powerpoint presentation regarding starducks

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Running head: STARBUCK’S PROTEIN SHAKE
STARBUCKS’ PROTEIN SHAKE
1
STARBUCK’S PROTEIN SHAKE
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Milestone 1
Rationale-Why the idea
Starbucks has been universally known to be the best provider of coffee drinks. There are
a variety of companies that provide the same products. It is the services that Starbucks
accompanies with the product that have set it apart and elevated Starbucks to another level in
comparison to its competitors.
However, a gap has been identified in the market. There is a huge population in the
market that is leaning towards health boosting products. Caffeine, which is the main content in
coffee, is not considered to be one. For this reason, those working out and trying to adapt a
healthy lifestyle tend to shy away from coffee consumption and look for alternative drinks that
contain mainly protein. This is revenue lost and a market not ventured into.
If Starbucks introduces protein shakes, it is going to gunner itself a huge crowd. First, it
will be able to lure almost every single person in the given population pursuing a healthy
lifestyle. This is because of the guaranteed high quality that results from the reputation Starbucks
has built for itself. Secondly, Starbucks has provided bar like stations that bring together people
and this provides are ready option for those who want to hang out together. Besides, Starbucks
prices are affordable and customers can easily frequent the outlets without feeling like they are
digging too deep in their pockets for refreshment. (Robert 2017 April 7)
Problem or Opportunity
Introducing protein shakes will cater for the customers who are avoiding caffeine, sugar
and any other products that are known to have a negative impact on one’s health. Those doing
physical exercises and bodybuilding especially, will appreciate this product because of its ready
STARBUCK’S PROTEIN SHAKE
3
availability. Those working often have inadequate time to prepare a healthy drink. They wish to
have a healthy meal but they end up taking a drink like coffee because they have no choice.
Providing milkshakes will relieve them from this burden. We can be sure that they will spend
their every breakfast money at Starbucks, after gym drinks and pre gym drinks and anytime they
need a beverage. The most attractive feature of protein shakes, which is the main need of the
population, is that it helps in weight loss. (Ewan and Michael, (2003 May)).
Besides, those doing bodybuilding, need proteins to repair micro muscle tears after every
workout. The fact that proteins help in building and repair of every single cell makes it necessary
for them to prepare a protein meal. However, it takes long for solid foods to be processed and
made ready for absorption into the bloodstream. Protein shakes can, however, be absorbed into
the bloodstream for a short time of about 30 minutes. This makes it a preferred source of proteins
for bodybuilders. (Dairy processing Handbook. (n.d)).
It sounds important a drink that will probably be in great demand and therefore raise the
question of how sufficient ingredients will be acquired. The good thing is that there is a certain
measure of proteins an individual should take. It is a minimal amount per mug in comparison to
the selling price and will therefore mean that the company will not strain in having sufficient
funds for the resources and realizing profits at the same time.
Market-What is the demand
The demand for protein shakes is high and it increases on a daily basis. The intense
sensitization of the need to live healthy and consume a proper diet has effected to this. Diseases
STARBUCK’S PROTEIN SHAKE
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related to consumption of foods full of fats, sugar and preservative have led to most people
frowning upon most beverages. This has created a great need for healthy beverages. Starbucks’
Protein shake will be received readily in the market because of the ready need. Besides the ready
market, there is a daily transformation of part of those who pursue an unhealthy lifestyle.
Sometimes because they have been warned by the doctor that their health is deteriorating as a
result of eating unhealthily. Sometimes it is because they have just a decision to adapt a healthy
lifestyle. Therefore, the market size for the protein shake is going to forever increase.
Competition-what sets it apart from the competitors?
The competition that Starbucks is going to face is from companies that have established
themselves as companies that specialize in protein products’ production. An example is
Optimum Nutrition (ON) which has had its product, Gold Standard WHEY, win awards as the
best Supplement of the year and Protein of the year for nine straight years (2005-2014).
