Chapter 8 - Segmenting and Targeting Markets

Positioning
Starbucks has positioned itself as an high-level brand. Starbucks remaining high quality of coffee drinks and services. Customers are willing to pay for their high quality of products, services, comfortable environment, and famous brand effect. Starbucks have to keep their high quality and value to satisfy customers.

Market Segmentation
Starbucks use multisegment targeting strategy. 

       For example, Starbucks use phychographic segmentation( on the basis of personality, motives, lifestyles, and geodemographics). For example, there are much more Starbucks in Manhattan (which is more like business area) than in Queens (which is more like live area.) Many business men, women and student like to grab a coffee, then go to work or study; and business men, women and students need a place to communicate with their business partners or classmate. So there are many Starbucks located in Mahattan. 

       Geographic segmentation( market size, climate, region and so on). Starbucks opened participate stores all over the world. consider of different cultures, habits and traditions, Starbucks  offers different drinks in different countries. 

       Benefit segmentation: Starbucks offers lucky dozen reward and free birthday drink reward to their registered customers. Every registered customer will get a free birthday drink for celebrate his/her birthday. Moreover, registered Starbucks cardholders can get stars when they purchase Starbucks drinks. When they collect 12 stars, they can get a free drink or food at Starbucks participate stores.