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Wednesday, April 12, 2017

You've read his story, now hear him speak!

Howard Shultz probably could have founded any type of Retail Company and experienced the same level of success as his brand is about the experience, more so than the product (though the product is distinguished in its own right.)  When individuals go to Starbucks, they know they are going to pay more than they would have had they gone to McDonalds or made it at home.  The reason people are willing to pay this premium is for the experience of Starbucks.  One part of the experience is a multitude of options of coffee, all sustainably sourced.  Moreover, the company engages in many CSR activities, as this is what its customers want from this company.  Shultz even stated that he believes in the future more and more people will look to companies to engage in more CSR activities.  Though that is only one part of the overall experience, the other major piece is the customer service.
                  Starbucks constantly scores high in customer satisfaction.  There are many explanations for this including high employee satisfaction, which the CEO even stated was a major reason for it.  Shultz has stated many times Starbucks is in the people business serving coffee, and to be in the people business, the company needs people who enjoy working as this will reflect in their ability to serve their customers.  This is highlighted by programs such as Starbuck’s effort to help their employees pay for college.  The positive experience of both customers and employees is the major reason that the company is now worldwide and doing quite well.
                In the internet age with so much complexity, Starbuck’s plan for growth is quite simple, it is open more stores.  The company intends to open more stores both in America and internationally.  The company believes this will lead to success as its strategy is working, and it is best to let people experience Starbucks for themselves, and the only way to allow more people to do this is to reach them.  Also, many of its planned new stores (in America) will have drive-throughs, so that may add to the convenience, but hopefully not take away from the overall experience.

                               
        Works Cited
"American Customer Satisfaction Index Scores of Starbucks in the United States from 2006 to                 2016*." Https://www.statista.com/statistics/216719/starbucks--customer-satisfaction-in-the- us/. N.p., n.d. Web. 4 Apr. 2017.
Peterson, Kim. "Starbucks' Growth Strategy? Open More             Starbucks." Http://www.cbsnews.com/news/starbucks-growth-strategy-open-more-starbucks/.             N.p., 28 Apr. 2014. Web. 4 Apr. 2017.
Wright, George. "Starbucks Gets It – How Happy Employees Result in Happy                 Customers." Http://www.chiefmarketer.com/starbucks-gets-happy-employees-result-happy- customers/. N.p., 5 Nov. 2014. Web. 4 Apr. 2017.

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