Starbucks Marketing Mix Analysis Sample Essay

When a company enters in the market to sell its products, it combines various elements of marketing in order to enhance consumer satisfaction. This combination is referred to as marketing mix. It is important in maintaining competitiveness in the market especially when there are competing organizations offering similar products. The 4ps, which represents Product, Place, Price and Promotion, are significant in marketing since they create the desired uniqueness that an organization requires in order to maintain competitiveness (“The Marketing Mix” 2007). Starbucks is one of the U. S. based companies that have maintained competitiveness through a strong marketing mix. This has made it possible for it to uphold a strong customer loyalty. The more customers get satisfied with the organization’s services, the more they demand.

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The company’s product decisions are significant in maintaining a large consumer base. It offers a range of tangible products and services, which include coffee, other cold drinks and snacks, books, music, and films among other products. Product decisions include branding, whereby the organization has been successful in establishing competitiveness through the strong brand name that is recognized worldwide. Functionality is also an aspect of the organization’s products. The products are usually functional to people, especially the coffee beverage that is consumed widely. The company offers high quality products that are satisfactory to consumers. More over, the packaging is innovative, with the coffee being packaged in various quantities for the convenience of buyers. Consumers can purchase depending on their financial capabilities.


Pricing decisions important in marketing since consumers evaluate their purchasing decision depending on the cost of the commodity. One of the pricing strategy that the organization is using recently is the penetration pricing. Through this strategy, it is possible to maintain high sales by lowering the prices of standard drinks, as a reaction to the growing sensitivity of consumers to prices due to the effect of economic crisis. On the other hand, it the specialized drinks are being sold at a higher price, since they are mainly targeted to a different category of people who are not sensitive to prices. The pricing decisions of the organization have enabled it to maintain customers without interfering with its profitability. Wholesale prices are lower, and they enable retailers to make profit through dealing in the organization’s products.


The company has strong channels of distribution globally. It has established many coffee and grocery stores, institutions such as schools, hospitals and strategic places such as airports. It also provides services to homes and many other places where consumers can be reached conveniently. It has established subsidiaries globally. This has enabled it to reach its consumers effectively. It also processes products through orders from institutions, and in such cases, it provides transportation. The distribution strategy is important in ensuring that the customers get the products where and when they need them.


This is an important component of marketing. It involves creating awareness in regard to the organization’s products. It relies on modern advertisement such as through entertaining customers in stores rather than in television commercials. One of the significant advertising strategies is to hold discussions on important national events hosted by Starbucks. In such situations, consumers focus on the discussion, as well as where it is being held, in which case Starbucks brand name becomes known widely. It also uses movies to advertise its products. This has helped in creating awareness regarding the company’s products (Shultz, 2008).


Marketing mix is significant in helping an organization to maintain competitiveness in the market. This is achieved through the use of the 4ps which enhance customer satisfaction. Starbucks employs this strategy to maintain a large market share. The company’s products are of superior quality, the prices are affordable for customers, distribution ensures that consumers get the products at the right place and time and also the promotion strategy has been significant in the success of the organization.


  1. The Marketing Mix: the 4 P’s of Marketing, 2007, viewed on 26th 2009 at


  1. Shultz, H. 2008. Starbucks Makes Organizational Changes to Enhance Customer Experience viewed on 26th 2009 at, <>


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