Can digital media replace relationship marketing?
We live in the algorithmic age, and as our elders start telling stories from their 90s to the young generation, it might seem unreal to them, since the web powers our lives. But imagine yourself as an aspiring businessperson who wants to run a coffee shop in the 90s. Even then, the core of relationship marketing was already at work.
Advantages and disadvantages of the 90s model
If you weighed the advantages against the disadvantages, the advantage would be lower noise. Getting attention relies on local reputation, printing, and word of mouth. The model follows a brick-and-mortar business approach, so it puts less pressure on you. Operations costs are low, as basic equipment and a small storefront can help you get started. Strong community relationships and slow information flow help people maintain a balance between their personal and professional lives.
On the other hand, the disadvantages would include limited tools and automation. Paperwork takes more time to track progress and complete tasks. Communication and decision-making are slower. There are fewer or no growth insights. All of these could lead to financial risks.
The birth of modern Starbucks
But despite the disadvantages, Gordon Bowker, Zev Siegl, and Jerry Baldwin took the risk and opened their local coffee shop, which later became Modern Starbucks under Howard Schultz in 1982. Schultz made people believe his vision that Starbucks is a destination, not just a place to buy and sell. He introduced the “Italian espresso bar” concept and was finally accepted by the public after facing countless rejections. He made it a party place for early birds and a coffee club for caffeine lovers. There was music, comfortable seating, and community. Originally, he wanted people to buy into his vision, as II Giornale described it as a ‘third-place experience’. In today’s terms, this was early relationship marketing in action.
The role of customers in the experience
Many people think investors’ money and the hard work of Schultz and his team made it work. That is partly true, but not entirely. As someone leading a team that provides this coffeehouse experience, I must give the entitlement to customers here as well. I work at Starbucks, which has been operating at the same location for decades, and we still have regulars (more than 50) who grew up in the same area. I have asked them, “What brings you back every day to the same location?” Is it the cup of coffee that tastes the same at other Starbucks stores, or is it the location? There are other locations, too, if you drive. Or is it the management? But it keeps changing every year.
Beyond Coffee: Emotional Attachment and Community
One of the regulars shared their opinion with me: “It’s the emotional attachment to the place I grew up in. I have seen changes and gained both good and bad experiences. There were days when I complained to friends and family about life’s challenges. On the other hand, there were days when I laughed about those incidents. The people I met, some of whom are no longer here and others who have moved on, have left their advice with me. Now I do the same. Isn’t it strange and funny?
The other regular shared: “Starbucks was truly my third place. After a long day at work, some days I would come here, grab a cup of coffee and admire the beauty of Grouse Mountain from the window, which was my detox, and it still is. I made friends along the way, helped each other, and now we run this community to help new ones. It’s a circle of life.”
Emotional marketing and relationship marketing
Their profound realization made me think about how emotions and care aid in business development. A coffee-bean retail shop founded on buying and selling coffee has become a community for giving and taking. Now, they have earned customers’ cognitive and affective trust. In the 90s, the company used emotional branding and early forms of emotional marketing to solidify its core. Be it the coffeehouse experience, selling relevant t-shirts and mugs, celebrating special occasions, or embracing seasonal change, all of these made customers feel they belonged. Looking back, word of mouth and public reputation played a significant role in building the brand. Today, we have social media; our ways of living have changed, but human nature has not. That is why relationship marketing remains the ‘unnoticed catalyst’ for growth. Even with digital tools, strong relationship marketing still depends on trust and repeated human interaction. The company now measures this with a customer connection score that tracks engagement, which will be discussed in the next post.
Generational attachment
Moreover, Starbucks has not stopped; from early boomers to Gen Z, every generation can relate to it. They have a sense of attachment. I have not witnessed any other coffee shop where visitors from each generation ask for what they like. Whether it’s our customization or recommendation policy, they all have something that brings them back with a smile. This lasting bond shows why relationship marketing still matters in the digital age.
