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national Brand Audit
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Start by
clicking here 1. Executive Summary

2. Global Presence

3. History of the Brand

4. Brand Strategy

5. Sub-brands

6.Target Segments

7. Brand Positioning

8.Product Development

9. Packaging

10.Distribution

11.Pricing

12. Marketing Communication

13.Brand Awareness

14. Brand Image

15. Brand Equity

16. Sources
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ve Summary

resence

of the Brand

trategy

nds

egments

ositioning

Development

ng

ution

ting Communication

Awareness

Image

Equity

s
BEST GLOBAL B

Please select one brand and go


to the next page 2009 2008 Brand
Rank Rank

1 1
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3 3
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5 5
6 8
7 10
8 6
9 7
10 9

11 12

12 11

13 14
14 17
15 13

16 16

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19 21

20 24

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22 15

23 26
24 23

25 28
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27 31

28 35

29 25

30 33

31 30
32 27

33 36

34 39

35 32

36 19

37 37
38 38

39 40

40 44
41 45
42 43

43 58
44 51
45 47
46 46
47 48

48 56
49 49
50 62
51 61

52 57
53 55
54 52

55 53
56 59

57 42
58 63

59 60

60 66

61 64

62 70

63 73

64 65

65 67

66 68

67 69

68 71
69 72

70 76

71 74

72 41

73 50

74 75

75 78

76 80
77 79

78 77

79 81
80 92

81 82

82 83

83 84

84 89

85 88

86 98

87 91

88 93

89 94

90 85

91 New

92 97

93 New

94 100

95 New

96 90

97 New

98 New

99 New

100 New
*indicates brands that did not appear in the previous yea
BEST GLOBAL BRANDS
Back
2009
Change in
Country of Sector Brand Brand
Origin Value
Value
($m)
Next
United States Beverages 68,734 3%
United States Computer Services 60,211 2%
United States Computer Software 56,647 -4%
United States Diversified 47,777 -10%

Finland Consumer Electronics 34,864 -3%


United States Restaurants 32,275 4%
United States Internet Services 31,980 25%
Japan Automotive 31,330 -8%
United States Computer Hardware 30,636 -2%
United States Media 28,447 -3%

United States Computer Hardware 24,096 2%

Germany Automotive 23,867 -7%

United States Personal Care 22,841 4%


United States Computer Services 22,030 3%
Germany Automotive 21,671 -7%

France Luxury 21,120 -2%

United States Tobacco 19,010 -11%

Japan Automotive 17,803 -7%

Republic of K Consumer Electronics 17,518 -1%

United States Computer Hardware 15,433 12%

Sweden Apparel 15,375 11%

United States Financial Services 14,971 -32%

United States Beverages 13,706 3%


United States Computer Software 13,699 -1%

Switzerland Beverages 13,317 2%


United States Sporting Goods 13,179 4%

Germany Computer Software 12,106 -1%

Sweden Home Furnishings 12,004 10%

Japan Consumer Electronics 11,953 -12%

United States Alcohol 11,833 3%

United States Transportation 11,594 -8%


United Kingd Financial Services 10,510 -20%

Japan Computer Hardware 10,441 -4%

United States Food 10,428 7%

United States Computer Hardware 10,291 -12%

United States Financial Services 10,254 -49%

United States Financial Services 9,550 -11%


United States Financial Services 9,248 -10%

Japan Consumer Electronics 9,210 5%

Canada Media 8,434 1%


Italy Luxury 8,182 -1%
Netherlands Diversified 8,121 -2%

United States Internet Services 7,858 22%

France Personal Care 7,748 3%


United States Computer Services 7,710 -3%
United States Internet Services 7,350 -8%
Germany Diversified 7,308 -8%

United States Food 7,244 9%


United States Automotive 7,005 -11%
Spain Apparel 6,789 14%
United States Food 6,731 10%

