Starbucks Case Study: Customer Satisfaction

Paper Summary:

This paper explains that Starbucks' survey results indicated that customer satisfaction, not just customer service, had to be improved quickly and that Starbucks' head office had failed to see a changed customer base. The author points out that, inspiring customer loyalty requires local store level efforts to remove the public's perception of a corporation only interested in generating more stores. The paper relates that based on this information Starbucks decided to invest in more labor hours for its 4500 stores.

From the Paper:

"The case explores the realization of the executive of Starbucks that its marketing had to reform in the direction of basic customer satisfaction (Moon & Quelch, 2004). An error had been made of presuming that good customer service standards and ongoing growth meant that Starbucks' customers were satisfied. Unfortunately, a long focus on expansion and profit returns had drawn attention from changes of customer base and customer tastes that were important to the company's continuing developments. The concept of having a proven and successful approach, as pioneered in the early 1980s, predictably, has needed a few revisions, 20 years later."

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