Starbucks says second quarter earnings were down 28%

For the 13-week period ended March 30, 2008, net earnings totaled $108.7 million versus $150.8 million for the same period a year ago, a decline of 28%. Earnings per share (EPS) for the quarter was $0.15, down 21% from the $0.19 per share earned in the prior year period. ALSO: Starbucks plans to open significantly fewer new stores in the U.S., over the 2009 to 2011 period, to less than 400 net new stores per year, opening approximately 250 company-operated stores in each of the three years. (Read the press release || Brief AP story)

Comments

[superstarbarista]

we'll get through it.

[Melody]

Per that article, there's some sort of webcast "conference call" by Howard Schultz today at 2 pm - in just like 5 minutes!
Link:
http://investor.starbucks.com/phoenix.zhtml?c=99518&p=irol-irhome

Or ?
http://investor.starbucks.com/phoenix.zhtml?p=irol-eventDetails&c=99518&eventID=1827876

[ken]

Is that TAPS I hear playing???

[grower]

funny....the competition is falling all over themselves to open new stores....in china, mid east, etc.

another wrong-headed reaction

[Melody]

Is anyone else listening to this webcast? Howard is reiterating much of the 3-19 Shareholders' Meeting.

Interesting:
30% of U.S. stores will have Mastrena by end of this cal year, and 75% by 2010.

Clover will grow - but 80 stores will have Clover by end of this cal year, primarily in Seattle, Boston, and San Francisco ... Did I understand that right?

He said that PPR is increasing coffee sales primarily in "the northeast market where we believe we've been underrepresented" ...

Still listening ... He's going on and on about summer beverages. It's disappointing because I don't want to hear about smoothies or fraps ... COFFEE please from Melody!

[Melody]

Still listening:
We "will reaffirm our leadership position in all things coffee"

Christmas Blend will be "more flavorful"

Holiday items at "an attractive price point"

New higher quality bakery program by next year (2009)

a very vague statement about "new platform/ new technology" in 2009

"The transformation would not be possible without a strong management structure ..." Not verbatim

Cliff Burrows promoted ... ?

During 2nd quarter we welcome back Arthur Rubelsteld (??)

Now he is turning the call over to Pete ...

[STARBUCKS GOSSIP webmaster]

Thanks for the conference call reports, Melody. I'm not able to listen where I am.

[Melody]

Pete is going on and on with number crunching ... I think this is interesting:
International stores:
2009 - - new stores is 1050
2010 -- 1150
2011 -- 1300
and 65% of those international stores are expected to be licensed!

By year 2011, total Starbucks stores, about 21,500

By 2011, Sbux will be a $14 billion company. So huge.

Before I turn the call back over to Howard ... summary:
defined # of new stores, defined capital, defined plan for international growth shifting to higher licensed partner contribution, consumer products grows through new channels and products. We are left with a discussion of the us market. We are traffic driven business with beverages at the core.

[Melody]

This is interesting:

Howard was asked about going after a model of expanding the use of licenses within the U.S:

Howard: "Perhaps the number of licenses and number of licensed stores was too much. We must prudent not to chase an economic model that does not dilute the brand."

[Melody]

Question on "executive succession planning"
From Howard:
"I'm here for the long term. (He's made a commitment to the board to that. ?)." "I'm here to lead the company back to where it's been and I'm deeply commited to that process."

[UPod]

Howard also mentioned they could see softening in the UK. In addition, the company took a charge against their P&L so they could be in a position to close international stores. Didn't say that they actually have closed any international stores yet - just that they want to be in a position to do so.

[UPod]

I'm just very leery how they keep saying a lot of what their seeing is due to the slower consumer spending and the economy when Buffalo Wild Wings saw an increase in customer traffic ( and huge earnings and revenue as their stock was up around 20% today). Panera Bread also saw huge revenue and earnings this quarter ( their stock was up around 15% today ).

[Melody]

Upod, Howard began right off the bat by saying in the webcast something like. "not to blame the u.s. economy" ...BUT of course that kinds of phraseology almost always means that you are BLAMING the u.s. economy.

Sorry for the huge number of typos from me in the past few posts.

[Melody]

On beverages/food:

The "new italian beverage" which is a summer beverage is "indulgent, low calorie, and refreshing" and an "attractive price" per Howard.

What is this new italian beverage exactly?

Energy beverage: For a "younger customer"

Health and wellness "we tested under the radar over the past few months" "the product tested well and exceeded expectations. (And what is that vague comment: We are launching a new platform not a new beverage).