United States Personal Care 6,550 2%


France Financial Services 6,525 -7%

United States Media 6,523 -9%

Germany Automotive 6,484 -8%


United States Computer Hardware 6,431 1%

United States Financial Services 6,399 -26%

Switzerland Food 6,319 13%

France Luxury 6,040 -5%

France Food 5,960 10%

United States Restaurants 5,722 3%

Germany Sporting Goods 5,397 6%

Canada Consumer Electronics 5,138 7%

United States Internet Services 5,111 -7%

Germany Automotive 5,010 -7%

United States Diversified 5,004 -5%

United States Personal Care 4,917 -7%

Switzerland Luxury 4,609 -7%

Republic of K Automotive 4,604 -5%

France Luxury 4,598 1%

United States Personal Care 4,404 -5%

Switzerland Financial Services 4,370 -50%

United States Automotive 4,337 -43%

Germany Automotive 4,234 -8%

Japan Consumer Electronics 4,225 -1%

United States Luxury 4,000 -5%


Switzerland Luxury 3,968 -6%

United States Apparel 3,922 -10%

United States Restaurants 3,876 -5%

United States Personal Care 3,847 7%

Germany Financial Services 3,831 -5%

France Alcohol 3,754 -5%

United Kingd Energy 3,716 -5%

United Kingd Alcohol 3,698 3%

United States Consumer Electronics 3,563 -3%

Germany Personal Care 3,557 5%

Italy Luxury 3,530 -2%

Italy Automotive 3,527 0%

Italy Luxury 3,303 -6%

United States Restaurants 3,263 -16%

France FMCG 3,235 New

Netherlands Energy 3,228 -7%

United States Restaurants 3,223 New*

United States Financial Services 3,170 -5%

United States Computer Software 3,161 New

Japan Automotive 3,158 -12%

Germany Sporting Goods 3,154 New

United Kingd Luxury 3,095 New*

United States Luxury 3,094 New*

United States FMCG 3,081 New


t did not appear in the previous year's top 100 ranking
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Your Bra

Type in your brand


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STARBUCKS
Your Brand Back

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STARBUCKS
Instructio

1. Please select one global brand from


2. Complete an audit of this brand by
template.
Instructions Back

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global brand from the provided list.


it of this brand by following steps in this
1. Executive S

Executive Summary:
The Starbucks story is a fascinating story that begins
a local retail store focused solely on selling coffee an
when Howard Schultz, the present Chairman and CE
The sparked a complete change in the philosopy and
remains intact today.
Since the beginning Starbucks was established by an
reinventing the status quo. Starbucks has grown to
stores in 50 countries. Since inception it has remain
exceptional ability to grow and expand into new ma

However, this rapid growth and expansion has affec


established a well recognized brand globally. It has
expansion strategy. In recent years, Starbucks has e
its business practices and therefore has had to rescu
working hard on its brand strategy and developing w
image and gain back equity. With this effort, will po
leadership position in the coffee industry. The follow
technical challenges Starbucks must overcome and a
brand.
1. Executive Summary Menu

Next
inating story that begins with its humble beginnings in 1970's as
olely on selling coffee and coffee equipment. It wasn’t until 1987
resent Chairman and CEO of Starbucks acquired the company.
nge in the philosopy and perspective of the business that

ks was established by an ambitios entrepreneur fixed on


Starbucks has grown to be over a $9 billion business with 16,000
inception it has remained financially successful due to its
nd expand into new markets.

and expansion has affected its overall brand. Starbucks has


d brand globally. It has leveraged its brand to accomplish its
nt years, Starbucks has experienced a lot of criticism concerning
erefore has had to rescue its brand image. Today, Starbucks is
rategy and developing ways to stregthen its brand awareness,
With this effort, will position its iconic brand to maintain its
ffee industry. The following brand audit will uncover the
ks must overcome and and detail the implications of a suffering
2. Global Pr

Global Presence:
The Starbucks business model and iconic brand is well positioned to
expands into new markets it has remained true to its original philoso
Starbucks operates 16,000 locations in 50 countries. The company p
such as Russia and India while maintaining a mirror image of its US o

China, for example has become a fascinating story for Starbucks. The
500 stores in China. Starbucks market research reveals that there are
interested in western and iconic products. Starbucks has realized tha
enhance the experience. Starbucks is working on maintaining a long

As Starbucks continues to expand globally it has become under press


example, since 2000, consumers have been demanding that Starbuck
supporting small farmers forced to sell coffee at ridiculously low pric
20% of their coffee at Fair Trade prices. In response, Starbucks now o
sustain coffee farmers and stregthen their communities by investing

Another such program is the Starbucks Foundation that fosters sever


as the Ethos Water campaign. Every time someone buys a bottle of E
Water Fund. The fund provides financial assistance to areas that suff
hopes that these global initiatives and programs will silence recent c
2. Global Presence Menu

