410 G24 ES Strategic Marketing

FINAL EXAM

Name student: ROHIT SRAN

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Content
Instructions

Case Study: Starbucks

Theoretical Questions

Strategic Media Planning (Excel)

Instructions
Writing in your own words

When asked to answer questions in your own words, write the answer yourself. This is asked to prove
your understanding. Copied texts, or slightly reworded texts will not be evaluated and result in zero
points for the respective question; since your personal, individual, knowledge could not be evaluated.

In-text citation

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name, or full document name in (italic parentheses). Include the page number/name, and paragraph
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question, or even failure of the entire exam.

Use of MS Word

Apply your Microsoft Word skills to maintain the integrity and style of this document. Add your own
answers as instructed, while maintaining formatting, organization, and clarity.

Grammar and vocabulary

Write clear, cohesive, and coherent texts that are grammatically correct, and display your development
of professional communication.

Cheating & Plagiarism

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retake the exam.

Allowing other students insight into your work, or to copy from you will result in a zero with no right to
retake the exam.

Unethical, unprofessional use of resources, without proper citations and use of references will result in
zero points for the specific question(s), and may result in a zero for the entire exam, possibly with no
right to retake the exam.

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TIME

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Case Study: Starbucks
Resource file: G24 EXAM - Case Study Starbucks.doc

Question 1 (2pts)
According to your understanding of the marketing plan “G24 EXAM - Case Study Starbucks.doc” and
additional online research, what according to you is the commercial image of Starbucks.

Clearly include your sources in your answer.

Answer to Question 1
The commercial image of Starbucks is that it is highly famous all around the world and when we say
starbucks it is highly reminded for its coffee. The image of the brand is so much reputed that none other
organization can think of changing it as it is next to impossible.

Question 2 (5pts)
1. What is/are the identified target group(s) of Starbuck, according to G24 EXAM - Case Study
Starbucks.doc? Write the answer in your own words and add an in-text citation from “G24
EXAM - Case Study Starbucks.doc” that illustrates the accuracy of your answer.
2. Create and write two different target personas for Starbucks (300 – 450 words per persona).
Make sure to include their demographics, needs, purchasing/decision making behavior, their
relationship with the brand, product, and organization

Answer to Question 2
The target audience of the Starbucks is the middle-aged men and women who have apparently higher
purchasing power. “According to their research report in 2017, Starbucks’ target audience is middle-
aged men and women who have apparently higher purchasing power.”

Question 3 (5pts)
1. According to your understanding of the marketing plan “G24 EXAM - Case Study Starbucks.doc”
why is Starbucks’ product superior to products of other brands like it?
2. What benefits does Starbuck offer that other companies with the same or a similar product do
not?

Write the answer in your own words and add a cited quotation from “G24 EXAM - Case Study
Starbucks.doc” that illustrates the accuracy of your answer.

Answer to Question 3
 1. The major reason why Starbucks is superior to the products of the other brand is the company
highly focus on providing the customer best experience rather than just giving the products.

“According to Starbucks, they focus ruthlessly on delivering a remarkable and consistent customer-
centric approach, offering unforgettable experience every time customers walk into their stores. By
focusing on the “third place” theory, they give their customers a place to interact freely, assuring the
most premium customer experience that justifies the drink price.

Customers report an affinity for ordering a good coffee cup and sitting in the shop with their laptops.
That’s what defines Starbucks’ Stay as long as you want marketing strategy.

The beauty of all Starbucks’ marketing strategy and branding is “consistency” – both with their vision
and their target audience. As a universally recognized brand, Starbucks has definitely defined how it
wants to be viewed by its customers globally. Their consistent vision spans across every message they
send, every piece of branded collateral they create, and every aspect of their in-store design and
experience.”

2. The company provides the premium quality of the coffee with the ambiance which justify the
price of the coffee which similar products are not able to provide and it is the reason behind the
its success and uniqueness.

“Starbucks’ product provides high-quality coffee and ambiance to justify its pricing to their target
audience. As the customers pay for premium coffees, they need to create the “differentiation,”
assuring that it tastes better than any other brands like Macdonald’s, barista, etc. Essentially,
Starbucks is taking a prestige approach to their overall product marketing strategy offering the best
in the industry products. They promise to craft high-quality premium cups with perfection every
time to ensure that the customers never turn away or move to some other competitor. This is a
time-tested marketing strategy that will strengthen brand positioning and affinity over the long-
term.

Question 4 (3pts)
1. According to the marketing plan “G24 EXAM - Case Study Starbucks.doc” Starbucks’ product is
priced 25% higher than other brands, which caused a slow start in sales in 1990 – 2000. Yet
Starbucks price-decision was deliberate and eventually successful, as it created an effect.

