Briefing 8 - Starbucks Case

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Rutgers University, Camden *

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52:630:361

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Business

Date

Feb 20, 2024

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docx

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2

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Briefing 8: Case Study (Starbucks) N AME : ASHANTI ROBINSON D ATE : 11/20/23 The purpose of this assignment is to investigate how Starbucks benefitted from mobile marketing. You can type your answer below each question within this briefing document. If needed, use evidence from the case and outside resources to support your ideas. This briefing should be completed individually, saved to your computer, and submitted online before the due date. The total score of this briefing is 3 pts. 1) Which Starbucks Rewards feature in the mobile app is the most valuable to the company? (.75 pts) The Starbucks Reward feature in the mobile app that is the most valuable to the company are the loyalty points and mobile ordering/payment. Loyalty points are the accumulation of stars/points based on purchases and it incentivizes customers to make repeat visits and spend more, which drives revenue. Mobile ordering & payment allows customers to conveniently place orders, pay, and pick up their drinks without waiting in line. This feature streamlines the ordering process, reduces congestion in stores, and potentially increases customer satisfaction and loyalty. 2) Could Starbucks have been as successful if it had offered only a physical Starbucks Rewards card, and never introduced an app? (.75 pts) Starbucks couldn’t have been as successful if it had offered only a physical Starbucks Rewards card, and never introduced an app. In the article, it states, “...as more than 9 million of 45 million total customers were paying via their mobile devices each week. Active mobile user grew by 32% in the third quarter of 2015 compared to the same quarter in 2014..”. This shows how quickly introducing the app changed their profits. 3) Has Starbucks overlooked a social media channel that could be valuable to the organization? (.75 pts) Starbucks is an organization that has a strong presence and active engagement on various social media channels, where they share updates, interact with customers, and run marketing campaigns. However, it's always possible that there may be emerging social media channels or platforms that Starbucks has not fully utilized or explored at that time. The social media landscape is constantly evolving, and new platforms gain popularity while existing ones may lose relevance. 4) Which features and rewards are most important to stay relevant to customers in the future? (.75 pts)
Their loyalty program along with mobile ordering/payment are the most important to stay relevant to customers in the future because the loyalty program creates an incentivize to customers to make repeat visits and spend more in order to receive the rewards of a free beverage/food. 2
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