In the 1998 romantic-comedy ‘You’ve Got Mail’, Joe Fox, the character played by Tom Hanks says,
“The whole purpose of places like Starbucks is for people with no decision-making ability whatsoever to make six decisions just to buy one cup of coffee. Short, tall, light, dark, decaf, low-fat, non-fat, etc. So people who don’t know what the hell they’re doing or who on earth they are can, for only $2.95, get not just a cup of coffee but an absolutely defining sense of self: Tall. Decaf. Cappuccino.”
This sums up the Starbucks story of product differentiation perfectly. From a store in Seattle in 1971 to over 21,160 stores in 63 countries and territories, Starbucks has revamped the coffee drinking culture. While Starbucks offers innumerable options ranging from Blonde Roast to Hazelnut Macchiato to Salted Caramel Mocha, it also offers the unique proposition of altering drinks according to the wishes of customers, no matter how detailed they are. Right from serving an espresso within 23 seconds of brewing to offering options of skim milk and both natural and artificial sweeteners, Starbucks adheres to stringent guidelines and provides high quality products. By terming their employees, ‘partners’ offering them shares in the company and providing even part-time workers with insurance benefits, they have managed to keep their workers happy and passionate. The coffeehouse style experience that Starbucks offers is one that customers enjoy and competitors try to emulate. Their coffeehouses are designed using modern, unique and sustainable materials, which invite customers to read, relax and simply chat with friends or even prospective clients! Providing a premium, unique coffee drinking experience that is consistent all over the world, Starbucks has rightly earned its position as the largest coffeehouse company in the world. This shows how important it is for brands to invest in and seriously work on differentiating themselves. In a world where competitive prices and identical products play havoc with customers’ emotions, what makes your product unique? What simple idea what drive you out of the horde and into the heat of attention? If you are yet to decide, a cup of Starbucks coffee might help. read more

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