BỘ GIÁO DỤC & ĐÀO TẠO ĐẠI HỌC HOA SEN
KHOA LOGISTICS - THƯƠNG MẠI QUỐC TẾ
Introduction to Marketing CASE STUDY 2: GREEN MARKETING Instructor : Lucie Tran Class : 1281 Group : 05
TP.HCM, Tháng 07 năm 2023 1) Abstract.
Thousands of important and small companies all over the world use green
marketing strategies to provide their customers finished goods that support a sustainable
environment. Group 5 will research Starbucks' use of the green market in this report. In
order to stay ahead of other competitors, the team will research how well the plan works
in terms of improving the company environment and customer performance.
2) Choose any product from the company and introduce it
Starbuck has a wide range of products from drinks to cakes and all kinds of
porcelain cups, thermos... in which water is the main product, bringing a lot of profit to
the company. Each type of drink at Starbucks has many sizes, to suit the needs of
customers. Starbucks has researched the Vietnamese market and provided criteria for
selecting ingredients for drinks (coffee type, roasting temperature, taste...)
3) Describe its target market based on demographic segmentation,
geographic segmentation, behavioral segmentation, and psychological segmentation.
Demographic segmentation is the process of dividing a target market into
distinct groups based on demographic variables such as age, gender, income, education, occupation, and more. 
Age: Starbucks attracts a broad range of age groups, but it tends to have a strong
appeal to young adults and professionals. Their target demographic includes
millennials and Generation Z, who are often drawn to the brand's modern and trendy image. 
Gender: Starbucks appeals to both males and females. However, it's worth
noting that the brand has made efforts to attract and cater to female customers by
offering a variety of beverages, including specialty coffees and seasonal drinks. 
Income: Starbucks' products are positioned at a relatively higher price point
compared to many other coffee chains, which means it tends to attract customers
with disposable income. The brand often appeals to middle-class and upper-middle-
class individuals who are willing to spend a bit more on their coffee experience. 
Education: Starbucks customers often include individuals with higher levels of
education, including college students, graduates, and professionals. The brand has
established itself as a popular meeting place for studying or casual business
meetings, attracting people who value a comfortable and stimulating environment. 
Occupation: Starbucks locations can be found in various settings, including
business districts, college campuses, and residential areas. This diversity allows the
brand to attract customers from various occupations, such as office workers,
students, teachers, and freelancers.
Geographic segmentation involves dividing a target market into different
groups based on geographic variables such as location, region, climate, and urban/rural areas. 
Urban areas: Starbucks has a strong presence in urban areas worldwide. The
brand strategically locates its stores in city centers, business districts, and high-
traffic areas to attract customers who live or work in these urban environments.
Starbucks often aims to be a convenient stop for people on their daily commutes or during shopping trips. 
Suburban areas: In addition to urban locations, Starbucks has expanded its
footprint in suburban areas as well. By opening stores in residential neighborhoods,
suburban shopping centers, and near highways, Starbucks aims to cater to
customers who seek a convenient and accessible coffee experience outside of urban settings. 
International markets: Starbucks is a global brand with a widespread presence in
various countries around the world. It has expanded its operations extensively in
markets outside of the United States, including Europe, Asia, and the Middle East.
The brand adapts to the local cultures and preferences of these international markets
while maintaining its core offering and overall experience. The Starbucks menu
varies by location and offers food and drink items that are appropriate for the
regional target market, such as Sakura Blossom Latte in Japan and Maple Macchiato in Canada. 
Climate considerations: While Starbucks' geographic segmentation is not solely
based on climate, the brand does take climate into account when selecting locations.
For example, in warmer climates, Starbucks may have more outdoor seating
options or offer cold beverages.
Behavioral segmentation is analysis that better understands consumer behavior and customer needs. 
Frequency of Consumption: Starbucks can segment customers based on the
frequency of product consumption. For example, some customers are very loyal
and often visit the store every day, while some customers only visit on special occasions. 
Time of purchase: Starbucks may be interested in when customers buy and use
products. Some customers prefer to start their day with coffee in the morning, while
others prefer to visit Starbucks in the afternoon or evening. 
Loyalty and Membership Program: Starbucks has a Starbucks Rewards
membership program to incentivize customer loyalty. The company can analyze
customers based on their participation and loyalty with this program. 
Product selection: Starbucks segments customers based on choice and
preference for coffee and beverage products. Some customers prefer strong
espresso, while others prefer unsweetened beverages or blended iced drinks. 
Use a mobile app: Starbucks has a mobile app for ordering and earning points.
The Company may analyze customers based on the use and interaction with this application.
Psychological segmentation divides people into different groups based on
their social class, lifestyle, or common behavior 
Social class: Starbucks targets customers with high socioeconomic status.
The character of Starbucks will be based on the lifestyles, opinions and
preferences of customers. In addition, Starbucks customers place value in the brands
they choose to be health-conscious, socially aware, and environmentally conscious. 
Non-coffee drinkers who want to socialize: Starbucks has expanded its menu to
cater to non-coffee drinkers. Selling Frappuccinos and sandwiches in the store helps
attract these customers. This allows non-coffee drinkers to join the Starbucks space
and enjoy the social atmosphere, where they can enjoy drinks and foods other than coffee. 
Coffee lover: Starbucks is aimed at coffee lovers and takes their needs seriously.