Per Howard: "we're going to innovate like hell"

Someone asked about equipment: New launch does not require new equipment. 3,300 stores are already have warming enabled.

[Melody]

A question to Howard on whether store saturation and competition is responsible for decline:

Howard:
There is no evidence based on research that issue is based on competition.

We don't view the competitive landscape or what you have cited in saturation as the issue.

This economic cycle as effected us.

And another similar question to Howard:

Howard:
We are NOT satisfied with the downturn in traffic in our stores. We are not using the economy as an execuse.

Then Howard cites to the markets in Calif or Florida as where the downturns are.

[Coffee Fan]

So, as I understand it, the "return to our roots" and "healthier alternatives" has resulted in Smoothies and some form of a new Frappe. Both sound like yet another sugar/high fructose corn syrup overly sweet desert drink to me... Bah.

[P.R.I.D.E.]

Hey coffee fan, why don't you wait until you actually have more knowledge before immediately judging it? When he uses the terms healthy, and lower calorie, we just might be on to something, vs the sugar/high fructose statement you make. You don't even know yet! Sheesh!

And how the heck does Melody have this much time in her day (although we appreciate it!)I wonder if she is a ghost writer...

[Melody]

@ P.R.I.D.E - I don't punch a clock. And now, it's 3:50 and I think I need a Starbucks break. ;-)

[Capriocorn Azores]

"'Holiday items at "an attractive price point'" - great idea. Not sure exactly what this means though. Across the board price lower? Better segmentation? In general, I feel like starbucks prices themselves out of the market with some of the stuff they offer. I'd love to see more emphasis on $200 and $300 espresso machines over the holidays than $500 and $1000. OR at least, if you're going to push a high price point, justify it.

One of my biggest gripes with buying 'expensive' products from starbucks (e.g. espresso machines): I can NEVER shake the feeling that I'm getting ripped off, i.e. that I'm paying for the privilege of buying a product from the starbucks store, or with the starbucks name on it. If you want to push expensive holiday items, you need to emphasize the value behind them - high end shoppers are still value shoppers.

New higher quality bakery program by next year (2009) - I hope to God this is true. They've needed to do this for the last 2-3 years. I keep on harping on this. They need to simplify, increase quality, reorient the seasonal 'theme' or 'message' of their baked goods, emphasize local origins when possible, and give some items a sense of exclusivity and/or limited time availability to raise salience with customers.

Not sure about the two new drinks. Haven't heard exactly what they are. Italian drink sounds interesting ... 'Italy' and 'coffee' are synergistically sexy in the minds of bux's target demographic. They both evoke the other as well.

Actually, have heard a bit about the energy drink. As (I think) part of the demographic they're aiming for with it, my thoughts are: no thanks. Then again, maybe I'm not part of the demo as I never really got into the whole red bull wave. I've always seen bux as a competitor to these products - a superior competitor. is this capitulation to the enemy?

Interesting news. The downturn isn't surprising although enemies of the company (and short-term traders) will probably be pitching a fit for the next few weeks.

[cloud]

and 65% of those international stores are expected to be licensed!

Um, having traveled overseas quite a bit, I can say that SBUX has a HUGE issue with quality control, especially in Europe.

I hear in the UK it's bad, too.

So, they license up a bunch of new stores under the SBUX name and expect it to not harm its reputation and brand? Really?

The licensed stores in the US are known to be (well, most of them) of poorer quality than the regular SBUX stores.

So, that said, won't the licensed stores in Europe be extremely subpar and managed even more poorly than the already-existing stores that SBUX runs in Europe? The past seems to indicate that, yes, that will be the case.

Again, another idea that is horrible, right out of the gate.

Also, where's SBUX "Flagship" store? Would that be the SBUX at the bottom of SBUX at Utah Avenue?

[Melody]

Cloud - I make a point of visiting a million Starbucks here in Seattle (and to some degree the Seattle area).

Starbucks flagship store is definitely not the one at the bottom of the 2401 Utah Ave S. That's an ordinary small Starbucks.

Arguably, the flagship store is the "Madison Park" Starbucks here in Seattle. Huge expansive store with hardwoods, tall windows, a La Mazarcco, and the cleanest restrooms I've ever seen with multiple stalls. It's almost a bit pretentious.

I've heard it said that the Starbucks on 5th & South Weller in Seattle is important because it's very large, and the closest Starbucks to 2401 S. Utah other than the one in the lobby. But in terms of what is nicer, the Madison Park Starbucks wins hands down.

