Case Study on Management Principles: The Secret of Starbucks’ Success.

1. Have a company mission

Starbucks has a simple mission: to inspire and nurture the human spirit—every person, every cup, every community, every time.

The company has adhered to this mission statement for more than four decades because Starbucks is more than just a coffee shop. It has become a favorite place for people who need a break from the daily grind of their daily lives. A good place to go. It has become the first choice place for friends to gather and business people to hold meetings.

Regardless of the age, occupation, or location of the Starbucks coffee shop, Starbucks hopes to provide people with a unique experience: that is, the Starbucks coffee shop is a place to relax, work and socialize place.

2. Ask your customers questions

If you’ve ever been to a Starbucks you don’t go to often, you may have noticed that employees sometimes ask you what you want. . When it comes to customer service, this is a simple yet effective technique, and one that marketers should take advantage of.

When you know what your customers want, you can help them make their final marketing decisions.

3. Know your customers and employees

Speaking of knowing your customers, if you frequent Starbucks, then you must know that your favorite barista knows you name and what drink you would like to order. This small personal touch will make a lasting impression because providing your customers with this memorable and personal experience is one of the most important things that can make your customers happy.

Also, get to know your employees. You never know what they might bring to a table. For example, the classic Frappuccino (Signature Frappucino) was invented by a front-line Starbucks employee named Dina Campion.

4. Be innovative

Starbucks tries to stay true to its heritage, but the company is also very innovative. For example, Starbucks began offering free Wi-Fi in 2010, recognizing that customers wanted to spend more time at their locations. Recognizing that customers want them to enjoy their products at home, Starbucks launched the Via instant no-brew coffee brand and its own Verismo single-serve coffee maker. The company even allows customers to purchase their products through iPhone software and was one of the first companies to enter the mobile services market.

So remember – while it’s important to stay true to your heritage, it’s also important to adapt and welcome change.

5. Have the courage to take responsibility

Have you ever made a mistake in ordering a drink at Starbucks? If so, what was the situation like at that time? Without a doubt, You are sure to receive the drink you want. Starbucks trains its employees to provide their customers with the best experience every time. This means they are responsible for any mistakes.

We all make mistakes. However, the root of the gap lies in honestly acknowledging these mistakes and resolving them in a professional and timely manner.

6. Have the courage to go against the grain

You may notice that there is a Starbucks on almost every corner. Starbucks does this intentionally through clustering. Instead of just focusing on traffic patterns, competitive locations, or even customer segments, Starbucks focuses more on covering the entire region. While some feared this would lead to cannibalization, this unconventional move allowed the company to capture market share by blocking competition.

Sometimes you have to go against the grain and do something that no other company has done. This may be a bit risky, but it may also bring benefits to your company.

7. Embrace social media

Most of us know that social media plays a big role in a company’s promotion and marketing process, but, how can you Perfecting your social media presence? Starbucks uses photo-sharing site Instagram to tell its brand story. Companies use this image-based social network not only to showcase products, but also to gain information on people's enthusiasm for their brands by sharing pictures of customers or creating attractive images.

Having a sound social media presence is very important, but the most important thing is to find the right platform for your brand and be sure to make it accessible to your customers.

8. Everything is important

Don’t ignore the small things. Pay attention to every detail. Why? Because everything is important.

When accountants told the company that it could save money by replacing two layers of toilet paper with one, the idea was rejected. Starbucks felt that one-ply toilet paper didn't fit its brand image as an "affordable luxury" and had a hard time justifying a $4 cup of coffee.

9. Choose the right partners

Over the years, Starbucks has chosen a number of partners to help it expand its business. For example, in 1993, Starbucks Corporation partnered with the Barnes & Noble bookstore chain to offer Starbucks products in its bookstores nationwide. What's better than a book with a cup of coffee?

Starbucks' most recent partnership is with Apple. Since 2006, Starbucks and Apple have worked together to provide customers with a "café experience." This partnership enables people to purchase songs they hear at Starbucks on iTunes.

The company also partners with a number of organizations that help serve and promote the community. These include everything from the American Red Cross to Save the Children USA’s global green organization. Whether you partner with a business with complementary strengths or a nonprofit, doing so is a great way to quickly and effectively introduce your brand to the market.

10. The brand image must be consistent

A consistent brand image is the best way to create loyal customers. If you provide top-notch customer service and a quality product or service, people will always expect those services and products from your company. Starbucks has done a very good job, providing customers with stable product quality and excellent service. If you walk into a Starbucks in New York City and order a mocha latte, you can order the exact same drink in Seattle and expect the same quality product.

11. Adapt to the regional environment

Although it is important to have consistent products with a consistent brand image, Starbucks still does a lot of work to adapt to the local environment. This means that while you can expect the same latte from coast to coast, the actual Starbucks experience varies from region to region. For example, a Starbucks in Disney California Adventure looks completely different than a Starbucks in San Francisco or Philadelphia. As Mark Tewart points out, Starbucks gives the impression of being more of a local or regional brand than a national brand—which is perfectly consistent with the mission of the Starbucks brand.

12. Have the right leaders

It’s hard to believe now, but back in 2007, Starbucks was in trouble. At that time, chairman Howard Schultz pointed out that the company had lost its direction. "The pursuit of profit has become the reason for our existence, but it is not the reason for running Starbucks. What we have to do is: exceed customer expectations."

So, what did Howard Schultz do? He brought 10,000 managers to New Orleans for a four-day conference to motivate and challenge them. The result? These 10,000 people left the meeting with a "tidal wave of energy." As of 2013, Starbucks achieved record profits. In every successful business, having the right leader to turn things around is another proven strategy.