The two companies I have chosen to compare are different from the very start. One is a tried and true, honest-to-goodness coffee company, Starbucks. The other is a really a retail company primarily for shoes and clothing, coffee being brought into the mix not to long ago, Toms. (The name being derived from tomorrow.)
Starbucks started out as a coffee roasting house in Seattle, Washington in 1971 and with the coming of Howard Schultz to the company in the early 1980’s, became a huge international coffee company with over 24,000 coffee house world wide.6 Reasons Mr. Schulz led them through a seamless transition into to the internet with multimedia and they became something of a juggernaut by dominating the media in the coffee world. While using several social media networks, Starbucks set the Standard high for content quality and in engaging their customers.
How did they accomplish their high place in the SMM hierarchy? They worked hard at cultivating their current customers and keeping them loyal. that is not say that they did not go out to acquire new customers, but rather their main focus was on current ones. These became their “super influencers.” (The old saying that it takes 5-7 times more expense to find new customers than it takes to keep your current ones loyal, applies here.) They encouraged customers to share their Starbucks experience with promotions like the holiday promotion ” buy 1, get 1.” It was obviously a success if one is to judge success by the number of likes and shares that the Company received on Facebook alone.The Company made its customers feel like valued individuals with My Starbucks Rewards and the Company has encouraged its customers to share their experience on other social networks. ( Word of mouth is still the best advertising, right?) Another interesting fact, when the company puts up a picture of a satisfied customer holding a Starbucks coffee in their hand you can be sure that it was probably a selfie. Starbucks makes sure that its causes are timely and consistent, especially with causes appealing to their customers.
So basically what Starbucks has done through social media marketing is to give their customers, new ones as well as loyal ones, the idea that the Company is more focused on them and their suppliers, (Fair Trade, setting learning centers for growers, and the like,) than it is on money.
Interestingly enough Toms started out as a shoe company in 2006, selling the idea of when a pair of shoes was purchase from his company, a needy child would be given a pair free. This idea came about when the owner Blake Mycoskie, while on a purchasing trip to Argentina,noticed the number of poor children running around without shoes. He expand this “1 for 1” idea to eyeglasses in 2011, and is in the process of carrying to other products for needy people. With his coffee, for every bag of coffee beans sold, pure water will be given to the needy people in 24 countries around the world.
In social media marketing Toms has been on the top since the Company’s start-up. Toms Coffee. Facebook, Instagram, Twitter, and Pinterest, and others are all being used to sell they idea lifestyle, not just a product They encourage their customers to speak out about the customers own personal experience with the Toms brand. The Toms Twitter account is used to promote products as well as charitable initiatives. Mr. Mycoskie himself Tweets and answers tweets from his customers. The Instagram pages incorporate the Company’s fans wearing the clothing etc. themselves.
So what Mr. Mycoskie has done has been to leverage his goodwill and recognition from his retail social media sites to acquire a good following with regards to his coffee. He only markets roasted beans at this point, in country stores and places like World Market. However there are plans a foot to do more with coffee.
The similarities between Starbucks and Toms are many. They both use social media platforms actively, effectively , and to good purpose, not just bottom line, but in helping communities here and abroad. They both realize that the loyal customer is very important and that the customer likes to be involve with their favorite brands. They realize that their loyal customers are probably one of their best assets and recognize them accordingly. They both are well aware of the fact that being a social media presence is not just a good idea but a necessity in today’s market.
The major difference to me is that Mr.mycoskie seems more interested in doing good that making a profit. The Company is driven to put out a good coffee, but that is not his main goal. He is a retailer of varied goods and as such is quite different than Starbucks. Starbucks goods are all coffee/tea related, Mr. Mycoskie’s are related to good will.
References;
m234alii, 2015/11/12, Toms: Using Social media Marketing Effectively, retrieved from, http://www.smbp.uwaterloo.ca/2015/11/toms-using-social-media-marketing-effectively
Zog Digital, n.d. 6 Reasons Starbucks Excels at Social Media Marketing, retrieved from, http://www.business2community.com/social-media/6-reasons-Starbucks-excels-at-social-media-marketing
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