What is going to set Starbucks’ protein shake apart, is the fact that it is going to be ready
for consumption. Besides that, it is going to remove the mentality of hard work because it is
Starbucks and Starbucks is known to be a place to hang out and have good beverages. Starbucks
is also going to have an advantage because of the ready reputation it has. Advertising their new
product is going to be easy and customers are going to want to try the new product and
recommend it to friends.
In addition to this, the product is going to be cheaper because it is going to be an amount
that is recommended for the day’s dosage. This is unlike the other protein supplements that come
in bulk and, therefore, expensive.
Company-how it fits in the vision/mission/priorities of the company
STARBUCK’S PROTEIN SHAKE
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Starbucks mission statement reads “to inspire and nurture the human spirit- one person,
one cup, and one neighborhood at a time”. Introduction of the Starbucks’ protein shake fits in the
mission of nurturing the human spirit. With a healthy body, the soul tends to be more at peace. A
person who is healthy, tends to feel good about themselves more than the person who is not.
According to statistics, fat people beat themselves up for being fat. They are ashamed of their
bodies and the society, especially the American society, frowns upon a fat body and demonizes
it. Protein shakes help contribute in weight loss and this will help those who are seeking to cut
weight go towards their goal. For this reason, Starbucks will be achieving its mission of
nurturing the human spirit. Proteins are a vital unit in building of hormones, enzymes, cellular
messengers, nucleic acids, and immune-system components. With lack of sufficient protein,
there will be a problem in completion of building or repairing these cells and, therefore, the
origin of health hazards and in the end a disturbed human spirit. (Kathleen. (2016 July 29)).
Besides helping in weight loss, protein shakes will help in other matters of health that
worry the human spirit. Such as cancer. Protein concentrate has been found to be beneficial in
the treatment of cancer. Protein shake, especially one rich in whey has been found to help in
reduction of cholesterol levels. A study was conducted on overweight men and women and after
12 weeks there was a drastic decrease in the cholesterol level in the group the ingested whey
protein. (Dairy processing Handbook. (n.d)).
It also helps in boosting the immunity of children with asthma. According to International
Journal of Food Science, a study was carried out on eleven children with asthma. These children
were given a 10 grams dosage twice a day for 30 days. The result was that these children’s
immune system was boosted hugely. (Huth and Omwulata, (2009))
STARBUCK’S PROTEIN SHAKE
6
Protein shake will also be a product that will include blood pressure patients and patients
with cardiovascular diseases in the fun. Protein, specifically whey protein, according to a
research published in the International Dairy Journal, reduces, with a high degree, blood pressure
in hypertension patients. It also reduces their chances of getting a heart disease or stroke.
There is also a possibility that whey protein helps in minimalizing weight loss in HIV +
patients. This according to the research that was published in the Clinical and Investigative
Medicine journal.
Innovation- How is the product innovative?
The product is innovative because of the time saving and cheaper prices concepts. The
protein shake is prepared in medically recommended portions. It is already in liquid form and all
the customer needs is to pay and pick up.
STARBUCK’S PROTEIN SHAKE
7
Milestone 2
Implementation Plan
Project Name
Starbucks’ Protein Shake
Physical and technological Resources needed for the Concept
To set the ball rolling, some things will need to be put in place first. Investment into the
resources that will help bring the project will be a necessity and a point to pay proper attention
because of how vital it is to the degree of impact the product is going to hit the market with.
The physical resources that will be required for the implementation of this concept are as
follows:
Skill PowerThis is going to include health specialists, nutritionists to be specific, who are going
to approve the right protein to be used in shakes, the measure in each mug and the method of
preparation.
It is also going to include the management team that is going to cater for the
administration section of the project. Their work is going to be the coordination of the
individual departments of the project and ensure they run smoothly. They are also going to
ensure that the financial health of the project is at its best. Besides that, they are going to help
in making the right decisions on what the market should be given and what not to be given.
