Starbucks Trying to Woo Afternoon Customers

Starbucks Trying to Woo Afternoon Customers

The coffee giant “Starbucks”, based on the research says that their coffee is not selling well during lunch and dinner. Starbucks noted more than half of their business which is in the morning brings 59% of sales, but only 23% of sales are in the afternoon, as a result, the revenue has declined. Starbucks analyze shows small amount of people who visit the coffee store in the afternoon hours are those who go to Starbucks between one to five times a month.

Starbucks started using more advertising in order to increase sales and attract customers in the afternoon. For that reason, Starbucks decided to sell packed coffee for $7 billion to Nestle for supermarket distribution. Also, coffee stores will have more of cold coffee, teas, better food, and introducing happy hour in an attempt to increase sales traffic. 

In this article I see that Starbucks is dealing with two marketing subjects; one is product and other one is promotion. We say product, because they are going to offer more variety of cold coffee and teas. On the aspect of promotion, the company using happy hour which is a marketing strategy which reduces price of the product during certain times of day to attract more customers. 

https://www.wsj.com/articles/starbucks-trying-to-woo-afternoon-customers-1525795013