Question: Creat a problem statement and executive summery for the following Starbucks Executive Vice President for Marketing, Abigail Adams, plans to introduce the idea of Moby's

Creat a problem statement and executive summery for the following

Starbucks Executive Vice President for Marketing, Abigail Adams, plans to introduce the idea of "Moby's Laugh and learn" play area in five boutique in the try-state area of Starbucks stores. Which will be places for children to play and learn about Starbucks coffee sea life and whales. The main goal of the play area to increase revenue and encouraging families to spend more times in the stores. That will lead to estimate of 20% increase in repeat business within 18 month of the completion of the build.

According to Starbucks' website, the company's mission is to "inspire and nurture the human spirit-one person, one cup, and one neighborhood at a time," creating welcoming environment in the stores is a key aspect of this mission. Their mission to be a little different from their competitors, such as McDonald's, which offer close to their same service or play areas.

The idea of the play areas came from a research data that showed Starbucks customers fall into two categories, those who spend less than seven minutes in the store and those who stay to do work and socialize. Offering play area can put more focus on the families with children. Also the play areas can also be expanded for play parties and birthday parties.

According to Forbes, Starbucks face some competition from McDonald's by them offering less priced coffee and play area for kids. "Members of the rewards program and mobile app authorize Starbucks to gather a lot of info about their coffee-buying habits from their preferred drinks to what time of day theyre usually ordering." That means that Starbucks company can collect a lot of data from the app usage and use in their advantage to increase sales.

According to Coffee Shop Startups, "creating an atmosphere that I fun and safe for kids and families doesn't just make financial sense." That proves the better the atmosphere the more revenue you will creat. Also the more families you will attract to pick Starbucks stores over and competitor because of their play ground for kids. No we give no reason for our customers not to pick us over any other stores. Also providing technology like screen provides educational content on coffee and sea life with engagement customers to learn more about Starbucks.

In conclusion, the the introduction of "Moby's Laugh and learn" play ares in Starbucks stores in the tri -state area can potentially increase revenue and repeat business of the company, differentiate Starbucks from competitors, and improve customer's experience and engagement.

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!