The other skill power that is going to be needed is the marketing and sales team. This
is the team that is going to manipulate the market and influence the product’s reception in the
market. They are going to be the ones in charge of the information that is going to go out in
STARBUCK’S PROTEIN SHAKE
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the market, researching about the market and its competitors and informing the production
team about what is needed in the market and in what amount should it be produced. This
way, the company will be saved from making products that are not going to sell in the
market. It is going to also save Starbucks from under producing or overproducing their
product. Thus avoid frustrating the customer or wasting resources respectively.
The individuals in charge of the production section will also be a necessity to ensure
that the stores/shops are well supplied with the product. If well provided with the production
team, the stores will be assured that there will be no undersupply and emergency productions
are going to be handled with ease. Besides, if the team is meticulous in their process of
production, the Starbucks’ protein shake is going to earn itself a reputation whose roots are
going to be unshaken in by any possibility of a competitor that is going to venture in the
same field.
The technological resources that are going to be needed include:

Protein-Shake makers.
These are going to be a basic requirement in every Starbucks’ café that is going to
take up protein shake production. (Huth and Omwulata (2009)

Disposable mugs/mug caps.
These are going to be a basic requirement in providing services to the customers in
every café. The mugs will hold the protein shake and the cap cover the contents of mug to
help in maintaining the mug’s content temperature and prevent dirt from getting into the
mug.
STARBUCK’S PROTEIN SHAKE
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-Social Media Platforms
These are going to be a requirement for publicizing the product. The marketing
industry is going social media largely. It is also going to help in getting immediate response
from the customers. That way, immediate changes will be made if there is need for any
according to the response on social media. Social media platforms are also going to be
important in the introduction of a new product or publicizing a promotion.

Besides the above, there will be need for other usual technologies
necessary in running a business such as till machines, office phones, heating machines,
TV screens for entertainment purposes and the electric price’s board.
Where these Physical and Technological Resources will come from.
For skill power, advertisements on positions will be made in magazines, on social media
platforms and in-house. Candidates will be interviewed and successful candidates selected.
Protein shake machines are going to be sourced from companies that manufacture them.
Examples of these companies are Hershey, Hamilton Beach Drink Master and Nostalgia 2Speed.
The plastic coffee mugs can be acquired from plastic cups’ manufacturing companies
such as Aladdin Travel mugs.
For social media purposes, the social media team will provided with electronic devices to
carry out the social media services and to provide prompt responses on social media platforms.
An internet package service providing company will be contracted to ensure the social media
team does not have difficulties accessing the internet.
STARBUCK’S PROTEIN SHAKE
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Implementation Schedule(what needs to be done, when and by whom). The schedule
should identify the critical path to success and outline the dependencies between tasks.
The following schedule has been curated in such a manner that if adhered to step by step,
there is an 85% assurance of success of the product in the market.
IMPLEMENTATION PLAN/SCHEDULE
1.
Organizational Awareness and Approval
•
Identification of important stakeholders and committees that are
needed for the project to start.
•
Facilitate buy-in to help in sourcing funds to kick off the project.
•
Keep key stakeholders and key leaders in the loop by constantly
updating them with information.
•
Finalize implementation date – Start production of the protein
shake by 20th December to help in managing a healthy lifestyle during the festive
season.
•
2.
Confirm the implementation plan.(Maisel andCokins (2014)).
Documents and Materials Procurement
•
Createinventory and communication documents. The documents
should include where the key organization leaders can sign for approval
•
Work with equipment and documents’ management team toensure
that everything is set and ready for the date of production commencement.
•
Ensure that there is an extra supply of materials for the days after
commencement.
STARBUCK’S PROTEIN SHAKE
3.
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Communication Plan
•
Draft a letter from the CEO of Starbucks to the key stakeholders
and key leaders addressing them about the vital information and details that they
need to have knowledge of.
