Br an d Val ue Cha in An aly sis Of

St ar buck s

Presented by – Sonuka Agarwal

Deepshikha Kashyap
(M.B.A. in Design Management)
 Th e
Co mp any
• Starbuck s C orporat io n is an
international coffee and coffeehouse
chain based in Seattle, Washington,
USA.
• Starbucks is the largest
coffeehouse company in the world,
with 16,226 stores in 44 countries
• Starbucks sells drip brewed coffee,
espresso-based hot drinks, other hot
and cold drinks, snacks, and items
Starbucks headquarters
such as mugs and coffee beans
at Seattle
Different regions across the world where
Starbucks operates
 Br and Va lue Ch ain
Ana lysi
1993 1997
s1999 2008
2006 2007
Market Capitalization (USD
millions) 621 3,034 4,445 - 22,200
8,014

11
Stock Price 2.78 9.59 12.13 34.93 30.29
(current)

Sales (revenue) (USD millions) - 975.4 1,680.1 7,786 9,411.5 -

Net earnings (USD millions) - - - 564 673 -
Number Of Outlets 272 1,412 2,498 12,440 15,011 16,226

Number of Employees - - - - - 1,72,000

Advertising (LNA millions) 3.73 13.48

12.24 - 95 -
BAV strength 0.59 1.5 1.8 - - -
BAV stature 2.4 6.7 10.1 - - -
Stoc k P ric e Va riati ons
Graphs and P ie-
charts
Con td
.
Con t
d.
 Op por tunit ies For Th e
Com opportunities
• Significant pany exist, especially outside domestic US
market for join t ventur es . Starbucks could ove rco me
pla nn ing res tr ic tion s, red uce c os ts thr oug h c o-
loc atin g at sup erm ar ket c ha ins, p ub s & rest aura nts.
• Prod uct r ange divers ificat io n into greater food ranges
and non-food items. The company has experimented with
wa rm sa nd wich lines , and I -tunes (music link). Also,
sold mus ic CD’ s and link ed wit h clubs (e.g. book clubs)
etc.
• Through CR M and dat aba se m ar ket ing it could target its
high net wo rth cust om ers and build greater loyalty with
customer base. The introduction of loyalty schemes such as
Sta rb uc ks Ca rd , fre e re- fills and t ec hnolog y (free
downloads of music) provide a competitive edge to its value
proposition.
Con td .

• Continued focus on improving efficiency and effectiveness in

the organization, from procurem ent, to s up ply chain to
cu stomer ser vice d elivery.
• Become more of a socia ll y respo ns ible br and. Better
public relations activity, introducing more fair trade products,
better distribution of profits to farmers and ethical sourcing
practices.