Marketing Featured South Asia

Starbucks celebrates 10 years of Indian operations with Starbucks Reserve store opening

India – Tata Starbucks Private Limited is celebrating its 10 years with the opening of a Starbucks Reserve store in Mumbai, Maharashtra. Starbucks Reserve is a program by Starbucks, and involves operation of worldwide roasteries.

The new Starbucks Reserve store is designed to bring the coffee experience to life for customers. The premium coffee experience unique to Starbucks is evident in the new Starbucks Reserve store’s stunning aesthetics. Taking centre stage, the Starbucks Reserve bar is set off by renowned architect and artist Ankon Mitra’s undulating sculpture reminiscent of clouds. 

As customers enter beyond the twin arches, based on Mumbai’s architectural heritage with a modern colour palette, they are welcomed by a vibrant floor-to-ceiling mural featuring the Starbucks Siren, created by local Mumbai artists Sonal Vasave and Makarand Narkar. The mural comes to life at the tap of a finger through augmented reality (AR) when customers scan the nearby QR code with their Instagram camera.

At the Starbucks Reserve bar, customers can enjoy a lineup of Starbucks Reserve small-lot single origin coffees, some of the most exquisite and rarest coffees in the world, including Bolivia Sol de la Mañana, Rwanda Sholi and Sumatra Kerinci brewed and served by Starbucks black apron coffee masters.

Michael Conway, group president of international and channel development at Starbucks said, “India is one of Starbucks fastest-growing markets and we’re proud to open our first Starbucks Reserve store in Mumbai, where our Starbucks journey began a decade ago. Since entering India, our green apron partners continue to deliver the iconic Starbucks Experience across the market. We look forward to serving more customers and communities through different store formats, digital acceleration, and product innovation as we continue to grow in India.”

Meanwhile, Sushant Dash, CEO at Tata Starbucks, commented, “For 10 years, Starbucks has been elevating coffee craftsmanship and bringing unique experiences to our customers in India. We value the strong connections we have with our customers and will continue to innovate and develop to enhance India’s coffee culture.”

He added, “Starbucks Reserve is a selection of the rarest, most extraordinary coffees Starbucks has to offer, and transports customers and coffee aficionados to an immersive and personalised coffee journey. It is all about the customer experience and engagement, the story of our coffee and the craft of our baristas.”

Marketing Featured APAC

Starbucks shares insights on customer personalisation and engagement

Seattle, Washington – Barbara Spiering, Starbucks’ VP of marketing technology & quality engineering, reveals how a measured approach to technology adoption and implementation has led to deeper and more meaningful relationships with its customers.

This ‘human approach’ to the brand experience was outlined by Spiering in the latest instalment of Cheetah Digital’s ‘Signals Executive interview Series.’

In this interview, Spiering highlights four key elements critical to their success with Cheetah Digital’s relationship marketing platform:

1. Don’t Let Tech Take The Wheel

Prioritise technology that enhances customer relationships and enables greater personalisation. Tech should never interrupt the connection between a brand and its customers. Used properly, technology can strengthen relationships across formats, with personalisation as the foundation of all communications. 

“The goal of technology is to create that bridge between the physical and the digital.” Spiering said. “So customers feel as seen and known in all of our digital channels as when they walk into the store, and that it’s a seamless experience.”

2. Personalisation Is Everything

More than 60% of all Starbucks orders are customised to the individual customer. That highlights the need for useful technology that allows Starbucks to keep the personal connection authentic throughout the entire customer lifecycle.

“Customers (need to) feel as seen and known in all of our digital channels as when they walk into the store,” Spiering said. “Because that’s why people come in, they want to be seen and known from the digital, to the physical. We know who you are, and it’s throughout the entire lifecycle. And that is really our goal, to create that connection.”

3. Clean Data > Big Data

Data is only as good as its accuracy. Tech is great at collecting data, but it requires a guiding hand to ensure the data collected is accurate and useful. That means technology partners must share the same vision for executing relationship marketing at the highest level possible. 

“You need to have really strong data governance practices, machine learning at scale,” Spiering said. “If you don’t have clean data, you’re never going to send the right message.”

4. POV Matters

Brands need to stand for something when communicating with customers in order for the message to be authentic. That means developing a point-of-view and ensuring it’s reflected in all customer interactions.

“You need to understand the message that you want to send to your customers and why you want to have that dialogue”, Spiering said. “Because personalisation won’t be effective unless you understand what you want to say and what relationship you want to have. Bring the head with the heart, and that’s your message.”

Emphasising the importance of a well-functioning customer relationship and personalisation strategy, the most recent Cheetah Digital 2022 Digital Consumer Trends Index survey found that 74% of global consumers want brands to treat them as an individual (a 110% increase from 2021), and 71% have a favourite brand as it strives to develop a relationship with its customers. Both are critical factors for brands to consider as the economy points to more challenges ahead.

“As brands move to acquire zero-party data to future proof their advertising and relationship marketing efforts, they can look at Starbucks as the blueprint,” said Wendy Werve, Cheetah Digital’s CMO.

“Our clients are bracing for a potentially turbulent economic landscape ahead by reinforcing their investments in owned channels such as email and SMS. This is where zero-party data and personalisation can impact the bottom line, especially as cookies and third-party data continue to disintegrate,” Werve adds. 

