tim Hotons
Tim Horton's has a focus on moderate priced coffee.
Tim Horton's is about value and convenience.
Their image is all about low prices on their specialty coffees.

Starbucks uses the pricing model of marketing mix to their advantage.
It helps Starbucks sales revenue to grow every year.
Consumer opinions such as what they value is important.
The Marketing Mix
The Marketing Mix
CONCLUSION
Based on the 4P's, Starbucks has a more powerful strategy than Tim Horton's.
Tim Horton's have to minimise the desire to expand their business operations in the United States while Starbucks is successful expanding the business around the world.
Presented By:

Vuong Thao Nguyen (13030185)
Tika Arvianti (13030184)
Rahul Reddy Pulugu
Manne Varaha Venkata Lakshmi Sravya
Ahsanul Alam
Drive through locations
Selective shopping malls
College campus
Free Wifi
A line of ice-creams
Located at places of foot traffic
Drive through
Tim card
Full transcript