It's hard to see the original store as a flagship ... so small and no seating. But a very nice group of baristas there. And you get to see the store manager in the video that plays on the LCD during the music - that video featuring PPR. Hopefully I'm making some small amount of sense.

I made an "idea" thread at mystarbucksidea.com on how to improve the customer voice receipts:
http://mystarbucksidea.force.com/ideas/viewIdea.apexp?id=087500000004eXP&srPos=2&srKp=087

If that link doesn't work, please do a search on customer voice and find the idea thread started by me dated 4-29.

I guess since this is not an open thread, I should quit while I'm ahead. ;)

[Sedg]

Regarding licensed stores, in the UK at least, the vast majority of stores are under the direct control of Starbucks UK, rather than licensing. I can't speak about the rest of Europe, not really experienced stores, other than a few in Paris which were meh.

Personally I'd say /no/ new store openings (except those already planned) until financial growth is stable and existing stores are consistently good. Which could take a few years.

[Name]

People scoff at Starbucks' plan of returning to its roots/core because that plan includes smoothies, frapps, and other drinks. Here's an obvious thought: maybe returning to the company's roots/core is returning to beverages. Starbucks has gotten into the music business, the sandwich business, and other things I'm probably not aware of. The thing that has made Starbucks popular is its coffee and its other drinks. The reason the company is having trouble is because it is trying to do too many things for too many people. It would be like if McDonald's tried to have gourmet food or sit-down service. Is Howard Schultz leading the company in the right direction? Who knows. I guess we'll all see in a year or two.

[sbd]

Hmm... store closings International...

"Another one bites the dust...."as SBUX continues it's downward slide into oblivion ans Howie continues to wax and wane with irrelevant new ideas...

[unburned preferred]

I like the idea of rolling out an "unburned" roast for New England. I'll reserve judgment until I taste it, but it will be a nice alternative to the usual fare (not that it does not have its place at times.

Have to agree that it appears the others will fall into the "pander to Americans' insatiable desire to make themselves fat" category. We'll see when the stats roll out, but I know where my money will be.

[MOOSE BEAR]

"Have to agree that it appears the others will fall into the 'pander to Amerricans' insatiable desire to make themselves fat" category.

What, pray tell, does this mean. It seems simultaneously condescending and incoherent ... care to elaborate, or just striking out with a mixture of anti-Americanism, snobbery, and elitism rolled into one sniveling package?

Last I checked, "pandering" was something politicians did. Firms in a capitalist economy OUGHT to provide what the customer desires. That isn't 'pandering': it's good business. Not sure how they do things over in your neck of the woods (?Soviet Russia?) ...

Really, get off your high horse.

[bobbykins]

Starbucks flagship store= U Village maybe?

[Melody]

I must've missed what created the interest in which store was the flagship.

It can't be u-village. It has Verismos, no clover, it's terribly crowded all the time, and it's considered to be "due for a remodel." The manager of that store is amazing, and there's a lot of great baristas there, but I can't imagine that it's the flagship.

[Dan]

Geez, Jim...it's like you have some kind of curse over the industries on which you blog!

[Kat]

". It would be like if McDonald's tried to have gourmet food or sit-down service."

Actually, 'Name', there are McDonald's that have gourmet food and sit-down service, I remember seeing something recently about it. Some of the places looked pretty nice. But admittedly most McDonalds are your typical hamburger, stand in line kind of joint.

Anyway, back on track, I agree with you, just getting back to beverages is a good first step for Starbucks. Forget the music and books and whatever else, stick with drinks and a few good nibbles, and reasonably priced coffee paraphanalia.

[I heart my baristas]

For what it's worth (which probably isn't much) but businesses in general have peaks and valleys. SBUX happens to be in their valley right now. About 5 years ago McDonald's was in the same situation. Too many locations, too many menu items, service, cleanliness suffered. And the stock suffered (trading <$20). Now they're getting back on track and are doing much better (~$60). I think SBUX is doing the right thing by getting focused on what makes it great. Their coffee and their people. Glad to see they've ditched trying to be a music store. I've never seen anyone buy anything off that rack. They need to ditch the teddy bears. They're adorable but they're on a slow boat to the Island of Misfit Toys.

[Cali ASM]

Why do service and cleanliness suffer? Maybe (at least in my store) because labor is cut.

I work in a cafe store and we have waaayyyy more foot traffic than any drive-thru store in my town, yet drive-thrus get more labor than we do???

