THINKing

Posted: 20 Aug 2008 11:44 AM CDT

Tim Manners of Reveries has completed a survey about Starbucks that contains much food for thought. Before we get to the results, let’s explore the brand known as Starbucks.

Here’s what I think is wrong with Starbucks. It expanded too quickly, lost its sense of community, and was no longer an experience, but became just another place to get coffee. Because the brand decided it wanted to become a chain, it lost its focus on what made it special. Coffee was key to the experience, but Starbucks decided to focus on music and other add-ons. What’s that all about? Employees became retail clerks, selling commodities, not experiences. Lose the employees, lose the war.

But there is good news for Starbucks in the survey. People feel passionately about it. Many love it. Many hate it. Says Manners,

That the brand elicits such passionate reactions perhaps bodes well for its potential to mount a comeback. Indeed, many of the survey respondents sounded almost desperate for the Starbucks they say they loved and lost. The encouraging news for Starbucks is that roughly the same percentage of respondents said that they “liked” Starbucks about as much today as they did five years ago. However, the percentage saying they “loved” Starbucks has dropped precipitously, from 33 percent who said they loved it five years ago to just 10 percent today. In addition, the percentage saying they are “neutral” about Starbucks has increased to 39 percent, up from 23 percent who said they were “neutral” toward Starbucks five years ago.

Here’s a clue for Starbucks’ success: focus on the ones who love you.

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