What effect are we talking off? Explain, in your own words, how this strategy worked, and still
does to date, for Starbucks.

Write the answer in your own words and add a cited quotation from “G24 EXAM - Case Study
Starbucks.doc” that illustrates the accuracy of your answer.

Answer to Question 4
The major reason behind the success and boom in the sales market of the starbucks is that people
understood the quality and loved to be treated specially. Moreover, the standard and the luxury which
starbucks continued to provide to its customer helped it to become successful.Apart from that, the
location and the ambiance which the starbucks provided was worth it according to the price. As well as
the premium quality of coffee with no restriction of sitting was also a strategy to attract more customers
as they can sit and work on the laptop as long as they want without any shame and hesitation.

“But by 2000, the sales increased exponentially by around 40%, and this was majorly due to “The
Starbucks Effect,” as confirmed by the Harvard Business Review.  This essentially was a study tying the
location of Starbucks stores to higher home values. Prestige pricing not only helps them uphold their
promise of quality, but also caters directly to their ideal customer’s lifestyle choices. By offering
customers exceptional drinks, snacks and other beverages, Starbucks has changed the entire game.
How? Simply because people were willing to pay for it.”

Question 5 (5pts)
1. In “G24 EXAM - Case Study Starbucks.doc” mentioned is “The Starbucks vibe” and “the third
place”. This with regards to their brand, and every piece of published content. Describe “The
Starbucks vibe”. Describe “the third place”. What is meant by these two concepts; what makes
these two concepts a part of their marketing strategy?
2. Find four different photographic advertisements or social media posts that illustrate “The
Starbucks vibe” and paste them in the table below, along with your elaboration where you point
out what “The Starbucks vibe” is in each image.

Resize your images, so they fit nicely in the table, without distortion. Maintain professional looking end
results.

Answer to Question 5

Replace with Starbucks pic. 1 Replace with Starbucks pic. 2

In this picture the idea is to tell the customers In this picture the company is influencing the
that even pumpkin could taste as luxurious and customers to try new peppermint mocha on this
as tasty as a starbucks coffee. And it has a range Christmas while wishing the customers merry
of new pumpkin grinded starbucks chai. Christmas.
Replace with Starbucks pic. 3 Replace with Starbucks pic. 4
In this picture the starbucks has been showing Explain “The Starbucks vibe” of pic 4.
themselves giving back to the society by helping
people to study with full scholarship.

Question 6 (5pts)
 1. As you have read in “G24 EXAM - Case Study Starbucks.doc”; as part of their marketing strategy,
Starbucks launched the “Race Together Campaign” in 2014. Although their intentions were
good, the campaign flopped, hit a backlash on social media and was terminated within six days.

In your own words, explain what the intention was behind the “Race Together Campaign”. Also,
explain what went wrong.
2. In your opinion, could we say there was “noise” in the intended message? If so, what was the
noise? When, where and/or how did the message backfire and turn so negative?
3. In your opinion what should have been done to prevent this strategy to fail so disastrously?

Write the answer in your own words. If you wish to use parts of text you found via online research, then
make sure to properly use in-text citations.

Answer to Question 6
1. The intention behind the “Race Together Campaign” was to get justice. However the reason
behind it went wrong was that the people had a talk on it but were not much happy and were
not ready to involve themselves.
2. The noise was that it become difficult for the company to stand for the racial protests. The
company jumped on board anyway and decided to hold the forum. However, the people
did not like the idea and the company was not able to meet up with the circumstances.
3. As per my opinion, the company must have firstly analysed each and every prospects which
could occur. Moreover, there was a need to think effectively rather than quick action and while
the campaign was started the idea behind the campaign must have been put in front of the
people very clearly for better understanding.

Question 7 (5pts)
1. As you have read in “G24 EXAM - Case Study Starbucks.doc”; a large part of their marketing
strategy is based on ethical business practices. (ref: C.A.F.E.). In your own words, without citing
any sources; what ethical strategies does Starbucks implement to drive a responsible approach
forward and become a positive resource?
2. Research online another company that still in 2022 is extremely successful basing their
marketing strategy on ethical business practices. Briefly describe the organization and their
product or service, and the ethical marketing campaign(s) that brought them success. Describe
their successful results as well.

