October 13, 2008

Landlords fight with Starbucks over store closures

Images1 Some landlords contend Starbucks is paying rent late or darkening stores before specifying the closure dates to make the landlords wary of a fight and to pressure them into letting the company out of leases for a price they deem too low. Starbucks says that, in general, it is in compliance with its lease obligations and not aware of locations where it is behind on rent. || Read "Starbucks leases in dispute" (Wall Street Journal)

Head to Costco if you're looking for a deal on Starbucks cards

Starbucks has its first-ever Costco tie-in, which offers five, $20 Starbucks gift cards for $80. This is the first time Starbucks has sold a gift card for less than face value. In just one month, Costco has sold nearly 1 million gift cards. || Starbucks' new Gold Card part of holiday savings strategy

October 10, 2008

OPEN THREAD conversation-starter: What's going on with Vivanno in the UK?

Images1 This e-mail comes from a Starbucks barista in the UK:

We received our delivery today, and I was helping the driver unload boxes when I saw in the back a huge Vivanno prop, a replica of a cup about 3ft wide and 6ft high. The driver has been scheduled to deliver it to the venue of next week's UK Leadership Conference (the equivalent of the Starbucks meeting in New Orleans). While out on the road he had been told not to deliver it, since Vivanno was being discontinued. He had noticed supplies, the protein powder, cups etc. had been depleted and not replenished in recent weeks. Add to this nugget of information lacklustre sales and turning weather, it seems to me that Vivanno is being cancelled in the UK, which I should point out, is currently the only non-US market with the product.

Discuss this tidbit or anything else Starbucks-related in the weekend open thread.

October 09, 2008

Clover debuts in San Francisco Starbucks stores; one critic calls it "a treat well worth" $2.75

Any reports from SF customers and baristas on the Clover launch this week? Are the small-batch coffees selling, and do customers like the drink? [Link fixed.] ||Starbucks' Small Batch Coffee Program Reaches Bay Area 



October 08, 2008

Starbucks is wiped from Apple's site. What does it mean?

Images3 The Engadget site says it's a fair question to ask: just how ironclad is Starbucks' commitment to rolling out iTunes WiFi Music Store integration across its entire chain? Engadget editors noticed that the Starbucks page on Apple's site is now stone-cold gone, redirecting to the standard iTunes 8 stuff. I suspect the company has shifted its priorities. Anyone from corporate care to comment? || Starbucks wiped from Apple's website 



October 07, 2008

Here's the WSJ story about Starbucks changing its scheduling system

A Starbucks veep explains why fewer employees will work more hours at its coffee shops: "The customer's favorite experience is when the people behind the counter know them" and now they will "be able to get you going faster by knowing what you already want." The union trying to organize Starbucks workers complains the new system doesn't adequately address workers' scheduling complaints because it offers no guarantee that they'll be scheduled to work 32 hours. ||  Starbucks is extending shifts for barista (Wall Street Journal)

October 06, 2008

Starbucks defends itself against charges of waste of water

A spokeswoman says: "Dipper wells use a stream of continuous cold fresh-running water to rinse away food residue, help keep utensils clean and prevent bacterial growth. The dipper well system currently in use in Starbucks retail stores ensures that we meet or exceed our own and local health standards." She said the company is considering using dishwashers instead of the dipper wells and introducing a more water-efficient way of cleaning spoons. || Starbucks denies it wastes water (BBC)

Starbucks under fire for wasting water with always-running taps

The water that Starbucks wastes with its a policy of keeping a tap running non-stop could fill an Olympic pool every 83 minutes. A single Starbucks tap left running for just over three minutes wastes the amount of water one African needs to survive for a day in drought conditions. "It is an absolutely astonishing waste of water, especially for a company which prides itself on its green credentials," says one customer. || Starbucks wastes millions of litres of water a day

October 03, 2008

OPEN THREAD conversation-starter: Discuss the just-announced holiday beverages

Images8 A Starbucks Gossip reader reports:

They've released our 2008-2009 Holiday beverages...

1. Espresso Truffle....I'm guessing it's the signature hot chocolate with espresso shots. It features truffle shavings on top.

2. Gingersnap Latte ... NOT gingerbread!!!!! hopefully it's the same or get ready for pissed off peeps

3. Peppermint Twist...features the red sprinkles and the syrup is a combination of peppermint and spearmint apparently.

[Another message below adds Eggnog Latte and Chai Eggnog Latte to the list]

Also...they are going for a gold/red/green theme, no more blue and silver. The cups will feature the red color, with reindeer, no kids with sleds. 4 gift cards, 2 old designs, 2 new. Comes with mitten holder or a new snap pocket holder. Lots of two-for deals, like biscotti and coffee, nuts and coffee, etc!!!

Discuss this or anything else Starbucks-related in the open thread.

October 01, 2008

Starbucks settles with Minneapolis barista who was fired, then rehired

Erik Forman was fired July 10 after he received a "final written warning" for showing up half an hour late to work. The warning followed two earlier tardy notices. Starbucks then reversed its decision and hired Forman back in August, saying the initial firing was "ill-considered." (That was discussed here.) The company asked him to voluntarily withdraw his NLRB complaint, but he decided to move forward with it. || Starbucks settles NLRB complaint of fired barista

September 30, 2008

Starbucks begins selling its "Signature Hot Chocolate." What's the reaction?

