George Blower | University Of Winchester (original) (raw)
Address: Whitehaven, Cumbria, United Kingdom
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A dusting of chocolate on a cappuccino or free shot in a latte is no longer enough to sow the see... more A dusting of chocolate on a cappuccino or free shot in a latte is no longer enough to sow the seeds of loyalty among the millennial cohort. Faced with ever-increasing expectations and vast competition, both independent and chain-owned coffeehouses find themselves struggling to get, keep and grow their footfall. This study evaluates the effect of Starbucks’ third place offering on millennial acquisition, retention and loyalty development, and seeks to identify a causal relationship between the two.
Two forms of research took place: a trio of covert observations conducted on three stores in separate cities in the south of England and a questionnaire distributed via social media to individuals born between 1985 and 2000. The former identifies the behaviours and actions of millennial consumers to uncover underlying motives and perceptions of the third place. The latter requests participants views of customer acquisition, retention and loyalty development pertinent to Starbucks’ third place, to understand the impact on these three essentials of relationship marketing.
Discovered are two important findings. Firstly, the third place acts as the catalyst for building social capital and seeking enhanced productivity in their many forms. Secondly, the results indicate a clear relationship between acquisition and retention of millennial consumers, however a failure to progress their loyalty. Mobile apps, innovative uses of technology and methods of engagement were favoured as fuelling such a progression.
The present study provides useful information on the needs of the cohort for incorporation into stakeholder management strategies and remote working policies. It is also a strong foundation for further research into transitioning millennials from a retained state to a loyal force of brand advocates. Moreover, the findings assist in filling the research void currently present between millennials, the third place and brand loyalty as separate entities.
A dusting of chocolate on a cappuccino or free shot in a latte is no longer enough to sow the see... more A dusting of chocolate on a cappuccino or free shot in a latte is no longer enough to sow the seeds of loyalty among the millennial cohort. Faced with ever-increasing expectations and vast competition, both independent and chain-owned coffeehouses find themselves struggling to get, keep and grow their footfall. This study evaluates the effect of Starbucks’ third place offering on millennial acquisition, retention and loyalty development, and seeks to identify a causal relationship between the two.
Two forms of research took place: a trio of covert observations conducted on three stores in separate cities in the south of England and a questionnaire distributed via social media to individuals born between 1985 and 2000. The former identifies the behaviours and actions of millennial consumers to uncover underlying motives and perceptions of the third place. The latter requests participants views of customer acquisition, retention and loyalty development pertinent to Starbucks’ third place, to understand the impact on these three essentials of relationship marketing.
Discovered are two important findings. Firstly, the third place acts as the catalyst for building social capital and seeking enhanced productivity in their many forms. Secondly, the results indicate a clear relationship between acquisition and retention of millennial consumers, however a failure to progress their loyalty. Mobile apps, innovative uses of technology and methods of engagement were favoured as fuelling such a progression.
The present study provides useful information on the needs of the cohort for incorporation into stakeholder management strategies and remote working policies. It is also a strong foundation for further research into transitioning millennials from a retained state to a loyal force of brand advocates. Moreover, the findings assist in filling the research void currently present between millennials, the third place and brand loyalty as separate entities.