Answer to Question 7
1. The ethical strategies which Starbucks implement to drive a responsible approach forward and
become a positive resource are that they take their customers very seriously. Moreover, the
Starbucks have been providing the premium quality of coffee with the trust of their customers.
 Apart from that, valuing the consumer preference and taste as per the area is also the most
ethical strategy which makes it successful.
2. The other organization which is extremely successful basing their marketing strategy on ethical
business practices is Uncle Jack’s it is one of the leading organization providing its customers
the best experience’s with the premium quality of food such as pizza fries with different
flavours.
Theoretical Questions
Question 8 (2pts)
When budgeting for marketing expenses we separate the expenses in two different categories. Each
category has a list of various expenses.

Create two lists of expenses, with a header that indicates the category of expenses at the top of the list.

Answer to question 8

GENERAL MARKETING EXPENSES MARKETING COMMUNICATIONS

EXPENSES
 Advertising agencies commission  Public relationships
 Office space  Printing
 Travel costs  Mailing
 Fixtures and fitting  Radio advertising
 Salaries for marketing managers  Direct marketing
 Salaries for marketing supports  Networking
 Sales promotion

Question 9 (5pts)
1. Which three modules of communication have we identified and studied to determine mass
communication objectives?
2. If you simply want to announce a product lunch will happen next month, which communication
module do you find most appropriate. Why? In your reason to “why” include characteristics and
an example of your chosen communication module.
3. If you want to learn from users why they liked and/or disliked the new product after having used
it for a month, and what suggestions they might have to improve the product, which
communication module do you find most appropriate. Why? In your reason to “why” include
characteristics and an example of your chosen communication module.

Answer to question 9
1. The three models of communication which we have identified and studied to determine mass
communication objectives are Linear Communication Model, Interactive Communication Model
and Transactional Communication Model.
2. The most appropriate communication model which I would use to announce the product launch
which will take place next month would be the Linear Communication Model. The linear
communication model is used for just sending the message it is a straight-line communication
wherein no feedback is received back. The example of the chosen model is the advertisement of
makeup products on television, radio, newspaper.
 3. If you want to learn from users why they liked and/or disliked the new product after having used
it for a month, and what suggestions they might have to improve the product, the best
communication model would be the interactive communication model. The reason behind this is
that the interactive communication model provides immediate feedback as well this it could be
conducted through the exchange of text messages, email, and telephone calls. The best example
for this is the networking organization which gain information about the networks by calling the
customers.

Question 10 (3pts)
1. Name 10 (ten) examples of relevant objectives in relation with the marketing plan to which we
can apply the SMART method.

Answer to question 10
The ten examples of relevant objectives in relation with the marketing plan to which we can apply the
SMART method are as follow:

1. Increase brand awareness

2. Generate leads
3. Enter a new market
4. Increase website traffic
5. Increase customer loyalty
6. Build authority in the industry
7. Increase sales or revenue
8. Improve your return of investment
9. Successful launch a new product or services
10. Realize a larger market share

Question 11 (3pts)
In your own words, what is a media plan and which factors do we need to consider when establishing
one?

Answer to question 11
A media plan is the process in which the marketers determine how, when and where the audience
would be provided the message by the specific advertisement. The factors which the marketer needs to
consider while establishing a media plan are as follow:

 Who does the advertisement needs to reach?

 What is the marketing budget?
 What are the conversation goals?
 What is the frequency of the messages?
  What is the reach of the message?
 How to define the success?

Question 12 (5pts)
When coordinating channel mixes, we need to consider our target audience.

1. Typically speaking, which channels would you use to reach a target audience of teenagers that
are into gaming? What facts do you base this decision on?
2. Typically speaking, which channels would you use to reach a target audience of senior citizens
with larger spending habits? What facts do you base this decision on?
3. Typically speaking, which channels would you use to reach a target audience of young parents
that are looking for deals? What facts do you base this decision on?

Write the answer in your own words. If you wish, or need, to use parts of text you found via online
research, then make sure to properly use in-text citations.

Answer to question 12
1. The channel which would be used for the target audience of the teenagers that are into the
gaming would be the platforms such as the TikTok, snapchats, Instagram. The fact from which
this decision is on is that these are highly used by the teenagers and the youngsters.
2. The channels which I would be using to reach a target audience of senior citizens with larger
spending habits would be the television and newspaper as the senior citizens do not use much
smart phones which is the fact this decision is based on. Therefore, this is the only best platform
to reach them.
3. The channels which I would be using to reach a target audience of young parents that are
looking for deals would be the advertisement banners and posters or templates because of the
fact that the young parents don not have much time to spend on mobile phones.

Question 13 (2pts)
1. What are challenges of media planning. You should be able to list at least 4 (four) in your own
words.

