DIGITAL MARKETING

PART ONE: Brand analysis

1. Introduction

Brand name: Starbucks

Website: http://www.starbucks.com/

Starbucks Corporation is an American coffee company and coffeehouse chain. It

operates 23,768 locations worldwide, including 13,107 in the United States,
2,204 in China, 1,418 in Canada, 1,160 in Japan and 872 in South Korea and
many others. Starbucks is also considered as the main representative of "second
wave coffee", distinguishing itself from other coffee-serving venues in the US by
taste, quality, and customer experience.

Key Information:

Founded On: 30th March 1971

Headquarters: Seattle, Washington, USA

Key People: Howard Schultz

Revenue: US$ 19.16 Billion (in 2015)

Online Space Used by Starbucks:

Twitter: (https://twitter.com/starbucks) 11.8 Mn followers

Facebook: (https://www.facebook.com/Starbucks) 36.4 Mn likes

Instagram: (https://www.instagram.com/starbucks/) 12 Mn followers

Pinterest: (https://www.pinterest.com/starbucks/) 280 K followers

Google+: (https://plus.google.com/+starbucks) 4.8 Mn followers

Product Offerings & USP:

The product offerings of Starbucks include Coffee (iced, latte, Frappuccino,

Espresso etc.), Tea, Food (muffin, salad, sandwich, croissant, smoothies, pastries
etc.), merchandise (mugs, instant coffee etc.) and a few other beverages.

Starbucks saying has been - Our Barista Promise: Love your beverage or let us
know. Well always make it right, which is a great example of their USP. The
amount of focus that has been put on the customisation of their products in
order to meet the best possible customer satisfaction level is what makes this
brand stand out from its peers.

Tone, persona, & communication style:

Tone The tone of the brand is very warm, friendly, welcoming, positive and
helpful.

Persona The persona of the brand exhibits signs of sophistication, purity,

excitement, sincerity, traditional and quality oriented.

Communication style The communication of the brand is focussed on:

1. Willingness to listen to customers

2. Leading from the heart
3. Following intuition
4. And listening some more

Markers comments:

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2. Target market

The digital target market of Starbucks is very clearly defined based on various
competitive, social, economic and market factors. The digital strategy of
Starbucks contributed to about 15% of the companys revenue in 2014. It is also
important in order to attract and engage Millennial. Starbucks claims that its
digital strategy enables user convenience and drives a superior consumer
experience through its mobile app service.

The target market basically includes:

DEMOGRAPHIC TARGETS:

Age group: 25-45 years

Work: White collar workers

Location: Urban Population

Income level: Medium to high income

Gender: Both males and female

Others: Health conscious, Working and educated class.

GEOGRAPHICAL TARGETS:

Although the brand has a well-established foothold in all the major

countries of the world but through its digital media platform the company targets
few specific geographies of the world which include the following:

America

China and Asia Pacific

Europe

Middle East

Africa

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3. SMART objectives

The SMART objectives Starbucks should achieve using Digital Marketing are:

SMART Tactic(s) KPIs Tracking tools

Objectives
Increase in the Social media No. of new likes on Facebook:
Social Media platforms like Facebook, New Facebook insights
presence and Facebook, followers on and analytics.
engagement of Instagram, Instagram, Pins Google+: Circles,
the brand by Google+, Pinterest, and Boards on hangouts, online
about 15%. Twitter, LinkedIn Pinterest, Tweets Q&As. Twitter:
etc. and retweets on Promoted
Twitter, Followers campaigns,
on Google+. Hootsuite,
Twitalyser.
Pinterest:
Pinterest Analytics.
Improve SEO Latest up to date Google rank
by ensuring information, Increase in organic checker tools:
relevance of appealing and traffic, Increase in Free Monitor,
brand content interesting content, no. of pages on the ParaMeter. Paid
and keywords. increase in content site that generate rank checker
on all media traffic, Percentage tools: Advanced
channels, easy increase in traffic web ranking, Agent
sharing of content. from specific web ranking, Rank
geographic tracker, serps.com,
regions, Organic Wincher. Others:
Impressions Google analytics,
(Search Console), google keyword
Organic Click- planner, SEO quake
Through Rate (CTR) toolbar.
(Search Console).
Increase in Rather than Better response CRM tools, CRM
focus on focussing too much time, Increase in softwares
Customer on acquiring new Customer Lifetime (Pipedrive,
Management customers, focus Value (CLV), ProsperWorks,
and on providing better Increase in Net Teamgate, amoCRM
Relationship service and Promoter Score etc.), Customer
Building. experience to the (NPS), Increase in Support tools
existing customers. Employee with ticket
productivity, systems (Zendesk,
Increase in the Desk.com or
Complaint Helpscout etc.),
Escalation rate. Microsofts
Dynamics CRM
software.