Next
nd is well positioned to remain a leader in the coffee industry. As Starbucks
ue to its original philosophy and continued to develop its brand. Today,
untries. The company plans to develop partners in and other parts of the world
mirror image of its US operations. Back
story for Starbucks. The first store opened in 1999. Today, there is close to
ch reveals that there are about 200 million young people of 1.3B in China
tarbucks has realized that offering amenities such as WIFI, digital music, TV will
ng on maintaining a long term presence in China with an enduring brand.

has become under pressure to become a responsible global citizen. For


emanding that Starbucks offer Fair Trade coffee. The movement is aimed at
e at ridiculously low prices. It is estimated that coffee growers only sell about
sponse, Starbucks now offers Fair Trade coffee at it stores. Starbucks also helps
mmunities by investing in loan programs for coffee-growing communities.

dation that fosters several initiatives aimed to supporting the community such
meone buys a bottle of Ethos® Water, 5 cents is contributed to the Ethos®
stance to areas that suffer from lack of water or poor water quality. Starbucks
ams will silence recent criticism and increasing the value of its brand.
3. History of t

In 1983, just two years after joing the company Howa


owners of Starbucks to enhance the coffee experienc
enjoy coffee. The idea was sprung when the compan
international housewares show. Having experienced
their coffee led to a revelation that this could be a va
impressed with the coffee house atmosphere in Italy
familiarity of the barista with its customers. Most imp
bars function as an integral community gathering plac
but they all had a barista who performed with flair an
customers.

Consequently, Schultz immediately recognized that St


coffee, espresso, and cappuccino in its stores (in addi
Going to Starbucks should be an experience, a specia
meet friends and visit. Re-creating the Italian coffee-b
Starbucks' differentiating factor.
3. History of the Brand Menu

Next
oing the company Howard Schultz presented an idea to the
nce the coffee experience by offering a warm welcoming place to
prung when the company sent him to Milan, Italy, to attend an
ow. Having experienced first-hand how the "baristas" in Italy made
n that this could be a valuable concept in the US. He was primarly Back
ouse atmosphere in Italy and intrigued by the comfort and
its customers. Most importantly he observed how most espresso
ommunity gathering place. Each one had its own unique character,
o performed with flair and exhibited a camaraderie with the

diately recognized that Starbucks needed to serve fresh-brewed


cino in its stores (in addition to beans and coffee equipment).
e an experience, a special treat; the stores should be a place to
eating the Italian coffee-bar culture in the United States could be
tor.
4. Brand St

Starbucks claims to be in the people business, serving


philosophy. Starbucks has managed to different its bu
infusing different cultures, serving its employees and

Starbucks has an outlook genuinely interested in cult


beans from exotic locations—Sumatra, Kenya, Guatem
awareness of a wider world. While anti-American an
Starbucks understands that it roots will always remain
footprint.
Much of the Starbucks brand came from countries ou
made to Italy in the 1980s ensured that the American
of the brand. The blend of the Italian culture is evide
"latte", "cappaccino",etc. In international locations,
cater to the local food interests. In some cases it has
drink tea, therefore Starbucks has preserved this cust

Another brand strategy that has proven useful is Star


Starbucks Foundation and investments into truly glob
brand image.

Unfortunately, Starbucks efforts come short as the pu


aggressive and buying out competitors' leases, intenti
4. Brand Strategy Menu

Next
people business, serving coffee. The brand strategy reflects this
anaged to different its business by creating a unique coffee experience,
rving its employees and its community.

nuinely interested in cultures beyond the US, proudly displaying its Back
—Sumatra, Kenya, Guatemala, Costa Rica, Ethiopia, speaks for an
While anti-American anger has prevailed over the last few years,
t roots will always remain American but acknowledges its global

came from countries outside the US. In particular, trips that Schultz
nsured that the American is fused with the Italian to create the essence
he Italian culture is evident in the product names such as "frappaccino",
international locations, Starbucks tends to serve the same coffee but
sts. In some cases it has began to serve tea. It is custom in China to
s has preserved this custom and incorporated into its menu.

has proven useful is Starbucks contribution to the community. The


vestments into truly global causes has bode well for the Starbucks

orts come short as the public continues to view their strategy as over
mpetitors' leases, intentionally operating at a loss.
5. Sub-bra

Starbucks has created a sub-brand called "15th Ave E


what may become a nationwide “un-branding campa
recession and the perceived monopolization of the co
local privately owned coffeehouses.

