1
Research Project Report
Jerry Russell
Walsh College
QM 520
J. Katibai
06/09/2025
, 2
Problem Statement
This study addresses the question of how Starbucks’ social media marketing activity
influences growth in U.S. store sales. While Starbucks is renowned for its active social presence
(with over 18 million Instagram followers and 36 million Facebook likes, it is not known
explicitly to what extent this digital engagement translates into measurable sales increases.
Social media marketing (SMM) has become a core element of retail branding strategy, aimed at
building customer relationships, brand awareness, and ultimately driving revenue (Breuer et al.,
2020). Starbucks invests heavily in social campaigns and content; for example, a 2013 Twitter
coupon promotion redeemed by 27,000 customers generated $180,000 in direct sales (Chen &
Qasim, 2021). Yet empirical evidence on the sales impact of daily social-media activity is mixed.
Some research finds that posting boosts web traffic but not necessarily immediate sales, except
for large campaigns on channels like Facebook (Ebrahim, 2020).
The aim of the research project is to quantitatively examine the relationship between
Starbucks’ social media engagement metrics and the growth of U.S. store sales over time. The
focus will be clarifying whether increases in likes, comments, shares, and follower counts (on
Instagram, Facebook, and X/Twitter) coincide with higher quarterly sales in North America. This
is important because despite Starbucks’ high social activity, its domestic comparable-store sales
have recently stagnated or declined (Keyhole, 2024). Understanding this linkage will inform
marketers and analysts whether social media efforts are effectively contributing to business
outcomes. In summary, the study asks: To what extent does Starbucks’ social media marketing
effort (as measured by engagement metrics) drive U.S. store sales growth, and how strong is that
relationship?
, 3
The context is that in retail and e-commerce, social media is widely used to engage
consumers and support brand-building, but the extent of the influence on sales growth is not fully
quantified to a specific amount. Some industry data suggest social-media-driven commerce is
growing rapidly – e.g. U.S. social commerce reached over $104 billion in 2024 (Kumar & Mittal,
2023) – yet the fraction of all online sales from social channels remains in the low double digits
– around17%. This complexity motivates this study where the aim is to quantify Starbucks’
social metrics’ impact in its core market, that is, U.S. stores.
Background Information
Social media marketing (SMM) has become an essential strategy for businesses over the
past decade. Platforms like Facebook, Instagram, and Twitter (now X) allow retailers to reach
large audiences and engage customers with brand content. Globally, over 5 billion people now
use social platforms (up from around 2 billion in 2015) (Mangold & Faulds, 2024), and in the
U.S. alone hundreds of millions are active monthly. Statistics highlight social media’s growing
role in commerce: for example, 82% of consumers use social channels for product research
(Socialpilot, 2025), and 87% of sellers report social selling positively impacts their business
(PMC, 2023). In 2024, social networks accounted for roughly 17% of online sales (Statista,
2024), and industry forecasts project U.S. social commerce (directly transacted via social apps)
to reach $150 billion by 2030 (Keyhole, 2023). These trends underscore how social engagement
may influence purchase behavior – but the causal link to sales growth can be elusive.
Academic research on SMM and retail outcomes is still emerging. Many studies confirm
that active social campaigns boost brand awareness, customer loyalty, and web traffic (Zhu,
2024). For example, a 2021 analysis of a large online retailer found that daily social-media posts
significantly increased website visits, but did not automatically raise sales volume unless
Research Project Report
Jerry Russell
Walsh College
QM 520
J. Katibai
06/09/2025
, 2
Problem Statement
This study addresses the question of how Starbucks’ social media marketing activity
influences growth in U.S. store sales. While Starbucks is renowned for its active social presence
(with over 18 million Instagram followers and 36 million Facebook likes, it is not known
explicitly to what extent this digital engagement translates into measurable sales increases.
Social media marketing (SMM) has become a core element of retail branding strategy, aimed at
building customer relationships, brand awareness, and ultimately driving revenue (Breuer et al.,
2020). Starbucks invests heavily in social campaigns and content; for example, a 2013 Twitter
coupon promotion redeemed by 27,000 customers generated $180,000 in direct sales (Chen &
Qasim, 2021). Yet empirical evidence on the sales impact of daily social-media activity is mixed.
Some research finds that posting boosts web traffic but not necessarily immediate sales, except
for large campaigns on channels like Facebook (Ebrahim, 2020).
The aim of the research project is to quantitatively examine the relationship between
Starbucks’ social media engagement metrics and the growth of U.S. store sales over time. The
focus will be clarifying whether increases in likes, comments, shares, and follower counts (on
Instagram, Facebook, and X/Twitter) coincide with higher quarterly sales in North America. This
is important because despite Starbucks’ high social activity, its domestic comparable-store sales
have recently stagnated or declined (Keyhole, 2024). Understanding this linkage will inform
marketers and analysts whether social media efforts are effectively contributing to business
outcomes. In summary, the study asks: To what extent does Starbucks’ social media marketing
effort (as measured by engagement metrics) drive U.S. store sales growth, and how strong is that
relationship?
, 3
The context is that in retail and e-commerce, social media is widely used to engage
consumers and support brand-building, but the extent of the influence on sales growth is not fully
quantified to a specific amount. Some industry data suggest social-media-driven commerce is
growing rapidly – e.g. U.S. social commerce reached over $104 billion in 2024 (Kumar & Mittal,
2023) – yet the fraction of all online sales from social channels remains in the low double digits
– around17%. This complexity motivates this study where the aim is to quantify Starbucks’
social metrics’ impact in its core market, that is, U.S. stores.
Background Information
Social media marketing (SMM) has become an essential strategy for businesses over the
past decade. Platforms like Facebook, Instagram, and Twitter (now X) allow retailers to reach
large audiences and engage customers with brand content. Globally, over 5 billion people now
use social platforms (up from around 2 billion in 2015) (Mangold & Faulds, 2024), and in the
U.S. alone hundreds of millions are active monthly. Statistics highlight social media’s growing
role in commerce: for example, 82% of consumers use social channels for product research
(Socialpilot, 2025), and 87% of sellers report social selling positively impacts their business
(PMC, 2023). In 2024, social networks accounted for roughly 17% of online sales (Statista,
2024), and industry forecasts project U.S. social commerce (directly transacted via social apps)
to reach $150 billion by 2030 (Keyhole, 2023). These trends underscore how social engagement
may influence purchase behavior – but the causal link to sales growth can be elusive.
Academic research on SMM and retail outcomes is still emerging. Many studies confirm
that active social campaigns boost brand awareness, customer loyalty, and web traffic (Zhu,
2024). For example, a 2021 analysis of a large online retailer found that daily social-media posts
significantly increased website visits, but did not automatically raise sales volume unless
