Strong Brand: Starbucks is a well-recognized brand throughout much of the world, and likely the most recognizable brand in the coffeehouse business. The Starbucks logo is easily identifiable, and attracts both new and repeat customers. Stores are typically in the most prime locations around the globe, with high traffic and visibility. As we mentioned above, the company has a wide geographic presence, with locations in 68 countries. Its strong market position, diversified products, and brand recognition has allowed the company to have a leg up on most competitors, and has given it the opportunity to further expand its business.
Starbucks Experience: Not only does the company offer premium, high-quality coffees, but it also provides the customer with the “Starbucks Experience”. This includes excellent customer service, clean and well-maintained stores that offer a comfortable setting, good music, a warm atmosphere, and free wireless Internet access in the U.S. and certain international markets. These factors have built a high degree of customer loyalty, which has helped to drive same-store sales and earnings over the years. The company also has an extensive customer loyalty program, in which consumers can earn loyalty points with each purchase that can be redeemed for free products. Its new Mobile Order and Pay program, allows customers to place orders in advance for pick-up at certain participating locations in the U.S., has been a hit with younger consumers who don’t want to