Starbucks buys out its competition in California city

Rosie's Espresso Bar Cafe, which has operated for 16 years in Scotts Valley Junction, CA, accepted Starbucks' offer. "It’s hard to see a strong independent business close up shop, but this is a good thing for me," says owner Sharri Umphrey (with dollar signs in her eyes?) (Santa Cruz Sentinel)

Comments

[kellan]

Fyi, the name of the town is just Scotts Valley, Scotts Valley Junction.

[Karl]

This sounds strange to me. I've been following Starbucks corporate moves for a long time and the typically don't buy single locations. Starbucks will buy into a region to gain marketshare, but they usually don't buy a single locations to "eliminate the competition" as the article suggests. (how many times have you seen Starbucks near two or three other coffee houses? In San Francisco, it's common) There's more to this story than what's being reported.

[andrew]

if Rosie had $$ in her eyes, then you should at least put a Ed. note, unless of course it was part of the original story

[Daniel]

San Francisco has high density and tons of pedestrian traffic. Scott Valley is a small town with zero pedestrian traffic, and this location is a small retail cluster built around a grocery store. The main commercial strip, almost two miles away, currently supports two independent espresso places in addition to the existing Starbucks.

[student]

There is a little known college right down the road from this location. It makes much sense for Starbucks to want open in this location. It is closer to the school than the current scotts valley starbucks, it will be more convenient for the students. It will also be right next to the freeway on-ramp. good business move.

[pj]

Does anyone know the different wages one earns at Starbucks? From barista to store manager? Just curious ... thanks.

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[Morgen]

I used to frequent Rosies now and then, but the customer service got pretty bad over the years. (Prior to being Rosies it was Coffee Connection, an they were awesome.)

The new Starbucks is a nice place and there seems to be enough business in SV to support this 2nd Starbucks, and 2 other small coffee shops (I think it's 2, there could be another hidden somewhere.)

I think that the owner of Rosie's wanted out of the biz.

[the original "Rosie"]

I opened Rosie's as the Coffee Connection in 1998, a great, neighborhood-friendly place, and one of the first coffee houses in the area. The north end of Scotts Valley supported Rosie's nicely. But then the software businesses started moving out of town and Scotts Valley Drive went under major construction, both at the same time and both affecting the business (which I had sold to my store manager in 1997). The business was sold again to Ms. Umphrey, and I didn't know her. I was saddened when I heard that Rosie's closed, but I don't feel that area of town could support both Rosie's and a Starbucks--too close in proximity to each other. Sad for Rosie's, but that's progress???!!

[Cara]

For this exactly why my friends and I have just launched indiecoffeeshops.com. It has a searchable database/map of independent coffeeshops so if someone doesn't want to go to Starbucks, they can find an alternative. I know I never go to a Starbucks when there is an indie coffeeshop near by, but that gets hard sometimes when Starbucks saturates an area.

[tara]

Does anyone know if SB is moving into small cities - 10-18,000 yet? I have the only coffeehouse in Kenora and have heard rumours they are looking to move here. Seems like an odd move as Kenora is a remote northern community in NW Ontario Canada - the closest city is Winnipeg - 3 hours away in Manitoba.

[Mike]

Here is a good site to find independent coffee shops! http://www.cafehunt.com