Seattle's Best Coffee name was acquired when Starbu


Starbucks also owns the following brands:

- Tazo Tea
- Starbucks DoubleShot
- VIA instant coffee

Starbucks also employs a co-branding strategy with o


drink, and brand franchising to manufacturers of othe
5. Sub-brands Menu

Next
brand called "15th Ave E Coffee & Tea.” This is part of
ide “un-branding campaign. The driving forces are the
monopolization of the coffee business and driving out the
houses.
Back
as acquired when Starbucks baught the business in 2003.
wing brands:

branding strategy with other manufacturers of food and


to manufacturers of other goods and services.
6. Target Seg

Originally Starbucks targeted young college students,


expanded to target the high-end income coffee drink
coffee drinks and now considered a "luxury" coffee m
slightly more affluent group of adults around the age
coffee while working on other tasks.
6. Target Segments Menu

Next
young college students, however now as it has matured and
end income coffee drinker. Starbucks is among the highest priced
ered a "luxury" coffee maker.
of adults around the ages of 18 to 35, who can spend time sipping
er tasks. Back
7. Brand Pos

Starbucks deals with brand positioning by continuous


themselves by appealing to their target markets need
simple to-go product offering (about 80% of their bus
positioned themselves against McDonald's by also off
locations.

The VIA instant coffee branded product serves their c


store.
Starbucks has also employed a strategy to create a m
that prefer to spend time in their stores.

Therefore, Starbucks has positioned its brand to cove


7. Brand Positioning Menu

Next
ositioning by continuously catering to its customers. They position
heir target markets needs. This includes serving as a quick and
g (about 80% of their business). Most recently they have
st McDonald's by also offering Drive-Thru windows at selected
Back
ed product serves their customer base that is not able to visit a

a strategy to create a meeting environment For those customers


heir stores.

itioned its brand to cover a broad spectrum of customers.


8. Product Dev

Starbucks has a reputation for new product developm


vulnerable to the possibility that their innovation may
ago, Starbucks ventured into the magazine business a
Starbucks introduced a carbonated drink that also fai
that that innovative and entrepreneurial spirit still liv
of these attempts failed, he credits the spirit of the co
successes. It is clear that Starbucks has redefined the
driven by customer insight.

With its state-of-the-art product development labs ou


world, Starbucks continue to invest in product develo
million on technical research and development.
Going forward, Starbucks continues to innovate. For
hotspots as an asset. With thousands of locations, St
leveraged. Starbucks plans to roll out new internet b
TV to music download service.
. Product Development Menu

Next
or new product development and creativity. However, they remain
that their innovation may falter over time. For example, several years
the magazine business and quickly failed. Before the frappaccino,
onated drink that also failed. Howard Schultz, Starbucks CEO claims Back
epreneurial spirit still lives in the fabric of the company. While many
credits the spirit of the company to create huge commercial
rbucks has redefined the coffee drink turning coffee into creations

uct development labs outfitted with coffee experts from around the
invest in product development. In 2009, Starbucks spent $6.9
and development.
ntinues to innovate. For example, Starbucks has identified its WiFi
housands of locations, Starbucks owns a network that can be
o roll out new internet based products in stores ranging from online
e.
9. Packag

In 2009, Starbucks several stores will begin to be cons


environmental footprint. In 2006, Starbucks introduc
post-consumer recycled fiber, and last year it switche
polypropylene cold cups, which use significantly less
emissions during manufacturing by 45 percent. Starb
cups recyclable by 2012.
9. Packaging Menu

Next
ores will begin to be constructed as LEED-certified, reducing the
2006, Starbucks introduced a paper cup that contained 10 percent
r, and last year it switched from the standard PET cold cups to
ich use significantly less plastic and reduce greenhouse gas
ring by 45 percent. Starbucks also intend to have 100 percent of its Back
major

10. Distrib

As part of our international strategy, Starbucks intend


our retail stores. Extending its profi table global consu
more customers in more places that will allow them t
around the world. There remains a big opportunity in
structure and with an increasing variety of offerings in

Starbucks is adding to the product mix by offering new


with a number of other companies. Generally, the ma
agreements is to improve distribution and production
agreement with Pepsi-Cola Company to produce and
grocery and warehouse club stores is an excellent exa
10. Distribution Menu

