Marketing Research- Starbucks vs. Coffee Beans

Subject  > Businesss Research Papers  > Case Studies

Market segmentation is defined as the process of dividing a market into distinct subsets of consumers with common needs or characteristics and selecting one or more segments to target with a distinct marketing mix (Schiffman, Bednall, Cowley, O'Cass, Watson and Kanuk, 2001). Different companies have different abilities that enable them to serve their target market better, which is why some companies choose to focus much of their attention to specific segments. Starbucks primarily chooses to focus on the demographics, psychographics and lifestyle of their customers. It is with the information gathered regarding these segments that Starbucks can better serve its customers. Demographics are things such as age, sex, marital status, education, occupation and income. Starbucks targets both ...

... and each other. Another similarity with Starbucks is that Coffee Bean is actively involved with helping communities and make it their mission to develop the most complete community based programs around. As well as donating gift baskets, gift certificates, coupons, coffees and teas, Coffee Bean will gladly consider a donation to any organisation for various charitable events that directly benefit local community programs and local schools. Due to the phenomenal growth of the international coffee market, Coffee Bean has decided to solely concentrate on international franchises at the moment. Unlike Starbucks, who have a target mass market being the United States, most of the Coffee Bean outlets are in Asia (Malaysia, Singapore, Brunei, Taiwan etc.)

essay continues for another 100 words