: Report on Marketing Strategy of Starbucks Company in Saudi Arabia

Acknowledgement of Marketing Strategy of Starbucks Company in Saudi Arabia

I am highly thankful to my Parents, my teachers, and my friends who provided their support throughout my studies and especially for this project.

Table of Contents

About the Company. 4

Literature Review.. 4

Objective of the study. 5

Methodology. 5

Hypotheses. 6

Results. 6

Major Findings. 10

Suggestions. 11

Conclusion. 11

References 12

Appendix 1: Questionnaire. 13

About the Marketing Strategy of Starbucks Company in Saudi Arabia

Starbucks is a leading brand in Saudi Arabia. The major things which helped Starbucks to become the leading brand are all about its significant marketing strategies. Although it did not rely on the conventional marketing strategies even then the company is a leading brand. It is all about the provision of the quality products in order to attain the customer satisfaction.

At present, Starbucks has started making investments to the advertising for its product. The TV commercials are intended to provide the people with the most romantic flavors available at the Starbucks in Saudi Arabia. It better helps to attract the increased count of the customers (starbucksforyouthksa, 2019).

Literature Review of Marketing Strategy of Starbucks Company in Saudi Arabia

In this era of competition, all the organizations have the aim to attract the increased count of customers along with their retention. The more the customers a company have, the better it helps to increase the firm’s profitability along with the market share. It can be said that the marketing strategies are if effective then it helps the customers to know more about a specified product and try it. In case the customers feel satisfaction then they may prefer to choose the similar product again and again (notesmatic, 2019).

The marketing strategy of Starbucks is so unique and the starting point is the product of Starbucks. The high quality coffee tends to make the Starbucks more differentiated from its competitors. The main thing is the product quality. The marketing strategy is not only limited to the product but also other techniques for the product sale and promotion better helps the firm to attract the customers (coschedule, 2019).

The value proposition is also of immense importance. The way Starbuck has positioned itself in Saudi Arabia is remarkable. The environment of the store is also soothing which helps to provide the customers with the great experience (osiaffiliate, 2019).

The target market of Starbucks all belong to the upper class or the upper middle class. This brand is intended to attract the customers who are desirous to have the peaceful space for having the coffee with their beloved ones. The professionals with high earnings are the target market for the Starbucks with age range from 25-60 years. Starbucks tends to provide the customers with both the high quality product and the refreshing environment (oshmeah, 2019).

The brand merchandise is also an important concept regarding the marketing strategy. It is pleasant to have the merchandise with the attractive looks (dgajsek, 2019). In case the cup is not perfect even if the coffee is perfect it will not attract the customers. Starbucks did not rely on the conventional methods for marketing their products even then it has the huge market share (marketing91, 2019).

The main considerations for Starbucks are all about the quality product, customer focus along with the ethical considerations. Almost 99% of the Starbuck’s coffee is sourced ethically from the suppliers from different regions of the world. The ethical image of the firm helps to increase the customer’s loyalty along with the organizational profitability (panmore, 2019).

Objective of Marketing Strategy of Starbucks Company in Saudi Arabia

The main objectives of the study are all related to the marketing strategy of Starbucks in Saudi Arabia. It better helps to know how the customers are retained for longer with the firm.

Methodology of Marketing Strategy of Starbucks Company in Saudi Arabia

For the current research work, the self-administered survey has been conducted. For the said purpose the questionnaire has been designed. The potential respondents are the users of the products of Starbuck in Saudi Arabia. The tool which is used for the tests and analysis of the data is SPSS version 22. The sample size for the current study is 20 customers of Starbucks who are willing to provide their responses for current survey.

Hypotheses of Marketing Strategy of Starbucks Company in Saudi Arabia

H1: The product of Starbucks at Saudi Arabia is a significant part of the marketing strategy.

H2: The price of Starbucks at Saudi Arabia is a significant part of the marketing strategy.

H3: The place of Starbucks at Saudi Arabia is a significant part of the marketing strategy.

H4: The promotion of Starbucks at Saudi Arabia is a significant part of the marketing strategy.