Answer to question 13
The four major challenges of media planning are as follow:

1. CONSUMER LEVEL TARGETING

It is important for the media plan to understand the consumer and decide what message is
resonating with them.

2. PLATFORM PREFERENCE
 It is important for the brand to be aware about the platforms and channel where the target
audience is engaged.

3. HEAVY BUDGET FOCUS

The media planning is more about the budget in comparison to the customer engagement.
Therefore, the need to manage the budget is there and the modern media planning requires
more budget to be successful.

4. INTEGRATING MEASUREMENTS
As there are so many channels it has became harder for the marketers to figure out the success
of the campaigns

Question 14 (2pts)
1. The promotional mix is a combination of marketing methods to achieve a specific marketing
goal. Three media are typically used to promote the brand or offering. Which three are we
speaking of, include examples?
2. Of those three which one is the most desirable, yet often the hardest to obtain?

Answer to question 14
1. The three media which are typically used to promote the brand or offerings are as follow:
 OWNED MEDIA: It is the media which refers to using business-owned channels to
promote the brand offering. For examples, the organization using its own website, and
media platforms to target the audience.

 PAID MEDIA: It is the media which includes the paid channels. For example, the
advertising of toothpaste.

 EARNED MEDIA: It is the promotion third parties which do the advertisement without
getting paid. For example, the news channels, or the customer telling and referring the
product to the others.

2. As per my view, earned media is the hardest to obtain as it can not be obtained by just paying a
specific amount.

Question 15 (3pts)
1. Assume you must use each of the five elements of the promotional mix to promote the launch
of a new Apple iPhone with biometric features. Summarize in one or two sentences per
element what you would do.

Answer to question 15
ADVERTISING – It would be advertising about the apple iphone with biometric feature on television,
newspaper, and online.

SALES PROMOTION – In this I would start a contest about the questions related to the history of apple
from the public and who would answer maximum would receive a free iphone.

PERSONLA SELLING – The employees of the iphone store would be guided to share the best product
knowledge to influence the customer decision.

PUBLIC RELATIONS – In this, the company would be doing the conferences about the launch and
features of the iphone.

DIRECT MARKETING – In this, the company is going to target the customers with the personal approach
through the e-mail, telephone calls.
Strategic Media Planning
A new business is opening in town this summer. Café Bike ‘n Bites, and it is ALL YOURS!

In August 2022 you will open the doors to your Café Bike ‘n Bites: a cafeteria, shop, and bike rental
business, located alongside a popular bike trail in the Eastern Townships. Visitors can rent a bike, have
their own bike repaired, purchase bikers-necessities like repair-kits, sunglasses, caps, raincoats, or bike-
trail maps. But customers can also take a break from biking to enjoy a lunch, refill their water bottle,
pump-up their tires, or refresh themselves, all while enjoying a beautiful scenery in nature.

Assignment (3pts)
Develop a Strategic Marketing Plan for the month of July that promotes the Grand Opening of Café Bike
‘n Bites in Excel, just like you did for “G24 Asgmt4 Planning”.

Only this time, you decide on all activities.

 There must at least one activity taking place on every day in June, and they must be appropriate
for the product, service and target audience.
 A variety of media channels must be used, and they must be appropriate for the product,
service and target audience.

 Some activities can be split into sub-actions (like “research > design > development/creation >
publish/print), just like we did in “G24 Asgmt4 Planning”.
 Your Excel document must be clear, cohesive, and consistent. It must be functional like a
calendar or planner and be efficiently organized. Imagine that your entire marketing team,
including your supervisors must know exactly what is done, and when; so, everyone can work
together efficiently.

You may look back at “G24 Asgmt4 Planning” for inspirational and helpful ideas, but do not lean blindly
on “G24 Asgmt4 Planning” and consider the feedback you have received as well as further developing
your performance and skills.

You may do online research and look at how other brand in this, or a similar industry, promoted their
grand opening, or how they strategically marketed their new business and perhaps you will find some
interesting activities amongst the various channels, elements and media types, that you can apply to
your media plan.

Although you may use an existing calendar template, do note that many students lost points during
“G24 Asgmt4 Planning” because the template they choose created limited organizational structures and
had other drawbacks. (Some calendar templates are better to use for short activity descriptions, like
“visit dentist”, yet this same calendar template might be too limited for entire marketing activities.”
Consider wisely what template you would use, and how you could use it more efficiently to develop
efficiencies and clarities. (color coding, grouping activities)

Note: you may use some creative liberties: For example: stated was that the doors open in
August. But, fantasise with me here; should you wish to throw a special VIP party in July and
invite a bunch of journalists, that would be ok; if of course it is well though-out and planned.