Doesn't it make sense to have extra labor in a cafe store so we can do those 10 min spins the company wants us to do? My store typically has only three people on duty during the day. As a manager I find it a little difficult to keep up on everything since I need one person planted on till, one on bar, and me floating trying to do everything!

(Oops, I'm starting to complain now, I think I better stop.)

Let me know what you all think!

Good day.

[Ken]

We must prudent not to chase an economic model that does not dilute the brand."

Hasn't the brand already been diluted? I mean, there is a starbucks at the Super-Walmart by my parents house. Can you dilute it anymore then that?

[Minor Rant on Rudeness]

@ Moose Bear - Did you, perchance, come out of hibernation a bit too early. Quite the pissy mood you display. Personally, the statement seems rather clear and cogent to me. I don't think it was intended as you state, but rather a condemnation of US company's rather usurious inclination to make things, in this case drinks, larger and sweeter. Our country is *by far* the most obese and it is in large part due to the quality (e.g. HFCS, etc) and quantity (e.g. Super Size, Super Big Glup, etc). It is not an issue of "anti-Americanism, snobbery, [or] elitism", it is an issue of soaring the medical costs, increasing mortality rates and myriad of other issues that come with morbid obesity.

The great irony is that Starbucks, whose core product is fat free and virtually calorie free, has emerged as one of the major sources for grossly fat and empty-calorie laden beverages (take a look at calorie-count.com and search for Starbucks as a manufacturer).

I agree with you in principle, if people want to eat and drink themselves to an early, bloated death, that is just fine for them, personally. That is just Darwin culling the herd. The problem is that they don't die efficiently. Directly or indirectly, we all are paying for the medical consequences of the obesity epidemic seen in this country. The "good business" argument is an easy cop-out most often used by those who lack the time/willingness/ability to understand the more complex nature of the issue(s).

As to "pandering", you probably need to check again. To pander is to appeal to the base emotions or less than noble desires of an individual or group. I think the original writer understood the term quite well and that it is applicable as applied.

I apologize for the minor rant, but your post was rude, myopic and...well...wrong. Frankly, while I seldom post here, I do track it as it sometimes provides interesting data. Overall, there are very few personal attacks, which is interesting on a site such as this, and made your knee-jerk screed stand out. For the record, I do niche analysis work (undergrad/grad work in Organic Chem; Grad and Post Doc in Economics) and have a better than average knowledge base in this area.

N.B. The above contains a bit of snark, sarcasm and over-generalization...take a deep breath, drink a nice, black cup of coffee and ponder things broader than your own, knee-jerk, reactions. Apologies to Unburned if I stepped on his toes.

[MOOSE BEAR]

MINOR RANT ON RUDENESS:

Hi. Not planning on continuing this, as I make it a rule (seriously) to not get involved in online back and forths. It's not worth it.

Bottom line: you took a cheap, uninformed shot. If anything, YOU were pandering. I called you out on it. You were wrong. Why not end it there. Sorry - I don't think it's cool or hip or in to make fun of Americans or their eating habits.

Don't run your credentials by me: I have a Pd.D in economics and a masters in public policy. Let's not get in a pissing contest, but I'm not impressed. 'Pandering' is a political science term of art. It's also a conventional English word.

My advice to you: don't write screeds. People will ignore them.

Good day.

[a non]

Why do service and cleanliness suffer? Maybe (at least in my store) because labor is cut.

I work in a cafe store and we have waaayyyy more foot traffic than any drive-thru store in my town, yet drive-thrus get more labor than we do???

Doesn't it make sense to have extra labor in a cafe store so we can do those 10 min spins the company wants us to do? My store typically has only three people on duty during the day. As a manager I find it a little difficult to keep up on everything since I need one person planted on till, one on bar, and me floating trying to do everything!

Frankly, as a customer, I don't really care if you feel a little understaffed. If you can't keep your store clean, I won't be going there. Who wants to get food from a disgusting establishment?

It's funny, though, because you have less hours because you aren't making more money and your nasty store is only causing further lower sales creating even less hours to keep the store clean.

Cleanliness should be a huge priority for any food establishment. Can't a health department close a restaurant for being filthy?

There is no excuse for dirty stores and, while you can try to blame being "understaffed" (you have three people at all times! If you have to stay late past close to clean, then do it!), it won't fly.

[carol]

Frankly, as a customer, I don't really care if you feel a little understaffed. If you can't keep your store clean, I won't be going there.

Frankly, I don't care if you stop coming there, you have a horrible attitude, go to mcdonalds!

