Chapter 10 - Product Concept

A product represents "the heart of an organization's marketing program". Without a product, there would be no price, design, target market, marketing mix; promotion strategy in short there would be no business.

Starbucks products can be defined as convenience products because there are relatively inexpensive and limited shopping effort has to be invested. Among the coffee industry though, Starbucks can be viewed as a specialty product because compared to other coffee brands, Starbucks brand name, image and quality of service are key components in their company outlook. Also, the price range of the coffee makes it come off as high quality or a luxury. The coffee company has a high product mix, beside a major variety of coffee and espresso beverage, Starbucks offers different kinds café foods from their cabinet range Starbucks has been constantly expanding its product lines by developing plenty of new products.

Starbucks has an international brand name and loyalty. The coffee house has been able to establish a quality and upscale image. Its logo is well known and immediately identified on a worldwide basis. Starbucks gives many consumers a feeling of high prestige. The company stands out above other coffee houses such as Dunkin'Donuts because of their high quality product, coffee - and it's product mix width; furthermore, because of the unique store experience. Starbucks as a whole is basically the main product concept that makes the company so successful; the actual coffee is considered secondary. No other coffee brand has been able to build a brand where it’s seen as more than just a place where people grab a cup of coffee. One of the most compelling facts is that even though Starbucks products are relatively expensive and defined as luxurious, it is still affordable. Starbucks was actually meant to target the upper working class. But its brand appearance was so pervasive that Starbucks ended up attracting almost everybody throughout the world.