The new hot chocolate is different from the original in that it's more chocolaty, and less based on milk. The new blend contains four types of West African cocoa. What are the early reviews? || Starbucks' newest item is hot, chocolaty

September 29, 2008

The real reason ad agency Wieden quit Starbucks: it was "a very frustrating client"

Starbucks is infamous for greenlighting advertising projects and later withdrawing approval. One adman who has worked with Starbucks says Howard Schultz "does not appreciate advertising. Any agency that comes in has one foot out the door already." || Read "Why Wieden quit Starbucks" (AdAge.com)

September 28, 2008

Barron's newspaper sees Starbucks shares rising 30% in the next year

Images The paper believes in Howard Schultz's turnaround plan, as it uses the headline "Something Good is Brewing." The Starbucks CEO tells Barron's:
* "We have the resources and the tools to execute to execute on a well-thought-out plan."
* "Oatmeal has gotten off to a great start. We already know we have a winner."
* He says Starbucks will unveil a new card program this fall -- no doubt, referring to the gold card that's being tested -- that will "surprise and delight" customers.
The writer of the Barron's piece (the full story requires a subscription) advises: "If the economy continues to weaken, Starbucks would be wise to publicize the fact that its drip coffee doesn't cost much more than the next guy's in many markets." || Starbucks shares could perk up 30% (Reuters)

September 26, 2008

OPEN THREAD conversation-starter: High-five to the Starbucks workers who helped hide a woman from kidnappers!

Images1 Employees at a Cambridge, Mass. Starbucks hid the 24-year-old woman behind a counter when one of the kidnappers came into the store looking for her, according to this story. Discuss this or anything else Starbucks-related in the weekend open thread.

September 25, 2008

Melody reports on her Starbucks tour: "It is truly a Disneyland-like place for me!"

Starbucks superfan MELODY writes about her visit to the "Coffee Holy Land" (Earlier: Melody gets an invite from Starbucks):

I have this great thought of putting together a long post from today's SSC tour but I don't think I can! It was like sensory overload and I met SO many people and had such a blast. It is truly a Disneyland like place for me! The coffee cupping was AMAZING. I learned a ton. I hadn't really been able to experience and understand the differences in body and acidity of the coffees until this experience and being able to try them side by side like. I want to say that the October Clover Coffee are going to be curl-your-toes-with-pleasure-fabulous. I got to try a Clover cup of Kenya Gichathaini and basically I nearly died and went to heaven. What a complex and beautiful flavor without being overly heavy and fairly medium body to it. Very bright citrus notes that just pop out at you through the Clover. Amazing. I got to put on a green apron and learn how to work the Clover too!! That was SO much fun. I spent a full 4 hours there. By the time I left it was close to 5 pm, and I was dead tired too. The enthusiasm and energy from the partners I met at the SSC was just limitless. I met an 18 year partner who truly impressed me. She worked at the Oak Tree Starbucks (store #308 in Seattle) like 18 years ago, and that's the place where I first fell in love with the siren. It was fabulous meeting someone else who remembered things like the Starbucks Jazz Cruise in the Puget Sound (Kenny G was on the boat!) and the whole experience of the customer passport books. I walked out with quite a goody bag! I do love Sanani and there was a pound of it in my goody bag which will definitely be quickly used! Time for bed now. I'm so tired.

September 24, 2008

Ad agency Wieden & Kennedy parts ways with Starbucks

"There are times when it just makes sense to part ways with a client," says Wieden founder Dan Wieden. "In this case, this seems to be the best decision for both parties." The agency was hired by Starbucks four years ago. It developed Starbucks' "Pass the cheer" TV commercials that aired last Christmas. || Wieden Parts Ways With Starbucks (AdAge.com) || More from Adweek

September 23, 2008

Starbucks confirms launch of Piadini breakfast sandwiches

The sandwiches, which debut next week, feature artisan bread and are filled with either sausage, egg and cheese or portobello mushroom, spinach and ricotta cheese. Starbucks says it's adding ovens to 800 more stores and that over time, ovens will be in 90% of the stores. || Starbucks to introduce new breakfast sandwiches

Starbucks says oatmeal is its most successful food product launch to date

Beverages_fall1 Starbucks marketing veep Michelle Gass says the oatmeal is the "hero" of its new health-oriented breakfast menu launched in early September, but other items are also contributing to rising ticket sales for food. "We have seen the entire food business lift," she said, adding that margins on oatmeal are among the highest on all of its food items. "We believe we have hit a home run." || Starbucks says oatmeal is its most popular food

September 22, 2008

Analyst expects a weak fourth-quarter for Starbucks -- even with the new offerings

An analyst predicts that same-store sales will decline by a percentage in the mid-single digits for the quarter, which ends this month. Although Starbucks launched several new products during the quarter, "we do not believe the introductions were enough to meaningfully bolster sales against macroeconomic realities," she says, predicting that Starbucks will earn about 13 cents per share compared to 21 cents in 2007's fourth quarter. || Analyst expects weak 4Q sales trends at Starbucks

September 19, 2008

OPEN THREAD: Who needs the webmaster to get the discussion going?

There were nearly 300 comments in last weekend's thread without any goosing from me. So go ahead and discuss anything Starbucks-related that hasn't been covered in this week's posts.

October 2008

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