Coffee has a short shelf life and could therefore be classed as a FMCG (Fast-Moving Consumer Good).
For retailers it’s available in high volumes with even higher profit margins. It must be used for daily consumption, is a frequently purchased item, requires low consumer involvement, and doesn’t cost much to produce.
With this in mind we can say that Starbucks essentially provides a brown hot drink that doesn’t last long.
It isn’t particularly exciting or cheap either, but people still love it.
Starbucks are known for their customer experience endeavours, from enabling you to choose the temperature of your drink to writing your name on your cup, sometimes with hilarious outcomes.
Turning buying a hot drink into an irresistible customer experience
What inspired me to write this post was my fascination with this video for Starbucks Reserve. It shows that despite their worldwide recognition for being one of the world’s most established coffee shops, they are continuing to push the boundaries and create even more exciting experiences.
The 2015 Temkin Group Experience survey gave Starbucks a rating of 77%, and ranked it 33 out of 293 companies, putting it up there with the best.
Starbucks have demonstrated that, despite only selling a brown hot drink, through their ambition of creating the “Willy Wonka of Coffee”, it’s possible to deliver an irresistible customer experience for any FMCG product.
It may only be coffee, but incredibly, Starbucks has managed to create such strong advocates who make repeated purchases and wax lyrical about the brand.