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PART TWO: Strategic considerations
1. Competitor analysis

Start writing here: The competitor site applicable would be McDonalds. It scores
notably above Starbucks in the following three areas:

Following things Starbucks want to emulate in online marketing strategy from

McDonalds.

McDonalds uses social media extensively to drive sales as well as customer

service, which are two key operational areas for an ecommerce site. It uses
Facebook pages for all latest promotion ads, Q&A, Vote and other content
related ads.Most of the post shared by McDonalds on Facebook promotes its products and
its sole purpose for its presence on Facebook is to promote sale.

McDonalds Twitter updates are positive and uplifting, considering as its

trademark colours are bright, it serves Happy Meals, and its slogan is Im loving
it. The company is all about happiness, and this is effective online strategy that
attracts customer to McDonalds over its presence on Twitter.

McDonaldss Instagram feature on social media helps in improvement of

consumer brand sentiment. The growth in the number of followers is
phenomenal in the case of Instagram which is due to posting of huge number of
pictures and video.

On twitter it adapts the strategy of quick and instant promotion like fill in the
blanks and rewarding tactics like the the first ten people who fill in the blank will
get a free Family/Friend/Colleague meal.
On Pin interest it conducts a Retouch Contest which follows the following
features.

A pair of pictures before and after retouching.

The object of the picture is any food or drink of McDonalds.

They could be beautiful, cute or quirky.

The ten winners will have their work displayed in McDonalds stores as
print advertising with brief personal information on it.

Mobile Media Strategy

Business App

Here Location serves as an important function to

find store

share location with delivery man

Social media will be imbedded in

 Exclusive promotion on mobile

Coupon shared via phone contact.

As a part of mobile media strategy it also has

Entertaining App

Mobile games cooperated/ compete with friends

Theme related to food

Get rewards from McDonalds

Markers comments:

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2. Role of data

Starbucks also conduct T-Test to determine important information such as the

average quality of customer service. It also combines APIs with information and
analyse the results and create a model to map the impact of analysis.
At every stage whether it is formulation, planning or realization of the digital
marketing strategy data will be used at every stage of it. Data will be used to
validate if Starbuckss site goals, objectives and over-arching strategy are on
track and are in line with the Starbuckss objective.

Given the amount of data available, data tools are used to derive actionable
insight. These may include insights into inventory flow through the year,
customer behaviours and preferences among others .The following are a few
examples of tracking tools that can be employed to track, analyse, and optimize
the effectiveness of Starbuckss digital campaigns:

#1 Google Analytics for SEO

#2 DaaS provides highly specialized data assets that have already been
mined from Big Data sources

#3 ORM & Sentiment Analysis for Social Media

#4 Email Automation & Analytics

#5 CRM Analytics, etc.

Web analytics will play an important role in getting to know the mind-set as well
as purchasing habit customer in the past. It will also be helpful in predictive
analysis of customer behaviour in the future.

Google Analytics will help in finding out from where the visitors are coming from.
It also helps to get information like how visitors are finding the website like if the
visitors found out the site directly, through a referral from another website. It
also help us to find out the Keywords that were used by visitors.

Metrics that characterise site visitors, content and eventual conversions will be
tracked to optimize results. Some of the following are examples of metrics that
can be analysed:

#1 Net new vs. returning visitors

#2 Keywords and referrers used to reach Starbuckss site

#3 Entry/ exit/ landing pages

#4 Visit duration and number of pages viewed per visit

#5 Page exit ratios and bounce rates

Data analytics can help to make optimal marketing buys across many different
channels and to continuously optimize their marketing efforts through testing,
measurement, and analysis. It will also be helpful in analysing which pieces of
content are most effective at moving leads through a marketing and sales
funnel. It will help to find out unfiltered opinions, reviews, and testimonials about
the products.

Regular evaluation and tracking of Goal Flow, actionable data, conversion-fuels

as well as report analysis by Google Analytics will help in meeting the objective
of the sites. A/B testing is much better than multivariate testing in improving the
site performance as the results that can be achieved with A/B testing will come
at a far quicker rate.

