Lombard leaves Starbucks as the company steps back from day-to-day management of Hear Music

Starbucks says Concord Music Group, which formed the Hear Music label in partnership with Starbucks, will assume responsibility for future and current Hear Music recording artists. Ken Lombard, the frequently quoted senior vice president and president of Starbucks Entertainment, has left the company as part of the change. (Read the Associated Press story)

Comments

Thank God!

[Jeremy]

The Hear Music department is my Starbucks dream job. There have been some great albums that have been sold in Starbucks, and I do believe that many of the compilations are above and beyond, but they could still use a tune up. Throw me in there for a year. (c:

Can they bring back the people Lombard alienated?

How could we possibly get rid of the man who brought us Antigone Rising?

[Brendan]

It took Howard WAY too long to get rid of Ken Lombard, despite numerous complaints about Ken inside and outside the company. This is why Howard shouldn't be CEO: Way too many blindspots. Think of all the amazing music executives that walked out the door because of Ken Lombard. And they are all settled elsewhere now.

One unit down, four more to go, then it's ON TO PEPSI!

[smalltownsm]

Maybe we can stop selling pointless DVD's now. PLEASE! I could see if they actually had anything to do with Starbucks, but come on, JUNO? Good movie, but let Walmart sell that. We should stick to coffee.

Wow, they promoted Chris Bruzzo to SVP of Entertainment? He is pretty much the brainchild of mystarbucksidea.com

[Melody]

What was wrong with Lombard? Why did he alienate so many people?

When I walk into a Starbucks I generally ignore the CDs and DVDs. All I see, in that regard, is clutter.

its a lot more then Lombard

[Pat Nerr]

The day that Howard got pissed and berated partners at the partner entrance for not getting to work before 8:30am... he was pissed because he couldn't find Lombard...

The circle of life folks... the circle of life

[Joe]

The SSC partners can't get in before 8:30am because they're still driving around, trying to find a parking spot.

[Pat Nerr]

good point Joe, but then I hears that they're freeing up some spots...

there's always Lot B and the shuttle...

[dud]

Thank God! Ken was this biggest A hole ever! I hope they close the Hear Music stores and get rid of most of the CD's in the retail stores.

[mobic online]

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[Darleen]

One unit down, four more to go, then it's ON TO PEPSI!

Starbucks is NOT buying pepsi. I don't know where this rumor got started but it is just a rumor. I have family at Pepsi, and they said it is not happening. Never even been in the works, so can we put that to rest? It's getting as bad as the coffee to the troops thing.

I heard Pepsi is going to buy Starbucks.

Lombard wasn't the nicest of fellows.

We need to bring Dan back - Pat, do you know where Dan went?

[Cali ASM]

I agree, let's get rid of the CD/DVD's!!! Can we get back to coffee and SOME coffee merchandise. Whatever happened to "back-to-basics?"

[sandy]

the whole dept will get whacked. the stock market wont stand for the poor performance, and howie will be forced to do mass layoffs.

iz the americun way

they is strippin the company down into nice neat little package, to be sold to highest bidder

maximize shareholder value

STARBUCKS ISN'T SELLING!! They're just moving hear music around to free up cash flow. Think about how much money they've put in HM, now they need it more than ever with the stock at $15. I'd imagine the purse is a bit tight up in Seattle.

If they were selling, they wouldn't sell to Pepsi. Pepsi has a better supply chain than Starbucks. It's legendary. Starbucks is great to buy if you don't have one already, because that's what you'd buy it for. At the end of the day, we're REALLY good at moving stuff around. We've got big warehouses, a good solid infrastructure, and a captive audience in the coffeehouses. PEPSI HAS THAT, plus every single point-of-purchase around. THAT'S WHY WE DISTRIBUTE OUR CPG PRODUCTS (like bottled frappuccino) THROUGH PEPSI!

Pepsi has enough clout that they could start another Starbucks if they wanted. Pepsi has a $107Bn market cap compared to McDonalds $68Bn and Starbucks $11.25Bn. Not only does Pepsi have the capital (not freed, but it's around) to buy Starbucks almost ten times over, there's not legitimate reason for pepsi to buy us. For what? Raspberry syrup? No! Coffee? Definitely not. Big building in Seattle? No! Customers? No! The biggest cost in financing Starbucks was establishing the supply chain. That's where the hurdles were. How to get A to B and back. Pepsi's got that, and then some. They don't need us.

Saying Pepsi wants to buy Sbux because of our past relationship is like saying what if Apple bought out Best Buy. It wouldn't happen, and it didn't. They just started their own stores, because the infrastructure was already there, and the name recognition was already there.

It's really sad that they are firing or redeploying the people on the entertainment team. I'm surprised the media aren't reporting on Howard's Transformation Agenda email yesterday that spelled out the significant reduction of the entertainment team and reduction of CD SKUS to 4 per store.

[Part Nerr]

Next to Go: Jim Ailing?

What is the story with mystarbucksidea.com .... why would the person who created that be put in charge of MORE areas? Is this really the best "talent" Starbucks has in its exec ranks? Bring back Don MacKinnon!

[L]

We do need to reduce how many CD's we get. Sometimes its just too much and they don't all sell. I'm hoping for more undiscovered, indie-music type CDs. I think that would appeal more to the "younger crowd". I think Hear Music just needs an update... newer artists, better compilations.

cds are dead. just ask best buy, borders, barnes. they are all getting out of that biz

[lilly]

Who programs the music for Starbucks' stores ?

I know several singer/songwriters that were enjoying the Starbucks exposure.
I'd hate to see Starbucks drop providing up-and-coming artist such great exposure.

IMO, good background music enhances the visit.

so that's one department going to a third party to manage. can anyone guess what might be next? training? recruiting?

[Distribution]

Pepsi, ha ha ha on that one. if only it would be them....
Try Philip and his friend Morris (Kraft) and a nice hostile buyout to slash the stores to half the numbers now and yes kick Jim Ailing out.

As for distribution being our strong point, you must work in the SCC, and really don't know your job.....

[dmanagerLA]

Hey Pat,
What is the problem with Jim Alling?
Seems he has the partner connection down right... what are his senior leadershp/management opportunities?

d.

[Distribution]

Jim A. failed with the US stores so they stuck him out with International. He didnt get along with the other Jim either.

Bux is ripe for a hostile takeover -- just after the stockprice goes under 9.

It's a toss up between Kraft 'n Pepsi...