Customer satisfaction and introduction of Starbucks

Starbucks was founded in 1971 by three local business people to sell high quality

coffee beans. When Howard Schultz visited the business in 1981, he planned to

build a strong company and expand the high-quality coffee business under the name

Starbucks. Starbucks Air is designed to offer consumers high coffee quality and to

ensure product innovation, retail expansion and service quality in the long run.

Starbucks opens its first café in Seattle, Washington. In 1990, Starbucks expanded

its headquarters in Seattle and built a new roaster. In the 1990s, Starbucks opened

60 retail stores in the UK. At the end of the 2000s, Starbucks had a total of 3,500

branches. Coffee is one of the fastest growing industries in the world due to its

business strategy. According to the National Coffee Association, 49% of Americans

18 years and older in the United States drink coffee drinks daily. The coffee industry

was at its peak in the late 1990s. In January 2011, Starbucks Corporation and Tata

Coffee announced plans to open Starbucks locations in India. Despite a false start in

2007, Starbucks finally launched a 50:50 joint venture with Tata Global Beverages in

January 2012 called Tata Starbucks Ltd. known to own and operate its own outlets

with the "Starbucks, A Tata Alliance" brand. Starbucks had already tried to enter the

Indian market in 2007. Starbucks gave no reason to withdraw.

On October 19, 2012, Starbucks opened its first store in India at the Elphinstone

Building, Horniman Circle. Mumbai Starbucks opened its first roasting and packaging

plant in 2013 to supply its Indian branches in Coorg, Karnataka.

Starbucks expanded its presence to Delhi on January 24, 2013 by opening two

branches at Terminal III of Indira Gandhi International Airport and later announcing

one in Connaught, Tata Global Beverages, 2013 with an investment to have 50

locations by the end of the year of £ 4 billion ($ 58 million). However, the company

will not open its 50th store in India until July 8, 2014.
The third city in India to receive a Starbucks branch was pune. There the company

opened a branch in Koregaon Park on September 8, 2013. On November 22, 2013,

Starbucks opened a 3,000 square meter flagship store in Koramagalam Bengaluru,

making it the fourth city to have an outlet.

Starbucks opened the country's largest coffee-forward store on March 18, 2019 on

Vittal Mallya Road in Bangalore. Tata Starbucks opened 30 stores between 2017

and 18 and between 2018 and 19.

On February 21, 2019, CEO Navin Gurnaney announced that Tata Starbucks will

only use compostable and recyclable packaging materials in all stores from June

2020.

Starbucks announced entry into the Gujrat market on August 7, 2019. The company

opened five stores in Surat and Ahemdabad simultaneously the next day. Starbucks'

flagship store is located in Prahlad Nagar Ahemdabad and offers more vegetarian

options than other Indian shops. CEO Navin Gurnaney said the company will open

more than 30 stores in 2019-20, 11 of which have already been opened

In January 2011, Starbucks Corporation and Tata Coffee announced plans to open

Starbucks locations in India. Despite a false start in 2007, Starbucks finally launched

a 50:50 joint venture with Tata Global Beverages in January 2012 called Tata

Starbucks Ltd. known to own and operate its own outlets with the "Starbucks, A Tata

Alliance" brand. Starbucks had already tried to enter the Indian market in 2007.

Starbucks gave no reason to withdraw.

On October 19, 2012, Starbucks opened its first store in India at the Elphinstone

Building, Horniman Circle. Mumbai Starbucks opened its first roasting and packaging

plant in 2013 to supply its Indian branches in Coorg, Karnataka.

Starbucks expanded its presence to Delhi on January 24, 2013 by opening two

branches at Terminal III of Indira Gandhi International Airport and later announcing

one in Connaught, Tata Global Beverages, 2013 with an investment to have 50

locations by the end of the year of £ 4 billion ($ 58 million). However, the company

will not open its 50th store in India until July 8, 2014.

The third city in India to receive a Starbucks branch was pune. There the company

opened a branch in Koregaon Park on September 8, 2013. On November 22, 2013,

Starbucks opened a 3,000 square meter flagship store in Koramagalam Bengaluru,

making it the fourth city to have an outlet.

Starbucks opened the country's largest coffee-forward store on March 18, 2019 on

Vittal Mallya Road in Bangalore. Tata Starbucks opened 30 stores between 2017

and 18 and between 2018 and 19.

On February 21, 2019, CEO Navin Gurnaney announced that Tata Starbucks will

only use compostable and recyclable packaging materials in all stores from June

2020.

Starbucks announced entry into the Gujrat market on August 7, 2019. The company

opened five stores in Surat and Ahemdabad simultaneously the next day. Starbucks'

flagship store is located in Prahlad Nagar Ahemdabad and offers more vegetarian

options than other Indian shops. CEO Navin Gurnaney said the company will open

more than 30 stores in 2019-20, 11 of which have already been opened

Target market means to select one or more market segments and product positions.

Starbucks also focuses on consumer habits and shares its specialty coffee with

buyers. There were many market changes at the end of the 20th century that made

Starbucks successful. The most important change in the past twenty or thirty years
has been the change in economic policy around the world. The Starbucks target

group was young professionals between the ages of 18 and 24 as they have not yet

remained loyal to the coffee industry. Starbucks' strategy is to place the stores in

select locations, such as the first floor of an office building.

Metro main entrance and urban areas. Starbucks sales depend entirely on the

company's retail stores and certified retail stores. Starbucks sells coffee and tea

products through many other channels such as restaurants, hotels, colleges and

universities, and other jobs. According to Fleisher & Bensoussan (2002), Starbucks'

target market was wealthy, sophisticated, and educated. Because of its high quality

and customer service, they are willing to pay high prices for Starbucks.

In the Starbucks stores, customers enjoy the unique feeling of naming a third place

to relax between trips from home to work. Starbucks aims to ensure customer

satisfaction to provide a unique Starbucks coffee experience. In Starbucks stores,

the environment is very pleasant, relax, access the WiFi, listen to your favorite music

and don't smoke.

Starbucks strives to determine the location of its best stores. Starbucks every store

is in a quiet place with no traffic. Corporate grants , My Starbucks Idea, a community

for customer ideas and suggestions.

Starbucks Card for customers to use and reload

Satisfied customers start with satisfied employees

When the $ 40 million is split equally between the 4,574 stores, the amount per store

is $ 8,750.

The table below shows that the difference between the revenue of a highly satisfied

and a satisfied customer is approximately $ 172.

We can therefore conclude that 50 customers (8750/172) must be satisfied to

satisfied to reach Starbucks breakeven.

Based on the daily number of customers (570), 50 satisfied customers make up

around 9%.

Everywhere, everywhere, a good coffee on the run completely captures the

Starbucks image

Overall, customers are satisfied with the cleanliness, atmosphere and product

quality. However, the waiting time is increasing steadily. That is the main problem.

While some people go to Starbucks for the experience, many people get their coffee

and are out the door. The waiting time is therefore extremely important. Satisfaction

has decreased here. While waiting time is part of customer satisfaction, it is not the

only thing that determines customer satisfaction. Customer satisfaction also depends

on the type of customer. Customers who visit, spend more, and are more loyal tend

to be happier. Starbucks also measures a lot by how people see the company by

trying to expand and make more money, rather than how people see the coffee. In

general, customers are satisfied with the coffee. While customer service has

declined some, the main problem that should be addressed is the view of the

Starbucks organization itself.