Markers comments:

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PART THREE: Tactical plan

Tactic 1: Social Media Content

Given the demographics of the target customers most of them are present on
one or the either Social Platforms which makes it a very important means of
communication with the customers and non-Customers.

Presence in the social media

1. Can drive footfalls to the stores and ensuring business objectives being
met
2. Grievance readdress channel to ensure high customer satisfaction
3. Understanding the needs of the customers
4. Ensuring the Brand Recall to stay on top of mind.

Creating Amazing Content can improve social media presence and customer
engagement as well. Both Starbucks and McDonalds do share targeted content
on their social handles like Facebook but McDonalds looks to dominate in this
aspect since it is able to content engaging and relevant.

Even though both of them are engaging their customer with content McDonalds
is taking about more contemporary things and McDonalds icon on the all content
shared brings the exclusivity and personalisation.
Customer Engagement through social media improves the brand recall of the
company and with proper curated content we can ensure brand loyalty which in
turn produces sales.

The Challenges using social media will ensuring the Service Level and
commitment to the activity and since Starbucks is a global organisation content
should be appealing multiple culture and should offend the customers and it is
important that voice and tone of the communication should be consistent and
should be in coherence with brand persona identified by the company.

Markers comments:

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CRM

Customer Relationship Management would be another key area which help to

achieve the business objective at the same creating value to the customers. In
the age of cynical customers and excess consumerism the customer acquisition
is a key activity and it is a costly. Once we have customer it is important to keep
him engaged and makes repeat purchases. As stated we will employing multiple
CRM Tools available and ensure that Company Prospects right individual with
High Customer life time value.

With CRM data the consumer behaviour can be captured and this data will help
the company to deliver value to the customer. And analysis of the data gives us
understanding about the overall market response to our product and services. It
also identifies if there are gaps between the customer expectations and our
offerings.

CRM helps to reach with specific information that helps the customer who is in
the particular stage of the buying cycle. Which will improve the conversion and
ensure effectiveness of the efforts of the company.

The Challenges of CRM would be implementation since the CRM is more of

centralised approach of the Customer relationship the local team should be also
aware of activities and plan accordingly.

Markers comments:

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Search Advertising

With Globalisation the food habits have changed Customers are have become
variety seeking and with urban congestion and the nuclear families the food
delivery business have gained importance and it is convenience that customers
are looking for with Food Delivery channel have moved from telephone to
internet based food delivery and more trusted payment gateways have emerged
so it is important that we will discovered when the customers is looking for
something similar.

So Search advertising can be driver to bring the traffic Starbucks online delivery
website or Mobile app and the search advertising is not limited to webpages
suggestion but the also the location suggestions if the customer choose to have
food at the outlet. As part of Search Advertising Strategy we would

Combination of the Long tail key words to ensure conversion

Relevance of the landing page and SEO to improve the quality score
Day Parting can be a strategy with exact keywords since they have higher
chances of conversion in the particular time of the day.

Search advertising is a push strategy which can be costly commitment for the
company so the company should ensure

SEO optimised page

Organic traffic
Responsive website based on the device the website is used to ensure less
drop-offs.

Markers comments:

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Video Marketing

The target customers have a segment gives importance to the in-store

experience and service rather than product themselves. So the traditional
communications channels or website may not communicate the true experience
how is it to be in a Starbucks.

The Service that is offered in a Starbucks store has a high degree of Intangibility
so it is really important to communicate the value to the customers.

So Video marketing allows us to do that. Video Marketing has two important

components content and what should be made video more searchable a Video
content SEO optimised.

Key Decisions

Theme of the content

Content Choices: User Generated/Own/third party but under Starbucks
super vision and Content Co-Created.
Platform decision : It is driven by the customer preferences and choices
Frequency of the Engagement.

Based on the Online Sentiment Analysis and User Imagery the company can
arrive that at the content Design. Given the context we have decided to talk
about the barista who are the key stakeholder and face of the organisation.
The Content theme would be # the real STAR where the barista narrate story of
the Starbucks and this makes the content engaging the target customers who
also see barista as more friends. And the platform would be YouTube.

Challenges: The challenge in video marketing would be control over the content
but in this case they are mitigated since the content is own media of the
company and the other things the company should take care is about making the
Video or SEO optimisation for the videos.

Markers comments:

/10

Section Mark Out of

Part One 40
Part Two 20
Part Three 40
Total 100
Percentage 100%
Markers comment: