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Old 01-08-2008, 12:36 PM   #1
Kevy Baby
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Originally Posted by Alex View Post
On the other hand, unlike McDonald's the coffee isn't the main thing so they don't have to derive all their profit from it. They don't have to build stores and pay the rent off of coffee sales. Their overhead in expanding into coffee is much smaller than Starbucks so I've no doubt that they could sell coffee at fractions of the Starbucks' price and it would still be a fair profit. And if they are able to even approach Starbucks pricing it'll be easy money.
A very large part of the Starbucks business model is the "experience" that they try to create within their stores. The initial concept of Starbucks was to recreate the social gathering spot experienced in France (at least I think it was France).

On a related topic, Starbucks announced today that Howard Schultz would be taking back over the reins of the company.
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Old 01-08-2008, 02:07 PM   #2
Chernabog
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Originally Posted by Kevy Baby View Post
A very large part of the Starbucks business model is the "experience" that they try to create within their stores. The initial concept of Starbucks was to recreate the social gathering spot experienced in France (at least I think it was France).
It's Italy, but you're on the right continent

Starbucks to me has gone somewhat downhill. When I worked for them, there was a LOT more customer interaction than there is now (especially on the drink making side, when we actually grinded, tamped down, and timed our shots. Now there's this giant metallic object -- the shot-maker-- blocking you from seeing what the heck the barista is doing). Also, Starbucks used to have in-store ceramic cups. Having everything now in "to go" cups detracts from the experience IMO.

And yes, some Starbucks do smell bad. It is something they need to work on, and I think it has to do with the current food-heating of items... BAD idea for rubbery tasteless yuck. Or that they just don't clean the milk off the floors as thoroughly as they should.

The only time I eat at a McDonalds is when I am on a road trip up the 5. I wonder how they're going to do fast food lattes though, considering an actual human still needs to be there to steam the milk, and you can't have hot milk just sitting out there for a long time. Perhaps they just heat milk in a microwave? (which doesn't make a real latte).
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