1. Summary Overview Starbucks Key Attributes Competition Assessment
Unique Competitive Advantage
Current Positioning Statement
New Positioning Statement
References
Starbucks has many factors to why it is highly competitive in the coffee beverage industry. The following presentation will indicate an analysis of Starbucks competitive advantage in the marketplace. Team C will identify Starbucks key attributes of its products and services. Furthermore, we will assess the competition such as Dunkin Donuts and McDonald’s as well to as why Starbucks unique competitive advantage. The team will also discuss Starbucks current products and services positioning statement, then create a new rationale positioning statement to better communicate with targeted consumers.

2. Evaluate The Key Attributes
STARBUCKS EVERYWHERE!
Varieties of products and prices
Seasonal and limited editions
Product placement and distribution
The target customers
The brand has many key attributes. There are a solid five that push the brand to the success they have gained over the years.
1. You can find a Starbucks establishment almost anywhere! They have 19,555 stores in over 58 countries (O’Farrell, 2017), this is not counting the stands located in the mall selling the products, which is an example of geographic segmentation.
2. Starbucks carries a range of goods from the usual brewed coffee to the luxury beverage drinks and a range of prices. When different prices can appeal to the various groups of people, this is an example of the price segmentation variable.
3. Seasons and special edition items have become a favorite amongst Starbucks customers. Every year you can expect to find special edition flavors, seasonal items, and flavors. When a company or organization offers for a limited time only, this is an example of the time segmentation variable and Starbucks seems to make great use of this year after year.
4. You can find Starbucks brand of products virtually anywhere outside of the official Starbucks establishments. They are available for purchase in grocery stores, departments stores, online and even in gas stations. Product availability is an example of the distribution segmentation variable and helps the company generate revenue and increase brand awareness globally.
5. Demographic segmentation variable can arguably be the most typical of the variables. The brand has target markets that are broken down by gender, age, and income. The age group includes 25 to 40-year-old men and women that are urbanites with a high income make up 49 percent of the Starbucks customers (O’Farrell, 2017). Another large chunk of the consumers is also “millennial,” the 18 to 24-year-old college students that look at Starbucks as a place to study and meet people due to the atmosphere that has been created by the company.

3. Assess The Competition
Dunkin’ Donuts
Donuts or coffee
They advertise more
Who they represent
When you think of competition for the Starbucks brand, Dunkin’ Donuts is the one brand that may come to mind.
The Dunkin’ Donuts brand is more known for their donut products than they are for coffee, they have been making strides to change this perception of the company.
They have commercials and radio ads to let people know that “America Runs on Dunkin’." Starbucks does not advertise in the traditional sense; they rely on positive word of mouth advertising mostly which adds to the “wealthy” and “upscale” feel to the Starbucks brand that Dunkin’ Donuts has yet to obtain (Hawley, 2015)
Dunkin’ Donuts is the brand for the all-American consumer (Hawley, 2015). The brand image can be something that majority of the public can agree, but can also hurt the brand as people may not consider themselves to “average” and can push them to the brand that may represent the above average, which is Starbucks.

4. Assess The Competition
McDonald’s has become the competition
They made more money than Starbucks
What are they known for?
Introducing McCafe
How they advertise
McDonald's has become one of the companies that have become competition for the Starbucks brand.
The revenue for McDonald’s company is higher than Starbucks in the year of 2015 (Hawley, 2015). The result is because McDonald's have a larger menu than the Starbucks brand and many of them are open 24 hours.
They are more known for fast food like burgers and chicken nuggets than they are known for their coffee products.
McCafe was introduced in the mid-2000’s (Hawley, 2015) when they began to offer coffee, iced coffee and flavored coffees from their menu.
Like Dunkin’ Donuts, McDonald's uses more advertising than Starbucks which can take away from the exclusivity and niche target that is provided by the Starbucks brand.

