Starbucks. The first thing that generally comes to mind in association with this brand is coffee. Starbucks doesn’t necessarily have the world’s greatest coffee, and it doesn’t advertise itself as such, however it has made itself a household name as a purveyor of coffee and it works. However, Starbucks is increasingly increasing its range of products rolling out baked goods, salads, and various other dining options in addition to their coffees and drinks. In this blog post I will concentrate specifically on Starbucks’ new goal of trying to break into the breakfast ‘market’. Many individuals on the go will not immediately think of going to Starbucks for breakfast, however they will think of Starbucks as their number one caffeine fix destination. So, in a logical move, Starbucks has started to offer breakfast sandwiches. I will now use the four P’s to analyze this decision – Product, Promotion. Placement and Price.
Product: Starbucks is offering a new offering “premium breakfast sandwiches and wraps”.
Promotion: To promote their new breakfast menu, Starbucks has placed ads in various newspapers including The Vancouver Sun and free newspapers such as 24hours and metro. There are ads in transit, and if you have a registered Starbucks card and signed up for emails they emailed customers about their new breakfast items. In addition to this, for this week, Starbucks is offering their Breakfast sandwiches for only $2.50. Starbucks has also utilized social media sites such as Facebook and Twitter to get the word out about their new items. Starbucks promotional blurb is as follows:
Mornings are always good when they include a savory, wholesome breakfast. But eggs, bacon, rustic artisan bread – who has the time? Fortunately, we do. And with our premium breakfast sandwiches and wraps on the menu, you do too. In addition to the lineup you’ve come to love – the popular Sausage & Cheddar Classic Breakfast Sandwich, the meat-free Veggie & Monterey Jack Artisan Breakfast Sandwich, we also offer a delicious low-carb Spinach, Feta & Cage-Free Egg White Breakfast Wrap and more. Good morning!
Placement: The breakfast items are available at every location and in my experience they seem to have an endless supply of the product. Although I’m sure at some point they do run out of certain products, I feel as if they currently produce enough to meet the demand.
Price: The breakfast line is a relatively inexpensive option for customers who are already purchasing their beverages in the morning. There is no price differentiation because all customers pay the same for the breakfast items.
Overall, I think that Starbucks new breakfast line will prove to be successful. I think a major contributor to that success will be because of the convenience and the multitude of options available.