[Mark]

There is no excuse for dirty stores and, while you can try to blame being "understaffed" (you have three people at all times! If you have to stay late past close to clean, then do it!), it won't fly.

I agree with you carol, this guy is a moron, I'd boot him outta my store faster than you could say BYE BYE. Go troll somewhere else buddy.

[a non]

Frankly, as a customer, I don't really care if you feel a little understaffed. If you can't keep your store clean, I won't be going there.

Frankly, I don't care if you stop coming there, you have a horrible attitude, go to mcdonalds!

Posted by: carol | May 1, 2008 3:34:46 PM

Carol,

I certainly hope you do not work for Starbucks. It'd be a sad day to have my coffee served by someone like you.

To respond to you directly, it's you that has the horrible attitude (as referenced by your comment) and also sad that you think McDonald's stores are cleaner than that of Starbucks.

I go to Starbucks because Starbucks has set the expectation high. It gave the customer the expectation that you can get a premium beverage, an excellent customer experience and a great "third-place" environment in a great store. A nasty store does not meet those expectations. Neither does McDonald's, which is why I don't frequent that establishment.

It's truly revealing of your character in regards to how you perceive customer comments. If you do work for Starbucks, then you would understand that it's your job to make sure the customer gets the best. You would make sure that the company's problems (or yours) are never seen by the customer. To the customer, it should appear that everything is running smoothly and that they can expect great service. What you seem to be saying is that you don't care about the customer and, well, if you're having a rough spot at work, then they should know ALL about it. Misery does love company, they say.

A filthy, disgusting store only shows that, no, the customer cannot expect great service there. I mean, the store can't even meet a basic expectation of cleanliness; how could it match the expectation of superior service that Starbucks purports to offer and I, as a paying customer, expect to have? It can't.

So, please.

I'll say it again: cleanliness is a basic expectation of any restaurant, and it's not the customer's problem to deal with.

I know I won't be going into any places and eating that are gross. No way.

[carol]

Carol,

I certainly hope you do not work for Starbucks. It'd be a sad day to have my coffee served by someone like you.

What would be a sad day for me would be to serve someone with such an attitude as yours. No, I don't work there I'm just sick to death of some of you over the top, serve me now type customers. I'll say it again but slowly so you can understand, Go To McDonald's.

[a non]

I'll say it again but slowly so you can understand, Go To McDonald's.

Posted by: carol | May 1, 2008 4:17:00 PM

You don't need to say it slowly. I think what you need to do is learn to do your job properly and figure out exactly how to treat a customer properly. Everything you've exhibited just shows you're a poor service-industry employee.

Your current attitude clearly shows that you don't care to give good customer service.

With that, I'll say this slowly so maybe you'll understand: go get me my coffee.

No wonder Starbucks is falling apart! They keep people like you on the payroll that just put a drain on the company.

And with that, I'm done with this conversation.

[MROR]

@ Moose - I concur as to the futility of such exchanges. That said, and because I was not, apparently, clear in my prior post, I did *not* write the post by Unburned Preferred...I just thought your response was petty, rude and misplaced. I still do. I also do not think s/he took a cheap or an uninformed "shot", but rather proffered an opinion supported by a tremendous amount of medical and socio/cultural research. But do not let facts or reality distract you...you are clearly of the "if I say it, it must be so and all others are clearly mistaken". Typical, but tiresome after the last several years...

Your understanding of the etymology of pandering is curious...its use in PoliSci is no different than traditional usage and has no special place...save its applicability as politicians do like to pander.

The last post is yours. I knew from you first that responding was a waste of time...but I was bored and annoyed...but I knew it would fall on deaf ears. Viva La Difference.

[frazzled in Boston]

Screw you A non!!!You try running an understaffed shift when partners don't show up, the line is out the door, and the store's water pressure suddenly disappears. We do our best to keep our store and our restrooms clean, but it is next to impossible to do so when we are catering to your bitchy ass.
Customers can help keep things clean; first of all, please bus your own table. We have trash cans in the cafe for a reason...FOR YOU TO USE THEM!!! Please do not leave your newspaper,ripped napkins,used kleenex,empty cups, and whatever else on the tables. Secondly, please use our bathroom facilities properly. Do not vomit on the floor, defacate on the floor,urinate on the floor, shoot up and bleed everywhere, try to flush a roll of toilet paper, a fistful of paper towels, or sanitary napkins down the toilets. Please do not have sex in our rest rooms and leave behind your used condoms and "puddles of love." When you spill on the condiment bar, let us know so we can clean up your mess. Ask for room in your coffee, instead of pouring it in the trash. Lastly,I know that in my town health codes are pretty strict. I have seen businesses in the neighborhood of my store get shut down for violations. If a store is open, then it has obviously passed inspection.