5. The Unique Competitive Advantage
Starbucks history and brand origin for premium coffee
Strong Customer Service Experience
Porter’s generic competitive strategy and product differentiation
Employee satisfaction
Starbucks is the largest premium coffee company that was being founded by 1971 by three aspiring entrepreneurs. Since April 2010, the company has been producing anonymous reporting showing significant progress in returning to profitability and growth. The following are the reasons why the Starbucks has been able to maintain a competitive advantage over few decade.
The primary objective of the company is to provide their customer with substantial experience to build a long term relationship. A part of proving its experience, Starbucks ensures their clientele feel at home by offering a secure emotional attachment. Starbucks also invest on employees training program to achieve its mission to give excellent customer service.
Also, Starbucks uses Porter’s generic competitive strategy that leads to achieving the product’s cost leadership, differentiation, and focus. Product differentiation has been the main core of Starbuck Company so that it can regain a sustained competitive advantage. Product differentiation is offered to providing customers with quality coffee served by having well-designed warehouses and qualified staffs. By doing so, the company offers a décor welcoming with friendlier baristas in comparison to other independent coffee stores. This differentiation strategy makes Starbucks the sole coffee drinking provider, thus, making to sustain the competitive advantage (Blessler, 2012).
Furthermore, employee satisfaction enables the company to maintain a fun and motivational workplace as Starbucks values the employee’s benefits and incentives. Starbucks provides such stock option plan, healthcare, and stock purchase plans have been implemented to give employee satisfaction which also leads to a happy customer. (Blessler, 2012).

6. Current Positioning Statement
Starbucks is to be more than a comfortable coffee house. The company does not limit itself to simply premium brewed coffee, but also embraces other offered products of coffee, food, cold beverage and retail accessories. The customers are associated with top quality products and services accompanied by relaxing and inviting atmosphere.
Starbuck is to be more than a comfortable coffee house. The company does not limit itself to simply coffee, but also embraces other product of coffee such as food, cold beverage, tea, and retail accessories. The customer associated with top quality products and services accompanied by relaxing and inviting atmosphere. Also, Starbucks is a place where people go to take a break from life and unwind even if it is for the moment. Therefore, Starbucks state of positioning are some of the needs and wants of a person’s lifestyle (Seaford, 2012).

7. A New Positioning Statement
Starbucks pride to provide coffee beverages and snacks to customers of all ages delivering high end products and convenient services. We are committed to remaining the world’s leader in quality, consumer driven service, and an inviting atmosphere.
Starbucks is a successful coffeehouse that operates internationally. It's consumers' age range is broad and encompasses much of the public. Although known for its quality coffee and service, the company also serves a variety of other beverages, snack, and breakfast items all day. The coffee beans, tea leaves, and food ingredients are considered high end due to their exceptional grade. Furthermore, the company carries quality over to their customer service activities. They offer a 100% guarantee on their products. So if for some reason a client is unsatisfied with a product the baristas will make another with pleasure. Baristas are always busy creating tailor made concoctions with efficiency. They move long lines in a matter of minutes which further proves they are committed to excellent service. Even though the atmosphere behind the counter is fast paced, the overall environment is a relaxing one with free Wi-Fi and comfy places to lounge. Clients quickly feel at home, making it a desirable destination to meet with friends or relax while on the go.
The new positioning statement considers all elements in which Starbucks prides itself on and their target market has come to love. The brand’s position and expansion included drinks for younger generations, non-coffee drinkers, and tapping into consumers shopping for beverages while hungry to further promote the coffeehouse into a new revenue possibility while consistently serving the old. The repositioning statement does not reinvent the brand but propels by addressing the additional needs of the target market.

8. Conclusion Target Market Unique Value Reputation
To stay successful businesses should reevaluate their position in the marketplace and the value that their brand holds. Consumer needs change with time. If a company wants to remain profitable over an extended period repositioning is necessary. ” When attempting to reposition a product, the marketing team considers whether the new position continues to match existing market segments” Clow & Baack (2014, p. 104). Starbucks has evolved from a simple coffeehouse in Seattle to an international company known throughout the world. Loyal consumers know the brand and seek it out when abroad or close to home for a quick morning start or afternoon pick-me-up. Often in tow with these consumers are younger generations and non-coffee drinkers. When creating a new position statement, the brand must consider the current target market, the unique value offered, and why consumers should believe in the brand will form a well written and strategic approach to increasing effective marketing efforts.

9. References
Bressler, M. S. (2012). How small businesses master the art of competition through superior competitive
advantage. Journal of Management and Marketing Research, 11, 1.
Clow, K. E., & Baack, D. (2014). Integrated advertising, promotion, and marketing communications (7th ed.). Upper Saddle
River, NJ: Pearson Education. 
Hawley, J. (2015, October 13). Who Are Starbucks’ Main Competitors? (SBUX). Retrieved from
O' Farrell, R. (2017, Month Day). Who Is Starbucks' Target Audience?. Retrieved from
Seaford, B. C., Culp, R. C., & Brooks, B. W. (2012). Starbucks: Maintaining a clear position. Journal of the International
Academy for Case Studies, 18(3), 39.