For the Love of Starbucks
By Katy Echols
I love Starbucks. I love its coffee. I love its service. I love its deep comfy chairs and trendy music. And I love that there is one on every corner. Obviously, I am not alone in this obsession.
For coffee lovers nationwide, Starbucks has become a haven. It can easily be named one of the most iconic companies of our generation.
So how did Starbucks become a star? How does it earn those big bucks?
If you ask any avid Starbucks-goer how many of the company’s commercials they have seen, they will probably say “one” or “none.” Unlike most companies, Starbucks has not used a traditional technique of exposure to gain fans.
“It really is about connecting with someone in a more intimate, experiential way that we think will have longer lasting ability to build affinity than a 30-second TV commercial or an ad,” said Anne Saunders, senior vice president of marketing at Starbucks.
After solidifying its brand, Starbucks stuck with a local focus, becoming a “third home” to its communities. It relied on consistent service and quality to get people talking. And once they started talking, it seems they didn’t stop.
This word-of-mouth technique has served the company well in more ways than one. Not only has Starbucks been effective by separating itself from the mass of commercials and advertisements thrown at the public, but the technique itself lends Starbucks an air of sophistication. By not submitting to the hype of commercialism in its marketing, Starbucks demonstrated what it values: people rather than profit.
Starbucks’ mission statement is “to inspire and nurture the human spirit – one person, one cup and one neighborhood at a time.” This statement explains why Starbucks operates the way it does. It is focused on the local, the individual and the service of one cup of coffee, rather than getting wrapped up in making a buck. (Though this strategy has earned them a few.)
For PR practitioners, this technique is good to keep in mind when creating campaigns for clients. More than that, we can glean an important overall lesson: It’s not always effective to do what everyone else is doing. Sometimes it’s not about keeping up with trends.
Think about what everyone else is doing. To beat them at it, you have to do it better. Alternatively, think about what they are not doing and give it a go. Going against trends garners creativity and can make you stand out even more.
In recent news, Starbucks has kicked off an image revitalization campaign for its 40th anniversary. This revamp included a new logo that it considers to be a “subtle but meaningful update.” Starbucks showcased its new logo in a tribute commercial that reinforces what Starbucks is all about: You!
While this message aligns with what Starbucks has always represented, the new logo has not gone over so smoothly. It has been called a “mid-life crisis.”
Has Starbucks peaked in its marketing genius? Here’s hoping (and I know all coffee lovers will cross their fingers with me) that Starbucks is here to stay.
Opinions
Comments are closed.
Post comment
Thanks! I’m glad to see that another coffee enthusiast appreciates Starbucks as much as I do. Loyal customer forever.
PermalinkPost comment
What an insightful thought- employees as internal PR practitioners. It seems Starbucks is onto something! Other companies should take note of this concept.
PermalinkPost comment
Excellent point! Their use of social media is spot on. I think this further proves Starbucks focus on people rather than profit. Engaging with the public seems to be its number one goal.
PermalinkPost comment
I agree with your thoughts completely. It takes genius PR to do what Starbucks has done. Creating a strong brand and building lasting relationships without traditional methods … it seems impossible. But the technique has separated Starbucks from the masses. A good thing to bear in mind as we build campaigns. Thanks for the feedback!
PermalinkPost comment
I am a huge fan of Starbucks. I can drink its coffee and lattes everyday. I have been a dedicated customer of Starbucks since the 8th grade in middle school. I am currently a Junior in college. I honestly cannot remember how I came into contact with Starbucks. I do not recall seeing a commercial or advertisement for the company. Now that I am older and understand the the field of PR and Advertisement, I agree that Starbucks has done an amazing job with promoting it. What I love the most about Starbucks is that it does treat its customers with respect. Treating your customers with respect and kindness is a way of promoting also. I tell everyone that they should try Starbucks if they haven’t. Sometimes trying what’s not normal might be what works. I have not had one bad experience with Starbucks thus far. I do not know if Starbucks will be around forever, but I do believe that it will be around until people stop going. Great blog.
PermalinkPost comment
Companies that use word-of-mouth advertising are generally the companies that have a higher approval rating with customers because the customers are doing the advertising. Rumor has it that Starbucks treats its employees like gold. This is extremely smart because employees do a lot of PR work for the company. Employees are the make or break of a company.
Although Starbucks doesn’t spend a bulky amount of money on advertising, it spends a lot of time internally preping its empoyees on the proper way to market the company. Starbucks has successfully turned each employee into a PR practitioner and that has played a major role in its prosperity.
PermalinkPost comment
Starbucks has not used traditional commercial techniques but the company has actively used social media successfully. Starbucks twitter has over one million followers, more than 20 million people “like” Starbucks on Facebook. Starbucks has gone above and beyond traditional social media in creating the website https://mystarbucksidea.com which encourages it’s customers to post ideas such as new drinks, food and locations. The top all-time idea on the website is posted by MsTexas who wrote “instead of spending mucho $$ on advertising, just lower the prices a little. Old customers will return, new customers who are frightened by everyone who talks about “$5.00 for a cup of coffee!?!” will be lured in.” But it seems that Starbucks does not have to lower prices, MsTexas, with an average of two stores opening every day since 1987 I think it is safe to say that Starbucks is here to stay.
PermalinkPost comment
When you talked about Starbuck’s lack of advertising, I had to sit here and think about it for a moment…
Even as a student of communications, I have never once noticed Starbuck’s absence among the wave of traditional advertisements.
My first thought was: If Starbucks is the new way of coffee, is it also the new way of PR? Does the success of this withdrawn strategy discredit the work we do as public relations practitioners?
Yet the more I thought about it, the more I realized that Starbuck’s backwards strategy involved just as much public relations/marketing expertise, if not more, when it came to crafting its campaign and strengthening its brand. Emphasizing quality and intimacy, rather than advertising, to draw in customers is just as much a matter of understanding your publics and then working to build and maintain those relationships.
Still a very interesting concept to mull over: Depending on how you wish to position your client in the eyes of its publics, sometimes it’s what you’re not doing that’s more effective.
PermalinkPost comment
I really enjoyed this. I never stop to think about not having seen a Starbucks’ commercial. What they are doing though is working well.
PermalinkPost comment
I agree that Starbucks has done a great job on its current strategy of a strong word-of-mouth marketing technique. The small marketing budget allows the company to focus on customer service, which is what really brings the customer back into the store. Starbucks is planning to expand more internationally, with a goal of 1,500 stores in China by 2015, and in order to succeed it will need to follow its current principles and stay focused on the strategy of great customer service that has worked in the past.
Permalink