Next
trategy, Starbucks intends to seize opportunities to move beyond
s profi table global consumer products group allows them to reach
ces that will allow them to grow the business at an accelerated pace
ains a big opportunity in the evolution of their distribution
sing variety of offerings in the grocery channel. Back
oduct mix by offering new licensing agreements for its products
panies. Generally, the main purpose of creating the licensing
tribution and production methods of Starbucks products. The
ompany to produce and distribute bottled Starbucks products in
stores is an excellent example of this type of licensing agreement.
11. Prici

In general, the Starbucks coffee brand has positioned


retail chain stores. Historically, the company succeed
to buy pricey espresso drinks. Starbucks pricing strate
Amidst the recession, Starbucks has decided to increa
raised prices by 5 cents per cup and ground coffee wa
average of 4.9%. The pricing yields a %56% profit ma
claim that the price hike is necessary to cover operati
11. Pricing Menu

Next
ee brand has positioned itself as a high-end spectrum among
ly, the company succeeds in persuading nearly 40 million people
. Starbucks pricing strategy has come to questions recently.
cks has decided to increase its product's prices. U.S. based stores
up and ground coffee was raised by 50 cents per pound or an Back
yields a %56% profit margin on all products. Company officials
ecessary to cover operating expenses (i.e. labor and fuel costs).
12. Marketing Com
Marketing Communication Menu

Next

Back
13. Brand Aw

Starbucks has invested in understanding their custom


focus groups, tests) to measure customer satisfaction
detect the customers needs and wants that are unful
Starbucks to offer a cup of coffee. They bring the bra
almost every street corner creating a strong presence
serving a reliable cup of coffee, its always going to tas
China.
13. Brand Awareness Menu

Next
derstanding their customers and developing tools (in-store surveys,
ure customer satisfactions. They focus on serving the customer and
and wants that are unfulfilled. Consumers know they can count on
offee. They bring the brand to the consumers by offering stores in
eating a strong presence. Starbucks has a high recognition for Back
ee, its always going to taste the same whether you are in the U.S. or
14. Brand I

Starbucks has become a globally relevant brand. Th


dependable. Like Wal-Mart, they manage the suppl
of stock.

In recent years Starbucks has been subject to the po


its brand image. Starbucks was edged out by Dunkin
house chain in the recently-released Customer Loya
test, McDonalds’ coffee won over Starbucks’. Additio
growth is declining. Furthermore, the competition i
emulating the Starbucks "experience" further dilutin

In general, the brand image has been suffering due t


that Starbucks is adopting agressive marketing tactic
movement to reveal Starbuck's coffee sourcing prac
contributed to tarnish its brand further.

The recent move to create several sub-brands may b


cannibalizing their own brand.

Starbucks is now working hard to revitilize its brand


itself.
14. Brand Image Menu

Next
bally relevant brand. They are considered accessible and
they manage the supply chain so well that they are never out

s been subject to the possibility of “commoditizing” or diluting Back


was edged out by Dunkin Donuts for first place as the best coffee
released Customer Loyalty Survey. In a Consumer Reports taste
n over Starbucks’. Additionally, the company’s same-store sales
more, the competition is also adding or upgrading stores and
perience" further diluting the Starbucks brand.

has been suffering due to the backlash by consumers claiming


gressive marketing tactics to gain more market share. A
k's coffee sourcing practices and othe similar issues have
and further.

everal sub-brands may be hurting the brand image and possibly


nd.

ard to revitilize its brand and taking new measures to reinvent


15. Brand E

Starbuck's rapid growth and expansion has caused th


falling in global brand rankings and negative consume
of equity, the real indicator is in the poor performanc
annual revenue suggest that the company is experien
build a brand equity and unfortunately it could easily
example, Toyota's recent recalls has had a significant
Starbucks recent decisions have not added value to it
15. Brand Equity Menu

Next
expansion has caused the company to lose brand equity. While
gs and negative consumer reviews are only an indicator of the loss
s in the poor performance of the company. The same store sales,
the company is experience challenging times. It takes years to
ortunately it could easily be lost with one or a few blunders. For Back
alls has had a significant impact on it's brand equity. Similary,
ave not added value to its brand.
16. Sour

1. starbucks.com
2. B2Brandebate.com
3. Interbrand.com
4. Starbucks annual report fiscal year 2009
16. Sources Menu

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scal year 2009 Back


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