Mahindra Jith’s Post

It’s no secret that Starbucks has been struggling. In the latest quarter, same-store transactions were down by 7% across North America. This is a pretty serious drop that encompasses both existing customers visiting less frequently and some stopping visits altogether. Starbucks initial response to the problem has been to focus on price – offering deals to try and entice consumers. This is fine, as it goes. But it does not address the elephant in the room: the quality of the experience. Partly because of staff workload, partly because of deliberate changes to stop people lingering for too long, partly because of a lack of investment, Starbucks has become a far less attractive place to visit. That has driven some patrons to other outlets, including independent coffee shops – many of which pay close attention to the vibe of their stores. Starbucks has a difficult balancing act. It is a volume business, but it is also a brand. And that brand and the experience it offers matters. An interesting article by CNN (link in comments) looks at Starbucks’ evolution from trying to be a third place to a coffee production line. #retail #retailnews #foodservice #coffee #restaurants

It’s no secret that Starbucks has been struggling. In the latest quarter, same-store transactions were down by 7% across North America. This is a pretty serious drop that encompasses both existing customers visiting less frequently and some stopping visits altogether. Starbucks initial response to the problem has been to focus on price – offering deals to try and entice consumers. This is fine, as it goes. But it does not address the elephant in the room: the quality of the experience. Partly because of staff workload, partly because of deliberate changes to stop people lingering for too long, partly because of a lack of investment, Starbucks has become a far less attractive place to visit. That has driven some patrons to other outlets, including independent coffee shops – many of which pay close attention to the vibe of their stores. Starbucks has a difficult balancing act. It is a volume business, but it is also a brand. And that brand and the experience it offers matters. An interesting article by CNN (link in comments) looks at Starbucks’ evolution from trying to be a third place to a coffee production line. #retail #retailnews #foodservice #coffee #restaurants

It’s no secret that Starbucks has been struggling. In the latest quarter, same-store transactions were down by 7% across North America. This is a pretty serious drop that encompasses both existing customers visiting less frequently and some stopping visits altogether. Starbucks initial response to the problem has been to focus on price – offering deals to try and entice consumers. This is fine, as it goes. But it does not address the elephant in the room: the quality of the experience. Partly because of staff workload, partly because of deliberate changes to stop people lingering for too long, partly because of a lack of investment, Starbucks has become a far less attractive place to visit. That has driven some patrons to other outlets, including independent coffee shops – many of which pay close attention to the vibe of their stores. Starbucks has a difficult balancing act. It is a volume business, but it is also a brand. And that brand and the experience it offers matters. An interesting article by CNN (link in comments) looks at Starbucks’ evolution from trying to be a third place to a coffee production line. #retail #retailnews #foodservice #coffee #restaurants

It’s no secret that Starbucks has been struggling. In the latest quarter, same-store transactions were down by 7% across North America. This is a pretty serious drop that encompasses both existing customers visiting less frequently and some stopping visits altogether. Starbucks initial response to the problem has been to focus on price – offering deals to try and entice consumers. This is fine, as it goes. But it does not address the elephant in the room: the quality of the experience. Partly because of staff workload, partly because of deliberate changes to stop people lingering for too long, partly because of a lack of investment, Starbucks has become a far less attractive place to visit. That has driven some patrons to other outlets, including independent coffee shops – many of which pay close attention to the vibe of their stores. Starbucks has a difficult balancing act. It is a volume business, but it is also a brand. And that brand and the experience it offers matters. An interesting article by CNN (link in comments) looks at Starbucks’ evolution from trying to be a third place to a coffee production line. #retail #retailnews #foodservice #coffee #restaurants

It’s no secret that Starbucks has been struggling. In the latest quarter, same-store transactions were down by 7% across North America. This is a pretty serious drop that encompasses both existing customers visiting less frequently and some stopping visits altogether. Starbucks initial response to the problem has been to focus on price – offering deals to try and entice consumers. This is fine, as it goes. But it does not address the elephant in the room: the quality of the experience. Partly because of staff workload, partly because of deliberate changes to stop people lingering for too long, partly because of a lack of investment, Starbucks has become a far less attractive place to visit. That has driven some patrons to other outlets, including independent coffee shops – many of which pay close attention to the vibe of their stores. Starbucks has a difficult balancing act. It is a volume business, but it is also a brand. And that brand and the experience it offers matters. An interesting article by CNN (link in comments) looks at Starbucks’ evolution from trying to be a third place to a coffee production line. #retail #retailnews #foodservice #coffee #restaurants

It’s no secret that Starbucks has been struggling. In the latest quarter, same-store transactions were down by 7% across North America. This is a pretty serious drop that encompasses both existing customers visiting less frequently and some stopping visits altogether. Starbucks initial response to the problem has been to focus on price – offering deals to try and entice consumers. This is fine, as it goes. But it does not address the elephant in the room: the quality of the experience. Partly because of staff workload, partly because of deliberate changes to stop people lingering for too long, partly because of a lack of investment, Starbucks has become a far less attractive place to visit. That has driven some patrons to other outlets, including independent coffee shops – many of which pay close attention to the vibe of their stores. Starbucks has a difficult balancing act. It is a volume business, but it is also a brand. And that brand and the experience it offers matters. An interesting article by CNN (link in comments) looks at Starbucks’ evolution from trying to be a third place to a coffee production line. #retail #retailnews #foodservice #coffee #restaurants

It’s no secret that Starbucks has been struggling. In the latest quarter, same-store transactions were down by 7% across North America. This is a pretty serious drop that encompasses both existing customers visiting less frequently and some stopping visits altogether. Starbucks initial response to the problem has been to focus on price – offering deals to try and entice consumers. This is fine, as it goes. But it does not address the elephant in the room: the quality of the experience. Partly because of staff workload, partly because of deliberate changes to stop people lingering for too long, partly because of a lack of investment, Starbucks has become a far less attractive place to visit. That has driven some patrons to other outlets, including independent coffee shops – many of which pay close attention to the vibe of their stores. Starbucks has a difficult balancing act. It is a volume business, but it is also a brand. And that brand and the experience it offers matters. An interesting article by CNN (link in comments) looks at Starbucks’ evolution from trying to be a third place to a coffee production line. #retail #retailnews #foodservice #coffee #restaurants

It’s no secret that Starbucks has been struggling. In the latest quarter, same-store transactions were down by 7% across North America. This is a pretty serious drop that encompasses both existing customers visiting less frequently and some stopping visits altogether. Starbucks initial response to the problem has been to focus on price – offering deals to try and entice consumers. This is fine, as it goes. But it does not address the elephant in the room: the quality of the experience. Partly because of staff workload, partly because of deliberate changes to stop people lingering for too long, partly because of a lack of investment, Starbucks has become a far less attractive place to visit. That has driven some patrons to other outlets, including independent coffee shops – many of which pay close attention to the vibe of their stores. Starbucks has a difficult balancing act. It is a volume business, but it is also a brand. And that brand and the experience it offers matters. An interesting article by CNN (link in comments) looks at Starbucks’ evolution from trying to be a third place to a coffee production line. #retail #retailnews #foodservice #coffee #restaurants