Marketing Featured Global

Starbucks officially exits from Russia, closing off 130 licensed branches

United States — The global coffeehouse brand Starbucks has announced its exit and cease of brand presence in Russia amidst the ongoing invasion of Ukraine. This means that all 130 branches in Russia will cease operation following the announcement.

Amidst the exit announcement, the company promised that it will still support its 2,000 green apron employees or ‘partners’ in the country; providing six months of remuneration and assistance to transition to a new opportunity outside the brand.

This news follows after Starbucks’ initial announcement of the suspension of all business activities last March 8, 2022. The invasion of Russian forces under Russian President Vladimir Putin began on February 24 this year, a grim chapter in the Russo-Ukrainian War that started almost a decade prior.

In a letter to Starbucks’ partners last March 8, Kevin R. Johnson, CEO of Starbucks, vehemently condemned the assault of Russian forces into the territories of Ukraine.

“We condemn the horrific attacks on Ukraine by Russia and our hearts go out to all those affected,” Johnson says.

After a week from the February 24 invasion, Starbucks immediately pledged its commitment to condemn Russia’s attacks against Ukraine.

The company donated royalties from their business operations in Russia to humanitarian relief efforts for Ukraine as well as utilising their EMEA business to create financial assistance and services. Additionally, The Starbucks Foundation contributed US$500k to World Central Kitchen and the Red Cross for relief efforts for Ukraine.

Starbucks is the latest brand to follow the exodus as a slew of brands exit Russia amidst its historic oppression of the sovereign country of Ukraine.

Marketing Featured Global

Starbucks announces ventures into NFTs

New York, USA – Global coffeehouse company Starbucks has announced that it is venturing into NFTs, as well as exploring other ventures in the Web3 space.

In a joint statement by Brady Brewer, chief marketing officer at Starbucks, and Adam Brotman, advisor at Starbucks, the company plans to create a series of branded NFT collections, the ownership of which initiates community membership, and allows for access to exclusive experiences and perks. 

The themes of these collections will be born of Starbucks artistic expressions, both heritage and newly created, as well as through world-class collaborations with other innovators and like-minded brands.

“We plan to take a phased approach here, willing to move fast, experiment, learn and collaborate. We plan to start with our first NFT collection, membership and community later this year, based on coffee art and storytelling. It will come with a host of unique experiences and benefits, worthy of a genesis NFT collection from Starbucks. And this first collection will form the core digital community and backbone against which we hope to build future collections and collaborations – all building on the same new ecosystem,” Brewer and Brotman said.

The company also believes that its Starbucks Digital Community Web3 platform has the potential to pioneer the combination of an approachable, widely accessible front-end, backed by the right blockchain technologies that are fast and inexpensive.

“We believe NFTs have broad potential to create an expanded, shared-ownership model for loyalty, the offering of unique experiences, community building, storytelling, and customer engagement. And, while doing so also being a source of accretive business that can benefit a number of stakeholders in the process, while creating a new type of digital ecosystem to complement Starbucks current digital platform offering,” the company added.

Marketing Featured Southeast Asia

Starbucks Indonesia’s newest coffee experience centre celebrates local coffee heritage

Jakarta, Indonesia – Starbucks in Indonesia has recently launched its newest coffee experience centre at the Starbucks Dewata Coffee Sanctuary in Bali, Indonesia. Said new experience centre focuses on the celebration of Indonesia’s rich coffee heritage and showcasing how the roasting process elevates the unique quality and diverse flavour profiles of Indonesian coffees.

The centre spans over 140 square meters with designs inspired by rich copper tones and traditional Balinese Besek baskets, made with the same materials as the Starbucks Dewata Coffee Sanctuary including terracotta brickwork and terrazzo floors. Customers visiting the new centre can learn about the art and science behind sourcing, roasting and brewing coffee, and explore coffee through interactive workshops hosted onsite.

For Anthony McEvoy, leader of Starbucks at PT Sari Coffee Indonesia, as they celebrate the company’s 20th year of retail presence in the country, the Dewata Coffee Experience Center amplifies their leadership and passion for coffee, as well as their commitment to Indonesia’s rich coffee culture.

“Aligned with Starbucks global mission to inspire and nurture the human spirit, the Dewata Coffee Experience Center is also an immersive coffee destination that is thoughtfully designed to celebrate the connection between our customers, communities and coffee farmers that is an essential part in serving our coffee,” McEvoy said.

He added, “We believe that by highlighting the dedication and care involved in coffee’s creation, the more appreciation others will have to ensure its future, and we want to reaffirm our commitment to supporting coffee farmers in Indonesia by working closely with the Farmer Support Center to ensure a sustainable future of coffee for all.”

At the centre, customers can learn about Starbucks responsible sourcing practices, and how the company is working with Indonesian coffee farmers at the Farmer Support Center in North Sumatra to ensure sustainable farming practices that improve the resilience, quality, and size of harvests.

Meanwhile, Tim Scharrer, managing director and vice president of Starbucks coffee and cocoa, commented, “As one of the world’s leading coffee-growing regions, Indonesia has played a unique and important role in Starbucks’ journey since the beginning. Starbucks has sourced high-quality Arabica coffee from Indonesia for 50 years and is proud to be one of the largest buyers of Indonesian coffee in the world today. At the same time, we remain dedicated to working with farmers in Indonesia to bring responsibly-sourced Indonesian coffee to the world.”

The one-storey building welcomes everyone from Monday to Sunday from 8 am to 10 pm, with capacity up to 30 seats.