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Unit 2: Different Layout & Designs

Notes
In 1996 the company completed its second debt offering, netting $161 million from the
sale of convertible debentures for use in its capital construction program.
Store Ambience
Starbucks management looked upon each store as a billboard for the company and as a
contributor to building the company’s brand and image. Each detail was scrutinized to
enhance the mood and ambience of the store, to make sure everything signaled “best of
class” and that it reflected the personality of the community and the neighbourhood. The
thesis was “Everything matters.” The company went to great lengths to make sure the
store fixtures, the merchandise displays, the colours, the artwork, the banners, the music,
and the aromas all blended to create a consistent, inviting, stimulating environment that
evoked the romance of coffee, that signaled the company’s passion for coffee, and that
rewarded customers with ceremony, stories, and surprise. Starbucks was recognized for
its sensitivity to neighbourhood conservation with the Scenic America’s award for excellent
design and “sensitive reuse of spaces within cities.”
To try to keep the coffee aromas in the stores pure, Starbucks banned smoking and asked
employees to refrain from wearing perfumes or colognes. Prepared foods were kept
covered so customers would smell coffee only. Colourful banners and posters were used
to keep the look of Starbucks stores fresh and in keeping with seasons and holidays.
Company designers came up with artwork for commuter mugs and T-shirts in different
cities that was in keeping with each city’s personality (peach-shaped coffee mugs for
Atlanta, pictures of Paul Revere for Boston and the Statue of Liberty for New York).
To make sure that Starbucks’ stores measured up to standards, the company used “mystery
shoppers” who posed as customers and rated each location on a number of criteria.
Questions:
1. Analyze the case and interpret it.

2. What is store ambience? What are its essentials?
3. Write down the case facts.
4. What do you infer from it?

Source: http://www.mhhe.com/business/management/thompson/11e/case/starbucks-2.html

2.4 Summary

Store layout is the way, the store or business space that is used to promote sales and to
satisfy the customer. Below is a picture of a general layout of a retail store.
Diagonal floor plan works well in stores where customers have the liberty to walk in and
pick up merchandise on their own. It uses perimeter design which cause angular traffic
flow.

Curved Plan is also called angular floor plan.
Diagonal floor plan works well in stores where customers have the liberty to walk in and
pick up merchandise on their own. It uses perimeter design which cause angular traffic
flow.
The straight floor plan creates spaces within the retail store for the customers to move and
shop freely.

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