[Bemused]

Am I the only one who thinks that A Non and Moose are the same annoyed and annoying human. Has that charming desire to piss people off.

And Frazzled, thanks for the "puddles of love." I will never be able to enter a Starbucks bathroom without looking (out for) them ever. Urgh.

[a non]

Screw you A non!!!You try running an understaffed shift when partners don't show up, the line is out the door, and the store's water pressure suddenly disappears. We do our best to keep our store and our restrooms clean, but it is next to impossible to do so when we are catering to your bitchy ass.

Frazzled in Boston:

I don't have to. I don't work at Starbucks, so it's not my job to do that.

What IS my job is to pay for the coffee I get at Starbucks. That also pays for a clean store and courteous service.

As for the tables: unless you want to discount my coffee for paid time working at Starbucks, I'll leave the cleaning of those to the people that work at Starbucks. I tip, so I'll just assume that covers cleaning the store, too.

As for the bathrooms: Now, I'll give you that one. Completely ridiculous anyone would do any of that. Wow. I had no idea all of that went on. Kinda gross...

As for the coffee in the trash: I do ask for 1-inch of room, and rarely receive it. I am very specific. If the barista cannot follow simple instructions, and I can't pour it out anywhere else, it'll go in the garbage.

Simply put, lower prices and you'll get the customer to do more of the cleaning up. With current prices plus an extra buck in your tip jar, I think that doing the cleaning and being nice to the customer isn't too much to ask.

You all can't have it both ways... you all complain when conversations about the tip jar going away go in the direction of them actually going away, but then you all complain about doing your jobs when you all are tipped. I could be like some of these people and not tip and still expect you all to do your jobs. I know it's hard work... and while, technically, keeping the store clean IS a core part of your job, my tip is there to ensure you feel a little bit better about having to do it.

Simply put.

[Moose Goat Bear Pig]

We are not the same people.

[Just Another Barista]

"Simply put, lower prices and you'll get the customer to do more of the cleaning up. With current prices plus an extra buck in your tip jar, I think that doing the cleaning and being nice to the customer isn't too much to ask."

Sure, let me get right on that lowering prices. Since it is totally within my control to change our prices.

What they are trying to say about the store cleanliness thing, is that when you have only two employees working and a line out the door, it is impossible to just leave the bar and register to one person while you spent 10 (but if its really that busy,it usually takes about 20 to do a good and full clean while dodging people) minutes out in the cafe area. With three people, its more plausable, but still really difficult. Its like having one waitress and one cook in a restaurant trying to cook, waitstaff, hostess, bus tables, and do the register. I know thats a bit of an extreme compairison, but it feels that way during those 3 hour rushes where the line is never ending out the door. And if one person leaves to go clean messes that careless customers make (come on, even before I worked at Starbucks I never left my trash on the tables and empty sweetener packets all around the cafe, especially because theres a trash can less than two inches away!), it gets really crazy. And you'd understand too, because that means that your wait in line will be longer and your wait for your drink will be longer.

We arn't Superman. We are forced to follow the limits of human movement.

[carol]

You don't need to say it slowly. I think what you need to do is learn to do your job properly and figure out exactly how to treat a customer properly. Everything you've exhibited just shows you're a poor service-industry employee

Do you read? I am not an employee of Starbucks, so I don't need to be nice to you. You are one of the customers it seems everyone complains about. So yeah, I will not get you your coffee but I may spill it on you if we ever met.

[carol]

What IS my job is to pay for the coffee I get at Starbucks. That also pays for a clean store and courteous service.

What ignorance you display. Your money pays for your COFFEE, that's all. It nets you nothing else.

[a non]

What IS my job is to pay for the coffee I get at Starbucks. That also pays for a clean store and courteous service.

What ignorance you display. Your money pays for your COFFEE, that's all. It nets you nothing else.

Posted by: carol | May 2, 2008 3:03:09 AM

You're pretty ignorant as a human being. That, or just dense.

Sales pay for product, staffs, to keep stores open, etc. The primary driving force that keeps Starbucks open ARE sales. So, yeah, that three bucks pays for the coffee and expectation of a "third place experience" that is often touted but rarely seen. If the actual sale didn't do that, then the tip should cover at least the cleanliness and courteous service aspect.

PS: If you ever spilled coffee on me, I'd sue your ass from here to the moon and back. Have a great day!