For this segment, Starbucks presents top quality coffee beans from around the
world. They create diverse and high-quality coffee products to satisfy the needs of
serious coffee drinkers. This usually comes with a higher value and serves a higher
income group of customers. Because Starbucks customers are often health-
conscious and interested in a healthy lifestyle. Starbucks has developed a wide
range of healthy products and drink choices, including sugar-free beverages, plant-
based milks and natural ingredients. This allows customers to enjoy coffee and
other beverages without worrying about sugar content or unhealthy ingredients. 
Starbucks has set its sights on building a brand that is socially responsible and
caring for the environment. They are committed to sustainable coffee use,
community support and supply chain equity. This attracts customers who are
socially aware and interested in issues such as equity, human rights, environmental
protection and sustainable development.
4) Describe its marketing mix 4Ps and explain how the company has
executed its 4Ps implementation to follow the green marketing strategy.
Starbucks is a well-known multinational coffeehouse chain that has made
efforts to incorporate green marketing strategies into its business practices. The
information below show how Starbucks has implemented the 4Ps of marketing to align
with a green marketing strategy:  Product:
Starbucks has committed to sourcing ethically grown and traded coffee
beans. They work closely with farmers and invest in programs like Coffee and
Farmer Equity (C.A.F.E.) Practices to ensure fair wages, safe working conditions,
and environmentally responsible farming practices. Starbucks has made efforts to
reduce its environmental footprint by introducing recyclable and reusable
packaging options. They have also set goals to make their cups more sustainable
and reduce plastic waste. For instance, when the trend of not using plastic straws is
becoming more and more popular in the US. Starbucks, aware of this problem,
changed the design of the coffee cups by using a raised lid instead of a straw, and
using wood pulp and paper to replace plastic straws. Thanks to these improvements,
Starbucks has reduced more than 1 million plastic straws each year and contributed to protecting the environment.
Building on Starbucks sustainability commitment, the company’s goal to
expand plant-based choices as an environmentally friendly menu contributes to our
goal to be a resource positive company. Starbucks continues to introduce new
drinks and food to menus globally while innovating with plant-based ingredients
across key platforms like espresso, cold brew, refreshment, food and more.  Price:
While Starbucks' pricing is not directly tied to green marketing, they
have shown a willingness to invest in sustainable sourcing practices, which can
affect the cost of their products. To maintain competition, Starbucks started with a
low cost range at a few outlets and to cater the customers who couldn’t be attracted
by its high prices. The packaged products are also available at grocery stores which
are comparatively cheaper than the normal outlet products and easily available to
everyone. This proves that Starbucks not only follows competitive pricing in its
marketing mix but also relative pricing strategies. The drinks at Starbucks are also
available in various sizes as per the need and requirement of every customer with
minute variations like demi, short, mini, tall, grande, venti and trenta. The quality is
always the highest, which helps in maintaining a loyal customer base and brand
name. The price is generally high because the focus is not only to provide high
quality coffee, but it's the ambience & experience which is of high value.  Place:
Starbucks has opened LEED (Leadership in Energy and Environmental
Design) certified stores in various locations worldwide. These stores are designed
to be energy-efficient, using sustainable materials and technologies to minimize
their environmental impact. Furthermore, Starbucks has also expanded its digital
capabilities, including mobile ordering and drive-thru services in many countries.
This helps reduce congestion and idling, leading to lower carbon emissions from customer transportation.  Promotion:
Starbucks has launched marketing campaigns to highlight its
commitment to sustainability and green initiatives. These campaigns promote their
eco-friendly practices, such as ethical sourcing options providing benefits to
farmers, coffee, tea and cocoa sourcing areas, environment friendly techniques –
using recyclable cups, green building, etc. Besides, Starbucks has collaborated with
various organizations to promote sustainable practices and raise awareness about
social and environmental issues. For example, they have partnered with
Conservation International to create the Coffee and Farmer Equity (C.A.F.E.) Practice program.
Overall, Starbucks has implemented the 4Ps of marketing in alignment
with a green marketing strategy by offering ethically sourced products, investing in
sustainable practices, promoting eco-friendly packaging, and raising awareness
about environmental issues. These efforts reflect their commitment to being socially
and environmentally conscious. 5) References.
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thanh-nguoi-dan-dau-khi-nhac-den-Customer-Loyalty
2. Mitchell, A. (2020). Psychographic Segmentation: Advantages, Variables, &
Examples. Blog. Retrieved 2023, from
https://blog.crobox.com/article/psychographic-segmentation
3. Plant-based menu innovation at Starbucks. (2020). Starbucks Stories.
https://stories.starbucks.com/stories/2020/plant-based-menu-innovation-at- starbucks/
4. Psychographic Segmentation of Starbucks - Essay - 2212 words. (n.d.).
Paperdue.com. https://www.paperdue.com/essay/psychographic-segmentation-of- starbucks-126695
5. Starbucks đang sử dụng ứng dụng di động như thế nào để tăng đáng kể doanh số ?
(2021). Your Smart Business Idea. https://smartbusiness.vn/chuyen-doi-so/digital-
business/starbucks-dang-su-dung-ung-dung-di-dong-nhu-the-nao-de-tang-dang-ke- doanh-so/
6. Starbucks Market Segmentation, Targeting, and Positioning. (n.d.). EdrawMind.
https://www.edrawmind.com/article/starbucks-market-segmentation-targeting-and- positioning.html
7. Starbucks Target Market Analysis & Marketing Strategy. (2022). Start.io.
https://www.start.io/blog/starbucks-target-market-customer-characteristics- marketing-strategy/
8. 10 Behavioral Segmentation Examples and Strategies. (2022). CleverTap.
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