Results of Marketing Strategy of Starbucks Company in Saudi Arabia

Below is given the analysis based on the data collected from the respondents.

The table for age is showing the frequency for different age ranges. It can be seen that the highest range goes with 24-30 years of age. The same is shown by Pie-chart.

The table for nationality is showing the frequency for different nationalities. It can be seen that the highest range goes with Saudi Arabia. The same is shown by Pie-chart for nationality.

The table for gender is showing the frequency for different gender. It can be seen that the highest range goes with the male. The same is shown by Pie-chart for gender.

Descriptive Statistics of Marketing Strategy of Starbucks Company in Saudi Arabia

The table for descriptive statistics is containing the values for mean and the standard deviation. Mostly the mean values are greater than 3. This value is if measured on the questionnaire then it shows that the respondents show agreement for the statements of the questionnaire. Also, the mean values greater than 2 are actually equal to 3 which are measured on 5-point likert scale as neutral. It can be said that the respondents are agree with the statements of the questionnaire. The values of the standard deviation are showing that how the values of the variables are deviating from their mean values.

Regression Analysis of Marketing Strategy of Starbucks Company in Saudi Arabia

The regression analysis better helps to determine which hypothesis is accepted or rejected. So as is the case with the above table this is containing the values for all the parameters of the research. The value of R-square is 0.979 which depicts that the study variables are collectively having the significant impact on the performance of the Starbucks. The parameters which are taken for the research purposes have a strong positive association with the services of Starbucks. The negative values of beta are still showing the association with the services of Starbucks at Saudi Arabia but the association is strong negative.

Major Findings of Marketing Strategy of Starbucks Company in Saudi Arabia

Suggestions of Marketing Strategy of Starbucks Company in Saudi Arabia

·         The sample size can better be increased for conducting the research work.

·         Any other firm can be chosen for conducting the research.

·         The firm can better make use of the traditional marketing means in order to attract the customers.

Conclusion of Marketing Strategy of Starbucks Company in Saudi Arabia

The current study provides a deep insight about the marketing strategy of Starbucks in Saudi Arabia. The nature of the study is quantitative because the data is collected by getting the responses of the people with the help of the questionnaire. The material been obtained for the said purpose is gathered by making use of Google, Official sites of Starbucks as well as Live Science Magazine. From the analysis it is determined that the organizational marketing strategy is better determined by formulating effective strategies for the product, price, place as well as the promotion. This will better help to attract the increased number of the customers. In this way the objective of the current study is achieved.

References of Marketing Strategy of Starbucks Company in Saudi Arabia

coschedule. (2019). Starbucks marketing strategy. Retrieved from https://coschedule.com/blog/starbucks-marketing-strategy/

dgajsek. (2019). Marketing Stratgey of Starbucks. Retrieved from https://dgajsek.com/starbucks-marketing-strategy/

marketing91. (2019). Marketing Stratgey of Starbucks . Retrieved from https://www.marketing91.com/marketing-strategy-starbucks/

notesmatic. (2019). Marketing Strategy of Starbucks. Retrieved from https://notesmatic.com/2017/01/marketing-strategy-of-starbucks/

oshmeah. (2019). 15 Restaurant making ideas from Starbucks marketing Strategy. Retrieved from https://www.joshmeah.com/starbucks-marketing-strategy-15-extremely-actionable-ideas-for-restaurant-marketing/

osiaffiliate. (2019). What is Starbucks marketing strategy. Retrieved from https://www.osiaffiliate.com/blog/starbucks-marketing-strategy/

panmore. (2019). Starbucks Corporation marketing mix 4Ps analysis. Retrieved from http://panmore.com/starbucks-coffee-marketing-mix-4ps-analysis

starbucksforyouthksa. (2019). Starbucks. Retrieved from https://www.starbucksforyouthksa.com/

Appendix 1: Questionnaire

1. Answer the next questions

2. On a scale of 1-5(5 being the highest) how important are the following qualities to you when choosing a coffee shop?

3.