Starbucks on Facebook

OK, so I want to end my blog by mentioning the popularity of Starbucks on Facebook. I became a member of Starbucks Facebook group when I started my blog.

Few minutes ago I checked again the number of members that join this group: 5,158,393 fans. Wow.. There is something new posted on the group every day. It can be information about a new product, event, sales promotion, deal or a "Happy Holiday" message. No matter what it is posted, there are around few hundred comments every day, and few thousand "likes" every day...Isn't that crazy?

Yes, Starbucks is a worldwide company that gained the hearts and pockets of their customers. It is amazing to witness all of this process, to watch how big companies are expending and surviving even during a recession.

The way Starbucks does business made me choose this company for my marketing assignment, not necessarily their product. The way they keep selling coffee at a high price, even though MC Donald's is screaming that they offer espresso for half price.

Starbucks listens to its customers. The consumers have the opportunity to speak up, to share their opinions, complains or satisfaction. I think this is an important factor in Starbucks success.

Strabucks in Supermarkets(Marketing Channels and Supply Chain Management)

In September 1998, Starbucks company and Kraft Foods announced that they were making a long-term licencing agreement to allow growth of Starbucks in grocery channel across U.S.

In the same year Starbucks brought to groceries several coffees : House Blend, Decaf House Blend, Colombia Espresso Roast and French Roast. "We've employed state-of-the-art technology to guarantee that our uncompromising quality standards are maintained in this new effort", said Mary Williams, Starbucks senior vice president during that period.

In April 1998, Starbucks started to offer whole bean and ground coffee in supermarkets. Six selections of roasted coffee became available in supermarkets in 12-ounces Flavor Lock bags.

"Thanks to Kraft, we are now in a position to provide Starbucks coffee through grocery stores much quicker than we would have been able to do it ourselves" said the CEO, Howard Schultz. this agreement was a step farther for Starbucks expansion national wide and worldwide.

Nowadays, Starbucks has around 16,000 retailers in over 50 countries. The company's expansion is a proof of a intelligent way of doing business and a willingness of taking risks. Starbucks is an example of a company that is ready to face the competition and to bring innovation and great experience to its customers.

Starbuck's Channel Alliances (Marketing Channels and Supply Chain Management) )

Starbucks, Pepsi and Unilever partner grow the Tazo Tea Ready - to - Drink business.


Starbucks Coffee Company, PepsiCo , Inc and Unilever made a licensing agreement for the manufacturing and marketing Starbucks super- premium Tazo ready to drink(RTD) beverages- including iced tea, juiced tea and herbal infusion- in the U.S and Canada. Tazo's RTD line is integrated to Pepsi/Lipton Tea partnership.

Tazo created more tha a hundred beverages. All of them are done at Tazo headquarters in Portland, Ore. to ensure quality and flavor consistency. Kraft Foods, which distributed Tazo RTD line as part of its 10-year relationship with Starbucks, will continue the distribution of Tazo filter bag teas and tea-latte concentrate, as well as Starbucks and Seattle's Best Coffee.




Starbucks relationship with PepsiCo was established in 1994, when the companies created the North American Coffee Partnership , a joint venture that helped built the RTD, Starbucks Frappuccino, DoubleShot Espresso, Doubleshot Energy+Coffee and other beverages. The beverages were an immediate success. Today PepsiCo is still the sole distributor for Starbucks RTD beverages, and Starbucks has continued access to the thousands of outlets where Pepsi is sold.


Usually producers don't use only one channel to distribute their products. They create strategic channel alliances in order to be able to use another manufacturer's channel. Strategic channels are used specially by growing companies that are developed worldwide. Starbucks is an example of a company that focuses on strategic channel alliances.