Essay
BTEC Business Level 3 Unit 28: Branding P1/P2/M1/D1
- Module
- Unit 28 - Branding 60
- Institution
- PEARSON (PEARSON)
Starbucks Coffee Learning Aim A: P1/P2/M1/D1 ACHIEVED
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HOW BRANDING IMPACTS ONBUSINESS
This article will explore the principles of branding for Starbucks as well as explaining how
brands can be an asset to Starbucks. The article also contains an analysis of the advantages
and disadvantages of Starbucks’s brand. Finally, there will be an evaluation about the impact
of branding on Starbucks.
Starbucks is an American multinational chain of coffeehouses and roastery reserves
headquartered in Seattle and Washington. The store was founded in 1971 by Jerry Baldwin,
Zev Siegl and Gordon Bowker. At first, they only sold coffee beans and didn’t offer the coffee
drinks like today. By November 2021, the company had 33,833 stories in 80 countries.
Starbucks was able to provide a different experience than normal coffee shops by creating a
third place between home and work where people can sit and relax while having a drink or
something to eat.
A.P1/Explore the principles of branding for a selected large business
Principles of Branding
Branding gives customers a better understanding about the business. Starbucks use logos
and slogans to represent their business, making it easier for customers to identify the
business by just looking at their logo. The 4 main principles Starbucks use in its branding are
brand identity, brand meaning, brand relationship and branding in their marketing mix.
Brand identity
Brand identity are the visible elements of a brand such as logos, colours and designs that
make customers to identify and distinguish the brand. Starbucks has strived to build its
brand identity by offering consumers a relaxing and enjoyable experience at the coffee shop.
Starbucks’s logo include deep green and white. The green is used as the background colour,
while the white is used for the siren symbol. The colour green represents healing, nature and
protection. Starbucks has chosen these colours because they wanted to represent the
positive way that the brand treats its customers as well as its partners. The selection of these
colours allow the company to be perceived by its consumers.
Brand meaning
These are three important elements for the brand: coffee, people and stores. Making sure to
always have a high-quality process of the coffee beans. To convey the meaning of its brand,
Starbucks recruited and trained its store workers about coffee knowledge and customer
service. In addition the store’s design and the atmosphere also contributed to their brand
meaning creating the “Starbucks experience”.
Brand relationship
This is the relationship that customers think, feel and have with a product or a brand. The
target audience of Starbucks is middle to upper-class men and women. These are the
general public that can afford their higher priced cups of coffee on a regular or daily basis.
, Starbucks has always provided their customers with comfort and peace at their stores,
allowing consumers to stay for hours without complaints by the staff. They also provide
cards that are part of the Starbucks Rewards, these loyalty programs provide incentives for
each purchase, encouraging customers to return. Their customers also feel appreciated
when they win awards. One of their main goals is to satisfy consumers as best they can.
Marketing mix
Promotion is an important element of the marketing mix as it contributes to the brand
recognition and sales. Starbucks uses different channels to market their product and the
business from social media to TV spots. Their branding makes them recognisable by
providing consistent messaging, imagery and branding which allow Starbucks to deliver a
lasting message to their customers. Starbucks is more active on many social media channels
such as Instagram, Twitter, Snapchat, and Facebook. The brand promotes its products on
these platforms with different images and videos that engages with many consumers across
the world. They also use another method of promotions such as YouTube videos, TV
channels, billboards and more.
A.P2/Explain how brands can be an asset to a selected large business
BRANDS AS AN ASSET
A brand represents the face of the business, this makes the business recognisable to the
world. Therefore, a brand is the most valuable asset of a business. Colours, logo, slogan,
packaging, etc include the elements of a brand to distinguish themselves. For instance, the
siren and the colours green and white are recognised as Starbucks. Creating this identity
makes people to think of the brand when they see these physical brand elements. Starbucks
create its brand equity by providing a high customer service by listening to the suggestions
and ideas from consumers. Over the years, Starbucks has invested significantly in creating a
standardised look and feel for its stores, merchandise, food and drinks. As the brand is an
important asset for Starbucks, they will always be aware of it since most of their income
comes from them. Starbucks has a big digital and social media presence, to connect and
engage with customers. All of this helped make the Starbucks Siren logo one of the most
recognisable logos in the world. As Starbucks it is a popular brand across the world many
infringers have used the Starbucks logo illegally on products such as t-shirts, mugs, phone
cases, etc. By approaching to many institutions at the local and provincial levels Starbucks is
supported in an effort to curb the problem of their trademark abuse. This is a necessary
approach as this protects the brand which is Starbucks. The main task of the Starbucks IP
team is to integrate the trademark to all business and brands.
A.M1/Analyse the advantages and disadvantages of branding to a selected large business
ADVANTAGES AND DISADVANTAGES
One of the aims of Starbucks is to implement HR practices that will satisfy the employees so
they could improve their customer relations which will benefit the business. They are also
aiming to expand more stores around the world so that the brand can increase its sales and
recognition. For instance, they are aiming at having 40,000 stores around the world. One of
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