Showing posts with label Starbucks. Show all posts
Showing posts with label Starbucks. Show all posts

25 June 2010

Get more relevant.



The focus again today is on brand strategy, not advertising.





Specifically, lattes, wine and wi-fi.





Most of you following know Starbucks is one of my favorite brands. Inconsistent baristas and a recently misguided Via campaign (imo), but still a great brand. And a brand truly committed to understanding consumers and giving them more of what fits within their lives.





The latest announcement comes a little late, but makes up for it's timing with some extra buzz.





First the late part. Starbucks should have had free wi-fi ages ago. It should not take Panera and McDonald's applying competitive pressure for a brand in an obvious leadership position to get on this bus, but better late than never.





Now, the extra buzz part. The addition of wine is very smart.





Starbucks' early success has a lot to do with being the anti thesis of most other restaurant concepts. Rather than the 'get 'em in, get 'em out' philosophy most operators believe is mandatory to keep the registers ringing, Starbucks has always encouraged customers to linger. And sometimes without even making a purchase.





It set its sights on being a gathering place, with a great product that you'll naturally buy. But more importantly, a place that quickly becomes a habit, worth the premium and a badge. Whether it's a place for socializing, a place for getting work done, a place for a business meeting or something else, it is a destination. People feel comfortable hanging out.





Now that they've set this stage, it's time to leverage to start doing more. More of what's relevant for their consumers.

Wine makes natural sense, as does wi-fi. And I heard about some cool exclusive, branded Internet content stuff that's coming down the pike too - all of which will be accessible to those hanging out at Starbucks.

A year or so ago, there was a lot of speculation about Starbucks going down. It didn't happen then and it won't happen now, because they have a loyal following and make smart business decisions like this that keep them relevant. Simple and ON STRATEGY.

07 May 2010

Underleveraging...or, if you've got a USP, exploit it!

Yesterday I blogged about overleveraging; today, the opposite.


This one hurts.

I've been a devout Starbucks loyalist for years. I'll be first to admit there's huge inconsistency from one store to the next, but for a brand with that sort of bandwidth to change the dynamics of coffee shop culture on the scale it has, well...bravo.

For years Starbucks got by with no advertising. Just grassroots, word of mouth, 360 experiential branding, 'build it and they will come' mentality. Their relative success is an early testament to the power of a brand gone right and an indication of how this stuff we now call "social marketing" can be really powerful.

Like most in the category, Starbucks happened upon some dull luck last year. Sales took a dive. McD's entered the coffee wars. Dunkin' tried to convince common folk it was capable of making real lattes (zzz...), but Starbucks stuck tirelessly to its innovative guns, introducing healthy new food and rolling out Via instant coffee.

If my experience was any indication, they did a bang up job with sampling. Weeks passed in 2009 when I couldn't walk into a Starbucks WITHOUT being handed a free 3 pack of Via and invited to take the Via taste test challenge.

They posted fill-in-the-blank notes on the wall, noting where employees and staff found Via coming in handy (on a plane, in a long meeting, when I'm stuck in the office and can't get out, when I'm in Ft. Wayne Indiana without a Starbucks in sight..) Smart stuff, all of it.

I can't say I'm a huge fan of the product, but it's certainly better than any other instant coffee I've ever had. And there is a good reason WHY. And that's what matters. And that's what their advertising should be telling me that it's not.

Because, IF I am stuck in Ft. Wayne or on a plane or in a really long meeting, then I want to know there's a close approximation of the real thing (Starbuck's brewed coffee, that is). Something I can buy in advance, keep tucked away and whip up when low caffination strikes.

This commercial tells me nothing, except that Starbucks has instant coffee, it's better than old office coffee and a bunch of people from all different walks of life are trying it and liking it. If a whole bunch of people jumped off a bridge, I'm not jumping. You?

I need to be told HOW this instant coffee is different and WHY it's BETTER than other instant coffee. Tell me or show me the fresh ground beans used to make Via vs. the chemical additives and low quality beans used to make other instant coffee.

While I think there's some good stuff going on with this spot (well-paced, cohesive storyline, for one), it's a classic example of selling the category, and I'm not sure it's doing a great job at that by establishing Via as a better alternative to one thing, "old office coffee."

What I'm saying is don't just engage me; take the USP and exploit the hell out of it in an engaging way.

So, I'm calling this one OFF STRATEGY, but I'm pulling for you anyhow Starbucks.