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STARBUCKS. Management Team. Value Proposition. Creating an experience around the consumption of coffee. PROBLEMS. Customers have changed Perceptions have changed. Customers Have Changed. Perceptions Have Changed. What do we need to do?. Exhibit 10. Exhibit 11. Dan Day’s Plan.
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STARBUCKS Management Team
Value Proposition Creating an experience around the consumption of coffee
PROBLEMS • Customers have changed • Perceptions have changed
Dan Day’s Plan • Invest $40 million • 4,574 stores • Add 20 hours /week
PROPOSAL • Focus on customers through use of Starbucks Valued Customer cards • Reduced transaction times (Page 9 - ¶ 2) • Convenience • Offer free drinks
PROPOSAL • Focus on company through use of Starbucks Valued Customer cards • Opportunity cost • Visit Starbucks twice as often as cash customers (Page 9 - ¶ 2)
SVC Promotion • Use of “soft skills” • Additional training