•
Send e-mails to the team on updates till the time when the
production process starts. to the team in each that is going to ensure the success of
the protein shake in the market. This includes the production team, management
team, the marketing team, and the social media team.
•
Notifications of the training program for those who are going to
conduct the processes involved in production of the protein shake and its sale,
should be put up on the notice boards and up on the sites that can be accessed by
these parties.
•
Update the employee education materials because this is a different
program being introduced.
•
Communicate with the management of the external sources for
resources necessary for the project.
4.
Educations & Training Plan
•
Select bodies or individuals who will be delegated with the duty of
training the employees. Schedule the training sessions for this trainers so that they
are equipped in a way that they can train the employees.
STARBUCK’S PROTEIN SHAKE
•
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The trainers should then ensure to familiarize themselves with the
tools of training e.g. PowerPoint, policies of food production, customer care
techniques and what to do in the case of an emergency.
•
Identify times when the employees should expect a huge inflow of
customers (rush hour). For instance, mornings because of those going for morning
workouts and those going to work.
•
Have each department have a scheduled time to do their own
presentation. This will give each part a deadline to research on their department
intensely.
•
Set a time when the key stakeholders and key leaders can sit with
the trainers so that the trainers can align their training program with the vision of
the key stakeholders and the key leaders.(Maisel and Cokins (2014)).
5.
Two Weeks before Commencement of production.
•
Send a reminder e-mail to all parties that are/will be involved.
•
Check with the heads of departments if there are any matters that
will have risen and if they need immediate or later response.
•
Confirm if each department is well equipped and if not, immediate
action should be taken to take care of the matter.
6.
Follow-up and Evaluation
STARBUCK’S PROTEIN SHAKE
•
13
There should be an individual(s) that is assigned to evaluate the
results after the project is implemented.
•
A one on one survey with the employees can be conducted to
determine their experience after 2 weeks of commencement. Customer survey
should also be conducted to gauge what the customers think of the product and
what they think should be change.
•
Check if the training program was effective by checking if the
employees have implemented any of the lessons.
•
The information gathered after the survey should then be brought
to the knowledge of the company’s leadership.
Projectreview Processes and indicators of success to ensure that the project stays on
target.
For the management to know if the project is continually succeeding, the following will
be the indicators that they should take note of:
. Customer Acquisition Costs (CAC)
This is determined by dividing the expenses over a given period of time by the number of customers
in the same period of time. In a startup, there is an amount that the business will spend to acquire customers.
This could include the use of ads, promotions and funding promotions on social media platforms. The
customer turn out could be low or high. Using the Customer Acquisition Costs (CAC) Metric will help
determine whether the startup has been a success or not. CAC is the amount of money the company spent to
acquire a single customer.(Wit. (1988)).
STARBUCK’S PROTEIN SHAKE
14
Weekly calculations will be made and every Friday evening, a meeting on the way forward will be
held.
2. Customer Retention
The company will audit the number of customers thy have retained. This will possibly be
indicated by either an increase in the number of customers coming in or a constant number of
customers coming in or a drop in the number of customers purchasing the protein shake. It is
important that the business acquires new customers but it is more important that once acquired,
these new customers are retained. Retention of the customers means that the product is doing
well and the services offered are quality. If more customers come in then the company is sure
that they will be retained. The opposite is true. It is more important that the current are given
quality services and the product’s reputation will be effortlessly spread. Ask customers what
they want offered as part of the service package. If there are some who have lessened their times
of frequenting the café, ask them why and what you should do to change the situation.
3. Attrition
This is the measure of the number of customers who will stop using the product and those
who have stopped using it for just a short while. A 30 day measure will be used to measure the
temporary leavers and a 90-days measure will be used to measure those who have abandoned the
product permanently. This is a metric that will also help in determining the success of the
product in the market.
STARBUCK’S PROTEIN SHAKE
15
4. Life Time Value (LTV)
This is the measure of the customer’s worth to the project and the company as a whole.
The LTV is calculated by dividing the returns by the number of c …
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